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Capital IconMinnesota Legislature

HF 2699

4th Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
  1.1                          A bill for an act 
  1.2             relating to public administration; appropriating money 
  1.3             for health and human services, agriculture, 
  1.4             environment and natural resources, criminal justice, 
  1.5             state government, and economic development; 
  1.6             establishing and modifying certain programs; providing 
  1.7             for regulation of certain activities and practices; 
  1.8             providing for accounts, assessments, and fees; 
  1.9             providing penalties; amending Minnesota Statutes 1998, 
  1.10            sections 13.82, subdivision 3b; 15.0591, subdivision 
  1.11            2; 15A.0815, subdivisions 2 and 3; 16A.10, by adding a 
  1.12            subdivision; 16A.11, subdivision 3; 16A.124, by adding 
  1.13            a subdivision; 16A.126, subdivision 2; 16B.052; 
  1.14            16B.31, by adding a subdivision; 16B.335, subdivision 
  1.15            5; 16B.42, subdivisions 2 and 3; 16B.48, subdivision 
  1.16            4; 16B.485; 17A.03, subdivision 5; 18E.04, subdivision 
  1.17            4; 41A.09, subdivision 3a; 41B.03, subdivisions 1 and 
  1.18            2; 41B.039, subdivision 2; 41B.04, subdivision 8; 
  1.19            41B.042, subdivision 4; 41B.043, subdivision 2; 
  1.20            41B.045, subdivision 2; 43A.38, subdivision 1; 60H.03, 
  1.21            by adding a subdivision; 80A.122, by adding a 
  1.22            subdivision; 80A.28, subdivision 1; 85A.02, 
  1.23            subdivision 5a; 103E.011, by adding a subdivision; 
  1.24            115B.17, subdivision 19; 119A.05, subdivision 1; 
  1.25            119A.37, subdivision 4; 120B.22, subdivision 1; 
  1.26            121A.15, subdivisions 4 and 10; 125A.74, subdivisions 
  1.27            1 and 2; 138.17, subdivision 10; 144.551, subdivision 
  1.28            1; 144A.071, by adding a subdivision; 169.01, 
  1.29            subdivision 37; 169.121, subdivision 3b; 169.129, by 
  1.30            adding a subdivision; 169.21, subdivisions 2 and 3; 
  1.31            169.89, subdivision 2; 179A.18, subdivision 1; 
  1.32            181.932, subdivision 1; 182.661, subdivision 1; 
  1.33            182.666, subdivision 2, and by adding a subdivision; 
  1.34            193.143; 198.03, subdivision 1; 221.173; 242.41; 
  1.35            242.43; 242.44; 254B.03, subdivision 1; 256.01, by 
  1.36            adding a subdivision; 256.011, subdivision 3; 256.741, 
  1.37            by adding a subdivision; 256.955, subdivisions 1 and 
  1.38            2; 256.9753, subdivision 3; 256.995, subdivision 1; 
  1.39            256B.431, by adding subdivisions; 256B.69, subdivision 
  1.40            5d; 256J.08, by adding a subdivision; 256J.15, by 
  1.41            adding a subdivision; 256J.32, by adding a 
  1.42            subdivision; 256J.40; 256J.45, subdivision 3; 256J.46, 
  1.43            by adding subdivisions; 256J.47, subdivision 1; 
  1.44            256J.49, subdivision 13; 256J.50, subdivisions 5 and 
  1.45            7; 256J.52, by adding a subdivision; 256L.05, 
  1.46            subdivision 5; 257.75, subdivision 6; 268.362, 
  2.1             subdivision 2; 345.31, by adding a subdivision; 
  2.2             345.39, subdivision 1; 349A.02, subdivision 1; 352.91, 
  2.3             subdivision 3c, and by adding subdivisions; 352D.02, 
  2.4             subdivision 1; 352D.04, subdivision 2; 356.30, 
  2.5             subdivision 1; 383B.225, subdivision 2; 390.005, 
  2.6             subdivision 3; 390.33, subdivision 1; 422A.101, 
  2.7             subdivision 3; 471.345, by adding a subdivision; 
  2.8             490.121, subdivision 4, and by adding a subdivision; 
  2.9             490.123, subdivisions 1a and 1b; 490.124, subdivision 
  2.10            1; 518B.01, subdivision 21; 609.02, subdivisions 3 and 
  2.11            4a; 609.03; 609.033; 609.0331; 609.0332, subdivision 
  2.12            1; 609.034; 609.135, by adding a subdivision; 
  2.13            609.2231, subdivision 1; 609.378, subdivision 1; 
  2.14            611A.07, subdivision 1; 611A.32, subdivisions 1, 2, 3, 
  2.15            and 5; 611A.33; 611A.34, subdivisions 1, 2, and 3; 
  2.16            611A.345; 611A.35; 611A.36, subdivisions 1 and 2; 
  2.17            626.556, by adding a subdivision; 629.342, subdivision 
  2.18            2; and 629.72, subdivision 6; Minnesota Statutes 1999 
  2.19            Supplement, sections 3.971, subdivision 8; 10A.01, 
  2.20            subdivisions 2 and 21; 13.99, subdivision 108, and by 
  2.21            adding a subdivision; 15.059, subdivision 5a; 16A.103, 
  2.22            subdivision 1; 16A.129, subdivision 3; 16B.616, 
  2.23            subdivisions 3 and 4; 62J.535, subdivision 2; 62J.694, 
  2.24            subdivision 2; 116.073, subdivision 1; 116J.421, 
  2.25            subdivision 2; 119B.011, subdivision 15; 119B.02, 
  2.26            subdivision 1; 125B.21, subdivision 1; 144.395, by 
  2.27            adding a subdivision; 144.396, subdivisions 11 and 12; 
  2.28            144A.04, subdivision 5; 147.09; 169.121, subdivisions 
  2.29            3, 3d, and 3f; 169.1217, subdivision 7; 169.129, 
  2.30            subdivision 1; 179A.04, subdivision 3; 181.932, 
  2.31            subdivision 2; 214.01, subdivision 2; 241.272, 
  2.32            subdivision 6; 242.192; 256.01, subdivision 2; 
  2.33            256.019; 256.955, subdivisions 4, 8, and 9; 256B.0916, 
  2.34            subdivision 1; 256B.69, subdivision 5b; 256D.03, 
  2.35            subdivision 4; 256J.02, subdivision 2; 256J.08, 
  2.36            subdivision 86; 256J.21, subdivision 2; 256J.26, 
  2.37            subdivision 1; 256J.33, subdivision 4; 256J.34, 
  2.38            subdivisions 1 and 4; 256J.46, subdivisions 1, 2, and 
  2.39            2a; 256J.52, subdivisions 3 and 5; 256J.56; 256L.07, 
  2.40            subdivision 1; 326.105; 473.3993, subdivision 3; 
  2.41            609.135, subdivision 2; 626.556, subdivision 2; and 
  2.42            626.558, subdivision 1; Laws 1997, chapter 200, 
  2.43            article 1, section 5, subdivision 3; Laws 1997, 
  2.44            chapter 225, article 4, section 4, as amended; Laws 
  2.45            1998, chapter 389, article 16, section 31, subdivision 
  2.46            2, as amended; Laws 1999, chapter 216, article 1, 
  2.47            sections 2, subdivision 3; 9; 14; Laws 1999, chapter 
  2.48            223, article 1, section 6, subdivision 1; article 2, 
  2.49            section 81, as amended; article 3, section 8; Laws 
  2.50            1999, chapter 231, sections 2, subdivision 2; 6, as 
  2.51            amended; 11, subdivision 3; Laws 1999, chapter 245, 
  2.52            article 1, section 2, subdivisions 3, 5, and 10; 
  2.53            article 4, section 121; and Laws 1999, chapter 250, 
  2.54            article 1, sections 11; 14, subdivision 3; 18; and 
  2.55            116; proposing coding for new law in Minnesota 
  2.56            Statutes, chapters 3; 5; 10A; 16A; 41B; 43A; 85; 136F; 
  2.57            144; 145; 169; 181; 182; 198; 242; 252; 256J; 256K; 
  2.58            260B; 326; 345; 473; and 611A; proposing coding for 
  2.59            new law as Minnesota Statutes, chapter 146A; repealing 
  2.60            Minnesota Statutes 1998, sections 16B.37, subdivisions 
  2.61            1, 2, and 3; 16B.88; 16E.01, subdivisions 2 and 3; 
  2.62            16E.03, subdivisions 1 and 3; 16E.04, subdivision 1; 
  2.63            16E.05; 16E.06; 16E.07, subdivisions 1, 2, 3, 5, 6, 7, 
  2.64            8, 9, 10, and 11; 136F.59, subdivision 3; 168A.40, 
  2.65            subdivisions 1 and 3; 184A.01; 184A.02; 184A.03; 
  2.66            184A.04; 184A.05; 184A.06; 184A.07; 184A.08; 184A.09; 
  2.67            184A.10; 184A.11; 184A.12; 184A.13; 184A.14; 184A.15; 
  2.68            184A.16; 184A.17; 184A.18; 184A.19; 184A.20; 241.41; 
  2.69            241.42; 241.43; 241.44; 241.441; 241.45; 256J.46, 
  2.70            subdivision 1a; 352.91, subdivision 4; 465.795; 
  2.71            465.796; 465.797, subdivisions 2, 3, 4, 5, 6, and 7; 
  3.1             465.7971; 465.798; 465.799; 465.801; 465.802; 465.803; 
  3.2             465.81; 465.82, subdivisions 1, 2, and 3; 465.83; 
  3.3             465.84; 465.85; 465.86; 465.87; and 465.88; Minnesota 
  3.4             Statutes 1999 Supplement, sections 16E.01, subdivision 
  3.5             1; 16E.02; 16E.03, subdivisions 2, 4, 5, 6, 7, and 8; 
  3.6             16E.04, subdivision 2; 16E.07, subdivision 4; 16E.08; 
  3.7             43A.318; 144.396, subdivision 13; 168A.40, subdivision 
  3.8             2; 465.797, subdivisions 1 and 5a; and 465.82, 
  3.9             subdivision 4; Laws 1997, chapter 203, article 7, 
  3.10            section 27; Laws 1999, chapter 135, section 9; Laws 
  3.11            1999, chapter 245, article 5, section 24; and Laws 
  3.12            1999, chapter 250, article 1, section 15, subdivision 
  3.13            4; Minnesota Rules, parts 3800.3810; 7672.0100; 
  3.14            7672.0200; 7672.0300; 7672.0400; 7672.0500; 7672.0600; 
  3.15            7672.0700; 7672.0800; 7672.0900; 7672.1000; 7672.1100; 
  3.16            7672.1200; 7672.1300; 7674.0100; 7674.0200; 7674.0300; 
  3.17            7674.0400; 7674.0500; 7674.0600; 7674.0700; 7674.0800; 
  3.18            7674.0900; 7674.1000; 7674.1100; and 7674.1200. 
  3.19  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  3.20                              PART A 
  3.21              HEALTH AND HUMAN SERVICES PROVISIONS 
  3.22                             ARTICLE 1 
  3.23                           APPROPRIATIONS 
  3.24  Section 1.  [HEALTH AND HUMAN SERVICES APPROPRIATIONS.] 
  3.25     The sums shown in the columns marked "APPROPRIATIONS" are 
  3.26  appropriated from the general fund, or any other fund named, to 
  3.27  the agencies and for the purposes specified in this article, to 
  3.28  be available for the fiscal years indicated for each purpose.  
  3.29  The figures "2000" and "2001"  mean that the appropriation or 
  3.30  appropriations listed under them are available for the fiscal 
  3.31  year ending June 30, 2000, or June 30, 2001, respectively, and 
  3.32  if an earlier appropriation was made for that purpose for that 
  3.33  year, the appropriation in this article is added to it.  Where a 
  3.34  dollar amount appears in parenthesis, it means a reduction of an 
  3.35  earlier appropriation for that purpose for that year. 
  3.36                          SUMMARY BY FUND 
  3.37  APPROPRIATIONS                                      BIENNIAL
  3.38                            2000          2001           TOTAL
  3.39  General            $  (53,756,000)$   15,329,000 $  (38,427,000)
  3.40  State Government
  3.41  Special Revenue           150,000          -0-          150,000
  3.42  Health Care Access 
  3.43  Fund                    1,266,000      3,383,000      4,649,000 
  3.44  TOTAL              $  (52,340,000)$   18,712,000 $  (33,628,000)
  3.45                                             APPROPRIATIONS 
  3.46                                         Available for the Year 
  3.47                                             Ending June 30 
  4.1                                             2000         2001 
  4.2   Sec. 2.  COMMISSIONER OF 
  4.3   HUMAN SERVICES 
  4.4   Subdivision 1.  Total 
  4.5   Appropriation                     $  (52,490,000)$   17,915,000
  4.6                 Summary by Fund
  4.7   General             (53,756,000)   14,532,000
  4.8   Health Care Access    1,266,000     3,383,000 
  4.9   This appropriation is taken from the 
  4.10  appropriation in Laws 1999, chapter 
  4.11  245, article 1, section 2. 
  4.12  The amounts that are added to or 
  4.13  reduced from the appropriation for each 
  4.14  program are specified in the following 
  4.15  subdivisions. 
  4.16  Subd. 2.  Children's Grants
  4.17        589,000       3,712,000
  4.18  [ADOPTION ASSISTANCE/RELATIVE CUSTODY 
  4.19  ASSISTANCE.] Of this appropriation, 
  4.20  $133,000 in fiscal year 2000 and 
  4.21  $1,300,000 in fiscal year 2001 is for 
  4.22  the adoption assistance program under 
  4.23  Minnesota Statutes, section 259.67, and 
  4.24  $456,000 in fiscal year 2000 and 
  4.25  $912,000 in fiscal year 2001 is for the 
  4.26  relative custody assistance program 
  4.27  under Minnesota Statutes, section 
  4.28  257.85.  This is a one-time 
  4.29  appropriation that shall not be added 
  4.30  to the base level funding for these 
  4.31  programs. 
  4.32  [SAFETY NET SERVICES RESERVE FOR 
  4.33  CHILDREN IN SANCTIONED FAMILIES.] Of 
  4.34  this appropriation, $1,500,000 in 
  4.35  fiscal year 2001 is for the 
  4.36  commissioner to establish a reserve 
  4.37  account to reimburse counties, 
  4.38  beginning January 1, 2001, for the 
  4.39  costs of fulfilling the requirement 
  4.40  under Minnesota Statutes, section 
  4.41  256J.46, subdivision 4, to provide 
  4.42  safety net services to ensure the 
  4.43  well-being of children in a family 
  4.44  where the participant's MFIP case has 
  4.45  been closed due to noncompliance under 
  4.46  Minnesota Statutes, section 256J.46, 
  4.47  subdivision 1, paragraph (c). 
  4.48  Subd. 3.  Basic Health Care Grants
  4.49      14,984,000     51,040,000 
  4.50                Summary by Fund
  4.51  General              13,718,000    47,657,000 
  4.52  Health Care Access    1,266,000     3,383,000 
  4.53  The amounts that may be spent from this 
  4.54  appropriation for each purpose are as 
  5.1   follows: 
  5.2   (a) Minnesota Care Grants
  5.3   Health Care Access Fund
  5.4        1,266,000      3,383,000 
  5.5   (b) MA Basic Health Care Grants-
  5.6   Families and Children
  5.7   General  22,751,000    22,813,000 
  5.8   (c) MA Basic Health Care Grants- 
  5.9   Elderly and  Disabled
  5.10  General  (3,730,000)   13,845,000 
  5.11  (d) General Assistance Medical Care
  5.12  General  (5,303,000)    8,405,000 
  5.13  (e) Health Care Nonentitlement Grants
  5.14           -0-        2,594,000 
  5.15  Subd. 4.  State-Operated Services
  5.16     (9,543,000)          -0-    
  5.17  [STATE-OPERATED SERVICES BASE 
  5.18  REDUCTION.] The general fund base level 
  5.19  appropriation for state operated 
  5.20  services programs and activities shall 
  5.21  be reduced by $9,543,000 for fiscal 
  5.22  year 2000.  
  5.23  The amounts that may be spent from this 
  5.24  appropriation for each purpose are as 
  5.25  follows: 
  5.26  (a) RTC Facilities
  5.27     (9,543,000)          -0-  
  5.28  Subd. 5.  Continuing Care and 
  5.29  Community Support Grants
  5.30     (35,029,000)    10,055,000
  5.31  The amounts that may be spent from this 
  5.32  appropriation for each purpose are as 
  5.33  follows: 
  5.34  (a) Community Services Block Grants
  5.35           -0-       (4,950,000)
  5.36  (b) Medical Assistance Long-Term 
  5.37  Care Waivers and Home Care
  5.38     (12,385,000)    (3,450,000) 
  5.39  (c) Medical Assistance Long-Term
  5.40  Care Facilities
  5.41     (20,790,000)    16,915,000
  5.42  [ADDITIONAL PROVIDER RATE INCREASES.] 
  5.43  (a) The commissioner shall increase 
  5.44  reimbursement rates in effect on June 
  5.45  30, 2000, by five percent for nursing 
  6.1   services and home health services under 
  6.2   Minnesota Statutes, section 256B.0625, 
  6.4   subdivision 6a; personal care services 
  6.5   and nursing supervision of personal 
  6.6   care services under Minnesota Statutes, 
  6.7   section 256B.0625, subdivision 19a; and 
  6.8   private duty nursing services under 
  6.9   Minnesota Statutes, section 256B.0625, 
  6.10  subdivision 7.  This increase is in 
  6.11  addition to the increase provided for 
  6.12  the second year of the biennium in Laws 
  6.13  1999, chapter 245, article 1, section 
  6.14  2, subdivision 8, paragraph (g), and 
  6.15  shall be effective for services 
  6.16  rendered on or after July 1, 2000.  
  6.17  (b) Providers that receive a rate 
  6.18  increase under this section shall use 
  6.19  at least 80 percent of the additional 
  6.20  revenue to increase the compensation 
  6.21  paid to employees other than the 
  6.22  administrator and central office staff. 
  6.23  (c) A copy of the provider's plan for 
  6.24  complying with paragraph (b) must be 
  6.25  made available to all employees.  This 
  6.26  must be done by giving each employee a 
  6.27  copy or by posting it in an area of the 
  6.28  provider's operation to which all 
  6.29  employees have access.  If an employee 
  6.30  does not receive the salary adjustment 
  6.31  described in the plan and is unable to 
  6.32  resolve the problem with the provider, 
  6.33  the employee may contact the employee's 
  6.34  union representative.  If the employee 
  6.35  is not covered by a collective 
  6.36  bargaining agreement, the employee may 
  6.37  contact the commissioner at a phone 
  6.38  number provided by the commissioner and 
  6.39  included in the provider's plan. 
  6.40  (d) Section 6, sunset of uncodified 
  6.41  language, does not apply to this 
  6.42  provision. 
  6.43  (d) Group Residential Housing
  6.44      (1,854,000)      (499,000)                
  6.45  (e) Chemical Dependency
  6.46  Entitlement Grants
  6.47         -0-          2,039,000                 
  6.48  [CHEMICAL DEPENDENCY RESERVE ACCOUNT.] 
  6.49  For fiscal year 2001, $1,500,000 is 
  6.50  canceled from the chemical dependency 
  6.51  reserve account within the consolidated 
  6.52  chemical dependency treatment fund to 
  6.53  the general fund. 
  6.54  Subd. 6.  Continuing Care and
  6.55  Community Support Management
  6.56         -0-             45,000                
  6.57  [DAY TRAINING AND HABILITATION TASK 
  6.58  FORCE.] Of this appropriation, $45,000 
  6.59  in fiscal year 2001 is for the 
  6.60  commissioner to provide technical 
  6.61  assistance to the day training and 
  7.1   habilitation task force established 
  7.2   under Laws 1999, chapter 152. 
  7.3   [DAY SERVICES PROGRAMS.] The 
  7.4   commissioners of human services, 
  7.5   revenue, and finance, in consultation 
  7.6   with representatives of interested 
  7.7   groups, including family members, 
  7.8   advocacy organizations, counties, 
  7.9   service providers, and others, shall 
  7.10  develop specific legislative 
  7.11  recommendations on the transfer from 
  7.12  county funds to the state general fund 
  7.13  for the responsibility for funding day 
  7.14  training and habilitation services 
  7.15  under Minnesota Statutes, section 
  7.16  252.41, including a proposal for a home 
  7.17  and community-based waiver for day 
  7.18  services programs.  The recommendation 
  7.19  shall include estimated cost of the 
  7.20  nonfederal share of medical assistance 
  7.21  day services.  The recommendations, 
  7.22  including cost estimates, shall be 
  7.23  provided to the chairs of the house 
  7.24  health and human services policy and 
  7.25  finance committees and the senate 
  7.26  health and family security committee 
  7.27  and budget division by January 1, 2001. 
  7.28  Subd. 7.  Economic Support Grants
  7.29     (23,491,000)   (47,064,000)                
  7.30  The amounts that may be spent from this 
  7.31  appropriation for each purpose are as 
  7.32  follows: 
  7.33  [FEDERAL TANF FUNDS.] (1)  In addition 
  7.34  to the Federal Temporary Assistance for 
  7.35  Needy Families (TANF) block grant funds 
  7.36  appropriated to the commissioner of 
  7.37  human services in Laws 1999, chapter 
  7.38  245, article 1, section 2, subdivision 
  7.39  10, federal TANF funds awarded in 
  7.40  federal fiscal years 1999 to 2002 are 
  7.41  appropriated to the commissioner in 
  7.42  amounts up to $34,000,000 in fiscal 
  7.43  year 2000 and $56,587,000 in fiscal 
  7.44  year 2001.  In addition to these funds, 
  7.45  the commissioner may draw or transfer 
  7.46  any other appropriations of federal 
  7.47  TANF funds or transfers of federal TANF 
  7.48  funds that are enacted into state law. 
  7.49  (2) Of the amounts in clause (1), 
  7.50  $4,950,000 is transferred in fiscal 
  7.51  year 2001 to the state's federal Title 
  7.52  XX block grant.  Notwithstanding the 
  7.53  provisions of Minnesota Statutes, 
  7.54  section 256E.07, the commissioner shall 
  7.55  allocate $4,950,000 in fiscal year 2001 
  7.56  of the state's Title XX block grant 
  7.57  funds based on the community social 
  7.58  services formula in Minnesota Statutes, 
  7.59  section 256E.06.  The commissioner 
  7.60  shall ensure that money allocated to 
  7.61  counties under this provision is used 
  7.62  according to the requirements of United 
  7.63  States Code, title 42, section 
  7.64  604(d)(3)(B).  Notwithstanding section 
  7.65  6, this clause expires June 30, 2002. 
  8.1   (3) Of the amounts in clause (1), 
  8.2   $11,200,000 in fiscal year 2001 is for 
  8.3   the local intervention grants program 
  8.4   under Minnesota Statutes, section 
  8.5   256J.625 and related grant programs and 
  8.6   shall be expended as follows: 
  8.7   (a) $500,000 in fiscal year 2001 is for 
  8.8   a grant to the Southeast Asian MFIP 
  8.9   services collaborative to replicate in 
  8.10  a second location an existing model of 
  8.11  an intensive intervention transitional 
  8.12  employment training project which 
  8.13  serves TANF-eligible recipients and 
  8.14  which moves refugee and immigrant 
  8.15  welfare recipients unto unsubsidized 
  8.16  employment and leads to economic 
  8.17  self-sufficiency.  This is a one-time 
  8.18  appropriation. 
  8.19  (b) $500,000 in fiscal year 2001 is for 
  8.20  nontraditional career assistance and 
  8.21  training programs under Minnesota 
  8.22  Statutes, section 256K.30, subdivision 
  8.23  4.  This is a one-time appropriation. 
  8.24  (c) $10,200,000 is for local 
  8.25  intervention grants for 
  8.26  self-sufficiency program under 
  8.27  Minnesota Statutes, section 256J.625.  
  8.28  For fiscal years 2002 and 2003 the 
  8.29  commissioner of finance shall ensure 
  8.30  that the base level funding for the 
  8.31  local intervention grants program is 
  8.32  $22,625,000 each year. 
  8.33  (4) Of the amounts in clause (1), 
  8.34  $320,000 in fiscal year 2001 is for 
  8.35  training job counselors about the MFIP 
  8.36  program.  For fiscal years 2002 and 
  8.37  2003 the commissioner of finance shall 
  8.38  ensure that the base level funding for 
  8.39  employment services includes $320,000 
  8.40  each year for this activity.  The 
  8.41  appropriations in this clause shall not 
  8.42  become part of the base for the 
  8.43  2004-2005 biennium. 
  8.44  (5) Of the amounts in clause (1), 
  8.45  $242,000 in fiscal year 2001 is for the 
  8.46  costs to county agencies from the 
  8.47  requirement for automatic fair hearings 
  8.48  under Minnesota Statutes, section 
  8.49  256J.40, subdivision 2. For fiscal 
  8.50  years 2002 and 2003 the commissioner of 
  8.51  finance shall ensure that the base 
  8.52  level funding for this activity is 
  8.53  $124,000 each year. 
  8.54  (6) Of the amounts in clause (1), 
  8.55  $1,000,000 in fiscal year 2001 is for 
  8.56  out-of-wedlock pregnancy prevention 
  8.57  funds to serve children in 
  8.58  TANF-eligible families under Minnesota 
  8.59  Statutes, section 256K.35. For fiscal 
  8.60  years 2002 and 2003 the commissioner of 
  8.61  finance shall ensure that the base 
  8.62  level funding for this program is 
  8.63  $1,000,000 each year.  The 
  8.64  appropriations in this clause shall not 
  8.65  become part of the base for the 
  9.1   2004-2005 biennium. 
  9.2   (7) Of the amounts in clause (1), 
  9.3   $1,000,000 in fiscal year 2001 is to 
  9.4   provide services to TANF-eligible 
  9.5   families who are participating in the 
  9.6   supportive housing and managed care 
  9.7   pilot project under Minnesota Statutes, 
  9.8   section 256K.25.  For fiscal years 2002 
  9.9   and 2003 the commissioner of finance 
  9.10  shall ensure that the base level 
  9.11  funding for this project is $1,000,000 
  9.12  each year.  The appropriations in this 
  9.13  clause shall not become part of the 
  9.14  base for this project for the 2004-2005 
  9.15  biennium. 
  9.16  [REDUCTION OF CCDF TRANSFER AMOUNT.] 
  9.17  Notwithstanding any contrary provision 
  9.18  in Laws 1999, chapter 205, article 1, 
  9.19  section 72, the amount of federal TANF 
  9.20  block grant funds that is transferred 
  9.21  in fiscal year 2001 to the state's 
  9.22  federal child care and development 
  9.23  block grant and appropriated to the 
  9.24  commissioner of children, families and 
  9.25  learning for the purposes of Minnesota 
  9.26  Statutes, section 119B.05, under the 
  9.27  provision in Laws 1999, chapter 245, 
  9.28  article 1, section 2, subdivision 10 
  9.29  relating to federal TANF funds, is 
  9.30  reduced by $121,000 for fiscal year 
  9.31  2001. 
  9.32  [TANF TO TITLE XX TRANSFER.] Of the 
  9.33  federal TANF block grant funds awarded 
  9.34  in federal fiscal years 2000 and 2003 
  9.35  and appropriated for state fiscal years 
  9.36  2002 and 2003, $10,000,000 shall be 
  9.37  transferred to the state's federal 
  9.38  Title XX block grant each year for 
  9.39  fiscal years 2002 and 2003.  
  9.40  Notwithstanding the provisions of 
  9.41  Minnesota Statutes, section 256E.07, 
  9.42  the commissioner shall allocate these 
  9.43  funds based on the community social 
  9.44  services formula in Minnesota Statutes, 
  9.45  section 256E.06.  The commissioner 
  9.46  shall ensure that money allocated to 
  9.47  counties under this provision is used 
  9.48  according to the requirements of United 
  9.49  States Code, title 42, section 
  9.50  604(d)(3)(B).  Notwithstanding section 
  9.51  6, this clause expires June 30, 2003. 
  9.52  [TANF MOE EXPENDITURES CLAIMED.] (a) 
  9.53  For fiscal years 2000 to 2003, the 
  9.54  commissioner shall claim allowable 
  9.55  state expenditures from the working 
  9.56  family credit under Minnesota Statutes, 
  9.57  section 290.0671, as TANF maintenance 
  9.58  of effort in amounts up to $71,000,000 
  9.59  for the 2000-2001 biennium and up to 
  9.60  $64,000,000 for the 2002-2003 
  9.61  biennium.  This paragraph expires June 
  9.62  30, 2003. 
  9.63  (b) For fiscal year 2001, the 
  9.64  commissioner shall claim allowable 
  9.65  state expenditures for family 
  9.66  preservation services under Minnesota 
 10.1   Statutes, chapter 256F, as TANF 
 10.2   maintenance of effort in amounts equal 
 10.3   to the state share of the amounts 
 10.4   passed through to custodial parents 
 10.5   under Minnesota Statutes, section 
 10.6   256.741, subdivision 15. 
 10.7   (c) For fiscal years 2002 and 2003, the 
 10.8   commissioner shall claim allowable 
 10.9   state expenditures for family 
 10.10  preservation services under Minnesota 
 10.11  Statutes, chapter 256F, as TANF 
 10.12  maintenance of effort in amounts equal 
 10.13  to the state share of the amounts 
 10.14  distributed to individuals under 
 10.15  Minnesota Statutes, section 256.741, 
 10.16  subdivision 15.  This paragraph expires 
 10.17  June 30, 2003. 
 10.18  (a) Assistance to Families Grants
 10.19     (24,372,000)   (43,200,000)                
 10.20  (b) Work Grants
 10.21          -0-          (250,000)
 10.22  (c) General Assistance
 10.23          557,000    (3,937,000)
 10.24  (d) Minnesota Supplemental Aid
 10.25          324,000       323,000 
 10.26  Subd. 8.  Economic Support  
 10.27  Management
 10.28  General Fund            -0-           127,000
 10.29  Sec. 3.  COMMISSIONER OF HEALTH 
 10.30  Subdivision 1.  Total 
 10.31  Appropriation                            -0-            797,000
 10.32                Summary by Fund
 10.33  General                 -0-           797,000
 10.34  This appropriation is added to the 
 10.35  appropriation in Laws 1999, chapter 
 10.36  245, article 1, section 3. 
 10.37  The amounts that may be spent from this 
 10.38  appropriation for each program are 
 10.39  specified in the following subdivisions.
 10.40  Subd. 2.  Health Systems
 10.41  and Special Populations                  -0-            797,000
 10.42                Summary by Fund
 10.43  General                 -0-           797,000
 10.44  [POISON INFORMATION CENTERS.] Of this 
 10.45  appropriation, $540,000 in fiscal year 
 10.46  2001 is for Minnesota Poison 
 10.47  Information Centers under Minnesota 
 10.48  Statutes, section 145.93.  This is a 
 10.49  one-time appropriation.  The 
 10.50  commissioner may use funds available 
 11.1   through the federal preventive health 
 11.2   services block grant to provide 
 11.3   additional funding for the poison 
 11.4   control system. 
 11.5   [BASE LEVEL REDUCTION.] For fiscal 
 11.6   years 2002 and 2003, the base level 
 11.7   appropriation for Minnesota poison 
 11.8   information centers under Minnesota 
 11.9   Statutes, section 145.93 shall be 
 11.10  reduced by $380,000 each year.  Section 
 11.11  6, sunset of uncodified language, does 
 11.12  not apply to this provision. 
 11.13  [FUNERAL AND PRENEED COMPLAINT 
 11.14  RESPONSES.] (a) Of this appropriation, 
 11.15  $90,000 in fiscal year 2001 is to the 
 11.16  commissioner for the purposes of 
 11.17  responding to complaints as required 
 11.18  under Minnesota Statutes, chapter 
 11.19  149A.  To the extent that resources are 
 11.20  available, the commissioner shall also 
 11.21  provide information and technical 
 11.22  assistance to the organizations 
 11.23  regulated under that chapter.  This 
 11.24  appropriation shall not become part of 
 11.25  base level funding for the 2002-2003 
 11.26  biennium. 
 11.27  (b) The commissioner shall make 
 11.28  recommendations by January 15, 2001, to 
 11.29  the chairs of the senate health and 
 11.30  family security budget division and the 
 11.31  house health and human services finance 
 11.32  committee on whether there is a need 
 11.33  for additional funding for ongoing 
 11.34  implementation of the regulatory 
 11.35  provisions of Minnesota Statutes, 
 11.36  chapter 149A, and if so, proposals for 
 11.37  an alternative funding source to the 
 11.38  general fund. 
 11.39  [RELIGIOUS AND CULTURAL CONTINUING 
 11.40  EDUCATION FOR MEDICAL EXAMINERS AND 
 11.41  CORONERS.] Notwithstanding Laws 1999, 
 11.42  chapter 245, article 1, section 3, 
 11.43  subdivision 2, monies appropriated 
 11.44  under that law for a grant to conduct 
 11.45  case studies and to disseminate 
 11.46  guidelines for autopsy practice in 
 11.47  special cases may also be used to 
 11.48  develop continuing education sessions 
 11.49  and study materials for purposes of 
 11.50  Minnesota Statutes, section 383B.225, 
 11.51  subdivision 2, paragraph (f), section 
 11.52  390.005, subdivision 3, paragraph (b), 
 11.53  and section 390.33, subdivision 1, 
 11.54  paragraph (b). 
 11.55  Sec. 4.  HEALTH-RELATED BOARDS 
 11.56  Subdivision 1.  Total       
 11.57  Appropriation                            150,000          -0-   
 11.58  This appropriation is added to the 
 11.59  appropriation in Laws 1999, chapter 
 11.60  205, article 1, section 5. 
 11.61  [STATE GOVERNMENT SPECIAL REVENUE 
 11.62  FUND.] The appropriation in this 
 11.63  section is from the state government 
 12.1   special revenue fund. 
 12.2   [NO SPENDING IN EXCESS OF REVENUES.] 
 12.3   The commissioner of finance shall not 
 12.4   permit the allotment, encumbrance, or 
 12.5   expenditure of money appropriated in 
 12.6   this section in excess of the 
 12.7   anticipated biennial revenues or 
 12.8   accumulated surplus revenues from fees 
 12.9   collected by the boards.  Neither this 
 12.10  provision nor Minnesota Statutes, 
 12.11  section 214.06, applies to transfers 
 12.12  from the general contingent account. 
 12.13  Subd. 2.  Board of Psychology            150,000        -0-
 12.14  This is a one-time appropriation to the 
 12.15  board for extraordinary legal costs. 
 12.16  Sec. 5.  CARRYOVER LIMITATION 
 12.17  None of the appropriations in articles 
 12.18  1 to 7 which are allowed to be carried 
 12.19  forward from fiscal year 2000 to fiscal 
 12.20  year 2001 shall become part of the base 
 12.21  level funding for the 2002-2003 
 12.22  biennial budget, unless specifically 
 12.23  directed by the legislature. 
 12.24  Sec. 6.  SUNSET OF UNCODIFIED LANGUAGE 
 12.25  All uncodified language contained in 
 12.26  this article expires on June 30, 2001, 
 12.27  unless a different expiration date is 
 12.28  explicit. 
 12.29     Sec. 7.  Laws 1999, chapter 245, article 1, section 2, 
 12.30  subdivision 3, is amended to read: 
 12.31  Subd. 3.  Children's Grants
 12.32  General              52,845,000    54,931,000
 12.33  [ADOPTION ASSISTANCE.] Federal funds 
 12.34  available during the biennium ending 
 12.35  June 30, 2001, for adoption incentive 
 12.36  grants, adoption and foster care 
 12.37  recruitment, and other adoption 
 12.38  services, are appropriated to the 
 12.39  commissioner for these purposes the 
 12.40  adoption assistance program under 
 12.41  Minnesota Statutes, section 259.67. 
 12.42     Sec. 8.  [EFFECTIVE DATE.] 
 12.43     The appropriations and reductions for fiscal year 2000 in 
 12.44  this article are effective the day following final enactment. 
 12.45                             ARTICLE 2 
 12.46                            HEALTH CARE 
 12.47     Section 1.  Minnesota Statutes 1999 Supplement, section 
 12.48  62J.694, subdivision 2, is amended to read: 
 12.49     Subd. 2.  [EXPENDITURES.] (a) Earnings of the fund, up to 
 12.50  five percent of the fair market value of the fund, are 
 13.1   appropriated for medical education activities in the state of 
 13.2   Minnesota, and for research on type 1 diabetes.  The 
 13.3   appropriations are to be transferred quarterly for the purposes 
 13.4   identified in the following paragraphs.  Actual appropriations 
 13.5   are not to exceed actual earnings. 
 13.6      (b) For fiscal year 2000, 70 percent of the appropriation 
 13.7   in paragraph (a) is for transfer to the board of regents for the 
 13.8   instructional costs of health professional programs at the 
 13.9   academic health center and affiliated teaching institutions, and 
 13.10  30 percent of the appropriation is for transfer to the 
 13.11  commissioner of health to be distributed for medical education 
 13.12  under section 62J.692.  
 13.13     (c) For fiscal year 2001, 49 percent of the appropriation 
 13.14  in paragraph (a) is for transfer to the board of regents for the 
 13.15  instructional costs of health professional programs at the 
 13.16  academic health center and affiliated teaching institutions, and 
 13.17  51 percent is for transfer to the commissioner of health to be 
 13.18  distributed for medical education under section 62J.692. 
 13.19     (d) For fiscal year 2002, and each year thereafter, 42 
 13.20  percent of the appropriation in paragraph (a) may be 
 13.21  appropriated by another law for the instructional costs of 
 13.22  health professional programs at publicly funded academic health 
 13.23  centers and affiliated teaching institutions, and 58 percent is 
 13.24  for transfer to the commissioner of health to be distributed for 
 13.25  medical education under section 62J.692. 
 13.26     (e) A maximum of $150,000 of each annual appropriation to 
 13.27  the commissioner of health in paragraph (d) may be used by the 
 13.28  commissioner for administrative expenses associated with 
 13.29  implementing section 62J.692. 
 13.30     (f) On July 1, 2000, the commissioner shall distribute 
 13.31  $5,000,000 of the annual appropriation under paragraph (c) as a 
 13.32  grant to the board of regents of the University of Minnesota to 
 13.33  fund type 1 diabetes research according to section 30.  The 
 13.34  grant funds under this paragraph are available to the board of 
 13.35  regents only if the funds are used to supplement and not 
 13.36  supplant existing funding from the board of regents for the 
 14.1   diabetes institute for immunology and transplantation.  This 
 14.2   appropriation must occur before any appropriation under 
 14.3   paragraph (c).  No portion of this appropriation may be used by 
 14.4   the commissioner for administrative expenses associated with 
 14.5   implementing this section. 
 14.6      (g) On July 1, 2001, the commissioner shall distribute 
 14.7   $5,000,000 of the portion of the annual appropriation under 
 14.8   paragraph (d) as a grant to the board of regents of the 
 14.9   University of Minnesota to fund type 1 diabetes research 
 14.10  according to section 32.  The grant funds under this paragraph 
 14.11  are available to the board of regents only if the funds are used 
 14.12  to supplement and not supplant existing funding from the board 
 14.13  of regents for the diabetes institute for immunology and 
 14.14  transplantation.  This appropriation must occur before any 
 14.15  appropriation under paragraph (d).  No portion of this 
 14.16  appropriation may be used by the commissioner for administrative 
 14.17  expenses associated with implementing this section. 
 14.18     Sec. 2.  Minnesota Statutes 1998, section 121A.15, 
 14.19  subdivision 4, is amended to read: 
 14.20     Subd. 4.  [SUBSTITUTE IMMUNIZATION STATEMENT.] (a) A person 
 14.21  who is enrolling or enrolled in an elementary or secondary 
 14.22  school or child care facility may substitute a statement from 
 14.23  the emancipated person or a parent or guardian if the person is 
 14.24  a minor child in lieu of the statement from a physician or 
 14.25  public clinic which provides immunizations.  If the statement is 
 14.26  from a parent or guardian or emancipated person, the statement 
 14.27  must indicate the month and year of each immunization given. 
 14.28     (b) In order for the statement to be acceptable for a 
 14.29  person who is enrolling in an elementary school and who is six 
 14.30  years of age or younger, it must indicate that the following was 
 14.31  given:  no less than one dose of vaccine each for measles, 
 14.32  mumps, and rubella given separately or in combination; no less 
 14.33  than four doses of vaccine for poliomyelitis, unless the third 
 14.34  dose was given after the fourth birthday, then three doses are 
 14.35  minimum; no less than five doses of vaccine for diphtheria, 
 14.36  tetanus, and pertussis, unless the fourth dose was given after 
 15.1   the fourth birthday, then four doses are minimum; and no less 
 15.2   than three doses of vaccine for hepatitis B.  
 15.3      (c) In order for the statement to be consistent with 
 15.4   subdivision 10 and acceptable for a person who is enrolling in 
 15.5   an elementary or secondary school and is age seven through age 
 15.6   19, the statement must indicate that the person has received no 
 15.7   less than one dose of vaccine each for measles, mumps, and 
 15.8   rubella given separately or in combination, and no less than 
 15.9   three doses of vaccine for poliomyelitis, diphtheria, tetanus, 
 15.10  and hepatitis B.  
 15.11     (d) In order for the statement to be acceptable for a 
 15.12  person who is enrolling in a secondary school, and who was born 
 15.13  after 1956 and is 20 years of age or older, the statement must 
 15.14  indicate that the person has received no less than one dose of 
 15.15  vaccine each for measles, mumps, and rubella given separately or 
 15.16  in combination, and no less than one dose of vaccine for 
 15.17  diphtheria and tetanus within the preceding ten years. 
 15.18     (e) In order for the statement to be acceptable for a 
 15.19  person who is enrolling in a child care facility and who is at 
 15.20  least 15 months old but who has not reached five years of age, 
 15.21  it must indicate that the following were given:  no less than 
 15.22  one dose of vaccine each for measles, mumps, and rubella given 
 15.23  separately or in combination; no less than one dose of vaccine 
 15.24  for haemophilus influenza type b given at or after the first 
 15.25  birthday; no less than four doses of vaccine for diphtheria, 
 15.26  tetanus, and pertussis; and no less than three doses of vaccine 
 15.27  for poliomyelitis. 
 15.28     (f) In order for the statement to be acceptable for a 
 15.29  person who is enrolling in a child care facility and who is five 
 15.30  or six years of age, it must indicate that the following was 
 15.31  given:  no less than one dose of vaccine each for measles, 
 15.32  mumps, and rubella given separately or in combination; no less 
 15.33  than four doses of vaccine for diphtheria, tetanus, and 
 15.34  pertussis; and no less than three doses of vaccine for 
 15.35  poliomyelitis. 
 15.36     (g) In order for the statement to be acceptable for a 
 16.1   person who is enrolling in a child care facility and who is 
 16.2   seven years of age or older, the statement must indicate that 
 16.3   the person has received no less than one dose of vaccine each 
 16.4   for measles, mumps, and rubella given separately or in 
 16.5   combination and consistent with subdivision 10, and no less than 
 16.6   three doses of vaccine for poliomyelitis, diphtheria, and 
 16.7   tetanus.  
 16.8      (h) The commissioner of health, on finding that any of the 
 16.9   above requirements are not necessary to protect the public's 
 16.10  health, may suspend for one year that requirement.  
 16.11     Sec. 3.  Minnesota Statutes 1998, section 121A.15, 
 16.12  subdivision 10, is amended to read: 
 16.13     Subd. 10.  [REQUIREMENTS FOR IMMUNIZATION STATEMENTS.] (a) 
 16.14  A statement required to be submitted under subdivisions 1, 2, 
 16.15  and 4 to document evidence of immunization shall include month, 
 16.16  day, and year for immunizations administered after January 1, 
 16.17  1990.  
 16.18     (a) For persons enrolled in grades 7 and 12 during the 
 16.19  1996-1997 school term, the statement must indicate that the 
 16.20  person has received a dose of tetanus and diphtheria toxoid no 
 16.21  earlier than 11 years of age. 
 16.22     (b) Except as specified in paragraph (e), for persons 
 16.23  enrolled in grades 7, 8, and 12 during the 1997-1998 school 
 16.24  term, the statement must indicate that the person has received a 
 16.25  dose of tetanus and diphtheria toxoid no earlier than 11 years 
 16.26  of age.  
 16.27     (c) (b) Except as specified in paragraph (e) (d), for 
 16.28  persons enrolled in grades 7 through 12 during the 1998-1999 
 16.29  school term and for each year thereafter, the statement must 
 16.30  indicate that the person has received a dose of tetanus and 
 16.31  diphtheria toxoid no earlier than 11 years of age.  
 16.32     (d) (c) For persons enrolled in grades 7 through 12 during 
 16.33  the 1996-1997 school year and for each year thereafter, the 
 16.34  statement must indicate that the person has received at least 
 16.35  two doses of vaccine against measles, mumps, and rubella, given 
 16.36  alone or separately and given not less than one month 
 17.1   apart.  Beginning with the 2001-2002 school year, persons 
 17.2   entering kindergarten must also meet this requirement. 
 17.3      (e) (d) A person who has received at least three doses of 
 17.4   tetanus and diphtheria toxoids, with the most recent dose given 
 17.5   after age six and before age 11, is not required to have 
 17.6   additional immunization against diphtheria and tetanus until ten 
 17.7   years have elapsed from the person's most recent dose of tetanus 
 17.8   and diphtheria toxoid. 
 17.9      (f) (e) The requirement for hepatitis B vaccination shall 
 17.10  apply to persons enrolling in kindergarten beginning with the 
 17.11  2000-2001 school term. 
 17.12     (g) (f) The requirement for hepatitis B vaccination shall 
 17.13  apply to persons enrolling in grade 7 beginning with the 
 17.14  2001-2002 school term. 
 17.15     Sec. 4.  Minnesota Statutes 1998, section 144.551, 
 17.16  subdivision 1, is amended to read: 
 17.17     Subdivision 1.  [RESTRICTED CONSTRUCTION OR MODIFICATION.] 
 17.18  (a) The following construction or modification may not be 
 17.19  commenced:  
 17.20     (1) any erection, building, alteration, reconstruction, 
 17.21  modernization, improvement, extension, lease, or other 
 17.22  acquisition by or on behalf of a hospital that increases the bed 
 17.23  capacity of a hospital, relocates hospital beds from one 
 17.24  physical facility, complex, or site to another, or otherwise 
 17.25  results in an increase or redistribution of hospital beds within 
 17.26  the state; and 
 17.27     (2) the establishment of a new hospital.  
 17.28     (b) This section does not apply to:  
 17.29     (1) construction or relocation within a county by a 
 17.30  hospital, clinic, or other health care facility that is a 
 17.31  national referral center engaged in substantial programs of 
 17.32  patient care, medical research, and medical education meeting 
 17.33  state and national needs that receives more than 40 percent of 
 17.34  its patients from outside the state of Minnesota; 
 17.35     (2) a project for construction or modification for which a 
 17.36  health care facility held an approved certificate of need on May 
 18.1   1, 1984, regardless of the date of expiration of the 
 18.2   certificate; 
 18.3      (3) a project for which a certificate of need was denied 
 18.4   before July 1, 1990, if a timely appeal results in an order 
 18.5   reversing the denial; 
 18.6      (4) a project exempted from certificate of need 
 18.7   requirements by Laws 1981, chapter 200, section 2; 
 18.8      (5) a project involving consolidation of pediatric 
 18.9   specialty hospital services within the Minneapolis-St. Paul 
 18.10  metropolitan area that would not result in a net increase in the 
 18.11  number of pediatric specialty hospital beds among the hospitals 
 18.12  being consolidated; 
 18.13     (6) a project involving the temporary relocation of 
 18.14  pediatric-orthopedic hospital beds to an existing licensed 
 18.15  hospital that will allow for the reconstruction of a new 
 18.16  philanthropic, pediatric-orthopedic hospital on an existing site 
 18.17  and that will not result in a net increase in the number of 
 18.18  hospital beds.  Upon completion of the reconstruction, the 
 18.19  licenses of both hospitals must be reinstated at the capacity 
 18.20  that existed on each site before the relocation; 
 18.21     (7) the relocation or redistribution of hospital beds 
 18.22  within a hospital building or identifiable complex of buildings 
 18.23  provided the relocation or redistribution does not result in: 
 18.24  (i) an increase in the overall bed capacity at that site; (ii) 
 18.25  relocation of hospital beds from one physical site or complex to 
 18.26  another; or (iii) redistribution of hospital beds within the 
 18.27  state or a region of the state; 
 18.28     (8) relocation or redistribution of hospital beds within a 
 18.29  hospital corporate system that involves the transfer of beds 
 18.30  from a closed facility site or complex to an existing site or 
 18.31  complex provided that:  (i) no more than 50 percent of the 
 18.32  capacity of the closed facility is transferred; (ii) the 
 18.33  capacity of the site or complex to which the beds are 
 18.34  transferred does not increase by more than 50 percent; (iii) the 
 18.35  beds are not transferred outside of a federal health systems 
 18.36  agency boundary in place on July 1, 1983; and (iv) the 
 19.1   relocation or redistribution does not involve the construction 
 19.2   of a new hospital building; 
 19.3      (9) a construction project involving up to 35 new beds in a 
 19.4   psychiatric hospital in Rice county that primarily serves 
 19.5   adolescents and that receives more than 70 percent of its 
 19.6   patients from outside the state of Minnesota; 
 19.7      (10) a project to replace a hospital or hospitals with a 
 19.8   combined licensed capacity of 130 beds or less if:  (i) the new 
 19.9   hospital site is located within five miles of the current site; 
 19.10  and (ii) the total licensed capacity of the replacement 
 19.11  hospital, either at the time of construction of the initial 
 19.12  building or as the result of future expansion, will not exceed 
 19.13  70 licensed hospital beds, or the combined licensed capacity of 
 19.14  the hospitals, whichever is less; 
 19.15     (11) the relocation of licensed hospital beds from an 
 19.16  existing state facility operated by the commissioner of human 
 19.17  services to a new or existing facility, building, or complex 
 19.18  operated by the commissioner of human services; from one 
 19.19  regional treatment center site to another; or from one building 
 19.20  or site to a new or existing building or site on the same 
 19.21  campus; or 
 19.22     (12) the construction or relocation of hospital beds 
 19.23  operated by a hospital having a statutory obligation to provide 
 19.24  hospital and medical services for the indigent that does not 
 19.25  result in a net increase in the number of hospital beds; or 
 19.26     (13) a construction project involving the addition of up to 
 19.27  31 new beds in an existing nonfederal hospital in Beltrami 
 19.28  county. 
 19.29     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
 19.30  144A.04, subdivision 5, is amended to read: 
 19.31     Subd. 5.  [ADMINISTRATORS.] Except as otherwise provided by 
 19.32  this subdivision, a nursing home must have a full time licensed 
 19.33  nursing home administrator serving the facility.  
 19.34  Notwithstanding sections 144A.18 to 144A.27, in any nursing home 
 19.35  of less than 32 37 beds, the director of nursing services may 
 19.36  also serve as the licensed nursing home administrator without 
 20.1   being licensed as a nursing home administrator, provided the 
 20.2   director of nursing services has passed the state law and rules 
 20.3   examination administered by the board of examiners for nursing 
 20.4   home administrators and maintains evidence of completion of 20 
 20.5   hours of continuing education each year on topics pertinent to 
 20.6   nursing home administration.  Two nursing homes under common 
 20.7   ownership or management pursuant to a lease or management 
 20.8   contract having a total of 150 beds or less and located within 
 20.9   75 miles of each other may share the services of a licensed 
 20.10  administrator if the administrator divides the full-time work 
 20.11  week between the two facilities in proportion to the number of 
 20.12  beds in each facility.  Every nursing home shall have a 
 20.13  person-in-charge on the premises at all times in the absence of 
 20.14  the licensed administrator.  The name of the person in charge 
 20.15  must be posted in a conspicuous place in the facility.  The 
 20.16  commissioner of health shall by rule promulgate minimum 
 20.17  education and experience requirements for persons-in-charge, and 
 20.18  may promulgate rules specifying the times of day during which a 
 20.19  licensed administrator must be on the nursing home's premises.  
 20.20  In the absence of rules adopted by the commissioner governing 
 20.21  the division of an administrator's time between two nursing 
 20.22  homes, the administrator shall designate and post the times the 
 20.23  administrator will be on site in each home on a regular basis.  
 20.24  A nursing home may employ as its administrator the administrator 
 20.25  of a hospital licensed pursuant to sections 144.50 to 144.56 if 
 20.26  the individual is licensed as a nursing home administrator 
 20.27  pursuant to section 144A.20 and the nursing home and hospital 
 20.28  have a combined total of 150 beds or less and are located within 
 20.29  one mile of each other.  A nonproprietary retirement home having 
 20.30  fewer than 15 licensed nursing home beds may share the services 
 20.31  of a licensed administrator with a nonproprietary nursing home, 
 20.32  having fewer than 150 licensed nursing home beds, that is 
 20.33  located within 25 miles of the retirement home.  A nursing home 
 20.34  which is located in a facility licensed as a hospital pursuant 
 20.35  to sections 144.50 to 144.56, may employ as its administrator 
 20.36  the administrator of the hospital if the individual meets 
 21.1   minimum education and long term care experience criteria set by 
 21.2   rule of the commissioner of health. 
 21.3      Sec. 6.  Minnesota Statutes 1998, section 144A.071, is 
 21.4   amended by adding a subdivision to read: 
 21.5      Subd. 4b.  [LICENSED BEDS ON LAYAWAY STATUS.] A licensed 
 21.6   and certified nursing facility may lay away, upon prior written 
 21.7   notice to the commissioners of health and human services, 
 21.8   licensed and certified beds.  Notice to the commissioners shall 
 21.9   be given 60 days prior to the effective date of the layaway.  
 21.10  Beds on layaway shall have the same status as voluntarily 
 21.11  delicensed and decertified beds and shall not be subject to 
 21.12  license fees and license surcharge fees.  In addition, beds on 
 21.13  layaway status may be relicensed and recertified at any time on 
 21.14  or after one year after the effective date of layaway in the 
 21.15  facility of origin, with a 60-day notice to the commissioner of 
 21.16  health.  A nursing facility that relicenses and recertifies beds 
 21.17  placed on layaway may not place beds on layaway status for one 
 21.18  year after the effective date of the relicensure and 
 21.19  recertification.  Beds may remain on layaway status for up to 
 21.20  five years. 
 21.21     Sec. 7.  [145.4241] [DEFINITIONS.] 
 21.22     Subdivision 1.  [APPLICABILITY.] As used in sections 
 21.23  145.4241 to 145.4246, the following terms have the meaning given 
 21.24  them. 
 21.25     Subd. 2.  [ABORTION.] "Abortion" means the use or 
 21.26  prescription of any instrument, medicine, drug, or any other 
 21.27  substance or device to intentionally terminate the pregnancy of 
 21.28  a female known to be pregnant, with an intention other than to 
 21.29  increase the probability of a live birth, to preserve the life 
 21.30  or health of the child after live birth, or to remove a dead 
 21.31  fetus.  
 21.32     Subd. 3.  [ATTEMPT TO PERFORM AN ABORTION.] "Attempt to 
 21.33  perform an abortion" means an act, or an omission of a 
 21.34  statutorily required act, that, under the circumstances as the 
 21.35  actor believes them to be, constitutes a substantial step in a 
 21.36  course of conduct planned to culminate in the performance of an 
 22.1   abortion in Minnesota in violation of sections 145.4241 to 
 22.2   145.4246. 
 22.3      Subd. 4.  [MEDICAL EMERGENCY.] "Medical emergency" means 
 22.4   any condition that, on the basis of the physician's good faith 
 22.5   clinical judgment, complicates the medical condition of a 
 22.6   pregnant female to the extent that: 
 22.7      (1) an immediate abortion of her pregnancy is necessary to 
 22.8   avert her death; or 
 22.9      (2) a 24-hour delay in performing an abortion creates a 
 22.10  serious risk of substantial and irreversible impairment of a 
 22.11  major bodily function.  
 22.12     Subd. 5.  [PHYSICIAN.] "Physician" means a person licensed 
 22.13  under chapter 147. 
 22.14     Subd. 6.  [PROBABLE GESTATIONAL AGE OF THE UNBORN 
 22.15  CHILD.] "Probable gestational age of the unborn child" means 
 22.16  what will, in the judgment of the physician, with reasonable 
 22.17  probability, be the gestational age of the unborn child at the 
 22.18  time the abortion is planned to be performed. 
 22.19     Sec. 8.  [145.4242] [INFORMED CONSENT.] 
 22.20     No abortion shall be performed in this state except with 
 22.21  the voluntary and informed consent of the female upon whom the 
 22.22  abortion is to be performed.  Except in the case of a medical 
 22.23  emergency, consent to an abortion is voluntary and informed only 
 22.24  if: 
 22.25     (1) the female is told the following, by telephone or in 
 22.26  person, by the physician who is to perform the abortion or by a 
 22.27  referring physician, at least 24 hours before the abortion: 
 22.28     (i) the name of the physician who will perform the 
 22.29  abortion; 
 22.30     (ii) the particular medical risks associated with the 
 22.31  particular abortion procedure to be employed including, when 
 22.32  medically accurate, the risks of infection, hemorrhage, breast 
 22.33  cancer, danger to subsequent pregnancies, and infertility; 
 22.34     (iii) the probable gestational age of the unborn child at 
 22.35  the time the abortion is to be performed; and 
 22.36     (iv) the medical risks associated with carrying her child 
 23.1   to term. 
 23.2      The information required by this clause may be provided by 
 23.3   telephone without conducting a physical examination or tests of 
 23.4   the patient, in which case the information required to be 
 23.5   provided may be based on facts supplied the physician by the 
 23.6   female and whatever other relevant information is reasonably 
 23.7   available to the physician.  It may not be provided by a tape 
 23.8   recording, but must be provided during a consultation in which 
 23.9   the physician is able to ask questions of the female and the 
 23.10  female is able to ask questions of the physician.  If a physical 
 23.11  examination, tests, or the availability of other information to 
 23.12  the physician subsequently indicate, in the medical judgment of 
 23.13  the physician, a revision of the information previously supplied 
 23.14  to the patient, that revised information may be communicated to 
 23.15  the patient at any time prior to the performance of the 
 23.16  abortion.  Nothing in this section may be construed to preclude 
 23.17  provision of required information in a language understood by 
 23.18  the patient through a translator; 
 23.19     (2) the female is informed, by telephone or in person, by 
 23.20  the physician who is to perform the abortion, by a referring 
 23.21  physician, or by an agent of either physician at least 24 hours 
 23.22  before the abortion: 
 23.23     (i) that medical assistance benefits may be available for 
 23.24  prenatal care, childbirth, and neonatal care; 
 23.25     (ii) that the father is liable to assist in the support of 
 23.26  her child, even in instances when the father has offered to pay 
 23.27  for the abortion; and 
 23.28     (iii) that she has the right to review the printed 
 23.29  materials described in section 145.4243.  The physician or the 
 23.30  physician's agent shall orally inform the female that the 
 23.31  materials have been provided by the state of Minnesota and that 
 23.32  they describe the unborn child and list agencies that offer 
 23.33  alternatives to abortion.  If the female chooses to view the 
 23.34  materials, they shall either be given to her at least 24 hours 
 23.35  before the abortion or mailed to her at least 72 hours before 
 23.36  the abortion by certified mail, restricted delivery to 
 24.1   addressee, which means the postal employee can only deliver the 
 24.2   mail to the addressee.  
 24.3      The information required by this clause may be provided by 
 24.4   a tape recording if provision is made to record or otherwise 
 24.5   register specifically whether the female does or does not choose 
 24.6   to review the printed materials; 
 24.7      (3) the female certifies in writing, prior to the abortion, 
 24.8   that the information described in this section has been 
 24.9   furnished her, and that she has been informed of her opportunity 
 24.10  to review the information referred to in clause (2); and 
 24.11     (4) prior to the performance of the abortion, the physician 
 24.12  who is to perform the abortion or the physician's agent receives 
 24.13  a copy of the written certification prescribed by clause (3). 
 24.14     Sec. 9.  [145.4243] [PRINTED INFORMATION.] 
 24.15     (a) Within 90 days after the effective date of sections 
 24.16  145.4241 to 145.4246, the department of health shall cause to be 
 24.17  published, in English and in each language that is the primary 
 24.18  language of two percent or more of the state's population, the 
 24.19  following printed materials in such a way as to ensure that the 
 24.20  information is easily comprehensible: 
 24.21     (1) geographically indexed materials designed to inform the 
 24.22  female of public and private agencies and services available to 
 24.23  assist a female through pregnancy, upon childbirth, and while 
 24.24  the child is dependent, including adoption agencies, which shall 
 24.25  include a comprehensive list of the agencies available, a 
 24.26  description of the services they offer, and a description of the 
 24.27  manner, including telephone numbers, in which they might be 
 24.28  contacted or, at the option of the department of health, printed 
 24.29  materials including a toll-free, 24-hours-a-day telephone number 
 24.30  that may be called to obtain, orally, such a list and 
 24.31  description of agencies in the locality of the caller and of the 
 24.32  services they offer; and 
 24.33     (2) materials designed to inform the female of the probable 
 24.34  anatomical and physiological characteristics of the unborn child 
 24.35  at two-week gestational increments from the time when a female 
 24.36  can be known to be pregnant to full term, including any relevant 
 25.1   information on the possibility of the unborn child's survival 
 25.2   and pictures or drawings representing the development of unborn 
 25.3   children at two-week gestational increments, provided that any 
 25.4   such pictures or drawings must contain the dimensions of the 
 25.5   fetus and must be realistic and appropriate for the stage of 
 25.6   pregnancy depicted.  The materials shall be objective, 
 25.7   nonjudgmental, and designed to convey only accurate scientific 
 25.8   information about the unborn child at the various gestational 
 25.9   ages.  The material shall also contain objective information 
 25.10  describing the methods of abortion procedures commonly employed, 
 25.11  the medical risks commonly associated with each procedure, the 
 25.12  possible detrimental psychological effects of abortion, the 
 25.13  medical risks commonly associated with each procedure, and the 
 25.14  medical risks commonly associated with carrying a child to term. 
 25.15     (b) The materials referred to in this section must be 
 25.16  printed in a typeface large enough to be clearly legible.  The 
 25.17  materials required under this section must be available at no 
 25.18  cost from the department of health upon request and in 
 25.19  appropriate number to any person, facility, or hospital.  
 25.20     Sec. 10.  [145.4244] [PROCEDURE IN CASE OF MEDICAL 
 25.21  EMERGENCY.] 
 25.22     When a medical emergency compels the performance of an 
 25.23  abortion, the physician shall inform the female, prior to the 
 25.24  abortion if possible, of the medical indications supporting the 
 25.25  physician's judgment that an abortion is necessary to avert her 
 25.26  death or that a 24-hour delay in conformance with section 
 25.27  145.4242 creates a serious risk of substantial and irreversible 
 25.28  impairment of a major bodily function. 
 25.29     Sec. 11.  [145.4245] [REMEDIES.] 
 25.30     Subdivision 1.  [CIVIL REMEDIES.] Any person upon whom an 
 25.31  abortion has been performed or the parent of a minor upon whom 
 25.32  an abortion has been performed may maintain an action against 
 25.33  the person who performed the abortion in knowing or reckless 
 25.34  violation of sections 145.4241 to 145.4246 for actual and 
 25.35  punitive damages.  Any person upon whom an abortion has been 
 25.36  attempted without complying with sections 145.4241 to 145.4246 
 26.1   may maintain an action against the person who attempted to 
 26.2   perform the abortion in knowing or reckless violation of 
 26.3   sections 145.4241 to 145.4246 for actual and punitive damages. 
 26.4      Subd. 2.  [ATTORNEY FEES.] If judgment is rendered in favor 
 26.5   of the plaintiff in any action described in this section, the 
 26.6   court shall also render judgment for a reasonable attorney's fee 
 26.7   in favor of the plaintiff against the defendant.  If judgment is 
 26.8   rendered in favor of the defendant and the court finds that the 
 26.9   plaintiff's suit was frivolous and brought in bad faith, the 
 26.10  court shall also render judgment for a reasonable attorney's fee 
 26.11  in favor of the defendant against the plaintiff. 
 26.12     Subd. 3.  [PROTECTION OF PRIVACY IN COURT PROCEEDINGS.] In 
 26.13  every civil action brought under sections 145.4241 to 145.4246, 
 26.14  the court shall rule whether the anonymity of any female upon 
 26.15  whom an abortion has been performed or attempted shall be 
 26.16  preserved from public disclosure if she does not give her 
 26.17  consent to such disclosure.  The court, upon motion or sua 
 26.18  sponte, shall make such a ruling and, upon determining that her 
 26.19  anonymity should be preserved, shall issue orders to the 
 26.20  parties, witnesses, and counsel and shall direct the sealing of 
 26.21  the record and exclusion of individuals from courtrooms or 
 26.22  hearing rooms to the extent necessary to safeguard her identity 
 26.23  from public disclosure.  Each order must be accompanied by 
 26.24  specific written findings explaining why the anonymity of the 
 26.25  female should be preserved from public disclosure, why the order 
 26.26  is essential to that end, how the order is narrowly tailored to 
 26.27  serve that interest, and why no reasonable, less restrictive 
 26.28  alternative exists.  In the absence of written consent of the 
 26.29  female upon whom an abortion has been performed or attempted, 
 26.30  anyone, other than a public official, who brings an action under 
 26.31  subdivision 1, shall do so under a pseudonym.  This section may 
 26.32  not be construed to conceal the identity of the plaintiff or of 
 26.33  witnesses from the defendant. 
 26.34     Sec. 12.  [145.4246] [SEVERABILITY.] 
 26.35     If any one or more provision, section, subsection, 
 26.36  sentence, clause, phrase, or word of sections 145.4241 to 
 27.1   145.4246 or the application thereof to any person or 
 27.2   circumstance is found to be unconstitutional, the same is hereby 
 27.3   declared to be severable and the balance of sections 145.4241 to 
 27.4   145.4246 shall remain effective notwithstanding such 
 27.5   unconstitutionality.  The legislature hereby declares that it 
 27.6   would have passed sections 145.4241 to 145.4246, and each 
 27.7   provision, section, subsection, sentence, clause, phrase, or 
 27.8   word thereof, irrespective of the fact that any one or more 
 27.9   provision, section, subsection, sentence, clause, phrase, or 
 27.10  word be declared unconstitutional. 
 27.11     Sec. 13.  [252.461] [ALTERNATIVE RATE-SETTING 
 27.12  METHODOLOGIES.] 
 27.13     (a) The commissioner may approve alternative rate-setting 
 27.14  methodologies for identified day training and habilitation 
 27.15  vendors recommended by the day training and habilitation task 
 27.16  force established under Laws 1999, chapter 152, that are 
 27.17  supported by all members of the task force.  Any alternative 
 27.18  rate-setting methodology approved under this section must sunset 
 27.19  upon implementation of the new statewide payments rate structure 
 27.20  recommended by the task force in its report to the legislature 
 27.21  on January 15, 2001. 
 27.22     (b) The commissioner may grant a variance to any of the 
 27.23  provisions in sections 252.451, subdivision 5; 252.46, except 
 27.24  subdivision 16; and Minnesota Rules, part 9525.1290, subpart 1, 
 27.25  items A and B, necessary to implement the alternative 
 27.26  rate-setting methodologies approved by the task force under 
 27.27  paragraph (a). 
 27.28     EFFECTIVE DATE:  This section is effective the day 
 27.29  following final enactment. 
 27.30     Sec. 14.  Minnesota Statutes 1998, section 254B.03, 
 27.31  subdivision 1, is amended to read: 
 27.32     Subdivision 1.  [LOCAL AGENCY DUTIES.] (a) Every local 
 27.33  agency shall provide chemical dependency services to persons 
 27.34  residing within its jurisdiction who meet criteria established 
 27.35  by the commissioner for placement in a chemical dependency 
 27.36  residential or nonresidential treatment service.  Chemical 
 28.1   dependency money must be administered by the local agencies 
 28.2   according to law and rules adopted by the commissioner under 
 28.3   sections 14.001 to 14.69. 
 28.4      (b) In order to contain costs, the county board shall, with 
 28.5   the approval of the commissioner of human services, select 
 28.6   eligible vendors of chemical dependency services who can provide 
 28.7   economical and appropriate treatment.  Unless the local agency 
 28.8   is a social services department directly administered by a 
 28.9   county or human services board, the local agency shall not be an 
 28.10  eligible vendor under section 254B.05.  The commissioner may 
 28.11  approve proposals from county boards to provide services in an 
 28.12  economical manner or to control utilization, with safeguards to 
 28.13  ensure that necessary services are provided.  If a county 
 28.14  implements a demonstration or experimental medical services 
 28.15  funding plan, the commissioner shall transfer the money as 
 28.16  appropriate.  If a county selects a vendor located in another 
 28.17  state, the county shall ensure that the vendor is in compliance 
 28.18  with the rules governing licensure of programs located in the 
 28.19  state. 
 28.20     (c) The calendar year 1998 rate for vendors may not 
 28.21  increase more than three percent above the rate approved in 
 28.22  effect on January 1, 1997.  The calendar year 1999 rate for 
 28.23  vendors may not increase more than three percent above the rate 
 28.24  in effect on January 1, 1998. 
 28.25     (d) A culturally specific vendor that provides assessments 
 28.26  under a variance under Minnesota Rules, part 9530.6610, shall be 
 28.27  allowed to provide assessment services to persons not covered by 
 28.28  the variance. 
 28.29     (e) The rates for vendors of inpatient treatment services 
 28.30  for calendar year 2001 may not increase more than one percent 
 28.31  above the rate in effect on January 1, 2000. 
 28.32     (f) The calendar year 2001 rate for vendors of outpatient 
 28.33  treatment services may not increase more than three percent 
 28.34  above the rate in effect on January 1, 2000. 
 28.35     Sec. 15.  Minnesota Statutes 1998, section 256.955, 
 28.36  subdivision 1, is amended to read: 
 29.1      Subdivision 1.  [ESTABLISHMENT.] The commissioner of human 
 29.2   services shall establish and administer a senior citizen 
 29.3   prescription drug program.  Qualified senior citizens 
 29.4   individuals shall be eligible for prescription drug coverage 
 29.5   under the program beginning no later than January 1, 1999. 
 29.6      Sec. 16.  Minnesota Statutes 1998, section 256.955, 
 29.7   subdivision 2, is amended to read: 
 29.8      Subd. 2.  [DEFINITIONS.] (a) For purposes of this section, 
 29.9   the following definitions apply. 
 29.10     (b) "Health plan" has the meaning provided in section 
 29.11  62Q.01, subdivision 3. 
 29.12     (c) "Health plan company" has the meaning provided in 
 29.13  section 62Q.01, subdivision 4. 
 29.14     (d) "Qualified senior citizen individual" means a Medicare 
 29.15  enrollee, or an individual age 65 or older who is not a Medicare 
 29.16  enrollee, who: 
 29.17     (1) is eligible as a qualified Medicare beneficiary 
 29.18  according to section 256B.057, subdivision 3 or 3a, or is 
 29.19  eligible under section 256B.057, subdivision 3 or 3a, and is 
 29.20  also eligible for medical assistance or general assistance 
 29.21  medical care with a spenddown as defined in section 256B.056, 
 29.22  subdivision 5.  Persons who are determined eligible for medical 
 29.23  assistance according to section 256B.0575, who are eligible for 
 29.24  medical assistance or general assistance medical care without a 
 29.25  spenddown, or who are enrolled in MinnesotaCare, are not 
 29.26  eligible for this program has a household income that does not 
 29.27  exceed 120 percent of the federal poverty guidelines for family 
 29.28  size, using the income methodologies specified for aged, blind, 
 29.29  or disabled persons in section 256B.056, subdivision 1a; 
 29.30     (2) has assets that do not exceed $8,000 for a single 
 29.31  individual and $12,000 for a married couple or family of two or 
 29.32  more, as determined using the methodologies specified for aged, 
 29.33  blind, or disabled persons in section 256B.056, subdivision 1a; 
 29.34     (2) (3) is not enrolled in prescription drug coverage under 
 29.35  a health plan; 
 29.36     (3) (4) is not enrolled in prescription drug coverage under 
 30.1   a Medicare supplement plan, as defined in sections 62A.31 to 
 30.2   62A.44, or policies, contracts, or certificates that supplement 
 30.3   Medicare issued by health maintenance organizations or those 
 30.4   policies, contracts, or certificates governed by section 1833 or 
 30.5   1876 of the federal Social Security Act, United States Code, 
 30.6   title 42, section 1395, et seq., as amended; 
 30.7      (4) (5) has not had coverage described in clauses (2) and 
 30.8   (3) for at least four months prior to application for the 
 30.9   program; and 
 30.10     (5) (6) is a permanent resident of Minnesota as defined in 
 30.11  section 256L.09; and 
 30.12     (7) is not eligible for MinnesotaCare, for medical 
 30.13  assistance according to section 256B.0575, or for medical 
 30.14  assistance or general assistance medical care without a 
 30.15  spenddown. 
 30.16     Sec. 17.  Minnesota Statutes 1999 Supplement, section 
 30.17  256.955, subdivision 4, is amended to read: 
 30.18     Subd. 4.  [APPLICATION PROCEDURES AND COORDINATION WITH 
 30.19  MEDICAL ASSISTANCE.] Applications and information on the program 
 30.20  must be made available at county social service agencies, health 
 30.21  care provider offices, and agencies and organizations serving 
 30.22  senior citizens and persons with disabilities.  Senior citizens 
 30.23  Individuals shall submit applications and any information 
 30.24  specified by the commissioner as being necessary to verify 
 30.25  eligibility directly to the county social service agencies:  
 30.26     (1) beginning January 1, 1999, the county social service 
 30.27  agency shall determine medical assistance spenddown eligibility 
 30.28  of individuals who qualify for the senior citizen prescription 
 30.29  drug program of individuals; and 
 30.30     (2) program payments will be used to reduce the spenddown 
 30.31  obligations of individuals who are determined to be eligible for 
 30.32  medical assistance with a spenddown as defined in section 
 30.33  256B.056, subdivision 5. 
 30.34  Seniors Qualified individuals who are eligible for medical 
 30.35  assistance with a spenddown shall be financially responsible for 
 30.36  the deductible amount up to the satisfaction of the spenddown.  
 31.1   No deductible applies once the spenddown has been met.  Payments 
 31.2   to providers for prescription drugs for persons eligible under 
 31.3   this subdivision shall be reduced by the deductible.  
 31.4      County social service agencies shall determine an 
 31.5   applicant's eligibility for the program within 30 days from the 
 31.6   date the application is received.  Eligibility begins the month 
 31.7   after approval. 
 31.8      Sec. 18.  Minnesota Statutes 1999 Supplement, section 
 31.9   256.955, subdivision 8, is amended to read: 
 31.10     Subd. 8.  [REPORT.] The commissioner shall annually report 
 31.11  to the legislature on the senior citizen prescription drug 
 31.12  program.  The report must include demographic information on 
 31.13  enrollees, per-prescription expenditures, total program 
 31.14  expenditures, hospital and nursing home costs avoided by 
 31.15  enrollees, any savings to medical assistance and Medicare 
 31.16  resulting from the provision of prescription drug coverage under 
 31.17  Medicare by health maintenance organizations, other public and 
 31.18  private options for drug assistance to the senior covered 
 31.19  population, any hardships caused by the annual deductible, and 
 31.20  any recommendations for changes in the senior prescription drug 
 31.21  program. 
 31.22     Sec. 19.  Minnesota Statutes 1999 Supplement, section 
 31.23  256.955, subdivision 9, is amended to read: 
 31.24     Subd. 9.  [PROGRAM LIMITATION.] The commissioner shall 
 31.25  administer the senior prescription drug program so that the 
 31.26  costs total no more than funds appropriated plus the drug rebate 
 31.27  proceeds.  Senior Prescription drug program rebate revenues are 
 31.28  appropriated to the commissioner and shall be expended to 
 31.29  augment funding of the senior prescription drug program.  New 
 31.30  enrollment shall cease if the commissioner determines that, 
 31.31  given current enrollment, costs of the program will exceed 
 31.32  appropriated funds and rebate proceeds.  This section shall be 
 31.33  repealed upon federal approval of the waiver to allow the 
 31.34  commissioner to provide prescription drug coverage for qualified 
 31.35  Medicare beneficiaries whose income is less than 150 percent of 
 31.36  the federal poverty guidelines. 
 32.1      Sec. 20.  Minnesota Statutes 1998, section 256B.431, is 
 32.2   amended by adding a subdivision to read: 
 32.3      Subd. 29.  [NURSING FACILITY RATE FLOOR.] (a) For the rate 
 32.4   year beginning July 1, 2000, the commissioner shall adjust 
 32.5   operating costs per diem for nursing facilities reimbursed under 
 32.6   this section and section 256B.434 as provided in this 
 32.7   subdivision. 
 32.8      (b) For each nursing facility, the commissioner, after 
 32.9   applying the adjustment in subdivision 28, shall compare the 
 32.10  operating costs per diem listed in this paragraph to the 
 32.11  operating costs per diem the facility would otherwise receive 
 32.12  for the July 1, 2000, rate year. 
 32.13       Case mix classification     Operating costs per diem
 32.14                 A                         $ 62.10
 32.15                 B                         $ 68.56
 32.16                 C                         $ 75.88
 32.17                 D                         $ 82.55
 32.18                 E                         $ 89.44
 32.19                 F                         $ 89.87
 32.20                 G                         $ 95.69
 32.21                 H                         $106.67
 32.22                 I                         $110.54
 32.23                 J                         $116.57
 32.24                 K                         $129.28
 32.25     (c) If a facility's total reimbursement for operating 
 32.26  costs, using the case mix classification operating costs per 
 32.27  diem listed in paragraph (b), is greater than the total 
 32.28  reimbursement for operating costs the facility would otherwise 
 32.29  receive, the commissioner shall calculate operating costs per 
 32.30  diem for that facility for the rate year beginning July 1, 2000, 
 32.31  using the case mix classification operating costs per diem 
 32.32  listed in paragraph (b). 
 32.33     (d) If a facility's total reimbursement for operating 
 32.34  costs, using the case mix classification costs per diem listed 
 32.35  in paragraph (b), is less than the total reimbursement for 
 32.36  operating costs the facility would otherwise receive, the 
 33.1   commissioner shall reimburse that facility for the rate year 
 33.2   beginning July 1, 2000, as provided in this section or section 
 33.3   256B.434, whichever is applicable, and shall not calculate 
 33.4   operating costs per diem for that facility using the case mix 
 33.5   classification operating costs per diem listed in paragraph (b). 
 33.6      Sec. 21.  Minnesota Statutes 1998, section 256B.431, is 
 33.7   amended by adding a subdivision to read: 
 33.8      Subd. 30.  [BED LAYAWAY AND DELICENSURE.] (a) For rate 
 33.9   years beginning on or after July 1, 2000, a nursing facility 
 33.10  reimbursed under this section which has placed beds on layaway 
 33.11  status shall, for purposes of application of the downsizing 
 33.12  incentive in subdivision 3a, paragraph (d) and calculation of 
 33.13  the rental per diem, have those beds given the same effect as if 
 33.14  the beds had been delicensed so long as the beds remain on 
 33.15  layaway status.  At the time of a layaway, a facility may change 
 33.16  its single bed election for use in calculating capacity days 
 33.17  under Minnesota Rules, part 9549.0060, subpart 11.  The property 
 33.18  payment rate increase shall be effective the first day of the 
 33.19  month following the month in which the layaway of the beds 
 33.20  becomes effective under section 144A.171, subdivision 4b. 
 33.21     (b) For rate years beginning on or after July 1, 2000, 
 33.22  notwithstanding any provision to the contrary under section 
 33.23  256B.434, a nursing facility reimbursed under that section which 
 33.24  has placed beds on layaway status shall, for so long as the beds 
 33.25  remain on layaway status, be allowed to: 
 33.26     (1) aggregate the applicable investment per bed limits 
 33.27  based on the number of beds licensed immediately prior to 
 33.28  entering the alternative payment system; 
 33.29     (2) retain or change the facility's single bed election for 
 33.30  use in calculating capacity days under Minnesota rules, part 
 33.31  9549.0060, subpart 11; and 
 33.32     (3) establish capacity days for each rate year following 
 33.33  the layaway based on the number of beds licensed less the number 
 33.34  of beds on layaway status. 
 33.35  The commissioner shall increase the facility's property payment 
 33.36  rate by the incremental increase in the rental per diem 
 34.1   resulting from the recalculation of the facility's rental per 
 34.2   diem applying only the changes resulting from the layaway of 
 34.3   beds and clauses (1), (2), and (3).  The property payment rate 
 34.4   increase shall be effective the first day of the month following 
 34.5   the month in which the layaway of the beds becomes effective. 
 34.6      (c) If a nursing facility removes a bed from layaway status 
 34.7   in accordance with section 144A.071, subdivision 4b, the 
 34.8   commissioner shall establish capacity days based on the number 
 34.9   of licensed and certified beds in the facility not on layaway 
 34.10  and shall reduce the nursing facility's property payment rate in 
 34.11  accordance with paragraph (b). 
 34.12     (d) For the rate years beginning on or after July 1, 2000, 
 34.13  notwithstanding any provision to the contrary under section 
 34.14  256B.434, a nursing facility reimbursed under that section, 
 34.15  which has delicensed beds after July 1, 2000 by giving notice of 
 34.16  the delicensure to the commissioners of health and human 
 34.17  services according to the notice requirements in section 
 34.18  144A.071, subdivision 4b, shall be allowed to: 
 34.19     (1) aggregate the applicable investment per bed limits 
 34.20  based on the number of beds licensed immediately prior to 
 34.21  entering the alternative payment system; 
 34.22     (2) establish the facility's single bed election for use in 
 34.23  calculating capacity days under Minnesota Rules, part 9549.0060, 
 34.24  subpart 11; and 
 34.25     (3) establish capacity days for each rate year following 
 34.26  the delicensure based on the number of beds licensed after the 
 34.27  reduction. 
 34.28  The commissioner shall increase the facility's property payment 
 34.29  rate by the incremental increase in the rental per diem 
 34.30  resulting from the recalculation of the facility's rental per 
 34.31  diem applying only the changes resulting from the delicensure of 
 34.32  beds and clauses (1), (2), and (3).  The property payment rate 
 34.33  increase shall be effective the first day of the month following 
 34.34  the month in which the delicensure of the beds becomes effective.
 34.35     (e) For nursing facilities reimbursed under this section 
 34.36  and section 256B.434, any beds placed in layaway status shall 
 35.1   not be included in calculating facility occupancy as it pertains 
 35.2   to leave days defined in Minnesota Rules, part 9505.0415. 
 35.3      (f) For nursing facilities reimbursed under this section 
 35.4   and section 256B.434, the rental rate calculated after placing 
 35.5   beds on layaway status may not be less than the rental rate 
 35.6   prior to placing beds on layaway status. 
 35.7      (g) A nursing facility receiving a rate adjustment as a 
 35.8   result of this section shall comply with section 256B.47, 
 35.9   subdivision 2. 
 35.10     Sec. 22.  Minnesota Statutes 1998, section 256B.431, is 
 35.11  amended by adding a subdivision to read: 
 35.12     Subd. 31.  [STAFF ENRICHMENT GRANTS.] (a) For the rate year 
 35.13  beginning July 1, 2000, the commissioner shall make available, 
 35.14  to each facility reimbursed under this section and section 
 35.15  256B.434, a staff enrichment grant to be used for initiatives 
 35.16  related to staff retention, recruiting, development, and 
 35.17  training.  Grant dollars may not be used to supplant existing 
 35.18  spending for these activities and may not be used for expenses 
 35.19  related to the use of nursing facility staffing pools.  The 
 35.20  total grant amount for each facility shall be the product of 
 35.21  $484.90 multiplied by the number of licensed beds for that 
 35.22  facility as of February 29, 2000.  The grant is one-time and 
 35.23  non-renewable.  The grant amount, and grant spending, shall not 
 35.24  be counted as part of the facility's base for reimbursement 
 35.25  under this section or section 256B.434 for the rate year 
 35.26  beginning July 1, 2001 and future rate years. 
 35.27     (b) In order to obtain a grant, a facility must submit a 
 35.28  letter of acceptance to the commissioner by June 1, 2000.  The 
 35.29  letter of acceptance must include an affirmation that:  (1) the 
 35.30  facility will use the grant money for initiatives related to 
 35.31  staff retention, recruiting, development, and training; (2) 
 35.32  grant money will not supplant existing spending for these 
 35.33  activities and will not be used for expenses related to the use 
 35.34  of nursing facility staffing pools; and (3) the facility and 
 35.35  employees are aware that the grant is one-time and will not be 
 35.36  renewed or become part of the facility's base reimbursement 
 36.1   rate.  Upon receipt of a letter of acceptance from a facility, 
 36.2   the commissioner shall provide that facility with the total 
 36.3   grant amount as calculated under paragraph (a), by July 15, 2000.
 36.4      (c) Grant dollars received must be spent by the facility on 
 36.5   staff retention, recruiting, development, and training 
 36.6   initiatives by June 30, 2002.  Any grant amount unspent as of 
 36.7   July 1, 2002, shall be returned to the commissioner and 
 36.8   deposited into the general fund. 
 36.9      (d) A facility that receives a grant must report to the 
 36.10  commissioner on use of the grant by October 1, 2001.  The report 
 36.11  must:  (1) describe the specific initiatives funded by the 
 36.12  grant; (2) describe the effect of the grant spending on staff 
 36.13  retention, recruiting, development, and training; and (3) if 
 36.14  applicable, provide recommendations to the commissioner on 
 36.15  successful initiatives that the facility believes could be 
 36.16  successfully replicated statewide. 
 36.17     Sec. 23.  Minnesota Statutes 1999 Supplement, section 
 36.18  256B.69, subdivision 5b, is amended to read: 
 36.19     Subd. 5b.  [PROSPECTIVE REIMBURSEMENT RATES.] (a) For 
 36.20  prepaid medical assistance and general assistance medical care 
 36.21  program contract rates set by the commissioner under subdivision 
 36.22  5 and effective on or after January 1, 1998, capitation rates 
 36.23  for nonmetropolitan counties shall on a weighted average be no 
 36.24  less than 88 percent of the capitation rates for metropolitan 
 36.25  counties, excluding Hennepin county.  The commissioner shall 
 36.26  make a pro rata adjustment in capitation rates paid to counties 
 36.27  other than nonmetropolitan counties in order to make this 
 36.28  provision budget neutral.  
 36.29     (b) For prepaid medical assistance program contract rates 
 36.30  set by the commissioner under subdivision 5 and effective on or 
 36.31  after January 1, 2001, capitation rates for nonmetropolitan 
 36.32  counties shall, on a weighted average, be no less than 89 90.67 
 36.33  percent of the capitation rates for metropolitan counties, 
 36.34  excluding Hennepin county.  The commissioner shall make a pro 
 36.35  rata adjustment in capitation rates paid to counties other than 
 36.36  nonmetropolitan counties in order to make the portion of the 
 37.1   increase between 89 and 90.67 percent budget neutral. 
