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HF 2948

Conference Committee Report - 88th Legislature (2013 - 2014) Posted on 05/06/2014 04:22pm

KEY: stricken = removed, old language.
underscored = added, new language.
1.2A bill for an act
1.3relating to economic development; repealing obsolete, redundant, and
1.4unnecessary laws administered by the Department of Employment and Economic
1.5Development; making conforming changes;amending Minnesota Statutes 2012,
1.6sections 15.991, subdivision 1; 116C.34, subdivision 3; 116D.04, subdivision 2a;
1.7116L.02; 116L.05, subdivision 5; 116L.20, subdivision 2; 256J.49, subdivision
1.84; 256J.51, subdivision 2; 268.105, subdivision 7; 268.186; repealing Minnesota
1.9Statutes 2012, sections 116C.22; 116C.23; 116C.24; 116C.25; 116C.26;
1.10116C.261; 116C.27; 116C.28; 116C.29; 116C.30; 116C.31; 116C.32; 116C.33;
1.11116J.037; 116J.422; 116J.658; 116J.68, subdivision 5; 116J.74, subdivision 7a;
1.12116J.874, subdivisions 1, 2, 3, 4, 5; 116J.885; 116J.987; 116J.988; 116J.989;
1.13116J.990, subdivisions 1, 2, 3, 4, 5, 6; 116L.06; 116L.10; 116L.11; 116L.12,
1.14subdivisions 1, 3, 4, 5, 6; 116L.13; 116L.14; 116L.15; 116L.361, subdivision
1.152; 116L.363; 116L.871; 116L.872; 469.109; 469.124; Minnesota Statutes 2013
1.16Supplement, sections 116J.6581; 116J.70, subdivision 2a.
1.17May 5, 2014
1.18The Honorable Paul Thissen
1.19Speaker of the House of Representatives
1.20The Honorable Sandra L. Pappas
1.21President of the Senate
1.22We, the undersigned conferees for H. F. No. 2948 report that we have agreed upon
1.23the items in dispute and recommend as follows:
1.24That the Senate recede from its amendment and that H. F. No. 2948 be further
1.25amended as follows:
1.26Delete everything after the enacting clause and insert:

1.27"ARTICLE 1

1.29    Section 1. Minnesota Statutes 2012, section 268.105, subdivision 7, is amended to read:
1.30    Subd. 7. Judicial review. (a) The Minnesota Court of Appeals must, by writ of
1.31certiorari to the department, review the unemployment law judge's decision, provided a
1.32petition for the writ is filed with the court and a copy is served upon the unemployment
2.1law judge or the commissioner and any other involved party within 30 calendar days of
2.2the sending of the unemployment law judge's order under subdivision 2.
2.3    (b) Any employer petitioning for a writ of certiorari must pay to the court the
2.4required filing fee and upon the service of the writ must furnish a cost bond to the
2.5department in accordance with the Rules of Civil Appellate Procedure. If the employer
2.6requests a written transcript of the testimony received at the evidentiary hearing conducted
2.7under subdivision 1, the employer must pay to the department the cost of preparing the
2.8transcript. That money is credited to the administration account.
2.9    (c) Upon issuance by the Minnesota Court of Appeals of a writ of certiorari as a result
2.10of an applicant's petition, the department must furnish to the applicant at no cost a written
2.11transcript of any testimony received at the evidentiary hearing conducted under subdivision
2.121, and, if requested, a copy of all exhibits entered into evidence. No filing fee or cost bond is
2.13required of an applicant petitioning the Minnesota Court of Appeals for a writ of certiorari.
2.14    (d) The Minnesota Court of Appeals may affirm the decision of the unemployment
2.15law judge or remand the case for further proceedings; or it may reverse or modify the
2.16decision if the substantial rights of the petitioner may have been prejudiced because the
2.17findings, inferences, conclusion, or decision are:
2.18    (1) in violation of constitutional provisions;
2.19    (2) in excess of the statutory authority or jurisdiction of the department;
2.20    (3) made upon unlawful procedure;
2.21    (4) affected by other error of law;
2.22    (5) unsupported by substantial evidence in view of the entire record as submitted; or
2.23    (6) arbitrary or capricious.
2.24    (e) The department is considered the primary responding party to any judicial action
2.25involving an unemployment law judge's decision. The department may be represented by
2.26an attorney licensed to practice law in Minnesota who is an employee of the department.

2.27    Sec. 2. Minnesota Statutes 2012, section 268.186, is amended to read:
2.28268.186 RECORDS; AUDITS.
2.29    (a) Each employer must keep true and accurate records for the periods of time
2.30and on individuals performing services for the employer, containing the information the
2.31commissioner may require by rule under Minnesota Rules, part 3315.1010. The records
2.32must be kept for a period of not less than four years in addition to the current calendar year.
2.33    For the purpose of administering this chapter, the commissioner has the power to
2.34audit, examine, or cause to be supplied or copied, any books, correspondence, papers,
2.35records, or memoranda that are relevant, whether the books, correspondence, papers,
3.1records, or memoranda are the property of or in the possession of the employer or any
3.2other person at any reasonable time and as often as may be necessary.
3.3    (b) Any employer that refuses to allow an audit of its records by the department, or
3.4that fails to make all necessary records available for audit in Minnesota upon request of
3.5the commissioner, may be assessed an administrative penalty of $500.
3.6    An employer that fails to provide a weekly breakdown of money earned by an
3.7applicant upon request of the commissioner, information necessary for the detection of
3.8applicant fraud under section 268.18, subdivision 2, may be assessed an administrative
3.9penalty of $100. Any notice requesting a weekly breakdown must clearly state that a $100
3.10penalty may be assessed for failure to provide the information. The penalty collected is
3.11credited to the trust fund.
3.12    (c) The commissioner may make summaries, compilations, photographs,
3.13duplications, or reproductions of any records, or reports that the commissioner considers
3.14advisable for the preservation of the information contained therein. Any summaries,
3.15compilations, photographs, duplications, or reproductions is admissible in any proceeding
3.16under this chapter. The commissioner may duplicate records, reports, summaries,
3.17compilations, instructions, determinations, or any other written or recorded matter
3.18pertaining to the administration of this chapter.
3.19    (d) Regardless of any law to the contrary, the commissioner may provide for the
3.20destruction of any records, reports, or reproductions, or other papers that are no longer
3.21necessary for the administration of this chapter, including any required audit. In addition,
3.22the commissioner may provide for the destruction or disposition of any record, report,
3.23or other paper from which the information has been electronically captured and stored,
3.24or that has been photographed, duplicated, or reproduced.

3.25    Sec. 3. REPEALER.
3.26    Subdivision 1. Environmental Coordination Procedures Act. Minnesota Statutes
3.272012, sections 116C.22; 116C.23; 116C.24; 116C.25; 116C.26; 116C.261; 116C.27;
3.28116C.28; 116C.29; 116C.30; 116C.31; 116C.32; and 116C.33, are repealed.
3.29    Subd. 2. E-Commerce ready designations. Minnesota Statutes 2012, section
3.30116J.037, is repealed.
3.31    Subd. 3. Rural policy and development center fund. Minnesota Statutes 2012,
3.32section 116J.422, is repealed.
3.33    Subd. 4. Minnesota Entrepreneur Resource Virtual Network (MERVN).
3.34Minnesota Statutes 2013 Supplement, section 116J.6581, is repealed.
4.1    Subd. 5. Small Business Development Center Advisory Board meetings.
4.2Minnesota Statutes 2012, section 116J.68, subdivision 5, is repealed.
4.3    Subd. 6. Business license assistance exceptions. Minnesota Statutes 2013
4.4Supplement, section 116J.70, subdivision 2a, is repealed.
4.5    Subd. 7. Affirmative enterprise program. Minnesota Statutes 2012, section
4.6116J.874, subdivisions 1, 2, 3, 4, and 5, are repealed.
4.7    Subd. 8. Biomedical Innovation and Commercialization Initiative. Minnesota
4.8Statutes 2012, section 116J.885, is repealed.
4.9    Subd. 9. Board of Invention. Minnesota Statutes 2012, sections 116J.987;
4.10116J.988; 116J.989; and 116J.990, subdivisions 1, 2, 3, 4, 5, and 6, are repealed.
4.11    Subd. 10. HIRE education loan program. Minnesota Statutes 2012, section
4.12116L.06, is repealed.
4.13    Subd. 11. Healthcare and human services worker program. Minnesota Statutes
4.142012, sections 116L.10; 116L.11; 116L.12, subdivisions 1, 3, 4, 5, and 6; 116L.13;
4.15116L.14; and 116L.15, are repealed.
4.16    Subd. 12. Youthbuild advisory committee. Minnesota Statutes 2012, section
4.17116L.363, is repealed.
4.18    Subd. 13. Local service unit delivery. Minnesota Statutes 2012, sections 116L.871;
4.19and 116L.872, are repealed.


4.22    Section 1. Minnesota Statutes 2012, section 15.991, subdivision 1, is amended to read:
4.23    Subdivision 1. Definitions. For purposes of this section and section 15.992:
4.24(1) "business license" or "license" has the meaning given it in section 116J.70,
4.25subdivision 2
, and also includes licenses and other forms of approval listed in section
4.26116J.70, subdivision 2a, clauses (7) and (8), but does not include those listed in
4.27subdivision 2a, clauses (1) to (6);
4.28(2) "customer" means an individual; a small business as defined in section 645.445,
4.29but also including a nonprofit corporation that otherwise meets the criteria in that
4.30section; a family farm, family farm corporation, or family farm partnership as defined in
4.31section 500.24, subdivision 2; or a political subdivision as defined in section 103G.005,
4.32subdivision 14a
4.33(3) "initial agency" means the state agency to which a customer submits an
4.34application for a license or inquires about submitting an application; and
5.1(4) "responsible agency" means the initial agency or another state agency that agrees
5.2to be designated the responsible agency.

5.3    Sec. 2. Minnesota Statutes 2012, section 116C.34, subdivision 3, is amended to read:
5.4    Subd. 3. County responsibility. The auditor of each county shall post in a
5.5conspicuous place in the auditor's office the telephone numbers of the Bureau of Business
5.6Licenses and the permit information center in the office of the applicable regional
5.7development commission; copies of any master applications or permit applications
5.8forwarded to the auditor pursuant to section 116C.27, subdivision 1; and copies of any
5.9information published by the bureau or an information center pursuant to subdivision 1.