 37.2      Sec. 24.  Minnesota Statutes 1998, section 256B.69, 
 37.3   subdivision 5d, is amended to read: 
 37.4      Subd. 5d.  [MODIFICATION OF PAYMENT DATES EFFECTIVE JANUARY 
 37.5   1, 2001.] Effective for services rendered on or after January 1, 
 37.6   2001, capitation payments under this section and under section 
 37.7   256D.03 for services provided in the month of June shall be made 
 37.8   no earlier than the first day after the month of service. 
 37.9      Sec. 25.  Minnesota Statutes 1998, section 256L.05, 
 37.10  subdivision 5, is amended to read: 
 37.11     Subd. 5.  [AVAILABILITY OF PRIVATE INSURANCE.] The 
 37.12  commissioner, in consultation with the commissioners of health 
 37.13  and commerce, shall provide information regarding the 
 37.14  availability of private health insurance coverage and the 
 37.15  possibility of disenrollment under section 256L.07, subdivision 
 37.16  1, paragraphs (b) and (c), to all:  (1) families and individuals 
 37.17  enrolled in the MinnesotaCare program whose gross family income 
 37.18  is equal to or more than 200 225 percent of the federal poverty 
 37.19  guidelines; and (2) single adults and households without 
 37.20  children enrolled in the MinnesotaCare program whose gross 
 37.21  family income is equal to or more than 165 percent of the 
 37.22  federal poverty guidelines.  This information must be provided 
 37.23  upon initial enrollment and annually thereafter.  The 
 37.24  commissioner shall also include information regarding the 
 37.25  availability of private health insurance coverage in the notice 
 37.26  of ineligibility provided to persons subject to disenrollment 
 37.27  under section 256L.07, subdivision 1, paragraphs (b) and (c). 
 37.28     Sec. 26.  Minnesota Statutes 1999 Supplement, section 
 37.29  256L.07, subdivision 1, is amended to read: 
 37.30     Subdivision 1.  [GENERAL REQUIREMENTS.] (a) Children 
 37.31  enrolled in the original children's health plan as of September 
 37.32  30, 1992, children who enrolled in the MinnesotaCare program 
 37.33  after September 30, 1992, pursuant to Laws 1992, chapter 549, 
 37.34  article 4, section 17, and children who have family gross 
 37.35  incomes that are equal to or less than 150 percent of the 
 37.36  federal poverty guidelines are eligible without meeting the 
 38.1   requirements of subdivision 2, as long as they maintain 
 38.2   continuous coverage in the MinnesotaCare program or medical 
 38.3   assistance.  Children who apply for MinnesotaCare on or after 
 38.4   the implementation date of the employer-subsidized health 
 38.5   coverage program as described in Laws 1998, chapter 407, article 
 38.6   5, section 45, who have family gross incomes that are equal to 
 38.7   or less than 150 percent of the federal poverty guidelines, must 
 38.8   meet the requirements of subdivision 2 to be eligible for 
 38.9   MinnesotaCare. 
 38.10     (b) Families enrolled in MinnesotaCare under section 
 38.11  256L.04, subdivision 1, whose income increases above 275 percent 
 38.12  of the federal poverty guidelines, are no longer eligible for 
 38.13  the program and shall be disenrolled by the commissioner.  
 38.14  Individuals enrolled in MinnesotaCare under section 256L.04, 
 38.15  subdivision 7, whose income increases above 175 percent of the 
 38.16  federal poverty guidelines are no longer eligible for the 
 38.17  program and shall be disenrolled by the commissioner.  For 
 38.18  persons disenrolled under this subdivision, MinnesotaCare 
 38.19  coverage terminates the last day of the calendar month following 
 38.20  the month in which the commissioner determines that the income 
 38.21  of a family or individual exceeds program income limits.  
 38.22     (c) Notwithstanding paragraph (b), individuals and families 
 38.23  may remain enrolled in MinnesotaCare if ten percent of their 
 38.24  annual income is less than the annual premium for a policy with 
 38.25  a $500 deductible available through the Minnesota comprehensive 
 38.26  health association.  Individuals and families who are no longer 
 38.27  eligible for MinnesotaCare under this subdivision shall be given 
 38.28  an 18-month a 12-month notice period from the date that 
 38.29  ineligibility is determined before disenrollment. 
 38.30     Sec. 27.  Laws 1997, chapter 225, article 4, section 4, as 
 38.31  amended by Laws 1999, chapter 245, article 4, section 104, is 
 38.32  amended to read: 
 38.33     Sec. 4.  [SENIOR PRESCRIPTION DRUG PROGRAM.] 
 38.34     The commissioner shall report to the legislature the 
 38.35  estimated costs of the senior prescription drug program without 
 38.36  funding caps.  The report shall be included as part of the 
 39.1   November and February forecasts. 
 39.2      The commissioner of finance shall annually reimburse the 
 39.3   general fund with health care access funds for the estimated 
 39.4   increased costs in the QMB/SLMB program directly associated with 
 39.5   the senior prescription drug program.  This reimbursement shall 
 39.6   sunset June 30, 2001. 
 39.7      Sec. 28.  [AMENDMENT.] 
 39.8      By June 1, 2000, the commissioner of human services shall 
 39.9   seek an amendment to the state Medicaid plan to permit 
 39.10  implementation of section 13. 
 39.11     EFFECTIVE DATE:  This section is effective the day 
 39.12  following final enactment. 
 39.13     Sec. 29.  [INFORMATION ON PRESCRIPTION DRUG PATIENT 
 39.14  ASSISTANCE AND COST SAVINGS PROGRAMS.] 
 39.15     The commissioner of human services must work with the board 
 39.16  of medical practice, organizations representing pharmaceutical 
 39.17  manufacturers, and organizations representing pharmacies, to 
 39.18  develop a strategy to provide information to all physicians and 
 39.19  pharmacists on prescription drug patient assistance programs and 
 39.20  cost savings opportunities offered by pharmaceutical 
 39.21  manufacturers.  Any strategy developed must provide physicians 
 39.22  and pharmacists with regular updates on prescription drug 
 39.23  patient assistance programs and cost savings opportunities and 
 39.24  be implemented without cost to physicians, pharmacists, or the 
 39.25  state. 
 39.26     Sec. 30.  [TASK FORCE EXTENDED; REPORT.] 
 39.27     The day training and habilitation task force established 
 39.28  under Laws 1999, chapter 152, shall be extended to June 15, 
 39.29  2001.  The task force shall present a report recommending a new 
 39.30  payment rate schedule for day training and habilitation services 
 39.31  to the legislature by January 15, 2001. 
 39.32     EFFECTIVE DATE:  This section is effective the day 
 39.33  following final enactment. 
 39.34     Sec. 31.  [RESPITE CARE FOR FAMILY ADULT FOSTER CARE 
 39.35  PROVIDERS.] 
 39.36     The commissioner of human services, in consultation with 
 40.1   affected groups, including counties, family adult foster care 
 40.2   providers, guardians and family members, and advocacy agencies, 
 40.3   shall develop legislative proposals, including cost projections, 
 40.4   to provide 30 days of respite care per year for family adult 
 40.5   foster care providers.  The proposals must include funding 
 40.6   options that rely upon federal and state funding.  The 
 40.7   commissioner shall provide the legislative proposals and cost 
 40.8   projections to the chairs of the house health and human services 
 40.9   policy committee, the house health and human services finance 
 40.10  committee, the senate health and family security policy 
 40.11  committee, and the senate health and family security budget 
 40.12  division, by December 1, 2000. 
 40.13     Sec. 32.  [FUNDING FOR TYPE 1 DIABETES RESEARCH.] 
 40.14     Subdivision 1.  [GRANT AWARD.] The commissioner of health 
 40.15  shall distribute the funds available under Minnesota Statutes, 
 40.16  section 62J.694, subdivision 2, paragraphs (f) and (g), to the 
 40.17  board of regents of the University of Minnesota, to be provided 
 40.18  to the academic health center for research by the diabetes 
 40.19  institute for immunology and transplantation.  The institute 
 40.20  shall use the funds for research at the institute relating to 
 40.21  islet cell transplantation, islet cell distribution, and related 
 40.22  areas affecting persons with type 1 diabetes, including research 
 40.23  at the juvenile diabetes foundation center for islet 
 40.24  transplantation at the University of Minnesota and the juvenile 
 40.25  diabetes foundation human islet distribution program at the 
 40.26  University of Minnesota. 
 40.27     Subd. 2.  [REPORTING.] On December 1, 2001, December 1, 
 40.28  2002, and December 1, 2003, the institute shall report to the 
 40.29  commissioner and to the legislature on its use of funds received 
 40.30  under this section and progress made in research on islet cell 
 40.31  transplantation, islet cell distribution, and related areas.  In 
 40.32  reporting on its use of funds, the annual report must include, 
 40.33  but is not limited to, the amount of money the institute 
 40.34  received from the academic health center, the specific purposes 
 40.35  for which the funds were spent, and verification that the funds 
 40.36  were spent for allowable purposes according to this section.  In 
 41.1   reporting on progress made in research on transplantation, 
 41.2   distribution, and related areas, the annual report must include, 
 41.3   but is not limited to: 
 41.4      (1) data generated from the transplants on the benefits and 
 41.5   disadvantages of islet cell transplantation, including data on 
 41.6   the restoration and maintenance of tight blood sugar control and 
 41.7   insulin independence following transplantation; 
 41.8      (2) data on health care dollars per quality adjusted 
 41.9   life-year saved; and 
 41.10     (3) progress on achievement of health insurance coverage 
 41.11  for islet cell transplantation procedures. 
 41.12     Sec. 33.  [EMPLOYEE HEALTH INSURANCE.] 
 41.13     The commissioner of health shall examine issues related to 
 41.14  rising health insurance costs and shall develop recommendations 
 41.15  for providing affordable health insurance to employees of 
 41.16  programs and facilities that serve the elderly and disabled.  In 
 41.17  developing these recommendations, the commissioner shall consult 
 41.18  with representatives of affected consumers and providers.  The 
 41.19  commissioner shall provide recommendations by January 15, 2001, 
 41.20  to the chairs of the house health and human services policy and 
 41.21  finance committees and the senate health and family security 
 41.22  committee and health and family security budget division.  
 41.23     Sec. 34.  [INSTRUCTION TO REVISOR.] 
 41.24     The revisor of statutes shall change the phrase "senior 
 41.25  citizen drug program" wherever it appears in the next edition of 
 41.26  Minnesota Statutes and Minnesota Rules to "prescription drug 
 41.27  program." 
 41.28                             ARTICLE 3 
 41.29             COMPLEMENTARY AND ALTERNATIVE HEALTH CARE 
 41.30                       FREEDOM OF ACCESS ACT
 41.31     Section 1.  Minnesota Statutes 1999 Supplement, section 
 41.32  13.99, is amended by adding a subdivision to read: 
 41.33     Subd. 42c.  [UNLICENSED COMPLEMENTARY AND ALTERNATIVE 
 41.34  HEALTH CARE PRACTITIONERS AND CLIENTS.] Data obtained by the 
 41.35  commissioner of health on unlicensed complementary and 
 41.36  alternative health care practitioners and clients are classified 
 42.1   under sections 146A.06 and 146A.08. 
 42.2      Sec. 2.  [146A.01] [DEFINITIONS.] 
 42.3      Subdivision 1.  [TERMS.] As used in this chapter, the 
 42.4   following terms have the meanings given them. 
 42.5      Subd. 2.  [COMMISSIONER.] "Commissioner" means the 
 42.6   commissioner of health or the commissioner's designee. 
 42.7      Subd. 3.  [COMPLEMENTARY AND ALTERNATIVE HEALTH CARE 
 42.8   CLIENT.] "Complementary and alternative health care client" 
 42.9   means an individual who receives services from an unlicensed 
 42.10  complementary and alternative health care practitioner. 
 42.11     Subd. 4.  [COMPLEMENTARY AND ALTERNATIVE HEALTH CARE 
 42.12  PRACTICES.] (a) "Complementary and alternative health care 
 42.13  practices" means the broad domain of complementary and 
 42.14  alternative healing methods and treatments, including but not 
 42.15  limited to:  (1) acupressure; (2) anthroposophy; (3) aroma 
 42.16  therapy; (4) ayurveda; (5) cranial sacral therapy; (6) 
 42.17  culturally traditional healing practices; (7) detoxification 
 42.18  practices and therapies; (8) energetic healing; (9) polarity 
 42.19  therapy; (10) folk practices; (11) healing practices utilizing 
 42.20  food, food supplements, nutrients, and the physical forces of 
 42.21  heat, cold, water, touch, and light; (12) Gerson therapy and 
 42.22  colostrum therapy; (13) healing touch; (14) herbology or 
 42.23  herbalism; (15) homeopathy; (16) iridology; (17) body work, 
 42.24  massage, and massage therapy; (18) meditation; (19) mind-body 
 42.25  healing practices; (20) naturopathy; (21) noninvasive 
 42.26  instrumentalities; and (22) traditional Oriental practices, such 
 42.27  as Qi Gong energy healing. 
 42.28     (b) Complementary and alternative health care practices, in 
 42.29  and of themselves, do not include surgery, x-ray radiation, 
 42.30  administering or dispensing legend drugs and controlled 
 42.31  substances, practices that invade the human body by puncture of 
 42.32  the skin, setting fractures, the use of medical devices as 
 42.33  defined in section 147A.01, any practice included in the 
 42.34  practice of dentistry as defined in section 150A.05, subdivision 
 42.35  1, or the manipulation or adjustment of articulations of joints 
 42.36  or the spine as described in section 146.23 or 148.01. 
 43.1      (c) Complementary and alternative health care practices do 
 43.2   not include practices that are permitted under section 147.09, 
 43.3   clause (11), or 148.271, clause (5).  
 43.4      (d) This article does not apply to, control, prevent, or 
 43.5   restrict the practice, service, or activity of lawfully 
 43.6   marketing or distributing food products, including dietary 
 43.7   supplements as defined in the federal dietary supplement health 
 43.8   and education act, educating customers about such products, or 
 43.9   explaining the uses of such products. 
 43.10     Subd. 5.  [OFFICE OF UNLICENSED COMPLEMENTARY AND 
 43.11  ALTERNATIVE HEALTH CARE PRACTICE OR OFFICE.] "Office of 
 43.12  unlicensed complementary and alternative health care practice" 
 43.13  or "office" means the office of unlicensed complementary and 
 43.14  alternative health care practice established in section 146A.02. 
 43.15     Subd. 6.  [PATIENT-IDENTIFYING DATA.] "Patient-identifying 
 43.16  data" means data that identifies a patient directly or that 
 43.17  identifies characteristics which reasonably could uniquely 
 43.18  identify a specific patient circumstantially. 
 43.19     Subd. 7.  [ROSTER DATA.] "Roster data" means, with regard 
 43.20  to an enrollee of a health plan company or group purchaser, an 
 43.21  enrollee's name, address, telephone number, date of birth, 
 43.22  gender, and enrollment status under a group purchaser's health 
 43.23  plan.  Roster data means, with regard to a patient of a 
 43.24  provider, the patient's name, address, telephone number, date of 
 43.25  birth, gender, and date or dates treated, including, if 
 43.26  applicable, the date of admission and the date of discharge. 
 43.27     Subd. 8.  [UNLICENSED COMPLEMENTARY AND ALTERNATIVE HEALTH 
 43.28  CARE PRACTITIONER.] (a) "Unlicensed complementary and 
 43.29  alternative health care practitioner" means a person who: 
 43.30     (1) is not licensed or registered by a health-related 
 43.31  licensing board or the commissioner of health, or does not hold 
 43.32  oneself out to the public as licensed or registered by a 
 43.33  health-related licensing board or the commissioner of health 
 43.34  when engaging in complementary and alternative health care 
 43.35  practices; 
 43.36     (2) has not had a license or registration issued by a 
 44.1   health-related licensing board or the commissioner of health 
 44.2   revoked or has not been disciplined in any manner at any time in 
 44.3   the past, unless the right to engage in complementary and 
 44.4   alternative health care practices has been established by order 
 44.5   of the commissioner of health; 
 44.6      (3) is engaging in complementary and alternative health 
 44.7   care practices; and 
 44.8      (4) is providing complementary and alternative health care 
 44.9   services for remuneration or is holding oneself out to the 
 44.10  public as a practitioner of complementary and alternative health 
 44.11  care practices. 
 44.12     (b) A health care practitioner licensed by or registered 
 44.13  with the state of Minnesota who practices complementary and 
 44.14  alternative care shall have the practice regulated by and be 
 44.15  under the jurisdiction of the applicable health-related 
 44.16  licensing board when offering complementary and alternative 
 44.17  health care practices while using the practitioner's license or 
 44.18  registration. 
 44.19     Sec. 3.  [146A.02] [OFFICE OF UNLICENSED COMPLEMENTARY AND 
 44.20  ALTERNATIVE HEALTH CARE PRACTICE.] 
 44.21     Subdivision 1.  [CREATION.] The office of unlicensed 
 44.22  complementary and alternative health care practice is created in 
 44.23  the department of health to investigate complaints and take and 
 44.24  enforce disciplinary actions against all unlicensed 
 44.25  complementary and alternative health care practitioners for 
 44.26  violations of prohibited conduct, as defined in section 
 44.27  146A.08.  The office shall also serve as a clearinghouse on 
 44.28  complementary and alternative health care practices and 
 44.29  unlicensed complementary and alternative health care 
 44.30  practitioners through the dissemination of objective information 
 44.31  to consumers and through the development and performance of 
 44.32  public education activities, including outreach, regarding the 
 44.33  provision of complementary and alternative health care practices 
 44.34  and unlicensed complementary and alternative health care 
 44.35  practitioners who provide these services. 
 44.36     Subd. 2.  [RULEMAKING.] The commissioner shall adopt rules 
 45.1   necessary to implement, administer, or enforce provisions of 
 45.2   this chapter pursuant to chapter 14.  The commissioner may not 
 45.3   adopt rules that restrict or prohibit persons from engaging in 
 45.4   complementary and alternative health care practices on the basis 
 45.5   of education, training, experience, or supervision. 
 45.6      Sec. 4.  [146A.025] [MALTREATMENT OF MINORS.] 
 45.7      Nothing in this chapter shall restrict the ability of a 
 45.8   local welfare agency, local law enforcement agency, the 
 45.9   commissioner of human services, or the state to take action 
 45.10  regarding the maltreatment of minors under section 609.378 or 
 45.11  626.556.  A parent who obtains complementary and alternative 
 45.12  health care for the parent's minor child is not relieved of the 
 45.13  duty to seek necessary medical care.  A complementary or 
 45.14  alternative health care practitioner who is providing services 
 45.15  to a child who is not receiving necessary medical care must make 
 45.16  a report under section 626.556.  A complementary or alternative 
 45.17  health care provider is a mandated reporter under section 
 45.18  626.556, subdivision 3. 
 45.19     Sec. 5.  [146A.03] [REPORTING OBLIGATIONS.] 
 45.20     Subdivision 1.  [PERMISSION TO REPORT.] A person who has 
 45.21  knowledge of any conduct constituting grounds for disciplinary 
 45.22  action relating to complementary and alternative health care 
 45.23  practices under this chapter may report the violation to the 
 45.24  office. 
 45.25     Subd. 2.  [INSTITUTIONS.] A state agency, political 
 45.26  subdivision, agency of a local unit of government, private 
 45.27  agency, hospital, clinic, prepaid medical plan, or other health 
 45.28  care institution or organization located in this state shall 
 45.29  report to the office any action taken by the agency, 
 45.30  institution, or organization or any of its administrators or 
 45.31  medical or other committees to revoke, suspend, restrict, or 
 45.32  condition an unlicensed complementary and alternative health 
 45.33  care practitioner's privilege to practice or treat complementary 
 45.34  and alternative health care clients in the institution or, as 
 45.35  part of the organization, any denial of privileges or any other 
 45.36  disciplinary action for conduct that might constitute grounds 
 46.1   for disciplinary action by the office under this chapter.  The 
 46.2   institution, organization, or governmental entity shall also 
 46.3   report the resignation of any unlicensed complementary and 
 46.4   alternative health care practitioners prior to the conclusion of 
 46.5   any disciplinary action proceeding for conduct that might 
 46.6   constitute grounds for disciplinary action under this chapter or 
 46.7   prior to the commencement of formal charges but after the 
 46.8   practitioner had knowledge that formal charges were contemplated 
 46.9   or were being prepared. 
 46.10     Subd. 3.  [PROFESSIONAL SOCIETIES.] A state or local 
 46.11  professional society for unlicensed complementary and 
 46.12  alternative health care practitioners shall report to the office 
 46.13  any termination, revocation, or suspension of membership or any 
 46.14  other disciplinary action taken against an unlicensed 
 46.15  complementary and alternative health care practitioner.  If the 
 46.16  society has received a complaint that might be grounds for 
 46.17  discipline under this chapter against a member on which it has 
 46.18  not taken any disciplinary action, the society shall report the 
 46.19  complaint and the reason why it has not taken action on it or 
 46.20  shall direct the complainant to the office. 
 46.21     Subd. 4.  [LICENSED PROFESSIONALS.] A licensed health 
 46.22  professional shall report to the office personal knowledge of 
 46.23  any conduct that the licensed health professional reasonably 
 46.24  believes constitutes grounds for disciplinary action under this 
 46.25  chapter by any unlicensed complementary and alternative health 
 46.26  care practitioner, including conduct indicating that the 
 46.27  individual may be medically incompetent or may be medically or 
 46.28  physically unable to engage safely in the provision of 
 46.29  services.  If the information was obtained in the course of a 
 46.30  client relationship, the client is an unlicensed complementary 
 46.31  and alternative health care practitioner, and the treating 
 46.32  individual successfully counsels the other practitioner to limit 
 46.33  or withdraw from practice to the extent required by the 
 46.34  impairment, the office may deem this limitation of or withdrawal 
 46.35  from practice to be sufficient disciplinary action. 
 46.36     Subd. 5.  [INSURERS.] Four times each year as prescribed by 
 47.1   the commissioner, each insurer authorized to sell insurance 
 47.2   described in section 60A.06, subdivision 1, clause (13), and 
 47.3   providing professional liability insurance to unlicensed 
 47.4   complementary and alternative health care practitioners or the 
 47.5   medical joint underwriting association under chapter 62F shall 
 47.6   submit to the office a report concerning the unlicensed 
 47.7   complementary and alternative health care practitioners against 
 47.8   whom malpractice settlements or awards have been made.  The 
 47.9   response must contain at least the following information: 
 47.10     (1) the total number of malpractice settlements or awards 
 47.11  made; 
 47.12     (2) the date the malpractice settlements or awards were 
 47.13  made; 
 47.14     (3) the allegations contained in the claim or complaint 
 47.15  leading to the settlements or awards made; 
 47.16     (4) the dollar amount of each malpractice settlement or 
 47.17  award; 
 47.18     (5) the regular address of the practice of the unlicensed 
 47.19  complementary and alternative health care practitioner against 
 47.20  whom an award was made or with whom a settlement was made; and 
 47.21     (6) the name of the unlicensed complementary and 
 47.22  alternative health care practitioner against whom an award was 
 47.23  made or with whom a settlement was made. 
 47.24     The insurance company shall, in addition to the above 
 47.25  information, submit to the office any information, records, and 
 47.26  files, including clients' charts and records, it possesses that 
 47.27  tend to substantiate a charge that an unlicensed complementary 
 47.28  and alternative health care practitioner may have engaged in 
 47.29  conduct violating this chapter. 
 47.30     Subd. 6.  [COURTS.] The court administrator of district 
 47.31  court or any other court of competent jurisdiction shall report 
 47.32  to the office any judgment or other determination of the court 
 47.33  that adjudges or includes a finding that an unlicensed 
 47.34  complementary and alternative health care practitioner is 
 47.35  mentally ill, mentally incompetent, guilty of a felony, guilty 
 47.36  of a violation of federal or state narcotics laws or controlled 
 48.1   substances act, or guilty of abuse or fraud under Medicare or 
 48.2   Medicaid; or that appoints a guardian of the unlicensed 
 48.3   complementary and alternative health care practitioner under 
 48.4   sections 525.54 to 525.61 or commits an unlicensed complementary 
 48.5   and alternative health care practitioner under chapter 253B. 
 48.6      Subd. 7.  [SELF-REPORTING.] An unlicensed complementary and 
 48.7   alternative health care practitioner shall report to the office 
 48.8   any personal action that would require that a report be filed 
 48.9   with the office by any person, health care facility, business, 
 48.10  or organization pursuant to subdivisions 2 to 5.  The 
 48.11  practitioner shall also report the revocation, suspension, 
 48.12  restriction, limitation, or other disciplinary action against 
 48.13  the practitioner's license, certificate, registration, or right 
 48.14  of practice in another state or jurisdiction for offenses that 
 48.15  would be subject to disciplinary action in this state and also 
 48.16  report the filing of charges regarding the practitioner's 
 48.17  license, certificate, registration, or right of practice in 
 48.18  another state or jurisdiction. 
 48.19     Subd. 8.  [DEADLINES; FORMS.] Reports required by 
 48.20  subdivisions 2 to 7 must be submitted not later than 30 days 
 48.21  after the reporter learns of the occurrence of the reportable 
 48.22  event or transaction.  The office may provide forms for the 
 48.23  submission of reports required by this section, may require that 
 48.24  reports be submitted on the forms provided, and may adopt rules 
 48.25  necessary to ensure prompt and accurate reporting. 
 48.26     Sec. 6.  [146A.04] [IMMUNITY.] 
 48.27     Subdivision 1.  [REPORTING.] Any person other than an 
 48.28  unlicensed complementary and alternative health care 
 48.29  practitioner on whom violations or alleged violations of this 
 48.30  chapter are reported, health care facility, business, or 
 48.31  organization is immune from civil liability or criminal 
 48.32  prosecution for submitting a report to the office, for otherwise 
 48.33  reporting to the office violations or alleged violations of this 
 48.34  chapter, or for cooperating with an investigation of a report, 
 48.35  except as provided in this subdivision.  Any person who 
 48.36  knowingly or recklessly makes a false report is liable in a 
 49.1   civil suit for any damages suffered by the person or persons so 
 49.2   reported and for any punitive damages set by the court or jury.  
 49.3   An action requires clear and convincing evidence that the 
 49.4   defendant made the statement with knowledge of falsity or with 
 49.5   reckless disregard for its truth or falsity.  The report or 
 49.6   statement or any statement made in cooperation with an 
 49.7   investigation or as part of a disciplinary proceeding is 
 49.8   privileged except in an action brought under this subdivision. 
 49.9      Subd. 2.  [INVESTIGATION.] The commissioner and employees 
 49.10  of the department of health and other persons engaged in the 
 49.11  investigation of violations and in the preparation, 
 49.12  presentation, and management of and testimony pertaining to 
 49.13  charges of violations of this chapter are absolutely immune from 
 49.14  civil liability and criminal prosecution for any actions, 
 49.15  transactions, or publications in the execution of, or relating 
 49.16  to, their duties under this chapter. 
 49.17     Sec. 7.  [146A.05] [DISCIPLINARY RECORD ON JUDICIAL 
 49.18  REVIEW.] 
 49.19     Upon judicial review of any disciplinary action taken by 
 49.20  the commissioner under this chapter, the reviewing court shall 
 49.21  seal the administrative record, except for the commissioner's 
 49.22  final decision, and shall not make the administrative record 
 49.23  available to the public. 
 49.24     Sec. 8.  [146A.06] [PROFESSIONAL COOPERATION; UNLICENSED 
 49.25  PRACTITIONER.] 
 49.26     Subdivision 1.  [COOPERATION.] An unlicensed complementary 
 49.27  and alternative health care practitioner who is the subject of 
 49.28  an investigation, or who is questioned in connection with an 
 49.29  investigation, by or on behalf of the office shall cooperate 
 49.30  fully with the investigation.  Cooperation includes responding 
 49.31  fully and promptly to any question raised by or on behalf of the 
 49.32  office relating to the subject of the investigation, whether 
 49.33  tape recorded or not; providing copies of client records, as 
 49.34  reasonably requested by the office, to assist the office in its 
 49.35  investigation; and appearing at conferences or hearings 
 49.36  scheduled by the commissioner.  If the office does not have a 
 50.1   written consent from a client permitting access to the client's 
 50.2   records, the unlicensed complementary and alternative health 
 50.3   care practitioner shall delete any patient-identifying data and 
 50.4   roster data in the record before providing it to the office.  
 50.5   The office shall maintain any records obtained pursuant to this 
 50.6   section as investigative data pursuant to section 13.41.  If an 
 50.7   unlicensed complementary and alternative health care 
 50.8   practitioner refuses to give testimony or produce any documents, 
 50.9   books, records, or correspondence on the basis of the fifth 
 50.10  amendment to the Constitution of the United States, the 
 50.11  commissioner may compel the unlicensed complementary and 
 50.12  alternative health care practitioner to provide the testimony or 
 50.13  information; however, the testimony or evidence may not be used 
 50.14  against the practitioner in any criminal proceeding.  Challenges 
 50.15  to requests of the office may be brought before the appropriate 
 50.16  agency or court. 
 50.17     Subd. 2.  [CLASSIFICATION OF DATA.] The commissioner shall 
 50.18  maintain any records, other than client records, obtained as 
 50.19  part of an investigation as investigative data under section 
 50.20  13.41.  Client records are classified as private under chapter 
 50.21  13 and must be protected as such in the records of the office 
 50.22  and in any administrative or judicial proceeding unless the 
 50.23  unlicensed complementary and alternative health care client 
 50.24  authorizes the office in writing to make public the identity of 
 50.25  the client or a portion or all of the client's records. 
 50.26     Subd. 3.  [EXCHANGING INFORMATION.] (a) The office shall 
 50.27  establish internal operating procedures for: 
 50.28     (1) exchanging information with state boards; agencies, 
 50.29  including the office of ombudsman for mental health and mental 
 50.30  retardation; health-related and law enforcement facilities; 
 50.31  departments responsible for licensing health-related 
 50.32  occupations, facilities, and programs; and law enforcement 
 50.33  personnel in this and other states; and 
 50.34     (2) coordinating investigations involving matters within 
 50.35  the jurisdiction of more than one regulatory agency. 
 50.36     (b) The procedures for exchanging information must provide 
 51.1   for the forwarding to the entities described in paragraph (a), 
 51.2   clause (1), of information and evidence, including the results 
 51.3   of investigations, that are relevant to matters within the 
 51.4   regulatory jurisdiction of the organizations in paragraph (a).  
 51.5   The data have the same classification in the hands of the agency 
 51.6   receiving the data as they have in the hands of the agency 
 51.7   providing the data. 
 51.8      (c) The office shall establish procedures for exchanging 
 51.9   information with other states regarding disciplinary action 
 51.10  against unlicensed complementary and alternative health care 
 51.11  practitioners. 
 51.12     (d) The office shall forward to another governmental agency 
 51.13  any complaints received by the office that do not relate to the 
 51.14  office's jurisdiction but that relate to matters within the 
 51.15  jurisdiction of the other governmental agency.  The agency to 
 51.16  which a complaint is forwarded shall advise the office of the 
 51.17  disposition of the complaint.  A complaint or other information 
 51.18  received by another governmental agency relating to a statute or 
 51.19  rule that the office is empowered to enforce must be forwarded 
 51.20  to the office to be processed in accordance with this section. 
 51.21     (e) The office shall furnish to a person who made a 
 51.22  complaint a description of the actions of the office relating to 
 51.23  the complaint. 
 51.24     Sec. 9.  [146A.07] [PROFESSIONAL ACCOUNTABILITY.] 
 51.25     The office shall maintain and keep current a file 
 51.26  containing the reports and complaints filed against unlicensed 
 51.27  complementary and alternative health care practitioners within 
 51.28  the commissioner's jurisdiction.  Each complaint filed with the 
 51.29  office must be investigated.  If the files maintained by the 
 51.30  office show that a malpractice settlement or award has been made 
 51.31  against an unlicensed complementary and alternative health care 
 51.32  practitioner, as reported by insurers under section 146A.03, 
 51.33  subdivision 5, the commissioner may authorize a review of the 
 51.34  practitioner's practice by the staff of the office. 
 51.35     Sec. 10.  [146A.08] [PROHIBITED CONDUCT.] 
 51.36     Subdivision 1.  [PROHIBITED CONDUCT.] The commissioner may 
 52.1   impose disciplinary action as described in section 146A.09 
 52.2   against any unlicensed complementary and alternative health care 
 52.3   practitioner.  The following conduct is prohibited and is 
 52.4   grounds for disciplinary action:  
 52.5      (1) Conviction of a crime, including a finding or verdict 
 52.6   of guilt, an admission of guilt, or a no-contest plea, in any 
 52.7   court in Minnesota or any other jurisdiction in the United 
 52.8   States, reasonably related to engaging in complementary and 
 52.9   alternative health care practices.  Conviction, as used in this 
 52.10  subdivision, includes a conviction of an offense which, if 
 52.11  committed in this state, would be deemed a felony, gross 
 52.12  misdemeanor, or misdemeanor, without regard to its designation 
 52.13  elsewhere, or a criminal proceeding where a finding or verdict 
 52.14  of guilty is made or returned but the adjudication of guilt is 
 52.15  either withheld or not entered. 
 52.16     (2) Conviction of any crime against a person.  For purposes 
 52.17  of this chapter, a crime against a person means violations of 
 52.18  the following:  sections 609.185; 609.19; 609.195; 609.20; 
 52.19  609.205; 609.21; 609.215; 609.221; 609.222; 609.223; 609.224; 
 52.20  609.2242; 609.23; 609.231; 609.2325; 609.233; 609.2335; 609.235; 
 52.21  609.24; 609.245; 609.25; 609.255; 609.26, subdivision 1, clause 
 52.22  (1) or (2); 609.265; 609.342; 609.343; 609.344; 609.345; 
 52.23  609.365; 609.498, subdivision 1; 609.50, subdivision 1, clause 
 52.24  (1); 609.561; 609.562; 609.595; and 609.72, subdivision 3. 
 52.25     (3) Failure to comply with the self-reporting requirements 
 52.26  of section 146A.03, subdivision 7. 
 52.27     (4) Engaging in sexual contact with a complementary and 
 52.28  alternative health care client or former client, engaging in 
 52.29  contact that may be reasonably interpreted by a client as 
 52.30  sexual, engaging in any verbal behavior that is seductive or 
 52.31  sexually demeaning to the patient, or engaging in sexual 
 52.32  exploitation of a client or former client.  For purposes of this 
 52.33  clause, "former client" means a person who has obtained services 
 52.34  from the unlicensed complementary and alternative health care 
 52.35  practitioner within the past two years. 
 52.36     (5) Advertising that is false, fraudulent, deceptive, or 
 53.1   misleading. 
 53.2      (6) Conduct likely to deceive, defraud, or harm the public 
 53.3   or demonstrating a willful or careless disregard for the health, 
 53.4   welfare, or safety of a complementary and alternative health 
 53.5   care client; or any other practice that may create unnecessary 
 53.6   danger to any client's life, health, or safety, in any of which 
 53.7   cases, harm or the potential for harm must be recognizable and 
 53.8   not remote and proof of actual injury need not be established. 
 53.9      (7) Adjudication as mentally incompetent or as a person who 
 53.10  is dangerous to self or adjudication pursuant to chapter 253B as 
 53.11  chemically dependent, mentally ill, mentally retarded, mentally 
 53.12  ill and dangerous to the public, or as a sexual psychopathic 
 53.13  personality or sexually dangerous person. 
 53.14     (8) Inability to engage in complementary and alternative 
 53.15  health care practices with reasonable safety to complementary 
 53.16  and alternative health care clients based on but not limited to 
 53.17  illness; drunkenness; or use of drugs, narcotics, chemicals, or 
 53.18  any other type of material or as a result of any mental or 
 53.19  physical condition including deterioration through the aging 
 53.20  process or loss of motor skills. 
 53.21     (9) The habitual overindulgence in the use of or the 
 53.22  dependence on intoxicating liquors. 
 53.23     (10) Improper or unauthorized personal or other use of any 
 53.24  legend drugs as defined in chapter 151, any chemicals as defined 
 53.25  in chapter 151, or any controlled substance as defined in 
 53.26  chapter 152. 
 53.27     (11) Revealing a communication from, or relating to, a 
 53.28  complementary and alternative health care client except when 
 53.29  otherwise required or permitted by law. 
 53.30     (12) Failure to comply with a complementary and alternative 
 53.31  health care client's request made under section 144.335 or to 
 53.32  furnish a complementary and alternative health care client 
 53.33  record or report required by law. 
 53.34     (13) Splitting fees or promising to pay a portion of a fee 
 53.35  to any other professional other than for services rendered by 
 53.36  the other professional to the complementary and alternative 
 54.1   health care client. 
 54.2      (14) Engaging in abusive or fraudulent billing practices, 
 54.3   including violations of the federal Medicare and Medicaid laws 
 54.4   or state medical assistance laws. 
 54.5      (15) Failure to make reports as required by section 146A.03 
 54.6   or cooperate with an investigation of the office. 
 54.7      (16) Obtaining money, property, or services from a 
 54.8   complementary and alternative health care client, other than 
 54.9   reasonable fees for services provided to the client, through the 
 54.10  use of undue influence, harassment, duress, deception, or fraud. 
 54.11     (17) Undertaking or continuing a professional relationship 
 54.12  with a complementary and alternative health care client in which 
 54.13  the objectivity of the unlicensed complementary and alternative 
 54.14  health care practitioner would be impaired. 
 54.15     (18) Failure to provide a complementary and alternative 
 54.16  health care client with a copy of the client bill of rights or 
 54.17  violation of any provision of the client bill of rights. 
 54.18     (19) Violating any order issued by the commissioner. 
 54.19     (20) Failure to comply with any provision of sections 
 54.20  146A.01 to 146A.11 and the rules adopted under those sections. 
 54.21     (21) Failure to comply with any additional disciplinary 
 54.22  grounds established by the commissioner by rule. 
 54.23     (22) Revocation, suspension, restriction, limitation, or 
 54.24  other disciplinary action against any health care license, 
 54.25  certificate, registration, or right to practice of the 
 54.26  unlicensed complementary and alternative health care 
 54.27  practitioner in this or another state or jurisdiction for 
 54.28  offenses that would be subject to disciplinary action in this 
 54.29  state or failure to report to the office that charges regarding 
 54.30  the practitioner's license, certificate, registration, or right 
 54.31  of practice have been brought in this or another state or 
 54.32  jurisdiction unless right to practice is established by the 
 54.33  commissioner order. 
 54.34     (23) Use of the title "doctor," "Dr.," or "physician" alone 
 54.35  or in combination with any other words, letters, or insignia to 
 54.36  describe the complementary and alternative health care practices 
 55.1   the practitioner provides. 
 55.2      (24) Failure to provide a complementary and alternative 
 55.3   health care client with a recommendation that the client see a 
 55.4   health care provider who is licensed or registered by a 
 55.5   health-related licensing board or the commissioner of health, if 
 55.6   there is a reasonable likelihood that the client needs to be 
 55.7   seen by a licensed or registered health care provider. 
 55.8      Subd. 2.  [LESS CUSTOMARY APPROACH.] The fact that a 
 55.9   complementary and alternative health care practice may be a less 
 55.10  customary approach to health care shall not constitute the basis 
 55.11  of a disciplinary action per se. 
 55.12     Subd. 3.  [EVIDENCE.] In disciplinary actions alleging a 
 55.13  violation of subdivision 1, clause (1), (2), (3), or (7), a copy 
 55.14  of the judgment or proceeding under the seal of the court 
 55.15  administrator or of the administrative agency that entered the 
 55.16  same is admissible into evidence without further authentication 
 55.17  and constitutes prima facie evidence of its contents. 
 55.18     Subd. 4.  [EXAMINATION; ACCESS TO MEDICAL DATA.] (a) If the 
 55.19  commissioner has probable cause to believe that an unlicensed 
 55.20  complementary and alternative health care practitioner has 
 55.21  engaged in conduct prohibited by subdivision 1, clause (7), (8), 
 55.22  (9), or (10), the commissioner may issue an order directing the 
 55.23  practitioner to submit to a mental or physical examination or 
 55.24  chemical dependency evaluation.  For the purpose of this 
 55.25  subdivision, every unlicensed complementary and alternative 
 55.26  health care practitioner is deemed to have consented to submit 
 55.27  to a mental or physical examination or chemical dependency 
 55.28  evaluation when ordered to do so in writing by the commissioner 
 55.29  and further to have waived all objections to the admissibility 
 55.30  of the testimony or examination reports of the health care 
 55.31  provider performing the examination or evaluation on the grounds 
 55.32  that the same constitute a privileged communication.  Failure of 
 55.33  an unlicensed complementary and alternative health care 
 55.34  practitioner to submit to an examination or evaluation when 
 55.35  ordered, unless the failure was due to circumstances beyond the 
 55.36  practitioner's control, constitutes an admission that the 
 56.1   unlicensed complementary and alternative health care 
 56.2   practitioner violated subdivision 1, clause (7), (8), (9), or 
 56.3   (10), based on the factual specifications in the examination or 
 56.4   evaluation order and may result in a default and final 
 56.5   disciplinary order being entered after a contested case 
 56.6   hearing.  An unlicensed complementary and alternative health 
 56.7   care practitioner affected under this paragraph shall at 
 56.8   reasonable intervals be given an opportunity to demonstrate that 
 56.9   the practitioner can resume the provision of complementary and 
 56.10  alternative health care practices with reasonable safety to 
 56.11  clients.  In any proceeding under this paragraph, neither the 
 56.12  record of proceedings nor the orders entered by the commissioner 
 56.13  shall be used against an unlicensed complementary and 
 56.14  alternative health care practitioner in any other proceeding. 
 56.15     (b) In addition to ordering a physical or mental 
 56.16  examination or chemical dependency evaluation, the commissioner 
 56.17  may, notwithstanding section 13.42, 144.651, 595.02, or any 
 56.18  other law limiting access to medical or other health data, 
 56.19  obtain medical data and health records relating to an unlicensed 
 56.20  complementary and alternative health care practitioner without 
 56.21  the practitioner's consent if the commissioner has probable 
 56.22  cause to believe that a practitioner has engaged in conduct 
 56.23  prohibited by subdivision 1, clause (7), (8), (9), or (10).  The 
 56.24  medical data may be requested from a provider as defined in 
 56.25  section 144.335, subdivision 1, paragraph (b), an insurance 
 56.26  company, or a government agency, including the department of 
 56.27  human services.  A provider, insurance company, or government 
 56.28  agency shall comply with any written request of the commissioner 
 56.29  under this subdivision and is not liable in any action for 
 56.30  damages for releasing the data requested by the commissioner if 
 56.31  the data are released pursuant to a written request under this 
 56.32  subdivision, unless the information is false and the person or 
 56.33  organization giving the information knew or had reason to 
 56.34  believe the information was false.  Information obtained under 
 56.35  this subdivision is private data under section 13.41. 
 56.36     Sec. 11.  [146A.09] [DISCIPLINARY ACTIONS.] 
 57.1      Subdivision 1.  [FORMS OF DISCIPLINARY ACTION.] When the 
 57.2   commissioner finds that an unlicensed complementary and 
 57.3   alternative health care practitioner has violated any provision 
 57.4   of this chapter, the commissioner may take one or more of the 
 57.5   following actions, only against the individual practitioner: 
 57.6      (1) revoke the right to practice; 
 57.7      (2) suspend the right to practice; 
 57.8      (3) impose limitations or conditions on the practitioner's 
 57.9   provision of complementary and alternative health care 
 57.10  practices, impose rehabilitation requirements, or require 
 57.11  practice under supervision; 
 57.12     (4) impose a civil penalty not exceeding $10,000 for each 
 57.13  separate violation, the amount of the civil penalty to be fixed 
 57.14  so as to deprive the practitioner of any economic advantage 
 57.15  gained by reason of the violation charged or to reimburse the 
 57.16  office for all costs of the investigation and proceeding; 
 57.17     (5) censure or reprimand the practitioner; 
 57.18     (6) impose a fee on the practitioner to reimburse the 
 57.19  office for all or part of the cost of the proceedings resulting 
 57.20  in disciplinary action including, but not limited to, the amount 
 57.21  paid by the office for services from the office of 
 57.22  administrative hearings, attorney fees, court reports, 
 57.23  witnesses, reproduction of records, staff time, and expense 
 57.24  incurred by the staff of the office of unlicensed complementary 
 57.25  and alternative health care practice; or 
 57.26     (7) any other action justified by the case. 
 57.27     Subd. 2.  [DISCOVERY; SUBPOENAS.] In all matters relating 
 57.28  to the lawful activities of the office, the commissioner may 
 57.29  issue subpoenas and compel the attendance of witnesses and the 
 57.30  production of all necessary papers, books, records, documents, 
 57.31  and other evidentiary material.  Any person failing or refusing 
 57.32  to appear or testify regarding any matter about which the person 
 57.33  may be lawfully questioned or failing to produce any papers, 
 57.34  books, records, documents, or other evidentiary materials in the 
 57.35  matter to be heard, after having been required by order of the 
 57.36  commissioner or by a subpoena of the commissioner to do so may, 
 58.1   upon application to the district court in any district, be 
 58.2   ordered to comply with the order or subpoena.  The commissioner 
 58.3   may administer oaths to witnesses or take their affirmation.  
 58.4   Depositions may be taken within or without the state in the 
 58.5   manner provided by law for the taking of depositions in civil 
 58.6   actions.  A subpoena or other process may be served upon a 
 58.7   person it names anywhere within the state by any officer 
 58.8   authorized to serve subpoenas or other process in civil actions 
 58.9   in the same manner as prescribed by law for service of process 
 58.10  issued out of the district court of this state. 
 58.11     Subd. 2a.  [HEARINGS.] If the commissioner proposes to take 
 58.12  action against the practitioner as described in subdivision 1, 
 58.13  the commissioner must first notify the practitioner against whom 
 58.14  the action is proposed to be taken and provide the practitioner 
 58.15  with an opportunity to request a hearing under the contested 
 58.16  case provisions of chapter 14.  If the practitioner does not 
 58.17  request a hearing by notifying the commissioner within 30 days 
 58.18  after service of the notice of the proposed action, the 
 58.19  commissioner may proceed with the action without a hearing. 
 58.20     Subd. 3.  [REINSTATEMENT.] The commissioner may at the 
 58.21  commissioner's discretion reinstate the right to practice and 
 58.22  may impose any disciplinary measure listed under subdivision 1. 
 58.23     Subd. 4.  [TEMPORARY SUSPENSION.] In addition to any other 
 58.24  remedy provided by law, the commissioner may, acting through a 
 58.25  person to whom the commissioner has delegated this authority and 
 58.26  without a hearing, temporarily suspend the right of an 
 58.27  unlicensed complementary and alternative health care 
 58.28  practitioner to practice if the commissioner's delegate finds 
 58.29  that the practitioner has violated a statute or rule that the 
 58.30  commissioner is empowered to enforce and continued practice by 
 58.31  the practitioner would create a serious risk of harm to others.  
 58.32  The suspension is in effect upon service of a written order on 
 58.33  the practitioner specifying the statute or rule violated.  The 
 58.34  order remains in effect until the commissioner issues a final 
 58.35  order in the matter after a hearing or upon agreement between 
 58.36  the commissioner and the practitioner.  Service of the order is 
 59.1   effective if the order is served on the practitioner or counsel 
 59.2   of record personally or by first class mail.  Within ten days of 
 59.3   service of the order, the commissioner shall hold a hearing on 
 59.4   the sole issue of whether there is a reasonable basis to 
 59.5   continue, modify, or lift the suspension.  Evidence presented by 
 59.6   the office or practitioner shall be in affidavit form only.  The 
 59.7   practitioner or the counsel of record may appear for oral 
 59.8   argument.  Within five working days after the hearing, the 
 59.9   commissioner shall issue the commissioner's order and, if the 
 59.10  suspension is continued, schedule a contested case hearing 
 59.11  within 45 days after issuance of the order.  The administrative 
 59.12  law judge shall issue a report within 30 days after closing of 
 59.13  the contested case hearing record.  The commissioner shall issue 
 59.14  a final order within 30 days after receipt of that report. 
 59.15     Subd. 5.  [AUTOMATIC SUSPENSION.] The right of an 
 59.16  unlicensed complementary and alternative health care 
 59.17  practitioner to practice is automatically suspended if (1) a 
 59.18  guardian of an unlicensed complementary and alternative health 
 59.19  care practitioner is appointed by order of a court under 
 59.20  sections 525.54 to 525.61, or (2) the practitioner is committed 
 59.21  by order of a court pursuant to chapter 253B.  The right to 
 59.22  practice remains suspended until the practitioner is restored to 
 59.23  capacity by a court and, upon petition by the practitioner, the 
 59.24  suspension is terminated by the commissioner after a hearing or 
 59.25  upon agreement between the commissioner and the practitioner. 
 59.26     Sec. 12.  [146A.10] [ADDITIONAL REMEDIES.] 
 59.27     Subdivision 1.  [CEASE AND DESIST.] (a) The commissioner 
 59.28  may issue a cease and desist order to stop a person from 
 59.29  violating or threatening to violate a statute, rule, or order 
 59.30  which the office has issued or is empowered to enforce.  The 
 59.31  cease and desist order must state the reason for its issuance 
 59.32  and give notice of the person's right to request a hearing under 
 59.33  sections 14.57 to 14.62.  If, within 15 days of service of the 
 59.34  order, the subject of the order fails to request a hearing in 
 59.35  writing, the order is the final order of the commissioner and is 
 59.36  not reviewable by a court or agency. 
 60.1      (b) A hearing must be initiated by the office not later 
 60.2   than 30 days from the date of the office's receipt of a written 
 60.3   hearing request.  Within 30 days of receipt of the 
 60.4   administrative law judge's report, the commissioner shall issue 
 60.5   a final order modifying, vacating, or making permanent the cease 
 60.6   and desist order as the facts require.  The final order remains 
 60.7   in effect until modified or vacated by the commissioner. 
 60.8      (c) When a request for a stay accompanies a timely hearing 
 60.9   request, the commissioner may, in the commissioner's discretion, 
 60.10  grant the stay.  If the commissioner does not grant a requested 
 60.11  stay, the commissioner shall refer the request to the office of 
 60.12  administrative hearings within three working days of receipt of 
 60.13  the request.  Within ten days after receiving the request from 
 60.14  the commissioner, an administrative law judge shall issue a 
 60.15  recommendation to grant or deny the stay.  The commissioner 
 60.16  shall grant or deny the stay within five days of receiving the 
 60.17  administrative law judge's recommendation. 
 60.18     (d) In the event of noncompliance with a cease and desist 
 60.19  order, the commissioner may institute a proceeding in Hennepin 
 60.20  county district court to obtain injunctive relief or other 
 60.21  appropriate relief, including a civil penalty payable to the 
 60.22  office not exceeding $10,000 for each separate violation. 
 60.23     Subd. 2.  [INJUNCTIVE RELIEF.] In addition to any other 
 60.24  remedy provided by law, including the issuance of a cease and 
 60.25  desist order under subdivision 1, the commissioner may in the 
 60.26  commissioner's own name bring an action in Hennepin county 
 60.27  district court for injunctive relief to restrain an unlicensed 
 60.28  complementary and alternative health care practitioner from a 
 60.29  violation or threatened violation of any statute, rule, or order 
 60.30  which the commissioner is empowered to regulate, enforce, or 
 60.31  issue.  A temporary restraining order must be granted in the 
 60.32  proceeding if continued activity by a practitioner would create 
 60.33  a serious risk of harm to others.  The commissioner need not 
 60.34  show irreparable harm. 
 60.35     Subd. 3.  [ADDITIONAL POWERS.] The issuance of a cease and 
 60.36  desist order or injunctive relief granted under this section 
 61.1   does not relieve a practitioner from criminal prosecution by a 
 61.2   competent authority or from disciplinary action by the 
 61.3   commissioner. 
 61.4      Sec. 13.  [146A.11] [COMPLEMENTARY AND ALTERNATIVE HEALTH 
 61.5   CARE CLIENT BILL OF RIGHTS.] 
 61.6      Subdivision 1.  [SCOPE.] All unlicensed complementary and 
 61.7   alternative health care practitioners shall provide to each 
 61.8   complementary and alternative health care client prior to 
 61.9   providing treatment a written copy of the complementary and 
 61.10  alternative health care client bill of rights.  A copy must also 
 61.11  be posted in a prominent location in the office of the 
 61.12  unlicensed complementary and alternative health care 
 61.13  practitioner.  Reasonable accommodations shall be made for those 
 61.14  clients who cannot read or who have communication impairments 
 61.15  and those who do not read or speak English.  The complementary 
 61.16  and alternative health care client bill of rights shall include 
 61.17  the following: 
 61.18     (1) the name, title, business address, and telephone number 
 61.19  of the unlicensed complementary and alternative health care 
 61.20  practitioner; 
 61.21     (2) the degrees, training, experience, or other 
 61.22  qualifications of the practitioner, followed by the following 
 61.23  statement in bold print: 
 61.24     "THE STATE OF MINNESOTA HAS NOT ADOPTED ANY EDUCATIONAL AND 
 61.25  TRAINING STANDARDS FOR UNLICENSED COMPLEMENTARY AND ALTERNATIVE 
 61.26  HEALTH CARE PRACTITIONERS.  THIS STATEMENT OF CREDENTIALS IS FOR 
 61.27  INFORMATION PURPOSES ONLY. 
 61.28     The practices of an unlicensed complementary and 
 61.29  alternative health care practitioner do not constitute a 
 61.30  diagnosis from a licensed physician, chiropractor, or 
 61.31  acupuncture practitioner.  If a client desires a diagnosis from 
 61.32  a licensed physician, chiropractor, or acupuncture practitioner, 
 61.33  or services from a physician, chiropractor, nurse, osteopath, 
 61.34  physical therapist, dietitian, nutritionist, acupuncture 
 61.35  practitioner, athletic trainer, or any other type of health care 
 61.36  provider, the client may seek such services at any time."; 
 62.1      (3) the name, business address, and telephone number of the 
 62.2   practitioner's supervisor, if any; 
 62.3      (4) notice that a complementary and alternative health care 
 62.4   client has the right to file a complaint with the practitioner's 
 62.5   supervisor, if any, and the procedure for filing complaints; 
 62.6      (5) the name, address, and telephone number of the office 
 62.7   of unlicensed complementary and alternative health care practice 
 62.8   and notice that a client may file complaints with the office; 
 62.9      (6) the practitioner's fees per unit of service, the 
 62.10  practitioner's method of billing for such fees, the names of any 
 62.11  insurance companies that have agreed to reimburse the 
 62.12  practitioner, or health maintenance organizations with whom the 
 62.13  practitioner contracts to provide service, whether the 
 62.14  practitioner accepts Medicare, medical assistance, or general 
 62.15  assistance medical care, and whether the practitioner is willing 
 62.16  to accept partial payment, or to waive payment, and in what 
 62.17  circumstances; 
 62.18     (7) a statement that the client has a right to reasonable 
 62.19  notice of changes in services or charges; 
 62.20     (8) a brief summary, in plain language, of the theoretical 
 62.21  approach used by the practitioner in treating patients; 
 62.22     (9) notice that the client has a right to complete and 
 62.23  current information concerning the practitioner's assessment and 
 62.24  recommended course of treatment, including the expected duration 
 62.25  of treatment; 
 62.26     (10) a statement that clients may expect courteous 
 62.27  treatment and to be free from verbal, physical, or sexual abuse 
 62.28  by the practitioner; 
 62.29     (11) a statement that client records and transactions with 
 62.30  the practitioner are confidential, unless release of these 
 62.31  records is authorized in writing by the client, or otherwise 
 62.32  provided by law; 
 62.33     (12) a statement of the client's right to be allowed access 
 62.34  to records and written information from records in accordance 
 62.35  with section 144.335; 
 62.36     (13) a statement that other services may be available in 
 63.1   the community, including where information concerning services 
 63.2   is available; 
 63.3      (14) a statement that the client has the right to choose 
 63.4   freely among available practitioners and to change practitioners 
 63.5   after services have begun, within the limits of health 
 63.6   insurance, medical assistance, or other health programs; 
 63.7      (15) a statement that the client has a right to coordinated 
 63.8   transfer when there will be a change in the provider of 
 63.9   services; 
 63.10     (16) a statement that the client may refuse services or 
 63.11  treatment, unless otherwise provided by law; and 
 63.12     (17) a statement that the client may assert the client's 
 63.13  rights without retaliation. 
 63.14     Subd. 2.  [ACKNOWLEDGMENT BY CLIENT.] Prior to the 
 63.15  provision of any service, a complementary and alternative health 
 63.16  care client must sign a written statement attesting that the 
 63.17  client has received the complementary and alternative health 
 63.18  care client bill of rights. 
 63.19     Sec. 14.  Minnesota Statutes 1999 Supplement, section 
 63.20  147.09, is amended to read: 
 63.21     147.09 [EXEMPTIONS.] 
 63.22     Section 147.081 does not apply to, control, prevent or 
 63.23  restrict the practice, service, or activities of:  
 63.24     (1) A person who is a commissioned medical officer of, a 
 63.25  member of, or employed by, the armed forces of the United 
 63.26  States, the United States Public Health Service, the Veterans 
 63.27  Administration, any federal institution or any federal agency 
 63.28  while engaged in the performance of official duties within this 
 63.29  state, if the person is licensed elsewhere.  
 63.30     (2) A licensed physician from a state or country who is in 
 63.31  actual consultation here.  
 63.32     (3) A licensed or registered physician who treats the 
 63.33  physician's home state patients or other participating patients 
 63.34  while the physicians and those patients are participating 
 63.35  together in outdoor recreation in this state as defined by 
 63.36  section 86A.03, subdivision 3.  A physician shall first register 
 64.1   with the board on a form developed by the board for that 
 64.2   purpose.  The board shall not be required to promulgate the 
 64.3   contents of that form by rule.  No fee shall be charged for this 
 64.4   registration.  
 64.5      (4) A student practicing under the direct supervision of a 
 64.6   preceptor while the student is enrolled in and regularly 
 64.7   attending a recognized medical school.  
 64.8      (5) A student who is in continuing training and performing 
 64.9   the duties of an intern or resident or engaged in postgraduate 
 64.10  work considered by the board to be the equivalent of an 
 64.11  internship or residency in any hospital or institution approved 
 64.12  for training by the board, provided the student has a residency 
 64.13  permit issued by the board under section 147.0391. 
 64.14     (6) A person employed in a scientific, sanitary, or 
 64.15  teaching capacity by the state university, the department of 
 64.16  children, families, and learning, or by any public or private 
 64.17  school, college, or other bona fide educational institution, a 
 64.18  nonprofit organization, which has tax-exempt status in 
 64.19  accordance with the Internal Revenue Code, section 501(c)(3), 
 64.20  and is organized and operated primarily for the purpose of 
 64.21  conducting scientific research directed towards discovering the 
 64.22  causes of and cures for human diseases, or the state department 
 64.23  of health, whose duties are entirely of a research, public 
 64.24  health, or educational character, while engaged in such duties; 
 64.25  provided that if the research includes the study of humans, such 
 64.26  research shall be conducted under the supervision of one or more 
 64.27  physicians licensed under this chapter. 
 64.28     (7) Physician's assistants registered in this state.  
 64.29     (8) A doctor of osteopathy duly licensed by the state board 
 64.30  of osteopathy under Minnesota Statutes 1961, sections 148.11 to 
 64.31  148.16, prior to May 1, 1963, who has not been granted a license 
 64.32  to practice medicine in accordance with this chapter provided 
 64.33  that the doctor confines activities within the scope of the 
 64.34  license. 
 64.35     (9) Any person licensed by a health related licensing 
 64.36  board, as defined in section 214.01, subdivision 2, or 
 65.1   registered by the commissioner of health pursuant to section 
 65.2   214.13, including psychological practitioners with respect to 
 65.3   the use of hypnosis; provided that the person confines 
 65.4   activities within the scope of the license.  
 65.5      (10) A person who practices ritual circumcision pursuant to 
 65.6   the requirements or tenets of any established religion. 
 65.7      (11) A Christian Scientist or other person who endeavors to 
 65.8   prevent or cure disease or suffering exclusively by mental or 
 65.9   spiritual means or by prayer. 
 65.10     (12) A physician licensed to practice medicine in another 
 65.11  state who is in this state for the sole purpose of providing 
 65.12  medical services at a competitive athletic event.  The physician 
 65.13  may practice medicine only on participants in the athletic 
 65.14  event.  A physician shall first register with the board on a 
 65.15  form developed by the board for that purpose.  The board shall 
 65.16  not be required to adopt the contents of the form by rule.  The 
 65.17  physician shall provide evidence satisfactory to the board of a 
 65.18  current unrestricted license in another state.  The board shall 
 65.19  charge a fee of $50 for the registration.  
 65.20     (13) A psychologist licensed under section 148.907 or a 
 65.21  social worker licensed under section 148B.21 who uses or 
 65.22  supervises the use of a penile or vaginal plethysmograph in 
 65.23  assessing and treating individuals suspected of engaging in 
 65.24  aberrant sexual behavior and sex offenders. 
 65.25     (14) Any person issued a training course certificate or 
 65.26  credentialed by the emergency medical services regulatory board 
 65.27  established in chapter 144E, provided the person confines 
 65.28  activities within the scope of training at the certified or 
 65.29  credentialed level. 
 65.30     (15) An unlicensed complementary and alternative health 
 65.31  care practitioner practicing according to chapter 146A. 
 65.32     Sec. 15.  Minnesota Statutes 1999 Supplement, section 
 65.33  214.01, subdivision 2, is amended to read: 
 65.34     Subd. 2.  [HEALTH-RELATED LICENSING BOARD.] "Health-related 
 65.35  licensing board" means the board of examiners of nursing home 
 65.36  administrators established pursuant to section 144A.19, the 
 66.1   office of unlicensed complementary and alternative health care 
 66.2   practice established pursuant to section 146A.02, the board of 
 66.3   medical practice created pursuant to section 147.01, the board 
 66.4   of nursing created pursuant to section 148.181, the board of 
 66.5   chiropractic examiners established pursuant to section 148.02, 
 66.6   the board of optometry established pursuant to section 148.52, 
 66.7   the board of physical therapy established pursuant to section 
 66.8   148.67, the board of psychology established pursuant to section 
 66.9   148.90, the board of social work pursuant to section 148B.19, 
 66.10  the board of marriage and family therapy pursuant to section 
 66.11  148B.30, the office of mental health practice established 
 66.12  pursuant to section 148B.61, the alcohol and drug counselors 
 66.13  licensing advisory council established pursuant to section 
 66.14  148C.02, the board of dietetics and nutrition practice 
 66.15  established under section 148.622, the board of dentistry 
 66.16  established pursuant to section 150A.02, the board of pharmacy 
 66.17  established pursuant to section 151.02, the board of podiatric 
 66.18  medicine established pursuant to section 153.02, and the board 
 66.19  of veterinary medicine, established pursuant to section 156.01. 
 66.20     Sec. 16.  [REPORT TO THE LEGISLATURE.] 
 66.21     The commissioner of health shall report to the legislature 
 66.22  by January 1, 2003, on the number and types of complaints 
 66.23  received against unlicensed complementary and alternative health 
 66.24  care practitioners pursuant to Minnesota Statutes, chapter 146A, 
 66.25  the types of practitioners against whom complaints were filed, 
 66.26  and the locations of the practitioners, the number of 
 66.27  investigations conducted, and the number and types of 
 66.28  enforcement actions completed.  The report must be filed in 
 66.29  accordance with Minnesota Statutes, sections 3.195 and 3.197. 
 66.30     Sec. 17.  [EFFECTIVE DATE.] 
 66.31     This article is effective July 1, 2001. 
 66.32                             ARTICLE 4 
 66.33                           HUMAN SERVICES 
 66.34     Section 1.  Minnesota Statutes 1999 Supplement, section 
 66.35  119B.011, subdivision 15, is amended to read: 
 66.36     Subd. 15.  [INCOME.] "Income" means earned or unearned 
 67.1   income received by all family members, including public 
 67.2   assistance cash benefits and at-home infant care subsidy 
 67.3   payments, unless specifically excluded and child support and 
 67.4   maintenance distributed to the family under section 256.741, 
 67.5   subdivision 15.  The following are excluded from income:  funds 
 67.6   used to pay for health insurance premiums for family members, 
 67.7   Supplemental Security Income, scholarships, work-study income, 
 67.8   and grants that cover costs or reimbursement for tuition, fees, 
 67.9   books, and educational supplies; student loans for tuition, 
 67.10  fees, books, supplies, and living expenses; state and federal 
 67.11  earned income tax credits; in-kind income such as food stamps, 
 67.12  energy assistance, foster care assistance, medical assistance, 
 67.13  child care assistance, and housing subsidies; earned income of 
 67.14  full or part-time students, who have not earned a high school 
 67.15  diploma or GED high school equivalency diploma including 
 67.16  earnings from summer employment; grant awards under the family 
 67.17  subsidy program; nonrecurring lump sum income only to the extent 
 67.18  that it is earmarked and used for the purpose for which it is 
 67.19  paid; and any income assigned to the public authority according 
 67.20  to section 256.74 or 256.741. 
 67.21     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 67.22     Sec. 2.  Minnesota Statutes 1998, section 256.01, is 
 67.23  amended by adding a subdivision to read: 
 67.24     Subd. 18.  [IMMIGRATION STATUS 
 67.25  VERIFICATIONS.] Notwithstanding any waiver of this requirement 
 67.26  by the secretary of the United States Department of Health and 
 67.27  Human Services, the commissioner shall utilize the Systematic 
 67.28  Alien Verification for Entitlements (SAVE) program to conduct 
 67.29  immigration status verifications: 
 67.30     (1) as required under United States Code, title 8, section 
 67.31  1642; 
 67.32     (2) for all applicants for food assistance benefits, 
 67.33  whether under the federal food stamp program, the MFIP or work 
 67.34  first program, or the Minnesota food assistance program; 
 67.35     (3) for all applicants for general assistance medical care, 
 67.36  except assistance for an emergency medical condition, for 
 68.1   immunization with respect to an immunizable disease, or for 
 68.2   testing and treatment of symptoms of a communicable disease; and 
 68.3      (4) for all applicants for general assistance, Minnesota 
 68.4   supplemental aid, MinnesotaCare, or group residential housing, 
 68.5   when the benefits provided by these programs would fall under 
 68.6   the definition of "federal public benefit" under United States 
 68.7   Code, title 8, section 1642, if federal funds were used to pay 
 68.8   for all or part of the benefits.  
 68.9      The commissioner shall report to the Immigration and 
 68.10  Naturalization Service all undocumented persons who have been 
 68.11  identified through application verification procedures or by the 
 68.12  self-admission of an applicant for assistance.  Reports made 
 68.13  under this subdivision must comply with the requirements of 
 68.14  section 411A of the Social Security Act, as amended, and United 
 68.15  States Code, title 8, section 1644. 
 68.16     EFFECTIVE DATE:  This section is effective July 1, 2000. 
 68.17     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
 68.18  256.019, is amended to read: 
 68.19     256.019 [RECOVERY OF MONEY; APPORTIONMENT.] 
 68.20     Subdivision 1.  [RETENTION RATES.] When an assistance 
 68.21  recovery amount is recovered from any source for assistance 
 68.22  given collected and posted by a county agency under the 
 68.23  provisions governing public assistance programs including the 
 68.24  aid to families with dependent children program formerly 
 68.25  codified in sections 256.72 to 256.87, MFIP, general assistance 
 68.26  medical care, emergency assistance, general assistance, and 
 68.27  Minnesota supplemental aid, the county may keep one-half of the 
 68.28  recovery made by the county agency using any method other than 
 68.29  recoupment.  For medical assistance, if the recovery is made by 
 68.30  a county agency using any method other than recoupment, the 
 68.31  county may keep one-half of the nonfederal share of the recovery.
 68.32     This does not apply to recoveries from medical providers or 
 68.33  to recoveries begun by the department of human services' 
 68.34  surveillance and utilization review division, state hospital 
 68.35  collections unit, and the benefit recoveries division or, by the 
 68.36  attorney general's office, or child support collections.  In the 
 69.1   food stamp program, the nonfederal share of recoveries in the 
 69.2   federal tax refund offset program (FTROP) only will be divided 
 69.3   equally between the state agency and the involved county agency. 
 69.4      Subd. 2.  [RETENTION RATES FOR AFDC AND MFIP.] (a) When an 
 69.5   assistance recovery amount is collected and posted by a county 
 69.6   agency under the provisions governing the aid to families with 
 69.7   dependent children program formerly codified in 1996 in sections 
 69.8   256.72 to 256.87 or MFIP under chapter 256J, the commissioner 
 69.9   shall reimburse the county agency from the proceeds of the 
 69.10  recovery using the applicable rate specified in paragraph (b) or 
 69.11  (c). 
 69.12     (b) For recoveries of overpayments made on or before 
 69.13  September 30, 1996, from the aid to families with dependent 
 69.14  children program including the emergency assistance program, the 
 69.15  commissioner shall reimburse the county agency at a rate of 
 69.16  one-quarter of the recovery made by any method other than 
 69.17  recoupment. 
 69.18     (c) For recoveries of overpayments made after September 30, 
 69.19  1996, from the aid to families with dependent children including 
 69.20  the emergency assistance program and programs funded in whole or 
 69.21  in part by the temporary assistance to needy families program 
 69.22  under section 256J.02, subdivision 2, and recoveries of 
 69.23  nonfederally funded food assistance under section 256J.11, the 
 69.24  commissioner shall reimburse the county agency at a rate of 
 69.25  one-quarter of the recovery made by any method other than 
 69.26  recoupment. 
 69.27     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 69.28     Sec. 4.  Minnesota Statutes 1998, section 256.741, is 
 69.29  amended by adding a subdivision to read: 
 69.30     Subd. 15.  [CHILD SUPPORT DISTRIBUTION.] The state shall 
 69.31  distribute current child support and maintenance received by the 
 69.32  state to an individual who assigns the right to that support 
 69.33  under subdivision 2, paragraph (a). 
 69.34     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 69.35     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
 69.36  256J.02, subdivision 2, is amended to read: 
 70.1      Subd. 2.  [USE OF MONEY.] State money appropriated for 
 70.2   purposes of this section and TANF block grant money must be used 
 70.3   for: 
 70.4      (1) financial assistance to or on behalf of any minor child 
 70.5   who is a resident of this state under section 256J.12; 
 70.6      (2) employment and training services under this chapter or 
 70.7   chapter 256K; 
 70.8      (3) emergency financial assistance and services under 
 70.9   section 256J.48; 
 70.10     (4) diversionary assistance under section 256J.47; 
 70.11     (5) the health care and human services training and 
 70.12  retention program under chapter 116L, for costs associated with 
 70.13  families with children with incomes below 200 percent of the 
 70.14  federal poverty guidelines; 
 70.15     (6) the pathways program under section 116L.04, subdivision 
 70.16  1a; 
 70.17     (7) welfare-to-work extended employment services for MFIP 
 70.18  participants with severe impairment to employment as defined in 
 70.19  section 268A.15, subdivision 1a; 
 70.20     (8) the family homeless prevention and assistance program 
 70.21  under section 462A.204; 
 70.22     (9) the rent assistance for family stabilization 
 70.23  demonstration project under section 462A.205; and 
 70.24     (10) reimbursements for the federal share of child support 
 70.25  collections passed through to the custodial parent; 
 70.26     (11) programs and pilot projects under chapter 256K; and 
 70.27     (12) program administration under this chapter. 
 70.28     Sec. 6.  Minnesota Statutes 1999 Supplement, section 
 70.29  256J.08, subdivision 86, is amended to read: 
 70.30     Subd. 86.  [UNEARNED INCOME.] "Unearned income" means 
 70.31  income received by a person that does not meet the definition of 
 70.32  earned income.  Unearned income includes income from a contract 
 70.33  for deed, interest, dividends, reemployment compensation, 
 70.34  disability insurance payments, veterans benefits, pension 
 70.35  payments, return on capital investment, insurance payments or 
 70.36  settlements, severance payments, child support and maintenance 
 71.1   payments, and payments for illness or disability whether the 
 71.2   premium payments are made in whole or in part by an employer or 
 71.3   participant. 
 71.4      EFFECTIVE DATE:  This section is effective January 1, 2001. 
 71.5      Sec. 7.  Minnesota Statutes 1998, section 256J.15, is 
 71.6   amended by adding a subdivision to read: 
 71.7      Subd. 3.  [ELIGIBILITY AFTER CASE CLOSURE DUE TO 
 71.8   NONCOMPLIANCE.] (a) An applicant who is a member of an 
 71.9   assistance unit whose MFIP case was closed due to noncompliance 
 71.10  under either section 256J.26, subdivision 1, paragraph (a), 
 71.11  clause (2), item (ii), or 256J.46, subdivision 1, paragraph (b), 
 71.12  clause (3), and who applies for MFIP assistance within six 
 71.13  months of the date of the case closure is considered to be a new 
 71.14  applicant unit for purposes of the property limitations under 
 71.15  section 256J.20 and the payment of assistance provisions under 
 71.16  section 256J.24, subdivision 8.  The county agency must also use 
 71.17  the initial income test under section 256J.21, subdivision 3, in 
 71.18  determining the applicant's eligibility for assistance. 
 71.19     (b) Notwithstanding section 256J.24, subdivisions 5 to 7 
 71.20  and 9, for an applicant who is eligible for MFIP under this 
 71.21  subdivision, for each of the first three months on MFIP the 
 71.22  assistance unit's grant shall be reduced by ten percent of the 
 71.23  applicable MFIP standard of need for an assistance unit of the 
 71.24  same size, with the residual amount of the grant paid to the 
 71.25  assistance unit. 
 71.26     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 71.27     Sec. 8.  Minnesota Statutes 1999 Supplement, section 
 71.28  256J.21, subdivision 2, is amended to read: 
 71.29     Subd. 2.  [INCOME EXCLUSIONS.] (a) The following must be 
 71.30  excluded in determining a family's available income: 
 71.31     (1) payments for basic care, difficulty of care, and 
 71.32  clothing allowances received for providing family foster care to 
 71.33  children or adults under Minnesota Rules, parts 9545.0010 to 
 71.34  9545.0260 and 9555.5050 to 9555.6265, and payments received and 
 71.35  used for care and maintenance of a third-party beneficiary who 
 71.36  is not a household member; 
 72.1      (2) reimbursements for employment training received through 
 72.2   the Job Training Partnership Act, United States Code, title 29, 
 72.3   chapter 19, sections 1501 to 1792b; 
 72.4      (3) reimbursement for out-of-pocket expenses incurred while 
 72.5   performing volunteer services, jury duty, employment, or 
 72.6   informal carpooling arrangements directly related to employment; 
 72.7      (4) all educational assistance, except the county agency 
 72.8   must count graduate student teaching assistantships, 
 72.9   fellowships, and other similar paid work as earned income and, 
 72.10  after allowing deductions for any unmet and necessary 
 72.11  educational expenses, shall count scholarships or grants awarded 
 72.12  to graduate students that do not require teaching or research as 
 72.13  unearned income; 
 72.14     (5) loans, regardless of purpose, from public or private 
 72.15  lending institutions, governmental lending institutions, or 
 72.16  governmental agencies; 
 72.17     (6) loans from private individuals, regardless of purpose, 
 72.18  provided an applicant or participant documents that the lender 
 72.19  expects repayment; 
 72.20     (7)(i) state income tax refunds; and 
 72.21     (ii) federal income tax refunds; 
 72.22     (8)(i) federal earned income credits; 
 72.23     (ii) Minnesota working family credits; 
 72.24     (iii) state homeowners and renters credits under chapter 
 72.25  290A; and 
 72.26     (iv) federal or state tax rebates; 
 72.27     (9) funds received for reimbursement, replacement, or 
 72.28  rebate of personal or real property when these payments are made 
 72.29  by public agencies, awarded by a court, solicited through public 
 72.30  appeal, or made as a grant by a federal agency, state or local 
 72.31  government, or disaster assistance organizations, subsequent to 
 72.32  a presidential declaration of disaster; 
 72.33     (10) the portion of an insurance settlement that is used to 
 72.34  pay medical, funeral, and burial expenses, or to repair or 
 72.35  replace insured property; 
 72.36     (11) reimbursements for medical expenses that cannot be 
 73.1   paid by medical assistance; 
 73.2      (12) payments by a vocational rehabilitation program 
 73.3   administered by the state under chapter 268A, except those 
 73.4   payments that are for current living expenses; 
 73.5      (13) in-kind income, including any payments directly made 
 73.6   by a third party to a provider of goods and services; 
 73.7      (14) assistance payments to correct underpayments, but only 
 73.8   for the month in which the payment is received; 
 73.9      (15) emergency assistance payments; 
 73.10     (16) funeral and cemetery payments as provided by section 
 73.11  256.935; 
 73.12     (17) nonrecurring cash gifts of $30 or less, not exceeding 
 73.13  $30 per participant in a calendar month; 
 73.14     (18) any form of energy assistance payment made through 
 73.15  Public Law Number 97-35, Low-Income Home Energy Assistance Act 
 73.16  of 1981, payments made directly to energy providers by other 
 73.17  public and private agencies, and any form of credit or rebate 
 73.18  payment issued by energy providers; 
 73.19     (19) Supplemental Security Income, including retroactive 
 73.20  payments; 
 73.21     (20) Minnesota supplemental aid, including retroactive 
 73.22  payments; 
 73.23     (21) proceeds from the sale of real or personal property; 
 73.24     (22) adoption assistance payments under section 259.67; 
 73.25     (23) state-funded family subsidy program payments made 
 73.26  under section 252.32 to help families care for children with 
 73.27  mental retardation or related conditions, consumer support grant 
 73.28  funds under section 256.476, and resources and services for a 
 73.29  disabled household member under one of the home and 
 73.30  community-based waiver services programs under chapter 256B; 
 73.31     (24) interest payments and dividends from property that is 
 73.32  not excluded from and that does not exceed the asset limit; 
 73.33     (25) rent rebates; 
 73.34     (26) income earned by a minor caregiver, minor child 
 73.35  through age 6, or a minor child who is at least a half-time 
 73.36  student in an approved elementary or secondary education 
 74.1   program; 
 74.2      (27) income earned by a caregiver under age 20 who is at 
 74.3   least a half-time student in an approved elementary or secondary 
 74.4   education program; 
 74.5      (28) MFIP child care payments under section 119B.05; 
 74.6      (29) all other payments made through MFIP to support a 
 74.7   caregiver's pursuit of greater self-support; 
 74.8      (30) income a participant receives related to shared living 
 74.9   expenses; 
 74.10     (31) reverse mortgages; 
 74.11     (32) benefits provided by the Child Nutrition Act of 1966, 
 74.12  United States Code, title 42, chapter 13A, sections 1771 to 
 74.13  1790; 
 74.14     (33) benefits provided by the women, infants, and children 
 74.15  (WIC) nutrition program, United States Code, title 42, chapter 
 74.16  13A, section 1786; 
 74.17     (34) benefits from the National School Lunch Act, United 
 74.18  States Code, title 42, chapter 13, sections 1751 to 1769e; 
 74.19     (35) relocation assistance for displaced persons under the 
 74.20  Uniform Relocation Assistance and Real Property Acquisition 
 74.21  Policies Act of 1970, United States Code, title 42, chapter 61, 
 74.22  subchapter II, section 4636, or the National Housing Act, United 
 74.23  States Code, title 12, chapter 13, sections 1701 to 1750jj; 
 74.24     (36) benefits from the Trade Act of 1974, United States 
 74.25  Code, title 19, chapter 12, part 2, sections 2271 to 2322; 
 74.26     (37) war reparations payments to Japanese Americans and 
 74.27  Aleuts under United States Code, title 50, sections 1989 to 
 74.28  1989d; 
 74.29     (38) payments to veterans or their dependents as a result 
 74.30  of legal settlements regarding Agent Orange or other chemical 
 74.31  exposure under Public Law Number 101-239, section 10405, 
 74.32  paragraph (a)(2)(E); 
 74.33     (39) income that is otherwise specifically excluded from 
 74.34  MFIP consideration in federal law, state law, or federal 
 74.35  regulation; 
 74.36     (40) security and utility deposit refunds; 
 75.1      (41) American Indian tribal land settlements excluded under 
 75.2   Public Law Numbers 98-123, 98-124, and 99-377 to the Mississippi 
 75.3   Band Chippewa Indians of White Earth, Leech Lake, and Mille Lacs 
 75.4   reservations and payments to members of the White Earth Band, 
 75.5   under United States Code, title 25, chapter 9, section 331, and 
 75.6   chapter 16, section 1407; 
 75.7      (42) all income of the minor parent's parents and 
 75.8   stepparents when determining the grant for the minor parent in 
 75.9   households that include a minor parent living with parents or 
 75.10  stepparents on MFIP with other children; and 
 75.11     (43) income of the minor parent's parents and stepparents 
 75.12  equal to 200 percent of the federal poverty guideline for a 
 75.13  family size not including the minor parent and the minor 
 75.14  parent's child in households that include a minor parent living 
 75.15  with parents or stepparents not on MFIP when determining the 
 75.16  grant for the minor parent.  The remainder of income is deemed 
 75.17  as specified in section 256J.37, subdivision 1b; 
 75.18     (44) payments made to children eligible for relative 
 75.19  custody assistance under section 257.85; 
 75.20     (45) vendor payments for goods and services made on behalf 
 75.21  of a client unless the client has the option of receiving the 
 75.22  payment in cash; and 
 75.23     (46) the principal portion of a contract for deed payment. 
 75.24     Sec. 9.  Minnesota Statutes 1999 Supplement, section 
 75.25  256J.26, subdivision 1, is amended to read: 
 75.26     Subdivision 1.  [PERSON CONVICTED OF DRUG OFFENSES.] (a) 
 75.27  Applicants or participants who have been convicted of a drug 
 75.28  offense committed after July 1, 1997, may, if otherwise 
 75.29  eligible, receive MFIP benefits subject to the following 
 75.30  conditions: 
 75.31     (1) Benefits for the entire assistance unit must be paid in 
 75.32  vendor form for shelter and utilities during any time the 
 75.33  applicant is part of the assistance unit. 
 75.34     (2) The convicted applicant or participant shall be subject 
 75.35  to random drug testing as a condition of continued eligibility 
 75.36  and following any positive test for an illegal controlled 
 76.1   substance is subject to the following sanctions: 
 76.2      (i) for failing a drug test the first time, the 
 76.3   participant's grant shall be reduced by ten percent of the MFIP 
 76.4   standard of need, prior to making vendor payments for shelter 
 76.5   and utility costs; or 
 76.6      (ii) for failing a drug test two or more times, the 
 76.7   residual amount of the participant's grant after making vendor 
 76.8   payments for shelter and utility costs, if any, must be reduced 
 76.9   by an amount equal to 30 percent of the MFIP standard of need; 
 76.10  or 
 76.11     (ii) for failing a drug test two times, the assistance 
 76.12  unit's MFIP case must be closed, for both the cash and food 
 76.13  portions of MFIP assistance.  This case closure must be in 
 76.14  effect for a minimum of one month.  A county may not impose a 
 76.15  case closure under this provision unless the county first 
 76.16  follows the requirements of section 256J.46, subdivision 1, 
 76.17  paragraph (e). 
 76.18     (3) A participant who fails an initial a drug test the 
 76.19  first time and is under a sanction due to other MFIP program 
 76.20  requirements is considered to have more than one occurrence of 
 76.21  noncompliance, and is subject to the applicable level of 
 76.22  sanction in clause (2)(ii) as specified under section 256J.46, 
 76.23  subdivision 1, paragraph (b). 
 76.24     (b) Applicants requesting only food stamps or participants 
 76.25  receiving only food stamps, who have been convicted of a drug 
 76.26  offense that occurred after July 1, 1997, may, if otherwise 
 76.27  eligible, receive food stamps if the convicted applicant or 
 76.28  participant is subject to random drug testing as a condition of 
 76.29  continued eligibility.  Following a positive test for an illegal 
 76.30  controlled substance, the applicant is subject to the following 
 76.31  sanctions: 
 76.32     (1) for failing a drug test the first time, food stamps 
 76.33  shall be reduced by ten percent of the applicable food stamp 
 76.34  allotment; and 
 76.35     (2) for failing a drug test two or more times, food stamps 
 76.36  shall be reduced by an amount equal to 30 percent of the 
 77.1   applicable food stamp allotment.  
 77.2      (c) For the purposes of this subdivision, "drug offense" 
 77.3   means an offense that occurred after July 1, 1997, of sections 
 77.4   152.021 to 152.025, 152.0261, or 152.096.  Drug offense also 
 77.5   means a conviction in another jurisdiction of the possession, 
 77.6   use, or distribution of a controlled substance, or conspiracy to 
 77.7   commit any of these offenses, if the offense occurred after July 
 77.8   1, 1997, and the conviction is a felony offense in that 
 77.9   jurisdiction, or in the case of New Jersey, a high misdemeanor. 
 77.10     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 77.11     Sec. 10.  Minnesota Statutes 1998, section 256J.32, is 
 77.12  amended by adding a subdivision to read: 
 77.13     Subd. 7a.  [REQUIREMENT TO REPORT TO IMMIGRATION AND 
 77.14  NATURALIZATION SERVICES.] Notwithstanding subdivision 7, the 
 77.15  commissioner shall report to the Immigration and Naturalization 
 77.16  Services all undocumented persons who have been identified 
 77.17  through application verification procedures or by the 
 77.18  self-admission of an applicant for assistance.  Reports made 
 77.19  under this subdivision must comply with the requirements of 
 77.20  section 411A of the Social Security Act, as amended, and United 
 77.21  States Code, title 8, section 1644. 
 77.22     Sec. 11.  Minnesota Statutes 1999 Supplement, section 
 77.23  256J.33, subdivision 4, is amended to read: 
 77.24     Subd. 4.  [MONTHLY INCOME TEST.] A county agency must apply 
 77.25  the monthly income test retrospectively for each month of MFIP 
 77.26  eligibility.  An assistance unit is not eligible when the 
 77.27  countable income equals or exceeds the MFIP standard of need or 
 77.28  the family wage level for the assistance unit.  The income 
 77.29  applied against the monthly income test must include: 
 77.30     (1) gross earned income from employment, prior to mandatory 
 77.31  payroll deductions, voluntary payroll deductions, wage 
 77.32  authorizations, and after the disregards in section 256J.21, 
 77.33  subdivision 4, and the allocations in section 256J.36, unless 
 77.34  the employment income is specifically excluded under section 
 77.35  256J.21, subdivision 2; 
 77.36     (2) gross earned income from self-employment less 
 78.1   deductions for self-employment expenses in section 256J.37, 
 78.2   subdivision 5, but prior to any reductions for personal or 
 78.3   business state and federal income taxes, personal FICA, personal 
 78.4   health and life insurance, and after the disregards in section 
 78.5   256J.21, subdivision 4, and the allocations in section 256J.36; 
 78.6      (3) unearned income after deductions for allowable expenses 
 78.7   in section 256J.37, subdivision 9, and allocations in section 
 78.8   256J.36, unless the income has been specifically excluded in 
 78.9   section 256J.21, subdivision 2; 
 78.10     (4) gross earned income from employment as determined under 
 78.11  clause (1) which is received by a member of an assistance unit 
 78.12  who is a minor child or minor caregiver and less than a 
 78.13  half-time student; 
 78.14     (5) child support and spousal support received or 
 78.15  anticipated to be received by an assistance unit; 
 78.16     (6) the income of a parent when that parent is not included 
 78.17  in the assistance unit; 
 78.18     (7) the income of an eligible relative and spouse who seek 
 78.19  to be included in the assistance unit; and 
 78.20     (8) the unearned income of a minor child included in the 
 78.21  assistance unit. 