5.10    Sec. 3. Minnesota Statutes 2012, section 116D.04, subdivision 2a, is amended to read:
5.11    Subd. 2a. When prepared. Where there is potential for significant environmental
5.12effects resulting from any major governmental action, the action shall be preceded by a
5.13detailed environmental impact statement prepared by the responsible governmental unit.
5.14The environmental impact statement shall be an analytical rather than an encyclopedic
5.15document which describes the proposed action in detail, analyzes its significant
5.16environmental impacts, discusses appropriate alternatives to the proposed action and
5.17their impacts, and explores methods by which adverse environmental impacts of an
5.18action could be mitigated. The environmental impact statement shall also analyze those
5.19economic, employment, and sociological effects that cannot be avoided should the action
5.20be implemented. To ensure its use in the decision-making process, the environmental
5.21impact statement shall be prepared as early as practical in the formulation of an action.
5.22    (a) The board shall by rule establish categories of actions for which environmental
5.23impact statements and for which environmental assessment worksheets shall be prepared
5.24as well as categories of actions for which no environmental review is required under this
5.25section. A mandatory environmental assessment worksheet shall not be required for the
5.26expansion of an ethanol plant, as defined in section 41A.09, subdivision 2a, paragraph
5.27(b), or the conversion of an ethanol plant to a biobutanol facility or the expansion of a
5.28biobutanol facility as defined in section 41A.105, subdivision 1a, based on the capacity
5.29of the expanded or converted facility to produce alcohol fuel, but must be required if
5.30the ethanol plant or biobutanol facility meets or exceeds thresholds of other categories
5.31of actions for which environmental assessment worksheets must be prepared. The
5.32responsible governmental unit for an ethanol plant or biobutanol facility project for which
5.33an environmental assessment worksheet is prepared shall be the state agency with the
5.34greatest responsibility for supervising or approving the project as a whole.
6.1A mandatory environmental impact statement shall not be required for a facility
6.2or plant located outside the seven-county metropolitan area that produces less than
6.3125,000,000 gallons of ethanol, biobutanol, or cellulosic biofuel annually, if the facility
6.4or plant is: an ethanol plant, as defined in section 41A.09, subdivision 2a, paragraph
6.5(b); a biobutanol facility, as defined in section 41A.105, subdivision 1a, clause (1); or a
6.6cellulosic biofuel facility, as defined in section 41A.10, subdivision 1, paragraph (d).
6.7    (b) The responsible governmental unit shall promptly publish notice of the
6.8completion of an environmental assessment worksheet by publishing the notice in at least
6.9one newspaper of general circulation in the geographic area where the project is proposed,
6.10by posting the notice on a Web site that has been designated as the official publication site
6.11for publication of proceedings, public notices, and summaries of a political subdivision in
6.12which the project is proposed, or in any other manner determined by the board and shall
6.13provide copies of the environmental assessment worksheet to the board and its member
6.14agencies. Comments on the need for an environmental impact statement may be submitted
6.15to the responsible governmental unit during a 30-day period following publication of the
6.16notice that an environmental assessment worksheet has been completed. The responsible
6.17governmental unit's decision on the need for an environmental impact statement shall be
6.18based on the environmental assessment worksheet and the comments received during the
6.19comment period, and shall be made within 15 days after the close of the comment period.
6.20The board's chair may extend the 15-day period by not more than 15 additional days upon
6.21the request of the responsible governmental unit.
6.22    (c) An environmental assessment worksheet shall also be prepared for a proposed
6.23action whenever material evidence accompanying a petition by not less than 100
6.24individuals who reside or own property in the state, submitted before the proposed
6.25project has received final approval by the appropriate governmental units, demonstrates
6.26that, because of the nature or location of a proposed action, there may be potential for
6.27significant environmental effects. Petitions requesting the preparation of an environmental
6.28assessment worksheet shall be submitted to the board. The chair of the board shall
6.29determine the appropriate responsible governmental unit and forward the petition to it.
6.30A decision on the need for an environmental assessment worksheet shall be made by
6.31the responsible governmental unit within 15 days after the petition is received by the
6.32responsible governmental unit. The board's chair may extend the 15-day period by not
6.33more than 15 additional days upon request of the responsible governmental unit.
6.34    (d) Except in an environmentally sensitive location where Minnesota Rules, part
6.354410.4300, subpart 29, item B, applies, the proposed action is exempt from environmental
6.36review under this chapter and rules of the board, if:
7.1    (1) the proposed action is:
7.2    (i) an animal feedlot facility with a capacity of less than 1,000 animal units; or
7.3    (ii) an expansion of an existing animal feedlot facility with a total cumulative
7.4capacity of less than 1,000 animal units;
7.5    (2) the application for the animal feedlot facility includes a written commitment by
7.6the proposer to design, construct, and operate the facility in full compliance with Pollution
7.7Control Agency feedlot rules; and
7.8    (3) the county board holds a public meeting for citizen input at least ten business
7.9days prior to the Pollution Control Agency or county issuing a feedlot permit for the
7.10animal feedlot facility unless another public meeting for citizen input has been held with
7.11regard to the feedlot facility to be permitted. The exemption in this paragraph is in
7.12addition to other exemptions provided under other law and rules of the board.
7.13    (e) The board may, prior to final approval of a proposed project, require preparation
7.14of an environmental assessment worksheet by a responsible governmental unit selected
7.15by the board for any action where environmental review under this section has not been
7.16specifically provided for by rule or otherwise initiated.
7.17    (f) An early and open process shall be utilized to limit the scope of the environmental
7.18impact statement to a discussion of those impacts, which, because of the nature or location
7.19of the project, have the potential for significant environmental effects. The same process
7.20shall be utilized to determine the form, content and level of detail of the statement as well
7.21as the alternatives which are appropriate for consideration in the statement. In addition,
7.22the permits which will be required for the proposed action shall be identified during the
7.23scoping process. Further, the process shall identify those permits for which information
7.24will be developed concurrently with the environmental impact statement. The board
7.25shall provide in its rules for the expeditious completion of the scoping process. The
7.26determinations reached in the process shall be incorporated into the order requiring the
7.27preparation of an environmental impact statement.
7.28    (g) The responsible governmental unit shall, to the extent practicable, avoid
7.29duplication and ensure coordination between state and federal environmental review
7.30and between environmental review and environmental permitting. Whenever practical,
7.31information needed by a governmental unit for making final decisions on permits
7.32or other actions required for a proposed project shall be developed in conjunction
7.33with the preparation of an environmental impact statement. When an environmental
7.34impact statement is prepared for a project requiring multiple permits for which two or
7.35more agencies' decision processes include either mandatory or discretionary hearings
7.36before a hearing officer prior to the agencies' decision on the permit, the agencies
8.1may, notwithstanding any law or rule to the contrary, conduct the hearings in a single
8.2consolidated hearing process if requested by the proposer. All agencies having jurisdiction
8.3over a permit that is included in the consolidated hearing shall participate. The responsible
8.4governmental unit shall establish appropriate procedures for the consolidated hearing
8.5process, including procedures to ensure that the consolidated hearing process is consistent
8.6with the applicable requirements for each permit regarding the rights and duties of parties to
8.7the hearing, and shall utilize the earliest applicable hearing procedure to initiate the hearing.
8.8 The procedures of section 116C.28, subdivision 2, apply to the consolidated hearing.
8.9    (h) An environmental impact statement shall be prepared and its adequacy
8.10determined within 280 days after notice of its preparation unless the time is extended by
8.11consent of the parties or by the governor for good cause. The responsible governmental
8.12unit shall determine the adequacy of an environmental impact statement, unless within 60
8.13days after notice is published that an environmental impact statement will be prepared,
8.14the board chooses to determine the adequacy of an environmental impact statement. If an
8.15environmental impact statement is found to be inadequate, the responsible governmental
8.16unit shall have 60 days to prepare an adequate environmental impact statement.
8.17    (i) The proposer of a specific action may include in the information submitted to the
8.18responsible governmental unit a preliminary draft environmental impact statement under
8.19this section on that action for review, modification, and determination of completeness and
8.20adequacy by the responsible governmental unit. A preliminary draft environmental impact
8.21statement prepared by the project proposer and submitted to the responsible governmental
8.22unit shall identify or include as an appendix all studies and other sources of information
8.23used to substantiate the analysis contained in the preliminary draft environmental impact
8.24statement. The responsible governmental unit shall require additional studies, if needed,
8.25and obtain from the project proposer all additional studies and information necessary for
8.26the responsible governmental unit to perform its responsibility to review, modify, and
8.27determine the completeness and adequacy of the environmental impact statement.

8.28    Sec. 4. Minnesota Statutes 2012, section 116L.02, is amended to read:
8.30(a) The Minnesota Job Skills Partnership program is created to act as a catalyst to
8.31bring together employers with specific training needs with educational or other nonprofit
8.32institutions which can design programs to fill those needs. The partnership shall work
8.33closely with employers to prepare, train and place prospective or incumbent workers in
8.34identifiable positions as well as assisting educational or other nonprofit institutions in
8.35developing training programs that coincide with current and future employer requirements.
9.1The partnership shall provide grants to educational or other nonprofit institutions for
9.2the purpose of training workers. A participating business must match the grant-in-aid
9.3made by the Minnesota Job Skills Partnership. The match may be in the form of funding,
9.4equipment, or faculty.
9.5(b) The partnership program shall administer the health care and human services
9.6worker training and retention program under sections 116L.10 to 116L.15.
9.7(c) (b) The partnership program is authorized to use funds to pay for training for
9.8individuals who have incomes at or below 200 percent of the federal poverty line.
9.9The board may grant funds to eligible recipients to pay for board-certified training.
9.10Eligible recipients of grants may include public, private, or nonprofit entities that provide
9.11employment services to low-income individuals.

9.12    Sec. 5. Minnesota Statutes 2012, section 116L.05, subdivision 5, is amended to read:
9.13    Subd. 5. Use of workforce development funds. After March 1 of any fiscal year,
9.14the board may use workforce development funds for the purposes outlined in sections
9.15116L.02, and 116L.04, and 116L.10 to 116L.14, or to provide incumbent worker training
9.16services under section 116L.18 if the following conditions have been met:
9.17    (1) the board examines relevant economic indicators, including the projected
9.18number of layoffs for the remainder of the fiscal year and the next fiscal year, evidence of
9.19declining and expanding industries, the number of initial applications for and the number
9.20of exhaustions of unemployment benefits, job vacancy data, and any additional relevant
9.21information brought to the board's attention;
9.22    (2) the board accounts for all allocations made in section 116L.17, subdivision 2;
9.23    (3) based on the past expenditures and projected revenue, the board estimates future
9.24funding needs for services under section 116L.17 for the remainder of the current fiscal
9.25year and the next fiscal year;
9.26    (4) the board determines there will be unspent funds after meeting the needs of
9.27dislocated workers in the current fiscal year and there will be sufficient revenue to meet
9.28the needs of dislocated workers in the next fiscal year; and
9.29    (5) the board reports its findings in clauses (1) to (4) to the chairs of legislative
9.30committees with jurisdiction over the workforce development fund, to the commissioners
9.31of revenue and management and budget, and to the public.

9.32    Sec. 6. Minnesota Statutes 2012, section 116L.20, subdivision 2, is amended to read:
9.33    Subd. 2. Disbursement of special assessment funds. (a) The money collected
9.34under this section shall be deposited in the state treasury and credited to the workforce
10.1development fund to provide for employment and training programs. The workforce
10.2development fund is created as a special account in the state treasury.
10.3    (b) All money in the fund not otherwise appropriated or transferred is appropriated
10.4to the Job Skills Partnership Board for the purposes of section 116L.17 and as provided for
10.5in paragraph (d). The board must act as the fiscal agent for the money and must disburse
10.6that money for the purposes of section 116L.17, not allowing the money to be used for
10.7any other obligation of the state. All money in the workforce development fund shall be
10.8deposited, administered, and disbursed in the same manner and under the same conditions
10.9and requirements as are provided by law for the other special accounts in the state treasury,
10.10except that all interest or net income resulting from the investment or deposit of money in
10.11the fund shall accrue to the fund for the purposes of the fund.
10.12    (c) Reimbursement for costs related to collection of the special assessment shall be
10.13in an amount negotiated between the commissioner and the United States Department
10.14of Labor.
10.15    (d) If the board determines that the conditions of section 116L.05, subdivision 5,
10.16have been met, the board may use funds for the purposes outlined in sections section
10.17 116L.04 and 116L.10 to 116L.14, or to provide incumbent worker training services under
10.18section 116L.18.

10.19    Sec. 7. Minnesota Statutes 2012, section 256J.49, subdivision 4, is amended to read:
10.20    Subd. 4. Employment and training service provider. "Employment and training
10.21service provider" means:
10.22(1) a public, private, or nonprofit agency with which a county has contracted to
10.23provide employment and training services and which is included in the county's service
10.24agreement submitted under section 256J.626, subdivision 4;
10.25(2) a county agency, if the county has opted to provide employment and training
10.26services and the county has indicated that fact in the service agreement submitted under
10.27section 256J.626, subdivision 4; or
10.28(3) a local public health department under section 145A.17, subdivision 4a, that a
10.29county has designated to provide employment and training services and is included in the
10.30county's service agreement submitted under section 256J.626, subdivision 4.
10.31Notwithstanding section 116L.871, An employment and training services provider
10.32meeting this definition may deliver employment and training services under this chapter.

10.33    Sec. 8. Minnesota Statutes 2012, section 256J.51, subdivision 2, is amended to read:
11.1    Subd. 2. Appeal; alternate approval. (a) An employment and training service
11.2provider that is not included by a county agency in the service agreement under section
11.3256J.626, subdivision 4 , and that meets the criteria in paragraph (b), may appeal
11.4its exclusion to the commissioner of employment and economic development, and
11.5may request alternative approval by the commissioner of employment and economic
11.6development to provide services in the county.
11.7(b) An employment and training services provider that is requesting alternative
11.8approval must demonstrate to the commissioner that the provider meets the standards
11.9specified in section 116L.871, subdivision 1, paragraph (b), except that the provider's
11.10past experience may be in services and programs similar to those specified in section
11.11116L.871, subdivision 1, paragraph (b).

11.12    Sec. 9. REPEALER.
11.13    Subdivision 1. Reference to Minnesota Statutes, section 116J.70, subdivision 2a.
11.14Minnesota Statutes 2012, section 116J.74, subdivision 7a, is repealed.
11.15    Subd. 2. Reference to Minnesota Statutes, section 116L.363. Minnesota Statutes
11.162012, section 116L.361, subdivision 2, is repealed.

11.17ARTICLE 3

11.19    Section 1. Minnesota Statutes 2012, section 473.123, subdivision 4, is amended to read:
11.20    Subd. 4. Chair; appointment, officers, selection; duties and compensation. (a)
11.21The chair of the Metropolitan Council shall be appointed by the governor as the 17th
11.22voting member thereof by and with the advice and consent of the senate to serve at the
11.23pleasure of the governor to represent the metropolitan area at large. Senate confirmation
11.24shall be as provided by section 15.066.
11.25The chair of the Metropolitan Council shall, if present, preside at meetings of the
11.26council, have the primary responsibility for meeting with local elected officials, serve as
11.27the principal legislative liaison, present to the governor and the legislature, after council
11.28approval, the council's plans for regional governance and operations, serve as the principal
11.29spokesperson of the council, and perform other duties assigned by the council or by law.
11.30(b) The Metropolitan Council shall elect other officers as it deems necessary for the
11.31conduct of its affairs for a one-year term. A secretary and treasurer need not be members
11.32of the Metropolitan Council. Meeting times and places shall be fixed by the Metropolitan
11.33Council and special meetings may be called by a majority of the members of the
11.34Metropolitan Council or by the chair. The chair and each Metropolitan Council member
12.1shall be reimbursed for actual and necessary expenses. The annual budget of the council
12.2shall provide as a separate account anticipated expenditures for compensation, travel, and
12.3associated expenses for the chair and members, and compensation or reimbursement shall
12.4be made to the chair and members only when budgeted.
12.5(c) Each member of the council shall attend and participate in council meetings
12.6and meet regularly with local elected officials and legislative members from the council
12.7member's district. Each council member shall serve on at least one division committee for
12.8transportation, environment, or community development.
12.9(d) In the performance of its duties the Metropolitan Council may adopt policies
12.10and procedures governing its operation, establish committees, and, when specifically
12.11authorized by law, make appointments to other governmental agencies and districts.