 78.22     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 78.23     Sec. 12.  Minnesota Statutes 1999 Supplement, section 
 78.24  256J.34, subdivision 1, is amended to read: 
 78.25     Subdivision 1.  [PROSPECTIVE BUDGETING.] A county agency 
 78.26  must use prospective budgeting to calculate the assistance 
 78.27  payment amount for the first two months for an applicant who has 
 78.28  not received assistance in this state for at least one payment 
 78.29  month preceding the first month of payment under a current 
 78.30  application.  Notwithstanding subdivision 3, paragraph (a), 
 78.31  clause (2), a county agency must use prospective budgeting for 
 78.32  the first two months for a person who applies to be added to an 
 78.33  assistance unit.  Prospective budgeting is not subject to 
 78.34  overpayments or underpayments unless fraud is determined under 
 78.35  section 256.98. 
 78.36     (a) The county agency must apply the income received or 
 79.1   anticipated in the first month of MFIP eligibility against the 
 79.2   need of the first month.  The county agency must apply the 
 79.3   income received or anticipated in the second month against the 
 79.4   need of the second month. 
 79.5      (b) When the assistance payment for any part of the first 
 79.6   two months is based on anticipated income, the county agency 
 79.7   must base the initial assistance payment amount on the 
 79.8   information available at the time the initial assistance payment 
 79.9   is made. 
 79.10     (c) The county agency must determine the assistance payment 
 79.11  amount for the first two months of MFIP eligibility by budgeting 
 79.12  both recurring and nonrecurring income for those two months. 
 79.13     (d) The county agency must budget the child support income 
 79.14  received or anticipated to be received by an assistance unit to 
 79.15  determine the assistance payment amount from the month of 
 79.16  application through the date in which MFIP eligibility is 
 79.17  determined and assistance is authorized.  Child support income 
 79.18  which has been budgeted to determine the assistance payment in 
 79.19  the initial two months is considered nonrecurring income.  An 
 79.20  assistance unit must forward any payment of child support to the 
 79.21  child support enforcement unit of the county agency following 
 79.22  the date in which assistance is authorized. 
 79.23     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 79.24     Sec. 13.  Minnesota Statutes 1999 Supplement, section 
 79.25  256J.34, subdivision 4, is amended to read: 
 79.26     Subd. 4.  [SIGNIFICANT CHANGE IN GROSS INCOME.] The county 
 79.27  agency must recalculate the assistance payment when an 
 79.28  assistance unit experiences a significant change, as defined in 
 79.29  section 256J.08, resulting in a reduction in the gross income 
 79.30  received in the payment month from the gross income received in 
 79.31  the budget month.  The county agency must issue a supplemental 
 79.32  assistance payment based on the county agency's best estimate of 
 79.33  the assistance unit's income and circumstances for the payment 
 79.34  month.  Supplemental assistance payments that result from 
 79.35  significant changes are limited to two in a 12-month period 
 79.36  regardless of the reason for the change.  Notwithstanding any 
 80.1   other statute or rule of law, supplementary assistance payments 
 80.2   shall not be made when the significant change in income is the 
 80.3   result of receipt of a lump sum, receipt of an extra paycheck, 
 80.4   business fluctuation in self-employment income, or an assistance 
 80.5   unit member's participation in a strike or other labor 
 80.6   action.  Supplementary assistance payments due to a significant 
 80.7   change in the amount of direct support received must not be made 
 80.8   after the date the assistance unit is required to forward 
 80.9   support to the child support enforcement unit under subdivision 
 80.10  1, paragraph (d). 
 80.11     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 80.12     Sec. 14.  Minnesota Statutes 1998, section 256J.40, is 
 80.13  amended to read: 
 80.14     256J.40 [FAIR HEARINGS.] 
 80.15     Subdivision 1.  [FAIR HEARING PROCESS.] Caregivers 
 80.16  receiving a notice of intent to sanction or a notice of adverse 
 80.17  action that includes a sanction, reduction in benefits, 
 80.18  suspension of benefits, denial of benefits, or termination of 
 80.19  benefits may request a fair hearing.  A request for a fair 
 80.20  hearing must be submitted in writing to the county agency or to 
 80.21  the commissioner and must be mailed within 30 days after a 
 80.22  participant or former participant receives written notice of the 
 80.23  agency's action or within 90 days when a participant or former 
 80.24  participant shows good cause for not submitting the request 
 80.25  within 30 days.  A former participant who receives a notice of 
 80.26  adverse action due to an overpayment may appeal the adverse 
 80.27  action according to the requirements in this section.  Issues 
 80.28  that may be appealed are: 
 80.29     (1) the amount of the assistance payment; 
 80.30     (2) a suspension, reduction, denial, or termination of 
 80.31  assistance; 
 80.32     (3) the basis for an overpayment, the calculated amount of 
 80.33  an overpayment, and the level of recoupment; 
 80.34     (4) the eligibility for an assistance payment; and 
 80.35     (5) the use of protective or vendor payments under section 
 80.36  256J.39, subdivision 2, clauses (1) to (3). 
 81.1      A county agency must not reduce, suspend, or terminate 
 81.2   payment when an aggrieved participant requests a fair hearing 
 81.3   prior to the effective date of the adverse action or within ten 
 81.4   days of the mailing of the notice of adverse action, whichever 
 81.5   is later, unless the participant requests in writing not to 
 81.6   receive continued assistance pending a hearing decision.  
 81.7   Assistance issued pending a fair hearing is subject to recovery 
 81.8   under section 256J.38 when as a result of the fair hearing 
 81.9   decision the participant is determined ineligible for assistance 
 81.10  or the amount of the assistance received.  A county agency may 
 81.11  increase or reduce an assistance payment while an appeal is 
 81.12  pending when the circumstances of the participant change and are 
 81.13  not related to the issue on appeal.  The commissioner's order is 
 81.14  binding on a county agency.  No additional notice is required to 
 81.15  enforce the commissioner's order. 
 81.16     A county agency shall reimburse appellants for reasonable 
 81.17  and necessary expenses of attendance at the hearing, such as 
 81.18  child care and transportation costs and for the transportation 
 81.19  expenses of the appellant's witnesses and representatives to and 
 81.20  from the hearing.  Reasonable and necessary expenses do not 
 81.21  include legal fees.  Fair hearings must be conducted at a 
 81.22  reasonable time and date by an impartial referee employed by the 
 81.23  department.  The hearing may be conducted by telephone or at a 
 81.24  site that is readily accessible to persons with disabilities. 
 81.25     The appellant may introduce new or additional evidence 
 81.26  relevant to the issues on appeal.  Recommendations of the 
 81.27  appeals referee and decisions of the commissioner must be based 
 81.28  on evidence in the hearing record and are not limited to a 
 81.29  review of the county agency action.  
 81.30     Subd. 2.  [EXCEPTION; AUTOMATIC HEARING.] No written 
 81.31  request is required to initiate a fair hearing under subdivision 
 81.32  1 if the participant is otherwise subject to case closure due to 
 81.33  noncompliance under section 256J.46, subdivision 1, paragraph 
 81.34  (b), clause (3). 
 81.35     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 81.36     Sec. 15.  Minnesota Statutes 1998, section 256J.45, 
 82.1   subdivision 3, is amended to read: 
 82.2      Subd. 3.  [GOOD CAUSE EXEMPTIONS FOR NOT ATTENDING 
 82.3   ORIENTATION.] (a) The county agency shall not impose the 
 82.4   sanction under section 256J.46 if it determines that the 
 82.5   participant has good cause for failing to attend orientation.  
 82.6   Good cause exists when: 
 82.7      (1) appropriate child care is not available; 
 82.8      (2) the participant is ill or injured; 
 82.9      (3) a family member is ill and needs care by the 
 82.10  participant that prevents the participant from attending 
 82.11  orientation.  For a caregiver with a child or adult in the 
 82.12  household who meets the disability or medical criteria for home 
 82.13  care services under section 256B.0627, subdivision 1, paragraph 
 82.14  (c) or a home and community-based waiver services program under 
 82.15  chapter 256B, or meets the criteria for severe emotional 
 82.16  disturbance under section 245.4871, subdivision 6, or for 
 82.17  serious and persistent mental illness under section 245.462, 
 82.18  subdivision 20, paragraph (c), good cause also exists when an 
 82.19  interruption in the provision of those services occurs which 
 82.20  prevents the participant from attending orientation; 
 82.21     (4) the caregiver is unable to secure necessary 
 82.22  transportation; 
 82.23     (5) the caregiver is in an emergency situation that 
 82.24  prevents orientation attendance; 
 82.25     (6) the orientation conflicts with the caregiver's work, 
 82.26  training, or school schedule; or 
 82.27     (7) the caregiver documents other verifiable impediments to 
 82.28  orientation attendance beyond the caregiver's control.  
 82.29     (b) Counties must work with clients to provide child care 
 82.30  and transportation necessary to ensure a caregiver has every 
 82.31  opportunity to attend orientation. 
 82.32     Sec. 16.  Minnesota Statutes 1999 Supplement, section 
 82.33  256J.46, subdivision 1, is amended to read: 
 82.34     Subdivision 1.  [SANCTIONS FOR PARTICIPANTS NOT COMPLYING 
 82.35  WITH PROGRAM REQUIREMENTS.] (a) A participant who fails without 
 82.36  good cause to comply with the requirements of this chapter, and 
 83.1   who is not subject to a sanction under subdivision 2, shall be 
 83.2   subject to a sanction as provided in this subdivision. 
 83.3      For purposes of this section, an occurrence of 
 83.4   noncompliance means a failure by a participant, without good 
 83.5   cause, to comply with the requirements of this chapter.  Each 
 83.6   month that a participant in an assistance unit fails to comply 
 83.7   with a requirement of this chapter shall be considered a 
 83.8   separate occurrence of noncompliance for which the assistance 
 83.9   unit's grant must be sanctioned as provided in this section.  In 
 83.10  applying a sanction to a two-parent assistance unit, each 
 83.11  occurrence of noncompliance by either participant shall be 
 83.12  considered a separate occurrence of noncompliance for which the 
 83.13  assistance unit is subject to sanction. 
 83.14     A sanction under this subdivision becomes effective the 
 83.15  month following the month in which a required notice is given.  
 83.16  A sanction must not be imposed when a participant comes into 
 83.17  compliance with the requirements for orientation under section 
 83.18  256J.45 or third-party liability for medical services under 
 83.19  section 256J.30, subdivision 10, prior to the effective date of 
 83.20  the sanction.  A sanction must not be imposed when a participant 
 83.21  comes into compliance with the requirements for employment and 
 83.22  training services under sections 256J.49 to 256J.72 ten days 
 83.23  prior to the effective date of the sanction.  For purposes of 
 83.24  this subdivision, each month that a participant fails to comply 
 83.25  with a requirement of this chapter shall be considered a 
 83.26  separate occurrence of noncompliance.  A participant who has had 
 83.27  one or more sanctions imposed must remain in compliance with the 
 83.28  provisions of this chapter for six months in order for a 
 83.29  subsequent occurrence of noncompliance to be considered a first 
 83.30  occurrence.  
 83.31     (b) Sanctions for noncompliance shall be imposed as follows:
 83.32     (1) For the first occurrence of noncompliance by a 
 83.33  participant in a single-parent household or by one participant 
 83.34  in a two-parent household an assistance unit, the assistance 
 83.35  unit's grant shall be reduced by ten percent of the MFIP 
 83.36  standard of need for an assistance unit of the same size with 
 84.1   the residual grant paid to the participant.  The reduction in 
 84.2   the grant amount must be in effect for a minimum of one month 
 84.3   and shall be removed in the month following the month that the 
 84.4   participant returns to compliance.  
 84.5      (2) For a second or subsequent, third, fourth, or fifth 
 84.6   occurrence of noncompliance, or when both participants in a 
 84.7   two-parent household are out of compliance at the same time, the 
 84.8   assistance unit's shelter costs shall be vendor paid up to the 
 84.9   amount of the cash portion of the MFIP grant for which 
 84.10  the participant's assistance unit is eligible.  At county 
 84.11  option, the assistance unit's utilities may also be vendor paid 
 84.12  up to the amount of the cash portion of the MFIP grant remaining 
 84.13  after vendor payment of the assistance unit's shelter costs.  
 84.14  The residual amount of the grant after vendor payment, if any, 
 84.15  must be reduced by an amount equal to 30 percent of the MFIP 
 84.16  standard of need for an assistance unit of the same size before 
 84.17  the residual grant is paid to the assistance unit.  The 
 84.18  reduction in the grant amount must be in effect for a minimum of 
 84.19  one month and shall be removed in the month following the month 
 84.20  that a the participant in a one-parent household assistance unit 
 84.21  returns to compliance.  In a two-parent household assistance 
 84.22  unit, the grant reduction must be in effect for a minimum of one 
 84.23  month and shall be removed in the month following the month both 
 84.24  participants return to compliance.  The vendor payment of 
 84.25  shelter costs and, if applicable, utilities shall be removed six 
 84.26  months after the month in which the participant or participants 
 84.27  return to compliance. 
 84.28     (3) For a sixth occurrence of noncompliance, the assistance 
 84.29  unit's MFIP case must be closed, for both the cash and food 
 84.30  portions of MFIP assistance.  This case closure must be in 
 84.31  effect for a minimum of one full month.  A county may not impose 
 84.32  a case closure under this clause before an automatic fair 
 84.33  hearing is held as required by section 256J.40, subdivision 2.  
 84.34  The hearing may only be waived in writing.  If a participant 
 84.35  waives the right to this hearing, or the participant or the 
 84.36  participant's representative fails to appear at the hearing, the 
 85.1   case closure must be imposed. 
 85.2      The notice of case closure must inform the participant that 
 85.3   the assistance unit may be eligible for food assistance, and how 
 85.4   to apply for the federal food stamp program. 
 85.5      (c) No later than during the second month that Before a 
 85.6   sanction under paragraph (b), clause (2), is in effect due to 
 85.7   noncompliance with employment services (1), may be imposed, the 
 85.8   participant's case file must be reviewed to determine if: job 
 85.9   counselor must initiate personal contact with the participant by 
 85.10  attempting to have either a personal meeting or a telephone 
 85.11  conversation with the participant.  The job counselor shall 
 85.12  thoroughly review the exemption categories and good cause 
 85.13  exception categories to determine if the participant falls under 
 85.14  one or more of these categories.  The participant's case file 
 85.15  must also be reviewed by county staff or employment and training 
 85.16  service provider staff other than the participant's current job 
 85.17  counselor to determine if: 
 85.18     (i) the continued noncompliance can be explained and 
 85.19  mitigated by providing a needed preemployment activity, as 
 85.20  defined in section 256J.49, subdivision 13, clause (16); 
 85.21     (ii) the participant qualifies for a good cause exception 
 85.22  under section 256J.57; or 
 85.23     (iii) the participant qualifies for an exemption under 
 85.24  section 256J.56. 
 85.25     If the lack of an identified activity can explain the 
 85.26  noncompliance, the county must work with the participant to 
 85.27  provide the identified activity, and the county must restore the 
 85.28  participant's grant amount to the full amount for which the 
 85.29  assistance unit is eligible.  The grant must be restored 
 85.30  retroactively to the first day of the month in which the 
 85.31  participant was found to lack preemployment activities or to 
 85.32  qualify for an exemption or good cause exception. 
 85.33     If the participant is found to qualify for a good cause 
 85.34  exception or an exemption, the county must restore the 
 85.35  participant's grant to the full amount for which the assistance 
 85.36  unit is eligible.  
 86.1      (d) At the county agency's option, the provisions of this 
 86.2   paragraph may be followed in place of the provisions in 
 86.3   paragraph (e).  During the month that a sanction is in effect 
 86.4   for a second occurrence of noncompliance, the participant may be 
 86.5   offered a face-to-face intervention in the participant's home by 
 86.6   a county representative who is knowledgeable about family 
 86.7   intervention strategies.  During this intervention the 
 86.8   participant's needs and possible reasons for noncompliance must 
 86.9   be assessed, and an identification of existing resources that 
 86.10  could be used to assist the participant to return to compliance 
 86.11  must be made.  The information gathered during this intervention 
 86.12  must be reported to the participant's job counselor, along with 
 86.13  any recommendations for referrals to existing resources or 
 86.14  modifications to the activities in the participant's approved 
 86.15  plan under section 256J.52.  The county representative who 
 86.16  conducts the intervention required under this paragraph may be 
 86.17  an existing county staff person, staff from a nonprofit agency, 
 86.18  or a trained paraprofessional. 
 86.19     (e) Before a sanction may be imposed under paragraph (b), 
 86.20  clause (2), for a second occurrence of noncompliance, the 
 86.21  participant's case must be reviewed by the county agency.  If 
 86.22  this review confirms that the sanction process under this 
 86.23  subdivision has been appropriately implemented, the county must 
 86.24  attempt to contact the participant, through a written notice and 
 86.25  by telephone, to offer a face-to-face meeting with county staff 
 86.26  or employment and training service provider staff, unless the 
 86.27  participant received a face-to-face meeting as part of the 
 86.28  personal contact and case file review provisions under paragraph 
 86.29  (c).  If the participant received a face-to-face meeting under 
 86.30  paragraph (c), the county must meet the requirements in this 
 86.31  paragraph as a case file review, but no additional face-to-face 
 86.32  meeting with the participant is required. 
 86.33     If the participant does not respond to the written notice 
 86.34  and cannot be reached by phone, a county representative must 
 86.35  attempt to visit the participant at the participant's home 
 86.36  before imposing the sanction under paragraph (b), clause (2). 
 87.1      The face-to-face meeting must be conducted by staff other 
 87.2   than the participant's current job counselor.  At this meeting 
 87.3   the participant's plan and the continued noncompliance must be 
 87.4   reviewed, and the staff must: 
 87.5      (1) identify the specific requirements the participant is 
 87.6   not complying with and what the participant must do to comply; 
 87.7      (2) determine if the participant qualifies for a good cause 
 87.8   exception under section 256J.57; 
 87.9      (3) determine if the participant qualifies for an exemption 
 87.10  under section 256J.56; 
 87.11     (4) seek to determine the appropriateness of the activities 
 87.12  in the participant's plan; 
 87.13     (5) explain what will happen if the participant continues 
 87.14  to remain out of compliance with program requirements; 
 87.15     (6) identify other resources that may be available to meet 
 87.16  the needs of the participant's family; and 
 87.17     (7) inform the participant of the right to appeal the 
 87.18  sanction under section 256J.40, subdivision 1.  
 87.19     All contacts with the participant and attempts to contact 
 87.20  the participant regarding the sanction must be documented in the 
 87.21  case file.  If the participant is found to qualify for a good 
 87.22  cause exception or an exemption, the county must restore the 
 87.23  participant's grant to the full amount for which the assistance 
 87.24  unit is eligible.  If one or more of the activities in the 
 87.25  participant's plan is no longer appropriate, the plan must be 
 87.26  revised to reflect that determination, and the sanction under 
 87.27  paragraph (b), clause (2), may not be imposed.  If the 
 87.28  participant does not respond to the county's efforts to 
 87.29  establish face-to-face contact, or when contacted chooses not to 
 87.30  comply with the program's requirements and does not qualify for 
 87.31  a good cause exception or an exemption, the sanction under 
 87.32  paragraph (b), clause (2), must be imposed.  
 87.33     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 87.34     Sec. 17.  Minnesota Statutes 1999 Supplement, section 
 87.35  256J.46, subdivision 2, is amended to read: 
 87.36     Subd. 2.  [SANCTIONS FOR REFUSAL TO COOPERATE WITH SUPPORT 
 88.1   REQUIREMENTS.] An MFIP caregiver whose only noncompliance with a 
 88.2   program requirement is due to noncooperation with support 
 88.3   requirements under section 256.741 is not subject to sanction as 
 88.4   specified in subdivision 1.  The grant of an MFIP caregiver who 
 88.5   refuses to cooperate, as determined by the child support 
 88.6   enforcement agency, with support requirements under section 
 88.7   256.741, shall be subject to sanction as specified in this 
 88.8   subdivision.  The assistance unit's grant must be reduced by 25 
 88.9   percent of the applicable MFIP standard of need.  The residual 
 88.10  amount of the grant, if any, must be paid to the caregiver.  A 
 88.11  sanction under this subdivision becomes effective the first 
 88.12  month following the month in which a required notice is given.  
 88.13  A sanction must not be imposed when a caregiver comes into 
 88.14  compliance with the requirements under section 256.741 prior to 
 88.15  the effective date of the sanction.  The sanction shall be 
 88.16  removed in the month following the month that the caregiver 
 88.17  cooperates with the support requirements.  Each month that an 
 88.18  MFIP caregiver fails to comply with the requirements of section 
 88.19  256.741 must be considered a separate occurrence of 
 88.20  noncompliance.  An MFIP caregiver who has had one or more 
 88.21  sanctions imposed under this subdivision must remain in 
 88.22  compliance with the requirements of section 256.741 for six 
 88.23  months in order for a subsequent sanction to be considered a 
 88.24  first occurrence. 
 88.25     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 88.26     Sec. 18.  Minnesota Statutes 1999 Supplement, section 
 88.27  256J.46, subdivision 2a, is amended to read: 
 88.28     Subd. 2a.  [DUAL SANCTIONS.] (a) Notwithstanding the 
 88.29  provisions of subdivisions 1 and 2, for a participant subject to 
 88.30  a sanction for refusal to comply with child support requirements 
 88.31  under subdivision 2 and subject to a concurrent sanction for 
 88.32  refusal to cooperate with other program requirements under 
 88.33  subdivision 1, sanctions shall be imposed in the manner 
 88.34  prescribed in this subdivision. 
 88.35     A participant who has had one or more sanctions imposed 
 88.36  under this subdivision must remain in compliance with the 
 89.1   provisions of this chapter for six months in order for a 
 89.2   subsequent occurrence of noncompliance to be considered a first 
 89.3   occurrence.  Any vendor payment of shelter costs or utilities 
 89.4   under this subdivision must remain in effect for six months 
 89.5   after the month in which the participant is no longer subject to 
 89.6   sanction under subdivision 1. 
 89.7      (b) If the participant was subject to sanction for: 
 89.8      (i) noncompliance under subdivision 1 before being subject 
 89.9   to sanction for noncooperation under subdivision 2; or 
 89.10     (ii) noncooperation under subdivision 2 before being 
 89.11  subject to sanction for noncompliance under subdivision 1; 
 89.12  under either subdivision 1 or 2 before being subject to sanction 
 89.13  under the other of those subdivisions, the participant shall be 
 89.14  sanctioned as provided in subdivision 1, paragraph (b), clause 
 89.15  clauses (2) and (3), and the requirement that the county conduct 
 89.16  a review as specified in subdivision 1, paragraph (c), remains 
 89.17  in effect. 
 89.18     (c) A participant who first becomes subject to sanction 
 89.19  under both subdivisions 1 and 2 in the same month is subject to 
 89.20  sanction as follows: 
 89.21     (i) in the first month of noncompliance and noncooperation, 
 89.22  the participant's grant must be reduced by 25 percent of the 
 89.23  applicable MFIP standard of need, with any residual amount paid 
 89.24  to the participant; 
 89.25     (ii) in the second and subsequent months of noncompliance 
 89.26  and noncooperation, the participant shall be sanctioned as 
 89.27  provided in subdivision 1, paragraph (b), clause clauses (2) and 
 89.28  (3). 
 89.29     The requirement that the county conduct a review as 
 89.30  specified in subdivision 1, paragraph (c), remains in effect. 
 89.31     (d) A participant remains subject to sanction under 
 89.32  subdivision 2 if the participant: 
 89.33     (i) returns to compliance and is no longer subject to 
 89.34  sanction under subdivision 1; or 
 89.35     (ii) has the sanction under subdivision 1, paragraph (b), 
 89.36  removed upon completion of the review under subdivision 1, 
 90.1   paragraph (c). 
 90.2      A participant remains subject to sanction under subdivision 
 90.3   1, paragraph (b), if the participant cooperates and is no longer 
 90.4   subject to sanction under subdivision 2. 
 90.5      EFFECTIVE DATE:  This section is effective January 1, 2001. 
 90.6      Sec. 19.  Minnesota Statutes 1998, section 256J.46, is 
 90.7   amended by adding a subdivision to read: 
 90.8      Subd. 3.  [SANCTION STATUS AFTER CASE CLOSURE DUE TO 
 90.9   NONCOMPLIANCE.] An applicant whose MFIP case was closed due to 
 90.10  noncompliance under subdivision 1, paragraph (b), clause (3), 
 90.11  who applies for MFIP assistance within six months of the date of 
 90.12  the case closure, and who is determined to be eligible for MFIP 
 90.13  assistance, is considered to have a first occurrence of 
 90.14  noncompliance under subdivision 1.  The applicant must remain in 
 90.15  compliance with the provisions of this chapter in order for a 
 90.16  subsequent occurrence of noncompliance to be considered a first 
 90.17  occurrence. 
 90.18     EFFECTIVE DATE:  This section is effective January 1, 2001. 
 90.19     Sec. 20.  Minnesota Statutes 1998, section 256J.46, is 
 90.20  amended by adding a subdivision to read: 
 90.21     Subd. 4.  [MONITORING, SAFETY NET SERVICES REQUIRED AFTER 
 90.22  CASE CLOSURE.] (a) When a participant's MFIP case is closed due 
 90.23  to noncompliance under subdivision 1, paragraph (b), clause (3), 
 90.24  the county agency shall monitor the well-being of the children 
 90.25  in the household who are at risk of safety, health or 
 90.26  nutritional problems due to the lack of resources available to 
 90.27  the family.  The county agency shall protect the welfare of the 
 90.28  children in the household by providing a full array of necessary 
 90.29  health and welfare services or other resources to the children 
 90.30  or family, or by taking other appropriate actions. 
 90.31     (b)  The county agency must report quarterly to the 
 90.32  commissioner of human services on the number of participants 
 90.33  whose MFIP case has been closed due to noncompliance under 
 90.34  subdivision 1, paragraph (b), clause (3).  The commissioner 
 90.35  shall provide timely periodic reports containing summary 
 90.36  information on the number of families who received a 100% 
 91.1   sanction, and on county utilization of the safety net services 
 91.2   reserve account, to the chairs of the house and senate policy 
 91.3   committees, finance committee and budget division with 
 91.4   jurisdiction over MFIP. 
 91.5      EFFECTIVE DATE:  This section is effective January 1, 2001. 
 91.6      Sec. 21.  Minnesota Statutes 1998, section 256J.47, 
 91.7   subdivision 1, is amended to read: 
 91.8      Subdivision 1.  [ELIGIBILITY.] A family is eligible to 
 91.9   receive diversionary assistance once every 36 12 months if: 
 91.10     (1) a family member has resided in this state for at least 
 91.11  30 days; 
 91.12     (2) the caregiver provides verification that the caregiver 
 91.13  has either experienced an unexpected occurrence that makes it 
 91.14  impossible to retain or obtain employment or the caregiver has a 
 91.15  temporary loss of income, which is not due to refusing to accept 
 91.16  or terminating suitable employment as defined in section 
 91.17  256J.49, without good cause under section 256J.57, resulting in 
 91.18  an emergency; 
 91.19     (3) the caregiver is at risk of MFIP-S eligibility if 
 91.20  diversionary assistance is not provided and household income is 
 91.21  below 140 200 percent of the federal poverty guidelines; and 
 91.22     (4) the diversionary assistance will resolve the emergency 
 91.23  and divert the family from applying for MFIP-S. 
 91.24     For purposes of this section, diversionary assistance means 
 91.25  a one-time lump-sum payment to an individual or third-party 
 91.26  vendor to prevent long-term receipt of public assistance. 
 91.27     Sec. 22.  Minnesota Statutes 1998, section 256J.49, 
 91.28  subdivision 13, is amended to read: 
 91.29     Subd. 13.  [WORK ACTIVITY.] "Work activity" means any 
 91.30  activity in a participant's approved employment plan that is 
 91.31  tied to the participant's employment goal.  For purposes of the 
 91.32  MFIP-S MFIP program, any activity that is included in a 
 91.33  participant's approved employment plan meets the definition of 
 91.34  work activity as counted under the federal participation 
 91.35  standards.  Work activity includes, but is not limited to: 
 91.36     (1) unsubsidized employment; 
 92.1      (2) subsidized private sector or public sector employment, 
 92.2   including grant diversion as specified in section 256J.69; 
 92.3      (3) work experience, including CWEP as specified in section 
 92.4   256J.67, and including work associated with the refurbishing of 
 92.5   publicly assisted housing if sufficient private sector 
 92.6   employment is not available; 
 92.7      (4) on-the-job training as specified in section 256J.66; 
 92.8      (5) job search, either supervised or unsupervised; 
 92.9      (6) job readiness assistance; 
 92.10     (7) job clubs, including job search workshops; 
 92.11     (8) job placement; 
 92.12     (9) job development; 
 92.13     (10) job-related counseling; 
 92.14     (11) job coaching; 
 92.15     (12) job retention services; 
 92.16     (13) job-specific training or education; 
 92.17     (14) job skills training directly related to employment; 
 92.18     (15) the self-employment investment demonstration (SEID), 
 92.19  as specified in section 256J.65; 
 92.20     (16) preemployment activities, based on availability and 
 92.21  resources, such as volunteer work, literacy programs and related 
 92.22  activities, citizenship and classes, English as a second 
 92.23  language (ESL) classes as limited by the provisions of section 
 92.24  256J.52, subdivisions 3, paragraph (d), and 5, paragraph (c), or 
 92.25  participation in dislocated worker services, chemical dependency 
 92.26  treatment, mental health services, peer group networks, 
 92.27  displaced homemaker programs, strength-based resiliency 
 92.28  training, parenting education, or other programs designed to 
 92.29  help families reach their employment goals and enhance their 
 92.30  ability to care for their children; 
 92.31     (17) community service programs; 
 92.32     (18) vocational educational training or educational 
 92.33  programs that can reasonably be expected to lead to employment, 
 92.34  as limited by the provisions of section 256J.53; 
 92.35     (19) apprenticeships; 
 92.36     (20) satisfactory attendance in general educational 
 93.1   development diploma classes or an adult diploma program; 
 93.2      (21) satisfactory attendance at secondary school, if the 
 93.3   participant has not received a high school diploma; 
 93.4      (22) adult basic education classes; 
 93.5      (23) internships; 
 93.6      (24) bilingual employment and training services; 
 93.7      (25) providing child care services to a participant who is 
 93.8   working in a community service program; and 
 93.9      (26) activities included in a safety plan that is developed 
 93.10  under section 256J.52, subdivision 6. 
 93.11     Sec. 23.  Minnesota Statutes 1998, section 256J.50, 
 93.12  subdivision 5, is amended to read: 
 93.13     Subd. 5.  [PARTICIPATION REQUIREMENTS FOR SINGLE-PARENT AND 
 93.14  TWO-PARENT ALL CASES.] (a) A county must establish a uniform 
 93.15  schedule for requiring participation by single parents.  
 93.16  Mandatory participation must be required within six months of 
 93.17  eligibility for cash assistance.  For two-parent all cases, 
 93.18  participation is required concurrent with the receipt of MFIP-S 
 93.19  MFIP cash assistance. 
 93.20     (b) Beginning January 1, 1998, with the exception of 
 93.21  caregivers required to attend high school under the provisions 
 93.22  of section 256J.54, subdivision 5, MFIP caregivers, upon 
 93.23  completion of the secondary assessment, must develop an 
 93.24  employment plan and participate in work activities. 
 93.25     (c) Upon completion of the secondary assessment: 
 93.26     (1) In single-parent families with no children under six 
 93.27  years of age, the job counselor and the caregiver must develop 
 93.28  an employment plan that includes 20 to 35 hours per week of work 
 93.29  activities for the period January 1, 1998, to September 30, 
 93.30  1998; 25 to 35 hours of work activities per week in federal 
 93.31  fiscal year 1999; and 30 to 35 hours per week of work activities 
 93.32  in federal fiscal year 2000 and thereafter. 
 93.33     (2) In single-parent families with a child under six years 
 93.34  of age, the job counselor and the caregiver must develop an 
 93.35  employment plan that includes 20 to 35 hours per week of work 
 93.36  activities. 
 94.1      (3) In two-parent families, the job counselor and the 
 94.2   caregivers must develop employment plans which result in a 
 94.3   combined total of at least 55 hours per week of work activities. 
 94.4      Sec. 24.  Minnesota Statutes 1998, section 256J.50, 
 94.5   subdivision 7, is amended to read: 
 94.6      Subd. 7.  [LOCAL SERVICE UNIT PLAN.] (a) Each local or 
 94.7   county service unit shall prepare and submit a plan as specified 
 94.8   in section 268.88. 
 94.9      (b) The plan must include a description of how projects 
 94.10  funded under the local intervention grants for self-sufficiency 
 94.11  in section 256J.625, subdivisions 2 and 3, operate in the local 
 94.12  service unit, including: 
 94.13     (1) the target populations of hard-to-employ participants 
 94.14  and working participants in need of job retention and wage 
 94.15  advancement services, with a description of how individual 
 94.16  participant needs will be met; 
 94.17     (2) services that will be provided which may include paid 
 94.18  work experience, enhanced mental health services, outreach to 
 94.19  sanctioned families, child care for social services, child care 
 94.20  transition year set-aside, homeless and housing advocacy, and 
 94.21  transportation; 
 94.22     (3) projected expenditures by activity; 
 94.23     (4) anticipated program outcomes including the anticipated 
 94.24  impact the intervention efforts will have on performance 
 94.25  measures under section 256J.751 and on reducing the number of 
 94.26  MFIP participants expected to reach their 60-month time limit; 
 94.27  and 
 94.28     (5) a description of services that are provided or will be 
 94.29  provided to MFIP participants affected by chemical dependency, 
 94.30  mental health issues, learning disabilities, or family violence. 
 94.31     Each plan must demonstrate how the county or tribe is 
 94.32  working within its organization and with other organizations in 
 94.33  the community to serve hard-to-employ populations, including how 
 94.34  organizations in the community were engaged in planning for use 
 94.35  of these funds, services other entities will provide under the 
 94.36  plan, and whether multicounty or regional strategies are being 
 95.1   implemented as part of this plan. 
 95.2      (c) Activities and expenditures in the plan must enhance or 
 95.3   supplement MFIP activities without supplanting existing 
 95.4   activities and expenditures.  However, this paragraph does not 
 95.5   require a county to maintain either:  
 95.6      (1) its current provision of child care assistance to MFIP 
 95.7   families through the expenditure of county resources under 
 95.8   chapter 256E for social services child care assistance if funds 
 95.9   are appropriated by another law for an MFIP social services 
 95.10  child care pool; 
 95.11     (2) its current provision of transition-year child care 
 95.12  assistance through the expenditure of county resources if funds 
 95.13  are appropriated by another law for this purpose; or 
 95.14     (3) its current provision of intensive ESL programs through 
 95.15  the expenditure of county resources if funds are appropriated by 
 95.16  another law for intensive ESL grants. 
 95.17     (d) The plan required under this subdivision must be 
 95.18  approved before the local or county service unit is eligible to 
 95.19  receive funds under section 256J.625, subdivisions 2 and 3. 
 95.20     Sec. 25.  Minnesota Statutes 1999 Supplement, section 
 95.21  256J.52, subdivision 3, is amended to read: 
 95.22     Subd. 3.  [JOB SEARCH; JOB SEARCH SUPPORT PLAN.] (a) If, 
 95.23  after the initial assessment, the job counselor determines that 
 95.24  the participant possesses sufficient skills that the participant 
 95.25  is likely to succeed in obtaining suitable employment, the 
 95.26  participant must conduct job search for a period of up to eight 
 95.27  weeks, for at least 30 hours per week.  The participant must 
 95.28  accept any offer of suitable employment.  Upon agreement by the 
 95.29  job counselor and the participant, a job search support plan may 
 95.30  limit a job search to jobs that are consistent with the 
 95.31  participant's employment goal.  The job counselor and 
 95.32  participant must develop a job search support plan which 
 95.33  specifies, at a minimum:  whether the job search is to be 
 95.34  supervised or unsupervised; support services that will be 
 95.35  provided while the participant conducts job search activities; 
 95.36  the courses necessary to obtain certification or licensure, if 
 96.1   applicable, and after obtaining the license or certificate, the 
 96.2   client must comply with subdivision 5; and how frequently the 
 96.3   participant must report to the job counselor on the status of 
 96.4   the participant's job search activities.  The job search support 
 96.5   plan may also specify that the participant fulfill a specified 
 96.6   portion no more than half of the required hours of job search 
 96.7   through attending adult basic education or English as a second 
 96.8   language classes. 
 96.9      (b) During the eight-week job search period, either the job 
 96.10  counselor or the participant may request a review of the 
 96.11  participant's job search plan and progress towards obtaining 
 96.12  suitable employment.  If a review is requested by the 
 96.13  participant, the job counselor must concur that the review is 
 96.14  appropriate for the participant at that time.  If a review is 
 96.15  conducted, the job counselor may make a determination to conduct 
 96.16  a secondary assessment prior to the conclusion of the job search.
 96.17     (c) Failure to conduct the required job search, to accept 
 96.18  any offer of suitable employment, to develop or comply with a 
 96.19  job search support plan, or voluntarily quitting suitable 
 96.20  employment without good cause results in the imposition of a 
 96.21  sanction under section 256J.46.  If at the end of eight weeks 
 96.22  the participant has not obtained suitable employment, the job 
 96.23  counselor must conduct a secondary assessment of the participant 
 96.24  under subdivision 3. 
 96.25     (d) In order for an English as a second language (ESL) 
 96.26  class to be an approved work activity, a participant must be 
 96.27  below a spoken language proficiency level of SPL5 or its 
 96.28  equivalent, as measured by a nationally recognized test.  A 
 96.29  participant may not be approved for more than a total of 24 
 96.30  months of ESL activities while participating in the employment 
 96.31  and training services component of MFIP.  In approving ESL as a 
 96.32  work activity, the job counselor must give preference to 
 96.33  enrollment in an intensive ESL program, if one is available, 
 96.34  over a regular ESL program. 
 96.35     Sec. 26.  Minnesota Statutes 1999 Supplement, section 
 96.36  256J.52, subdivision 5, is amended to read: 
 97.1      Subd. 5.  [EMPLOYMENT PLAN; CONTENTS.] (a) Based on the 
 97.2   secondary assessment under subdivision 4, the job counselor and 
 97.3   the participant must develop an employment plan for the 
 97.4   participant that includes specific activities that are tied to 
 97.5   an employment goal and a plan for long-term self-sufficiency, 
 97.6   and that is designed to move the participant along the most 
 97.7   direct path to unsubsidized employment.  The employment plan 
 97.8   must list the specific steps that will be taken to obtain 
 97.9   employment and a timetable for completion of each of the steps.: 
 97.10     (1) take into consideration the participant's physical 
 97.11  capacity, skills, experience, health and safety, family 
 97.12  responsibilities, place of residence, and child care and other 
 97.13  supportive service needs; 
 97.14     (2) be based on available resources and employment 
 97.15  opportunities; 
 97.16     (3) specify the services to be provided by the employment 
 97.17  and training service provider or other providers to be utilized 
 97.18  by the participant; 
 97.19     (4) specify the work activities under section 256J.49, 
 97.20  subdivision 13, in which the participant will participate; 
 97.21     (5) specify the provision of necessary supportive services 
 97.22  such as child care and transportation assistance and skill 
 97.23  development activities; 
 97.24     (6) reflect an effort to arrange mandatory activities so 
 97.25  that those activities do not interfere with the participant's 
 97.26  access to available English as a second language classes or 
 97.27  adult basic education classes, and to the extent possible, 
 97.28  reflect the preferences of the participant; 
 97.29     (7) include a written agreement between the employment and 
 97.30  training provider and the participant that outlines a reasonable 
 97.31  schedule for completing the plan, including specific completion 
 97.32  deadlines; and 
 97.33     (8) specify the participant's long-term employment goal 
 97.34  that will lead to self-sufficiency and how the participant will 
 97.35  move to unsubsidized employment.  A participant must be 
 97.36  counseled to set realistic goals which take into account the 
 98.1   long term needs of the participant and the participant's 
 98.2   family.  Upon agreement by the job counselor and the 
 98.3   participant, the employment plan may limit a job search to jobs 
 98.4   that are consistent with the participant's employment goal. 
 98.5      (b) As part of the development of the participant's 
 98.6   employment plan, the participant shall have the option of 
 98.7   selecting from among the vendors or resources that the job 
 98.8   counselor determines will be effective in supplying one or more 
 98.9   of the services necessary to meet the employment goals specified 
 98.10  in the participant's plan. In compiling the list of vendors and 
 98.11  resources that the job counselor determines would be effective 
 98.12  in meeting the participant's employment goals, the job counselor 
 98.13  must determine that adequate financial resources are available 
 98.14  for the vendors or resources ultimately selected by the 
 98.15  participant. 
 98.16     (c) In order for an English as a second language (ESL) 
 98.17  class to be an approved work activity, a participant must be 
 98.18  below a spoken language proficiency level of SPL5 or its 
 98.19  equivalent, as measured by a nationally recognized test.  A 
 98.20  participant may not be approved for more than a total of 24 
 98.21  months of ESL activities while participating in the employment 
 98.22  and training services component of MFIP.  In approving ESL as a 
 98.23  work activity, the job counselor must give preference to 
 98.24  enrollment in an intensive ESL program, if one is available, 
 98.25  over a regular ESL program. 
 98.26     (d) The job counselor and the participant must sign the 
 98.27  developed plan to indicate agreement between the job counselor 
 98.28  and the participant on the contents of the plan. 
 98.29     Sec. 27.  Minnesota Statutes 1998, section 256J.52, is 
 98.30  amended by adding a subdivision to read: 
 98.31     Subd. 5b.  [EMPLOYMENT ACTIVITIES REQUIRED.] The job 
 98.32  counselor must ensure that, by the fourth month of participation 
 98.33  in the employment and training services component, at least half 
 98.34  of a participant's required hours of work activities are met 
 98.35  through one or a combination of the activities listed in section 
 98.36  256J.49, subdivision 13, clause (1), (2), (3), (4), (19), or 
 99.1   (23). 
 99.2      Sec. 28.  Minnesota Statutes 1999 Supplement, section 
 99.3   256J.56, is amended to read: 
 99.4      256J.56 [EMPLOYMENT AND TRAINING SERVICES COMPONENT; 
 99.5   EXEMPTIONS.] 
 99.6      (a) An MFIP caregiver is exempt from the requirements of 
 99.7   sections 256J.52 to 256J.55 if the caregiver belongs to any of 
 99.8   the following groups: 
 99.9      (1) individuals who are age 60 or older; 
 99.10     (2) individuals who are suffering from a professionally 
 99.11  certified permanent or temporary illness, injury, or incapacity 
 99.12  which is expected to continue for more than 30 days and which 
 99.13  prevents the person from obtaining or retaining employment.  
 99.14  Persons in this category with a temporary illness, injury, or 
 99.15  incapacity must be reevaluated at least quarterly; 
 99.16     (3) caregivers whose presence in the home is required 
 99.17  because of the professionally certified illness or incapacity of 
 99.18  another member in the assistance unit, a relative in the 
 99.19  household, or a foster child in the household; 
 99.20     (4) women who are pregnant, if the pregnancy has resulted 
 99.21  in a professionally certified incapacity that prevents the woman 
 99.22  from obtaining or retaining employment; 
 99.23     (5) caregivers of a child under the age of one year who 
 99.24  personally provide full-time care for the child.  This exemption 
 99.25  may be used for only 12 months in a lifetime.  In two-parent 
 99.26  households, only one parent or other relative may qualify for 
 99.27  this exemption; 
 99.28     (6) individuals who are single parents, or one parent in a 
 99.29  two-parent family, employed at least 35 hours per week; 
 99.30     (7) individuals experiencing a personal or family crisis 
 99.31  that makes them incapable of participating in the program, as 
 99.32  determined by the county agency.  If the participant does not 
 99.33  agree with the county agency's determination, the participant 
 99.34  may seek professional certification, as defined in section 
 99.35  256J.08, that the participant is incapable of participating in 
 99.36  the program. 
100.1      Persons in this exemption category must be reevaluated 
100.2   every 60 days; or 
100.3      (8) second parents in two-parent families employed for 20 
100.4   or more hours per week, provided the first parent is employed at 
100.5   least 35 hours per week; or 
100.6      (9) caregivers with a child or adult in the household who 
100.7   meets the disability or medical criteria for home care services 
100.8   under section 256B.0627, subdivision 1, paragraph (c) or a home 
100.9   and community-based waiver services program under chapter 256B, 
100.10  or meets the criteria for severe emotional disturbance under 
100.11  section 245.4871, subdivision 6, or for serious and persistent 
100.12  mental illness under section 245.462, subdivision 20, paragraph 
100.13  (c).  Caregivers in this exemption category are presumed to be 
100.14  prevented from obtaining or retaining employment. 
100.15     A caregiver who is exempt under clause (5) must enroll in 
100.16  and attend an early childhood and family education class, a 
100.17  parenting class, or some similar activity, if available, during 
100.18  the period of time the caregiver is exempt under this section.  
100.19  Notwithstanding section 256J.46, failure to attend the required 
100.20  activity shall not result in the imposition of a sanction. 
100.21     (b) The county agency must provide employment and training 
100.22  services to MFIP caregivers who are exempt under this section, 
100.23  but who volunteer to participate.  Exempt volunteers may request 
100.24  approval for any work activity under section 256J.49, 
100.25  subdivision 13.  The hourly participation requirements for 
100.26  nonexempt caregivers under section 256J.50, subdivision 5, do 
100.27  not apply to exempt caregivers who volunteer to participate. 
100.28     Sec. 29.  [256J.625] [LOCAL INTERVENTION GRANTS FOR 
100.29  SELF-SUFFICIENCY.] 
100.30     Subdivision 1.  [ESTABLISHMENT; GUARANTEED MINIMUM 
100.31  ALLOCATION.] (a) The commissioner shall make grants under this 
100.32  subdivision to assist county and tribal TANF programs to more 
100.33  effectively serve hard-to-employ MFIP participants.  Funds 
100.34  appropriated for local intervention grants for self-sufficiency 
100.35  must be allocated first in amounts equal to the guaranteed 
100.36  minimum in paragraph (b), and second according to the provisions 
101.1   of subdivision 2.  Any remaining funds must be allocated 
101.2   according to the formula in subdivision 3.  Counties or tribes 
101.3   must have an approved local service unit plan under section 
101.4   256J.50, subdivision 7, paragraph (b), in order to receive and 
101.5   expend funds under subdivisions 2 and 3.  
101.6      (b) Each county or tribal program shall receive a 
101.7   guaranteed minimum annual allocation of $25,000. 
101.8      Subd. 2.  [SET-ASIDE FUNDS.] (a) Of the funds appropriated 
101.9   for grants under this section, after the allocation in 
101.10  subdivision 1, paragraph (b), is made, 20 percent of the 
101.11  remaining funds each year shall be retained by the commissioner 
101.12  and awarded to counties or tribes whose approved plans 
101.13  demonstrate additional need based on their identification of 
101.14  hard-to-employ families and working participants in need of job 
101.15  retention and wage advancement services, strong anticipated 
101.16  outcomes for families and an effective plan for monitoring 
101.17  performance, or, use of a multicounty, multi-entity or regional 
101.18  approach to serve hard-to-employ families and working 
101.19  participants in need of job retention and wage advancement 
101.20  services who are identified as a target population to be served 
101.21  in the plan submitted under section 256J.50, subdivision 7, 
101.22  paragraph (b).  In distributing funds under this paragraph, the 
101.23  commissioner must achieve a geographic balance.  The 
101.24  commissioner may award funds under this paragraph to other 
101.25  public, private, or nonprofit entities to deliver services in a 
101.26  county or region where the entity or entities submit a plan that 
101.27  demonstrates a strong capability to fulfill the terms of the 
101.28  plan and where the plan shows an innovative or multi-entity 
101.29  approach. 
101.30     (b) For fiscal year 2001 only, of the funds available under 
101.31  this subdivision the commissioner must allocate funding in the 
101.32  amounts specified in article 1, section 2, subdivision 7, for an 
101.33  intensive intervention transitional employment training project 
101.34  and for nontraditional career assistance and training programs.  
101.35  These allocations must occur before any set-aside funds are 
101.36  allocated under paragraph (a). 
102.1      Subd. 2a.  [ALTERNATIVE DISTRIBUTION FORMULA.] (a) By 
102.2   January 31, 2001, the commissioner of human services must 
102.3   develop and present to the appropriate legislative committees a 
102.4   distribution formula that is an alternative to the formula 
102.5   allocation specified in subdivision 3.  The proposed 
102.6   distribution formula must target hard-to-employ MFIP 
102.7   participants, and it must include an incentive-based component 
102.8   that is designed to encourage county and tribal programs to 
102.9   effectively serve hard-to-employ participants.  The 
102.10  commissioner's proposal must also be designed to be implemented 
102.11  for fiscal years 2002 and 2003 in place of the formula 
102.12  allocation specified in subdivision 3. 
102.13     (b) Notwithstanding the provisions of subdivision 2, 
102.14  paragraph (a), if the commissioner does not develop a proposed 
102.15  formula as required in paragraph (a), the set-aside funds for 
102.16  fiscal years 2002 and 2003 that the commissioner would otherwise 
102.17  distribute under subdivision 2, paragraph (a), must not be 
102.18  distributed under that provision.  Funds available under 
102.19  subdivision 2, paragraph (a), must instead be allocated in equal 
102.20  amounts to each county and tribal program in fiscal years 2002 
102.21  and 2003. 
102.22     Subd. 3.  [FORMULA ALLOCATION.] Funds remaining after the 
102.23  allocations in subdivisions 1 and 2 must be allocated as follows:
102.24     (1) 85 percent shall be allocated in proportion to each 
102.25  county's and tribal TANF program's one-parent MFIP cases that 
102.26  have received MFIP assistance for at least 25 months, as sampled 
102.27  on December 31 of the previous calendar year, excluding cases 
102.28  where all caregivers are age 60 or over. 
102.29     (2) 15 percent shall be allocated to each county's and 
102.30  tribal TANF program's two-parent MFIP cases that have received 
102.31  MFIP assistance for at least 25 months, as sampled on December 
102.32  31 of the previous calendar year, excluding cases where all 
102.33  caregivers are age 60 or over. 
102.34     Subd. 4.  [USE OF FUNDS.] (a) A county or tribal program 
102.35  may use funds allocated under this subdivision to provide 
102.36  services to MFIP participants who are hard-to-employ and their 
103.1   families.  Services provided must be intended to reduce the 
103.2   number of MFIP participants who are expected to reach the 
103.3   60-month time limit under section 256J.42.  Counties, tribes, 
103.4   and other entities receiving funds under subdivisions 2 or 3 
103.5   must submit semiannual progress reports to the commissioner 
103.6   which detail program outcomes. 
103.7      (b) Funds allocated under this section may not be used to 
103.8   provide benefits that are defined as "assistance" in Code of 
103.9   Federal Regulations, title 45, section 260.31, to an assistance 
103.10  unit that is only receiving the food portion of MFIP benefits. 
103.11     Subd. 5.  [SUNSET.] The grant program under this section 
103.12  sunsets on June 30, 2003. 
103.13     Sec. 30.  [256J.655] [NONTRADITIONAL CAREER ASSISTANCE AND 
103.14  TRAINING.] 
103.15     With the approval of the job counselor, a participant may 
103.16  enroll and participate in a nontraditional career assistance and 
103.17  training (NCAT) program under section 256K.30.  An MFIP 
103.18  recipient participating in an NCAT program with the approval of 
103.19  the job counselor is also eligible for employment and training 
103.20  services, including child care and transportation. 
103.21     Sec. 31.  [256K.25] [SUPPORTIVE HOUSING AND MANAGED CARE 
103.22  PILOT PROJECT.] 
103.23     Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] (a) The 
103.24  commissioner shall establish a supportive housing and managed 
103.25  care pilot project in two counties, one within the seven-county 
103.26  metropolitan area and one outside of that area, to determine 
103.27  whether the integrated delivery of employment services, 
103.28  supportive services, housing, and health care into a single, 
103.29  flexible program will: 
103.30     (1) reduce public expenditures on homeless families with 
103.31  minor children, homeless noncustodial parents, and other 
103.32  homeless individuals; 
103.33     (2) increase the employment rates of these persons; and 
103.34     (3) provide a new alternative to providing services to this 
103.35  hard-to-serve population. 
103.36     (b) The commissioner shall create a program for counties 
104.1   for the purpose of providing integrated intensive and 
104.2   individualized case management services, employment services, 
104.3   health care services, rent subsidies or other short- or 
104.4   medium-term housing assistance, and other supportive services to 
104.5   eligible families and individuals.  Minimum project and 
104.6   application requirements shall be developed by the commissioner 
104.7   in cooperation with counties and their nonprofit partners with 
104.8   the goal to provide the maximum flexibility in program design. 
104.9      (c) Services available under this project must be 
104.10  coordinated with available health care services for an eligible 
104.11  project participant. 
104.12     Subd. 2.  [DEFINITION.] For purposes of this section, 
104.13  "homeless" means having no appropriate housing available and 
104.14  lacking the resources necessary to access permanent housing, as 
104.15  determined by the county requesting funding under subdivision 3, 
104.16  and: 
104.17     (1) living, or being at imminent risk of living, on the 
104.18  street or in a shelter; or 
104.19     (2) having been evicted from a dwelling or discharged from 
104.20  a regional treatment center, state-operated community-based 
104.21  program, community hospital, or residential treatment program.  
104.22     Subd. 3.  [COUNTY ELIGIBILITY.] A county may request 
104.23  funding under this pilot project if the county: 
104.24     (1) agrees to develop, in cooperation with nonprofit 
104.25  partners, a supportive housing and managed care pilot project 
104.26  that integrates the delivery of employment services, supportive 
104.27  services, housing and health care for eligible families and 
104.28  individuals, or agrees to contract with an existing integrated 
104.29  program; 
104.30     (2) for eligible participants who are also MFIP recipients, 
104.31  agrees to develop, in cooperation with nonprofit partners, 
104.32  procedures to ensure that the services provided under the pilot 
104.33  project are closely coordinated with the services provided under 
104.34  MFIP; and 
104.35     (3) develops a method for evaluating the quality of the 
104.36  integrated services provided and the amount of any resulting 
105.1   cost savings to the county and state. 
105.2      Subd. 4.  [PARTICIPANT ELIGIBILITY.] (a) In order to be 
105.3   eligible for the pilot project, the county must determine that a 
105.4   participant is homeless or is at risk of homelessness; has a 
105.5   mental illness, a history of substance abuse, or HIV; and is a 
105.6   family that meets the criteria in paragraph (b) or is an 
105.7   individual who meets the criteria in paragraph (c). 
105.8      (b) An eligible family must include a minor child or a 
105.9   pregnant woman, and: 
105.10     (1) be receiving or meet the income eligibility guidelines 
105.11  for MFIP assistance under chapter 256J; or 
105.12     (2) include an adult caregiver who is employed or is 
105.13  receiving employment and training services, and have household 
105.14  income below the MFIP exit level in section 256J.24, subdivision 
105.15  10.  
105.16     (c) An eligible individual must: 
105.17     (1) meet the eligibility requirements of the group 
105.18  residential housing program under section 256I.04, subdivision 
105.19  1; or 
105.20     (2) be a noncustodial parent who is employed or is 
105.21  receiving employment and training services, and have household 
105.22  income below the MFIP exit level in section 256J.24, subdivision 
105.23  10.  
105.24     Subd. 5.  [FUNDING.] A county may request funding from the 
105.25  commissioner for a specified number of TANF-eligible project 
105.26  participants.  The commissioner shall review the request for 
105.27  compliance with subdivisions 1 to 4 and may approve or 
105.28  disapprove the request.  If other funds are available, the 
105.29  commissioner may allocate funding for project participants who 
105.30  meet the eligibility requirements of subdivision 4, paragraph 
105.31  (c).  
105.32     Subd. 6.  [REPORT.] Participating counties and the 
105.33  commissioner shall collaborate to prepare and issue an annual 
105.34  report, beginning December 1, 2001, to the chairs of the 
105.35  appropriate legislative committees on the pilot project's use of 
105.36  public resources, including other funds leveraged for this 
106.1   initiative, the employment and housing status of the families 
106.2   and individuals served in the project, and the 
106.3   cost-effectiveness of the project.  The annual report must also 
106.4   evaluate the pilot project with respect to the following project 
106.5   goals:  that participants will lead more productive, healthier, 
106.6   more stable and better quality lives; that the teams created 
106.7   under the project to deliver services for each project 
106.8   participant will be accountable for ensuring that services are 
106.9   more appropriate, cost-effective and well-coordinated; and that 
106.10  the system-wide costs of serving this population, and the 
106.11  inappropriate use of emergency, crisis-oriented or institutional 
106.12  services, will be materially reduced.  The commissioner shall 
106.13  provide data that may be needed to evaluate the project to 
106.14  participating counties that request the data. 
106.15     Subd. 7.  [SUNSET.] The pilot project under this section 
106.16  sunsets on June 30, 2006. 
106.17     Sec. 32.  [256K.30] [GRANTS FOR NONTRADITIONAL CAREER 
106.18  ASSISTANCE AND TRAINING PROGRAMS.] 
106.19     Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] The 
106.20  commissioner shall establish a program of reimbursement-based 
106.21  grants to nonprofit organizations to provide nontraditional 
106.22  career assistance and training (NCAT) programs that encourage 
106.23  and assist low-income women with minor children to enter 
106.24  nontraditional careers in the trades and in manual and technical 
106.25  operations. 
106.26     Subd. 2.  [REQUIREMENTS FOR GRANTEES.] To be eligible for a 
106.27  grant under this section, an NCAT program must include the 
106.28  career assistance component specified in subdivision 4. 
106.29     Subd. 3.  [OUTREACH COMPONENT.] An NCAT program may include 
106.30  an outreach component that provides outreach to girls and women 
106.31  through public and private elementary and secondary schools, 
106.32  appropriate community organizations, or existing state and 
106.33  county employment and training programs.  The outreach must 
106.34  consist of:  general information concerning opportunities for 
106.35  women in the trades, manual, and technical occupations, 
106.36  including specific fields where worker shortages exist; and 
107.1   specific information about training programs offered.  The 
107.2   outreach may include printed or recorded information, hands-on 
107.3   experiences for women and girls, presentations to women and 
107.4   girls, or ongoing contact with appropriate staff. 
107.5      Federal TANF funds may not be used for the outreach 
107.6   component of an NCAT program. 
107.7      Subd. 4.  [CAREER ASSISTANCE COMPONENT.] An NCAT program 
107.8   may include a career assistance component that provides the 
107.9   following assistance for low-income women to enter careers in 
107.10  the trades and technical occupations: 
107.11     (1) training designed to prepare women to succeed in 
107.12  nontraditional occupations, conducted by an NCAT grantee or in 
107.13  collaboration with another institution.  The training must cover 
107.14  the knowledge and skills required for the trade, information 
107.15  about on-the-job realities for women in the particular trade, 
107.16  physical strength and stamina training as needed, opportunities 
107.17  for developing workplace problem-solving skills, and information 
107.18  about the current and projected future job market and likely 
107.19  career path for the trade; 
107.20     (2) assistance with child care and transportation during 
107.21  training, during job search, and for at least the first two 
107.22  months of posttraining employment; 
107.23     (3) job placement assistance during training, during job 
107.24  search, and for at least two years after completion of the 
107.25  training program; and 
107.26     (4) job retention support may be in the form of mentorship 
107.27  programs, support groups, or ongoing staff contact for at least 
107.28  the first year of posttraining employment, including access to 
107.29  job-related information, assistance with workplace issue 
107.30  resolution, and access to advocacy services. 
107.31     Subd. 5.  [NCAT; ELIGIBLE PARTICIPANTS.] To be eligible to 
107.32  enroll in an NCAT program under this section, a participant must 
107.33  be a female caregiver receiving assistance under chapter 256J or 
107.34  this chapter.  
107.35     Subd. 6.  [ACCESSIBILITY REQUIRED.] Approved NCAT programs 
107.36  must be accessible to women who are MFIP participants.  Factors 
108.1   that contribute to a program's accessibility include: 
108.2      (1) affordability of tuition and supplies; 
108.3      (2) geographic proximity to low-income neighborhoods, child 
108.4   care, and public transportation routes; and 
108.5      (3) flexibility of the hours per week required by the 
108.6   program and the duration of the program, in order to be 
108.7   compatible with the program participants' family needs and the 
108.8   need for participants to be employed during training. 
108.9      Sec. 33.  [256K.35] [AT-RISK YOUTH OUT-OF-WEDLOCK PREGNANCY 
108.10  PREVENTION PROGRAM.] 
108.11     Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] The 
108.12  commissioner shall establish a statewide grant program to 
108.13  prevent or reduce the incidence of out-of-wedlock pregnancies 
108.14  among homeless, runaway, or thrown-away youth who are at risk of 
108.15  being prostituted or currently being used in prostitution.  The 
108.16  goal of the out-of-wedlock pregnancy prevention program is to 
108.17  significantly increase the number of existing short-term shelter 
108.18  beds for these youth in the state.  By providing supportive 
108.19  services for emergency shelter, transitional housing, and 
108.20  services to reconnect the youth with their families where 
108.21  appropriate, the number of youth at risk of being sexually 
108.22  exploited or actually being sexually exploited, and thus at risk 
108.23  of experiencing an out-of-wedlock pregnancy, will be reduced. 
108.24     Subd. 2.  [FUNDS AVAILABLE.] The commissioner shall make 
108.25  funds for supportive services for emergency shelter and 
108.26  transitional housing for out-of-wedlock pregnancy prevention 
108.27  available to eligible nonprofit corporations or government 
108.28  agencies to provide supportive services for emergency and 
108.29  transitional housing for at-risk youth.  The commissioner shall 
108.30  consider the need for emergency and transitional housing 
108.31  supportive services throughout the state, and must give priority 
108.32  to applicants who offer 24-hour emergency facilities. 
108.33     Subd. 3.  [APPLICATION; ELIGIBILITY.] (a) A nonprofit 
108.34  corporation or government agency must submit an application to 
108.35  the commissioner in the form and manner the commissioner 
108.36  establishes.  The application must describe how the applicant 
109.1   meets the eligibility criteria under paragraph (b).  The 
109.2   commissioner may also require an applicant to provide additional 
109.3   information. 
109.4      (b) To be eligible for funding under this section, an 
109.5   applicant must meet the following criteria: 
109.6      (1) the applicant must have a commitment to helping the 
109.7   community, children, and preventing juvenile prostitution.  If 
109.8   the applicant does not have any past experience with youth 
109.9   involved in or at risk of being used in prostitution, the 
109.10  applicant must demonstrate knowledge of best practices in this 
109.11  area and develop a plan to follow those practices; 
109.12     (2) the applicant must present a plan to communicate with 
109.13  local law enforcement officials, social services, and the 
109.14  commissioner consistent with state and federal law; and 
109.15     (3) the applicant must present a plan to encourage 
109.16  homeless, runaway, or thrown-away youth to either reconnect with 
109.17  family or to transition into long-term housing. 
109.18     Subd. 4.  [USES OF FUNDS.] (a) Funds available under this 
109.19  section must be used to create and maintain supportive services 
109.20  for emergency shelter and transitional housing for homeless, 
109.21  runaway, and thrown-away youth.  Federal TANF funds must be used 
109.22  to serve youth and their families with household income below 
109.23  200 percent of the federal poverty guidelines.  If other funds 
109.24  are available, services may be provided to youth outside of 
109.25  TANF-eligible families. 
109.26     (b) Funds available under this section shall not be used to 
109.27  conduct general education or awareness programs unrelated to the 
109.28  operation of an emergency shelter or transitional housing. 
109.29     Sec. 34.  Minnesota Statutes 1998, section 383B.225, 
109.30  subdivision 2, is amended to read: 
109.31     Subd. 2.  [APPOINTMENT, QUALIFICATIONS, TERM.] (a) The 
109.32  county board shall designate three licensed physicians who shall 
109.33  constitute a medical examiner board.  One member shall be a dean 
109.34  or professor of the department of pathology of a Class A medical 
109.35  school as designated by the American Medical Association.  
109.36  Another member of the board shall be a member of the Minnesota 
110.1   society of clinical pathologists.  The third member shall be 
110.2   designated by the Hennepin county medical association from its 
110.3   membership.  
110.4      (b) The medical examiner board shall accept applications 
110.5   for the position of Hennepin county medical examiner when a 
110.6   vacancy exists in the office.  Applications therefor shall be 
110.7   considered from doctors of medicine who are:  (a) (1) graduates 
110.8   of a medical school recognized by the American Medical 
110.9   Association, (b) (2) members in good standing in the medical 
110.10  profession, (c) (3) eligible for appointment to the staff of the 
110.11  Hennepin county medical center, and (d) (4) certified or 
110.12  eligible for certification in forensic pathology by the American 
110.13  Board of Pathology.  The medical examiner board shall review the 
110.14  qualifications of the applicants and shall rank the applicants 
110.15  deemed qualified for the position and provide to the county 
110.16  board a report of the seven highest ranked applicants together 
110.17  with their qualifications.  The county board shall appoint a 
110.18  county medical examiner from those listed in the report.  
110.19     (c) The term of the examiner shall continue for four years 
110.20  from the date of appointment.  Compensation shall be set by the 
110.21  county board.  Reappointment shall be made at least 90 days 
110.22  prior to the expiration of the term.  
110.23     (d) If a vacancy requires a temporary appointment, the 
110.24  board of commissioners shall appoint a medical doctor on the 
110.25  staff of the county medical examiner's office to assume the 
110.26  duties of the medical examiner until an appointment can be made 
110.27  in compliance with the specified selection procedure.  Any 
110.28  vacancy shall be filled within a reasonable time.  
110.29     (e) Actual and necessary expenses of the medical examiner 
110.30  board shall be paid in accordance with sections 471.38 to 
110.31  471.415. 
110.32     (f) After January 1, 2001, a newly appointed medical 
110.33  examiner must, within 18 months following initial appointment, 
110.34  complete at least one hour of professional continuing education 
110.35  that addresses religious and cultural issues related to the 
110.36  performance of autopsies.  Any medical examiner who is already 
111.1   in office on January 1, 2001, must complete such professional 
111.2   education within 18 months of the next subsequent reappointment 
111.3   to office. 
111.4      Sec. 35.  Minnesota Statutes 1998, section 390.005, 
111.5   subdivision 3, is amended to read: 
111.6      Subd. 3.  [EDUCATIONAL REQUIREMENTS.] (a) A coroner must 
111.7   have successfully completed academic courses in pharmacology, 
111.8   surgery, pathology, toxicology, and physiology.  However, if a 
111.9   board of county commissioners determines that the office of 
111.10  coroner shall not be elective and it cannot appoint any person 
111.11  meeting the educational qualifications as coroner, the board may:
111.12     (1) appoint any qualified person, whether or not a resident 
111.13  of the county; or 
111.14     (2) if no qualified person can be found, appoint a person 
111.15  who is serving or has served as deputy coroner, whether or not a 
111.16  resident of the county. 
111.17     (b) After January 1, 2001, a newly appointed or elected 
111.18  coroner must, within 18 months following initial appointment or 
111.19  election, complete at least one hour of professional continuing 
111.20  education that addresses religious and cultural issues related 
111.21  to the performance of autopsies.  Coroners who are already in 
111.22  office on January 1, 2001, must complete such professional 
111.23  education within 18 months of their next subsequent 
111.24  reappointment or reelection to office. 
111.25     Sec. 36.  Minnesota Statutes 1998, section 390.33, 
111.26  subdivision 1, is amended to read: 
111.27     Subdivision 1.  [MEDICAL EXAMINER APPOINTMENT.] (a) A 
111.28  county board shall appoint as permanent county medical examiner 
111.29  a doctor of medicine or osteopathy licensed to practice pursuant 
111.30  to chapter 147, or similar laws in any other state.  A county 
111.31  medical examiner shall perform the duties imposed upon medical 
111.32  examiners by sections 390.31 to 390.35 and serve at the pleasure 
111.33  of the county board.  The county board shall pay the medical 
111.34  examiner a salary to be determined by the board and provide for 
111.35  the payment of the medical examiner's expenses incurred in the 
111.36  performance of duties.  
112.1      (b) After January 1, 2001, a newly appointed medical 
112.2   examiner must, within 18 months following initial appointment, 
112.3   complete at least one hour of professional continuing education 
112.4   that addresses religious and cultural issues related to the 
112.5   performance of autopsies.  Medical examiners who are already in 
112.6   office on January 1, 2001, must complete such professional 
112.7   education within 18 months of their next subsequent 
112.8   reappointment to office. 
112.9      Sec. 37.  Minnesota Statutes 1999 Supplement, section 
112.10  626.556, subdivision 2, is amended to read: 
112.11     Subd. 2.  [DEFINITIONS.] As used in this section, the 
112.12  following terms have the meanings given them unless the specific 
112.13  content indicates otherwise: 
112.14     (a) "Sexual abuse" means the subjection of a child by a 
112.15  person responsible for the child's care, by a person who has a 
112.16  significant relationship to the child, as defined in section 
112.17  609.341, or by a person in a position of authority, as defined 
112.18  in section 609.341, subdivision 10, to any act which constitutes 
112.19  a violation of section 609.342 (criminal sexual conduct in the 
112.20  first degree), 609.343 (criminal sexual conduct in the second 
112.21  degree), 609.344 (criminal sexual conduct in the third degree), 
112.22  609.345 (criminal sexual conduct in the fourth degree), or 
112.23  609.3451 (criminal sexual conduct in the fifth degree).  Sexual 
112.24  abuse also includes any act which involves a minor which 
112.25  constitutes a violation of prostitution offenses under sections 
112.26  609.321 to 609.324 or 617.246.  Sexual abuse includes threatened 
112.27  sexual abuse.  
112.28     (b) "Person responsible for the child's care" means (1) an 
112.29  individual functioning within the family unit and having 
112.30  responsibilities for the care of the child such as a parent, 
112.31  guardian, or other person having similar care responsibilities, 
112.32  or (2) an individual functioning outside the family unit and 
112.33  having responsibilities for the care of the child such as a 
112.34  teacher, school administrator, or other lawful custodian of a 
112.35  child having either full-time or short-term care 
112.36  responsibilities including, but not limited to, day care, 
113.1   babysitting whether paid or unpaid, counseling, teaching, and 
113.2   coaching.  
113.3      (c) "Neglect" means: 
113.4      (1) failure by a person responsible for a child's care to 
113.5   supply a child with necessary food, clothing, shelter, health, 
113.6   medical, or other care required for the child's physical or 
113.7   mental health when reasonably able to do so; 
113.8      (2) failure to protect a child from conditions or actions 
113.9   which imminently and seriously endanger the child's physical or 
113.10  mental health when reasonably able to do so; 
113.11     (3) failure to provide for necessary supervision or child 
113.12  care arrangements appropriate for a child after considering 
113.13  factors as the child's age, mental ability, physical condition, 
113.14  length of absence, or environment, when the child is unable to 
113.15  care for the child's own basic needs or safety, or the basic 
113.16  needs or safety of another child in their care; 
113.17     (4) failure to ensure that the child is educated as defined 
113.18  in sections 120A.22 and 260C.163, subdivision 11; 
113.19     (5) nothing in this section shall be construed to mean that 
113.20  a child is neglected solely because the child's parent, 
113.21  guardian, or other person responsible for the child's care in 
113.22  good faith selects and depends upon spiritual means or prayer 
113.23  for treatment or care of disease or remedial care of the child 
113.24  in lieu of medical care; except that a parent, guardian, or 
113.25  caretaker, or a person mandated to report pursuant to 
113.26  subdivision 3, has a duty to report if a lack of medical care 
113.27  may cause serious danger to the child's health.  This section 
113.28  does not impose upon persons, not otherwise legally responsible 
113.29  for providing a child with necessary food, clothing, shelter, 
113.30  education, or medical care, a duty to provide that care; 
113.31     (6) prenatal exposure to a controlled substance, as defined 
113.32  in section 253B.02, subdivision 2, used by the mother for a 
113.33  nonmedical purpose, as evidenced by withdrawal symptoms in the 
113.34  child at birth, results of a toxicology test performed on the 
113.35  mother at delivery or the child at birth, or medical effects or 
113.36  developmental delays during the child's first year of life that 
114.1   medically indicate prenatal exposure to a controlled substance; 
114.2      (7) "medical neglect" as defined in section 260C.007, 
114.3   subdivision 4, clause (5); 
114.4      (8) that the parent or other person responsible for the 
114.5   care of the child: 
114.6      (i) engages in violent behavior that demonstrates a 
114.7   disregard for the well-being of the child as indicated by action 
114.8   that could reasonably result in serious physical, mental, or 
114.9   threatened injury, or emotional damage to the child; 
114.10     (ii) engages in repeated domestic assault that would 
114.11  constitute a violation of section 609.2242, subdivision 2 or 4; 
114.12     (iii) intentionally inflicts or attempts to inflict bodily 
114.13  harm against a family or household member, as defined in section 
114.14  518B.01, subdivision 2, that is within sight or sound of the 
114.15  child; or 
114.16     (iv) subjects the child to ongoing domestic violence by the 
114.17  abuser in the home environment that is likely to have a 
114.18  detrimental effect on the well-being of the child; 
114.19     (9) chronic and severe use of alcohol or a controlled 
114.20  substance by a parent or person responsible for the care of the 
114.21  child that adversely affects the child's basic needs and safety; 
114.22  or 
114.23     (10) (9) emotional harm from a pattern of behavior which 
114.24  contributes to impaired emotional functioning of the child which 
114.25  may be demonstrated by a substantial and observable effect in 
114.26  the child's behavior, emotional response, or cognition that is 
114.27  not within the normal range for the child's age and stage of 
114.28  development, with due regard to the child's culture. 
114.29     (d) "Physical abuse" means any physical injury, mental 
114.30  injury, or threatened injury, inflicted by a person responsible 
114.31  for the child's care on a child other than by accidental means, 
114.32  or any physical or mental injury that cannot reasonably be 
114.33  explained by the child's history of injuries, or any aversive 
114.34  and deprivation procedures that have not been authorized under 
114.35  section 245.825.  Abuse does not include reasonable and moderate 
114.36  physical discipline of a child administered by a parent or legal 
115.1   guardian which does not result in an injury.  Actions which are 
115.2   not reasonable and moderate include, but are not limited to, any 
115.3   of the following that are done in anger or without regard to the 
115.4   safety of the child: 
115.5      (1) throwing, kicking, burning, biting, or cutting a child; 
115.6      (2) striking a child with a closed fist; 
115.7      (3) shaking a child under age three; 
115.8      (4) striking or other actions which result in any 
115.9   nonaccidental injury to a child under 18 months of age; 
115.10     (5) unreasonable interference with a child's breathing; 
115.11     (6) threatening a child with a weapon, as defined in 
115.12  section 609.02, subdivision 6; 
115.13     (7) striking a child under age one on the face or head; 
115.14     (8) purposely giving a child poison, alcohol, or dangerous, 
115.15  harmful, or controlled substances which were not prescribed for 
115.16  the child by a practitioner, in order to control or punish the 
115.17  child; or other substances that substantially affect the child's 
115.18  behavior, motor coordination, or judgment or that results in 
115.19  sickness or internal injury, or subjects the child to medical 
115.20  procedures that would be unnecessary if the child were not 
115.21  exposed to the substances; or 
115.22     (9) unreasonable physical confinement or restraint not 
115.23  permitted under section 609.379, including but not limited to 
115.24  tying, caging, or chaining. 
115.25     (e) "Report" means any report received by the local welfare 
115.26  agency, police department, or county sheriff pursuant to this 
115.27  section. 
115.28     (f) "Facility" means a licensed or unlicensed day care 
115.29  facility, residential facility, agency, hospital, sanitarium, or 
115.30  other facility or institution required to be licensed under 
115.31  sections 144.50 to 144.58, 241.021, or 245A.01 to 245A.16, or 
115.32  chapter 245B; or a school as defined in sections 120A.05, 
115.33  subdivisions 9, 11, and 13; and 124D.10; or a nonlicensed 
115.34  personal care provider organization as defined in sections 
115.35  256B.04, subdivision 16, and 256B.0625, subdivision 19a. 
115.36     (g) "Operator" means an operator or agency as defined in 
116.1   section 245A.02.  
116.2      (h) "Commissioner" means the commissioner of human services.
116.3      (i) "Assessment" includes authority to interview the child, 
116.4   the person or persons responsible for the child's care, the 
116.5   alleged perpetrator, and any other person with knowledge of the 
116.6   abuse or neglect for the purpose of gathering the facts, 
116.7   assessing the risk to the child, and formulating a plan.  
116.8      (j) "Practice of social services," for the purposes of 
116.9   subdivision 3, includes but is not limited to employee 
116.10  assistance counseling and the provision of guardian ad litem and 
116.11  visitation expeditor services.  
116.12     (k) "Mental injury" means an injury to the psychological 
116.13  capacity or emotional stability of a child as evidenced by an 
116.14  observable or substantial impairment in the child's ability to 
116.15  function within a normal range of performance and behavior with 
116.16  due regard to the child's culture. 
116.17     (l) "Threatened injury" means a statement, overt act, 
116.18  condition, or status that represents a substantial risk of 
116.19  physical or sexual abuse or mental injury. 
116.20     (m) Persons who conduct assessments or investigations under 
116.21  this section shall take into account accepted child-rearing 
116.22  practices of the culture in which a child participates, which 
116.23  are not injurious to the child's health, welfare, and safety. 
116.24     Sec. 38.  Minnesota Statutes 1998, section 626.556, is 
116.25  amended by adding a subdivision to read: 
116.26     Subd. 2a.  [EXPOSURE TO DOMESTIC VIOLENCE.] Maltreatment 
116.27  reports involving children exposed to domestic violence or 
116.28  witnessing domestic violence are governed by subdivision 2, 
116.29  paragraph (c), clauses (1) to (3), paragraph (d), and paragraph 
116.30  (l). 
116.31     Sec. 39.  [DAKOTA COUNTY MFIP DIVERSIONARY ASSISTANCE PILOT 
116.32  PROJECT.] 
116.33     Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] 
116.34  Notwithstanding any contrary law, the commissioner of human 
116.35  services shall establish an MFIP diversionary assistance pilot 
116.36  project in Dakota county to encourage rapid entrance into the 
117.1   work force.  The pilot project is intended to improve 
117.2   employability and self-sufficiency, to minimize the number of 
117.3   families reaching the 60-month time limit under the federal TANF 
117.4   block grant program, and to reduce the number of families who 
117.5   need ongoing MFIP assistance under Minnesota Statutes, chapter 
117.6   256J. Unlike MFIP program assistance under Minnesota Statutes, 
117.7   section 256J.24, subdivision 5, the diversionary assistance 
117.8   pilot project payments shall not include a food portion.  
117.9   Participating families may instead apply for benefits from the 
117.10  federal food stamp program. 
117.11     Subd. 2.  [MANDATORY PARTICIPATION.] Beginning July 1, 2001 
117.12  and through March 31, 2003, the following families residing in 
117.13  Dakota county must be enrolled in the Dakota county diversionary 
117.14  assistance pilot project: 
117.15     (1) families who apply for MFIP under Minnesota Statutes, 
117.16  chapter 256J, or reapply after being closed for 30 days or more 
117.17  from MFIP, and who meet eligibility requirements; and 
117.18     (2) families currently enrolled in MFIP who are under a 30 
117.19  percent sanction and have been assessed as capable of 
117.20  participating in a preemployment or employment activity, as 
117.21  those terms are defined in Minnesota Statutes, section 256J.49, 
117.22  subdivision 13, but who are not participating in these 
117.23  activities.  These families shall be closed from MFIP prior to 
117.24  being transferred to the diversionary assistance pilot project. 
117.25  Months of participation in the pilot project shall count towards 
117.26  a participant's 60-month time limit under Minnesota Statutes, 
117.27  section 256J.42. 
117.28     Subd. 3.  [FAMILIES EXCLUDED FROM PROJECT.] The following 
117.29  assistance units or families must be excluded from participation 
117.30  in the Dakota county diversionary assistance pilot project: 
117.31     (1) assistance units in which only minor children would 
117.32  receive assistance; 
117.33     (2) families in which the caregiver is a victim of family 
117.34  violence and the caregiver is complying with a safety plan or an 
117.35  alternative employment plan under Minnesota Statutes, chapter 
117.36  256J; 
118.1      (3) a minor parent or pregnant minor, the minor parent's 
118.2   child, and the caregivers of the minor parent who are included 
118.3   in the minor parent's assistance unit under Minnesota Statutes, 
118.4   section 256J.24; 
118.5      (4) families in which the caregiver is age 60 or older; 
118.6      (5) families in which the caregiver has an infant child 
118.7   under 12 weeks of age; and 
118.8      (6) families who are determined by the county agency to be 
118.9   unlikely to benefit from the pilot project's services. 
118.10     Subd. 4.  [APPLYING FOR ASSISTANCE; APPLICANT REQUIREMENTS 
118.11  AND RESPONSIBILITIES.] Minnesota Statutes, section 256J.09, 
118.12  excluding subdivisions 4, 7, and 9, applies to families that 
118.13  apply for assistance under the pilot project.  The applicant 
118.14  requirements and responsibilities under Minnesota Statutes 
118.15  section 256J.30, excluding subdivisions 4 to 11, also apply to 
118.16  pilot project applicants.  Families determined eligible for 
118.17  benefits under this pilot project may request termination from 
118.18  the pilot project at any time. 
118.19     Subd. 5.  [FAMILY COMPOSITION;ASSISTANCE UNITS.] In 
118.20  determining the composition of assistance units and eligibility 
118.21  under the pilot project the following provisions apply:  
118.22  Minnesota Statutes, sections 256J.08, subdivision 7; 256J.13; 
118.23  256J.15; and 256J.24, subdivisions 1 to 4. 
118.24     Subd. 6.  [TREATMENT OF INCOME.] (a) For purposes of 
118.25  defining income under the pilot project, the MFIP income 
118.26  definitions under Minnesota Statutes, chapter 256J, must be used.
118.27  The agency shall evaluate the income of each member of an 
118.28  assistance unit that is requesting assistance payments under 
118.29  this project. 
118.30     (b) Countable income means the gross earned income and 
118.31  unearned income that is not excluded under Minnesota Statutes, 
118.32  section 256J.21, subdivision 2, or disregarded under Minnesota 
118.33  Statutes, section 256J.08, subdivision 24.  In determining the 
118.34  amount of diversionary assistance to be issued for the month 
118.35  that payments are to be made, the county agency must determine 
118.36  if countable income is actually available to apply to a 
119.1   participant's basic needs. 
119.2      (c) The difference between basic needs as defined under 
119.3   subdivision 9, paragraph (a), clause (3), and countable income 
119.4   shall be the amount of the monthly diversionary payments that is 
119.5   subject to the provisions of subdivision 9, paragraph (b). 
119.6      Subd. 7.  [CALCULATING PAYMENTS.] (a) The county must use 
119.7   prospective budgeting to calculate the assistance payment 
119.8   amounts.  The provisions of Minnesota Statutes, section 256J.34, 
119.9   subdivision 1, paragraphs (a) to (c), apply to the calculations, 
119.10  except that the provisions of those paragraphs shall be used for 
119.11  each 30-day period during the 90-day diversionary assistance 
119.12  pilot project.  The payment amounts for the 90-day period must 
119.13  be determined upon approval of an applicant's request for 
119.14  assistance and issued monthly over the 90-day period, unless the 
119.15  participant reports a change in circumstances that would 
119.16  increase the amount of assistance, or the participant is 
119.17  sanctioned or terminated from the pilot project.  Monthly 
119.18  payments are subject to the limitations in subdivision 9, 
119.19  paragraph (b). 
119.20     (b) Prospective budgeting is not subject to overpayments or 
119.21  underpayments unless fraud is determined under Minnesota 
119.22  Statutes, section 256.98.  The provisions of Minnesota Statutes, 
119.23  section 256.98, subdivision 1, apply to the pilot project. 
119.24     (c) For the pilot project, client data must be entered and 
119.25  maintained on the department of human services' MAXIS computer 
119.26  system and all diversionary assistance payments authorized 
119.27  throughout the duration of the project shall be issued from 
119.28  MAXIS. 
119.29     Subd. 8.  [CHANGE IN RESIDENCE.] When a family moves to 
119.30  another Minnesota county and applies for MFIP and is found 
119.31  eligible, MFIP benefits may be issued effective the day 
119.32  following the date through which diversionary assistance 
119.33  payments under this project provided for the needs of the 
119.34  family.  Participants must report any change of address within 
119.35  ten days of the date the change occurs. 
119.36     Subd. 9.  [PILOT PROJECT DESIGN AND SERVICES.] (a) 
120.1   Assistance under the Dakota county MFIP diversionary assistance 
120.2   pilot project is available to an eligible participant for 90 
120.3   days after enrollment.  The county agency may have families 
120.4   participating in the project through June 30, 2003.  For 
120.5   purposes of eligibility for child care assistance under 
120.6   Minnesota Statutes, chapter 119B, pilot program participants are 
120.7   eligible for the same benefits as MFIP recipients. The following 
120.8   support services and programs are available to participants, 
120.9   based on the county agency's documentation of need or 
120.10  determination of eligibility: 
120.11     (1) the development of a self-sufficiency plan in the event 
120.12  that the participant is determined to be not ready to seek or 
120.13  obtain unsubsidized employment while enrolled in the project; 
120.14     (2) child care assistance under Minnesota Statutes, chapter 
120.15  119B, for work or for all preemployment or employment-related 
120.16  activities, as defined in Minnesota Statutes, section 256J.49, 
120.17  subdivision 13, approved by a county in an employment plan, as 
120.18  defined in Minnesota Statutes, section 256J.49, subdivision 5.  
120.19  This may include assistance with child care costs related to 
120.20  accessing social services programs and activities, including but 
120.21  not limited to mental health and chemical dependency program 
120.22  services; 
120.23     (3) funding for basic needs, which include shelter, 
120.24  utilities, and other personal requirements of subsistence as 
120.25  identified by the participant and approved by the county agency. 
120.26  Vendor payments shall be made for shelter and utilities up to 
120.27  the amount of assistance to be issued; 
120.28     (4) other employment-focused supports that are identified 
120.29  after a needs assessment is conducted for the pilot project 
120.30  participant; 
120.31     (5) approved training programs, as defined in Minnesota 
120.32  Statutes, section 256J.49, subdivision 13, and as limited by the 
120.33  provisions of Minnesota Statutes, section 256J.53; 
120.34     (6) approved work activities, as defined in Minnesota 
120.35  Statutes, section 256J.49, subdivision 13; 
120.36     (7) federal food stamp program benefits which the 
121.1   participant must separately apply for; 
121.2      (8) medical assistance under Minnesota Statutes, chapter 
121.3   256B, or MinnesotaCare under Minnesota Statutes, chapter 256L; 
121.4      (9) enhanced employment services, which include services 
121.5   available to individuals eligible for MFIP as described in the 
121.6   county's local service unit plan under Minnesota Statutes, 
121.7   section 268.88; and 
121.8      (10) emergency assistance under Minnesota Statutes, section 
121.9   256J.48. 
121.10     (b) Payments for basic needs shall be determined by an 
121.11  eligibility worker from the date of application.  Total monthly 
121.12  payments must not exceed 133 percent of the ongoing MFIP monthly 
121.13  cash grant for which the participant would have otherwise been 
121.14  eligible under Minnesota Statutes, section 256J.24, subdivision 
121.15  5. 
121.16     (c) Each participant must also be provided immediate access 
121.17  to an interdisciplinary team consisting of financial workers, 
121.18  employment counselors, and social workers who can conduct an 
121.19  individualized assessment of family needs and assist in 
121.20  arranging needed services.  An employment plan developed under 
121.21  this subdivision must be tailored to each participant family's 
121.22  needs. 
121.23     (d) For a participant to receive monthly payments as 
121.24  specified in paragraph (b), the participant must cooperate with 
121.25  the participant's employment plan. 
121.26     (e) No standard exemptions from participation in employment 
121.27  services are granted to pilot project participants during the 
121.28  pilot project. 
121.29     (f) Noncooperation with the employment plan without good 
121.30  cause shall result in a sanction equal to a reduction of 100 
121.31  percent of funding for basic needs for the remainder of the 
121.32  90-day participation period. 
121.33     Subd. 10.  [GOOD CAUSE FOR FAILURE TO COMPLY WITH AN 
121.34  EMPLOYMENT PLAN.] Good cause for failure to comply with an 
121.35  employment plan under this section exists when: 
121.36     (1) appropriate child care is not available; 
122.1      (2) the job does not meet the definition of suitable 
122.2   employment under Minnesota Statutes, section 256J.49, 
122.3   subdivision 12; 
122.4      (3) the participant is ill or injured; 
122.5      (4) a member of the unit, a relative in the household, or a 
122.6   foster child in the household is ill and needs care by the 
122.7   participant that prevents the participant from complying; 
122.8      (5) the participant has an infant child under 12 weeks of 
122.9   age; 
122.10     (6) the participant is unable to secure needed 
122.11  transportation; 
122.12     (7) the participant is in an emergency situation that 
122.13  prevents compliance with the employment plan; 
122.14     (8) the schedule of compliance with the employment plan 
122.15  conflicts with judicial proceedings; or 
122.16     (9) the participant is already participating in acceptable 
122.17  work activities. 
122.18     Subd. 11.  [TRANSITION SERVICES.] (a) After participation 
122.19  in the pilot project, participants who are employed and not on 
122.20  MFIP are eligible for transition year child care assistance 
122.21  under Minnesota Statutes, chapter 119B, without regard to 
122.22  current or previous MFIP program eligibility.  For families who 
122.23  were eligible for medical assistance or MinnesotaCare during the 
122.24  90 days, the county agency shall facilitate any eligibility 
122.25  determination that is needed for continued medical coverage. 
122.26     (b) Pilot project participants who have not attained an 
122.27  income during participation in the pilot project that would 
122.28  result in MFIP ineligibility are eligible for the following 
122.29  options: 
122.30     (1) participants who were not on MFIP prior to 
122.31  participating in the pilot program may apply for MFIP under 
122.32  Minnesota Statutes, chapter 256J; 
122.33     (2) participants enrolled in MFIP prior to participating in 
122.34  the pilot program who were not under sanction during the pilot 
122.35  project may revert to participation in MFIP; or 
122.36     (3) participants who were under sanction during the pilot 
123.1   project may reapply for MFIP. 
123.2      Subd. 12.  [EVALUATION AND REPORT.] Evaluation of the pilot 
123.3   project shall be based on outcome evaluation criteria negotiated 
123.4   with the commissioner of human services prior to the project's 
123.5   implementation.  By January 31, 2003, the commissioner shall 
123.6   prepare and submit a report to the legislature on the results of 
123.7   the pilot project and recommendations for changes to the project 
123.8   if it were to be implemented on a permanent basis. 
123.9      Subd. 13.  [FUNDING.] The commissioners of human services 
123.10  and children, families, and learning shall use existing MFIP and 
123.11  child care assistance funding for the purposes of the basic 
123.12  needs payments made on behalf of participant families and the 
123.13  child care assistance provided to participant families during 
123.14  the 90 days that families are enrolled in the pilot project. 
123.15     Subd. 14.  [COUNTY AGENCY DUTIES; APPLICANT AND PARTICIPANT 
123.16  RIGHTS.] (a) The county agency shall develop policies and 
123.17  procedures in the following areas prior to implementing the 
123.18  pilot project: 
123.19     (1) referrals to employment services that are described in 
123.20  the county's local service unit plan under Minnesota Statutes, 
123.21  section 268.88; 
123.22     (2) notices to participants about employment services 
123.23  provisions and requirements; and 
123.24     (3) documentation and verification of eligibility. 
123.25     (b) The provisions of Minnesota Statutes, section 256J.31, 
123.26  concerning applicant and participant rights and county agency 
123.27  responsibilities apply to the pilot project, except that the use 
123.28  of vendor payments shall not be considered an adverse action. 
123.29     (c) When a participant receives a 100 percent sanction 
123.30  under subdivision 9, the county agency must monitor the 
123.31  well-being of the children in the household who are at risk of 
123.32  safety, health, or nutritional problems due to the lack of 
123.33  resources available to the family.  The county agency must 
123.34  provide necessary services or resources to the family in order 
123.35  to protect the welfare of the children in the household. 
123.36     (d) The county agency must report quarterly to the 
124.1   commissioner of human services, and to the chairs of the house 
124.2   health and human services policy committee and the senate health 
124.3   and family security committee, on the number of participants who 
124.4   have received a sanction under subdivision 9. 
124.5      Subd. 15.  [FAIR HEARINGS.] The fair hearing provisions of 
124.6   Minnesota Statutes, section 256J.40, subdivision 1, shall be 
124.7   followed under the pilot project, except that diversionary 
124.8   assistance payments may be reduced, suspended, or terminated as 
124.9   proposed even if that action is appealed.  The agency's decision 
124.10  to reduce, suspend, or terminate shall continue pending the fair 
124.11  hearing decision, regardless of when the participant requests 
124.12  the hearing.  The county agency shall request that the 
124.13  commissioner of human services expedite the fair hearing when a 
124.14  participant's family situation meets the same emergency need 
124.15  criteria as defined for the emergency assistance program under 
124.16  Minnesota Statutes, section 256J.48. 
124.17     Subd. 16.  [FEDERAL WAIVER.] The commissioner of human 
124.18  services shall apply for any federal waiver required to 
124.19  implement the Dakota county MFIP diversionary assistance pilot 
124.20  project under this section. 
124.21     Subd. 17.  [SUNSET.] This section sunsets on June 30, 2003. 
124.22     Sec. 40.  [FISCAL SANCTION FOR POOR CASELOAD REDUCTION 
124.23  PERFORMANCE; PLAN REQUIRED.] 
124.24     By February 1, 2001, the commissioner of human services 
124.25  shall develop a plan to apply fiscal sanctions against a 
124.26  county's or tribe's allocation of grant funds under Minnesota 
124.27  Statutes, section 256J.625, and under Minnesota Statutes, 
124.28  section 256J.62 or 256J.645, whichever is applicable, when a 
124.29  county or tribe does not adequately perform with respect to the 
124.30  performance measures related to cases that have left MFIP 
124.31  assistance, as listed in Minnesota Statutes, section 256J.751, 
124.32  paragraph (a), clause (3), and paragraph (b), clause (1).  The 
124.33  commissioner's plan must address a county's relative performance 
124.34  on these measures so that a county with a relatively large 
124.35  proportion of hard-to-employ MFIP participants is not unduly 
124.36  penalized if the county has poor performance on these measures.  
125.1   The plan must also provide a mechanism to appropriately allocate 
125.2   a portion of a county's or tribe's fiscal sanction against the 
125.3   employment and training service providers used by the county or 
125.4   tribe.  The commissioner must report the plan required by this 
125.5   section to the appropriate legislative committees by February 1, 
125.6   2001. 
125.7      Sec. 41.  [WORK GROUP ON SANCTION RECOMMENDATIONS.] 
125.8      A legislative work group on MFIP sanction recommendations 
125.9   shall be established.  The chairs of the house health and human 
125.10  services policy committee and the senate health and family 
125.11  security committee shall each appoint five legislators, two of 
125.12  whom must be members of the minority party, to be members of 
125.13  this work group.  The work group must review the implementation 
125.14  of current MFIP sanction policy and make recommendations for any 
125.15  necessary improvements.  State agencies shall provide technical 
125.16  assistance as requested by the work group.  The work group must 
125.17  submit a report on its review and recommendations to the 
125.18  legislature by January 1, 2001. 
125.19     Sec. 42.  [REPORTS ON SAVE IMPLEMENTATION.] 
125.20     On January 15, 2002, and January 15, 2003, the commissioner 
125.21  shall report to the chairs of the house health and human 
125.22  services policy committee and the senate health and family 
125.23  security committee on the usage and costs of the SAVE program 
125.24  over the previous year.  These reports must include summary, 
125.25  nonidentifying information on the number of inquiries per month 
125.26  that were submitted to the SAVE system, the number of times 
125.27  secondary verifications were pursued as a result of the 
125.28  inquiries submitted to SAVE, and the number of times the county 
125.29  determined, as a result of information provided through the SAVE 
125.30  system, that an applicant to a program listed in section 256.01, 
125.31  subdivision 18, was ineligible for benefits due to the 
125.32  applicant's immigration status. 
125.33     Sec. 43.  [REPEALER.] 
125.34     (a) Minnesota Statutes 1998, section 256J.46, subdivision 
125.35  1a, is repealed. 
125.36     (b) Laws 1999, chapter 245, article 5, section 24, is 
126.1   repealed. 
126.2                              ARTICLE 5 
126.3                      TANF MAINTENANCE OF EFFORT 
126.4                        EXPENDITURE OVERSIGHT
126.5      Section 1.  [3.3006] [TANF MAINTENANCE OF EFFORT 
126.6   EXPENDITURES; EXPENDITURE REVIEW.] 
126.7      Subdivision 1.  [DEFINITIONS.] The definitions in this 
126.8   subdivision apply to this section. 
126.9      (a) "TANF MOE" means the maintenance of effort for the TANF 
126.10  block grant specified under United States Code, title 42, 
126.11  section 609(a)(7). 
126.12     (b) Unless otherwise specified, "commissioner" means the 
126.13  commissioner of human services. 
126.14     Subd. 2.  [TANF MOE EXPENDITURES.] The state's TANF MOE 
126.15  expenditure requirements under section 256J.025 must be met 
126.16  unless the provisions of subdivisions 3 and 4 apply. 
126.17     Subd. 3.  [INTERIM PROCEDURES.] If the commissioner 
126.18  determines that nonfederal expenditures for the programs under 
126.19  section 256J.025 are insufficient to meet TANF MOE expenditure 
126.20  requirements, and if the legislature is not or will not be in 
126.21  session to take timely action to avoid a federal penalty, the 
126.22  commissioner may report nonfederal expenditures from other 
126.23  allowable sources as TANF MOE expenditures after the 
126.24  requirements of subdivision 4 are met. 
126.25     Subd. 4.  [LEGISLATIVE ADVISORY COMMISSION REVIEW.] The 
126.26  commissioner may report nonfederal expenditures in addition to 
126.27  those specified under section 256J.025 as nonfederal TANF MOE 
126.28  expenditures, but only after the commissioner of finance has 
126.29  first submitted the commissioner's recommendations for 
126.30  additional allowable sources of nonfederal TANF MOE expenditures 
126.31  to the members of the legislative advisory commission for their 
126.32  review and recommendation for further review.  If the 
126.33  legislative advisory commission does not act to request further 
126.34  review within ten days, no further review by the legislative 
126.35  advisory commission is required, and the commissioner of finance 
126.36  shall approve or disapprove the additional sources of nonfederal 
127.1   TANF MOE expenditures.  If any member of the commission requests 
127.2   further review of the proposed TANF MOE expenditures, the 
127.3   governor shall submit the commissioner's recommendations to the 
127.4   legislative advisory commission for its review and 
127.5   recommendation.  Failure or refusal of the commission to make a 
127.6   recommendation promptly is a negative recommendation. 
127.7      Subd. 5.  [FORECAST INCLUSION OF INTERIM CHANGES NOT 
127.8   ALLOWED.] The commissioner of finance shall not incorporate any 
127.9   changes in federal TANF expenditures or nonfederal expenditures 
127.10  for TANF MOE that may result from reporting additional allowable 
127.11  sources of nonfederal TANF MOE expenditures under the interim 
127.12  procedures in this section into the February or November 
127.13  forecasts required under section 16A.103, unless the 
127.14  commissioner of finance has approved the additional sources of 
127.15  expenditures under subdivision 4. 
127.16     Sec. 2.  Minnesota Statutes 1999 Supplement, section 
127.17  119B.02, subdivision 1, is amended to read: 
127.18     Subdivision 1.  [CHILD CARE SERVICES.] The commissioner 
127.19  shall develop standards for county and human services boards to 
127.20  provide child care services to enable eligible families to 
127.21  participate in employment, training, or education programs.  
127.22  Within the limits of available appropriations, the commissioner 
127.23  shall distribute money to counties to reduce the costs of child 
127.24  care for eligible families.  The commissioner shall adopt rules 
127.25  to govern the program in accordance with this section.  The 
127.26  rules must establish a sliding schedule of fees for parents 
127.27  receiving child care services.  The rules shall provide that 
127.28  funds received as a lump sum payment of child support arrearages 
127.29  shall not be counted as income to a family in the month received 
127.30  but shall be prorated over the 12 months following receipt and 
127.31  added to the family income during those months.  In the rules 
127.32  adopted under this section, county and human services boards 
127.33  shall be authorized to establish policies for payment of child 
127.34  care spaces for absent children, when the payment is required by 
127.35  the child's regular provider.  The rules shall not set a maximum 
127.36  number of days for which absence payments can be made, but 
128.1   instead shall direct the county agency to set limits and pay for 
128.2   absences according to the prevailing market practice in the 
128.3   county.  County policies for payment of absences shall be 
128.4   subject to the approval of the commissioner.  The commissioner 
128.5   shall maximize the use of federal money under title I and title 
128.6   IV of VI, Public Law Number 104-193, the Personal Responsibility 
128.7   and Work Opportunity Reconciliation Act of 1996, and other 
128.8   programs that provide federal or state reimbursement for child 
128.9   care services for low-income families who are in education, 
128.10  training, job search, or other activities allowed under those 
128.11  programs.  Money appropriated under this section must be 
128.12  coordinated with the programs that provide federal reimbursement 
128.13  for child care services to accomplish this purpose.  Federal 
128.14  reimbursement obtained must be allocated to the county that 
128.15  spent money for child care that is federally reimbursable under 
128.16  programs that provide federal reimbursement for child care 
128.17  services.  The counties shall use the federal money to expand 
128.18  child care services.  The commissioner may adopt rules under 
128.19  chapter 14 to implement and coordinate federal program 
128.20  requirements. 
128.21     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
128.22  256.01, subdivision 2, is amended to read: 
128.23     Subd. 2.  [SPECIFIC POWERS.] Subject to the provisions of 
128.24  section 241.021, subdivision 2, the commissioner of human 
128.25  services shall: 
128.26     (1) Administer and supervise all forms of public assistance 
128.27  provided for by state law and other welfare activities or 
128.28  services as are vested in the commissioner.  Administration and 
128.29  supervision of human services activities or services includes, 
128.30  but is not limited to, assuring timely and accurate distribution 
128.31  of benefits, completeness of service, and quality program 
128.32  management.  In addition to administering and supervising human 
128.33  services activities vested by law in the department, the 
128.34  commissioner shall have the authority to: 
128.35     (a) require county agency participation in training and 
128.36  technical assistance programs to promote compliance with 
129.1   statutes, rules, federal laws, regulations, and policies 
129.2   governing human services; 
129.3      (b) monitor, on an ongoing basis, the performance of county 
129.4   agencies in the operation and administration of human services, 
129.5   enforce compliance with statutes, rules, federal laws, 
129.6   regulations, and policies governing welfare services and promote 
129.7   excellence of administration and program operation; 
129.8      (c) develop a quality control program or other monitoring 
129.9   program to review county performance and accuracy of benefit 
129.10  determinations; 
129.11     (d) require county agencies to make an adjustment to the 
129.12  public assistance benefits issued to any individual consistent 
129.13  with federal law and regulation and state law and rule and to 
129.14  issue or recover benefits as appropriate; 
129.15     (e) delay or deny payment of all or part of the state and 
129.16  federal share of benefits and administrative reimbursement 
129.17  according to the procedures set forth in section 256.017; 
129.18     (f) make contracts with and grants to public and private 
129.19  agencies and organizations, both profit and nonprofit, and 
129.20  individuals, using appropriated funds; and 
129.21     (g) enter into contractual agreements with federally 
129.22  recognized Indian tribes with a reservation in Minnesota to the 
129.23  extent necessary for the tribe to operate a federally approved 
129.24  family assistance program or any other program under the 
129.25  supervision of the commissioner.  The commissioner shall consult 
129.26  with the affected county or counties in the contractual 
129.27  agreement negotiations, if the county or counties wish to be 
129.28  included, in order to avoid the duplication of county and tribal 
129.29  assistance program services.  The commissioner may establish 
129.30  necessary accounts for the purposes of receiving and disbursing 
129.31  funds as necessary for the operation of the programs. 
129.32     (2) Inform county agencies, on a timely basis, of changes 
129.33  in statute, rule, federal law, regulation, and policy necessary 
129.34  to county agency administration of the programs. 
129.35     (3) Administer and supervise all child welfare activities; 
129.36  promote the enforcement of laws protecting handicapped, 
130.1   dependent, neglected and delinquent children, and children born 
130.2   to mothers who were not married to the children's fathers at the 
130.3   times of the conception nor at the births of the children; 
130.4   license and supervise child-caring and child-placing agencies 
130.5   and institutions; supervise the care of children in boarding and 
130.6   foster homes or in private institutions; and generally perform 
130.7   all functions relating to the field of child welfare now vested 
130.8   in the state board of control. 
130.9      (4) Administer and supervise all noninstitutional service 
130.10  to handicapped persons, including those who are visually 
130.11  impaired, hearing impaired, or physically impaired or otherwise 
130.12  handicapped.  The commissioner may provide and contract for the 
130.13  care and treatment of qualified indigent children in facilities 
130.14  other than those located and available at state hospitals when 
130.15  it is not feasible to provide the service in state hospitals. 
130.16     (5) Assist and actively cooperate with other departments, 
130.17  agencies and institutions, local, state, and federal, by 
130.18  performing services in conformity with the purposes of Laws 
130.19  1939, chapter 431. 
130.20     (6) Act as the agent of and cooperate with the federal 
130.21  government in matters of mutual concern relative to and in 
130.22  conformity with the provisions of Laws 1939, chapter 431, 
130.23  including the administration of any federal funds granted to the 
130.24  state to aid in the performance of any functions of the 
130.25  commissioner as specified in Laws 1939, chapter 431, and 
130.26  including the promulgation of rules making uniformly available 
130.27  medical care benefits to all recipients of public assistance, at 
130.28  such times as the federal government increases its participation 
130.29  in assistance expenditures for medical care to recipients of 
130.30  public assistance, the cost thereof to be borne in the same 
130.31  proportion as are grants of aid to said recipients. 
130.32     (7) Establish and maintain any administrative units 
130.33  reasonably necessary for the performance of administrative 
130.34  functions common to all divisions of the department. 
130.35     (8) Act as designated guardian of both the estate and the 
130.36  person of all the wards of the state of Minnesota, whether by 
131.1   operation of law or by an order of court, without any further 
131.2   act or proceeding whatever, except as to persons committed as 
131.3   mentally retarded.  For children under the guardianship of the 
131.4   commissioner whose interests would be best served by adoptive 
131.5   placement, the commissioner may contract with a licensed 
131.6   child-placing agency to provide adoption services.  A contract 
131.7   with a licensed child-placing agency must be designed to 
131.8   supplement existing county efforts and may not replace existing 
131.9   county programs, unless the replacement is agreed to by the 
131.10  county board and the appropriate exclusive bargaining 
131.11  representative or the commissioner has evidence that child 
131.12  placements of the county continue to be substantially below that 
131.13  of other counties.  Funds encumbered and obligated under an 
131.14  agreement for a specific child shall remain available until the 
131.15  terms of the agreement are fulfilled or the agreement is 
131.16  terminated. 
131.17     (9) Act as coordinating referral and informational center 
131.18  on requests for service for newly arrived immigrants coming to 
131.19  Minnesota. 
131.20     (10) The specific enumeration of powers and duties as 
131.21  hereinabove set forth shall in no way be construed to be a 
131.22  limitation upon the general transfer of powers herein contained. 
131.23     (11) Establish county, regional, or statewide schedules of 
131.24  maximum fees and charges which may be paid by county agencies 
131.25  for medical, dental, surgical, hospital, nursing and nursing 
131.26  home care and medicine and medical supplies under all programs 
131.27  of medical care provided by the state and for congregate living 
131.28  care under the income maintenance programs. 
131.29     (12) Have the authority to conduct and administer 
131.30  experimental projects to test methods and procedures of 
131.31  administering assistance and services to recipients or potential 
131.32  recipients of public welfare.  To carry out such experimental 
131.33  projects, it is further provided that the commissioner of human 
131.34  services is authorized to waive the enforcement of existing 
131.35  specific statutory program requirements, rules, and standards in 
131.36  one or more counties.  The order establishing the waiver shall 
132.1   provide alternative methods and procedures of administration, 
132.2   shall not be in conflict with the basic purposes, coverage, or 
132.3   benefits provided by law, and in no event shall the duration of 
132.4   a project exceed four years.  It is further provided that no 
132.5   order establishing an experimental project as authorized by the 
132.6   provisions of this section shall become effective until the 
132.7   following conditions have been met: 
132.8      (a) The secretary of health and human services of the 
132.9   United States has agreed, for the same project, to waive state 
132.10  plan requirements relative to statewide uniformity. 
132.11     (b) A comprehensive plan, including estimated project 
132.12  costs, shall be approved by the legislative advisory commission 
132.13  and filed with the commissioner of administration.  
132.14     (13) According to federal requirements, establish 
132.15  procedures to be followed by local welfare boards in creating 
132.16  citizen advisory committees, including procedures for selection 
132.17  of committee members. 
132.18     (14) Allocate federal fiscal disallowances or sanctions 
132.19  which are based on quality control error rates for the aid to 
132.20  families with dependent children program formerly codified in 
132.21  sections 256.72 to 256.87, medical assistance, or food stamp 
132.22  program in the following manner:  
132.23     (a) One-half of the total amount of the disallowance shall 
132.24  be borne by the county boards responsible for administering the 
132.25  programs.  For the medical assistance and the AFDC program 
132.26  formerly codified in sections 256.72 to 256.87, disallowances 
132.27  shall be shared by each county board in the same proportion as 
132.28  that county's expenditures for the sanctioned program are to the 
132.29  total of all counties' expenditures for the AFDC program 
132.30  formerly codified in sections 256.72 to 256.87, and medical 
132.31  assistance programs.  For the food stamp program, sanctions 
132.32  shall be shared by each county board, with 50 percent of the 
132.33  sanction being distributed to each county in the same proportion 
132.34  as that county's administrative costs for food stamps are to the 
132.35  total of all food stamp administrative costs for all counties, 
132.36  and 50 percent of the sanctions being distributed to each county 
133.1   in the same proportion as that county's value of food stamp 
133.2   benefits issued are to the total of all benefits issued for all 
133.3   counties.  Each county shall pay its share of the disallowance 
133.4   to the state of Minnesota.  When a county fails to pay the 
133.5   amount due hereunder, the commissioner may deduct the amount 
133.6   from reimbursement otherwise due the county, or the attorney 
133.7   general, upon the request of the commissioner, may institute 
133.8   civil action to recover the amount due. 
133.9      (b) Notwithstanding the provisions of paragraph (a), if the 
133.10  disallowance results from knowing noncompliance by one or more 
133.11  counties with a specific program instruction, and that knowing 
133.12  noncompliance is a matter of official county board record, the 
133.13  commissioner may require payment or recover from the county or 
133.14  counties, in the manner prescribed in paragraph (a), an amount 
133.15  equal to the portion of the total disallowance which resulted 
133.16  from the noncompliance, and may distribute the balance of the 
133.17  disallowance according to paragraph (a).  
133.18     (15) Develop and implement special projects that maximize 
133.19  reimbursements, other than federal TANF funds, and result in the 
133.20  recovery of money to the state.  For the purpose of recovering 
133.21  state money, the commissioner may enter into contracts with 
133.22  third parties.  Any recoveries that result from projects or 
133.23  contracts entered into under this paragraph shall be deposited 
133.24  in the state treasury and credited to a special account until 
133.25  the balance in the account reaches $1,000,000.  When the balance 
133.26  in the account exceeds $1,000,000, the excess shall be 
133.27  transferred and credited to the general fund.  All money in the 
133.28  account is appropriated to the commissioner for the purposes of 
133.29  this paragraph. 
133.30     (16) Have the authority to make direct payments to 
133.31  facilities providing shelter to women and their children 
133.32  according to section 256D.05, subdivision 3.  Upon the written 
133.33  request of a shelter facility that has been denied payments 
133.34  under section 256D.05, subdivision 3, the commissioner shall 
133.35  review all relevant evidence and make a determination within 30 
133.36  days of the request for review regarding issuance of direct 
134.1   payments to the shelter facility.  Failure to act within 30 days 
134.2   shall be considered a determination not to issue direct payments.
134.3      (17) Have the authority to establish and enforce the 
134.4   following county reporting requirements:  
134.5      (a) The commissioner shall establish fiscal and statistical 
134.6   reporting requirements necessary to account for the expenditure 
134.7   of funds allocated to counties for human services programs.  
134.8   When establishing financial and statistical reporting 
134.9   requirements, the commissioner shall evaluate all reports, in 
134.10  consultation with the counties, to determine if the reports can 
134.11  be simplified or the number of reports can be reduced. 
134.12     (b) The county board shall submit monthly or quarterly 
134.13  reports to the department as required by the commissioner.  
134.14  Monthly reports are due no later than 15 working days after the 
134.15  end of the month.  Quarterly reports are due no later than 30 
134.16  calendar days after the end of the quarter, unless the 
134.17  commissioner determines that the deadline must be shortened to 
134.18  20 calendar days to avoid jeopardizing compliance with federal 
134.19  deadlines or risking a loss of federal funding.  Only reports 
134.20  that are complete, legible, and in the required format shall be 
134.21  accepted by the commissioner.  
134.22     (c) If the required reports are not received by the 
134.23  deadlines established in clause (b), the commissioner may delay 
134.24  payments and withhold funds from the county board until the next 
134.25  reporting period.  When the report is needed to account for the 
134.26  use of federal funds and the late report results in a reduction 
134.27  in federal funding, the commissioner shall withhold from the 
134.28  county boards with late reports an amount equal to the reduction 
134.29  in federal funding until full federal funding is received.  
134.30     (d) A county board that submits reports that are late, 
134.31  illegible, incomplete, or not in the required format for two out 
134.32  of three consecutive reporting periods is considered 
134.33  noncompliant.  When a county board is found to be noncompliant, 
134.34  the commissioner shall notify the county board of the reason the 
134.35  county board is considered noncompliant and request that the 
134.36  county board develop a corrective action plan stating how the 
135.1   county board plans to correct the problem.  The corrective 
135.2   action plan must be submitted to the commissioner within 45 days 
135.3   after the date the county board received notice of noncompliance.
135.4      (e) The final deadline for fiscal reports or amendments to 
135.5   fiscal reports is one year after the date the report was 
135.6   originally due.  If the commissioner does not receive a report 
135.7   by the final deadline, the county board forfeits the funding 
135.8   associated with the report for that reporting period and the 
135.9   county board must repay any funds associated with the report 
135.10  received for that reporting period. 
135.11     (f) The commissioner may not delay payments, withhold 
135.12  funds, or require repayment under paragraph (c) or (e) if the 
135.13  county demonstrates that the commissioner failed to provide 
135.14  appropriate forms, guidelines, and technical assistance to 
135.15  enable the county to comply with the requirements.  If the 
135.16  county board disagrees with an action taken by the commissioner 
135.17  under paragraph (c) or (e), the county board may appeal the 
135.18  action according to sections 14.57 to 14.69. 
135.19     (g) Counties subject to withholding of funds under 
135.20  paragraph (c) or forfeiture or repayment of funds under 
135.21  paragraph (e) shall not reduce or withhold benefits or services 
135.22  to clients to cover costs incurred due to actions taken by the 
135.23  commissioner under paragraph (c) or (e). 
135.24     (18) Allocate federal fiscal disallowances or sanctions for 
135.25  audit exceptions when federal fiscal disallowances or sanctions 
135.26  are based on a statewide random sample for the foster care 
135.27  program under title IV-E of the Social Security Act, United 
135.28  States Code, title 42, in direct proportion to each county's 
135.29  title IV-E foster care maintenance claim for that period. 
135.30     (19) Be responsible for ensuring the detection, prevention, 
135.31  investigation, and resolution of fraudulent activities or 
135.32  behavior by applicants, recipients, and other participants in 
135.33  the human services programs administered by the department. 
135.34     (20) Require county agencies to identify overpayments, 
135.35  establish claims, and utilize all available and cost-beneficial 
135.36  methodologies to collect and recover these overpayments in the 
136.1   human services programs administered by the department. 
136.2      (21) Have the authority to administer a drug rebate program 
136.3   for drugs purchased pursuant to the senior citizen drug program 
136.4   established under section 256.955 after the beneficiary's 
136.5   satisfaction of any deductible established in the program.  The 
136.6   commissioner shall require a rebate agreement from all 
136.7   manufacturers of covered drugs as defined in section 256B.0625, 
136.8   subdivision 13.  For each drug, the amount of the rebate shall 
136.9   be equal to the basic rebate as defined for purposes of the 
136.10  federal rebate program in United States Code, title 42, section 
136.11  1396r-8(c)(1).  This basic rebate shall be applied to 
136.12  single-source and multiple-source drugs.  The manufacturers must 
136.13  provide full payment within 30 days of receipt of the state 
136.14  invoice for the rebate within the terms and conditions used for 
136.15  the federal rebate program established pursuant to section 1927 
136.16  of title XIX of the Social Security Act.  The manufacturers must 
136.17  provide the commissioner with any information necessary to 
136.18  verify the rebate determined per drug.  The rebate program shall 
136.19  utilize the terms and conditions used for the federal rebate 
136.20  program established pursuant to section 1927 of title XIX of the 
136.21  Social Security Act. 
136.22     (22) Operate the department's communication systems account 
136.23  established in Laws 1993, First Special Session chapter 1, 
136.24  article 1, section 2, subdivision 2, to manage shared 
136.25  communication costs necessary for the operation of the programs 
136.26  the commissioner supervises.  A communications account may also 
136.27  be established for each regional treatment center which operates 
136.28  communications systems.  Each account must be used to manage 
136.29  shared communication costs necessary for the operations of the 
136.30  programs the commissioner supervises.  The commissioner may 
136.31  distribute the costs of operating and maintaining communication 
136.32  systems to participants in a manner that reflects actual usage. 
136.33  Costs may include acquisition, licensing, insurance, 
136.34  maintenance, repair, staff time and other costs as determined by 
136.35  the commissioner.  Nonprofit organizations and state, county, 
136.36  and local government agencies involved in the operation of 
137.1   programs the commissioner supervises may participate in the use 
137.2   of the department's communications technology and share in the 
137.3   cost of operation.  The commissioner may accept on behalf of the 
137.4   state any gift, bequest, devise or personal property of any 
137.5   kind, or money tendered to the state for any lawful purpose 
137.6   pertaining to the communication activities of the department.  
137.7   Any money received for this purpose must be deposited in the 
137.8   department's communication systems accounts.  Money collected by 
137.9   the commissioner for the use of communication systems must be 
137.10  deposited in the state communication systems account and is 
137.11  appropriated to the commissioner for purposes of this section. 
137.12     (23) Receive any federal matching money that is made 
137.13  available through the medical assistance program for the 
137.14  consumer satisfaction survey.  Any federal money received for 
137.15  the survey is appropriated to the commissioner for this 
137.16  purpose.  The commissioner may expend the federal money received 
137.17  for the consumer satisfaction survey in either year of the 
137.18  biennium. 
137.19     (24) Incorporate cost reimbursement claims from First Call 
137.20  Minnesota into the federal cost reimbursement claiming processes 
137.21  of the department according to federal law, rule, and 
137.22  regulations.  Any reimbursement received is appropriated to the 
137.23  commissioner and shall be disbursed to First Call Minnesota 
137.24  according to normal department payment schedules. 
137.25     (25) Develop recommended standards for foster care homes 
137.26  that address the components of specialized therapeutic services 
137.27  to be provided by foster care homes with those services. 
137.28     Sec. 4.  Minnesota Statutes 1998, section 256.011, 
137.29  subdivision 3, is amended to read: 
137.30     Subd. 3.  The commissioner of human services shall 
137.31  negotiate with the federal government, or any agency, bureau, or 
137.32  department thereof, for the purpose of securing or obtaining any 
137.33  grants or aids.  Any grants or aids thus secured or received are 
137.34  appropriated to the commissioner of human services and made 
137.35  available for the uses and purposes for which they were received 
137.36  but shall be used to reduce the direct appropriations provided 
138.1   by law unless: 
138.2      (1) federal law prohibits such action; 
138.3      (2) the grants or aids are federal TANF funds; or unless 
138.4      (3) the commissioner of human services obtains approval of 
138.5   the governor who shall seek the advice of the legislative 
138.6   advisory commission. 
138.7      Sec. 5.  Minnesota Statutes 1998, section 256.995, 
138.8   subdivision 1, is amended to read: 
138.9      Subdivision 1.  [PROGRAM ESTABLISHED.] In order to enhance 
138.10  the delivery of needed services to at-risk children and youth 
138.11  and maximize federal funds, other than federal TANF funds, 
138.12  available for that purpose, the commissioners of human services 
138.13  and children, families, and learning shall design a statewide 
138.14  program of collaboration between providers of health and social 
138.15  services for children and local school districts, to be 
138.16  financed, to the greatest extent possible, from federal 
138.17  sources.  The commissioners of health and public safety shall 
138.18  assist the commissioners of human services and children, 
138.19  families, and learning in designing the program. 
138.20     Sec. 6.  [256J.025] [TANF MAINTENANCE OF EFFORT.] 
138.21     Subdivision 1.  [SOURCES OF NONFEDERAL MONEY FOR TANF MOE.] 
138.22  In order to meet the basic maintenance of effort (MOE) 
138.23  requirements of the TANF block grant specified under United 
138.24  States Code, title 42, section 609(a)(7), the commissioner may 
138.25  only report nonfederal money expended for allowable activities 
138.26  listed in the following clauses as TANF MOE expenditures: 
138.27     (1) MFIP cash and food assistance benefits under this 
138.28  chapter; 
138.29     (2) the child care assistance programs under sections 
138.30  119B.03 and 119B.05, and county child care administrative costs 
138.31  under section 119B.15; 
138.32     (3) state and county MFIP administrative costs under this 
138.33  chapter and chapter 256K; 
138.34     (4) state, county, and tribal MFIP employment services 
138.35  under this chapter and chapter 256K; 
138.36     (5) expenditures made on behalf of noncitizen MFIP 
139.1   recipients who qualify for the medical assistance without 
139.2   federal financial participation program under section 256B.06, 
139.3   subdivision 4, paragraphs (d), (e), and (j); 
139.4      (6) for fiscal years 2000 to 2003, allowable state 
139.5   expenditures from the working family credit under section 
139.6   290.0671 may be reported as specified in the provision in 
139.7   article 1, section 2, subdivision 7, related to claiming working 
139.8   family credit expenditures as TANF MOE; and 
139.9      (7) for fiscal years 2001 to 2003 only, allowable state 
139.10  expenditures for family preservation services under chapter 256F 
139.11  may be reported in amounts equal to the state share of the 
139.12  amounts distributed to individuals under section 256.741, 
139.13  subdivision 15. 
139.14     Subd. 2.  [SUFFICIENT QUALIFIED STATE EXPENDITURES REQUIRED 
139.15  ANNUALLY.] (a) The commissioner shall ensure that sufficient 
139.16  qualified nonfederal expenditures are made each year to meet the 
139.17  state's TANF MOE requirements.  For the activities listed in 
139.18  subdivision 1, clauses (2) to (6), the commissioner may only 
139.19  report expenditures that are excluded from the definition of 
139.20  assistance under Code of Federal Regulations, title 45, section 
139.21  260.31.  If nonfederal expenditures for the programs and 
139.22  purposes listed in subdivision 1 are insufficient to meet the 
139.23  state's TANF MOE requirements, the commissioner shall recommend 
139.24  additional allowable sources of nonfederal expenditures to the 
139.25  legislature, if the legislature is or will be in session to take 
139.26  action to specify additional sources of nonfederal expenditures 
139.27  for TANF MOE before a federal penalty is imposed.  The 
139.28  commissioner shall otherwise provide recommendations to the 
139.29  legislative advisory commission under section 3.3006. 
139.30     (b) If the commissioner uses authority granted under Laws 
139.31  1999, chapter 245, article 1, section 10, or similar authority 
139.32  granted by a subsequent legislature, to meet the state's TANF 
139.33  MOE requirements in a reporting period, the commissioner shall 
139.34  inform the chairs of the appropriate legislative committees 
139.35  about all transfers made under that authority for this purpose. 
139.36     Sec. 7.  Minnesota Statutes 1998, section 256J.08, is 
140.1   amended by adding a subdivision to read: 
140.2      Subd. 84a.  [TANF MOE.] "TANF MOE" means the maintenance of 
140.3   effort for the TANF block grant specified under United States 
140.4   Code, title 42, section 609(a)(7). 
140.5      Sec. 8.  Laws 1999, chapter 245, article 1, section 2, 
140.6   subdivision 10, is amended to read: 
140.7   Subd. 10.  Economic Support Grants
140.8   General             142,037,000   124,758,000
140.9   [GIFTS.] Notwithstanding Minnesota 
140.10  Statutes, chapter 7, the commissioner 
140.11  may accept on behalf of the state 
140.12  additional funding from sources other 
140.13  than state funds for the purpose of 
140.14  financing the cost of assistance 
140.15  program grants or nongrant 
140.16  administration.  All additional funding 
140.17  is appropriated to the commissioner for 
140.18  use as designated by the grantee of 
140.19  funding. 
140.20  [CHILD SUPPORT PAYMENT CENTER 
140.21  RECOUPMENT ACCOUNT.] The child support 
140.22  payment center is authorized to 
140.23  establish an account to cover checks 
140.24  issued in error or in cases where 
140.25  insufficient funds are available to pay 
140.26  the checks.  All recoupments against 
140.27  payments from the account must be 
140.28  deposited in the child support payment 
140.29  center recoupment account and are 
140.30  appropriated to the commissioner for 
140.31  the purposes of the account.  Any 
140.32  unexpended balance in the account does 
140.33  not cancel, but is available until 
140.34  expended. 
140.35  [FEDERAL TANF FUNDS.] (1) Federal 
140.36  Temporary Assistance for Needy Families 
140.37  block grant funds authorized under 
140.38  title I, Public Law Number 104-193, the 
140.39  Personal Responsibility and Work 
140.40  Opportunity Reconciliation Act of 1996, 
140.41  and awarded in federal fiscal years 
140.42  1997 to 2002 are appropriated to the 
140.43  commissioner in amounts up to 
140.44  $256,265,000 is fiscal year 2000 and 
140.45  $249,682,000 in fiscal year 2001.  In 
140.46  addition to these funds, the 
140.47  commissioner may draw or transfer any 
140.48  other appropriations or transfers of 
140.49  federal TANF block grant funds that are 
140.50  enacted into state law. 
140.51  (2) Of the amounts in clause (1), 
140.52  $15,000,000 is transferred each year of 
140.53  the biennium to the state's federal 
140.54  Title XX block grant.  Notwithstanding 
140.55  the provisions of Minnesota Statutes, 
140.56  section 256E.07, in each year of the 
140.57  biennium the commissioner shall 
140.58  allocate $15,000,000 of the state's 
140.59  Title XX block grant funds based on the 
140.60  community social services aids formula 
141.1   in Minnesota Statutes, section 
141.2   256E.06.  The commissioner shall ensure 
141.3   that money allocated to counties under 
141.4   this provision is used according to the 
141.5   requirements of United States Code, 
141.6   title 42, section 604(d)(3)(B).  
141.7   (3) Of the amounts in clause (1), 
141.8   $10,990,000 is transferred each year 
141.9   from the state's federal TANF block 
141.10  grant to the state's federal Title XX 
141.11  block grant.  In each year $140,000 is 
141.12  for grants according to Minnesota 
141.13  Statutes, section 257.3571, subdivision 
141.14  2a, to the Indian child welfare defense 
141.15  corporation to promote statewide 
141.16  compliance with the Indian Child 
141.17  Welfare Act of 1978; $4,650,000 is for 
141.18  grants to counties for concurrent 
141.19  permanency planning; and $6,200,000 is 
141.20  for the commissioner to distribute 
141.21  according to the formula in Minnesota 
141.22  Statutes, section 256E.07.  The 
141.23  commissioner shall ensure that money 
141.24  allocated under this clause is used 
141.25  according to the requirements of United 
141.26  States Code, title 42, section 
141.27  604(d)(3)(B).  In fiscal years 2002 and 
141.28  2003, $140,000 per year is for grants 
141.29  according to Minnesota Statutes, 
141.30  section 257.3571, subdivision 2a, to 
141.31  the Indian child welfare defense 
141.32  corporation to promote statewide 
141.33  compliance with the Indian Child 
141.34  Welfare Act of 1978.  Section 13, 
141.35  sunset of uncodified language, does not 
141.36  apply to this provision. 
141.37  (4) Of the amounts in clause (1), 
141.38  $13,360,000 each year is for increased 
141.39  employment and training efforts and 
141.40  shall be expended as follows: 
141.41  (a) $140,000 each year is for a grant 
141.42  to the new chance program.  The new 
141.43  chance program shall provide 
141.44  comprehensive services through a 
141.45  private, nonprofit agency to young 
141.46  parents in Hennepin county who have 
141.47  dropped out of school and are receiving 
141.48  public assistance.  The program 
141.49  administrator shall report annually to 
141.50  the commissioner on skills development, 
141.51  education, job training, and job 
141.52  placement outcomes for program 
141.53  participants.  This appropriation is 
141.54  available for either year of the 
141.55  biennium. 
141.56  (b) $260,000 each year is for grants to 
141.57  counties to operate the parents fair 
141.58  share program to assist unemployed, 
141.59  noncustodial parents with job search 
141.60  and parenting skills. 
141.61  (c) $12,960,000 each year is to 
141.62  increase employment and training 
141.63  services grants for MFIP of which 
141.64  $750,000 each year is to be transferred 
141.65  to the job skills partnership board for 
141.66  the health care and human services 
142.1   worker training and retention program. 
142.2   (d) $10,400,000 of these appropriations 
142.3   shall become part of the base for the 
142.4   2002-2003 biennium. 
142.5   (5) Of the amounts in clause (1), 
142.6   $1,094,000 in fiscal year 2000 and 
142.7   $1,676,000 in fiscal year 2001 is 
142.8   transferred from the state's federal 
142.9   TANF block grant to the state's federal 
142.10  child care and development fund block 
142.11  grant, and is appropriated to the 
142.12  commissioner of children, families, and 
142.13  learning for the purposes of Minnesota 
142.14  Statutes, section 119B.05. 
142.15  (6) Of the amounts in clause (1), 
142.16  $1,000,000 for the biennium is for the 
142.17  purposes of creating and expanding 
142.18  adult-supervised supportive living 
142.19  arrangement services under Minnesota 
142.20  Statutes, section 256J.14.  The 
142.21  commissioner shall request proposals 
142.22  from interested parties that have 
142.23  knowledge and experience in the area of 
142.24  adult-supervised adolescent housing and 
142.25  supportive services, and award grants 
142.26  for the purpose of either expanding 
142.27  existing or creating new living 
142.28  arrangements and supportive services.  
142.29  Minor parents who are MFIP participants 
142.30  shall be given priority for housing, 
142.31  and excess living arrangements may be 
142.32  used by minor parents who are not MFIP 
142.33  participants. 
142.34  (7) In order to maximize transfers from 
142.35  Minnesota's 1998 and 1999 federal TANF 
142.36  block grant awards, the commissioner 
142.37  may implement the transfers of TANF 
142.38  funds in clauses (2), (3), and (5) in 
142.39  the first year of the biennium.  This 
142.40  must only be done to the extent allowed 
142.41  by federal law and to the extent that 
142.42  program funding requirements can be met 
142.43  in the second year of the biennium. 
142.44  (8) The commissioner shall ensure that 
142.45  sufficient qualified state expenditures 
142.46  are made each year to meet the TANF 
142.47  basic maintenance of effort 
142.48  requirements.  The commissioner may 
142.49  apply any allowable source of state 
142.50  expenditures toward these requirements, 
142.51  as necessary to meet minimum basic 
142.52  maintenance of effort requirements and 
142.53  to prevent the loss of federal funds. 
142.54  [WORKER TRAINING AND RETENTION 
142.55  ELIGIBILITY PROCEDURES.] The 
142.56  commissioner shall develop eligibility 
142.57  procedures for TANF expenditures under 
142.58  Minnesota Statutes, section 256J.02, 
142.59  subdivision 2, clause (5). 
142.60  The amounts that may be spent from this 
142.61  appropriation for each purpose are as 
142.62  follows: 
142.63  (a) Assistance to Families Grants
143.1   General              64,870,000    66,117,000
143.2   [EMPLOYMENT SERVICES CARRYOVER.] 
143.3   General fund and federal TANF block 
143.4   grant appropriations for employment 
143.5   services that remain unexpended 
143.6   subsequent to the reallocation process 
143.7   required in Minnesota Statutes, section 
143.8   256J.62, do not cancel but are 
143.9   available for these purposes in fiscal 
143.10  year 2001. 
143.11  (b) Work Grants              
143.12  General              10,731,000    10,731,000
143.13  (c) Aid to Families With     
143.14  Dependent Children and Other
143.15  Assistance
143.16  General               1,053,000       374,000
143.17  (d) Child Support Enforcement
143.18  General               5,359,000     5,359,000
143.19  [CHILD SUPPORT PAYMENT CENTER.] 
143.20  Payments to the commissioner from other 
143.21  governmental units, private 
143.22  enterprises, and individuals for 
143.23  services performed by the child support 
143.24  payment center must be deposited in the 
143.25  state systems account authorized under 
143.26  Minnesota Statutes, section 256.014.  
143.27  These payments are appropriated to the 
143.28  commissioner for the operation of the 
143.29  child support payment center or system, 
143.30  according to Minnesota Statutes, 
143.31  section 256.014. 
143.32  [CHILD SUPPORT EXPEDITED PROCESS.] Of 
143.33  this appropriation for child support 
143.34  enforcement, $2,340,000 for the 
143.35  biennium shall be transferred to the 
143.36  state court administrator to fund the 
143.37  child support expedited process, in 
143.38  accordance with a cooperative agreement 
143.39  to be negotiated between the parties.  
143.40  State funds transferred for this 
143.41  purpose in fiscal year 2000 may exceed 
143.42  the base funding amount of $1,170,000 
143.43  to the extent that there is an increase 
143.44  in the number of orders issued in the 
143.45  expedited process, but may not exceed 
143.46  $1,420,000 in any case.  Unexpended 
143.47  expedited process appropriations in 
143.48  fiscal year 2000 may be transferred to 
143.49  fiscal year 2001 for this purpose.  
143.50  Base funding for this program is set at 
143.51  $1,170,000 for each year of the 
143.52  2002-2003 biennium.  The commissioner 
143.53  shall include cost reimbursement claims 
143.54  from the state court administrator for 
143.55  the child support expedited process in 
143.56  the department of human services 
143.57  federal cost reimbursement claim 
143.58  process according to federal law.  
143.59  Federal dollars earned under these 
143.60  claims are appropriated to the 
143.61  commissioner and shall be disbursed to 
143.62  the state court administrator according 
144.1   to department procedures and schedules. 
144.2   (e) General Assistance
144.3   General              33,927,000    14,973,000
144.4   [TRANSFERS FROM STATE TANF RESERVE.] 
144.5   $4,666,000 in fiscal year 2000 is 
144.6   transferred from the state TANF reserve 
144.7   account to the general fund. 
144.8   [GENERAL ASSISTANCE STANDARD.] The 
144.9   commissioner shall set the monthly 
144.10  standard of assistance for general 
144.11  assistance units consisting of an adult 
144.12  recipient who is childless and 
144.13  unmarried or living apart from his or 
144.14  her parents or a legal guardian at 
144.15  $203.  The commissioner may reduce this 
144.16  amount in accordance with Laws 1997, 
144.17  chapter 85, article 3, section 54. 
144.18  (f) Minnesota Supplemental Aid
144.19  General              25,767,000    26,874,000
144.20  (g) Refugee Services         
144.21  General                 330,000       330,000
144.22     Sec. 9.  [EFFECTIVE DATE.] 
144.23     This article is effective the day following final enactment.
144.24                             ARTICLE 6 
144.25                           MISCELLANEOUS 
144.26     Section 1.  Minnesota Statutes 1998, section 198.03, 
144.27  subdivision 1, is amended to read: 
144.28     Subdivision 1.  [DISCRETIONARY ADMISSION.] Any person 
144.29  otherwise eligible for admission to the Minnesota veterans 
144.30  homes, except that the person has means of support, may, at the 
144.31  discretion of the board, be admitted to one of the Minnesota 
144.32  veterans homes upon entering into and complying with the terms 
144.33  of a contract made by the person with the board, providing for 
144.34  reasonable compensation to be paid by such person to the state 
144.35  of Minnesota for care, support, and maintenance in the home.  
144.36  Any earnings derived by the person from participating in a work 
144.37  therapy program while the person is a resident of the home may 
144.38  not be considered a means of support.  Refunds or rebates of 
144.39  state sales taxes may not be considered a means of support.  
144.40     Sec. 2.  [198.37] [TRANSITIONAL HOUSING.] 
144.41     The board may establish programs, using available federal 
144.42  funding, to assist homeless or disabled veterans on the campuses 
145.1   of the veterans homes.  The board may use federal grant money 
145.2   for the Hastings veterans home to purchase single-family 
145.3   dwellings, make necessary repairs and improvements with the help 
145.4   of the department of administration, and operate the program.  
145.5   Nonfederal funds may not be used to establish or continue these 
145.6   programs. 
145.7      Sec. 3.  [EFFECTIVE DATE.] 
145.8      Section 1 is effective for tax refunds or rebates paid 
145.9   after June 30, 1999. 
145.10                             ARTICLE 7 
145.11                       TECHNICAL CORRECTIONS 
145.12     Section 1.  Minnesota Statutes 1999 Supplement, section 
145.13  62J.535, subdivision 2, is amended to read: 
145.14     Subd. 2.  [COMPLIANCE.] (a) Concurrent with the effective 
145.15  dates date of required compliance established under United 
145.16  States Code, title 42, sections 1320d to 1320d-8, as amended 
145.17  from time to time, for uniform electronic billing standards, all 
145.18  health care providers must conform to the uniform billing 
145.19  standards developed under subdivision 1. 
145.20     (b) Notwithstanding paragraph (a), the requirements for the 
145.21  uniform remittance advice report shall be effective 12 months 
145.22  after the date of the required compliance of the standards for 
145.23  the electronic remittance advice transaction are effective under 
145.24  United States Code, title 42, sections 1320d to 1320d-8, as 
145.25  amended from time to time. 
145.26     EFFECTIVE DATE:  This section is effective the day 
145.27  following final enactment. 
145.28     Sec. 2.  Minnesota Statutes 1998, section 125A.74, 
145.29  subdivision 1, is amended to read: 
145.30     Subdivision 1.  [ELIGIBILITY.] A district may enroll as a 
145.31  provider in the medical assistance program and receive medical 
145.32  assistance payments for covered special education services 
145.33  provided to persons eligible for medical assistance under 
145.34  chapter 256B.  To receive medical assistance payments, the 
145.35  district must pay the nonfederal share of medical assistance 
145.36  services provided according to section 256B.0625, subdivision 
146.1   26, and comply with relevant provisions of state and federal 
146.2   statutes and regulations governing the medical assistance 
146.3   program. 
146.4      Sec. 3.  Minnesota Statutes 1998, section 125A.74, 
146.5   subdivision 2, is amended to read: 
146.6      Subd. 2.  [FUNDING.] A district that provides a covered 
146.7   service to an eligible person and complies with relevant 
146.8   requirements of the medical assistance program is entitled to 
146.9   receive payment for the service provided, including that portion 
146.10  of the payment services that will subsequently be reimbursed by 
146.11  the federal government, in the same manner as other medical 
146.12  assistance providers.  The school district is not required to 
146.13  provide matching funds or pay part of the costs of the service, 
146.14  as long as the rate charged for the service does not exceed 
146.15  medical assistance limits that apply to all medical assistance 
146.16  providers. 
146.17     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
146.18  144.395, is amended by adding a subdivision to read: 
146.19     Subd. 3.  [SUNSET.] The tobacco use prevention and local 
146.20  public health endowment fund expires June 30, 2015.  Upon 
146.21  expiration, the commissioner of finance shall transfer the 
146.22  principal and any remaining interest to the general fund.  
146.23     EFFECTIVE DATE:  This section is effective the day 
146.24  following final enactment. 
146.25     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
146.26  144.396, subdivision 11, is amended to read: 
146.27     Subd. 11.  [AUDITS REQUIRED.] The legislative auditor shall 
146.28  audit tobacco use prevention and local public health endowment 
146.29  fund expenditures to ensure that the money is spent for tobacco 
146.30  use prevention measures and public health initiatives.  
146.31     EFFECTIVE DATE:  This section is effective the day 
146.32  following final enactment. 
146.33     Sec. 6.  Minnesota Statutes 1999 Supplement, section 
146.34  144.396, subdivision 12, is amended to read: 
146.35     Subd. 12.  [ENDOWMENT FUND NOT TO SUPPLANT EXISTING 
146.36  FUNDING.] Appropriations from the account tobacco use prevention 
147.1   and local public health endowment fund must not be used as a 
147.2   substitute for traditional sources of funding tobacco use 
147.3   prevention activities or public health initiatives.  Any local 
147.4   unit of government receiving money under this section must 
147.5   ensure that existing local financial efforts remain in place.  
147.6      EFFECTIVE DATE:  This section is effective the day 
147.7   following final enactment. 
147.8      Sec. 7.  Minnesota Statutes 1999 Supplement, section 
147.9   256B.0916, subdivision 1, is amended to read: 
147.10     Subdivision 1.  [REDUCTION OF WAITING LIST.] (a) The 
147.11  legislature recognizes that as of January 1, 1999, 3,300 persons 
147.12  with mental retardation or related conditions have been screened 
147.13  and determined eligible for the home and community-based waiver 
147.14  services program for persons with mental retardation or related 
147.15  conditions.  Many wait for several years before receiving 
147.16  service. 
147.17     (b) The waiting list for this program shall be reduced or 
147.18  eliminated by June 30, 2003.  In order to reduce the number of 
147.19  eligible persons waiting for identified services provided 
147.20  through the home and community-based waiver for persons with 
147.21  mental retardation or related conditions, during the period from 
147.22  July 1, 1999, to June 30, 2003, funding shall be increased to 
147.23  add 100 additional eligible persons each year beyond the 
147.24  February 1999 medical assistance forecast. 
147.25     (c) The commissioner shall allocate resources in such a 
147.26  manner as to use all resources budgeted for the home and 
147.27  community-based waiver for persons with mental retardation or 
147.28  related conditions according to the priorities listed in 
147.29  subdivision 2, paragraph (b), and then to serve other persons on 
147.30  the waiting list.  Resources allocated for a fiscal year to 
147.31  serve persons affected by public and private sector ICF/MR 
147.32  closures, but not expected to be expended for that purpose, must 
147.33  be reallocated within that fiscal year to serve other persons on 
147.34  the waiting list, and the number of waiver diversion slots shall 
147.35  be adjusted accordingly. 
147.36     (d) For fiscal year 2001, at least one-half of the increase 
148.1   in funding over the previous year provided in the February 1999 
148.2   medical assistance forecast for the home and community-based 
148.3   waiver for persons with mental retardation and related 
148.4   conditions, including changes made by the 1999 legislature, must 
148.5   be used to serve persons who are not affected by public and 
148.6   private sector ICF/MR closures. 
148.7      EFFECTIVE DATE:  This section is effective the day 
148.8   following final enactment. 
148.9      Sec. 8.  Minnesota Statutes 1999 Supplement, section 
148.10  256D.03, subdivision 4, is amended to read: 
148.11     Subd. 4.  [GENERAL ASSISTANCE MEDICAL CARE; SERVICES.] (a) 
148.12  For a person who is eligible under subdivision 3, paragraph (a), 
148.13  clause (3), general assistance medical care covers, except as 
148.14  provided in paragraph (c): 
148.15     (1) inpatient hospital services; 
148.16     (2) outpatient hospital services; 
148.17     (3) services provided by Medicare certified rehabilitation 
148.18  agencies; 
148.19     (4) prescription drugs and other products recommended 
148.20  through the process established in section 256B.0625, 
148.21  subdivision 13; 
148.22     (5) equipment necessary to administer insulin and 
148.23  diagnostic supplies and equipment for diabetics to monitor blood 
148.24  sugar level; 
148.25     (6) eyeglasses and eye examinations provided by a physician 
148.26  or optometrist; 
148.27     (7) hearing aids; 
148.28     (8) prosthetic devices; 
148.29     (9) laboratory and X-ray services; 
148.30     (10) physician's services; 
148.31     (11) medical transportation; 
148.32     (12) chiropractic services as covered under the medical 
148.33  assistance program; 
148.34     (13) podiatric services; 
148.35     (14) dental services; 
148.36     (15) outpatient services provided by a mental health center 
149.1   or clinic that is under contract with the county board and is 
149.2   established under section 245.62; 
149.3      (16) day treatment services for mental illness provided 
149.4   under contract with the county board; 
149.5      (17) prescribed medications for persons who have been 
149.6   diagnosed as mentally ill as necessary to prevent more 
149.7   restrictive institutionalization; 
149.8      (18) psychological services, medical supplies and 
149.9   equipment, and Medicare premiums, coinsurance and deductible 
149.10  payments; 
149.11     (19) medical equipment not specifically listed in this 
149.12  paragraph when the use of the equipment will prevent the need 
149.13  for costlier services that are reimbursable under this 
149.14  subdivision; 
149.15     (20) services performed by a certified pediatric nurse 
149.16  practitioner, a certified family nurse practitioner, a certified 
149.17  adult nurse practitioner, a certified obstetric/gynecological 
149.18  nurse practitioner, a certified neonatal nurse practitioner, or 
149.19  a certified geriatric nurse practitioner in independent 
149.20  practice, if (1) the service is otherwise covered under this 
149.21  chapter as a physician service, (2) a the service provided on an 
149.22  inpatient basis is not included as part of the cost for 
149.23  inpatient services included in the operating payment rate, and 
149.24  (3) the service is within the scope of practice of the nurse 
149.25  practitioner's license as a registered nurse, as defined in 
149.26  section 148.171; 
149.27     (21) services of a certified public health nurse or a 
149.28  registered nurse practicing in a public health nursing clinic 
149.29  that is a department of, or that operates under the direct 
149.30  authority of, a unit of government, if the service is within the 
149.31  scope of practice of the public health nurse's license as a 
149.32  registered nurse, as defined in section 148.171; and 
149.33     (22) telemedicine consultations, to the extent they are 
149.34  covered under section 256B.0625, subdivision 3b.  
149.35     (b) Except as provided in paragraph (c), for a recipient 
149.36  who is eligible under subdivision 3, paragraph (a), clause (1) 
150.1   or (2), general assistance medical care covers the services 
150.2   listed in paragraph (a) with the exception of special 
150.3   transportation services. 
150.4      (c) Gender reassignment surgery and related services are 
150.5   not covered services under this subdivision unless the 
150.6   individual began receiving gender reassignment services prior to 
150.7   July 1, 1995.  
150.8      (d) In order to contain costs, the commissioner of human 
150.9   services shall select vendors of medical care who can provide 
150.10  the most economical care consistent with high medical standards 
150.11  and shall where possible contract with organizations on a 
150.12  prepaid capitation basis to provide these services.  The 
150.13  commissioner shall consider proposals by counties and vendors 
150.14  for prepaid health plans, competitive bidding programs, block 
150.15  grants, or other vendor payment mechanisms designed to provide 
150.16  services in an economical manner or to control utilization, with 
150.17  safeguards to ensure that necessary services are provided.  
150.18  Before implementing prepaid programs in counties with a county 
150.19  operated or affiliated public teaching hospital or a hospital or 
150.20  clinic operated by the University of Minnesota, the commissioner 
150.21  shall consider the risks the prepaid program creates for the 
150.22  hospital and allow the county or hospital the opportunity to 
150.23  participate in the program in a manner that reflects the risk of 
150.24  adverse selection and the nature of the patients served by the 
150.25  hospital, provided the terms of participation in the program are 
150.26  competitive with the terms of other participants considering the 
150.27  nature of the population served.  Payment for services provided 
150.28  pursuant to this subdivision shall be as provided to medical 
150.29  assistance vendors of these services under sections 256B.02, 
150.30  subdivision 8, and 256B.0625.  For payments made during fiscal 
150.31  year 1990 and later years, the commissioner shall consult with 
150.32  an independent actuary in establishing prepayment rates, but 
150.33  shall retain final control over the rate methodology.  
150.34  Notwithstanding the provisions of subdivision 3, an individual 
150.35  who becomes ineligible for general assistance medical care 
150.36  because of failure to submit income reports or recertification 
151.1   forms in a timely manner, shall remain enrolled in the prepaid 
151.2   health plan and shall remain eligible for general assistance 
151.3   medical care coverage through the last day of the month in which 
151.4   the enrollee became ineligible for general assistance medical 
151.5   care. 
151.6      (e) The commissioner of human services may reduce payments 
151.7   provided under sections 256D.01 to 256D.21 and 261.23 in order 
151.8   to remain within the amount appropriated for general assistance 
151.9   medical care, within the following restrictions: 
151.10     (i) For the period July 1, 1985 to December 31, 1985, 
151.11  reductions below the cost per service unit allowable under 
151.12  section 256.966, are permitted only as follows:  payments for 
151.13  inpatient and outpatient hospital care provided in response to a 
151.14  primary diagnosis of chemical dependency or mental illness may 
151.15  be reduced no more than 30 percent; payments for all other 
151.16  inpatient hospital care may be reduced no more than 20 percent.  
151.17  Reductions below the payments allowable under general assistance 
151.18  medical care for the remaining general assistance medical care 
151.19  services allowable under this subdivision may be reduced no more 
151.20  than ten percent. 
151.21     (ii) For the period January 1, 1986 to December 31, 1986, 
151.22  reductions below the cost per service unit allowable under 
151.23  section 256.966 are permitted only as follows:  payments for 
151.24  inpatient and outpatient hospital care provided in response to a 
151.25  primary diagnosis of chemical dependency or mental illness may 
151.26  be reduced no more than 20 percent; payments for all other 
151.27  inpatient hospital care may be reduced no more than 15 percent.  
151.28  Reductions below the payments allowable under general assistance 
151.29  medical care for the remaining general assistance medical care 
151.30  services allowable under this subdivision may be reduced no more 
151.31  than five percent. 
151.32     (iii) For the period January 1, 1987 to June 30, 1987, 
151.33  reductions below the cost per service unit allowable under 
151.34  section 256.966 are permitted only as follows:  payments for 
151.35  inpatient and outpatient hospital care provided in response to a 
151.36  primary diagnosis of chemical dependency or mental illness may 
152.1   be reduced no more than 15 percent; payments for all other 
152.2   inpatient hospital care may be reduced no more than ten 
152.3   percent.  Reductions below the payments allowable under medical 
152.4   assistance for the remaining general assistance medical care 
152.5   services allowable under this subdivision may be reduced no more 
152.6   than five percent.  
152.7      (iv) For the period July 1, 1987 to June 30, 1988, 
152.8   reductions below the cost per service unit allowable under 
152.9   section 256.966 are permitted only as follows:  payments for 
152.10  inpatient and outpatient hospital care provided in response to a 
152.11  primary diagnosis of chemical dependency or mental illness may 
152.12  be reduced no more than 15 percent; payments for all other 
152.13  inpatient hospital care may be reduced no more than five percent.
152.14  Reductions below the payments allowable under medical assistance 
152.15  for the remaining general assistance medical care services 
152.16  allowable under this subdivision may be reduced no more than 
152.17  five percent. 
152.18     (v) For the period July 1, 1988 to June 30, 1989, 
152.19  reductions below the cost per service unit allowable under 
152.20  section 256.966 are permitted only as follows:  payments for 
152.21  inpatient and outpatient hospital care provided in response to a 
152.22  primary diagnosis of chemical dependency or mental illness may 
152.23  be reduced no more than 15 percent; payments for all other 
152.24  inpatient hospital care may not be reduced.  Reductions below 
152.25  the payments allowable under medical assistance for the 
152.26  remaining general assistance medical care services allowable 
152.27  under this subdivision may be reduced no more than five percent. 
152.28     (f) There shall be no copayment required of any recipient 
152.29  of benefits for any services provided under this subdivision.  A 
152.30  hospital receiving a reduced payment as a result of this section 
152.31  may apply the unpaid balance toward satisfaction of the 
152.32  hospital's bad debts. 
152.33     (g) (f) Any county may, from its own resources, provide 
152.34  medical payments for which state payments are not made. 
152.35     (h) (g) Chemical dependency services that are reimbursed 
152.36  under chapter 254B must not be reimbursed under general 
153.1   assistance medical care. 
153.2      (i) (h) The maximum payment for new vendors enrolled in the 
153.3   general assistance medical care program after the base year 
153.4   shall be determined from the average usual and customary charge 
153.5   of the same vendor type enrolled in the base year. 
153.6      (j) (i) The conditions of payment for services under this 
153.7   subdivision are the same as the conditions specified in rules 
153.8   adopted under chapter 256B governing the medical assistance 
153.9   program, unless otherwise provided by statute or rule. 
153.10     EFFECTIVE DATE:  This section is effective the day 
153.11  following final enactment. 
153.12     Sec. 9.  Laws 1999, chapter 245, article 1, section 2, 
153.13  subdivision 5, is amended to read: 
153.14  Subd. 5.  Basic Health Care Grants
153.15                Summary by Fund
153.16  General             867,174,000   916,234,000
153.17  Health Care
153.18  Access              116,490,000   145,469,000
153.19  The amounts that may be spent from this 
153.20  appropriation for each purpose are as 
153.21  follows: 
153.22  (a) Minnesota Care Grants-
153.23  Health Care
153.24  Access              116,490,000   145,469,000
153.25  [HOSPITAL INPATIENT COPAYMENTS.] The 
153.26  commissioner of human services may 
153.27  require hospitals to refund hospital 
153.28  inpatient copayments paid by enrollees 
153.29  pursuant to Minnesota Statutes, section 
153.30  256L.03, subdivision 5, between March 
153.31  1, 1999, and December 31, 1999.  If the 
153.32  commissioner requires hospitals to 
153.33  refund these copayments, the hospitals 
153.34  shall collect the copayment directly 
153.35  from the commissioner. 
153.36  [MINNESOTACARE OUTREACH FEDERAL 
153.37  MATCHING FUNDS.] Any federal matching 
153.38  funds received as a result of the 
153.39  MinnesotaCare outreach activities 
153.40  authorized by Laws 1997, chapter 225, 
153.41  article 7, section 2, subdivision 1, 
153.42  shall be deposited in the health care 
153.43  access fund and dedicated to the 
153.44  commissioner to be used for those 
153.45  outreach purposes. 
153.46  [FEDERAL RECEIPTS FOR ADMINISTRATION.] 
153.47  Receipts received as a result of 
153.48  federal participation pertaining to 
153.49  administrative costs of the Minnesota 
153.50  health care reform waiver shall be 
154.1   deposited as nondedicated revenue in 
154.2   the health care access fund.  Receipts 
154.3   received as a result of federal 
154.4   participation pertaining to grants 
154.5   shall be deposited in the federal fund 
154.6   and shall offset health care access 
154.7   funds for payments to providers. 
154.8   [HEALTH CARE ACCESS FUND.] The 
154.9   commissioner may expend money 
154.10  appropriated from the health care 
154.11  access fund for MinnesotaCare in either 
154.12  fiscal year of the biennium. 
154.13  (b) MA Basic Health Care Grants-
154.14  Families and Children
154.15  General             307,053,000   320,112,000
154.16  [COMMUNITY DENTAL CLINICS.] Of this 
154.17  appropriation, $600,000 in fiscal year 
154.18  2000 is for the commissioner to provide 
154.19  start-up grants to establish community 
154.20  dental clinics under Minnesota 
154.21  Statutes, section 256B.76, paragraph 
154.22  (b), clause (5) (4).  The commissioner 
154.23  shall award grants and shall require 
154.24  grant recipients to match the state 
154.25  grant with nonstate funding on a 
154.26  one-to-one basis.  This is a one-time 
154.27  appropriation and shall not become part 
154.28  of base level funding for this activity 
154.29  for the 2002-2003 biennium. 
154.30  (c) MA Basic Health Care Grants- 
154.31  Elderly & Disabled
154.32  General             404,814,000   451,928,000
154.33  [SURCHARGE COMPLIANCE.] In the event 
154.34  that federal financial participation in 
154.35  the Minnesota medical assistance 
154.36  program is reduced as a result of a 
154.37  determination that the surcharge and 
154.38  intergovernmental transfers governed by 
154.39  Minnesota Statutes, sections 256.9657 
154.40  and 256B.19 are out of compliance with 
154.41  United States Code, title 42, section 
154.42  1396b(w), or its implementing 
154.43  regulations or with any other federal 
154.44  law designed to restrict provider tax 
154.45  programs or intergovernmental 
154.46  transfers, the commissioner shall 
154.47  appeal the determination to the fullest 
154.48  extent permitted by law and may ratably 
154.49  reduce all medical assistance and 
154.50  general assistance medical care 
154.51  payments to providers other than the 
154.52  state of Minnesota in order to 
154.53  eliminate any shortfall resulting from 
154.54  the reduced federal funding.  Any 
154.55  amount later recovered through the 
154.56  appeals process shall be used to 
154.57  reimburse providers for any ratable 
154.58  reductions taken. 
154.59  [BLOOD PRODUCTS LITIGATION.] To the 
154.60  extent permitted by federal law, 
154.61  Minnesota Statutes, section 256.015, 
154.62  256B.042, and 256B.15, are waived as 
154.63  necessary for the limited purpose of 
155.1   resolving the state's claims in 
155.2   connection with In re Factor VIII or IX 
155.3   Concentrate Blood Products Litigation, 
155.4   MDL-986, No. 93-C7452 (N.D.III.). 
155.5   (d) General Assistance Medical Care
155.6   General             141,805,000   128,012,000
155.7   (e) Basic Health Care - Nonentitlement
155.8   General              13,502,000    16,182,000
155.9   [DENTAL ACCESS GRANT.] Of this 
155.10  appropriation, $75,000 is from the 
155.11  general fund to the commissioner in 
155.12  fiscal year 2000 for a grant to a 
155.13  nonprofit dental provider group 
155.14  operating a dental clinic in Clay 
155.15  county.  The grant must be used to 
155.16  increase access to dental services for 
155.17  recipients of medical assistance, 
155.18  general assistance medical care, and 
155.19  the MinnesotaCare program in the 
155.20  northwest area of the state.  This 
155.21  appropriation is available the day 
155.22  following final enactment. 
155.23     EFFECTIVE DATE:  This section is effective the day 
155.24  following final enactment. 
155.25     Sec. 10.  Laws 1999, chapter 245, article 4, section 121, 
155.26  is amended to read: 
155.27     Sec. 121.  [EFFECTIVE DATE.] 
155.28     (a) Sections 3, 5, 45, and 97, and 98, subdivision 3, 
155.29  paragraph (d), are effective July 1, 2000. 
155.30     (b) Section 56 is effective upon federal approval. 
155.31     EFFECTIVE DATE:  This section is effective the day 
155.32  following final enactment. 
155.33     Sec. 11.  [REPEALER.] 
155.34     (a) Minnesota Statutes 1999 Supplement, section 144.396, 
155.35  subdivision 13, is repealed.  
155.36     (b) Laws 1997, chapter 203, article 7, section 27, is 
155.37  repealed. 
155.38     EFFECTIVE DATE:  This section is effective the day 
155.39  following final enactment. 
155.40                              PART B 
155.41                      AGRICULTURE PROVISIONS 
155.42                             ARTICLE 8
155.43                            AGRICULTURE 
155.44     Section 1.  Minnesota Statutes 1998, section 17A.03, 
156.1   subdivision 5, is amended to read: 
156.2      Subd. 5.  [LIVESTOCK.] "Livestock" means cattle, sheep, 
156.3   swine, horses intended for slaughter, mules, farmed cervidae, as 
156.4   defined in section 17.451, subdivision 2, llamas, as defined in 
156.5   section 17.455, subdivision 2, ratitae, as defined in section 
156.6   17.453, subdivision 3, buffalo, and goats. 
156.7      Sec. 2.  Minnesota Statutes 1998, section 18E.04, 
156.8   subdivision 4, is amended to read: 
156.9      Subd. 4.  [REIMBURSEMENT PAYMENTS.] (a) The board shall pay 
156.10  a person that is eligible for reimbursement or payment under 
156.11  subdivisions 1, 2, and 3 from the agricultural chemical response 
156.12  and reimbursement account for:  
156.13     (1) 90 percent of the total reasonable and necessary 
156.14  corrective action costs greater than $1,000 and less than or 
156.15  equal to $100,000; and 
156.16     (2) 100 percent of the total reasonable and necessary 
156.17  corrective action costs greater than $100,000 but less than or 
156.18  equal to $200,000; 
156.19     (3) 80 percent of the total reasonable and necessary 
156.20  corrective action costs greater than $200,000 but less than or 
156.21  equal to $300,000; and 
156.22     (4) 60 percent of the total reasonable and necessary 
156.23  corrective action costs greater than $300,000 but less than or 
156.24  equal to $350,000.  
156.25     (b) A reimbursement or payment may not be made until the 
156.26  board has determined that the costs are reasonable and are for a 
156.27  reimbursement of the costs that were actually incurred. 
156.28     (c) The board may make periodic payments or reimbursements 
156.29  as corrective action costs are incurred upon receipt of invoices 
156.30  for the corrective action costs. 
156.31     (d) Money in the agricultural chemical response and 
156.32  reimbursement account is appropriated to the commissioner to 
156.33  make payments and reimbursements directed by the board under 
156.34  this subdivision.  
156.35     (e) The board may not make reimbursement greater than the 
156.36  maximum allowed under paragraph (a) for all incidents on a 
157.1   single site which: 
157.2      (1) were not reported at the time of release but were 
157.3   discovered and reported after July 1, 1989; and 
157.4      (2) may have occurred prior to July 1, 1989, as determined 
157.5   by the commissioner. 
157.6      (f) The board may only reimburse an eligible person for 
157.7   separate incidents within a single site if the commissioner 
157.8   determines that each incident is completely separate and 
157.9   distinct in respect of location within the single site or time 
157.10  of occurrence. 
157.11     Sec. 3.  Minnesota Statutes 1998, section 41A.09, 
157.12  subdivision 3a, is amended to read: 
157.13     Subd. 3a.  [PAYMENTS.] (a) The commissioner of agriculture 
157.14  shall make cash payments to producers of ethanol, anhydrous 
157.15  alcohol, and wet alcohol located in the state.  These payments 
157.16  shall apply only to ethanol, anhydrous alcohol, and wet alcohol 
157.17  fermented in the state and produced at plants that have begun 
157.18  production by June 30, 2000.  For the purpose of this 
157.19  subdivision, an entity that holds a controlling interest in more 
157.20  than one ethanol plant is considered a single producer.  The 
157.21  amount of the payment for each producer's annual production is: 
157.22     (1) except as provided in paragraph (b), for each gallon of 
157.23  ethanol or anhydrous alcohol produced on or before June 30, 
157.24  2000, or ten years after the start of production, whichever is 
157.25  later, 20 cents per gallon; and 
157.26     (2) for each gallon produced of wet alcohol on or before 
157.27  June 30, 2000, or ten years after the start of production, 
157.28  whichever is later, a payment in cents per gallon calculated by 
157.29  the formula "alcohol purity in percent divided by five," and 
157.30  rounded to the nearest cent per gallon, but not less than 11 
157.31  cents per gallon. 
157.32     The producer payments for anhydrous alcohol and wet alcohol 
157.33  under this section may be paid to either the original producer 
157.34  of anhydrous alcohol or wet alcohol or the secondary processor, 
157.35  at the option of the original producer, but not to both. 
157.36     No payments shall be made for production that occurs after 
158.1   June 30, 2010. 
158.2      (b) If the level of production at an ethanol plant 
158.3   increases due to an increase in the production capacity of the 
158.4   plant and the increased production begins by June 30, 2000, the 
158.5   payment under paragraph (a), clause (1), applies to the 
158.6   additional increment of production until ten years after the 
158.7   increased production began.  Once a plant's production capacity 
158.8   reaches 15,000,000 gallons per year, no additional increment 
158.9   will qualify for the payment. 
158.10     (c) The commissioner shall make payments to producers of 
158.11  ethanol or wet alcohol in the amount of 1.5 cents for each 
158.12  kilowatt hour of electricity generated using closed-loop biomass 
158.13  in a cogeneration facility at an ethanol plant located in the 
158.14  state.  Payments under this paragraph shall be made only for 
158.15  electricity generated at cogeneration facilities that begin 
158.16  operation by June 30, 2000.  The payments apply to electricity 
158.17  generated on or before the date ten years after the producer 
158.18  first qualifies for payment under this paragraph.  Total 
158.19  payments under this paragraph in any fiscal year may not exceed 
158.20  $750,000.  For the purposes of this paragraph: 
158.21     (1) "closed-loop biomass" means any organic material from a 
158.22  plant that is planted for the purpose of being used to generate 
158.23  electricity or for multiple purposes that include being used to 
158.24  generate electricity; and 
158.25     (2) "cogeneration" means the combined generation of: 
158.26     (i) electrical or mechanical power; and 
158.27     (ii) steam or forms of useful energy, such as heat, that 
158.28  are used for industrial, commercial, heating, or cooling 
158.29  purposes. 
158.30     (d) Except for new production capacity approved under 
158.31  paragraph (i), clause (1), the total Payments under paragraphs 
158.32  (a) and (b) to all producers may not 
158.33  exceed $34,000,000 $37,000,000 in a fiscal year.  Total payments 
158.34  under paragraphs (a) and (b) to a producer in a fiscal year may 
158.35  not exceed $3,000,000. 
158.36     (e) By the last day of October, January, April, and July, 
159.1   each producer shall file a claim for payment for ethanol, 
159.2   anhydrous alcohol, and wet alcohol production during the 
159.3   preceding three calendar months.  A producer with more than one 
159.4   plant shall file a separate claim for each plant.  A producer 
159.5   shall file a separate claim for the original production capacity 
159.6   of each plant and for each additional increment of production 
159.7   that qualifies under paragraph (b).  A producer that files a 
159.8   claim under this subdivision shall include a statement of the 
159.9   producer's total ethanol, anhydrous alcohol, and wet alcohol 
159.10  production in Minnesota during the quarter covered by the claim, 
159.11  including anhydrous alcohol and wet alcohol produced or received 
159.12  from an outside source.  A producer shall file a separate claim 
159.13  for any amount claimed under paragraph (c).  For each claim and 
159.14  statement of total ethanol, anhydrous alcohol, and wet alcohol 
159.15  production filed under this subdivision, the volume of ethanol, 
159.16  anhydrous alcohol, and wet alcohol production or amounts of 
159.17  electricity generated using closed-loop biomass must be examined 
159.18  by an independent certified public accountant in accordance with 
159.19  standards established by the American Institute of Certified 
159.20  Public Accountants. 
159.21     (f) Payments shall be made November 15, February 15, May 
159.22  15, and August 15.  A separate payment shall be made for each 
159.23  claim filed.  The Except as provided below, total quarterly 
159.24  payment to a producer under this paragraph, excluding amounts 
159.25  paid under paragraph (c), may not exceed $750,000.  Except for 
159.26  new production capacity approved under paragraph (i), clause 
159.27  (1), if the total amount for which all other producers are 
159.28  eligible in a quarter under paragraphs (a) and (b) exceeds 
159.29  $8,500,000, the commissioner shall make payments for production 
159.30  capacity that is subject to this restriction in the order in 
159.31  which the portion of production capacity covered by each claim 
159.32  went into production.  Production in excess of eligible 
159.33  quarterly production may be applied to quarters below eligible 
159.34  capacity because of plant outages, repair, or major maintenance. 
159.35  Payments must be made for the eighth quarter of the biennium 
159.36  exempt from the $750,000 quarterly limit.  The fiscal year 
160.1   limits under paragraph (d) remain in effect.  This provision 
160.2   applies only to production shortfalls that occur in quarters 
160.3   beginning after December 31, 1999. 
160.4      (g) If the total amount for which all producers are 
160.5   eligible in a quarter under paragraph (c) exceeds the amount 
160.6   available for payments, the commissioner shall make payments in 
160.7   the order in which the plants covered by the claims began 
160.8   generating electricity using closed-loop biomass. 
160.9      (h) After July 1, 1997, new production capacity is only 
160.10  eligible for payment under this subdivision if the commissioner 
160.11  receives: 
160.12     (1) an application for approval of the new production 
160.13  capacity; 
160.14     (2) an appropriate letter of long-term financial commitment 
160.15  for construction of the new production capacity; and 
160.16     (3) copies of all necessary permits for construction of the 
160.17  new production capacity. 
160.18     The commissioner may approve new production capacity based 
160.19  on the order in which the applications are received.  
160.20     (i) After April 22, 1998, the commissioner may only 
160.21  approve:  (1) up to 12,000,000 gallons of new production 
160.22  capacity at one plant that has not previously received approval 
160.23  or payment for any production capacity; or (2) new production 
160.24  capacity at existing plants not to exceed planned expansions 
160.25  reported to the commissioner by February 1997.  The commissioner 
160.26  may not approve any new production capacity after July 1, 1998, 
160.27  except that a producer approved for at least 12,000,000 gallons 
160.28  but less than 15,000,000 gallons of annual production prior to 
160.29  July 1, 1998, is approved for 15,000,000 gallons of production 
160.30  capacity.  
160.31     (j) For the purposes of this subdivision "new production 
160.32  capacity" means annual ethanol production capacity that was not 
160.33  allowed under a permit issued by the pollution control agency 
160.34  prior to July 1, 1997, or for which construction did not begin 
160.35  prior to July 1, 1997. 
160.36     Sec. 4.  Minnesota Statutes 1998, section 41B.03, 
161.1   subdivision 1, is amended to read: 
161.2      Subdivision 1.  [ELIGIBILITY GENERALLY.] To be eligible for 
161.3   a program in sections 41B.01 to 41B.23: 
161.4      (1) a borrower must be a resident of Minnesota or a 
161.5   domestic family farm corporation, as defined in section 500.24, 
161.6   subdivision 2; and 
161.7      (2) the borrower or one of the borrowers must be the 
161.8   principal operator of the farm or, for a prospective homestead 
161.9   redemption borrower, must have at one time been the principal 
161.10  operator of a farm; and 
161.11     (3) the borrower must not receive assistance under sections 
161.12  41B.01 to 41B.23 exceeding an aggregate of $100,000 in loans 
161.13  during the borrower's lifetime. 
161.14     Sec. 5.  Minnesota Statutes 1998, section 41B.03, 
161.15  subdivision 2, is amended to read: 
161.16     Subd. 2.  [ELIGIBILITY FOR RESTRUCTURED LOAN.] In addition 
161.17  to the eligibility requirements of subdivision 1, a prospective 
161.18  borrower for a restructured loan must:  
161.19     (1) have received at least 50 percent of average annual 
161.20  gross income from farming for the past three years or, for 
161.21  homesteaded property, received at least 40 percent of average 
161.22  gross income from farming in the past three years, and farming 
161.23  must be the principal occupation of the borrower; 
161.24     (2) have a debt-to-asset ratio equal to or greater than 50 
161.25  percent and in determining this ratio, the assets must be valued 
161.26  at their current market value; 
161.27     (3) have projected annual expenses, including operating 
161.28  expenses, family living, and interest expenses after the 
161.29  restructuring, that do not exceed 95 percent of the borrower's 
161.30  projected annual income considering prior production history and 
161.31  projected prices for farm production, except that the authority 
161.32  may reduce the 95 percent requirement if it finds that other 
161.33  significant factors in the loan application support the making 
161.34  of the loan; and 
161.35     (4) demonstrate substantial difficulty in meeting projected 
161.36  annual expenses without restructuring the loan; and 
162.1      (5) must have a total net worth, including assets and 
162.2   liabilities of the borrower's spouse and dependents, of less 
162.3   than $400,000 in 1999 and an amount in subsequent years which is 
162.4   adjusted for inflation by multiplying $400,000 by the cumulative 
162.5   inflation rate as determined by the United States All-Items 
162.6   Consumer Price Index. 
162.7      Sec. 6.  Minnesota Statutes 1998, section 41B.039, 
162.8   subdivision 2, is amended to read: 
162.9      Subd. 2.  [STATE PARTICIPATION.] The state may participate 
162.10  in a new real estate loan with an eligible lender to a beginning 
162.11  farmer to the extent of 45 percent of the principal amount of 
162.12  the loan or $100,000 $125,000, whichever is less.  The interest 
162.13  rates and repayment terms of the authority's participation 
162.14  interest may be different than the interest rates and repayment 
162.15  terms of the lender's retained portion of the loan. 
162.16     Sec. 7.  Minnesota Statutes 1998, section 41B.04, 
162.17  subdivision 8, is amended to read: 
162.18     Subd. 8.  [STATE'S PARTICIPATION.] With respect to loans 
162.19  that are eligible for restructuring under sections 41B.01 to 
162.20  41B.23 and upon acceptance by the authority, the authority shall 
162.21  enter into a participation agreement or other financial 
162.22  arrangement whereby it shall participate in a restructured loan 
162.23  to the extent of 45 percent of the primary principal or 
162.24  $100,000 $150,000, whichever is less.  The authority's portion 
162.25  of the loan must be protected during the authority's 
162.26  participation by the first mortgage held by the eligible lender 
162.27  to the extent of its participation in the loan. 
162.28     Sec. 8.  Minnesota Statutes 1998, section 41B.042, 
162.29  subdivision 4, is amended to read: 
162.30     Subd. 4.  [PARTICIPATION LIMIT; INTEREST.] The authority 
162.31  may participate in new seller-sponsored loans to the extent of 
162.32  45 percent of the principal amount of the loan or 
162.33  $100,000 $125,000, whichever is less.  The interest rates and 
162.34  repayment terms of the authority's participation interest may be 
162.35  different than the interest rates and repayment terms of the 
162.36  seller's retained portion of the loan. 