12.12    Sec. 2. Minnesota Statutes 2012, section 473.125, is amended to read:
12.14The Metropolitan Council shall appoint a regional administrator to serve at
12.15the council's pleasure as the principal administrative officer for the Metropolitan
12.16Council. The regional administrator shall organize the work of the council staff. The
12.17regional administrator shall appoint on the basis of merit and fitness, and discipline and
12.18discharge all employees in accordance with the council's personnel policy, except (1) the
12.19performance and budget analysts provided for in section 473.123, subdivision 7, (2) the
12.20general counsel, as provided in section 473.123, subdivision 8, (3) employees of the
12.21offices of wastewater services and transit operations, who are appointed, disciplined, and
12.22discharged in accordance with council personnel policies by their respective operations
12.23managers, and (4) metropolitan transit police officers. The regional administrator must
12.24ensure that all policy decisions of the council are carried out. The regional administrator
12.25shall attend meetings of the council and may take part in discussions but may not vote.
12.26The regional administrator shall recommend to the council for adoption measures deemed
12.27necessary for efficient administration of the council, keep the council fully apprised of
12.28the financial condition of the council, and prepare and submit an annual budget to the
12.29council for approval. The regional administrator shall prepare and submit for approval by
12.30the council an administrative code organizing and codifying the policies of the council,
12.31and perform other duties as prescribed by the council. The regional administrator may be
12.32chosen from among the citizens of the nation at large, and shall be selected on the basis of
12.33training and experience in public administration.

12.34    Sec. 3. Minnesota Statutes 2012, section 473.129, subdivision 6, is amended to read:
13.1    Subd. 6. On metro agencies. (a) The Metropolitan Council shall appoint from its
13.2membership a member to serve with each metropolitan agency. Each member of the
13.3Metropolitan Council so appointed on each of such agencies shall serve without a vote.
13.4(b) The Metropolitan Council shall also appoint individuals to the governing body
13.5of the cable communications metropolitan interconnected regional channel entity under
13.6section 238.43, subdivision 5.

13.7    Sec. 4. Minnesota Statutes 2012, section 473.129, subdivision 12, is amended to read:
13.8    Subd. 12. Best value procurement alternative. (a) Notwithstanding the provisions
13.9of section 471.345, the council may award a contract for the purchase of transit vehicles
13.10to the vendor or contractor offering the best value under a request for proposals. For the
13.11purposes of this subdivision, "transit vehicles" means buses and coaches, commuter rail
13.12locomotives and coach cars, light rail vehicles, and paratransit vehicles that are used to
13.13provide transit and special transportation service pursuant to sections 473.371 to 473.449.
13.14(b) For the purposes of this subdivision, "best value" describes a result intended in
13.15the acquisition of goods and services described in paragraph (a). Price must be one of
13.16the evaluation criteria when acquiring such goods and services. Other evaluation criteria
13.17may include, but are not limited to, environmental considerations, quality, and vendor or
13.18contractor performance. A best value determination must be based on The evaluation
13.19criteria detailed must be included in the solicitation document. If criteria other than
13.20price are used, the solicitation document must state as well as the relative importance of
13.21price and other factors.

13.22    Sec. 5. Minnesota Statutes 2012, section 473.173, subdivision 2, is amended to read:
13.23    Subd. 2. Rules. By September 1, 1976, The council shall adopt and put into effect
13.24rules establishing standards, guidelines and procedures for determining whether any
13.25proposed matter is of metropolitan significance, and establishing a procedure for the review
13.26of and final determination on such matters in accordance with the powers and requirements
13.27set forth in this section. The purpose of these rules shall be to promote the orderly and
13.28economic economical development, public and private, of the metropolitan area.

13.29    Sec. 6. Minnesota Statutes 2012, section 473.181, subdivision 2, is amended to read:
13.30    Subd. 2. Parks. The council shall review local government park master plans
13.31pursuant to section 473.313. The Metropolitan Council shall approve the use of moneys
13.32made available for land acquisition to local units of government from the land and
13.33conservation fund, the open space program of HUD, the natural resources account in the
14.1state treasury, if the use thereof conforms with the system of priorities established by
14.2law as part of a comprehensive plan for the development of parks; otherwise it shall
14.3disapprove of the use thereof.

14.4    Sec. 7. Minnesota Statutes 2012, section 473.254, subdivision 3a, is amended to read:
14.5    Subd. 3a. Affordable, life-cycle housing opportunities amount after 2002.
14.6(1) Notwithstanding any other provisions of this section, commencing for calendar
14.7year 2003 and each succeeding calendar year, (a) Each municipality's "affordable and
14.8life-cycle housing opportunities amount" for that year must be determined annually by
14.9the council using the method in this subdivision. The affordable and life-cycle housing
14.10opportunities amount must be determined for each calendar year for all municipalities
14.11in the metropolitan area.
14.12(2) (b) The council must allocate to each municipality its portion of the $1,000,000
14.13of the revenue generated by the levy authorized in section 473.249 which is credited to the
14.14local housing incentives account pursuant to subdivision 5, paragraph (b). The allocation
14.15must be made by determining the amount levied for and payable in each municipality in
14.16the previous calendar year pursuant to the council levy in section 473.249 divided by the
14.17total amount levied for and payable in the metropolitan area in the previous calendar year
14.18pursuant to such levy and multiplying that result by $1,000,000.
14.19(3) (c) The council must also determine the amount levied for and payable in
14.20each municipality in the previous calendar year pursuant to the council levy in section
14.21473.253, subdivision 1 .
14.22(4) (d) A municipality's affordable and life-cycle housing opportunities amount
14.23for the calendar year is the sum of the amounts determined under clauses (2) and (3)
14.24 paragraphs (b) and (c).
14.25(5) Within 90 days after the effective date of this act, the council must notify each
14.26municipality of its affordable and life-cycle housing opportunities amount for calendar
14.27years 2003 and 2004 as determined by the method in this subdivision. These amounts
14.28replace the affordable and life-cycle housing opportunities amount for each municipality
14.29for calendar years 2003 and 2004 as previously determined by the method in subdivision 3.
14.30(6) (e) By August 1, 2004, and by August 1 of each succeeding year, the council
14.31must notify each municipality of its affordable and life-cycle housing opportunities
14.32amount for the following calendar year determined by the method in this subdivision.

14.33    Sec. 8. Minnesota Statutes 2012, section 473.254, subdivision 4, is amended to read:
15.1    Subd. 4. Affordable and life-cycle housing requirement. In 1998, and thereafter,
15.2 (a) A municipality that does not spend 85 percent of its affordable and life-cycle housing
15.3opportunities amount to create affordable and life-cycle housing opportunities in the
15.4previous calendar year must do one of the following with the affordable and life-cycle
15.5housing opportunities amount for the previous year as determined under subdivision 3
15.6or 3a, as applicable:
15.7(1) distribute it to the local housing incentives account; or
15.8(2) distribute it to the housing and redevelopment authority of the city or county in
15.9which the municipality is located to create affordable and life-cycle housing opportunities
15.10in the municipality.
15.11(b) A municipality may enter into agreements with adjacent municipalities to
15.12cooperatively provide affordable and life-cycle housing. The housing may be provided
15.13in any of the cooperating municipalities, but must meet the combined housing goals of
15.14each participating municipality.