163.1      Sec. 9.  Minnesota Statutes 1998, section 41B.043, 
163.2   subdivision 2, is amended to read: 
163.3      Subd. 2.  [SPECIFICATIONS.] No direct loan may exceed 
163.4   $35,000 or $100,000 $125,000 for a loan participation or be made 
163.5   to refinance an existing debt.  Each direct loan and 
163.6   participation must be secured by a mortgage on real property and 
163.7   such other security as the authority may require. 
163.8      Sec. 10.  Minnesota Statutes 1998, section 41B.045, 
163.9   subdivision 2, is amended to read: 
163.10     Subd. 2.  [LOAN PARTICIPATION.] The authority may 
163.11  participate in a livestock expansion loan with an eligible 
163.12  lender to a livestock farmer who meets the requirements of 
163.13  section 41B.03, subdivision 1, clauses (1) and (2), and who are 
163.14  actively engaged in a livestock operation.  A prospective 
163.15  borrower must have a total net worth, including assets and 
163.16  liabilities of the borrower's spouse and dependents, of less 
163.17  than $400,000 in 1999 and an amount in subsequent years which is 
163.18  adjusted for inflation by multiplying $400,000 by the cumulative 
163.19  inflation rate as determined by the United States All-Items 
163.20  Consumer Price Index. 
163.21     Participation is limited to 45 percent of the principal 
163.22  amount of the loan or $250,000, whichever is less.  The interest 
163.23  rates and repayment terms of the authority's participation 
163.24  interest may be different from the interest rates and repayment 
163.25  terms of the lender's retained portion of the loan.  Loans under 
163.26  this program must not be included in the lifetime limitation 
163.27  calculated under section 41B.03, subdivision 1. 
163.28     Sec. 11.  [41B.048] [AGROFORESTRY LOAN PROGRAM.] 
163.29     Subdivision 1.  [PURPOSE.] The purpose of the agroforestry 
163.30  loan program is to provide low interest financing to farmers 
163.31  during the growing period required to convert agricultural land 
163.32  to agroforestry. 
163.33     Subd. 2.  [ESTABLISHMENT.] The authority shall establish 
163.34  and implement an agroforestry loan program to help finance the 
163.35  production of short rotation woody crops.  The authority may 
163.36  contract with a fiscal agent to provide an efficient delivery 
164.1   system for this program. 
164.2      Subd. 3.  [RULES.] The authority may adopt rules necessary 
164.3   for administration of the program established under subdivision 
164.4   2. 
164.5      Subd. 4.  [DEFINITIONS.] (a) The definitions in this 
164.6   subdivision apply to this section. 
164.7      (b) "Fiscal agent" means any lending institution or other 
164.8   organization of a for-profit or nonprofit nature that is in good 
164.9   standing with the state of Minnesota that has the appropriate 
164.10  business structure and trained personnel suitable to providing 
164.11  efficient disbursement of loan funds and the servicing and 
164.12  collection of loans over an extended period of time. 
164.13     (c) "Growing cycle" means the number of years from planting 
164.14  to harvest. 
164.15     (d) "Harvest" means the day that the crop arrives at the 
164.16  scale of the buyer of the crop. 
164.17     (e) "Short rotation woody crops" or "crop" means hybrid 
164.18  poplar and other woody plants that are harvested for their fiber 
164.19  within 15 years of planting. 
164.20     Subd. 5.  [ELIGIBILITY.] To be eligible for this program a 
164.21  borrower must: 
164.22     (1) be a resident of Minnesota or any entity eligible to 
164.23  own farm land under section 500.24; 
164.24     (2) be or plan to become a grower of short rotation woody 
164.25  crops on agricultural land that is suitable for the profitable 
164.26  production of short rotation woody crops; 
164.27     (3) be a member of a producer-owned cooperative that will 
164.28  contract to market the short rotation woody crop to be planted 
164.29  by the borrower; 
164.30     (4) demonstrate an ability to repay the loan; 
164.31     (5) not receive assistance under this program for more than 
164.32  $150,000 in the producer's lifetime; 
164.33     (6) agree to work with appropriate local, state, and 
164.34  federal agencies, and the marketing cooperative, to develop an 
164.35  acceptable establishment and maintenance plan; and 
164.36     (7) meet any other requirements the authority may impose by 
165.1   administrative procedure or by rule. 
165.2      Subd. 6.  [LOANS.] (a) The authority may disburse loans 
165.3   through a fiscal agent to farmers and agricultural landowners 
165.4   who are eligible under subdivision 5.  The total accumulative 
165.5   loan principal must not exceed $75,000 per loan. 
165.6      (b) The fiscal agent may impose a loan origination fee in 
165.7   the amount of one percent of the total approved loan.  This fee 
165.8   is to be paid by the borrower to the fiscal agent at the time of 
165.9   loan closing. 
165.10     (c) The loan may be disbursed over a period not to exceed 
165.11  12 years. 
165.12     (d) A borrower may receive loans, depending on the 
165.13  availability of funds, for planted areas up to 160 acres for up 
165.14  to: 
165.15     (1) the total amount necessary for establishment of the 
165.16  crop; 
165.17     (2) the total amount of maintenance costs, including weed 
165.18  control, during the first three years; and 
165.19     (3) 70 percent of the estimated value of one year's growth 
165.20  of the crop for years four through 12. 
165.21     (e) Security for the loan must be the crop, a personal note 
165.22  executed by the borrower, an interest in the land upon which the 
165.23  crop is growing, and whatever other security is required by the 
165.24  fiscal agent or the authority.  All recording fees must be paid 
165.25  by the borrower. 
165.26     (f) The authority may prescribe forms and establish an 
165.27  application process for applicants to apply for a loan. 
165.28     (g) The authority may impose a reasonable nonrefundable 
165.29  application fee for each application for a loan under this 
165.30  program.  The application fee is initially $50.  Application 
165.31  fees received by the authority must be deposited in the 
165.32  agroforestry loan program revolving fund established in 
165.33  subdivision 7. 
165.34     (h) Loans under the program must be made using money in the 
165.35  agroforestry loan program revolving fund established in 
165.36  subdivision 7. 
166.1      (i) The interest payable on loans made by the authority for 
166.2   the agroforestry loan program must, if funded by revenue bond 
166.3   proceeds, be at a rate not less than the rate on the revenue 
166.4   bonds, and may be established at a higher rate necessary to pay 
166.5   costs associated with the issuance of the revenue bonds and a 
166.6   proportionate share of the cost of administering the program.  
166.7   The interest payable on loans for the agroforestry loan program 
166.8   funded from sources other than revenue bond proceeds must be at 
166.9   a rate determined by the authority. 
166.10     (j) Loan principal balance outstanding plus all assessed 
166.11  interest must be repaid within 120 days of harvest, but no later 
166.12  than 15 years from planting. 
166.13     Subd. 7.  [REVOLVING FUND.] There is established in the 
166.14  state treasury an agroforestry loan program revolving fund that 
166.15  is eligible to receive appropriations or the proceeds of bond 
166.16  sales.  All repayments of financial assistance granted under 
166.17  subdivision 2, including principal and interest, must be 
166.18  deposited into this fund.  Interest earned on money in the fund 
166.19  accrues to the fund, and money in the fund is appropriated to 
166.20  the commissioner for purposes of the agroforestry loan program, 
166.21  including costs incurred by the authority to establish and 
166.22  administer the program. 
166.23     Subd. 8.  [REVENUE BONDS.] The authority may issue revenue 
166.24  bonds to finance the agroforestry loan program in accordance 
166.25  with sections 41B.08 to 41B.15, 41B.17, and 41B.18.  Bonds may 
166.26  be refunded by the issuance of refunding bonds in the manner 
166.27  authorized by chapter 475.  
166.28     Sec. 12.  Laws 1999, chapter 231, section 11, subdivision 
166.29  3, is amended to read: 
166.30  Subd. 3.  Agricultural Marketing and Development
166.31        6,521,000      5,410,000
166.32  Notwithstanding Minnesota Statutes, 
166.33  section 41A.09, subdivision 3a, the 
166.34  total payments from the ethanol 
166.35  development account to all producers 
166.36  may not exceed $68,447,000 $70,658,000 
166.37  for the biennium ending June 30, 2001.  
166.38  If, prior to the end of the biennium, 
166.39  the total amount for which all 
166.40  producers are eligible in a quarter 
167.1   exceeds the amount available for 
167.2   payments remaining in the 
167.3   appropriation, the commissioner shall 
167.4   make the payments for the quarter in 
167.5   which the shortfall occurs on a pro 
167.6   rata basis.  In fiscal year 2000, the 
167.7   commissioner shall first reimburse 
167.8   producers for eligible unpaid claims 
167.9   accumulated through June 30, 1999.  
167.10  $500,000 the first year is appropriated 
167.11  to the rural finance authority for 
167.12  making a loan under Minnesota Statutes, 
167.13  section 41B.044.  Principal and 
167.14  interest payments on the loan must be 
167.15  deposited in the ethanol development 
167.16  account for producer payments under 
167.17  Minnesota Statutes, section 
167.18  41B.09 general fund. 
167.19  By July 15, 1999, the commissioner 
167.20  shall transfer the unencumbered cash 
167.21  balance in the ethanol development fund 
167.22  established in Minnesota Statutes, 
167.23  section 41B.044, to the general fund. 
167.24  $200,000 the first year is for a grant 
167.25  from the commissioner to the Minnesota 
167.26  Turkey Growers Association for 
167.27  assistance to an entity that constructs 
167.28  a facility that uses poultry litter as 
167.29  a fuel for the generation of 
167.30  electricity.  This amount must be 
167.31  matched by $1 of nonstate money for 
167.32  each dollar of state money.  This is a 
167.33  one-time appropriation. 
167.34  $50,000 the first year is for the 
167.35  commissioner, in consultation with the 
167.36  commissioner of economic development, 
167.37  to conduct a study of the need for a 
167.38  commercial shipping port at which 
167.39  agricultural cooperatives or individual 
167.40  farmers would have access to port 
167.41  facilities.  This is a one-time 
167.42  appropriation.  
167.43  $71,000 the first year and $71,000 the 
167.44  second year are for transfer to the 
167.45  Minnesota grown matching account and 
167.46  may be used as grants for Minnesota 
167.47  grown promotion under Minnesota 
167.48  Statutes, section 17.109. 
167.49  $100,000 the first year is for a grant 
167.50  to the University of Minnesota 
167.51  extension service for its farm safety 
167.52  and health program.  This is a one-time 
167.53  appropriation. 
167.54  $225,000 the first year and $75,000 the 
167.55  second year are for grants to the 
167.56  Minnesota agricultural education 
167.57  leadership council for the planning and 
167.58  implementation of initiatives enhancing 
167.59  and expanding agricultural education in 
167.60  rural and urban areas of the state.  
167.61  Funds not used in the first year are 
167.62  available for the second year.  This is 
167.63  a one-time appropriation.  
168.1   $480,000 the first year and $420,000 
168.2   the second year are to the commissioner 
168.3   of agriculture for programs to 
168.4   aggressively promote, develop, expand, 
168.5   and enhance the marketing of 
168.6   agricultural products from Minnesota 
168.7   producers and processors.  The 
168.8   commissioner must enter into 
168.9   collaborative efforts with the 
168.10  department of trade and economic 
168.11  development, the world trade center 
168.12  corporation, and other public or 
168.13  private entities knowledgeable in 
168.14  market identification and development.  
168.15  The commissioner may also contract with 
168.16  or make grants to public or private 
168.17  organizations involved in efforts to 
168.18  enhance communication between producers 
168.19  and markets and organizations that 
168.20  identify, develop, and promote the 
168.21  marketing of Minnesota agricultural 
168.22  crops, livestock, and produce in local, 
168.23  regional, national, and international 
168.24  marketplaces.  Grants may be provided 
168.25  to appropriate organizations including 
168.26  those functioning as marketing clubs, 
168.27  to a cooperative known as Minnesota 
168.28  Marketplace, and to recognized 
168.29  associations of producers or processors 
168.30  of organic foods or Minnesota grown 
168.31  specialty crops.  Beginning October 15, 
168.32  1999, and 15 days after the close of 
168.33  each calendar quarter thereafter, the 
168.34  commissioner shall provide to the 
168.35  senate and house committees with 
168.36  jurisdiction over agriculture policy 
168.37  and funding interim reports of the 
168.38  progress toward accomplishing the goals 
168.39  of this item.  The commissioner shall 
168.40  deliver a final report on March 1, 
168.41  2001.  If the appropriation for either 
168.42  year is insufficient, the appropriation 
168.43  for the other year is available.  This 
168.44  is a one-time appropriation that 
168.45  remains available until expended. 
168.46  $60,000 the second year is for grants 
168.47  to farmers for demonstration projects 
168.48  involving sustainable agriculture.  If 
168.49  a project cost is more than $25,000, 
168.50  the amount above $25,000 must be 
168.51  matched at the rate of one state dollar 
168.52  for each dollar of nonstate money.  
168.53  Priorities must be given for projects 
168.54  involving multiple parties.  Up to 
168.55  $20,000 each year may be used for 
168.56  dissemination of information about the 
168.57  demonstration grant projects.  If the 
168.58  appropriation for either year is 
168.59  insufficient, the appropriation for the 
168.60  other is available. 
168.61  $160,000 each year is for value-added 
168.62  agricultural product processing and 
168.63  marketing grants under Minnesota 
168.64  Statutes, section 17.101, subdivision 5.
168.65  $450,000 the first year and $300,000 
168.66  the second year are for continued 
168.67  research of solutions and alternatives 
168.68  for manure management and odor 
169.1   control.  This is a one-time 
169.2   appropriation. 
169.3   $50,000 the first year and $50,000 the 
169.4   second year are for annual cost-share 
169.5   payments to resident farmers for the 
169.6   costs of organic certification.  The 
169.7   annual cost-share payments per farmer 
169.8   shall be two-thirds of the cost of the 
169.9   certification or $200, whichever is 
169.10  less.  A certified farmer is eligible 
169.11  to receive annual certification 
169.12  cost-share payments for up to five 
169.13  years.  $15,000 each year is for 
169.14  organic market and program 
169.15  development.  This appropriation is 
169.16  available until expended. 
169.17  $30,000 the first year is to assess 
169.18  producer production contracts under 
169.19  section 205.  This appropriation is 
169.20  available until June 30, 2001.  
169.21     Sec. 13.  [PESTICIDE REPORTING.] 
169.22     (a) The commissioner of agriculture, in cooperation with 
169.23  the University of Minnesota extension service; the commissioners 
169.24  of administration; children, families, and learning; health; 
169.25  transportation; natural resources; and the pollution control 
169.26  agency; and other interested parties, must review the use of 
169.27  pesticide and integrated pest management techniques and 
169.28  practices as they are applied to the use and storage of 
169.29  pesticides in and around a representative sample of buildings 
169.30  owned by the state and buildings and grounds used for K-12 
169.31  public education.  Recommendations by the commissioner of 
169.32  agriculture on the use and avoidance of pesticides and 
169.33  comprehensive integrated pest management practices in state 
169.34  buildings and K-12 public school buildings, including the 
169.35  training of building managers and school personnel, must be 
169.36  presented to the environmental policy and finance committees of 
169.37  the legislature by January 15, 2001. 
169.38     (b) For purposes of the review and report in paragraph (a), 
169.39  the term "pesticide" has the meaning given in Minnesota 
169.40  Statutes, section 18B.01, subdivision 18, except that it does 
169.41  not include disinfectants, sanitizers, deodorizers, or 
169.42  antimicrobial agents for general cleaning purposes. 
169.43     Sec. 14.  [ADMINISTRATION TO PREPARE PLANS; RELOCATION OF 
169.44  DEPARTMENT OF AGRICULTURE PRINCIPAL OFFICES.] 
170.1      The commissioner of administration, in consultation with 
170.2   the commissioner of agriculture, shall develop comprehensive 
170.3   plans and timelines for relocation of the principal offices of 
170.4   the department of agriculture to a location outside the 
170.5   metropolitan counties listed in section 473.121, subdivision 4.  
170.6   The relocation must be completed no later than June 30, 2003, 
170.7   the date on which the current lease on the Agriculture 
170.8   Department headquarters at 90 West Plato Blvd., Saint Paul, MN 
170.9   expires. 
170.10     Sec. 15.  [APPROPRIATION; AGROFORESTRY LOAN PROGRAM.] 
170.11     $200,000 is appropriated from the general fund to the 
170.12  commissioner of agriculture for grants to one or more 
170.13  cooperative associations organized under Minnesota Statutes, 
170.14  chapter 308A, primarily for the purpose of facilitating the 
170.15  production and marketing of short rotation woody crops.  The 
170.16  grants must be matched by $1 of nonstate money for each dollar.  
170.17  This appropriation remains available until expended. 
170.18     Sec. 16.  [APPROPRIATION; STATE MEAT INSPECTION PROGRAM.] 
170.19     $120,000 in fiscal year 2000 and $374,000 in fiscal year 
170.20  2001 is appropriated from the general fund to the commissioner 
170.21  of agriculture to expand the state meat inspection program.  
170.22  This appropriation is in addition to appropriations in Laws 
170.23  1999, chapter 231, section 11.  If the appropriation for either 
170.24  year is insufficient the appropriation for the other year is 
170.25  available. 
170.26     Sec. 17.  [APPROPRIATION; PSEUDORABIES MONITORING AND 
170.27  TESTING.] 
170.28     $245,000 is appropriated from the general fund to the board 
170.29  of animal health for continued efforts to control pseudorabies 
170.30  in swine.  This appropriation may be used to cover the costs of 
170.31  pseudorabies monitoring, vaccines, blood tests, and laboratory 
170.32  fees.  This appropriation is in addition to the appropriation in 
170.33  Laws 1999, chapter 45, section 1, and is available until June 
170.34  30, 2001. 
170.35     Sec. 18.  [APPROPRIATION; FARM BUSINESS PLANNING SOFTWARE.] 
170.36     $135,000 is appropriated from the general fund to the 
171.1   commissioner of agriculture for a grant to the Center for Farm 
171.2   Financial Management at the University of Minnesota for purposes 
171.3   of a comprehensive effort to develop software and training 
171.4   materials to help farmers improve their profitability through 
171.5   sophisticated business planning.  The software and training will 
171.6   complement existing FINPACK farm management tools.  No later 
171.7   than March 1, 2001, the center must report to the agriculture 
171.8   policy and finance committees of the senate and the house of 
171.9   representatives on the software development program.  This 
171.10  appropriation is available until March 31, 2001. 
171.11     Sec. 19.  [APPROPRIATION; FARM DRAINAGE AND RUN-OFF 
171.12  POLLUTION.] 
171.13     $300,000 is appropriated from the general fund to the 
171.14  commissioner of agriculture to establish an agricultural water 
171.15  quality and quantity management, research, demonstration, and 
171.16  education program.  Of this appropriation $150,000 is for 
171.17  projects at the Lamberton site and $150,000 is for projects at 
171.18  the Waseca site.  The commissioner may contract with the 
171.19  University of Minnesota or other parties for the implementation 
171.20  of parts of the program.  No later than March 1, 2001, the 
171.21  program must report to the agriculture policy and finance 
171.22  committees of the senate and the house of representatives on the 
171.23  drainage and pollution control research project.  This 
171.24  appropriation is available until March 31, 2001. 
171.25     Sec. 20.  [APPROPRIATION; FARM ADVOCATES.] 
171.26     $100,000 is appropriated from the general fund to the 
171.27  commissioner of agriculture for the farm advocates program.  
171.28  This appropriation is in addition to the appropriation for the 
171.29  farm advocates program in Laws 1999, chapter 231, section 11, 
171.30  and is available until June 30, 2001. 
171.31     Sec. 21.  [EFFECTIVE DATE.] 
171.32     Section 2 is effective the day following final enactment 
171.33  and applies to claims for corrective action costs incurred after 
171.34  that date.  Sections 3 to 11 and 15 to 20 are effective the day 
171.35  following final enactment.  Section 12 is effective retroactive 
171.36  to July 1, 1999. 
172.1                              PART C 
172.2            ENVIRONMENT AND NATURAL RESOURCES PROVISIONS 
172.3                              ARTICLE 9 
172.4                  ENVIRONMENT AND NATURAL RESOURCES  
172.5      Section 1.  [APPROPRIATIONS.] 
172.6      The sums shown in the columns marked "APPROPRIATIONS" are 
172.7   appropriated from the general fund, or any other fund named, to 
172.8   the agencies and for the purposes specified in this article, to 
172.9   be available for the fiscal years indicated for each purpose.  
172.10  The figures "2000" and "2001" mean that the appropriation or 
172.11  appropriations listed under them are available for the fiscal 
172.12  year ending June 30, 2000, or June 30, 2001, respectively, and 
172.13  if an earlier appropriation was made for that purpose for that 
172.14  year, the appropriation in this article is added to it.  
172.15                                             APPROPRIATIONS 
172.16                                         Available for the Year 
172.17                                             Ending June 30 
172.18                                            2000         2001 
172.19  Sec. 2.  POLLUTION CONTROL AGENCY        306,000        -0-
172.20  For WIF construction program 
172.21  administration.  This appropriation is 
172.22  available until June 30, 2001. 
172.23  The agency must allocate $104,000 of 
172.24  the appropriation in Laws 1999, chapter 
172.25  231, section 2, for WIF construction 
172.26  program administration. 
172.27  Sec. 3.  BOARD OF WATER AND
172.28  SOIL RESOURCES
172.29  Subdivision 1.  Wetland     
172.30  Replacement                               -0-           400,000 
172.31  Professional and technical services to 
172.32  replace wetlands under Minnesota 
172.33  Statutes, section 103G.222, subdivision 
172.34  1. 
172.35  Subd. 2.  Agricultural Land 
172.36  Set-aside                              5,000,000          -0-   
172.37  $5,000,000 is for the purposes of 
172.38  sections 16 to 20.  This appropriation 
172.39  remains available until expended.  
172.40  Administrative costs may not exceed ten 
172.41  percent of the appropriation. 
172.42  Sec. 4.  NATURAL RESOURCES 
172.43  Subdivision 1.  Mille Lacs  
172.44  Treaty Litigation                      3,954,463          -0-   
172.45  $3,954,463 in fiscal year 2000 is for 
172.46  the settlement of legal costs incurred 
173.1   by the Mille Lacs Band, St. Croix Band, 
173.2   Bad River Band, Red Cliff Band, Lac du 
173.3   Flambeau Band, Sokaogon Chippewa 
173.4   Community, and the Lac Courte Oreilles 
173.5   Band related to the 1837 Treaty 
173.6   litigation. 
173.7   The interest payment on the settlement 
173.8   of legal costs contained in this 
173.9   subdivision is for fiscal year 2000.  
173.10  The amount of the interest payment 
173.11  shall be determined by applying an 
173.12  interest amount of $614.30 for each day 
173.13  beginning December 10, 1999, through 
173.14  the day of final enactment of this bill.
173.15  Subd. 2.  Canada Geese Abatement          -0-            54,000 
173.16  $54,000 is to purchase emergency damage 
173.17  abatement materials to prevent Canada 
173.18  geese from causing crop depredation in 
173.19  western Minnesota.  This is a one-time 
173.20  appropriation. 
173.21  Subd. 3.  Wildfire Response            1,164,000          -0-   
173.22  $1,164,000 is from the environmental 
173.23  fund in fiscal year 2000 to the 
173.24  commissioner of natural resources for 
173.25  grants to Lake, Cook, and St. Louis 
173.26  counties for emergency communications 
173.27  equipment, emergency response 
173.28  equipment, and emergency planning and 
173.29  training to respond to a major wildfire.
173.30  Of this amount, $134,000 is for a grant 
173.31  to Lake county, $350,000 is for a grant 
173.32  to Cook county, and $680,000 is for a 
173.33  grant to St. Louis county.  St. Louis 
173.34  county must use a portion of the grant 
173.35  to purchase a NOAA warning system that 
173.36  can be used by all of the counties 
173.37  receiving grants under this section.  
173.38  This appropriation is available until 
173.39  June 30, 2001. 
173.40  Sec. 5.  OFFICE OF ENVIRONMENTAL 
173.41  ASSISTANCE 
173.42  The appropriation in Laws 1999, chapter 
173.43  231, section 3, is reduced in fiscal 
173.44  year 2001 by $104,000.  This is a base 
173.45  reduction.  In reducing spending, the 
173.46  agency may give priority to the 
173.47  elimination of positions which are 
173.48  vacant. 
173.49  Sec. 6.  MINNESOTA RESOURCES 
173.50  The availability of the appropriation 
173.51  for the following project is extended 
173.52  to June 30, 2002:  Laws 1997, chapter 
173.53  216, section 15, subdivision 4, 
173.54  paragraph (c), clause (3), local 
173.55  initiatives grants program.  $250,000 
173.56  is to provide matching funds for an 
173.57  ISTEA grant and to provide acquisition 
173.58  and engineering costs for a proposed 
173.59  trail between the city of Pelican 
173.60  Rapids and Maplewood state park. 
173.61  The availability of the appropriation 
174.1   for the following project is extended 
174.2   to June 30, 2001:  Laws 1997, chapter 
174.3   216, section 15, subdivision 4, 
174.4   paragraph (b), metropolitan regional 
174.5   park system, for the portion related to 
174.6   Hyland-Bush-Anderson Lake Park Reserve 
174.7   development. 
174.8      Sec. 7.  [NATURAL RESOURCES APPROPRIATIONS; OPERATIONS 
174.9   SUPPORT.] 
174.10     Subdivision 1.  [OPERATIONS SUPPORT.] (a) $1,565,000 is 
174.11  appropriated in fiscal year 2001 from the general fund to the 
174.12  commissioner of natural resources for operations support.  The 
174.13  amount supplants funding from the game and fish fund under 
174.14  paragraph (b) for the commissioner's office, human resources, 
174.15  and office of management and budget services operations support. 
174.16     (b) The appropriation for fiscal year 2001 from the game 
174.17  and fish fund in Laws 1999, chapter 231, section 5, subdivision 
174.18  9, is reduced by $1,565,000. 
174.19     Subd. 2.  [ACCELERATED WALLEYE STOCKING.] $500,000 is 
174.20  appropriated in fiscal year 2001 from the general fund to the 
174.21  commissioner of natural resources for an accelerated walleye 
174.22  stocking program. 
174.23     Subd. 3.  [WILDLIFE MANAGEMENT.] $5,665,000 is appropriated 
174.24  in fiscal year 2001 from the game and fish fund to the 
174.25  commissioner of natural resources for fish and wildlife 
174.26  management.  The appropriation includes the $1,565,000 reduced 
174.27  from the operations support budget under subdivision 1, 
174.28  paragraph (b).  The money is available due to the general fund 
174.29  appropriation under subdivision 1, paragraph (a), which reduces 
174.30  the obligation of the game and fish fund to operations support. 
174.31     Subd. 4.  [STAFFING LEVELS.] The appropriations made under 
174.32  this section are available only if license fees dedicated to the 
174.33  game and fish fund are increased.  The staff complement in 
174.34  fiscal years 2000 and 2001 for the division of fish and wildlife 
174.35  shall not exceed fiscal year 1994 levels.  The commissioner 
174.36  shall report to the senate and house committees with 
174.37  jurisdiction over natural resources by November 15, 2000, on 
174.38  staffing levels and activities funded under this section. 
174.39     Sec. 8.  [INVENTORY OF GRANTED AND OTHER LAND.] 
175.1      $200,000 is appropriated from the state forest suspense 
175.2   account to the commissioner of natural resources for transfer to 
175.3   the University of Minnesota Duluth for the purpose of funding 
175.4   the inventory conducted pursuant to this section and is 
175.5   available until expended.  Because the University of Minnesota 
175.6   is a land grant university, and because most of the state-owned 
175.7   land to be inventoried is granted land, the chancellor of the 
175.8   University of Minnesota Duluth is requested to direct the School 
175.9   of Business and Economics to conduct an inventory of state-owned 
175.10  land located within the Boundary Waters Canoe Area for the 
175.11  purpose of providing the legislature and state officers with 
175.12  more precise information as to the nature, extent, and value of 
175.13  the land.  The inventory must include the following:  (1) a list 
175.14  of the tracts of state-owned land within the area, together with 
175.15  the available legal description by government tract, insofar as 
175.16  possible.  "State-owned land" is defined as any class of 
175.17  state-owned land, whether it is granted land such as school, 
175.18  university, swampland, or internal improvement, or whether it is 
175.19  tax-forfeited, acquired, or state-owned land of any other 
175.20  classification; (2) the number of linear feet of shoreline in 
175.21  each tract, together with a general description of that 
175.22  shoreline, whether it is rocky, sandy, or swampy, or some other 
175.23  descriptive system that generally describes the shoreland; (3) 
175.24  the acreage of each tract; (4) a general description of the 
175.25  surface of each tract, including topography and the predominant 
175.26  vegetative cover for each tract and any known unique surface 
175.27  features, such as areas of virgin and other old growth timber; 
175.28  and (5) using available real estate market value information and 
175.29  accepted real estate valuation techniques, assign estimates of 
175.30  the value for each tract, exclusive of minerals and mineral 
175.31  interests, using each of the real estate valuation techniques 
175.32  adopted for the inventory.  At the request of the university, 
175.33  the commissioner of natural resources shall promptly provide the 
175.34  university with all published maps, whether federal, state, or 
175.35  county, together with a descriptive list of state-owned land in 
175.36  the area, using available legal descriptions, forest 
176.1   inventories, and other factual information, published data, and 
176.2   photographs that are necessary for the university's inventory.  
176.3   From these maps, lists, data, and other information, the 
176.4   university is requested to prepare a report of its inventory.  
176.5   It is desirable that the university submit its report to the 
176.6   legislature by January 15, 2002. 
176.7      Sec. 9. [85.056] [CAMPING FACILITIES TO REMAIN OPEN.] 
176.8      Unless authorized by law, a state park must not close its 
176.9   camping facilities earlier in the year or open them later, due 
176.10  to budget shortfalls, than it is ordinarily scheduled to do so. 
176.11     Sec. 10.  Minnesota Statutes 1998, section 103E.011, is 
176.12  amended by adding a subdivision to read: 
176.13     Subd. 5.  [USE OF EXTERNAL SOURCES OF 
176.14  FUNDING.] Notwithstanding other provisions of this chapter, a 
176.15  drainage authority may accept and use funds from sources other 
176.16  than assessments based on the benefits of the drainage system 
176.17  for the purposes of wetland preservation or restoration or 
176.18  creation of water quality improvements or flood control 
176.19  projects.  The source of funding authorized under this 
176.20  subdivision may be used for a project outside the benefited area 
176.21  if the project is within the watershed of the drainage system. 
176.22     Sec. 11.  Minnesota Statutes 1998, section 115B.17, 
176.23  subdivision 19, is amended to read: 
176.24     Subd. 19.  [REIMBURSEMENT UNDER CERTAIN SETTLEMENTS.] (a) 
176.25  When the agency determines that some but not all persons 
176.26  responsible for a release are willing to implement response 
176.27  actions, the agency may agree, pursuant to a settlement of its 
176.28  claims under sections 115B.01 to 115B.18, to reimburse the 
176.29  settling parties for response costs incurred to take the 
176.30  actions.  The agency may agree to reimburse any amount which 
176.31  does not exceed the amount that the agency estimates may be 
176.32  attributable to the liability of responsible persons who are not 
176.33  parties to the settlement.  Reimbursement may be provided only 
176.34  for the cost of conducting remedial design and constructing 
176.35  remedial action pursuant to the terms of the settlement.  
176.36  Reimbursement under this subdivision shall be paid only upon the 
177.1   agency's determination that the remedial action approved by the 
177.2   agency has been completed in accordance with the terms of the 
177.3   settlement.  The agency may use money appropriated to it for 
177.4   actions authorized under section 115B.20, subdivision 2, clause 
177.5   (2), to pay reimbursement under this subdivision. 
177.6      (b) The agency may agree to provide reimbursement under a 
177.7   settlement only when all of the following requirements have been 
177.8   met: 
177.9      (1) the agency has made the determination under paragraph 
177.10  (c) regarding persons who are not participating in the 
177.11  settlement, and has provided written notice to persons 
177.12  identified under paragraph (c), clauses (1) and (2), of their 
177.13  opportunity to participate in the settlement or in a separate 
177.14  settlement under subdivision 20; 
177.15     (2) the release addressed in the settlement has been 
177.16  assigned a priority pursuant to agency rules adopted under 
177.17  subdivision 13, and the priority is at least as high as a 
177.18  release for which the agency would be allowed to allocate funds 
177.19  for remedial action under the rules; 
177.20     (3) an investigation of the release addressed in the 
177.21  settlement has been completed in accordance with a plan approved 
177.22  by the agency; and 
177.23     (4) the agency has approved the remedial action to be 
177.24  implemented under the settlement. 
177.25     (c) Before entering into a settlement providing for 
177.26  reimbursement under this subdivision, the agency shall determine 
177.27  that there are one or more persons who meet any of the following 
177.28  criteria who are not participating in the settlement: 
177.29     (1) persons identified by the agency as responsible for the 
177.30  release addressed in the settlement but who are likely to have 
177.31  only minimal involvement in actions leading to the release, or 
177.32  are insolvent or financially unable to pay any significant share 
177.33  of response action costs; 
177.34     (2) persons identified by the agency as responsible for the 
177.35  release other than persons described in clause (1) and who are 
177.36  unwilling to participate in the settlement or to take response 
178.1   actions with respect to the release; 
178.2      (3) persons whom the agency has reason to believe are 
178.3   responsible for the release addressed in the settlement but whom 
178.4   the agency has been unable to identify; or 
178.5      (4) persons identified to the agency by a party to the 
178.6   proposed settlement as persons who are potentially responsible 
178.7   for the release but for whom the agency has insufficient 
178.8   information to determine responsibility. 
178.9      (d) Except as otherwise provided in this subdivision, a 
178.10  decision of the agency under this subdivision to offer or agree 
178.11  to provide reimbursement in any settlement, or to determine the 
178.12  amount of reimbursement it will provide under a settlement, is a 
178.13  matter of agency discretion in the exercise of its enforcement 
178.14  authority.  In exercising discretion in this matter, the agency 
178.15  may consider, among other factors, the degree of cooperation 
178.16  with the agency that has been shown prior to the settlement by 
178.17  the parties seeking reimbursement. 
178.18     (e) The agency may require as a term of settlement under 
178.19  this subdivision that the parties receiving reimbursement from 
178.20  the agency waive any rights they may have to bring a claim for 
178.21  contribution against persons who are not parties to the 
178.22  settlement. 
178.23     (f) Notwithstanding any provisions to the contrary in 
178.24  paragraphs (a) to (e), until June 30, 2001, the agency may use 
178.25  the authority under this subdivision to enter into agreements 
178.26  for the implementation of a portion of an approved response 
178.27  action plan and to provide funds in the form of a grant for the 
178.28  purpose of implementing the agreement.  The amount paid for 
178.29  implementing a portion of an approved response action plan may 
178.30  not exceed the proportion of the costs of the response action 
178.31  plan which are attributable to the liability of responsible 
178.32  persons who are not parties to the agreement. 
178.33     (g) A decision of the agency under paragraph (f) to offer 
178.34  or agree to provide funds in any agreement or to determine the 
178.35  specific remedial actions included in any agreement to implement 
178.36  an approved action plan or the amount of funds the agency will 
179.1   provide under an agreement is a matter of agency discretion in 
179.2   the exercise of its enforcement authority. 
179.3      Sec. 12.  Minnesota Statutes 1999 Supplement, section 
179.4   116.073, subdivision 1, is amended to read: 
179.5      Subdivision 1.  [AUTHORITY TO ISSUE.] (a) Pollution control 
179.6   agency staff designated by the commissioner and department of 
179.7   natural resources conservation officers may issue citations to a 
179.8   person who: 
179.9      (1) disposes of solid waste as defined in section 116.06, 
179.10  subdivision 22, at a location not authorized by law for the 
179.11  disposal of solid waste without permission of the owner of the 
179.12  property; 
179.13     (2) fails to report or recover oil or hazardous substance 
179.14  discharges as required under section 115.061; or 
179.15     (3) fails to take discharge preventive or preparedness 
179.16  measures required under chapter 115E.  
179.17     (b) In addition, pollution control agency staff designated 
179.18  by the commissioner may issue citations to owners and operators 
179.19  of facilities dispensing petroleum products who violate sections 
179.20  116.46 to 116.50 and Minnesota Rules, chapters 7150 and 7151 and 
179.21  parts 7001.4200 to 7001.4300.  The citations for violation of 
179.22  sections 116.46 to 116.50 and Minnesota Rules, chapter 7150, may 
179.23  be issued only after the owners and operators have had a 90-day 
179.24  period to correct all the violations stated in a letter issued 
179.25  previously by pollution control agency staff.  A citation issued 
179.26  under this subdivision must include a requirement that the 
179.27  person cited remove and properly dispose of or otherwise manage 
179.28  the waste or discharged oil or hazardous substance, reimburse 
179.29  any government agency that has disposed of the waste or 
179.30  discharged oil or hazardous substance and contaminated debris 
179.31  for the reasonable costs of disposal, or correct any underground 
179.32  storage tank violations. 
179.33     (c) Until June 1, 2004, citations for violation of sections 
179.34  115E.045 and 116.46 to 116.50 and Minnesota Rules, chapters 7150 
179.35  and 7151, may be issued only after the owners and operators have 
179.36  had a 90-day period to correct violations stated in writing by 
180.1   pollution control agency staff, unless there is a discharge 
180.2   associated with the violation or the violation is of Minnesota 
180.3   Rules, part 7151.6400, subpart 1, item B, or 7151.6500. 
180.4      Sec. 13.  Laws 1998, chapter 389, article 16, section 31, 
180.5   subdivision 2, as amended by Laws 1999, chapter 180, section 1, 
180.6   is amended to read: 
180.7      Subd. 2.  [EXCHANGE OF COUNTY LAKESHORE LAND FOR LEASED 
180.8   LAKESHORE LOTS.] (a) For the purposes of this section: 
180.9      (1) "county land" includes, but is not limited to, 
180.10  tax-forfeited land administered by any county; 
180.11     (2) "leased lakeshore lots" means lands leased by the 
180.12  state, including lots for which leases have been canceled, 
180.13  pursuant to Minnesota Statutes, section 92.46, subdivision 1; 
180.14  and 
180.15     (3) "plan for exchange" means a listing of parcels proposed 
180.16  for exchange with legal descriptions, county estimates of 
180.17  values, and maps and acreage for each parcel.  By July 1, 1999, 
180.18  counties shall include exchange plans for all lakeshore lease 
180.19  lots that are in substantial compliance with official controls.  
180.20  The plan shall also include a timeline that provides for the 
180.21  completion of the exchange of all remaining lakeshore lease lots 
180.22  by December 31, 2000.  
180.23     (b) By July 1, 1999, a county board with leased lakeshore 
180.24  lots must petition the land exchange board with a plan for an 
180.25  exchange of county land for leased lakeshore lots in the county 
180.26  that are not listed by the commissioner pursuant to subdivision 
180.27  1.  Notwithstanding Minnesota Statutes, section 94.342, the land 
180.28  proposed for the exchange must be land bordering on or adjacent 
180.29  to meandered or other public waters.  A county board proposing 
180.30  an exchange under this section may include tax-forfeited land 
180.31  administered by another county in the proposal with the consent 
180.32  of that county board.  
180.33     (c) In determining the value of the leased lakeshore lots 
180.34  for purposes of the exchange, the land exchange board must 
180.35  review an appraisal of each lot prepared by an appraiser 
180.36  licensed by the commissioner of commerce.  The selection of the 
181.1   appraiser must be agreed to by the commissioner of natural 
181.2   resources and the county board of the county containing the 
181.3   leased lakeshore lot.  The commissioner of natural resources 
181.4   must pay the costs of appraisal and may recover these costs as 
181.5   provided in this section.  The commissioner must submit 
181.6   appraisals under this paragraph to the land exchange board by 
181.7   June 1, 1999.  
181.8      (d) The land exchange board must determine whether the land 
181.9   offered for exchange by a county under this section is lakeshore 
181.10  of substantially equal value to the leased lakeshore lots 
181.11  included in the county's petition.  In making this 
181.12  determination, the land exchange board must review an appraisal 
181.13  of the land offered for exchange prepared by an appraiser 
181.14  licensed by the commissioner of commerce.  The selection of the 
181.15  appraiser must be agreed to by the commissioner of natural 
181.16  resources and the county board of the county containing the 
181.17  leased lakeshore lots.  The county must pay the costs of this 
181.18  appraisal and may recover those costs as provided in this 
181.19  section.  
181.20     (e) Before the proposed exchange may be submitted to the 
181.21  land exchange board, the commissioner of natural resources must 
181.22  ensure that, whenever possible, state lands are added to the 
181.23  leased lakeshore lots when necessary to provide conformance with 
181.24  zoning official controls.  The lands added to the leased 
181.25  lakeshore lots must be included in the appraised value of the 
181.26  lots.  If the commissioner is unable to add the necessary land 
181.27  to a lot, the lot shall be treated as if purchased at the time 
181.28  the state first leased the site, for the purposes of local 
181.29  zoning and other ordinances at the time of sale of the lot by 
181.30  the county.  
181.31     (f) Additional state or county lands, including state 
181.32  riparian land leased for a commercial use, may be added to the 
181.33  exchanges if mutually agreed upon by the commissioner and the 
181.34  affected county board to meet county zoning standards or other 
181.35  regulatory needs for the lots, for use of the land by the county 
181.36  or state, or to avoid leaving unmanageable parcels of land in 
182.1   state or county ownership after an exchange, or to dispose of 
182.2   state commercial riparian leases.  The additional county land 
182.3   may include nonriparian land, if the land is adjacent to county 
182.4   land exchanged under this section and is beneficial to or 
182.5   enhances the value of the school trust land.  Notwithstanding 
182.6   Minnesota Statutes, chapter 282, or any other law to the 
182.7   contrary, a county board may sell all or part of any additional 
182.8   land to an owner of a lakeshore lot sold by the county under 
182.9   this section, or sold by the state at a lakeshore lot sale, or 
182.10  to the lessee of a commercial lease.  
182.11     (g) In the event that commercial leased state land is 
182.12  proposed for exchange, the state and county must submit to the 
182.13  land exchange board prior to exchanges, without regard to the 
182.14  dates provided in this section, the reports, appraisals, and 
182.15  plan for exchange required by this section.  The county is not 
182.16  required to sell the commercially leased lands it receives from 
182.17  the state within the times stated in this section. 
182.18     (h) The land exchange board must determine whether the lots 
182.19  are of substantially equal value and may approve the exchange, 
182.20  notwithstanding the requirements of Minnesota Statutes, sections 
182.21  94.342 to 94.347, relating to the approval process.  If the 
182.22  board approves the exchange, the commissioner must exchange the 
182.23  leased lakeshore lots for the county lands, together with any 
182.24  additional state land provided for under this section, subject 
182.25  to the requirements of the Minnesota Constitution, article XI, 
182.26  section 10, relating to the reservation of mineral and water 
182.27  power rights.  
182.28     (i) The deeds between the state and counties for land 
182.29  exchanges under this section are exempt from the deed tax 
182.30  imposed by Minnesota Statutes, section 287.21. 
182.31     (j) The deeds issued by the state and counties for the land 
182.32  exchanges and sales to a lessee made pursuant to this section 
182.33  are exempt from the requirements imposed for well disclosure by 
182.34  Minnesota Statutes, section 103I.235, well sealing by Minnesota 
182.35  Statutes, section 103I.311, and individual sewage treatment 
182.36  system disclosure by Minnesota Statutes, section 115.55, 
183.1   subdivision 6. 
183.2      Sec. 14.  Laws 1999, chapter 231, section 2, subdivision 2, 
183.3   is amended to read: 
183.4   Subd. 2.  Protection of the Water 
183.5       15,984,000     16,008,000
183.6                 Summary by Fund
183.7   General              13,074,000    13,283,000 12,983,000
183.8   State Government
183.9   Special Revenue          44,000        45,000
183.10  Environmental         2,616,000     2,680,000  2,980,000
183.11  Petroleum tank          250,000        -0-
183.12  $2,348,000 the first year and 
183.13  $2,348,000 the second year are for 
183.14  grants to local units of government for 
183.15  the clean water partnership program.  
183.16  The amount of this appropriation above 
183.17  the base is for Phase II implementation 
183.18  projects.  Any unencumbered balance 
183.19  remaining in the first year does not 
183.20  cancel and is available for the second 
183.21  year of the biennium. 
183.22  $1,470,000 the first year and 
183.23  $1,841,000 the second year are for 
183.24  grants for county administration of the 
183.25  feedlot permit program.  These amounts 
183.26  are transferred to the board of water 
183.27  and soil resources for disbursement in 
183.28  accordance with Minnesota Statutes, 
183.29  section 103B.3369, in cooperation with 
183.30  the pollution control agency.  Grants 
183.31  must be matched with a combination of 
183.32  local cash and/or in-kind 
183.33  contributions.  Counties receiving 
183.34  these grants shall submit an annual 
183.35  report to the pollution control agency 
183.36  regarding activities conducted under 
183.37  the grant, expenditures made, and local 
183.38  match contributions.  First priority 
183.39  for funding shall be given to counties 
183.40  that have requested and received 
183.41  delegation from the pollution control 
183.42  agency for processing of animal feedlot 
183.43  permit applications under Minnesota 
183.44  Statutes, section 116.07, subdivision 
183.45  7.  Delegated counties shall be 
183.46  eligible to receive a grant of either:  
183.47  $50 multiplied by the number of 
183.48  livestock or poultry farms with sales 
183.49  greater than $10,000, as reported in 
183.50  the 1997 Census of Agriculture, 
183.51  published by the United States Bureau 
183.52  of Census; or $80 multiplied by the 
183.53  number of feedlots with greater than 
183.54  ten animal units as determined by a 
183.55  level 2 or level 3 feedlot inventory 
183.56  conducted in accordance with the 
183.57  Feedlot Inventory Guidebook published 
183.58  by the board of water and soil 
183.59  resources, dated June 1991.  To receive 
183.60  the additional funding that is based on 
184.1   the county feedlot inventory, the 
184.2   county shall submit a copy of the 
184.3   inventory to the pollution control 
184.4   agency.  Any remaining money is for 
184.5   distribution to all counties on a 
184.6   competitive basis through the challenge 
184.7   grant process for the conducting of 
184.8   feedlot inventories, development of 
184.9   delegated county feedlot programs, and 
184.10  for information and education or 
184.11  technical assistance efforts to reduce 
184.12  feedlot-related pollution hazards.  Any 
184.13  money remaining after the first year is 
184.14  available for the second year. 
184.15  $94,000 the first year and $97,000 the 
184.16  second year are for compliance 
184.17  activities and air quality monitoring 
184.18  to address hydrogen sulfide emissions 
184.19  from animal feedlots.  The air quality 
184.20  monitoring must include the use of 
184.21  portable survey instruments. 
184.22  $1,043,000 the first year and 
184.23  $1,048,000 the second year are for 
184.24  water monitoring activities.  
184.25  $320,000 the first year and $322,000 
184.26  the second year are for community 
184.27  technical assistance and education, 
184.28  including grants and technical 
184.29  assistance to communities for local and 
184.30  basin-wide water quality protection. 
184.31  $201,000 the first year and $202,000 
184.32  the second year are for individual 
184.33  sewage treatment system (ISTS) 
184.34  administration. Of this amount, $86,000 
184.35  in each year is transferred to the 
184.36  board of water and soil resources for 
184.37  assistance to local units of government 
184.38  through competitive grant programs for 
184.39  ISTS program development. 
184.40  $200,000 in each year is for individual 
184.41  sewage treatment system grants.  Any 
184.42  unexpended balance in the first year 
184.43  does not cancel, but is available in 
184.44  the second year. 
184.45  $250,000 the first year and $500,000 
184.46  the second year are for studies to 
184.47  determine total maximum daily load 
184.48  allocations to improve water quality.  
184.49  $300,000 each the first year is from 
184.50  the general fund and $300,000 the 
184.51  second year from the environmental fund 
184.52  are for continuing research on 
184.53  malformed frogs.  This is a one-time 
184.54  appropriation.  
184.55  $126,000 is for administration of the 
184.56  wastewater infrastructure fund (WIF) 
184.57  construction program.  This is a 
184.58  one-time appropriation.  
184.59  $250,000 the first year, 
184.60  notwithstanding Minnesota Statutes, 
184.61  section 115C.08, subdivision 4, is from 
184.62  the petroleum tank release fund for the 
185.1   following purposes:  (1) to purchase 
185.2   and distribute emergency spill response 
185.3   equipment, such as spill containment 
185.4   booms, sorbent pads, and installation 
185.5   tools, along the Mississippi river 
185.6   upstream of drinking water intakes at 
185.7   the locations designated by the agency 
185.8   in consultation with the Mississippi 
185.9   River Defense Network; (2) to purchase 
185.10  mobile trailers to contain the 
185.11  equipment in clause (1) so that rapid 
185.12  deployment can occur; and (3) to 
185.13  conduct spill response training for 
185.14  those groups of responders receiving 
185.15  the spill response equipment described 
185.16  in clause (1).  The agency shall 
185.17  develop and administer protocol for the 
185.18  use of the equipment among all 
185.19  potential users, including private 
185.20  contract firms, public response 
185.21  agencies, and units of government.  Any 
185.22  money remaining after the first year is 
185.23  available for the second year.  This is 
185.24  a one-time appropriation. 
185.25  $100,000 for the biennium is for a 
185.26  grant to the city of Garrison for the 
185.27  Garrison, Kathio, West Mille Lacs Lake 
185.28  Sanitary District for the cost of 
185.29  environmental studies, planning, and 
185.30  legal assistance for sewage treatment 
185.31  purposes.  This is a one-time 
185.32  appropriation. 
185.33  Until July 1, 2001, the agency shall 
185.34  not approve additional fees on animal 
185.35  feedlot operations. 
185.36     Sec. 15.  Laws 1999, chapter 231, section 6, as amended by 
185.37  Laws 1999, chapter 249, section 10, is amended to read: 
185.38  Sec. 6.  BOARD OF WATER AND 
185.39  SOIL RESOURCES                        18,896,000     18,228,000
185.40  $5,480,000 the first year and 
185.41  $5,480,000 the second year are for 
185.42  natural resources block grants to local 
185.43  governments.  Of this amount, $50,000 
185.44  each year is for a grant to the North 
185.45  Shore Management Board, $35,000 each 
185.46  year is for a grant to the St. Louis 
185.47  River Board, $100,000 each year is for 
185.48  a grant to the Minnesota River Basin 
185.49  Joint Powers Board, and $27,000 each 
185.50  year is for a grant to the Southeast 
185.51  Minnesota Resources Board. 
185.52  The board shall reduce the amount of 
185.53  the natural resource block grant to a 
185.54  county by an amount equal to any 
185.55  reduction in the county's general 
185.56  services allocation to a soil and water 
185.57  conservation district from the county's 
185.58  1998 allocation. 
185.59  Grants must be matched with a 
185.60  combination of local cash or in-kind 
185.61  contributions.  The base grant portion 
185.62  related to water planning must be 
185.63  matched by an amount that would be 
186.1   raised by a levy under Minnesota 
186.2   Statutes, section 103B.3369.  
186.3   $3,867,000 the first year and 
186.4   $3,867,000 the second year are for 
186.5   grants to soil and water conservation 
186.6   districts for general purposes, 
186.7   nonpoint engineering, and for 
186.8   implementation of the RIM conservation 
186.9   reserve program.  Upon approval of the 
186.10  board, expenditures may be made from 
186.11  these appropriations for supplies and 
186.12  services benefiting soil and water 
186.13  conservation districts. 
186.14  $4,120,000 the first year and 
186.15  $4,120,000 the second year are for 
186.16  grants to soil and water conservation 
186.17  districts for cost-sharing contracts 
186.18  for erosion control and water quality 
186.19  management.  Of this amount, $32,000 
186.20  the first year is and $90,000 the 
186.21  second year are for a grant to the Blue 
186.22  Earth county soil and water 
186.23  conservation districts for stream bank 
186.24  stabilization on the LeSueur river 
186.25  within the city limits of St. Clair; 
186.26  and at least $1,500,000 the first year 
186.27  and $1,500,000 the second year are for 
186.28  grants for cost-sharing contracts for 
186.29  water quality management on feedlots.  
186.30  Priority must be given to feedlot 
186.31  operators who have received notices of 
186.32  violation and for feedlots in counties 
186.33  that are conducting or have completed a 
186.34  level 2 or level 3 feedlot inventory.  
186.35  This appropriation is available until 
186.36  expended.  If the appropriation in 
186.37  either year is insufficient, the 
186.38  appropriation in the other year is 
186.39  available for it. 
186.40  $100,000 the first year and $100,000 
186.41  the second year are for a grant to the 
186.42  Red river basin board to develop a Red 
186.43  river basin water management plan and 
186.44  to coordinate water management 
186.45  activities in the states and provinces 
186.46  bordering the Red river.  This 
186.47  appropriation is only available to the 
186.48  extent it is matched by a proportionate 
186.49  amount in United States currency from 
186.50  the states of North Dakota and South 
186.51  Dakota and the province of Manitoba.  
186.52  The unencumbered balance in the first 
186.53  year does not cancel but is available 
186.54  for the second year.  This is a 
186.55  one-time appropriation. 
186.56  $189,000 the first year and $189,000 
186.57  the second year are for grants to 
186.58  watershed districts and other local 
186.59  units of government in the southern 
186.60  Minnesota river basin study area 2 for 
186.61  floodplain management.  If the 
186.62  appropriation in either year is 
186.63  insufficient, the appropriation in the 
186.64  other year is available for it. 
186.65  $1,203,000 the first year and $450,000 
186.66  the second year are for the 
187.1   administrative costs of easement and 
187.2   grant programs. 
187.3   Any unencumbered balance in the board's 
187.4   program of grants does not cancel at 
187.5   the end of the first year and is 
187.6   available for the second year for the 
187.7   same grant program.  If the 
187.8   appropriation in either year is 
187.9   insufficient, the appropriation for the 
187.10  other year is available for it. 
187.11     Sec. 16.  [AGRICULTURAL STORAGE TANK REMOVAL; 
187.12  REIMBURSEMENT.] 
187.13     Subdivision 1.  [DEFINITION.] As used in this section, 
187.14  "agricultural storage tank" means an underground petroleum 
187.15  storage tank with a capacity of more than 1,100 gallons that has 
187.16  been registered with the pollution control agency by January 1, 
187.17  2000, and is located on a farm where the contents of the tank 
187.18  are used by the tank owner or operator predominantly for farming 
187.19  purposes and are not commercially distributed. 
187.20     Subd. 2.  [REIMBURSEMENT.] Notwithstanding Minnesota 
187.21  Statutes, section 115C.09, subdivision 1, paragraph (b), clause 
187.22  (1), and pursuant to the remaining provisions of Minnesota 
187.23  Statutes, chapter 115C, the petroleum tank release compensation 
187.24  board shall reimburse an owner or operator of an agricultural 
187.25  storage tank for 90 percent of the total reimbursable cost of 
187.26  removal project costs incurred for the tank prior to January 1, 
187.27  2001, including, but not limited to, tank removal, closure in 
187.28  place, backfill, resurfacing, and utility restoration costs, 
187.29  regardless of whether a release has occurred at the site.  
187.30  Notwithstanding Minnesota Statutes, section 115C.09, subdivision 
187.31  3, the board may not reimburse an eligible applicant under this 
187.32  section for more than $7,500 of costs per tank. 
187.33     Sec. 17.  [SMALL GASOLINE STORAGE TANK REMOVAL; 
187.34  REIMBURSEMENT.] 
187.35     Notwithstanding Minnesota Statutes, section 115C.09, 
187.36  subdivision 3f, paragraph (a), a tank owner who (1) owned two 
187.37  locations in the state, and no locations in any other state, 
187.38  where motor fuel was dispensed to the public into motor 
187.39  vehicles, watercraft, or aircraft, and who dispensed motor fuel 
187.40  at that location, (2) operated the tanks simultaneously for six 
188.1   months or less in 1995, and (3) dispensed less than 200,000 
188.2   gallons at both locations is a small gasoline retailer for 
188.3   purposes of Minnesota Statutes, section 115C.09, subdivision 3f, 
188.4   paragraph (c), and is eligible for reimbursement. 
188.5      Sec. 18.  [SNOWMOBILE TRAILS AND ENFORCEMENT ACCOUNT; 
188.6   AUTHORIZATION.] 
188.7      The commissioner of natural resources may use up to 50 
188.8   percent of a snowmobile maintenance and grooming grant under 
188.9   Minnesota Statutes, section 84.83, that was available as of 
188.10  December 31, 1999, to reimburse the intended recipient for the 
188.11  actual cost of snowmobile trail grooming equipment to be used 
188.12  for grant-in-aid trails.  The costs must be incurred in fiscal 
188.13  year 2000 and recipients seeking reimbursement under this 
188.14  section must provide acceptable documentation of the costs to 
188.15  the commissioner.  All applications for reimbursement under this 
188.16  section must be received no later than September 1, 2000. 
188.17     Sec. 19.  [PURPOSE.] 
188.18     The legislature finds that the frequency of disaster 
188.19  declarations covering agricultural areas of the state has 
188.20  increased.  In successive years, crop disease has resulted in 
188.21  economic hardship and abnormal precipitation has prevented 
188.22  planting or harvesting.  Because of these crop production 
188.23  problems, the legislature finds that there is a need to 
188.24  establish an agricultural land set-aside program to provide 
188.25  short term economic assistance to landowners. 
188.26     Sec. 20.  [DEFINITIONS.] 
188.27     Subdivision 1.  [APPLICABILITY.] For the purposes of 
188.28  sections 20 to 23, the terms in this section have the meanings 
188.29  given. 
188.30     Subd. 2.  [AGRICULTURAL LAND.] "Agricultural land" means 
188.31  land that is: 
188.32     (1) composed of class I, II, or III land as identified in 
188.33  the land capability classification system of the United States 
188.34  Department of Agriculture; or 
188.35     (2) similar to land described under a land classification 
188.36  system selected by the board of water and soil resources. 
189.1      Subd. 3.  [BOARD.] "Board" means the board of water and 
189.2   soil resources. 
189.3      Subd. 4.  [SHORT ROTATION WOODY CROPS.] "Short rotation 
189.4   woody crops" means hybrid poplar and other woody plants that are 
189.5   harvested for their fiber within 15 years of planting. 
189.6      Subd. 5.  [WINDBREAK.] "Windbreak" means a strip or belt of 
189.7   trees, shrubs, or grass barriers designed and located to reduce 
189.8   snow deposition on highways, improve wildlife habitat or control 
189.9   soil erosion. 
189.10     Sec. 21.  [ELIGIBILITY TERMS.] 
189.11     (a) Agricultural land eligible for the board's program 
189.12  under section 22 must not exceed 160 acres for individual 
189.13  landowners. 
189.14     (b) Agricultural land eligible for payment in a fiscal year 
189.15  prior to 2002 must have been in a county under presidential 
189.16  disaster declaration in either 1998 or 1999.  In fiscal years 
189.17  2000 and thereafter, payment is available for eligible 
189.18  agricultural land in any county under a presidential disaster 
189.19  declaration related to agriculture.  
189.20     (c) Eligible land may be set aside for payment under 
189.21  section 22 for a period of three years. 
189.22     (d) At least five percent of an individual's acreage set 
189.23  aside for payments under this program must be planted with short 
189.24  rotation woody crops or windbreaks.  Short rotation woody crops 
189.25  and windbreaks may not be planted within one-quarter of a mile 
189.26  of a state or federally protected prairie.  Plantings on each 
189.27  acre may be consistent with an organic farming plan developed 
189.28  under the supervision of an approved organic certification 
189.29  organization and must be in compliance with a conservation plan 
189.30  approved by the local soil and water conservation district and 
189.31  seeded to a vegetative cover at the earliest practicable time. 
189.32     (e) Land enrolled in the federal conservation reserve 
189.33  program under Public Law Number 99-198, as amended, is not 
189.34  eligible for enrollment under sections 19 to 23. 
189.35     Sec. 22.  [PAYMENTS.] 
189.36     To the extent appropriated money is available for this 
190.1   purpose, annual payments for eligible land under section 21 that 
190.2   is set aside by the board must be based on the soil rental rates 
190.3   established under the federal conservation reserve program 
190.4   contained in Public Law Number 99-198.  An additional annual 
190.5   payment of $5 per acre may be paid for acreage maintenance. 
190.6      Payments for conservation plan implementation must be 
190.7   consistent with Minnesota Statutes, section 103C.501. 
190.8      Sec. 23.  [ADMINISTRATION.] 
190.9      The land payment program in sections 21 and 22 must be 
190.10  administered by soil and water conservation districts under 
190.11  guidelines and grants by the board. 
190.12     Sec. 24.  [WESTERN LAKE SUPERIOR SANITARY DISTRICT; 
190.13  LANDFILL CLEANUP PROGRAM QUALIFICATION.] 
190.14     Notwithstanding any provision to the contrary in Minnesota 
190.15  Statutes, sections 115B.39 to 115B.445, the facilities of a 
190.16  sanitary district operating pursuant to Minnesota Statutes, 
190.17  chapter 458D, and adjacent property used for solid waste 
190.18  disposal that did not occur under a permit from the agency, is a 
190.19  qualified facility for purposes of Minnesota Statutes, section 
190.20  115B.39, subdivision 2, paragraph (l), clause (2), if the 
190.21  following conditions are met: 
190.22     (1) the sanitary district's facility is or was permitted by 
190.23  the pollution control agency; 
190.24     (2) the sanitary district stopped accepting mixed municipal 
190.25  solid waste by January 1, 2000; and 
190.26     (3) the sanitary district stops accepting demolition debris 
190.27  and industrial waste at the facility by January 1, 2002. 
190.28     Sec. 25.  [GAME, FISH, AND FOREST DEPARTMENT STUDY.] 
190.29     The director of the office of strategic and long-range 
190.30  planning shall study and report to the legislature by January 5, 
190.31  2001, on removing the division of fish and wildlife, the 
190.32  division of forestry, and the division of enforcement from the 
190.33  department of natural resources and establishing them as a 
190.34  freestanding state agency.  The study must include at least the 
190.35  following topics: 
190.36     (1) a plan for transferring and allocating employees 
191.1   between the department of natural resources and the new agency; 
191.2      (2) a plan for transferring and allocating rulemaking 
191.3   authority; 
191.4      (3) a plan for transferring and allocating authority to 
191.5   administer and enforce various laws and contracts, including 
191.6   laws establishing fees and providing revenue; 
191.7      (4) a plan for transferring the section of ecological 
191.8   services out of the division of fish and wildlife; 
191.9      (5) a plan for allocating office space, records, and other 
191.10  property; 
191.11     (6) interaction between the new agency and divisions of the 
191.12  department of natural resources, or inclusion of department of 
191.13  natural resources divisions within the new agency, including the 
191.14  division of enforcement, the bureau of land management, and 
191.15  parts of the department of natural resources that provide 
191.16  administrative services; 
191.17     (7) analysis of the relationship between natural resources 
191.18  under the jurisdictions of the fish and wildlife, forestry, and 
191.19  enforcement divisions and natural resources under jurisdiction 
191.20  of other divisions of the department of natural resources, and 
191.21  how establishment of a separate department might affect 
191.22  administration of these resources; and 
191.23     (8) analysis of how establishment of a separate department 
191.24  might affect the ability of citizens to receive services 
191.25  provided by the fish and wildlife division, forestry division, 
191.26  and enforcement division. 
191.27     Sec. 26.  [EFFECTIVE DATE.] 
191.28     Sections 2; 3, subdivision 2; 4, subdivisions 1 and 3; 11; 
191.29  18 to 23; and 25, are effective on the day following final 
191.30  enactment. 
191.31                             PART D 
191.32                   CRIMINAL JUSTICE PROVISIONS 
191.33                             ARTICLE 10
191.34                           APPROPRIATIONS 
191.35  Section 1.  [CRIMINAL JUSTICE APPROPRIATIONS.] 
191.36     The sums shown in the columns marked "APPROPRIATIONS" are 
192.1   appropriated from the general fund, or another fund named, to 
192.2   the agencies and for the purposes specified in this article, to 
192.3   be available for the fiscal years indicated for each purpose.  
192.4   The figures "2000" and "2001" where used in this article, mean 
192.5   that the appropriation or appropriations listed under them are 
192.6   available for the year ending June 30, 2000, or June 30, 2001, 
192.7   respectively. 
192.8                                              APPROPRIATIONS 
192.9                                          Available for the Year 
192.10                                             Ending June 30 
192.11                                            2000         2001 
192.12  Sec. 2.  DISTRICT COURTS                                 79,000 
192.13  $79,000 is for the fiscal year ending 
192.14  June 30, 2000, to be used to reimburse 
192.15  Carlton county for extraordinary 
192.16  expenses related to homicide trials.  
192.17  This is a one-time appropriation added 
192.18  to the district courts appropriation 
192.19  for fiscal year 2001 in Laws 1999, 
192.20  chapter 216, article 1, section 4. 
192.21  Sec. 3.  PUBLIC SAFETY
192.22  Subdivision 1.  Total 
192.23  Appropriation                          3,813,000        456,000
192.24  Subd. 2.  Emergency Management
192.25  $3,813,000 is for fiscal year 2000 for 
192.26  the state match of federal disaster 
192.27  assistance funds under Minnesota 
192.28  Statutes, section 12.221.  This 
192.29  appropriation is available to fund 
192.30  state obligations incurred through the 
192.31  receipt of federal disaster assistance 
192.32  grants.  This appropriation is added to 
192.33  Laws 1999, article 1, chapter 216, 
192.34  section 7, subdivision 2. 
192.35  Subd. 3.  Law Enforcement and Community Grants
192.36  $250,000 is for a one-time grant to the 
192.37  Ramsey county attorney's office to 
192.38  establish and fund the domestic assault 
192.39  and child abuse prosecution unit. 
192.40  The commissioner of public safety shall 
192.41  consider using funds appropriated for 
192.42  grants under Minnesota Statutes, 
192.43  section 299A.62, for grants to local 
192.44  law enforcement agencies or regional 
192.45  jails for the purchase of dogs trained 
192.46  to detect or locate controlled 
192.47  substances by scent.  Grants are 
192.48  limited to one dog per agency.  Local 
192.49  law enforcement agencies that 
192.50  previously received a grant under Laws 
192.51  1999, chapter 216, article 1, section 
192.52  7, subdivision 6, are ineligible for a 
192.53  grant under this section.  All dogs 
192.54  shall be certified by the United States 
192.55  Police Canine Association or another 
193.1   equally recognized certifying 
193.2   organization. 
193.3   Subd. 4.  Center for Crime 
193.4   Victims Services                                        206,000 
193.5   $206,000 is for per diem payments for 
193.6   battered women shelter facilities 
193.7   incurred during the administrative 
193.8   transfer of responsibility for these 
193.9   payments from the department of human 
193.10  services to the department of public 
193.11  safety.  This is a one-time 
193.12  appropriation for fiscal year 2001. 
193.13  Sec. 4.  CORRECTIONS 
193.14  The fiscal year 2001 general fund 
193.15  appropriation for juvenile residential 
193.16  treatment grants in Laws 1999, chapter 
193.17  216, article 1, section 13, subdivision 
193.18  4, is reduced by $5,000,000.  The 
193.19  commissioner of finance shall reflect 
193.20  this reduction in the base budget of 
193.21  the department of corrections for the 
193.22  next biennium. 
193.23  Sec. 5.  AUTO THEFT 
193.24  PREVENTION BOARD 
193.25  By June 30, 2001, the commissioner of 
193.26  finance shall transfer $3,500,000 from 
193.27  the auto theft prevention account in 
193.28  the special revenue fund to the general 
193.29  fund.  Minnesota Statutes, section 
193.30  168A.40, subdivision 4, does not apply 
193.31  to money transferred to the general 
193.32  fund under this section.  This is a 
193.33  one-time transfer. 
193.34  Sec. 6.  MINNESOTA SAFETY 
193.35  COUNCIL                                                  26,000 
193.36  This appropriation is to fund grants 
193.37  under Minnesota Statutes, section 
193.38  169.2151. 
193.39  Sec. 7.  UNIVERSITY OF MINNESOTA                         20,000 
193.40  To the board of regents, to cover the 
193.41  cost of updating the parent education 
193.42  curriculum.  This is a one-time 
193.43  appropriation for fiscal year 2001. 
193.44  Sec. 8.  SUPREME COURT                                    4,000 
193.45  For fiscal year 2001, to conduct a 
193.46  one-half day judicial seminar on 
193.47  parenting plans.  This is a one-time 
193.48  appropriation. 
193.49     Sec. 9.  Laws 1999, chapter 216, article 1, section 2, 
193.50  subdivision 3, is amended to read: 
193.51  Subd. 3.  Civil Legal Services
193.52       6,484,000      6,484,000 6,250,000
193.53  This appropriation is for legal 
193.54  services to low-income clients and for 
194.1   family farm legal assistance under 
194.2   Minnesota Statutes, section 480.242.  
194.3   Any unencumbered balance remaining in 
194.4   the first year does not cancel but is 
194.5   available for the second year of the 
194.6   biennium.  A qualified legal services 
194.7   program, as defined in Minnesota 
194.8   Statutes, section 480.24, subdivision 
194.9   3, may provide legal services to 
194.10  persons eligible for family farm legal 
194.11  assistance under Minnesota Statutes, 
194.12  section 480.242.  
194.13  Of this appropriation, $877,000 the 
194.14  first year and $877,000 the second year 
194.15  are to improve the access of low-income 
194.16  clients to legal representation in 
194.17  family law matters.  This appropriation 
194.18  must be distributed under Minnesota 
194.19  Statutes, section 480.242, to the 
194.20  qualified legal services programs 
194.21  described in Minnesota Statutes, 
194.22  section 480.242, subdivision 2, 
194.23  paragraph (a).  Any unencumbered 
194.24  balance remaining in the first year 
194.25  does not cancel and is available for 
194.26  the second year of the biennium.  This 
194.27  is a one-time reduction that applies to 
194.28  fiscal year 2001 only. 
194.29     Sec. 10.  Laws 1999, chapter 216, article 1, section 14, is 
194.30  amended to read: 
194.31  Sec. 14.  CORRECTIONS OMBUDSMAN          470,000 400,000 75,000
194.32  If the reduction in the base level 
194.33  funding causes a reduction in the 
194.34  number of employees, then the 
194.35  commissioner of corrections and 
194.36  commissioner of public safety shall 
194.37  make reasonable efforts to transfer the 
194.38  affected employees to positions within 
194.39  the department of corrections or 
194.40  department of public safety.  
194.41  $75,000 the second year is for 
194.42  severance costs resulting from 
194.43  elimination of the office of 
194.44  corrections ombudsman. 
194.45  To the extent practicable and to the 
194.46  extent consistent with any collective 
194.47  bargaining agreements that apply, the 
194.48  commissioner of employee relations must 
194.49  find other comparable state employment 
194.50  for employees displaced by elimination 
194.51  of the office of ombudsman for the 
194.52  Minnesota state department of 
194.53  corrections. 
194.54     Sec. 11.  Laws 1999, chapter 216, article 1, section 9, is 
194.55  amended to read: 
194.56  Sec. 9.  CRIME VICTIM 
194.57  OMBUDSMAN                                404,000 389,000 364,000 
194.58  $20,000 the first year is for the crime 
194.59  victims case management system. 
195.1   Sec. 12.  SUNSET OF 
195.2   UNCODIFIED LANGUAGE                                            
195.3   All uncodified language contained in 
195.4   this article expires on June 30, 2001, 
195.5   unless a different expiration date is 
195.6   explicit. 
195.7                              ARTICLE 11
195.8                                COURTS
195.9      Section 1.  Minnesota Statutes 1998, section 169.89, 
195.10  subdivision 2, is amended to read: 
195.11     Subd. 2.  [PETTY MISDEMEANOR PENALTY; NO JURY TRIAL.] A 
195.12  person charged with a petty misdemeanor is not entitled to a 
195.13  jury trial but shall be tried by a judge without a jury.  If 
195.14  convicted, the person is not subject to imprisonment but shall 
195.15  be punished by a fine of not more than $200 $300. 
195.16     Sec. 2.  Minnesota Statutes 1998, section 609.02, 
195.17  subdivision 3, is amended to read: 
195.18     Subd. 3.  [MISDEMEANOR.] "Misdemeanor" means a crime for 
195.19  which a sentence of not more than 90 days or a fine of not more 
195.20  than $700 $800, or both, may be imposed. 
195.21     Sec. 3.  Minnesota Statutes 1998, section 609.02, 
195.22  subdivision 4a, is amended to read: 
195.23     Subd. 4a.  [PETTY MISDEMEANOR.] "Petty misdemeanor" means a 
195.24  petty offense which is prohibited by statute, which does not 
195.25  constitute a crime and for which a sentence of a fine of not 
195.26  more than $200 $300 may be imposed. 
195.27     Sec. 4.  Minnesota Statutes 1998, section 609.03, is 
195.28  amended to read: 
195.29     609.03 [PUNISHMENT WHEN NOT OTHERWISE FIXED.] 
195.30     If a person is convicted of a crime for which no punishment 
195.31  is otherwise provided the person may be sentenced as follows: 
195.32     (1) If the crime is a felony, to imprisonment for not more 
195.33  than five years or to payment of a fine of not more than 
195.34  $10,000, or both; or 
195.35     (2) If the crime is a gross misdemeanor, to imprisonment 
195.36  for not more than one year or to payment of a fine of not more 
195.37  than $3,000, or both; or 
195.38     (3) If the crime is a misdemeanor, to imprisonment for not 
196.1   more than 90 days or to payment of a fine of not more than 
196.2   $700 $800, or both; or 
196.3      (4) If the crime is other than a misdemeanor and a fine is 
196.4   imposed but the amount is not specified, to payment of a fine of 
196.5   not more than $1,000, or to imprisonment for a specified term of 
196.6   not more than six months if the fine is not paid. 
196.7      Sec. 5.  Minnesota Statutes 1998, section 609.033, is 
196.8   amended to read: 
196.9      609.033 [INCREASED MAXIMUM PENALTIES FOR MISDEMEANORS.] 
196.10     Any law of this state which provides for a maximum fine of 
196.11  $500 $700 as a penalty for a violation misdemeanor shall, on or 
196.12  after August 1, 1983 2000, be deemed to provide for a maximum 
196.13  fine of $700 $800.  
196.14     Sec. 6.  Minnesota Statutes 1998, section 609.0331, is 
196.15  amended to read: 
196.16     609.0331 [INCREASED MAXIMUM PENALTIES FOR PETTY 
196.17  MISDEMEANORS.] 
196.18     A law of this state that provides, on or after August 1, 
196.19  1987 2000, for a maximum penalty of $100 $200 for a petty 
196.20  misdemeanor is considered to provide for a maximum fine 
196.21  of $200 $300.  
196.22     Sec. 7.  Minnesota Statutes 1998, section 609.0332, 
196.23  subdivision 1, is amended to read: 
196.24     Subdivision 1.  [INCREASED FINE.] From August 1, 1987 2000, 
196.25  if a state law or municipal charter sets a limit of $100 $200 or 
196.26  less on the fines that a statutory or home rule charter city, 
196.27  town, county, or other political subdivision may prescribe for 
196.28  an ordinance violation that is defined as a petty misdemeanor, 
196.29  that law or charter is considered to provide that the political 
196.30  subdivision has the power to prescribe a maximum fine of $200 
196.31  $300 for the petty misdemeanor violation. 
196.32     Sec. 8.  Minnesota Statutes 1998, section 609.034, is 
196.33  amended to read: 
196.34     609.034 [INCREASED MAXIMUM PENALTY FOR ORDINANCE 
196.35  VIOLATIONS.] 
196.36     Any law of this state or municipal charter which limits the 
197.1   power of any statutory or home rule charter city, town, county, 
197.2   or other political subdivision to prescribe a maximum fine of 
197.3   $500 $700 or less for an ordinance shall on or after August 1, 
197.4   1983 2000, be deemed to provide that the statutory or home rule 
197.5   charter city, town, county, or other political subdivision has 
197.6   the power to prescribe a maximum fine of $700 $800. 
197.7      Sec. 9.  Minnesota Statutes 1998, section 609.2231, 
197.8   subdivision 1, is amended to read: 
197.9      Subdivision 1.  [PEACE OFFICERS.] Whoever assaults a peace 
197.10  officer licensed under section 626.845, subdivision 1, when that 
197.11  officer is effecting a lawful arrest or executing any other duty 
197.12  imposed by law and inflicts demonstrable bodily harm is guilty 
197.13  of a felony gross misdemeanor and may be sentenced to 
197.14  imprisonment for not more than one year or to payment of a fine 
197.15  of not more than $3,000, or both.  If the assault inflicts 
197.16  demonstrable bodily harm, the person is guilty of a felony and 
197.17  may be sentenced to imprisonment for not more than two three 
197.18  years or to payment of a fine of not more than $4,000 $6,000, or 
197.19  both. 
197.20     Sec. 10.  [STUDY OF COURT-IMPOSED FINES, FEES, AND 
197.21  SURCHARGES.] 
197.22     Subdivision 1.  [WORK GROUP; MEMBERSHIP.] The state court 
197.23  administrator is requested to establish a work group to study 
197.24  and make recommendations to improve the current system of fines, 
197.25  fees, and surcharges imposed by the courts.  The work group 
197.26  shall represent entities that impose, collect, or receive 
197.27  proceeds from court fines, fees, and surcharges and shall 
197.28  include at least one representative from the following: 
197.29     (1) district courts; 
197.30     (2) victims programs; 
197.31     (3) city and county prosecuting authorities; 
197.32     (4) district court administrators; 
197.33     (5) drug abuse prevention programs; 
197.34     (6) peace officers; 
197.35     (7) department of natural resources; 
197.36     (8) school districts; 
198.1      (9) prostitution outreach programs; 
198.2      (10) state troopers; 
198.3      (11) emergency medical services; 
198.4      (12) department of transportation; 
198.5      (13) sentencing guidelines commission; 
198.6      (14) legislature; 
198.7      (15) public defenders; 
198.8      (16) legal aid providers; and 
198.9      (17) corrections. 
198.10     The state court administrator may appoint other members as 
198.11  necessary and shall ensure that the work group represents both 
198.12  rural and metropolitan areas. 
198.13     Subd. 2.  [DUTIES OF WORK GROUP.] The work group shall 
198.14  study and make recommendations for improvement in the following 
198.15  areas: 
198.16     (1) the purpose and need for a separate systems of fines, 
198.17  fees, and surcharges, considering specifically the current 
198.18  purposes of generating revenue, punishing wrongdoing, and 
198.19  funding special programs.  The work group shall give special 
198.20  consideration to how the imposition of fines, fees, and 
198.21  surcharges for these purposes impacts victim restitution and 
198.22  reparations; 
198.23     (2) methods to track the imposition, and nonimposition, and 
198.24  collection of fines and fees including (a) a centralized 
198.25  tracking system, (b) modifying the sentencing guidelines 
198.26  worksheet to include all crimes and fines, and (c) sources for 
198.27  collection services including the use of existing services such 
198.28  as county child support collections and Minnesota collection 
198.29  enterprises; 
198.30     (3) the impact of fragmented revenue distribution on 
198.31  tracking, imposition, and collection, including the effect a 
198.32  simplified or flat fee may have on revenue and tracking and any 
198.33  policy implications of simplifying the system; 
198.34     (4) the impact of the state takeover of court costs and any 
198.35  opportunity to simplify the system of fines, fees, and 
198.36  surcharges or provide for a centralized revenue collection 
199.1   system; 
199.2      (5) the rationale for continuing to charge a fee for 
199.3   presentence domestic abuse investigations under Minnesota 
199.4   Statutes, section 609.2244, when fees for presentence 
199.5   investigations are not imposed for other crimes; and 
199.6      (6) other issues the work group considers necessary. 
199.7      Subd. 3.  [REPORT REQUIRED.] By January 15, 2001, the state 
199.8   court administrator is requested to submit an interim progress 
199.9   report to the chairs and ranking minority members of the house 
199.10  of representatives and senate committees and divisions with 
199.11  jurisdiction over judiciary finance, civil law policy, and 
199.12  criminal law policy and a final report by December 1, 2001.  The 
199.13  final report shall be based on the study of the work group and 
199.14  shall contain detailed findings and recommendations, including 
199.15  proposed legislative changes for improving the current system of 
199.16  fines, fees, and surcharges. 
199.17     Sec. 11.  [REPORT ON RESTITUTION SENTENCING.] 
199.18     The legislature is interested in assessing the 
199.19  effectiveness of using stayed sentences containing increased 
199.20  penalties as an incentive and means to enforce the payment of 
199.21  full restitution by property crime offenders.  This alternative 
199.22  sentencing process would encourage use of a character 
199.23  development program as part of the stayed sentence and would 
199.24  permit the court to revoke or adjust the stayed sentence where 
199.25  necessary. 
199.26     To enable the legislature to assess the effectiveness of 
199.27  such an alternative sentencing process, the conference of chief 
199.28  judges is requested to gather and report information on the 
199.29  experience of district judges who use these procedures and 
199.30  report the information to the house and senate committees having 
199.31  jurisdiction over criminal justice policy and funding.  
199.32  Information on restitution enforcement, victim restoration, 
199.33  offender rehabilitation, and possible prison bed impacts is 
199.34  requested as useful information becomes available and a final 
199.35  report is requested by January 1, 2002. 
199.36     Sec. 12.  [EFFECTIVE DATE.] 
200.1      Sections 1 to 9 are effective August 1, 2000, and apply to 
200.2   offenses committed on or after that date.  Sections 10 and 11 
200.3   are effective July 1, 2000. 
200.4                              ARTICLE 12 
200.5                            PUBLIC SAFETY 
200.6      Section 1.  Minnesota Statutes 1998, section 169.01, 
200.7   subdivision 37, is amended to read: 
200.8      Subd. 37.  [CROSSWALK.] "Crosswalk" means (1) that portion 
200.9   of a roadway ordinarily included with the prolongation or 
200.10  connection of the lateral lines of sidewalks at intersections, 
200.11  or in the case of an intersection with no sidewalk and no marked 
200.12  crosswalk, the width of the roadway from the intersection area 
200.13  to a line ten feet therefrom; or (2) any portion of a roadway 
200.14  distinctly indicated for pedestrian crossing by lines or other 
200.15  markings on the surface. 
200.16     Sec. 2.  Minnesota Statutes 1998, section 169.21, 
200.17  subdivision 2, is amended to read: 
200.18     Subd. 2.  [RIGHTS IN ABSENCE OF SIGNAL.] (a) Where 
200.19  traffic-control signals are not in place or in operation, the 
200.20  driver of a vehicle shall stop to yield the right-of-way to a 
200.21  pedestrian crossing the roadway within a marked crosswalk or 
200.22  within any crosswalk at an intersection but.  The driver must 
200.23  remain stopped until the pedestrian has passed the lane in which 
200.24  the vehicle is stopped.  No pedestrian shall suddenly leave a 
200.25  curb or other place of safety and walk or run into the path of a 
200.26  vehicle which is so close that it is impossible for the driver 
200.27  to yield.  This provision shall not apply under the conditions 
200.28  as otherwise provided in this subdivision. 
200.29     (b) When any vehicle is stopped at a marked crosswalk or at 
200.30  any unmarked crosswalk at an intersection to permit a pedestrian 
200.31  to cross the roadway, the driver of any other vehicle 
200.32  approaching from the rear shall not overtake and pass the 
200.33  stopped vehicle. 
200.34     (c) It is unlawful for any person to drive a motor vehicle 
200.35  through a column of school children crossing a street or highway 
200.36  or past a member of a school safety patrol or adult crossing 
201.1   guard, while the member of the school safety patrol or adult 
201.2   crossing guard is directing the movement of children across a 
201.3   street or highway and while the school safety patrol member or 
201.4   adult crossing guard is holding an official signal in the stop 
201.5   position.  A peace officer may arrest the driver of a motor 
201.6   vehicle if the peace officer has probable cause to believe that 
201.7   the driver has operated the vehicle in violation of this 
201.8   paragraph within the past four hours.  
201.9      (d) A person who violates this subdivision is guilty of a 
201.10  misdemeanor and may be sentenced to imprisonment for not more 
201.11  than 90 days or to payment of a fine of not more than $700, or 
201.12  both.  A person who violates this subdivision a second or 
201.13  subsequent time within one year of a previous conviction under 
201.14  this subdivision is guilty of a gross misdemeanor and may be 
201.15  sentenced to imprisonment for not more than one year or to 
201.16  payment of a fine of not more than $3,000, or both. 
201.17     Sec. 3.  Minnesota Statutes 1998, section 169.21, 
201.18  subdivision 3, is amended to read: 
201.19     Subd. 3.  [CROSSING BETWEEN INTERSECTIONS.] Every 
201.20  pedestrian crossing a roadway at any point other than within a 
201.21  marked crosswalk or within an unmarked crosswalk at an 
201.22  intersection shall yield the right-of-way to all vehicles upon 
201.23  the roadway. 
201.24     Any pedestrian crossing a roadway at a point where a 
201.25  pedestrian tunnel or overhead pedestrian crossing has been 
201.26  provided shall yield the right-of-way to all vehicles upon the 
201.27  roadway. 
201.28     Between adjacent intersections at which traffic-control 
201.29  signals are in operation pedestrians shall not cross at any 
201.30  place except in a marked crosswalk. 
201.31     Notwithstanding the other provisions of this section every 
201.32  driver of a vehicle shall:  (a) exercise due care to avoid 
201.33  colliding with any bicycle or pedestrian upon any roadway and 
201.34  (b) give an audible signal when necessary and exercise proper 
201.35  precaution upon observing any child or any obviously confused or 
201.36  incapacitated person upon a roadway. 
202.1      Sec. 4.  [169.2151] [PEDESTRIAN SAFETY CROSSINGS.] 
202.2      A local road authority may by ordinance provide for the 
202.3   designation of pedestrian safety crossings on highways under the 
202.4   road authority's jurisdiction where pedestrian safety 
202.5   considerations require extra time for pedestrian crossing in 
202.6   addition to the time recommended under the Minnesota manual of 
202.7   uniform traffic control devices for pedestrian signals.  The 
202.8   ordinance may provide for timing of pedestrian signals for such 
202.9   crossings, consistent with the recommendations of the uniform 
202.10  manual for pedestrian signal timing at senior citizen and 
202.11  handicapped pedestrian crossings.  Cities other than cities of 
202.12  the first class may designate a crossing as a pedestrian safety 
202.13  crossing only with the approval of the road authority having 
202.14  jurisdiction over the crossing.  The authority of local road 
202.15  authorities to determine pedestrian signal timing under this 
202.16  section is in addition to any other control exercised by local 
202.17  road authorities over the timing of pedestrian signals. 
202.18     Sec. 5.  [CROSSWALK SAFETY AWARENESS GRANTS.] 
202.19     The Minnesota safety council shall continue its crosswalk 
202.20  safety awareness program by: 
202.21     (1) developing and distributing crosswalk safety education 
202.22  campaign materials; 
202.23     (2) creating and placing advertisements in mass media 
202.24  throughout the state; and 
202.25     (3) making grants to local units of government and law 
202.26  enforcement agencies for: 
202.27     (i) implementing pedestrian safety awareness activities; 
202.28     (ii) providing increased signage and crosswalk markings and 
202.29  evaluating their effect on highway safety; and 
202.30     (iii) enhancing enforcement of pedestrian safety laws. 
202.31     Sec. 6.  [JOINT DOMESTIC ABUSE PROSECUTION UNIT.] 
202.32     Subdivision 1.  [ESTABLISHMENT.] A pilot project is 
202.33  established to develop a joint domestic abuse prosecution unit 
202.34  administered by the Ramsey county attorney's office and the St. 
202.35  Paul city attorney's office.  The unit would have authority to 
202.36  prosecute misdemeanors, gross misdemeanors, and felonies.  The 
203.1   unit would also coordinate efforts with child protection 
203.2   attorneys.  The unit would include four cross-deputized 
203.3   assistant city attorneys and assistant county attorneys.  A 
203.4   victim/witness advocate, a law clerk, and a legal secretary 
203.5   would provide support. 
203.6      Subd. 2.  [GOALS.] The goals of this pilot project are to: 
203.7      (1) recognize children as both victims and witnesses in 
203.8   domestic abuse situations; 
203.9      (2) recognize and respect the interests of children in the 
203.10  prosecution of domestic abuse; and 
203.11     (3) reduce the exposure to domestic violence for both adult 
203.12  and child victims. 
203.13     Subd. 3.  [REPORT.] The Ramsey county attorney's office and 
203.14  the St. Paul city attorney's office must report to the 
203.15  legislature on the pilot project.  The report may include the 
203.16  number and types of cases referred, the number of cases charged, 
203.17  the outcome of cases, and other relevant outcome measures.  A 
203.18  progress report is due January 15, 2001, and a final report is 
203.19  due January 15, 2002. 
203.20     Subd. 4.  [SHARING OF PILOT PROJECT RESULTS.] The Ramsey 
203.21  county attorney's office and the St. Paul city attorney's office 
203.22  must share the results of the pilot project with the state and 
203.23  other counties and cities. 
203.24     Sec. 7. [AUTO THEFT PREVENTION BOARD ABOLISHED.] 
203.25     The automobile theft prevention program and board are 
203.26  abolished.  Any funds remaining in the automobile theft 
203.27  prevention account in the special revenue fund shall be 
203.28  transferred to the general fund. 
203.29     Sec.  8. [REVISOR INSTRUCTION.] 
203.30     In the next edition of Minnesota Statutes, the revisor 
203.31  shall eliminate all references to the automobile theft 
203.32  prevention program and board and correct all cross references to 
203.33  statutes repealed in section 9.  
203.34     Sec.  9. [REPEALER.] 
203.35     Minnesota Statutes 1998 section 168A.40, subdivisions 1 and 
203.36  3 and Minnesota Statutes 1999 Supplement, section 168A.40, 
204.1   subdivision 2 are repealed. 
204.2      Sec. 10.  [EFFECTIVE DATE.] 
204.3      Sections 1 to 4 are effective September 1, 2000.  Section 5 
204.4   is effective July 1, 2000.  Sections 7 to 9 are effective July 
204.5   1, 2001.  
204.6                              ARTICLE 13
204.7                             CORRECTIONS
204.8      Section 1.  Minnesota Statutes 1999 Supplement, section 
204.9   241.272, subdivision 6, is amended to read: 
204.10     Subd. 6.  [USE OF FEES.] Excluding correctional fees 
204.11  collected from offenders supervised by department agents under 
204.12  the authority of section 244.19, subdivision 1, paragraph (a), 
204.13  clause (3), all correctional fees collected under this section 
204.14  go to the general fund.  Fees collected by agents under the 
204.15  authority of section 244.19, subdivision 1, paragraph (a), 
204.16  clause (3), shall go to the county treasurer in the county where 
204.17  supervision is provided.  These fees shall be used according to 
204.18  section 244.18, subdivision 6. 
204.19     Sec. 2.  Minnesota Statutes 1999 Supplement, section 
204.20  242.192, is amended to read: 
204.21     242.192 [CHARGES TO COUNTIES.] 
204.22     (a) The commissioner shall charge counties or other 
204.23  appropriate jurisdictions for one-half the actual per diem cost 
204.24  of confinement, excluding educational costs and nonbillable 
204.25  service, of juveniles at the Minnesota correctional facility-Red 
204.26  Wing and of juvenile females committed to the commissioner of 
204.27  corrections.  This charge applies to juveniles committed to the 
204.28  commissioner of corrections and juveniles admitted to the 
204.29  Minnesota correctional facility-Red Wing under established 
204.30  admissions criteria.  This charge applies to both counties that 
204.31  participate in the Community Corrections Act and those that do 
204.32  not.  The commissioner shall annually determine costs, making 
204.33  necessary adjustments to reflect the actual costs of confinement 
204.34  the per diem cost of confinement based on projected population, 
204.35  pricing incentives, market conditions, and the requirement that 
204.36  expense and revenue balance out over a period of two years.  All 
205.1   money received under this section must be deposited in the state 
205.2   treasury and credited to the general fund. 
205.3      (b) The department of corrections shall be responsible for 
205.4   the other half of the per diem cost of confinement described in 
205.5   this section. 
205.6      Sec. 3.  [242.193] [JUVENILE RESIDENTIAL TREATMENT GRANTS.] 
205.7      Subdivision 1.  [GRANTS.] Within the limits of available 
205.8   appropriations, the commissioner of corrections shall make 
205.9   juvenile residential treatment grants to counties to defray the 
205.10  cost of juvenile residential treatment.  The commissioner shall 
205.11  distribute 80 percent of the money appropriated for these 
205.12  purposes to noncommunity corrections counties and 20 percent to 
205.13  community corrections act counties.  The commissioner shall 
205.14  distribute the money according to the formula contained in 
205.15  section 401.10. 
205.16     Subd. 2.  [REPORT.] By January 15 of each year, each county 
205.17  that received a grant shall submit a report to the commissioner 
205.18  describing the purposes for which the grants were used.  By 
205.19  March 15 of each year, the commissioner shall summarize this 
205.20  information and report it to the chairs and ranking minority 
205.21  members of the senate and house of representatives committees 
205.22  and divisions having jurisdiction over criminal justice funding. 
205.23     Sec. 4.  Minnesota Statutes 1998, section 242.41, is 
205.24  amended to read: 
205.25     242.41 [THE MINNESOTA CORRECTIONAL FACILITY-RED WING.] 
205.26     There is established the Minnesota correctional 
205.27  facility-Red Wing at Red Wing, Minnesota, in which may be placed 
205.28  persons committed to the commissioner of corrections by the 
205.29  courts of this state who, in the opinion of the commissioner, 
205.30  may benefit from the programs available thereat or admitted 
205.31  consistent with established admissions criteria.  When reviewing 
205.32  placement requests from counties, the commissioner shall take 
205.33  into consideration the purpose of the Minnesota correctional 
205.34  facility-Red Wing which is to educate and provide treatment for 
205.35  serious and chronic juvenile offenders for which the county has 
205.36  exhausted local resources.  The general control and management 
206.1   of the facility shall be under the commissioner of corrections.  
206.2      Sec. 5.  Minnesota Statutes 1998, section 242.43, is 
206.3   amended to read: 
206.4      242.43 [COMMISSIONER, DUTIES.] 
206.5      The commissioner of corrections shall receive, clothe, 
206.6   maintain, and instruct, at the expense of the state, all 
206.7   children duly committed to the corrections department and placed 
206.8   in a state correctional facility for juveniles and keep them in 
206.9   custody until placed on probation, paroled, or discharged.  The 
206.10  commissioner may place any of these children in suitable foster 
206.11  care facilities or cause them to be instructed in such trades or 
206.12  employment as in the commissioner's judgment will be most 
206.13  conducive to their reformation and tend to the future benefit 
206.14  and advantage of these children.  The commissioner may discharge 
206.15  any child so committed, or may recall to the facility at any 
206.16  time any child paroled, placed on probation, or transferred; 
206.17  and, upon recall, may resume the care and control thereof.  The 
206.18  discharge of a child by the commissioner shall be a complete 
206.19  release from all penalties and disabilities created by reason of 
206.20  the commitment. 
206.21     Upon the parole or discharge of any inmate of any state 
206.22  juvenile correctional facility, the commissioner of corrections 
206.23  may pay to each inmate released an amount of money not exceeding 
206.24  the sum of $10.  All payments shall be made from the current 
206.25  expense fund of the facility.  
206.26     Sec. 6.  Minnesota Statutes 1998, section 242.44, is 
206.27  amended to read: 
206.28     242.44 [PUPILS.] 
206.29     The commissioner of corrections, so far as the 
206.30  accommodations of the correctional facilities and other means at 
206.31  the commissioner's disposal will permit, shall may receive and 
206.32  keep until they reach 19 years of age, or until placed in homes, 
206.33  or discharged, all persons committed to the commissioner's care 
206.34  and custody by a juvenile court juvenile delinquents and 
206.35  juvenile offenders serving a juvenile disposition under section 
206.36  260B.130, subdivision 4.  The commissioner's housing of these 
207.1   individuals must be consistent with federal and state law, 
207.2   including established admissions criteria for Minnesota 
207.3   correctional facility-Red Wing.  The commissioner may place 
207.4   these youths at employment, may provide education suitable to 
207.5   their years and capacity, and may place them in suitable homes.  
207.6   Under rules prescribed by the commissioner, when deemed best for 
207.7   these youths, they persons committed to the commissioner's care 
207.8   and custody by a juvenile court may be paroled or discharged 
207.9   from the facility by the commissioner.  All pupils in the 
207.10  facility shall be clothed, instructed, and maintained at the 
207.11  expense of the state by the commissioner of corrections. 
207.12     Sec. 7.  [260B.199] [PLACEMENT OF JUVENILE OFFENDERS AT 
207.13  MCF-RED WING.] 
207.14     Subdivision 1.  [WHEN COURT MUST CONSIDER; PROHIBITION ON 
207.15  PLACEMENT AT OUT-OF-STATE FACILITY.] Before a court orders a 
207.16  disposition under section 260B.198 or 260B.130, subdivision 4, 
207.17  for a child, the court shall determine whether the child meets 
207.18  the established admissions criteria for the Minnesota 
207.19  correctional facility-Red Wing.  If the child meets the 
207.20  admissions criteria, the court shall place the child at the 
207.21  facility and may not place the child in an out-of-state 
207.22  facility, unless the court makes a finding on the record that 
207.23  the safety needs of the child and/or the safety needs of the 
207.24  community can be best met by a placement in an out-of-state 
207.25  facility.  
207.26     Subd. 2.  [REPORT REQUIRED.] (a) A court that places a 
207.27  child in an out-of-state facility shall report the following 
207.28  information to the sentencing guidelines commission: 
207.29     (1) the out-of-state facility the child was placed at and 
207.30  the reasons for this placement; 
207.31     (2) the in-state facilities at which placement was 
207.32  considered; 
207.33     (3) the reasons for not choosing an in-state facility; 
207.34     (4) the reasons why the child did not meet the established 
207.35  admissions criteria for the Minnesota correctional facility-Red 
207.36  Wing, if applicable; and 
208.1      (5) if the child met the admissions criteria, the reasons 
208.2   why the safety of the child or the safety needs of the community 
208.3   could not be met at the Minnesota correctional facility-Red Wing.
208.4      (b) By February 15 of each year, the commissioner shall 
208.5   forward a summary of the reports received from courts under this 
208.6   subdivision for the preceding year to the chairs and ranking 
208.7   minority members of the senate and house of representatives 
208.8   committees and divisions having jurisdiction over criminal 
208.9   justice policy and funding. 
208.10     Sec. 8.  [260B.1991] [MANDATORY COMMITMENT TO COMMISSIONER 
208.11  OF CORRECTIONS.] 
208.12     Subdivision 1.  [DEFINITIONS.] (a) As used in this section, 
208.13  the following terms have the meanings given them. 
208.14     (b) "Chemical dependency treatment" means a comprehensive 
208.15  set of planned and organized services, therapeutic experiences, 
208.16  and interventions that are intended to improve the prognosis, 
208.17  function, or outcome of residents by reducing the risk of the 
208.18  use of alcohol, drugs, or other mind-altering substances and 
208.19  assist the resident to adjust to, and deal more effectively 
208.20  with, life situations. 
208.21     (c) An offender has "failed or refused to successfully 
208.22  complete" treatment when based on factors within the offender's 
208.23  control, the offender is not able to substantially achieve the 
208.24  program's goals and the program's director determines that based 
208.25  on the offender's prior placement or treatment history, further 
208.26  participation in the program would not result in its successful 
208.27  completion. 
208.28     (d) "Probation" has the meaning given in section 609.02, 
208.29  subdivision 15. 
208.30     (e) "Sex offender treatment" means a comprehensive set of 
208.31  planned and organized services, therapeutic experiences, and 
208.32  interventions that are intended to improve the prognosis, 
208.33  function, or outcome of residents by reducing the risk of sexual 
208.34  reoffense and other aggressive behavior and assist the resident 
208.35  to adjust to, and deal more effectively with, life situations. 
208.36     Subd. 2.  [WHEN COMMITMENT REQUIRED.] (a) A court having 
209.1   jurisdiction over a child shall commit the child to the custody 
209.2   of the commissioner of corrections or place the child at the 
209.3   Minnesota correctional facility-Red Wing if the child: 
209.4      (1) was previously adjudicated delinquent or convicted as 
209.5   an extended jurisdiction juvenile for an offense for which 
209.6   registration under section 243.166 was required; 
209.7      (2) was placed on probation for the offense and ordered to 
209.8   complete a sex offender or chemical dependency treatment 
209.9   program; and 
209.10     (3) subsequently failed or refused to successfully complete 
209.11  the program. 
209.12     (b) If the child was initially convicted as an extended 
209.13  jurisdiction juvenile, the court may execute the child's adult 
209.14  sentence under section 260B.130, subdivision 4.  Notwithstanding 
209.15  paragraph (c), if the court does not do this, it shall comply 
209.16  with paragraph (a). 
209.17     (c) If the court makes a finding on the record that the 
209.18  needs of the child cannot be met at the Minnesota correctional 
209.19  facility-Red Wing, the court may order an appropriate 
209.20  alternative placement. 
209.21     (d) Notwithstanding paragraphs (a) and (c), the court may 
209.22  place a child in an out-of-state facility if the facility is 
209.23  located closer to the child's home than the Minnesota 
209.24  correctional facility-Red Wing. 
209.25     Subd. 3.  [REPORT REQUIRED.] A court ordering an 
209.26  alternative placement under subdivision 2, paragraph (c), shall 
209.27  report to the sentencing guidelines commission on the placement 
209.28  ordered and the reasons for not committing the child to the 
209.29  custody of the commissioner of corrections.  If the alternative 
209.30  placement is to an out-of-state facility, the report must 
209.31  include specific information on the distance to the out-of-state 
209.32  facility from the offender's home compared to that of the 
209.33  Minnesota correctional facility-Red Wing.  By February 15 of 
209.34  each year, the commission shall summarize the reports received 
209.35  from courts under this paragraph for the preceding year and 
209.36  forward this summary to the chairs and ranking minority members 
210.1   of the senate and house of representatives committees and 
210.2   divisions having jurisdiction over criminal justice policy and 
210.3   funding. 
210.4      Sec. 9.  [LEGISLATIVE INTENT.] 
210.5      It is the intent of the legislature that this article 
210.6   encourage courts to place juvenile offenders at the Minnesota 
210.7   correctional facility-Red Wing who would otherwise be placed in 
210.8   out-of-state facilities.  Except as provided in section 8, it is 
210.9   not the legislature's intent to discourage the placement of 
210.10  juvenile offenders at nonstate-operated facilities within 
210.11  Minnesota. 
210.12     Sec. 10.  [STUDY; REPORT.] 
210.13     (a) The commissioner of corrections shall study the state's 
210.14  juvenile correctional system as it relates to serious and 
210.15  chronic offenders.  The study must analyze and make proposals 
210.16  regarding: 
210.17     (1) the role of the state and counties in providing 
210.18  services; 
210.19     (2) the funding of these services; 
210.20     (3) the extent to which research-based best practices exist 
210.21  and are accessible to counties; 
210.22     (4) the method and process used to administer the juvenile 
210.23  commitment and parole systems; 
210.24     (5) the degree to which existing practice reflects the 
210.25  legislature's intent in enacting juvenile justice laws; and 
210.26     (6) other related issues deemed relevant by the 
210.27  commissioner. 
210.28     (b) By January 15, 2001, the commissioner shall report the 
210.29  study's findings and proposals to the chairs and ranking 
210.30  minority members of the senate and house of representatives 
210.31  committees and divisions having jurisdiction over criminal 
210.32  justice policy funding. 
210.33     Sec. 11.  [OFFICE ABOLISHED.] 
210.34     The office of ombudsman for the Minnesota state department 
210.35  of corrections is hereby abolished. 
210.36     Sec. 12.  [REPEALER.] 
211.1      Minnesota Statutes 1998, sections 241.41; 241.42; 241.43; 
211.2   241.44; 241.441; and 241.45, are repealed. 
211.3      Sec. 13.  [EFFECTIVE DATE.] 
211.4      Section 1 is effective July 1, 2001. 
211.5                              ARTICLE 14
211.6                  BATTERED WOMEN AND DOMESTIC ABUSE
211.7      Section 1.  Minnesota Statutes 1998, section 13.82, 
211.8   subdivision 3b, is amended to read: 
211.9      Subd. 3b.  [DOMESTIC ABUSE DATA.] The written police report 
211.10  required by section 629.341, subdivision 4, of an alleged 
211.11  incident described in section 629.341, subdivision 1, and arrest 
211.12  data, request for service data, and response or incident data 
211.13  described in subdivision 2, 3, or 4 that arise out of this type 
211.14  of incident or out of an alleged violation of an order for 
211.15  protection must be released upon request at no cost to an 
211.16  organization designated by the Minnesota center for crime 
211.17  victims services, the department of corrections, or the 
211.18  department of public safety as providing services to victims of 
211.19  domestic abuse.  The executive director or the commissioner of 
211.20  the appropriate state agency shall develop written criteria for 
211.21  this designation in consultation with the battered women's 
211.22  advisory council on battered women and domestic abuse. 
211.23     Sec. 2.  Minnesota Statutes 1999 Supplement, section 13.99, 
211.24  subdivision 108, is amended to read: 
211.25     Subd. 108.  [BATTERED WOMEN VICTIMS OF DOMESTIC ABUSE.] 
211.26  Data on battered women and victims of domestic abuse maintained 
211.27  by grantees and recipients of per diem payments for emergency 
211.28  shelter for battered women and support services for battered 
211.29  women victims of domestic abuse are governed by section sections 
211.30  611A.32, subdivision 5, and 611A.371, subdivision 3. 
211.31     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
211.32  15.059, subdivision 5a, is amended to read: 
211.33     Subd. 5a.  [LATER EXPIRATION.] Notwithstanding subdivision 
211.34  5, the advisory councils and committees listed in this 
211.35  subdivision do not expire June 30, 1997.  These groups expire 
211.36  June 30, 2001, unless the law creating the group or this 
212.1   subdivision specifies an earlier expiration date. 
212.2      Investment advisory council, created in section 11A.08; 
212.3      Intergovernmental information systems advisory council, 
212.4   created in section 16B.42, expires June 30, 1999; 
212.5      Feedlot and manure management advisory committee, created 
212.6   in section 17.136; 
212.7      Aquaculture advisory committee, created in section 17.49; 
212.8      Dairy producers board, created in section 17.76; 
212.9      Pesticide applicator education and examination review 
212.10  board, created in section 18B.305; 
212.11     Advisory seed potato certification task force, created in 
212.12  section 21.112; 
212.13     Food safety advisory committee, created in section 28A.20; 
212.14     Minnesota organic advisory task force, created in section 
212.15  31.95; 
212.16     Public programs risk adjustment work group, created in 
212.17  section 62Q.03; 
212.18     Workers' compensation self-insurers' advisory committee, 
212.19  created in section 79A.02; 
212.20     Youth corps advisory committee, created in section 84.0887; 
212.21     Iron range off-highway vehicle advisory committee, created 
212.22  in section 85.013; 
212.23     Mineral coordinating committee, created in section 93.002; 
212.24     Game and fish fund citizen advisory committees, created in 
212.25  section 97A.055; 
212.26     Wetland heritage advisory committee, created in section 
212.27  103G.2242; 
212.28     Wastewater treatment technical advisory committee, created 
212.29  in section 115.54; 
212.30     Solid waste management advisory council, created in section 
212.31  115A.12; 
212.32     Nuclear waste council, created in section 116C.711; 
212.33     Genetically engineered organism advisory committee, created 
212.34  in section 116C.93; 
212.35     Environment and natural resources trust fund advisory 
212.36  committee, created in section 116P.06; 
213.1      Child abuse prevention advisory council, created in section 
213.2   119A.13; 
213.3      Chemical abuse and violence prevention council, created in 
213.4   section 119A.293; 
213.5      Youth neighborhood centers advisory board, created in 
213.6   section 119A.295; 
213.7      Interagency coordinating council, created in section 
213.8   125A.28, expires June 30, 1999; 
213.9      Desegregation/integration advisory board, created in 
213.10  section 124D.892; 
213.11     Nonpublic education council, created in section 123B.445; 
213.12     Permanent school fund advisory committee, created in 
213.13  section 127A.30; 
213.14     Indian scholarship committee, created in section 124D.84, 
213.15  subdivision 2; 
213.16     American Indian education committees, created in section 
213.17  124D.80; 
213.18     Summer scholarship advisory committee, created in section 
213.19  124D.95; 
213.20     Multicultural education advisory committee, created in 
213.21  section 124D.894; 
213.22     Male responsibility and fathering grants review committee, 
213.23  created in section 124D.33; 
213.24     Library for the blind and physically handicapped advisory 
213.25  committee, created in section 134.31; 
213.26     Higher education advisory council, created in section 
213.27  136A.031; 
213.28     Student advisory council, created in section 136A.031; 
213.29     Cancer surveillance advisory committee, created in section 
213.30  144.672; 
213.31     Maternal and child health task force, created in section 
213.32  145.881; 
213.33     State community health advisory committee, created in 
213.34  section 145A.10; 
213.35     Mississippi River Parkway commission, created in section 
213.36  161.1419; 
214.1      School bus safety advisory committee, created in section 
214.2   169.435; 
214.3      Advisory council on workers' compensation, created in 
214.4   section 175.007; 
214.5      Code enforcement advisory council, created in section 
214.6   175.008; 
214.7      Medical services review board, created in section 176.103; 
214.8      Apprenticeship advisory council, created in section 178.02; 
214.9      OSHA advisory council, created in section 182.656; 
214.10     Health professionals services program advisory committee, 
214.11  created in section 214.32; 
214.12     Rehabilitation advisory council for the blind, created in 
214.13  section 248.10; 
214.14     American Indian advisory council, created in section 
214.15  254A.035; 
214.16     Alcohol and other drug abuse advisory council, created in 
214.17  section 254A.04; 
214.18     Medical assistance drug formulary committee, created in 
214.19  section 256B.0625; 
214.20     Home care advisory committee, created in section 256B.071; 
214.21     Preadmission screening, alternative care, and home and 
214.22  community-based services advisory committee, created in section 
214.23  256B.0911; 
214.24     Traumatic brain injury advisory committee, created in 
214.25  section 256B.093; 
214.26     Minnesota commission serving deaf and hard-of-hearing 
214.27  people, created in section 256C.28; 
214.28     American Indian child welfare advisory council, created in 
214.29  section 260.835; 
214.30     Juvenile justice advisory committee, created in section 
214.31  268.29; 
214.32     Northeast Minnesota economic development fund technical 
214.33  advisory committees, created in section 298.2213; 
214.34     Iron range higher education committee, created in section 
214.35  298.2214; 
214.36     Northeast Minnesota economic protection trust fund 
215.1   technical advisory committee, created in section 298.297; 
215.2      Battered women's Advisory council on battered women and 
215.3   domestic abuse, created in section 611A.34. 
215.4      Sec. 4.  Minnesota Statutes 1998, section 15.0591, 
215.5   subdivision 2, is amended to read: 
215.6      Subd. 2.  [BODIES AFFECTED.] A member meeting the 
215.7   qualifications in subdivision 1 must be appointed to the 
215.8   following boards, commissions, advisory councils, task forces, 
215.9   or committees:  
215.10     (1) advisory council on battered women and domestic abuse; 
215.11     (2) advisory task force on the use of state facilities; 
215.12     (3) alcohol and other drug abuse advisory council; 
215.13     (4) board of examiners for nursing home administrators; 
215.14     (5) board on aging; 
215.15     (6) chiropractic examiners board; 
215.16     (7) consumer advisory council on vocational rehabilitation; 
215.17     (8) council on disability; 
215.18     (9) council on affairs of Chicano/Latino people; 
215.19     (10) council on Black Minnesotans; 
215.20     (11) dentistry board; 
215.21     (12) department of economic security advisory council; 
215.22     (13) higher education services office; 
215.23     (14) housing finance agency; 
215.24     (15) Indian advisory council on chemical dependency; 
215.25     (16) medical practice board; 
215.26     (17) medical policy directional task force on mental 
215.27  health; 
215.28     (18) Minnesota employment and economic development task 
215.29  force; 
215.30     (19) Minnesota office of citizenship and volunteer services 
215.31  advisory committee; 
215.32     (20) Minnesota state arts board; 
215.33     (21) nursing board; 
215.34     (22) optometry board; 
215.35     (23) pharmacy board; 
215.36     (24) physical therapists council; 
216.1      (25) podiatry board; 
216.2      (26) psychology board; 
216.3      (27) veterans advisory committee. 
216.4      Sec. 5.  Minnesota Statutes 1998, section 119A.37, 
216.5   subdivision 4, is amended to read: 
216.6      Subd. 4.  [ADDITIONAL SERVICES.] Each family visitation 
216.7   center may provide parenting and child development classes, and 
216.8   offer support groups to participating custodial parents and hold 
216.9   regular classes designed to assist children who have experienced 
216.10  domestic violence and abuse.  Each family visitation center must 
216.11  have available an individual knowledgeable about or experienced 
216.12  in the provision of services to battered women domestic abuse 
216.13  victims on its staff, its board of directors, or otherwise 
216.14  available to it for consultation. 
216.15     Sec. 6.  Minnesota Statutes 1998, section 120B.22, 
216.16  subdivision 1, is amended to read: 
216.17     Subdivision 1.  [VIOLENCE PREVENTION CURRICULUM.] (a) The 
216.18  commissioner of children, families, and learning, in 
216.19  consultation with the commissioners of health and human 
216.20  services, state minority councils, battered women's domestic 
216.21  abuse programs, battered women's shelters, sexual assault 
216.22  centers, representatives of religious communities, and the 
216.23  assistant commissioner of the office of drug policy and violence 
216.24  prevention, shall assist districts on request in developing or 
216.25  implementing a violence prevention program for students in 
216.26  kindergarten to grade 12 that can be integrated into existing 
216.27  curriculum.  The purpose of the program is to help students 
216.28  learn how to resolve conflicts within their families and 
216.29  communities in nonviolent, effective ways.  
216.30     (b) Each district is encouraged to integrate into its 
216.31  existing curriculum a program for violence prevention that 
216.32  includes at least: 
216.33     (1) a comprehensive, accurate, and age appropriate 
216.34  curriculum on violence prevention, nonviolent conflict 
216.35  resolution, sexual, racial, and cultural harassment, and student 
216.36  hazing that promotes equality, respect, understanding, effective 
217.1   communication, individual responsibility, thoughtful decision 
217.2   making, positive conflict resolution, useful coping skills, 
217.3   critical thinking, listening and watching skills, and personal 
217.4   safety; 
217.5      (2) planning materials, guidelines, and other accurate 
217.6   information on preventing physical and emotional violence, 
217.7   identifying and reducing the incidence of sexual, racial, and 
217.8   cultural harassment, and reducing child abuse and neglect; 
217.9      (3) a special parent education component of early childhood 
217.10  family education programs to prevent child abuse and neglect and 
217.11  to promote positive parenting skills, giving priority to 
217.12  services and outreach programs for at-risk families; 
217.13     (4) involvement of parents and other community members, 
217.14  including the clergy, business representatives, civic leaders, 
217.15  local elected officials, law enforcement officials, and the 
217.16  county attorney; 
217.17     (5) collaboration with local community services, agencies, 
217.18  and organizations that assist in violence intervention or 
217.19  prevention, including family-based services, crisis services, 
217.20  life management skills services, case coordination services, 
217.21  mental health services, and early intervention services; 
217.22     (6) collaboration among districts and service cooperatives; 
217.23     (7) targeting early adolescents for prevention efforts, 
217.24  especially early adolescents whose personal circumstances may 
217.25  lead to violent or harassing behavior; 
217.26     (8) opportunities for teachers to receive in-service 
217.27  training or attend other programs on strategies or curriculum 
217.28  designed to assist students in intervening in or preventing 
217.29  violence in school and at home; and 
217.30     (9) administrative policies that reflect, and a staff that 
217.31  models, nonviolent behaviors that do not display or condone 
217.32  sexual, racial, or cultural harassment or student hazing. 
217.33     (c) The department may provide assistance at a neutral site 
217.34  to a nonpublic school participating in a district's program. 
217.35     Sec. 7.  Minnesota Statutes 1998, section 257.75, 
217.36  subdivision 6, is amended to read: 
218.1      Subd. 6.  [PATERNITY EDUCATIONAL MATERIALS.] The 
218.2   commissioner of human services shall prepare educational 
218.3   materials for new and prospective parents that describe the 
218.4   benefits and effects of establishing paternity.  The materials 
218.5   must include a description and comparison of the procedures for 
218.6   establishment of paternity through a recognition of parentage 
218.7   under this section and an adjudication of paternity under 
218.8   sections 257.51 to 257.74.  The commissioner shall consider the 
218.9   use of innovative audio or visual approaches to the presentation 
218.10  of the materials to facilitate understanding and presentation.  
218.11  In preparing the materials, the commissioner shall consult with 
218.12  child advocates and support workers, battered women's advocates 
218.13  for domestic abuse victims, social service providers, educators, 
218.14  attorneys, hospital representatives, and people who work with 
218.15  parents in making decisions related to paternity.  The 
218.16  commissioner shall consult with representatives of communities 
218.17  of color.  On and after January 1, 1994, the commissioner shall 
218.18  make the materials available without cost to hospitals, 
218.19  requesting agencies, and other persons for distribution to new 
218.20  parents. 
218.21     Sec. 8.  Minnesota Statutes 1998, section 518B.01, 
218.22  subdivision 21, is amended to read: 
218.23     Subd. 21.  [ORDER FOR PROTECTION FORMS.] The state court 
218.24  administrator, in consultation with the advisory council on 
218.25  battered women and domestic abuse, city and county attorneys, 
218.26  and legal advocates who work with victims, shall develop a 
218.27  uniform order for protection form that will facilitate the 
218.28  consistent enforcement of orders for protection throughout the 
218.29  state. 
218.30     Sec. 9.  Minnesota Statutes 1998, section 609.378, 
218.31  subdivision 1, is amended to read: 
218.32     Subdivision 1.  [PERSONS GUILTY OF NEGLECT OR 
218.33  ENDANGERMENT.] (a)  [NEGLECT.] (1) A parent, legal guardian, or 
218.34  caretaker who willfully deprives a child of necessary food, 
218.35  clothing, shelter, health care, or supervision appropriate to 
218.36  the child's age, when the parent, guardian, or caretaker is 
219.1   reasonably able to make the necessary provisions and the 
219.2   deprivation harms or is likely to substantially harm the child's 
219.3   physical, mental, or emotional health is guilty of neglect of a 
219.4   child and may be sentenced to imprisonment for not more than one 
219.5   year or to payment of a fine of not more than $3,000, or both.  
219.6   If the deprivation results in substantial harm to the child's 
219.7   physical, mental, or emotional health, the person may be 
219.8   sentenced to imprisonment for not more than five years or to 
219.9   payment of a fine of not more than $10,000, or both.  If a 
219.10  parent, guardian, or caretaker responsible for the child's care 
219.11  in good faith selects and depends upon spiritual means or prayer 
219.12  for treatment or care of disease or remedial care of the child, 
219.13  this treatment or care is "health care," for purposes of this 
219.14  clause. 
219.15     (2) A parent, legal guardian, or caretaker who knowingly 
219.16  permits the continuing physical or sexual abuse of a child is 
219.17  guilty of neglect of a child and may be sentenced to 
219.18  imprisonment for not more than one year or to payment of a fine 
219.19  of not more than $3,000, or both.  
219.20     (b)  [ENDANGERMENT.] A parent, legal guardian, or caretaker 
219.21  who endangers the child's person or health by: 
219.22     (1) intentionally or recklessly causing or permitting a 
219.23  child to be placed in a situation likely to substantially harm 
219.24  the child's physical, mental, or emotional health or cause the 
219.25  child's death; or 
219.26     (2) knowingly causing or permitting the child to be present 
219.27  where any person is selling or possessing a controlled 
219.28  substance, as defined in section 152.01, subdivision 4, in 
219.29  violation of section 152.021, 152.022, 152.023, or 152.024; is 
219.30  guilty of child endangerment and may be sentenced to 
219.31  imprisonment for not more than one year or to payment of a fine 
219.32  of not more than $3,000, or both.  
219.33     If the endangerment results in substantial harm to the 
219.34  child's physical, mental, or emotional health, the person may be 
219.35  sentenced to imprisonment for not more than five ten years or to 
219.36  payment of a fine of not more than $10,000 $20,000, or both.  
220.1      This paragraph does not prevent a parent, legal guardian, 
220.2   or caretaker from causing or permitting a child to engage in 
220.3   activities that are appropriate to the child's age, stage of 
220.4   development, and experience, or from selecting health care as 
220.5   defined in subdivision 1, paragraph (a). 
220.6      (c)  [ENDANGERMENT BY FIREARM ACCESS.] A person who 
220.7   intentionally or recklessly causes a child under 14 years of age 
220.8   to be placed in a situation likely to substantially harm the 
220.9   child's physical health or cause the child's death as a result 
220.10  of the child's access to a loaded firearm is guilty of child 
220.11  endangerment and may be sentenced to imprisonment for not more 
220.12  than one year or to payment of a fine of not more than $3,000, 
220.13  or both. 
220.14     If the endangerment results in substantial harm to the 
220.15  child's physical health, the person may be sentenced to 
220.16  imprisonment for not more than five years or to payment of a 
220.17  fine of not more than $10,000, or both. 
220.18     EFFECTIVE DATE:  This section is effective August 1, 2000, 
220.19  and applies to crimes committed on or after that date. 
220.20     Sec. 10.  Minnesota Statutes 1998, section 611A.07, 
220.21  subdivision 1, is amended to read: 
220.22     Subdivision 1.  [GENERALLY.] The commissioner of 
220.23  corrections, after considering the recommendations of the 
220.24  battered women advisory council on battered women and domestic 
220.25  abuse and the sexual assault advisory council, and in 
220.26  collaboration with the commissioner of public safety, shall 
220.27  adopt standards governing electronic monitoring devices used to 
220.28  protect victims of domestic abuse.  In developing proposed 
220.29  standards, the commissioner shall consider the experience of the 
220.30  courts in the tenth judicial district in the use of the devices 
220.31  to protect victims of domestic abuse.  These standards shall 
220.32  promote the safety of the victim and shall include measures to 
220.33  avoid the disparate use of the device with communities of color, 
220.34  product standards, monitoring agency standards, and victim 
220.35  disclosure standards.  
220.36     Sec. 11.  Minnesota Statutes 1998, section 611A.32, 
221.1   subdivision 1, is amended to read: 
221.2      Subdivision 1.  [GRANTS AWARDED.] The commissioner shall 
221.3   award grants to programs which provide emergency shelter 
221.4   services to battered women and support services to battered 
221.5   women domestic abuse victims and their children.  The 
221.6   commissioner shall also award grants for training, technical 
221.7   assistance, and for the development and implementation of 
221.8   education programs to increase public awareness of the causes of 
221.9   battering, the solutions to preventing and ending domestic 
221.10  violence, and the problems faced by battered women and domestic 
221.11  abuse victims.  Grants shall be awarded in a manner that ensures 
221.12  that they are equitably distributed to programs serving 
221.13  metropolitan and nonmetropolitan populations.  By July 1, 1995, 
221.14  community-based domestic abuse advocacy and support services 
221.15  programs must be established in every judicial assignment 
221.16  district. 
221.17     Sec. 12.  Minnesota Statutes 1998, section 611A.32, 
221.18  subdivision 2, is amended to read: 
221.19     Subd. 2.  [APPLICATIONS.] Any public or private nonprofit 
221.20  agency may apply to the commissioner for a grant to provide 
221.21  emergency shelter services to battered women, support 
221.22  services to domestic abuse victims, or both, to battered women 
221.23  and their children.  The application shall be submitted in a 
221.24  form approved by the commissioner by rule adopted under chapter 
221.25  14, after consultation with the advisory council, and shall 
221.26  include: 
221.27     (1) a proposal for the provision of emergency shelter 
221.28  services for battered women, support services for domestic abuse 
221.29  victims, or both, for battered women and their children; 
221.30     (2) a proposed budget; 
221.31     (3) evidence of an ability to integrate into the proposed 
221.32  program the uniform method of data collection and program 
221.33  evaluation established under sections 611A.33 and 611A.34; 
221.34     (4) evidence of an ability to represent the interests of 
221.35  battered women and domestic abuse victims and their children to 
221.36  local law enforcement agencies and courts, county welfare 
222.1   agencies, and local boards or departments of health; 
222.2      (5) evidence of an ability to do outreach to unserved and 
222.3   underserved populations and to provide culturally and 
222.4   linguistically appropriate services; and 
222.5      (6) any other content the commissioner may require by rule 
222.6   adopted under chapter 14, after considering the recommendations 
222.7   of the advisory council. 
222.8      Programs which have been approved for grants in prior years 
222.9   may submit materials which indicate changes in items listed in 
222.10  clauses (1) to (6), in order to qualify for renewal funding.  
222.11  Nothing in this subdivision may be construed to require programs 
222.12  to submit complete applications for each year of renewal funding.
222.13     Sec. 13.  Minnesota Statutes 1998, section 611A.32, 
222.14  subdivision 3, is amended to read: 
222.15     Subd. 3.  [DUTIES OF GRANTEES.] Every public or private 
222.16  nonprofit agency which receives a grant to provide emergency 
222.17  shelter services to battered women and support services to 
222.18  battered women and domestic abuse victims shall comply with all 
222.19  rules of the commissioner related to the administration of the 
222.20  pilot programs. 
222.21     Sec. 14.  Minnesota Statutes 1998, section 611A.32, 
222.22  subdivision 5, is amended to read: 
222.23     Subd. 5.  [CLASSIFICATION OF DATA COLLECTED BY GRANTEES.] 
222.24  Personal history information and other information collected, 
222.25  used or maintained by a grantee from which the identity or 
222.26  location of any battered woman victim of domestic abuse may be 
222.27  determined is private data on individuals, as defined in section 
222.28  13.02, subdivision 12, and the grantee shall maintain the data 
222.29  in accordance with the provisions of chapter 13. 
222.30     Sec. 15.  Minnesota Statutes 1998, section 611A.33, is 
222.31  amended to read: 
222.32     611A.33 [DUTIES OF COMMISSIONER.] 
222.33     The commissioner shall: 
222.34     (1) Review applications for and award grants to a program 
222.35  pursuant to section 611A.32, subdivision 1, after considering 
222.36  the recommendation of the advisory council; 
223.1      (2) Appoint the members of the advisory council created 
223.2   under section 611A.34, and provide consultative staff and other 
223.3   administrative services to the advisory council; 
223.4      (3) After considering the recommendation of the advisory 
223.5   council, appoint a program director to perform the duties set 
223.6   forth in section 611A.35; 
223.7      (4) Design and implement a uniform method of collecting 
223.8   data on battered women domestic abuse victims to be used to 
223.9   evaluate the programs funded under section 611A.32; 
223.10     (5) Provide technical aid to applicants in the development 
223.11  of grant requests and provide technical aid to programs in 
223.12  meeting the data collection requirements established by the 
223.13  commissioner; and 
223.14     (6) Adopt, under chapter 14, all rules necessary to 
223.15  implement the provisions of sections 611A.31 to 611A.36. 
223.16     Sec. 16.  Minnesota Statutes 1998, section 611A.34, 
223.17  subdivision 1, is amended to read: 
223.18     Subdivision 1.  [GENERALLY.] The commissioner shall appoint 
223.19  a 12-member advisory council to advise the commissioner on the 
223.20  implementation and continued operation of sections 611A.31 to 
223.21  611A.36.  The battered women's domestic abuse advisory council 
223.22  shall also serve as a liaison between the commissioner and 
223.23  organizations that provide services to battered women domestic 
223.24  abuse victims.  Section 15.059 governs the filling of vacancies 
223.25  and removal of members of the advisory council.  The terms of 
223.26  the members of the advisory council shall be two years.  No 
223.27  member may serve on the advisory council for more than two 
223.28  consecutive terms.  Notwithstanding section 15.059, the council 
223.29  shall not expire.  Council members shall not receive per diem, 
223.30  but shall receive expenses in the same manner and amount as 
223.31  state employees.  
223.32     Sec. 17.  Minnesota Statutes 1998, section 611A.34, 
223.33  subdivision 2, is amended to read: 
223.34     Subd. 2.  [MEMBERSHIP.] Persons appointed shall be 
223.35  knowledgeable about and have experience or interest in issues 
223.36  concerning battered women and domestic abuse victims, including 
224.1   the need for effective advocacy services.  The membership of the 
224.2   council shall broadly represent the interests of battered women 
224.3   domestic abuse victims in Minnesota.  No more than six of the 
224.4   members of the battered women's advisory council on battered 
224.5   women and domestic abuse may be representatives of community or 
224.6   governmental organizations that provide services to battered 
224.7   women and domestic abuse victims.  One-half of the council's 
224.8   members shall reside in the metropolitan area, composed of 
224.9   Hennepin, Ramsey, Anoka, Dakota, Scott, Washington, and Carver 
224.10  counties, and one-half of the members shall reside in the 
224.11  nonmetropolitan area.  To the extent possible, nonmetropolitan 
224.12  members must be representative of all nonmetropolitan regions of 
224.13  the state. 
224.14     Sec. 18.  Minnesota Statutes 1998, section 611A.34, 
224.15  subdivision 3, is amended to read: 
224.16     Subd. 3.  [DUTIES.] The advisory council shall: 
224.17     (1) advise the commissioner on all planning, development, 
224.18  data collection, rulemaking, funding, and evaluation of programs 
224.19  and services for battered women and domestic abuse victims that 
224.20  are funded under section 611A.32, other than matters of a purely 
224.21  administrative nature; 
224.22     (2) advise the commissioner on the adoption of rules under 
224.23  chapter 14 governing the award of grants to ensure that funded 
224.24  programs are consistent with section 611A.32, subdivision 1; 
224.25     (3) recommend to the commissioner the names of five 
224.26  applicants for the position of battered women's domestic abuse 
224.27  program director; 
224.28     (4) advise the commissioner on the rules adopted under 
224.29  chapter 14 pursuant to section 611A.33; 
224.30     (5) review applications received by the commissioner for 
224.31  grants under section 611A.32 and make recommendations on the 
224.32  awarding of grants; and 
224.33     (6) advise the program director in the performance of 
224.34  duties in the administration and coordination of the programs 
224.35  funded under section 611A.32. 
224.36     Sec. 19.  Minnesota Statutes 1998, section 611A.345, is 
225.1   amended to read: 
225.2      611A.345 [ADVISORY COUNCIL RECOMMENDATIONS.] 
225.3      The commissioner shall consider the advisory council's 
225.4   recommendations before awarding grants or adopting policies 
225.5   regarding the planning, development, data collection, 
225.6   rulemaking, funding or evaluation of programs and services for 
225.7   battered women and domestic abuse victims funded under section 
225.8   611A.32.  Before taking action on matters related to programs 
225.9   and services for battered women and domestic abuse victims and 
225.10  their children, except day-to-day administrative operations, the 
225.11  commissioner shall notify the advisory council of the intended 
225.12  action.  Notification of grant award decisions shall be given to 
225.13  the advisory council in time to allow the council to request 
225.14  reconsideration.  
225.15     Sec. 20.  Minnesota Statutes 1998, section 611A.35, is 
225.16  amended to read: 
225.17     611A.35 [BATTERED WOMEN'S ADVISORY COUNCIL ON BATTERED 
225.18  WOMEN AND DOMESTIC ABUSE PROGRAM DIRECTOR.] 
225.19     The commissioner shall appoint a program director.  In 
225.20  appointing the program director the commissioner shall give due 
225.21  consideration to the list of applicants submitted to the 
225.22  commissioner pursuant to section 611A.34, subdivision 3, clause 
225.23  (3).  The program director shall administer the funds 
225.24  appropriated for sections 611A.31 to 611A.36, consult with and 
225.25  provide staff to the advisory council, and perform other duties 
225.26  related to battered women's and domestic abuse programs as the 
225.27  commissioner may assign.  The program director shall serve at 
225.28  the pleasure of the commissioner in the unclassified service. 
225.29     Sec. 21.  Minnesota Statutes 1998, section 611A.36, 
225.30  subdivision 1, is amended to read: 
225.31     Subdivision 1.  [FORM PRESCRIBED.] The commissioner shall, 
225.32  by rule adopted under chapter 14, after considering the 
225.33  recommendations of the advisory council, prescribe a uniform 
225.34  form and method for the collection of data on battered 
225.35  women domestic abuse victims.  The method and form of data 
225.36  collection shall be designed to document the incidence of 
226.1   assault on battered women domestic abuse victims as defined in 
226.2   section 611A.31, subdivision 2.  All data collected by the 
226.3   commissioner pursuant to this section shall be summary data 
226.4   within the meaning of section 13.02, subdivision 19. 
226.5      Sec. 22.  Minnesota Statutes 1998, section 611A.36, 
226.6   subdivision 2, is amended to read: 
226.7      Subd. 2.  [MANDATORY DATA COLLECTION.] Every local law 
226.8   enforcement agency shall collect data related to battered women 
226.9   domestic abuse victims in the form required by the 
226.10  commissioner.  The data shall be collected and transmitted to 
226.11  the commissioner at such times as the commissioner shall, by 
226.12  rule, require. 
226.13     Sec. 23.  [611A.37] [DEFINITIONS.] 
226.14     Subdivision 1.  [SCOPE.] For purposes of sections 23 to 27, 
226.15  the terms defined have the meanings given them unless otherwise 
226.16  provided or indicated by the context. 
226.17     Subd. 2.  [DIRECTOR.] "Director" means the director of the 
226.18  Minnesota center for crime victim services or a designee. 
226.19     Subd. 3.  [CENTER.] "Center" means the Minnesota center for 
226.20  crime victim services. 
226.21     Subd. 4.  [SHELTER FACILITY.] "Shelter facility" means a 
226.22  secure crisis shelter, housing network, safe home, or other 
226.23  facility operated by a nonprofit organization and designated by 
226.24  the center for the purpose of providing food, lodging, safety, 
226.25  and 24-hour coverage for battered women and their minor children.
226.26     Subd. 5.  [DESIGNATED SHELTER FACILITY.] "Designated 
226.27  shelter facility" means a facility that has applied to, and been 
226.28  approved by, the center to provide shelter and services to 
226.29  battered women and their minor children. 
226.30     Subd. 6.  [PER DIEM RATE.] "Per diem rate" means a daily 
226.31  charge per person for providing food, lodging, safety, and 
226.32  24-hour coverage for battered women and their minor children. 
226.33     Subd. 7.  [RESERVE AMOUNT.] "Reserve amount" means the 
226.34  amount the center has reserved for each shelter facility. 
226.35     Subd. 8.  [BATTERED WOMAN.] "Battered woman" has the 
226.36  meaning given in section 611A.31, subdivision 2. 
227.1      Sec. 24.  [611A.371] [PROGRAM OPERATION.] 
227.2      Subdivision 1.  [PURPOSE.] The purpose of the per diem 
227.3   program is to provide reimbursement in a timely, efficient 
227.4   manner to local programs for the reasonable and necessary costs 
227.5   of providing battered women and their minor children with food, 
227.6   lodging, and safety.  Per diem funding may not be used for other 
227.7   purposes. 
227.8      Subd. 2.  [NONDISCRIMINATION.] Designated shelter 
227.9   facilities are prohibited from discriminating against a battered 
227.10  woman or her minor children on the basis of race, color, creed, 
227.11  religion, national origin, marital status, status with regard to 
227.12  public assistance, disability, or sexual orientation.  
227.13     Subd. 3.  [DATA.] Personal history information collected, 
227.14  used, or maintained by a designated shelter facility from which 
227.15  the identity or location of any battered woman may be determined 
227.16  is private data on individuals, as defined in section 13.02, 
227.17  subdivision 12, and the facility shall maintain the data in 
227.18  accordance with the provisions of chapter 13. 
227.19     Sec. 25.  [611A.372] [DUTIES OF THE DIRECTOR.] 
227.20     In addition to any other duties imposed by law, the 
227.21  director, with the approval of the commissioner of public 
227.22  safety, shall: 
227.23     (1) adopt rules consistent with law for carrying out the 
227.24  provisions of sections 23 to 27; 
227.25     (2) supervise the administration of per diem payments to 
227.26  designated shelter facilities; 
227.27     (3) collect data on shelter facilities; 
227.28     (4) conduct an annual evaluation of the per diem program; 
227.29     (5) report to the governor and the legislature on the need 
227.30  for emergency secure shelter; and 
227.31     (6) develop an application process for shelter facilities 
227.32  to follow in seeking reimbursement under the per diem program. 
227.33     The per diem program contained in sections 23 to 27 is 
227.34  exempt from rulemaking until January 1, 2003.  
227.35     Sec. 26.  [611A.373] [PAYMENTS.] 
227.36     Subdivision 1.  [PAYMENT REQUESTS.] Designated shelter 
228.1   facilities may submit requests for payment monthly based on the 
228.2   number of persons housed.  Upon approval of the request for 
228.3   payment by the center, payments shall be made directly to 
228.4   designated shelter facilities from per diem funds on behalf of 
228.5   women and their minor children who reside in the shelter 
228.6   facility.  Payments made to a designated shelter facility must 
228.7   not exceed the annual reserve amount for that facility unless 
228.8   approved by the director.  These payments must not affect the 
228.9   eligibility of individuals who reside in shelter facilities for 
228.10  public assistance benefits, except when required by federal law 
228.11  or regulation. 
228.12     Subd. 2.  [RESERVE AMOUNT.] The center shall calculate 
228.13  annually the reserve amount for each designated shelter 
228.14  facility.  This calculation may be based upon program type, 
228.15  average occupancy rates, and licensed capacity limits.  The 
228.16  total of all reserve amounts shall not exceed the legislative 
228.17  per diem appropriation. 
228.18     Sec. 27.  [611A.375] [APPEAL PROCESS.] 
228.19     (a) Except as provided in paragraph (b), a designated 
228.20  shelter facility may, within 30 days after receiving a decision 
228.21  by the center to deny payment, request reconsideration.  A 
228.22  designated shelter facility which is denied payment upon 
228.23  reconsideration is entitled to a contested case hearing within 
228.24  the meaning of chapter 14. 
228.25     (b) A facility may not appeal a decision by the center to 
228.26  deny payments in excess of the facility's reserve amount. 
228.27     Sec. 28.  Minnesota Statutes 1999 Supplement, section 
228.28  626.558, subdivision 1, is amended to read: 
228.29     Subdivision 1.  [ESTABLISHMENT OF THE TEAM.] A county shall 
228.30  establish a multidisciplinary child protection team that may 
228.31  include, but not be limited to, the director of the local 
228.32  welfare agency or designees, the county attorney or designees, 
228.33  the county sheriff or designees, representatives of health and 
228.34  education, representatives of mental health or other appropriate 
228.35  human service or community-based agencies, and parent groups.  
228.36  As used in this section, a "community-based agency" may include, 
229.1   but is not limited to, schools, social service agencies, family 
229.2   service and mental health collaboratives, early childhood and 
229.3   family education programs, Head Start, or other agencies serving 
229.4   children and families.  A member of the team must be designated 
229.5   as the lead person of the team responsible for the planning 
229.6   process to develop standards for its activities with battered 
229.7   women's and domestic abuse programs and services. 
229.8      Sec. 29.  Minnesota Statutes 1998, section 629.342, 
229.9   subdivision 2, is amended to read: 
229.10     Subd. 2.  [POLICIES REQUIRED.] (a) By July 1, 1993, each 
229.11  law enforcement agency shall develop, adopt, and implement a 
229.12  written policy regarding arrest procedures for domestic abuse 
229.13  incidents.  In the development of a policy, each law enforcement 
229.14  agency shall consult with domestic abuse advocates, community 
229.15  organizations, and other law enforcement agencies with expertise 
229.16  in the recognition and handling of domestic abuse incidents.  
229.17  The policy shall discourage dual arrests, include consideration 
229.18  of whether one of the parties acted in self defense, and provide 
229.19  guidance to officers concerning instances in which officers 
229.20  should remain at the scene of a domestic abuse incident until 
229.21  the likelihood of further imminent violence has been eliminated. 
229.22     (b) The bureau of criminal apprehension, the board of peace 
229.23  officer standards and training, and the battered women's 
229.24  advisory council on battered women and domestic abuse appointed 
229.25  by the commissioner of corrections under section 611A.34, in 
229.26  consultation with the Minnesota chiefs of police association, 
229.27  the Minnesota sheriffs association, and the Minnesota police and 
229.28  peace officers association, shall develop a written model policy 
229.29  regarding arrest procedures for domestic abuse incidents for use 
229.30  by local law enforcement agencies.  Each law enforcement agency 
229.31  may adopt the model policy in lieu of developing its own policy 
229.32  under the provisions of paragraph (a). 
229.33     (c) Local law enforcement agencies that have already 
229.34  developed a written policy regarding arrest procedures for 
229.35  domestic abuse incidents before July 1, 1992, are not required 
229.36  to develop a new policy but must review their policies and 
230.1   consider the written model policy developed under paragraph (b). 
230.2      Sec. 30.  Minnesota Statutes 1998, section 629.72, 
230.3   subdivision 6, is amended to read: 
230.4      Subd. 6.  [NOTICE REGARDING RELEASE OF ARRESTED PERSON.] 
230.5   (a) Immediately after issuance of a citation in lieu of 
230.6   continued detention under subdivision 1, or the entry of an 
230.7   order for release under subdivision 2, but before the arrested 
230.8   person is released, the agency having custody of the arrested 
230.9   person or its designee must make a reasonable and good faith 
230.10  effort to inform orally the alleged victim, local law 
230.11  enforcement agencies known to be involved in the case, if 
230.12  different from the agency having custody, and, at the victim's 
230.13  request any local battered women's and domestic abuse programs 
230.14  established under section 611A.32 or sexual assault programs of: 
230.15     (1) the conditions of release, if any; 
230.16     (2) the time of release; 
230.17     (3) the time, date, and place of the next scheduled court 
230.18  appearance of the arrested person and the victim's right to be 
230.19  present at the court appearance; and 
230.20     (4) if the arrested person is charged with domestic abuse, 
230.21  the location and telephone number of the area battered women's 
230.22  shelter as designated by the department of corrections. 
230.23     (b) As soon as practicable after an order for conditional 
230.24  release is entered, the agency having custody of the arrested 
230.25  person or its designee must personally deliver or mail to the 
230.26  alleged victim a copy of the written order and written notice of 
230.27  the information in paragraph (a), clauses (2) and (3). 
230.28                             ARTICLE 15 
230.29                      IMPAIRED DRIVING OFFENSE 
230.30     Section 1.  Minnesota Statutes 1999 Supplement, section 
230.31  169.121, subdivision 3, is amended to read: 
230.32     Subd. 3.  [CRIMINAL PENALTIES.] (a) As used in this section:
230.33     (1) "Prior impaired driving conviction" means a prior 
230.34  conviction under: 
230.35     (i) this section; Minnesota Statutes 1996, section 84.91, 
230.36  subdivision 1, paragraph (a), or 86B.331, subdivision 1, 
231.1   paragraph (a); section 169.1211; section 169.129; or section 
231.2   360.0752; 
231.3      (ii) section 609.21, subdivision 1, clauses (2) to (6); 
231.4   subdivision 2, clauses (2) to (6); subdivision 2a, clauses (2) 
231.5   to (6); subdivision 2b, clauses (2) to (6); subdivision 3, 
231.6   clauses (2) to (6); or subdivision 4, clauses (2) to (6); or 
231.7      (iii) an ordinance from this state, or a statute or 
231.8   ordinance from another state, in conformity with any provision 
231.9   listed in item (i) or (ii). 
231.10  A prior impaired driving conviction also includes a prior 
231.11  juvenile adjudication that would have been a prior impaired 
231.12  driving conviction if committed by an adult. 
231.13     (2) "Prior license revocation" means a driver's license 
231.14  suspension, revocation, cancellation, denial, or 
231.15  disqualification under: 
231.16     (i) this section or section 169.1211, 169.123, 171.04, 
231.17  171.14, 171.16, 171.165, 171.17, or 171.18 because of an 
231.18  alcohol-related incident; 
231.19     (ii) section 609.21, subdivision 1, clauses (2) to (6); 
231.20  subdivision 2, clauses (2) to (6); subdivision 2a, clauses (2) 
231.21  to (6); subdivision 2b, clauses (2) to (6); subdivision 3, 
231.22  clauses (2) to (6); or subdivision 4, clauses (2) to (6); or 
231.23     (iii) an ordinance from this state, or a statute or 
231.24  ordinance from another state, in conformity with any provision 
231.25  listed in item (i) or (ii). 
231.26  "Prior license revocation" also means the revocation of 
231.27  snowmobile or all-terrain vehicle operating privileges under 
231.28  section 84.911, or motorboat operating privileges under section 
231.29  86B.335, for violations that occurred on or after August 1, 
231.30  1994; the revocation of snowmobile or all-terrain vehicle 
231.31  operating privileges under section 84.91; or the revocation of 
231.32  motorboat operating privileges under section 86B.331. 
231.33     (b) A person who violates subdivision 1, clause (a), (b), 
231.34  (c), (d), (e), (g), or (h), or subdivision 1a, or an ordinance 
231.35  in conformity with any of them, is guilty of a misdemeanor. 
231.36     (c) A person is guilty of a gross misdemeanor under any of 
232.1   the following circumstances: 
232.2      (1) the person violates subdivision 1, clause (f); 
232.3      (2) the person violates subdivision 1, clause (a), (b), 
232.4   (c), (d), (e), (g), or (h), or subdivision 1a: 
232.5      (i) within five years of a prior impaired driving 
232.6   conviction or a prior license revocation; or 
232.7      (ii) within ten years of the first of two or more prior 
232.8   impaired driving convictions, two or more prior license 
232.9   revocations, or any combination of two or more prior impaired 
232.10  driving convictions and prior license revocations, based on 
232.11  separate incidents; 
232.12     (3) the person violates section 169.26 while in violation 
232.13  of subdivision 1; or 
232.14     (4) the person violates subdivision 1 or 1a while a child 
232.15  under the age of 16 is in the vehicle, if the child is more than 
232.16  36 months younger than the violator. 
232.17  A person convicted of a gross misdemeanor under this paragraph 
232.18  is subject to the mandatory penalties provided in subdivision 3d.
232.19     (d) A person is guilty of a felony under any of the 
232.20  following circumstances: 
232.21     (1) the person violates subdivision 1 or 1a within ten 
232.22  years of the first of three or more prior impaired driving 
232.23  convictions; or 
232.24     (2) the person violates subdivision 1 or 1a and has been 
232.25  convicted previously of a felony under this section or section 
232.26  169.129. 
232.27  A person convicted of a felony under this paragraph must be 
232.28  sentenced to imprisonment for not less than five nor more than 
232.29  seven years and, in addition, may be ordered to pay a fine of 
232.30  not more than $14,000.  The court must impose this mandatory 
232.31  sentence and may stay execution of it only on condition that the 
232.32  offender serve 180 consecutive days in a local correctional 
232.33  facility and, following this period of incarceration, that the 
232.34  offender enter a program of probation supervision that includes 
232.35  electronic monitoring and, if recommended by the chemical use 
232.36  assessment, chemical dependency treatment and aftercare.  
233.1   Hearings on whether the offender has violated the conditions of 
233.2   the stayed sentence are governed by section 609.135, subdivision 
233.3   1d. 
233.4      (e) The court shall notify a person convicted of violating 
233.5   subdivision 1 or 1a that the registration plates of the person's 
233.6   motor vehicle may be impounded under section 168.042 and the 
233.7   vehicle may be subject to forfeiture under section 169.1217 upon 
233.8   a subsequent conviction for violating this section, section 
233.9   169.129, or section 171.24, or a subsequent license revocation 
233.10  under section 169.123.  The notice must describe the conduct and 
233.11  the time periods within which the conduct must occur in order to 
233.12  result in plate impoundment or forfeiture.  The failure of the 
233.13  court to provide this information does not affect the 
233.14  applicability of the plate impoundment or the forfeiture 
233.15  provision to that person. 
233.16     (e) (f) The attorney in the jurisdiction in which the 
233.17  violation occurred who is responsible for prosecution of 
233.18  misdemeanor violations of this section shall is also be 
233.19  responsible for prosecution of gross misdemeanor violations of 
233.20  this section. 
233.21     (f) (g) The court must impose consecutive sentences when it 
233.22  sentences a person for a violation of this section or section 
233.23  169.129 arising out of separate behavioral incidents.  The court 
233.24  also must impose a consecutive sentence when it sentences a 
233.25  person for a violation of this section or section 169.129 and 
233.26  the person, at the time of sentencing, is on probation for, or 
233.27  serving, an executed sentence for a violation of this section or 
233.28  section 169.129 and the prior sentence involved a separate 
233.29  behavioral incident.  The court also may order that the sentence 
233.30  imposed for a violation of this section or section 169.129 shall 
233.31  run consecutively to a previously imposed misdemeanor, gross 
233.32  misdemeanor or felony sentence for a violation other than this 
233.33  section or section 169.129.  
233.34     (g) (h) When the court stays the sentence of a person 
233.35  convicted under this section, the length of the stay is governed 
233.36  by section 609.135, subdivision 2. 
234.1      (h) (i) The court may impose consecutive sentences for 
234.2   offenses arising out of a single course of conduct as permitted 
234.3   in section 609.035, subdivision 2.  
234.4      (i) (j) The court shall impose consecutive sentences for a 
234.5   violation of this section or section 169.129 and an offense 
234.6   listed in section 609.035, subdivision 2, paragraph (f), arising 
234.7   out of the same course of conduct, as required by section 
234.8   609.035, subdivision 2, paragraph (g). 
234.9      (j) (k) When an attorney responsible for prosecuting gross 
234.10  misdemeanors or felonies under this section requests criminal 
234.11  history information relating to prior impaired driving 
234.12  convictions from a court, the court must furnish the information 
234.13  without charge. 
234.14     (k) (l) A violation of subdivision 1a may be prosecuted 
234.15  either in the jurisdiction where the arresting officer observed 
234.16  the defendant driving, operating, or in control of the motor 
234.17  vehicle or in the jurisdiction where the refusal occurred. 
234.18     Sec. 2.  Minnesota Statutes 1998, section 169.121, 
234.19  subdivision 3b, is amended to read: 
234.20     Subd. 3b.  [CHEMICAL USE ASSESSMENT.] Except for felony 
234.21  convictions, the court must order a person to submit to the 
234.22  level of care recommended in the chemical use assessment if the 
234.23  person has been convicted of violating: 
234.24     (1) subdivision 1, clause (f); or 
234.25     (2) subdivision 1, clause (a), (b), (c), (d), (e), (g), or 
234.26  (h), subdivision 1a, section 169.129, an ordinance in conformity 
234.27  with any of them, or a statute or ordinance from another state 
234.28  in conformity with any of them: 
234.29     (i) within five years of a prior impaired driving 
234.30  conviction or a prior license revocation; or 
234.31     (ii) within ten years of two or more prior impaired driving 
234.32  convictions, two or more prior license revocations, or a prior 
234.33  impaired driving conviction and a prior license revocation, 
234.34  based on separate incidents. 
234.35     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
234.36  169.121, subdivision 3d, is amended to read: 
235.1      Subd. 3d.  [GROSS MISDEMEANOR; MANDATORY PENALTIES.] (a) 
235.2   The mandatory penalties in this subdivision apply to persons 
235.3   convicted of a gross misdemeanor under subdivision 3, paragraph 
235.4   (c), or section 169.129. 
235.5      (b) A person who is convicted of a gross misdemeanor under 
235.6   subdivision 3, paragraph (c), or is convicted of a gross 
235.7   misdemeanor violation of section 169.129 within five years of a 
235.8   prior impaired driving conviction or prior license revocation, 
235.9   must be sentenced to a minimum of 30 days imprisonment, at least 
235.10  48 hours of which must be served consecutively, or to eight 
235.11  hours of community work service for each day less than 30 days 
235.12  that the person is ordered to serve in jail.  Notwithstanding 
235.13  section 609.135, the above sentence must be executed, unless the 
235.14  court departs from the mandatory minimum sentence under 
235.15  paragraph (f) or (g) (d) or (e). 
235.16     (c) A person who is convicted of a gross misdemeanor under 
235.17  subdivision 3, paragraph (c), or is convicted of a gross 
235.18  misdemeanor violation of section 169.129 within ten years of two 
235.19  prior impaired driving convictions, two prior license 
235.20  revocations, or a combination of the two based on separate 
235.21  instances, must be sentenced to either: 
235.22     (1) a minimum of 90 days incarceration, at least 30 days of 
235.23  which must be served consecutively in a local correctional 
235.24  facility; or 
235.25     (2) a program of intensive supervision of the type 
235.26  described in section 169.1265 that requires the person to 
235.27  consecutively serve at least six days in a local correctional 
235.28  facility.  
235.29  The court may order that the person serve not more than 60 days 
235.30  of the minimum penalty under clause (1) on home detention or in 
235.31  an intensive probation program described in section 169.1265.  
235.32  Notwithstanding section 609.135, the penalties in this paragraph 
235.33  must be imposed and executed. 
235.34     (d) A person who is convicted of a gross misdemeanor under 
235.35  subdivision 3, paragraph (c), or is convicted of a gross 
235.36  misdemeanor violation of section 169.129 within ten years of 
236.1   three prior impaired driving convictions, three prior license 
236.2   revocations, or a combination of the two based on separate 
236.3   instances, must be sentenced to either: 
236.4      (1) a minimum of 180 days of incarceration, at least 30 
236.5   days of which must be served consecutively in a local 
236.6   correctional facility; or 
236.7      (2) a program of intensive supervision of the type 
236.8   described in section 169.1265 that requires the person to 
236.9   consecutively serve at least six days in a local correctional 
236.10  facility.  
236.11  The court may order that the person serve not more than 150 days 
236.12  of the minimum penalty under clause (1) on home detention or in 
236.13  an intensive probation program described in section 169.1265.  
236.14  Notwithstanding section 609.135, the penalties in this paragraph 
236.15  must be imposed and executed. 
236.16     (e) A person who is convicted of a gross misdemeanor under 
236.17  subdivision 3, paragraph (c), or is convicted of a gross 
236.18  misdemeanor violation of section 169.129 within 15 years of four 
236.19  prior impaired driving convictions, four prior license 
236.20  revocations, or a combination of the two based on separate 
236.21  instances; or anytime after five or more prior impaired driving 
236.22  convictions, five or more prior license revocations, or a 
236.23  combination of the two based on separate instances, must be 
236.24  sentenced to either: 
236.25     (1) a minimum of one year of incarceration, at least 60 
236.26  days of which must be served consecutively in a local 
236.27  correctional facility; or 
236.28     (2) a program of intensive supervision of the type 
236.29  described in section 169.1265 that requires the person to 
236.30  consecutively serve at least six days in a local correctional 
236.31  facility.  
236.32  The court may order that the person serve the remainder of the 
236.33  minimum penalty under clause (1) on intensive probation using an 
236.34  electronic monitoring system or, if such a system is 
236.35  unavailable, on home detention.  Notwithstanding section 
236.36  609.135, the penalties in this paragraph must be imposed and 
237.1   executed. 
237.2      (f) Prior to sentencing, the prosecutor may file a motion 
237.3   to have a defendant described in paragraph (b) sentenced without 
237.4   regard to the mandatory minimum sentence established by that 
237.5   paragraph.  The motion must be accompanied by a statement on the 
237.6   record of the reasons for it.  When presented with the 
237.7   prosecutor's motion and if it finds that substantial mitigating 
237.8   factors exist, the court shall sentence the defendant without 
237.9   regard to the mandatory minimum sentence established by 
237.10  paragraph (b).  
237.11     (g) (e) The court may, on its own motion, sentence a 
237.12  defendant described in paragraph (b) without regard to the 
237.13  mandatory minimum sentence established by that paragraph if it 
237.14  finds that substantial mitigating factors exist and if its 
237.15  sentencing departure is accompanied by a statement on the record 
237.16  of the reasons for it.  The court also may sentence the 
237.17  defendant without regard to the mandatory minimum sentence 
237.18  established by paragraph (b) if the defendant is sentenced to 
237.19  probation and ordered to participate in a program established 
237.20  under section 169.1265. 
237.21     (h) (f) When any portion of the sentence required by 
237.22  paragraph (b) is not executed, the court should impose a 
237.23  sentence that is proportional to the extent of the offender's 
237.24  prior criminal and moving traffic violation record.  Any 
237.25  sentence required under paragraph (b) must include a mandatory 
237.26  sentence that is not subject to suspension or a stay of 
237.27  imposition or execution, and that includes incarceration for not 
237.28  less than at least 48 consecutive hours of incarceration or at 
237.29  least 80 hours of community work service. 
237.30     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
237.31  169.121, subdivision 3f, is amended to read: 
237.32     Subd. 3f.  [LONG-TERM MONITORING.] (a) This subdivision 
237.33  applies to a person convicted of: 
237.34     (1) a violation of subdivision 1 or 1a within five years of 
237.35  two prior impaired driving convictions, or within ten years of 
237.36  three or more prior impaired driving convictions; 
238.1      (2) a second or subsequent violation of subdivision 1 or 
238.2   1a, if the person is under the age of 19 years; 
238.3      (3) a violation of subdivision 1 or 1a, while the person's 
238.4   driver's license or driving privileges have been canceled under 
238.5   section 171.04, subdivision 1, clause (10); or 
238.6      (4) a gross misdemeanor violation of section 169.129. 
238.7      (b) When the court sentences a person described in 
238.8   paragraph (a) to a stayed sentence and when electronic 
238.9   monitoring equipment is available to the court, the court shall 
238.10  require that the person participate in a program of electronic 
238.11  alcohol monitoring in addition to any other conditions of 
238.12  probation or jail time it imposes.  During the first one-third 
238.13  of the person's probationary term, the electronic alcohol 
238.14  monitoring must be continuous and involve measurements of the 
238.15  person's alcohol at least three times a day.  During the 
238.16  remainder of the person's probationary term, the electronic 
238.17  alcohol monitoring may be intermittent, as determined by the 
238.18  court.  The court shall require partial or total reimbursement 
238.19  from the person for the cost of the electronic alcohol 
238.20  monitoring, to the extent the person is able to pay. 
238.21     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
238.22  169.1217, subdivision 7, is amended to read: 
238.23     Subd. 7.  [LIMITATIONS ON FORFEITURE OF MOTOR VEHICLE.] (a) 
238.24  A vehicle is subject to forfeiture under this section only if: 
238.25     (1) the driver is convicted of the designated offense upon 
238.26  which the forfeiture is based; 
238.27     (2) the driver fails to appear with respect to the 
238.28  designated offense charge in violation of section 609.49; or 
238.29     (3) the driver's conduct results in a designated license 
238.30  revocation and the driver either fails to seek administrative or 
238.31  judicial review of the revocation in a timely manner as required 
238.32  by section 169.123, subdivision 5b or 5c, or the revocation is 
238.33  sustained under section 169.123, subdivision 5b or 6. 
238.34     (b) A vehicle encumbered by a bona fide security interest, 
238.35  or subject to a lease that has a term of 180 days or more, is 
238.36  subject to the interest of the secured party or lessor unless 
239.1   the party or lessor had knowledge of or consented to the act 
239.2   upon which the forfeiture is based.  However, when the proceeds 
239.3   of the sale of a seized vehicle do not equal or exceed the 
239.4   outstanding loan balance, the appropriate agency shall remit all 
239.5   proceeds of the sale to the secured party.  If the sale of the 
239.6   vehicle is conducted in a commercially reasonable manner 
239.7   consistent with the provisions of section 336.9-504, clause (3), 
239.8   the agency is not liable to the secured party for any amount 
239.9   owed on the loan in excess of the sale proceeds if the secured 
239.10  party received notification of the time and place of the sale at 
239.11  least three days prior to the sale. 
239.12     (c) Notwithstanding paragraphs (b) and (d), the secured 
239.13  party's, lessor's, or owner's interest in a vehicle is not 
239.14  subject to forfeiture based solely on the secured party's, 
239.15  lessor's, or owner's knowledge of the act or omission upon which 
239.16  the forfeiture is based if the secured party, lessor, or owner 
239.17  took reasonable steps to terminate use of the vehicle by the 
239.18  offender. 
239.19     (d) A motor vehicle is subject to forfeiture under this 
239.20  section only if its owner knew or should have known of the 
239.21  unlawful use or intended use that the offender did not have a 
239.22  valid license at the time the offender used the vehicle and if 
239.23  the owner gave explicit or implicit permission to the offender 
239.24  to use the vehicle. 
239.25     (e) A vehicle subject to a security interest, based upon a 
239.26  loan or other financing arranged by a financial institution, is 
239.27  subject to the interest of the financial institution.  
239.28     Sec. 6.  Minnesota Statutes 1999 Supplement, section 
239.29  169.129, subdivision 1, is amended to read: 
239.30     Subdivision 1.  [CRIME.] It is a gross misdemeanor crime 
239.31  for any person to drive, operate, or be in physical control of a 
239.32  motor vehicle, the operation of which requires a driver's 
239.33  license, within this state or upon the ice of any boundary water 
239.34  of this state in violation of section 169.121 or an ordinance in 
239.35  conformity with it before the person's driver's license or 
239.36  driving privilege has been reinstated following its 
240.1   cancellation, suspension, revocation, disqualification, or 
240.2   denial under any of the following statutes:  
240.3      (1) section 169.121, 169.1211, or 169.123; 
240.4      (2) section 171.04, 171.14, 171.16, 171.17, or 171.18 
240.5   because of an alcohol-related incident; 
240.6      (3) section 609.21, subdivision 1, clauses (2) to (6); 
240.7   subdivision 2, clauses (2) to (6); subdivision 2a, clauses (2) 
240.8   to (6); subdivision 2b, clauses (2) to (6); subdivision 3, 
240.9   clauses (2) to (6); or subdivision 4, clauses (2) to (6). 
240.10     Sec. 7.  Minnesota Statutes 1998, section 169.129, is 
240.11  amended by adding a subdivision to read: 
240.12     Subd. 1a.  [PENALTIES.] (a) Except as otherwise provided in 
240.13  paragraph (b), a person who violates this section is guilty of a 
240.14  gross misdemeanor. 
240.15     (b) A person is guilty of a felony if the person violates 
240.16  subdivision 1, and either: 
240.17     (1) the person has three or more prior impaired driving 
240.18  convictions, as defined in section 169.121, subdivision 3, 
240.19  within the past ten years; or 
240.20     (2) the person has been convicted previously of a felony 
240.21  violation of this section or section 169.121. 
240.22  A person convicted of a felony under this paragraph must be 
240.23  sentenced to imprisonment for not less than five nor more than 
240.24  seven years and, in addition, may be ordered to pay a fine of 
240.25  not more than $14,000.  The court must impose this mandatory 
240.26  sentence and may stay execution of it only on condition that the 
240.27  offender serve 180 consecutive days in a local correctional 
240.28  facility and, following this period of incarceration, that the 
240.29  offender enter a program of probation supervision that includes 
240.30  electronic monitoring and, if recommended by the chemical use 
240.31  assessment, chemical dependency treatment and aftercare.  
240.32  Hearings on whether the offender has violated the conditions of 
240.33  the stayed sentence are governed by section 609.135, subdivision 
240.34  1d. 
240.35     Sec. 8.  Minnesota Statutes 1998, section 609.135, is 
240.36  amended by adding a subdivision to read: 
241.1      Subd. 1d.  [FELONY-LEVEL DWI OFFENDER; ALCOHOL OR DRUG 
241.2   USE.] If a defendant convicted of a felony-level violation of 
241.3   section 169.121 or 169.129 is required, as a condition of a 
241.4   stayed sentence, to refrain from the use of alcohol or drugs, 
241.5   the probation agent supervising the defendant must immediately 
241.6   report to the court any information or indication that the 
241.7   defendant has violated this condition.  As soon as practicable 
241.8   after receiving the probation agent's report, the court shall 
241.9   hold a hearing under section 609.14 to determine whether the 
241.10  defendant used alcohol or drugs in violation of the condition of 
241.11  the stayed sentence.  If the court finds that the defendant 
241.12  violated this condition, the court may continue the stay only on 
241.13  the additional condition that the defendant serve 365 
241.14  consecutive days of incarceration in a local correctional 
241.15  facility.  The court must impose this additional condition 
241.16  unless the court makes written findings regarding the mitigating 
241.17  factors justifying nonimposition of the condition. 
241.18     Sec. 9.  Minnesota Statutes 1999 Supplement, section 
241.19  609.135, subdivision 2, is amended to read: 
241.20     Subd. 2.  [STAY OF SENTENCE MAXIMUM PERIODS.] (a) Except as 
241.21  otherwise provided in this paragraph, if the conviction is for a 
241.22  felony the stay shall be for not more than four years or the 
241.23  maximum period for which the sentence of imprisonment might have 
241.24  been imposed, whichever is longer.  If the conviction is for a 
241.25  felony violation of section 169.121 or 169.129, the stay shall 
241.26  be for not more than ten years. 
241.27     (b) If the conviction is for a gross misdemeanor violation 
241.28  of section 169.121 or 169.129, the stay shall be for not more 
241.29  than six years.  The court shall provide for unsupervised 
241.30  probation for the last year of the stay unless the court finds 
241.31  that the defendant needs supervised probation for all or part of 
241.32  the last year. 
241.33     (c) If the conviction is for a gross misdemeanor not 
241.34  specified in paragraph (b), the stay shall be for not more than 
241.35  two years. 
241.36     (d) If the conviction is for any misdemeanor under section 
242.1   169.121; 609.746, subdivision 1; 609.79; or 617.23; or for a 
242.2   misdemeanor under section 609.2242 or 609.224, subdivision 1, in 
242.3   which the victim of the crime was a family or household member 
242.4   as defined in section 518B.01, the stay shall be for not more 
242.5   than two years.  The court shall provide for unsupervised 
242.6   probation for the second year of the stay unless the court finds 
242.7   that the defendant needs supervised probation for all or part of 
242.8   the second year. 
242.9      (e) If the conviction is for a misdemeanor not specified in 
242.10  paragraph (d), the stay shall be for not more than one year.  
242.11     (f) The defendant shall be discharged six months after the 
242.12  term of the stay expires, unless the stay has been revoked or 
242.13  extended under paragraph (g), or the defendant has already been 
242.14  discharged. 
242.15     (g) Notwithstanding the maximum periods specified for stays 
242.16  of sentences under paragraphs (a) to (f), a court may extend a 
242.17  defendant's term of probation for up to one year if it finds, at 
242.18  a hearing conducted under subdivision 1a, that: 
242.19     (1) the defendant has not paid court-ordered restitution or 
242.20  a fine in accordance with the payment schedule or structure; and 
242.21     (2) the defendant is likely to not pay the restitution or 
242.22  fine the defendant owes before the term of probation expires.  
242.23  This one-year extension of probation for failure to pay 
242.24  restitution or a fine may be extended by the court for up to one 
242.25  additional year if the court finds, at another hearing conducted 
242.26  under subdivision 1a, that the defendant still has not paid the 
242.27  court-ordered restitution or fine that the defendant owes. 
242.28     (h) Notwithstanding the maximum periods specified for stays 
242.29  of sentences under paragraphs (a) to (f), a court may extend a 
242.30  defendant's term of probation for up to three years if it finds, 
242.31  at a hearing conducted under subdivision 1c, that: 
242.32     (1) the defendant has failed to complete court-ordered 
242.33  treatment successfully; and 
242.34     (2) the defendant is likely not to complete court-ordered 
242.35  treatment before the term of probation expires. 
242.36     Sec. 10.  [SENTENCING GUIDELINE RANKING OF DWI FELONY.] 
243.1      The sentencing guidelines commission is requested to leave 
243.2   felony violations of Minnesota Statutes, sections 169.121 and 
243.3   169.129, unranked under sentencing guideline II.A.03.  The 
243.4   commission also is requested to amend the sentencing guidelines 
243.5   to provide that each felony violation of Minnesota Statutes, 
243.6   section 169.121 or 169.129, constitutes one criminal history 
243.7   point. 
243.8      Sec. 11.  [PLAN FOR PLACEMENT OF DWI OFFENDERS SENTENCED TO 
243.9   PRISON.] 
243.10     The commissioner of corrections, in consultation with the 
243.11  commissioner of human services, shall develop a plan for the 
243.12  placement and management of felony-level DWI offenders who are 
243.13  committed to the commissioner's custody.  The plan shall 
243.14  identify the facilities in which these offenders will be 
243.15  confined and shall include state-owned or state-operated 
243.16  residential facilities and private facilities that currently are 
243.17  not part of the state correctional system.  The commissioner 
243.18  shall submit the plan to the chairs and ranking minority members 
243.19  of the house and senate committees with jurisdiction over 
243.20  criminal justice policy and funding by November 1, 2000. 
243.21     Sec. 12.  [STUDY OF COMMUNITY CORRECTIONS IMPACTS OF FELONY 
243.22  DWI.] 
243.23     The commissioner of corrections shall study and report to 
243.24  the legislature on the likely community corrections impacts of 
243.25  the felony penalty created by this article.  In conducting the 
243.26  study, the commissioner shall obtain relevant information from 
243.27  counties within each of the three probation services delivery 
243.28  systems in order to answer the following questions: 
243.29     (1) How many felony-level DWI offenders will be on 
243.30  probation each year? 
243.31     (2) What conditions of probation will these offenders be 
243.32  required to observe? 
243.33     (3) How many offenders are expected to successfully 
243.34  complete probation and how many are expected to violate 
243.35  probation and serve their stayed prison sentence? 
243.36     As part of the study, the commissioner must also examine 
244.1   and report on private services to satisfy the mandatory 
244.2   incarceration sentences and the chemical dependency requirements.
244.3      The commissioner shall submit the report to the chairs and 
244.4   ranking minority members of the house and senate committees with 
244.5   jurisdiction over criminal justice policy and funding by 
244.6   November 1, 2000. 
244.7      Sec. 13.  [EFFECTIVE DATE.] 
244.8      Sections 1 to 10 are effective July 1, 2001, and apply to 
244.9   offenses occurring on or after that date. 
244.10                             PART E 
244.11                   STATE GOVERNMENT PROVISIONS
244.12                             ARTICLE 16
244.13                          STATE GOVERNMENT
244.14                           APPROPRIATIONS 
244.15  Section 1.  [APPROPRIATIONS.] 
244.16     The sums shown in the columns marked "APPROPRIATIONS" are 
244.17  appropriated from the general fund, or any other fund named, to 
244.18  the agencies and for the purposes specified in this article, to 
244.19  be available for the fiscal years indicated for each purpose.  
244.20  The figures "2000" and "2001" mean that the appropriation or 
244.21  appropriations listed under them are available for the fiscal 
244.22  year ending June 30, 2000, or June 30, 2001, respectively, and 
244.23  if an earlier appropriation was made for that purpose for that 
244.24  year, the appropriation in this article is added to it.  Where a 
244.25  dollar amount appears in parentheses, it means a reduction of an 
244.26  earlier appropriation for that purpose for that year. 
244.27                          SUMMARY BY FUND 
244.28                                                       BIENNIAL
244.29                            2000          2001           TOTAL
244.30  GENERAL             $ (3,191,000)  $ (7,414,000)  $ (10,605,000)
244.31  TOTAL               $ (3,191,000)  $ (7,414,000)  $ (10,605,000)
244.32                                             APPROPRIATIONS 
244.33                                         Available for the Year 
244.34                                             Ending June 30 
244.35                                            2000         2001 
244.36  Sec. 2.  LEGISLATURE                   $  50,000      $ 
244.37  $50,000 is for the legislative 
244.38  commission on Minnesota-Ontario matters 
245.1   and is available only upon 
245.2   demonstration of a dollar-for-dollar 
245.3   match from nonstate sources.  This 
245.4   appropriation is available until June 
245.5   30, 2001. 
245.6   From amounts previously appropriated to 
245.7   the house of representatives and 
245.8   carried forward into the biennium 
245.9   beginning July 1, 1999, $1,500,000 is 
245.10  canceled to the general fund. 
245.11  From amounts previously appropriated to 
245.12  the senate and carried forward into the 
245.13  biennium beginning July 1, 1999, 
245.14  $1,500,000 is canceled to the general 
245.15  fund. 
245.16  The house of representatives must 
245.17  minimize the number of members who are 
245.18  required to change offices if there is 
245.19  a change in which party is the majority 
245.20  caucus for the 2001-2002 legislative 
245.21  session. 
245.22  Sec. 3.  SECRETARY OF STATE                           2,000,000
245.23  To construct and maintain the Uniform 
245.24  Commercial Code central filing system 
245.25  required by H.F. No. 1394, if enacted, 
245.26  to be available until June 30, 2001. 
245.27  Beginning with fiscal year 2002, the 
245.28  general fund base for the office of the 
245.29  secretary of state must be reduced by 
245.30  $2,300,000 in fiscal year 2002 and 
245.31  $2,300,000 in fiscal year 2003. 
245.32  Sec. 4.  OFFICE OF STRATEGIC AND 
245.33  LONG-RANGE PLANNING                                  (2,000,000)
245.34  This reduction is for a permanent 
245.35  reduction in staff.  
245.36  The office of strategic and long-range 
245.37  planning must develop a plan for 
245.38  contracting with the University of 
245.39  Minnesota, other educational 
245.40  institutions, and other individuals or 
245.41  entities, for strategic planning 
245.42  activities for the state.  This plan 
245.43  shall be submitted to the legislature 
245.44  by January 15, 2001. 
245.45  Sec. 5.  ADMINISTRATION               (2,000,000)    (3,049,000)
245.46  Of this amount, $2,000,000 in fiscal 
245.47  year 2000 is a reduction to the 
245.48  appropriation for year 2000 contingency 
245.49  funds authorized in Laws 1999, chapter 
245.50  250, article 1, section 12, subdivision 
245.51  4, $342,000 in fiscal year 2001 is a 
245.52  reduction for the elimination of the 
245.53  office of citizenship and volunteer 
245.54  services, and $2,707,000 in fiscal year 
245.55  2001 is a reduction for the elimination 
245.56  of the office of technology. 
245.57  The appropriation for the Alliance With 
245.58  Youth must not be reduced.  The 
245.59  Alliance With Youth is a separate 
246.1   activity in the department of 
246.2   administration. 
246.3   If any portion of the $2,000,000 
246.4   reduction in year 2000 contingency 
246.5   funds has been expended or encumbered 
246.6   before the effective date of this 
246.7   section, other appropriations to the 
246.8   department for fiscal year 2001 are 
246.9   reduced by the amount of these 
246.10  expenditures or encumbrances. 