15.15    Sec. 9. Minnesota Statutes 2012, section 473.254, subdivision 5, is amended to read:
15.16    Subd. 5. Sources of funds. (a) The council shall credit to the local housing
15.17incentives account any revenues derived from municipalities under subdivision 4,
15.18paragraph (b) (a), clause (1).
15.19(b) The council shall credit $1,000,000 of the proceeds of solid waste bonds issued
15.20by the council under Minnesota Statutes, section 473.831, before its repeal, to the local
15.21housing incentives account in the metropolitan livable communities fund. In 1998 and each
15.22year thereafter, The council shall annually credit $1,000,000 of the revenues generated by
15.23the levy authorized in section 473.249 to the local housing incentives account.
15.24(c) In 1997, and each year thereafter, The council shall annually transfer $500,000
15.25from the livable communities demonstration account to the local housing incentives

15.27    Sec. 10. Minnesota Statutes 2012, section 473.315, subdivision 1, is amended to read:
15.28    Subdivision 1. To metro local governments. The Metropolitan Council with the
15.29advice of the commission may make grants, from any funds available to it for recreation
15.30open space purposes, to any municipality, park district or county located wholly or
15.31partially within the metropolitan area implementing agency, as defined in section 473.351,
15.32to cover the cost, or any portion of the cost, of acquiring or developing regional recreation
15.33open space in accordance with the policy plan; and all such agencies may enter into
16.1contracts for this purpose or rights or interests therein. The cost of acquisition shall
16.2include any payments required for relocation pursuant to sections 117.50 to 117.56.

16.3    Sec. 11. Minnesota Statutes 2012, section 473.375, subdivision 11, is amended to read:
16.4    Subd. 11. Ride sharing. The council shall administer a ride-sharing program in
16.5the metropolitan area, except for the statewide vanpool leasing program conducted by the
16.6commissioner of transportation and shall cooperate with the commissioner in the conduct
16.7of ride-sharing activities in areas where the commissioner's programs and the council's
16.8program overlap. The council shall establish a rideshare advisory committee to advise it in
16.9carrying out the program. The council may contract for services in operating the program.

16.10    Sec. 12. Minnesota Statutes 2012, section 473.39, subdivision 1e, is amended to read:
16.11    Subd. 1e. Obligations; additional authority. In addition to the authority in
16.12subdivisions 1a, 1b, 1c, and 1d, the council may issue certificates of indebtedness, bonds,
16.13or other obligations under this section in an amount not exceeding $32,500,000, which may
16.14be used for capital expenditures as prescribed in the council's transit capital improvement
16.15program and for related costs, including the costs of issuance and sale of the obligations.
16.16The Metropolitan Council, the city of St. Paul, and the Minnesota Department
16.17of Transportation shall jointly assess the feasibility of locating a bus storage facility
16.18near Mississippi and Cayuga Street and I-35E in St. Paul. If the metropolitan council
16.19determines feasibility, the first priority for siting must be at that location.

16.20    Sec. 13. Minnesota Statutes 2012, section 473.391, subdivision 1, is amended to read:
16.21    Subdivision 1. Contracts. The council may contract with other operators or local
16.22governments for route planning and scheduling services in any configuration of new
16.23or reconfiguration of existing transit services and routes, including route planning and
16.24scheduling necessary for the test marketing program, the service bidding program, and the
16.25interstate highway described generally as Legislative Routes Nos. 10 and 107 between
16.26I-494 and the Hawthorne interchange in the city of Minneapolis, commonly known as I-394.

16.27    Sec. 14. Minnesota Statutes 2012, section 473.405, subdivision 5, is amended to read:
16.28    Subd. 5. Acquisition of transit systems. The council may acquire by purchase,
16.29lease, gift, or condemnation proceedings any existing public transit system or any part
16.30thereof, including all or any part of the plant, equipment, shares of stock, property, real,
16.31personal, or mixed, rights in property, reserve funds, special funds, franchises, licenses,
16.32patents, permits and papers, documents and records belonging to any operator of a public
17.1transit system within the metropolitan area, and may in connection therewith assume any
17.2or all liabilities of any operator of a public transit system. The council may take control of
17.3and operate a system immediately following the filing and approval of the initial petition
17.4for condemnation, if the council, in its discretion, determines this to be necessary, and
17.5may take possession of all right, title and other powers of ownership in all properties
17.6and facilities described in the petition. Control must be taken by resolution which is
17.7effective upon service of a copy on the condemnee and the filing of the resolution in
17.8the condemnation action. In the determination of the fair value of the existing public
17.9transit system, there must not be included any value attributable to expenditures for
17.10improvements made by the former Metropolitan Transit Commission or council.
17.11The council may continue or terminate within three months of acquisition any
17.12advertising contract in existence by and between any advertiser and a transit system that
17.13the council has acquired. If the council determines to terminate the advertising contract,
17.14it shall acquire all of the advertiser's rights under the contract by purchase or eminent
17.15domain proceedings as provided by law.

17.16    Sec. 15. Minnesota Statutes 2012, section 473.42, is amended to read:
17.18Notwithstanding any contrary provisions of section 352.029, the council shall make
17.19the employer contributions required pursuant to section 352.04, subdivision 3, for any
17.20employee who was on authorized leave of absence from the transit operating division of the
17.21former Metropolitan Transit Commission who is employed by the labor organization which
17.22is the exclusive bargaining agent representing Metro Transit Division employees of the
17.23Office of Transit Operations council and who is covered by the Minnesota State Retirement
17.24System in addition to all other employer contributions the council is required to make.

17.25    Sec. 16. Minnesota Statutes 2012, section 473.504, subdivision 5, is amended to read:
17.26    Subd. 5. Gifts, grants, loans. The council may accept gifts, may apply for and
17.27accept grants or loans of money or other property from the United States, the state, or any
17.28person for any of its purposes, including any grant available under the federal Water
17.29Pollution Act amendments of 1972, whether for construction, research, or pilot project
17.30implementation, may enter into any agreement required in connection therewith, and may
17.31hold, use, and dispose of such money or property in accordance with the terms of the gift,
17.32grant, loan, or agreement relating thereto. The council has all powers necessary to comply
17.33with the federal Water Pollution Control Act amendments of 1972 and any grant offered to
17.34it thereunder including, but not limited to, the power to enter into such contracts with,
18.1or to impose such charges upon, persons using the metropolitan disposal system as it
18.2shall determine to be necessary for the recovery of treatment works and interceptor costs
18.3paid with federal grant funds. Insofar as possible these costs shall be recovered by local
18.4government units on behalf of the council.

18.5    Sec. 17. Minnesota Statutes 2012, section 473.504, subdivision 11, is amended to read:
18.6    Subd. 11. Surplus property. The council may sell or otherwise dispose of any real
18.7or personal property acquired by it which is no longer required for accomplishment of its
18.8purposes. Such property may be sold in the manner provided by section 469.065, insofar
18.9as practical. The council may give such notice of sale as it shall deem appropriate. When
18.10the council determines that any property or any interceptor or treatment works or any part
18.11thereof which has been acquired from a local government unit without compensation is no
18.12longer required, but is required as a local facility by the government unit from which it
18.13was acquired, the council may by resolution transfer it to such government unit.