246.11  Sec. 6.  CAMPAIGN FINANCE AND
246.12  DISCLOSURE BOARD                          48,000             
246.13  This appropriation is for legal costs 
246.14  for the board's defense of a 
246.15  constitutional challenge, and for 
246.16  expenses associated with implementation 
246.17  of amendments made to Minnesota 
246.18  Statutes, section 10A.01, and of new 
246.19  Minnesota Statutes, section 10A.035.  
246.20  This appropriation is available until 
246.21  June 30, 2001. 
246.22  Sec. 7.  GAMBLING CONTROL
246.23  BOARD                                     45,000         45,000
246.24  For workers' compensation claims.  
246.25  Money not expended in the first year is 
246.26  available for expenditure in the second 
246.27  year. 
246.28  Sec. 8.  MINNEAPOLIS EMPLOYEES
246.29  RETIREMENT FUND                        (1,334,000)   (1,892,000)
246.30  This is a reduction in payments made to 
246.31  the Minneapolis employees retirement 
246.32  fund under Minnesota Statutes, section 
246.33  422A.101, subdivision 3.  The reduction 
246.34  for fiscal year 2002 is estimated to be 
246.35  $1,892,000 and the reduction for fiscal 
246.36  year 2003 is estimated to be $1,892,000.
246.37  Sec. 9.  BOARD OF GOVERNMENT
246.38  INNOVATION AND COOPERATION                           (1,018,000)
246.39  This reduction is for elimination of 
246.40  the board. 
246.41  Sec. 10.  ATTORNEY GENERAL                           (1,500,000)
246.42  This reduction is from the general fund 
246.43  appropriation for fiscal year 2001 in 
246.44  Laws 1999, chapter 250, article 1, 
246.45  section 6. 
246.46     Sec. 11.  [3.3060] [JOINT STANDING COMMITTEES.] 
246.47     The house of representatives and the senate shall adopt 
246.48  rules that set one time as the regular hour of convening daily 
246.49  sessions in both houses and that establish a system of joint 
246.50  standing committees to consider and report on legislation and 
246.51  conduct other legislative business, except that each house may 
246.52  establish separately a committee on rules and administration and 
247.1   on ethics.  The house of representatives and the senate shall 
247.2   adopt the rules during the legislative session in 2001 and 
247.3   implement them beginning in the legislative session in 2002.  
247.4      Sec. 12.  [3.3061] [CONFERENCE COMMITTEES.] 
247.5      The house of representatives and the senate shall adopt 
247.6   rules of procedure that do not require the house in which a bill 
247.7   originates to ask for the appointment of a conference committee 
247.8   on the bill when it refuses to concur in an amendment to the 
247.9   bill by the other house.  The rules shall permit either house to 
247.10  reconsider and further amend a bill, or the other house's 
247.11  amendment, until one of the houses chooses instead to ask for 
247.12  the appointment of a conference committee on the bill.  The 
247.13  house of representatives and the senate shall adopt the rules 
247.14  during the legislative session in 2001 and implement them 
247.15  beginning in the legislative session in 2002. 
247.16     Sec. 13.  [3.884] [LEGISLATIVE COMMISSION ON 
247.17  MINNESOTA-ONTARIO MATTERS.] 
247.18     Subdivision 1.  [ESTABLISHMENT.] A legislative advisory 
247.19  commission on Minnesota-Ontario matters is established.  The 
247.20  commission is made up of 12 Minnesota members appointed as 
247.21  provided in subdivision 2, with the intent of meeting with a 
247.22  like commission of Ontario citizens appointed as provided by the 
247.23  appropriate government authority of Ontario for the purpose of 
247.24  making recommendations regarding Minnesota-Ontario issues of 
247.25  mutual interest involving natural resources, transportation, 
247.26  economic development, and social matters.  A report and 
247.27  appropriate recommendations must be made annually to the 
247.28  appointing bodies. 
247.29     Subd. 2.  [MINNESOTA APPOINTEES.] Six of the Minnesota 
247.30  members must be appointed by the speaker of the house, three 
247.31  from among the members of the house of representatives and three 
247.32  from Minnesota citizens with interest in and knowledge of 
247.33  Minnesota-Ontario issues; and six members appointed by the 
247.34  subcommittee on committees of the committee on rules and 
247.35  administration of the senate, three from among the members of 
247.36  the senate and three from Minnesota citizens with an interest in 
248.1   and knowledge of Minnesota-Ontario issues. 
248.2      Subd. 3.  [TERMS.] Minnesota legislative members shall 
248.3   serve for the term of the legislative office to which they were 
248.4   elected.  The terms, compensation, and removal of the 
248.5   nonlegislative members of the commission and expiration of the 
248.6   commission shall be as provided in section 15.059.  
248.7      Subd. 4.  [OFFICERS.] There must be cochairs of the 
248.8   commission.  The Ontario section must have a chair and the 
248.9   Minnesota section must have a chair.  The Ontario chair must 
248.10  conduct meetings held in Canada and the Minnesota chair must 
248.11  conduct meetings held in the United States. 
248.12     There must be vice-chairs of the respective sections.  
248.13  There must be elected one secretary from the commission at large.
248.14     Subd. 5.  [STAFF.] The commission may hire the staff 
248.15  necessary to carry out its duties. 
248.16     Sec. 14.  Minnesota Statutes 1999 Supplement, section 
248.17  3.971, subdivision 8, is amended to read: 
248.18     Subd. 8.  [BEST PRACTICES REVIEWS.] (a) The legislative 
248.19  auditor shall conduct best practices reviews that examine the 
248.20  procedures and practices used to deliver local government 
248.21  services, determine the methods of local government service 
248.22  delivery, identify variations in cost and effectiveness, and 
248.23  identify practices to save money or provide more effective 
248.24  service delivery.  The legislative auditor shall recommend to 
248.25  local governments service delivery methods and practices to 
248.26  improve the cost-effectiveness of services.  The legislative 
248.27  auditor and the board of government innovation and cooperation 
248.28  shall notify each other of projects being conducted relating to 
248.29  improving local government services. 
248.30     (b) The commission shall approve local government services 
248.31  to be reviewed with advice from an advisory council appointed by 
248.32  the legislative auditor and consisting of: 
248.33     (1) three representatives from the Association of Minnesota 
248.34  Counties; 
248.35     (2) three representatives from the League of Minnesota 
248.36  Cities; 
249.1      (3) two representatives from the Association of 
249.2   Metropolitan Municipalities; 
249.3      (4) one representative from the Minnesota Association of 
249.4   Townships; and 
249.5      (5) one representative from the Minnesota Association of 
249.6   School Administrators.  
249.7      Sec. 15.  [5.27] [DEPOSIT OF UCC FEES.] 
249.8      Notwithstanding any law to the contrary, all fees received 
249.9   by the secretary of state under chapters 336 and 336A must be 
249.10  deposited in the Uniform Commercial Code account and are 
249.11  continuously appropriated to the secretary of state.  This 
249.12  deposit must not occur until the Cambridge bank debt service 
249.13  account is fully funded. 
249.14     Sec. 16.  Minnesota Statutes 1999 Supplement, section 
249.15  10A.01, subdivision 2, is amended to read: 
249.16     Subd. 2.  [ADMINISTRATIVE ACTION.] "Administrative action" 
249.17  means an action by any official, board, commission or agency of 
249.18  the executive branch to enter into a contract for goods or 
249.19  services to be paid for by public funds in an amount greater 
249.20  than $5,000,000, or adopt, amend, or repeal a rule under chapter 
249.21  14.  "Administrative action" does not include the application or 
249.22  administration of an adopted rule, except in cases of rate 
249.23  setting, power plant and powerline siting, and granting of 
249.24  certificates of need under section 216B.243. 
249.25     Sec. 17.  Minnesota Statutes 1999 Supplement, section 
249.26  10A.01, subdivision 21, is amended to read: 
249.27     Subd. 21.  [LOBBYIST.] (a) "Lobbyist" means an individual: 
249.28     (1) engaged for pay or other consideration, or authorized 
249.29  to spend money by another individual, association, political 
249.30  subdivision, or public higher education system, who spends more 
249.31  than five hours in any month or more than $250, not including 
249.32  the individual's own travel expenses and membership dues, in any 
249.33  year, for the purpose of attempting to influence legislative or 
249.34  administrative action, or the official action of a metropolitan 
249.35  governmental unit, by communicating or urging others to 
249.36  communicate with public or local officials; or 
250.1      (2) who spends more than $250, not including the 
250.2   individual's own traveling expenses and membership dues, in any 
250.3   year for the purpose of attempting to influence legislative or 
250.4   administrative action, or the official action of a metropolitan 
250.5   governmental unit, by communicating or urging others to 
250.6   communicate with public or local officials. 
250.7      (b) "Lobbyist" does not include: 
250.8      (1) a public official; 
250.9      (2) an employee of the state, including an employee of any 
250.10  of the public higher education systems; 
250.11     (3) an elected local official; 
250.12     (4) a nonelected local official or an employee of a 
250.13  political subdivision acting in an official capacity, unless the 
250.14  nonelected official or employee of a political subdivision 
250.15  spends more than 50 hours in any month attempting to influence 
250.16  legislative or administrative action, or the official action of 
250.17  a metropolitan governmental unit other than the political 
250.18  subdivision employing the official or employee, by communicating 
250.19  or urging others to communicate with public or local officials, 
250.20  including time spent monitoring legislative or administrative 
250.21  action, or the official action of a metropolitan governmental 
250.22  unit, and related research, analysis, and compilation and 
250.23  dissemination of information relating to legislative or 
250.24  administrative policy in this state, or to the policies of 
250.25  metropolitan governmental units; 
250.26     (5) a party or the party's representative appearing in a 
250.27  proceeding before a state board, commission, or agency of the 
250.28  executive branch unless the board, commission, or agency is 
250.29  taking administrative action; 
250.30     (6) an individual while engaged in selling goods or 
250.31  services in an amount of $5,000,000 or less to be paid for by 
250.32  public funds; 
250.33     (7) a news medium or its employees or agents while engaged 
250.34  in the publishing or broadcasting of news items, editorial 
250.35  comments, or paid advertisements which directly or indirectly 
250.36  urge official action; 
251.1      (8) a paid expert witness whose testimony is requested by 
251.2   the body before which the witness is appearing, but only to the 
251.3   extent of preparing or delivering testimony; or 
251.4      (9) a party or the party's representative appearing to 
251.5   present a claim to the legislature and communicating to 
251.6   legislators only by the filing of a claim form and supporting 
251.7   documents and by appearing at public hearings on the claim. 
251.8      Sec. 18.  [10A.035] [FORMER LEGISLATOR; LOBBYIST 
251.9   RESTRICTION.] 
251.10     For the period of one year after leaving office or 
251.11  employment, a member of the legislature or an unclassified 
251.12  executive branch employee may not act as a lobbyist as defined 
251.13  in section 10A.01, subdivision 21, with regard to attempting to 
251.14  influence legislative action. 
251.15     Sec. 19.  Minnesota Statutes 1998, section 15.0591, 
251.16  subdivision 2, is amended to read: 
251.17     Subd. 2.  [BODIES AFFECTED.] A member meeting the 
251.18  qualifications in subdivision 1 must be appointed to the 
251.19  following boards, commissions, advisory councils, task forces, 
251.20  or committees:  
251.21     (1) advisory council on battered women; 
251.22     (2) advisory task force on the use of state facilities; 
251.23     (3) alcohol and other drug abuse advisory council; 
251.24     (4) board of examiners for nursing home administrators; 
251.25     (5) board on aging; 
251.26     (6) chiropractic examiners board; 
251.27     (7) consumer advisory council on vocational rehabilitation; 
251.28     (8) council on disability; 
251.29     (9) council on affairs of Chicano/Latino people; 
251.30     (10) council on Black Minnesotans; 
251.31     (11) dentistry board; 
251.32     (12) department of economic security advisory council; 
251.33     (13) higher education services office; 
251.34     (14) housing finance agency; 
251.35     (15) Indian advisory council on chemical dependency; 
251.36     (16) medical practice board; 
252.1      (17) medical policy directional task force on mental 
252.2   health; 
252.3      (18) Minnesota employment and economic development task 
252.4   force; 
252.5      (19) Minnesota office of citizenship and volunteer services 
252.6   advisory committee; 
252.7      (20) Minnesota state arts board; 
252.8      (21) (20) nursing board; 
252.9      (22) (21) optometry board; 
252.10     (23) (22) pharmacy board; 
252.11     (24) (23) physical therapists council; 
252.12     (25) (24) podiatry board; 
252.13     (26) (25) psychology board; 
252.14     (27) (26) veterans advisory committee. 
252.15     Sec. 20.  Minnesota Statutes 1998, section 15A.0815, 
252.16  subdivision 2, is amended to read: 
252.17     Subd. 2.  [GROUP I SALARY LIMITS.] The salaries for 
252.18  positions in this subdivision may not exceed 85 75 percent of 
252.19  the salary of the governor:  
252.20     Commissioner of administration; 
252.21     Commissioner of agriculture; 
252.22     Commissioner of children, families, and learning; 
252.23     Commissioner of commerce; 
252.24     Commissioner of corrections; 
252.25     Commissioner of economic security; 
252.26     Commissioner of employee relations; 
252.27     Commissioner of finance; 
252.28     Commissioner of health; 
252.29     Executive director, higher education services office; 
252.30     Commissioner, housing finance agency; 
252.31     Commissioner of human rights; 
252.32     Commissioner of human services; 
252.33     Executive director, state board of investment; 
252.34     Commissioner of labor and industry; 
252.35     Commissioner of natural resources; 
252.36     Director of office of strategic and long-range planning; 
253.1      Commissioner, pollution control agency; 
253.2      Commissioner of public safety; 
253.3      Commissioner, department of public service; 
253.4      Commissioner of revenue; 
253.5      Commissioner of trade and economic development; 
253.6      Commissioner of transportation; and 
253.7      Commissioner of veterans affairs. 
253.8      Sec. 21.  Minnesota Statutes 1998, section 15A.0815, 
253.9   subdivision 3, is amended to read: 
253.10     Subd. 3.  [GROUP II SALARY LIMITS.] The salaries for 
253.11  positions in this subdivision may not exceed 75 65 percent of 
253.12  the salary of the governor: 
253.13     Ombudsman for corrections; 
253.14     Executive director of gambling control board; 
253.15     Commissioner, iron range resources and rehabilitation 
253.16  board; 
253.17     Commissioner, bureau of mediation services; 
253.18     Ombudsman for mental health and retardation; 
253.19     Chair, metropolitan council; 
253.20     Executive director of pari-mutuel racing; 
253.21     Executive director, public employees retirement 
253.22  association; 
253.23     Commissioner, public utilities commission; 
253.24     Executive director, state retirement system; and 
253.25     Executive director, teachers retirement association. 
253.26     Sec. 22.  Minnesota Statutes 1998, section 16A.10, is 
253.27  amended by adding a subdivision to read: 
253.28     Subd. 2a.  [INFORMATION TECHNOLOGY 
253.29  PROJECTS.] Notwithstanding any law to the contrary, by November 
253.30  30 of each even-numbered year, the commissioner must send the 
253.31  chairs of the house of representatives ways and means committee 
253.32  and the senate state government finance committee a list of all 
253.33  agency requests for funding in the next biennium of information 
253.34  and communication technology projects estimated to cost more 
253.35  than $100,000. 
253.36     Sec. 23.  Minnesota Statutes 1999 Supplement, section 
254.1   16A.103, subdivision 1, is amended to read: 
254.2      Subdivision 1.  [STATE REVENUE AND EXPENDITURES.] In 
254.3   February and November each year, the commissioner shall prepare 
254.4   a forecast of state revenue and expenditures.  The November 
254.5   forecast must be delivered to the legislature and governor no 
254.6   later than the end of the first week of December.  The February 
254.7   forecast must be delivered to the legislature and governor by 
254.8   the end of February.  Forecasts must be delivered to the 
254.9   legislature and governor on the same day.  If requested by the 
254.10  legislative commission on planning and fiscal policy, delivery 
254.11  to the legislature must include a presentation to the commission.
254.12     Subd. 1a.  [FORECAST PARAMETERS.] The forecast must assume 
254.13  the continuation of current laws and reasonable estimates of 
254.14  projected growth in the national and state economies and 
254.15  affected populations.  Revenue must be estimated for all sources 
254.16  provided for in current law.  Expenditures must be estimated for 
254.17  all obligations imposed by law and those projected to occur as a 
254.18  result of inflation and variables outside the control of the 
254.19  legislature.  The forecast must include a set aside amount that 
254.20  reflects cost increases as a result of inflation in delivering 
254.21  the current law level of services.  This amount may not exceed 
254.22  the amount obtained by applying the Consumer Price Index to 
254.23  those state expenditures that reflect payments for services at 
254.24  the state or local level.  An amount to reflect increases in 
254.25  providing services may not be applied to any appropriation for 
254.26  which the law or process determining that appropriation amount 
254.27  already includes a factor to reflect those cost increases. 
254.28     Subd. 1b.  [FORECAST VARIABLE.] In determining the rate of 
254.29  inflation, the application of inflation, the amount of state 
254.30  bonding as it affects debt service, the calculation of 
254.31  investment income, and the other variables to be included in the 
254.32  expenditure part of the forecast, the commissioner must consult 
254.33  with the chair chairs and lead minority members of the senate 
254.34  state government finance committee, and the chair of the house 
254.35  committee on ways and means committee, and house and 
254.36  senate legislative fiscal staff.  This consultation must occur 
255.1   at least six weeks before the forecast is to be released.  No 
255.2   later than two weeks prior to the release of the forecast, the 
255.3   commissioner must inform the chairs and lead minority members of 
255.4   the senate state government finance committee and the house ways 
255.5   and means committee, and legislative fiscal staff of any changes 
255.6   in these variables from the previous forecast. 
255.7      Subd. 1c.  [EXPENDITURE DATA.] State agencies must submit 
255.8   any revisions in expenditure data the commissioner determines 
255.9   necessary for the forecast to the commissioner at least four 
255.10  weeks prior to the release of the forecast.  The information 
255.11  submitted by state agencies and any modifications to that 
255.12  information made by the commissioner must be made available to 
255.13  legislative fiscal staff no later than three weeks prior to the 
255.14  release of the forecast. 
255.15     Subd. 1d.  [REVENUE DATA.] On a monthly basis, the 
255.16  commissioner must provide legislative fiscal staff with an 
255.17  update of the previous month's state revenues no later than 12 
255.18  days after the end of that month. 
255.19     Subd. 1e.  [ECONOMIC INFORMATION.] The commissioner must 
255.20  review economic information including economic forecasts with 
255.21  legislative fiscal staff no later than two weeks before the 
255.22  forecast is released.  The commissioner must invite the chairs 
255.23  and lead minority members of the senate state government finance 
255.24  committee and the house ways and means committee, and 
255.25  legislative fiscal staff to attend any meetings held with 
255.26  outside economic advisors.  The commissioner must provide 
255.27  legislative fiscal staff with monthly economic forecast 
255.28  information received from outside sources. 
255.29     Subd. 1f.  [PERSONAL INCOME.] In addition, the commissioner 
255.30  shall forecast Minnesota personal income for each of the years 
255.31  covered by the forecast and include these estimates in the 
255.32  forecast documents. 
255.33     Subd. 1g.  [PERIOD TO BE FORECAST.] A forecast prepared 
255.34  during the first fiscal year of a biennium must cover that 
255.35  biennium and the next biennium.  A forecast prepared during the 
255.36  second fiscal year of a biennium must cover that biennium and 
256.1   the next two bienniums. 
256.2      Sec. 24.  Minnesota Statutes 1998, section 16A.11, 
256.3   subdivision 3, is amended to read: 
256.4      Subd. 3.  [PART TWO:  DETAILED BUDGET.] (a) Part two of the 
256.5   budget, the detailed budget estimates both of expenditures and 
256.6   revenues, must contain any statements on the financial plan 
256.7   which the governor believes desirable or which may be required 
256.8   by the legislature.  The detailed estimates shall include the 
256.9   governor's budget arranged in tabular form. 
256.10     (b) The detailed estimates must include a separate line 
256.11  listing the total number of professional or technical service 
256.12  contracts and the total cost of those contracts for the prior 
256.13  biennium and the projected number of professional or technical 
256.14  service contracts and the projected costs of those contracts for 
256.15  the current and upcoming biennium.  They must also include a 
256.16  summary of the personnel employed by the agency, reflected as 
256.17  full-time equivalent positions, and the number of professional 
256.18  or technical service consultants for the current biennium. 
256.19     (c) The detailed estimates for internal service funds must 
256.20  include the number of full-time equivalents by program; detail 
256.21  on any loans from the general fund, including dollar amounts by 
256.22  program; proposed investments in technology or equipment of 
256.23  $100,000 or more; an explanation of any operating losses or 
256.24  increases in retained earnings; and a history of the rates that 
256.25  have been charged, with an explanation of any rate changes and 
256.26  the impact of the rate changes on affected agencies. 
256.27     Sec. 25.  Minnesota Statutes 1998, section 16A.124, is 
256.28  amended by adding a subdivision to read: 
256.29     Subd. 3a.  [SUPPLEMENTAL AGREEMENT.] If an agency submits a 
256.30  supplemental agreement to an existing contract to the 
256.31  commissioner of administration for approval, the commissioner of 
256.32  administration must act on the supplemental agreement in time 
256.33  for the agency to make payments to the vendor in the manner 
256.34  required under this section. 
256.35     Sec. 26.  Minnesota Statutes 1998, section 16A.126, 
256.36  subdivision 2, is amended to read: 
257.1      Subd. 2.  [IMMEDIATE NEEDS.] To reduce reserves for 
257.2   unforeseen needs, and so reduce these rates, the commissioner 
257.3   may transfer money from the general fund to a revolving fund.  
257.4   Before doing so, the commissioner must decide there is not 
257.5   enough money in the revolving fund for an immediate, necessary 
257.6   expenditure.  The amount necessary to make the transfer is 
257.7   appropriated from the general fund to the commissioner of 
257.8   finance.  The commissioner shall report the amount and purpose 
257.9   of the transfer to the chair of the committee or division in the 
257.10  senate and house of representatives with primary jurisdiction 
257.11  over the budget of the department of finance. 
257.12     Sec. 27.  Minnesota Statutes 1999 Supplement, section 
257.13  16A.129, subdivision 3, is amended to read: 
257.14     Subd. 3.  [CASH ADVANCES.] When the operations of any 
257.15  nongeneral fund account would be impeded by projected cash 
257.16  deficiencies resulting from delays in the receipt of grants, 
257.17  dedicated income, or other similar receivables, and when the 
257.18  deficiencies would be corrected within the budget period 
257.19  involved, the commissioner of finance may use general fund cash 
257.20  reserves to meet cash demands.  If funds are transferred from 
257.21  the general fund to meet cash flow needs, the cash flow 
257.22  transfers must be returned to the general fund as soon as 
257.23  sufficient cash balances are available in the account to which 
257.24  the transfer was made.  The fund to which general fund cash was 
257.25  advanced must pay interest on the cash advance at a rate 
257.26  comparable to the rate earned by the state on invested 
257.27  treasurer's cash, as determined monthly by the commissioner.  An 
257.28  amount necessary to pay the interest is appropriated from the 
257.29  nongeneral fund to which the cash advance was made.  Any 
257.30  interest earned on general fund cash flow transfers accrues to 
257.31  the general fund and not to the accounts or funds to which the 
257.32  transfer was made.  The commissioner may advance general fund 
257.33  cash reserves to nongeneral fund accounts where the receipts 
257.34  from other governmental units cannot be collected within the 
257.35  budget period. 
257.36     Sec. 28.  [16A.145] [INFORMATION SYSTEMS PROJECTS.] 
258.1      Before funds are spent or encumbered for an executive 
258.2   agency information systems development project estimated to cost 
258.3   more than $1,000,000, the commissioner of finance must ensure 
258.4   that a source outside of state government has completed a risk 
258.5   assessment for the project and that the results of the 
258.6   assessment have been reported to the chairs of the house ways 
258.7   and means and senate state government finance committees.  The 
258.8   entity performing the risk assessment must not have a direct or 
258.9   indirect financial interest in the project. 
258.10     Sec. 29.  [16A.633] [CAPITAL FUNDING CONTINGENT ON 
258.11  MAINTAINING DATA.] 
258.12     Subdivision 1.  [STATE AGENCIES.] Each state agency shall 
258.13  provide to the commissioner of administration the data necessary 
258.14  for the commissioner to maintain the department's database on 
258.15  the location, description, and condition of state-owned 
258.16  facilities.  The data must be provided by December 15 each 
258.17  year.  The commissioner of administration must maintain both the 
258.18  current inventory data and historical data.  A state agency is 
258.19  not eligible to receive capital funding unless the agency has 
258.20  provided the data required. 
258.21     Subd. 2.  [MINNESOTA STATE COLLEGES AND UNIVERSITIES.] The 
258.22  board of trustees of the Minnesota state colleges and 
258.23  universities shall establish and maintain data on the location, 
258.24  description, and condition of board-owned facilities that is 
258.25  comparable with the database established by the department of 
258.26  administration.  The data must be updated annually and the board 
258.27  must maintain both current inventory data and historical data.  
258.28  The board is not eligible to receive capital funding unless the 
258.29  board has established and maintains the data required. 
258.30     Subd. 3.  [UNIVERSITY OF MINNESOTA.] The board of regents 
258.31  of the University of Minnesota is requested to establish and 
258.32  maintain data on the location, description, and condition of 
258.33  university-owned facilities that is comparable with the database 
258.34  established by the department of administration.  The university 
258.35  is requested to update the data annually and maintain both 
258.36  current inventory data and historical data.  The board of 
259.1   regents is not eligible to receive capital funding unless the 
259.2   board has established and maintains the data required. 
259.3      Sec. 30.  [16A.6705] [LIMIT.] 
259.4      (a) The commissioner may not issue bonds to provide money 
259.5   for a project for which the legislature has appropriated more 
259.6   than $5,000,000 unless a cost-benefit analysis has been 
259.7   completed and shows a positive benefit to the public.  The 
259.8   management analysis division of the department of administration 
259.9   must perform or direct the performance of the analysis. 
259.10     (b) All cost-benefit analysis documents under this section, 
259.11  including preliminary drafts and notes, are public data. 
259.12     (c) If a cost-benefit analysis does not show a positive 
259.13  benefit to the public, the governor may issue bonds for the 
259.14  project if a cost-effectiveness study has been done that shows a 
259.15  proposed project is the most effective way to provide a 
259.16  necessary public good compared to other means of accomplishing 
259.17  the goals of legislation authorizing the appropriation. 
259.18     (d) This section does not apply to projects that are in 
259.19  response to a natural disaster if an emergency has been declared 
259.20  by the governor. 
259.21     Sec. 31.  Minnesota Statutes 1998, section 16B.052, is 
259.22  amended to read: 
259.23     16B.052 [AUTHORITY TO TRANSFER FUNDS.] 
259.24     The commissioner may, with the approval of the commissioner 
259.25  of finance, transfer from an internal service or enterprise fund 
259.26  account to another internal service or enterprise fund account, 
259.27  any contributed capital appropriated by the legislature.  The 
259.28  transfer may be made only to provide working capital or positive 
259.29  cash flow in the account to which the money is transferred.  The 
259.30  commissioner shall report the amount and purpose of the transfer 
259.31  to the chair of the committee or division in the senate and 
259.32  house of representatives with primary jurisdiction over the 
259.33  budget of the department of administration.  The transfer must 
259.34  be repaid within 18 months.  
259.35     Sec. 32.  Minnesota Statutes 1998, section 16B.31, is 
259.36  amended by adding a subdivision to read: 
260.1      Subd. 1a.  [DESIGN-BUILD PROHIBITION.] An agency may not 
260.2   use a design-build method of project development and 
260.3   construction.  For purposes of this subdivision: 
260.4      (1) "design-build method" means a project delivery system 
260.5   in which a single contractor is responsible for both the design 
260.6   and construction of the project and in which the design and 
260.7   construction are bid together; 
260.8      (2) "agency" has the meaning defined in section 16B.01, and 
260.9   includes the Minnesota state colleges and universities and any 
260.10  agency to which the commissioner or other law has delegated 
260.11  contracting authority. 
260.12     Sec. 33.  Minnesota Statutes 1998, section 16B.335, 
260.13  subdivision 5, is amended to read: 
260.14     Subd. 5.  [INFORMATION TECHNOLOGY.] Agency requests for 
260.15  construction and remodeling funds shall include money for 
260.16  cost-effective information technology investments that would 
260.17  enable an agency to reduce its need for office space, provide 
260.18  more of its services electronically, and decentralize its 
260.19  operations.  The office of technology must review and approve 
260.20  the information technology portion of construction and major 
260.21  remodeling program plans before the plans are submitted to the 
260.22  chairs of the senate finance committee and the house of 
260.23  representatives ways and means committee for their 
260.24  recommendations and the chair of the house of representatives 
260.25  capital investment committee is notified as required by 
260.26  subdivision 1. 
260.27     Sec. 34.  Minnesota Statutes 1998, section 16B.42, 
260.28  subdivision 2, is amended to read: 
260.29     Subd. 2.  [DUTIES.] The council shall:  assist state and 
260.30  local agencies in developing and updating intergovernmental 
260.31  information systems; facilitate participation of users during 
260.32  the development of major revisions of intergovernmental 
260.33  information systems; review intergovernmental information and 
260.34  computer systems involving intergovernmental funding; encourage 
260.35  cooperative efforts among state and local governments in 
260.36  developing intergovernmental information systems; present local 
261.1   government concerns to state government and state government 
261.2   concerns to local government with respect to intergovernmental 
261.3   information systems; develop and recommend standards and 
261.4   policies for intergovernmental information systems to the office 
261.5   of technology; foster the efficient use of available federal, 
261.6   state, local, and private resources for the development of 
261.7   intergovernmental systems; keep government agencies abreast of 
261.8   the state of the art in information systems; prepare guidelines 
261.9   for intergovernmental systems; assist the commissioner of 
261.10  administration in the development of cooperative contracts for 
261.11  the purchase of information system equipment and software; and 
261.12  assist the legislature by providing advice on intergovernmental 
261.13  information systems issues. 
261.14     Sec. 35.  Minnesota Statutes 1998, section 16B.42, 
261.15  subdivision 3, is amended to read: 
261.16     Subd. 3.  [OTHER DUTIES.] The intergovernmental 
261.17  informations systems advisory council shall (1) recommend to the 
261.18  commissioners of state departments, the legislative auditor, and 
261.19  the state auditor a method for the expeditious gathering and 
261.20  reporting of information and data between agencies and units of 
261.21  local government in accordance with cooperatively developed 
261.22  standards; (2) elect an executive committee, not to exceed seven 
261.23  members from its membership; (3) develop an annual plan, to 
261.24  include administration and evaluation of grants, in compliance 
261.25  with applicable rules; (4) provide technical information systems 
261.26  assistance or guidance to local governments for development, 
261.27  implementation, and modification of automated systems, including 
261.28  formation of consortiums for those systems; (5) appoint 
261.29  committees and task forces, which may include persons other than 
261.30  council members, to assist the council in carrying out its 
261.31  duties; (6) select an executive director to serve the council 
261.32  and may employ other employees it deems necessary, all of whom 
261.33  are in the classified service of the state civil service; and (7)
261.34  may contract for professional and other similar services on 
261.35  terms it deems desirable; and (8) work with the office of 
261.36  technology to ensure that information systems developed by state 
262.1   agencies that impact local government will be reviewed by the 
262.2   council. 
262.3      Sec. 36.  Minnesota Statutes 1998, section 16B.48, 
262.4   subdivision 4, is amended to read: 
262.5      Subd. 4.  [REIMBURSEMENTS.] Except as specifically provided 
262.6   otherwise by law, each agency shall reimburse intertechnologies 
262.7   and general services revolving funds for the cost of all 
262.8   services, supplies, materials, labor, and depreciation of 
262.9   equipment, including reasonable overhead costs, which the 
262.10  commissioner is authorized and directed to furnish an agency.  
262.11  The cost of all publications or other materials produced by the 
262.12  commissioner and financed from the general services revolving 
262.13  fund must include reasonable overhead costs.  The commissioner 
262.14  of administration shall report the rates to be charged for each 
262.15  revolving fund no later than July 1 each year to the chair of 
262.16  the committee or division in the senate and house of 
262.17  representatives with primary jurisdiction over the budget of the 
262.18  department of administration.  The commissioner of finance shall 
262.19  make appropriate transfers to the revolving funds described in 
262.20  this section when requested by the commissioner of 
262.21  administration.  The commissioner of administration may make 
262.22  allotments, encumbrances, and, with the approval of the 
262.23  commissioner of finance, disbursements in anticipation of such 
262.24  transfers.  In addition, the commissioner of administration, 
262.25  with the approval of the commissioner of finance, may require an 
262.26  agency to make advance payments to the revolving funds in this 
262.27  section sufficient to cover the agency's estimated obligation 
262.28  for a period of at least 60 days.  All reimbursements and other 
262.29  money received by the commissioner of administration under this 
262.30  section must be deposited in the appropriate revolving fund.  
262.31  Any earnings remaining in the fund established to account for 
262.32  the documents service prescribed by section 16B.51 at the end of 
262.33  each fiscal year not otherwise needed for present or future 
262.34  operations, as determined by the commissioners of administration 
262.35  and finance, must be transferred to the general fund.  
262.36     Sec. 37.  Minnesota Statutes 1998, section 16B.485, is 
263.1   amended to read: 
263.2      16B.485 [INTERFUND LOANS.] 
263.3      The commissioner may, with the approval of the commissioner 
263.4   of finance, make loans from an internal service or enterprise 
263.5   fund to another internal service or enterprise fund, and the 
263.6   amount necessary is appropriated from the fund that makes the 
263.7   loan.  The commissioner shall report the amount and purpose of 
263.8   the loan to the chair of the committee or division in the senate 
263.9   and house of representatives with primary jurisdiction over the 
263.10  budget of the department of administration.  The term of a loan 
263.11  made under this section must be not more than 24 months. 
263.12     Sec. 38.  Minnesota Statutes 1999 Supplement, section 
263.13  16B.616, subdivision 3, is amended to read: 
263.14     Subd. 3.  [SAFETY REQUIREMENTS.] In places of public 
263.15  accommodation using bleacher seating, all bleachers or bleacher 
263.16  open spaces over 30 55 inches above grade or the floor below, 
263.17  and all bleacher guardrails if any part of the guardrail is over 
263.18  55 inches above grade or the floor below must conform to the 
263.19  following safety requirements: 
263.20     (1) the open space between bleacher footboards, seats, and 
263.21  guardrails must not exceed four inches, unless approved safety 
263.22  nets are installed, except that bleachers already in existence 
263.23  as of August 1, 2001, with open spaces not exceeding nine 
263.24  inches, are exempt from the requirement of this clause; 
263.25     (2) bleachers must have vertical perimeter guardrails with 
263.26  no more than four-inch rail spacing between vertical rails or 
263.27  other approved guardrails that address climbability and are 
263.28  designed to prevent accidents; and 
263.29     (3) the state building official shall determine whether the 
263.30  safety nets and guardrail climbability meet the requirements of 
263.31  the alternate design section of the State Building Code.  All 
263.32  new bleachers manufactured, installed, sold, or distributed 
263.33  after January August 1, 2001, must comply with the State 
263.34  Building Code in effect and clauses (1), (2), and (3) this 
263.35  subdivision. 
263.36     Sec. 39.  Minnesota Statutes 1999 Supplement, section 
264.1   16B.616, subdivision 4, is amended to read: 
264.2      Subd. 4.  [ENFORCEMENT.] (a) A statutory or home rule 
264.3   charter city that is not covered by the code because of action 
264.4   taken under section 16B.72 or 16B.73 is responsible for 
264.5   enforcement in the city of the code's requirements for bleacher 
264.6   safety.  In all other areas where the code does not apply 
264.7   because of action taken under section 16B.72 or 16B.73, the 
264.8   county is responsible for enforcement of those requirements. 
264.9      (b) Municipalities that have not adopted the code may 
264.10  enforce the code requirements for bleacher safety by either 
264.11  entering into a joint powers agreement for enforcement with 
264.12  another municipality that has adopted the code or contracting 
264.13  for enforcement with a qualified and certified building official 
264.14  or state licensed design professional to enforce the code. 
264.15     (c) Municipalities, school districts, organizations, 
264.16  individuals, and other persons operating or owning places of 
264.17  public accommodation with bleachers that are subject to the 
264.18  safety requirements in subdivision 3 shall provide a signed 
264.19  certification of compliance to the commissioner by January 1, 
264.20  2001 2002.  The certification shall be prepared by a qualified 
264.21  and certified building official or state licensed design 
264.22  professional and shall certify that the bleachers have been 
264.23  inspected and are in compliance with the requirements of this 
264.24  section and are structurally sound.  For bleachers owned by a 
264.25  school district, the person the district designates to be 
264.26  responsible for buildings and grounds may make the certification.
264.27     Sec. 40.  Minnesota Statutes 1998, section 43A.38, 
264.28  subdivision 1, is amended to read: 
264.29     Subdivision 1.  [DEFINITIONS.] For the purpose of this 
264.30  section the following definitions shall apply: 
264.31     (a) "Business" means any corporation, partnership, 
264.32  proprietorship, firm, enterprise, franchise, association, 
264.33  organization, self-employed individual or any other legal entity 
264.34  which engages either in nonprofit or profit making activities. 
264.35     (b) "Confidential information" means any information 
264.36  obtained under government authority which has not become part of 
265.1   the body of public information and which, if released 
265.2   prematurely or in nonsummary form, may provide unfair economic 
265.3   advantage or adversely affect the competitive position of an 
265.4   individual or a business. 
265.5      (c) "Employee in the executive branch" means an employee as 
265.6   defined in section 43A.02, subdivision 21, and executive branch 
265.7   constitutional officers. 
265.8      (d) "Private interest" means any interest, including but 
265.9   not limited to a financial interest, which pertains to a person 
265.10  or business whereby the person or business would gain a benefit, 
265.11  privilege, exemption or advantage from the action of a state 
265.12  agency or employee that is not available to the general public. 
265.13     Sec. 41.  [43A.50] [PROPOSALS.] 
265.14     Subdivision 1.  [PROGRAM ESTABLISHMENT.] The commissioner 
265.15  shall establish and promote a program to solicit proposals from 
265.16  state employees and former state employees for ways to reduce 
265.17  the cost of operating state government or for ways of providing 
265.18  the state better or more efficient service.  The program must 
265.19  include potential for sharing savings with an employee, former 
265.20  employee, or group of current or former employees whose proposal 
265.21  results in a cost savings to the state.  For purposes of this 
265.22  section, state "employee" has the meaning defined in section 
265.23  43A.02, subdivision 21. 
265.24     Subd. 2.  [PROCESS.] (a) A state employee, former state 
265.25  employee, or a group of state employees or former state 
265.26  employees may submit a proposal to the commissioner for reducing 
265.27  the cost of operating state government or for providing the 
265.28  state better or more efficient service.  The commissioner may 
265.29  develop a recommended form for submission of proposals. 
265.30     (b) The commissioner must decide how to act on each 
265.31  proposal.  The commissioner must determine which proposals 
265.32  warrant consideration for award of shared savings payments.  In 
265.33  making a determination, the commissioner must consider: 
265.34     (1) the potential for significant, measurable savings; 
265.35     (2) the extent to which the proposal goes beyond common 
265.36  ideas for reducing expenditures; 
266.1      (3) the extent to which the proposal has the potential to 
266.2   reduce expenditures without reducing the quality or level of 
266.3   service that is contemplated by the law establishing the 
266.4   program; 
266.5      (4) the extent to which people affected by the service are 
266.6   likely to support the proposal, and the potential for including 
266.7   input from affected people in the implementation of the proposal.
266.8      (c) If the commissioner determines a proposal does not 
266.9   warrant consideration for a shared savings plan, the 
266.10  commissioner shall forward the proposal to the appropriate state 
266.11  agency for its review and comment.  If the commissioner 
266.12  determines a proposal warrants further consideration for shared 
266.13  savings payments, the commissioner shall seek review and 
266.14  comments from the appropriate state agency to further analyze 
266.15  the feasibility of the proposal and the extent to which the 
266.16  potential savings could be measured. 
266.17     Subd. 3.  [SHARED SAVINGS PLANS.] (a) An approved shared 
266.18  savings plan must contain the following elements: 
266.19     (1) a plan to reduce state government costs; 
266.20     (2) a method of documenting reduction in costs attributable 
266.21  to the plan; 
266.22     (3) an agreement that a specified percentage of documented 
266.23  net cost savings over a prescribed period of time will be 
266.24  shared, in the form of a one-time payment, with employees or 
266.25  former employees who suggested the plan. 
266.26     (b) In approving a shared savings plan, the commissioner 
266.27  shall use the following guidelines in determining the amount of 
266.28  net savings proposed to be shared: 
266.29  Projected Annual Savings     Amount to be shared
266.30  $0 to $1,000              20 percent, not to exceed $150
266.31  $1,001 to $10,000         15 percent, not to exceed $1,000
266.32  $10,001 to $100,000       10 percent, not to exceed $7,500
266.33  $100,001 to $500,000      7.5 percent, not to exceed $25,000
266.34  $500,001 to $1 million    5 percent, not to exceed $37,500
266.35  Over $1 million           3.75 percent, not to exceed $100,000
266.36     The percentage to be shared applies only to the first full 
267.1   year of net savings after the proposal has been fully 
267.2   implemented. 
267.3      (c) A state employee who is represented by an exclusive 
267.4   representative may not receive payments under a shared savings 
267.5   plan except as provided in a collective bargaining agreement. 
267.6      Subd. 4.  [SHARED SAVINGS PAYMENTS.] (a) Shared savings 
267.7   payments may be made only when the commissioner determines that 
267.8   a proposal has been implemented and that the projected savings 
267.9   under the shared savings plan have been realized.  This 
267.10  determination, and the calculation of the amount of savings to 
267.11  be shared, is at the sole discretion of the commissioner. 
267.12     (b) Shared savings payments must be made from funds 
267.13  appropriated for the operation of the agency program that is the 
267.14  subject of the shared savings plan.  Shared savings payments 
267.15  under this section are a permissible use of an appropriation for 
267.16  operation of an agency program.  
267.17     (c) Shared savings payments may not be made to persons who 
267.18  are covered by the managerial plan established in section 
267.19  43A.18, subdivision 3, or the excluded administrators plan 
267.20  established in section 43A.18, subdivision 3a, unless the 
267.21  commissioner determines that the proposal involves matters that 
267.22  are outside the scope of the manager's normal job duties.  A 
267.23  legislator, constitutional officer, judge, or commissioner of an 
267.24  agency listed in section 15.06, subdivision 1, may not make a 
267.25  shared savings proposal and may not receive shared savings 
267.26  payments, but persons who formerly served in these positions may 
267.27  make proposals and receive shared savings payments. 
267.28     Subd. 5.  [AGENCY COOPERATION.] Upon request of the 
267.29  commissioner, a state agency must cooperate with the 
267.30  commissioner in administration of the suggestion and shared 
267.31  savings program.  Requested cooperation may include: 
267.32     (1) assisting the commissioner in analyzing the merits of a 
267.33  suggestion; 
267.34     (2) explaining to the commissioner how a suggestion has 
267.35  been implemented, or why it is not feasible or desirable to 
267.36  implement a suggestion, whether or not the suggestion results in 
268.1   a shared savings plan; and 
268.2      (3) assisting the commissioner in the design and 
268.3   implementation of a shared savings plan. 
268.4      Subd. 6.  [DATA PRACTICES.] The name of an employee or 
268.5   former employee submitting a suggestion to the commissioner is 
268.6   private data on individuals.  However, the person's name becomes 
268.7   public data when a shared savings plan is approved by the 
268.8   commissioner.  The commissioner must notify affected people who 
268.9   wish to participate in a shared savings plan that their names 
268.10  will become public if the plan is approved. 
268.11     Subd. 7.  [REPORT.] The commissioner shall report annually 
268.12  to the legislature on the implementation of this section.  The 
268.13  reports must summarize the proposals submitted, the 
268.14  commissioner's action on each proposal, and the affected state 
268.15  agency's action on each proposal. 
268.16     Sec. 42.  Minnesota Statutes 1998, section 85A.02, 
268.17  subdivision 5a, is amended to read: 
268.18     Subd. 5a.  [EMPLOYEES.] (a) The board shall appoint an 
268.19  administrator who shall serve as the executive secretary and 
268.20  principal administrative officer of the board and, subject to 
268.21  its approval, shall operate the Minnesota zoological garden and 
268.22  enforce all rules and policy decisions of the board.  The 
268.23  administrator must be chosen solely on the basis of training, 
268.24  experience, and other qualifications appropriate to the field of 
268.25  zoo management and development.  The board shall set the salary 
268.26  of the administrator.  The salary of the administrator may not 
268.27  exceed 85 percent of the salary of the governor; however, any 
268.28  amount exceeding 65 percent of the salary of the governor must 
268.29  consist of nonstate funds.  The administrator shall perform 
268.30  duties assigned by the board and serves in the unclassified 
268.31  service at the pleasure of the board.  The administrator, with 
268.32  the participation of the board, shall appoint a development 
268.33  director in the unclassified service or contract with a 
268.34  development consultant to establish mechanisms to foster 
268.35  community participation in and community support for the 
268.36  Minnesota zoological garden.  The board may employ other 
269.1   necessary professional, technical, and clerical personnel.  
269.2   Employees of the zoological garden are eligible for salary 
269.3   supplement in the same manner as employees of other state 
269.4   agencies.  The commissioner of finance shall determine the 
269.5   amount of salary supplement based on available funds. 
269.6      (b) The board may contract with individuals to perform 
269.7   professional services and may contract for the purchases of 
269.8   necessary species exhibits, supplies, services, and equipment. 
269.9   The board may also contract for the construction and operation 
269.10  of entertainment facilities on the zoo grounds that are not 
269.11  directly connected to ordinary functions of the zoological 
269.12  garden.  The zoo board may not enter into a final agreement for 
269.13  construction of an entertainment facility that is not directly 
269.14  connected to the ordinary functions of the zoo until after final 
269.15  construction plans have been submitted to the chairs of the 
269.16  senate finance and house appropriations committees for their 
269.17  recommendations. 
269.18     The zoo may not contract for entertainment during the 
269.19  period of the Minnesota state fair that would directly compete 
269.20  with entertainment at the Minnesota state fair. 
269.21     Sec. 43.  Minnesota Statutes 1998, section 119A.05, 
269.22  subdivision 1, is amended to read: 
269.23     Subdivision 1.  [AUTHORITY FOR FUNDING CONSOLIDATION.] 
269.24  Notwithstanding existing law governing allocation of funds by 
269.25  local grantees, mode of service delivery, grantee planning and 
269.26  reporting requirements, and other procedural requirements for 
269.27  the grant programs identified in this section, a local grantee 
269.28  may elect to consolidate all or a portion of funding received 
269.29  from the programs under subdivision 5 in a collaboration funding 
269.30  plan, if all conditions specified in this section are 
269.31  satisfied.  County boards, school boards, or governing boards of 
269.32  other grantees may elect not to consolidate funding for a 
269.33  program.  
269.34     For grantees electing consolidation, the commissioner may, 
269.35  with the approval of the board of government innovation and 
269.36  cooperation, waive all provisions of rules inconsistent with the 
270.1   intent of this section.  This waiver authority does not apply to 
270.2   rules governing client protections, due process, or inclusion of 
270.3   clients, parents, cultures, and ethnicities in decision making.  
270.4   Funding to a local grantee must be determined according to the 
270.5   funding formulas or allocation rules governing the individual 
270.6   programs listed in section 119A.04.  
270.7      Sec. 44.  Minnesota Statutes 1999 Supplement, section 
270.8   125B.21, subdivision 1, is amended to read: 
270.9      Subdivision 1.  [STATE COUNCIL MEMBERSHIP.] The membership 
270.10  of the Minnesota education telecommunications council 
270.11  established in Laws 1993, First Special Session chapter 2, is 
270.12  expanded to include representatives of elementary and secondary 
270.13  education.  The membership shall consist of three 
270.14  representatives from the University of Minnesota; three 
270.15  representatives of the board of trustees for Minnesota state 
270.16  colleges and universities; one representative of the higher 
270.17  education services offices; one representative appointed by the 
270.18  private college council; one representative selected by the 
270.19  commissioner of administration; eight representatives selected 
270.20  by the commissioner of children, families, and learning, at 
270.21  least one of which must come from each of the six higher 
270.22  education telecommunication regions; a representative from the 
270.23  office of technology; two members each from the senate and the 
270.24  house of representatives selected by the subcommittee on 
270.25  committees of the committee on rules and administration of the 
270.26  senate and the speaker of the house, one member from each body 
270.27  must be a member of the minority party; and three 
270.28  representatives of libraries, one representing regional public 
270.29  libraries, one representing multitype libraries, and one 
270.30  representing community libraries, selected by the governor.  The 
270.31  council shall: 
270.32     (1) develop a statewide vision and plans for the use of 
270.33  distance learning technologies and provide leadership in 
270.34  implementing the use of such technologies; 
270.35     (2) recommend educational policy relating to 
270.36  telecommunications; 
271.1      (3) determine priorities for use; 
271.2      (4) oversee coordination of networks for post-secondary 
271.3   campuses, kindergarten through grade 12 education, and regional 
271.4   and community libraries; 
271.5      (5) review application for telecommunications access grants 
271.6   under Minnesota Statutes, section 125B.20, and recommend to the 
271.7   department grants for funding; 
271.8      (6) determine priorities for grant funding proposals; and 
271.9      (7) work with the information policy office to ensure 
271.10  consistency of the operation of the learning network with 
271.11  standards of an open system architecture. 
271.12     The council shall consult with representatives of the 
271.13  telecommunication industry in implementing this section. 
271.14     Sec. 45.  Minnesota Statutes 1998, section 138.17, 
271.15  subdivision 10, is amended to read: 
271.16     Subd. 10.  [OPTICAL IMAGE STORAGE.] (a) Any government 
271.17  record, including a record with archival value, may be 
271.18  transferred to and stored on a nonerasable optical imaging 
271.19  system and retained only in that format, if the requirements of 
271.20  this section are met. 
271.21     (b) All documents preserved on nonerasable optical imaging 
271.22  systems must meet standards for permanent records specified in 
271.23  section 15.17, subdivision 1, and must be kept available for 
271.24  retrieval so long as any law requires.  Standards under section 
271.25  15.17, subdivision 1, may not be inconsistent with efficient use 
271.26  of optical imaging systems. 
271.27     (c) A government entity storing a record on an optical 
271.28  imaging system shall create and store a backup copy of the 
271.29  record at a site other than the site where the original is 
271.30  kept.  The government entity shall retain the backup copy and 
271.31  operable retrieval equipment so long as any law requires the 
271.32  original to be retained.  The backup copy required by this 
271.33  paragraph must be preserved either (1) on a nonerasable optical 
271.34  imaging system; or (2) by another reproduction method approved 
271.35  by the records disposition panel. 
271.36     (d) All contracts for the purchase of optical imaging 
272.1   systems used pursuant to this chapter shall contain terms that 
272.2   insure continued retrievability of the optically stored images 
272.3   and conform to any guidelines that may be established by the 
272.4   office of technology of the department of administration for 
272.5   perpetuation of access to stored data. 
272.6      Sec. 46.  Minnesota Statutes 1999 Supplement, section 
272.7   179A.04, subdivision 3, is amended to read: 
272.8      Subd. 3.  [OTHER DUTIES.] (a) The commissioner shall:  
272.9      (1) provide mediation services as requested by the parties 
272.10  until the parties reach agreement, and may continue to assist 
272.11  parties after they have submitted their final positions for 
272.12  interest arbitration; 
272.13     (2) issue notices, subpoenas, and orders required by law to 
272.14  carry out duties under sections 179A.01 to 179A.25; 
272.15     (3) assist the parties in formulating petitions, notices, 
272.16  and other papers required to be filed with the commissioner; 
272.17     (4) conduct elections; 
272.18     (5) certify the final results of any election or other 
272.19  voting procedure conducted under sections 179A.01 to 179A.25; 
272.20     (6) adopt rules relating to the administration of this 
272.21  chapter and the conduct of hearings and elections; 
272.22     (7) receive, catalogue, file, and make available to the 
272.23  public all decisions of arbitrators and panels authorized by 
272.24  sections 179A.01 to 179A.25, all grievance arbitration 
272.25  decisions, and the commissioner's orders and decisions; 
272.26     (8) adopt, subject to chapter 14, a grievance procedure 
272.27  that fulfills the purposes of section 179A.20, subdivision 4, 
272.28  does not provide for the services of the bureau of mediation 
272.29  services and that is available to any employee in a unit not 
272.30  covered by a contractual grievance procedure; 
272.31     (9) maintain a schedule of state employee classifications 
272.32  or positions assigned to each unit established in section 
272.33  179A.10, subdivision 2; 
272.34     (10) collect fees established by rule for empanelment of 
272.35  persons on the labor arbitrator roster maintained by the 
272.36  commissioner or in conjunction with fair share fee challenges; 
273.1      (11) provide technical support and assistance to voluntary 
273.2   joint labor-management committees established for the purpose of 
273.3   improving relationships between exclusive representatives and 
273.4   employers, at the discretion of the commissioner; 
273.5      (12) provide to the parties a list of arbitrators as 
273.6   required by section 179A.16, subdivision 4; and 
273.7      (13) maintain a list of up to 60 arbitrators for referral 
273.8   to employers and exclusive representatives for the resolution of 
273.9   grievance or interest disputes.  Each person on the list must be 
273.10  knowledgeable about collective bargaining and labor relations in 
273.11  the public sector, well versed in state and federal labor law, 
273.12  and experienced in and knowledgeable about labor arbitration.  
273.13  To the extent practicable, the commissioner shall appoint 
273.14  members to the list so that the list is gender and racially 
273.15  diverse. 
273.16     (b) From the names provided by representative 
273.17  organizations, the commissioner shall maintain a list of 
273.18  arbitrators to conduct teacher discharge or termination hearings 
273.19  according to section 122A.40 or 122A.41.  The persons on the 
273.20  list must meet at least one of the following requirements: 
273.21     (1) be a former or retired judge; 
273.22     (2) be a qualified arbitrator on the list maintained by the 
273.23  bureau; 
273.24     (3) be a present, former, or retired administrative law 
273.25  judge; or 
273.26     (4) be a neutral individual who is learned in the law and 
273.27  admitted to practice in Minnesota, who is qualified by 
273.28  experience to conduct these hearings, and who is without bias to 
273.29  either party. 
273.30     Each year, education Minnesota shall provide a list of up 
273.31  to 14 names and the Minnesota school boards association a list 
273.32  of up to 14 names of persons to be on the list.  The 
273.33  commissioner may adopt rules about maintaining and updating the 
273.34  list. 
273.35     Sec. 47.  Minnesota Statutes 1998, section 179A.18, 
273.36  subdivision 1, is amended to read: 
274.1      Subdivision 1.  [WHEN AUTHORIZED.] Essential employees may 
274.2   not strike.  Except as otherwise provided by subdivision 2 and 
274.3   section 179A.17, subdivision 2, other public employees may 
274.4   strike only under the following circumstances:  
274.5      (1)(a) the collective bargaining agreement between their 
274.6   exclusive representative and their employer has expired or, if 
274.7   there is no agreement, impasse under section 179A.17, 
274.8   subdivision 2, has occurred; and 
274.9      (b) the exclusive representative and the employer have 
274.10  participated in mediation over a period of at least 45 days, 
274.11  provided that the mediation period established by section 
274.12  179A.17, subdivision 2, governs negotiations under that section, 
274.13  and provided that for the purposes of this subclause the 
274.14  mediation period commences on the day following receipt by the 
274.15  commissioner of a request for mediation; or 
274.16     (2) the employer violates section 179A.13, subdivision 2, 
274.17  clause (9); or 
274.18     (3) in the case of state employees, 
274.19     (a) the legislative coordinating commission on employee 
274.20  relations has rejected a negotiated agreement or arbitration 
274.21  decision during a legislative interim; or 
274.22     (b) the entire legislature rejects or fails to ratify a 
274.23  negotiated agreement or arbitration decision, which has been 
274.24  approved during a legislative interim by the legislative 
274.25  coordinating commission on employee relations, at a special 
274.26  legislative session called to consider it, or at its next 
274.27  regular legislative session, whichever occurs first.  
274.28     Sec. 48.  Minnesota Statutes 1998, section 181.932, 
274.29  subdivision 1, is amended to read: 
274.30     Subdivision 1.  [PROHIBITED ACTION.] An employer shall not 
274.31  discharge, discipline, threaten, otherwise discriminate against, 
274.32  or penalize an employee regarding the employee's compensation, 
274.33  terms, conditions, location, or privileges of employment because:
274.34     (a) the employee, or a person acting on behalf of an 
274.35  employee, in good faith, reports a violation or suspected 
274.36  violation of any federal or state law or rule adopted pursuant 
275.1   to law to an employer or to any governmental body or law 
275.2   enforcement official; 
275.3      (b) the employee is requested by a public body or office to 
275.4   participate in an investigation, hearing, inquiry; 
275.5      (c) the employee refuses an employer's order to perform an 
275.6   action that the employee has an objective basis in fact to 
275.7   believe violates any state or federal law or rule or regulation 
275.8   adopted pursuant to law, and the employee informs the employer 
275.9   that the order is being refused for that reason; or 
275.10     (d) the employee, in good faith, reports a situation in 
275.11  which the quality of health care services provided by a health 
275.12  care facility, organization, or health care provider violates a 
275.13  standard established by federal or state law or a professionally 
275.14  recognized national clinical or ethical standard and potentially 
275.15  places the public at risk of harm; or 
275.16     (e) a state employee or former state employee submits a 
275.17  proposal to the commissioner of employee relations under section 
275.18  43A.50. 
275.19     Sec. 49.  Minnesota Statutes 1999 Supplement, section 
275.20  181.932, subdivision 2, is amended to read: 
275.21     Subd. 2.  [DISCLOSURE OF IDENTITY.] The identity of any 
275.22  employee making a report to a governmental body or law 
275.23  enforcement official under subdivision 1, clause (a) or (d), is 
275.24  private data on individuals as defined in section 13.02.  The 
275.25  identity of a state employee or former state employee submitting 
275.26  a proposal under subdivision 1, clause (e), is private data on 
275.27  individuals to the extent provided in section 43A.50.  The 
275.28  identity of an employee providing information under subdivision 
275.29  1, clause (b), is private data on individuals if: 
275.30     (1) the employee would not have provided the information 
275.31  without an assurance that the employee's identity would remain 
275.32  private, because of a concern that the employer would commit an 
275.33  action prohibited under subdivision 1 or that the employee would 
275.34  be subject to some other form of retaliation; or 
275.35     (2) the state agency, statewide system, or political 
275.36  subdivision reasonably believes that the employee would not have 
276.1   provided the data because of that concern.  
276.2      If the disclosure is necessary for prosecution, the 
276.3   identity of the employee may be disclosed but the employee shall 
276.4   be informed prior to the disclosure. 
276.5      Sec. 50.  Minnesota Statutes 1998, section 193.143, is 
276.6   amended to read: 
276.7      193.143 [STATE ARMORY BUILDING COMMISSION, POWERS.] 
276.8      Such corporation, subject to the conditions and limitations 
276.9   prescribed in sections 193.141 to 193.149, shall possess all the 
276.10  powers of a body corporate necessary and convenient to 
276.11  accomplish the objectives and perform the duties prescribed by 
276.12  sections 193.141 to 193.149, including the following, which 
276.13  shall not be construed as a limitation upon the general powers 
276.14  hereby conferred: 
276.15     (1) To acquire by lease, purchase, gift, or condemnation 
276.16  proceedings all necessary right, title, and interest in and to 
276.17  the lands required for a site for a new armory and all other 
276.18  real or personal property required for the purposes contemplated 
276.19  by the Military Code and to hold and dispose of the same, 
276.20  subject to the conditions and limitations herein prescribed; 
276.21  provided that any such real or personal property or interest 
276.22  therein may be so acquired or accepted subject to any condition 
276.23  which may be imposed thereon by the grantor or donor and agreed 
276.24  to by such corporation not inconsistent with the proper use of 
276.25  such property by the state for armory or military purposes as 
276.26  herein provided. 
276.27     (2) To exercise the right of eminent domain in the manner 
276.28  provided by chapter 117, for the purpose of acquiring any 
276.29  property which such corporation is herein authorized to acquire 
276.30  by condemnation; provided, that the corporation may take 
276.31  possession of any such property so to be acquired at any time 
276.32  after the filing of the petition describing the same in 
276.33  condemnation proceedings; provided further, that this shall not 
276.34  preclude the corporation from abandoning the condemnation of any 
276.35  such property in any case where possession thereof has not been 
276.36  taken. 
277.1      (3) To construct and equip new armories as authorized 
277.2   herein; to pay therefor out of the funds obtained as hereinafter 
277.3   provided and to hold, manage, and dispose of such armory, 
277.4   equipment, and site as hereinafter provided.  The total amount 
277.5   of bonds issued on account of such armories shall not exceed the 
277.6   amount of the cost thereof; provided also, that the total bonded 
277.7   indebtedness of the commission shall not at any time exceed the 
277.8   aggregate sum of $7,000,000 $15,000,000. 
277.9      (4) To enter into partnerships with federal and state 
277.10  governments and to match federal and local funds, when available.
277.11     (5) To sue and be sued. 
277.12     (5) (6) To contract and be contracted with in any matter 
277.13  connected with any purpose or activity within the powers of such 
277.14  corporations as herein specified; provided, that no officer or 
277.15  member of such corporation shall be personally interested, 
277.16  directly or indirectly, in any contract in which such 
277.17  corporation is interested. 
277.18     (6) (7) To employ any and all professional and 
277.19  nonprofessional services and all agents, employees, workers, and 
277.20  servants necessary and proper for the purposes and activities of 
277.21  such corporation as authorized or contemplated herein and to pay 
277.22  for the same out of any portion of the income of the corporation 
277.23  available for such purposes or activities.  The officers and 
277.24  members of such corporation shall not receive any compensation 
277.25  therefrom, but may receive their reasonable and necessary 
277.26  expenses incurred in connection with the performance of their 
277.27  duties; provided however, that whenever the duties of any member 
277.28  of the commission require full time and attention the commission 
277.29  may compensate the member therefor at such rates as it may 
277.30  determine. 
277.31     (7) (8) To borrow money and issue bonds for the purposes 
277.32  and in the manner and within the limitations herein specified, 
277.33  and to pledge any and all property and income of such 
277.34  corporation acquired or received as herein provided to secure 
277.35  the payment of such bonds, subject to the provisions and 
277.36  limitations herein prescribed, and to redeem any such bonds if 
278.1   so provided therein or in the mortgage or trust deed 
278.2   accompanying the same. 
278.3      (8) (9) To use for the following purposes any available 
278.4   money received by such corporation from any source as herein 
278.5   provided in excess of those required for the payment of the cost 
278.6   of such armory and for the payment of any bonds issued by the 
278.7   corporation and interest thereon according to the terms of such 
278.8   bonds or of any mortgage or trust deed accompanying the same: 
278.9      (a) (i) To pay the necessary incidental expenses of 
278.10  carrying on the business and activities of the corporation as 
278.11  herein authorized; 
278.12     (b) (ii) To pay the cost of operating, maintaining, 
278.13  repairing, and improving such new armories; 
278.14     (c) (iii) If any further excess moneys remain, to purchase 
278.15  upon the open market at or above or below the face or par value 
278.16  thereof any bonds issued by the corporation as herein 
278.17  authorized; provided, that any bonds so purchased shall 
278.18  thereupon be canceled. 
278.19     (9) (10) To adopt and use a corporate seal. 
278.20     (10) (11) To adopt all needful bylaws and rules for the 
278.21  conduct of business and affairs of such corporation and for the 
278.22  management and use of all armories while under the ownership and 
278.23  control of such corporation as herein provided, not inconsistent 
278.24  with the use of such armory for armory or military purposes. 
278.25     (11) (12) Such corporation shall issue no stock. 
278.26     (12) (13) No officer or member of such corporation shall 
278.27  have any personal share or interest in any funds or property of 
278.28  the corporation or be subject to any personal liability by 
278.29  reason of any liability of the corporation. 
278.30     (13) (14) The Minnesota state armory building commission 
278.31  created under section 193.142 shall keep all money and credits 
278.32  received by it as a single fund, to be designated as the 
278.33  "Minnesota state armory building commission fund," with separate 
278.34  accounts for each armory; and the commission may make transfers 
278.35  of money from funds appertaining to any armory under its control 
278.36  for use for any other such armory; provided such transfers shall 
279.1   be made only from money on hand, from time to time, in excess of 
279.2   the amounts required to meet payments of interest or principal 
279.3   on bonds or other obligations appertaining to the armory to 
279.4   which such funds pertain and only when necessary to pay expenses 
279.5   of construction, operation, maintenance, and debt service of 
279.6   such other armory; provided further, no such transfer of any 
279.7   money paid for the support of any armory by the municipality in 
279.8   which such armory is situated shall be made by the commission. 
279.9      (14) (15) The corporation created under section 193.142 may 
279.10  designate one or more state or national banks as depositories of 
279.11  its funds, and may provide, upon such conditions as the 
279.12  corporation may determine, that the treasurer of the corporation 
279.13  shall be exempt from personal liability for loss of funds 
279.14  deposited in any such depository due to the insolvency or other 
279.15  acts or omissions of such depository. 
279.16     (15) (16) The governor is empowered to apply for grants of 
279.17  money, equipment, and materials which may be made available to 
279.18  the states by the federal government for leasing, building, and 
279.19  equipping armories for the use of the military forces of the 
279.20  state which are reserve components of the armed forces of the 
279.21  United States, whenever the governor is satisfied that the 
279.22  conditions under which such grants are offered by the federal 
279.23  government, are for the best interests of the state and are not 
279.24  inconsistent with the laws of the state relating to armories, 
279.25  and to accept such grants in the name of the state.  The 
279.26  Minnesota state armory building commission is designated as the 
279.27  agency of the state to receive such grants and to use them for 
279.28  armory purposes as prescribed in this chapter, and by federal 
279.29  laws, and regulations not inconsistent therewith. 
279.30     Sec. 51.  Minnesota Statutes 1998, section 221.173, is 
279.31  amended to read: 
279.32     221.173 [ELECTRONIC SIGNATURE.] 
279.33     (a) The commissioner may accept in lieu of a required 
279.34  document completed on paper, an electronically transmitted 
279.35  document authenticated by an electronic signature.  
279.36     (b) The commissioner shall consult with the office of 
280.1   technology, which shall provide advice and assistance in 
280.2   establishing criteria and standards for authentication of 
280.3   electronic signatures and establishing to a reasonable certainty 
280.4   the validity, security, and linkage of a specific, unaltered, 
280.5   electronically transmitted document, its unforged signature, and 
280.6   its authorized signer.  
280.7      (c) The commissioner may determine the technology or system 
280.8   to be used, which may include a private key/public key system, 
280.9   an encrypted or cryptology-based system, a pen-based, on-screen 
280.10  signature system that captures and verifies an autograph and 
280.11  links it to a specific document, or other system or technology 
280.12  or combination of systems.  
280.13     (d) (c) To the extent consistent with this section, laws 
280.14  and rules pertaining to paper-based documents also pertain to 
280.15  electronically transmitted documents. 
280.16     Sec. 52.  Minnesota Statutes 1998, section 256.9753, 
280.17  subdivision 3, is amended to read: 
280.18     Subd. 3.  [EXPENDITURES.] The board shall consult with the 
280.19  office of citizenship and volunteer services prior to expending 
280.20  money available for the retired senior volunteer programs.  
280.21  Expenditures shall be made (1) to strengthen and expand existing 
280.22  retired senior volunteer programs, and (2) to encourage the 
280.23  development of new programs in areas in the state where these 
280.24  programs do not exist.  Grants shall be made consistent with 
280.25  applicable federal guidelines. 
280.26     Sec. 53.  Minnesota Statutes 1998, section 349A.02, 
280.27  subdivision 1, is amended to read: 
280.28     Subdivision 1.  [DIRECTOR.] A state lottery is established 
280.29  under the supervision and control of the director of the state 
280.30  lottery appointed by the governor with the advice and consent of 
280.31  the senate.  The director must be qualified by experience and 
280.32  training in the operation of a lottery to supervise the 
280.33  lottery.  The director serves in the unclassified service.  The 
280.34  annual salary rate authorized for the director is equal to 85 75 
280.35  percent of the salary rate prescribed for the governor. 
280.36     Sec. 54.  Minnesota Statutes 1998, section 422A.101, 
281.1   subdivision 3, is amended to read: 
281.2      Subd. 3.  [STATE CONTRIBUTIONS.] (a) Subject to the 
281.3   limitation set forth in paragraph (c), the state shall pay to 
281.4   the Minneapolis employees retirement fund annually an amount 
281.5   equal to the amount calculated under paragraph (b). 
281.6      (b) The payment amount is an amount equal to the financial 
281.7   requirements of the Minneapolis employees retirement fund 
281.8   reported in the actuarial valuation of the fund prepared by the 
281.9   commission-retained actuary pursuant to section 356.215 for the 
281.10  most recent year but based on a target date for full 
281.11  amortization of the unfunded actuarial accrued liabilities by 
281.12  June 30, 2020, less the amount of employee contributions 
281.13  required pursuant to section 422A.10, and the amount of employer 
281.14  contributions required pursuant to subdivisions 1a, 2, and 2a.  
281.15  Payments shall be made in four equal installments, occurring on 
281.16  March 15, July 15, September 15, and November 15 annually.  
281.17     (c) The annual state contribution under this subdivision 
281.18  may not exceed $10,455,000 through fiscal year 1998 and 
281.19  $9,000,000 beginning in fiscal year 1999, plus the cost of the 
281.20  annual supplemental benefit determined under section 356.865. 
281.21     (d) If the amount determined under paragraph (b) exceeds 
281.22  $11,910,000, the excess must be allocated to and paid to the 
281.23  fund by the employers identified in subdivisions 1a and 2, other 
281.24  than units of metropolitan government.  Each employer's share of 
281.25  the excess is proportionate to the employer's share of the 
281.26  fund's unfunded actuarial accrued liability as disclosed in the 
281.27  annual actuarial valuation prepared by the actuary retained by 
281.28  the legislative commission on pensions and retirement compared 
281.29  to the total unfunded actuarial accrued liability attributed to 
281.30  all employers identified in subdivisions 1a and 2, other than 
281.31  units of metropolitan government.  Payments must be made in 
281.32  equal installments as set forth in paragraph (b). 
281.33     Sec. 55.  Minnesota Statutes 1998, section 471.345, is 
281.34  amended by adding a subdivision to read: 
281.35     Subd. 15.  [DESIGN-BUILD PROHIBITION.] A municipality may 
281.36  not use a design-build method of project development and 
282.1   construction.  For purposes of this subdivision, "design-build 
282.2   method" means a project delivery system in which a single 
282.3   contractor is responsible for both the design and construction 
282.4   of the project and in which the design and construction are bid 
282.5   together. 
282.6      Sec. 56.  [473.1296] [LIMIT.] 
282.7      (a) The metropolitan council may not issue bonds to provide 
282.8   money for a project estimated to cost more than $5,000,000 
282.9   unless a cost-benefit analysis has been completed and shows a 
282.10  positive benefit to the public.  
282.11     (b) All cost-benefit analysis documents under this section, 
282.12  including preliminary drafts and notes, are public data. 
282.13     (c) If a cost-benefit analysis does not show a positive 
282.14  benefit to the public, the metropolitan council may issue bonds 
282.15  for the project if a cost-effectiveness study has been done that 
282.16  shows a proposed project is the most effective way to provide a 
282.17  necessary public good. 
282.18     (d) This section does not apply to park projects or to 
282.19  projects that are in response to a natural disaster if an 
282.20  emergency has been declared by the governor. 
282.21     Sec. 57.  Minnesota Statutes 1999 Supplement, section 
282.22  473.3993, subdivision 3, is amended to read: 
282.23     Subd. 3.  [FINAL DESIGN PLAN.] (a) "Final design plan" 
282.24  means a light rail transit plan that includes the items in the 
282.25  preliminary design plan and the preliminary engineering plan for 
282.26  the facilities proposed but with greater detail and specificity 
282.27  needed for construction.  The final design plan must include, at 
282.28  a minimum:  
282.29     (1) final plans for the physical design of facilities, 
282.30  including the right-of-way definition; environmental impacts and 
282.31  mitigation measures; intermodal coordination with bus operations 
282.32  and routes; and civil engineering plans for vehicles, track, 
282.33  stations, parking, and access, including handicapped access; and 
282.34     (2) final plans for civil engineering for electrification, 
282.35  communication, and other similar facilities; operational rules, 
282.36  procedures, and strategies; capital costs; ridership; operating 
283.1   costs and revenues, and sources of funds for operating 
283.2   subsidies; financing for construction and operation; an 
283.3   implementation method; and other similar matters.  
283.4      The final design plan must be stated with sufficient 
283.5   particularity and detail to allow the proposer to begin the 
283.6   acquisition and construction of operable facilities.  If a 
283.7   design-build implementation method is proposed, instead of civil 
283.8   engineering plans the final design plan must state detailed 
283.9   design criteria and performance standards for the facilities. 
283.10     The commissioner of transportation may use a design-build 
283.11  method of project development and construction for light rail 
283.12  transit.  Notwithstanding any law to the contrary, the 
283.13  commissioner may award a design-build contract on the basis of 
283.14  requests for proposals or requests for qualifications without 
283.15  bids.  "Design-build method of project development and 
283.16  construction" means a project delivery system in which a single 
283.17  contractor is responsible for both the design and construction 
283.18  of the project and bids the design and construction together. 
283.19     (b) Notwithstanding other law, chapters 16B and 16C apply 
283.20  to project development and construction for light rail transit. 
283.21     Sec. 58.  Laws 1999, chapter 250, article 1, section 11, is 
283.22  amended to read: 
283.23  Sec. 11.  OFFICE OF STRATEGIC 
283.24  AND LONG-RANGE PLANNING                6,891,000      4,417,000
283.25  $100,000 the first year is to integrate 
283.26  the office's information technology and 
283.27  is available until June 30, 2003.  The 
283.28  director shall report on the progress 
283.29  of the unit to the chairs of the 
283.30  legislative committees responsible for 
283.31  this budget item by January 15, 2000, 
283.32  2001, and 2002. 
283.33  $1,600,000 the first year is for a 
283.34  generic environmental impact statement 
283.35  on animal agriculture. 
283.36  $200,000 the first year is to perform 
283.37  program evaluations of agencies in the 
283.38  executive branch. 
283.39  The program evaluation division will 
283.40  report to the legislature by December 
283.41  1, 2000, ways to reduce state 
283.42  government expenditures by five to ten 
283.43  percent. 
283.44  $100,000 the first year is to provide 
284.1   administrative support to 
284.2   community-based planning efforts. 
284.3   $150,000 the first year is for a grant 
284.4   of $50,000 to the southwest regional 
284.5   development commission for the 
284.6   continuation of the pilot program and 
284.7   two additional grants of $50,000 each 
284.8   to regional development commissions or, 
284.9   in regions not served by regional 
284.10  development commissions, to regional 
284.11  organizations selected by the director 
284.12  of strategic and long-range planning, 
284.13  to support planning work on behalf of 
284.14  local units of government.  The 
284.15  planning work shall include, but need 
284.16  not be limited to:  
284.17  (1) development of local zoning 
284.18  ordinances; 
284.19  (2) land use plans; 
284.20  (3) community or economic development 
284.21  plans; 
284.22  (4) transportation and transit plans; 
284.23  (5) solid waste management plans; 
284.24  (6) wastewater management plans; 
284.25  (7) workforce development plans; 
284.26  (8) housing development plans and/or 
284.27  market analysis; 
284.28  (9) rural health service plans; 
284.29  (10) natural resources management 
284.30  plans; or 
284.31  (11) development of geographical 
284.32  information systems database to serve a 
284.33  region's needs, including hardware and 
284.34  software purchases and related labor 
284.35  costs. 
284.36  $200,000 the first year is to prepare 
284.37  the generic environmental impact 
284.38  statement on urban development required 
284.39  by section 108.  Any unencumbered 
284.40  balance remaining in the first year 
284.41  does not cancel and is available for 
284.42  the second year of the biennium. 
284.43  $24,000 the first year is for the 
284.44  southwest Minnesota wind monitoring 
284.45  project. 
284.46  $100,000 the first year is for a grant 
284.47  to the city of Mankato to complete the 
284.48  Mankato area growth management and 
284.49  planning study, phase 2.  The 
284.50  appropriation is available until June 
284.51  30, 2002.  The appropriation must be 
284.52  matched by an in-kind donation of 
284.53  $100,000 in administrative, technical, 
284.54  and higher educational internship 
284.55  support and supervision.  The value of 
284.56  the in-kind donations must be 
285.1   determined by the commissioner of 
285.2   finance. 
285.3   The city shall serve as fiscal agent to 
285.4   complete the study under the 1997 
285.5   regional planning joint powers 
285.6   agreement among the cities of Mankato, 
285.7   North Mankato, and Eagle Lake; the 
285.8   counties of Nicollet and Blue Earth; 
285.9   and the towns of Mankato, South Bend, 
285.10  Lime, Decoria, and Belgrade, without 
285.11  limitation on the rights of the parties 
285.12  to that agreement to add or remove 
285.13  members.  The study is intended as an 
285.14  alternative to community-based 
285.15  planning.  The study is intended to 
285.16  develop information and analysis to 
285.17  provide guidance on such issues as: 
285.18  (1) the development of joint planning 
285.19  agreements to implement a unified 
285.20  growth management strategy; 
285.21  (2) joint service ventures, such as 
285.22  planning or zoning administration in 
285.23  urban fringe areas; 
285.24  (3) orderly growth and annexation 
285.25  agreements between cities and 
285.26  townships; 
285.27  (4) feedlot regulations in urban fringe 
285.28  areas and future growth corridors; 
285.29  (5) service strategies for unsewered 
285.30  subdivisions; 
285.31  (6) other joint ventures for city, 
285.32  county, and township service delivery 
285.33  in fringe areas; 
285.34  (7) feasibility of a rural township 
285.35  taxing district; and 
285.36  (8) alternatives to the current 
285.37  community-based planning legislation 
285.38  that would add flexibility and improve 
285.39  the planning process. 
285.40  The city of Mankato shall report the 
285.41  results of the study to the legislature 
285.42  by January 15, 2002. 
285.43     Sec. 59.  Laws 1999, chapter 250, article 1, section 14, 
285.44  subdivision 3, is amended to read: 
285.45  Subd. 3.  Information and 
285.46  Management Services 
285.47      16,643,000      9,932,000
285.48  $100,000 the first year is for a grant 
285.49  to the city of Mankato to complete the 
285.50  Mankato area growth management and 
285.51  planning study, phase 2.  The 
285.52  appropriation is available until June 
285.53  30, 2002.  The appropriation must be 
285.54  matched by an in-kind donation of 
285.55  $100,000 in administrative, technical, 
285.56  and higher educational internship 
286.1   support and supervision.  The value of 
286.2   the in-kind donations must be 
286.3   determined by the commissioner of 
286.4   finance. 
286.5   The city shall serve as fiscal agent to 
286.6   complete the study under the 1997 
286.7   regional planning joint powers 
286.8   agreement among the cities of Mankato, 
286.9   North Mankato, and Eagle Lake; the 
286.10  counties of Nicollet and Blue Earth; 
286.11  and the towns of Mankato, South Bend, 
286.12  Lime, Decoria, and Belgrade, without 
286.13  limitation on the rights of the parties 
286.14  to that agreement to add or remove 
286.15  members.  The study is intended as an 
286.16  alternative to community-based 
286.17  planning.  The study is intended to 
286.18  develop information and analysis to 
286.19  provide guidance on such issues as: 
286.20  (1) the development of joint planning 
286.21  agreements to implement a unified 
286.22  growth management strategy; 
286.23  (2) joint service ventures, such as 
286.24  planning or zoning administration in 
286.25  urban fringe areas; 
286.26  (3) orderly growth and annexation 
286.27  agreements between cities and 
286.28  townships; 
286.29  (4) feedlot regulations in urban fringe 
286.30  areas and future growth corridors; 
286.31  (5) service strategies for unsewered 
286.32  subdivisions; 
286.33  (6) other joint ventures for city, 
286.34  county, and township service delivery 
286.35  in fringe areas; 
286.36  (7) feasibility of a rural township 
286.37  taxing district; and 
286.38  (8) alternatives to the current 
286.39  community-based planning legislation 
286.40  that would add flexibility and improve 
286.41  the planning process. 
286.42  The city of Mankato shall report the 
286.43  results of the study to the legislature 
286.44  by January 15, 2002. 
286.45  $6,839,000 the first year is a one-time 
286.46  appropriation to upgrade the human 
286.47  resources and payroll system and is 
286.48  available until June 30, 2003.  The 
286.49  commissioner shall report on the 
286.50  progress of this project to the chairs 
286.51  of the legislative committees 
286.52  responsible for this budget item by 
286.53  January 15, 2000, 2001, and 2002. 
286.54  The commissioner of finance shall work 
286.55  with the commissioners of employee 
286.56  relations and administration and shall 
286.57  develop as part of the human resource 
286.58  and payroll systems upgrade, and submit 
286.59  to the chairs of the senate 
287.1   governmental operations budget division 
287.2   and the house state government finance 
287.3   committee by January 15, 2000, a 
287.4   long-range plan for the statewide 
287.5   business systems:  human resources, 
287.6   payroll, accounting, and procurement.  
287.7   The plan must detail each system's 
287.8   original development costs, its 
287.9   expected life cycle, the estimated cost 
287.10  of upgrading software to newer versions 
287.11  during its life cycle, its operating 
287.12  costs to date, and the factors that are 
287.13  expected to drive future operating 
287.14  costs within the departments of 
287.15  finance, administration, and employee 
287.16  relations.  The plan must also include 
287.17  an evaluation of and recommendations on 
287.18  whether, for the statewide business 
287.19  systems, the state should use software 
287.20  that is developed and maintained in 
287.21  house; proprietary software, either 
287.22  modified or unmodified; a private 
287.23  vendor; or a particular combination of 
287.24  these options. 
287.25  The commissioner of finance, in 
287.26  consultation with senate and house 
287.27  fiscal staff and the commissioner of 
287.28  administration, shall develop 
287.29  recommendations for inclusion in the 
287.30  governor's fiscal year 2002-2003 budget 
287.31  document on the presentation of 
287.32  internal service funds.  The 
287.33  commissioner of finance shall submit 
287.34  the recommendations to the chairs of 
287.35  the senate governmental operations 
287.36  budget division and the house state 
287.37  government finance committee by January 
287.38  15, 2000. 
287.39  The department shall prepare a separate 
287.40  budget book for the biennium beginning 
287.41  July 1, 2001, containing all of the 
287.42  administration's technology 
287.43  initiatives.  The book must also 
287.44  include a complete inventory of 
287.45  state-owned and leased technology, 
287.46  along with a projected replacement 
287.47  schedule.  The inventory must include 
287.48  information on how the technology fits 
287.49  into the state's master plan. 
287.50     Sec. 60.  Laws 1999, chapter 250, article 1, section 18, is 
287.51  amended to read: 
287.52  Sec. 18.  VETERANS AFFAIRS             5,885,000      4,369,000
287.53  $1,544,000 the first year and 
287.54  $1,544,000 the second year are for 
287.55  emergency financial and medical needs 
287.56  of veterans.  If the appropriation for 
287.57  either year is insufficient, the 
287.58  appropriation for the other year is 
287.59  available for it.  
287.60  $12,000 the first year and $13,000 the 
287.61  second year are one-time funding to 
287.62  provide grants to local veterans' 
287.63  organizations that provide 
287.64  transportation services for veterans to 
288.1   veterans administration medical 
288.2   facilities. 
288.3   The commissioner of veterans affairs, 
288.4   in cooperation with the board of 
288.5   directors of the Minnesota veterans 
288.6   homes and the United States Veterans 
288.7   Administration, shall study the 
288.8   feasibility and desirability of 
288.9   supplementing the missions of the 
288.10  veterans homes and the Veterans 
288.11  Administration hospitals in Minnesota 
288.12  by entering into agreements with health 
288.13  care providers throughout the state to 
288.14  provide free or reduced-cost 
288.15  comprehensive health care to veterans 
288.16  close to their places of residence as a 
288.17  supplement to private health 
288.18  insurance.  The commissioner shall 
288.19  report the results of the study and any 
288.20  recommendations to the legislature by 
288.21  January 15, 2000. 
288.22  With the approval of the commissioner 
288.23  of finance, the commissioner of 
288.24  veterans affairs may transfer the 
288.25  unencumbered balance from the veterans 
288.26  relief program to other department 
288.27  programs during the fiscal year.  
288.28  Before the transfer, the commissioner 
288.29  of veterans affairs shall explain why 
288.30  the unencumbered balance exists.  The 
288.31  amounts transferred must be identified 
288.32  to the chairs of the senate 
288.33  governmental operations budget 
288.34  committee and the house state 
288.35  government finance committee. 
288.36  $275,000 the first year and $275,000 
288.37  the second year are for a grant to the 
288.38  Vinland National Center. 
288.39  $1,485,000 the first year is to make 
288.40  bonus payments authorized under 
288.41  Minnesota Statutes, section 197.79.  
288.42  The appropriation may not be used for 
288.43  administrative purposes.  The 
288.44  appropriation does not expire until the 
288.45  commissioner acts on all applications 
288.46  submitted under Minnesota Statutes, 
288.47  section 197.79. 
288.48  $105,000 the first year is to 
288.49  administer the bonus program 
288.50  established under Minnesota Statutes, 
288.51  section 197.79.  The appropriation does 
288.52  not expire until the commissioner acts 
288.53  on all the applications submitted under 
288.54  Minnesota Statutes, section 197.79. 
288.55  $233,000 the first year and $235,000 
288.56  the second year are for grants to 
288.57  county veterans offices for training of 
288.58  county veterans service officers and to 
288.59  improve efficiency of county veterans 
288.60  services offices. 
288.61     Sec. 61.  Laws 1999, chapter 250, article 1, section 116, 
288.62  is amended to read: 
289.1      Sec. 116.  [EFFECTIVE DATE.] 
289.2      (a) Section 41 is effective January 1, 2001.  Section 43 is 
289.3   effective July 1, 2000, with respect to preparation of the model 
289.4   policies and procedures by the commissioner of administration, 
289.5   and January 1, 2001, with respect to the other provisions of 
289.6   section 43. 
289.7      (b) Sections 62 to 64 and 93 are effective January August 
289.8   1, 2001. 
289.9      (c) Sections 94 to 100 are effective the day following 
289.10  final enactment. 
289.11     (d) Sections 47, 49, 55, and 115, paragraphs (d) and (g), 
289.12  are effective July 1, 2001. 
289.13     (e) Section 61 is effective the day following final 
289.14  enactment and applies only to contracts executed on or after 
289.15  that date. 
289.16     (f) The commissioner of employee relations may not 
289.17  implement the long-term care insurance plan under section 78 
289.18  until April 1, 2000. 