18.14    Sec. 18. Minnesota Statutes 2012, section 473.858, subdivision 1, is amended to read:
18.15    Subdivision 1. No conflicting zoning, fiscal device, official control. Within nine
18.16months following the receipt of a metropolitan system statement for an amendment to a
18.17metropolitan system plan and within three years following the receipt of a metropolitan
18.18system statement issued in conjunction with the decennial review required under section
18.19473.864, subdivision 2 , every local governmental unit shall have reviewed and, if
18.20necessary, amended its comprehensive plan in accordance with sections 462.355, 473.175,
18.21and 473.851 to 473.871 and the applicable planning statute and shall have submitted the
18.22plan to the Metropolitan Council for review pursuant to section 473.175. The provisions
18.23of sections 462.355, 473.175, and 473.851 to 473.871 shall supersede the provisions of the
18.24applicable planning statute wherever a conflict may exist. If the comprehensive municipal
18.25plan is in conflict with the zoning ordinance, the zoning ordinance shall be brought into
18.26conformance with the plan by local government units in conjunction with the review
18.27and, if necessary, amendment of its comprehensive plan required under section 473.864,
18.28subdivision 2
. After August 1, 1995, A local government unit shall not adopt any fiscal
18.29device or official control which is in conflict with its comprehensive plan, including any
18.30amendments to the plan, or which permits activity in conflict with metropolitan system
18.31plans, as defined by section 473.852, subdivision 8. The comprehensive plan shall provide
18.32guidelines for the timing and sequence of the adoption of official controls to ensure planned,
18.33orderly, and staged development and redevelopment consistent with the comprehensive
18.34plan. For purposes of this section, a fiscal device or official control shall not be considered
19.1to be in conflict with a local government unit's comprehensive plan or to permit an activity
19.2in conflict with metropolitan system plans if such fiscal device or official control is adopted
19.3to ensure the planned, orderly, and staged development of urbanization or redevelopment
19.4areas designated in the comprehensive plan pursuant to section 473.859, subdivision 5.

19.5    Sec. 19. Minnesota Statutes 2012, section 473.859, subdivision 6, is amended to read:
19.6    Subd. 6. Plan review. The council shall, by January 1, 1994, prepare guidelines
19.7for the preparation of the water supply plans required in subdivision 3, clause (4). The
19.8plans must be submitted to the council by January 1, 1996 as part of the decennial review
19.9required under section 473.864, subdivision 2. The council shall review the plans under
19.10section 473.175, subdivision 1, after submitting them to affected counties that have
19.11adopted groundwater plans under section 103B.255 for their review and comment.

19.12    Sec. 20. Minnesota Statutes 2012, section 473.861, subdivision 2, is amended to read:
19.13    Subd. 2. By 1976 Plan preparation. By December 31, 1976, Each town within
19.14the counties of Anoka, Carver, Dakota, Scott and Washington, authorized to plan under
19.15sections 462.351 to 462.364, or under special law, shall by resolution determine whether it
19.16will prepare the comprehensive plan for its jurisdiction. Each such town also shall specify,
19.17pursuant to agreement with the county within which it is situated, any parts of its plan and
19.18official controls, if any, the preparation of which it delegates to the county.

19.19    Sec. 21. Minnesota Statutes 2012, section 473.862, subdivision 2, is amended to read:
19.20    Subd. 2. Towns with no plan by 1976 Town planning. Each county other than
19.21Hennepin, Ramsey, Anoka, and Dakota shall prepare, with the participation and assistance
19.22of the town, the comprehensive plan for any town within the county which fails by
19.23December 31, 1976, to take has not taken action by resolution pursuant to section 473.861,
19.24subdivision 2
and shall prepare all or part of any plan delegated to it pursuant to section
19.25473.861, subdivision 2 .

19.26    Sec. 22. REPEALER.
19.27Minnesota Statutes 2012, sections 473.123, subdivision 7; 473.13, subdivision 1c;
19.28473.23; 473.241; 473.243; 473.244; 473.254, subdivision 3; 473.315, subdivision 2;
19.29473.326; 473.333; 473.375, subdivision 9; 473.382; 473.388, subdivision 8; 473.392;
19.30473.516, subdivision 5; 473.523, subdivision 2; 473.535; and 473.852, subdivision 11,
19.31 and Minnesota Statutes 2013 Supplement, section 473.517, subdivision 9, are repealed.

20.1    Sec. 23. APPLICATION.
20.2This article applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
20.3Scott, and Washington.