289.19     Sec. 62.  [MINORITY RECRUITMENT.] 
289.20     The commissioner of employee relations must develop and 
289.21  implement a plan to recruit and retain minority employees in 
289.22  state government.  As part of the recruitment plan, the 
289.23  commissioner must build connections with minority centers and 
289.24  with entities that work with minority persons looking for jobs 
289.25  or training.  As part of the retention plan, the commissioner 
289.26  must work with minority state employees and minority former 
289.27  state employees to:  (1) find out what barriers they encountered 
289.28  in seeking state employment; (2) find out what problems these 
289.29  employees have encountered in their work; and (3) develop a 
289.30  program to improve retention rates of minority employees.  The 
289.31  commissioner must report the plan to the legislature by January 
289.32  15, 2001. 
289.33     Sec. 63.  [MINNESOTA POET LAUREATE.] 
289.34     The humanities commission must develop a plan for the 
289.35  selection of a Minnesota Poet Laureate.  The commission must 
289.36  present the plan to the legislature by January 15, 2001. 
290.1      Sec. 64.  [SUSPENSION OF TELECOMMUNICATIONS FACILITIES 
290.2   INSTALLATION.] 
290.3      The commissioners of administration and transportation may 
290.4   not allow further installation of facilities under the contract 
290.5   that is the subject of an Order of the Federal Communications 
290.6   Commission in CC Docket No. 98-1 denying the Petition for 
290.7   Declaratory Ruling filed by the state of Minnesota or amend that 
290.8   contract until the house and senate governmental operations 
290.9   committees review amendments to the contract that will eliminate 
290.10  the possible anticompetitive effects noted in the FCC order and 
290.11  meet the requirements of section 253 of the federal 
290.12  Telecommunications Act of 1996, Public Law Number 104-104. 
290.13     Sec. 65.  [CLARIFICATION; EFFECT ON REPEAL.] 
290.14     Laws 1999, chapter 250, article 3, does not repeal rules or 
290.15  fees in effect on the day before the effective date of Laws 
290.16  1999, chapter 250, article 3. 
290.17     Sec. 66.  [ENERGY RULES FOR RESIDENTIAL BUILDINGS.] 
290.18     The provisions of Minnesota Rules, chapter 7670, that apply 
290.19  to category 1 buildings govern residential buildings not covered 
290.20  by Minnesota Rules, chapter 7676.  The provisions of Minnesota 
290.21  Rules, chapter 7670, that allow category 2 buildings are void 
290.22  and of no effect.  All buildings subject to Minnesota Rules, 
290.23  chapter 7670, attaining a building permit on or after April 15, 
290.24  2000, must meet the requirements for category 1 buildings as set 
290.25  out in Minnesota Rules, chapter 7670. 
290.26     Sec. 67.  [RATIFICATIONS.] 
290.27     Subdivision 1.  [COUNCIL 6.] The labor agreement between 
290.28  the state of Minnesota and the American federation of state, 
290.29  county, and municipal employees, council 6, approved by the 
290.30  legislative coordinating commission subcommittee on employee 
290.31  relations on September 10, 1999, is ratified. 
290.32     Subd. 2.  [RESIDENTIAL SCHOOLS TEACHERS.] The labor 
290.33  agreement between the state of Minnesota and the state 
290.34  residential schools education association, approved by the 
290.35  legislative coordinating commission subcommittee on employee 
290.36  relations on December 13, 1999, is ratified. 
291.1      Subd. 3.  [SUPERVISORS.] The labor agreement between the 
291.2   state of Minnesota and the middle management association, 
291.3   approved by the legislative coordinating commission subcommittee 
291.4   on employee relations on December 13, 1999, is ratified. 
291.5      Subd. 4.  [NURSES.] The labor agreement between the state 
291.6   of Minnesota and the Minnesota nurses association, approved by 
291.7   the legislative coordinating commission subcommittee on employee 
291.8   relations on December 13, 1999, is ratified. 
291.9      Subd. 5.  [COMMUNITY COLLEGE FACULTY.] The labor agreement 
291.10  between the state of Minnesota and the Minnesota community 
291.11  college faculty association, approved by the legislative 
291.12  coordinating commission subcommittee on employee relations on 
291.13  December 13, 1999, is ratified. 
291.14     Subd. 6.  [STATE UNIVERSITY FACULTY.] The labor agreement 
291.15  between the state of Minnesota and the interfaculty 
291.16  organization, approved by the legislative coordinating 
291.17  commission subcommittee on employee relations on December 13, 
291.18  1999, is ratified. 
291.19     Subd. 7.  [TECHNICAL COLLEGE FACULTY.] The labor agreement 
291.20  between the state of Minnesota and the united technical college 
291.21  educators, approved by the legislative coordinating commission 
291.22  subcommittee on employee relations on December 13, 1999, is 
291.23  ratified. 
291.24     Subd. 8.  [STATE UNIVERSITY ADMINISTRATIVE AND SERVICE 
291.25  FACULTY.] The labor agreement between the state of Minnesota and 
291.26  the Minnesota state university association of administrative and 
291.27  service faculty, approved by the legislative coordinating 
291.28  commission subcommittee on employee relations on December 13, 
291.29  1999, is ratified. 
291.30     Subd. 9.  [COMMISSIONER'S PLAN.] The commissioner's plan 
291.31  for unrepresented employees, approved by the legislative 
291.32  coordinating commission subcommittee on employee relations on 
291.33  December 13, 1999, and as amended by the subcommittee on January 
291.34  31, 2000, is ratified. 
291.35     Subd. 10.  [MANAGERIAL PLAN.] The plan for managerial 
291.36  employees, approved by the legislative coordinating commission 
292.1   subcommittee on employee relations on December 13, 1999, and as 
292.2   amended by the subcommittee on January 31, 2000, is ratified. 
292.3      Subd. 11.  [UNREPRESENTED MANAGERS; MINNESOTA STATE 
292.4   COLLEGES AND UNIVERSITIES.] The plan for administrators of the 
292.5   Minnesota state colleges and universities, approved by the 
292.6   legislative coordinating commission subcommittee on employee 
292.7   relations on December 13, 1999, is ratified. 
292.8      Subd. 12.  [PROFESSIONAL EMPLOYEES.] The labor agreement 
292.9   between the state of Minnesota and the Minnesota association of 
292.10  professional employees, approved by the legislative coordinating 
292.11  commission subcommittee on employee relations on January 31, 
292.12  2000, is ratified. 
292.13     Subd. 13.  [LAW ENFORCEMENT.] The labor agreement between 
292.14  the state of Minnesota and the Minnesota law enforcement 
292.15  association, approved by the legislative coordinating commission 
292.16  subcommittee on employee relations on January 31, 2000, is 
292.17  ratified. 
292.18     Subd. 14.  [CORRECTIONAL GUARDS.] The arbitration award and 
292.19  labor agreement between the state of Minnesota and the American 
292.20  federation of state, county, and municipal employees, council 6, 
292.21  approved by the legislative coordinating commission subcommittee 
292.22  on employee relations on January 31, 2000, is ratified. 
292.23     Subd. 15.  [UNREPRESENTED EMPLOYEES, HIGHER EDUCATION 
292.24  SERVICES OFFICE.] The plan for unrepresented, unclassified 
292.25  employees of the higher education services office, approved by 
292.26  the legislative coordinating commission subcommittee on employee 
292.27  relations on January 31, 2000, is ratified. 
292.28     Subd. 16.  [SALARIES FOR CERTAIN HEADS OF STATE 
292.29  AGENCIES.] The proposals to increase the salaries of certain 
292.30  heads of state agencies, approved by the legislative 
292.31  coordinating commission subcommittee on employee relations on 
292.32  January 31, 2000, are ratified. 
292.33     Subd. 17.  [SALARY FOR THE DIRECTOR OF THE HIGHER EDUCATION 
292.34  SERVICES OFFICE.] The proposal to increase the salary of the 
292.35  director of the higher education services office, recommended by 
292.36  the legislative coordinating commission subcommittee on employee 
293.1   relations on February 22, 2000, is ratified. 
293.2      Subd. 18.  [CONSTITUTIONAL OFFICERS.] The salary of the 
293.3   governor is $150,000.  With respect to the remaining 
293.4   constitutional officers, the April 7, 1999, recommendations of 
293.5   the legislative compensation council are adopted. 
293.6      Sec. 68.  [MEMORANDUM OF UNDERSTANDING.] 
293.7      The commissioner of employee relations may not execute a 
293.8   memorandum of understanding relating to employee compensation 
293.9   for travel time with an exclusive representative of a bargaining 
293.10  unit until after it has been approved by the legislative 
293.11  coordinating commission under Minnesota Statutes, section 
293.12  3.855.  When the legislature is not in session, failure of the 
293.13  commission to disapprove a memorandum of understanding within 30 
293.14  days of submission constitutes approval. 
293.15     Sec. 69.  [ALLOCATION OF COSTS OF CERTAIN BOUNDARY 
293.16  ADJUSTMENT MATTERS.] 
293.17     All costs of any boundary adjustment matter commenced 
293.18  before June 1, 1999, that is concluded after that date under an 
293.19  alternative dispute resolution process as directed by the 
293.20  director of the office of strategic and long-range planning, 
293.21  must be allocated as provided in law and rule prior to the 
293.22  abolition of the Minnesota municipal board.  The maximum total 
293.23  amount the parties may be charged by the office of strategic and 
293.24  long-range planning, the office of administrative hearings, or 
293.25  as part of an arbitration is no more than the Minnesota 
293.26  municipal board could have charged if the matter had been heard 
293.27  and decided by the board.  Costs that exceed what the municipal 
293.28  board could have charged must be paid by the office of strategic 
293.29  and long-range planning. 
293.30     Sec. 70.  [REPEALER.] 
293.31     (a) Minnesota Statutes 1998, section 16B.88; and Minnesota 
293.32  Statutes 1999 Supplement, section 43A.318, are repealed. 
293.33     (b) Minnesota Statutes 1998, sections 16E.01, subdivisions 
293.34  2 and 3; 16E.03, subdivisions 1 and 3; 16E.04, subdivision 1; 
293.35  16E.05; 16E.06; 16E.07, subdivisions 1, 2, 3, 5, 6, 7, 8, 9, 10, 
293.36  and 11; and 136F.59, subdivision 3; Minnesota Statutes 1999 
294.1   Supplement, sections 16E.01, subdivision 1; 16E.02; 16E.03, 
294.2   subdivisions 2, 4, 5, 6, 7, and 8; 16E.04, subdivision 2; 
294.3   16E.07, subdivision 4; and 16E.08, are repealed. 
294.4      (c) Minnesota Statutes 1998, sections 465.795; 465.796; 
294.5   465.797, subdivisions 2, 3, 4, 5, 6, and 7; 465.7971; 465.798; 
294.6   465.799; 465.801; 465.802; 465.803; 465.81; 465.82, subdivisions 
294.7   1, 2, and 3; 465.83; 465.84; 465.85; 465.86; 465.87; and 465.88; 
294.8   Minnesota Statutes 1999 Supplement, sections 465.797, 
294.9   subdivisions 1 and 5a; and 465.82, subdivision 4, are repealed. 
294.10     (d) Laws 1999, chapter 250, article 1, section 15, 
294.11  subdivision 4, is repealed. 
294.12     (e) Laws 1999, chapter 135, section 9, is repealed. 
294.13     (f) Minnesota Rules, parts 7672.0100; 7672.0200; 7672.0300; 
294.14  7672.0400; 7672.0500; 7672.0600; 7672.0700; 7672.0800; 
294.15  7672.0900; 7672.1000; 7672.1100; 7672.1200; 7672.1300; 
294.16  7674.0100; 7674.0200; 7674.0300; 7674.0400; 7674.0500; 
294.17  7674.0600; 7674.0700; 7674.0800; 7674.0900; 7674.1000; 
294.18  7674.1100; and 7674.1200, are repealed. 
294.19     (g) Minnesota Statutes 1998, section 16B.37, subdivisions 
294.20  1, 2, and 3, are repealed. 
294.21     Sec. 71.  [EFFECTIVE DATE.] 
294.22     Section 13 is effective the day after a like commission is 
294.23  authorized by the appropriate authority of the government of 
294.24  Ontario.  Sections 14, 43, and 70, paragraph (c), are effective 
294.25  June 30, 2000.  Section 15 is effective July 1, 2000.  Sections 
294.26  66 and 70, paragraphs (e) and (f), are effective April 15, 
294.27  2000.  Sections 32, 55, and 57 are effective the day following 
294.28  final enactment, and apply to any contract for project 
294.29  development and construction entered into on or after that date, 
294.30  including projects for which requests for bids, qualifications, 
294.31  or proposals have been sought before that date.  Except as 
294.32  otherwise provided in this article, this article is effective 
294.33  the day following final enactment.  Section 29 is effective June 
294.34  30, 2001. 
294.35                             ARTICLE 17
294.36                 MSRS-CORRECTIONAL PLAN MEMBERSHIP 
295.1                              INCLUSIONS 
295.2      Section 1.  Minnesota Statutes 1998, section 352.91, 
295.3   subdivision 3c, is amended to read: 
295.4      Subd. 3c.  [NURSING PERSONNEL.] (a) "Covered correctional 
295.5   service" means service by a state employee in one of the 
295.6   employment positions at a correctional facility or at the 
295.7   Minnesota security hospital specified in paragraph (b), provided 
295.8   that at least 75 percent of the employee's working time is spent 
295.9   in direct contact with inmates or patients and the fact of this 
295.10  direct contact is certified to the executive director by the 
295.11  appropriate commissioner, unless the person elects to retain the 
295.12  current retirement coverage under Laws 1996, chapter 408, 
295.13  article 8, section 21. 
295.14     (b) The employment positions are as follows: 
295.15     (1) registered nurse - senior; 
295.16     (2) registered nurse; 
295.17     (3) registered nurse - principal; and 
295.18     (4) licensed practical nurse 2; and 
295.19     (5) registered nurse practitioner. 
295.20     Sec. 2.  Minnesota Statutes 1998, section 352.91, is 
295.21  amended by adding a subdivision to read: 
295.22     Subd. 3f.  [ADDITIONAL DEPARTMENT OF HUMAN SERVICES 
295.23  PERSONNEL.] (a) "Covered correctional service" means service by 
295.24  a state employee in one of the employment positions specified in 
295.25  paragraph (b) at the Minnesota security hospital or the 
295.26  Minnesota sexual psychopathic personality treatment center, 
295.27  provided that at least 75 percent of the employee's working time 
295.28  is spent in direct contact with patients and the fact of this 
295.29  direct contact is certified to the executive director by the 
295.30  commissioner of human services. 
295.31     (b) The employment positions are: 
295.32     (1) behavior analyst 2; 
295.33     (2) licensed practical nurse 1; 
295.34     (3) office and administrative specialist senior; 
295.35     (4) psychologist 2; 
295.36     (5) social worker specialist; 
296.1      (6) behavior analyst 3; and 
296.2      (7) social worker senior. 
296.3      Sec. 3.  Minnesota Statutes 1998, section 352.91, is 
296.4   amended by adding a subdivision to read: 
296.5      Subd. 3g.  [ADDITIONAL CORRECTIONS DEPARTMENT PERSONNEL.] 
296.6   "Covered correctional service" means service by a state employee 
296.7   in one of the employment positions at the designated Minnesota 
296.8   correctional facility specified in paragraph (b), provided that 
296.9   at least 75 percent of the employee's working time is spent in 
296.10  direct contact with inmates and the fact of this direct contact 
296.11  is certified to the executive director by the commissioner of 
296.12  corrections. 
296.13     (b) The employment positions and correctional facilities 
296.14  are: 
296.15     (1) corrections discipline unit supervisor, at the 
296.16  Minnesota correctional facility-Faribault, the Minnesota 
296.17  correctional facility-Lino Lakes, the Minnesota correctional 
296.18  facility-Oak Park Heights, and the Minnesota correctional 
296.19  facility-St. Cloud; 
296.20     (2) dental assistant registered, at the Minnesota 
296.21  correctional facility-Faribault, the Minnesota correctional 
296.22  facility-Lino Lakes, the Minnesota correctional facility-Moose 
296.23  Lake, the Minnesota correctional facility-Oak Park Heights, and 
296.24  the Minnesota correctional facility-Red Wing; 
296.25     (3) dental hygienist, at the Minnesota correctional 
296.26  facility-Shakopee; 
296.27     (4) psychologist 2, at the Minnesota correctional 
296.28  facility-Faribault, the Minnesota correctional facility-Lino 
296.29  Lakes, the Minnesota correctional facility-Moose Lake, the 
296.30  Minnesota correctional facility-Oak Park Heights, the Minnesota 
296.31  correctional facility-Red Wing, the Minnesota correctional 
296.32  facility-St. Cloud, the Minnesota correctional 
296.33  facility-Shakopee, and the Minnesota correctional 
296.34  facility-Stillwater; and 
296.35     (5) sentencing to service crew leader involved with the 
296.36  inmate community work crew program, at the Minnesota 
297.1   correctional facility-Faribault and the Minnesota correctional 
297.2   facility-Lino Lakes. 
297.3      Sec. 4.  [COVERAGE FOR PRIOR STATE SERVICE FOR CERTAIN 
297.4   PERSONS.] 
297.5      Subdivision 1.  [ELECTION OF PRIOR STATE SERVICE 
297.6   COVERAGE.] (a) An employee who has future retirement coverage 
297.7   transferred to the correctional employees retirement plan under 
297.8   section 1 or 2 is entitled to elect to obtain prior service 
297.9   credit for eligible state service performed after June 30, 1975, 
297.10  and before the first day of the first full pay period beginning 
297.11  after June 30, 2000, with the department of corrections or the 
297.12  department of human services at the Minnesota security hospital 
297.13  or the Minnesota sexual psychopathic personality treatment 
297.14  center.  All eligible prior service credit must be purchased. 
297.15     (b) For purposes of section 1, 2, or 3, eligible state 
297.16  service with the department of corrections or the department of 
297.17  human services is any prior period of continuous service after 
297.18  June 30, 1975, performed as an employee of the department of 
297.19  corrections or the department of human services that would have 
297.20  been eligible for the correctional employees retirement plan 
297.21  coverage under section 1, 2, or 3 if that prior service had been 
297.22  performed after the first day of the first full pay period 
297.23  beginning after June 30, 2000, rather than before that date.  
297.24  Service is continuous if there has been no period of 
297.25  discontinuation of eligible state service for a period greater 
297.26  than 180 calendar days. 
297.27     (c) The commissioner of corrections or the commissioner of 
297.28  human services shall certify eligible state service to the 
297.29  executive director of the Minnesota state retirement system. 
297.30     (d) A covered correctional plan employee employed on July 
297.31  1, 2000, who has past service in a job classification covered 
297.32  under section 1, 2, or 3 on July 1, 2000, is entitled to 
297.33  purchase the past service if the applicable department certifies 
297.34  that the employee met the eligibility requirements for 
297.35  coverage.  The employee shall pay the difference between the 
297.36  employee contributions actually paid during the period and what 
298.1   should have been paid under the correctional employees 
298.2   retirement plan.  Payment for past service must be completed by 
298.3   June 30, 2002. 
298.4      Subd. 2.  [PAYMENT FOR PAST SERVICE.] (a) An employee 
298.5   electing to obtain prior service credit under subdivision 1 must 
298.6   pay an additional employee contribution for that prior service.  
298.7   The additional member contribution is the contribution 
298.8   differential percentage applied to the actual salary paid to the 
298.9   employee during the period of the prior eligible state service, 
298.10  plus interest at the rate of six percent per annum, compounded 
298.11  annually.  The contribution differential percentage is the 
298.12  difference between 4.9 percent of salary and the applicable 
298.13  employee contribution rate of the general state employees 
298.14  retirement plan during the prior eligible state service. 
298.15     (b) The additional member contribution must be paid only in 
298.16  a lump sum.  Payment must accompany the election to obtain prior 
298.17  service credit.  No election of payment may be made by the 
298.18  person or accepted by the executive director after June 30, 2002.
298.19     Subd. 3.  [TRANSFER OF ASSETS.] Assets must be transferred 
298.20  from the general state employees retirement plan to the 
298.21  correctional employees retirement plan, in an amount equal to 
298.22  the present value of benefits earned under the general employees 
298.23  retirement plan for each employee transferring to the 
298.24  correctional employees retirement plan, as determined by the 
298.25  actuary retained by the legislative commission on pensions and 
298.26  retirement in accordance with Minnesota Statutes, section 
298.27  356.215.  The transfer of assets must be made within 45 days 
298.28  after the employee elects to transfer coverage to the 
298.29  correctional employees retirement plan. 
298.30     Subd. 4.  [EFFECT OF THE ASSET TRANSFER.] Upon transfer of 
298.31  assets in subdivision 3, service credit in the general state 
298.32  employees plan of the Minnesota state retirement system is 
298.33  forfeited and may not be reinstated.  The service credit and 
298.34  transferred assets must be credited to the correctional 
298.35  employees retirement plan. 
298.36     Subd. 5.  [PAYMENT OF ACTUARIAL CALCULATION COSTS.] (a) The 
299.1   expense of the legislative commission on pensions and retirement 
299.2   attributable to the calculations of its consulting actuary under 
299.3   subdivision 3 must be reimbursed by the department of 
299.4   corrections and the department of human services. 
299.5      (b) The expense reimbursement under paragraph (a) must be 
299.6   allocated between the two departments in a manner that is 
299.7   jointly agreeable.  If no allocation procedure is developed by 
299.8   the commissioner of corrections and the commissioner of human 
299.9   services, the cost must be allocated on an equally shared basis. 
299.10     (c) Payment of the expense reimbursement to the legislative 
299.11  commission on pensions and retirement is due 30 days after the 
299.12  receipt of the reimbursement request from the executive director 
299.13  of the legislative commission on pensions and retirement. 
299.14     Sec. 5.  [REPEALER.] 
299.15     Minnesota Statutes 1998, section 352.91, subdivision 4, is 
299.16  repealed. 
299.17     Sec. 6.  [EFFECTIVE DATE.] 
299.18     Sections 1 to 5 are effective July 1, 2000. 
299.19                             ARTICLE 18
299.20                       JUDGES RETIREMENT PLAN 
299.21                           MODIFICATIONS 
299.22     Section 1.  Minnesota Statutes 1998, section 352D.02, 
299.23  subdivision 1, is amended to read: 
299.24     Subdivision 1.  [COVERAGE.] (a) Employees enumerated in 
299.25  paragraph (c), clauses (2), (3), (4), and (6) to (15), if they 
299.26  are in the unclassified service of the state or metropolitan 
299.27  council and are eligible for coverage under the general state 
299.28  employees retirement plan under chapter 352, are participants in 
299.29  the unclassified program under this chapter unless the employee 
299.30  gives notice to the executive director of the Minnesota state 
299.31  retirement system within one year following the commencement of 
299.32  employment in the unclassified service that the employee desires 
299.33  coverage under the general state employees retirement plan.  For 
299.34  the purposes of this chapter, an employee who does not file 
299.35  notice with the executive director is deemed to have exercised 
299.36  the option to participate in the unclassified plan. 
300.1      (b) Persons referenced in paragraph (c), clauses (1) and 
300.2   (5), are participants in the unclassified program under this 
300.3   chapter unless the person is eligible to elect different 
300.4   coverage under section 3A.07 or 352C.011 and, after July 1, 
300.5   1998, elects retirement coverage by the applicable alternative 
300.6   retirement plan.  Persons referenced in paragraph (c), clause 
300.7   (16), are participants in the unclassified program under this 
300.8   chapter for judicial employment in excess of the service credit 
300.9   limit in section 490.121, subdivision 22. 
300.10     (c) Enumerated employees and referenced persons are: 
300.11     (1) the governor, the lieutenant governor, the secretary of 
300.12  state, the state auditor, the state treasurer, and the attorney 
300.13  general; 
300.14     (2) an employee in the office of the governor, lieutenant 
300.15  governor, secretary of state, state auditor, state treasurer, 
300.16  attorney general; 
300.17     (3) an employee of the state board of investment; 
300.18     (4) the head of a department, division, or agency created 
300.19  by statute in the unclassified service, an acting department 
300.20  head subsequently appointed to the position, or an employee 
300.21  enumerated in section 15A.0815 or 15A.083, subdivision 4; 
300.22     (5) a member of the legislature; 
300.23     (6) a permanent, full-time unclassified employee of the 
300.24  legislature or a commission or agency of the legislature or a 
300.25  temporary legislative employee having shares in the supplemental 
300.26  retirement fund as a result of former employment covered by this 
300.27  chapter, whether or not eligible for coverage under the 
300.28  Minnesota state retirement system; 
300.29     (7) a person who is employed in a position established 
300.30  under section 43A.08, subdivision 1, clause (3), or in a 
300.31  position authorized under a statute creating or establishing a 
300.32  department or agency of the state, which is at the deputy or 
300.33  assistant head of department or agency or director level; 
300.34     (8) the regional administrator, or executive director of 
300.35  the metropolitan council, general counsel, division directors, 
300.36  operations managers, and other positions as designated by the 
301.1   council, all of which may not exceed 27 positions at the council 
301.2   and the chair, provided that upon initial designation of all 
301.3   positions provided for in this clause, no further designations 
301.4   or redesignations may be made without approval of the board of 
301.5   directors of the Minnesota state retirement system; 
301.6      (9) the executive director, associate executive director, 
301.7   and not to exceed nine positions of the higher education 
301.8   services office in the unclassified service, as designated by 
301.9   the higher education services office before January 1, 1992, or 
301.10  subsequently redesignated with the approval of the board of 
301.11  directors of the Minnesota state retirement system, unless the 
301.12  person has elected coverage by the individual retirement account 
301.13  plan under chapter 354B; 
301.14     (10) the clerk of the appellate courts appointed under 
301.15  article VI, section 2, of the Constitution of the state of 
301.16  Minnesota; 
301.17     (11) the chief executive officers of correctional 
301.18  facilities operated by the department of corrections and of 
301.19  hospitals and nursing homes operated by the department of human 
301.20  services; 
301.21     (12) an employee whose principal employment is at the state 
301.22  ceremonial house; 
301.23     (13) an employee of the Minnesota educational computing 
301.24  corporation; 
301.25     (14) an employee of the world trade center board; and 
301.26     (15) an employee of the state lottery board who is covered 
301.27  by the managerial plan established under section 43A.18, 
301.28  subdivision 3; and 
301.29     (16) a judge who has exceeded the service credit limit in 
301.30  section 490.121, subdivision 22. 
301.31     Sec. 2.  Minnesota Statutes 1998, section 352D.04, 
301.32  subdivision 2, is amended to read: 
301.33     Subd. 2.  [CONTRIBUTION RATES.] (a) The money used to 
301.34  purchase shares under this section is the employee and employer 
301.35  contributions provided in this subdivision. 
301.36     (b) The employee contribution is an amount equal to the 
302.1   employee contribution specified in section 352.04, subdivision 2.
302.2      (c) The employer contribution is an amount equal to six 
302.3   percent of salary.  
302.4      (d) These contributions must be made in the manner provided 
302.5   in section 352.04, subdivisions 4, 5, and 6.  
302.6      (e) For members of the legislature, the contributions under 
302.7   this subdivision also must be made on per diem payments received 
302.8   during a regular or special legislative session, but may not be 
302.9   made on per diem payments received outside of a regular or 
302.10  special legislative session, on the additional compensation 
302.11  attributable to a leadership position under section 3.099, 
302.12  subdivision 3, living expense payments under section 3.101, or 
302.13  special session living expense payments under section 3.103. 
302.14     (f) For a judge who is a member of the unclassified plan 
302.15  under section 352D.02, subdivision 1, paragraph (c), clause 
302.16  (16), the employee contribution rate is eight percent of salary, 
302.17  and there is no employer contribution. 
302.18     Sec. 3.  Minnesota Statutes 1998, section 356.30, 
302.19  subdivision 1, is amended to read: 
302.20     Subdivision 1.  [ELIGIBILITY; COMPUTATION OF ANNUITY.] (1) 
302.21  Notwithstanding any provisions to the contrary of the laws 
302.22  governing the funds enumerated in subdivision 3, a person who 
302.23  has met the qualifications of clause (2) may elect to receive a 
302.24  retirement annuity from each fund in which the person has at 
302.25  least six months allowable service, based on the allowable 
302.26  service in each fund, subject to the provisions of clause (3).  
302.27     (2) A person may receive upon retirement a retirement 
302.28  annuity from each fund in which the person has at least six 
302.29  months allowable service, and augmentation of a deferred annuity 
302.30  calculated under the laws governing each public pension plan or 
302.31  fund named in subdivision 3, from the date the person terminated 
302.32  all public service if: 
302.33     (a) the person has allowable service totaling an amount 
302.34  that allows the person to receive an annuity in any two or more 
302.35  of the enumerated funds; and 
302.36     (b) the person has not begun to receive an annuity from any 
303.1   enumerated fund or the person has made application for benefits 
303.2   from all funds and the effective dates of the retirement annuity 
303.3   with each fund under which the person chooses to receive an 
303.4   annuity are within a one-year period.  
303.5      (3) The retirement annuity from each fund must be based 
303.6   upon the allowable service in each fund, except that:  
303.7      (a) The laws governing annuities must be the law in effect 
303.8   on the date of termination from the last period of public 
303.9   service under a covered fund with which the person earned a 
303.10  minimum of one-half year of allowable service credit during that 
303.11  employment.  
303.12     (b) The "average salary" on which the annuity from each 
303.13  covered fund in which the employee has credit in a formula plan 
303.14  shall be based on the employee's highest five successive years 
303.15  of covered salary during the entire service in covered funds.  
303.16     (c) The formula percentages to be used by each fund must be 
303.17  those percentages prescribed by each fund's formula as continued 
303.18  for the respective years of allowable service from one fund to 
303.19  the next, recognizing all previous allowable service with the 
303.20  other covered funds.  
303.21     (d) Allowable service in all the funds must be combined in 
303.22  determining eligibility for and the application of each fund's 
303.23  provisions in respect to actuarial reduction in the annuity 
303.24  amount for retirement prior to normal retirement.  
303.25     (e) The annuity amount payable for any allowable service 
303.26  under a nonformula plan of a covered fund must not be affected 
303.27  but such service and covered salary must be used in the above 
303.28  calculation.  
303.29     (f) This section shall not apply to any person whose final 
303.30  termination from the last public service under a covered fund is 
303.31  prior to May 1, 1975.  
303.32     (g) For the purpose of computing annuities under this 
303.33  section the formula percentages used by any covered fund, except 
303.34  the public employees police and fire fund, the judges retirement 
303.35  fund, and the state patrol retirement fund, must not exceed the 
303.36  percent specified in section 356.19, subdivision 4, per year of 
304.1   service for any year of service or fraction thereof.  The 
304.2   formula percentage used by the public employees police and fire 
304.3   fund and the state patrol retirement fund must not exceed the 
304.4   percent specified in section 356.19, subdivision 6, per year of 
304.5   service for any year of service or fraction thereof.  The 
304.6   formula percentage used by the judges retirement fund must not 
304.7   exceed the percent specified in section 356.19, subdivision 8, 
304.8   per year of service for any year of service or fraction 
304.9   thereof.  The formula percentage used by the legislators 
304.10  retirement plan and the elective state officers retirement must 
304.11  not exceed 2.5 percent, but this limit does not apply to the 
304.12  adjustment provided under section 3A.02, subdivision 1, 
304.13  paragraph (c), or 352C.031, paragraph (b). 
304.14     (h) Any period of time for which a person has credit in 
304.15  more than one of the covered funds must be used only once for 
304.16  the purpose of determining total allowable service.  
304.17     (i) If the period of duplicated service credit is more than 
304.18  six months, or the person has credit for more than six months 
304.19  with each of the funds, each fund shall apply its formula to a 
304.20  prorated service credit for the period of duplicated service 
304.21  based on a fraction of the salary on which deductions were paid 
304.22  to that fund for the period divided by the total salary on which 
304.23  deductions were paid to all funds for the period.  
304.24     (j) If the period of duplicated service credit is less than 
304.25  six months, or when added to other service credit with that fund 
304.26  is less than six months, the service credit must be ignored and 
304.27  a refund of contributions made to the person in accord with that 
304.28  fund's refund provisions.  
304.29     Sec. 4.  Minnesota Statutes 1998, section 490.121, 
304.30  subdivision 4, is amended to read: 
304.31     Subd. 4.  [ALLOWABLE SERVICE.] "Allowable service" means a 
304.32  whole year, or any fraction thereof, subject to the service 
304.33  credit limit in subdivision 22, served as a judge at any time, 
304.34  or served as a referee in probate for all referees in probate 
304.35  who were in office prior to January 1, 1974. 
304.36     Sec. 5.  Minnesota Statutes 1998, section 490.121, is 
305.1   amended by adding a subdivision to read: 
305.2      Subd. 22.  [SERVICE CREDIT LIMIT.] "Service credit limit" 
305.3   means the greater of:  (1) 24 years of allowable service under 
305.4   chapter 490; or (2) for judges with allowable service rendered 
305.5   prior to July 1, 1980, the number of years of allowable service 
305.6   under chapter 490, which, when multiplied by the percentage 
305.7   listed in section 356.19, subdivision 7 or 8, whichever is 
305.8   applicable to each year of service, equals 76.8. 
305.9      Sec. 6.  Minnesota Statutes 1998, section 490.123, 
305.10  subdivision 1a, is amended to read: 
305.11     Subd. 1a.  [MEMBER CONTRIBUTION RATES.] (a) A judge who is 
305.12  covered by the federal old age, survivors, disability, and 
305.13  health insurance program whose service does not exceed the 
305.14  service credit limit in section 490.121, subdivision 22, shall 
305.15  contribute to the fund from each salary payment a sum equal to 
305.16  8.00 percent of salary.  
305.17     (b) A judge not so covered whose service does not exceed 
305.18  the service credit limit in section 490.121, subdivision 22, 
305.19  shall contribute to the fund from each salary payment a sum 
305.20  equal to 8.15 percent of salary. 
305.21     (c) The contribution under this subdivision is payable by 
305.22  salary deduction. 
305.23     Sec. 7.  Minnesota Statutes 1998, section 490.123, 
305.24  subdivision 1b, is amended to read: 
305.25     Subd. 1b.  [EMPLOYER CONTRIBUTION RATE.] The employer 
305.26  contribution rate to the fund on behalf of a judge is 20.5 
305.27  percent of salary and continues after a judge exceeds the 
305.28  service credit limit in section 490.121, subdivision 22. 
305.29     The employer contribution must be paid by the state court 
305.30  administrator and is payable at the same time as member 
305.31  contributions under subdivision 1a, or employee contributions to 
305.32  the unclassified plan in chapter 352D for judges whose service 
305.33  exceeds the limit in section 490.121, subdivision 22, are 
305.34  remitted. 
305.35     Sec. 8.  Minnesota Statutes 1998, section 490.124, 
305.36  subdivision 1, is amended to read: 
306.1      Subdivision 1.  [BASIC RETIREMENT ANNUITY.] Except as 
306.2   qualified hereinafter from and after mandatory retirement date, 
306.3   normal retirement date, early retirement date, or one year from 
306.4   the disability retirement date, as the case may be, a retirement 
306.5   annuity shall be payable to a retiring judge from the judges' 
306.6   retirement fund in an amount equal to:  (1) the percent 
306.7   specified in section 356.19, subdivision 7, multiplied by the 
306.8   judge's final average compensation multiplied by the number of 
306.9   years and fractions of years of allowable service rendered prior 
306.10  to July 1, 1980; plus (2) the percent specified in section 
306.11  356.19, subdivision 8, multiplied by the judge's final average 
306.12  compensation multiplied by the number of years and fractions of 
306.13  years of allowable service rendered after June 30, 1980; 
306.14  provided that the annuity must not exceed 70 percent of the 
306.15  judge's annual salary for the 12 months immediately preceding 
306.16  retirement.  Service that exceeds the service credit limit in 
306.17  section 490.121, subdivision 22, must be excluded in calculating 
306.18  the retirement annuity, but compensation earned during this 
306.19  service must be used in determining a judge's final average 
306.20  compensation and calculating the retirement annuity.  
306.21     Sec. 9.  [PRIOR SERVICE.] 
306.22     This section applies to a person who is a judge on July 1, 
306.23  2000, and whose service under chapter 490 on that date exceeds 
306.24  the service credit limit in Minnesota Statutes, section 490.121, 
306.25  subdivision 22.  A judge to whom this section applies may elect 
306.26  to have money transferred from the judges' plan to the judge's 
306.27  account in the unclassified employees plan in Minnesota 
306.28  Statutes, chapter 352D.  The amount to be transferred is eight 
306.29  percent of the salary the judge earned after reaching the 
306.30  service credit limit defined in Minnesota Statutes, section 
306.31  490.121, subdivision 22.  A judge electing this transfer 
306.32  forfeits all service credit under Minnesota Statutes, chapter 
306.33  490, that exceeds the limit in Minnesota Statutes, section 
306.34  490.121, subdivision 22.  An election under this section must be 
306.35  made before retirement as a judge, and within 120 days of the 
306.36  effective date of this section.  The election must be made on a 
307.1   form and in a manner specified by the executive director of the 
307.2   Minnesota state retirement system. 
307.3      Sec. 10.  [EFFECTIVE DATE.] 
307.4      Sections 1 to 9 are effective July 1, 2000. 
307.5                              PART F 
307.6                  ECONOMIC DEVELOPMENT PROVISIONS 
307.7                              ARTICLE 19 
307.8                            APPROPRIATIONS 
307.9   Section 1.  [ECONOMIC DEVELOPMENT; APPROPRIATIONS.] 
307.10     The sums in the columns marked "APPROPRIATIONS" are 
307.11  appropriated from the general fund, or another named fund, to 
307.12  the agencies and for the purposes specified in this article, to 
307.13  be available for the fiscal years indicated for each purpose.  
307.14                          SUMMARY BY FUND
307.15                              2000          2001           TOTAL
307.16  General              $   (100,000)   $  2,730,000    $  2,630,000
307.17  TANF                       -0-            500,000         500,000
307.18  Workforce Development  
307.19  Fund                       -0-          1,827,000       1,827,000
307.20   Workers' Compensation 
307.21  Fund                      -0-             90,000         90,000
307.22  TOTAL                $   (100,000)   $5,147,000    $5,047,000
307.23                                             APPROPRIATIONS 
307.24                                         Available for the Year 
307.25                                             Ending June 30 
307.26                                            2000         2001 
307.27  Sec. 2.  TRADE AND ECONOMIC
307.28  DEVELOPMENT                          -0-              2,750,000 
307.29  This appropriation is for the purposes 
307.30  stated in this section, and is added to 
307.31  the appropriation in Laws 1999, chapter 
307.32  223, article 1, section 2. 
307.33  (a) Labor Force Assessments
307.34         -0-            750,000 
307.35  This appropriation is for grants to 
307.36  local or regional economic development 
307.37  agencies to support the development and 
307.38  use of labor force assessments that 
307.39  will allow the agencies to recognize 
307.40  areas in which the skill sets or 
307.41  education of the available workforce 
307.42  are underused.  Projects are eligible 
307.43  for grants of up to 60 percent of the 
307.44  total project costs.  The commissioner 
307.45  shall develop criteria for these grants 
307.46  that will maximize their effectiveness 
308.1   in assisting local economic development 
308.2   efforts.  The criteria shall give a 
308.3   preference to projects that have the 
308.4   support and involvement of multiple 
308.5   economic development agencies across a 
308.6   geographic region where appropriate, 
308.7   provided that the size of the area 
308.8   covered by a project does not interfere 
308.9   with the usefulness of the information 
308.10  generated.  This is a one-time 
308.11  appropriation and is not added to the 
308.12  agency's budget base. 
308.13  (b) Catalyst Grants
308.14         -0-          1,500,000 
308.15  This appropriation is for catalyst 
308.16  grants to local governments to expand 
308.17  Internet access in areas of rural 
308.18  Minnesota that are otherwise unlikely 
308.19  to receive access through existing 
308.20  technology.  Catalyst grants are for 
308.21  capital expenditures related to 
308.22  providing Internet access to residences 
308.23  and businesses using either traditional 
308.24  fiber optic cable or wireless 
308.25  technology.  Eligible capital 
308.26  expenditures include equipment and 
308.27  construction costs, but do not include 
308.28  the costs of planning, engineering, or 
308.29  preliminary design.  The commissioner 
308.30  shall award catalyst grants according 
308.31  to a competitive grant process and 
308.32  shall create criteria for the award of 
308.33  grants.  These criteria shall include a 
308.34  preference for projects that will 
308.35  provide both business and residential 
308.36  Internet access, provided that a 
308.37  project is presumed to provide business 
308.38  access only if it will enable access of 
308.39  at least 512 kilobytes per second.  The 
308.40  maximum catalyst grant for any project 
308.41  is $250,000 or 25 percent of the 
308.42  eligible capital expenditures, 
308.43  whichever is less.  This is a one-time 
308.44  appropriation and is not added to the 
308.45  agency's budget base. 
308.46  (c) Tourism Loan Account
308.47         -0-            500,000 
308.48  This appropriation is for transfer to 
308.49  the tourism loan account established 
308.50  under Minnesota Statutes, section 
308.51  116J.617, subdivision 5, for the 
308.52  tourism loan program under Minnesota 
308.53  Statutes, section 116J.617.  This is a 
308.54  one-time appropriation. 
308.55  (d) Cancellation
308.56  Of the unspent and unencumbered 
308.57  portions of the appropriations in Laws 
308.58  1997, chapter 200, article 1, section 
308.59  2, subdivision 2, for the pathways 
308.60  program under Minnesota Statutes, 
308.61  section 116L.04, subdivision 1a, 
308.62  $800,000 is canceled and returned to 
308.63  the general fund.  This cancellation is 
309.1   effective the day following final 
309.2   enactment. 
309.3      EFFECTIVE DATE:  This paragraph is effective the day 
309.4   following final enactment. 
309.5   Sec. 3.  MINNESOTA TECHNOLOGY            -0-            200,000
309.6   This appropriation is for the 
309.7   e-Business Institute.  This is a 
309.8   one-time appropriation and is not added 
309.9   to the agency's budget base. 
309.10  Sec. 4.  HOUSING FINANCE AGENCY          -0-            500,000
309.11  This appropriation is for the family 
309.12  homeless prevention and assistance 
309.13  program under Minnesota Statutes, 
309.14  section 462A.204, and is available 
309.15  until June 30, 2001.  This 
309.16  appropriation is from the state's 
309.17  federal TANF block grant under title I 
309.18  of Public Law Number 104-193 to the 
309.19  commissioner of human services, to 
309.20  reimburse the housing development fund 
309.21  for assistance under this program for 
309.22  families receiving TANF assistance 
309.23  under the MFIP program.  The 
309.24  commissioner of human services shall 
309.25  make monthly reimbursements to the 
309.26  housing development fund.  The 
309.27  commissioner of human services shall 
309.28  not make any reimbursement which the 
309.29  commissioner determines would be 
309.30  subject to a penalty under Code of 
309.31  Federal Regulations, section 262.1.  
309.32  This is a one-time appropriation. 
309.33  Sec. 5.  BOARD OF ARCHITECTURE,
309.34  ENGINEERING, LAND SURVEYING, LANDSCAPE 
309.35  ARCHITECTURE, AND INTERIOR DESIGN        -0-            130,000
309.36  This appropriation is for enforcement 
309.37  activities by the board, and is added 
309.38  to the appropriation in Laws 1999, 
309.39  chapter 223, article 1, section 8. 
309.40  Sec. 6.  BOARD OF BOXING                 -0-             65,000
309.41  This amount is added to the 
309.42  appropriation in Laws 1999, chapter 
309.43  223, article 1, section 10. 
309.44  Sec. 7.  DEPARTMENT OF ECONOMIC
309.45  SECURITY                               200,000        1,977,000
309.46  (a) Youthbuild 
309.47  Of this amount, $200,000 in the first 
309.48  year is a one-time appropriation for 
309.49  grants to existing Youthbuild programs 
309.50  that have experienced a loss of federal 
309.51  funds and are unable to fulfill their 
309.52  missions under Minnesota Statutes, 
309.53  sections 268.361 to 268.366. 
309.54     EFFECTIVE DATE:  This paragraph is effective the day 
309.55  following final enactment. 
310.1   (b) Alien Labor Certification 
310.2   Of this amount, $150,000 the second 
310.3   year is a one-time appropriation for 
310.4   alien labor certification, and is 
310.5   available as matching funds are 
310.6   provided on at least a 
310.7   dollar-for-dollar basis from nonstate 
310.8   sources. 
310.9   (c) Displaced Homemaker Programs 
310.10  Of this amount, $1,827,000 the second 
310.11  year is an appropriation from the 
310.12  workforce development fund for 
310.13  displaced homemaker programs under 
310.14  Minnesota Statutes, section 268.96.  
310.15  The general fund appropriation of 
310.16  $1,827,000 for displaced homemaker 
310.17  programs in fiscal year 2001 in Laws 
310.18  1999, chapter 223, article 1, section 
310.19  4, subdivision 4, is canceled and 
310.20  returned to the general fund. 
310.21  (d) Food Service Exemption 
310.22  Notwithstanding the provisions of 
310.23  Minnesota Statutes, section 268.085, 
310.24  subdivision 8, wage credits from an 
310.25  employer are not subject to the 
310.26  provisions of Minnesota Statutes, 
310.27  section 268.085, subdivision 7, if 
310.28  those wage credits were earned during 
310.29  the school year by an employee of a 
310.30  private employer performing work 
310.31  pursuant to a contract between the 
310.32  employer and an elementary or secondary 
310.33  school and the employment was related 
310.34  to food services provided to the school 
310.35  by the employer.  This paragraph 
310.36  expires December 31, 2001. 
310.37     Sec. 8.  Laws 1997, chapter 200, article 1, section 5, 
310.38  subdivision 3, is amended to read:  
310.39  Subd. 3.  State Services for the Blind 
310.40       3,735,000      3,816,000
310.41  This appropriation may be supplemented 
310.42  by funds provided by the Friends of the 
310.43  Communication Center, for support of 
310.44  Services for the Blind's Communication 
310.45  Center, which serves all blind and 
310.46  visually handicapped Minnesotans.  The 
310.47  commissioner shall report to the 
310.48  legislature on a biennial basis the 
310.49  funds provided by the Friends of the 
310.50  Communication Center. 
310.51  The commissioner may not require 
310.52  employees to participate in intensive 
310.53  blindness sensitivity training in which 
310.54  the employees are blindfolded or 
310.55  otherwise simulate blindness, unless 
310.56  the employee is a manager or counselor; 
310.57  except that the commissioner may 
310.58  require the training for up to 14 
310.59  employees who are not managers or 
310.60  counselors but have direct contact with 
311.1   blind clients seeking services, and up 
311.2   to four employees at the store located 
311.3   at the state services for the blind. 
311.4   A person may not serve more than a 
311.5   total of six consecutive years as a 
311.6   member of the rehabilitation advisory 
311.7   council for the blind or its 
311.8   predecessor, the council for the 
311.9   blind.  Service prior to the effective 
311.10  date of this section is included in the 
311.11  six-year limit, except that a person 
311.12  currently serving on the rehabilitation 
311.13  advisory council for the blind may 
311.14  serve out the person's current term and 
311.15  serve one additional term After six 
311.16  consecutive years of service, a person 
311.17  may not be reappointed to the council 
311.18  until a period of one year has elapsed. 
311.19     Sec. 9.  Laws 1999, chapter 223, article 1, section 6, 
311.20  subdivision 1, is amended to read 
311.21  Subdivision 1.  Total 
311.22  Appropriation                         18,927,000     17,460,000
311.23                                        18,627,000     16,760,000 
311.24                Summary by Fund
311.25  General              17,245,000    15,831,000
311.26                       16,945,000    15,131,000 
311.27  Petro Cleanup         1,015,000     1,045,000 
311.28  Workers'
311.29  Compensation            567,000       584,000
311.30  Special Revenue         100,000       -0-  
311.31  The amounts that may be spent from this 
311.32  appropriation for each program are 
311.33  specified in the following 
311.34  subdivisions, except that with respect 
311.35  to general fund appropriations, the 
311.36  commissioner must reduce the amounts 
311.37  spent from the amounts specified by a 
311.38  total of $300,000 in the first year and 
311.39  $700,000 in the second year.  The 
311.40  general fund base for the department 
311.41  shall be $14,653,000 in fiscal year 
311.42  2002 and $14,377,000 in fiscal year 
311.43  2003. 
311.44     EFFECTIVE DATE:  This section is effective the day 
311.45  following final enactment. 
311.46  Sec. 10.  OFFICE OF STRATEGIC AND
311.47  LONG-RANGE PLANNING                      -0-             75,000
311.48  This one-time appropriation is for the 
311.49  purposes of the workforce development 
311.50  task force in article 20, section 23.  
311.51  This amount is added to the 
311.52  appropriation in Laws 1999, chapter 
311.53  223, article 1, section 23. 
311.54  Sec. 11.  DEPARTMENT OF     
311.55  ADMINISTRATION                           -0-             50,000
311.56  This one-time appropriation is for the 
312.1   purposes of article 20, section 22, and 
312.2   is added to the appropriation in Laws 
312.3   1999, chapter 223, article 1, section 
312.4   25. 
312.5   Sec. 12.  DEPARTMENT OF        
312.6   FINANCE                                  -0-             10,000
312.7   This appropriation is for up to $10,000 
312.8   for the commissioner of finance to 
312.9   consult with the commissioner of 
312.10  employee relations and the Minnesota 
312.11  Historical Society to consider the 
312.12  causes of ongoing shortfalls in the 
312.13  salary and benefit accounts at the 
312.14  Minnesota Historical Society, and to 
312.15  compare the salaries and benefits at 
312.16  agencies in other states that have 
312.17  comparable missions.  The commissioner 
312.18  shall report findings, including 
312.19  recommendations, to the legislature by 
312.20  December 31, 2000. 
312.21   Sec. 13.  DEPARTMENT OF LABOR 
312.22  AND INDUSTRY                             -0-             90,000 
312.23  This appropriation is from the workers' 
312.24  compensation fund for the workplace 
312.25  services division to administer article 
312.26  20, sections 8 to 11.  This amount is 
312.27  added to the appropriation in Laws 
312.28  1999, chapter 223, article 1, section 
312.29  11, subdivision 3. 
312.30                             ARTICLE 20
312.31            JOBS AND ECONOMIC DEVELOPMENT POLICY CHANGES 
312.32     Section 1.  Minnesota Statutes 1998, section 60H.03, is 
312.33  amended by adding a subdivision to read: 
312.34     Subd. 4.  [TERM AND FEES.] The term of a managing general 
312.35  agent license issued under this section and the license fees 
312.36  imposed are the same as those applicable to a licensed insurance 
312.37  agent under chapter 60K.  
312.38     Sec. 2.  Minnesota Statutes 1998, section 80A.122, is 
312.39  amended by adding a subdivision to read: 
312.40     Subd. 4a.  [EXPIRATION.] (a) A filing made in connection 
312.41  with the securities of an open-end investment company under 
312.42  subdivision 1 expires the next June 30 unless renewed.  To renew 
312.43  a notice filing, an issuer shall: 
312.44     (1) before expiration of a current notice filing, file with 
312.45  the commissioner the documents specified by the commissioner 
312.46  under subdivision 1, clause (2), together with any fees required 
312.47  by section 80A.28, subdivision 1, paragraph (c); and 
312.48     (2) no later than September 1 following expiration, file a 
313.1   sales report for the prior fiscal year with the commissioner 
313.2   specifying: 
313.3      (i) the registered sales; 
313.4      (ii) the actual sales; and 
313.5      (iii) the balance that could be sold without an additional 
313.6   filing under section 80A.28, subdivision 1, paragraph (c). 
313.7      (b) No portion of the unsold balance of shares indicated on 
313.8   the issuer's sales report may be lawfully sold in this state in 
313.9   connection with a renewed notice filing until fees have been 
313.10  paid to renew the shares. 
313.11     Sec. 3.  Minnesota Statutes 1998, section 80A.28, 
313.12  subdivision 1, is amended to read: 
313.13     Subdivision 1.  (a) There shall be a filing fee of $100 for 
313.14  every application for registration or notice filing.  There 
313.15  shall be an additional fee of one-tenth of one percent of the 
313.16  maximum aggregate offering price at which the securities are to 
313.17  be offered in this state, and the maximum combined fees shall 
313.18  not exceed $300.  
313.19     (b) When an application for registration is withdrawn 
313.20  before the effective date or a preeffective stop order is 
313.21  entered under section 80A.13, subdivision 1, all but the $100 
313.22  filing fee shall be returned.  If an application to register 
313.23  securities is denied, the total of all fees received shall be 
313.24  retained. 
313.25     (c) Where a filing is made in connection with a federal 
313.26  covered security under section 18(b)(2) of the Securities Act of 
313.27  1933, there is a fee of $100 for every initial filing.  If the 
313.28  filing is made in connection with redeemable securities issued 
313.29  by an open end management company or unit investment trust, as 
313.30  defined in the Investment Company Act of 1940, there is an 
313.31  additional annual fee of 1/20 of one percent of the maximum 
313.32  aggregate offering price at which the securities are to be 
313.33  offered in this state during the notice filing period.  The fee 
313.34  must be paid at the time of the initial filing and thereafter in 
313.35  connection with each renewal no later than July 1 of each year 
313.36  and must be sufficient to cover the shares the issuer expects to 
314.1   sell in this state over the next 12 months.  If during a current 
314.2   notice filing the issuer determines it is likely to sell shares 
314.3   in excess of the shares for which fees have been paid to the 
314.4   commissioner, the issuer shall submit an amended notice filing 
314.5   to the commissioner under section 80A.122, subdivision 1, clause 
314.6   (3), together with a fee of 1/20 of one percent of the maximum 
314.7   aggregate offering price of the additional shares.  Shares for 
314.8   which a fee has been paid, but which have not been sold at the 
314.9   time of expiration of the notice filing, may not be sold unless 
314.10  an additional fee to cover the shares has been paid to the 
314.11  commissioner as provided in this section and section 80A.122, 
314.12  subdivision 4a.  If the filing is made in connection with 
314.13  redeemable securities issued by such a company or trust, there 
314.14  is no maximum fee for securities filings made according to this 
314.15  paragraph.  If the filing is made in connection with any other 
314.16  federal covered security under Section 18(b)(2) of the 
314.17  Securities Act of 1933, there is an additional fee of one-tenth 
314.18  of one percent of the maximum aggregate offering price at which 
314.19  the securities are to be offered in this state, and the combined 
314.20  fees shall not exceed $300.  Beginning with fiscal year 2001 and 
314.21  continuing each fiscal year thereafter, as of the last day of 
314.22  each fiscal year, the commissioner shall determine the total 
314.23  amount of all fees that were collected under this paragraph in 
314.24  connection with any filings made for that fiscal year for 
314.25  securities of an open-end investment company on behalf of a 
314.26  security that is a federal covered security pursuant to section 
314.27  18(b)(2) of the Securities Act of 1933.  To the extent the total 
314.28  fees collected by the commissioner in connection with these 
314.29  filings exceed $25,000,000, the commissioner shall refund, on a 
314.30  pro rata basis, to all persons who paid any fees for that fiscal 
314.31  year, the amount of fees collected by the commissioner in excess 
314.32  of $25,000,000.  No individual refund is required of amounts of 
314.33  $100 or less for a fiscal year. 
314.34     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
314.35  116J.421, subdivision 2, is amended to read: 
314.36     Subd. 2.  [GOVERNANCE.] The center is governed by a board 
315.1   of directors appointed to six-year terms by the governor 
315.2   comprised of: 
315.3      (1) a representative from each of the two largest statewide 
315.4   general farm organizations; 
315.5      (2) a representative from a regional initiative 
315.6   organization selected under section 116J.415, subdivision 3; 
315.7      (3) the president of Mankato State University; 
315.8      (4) a representative from the general public residing in a 
315.9   town of less than 5,000 located outside of the metropolitan 
315.10  area; 
315.11     (5) a member of the house of representatives appointed by 
315.12  the speaker of the house and a member of the senate appointed by 
315.13  the subcommittee on committees of the senate committee on rules 
315.14  and administration appointed for two-year terms; 
315.15     (6) three representatives from business, including one 
315.16  representing rural manufacturing and one rural retail and 
315.17  service business; 
315.18     (7) three representatives from private foundations with a 
315.19  demonstrated commitment to rural issues; 
315.20     (8) one representative from a rural county government; and 
315.21     (9) one representative from a rural regional government. 
315.22     The board shall appoint one additional member to the board 
315.23  of directors who shall represent the general public.  
315.24     If the board concludes at any time that the composition of 
315.25  the board does not adequately reflect the ethnic and gender 
315.26  diversity of rural Minnesota, the board may appoint up to four 
315.27  additional members in order to better reflect this diversity.  
315.28  Members appointed by the board under this paragraph shall serve 
315.29  six-year terms.  The board may not appoint additional members 
315.30  such that the board would have a total of more than 20 members. 
315.31     Sec. 5.  [136F.77] [EQUITY INVESTMENTS.] 
315.32     The board may acquire an interest in a product or a private 
315.33  business entity for the purpose of developing and providing 
315.34  educational materials and related programs or services to 
315.35  further the mission of the Minnesota state colleges and 
315.36  universities and foster the economic growth of the state.  The 
316.1   board may enter into joint venture agreements with private 
316.2   corporations to develop educational materials and related 
316.3   programs or services.  Any proceeds from such investments or 
316.4   ventures are appropriated to the board.  The state is not liable 
316.5   for any obligations or liabilities that arise from investments 
316.6   pursuant to this section.  The board must report annually by 
316.7   September 1 to the legislature regarding its earnings from 
316.8   partnerships and the disposition of those earnings. 
316.9      Sec. 6.  [144.994] [PROFESSIONAL BOXING REGULATION.] 
316.10     Subdivision 1.  [GENERALLY.] The commissioner of health 
316.11  shall regulate professional boxing matches in Minnesota.  For 
316.12  the purposes of this section, "professional boxing matches" 
316.13  means boxing contests held in Minnesota between individuals for 
316.14  financial compensation, but does not include boxing contests 
316.15  regulated by an amateur sports organization. 
316.16     Subd. 2.  [COMPLIANCE WITH FEDERAL LAW.] The commissioner 
316.17  shall act as Minnesota's state boxing commission for the 
316.18  purposes of the Professional Boxing Safety Act, United States 
316.19  Code, title 15, sections 6301 to 6313, and shall ensure that 
316.20  safety standards, registration procedures, and other regulations 
316.21  required by federal law are sufficient to protect the health and 
316.22  safety of boxers. 
316.23     Subd. 3.  [LIMITATION.] The commissioner shall not impose 
316.24  regulations substantially more stringent than necessary to 
316.25  protect boxers' health and safety and to fully comply with 
316.26  federal requirements. 
316.27     EFFECTIVE DATE:  This section is effective the day 
316.28  following final enactment. 
316.29     Sec. 7.  [181.967] [EMPLOYMENT REFERENCES.] 
316.30     Subdivision 1.  [CAUSES OF ACTION.] No action may be 
316.31  maintained against an employer, designated employee, or agent 
316.32  who discloses information about a current or former employee to 
316.33  a prospective employer or employment agency as provided under 
316.34  this section, unless the employee or former employee 
316.35  demonstrates by clear and convincing evidence that: 
316.36     (1) the information was false and defamatory; 
317.1      (2) the employer knew or should have known the information 
317.2   was false and acted with malicious intent to injure the current 
317.3   or former employee; and 
317.4      (3) the information was acted upon by the prospective 
317.5   employer in a manner that caused harm to the current or former 
317.6   employee. 
317.7      Subd. 2.  [EMPLOYMENT REFERENCE INFORMATION DISCLOSURE.] (a)
317.8   Upon request an employer may disclose the following information 
317.9   about one of its current or former employees to a prospective 
317.10  employer: 
317.11     (1) dates of employment; 
317.12     (2) compensation and wage history; 
317.13     (3) job description and duties; 
317.14     (4) training and education provided by the employer; and 
317.15     (5) all acts of violence, theft, harassment, or illegal 
317.16  conduct documented in the personnel record which resulted in 
317.17  disciplinary action or resignation. 
317.18     When making any disclosure pursuant to clause (5), the 
317.19  employer must provide the employee or former employee with a 
317.20  copy of the information disclosed. 
317.21     (b) Upon request, a public employer may disclose public 
317.22  personnel data on an individual listed in section 13.43, 
317.23  subdivision 2, about one of its current or former employees, to 
317.24  a prospective employer. 
317.25     (c) With the written authorization of the current or former 
317.26  employee, an employer may also disclose the following 
317.27  information in writing to a prospective employer: 
317.28     (1) written employee evaluations conducted prior to the 
317.29  employee's separation from the employer, and the employee's 
317.30  written response, if any, contained in the employee's personnel 
317.31  record; 
317.32     (2) disciplinary warnings and actions in the five years 
317.33  before the date of the authorization, and the employee's written 
317.34  response, if any, contained in the employee's personnel record; 
317.35  and 
317.36     (3) reasons for separation from employment. 
318.1      (d) An employer must provide a copy of a disclosure made 
318.2   under paragraph (c) to a current or former employee upon request.
318.3      Subd. 3.  [SCHOOL DISTRICT DISCLOSURE OF VIOLENCE OR 
318.4   INAPPROPRIATE SEXUAL CONTACT.] A school administrator must 
318.5   disclose to another school district requesting information about 
318.6   a current or former employee all acts of violence or 
318.7   inappropriate sexual contact with students documented in the 
318.8   personnel record that resulted in disciplinary action or 
318.9   resignation. 
318.10     EFFECTIVE DATE:  This section is effective August 1, 2000, 
318.11  and applies to causes of action arising on or after that date.  
318.12     Sec. 8.  [182.6545] [RIGHTS OF NEXT OF KIN UPON DEATH.] 
318.13     In the case of a death of an employee, the department shall 
318.14  make reasonable efforts to locate the employee's next of kin and 
318.15  shall mail to them copies of the following: 
318.16     (1) citations and notification of penalty; 
318.17     (2) notices of hearings; 
318.18     (3) complaints and answers; 
318.19     (4) settlement agreements; 
318.20     (5) orders and decisions; and 
318.21     (6) notices of appeals. 
318.22     In addition, the next of kin shall have the right to 
318.23  request a consultation with the department regarding citations 
318.24  and notification of penalties issued as a result of the 
318.25  investigation of the employee's death.  For the purposes of this 
318.26  section, "next of kin" refers to the nearest proper relative as 
318.27  that term is defined by section 253B.03, subdivision 6, 
318.28  paragraph (c). 
318.29     Sec. 9.  Minnesota Statutes 1998, section 182.661, 
318.30  subdivision 1, is amended to read: 
318.31     Subdivision 1.  If, after an inspection or investigation, 
318.32  the commissioner issues a citation under section 182.66, the 
318.33  commissioner shall notify the employer by certified mail of the 
318.34  penalty, if any, proposed to be assessed under section 182.666 
318.35  and that the employer has 20 calendar days within which to file 
318.36  a notice of contest and certification of service, on a form 
319.1   provided by the commissioner, indicating that the employer 
319.2   wishes to contest the citation, type of violation, proposed 
319.3   assessment of penalty, or the period of time fixed in the 
319.4   citation given for correction of violation.  A copy of the 
319.5   citation and the proposed assessment of penalty shall also be 
319.6   mailed to the authorized employee representative and including, 
319.7   in the case of the death of an employee, to the next of kin if 
319.8   requested.  If within 20 calendar days from the receipt of the 
319.9   penalty notice issued by the commissioner the employer fails to 
319.10  file the notice of contest, and no notice of contest is filed by 
319.11  any employee or authorized representative of employees under 
319.12  subdivision 3 within such time, the citation and assessment, as 
319.13  proposed, shall be deemed a final order of the commissioner and 
319.14  not subject to review by any court or agency. 
319.15     Sec. 10.  Minnesota Statutes 1998, section 182.666, 
319.16  subdivision 2, is amended to read: 
319.17     Subd. 2.  Any employer who has received a citation for a 
319.18  serious violation of its duties under section 182.653, or any 
319.19  standard, rule, or order adopted under the authority of the 
319.20  commissioner as provided in this chapter, shall be assessed a 
319.21  fine not to exceed $7,000 for each violation.  If the violation 
319.22  causes or contributes to the cause of the death of an employee, 
319.23  the employer shall be assessed a fine of up to $25,000. 
319.24     Sec. 11.  Minnesota Statutes 1998, section 182.666, is 
319.25  amended by adding a subdivision to read: 
319.26     Subd. 2a.  Notwithstanding any other provision of this 
319.27  section, if any (1) serious, willful, or repeated violation 
319.28  other than a violation of section 182.653, subdivision 2; or (2) 
319.29  any failure to correct a violation pursuant to subdivision 4 
319.30  causes or contributes to the death of an employee, the minimum 
319.31  total nonnegotiable fine which shall be assessed for all 
319.32  citations connected to the death of an employee is $50,000 if 
319.33  there is a willful or repeated violation or $25,000 if there is 
319.34  no willful or repeated violation. 
319.35     Sec. 12.  Minnesota Statutes 1998, section 268.362, 
319.36  subdivision 2, is amended to read: 
320.1      Subd. 2.  [GRANT APPLICATIONS; AWARDS.] Interested eligible 
320.2   organizations must apply to the commissioner for the grants.  
320.3   The advisory committee must review the applications and provide 
320.4   to the commissioner a list of recommended eligible organizations 
320.5   that the advisory committee determines meet the requirements for 
320.6   receiving a grant.  The total grant award for any program may 
320.7   not exceed $80,000 $150,000 per year.  In awarding grants, the 
320.8   advisory committee and the commissioner must give priority to: 
320.9      (1) continuing and expanding effective programs by 
320.10  providing grant money to organizations that are operating or 
320.11  have operated a successful program that meets the program 
320.12  purposes under section 268.364; and 
320.13     (2) distributing programs throughout the state through 
320.14  start-up grants for programs in areas that are not served by an 
320.15  existing program. 
320.16     To receive a grant under this section, the eligible 
320.17  organization must match the grant money with at least an equal 
320.18  amount of nonstate money.  The commissioner must verify that the 
320.19  eligible organization has matched the grant money.  Nothing in 
320.20  this subdivision shall prevent an eligible organization from 
320.21  applying for and receiving grants for more than one program.  A 
320.22  grant received by an eligible organization from the federal 
320.23  Youthbuild Project under United States Code, title 42, section 
320.24  5091, is nonstate money and may be used to meet the state match 
320.25  requirement.  State grant money awarded under this section may 
320.26  be used by grantee organizations for match requirements of a 
320.27  federal Youthbuild Project. 
320.28     Sec. 13.  Minnesota Statutes 1999 Supplement, section 
320.29  326.105, is amended to read: 
320.30     326.105 [FEES.] 
320.31     The fee for licensure or renewal of licensure as an 
320.32  architect, professional engineer, land surveyor, landscape 
320.33  architect, or geoscience professional is $104 $120 per biennium. 
320.34  The fee for certification as a certified interior designer or 
320.35  for renewal of the certificate is $104 $120 per biennium.  The 
320.36  fee for an architect applying for original certification as a 
321.1   certified interior designer is $50 per biennium.  The initial 
321.2   license or certification fee for all professions is $104 $120.  
321.3   The renewal fee shall be paid biennially on or before June 30 of 
321.4   each even-numbered year.  The renewal fee, when paid by mail, is 
321.5   not timely paid unless it is postmarked on or before June 30 of 
321.6   each even-numbered year.  The application fee is $25 for 
321.7   in-training applicants and $75 for professional license 
321.8   applicants. 
321.9      The fee for monitoring licensing examinations for 
321.10  applicants is $25, payable by the applicant. 
321.11     Sec. 14.  [326.2441] [INSPECTION FEE SCHEDULE.] 
321.12     Subdivision 1.  [SCHEDULE.] State electrical inspection 
321.13  fees shall be paid according to subdivisions 2 to 13. 
321.14     Subd. 2.  [FEE FOR EACH SEPARATE INSPECTION.] The minimum 
321.15  fee for each separate inspection of an installation, 
321.16  replacement, alteration, or repair is $20. 
321.17     Subd. 3.  [FEE FOR SERVICES, GENERATORS, OTHER POWER SUPPLY 
321.18  SOURCES, OR FEEDERS TO SEPARATE STRUCTURES.] The inspection fee 
321.19  for the installation, addition, alteration, or repair of each 
321.20  service, change of service, temporary service, generator, other 
321.21  power supply source, or feeder to a separate structure is: 
321.22     (1) 0 ampere to and including 400 ampere capacity, $25; 
321.23     (2) 401 ampere to and including 800 ampere capacity, $50; 
321.24  and 
321.25     (3) ampere capacity above 800, $75. 
321.26     Where multiple disconnects are grouped at a single location 
321.27  and are supplied by a single set of supply conductors, the 
321.28  cumulative rating of the overcurrent devices shall be used to 
321.29  determine the supply ampere capacity. 
321.30     Subd. 4.  [FEE FOR CIRCUITS, FEEDERS, FEEDER TAPS, OR SETS 
321.31  OF TRANSFORMER SECONDARY CONDUCTORS.] The inspection fee for the 
321.32  installation, addition, alteration, or repair of each circuit, 
321.33  feeder, feeder tap, or set of transformer secondary conductors, 
321.34  including the equipment served, is: 
321.35     (1) 0 ampere to and including 200 ampere capacity, $5; and 
321.36     (2) ampere capacity above 200, $10. 
322.1      Subd. 5.  [LIMITATIONS TO FEES OF SUBDIVISIONS 3 AND 
322.2   4.] (a) The fee for a one-family dwelling and each dwelling unit 
322.3   of a two-family dwelling with a supply of up to 500 amperes 
322.4   where a combination of ten or more sources of supply, feeders, 
322.5   or circuits are installed, added, altered, repaired, or extended 
322.6   is $80.  This fee applies to each separate installation for new 
322.7   dwellings and additions, alterations, or repairs to existing 
322.8   dwellings and includes not more than two inspections.  The fee 
322.9   for additional inspections or other installations is that 
322.10  specified in subdivisions 2 to 4.  The installer may submit fees 
322.11  for additional inspections when filing the request for 
322.12  electrical inspection. 
322.13     (b) The fee for each dwelling unit of a multifamily 
322.14  dwelling with three to 12 dwelling units is $50 and the fee for 
322.15  each additional dwelling unit is $25.  These fees include only 
322.16  inspection of the wiring within individual dwelling units and 
322.17  the final feeder to that unit.  This limitation is subject to 
322.18  the following conditions: 
322.19     (1) the multifamily dwelling is provided with common 
322.20  service equipment and each dwelling unit is supplied by a 
322.21  separate feeder.  The fee for multifamily dwelling services or 
322.22  other power source supplies and all other circuits is that 
322.23  specified in subdivisions 2 to 4; and 
322.24     (2) this limitation applies only to new installations for 
322.25  multifamily dwellings where the majority of the individual 
322.26  dwelling units are available for inspection during each 
322.27  inspection trip. 
322.28     (c) A separate request for electrical inspection form must 
322.29  be filed for each dwelling unit that is supplied with an 
322.30  individual set of service entrance conductors.  These fees are 
322.31  the one-family dwelling rate specified in paragraph (a). 
322.32     Subd. 6.  [ADDITIONS TO FEES OF SUBDIVISIONS 3 TO 5.] (a) 
322.33  The fee for the electrical supply for each manufactured home 
322.34  park lot is $25.  This fee includes the service or feeder 
322.35  conductors up to and including the service equipment or 
322.36  disconnecting means.  The fee for feeders and circuits that 
323.1   extend from the service or disconnecting means is that specified 
323.2   in subdivision 4. 
323.3      (b) The fee for each recreational vehicle site electrical 
323.4   supply equipment is $5.  The fee for recreational vehicle park 
323.5   services, feeders, and circuits is that specified in 
323.6   subdivisions 3 and 4. 
323.7      (c) The fee for each street, parking lot, or outdoor area 
323.8   lighting standard is $1, and the fee for each traffic signal 
323.9   standard is $5.  Circuits originating within the standard or 
323.10  traffic signal controller shall not be used when computing the 
323.11  fee. 
323.12     (d) The fee for transformers for light, heat, and power is 
323.13  $10 for transformers rated up to ten kilovolt-amperes and $20 
323.14  for transformers rated in excess of ten kilovolt-amperes. 
323.15     (e) The fee for transformers and electronic power supplies 
323.16  for electric signs and outline lighting is $5 per unit. 
323.17     (f) The fee for alarm, communication, remote control, and 
323.18  signaling circuits or systems, and circuits of less than 50 
323.19  volts, is 50 cents for each system device or apparatus. 
323.20     (g) The fee for each separate inspection of the bonding for 
323.21  a swimming pool, spa, fountain, an equipotential plane for an 
323.22  agricultural confinement area, or similar installation shall be 
323.23  $20.  Bonding conductors and connections require an inspection 
323.24  before being concealed. 
323.25     (h) The fee for all wiring installed on center pivot 
323.26  irrigation booms is $40. 
323.27     (i) The fee for retrofit modifications to existing lighting 
323.28  fixtures is 25 cents per lighting fixture. 
323.29     Subd. 7.  [INVESTIGATION FEES; WORK WITHOUT A REQUEST FOR 
323.30  ELECTRICAL INSPECTION.] (a) Whenever any work for which a 
323.31  request for electrical inspection is required by the board has 
323.32  begun without the request for electrical inspection form being 
323.33  filed with the board, a special investigation shall be made 
323.34  before a request for electrical inspection form is accepted by 
323.35  the board. 
323.36     (b) An investigation fee, in addition to the full fee 
324.1   required by subdivisions 1 to 6, shall be paid before an 
324.2   inspection is made.  The investigation fee is two times the 
324.3   hourly rate specified in subdivision 10 or the inspection fee 
324.4   required by subdivisions 1 to 6, whichever is greater, not to 
324.5   exceed $1,000.  The payment of the investigation fee does not 
324.6   exempt any person from compliance with all other provisions of 
324.7   the board's rules or statutes, nor from any penalty prescribed 
324.8   by law. 
324.9      Subd. 8.  [REINSPECTION FEE.] When reinspection is 
324.10  necessary to determine whether unsafe conditions have been 
324.11  corrected and the conditions are not the subject of an appeal 
324.12  pending before the board or any court, a reinspection fee of $20 
324.13  may be assessed in writing by the inspector. 
324.14     Subd. 9.  [SUPPLEMENTAL FEE.] When inspections scheduled by 
324.15  the installer are preempted, obstructed, prevented, or otherwise 
324.16  not able to be completed as scheduled due to circumstances 
324.17  beyond the control of the inspector, a supplemental inspection 
324.18  fee of $20 may be assessed in writing by the inspector. 
324.19     Subd. 10.  [SPECIAL INSPECTION.] For inspections not 
324.20  covered in this section, or for requested special inspections or 
324.21  services, the fee shall be $30 per hour, including travel time, 
324.22  plus 31 cents per mile traveled, plus the reasonable cost of 
324.23  equipment or material consumed.  This provision is applicable to 
324.24  inspection of empty conduits and other jobs as may be determined 
324.25  by the board.  This fee may also be assessed when installations 
324.26  are not accessible by roadway and require alternate forms of 
324.27  transportation.  
324.28     Subd. 11.  [INSPECTION OF TRANSITORY PROJECTS.] (a) For 
324.29  inspection of transitory projects including, but not limited to, 
324.30  festivals, fairs, carnivals, circuses, shows, production sites, 
324.31  and portable road construction plants, the inspection procedures 
324.32  and fees are as specified in paragraphs (b) to (i). 
324.33     (b) The fee for inspection of each generator or other 
324.34  source of supply is that specified in subdivision 3.  A like fee 
324.35  is required at each engagement or setup. 
324.36     (c) In addition to the fee for generators or other sources 
325.1   of supply, there must be an inspection of all installed feeders, 
325.2   circuits, and equipment at each engagement or setup at the 
325.3   hourly rate specified in subdivision 10, with a two-hour minimum.
325.4      (d) An owner, operator, or appointed representative of a 
325.5   transitory enterprise including, but not limited to, festivals, 
325.6   fairs, carnivals, circuses, production companies, shows, 
325.7   portable road construction plants, and similar enterprises shall 
325.8   notify the board of its itinerary or schedule and make 
325.9   application for initial inspection a minimum of 14 days before 
325.10  its first engagement or setup.  An owner, operator, or appointed 
325.11  representative of a transitory enterprise who fails to notify 
325.12  the board 14 days before its first engagement or setup may be 
325.13  subject to the investigation fees specified in subdivision 7.  
325.14  The owner, operator, or appointed representative shall request 
325.15  inspection and pay the inspection fee for each subsequent 
325.16  engagement or setup at the time of the initial inspection.  For 
325.17  subsequent engagements or setups not listed on the itinerary or 
325.18  schedule submitted to the board and where the board is not 
325.19  notified at least 48 hours in advance, a charge of $100 may be 
325.20  made in addition to all required fees. 
325.21     (e) Amusement rides, devices, concessions, attractions, or 
325.22  other units must be inspected at their first appearance of the 
325.23  year.  The inspection fee is $20 per unit with a supply of up to 
325.24  60 amperes and $30 per unit with a supply above 60 amperes. 
325.25     (f) An additional fee at the hourly rate specified in 
325.26  subdivision 10 must be charged for additional time spent by each 
325.27  inspector if equipment is not ready or available for inspection 
325.28  at the time and date specified on the application for initial 
325.29  inspection or the request for electrical inspection form. 
325.30     (g) In addition to the fees specified in paragraphs (a) and 
325.31  (b), a fee of two hours at the hourly rate specified in 
325.32  subdivision 10 must be charged for inspections required to be 
325.33  performed on Saturdays, Sundays, holidays, or after regular 
325.34  business hours. 
325.35     (h) The fee for reinspection of corrections or supplemental 
325.36  inspections where an additional trip is necessary may be 
326.1   assessed as specified in subdivision 8. 
326.2      (i) The board may retain the inspection fee when an owner, 
326.3   operator, or appointed representative of a transitory enterprise 
326.4   fails to notify the board at least 48 hours in advance of a 
326.5   scheduled inspection that is canceled. 
326.6      Subd. 12.  [HANDLING FEE.] The handling fee to pay the cost 
326.7   of printing and handling of the form requesting an inspection is 
326.8   $1. 
326.9      Subd. 13.  [NATIONAL ELECTRICAL CODE USED FOR 
326.10  INTERPRETATION OF PROVISIONS.] For purposes of interpretation of 
326.11  this section and Minnesota Rules, chapter 3800, the most 
326.12  recently adopted edition of the National Electrical Code shall 
326.13  be prima facie evidence of the definitions, interpretations, and 
326.14  scope of words and terms used.  
326.15     Sec. 15.  Minnesota Statutes 1998, section 345.31, is 
326.16  amended by adding a subdivision to read: 
326.17     Subd. 6a.  [MONEY ORDER.] "Money order" includes an express 
326.18  money order and a personal money order, on which the remitter is 
326.19  the purchaser.  The term does not include a bank order or any 
326.20  other instrument sold by a financial organization if the seller 
326.21  has obtained the name and address of the payee. 
326.22     Sec. 16.  [345.321] [DORMANCY CHARGE FOR MONEY ORDERS.] 
326.23     Notwithstanding any law to the contrary, a holder may 
326.24  annually deduct, from a money order presumed abandoned, a charge 
326.25  imposed by reason of the owner's failure to claim the property 
326.26  within a specified time.  The holder may deduct the charge only 
326.27  if:  (1) there is a valid and enforceable written contract 
326.28  between the holder and the owner under which the holder may 
326.29  impose the charge; (2) the holder regularly imposes the charge; 
326.30  and (3) the charge is not regularly reversed or otherwise 
326.31  canceled.  The total amount of the deduction is limited to an 
326.32  amount that is not unconscionable. 
326.33     Sec. 17.  Minnesota Statutes 1998, section 345.39, 
326.34  subdivision 1, is amended to read: 
326.35     Subdivision 1.  [PRESUMED ABANDONMENT.] All intangible 
326.36  personal property, not otherwise covered by sections 345.31 to 
327.1   345.60, including any income or increment thereon, but excluding 
327.2   any charges that may lawfully be withheld, that is held or owing 
327.3   in this state in the ordinary course of the holder's business 
327.4   and has remained unclaimed by the owner for more than three 
327.5   years after it became payable or distributable is presumed 
327.6   abandoned.  Property covered by this section includes, but is 
327.7   not limited to:  (a) unclaimed worker's compensation; (b) 
327.8   deposits or payments for repair or purchase of goods or 
327.9   services; (c) credit checks or memos, or customer overpayments; 
327.10  (d) unidentified remittances, unrefunded overcharges; (e) unpaid 
327.11  claims, unpaid accounts payable or unpaid commissions; (f) 
327.12  unpaid mineral proceeds, royalties or vendor checks; and (g) 
327.13  credit balances, accounts receivable and miscellaneous 
327.14  outstanding checks.  This section does not include money orders. 
327.15  "Intangible property" does not include gift certificates, gift 
327.16  cards, or layaway accounts issued or maintained by any person in 
327.17  the business of selling tangible property or services at retail 
327.18  and such items shall not be subject to this section. 
327.19     Sec. 18.  Laws 1999, chapter 223, article 2, section 81, as 
327.20  amended by Laws 1999, chapter 249, section 12, is amended to 
327.21  read: 
327.22     Sec. 81.  [EFFECTIVE DATES.] 
327.23     Section 48 is effective March 1, 2000. 
327.24     Sections 59, 61, 62, 64, 65, and 79 are effective the day 
327.25  following final enactment.  
327.26     Section 67 is effective June 30, 1999. 
327.27     Section 80, paragraph (a), is effective July 1, 1999. 
327.28     Section 80, paragraphs paragraph (b) and (c), are is 
327.29  effective July 1, 2000. 
327.30     Section 80, paragraph (c), is effective July 1, 2001. 
327.31     EFFECTIVE DATE:  This section is effective the day 
327.32  following final enactment. 
327.33     Sec. 19.  Laws 1999, chapter 223, article 3, section 8, is 
327.34  amended to read: 
327.35     Sec. 8.  [EFFECTIVE DATE.] 
327.36     Sections 1, and 2, and 5 are effective July 1, 2000. 
328.1      Section 5 is effective July 1, 2001. 
328.2      EFFECTIVE DATE:  This section is effective the day 
328.3   following final enactment. 
328.4      Sec. 20.  [ASSUMPTION OF RESPONSIBILITIES BY COMMISSIONER 
328.5   OF HEALTH.] 
328.6      The commissioner of health shall consult with appropriate 
328.7   knowledgeable individuals on an ongoing basis regarding the 
328.8   development and enforcement of boxing regulations.  The 
328.9   commissioner shall amend existing rules relating to professional 
328.10  boxing to conform those rules to the requirements of section 6. 
328.11     EFFECTIVE DATE:  This section is effective the day 
328.12  following final enactment. 
328.13     Sec. 21.  [UPPER RED LAKE BUSINESS LOAN PROGRAM.] 
328.14     The appropriation to the commissioner of trade and economic 
328.15  development in Laws 1999, chapter 223, article 1, section 2, 
328.16  subdivision 4, for the Upper Red Lake business loan program is 
328.17  available until December 31, 2000, and applications for grants 
328.18  under that program may be accepted until that date. 
328.19     EFFECTIVE DATE:  This section is effective the day 
328.20  following final enactment. 
328.21     Sec. 22.  [WORKFORCE CENTER LOCATIONS.] 
328.22     The commissioner of the department of administration shall 
328.23  assist the commissioner of economic security and the board of 
328.24  trustees of the Minnesota state colleges and universities system 
328.25  to develop and report to the legislature by January 15, 2001, on 
328.26  a ten-year plan for the possible location of workforce centers 
328.27  or affiliate locations on Minnesota college and university 
328.28  campuses where appropriate.  
328.29     The plan must identify space requirements, current 
328.30  workforce center lease expiration dates, and the campuses that 
328.31  can immediately accommodate workforce centers, and recommend 
328.32  timelines for colocating workforce centers with Minnesota state 
328.33  colleges and universities system facilities.  
328.34     If additional space would be required to accommodate the 
328.35  workforce center, the plan must outline alternative capital 
328.36  financing mechanisms, including private build-lease. 
329.1      EFFECTIVE DATE:  This section is effective the day 
329.2   following final enactment. 
329.3      Sec. 23.  [WORKFORCE DEVELOPMENT TASK FORCE.] 
329.4      Subdivision 1.  [ESTABLISHMENT.] The workforce development 
329.5   task force is established to study workforce development 
329.6   issues.  The purposes of the task force are to review the 
329.7   recommendations of the governor's mini-cabinet on workforce 
329.8   development, to develop and propose a cohesive workforce 
329.9   development strategy for Minnesota, to communicate with 
329.10  interested parties including state agencies, nonprofit providers 
329.11  of job training services, members of the public, local workforce 
329.12  investment boards, and organized labor, and to prepare 
329.13  recommendations for the 2001 legislative session, including the 
329.14  budget process.  
329.15     Subd. 2.  [MEMBERSHIP.] (a) The task force consists of 15 
329.16  members appointed as follows:  
329.17     (1) three public members appointed by the governor, one of 
329.18  which must be a representative of organized labor; 
329.19     (2) the commissioner of trade and economic development or 
329.20  the commissioner's designee; 
329.21     (3) the commissioner of economic security or the 
329.22  commissioner's designee; 
329.23     (4) the commissioner of human services or the 
329.24  commissioner's designee; 
329.25     (5) the chancellor of Minnesota state colleges and 
329.26  universities or the chancellor's designee; 
329.27     (6) the chair of the governor's workforce development 
329.28  council; 
329.29     (7) three workforce training provider representatives, 
329.30  including at least one member of a local workforce investment 
329.31  board, appointed by the governor based on recommendations from 
329.32  training provider organizations; 
329.33     (8) two state representatives, one appointed by the speaker 
329.34  of the house and one appointed by the minority caucus leader; 
329.35  and 
329.36     (9) two state senators appointed by the subcommittee on 
330.1   committees of the senate committee on rules and administration, 
330.2   one of which must be a member of the minority caucus.  
330.3      (b) Compensation and removal of members is as provided by 
330.4   Minnesota Statutes, section 15.059.  
330.5      Subd. 3.  [ADMINISTRATION.] The Minnesota office of 
330.6   strategic and long-range planning shall provide staff support 
330.7   and other assistance for this task force.  
330.8      Subd. 4.  [REPORT.] The task force shall report its 
330.9   findings to the legislature by February 1, 2001.  
330.10     Subd. 5.  [EXPIRATION.] The task force expires on June 30, 
330.11  2001. 
330.12     EFFECTIVE DATE:  This section is effective the day 
330.13  following final enactment. 
330.14     Sec. 24.  [INSTRUCTION TO REVISOR.] 
330.15     The revisor shall change references in Minnesota Rules from 
330.16  Minnesota Rules, part 3800.3810, to Minnesota Statutes, section 
330.17  326.2441. 
330.18     Sec. 25.  [REPEALER.] 
330.19     (a) Minnesota Statutes 1998, sections 184A.01; 184A.02; 
330.20  184A.03; 184A.04; 184A.05; 184A.06; 184A.07; 184A.08; 184A.09; 
330.21  184A.10; 184A.11; 184A.12; 184A.13; 184A.14; 184A.15; 184A.16; 
330.22  184A.17; 184A.18; 184A.19; and 184A.20, are repealed. 
330.23     (b) Minnesota Rules, part 3800.3810, is repealed.