20.6    Section 1. Minnesota Statutes 2012, section 16E.01, as amended by Laws 2013,
20.7chapter 134, section 21, is amended to read:
20.9    Subdivision 1. Creation; chief information officer. The Office of MN.IT Services,
20.10referred to in this chapter as the "office," is an agency in the executive branch headed by
20.11a commissioner, who also is the state chief information officer. The appointment of the
20.12commissioner is subject to the advice and consent of the senate under section 15.066.
20.13    Subd. 1a. Responsibilities. The office shall provide oversight, leadership, and
20.14direction for information and telecommunications technology policy and the management,
20.15delivery, accessibility, and security of information and telecommunications technology
20.16systems and services in Minnesota. The office shall manage strategic investments in
20.17information and telecommunications technology systems and services to encourage the
20.18development of a technically literate society, to ensure sufficient access to and efficient
20.19delivery of accessible government services, and to maximize benefits for the state
20.20government as an enterprise.
20.21    Subd. 2. Discretionary powers. The office may:
20.22(1) enter into contracts for goods or services with public or private organizations
20.23and charge fees for services it provides;
20.24(2) apply for, receive, and expend money from public agencies;
20.25(3) apply for, accept, and disburse grants and other aids from the federal government
20.26and other public or private sources;
20.27(4) enter into contracts with agencies of the federal government, local governmental
20.28units, the University of Minnesota and other educational institutions, and private persons
20.29and other nongovernmental organizations as necessary to perform its statutory duties;
20.30(5) appoint committees and task forces of not more than two years' duration to
20.31assist the office in carrying out its duties;
20.32(6) (5) sponsor and conduct conferences and studies, collect and disseminate
20.33information, and issue reports relating to information and communications technology
21.1(7) participate in the activities of standards bodies and other appropriate conferences
21.2related to information and communications technology issues;
21.3(8) (6) review the technology infrastructure of regions of the state and cooperate
21.4with and make recommendations to the governor, legislature, state agencies, local
21.5governments, local technology development agencies, the federal government, private
21.6businesses, and individuals for the realization of information and communications
21.7technology infrastructure development potential;
21.8(9) (7) sponsor, support, and facilitate innovative and collaborative economic
21.9and community development and government services projects, including technology
21.10initiatives related to culture and the arts, with public and private organizations; and
21.11(10) (8) review and recommend alternative sourcing strategies for state information
21.12and communications systems.
21.13    Subd. 3. Duties. (a) The office shall:
21.14    (1) manage the efficient and effective use of available federal, state, local, and
21.15public-private resources to develop statewide information and telecommunications
21.16technology systems and services and its infrastructure;
21.17    (2) approve state agency and intergovernmental information and telecommunications
21.18technology systems and services development efforts involving state or intergovernmental
21.19funding, including federal funding, provide information to the legislature regarding
21.20projects reviewed, and recommend projects for inclusion in the governor's budget under
21.21section 16A.11;
21.22    (3) ensure cooperation and collaboration among state and local governments in
21.23developing intergovernmental information and telecommunications technology systems
21.24and services, and define the structure and responsibilities of a representative governance
21.26    (4) cooperate and collaborate with the legislative and judicial branches in the
21.27development of information and communications systems in those branches;
21.28    (5) continue the development of North Star, the state's official comprehensive online
21.29service and information initiative;
21.30    (6) promote and collaborate with the state's agencies in the state's transition to an
21.31effectively competitive telecommunications market;
21.32    (7) collaborate with entities carrying out education and lifelong learning initiatives
21.33to assist Minnesotans in developing technical literacy and obtaining access to ongoing
21.34learning resources;
22.1    (8) promote and coordinate public information access and network initiatives,
22.2consistent with chapter 13, to connect Minnesota's citizens and communities to each
22.3other, to their governments, and to the world;
22.4    (9) promote and coordinate electronic commerce initiatives to ensure that Minnesota
22.5businesses and citizens can successfully compete in the global economy;
22.6    (10) manage and promote the regular and periodic reinvestment in the information
22.7and telecommunications technology systems and services infrastructure so that state and
22.8local government agencies can effectively and efficiently serve their customers;
22.9    (11) facilitate the cooperative development of and ensure compliance with standards
22.10and policies for information and telecommunications technology systems and services,
22.11electronic data practices and privacy, and electronic commerce among international,
22.12national, state, and local public and private organizations;
22.13    (12) eliminate unnecessary duplication of existing information and
22.14telecommunications technology systems and services provided by other public and private
22.15organizations while building on the existing governmental, educational, business, health
22.16care, and economic development infrastructures state agencies;
22.17    (13) identify, sponsor, develop, and execute shared information and
22.18telecommunications technology projects and ongoing operations;
22.19    (14) ensure overall security of the state's information and technology systems and
22.20services; and
22.21(15) manage and direct compliance with accessibility standards for informational
22.22technology, including hardware, software, Web sites, online forms, and online surveys.
22.23    (b) The chief information officer, in consultation with the commissioner of
22.24management and budget, must determine when it is cost-effective for agencies to develop
22.25and use shared information and telecommunications technology systems and services for
22.26the delivery of electronic government services. The chief information officer may require
22.27agencies to use shared information and telecommunications technology systems and
22.28services. The chief information officer shall establish reimbursement rates in cooperation
22.29with the commissioner of management and budget to be billed to agencies and other
22.30governmental entities sufficient to cover the actual development, operating, maintenance,
22.31and administrative costs of the shared systems. The methodology for billing may include
22.32the use of interagency agreements, or other means as allowed by law.
22.33    (c) A state agency that has an information and telecommunications technology
22.34project with a total expected project cost of more than $1,000,000, whether funded as part
22.35of the biennial budget or by any other means, shall register with the office by submitting
22.36basic project startup documentation, as specified by the chief information officer in both
23.1format and content, before any project funding is requested or committed and before
23.2the project commences. State agency project leaders must demonstrate that the project
23.3will be properly managed, provide updates to the project documentation as changes are
23.4proposed, and regularly report on the current status of the project on a schedule agreed to
23.5with the chief information officer.
23.6    (d) The chief information officer shall monitor progress on any active information
23.7and telecommunications technology project with a total expected project cost of more than
23.8$5,000,000 and report on the performance of the project in comparison with the plans for
23.9the project in terms of time, scope, and budget. The chief information officer may conduct
23.10an independent project audit of the project. The audit analysis and evaluation of the
23.11projects subject to paragraph (c) must be presented to agency executive sponsors, the
23.12project governance bodies, and the chief information officer. All reports and responses
23.13must become part of the project record.
23.14    (e) For any active information and telecommunications technology project with a
23.15total expected project cost of more than $10,000,000, the state agency must perform an
23.16annual independent audit that conforms to published project audit principles promulgated
23.17by the office.
23.18    (f) The chief information officer shall report by January 15 of each year to the
23.19chairs and ranking minority members of the legislative committees and divisions with
23.20jurisdiction over the office regarding projects the office has reviewed under paragraph (a),
23.21clause (2) (13). The report must include the reasons for the determinations made in the
23.22review of each project and a description of its current status.

23.23    Sec. 2. Minnesota Statutes 2012, section 16E.03, subdivision 2, is amended to read:
23.24    Subd. 2. Chief information officer's responsibility. The chief information officer
23.25shall coordinate the state's information and telecommunications technology systems and
23.26services to serve the needs of the state government. The chief information officer shall:
23.27(1) design a master plan for information and telecommunications technology
23.28systems and services in the state and its political subdivisions and shall report on the plan
23.29to the governor and legislature at the beginning of each regular session;
23.30(2) coordinate, review, and approve all information and telecommunications
23.31technology projects and oversee the state's information and telecommunications
23.32technology systems and services;
23.33(3) establish and enforce compliance with standards for information and
23.34telecommunications technology systems and services that are cost-effective and support
24.1open systems environments and that are compatible with state, national, and international
24.2standards, including accessibility standards;
24.3(4) maintain a library of systems and programs developed by the state and its
24.4political subdivisions for use by agencies of government;
24.5(5) direct and manage the shared operations of the state's information and
24.6telecommunications technology systems and services; and
24.7(6) establish and enforce standards and ensure acquisition of hardware and software
24.8necessary to protect data and systems in state agency networks connected to the Internet.

24.9    Sec. 3. Minnesota Statutes 2012, section 16E.035, is amended to read:
24.11The chief information officer must prepare an a financial inventory of technology
24.12owned or leased by state agencies MN.IT Services. The inventory must include: (1)
24.13information on how the technology fits into the state's information technology architecture;
24.14and (2) a projected replacement schedule. The chief information officer must report the
24.15inventory to the legislative committees with primary jurisdiction over state technology
24.16issues by July 1 of each even-numbered year.

24.17    Sec. 4. Minnesota Statutes 2013 Supplement, section 16E.04, subdivision 2, is
24.18amended to read:
24.19    Subd. 2. Responsibilities. (a) In addition to other activities prescribed by law, the
24.20office shall carry out the duties set out in this subdivision.
24.21    (b) (a) The office shall develop and establish a state information architecture to ensure:
24.22(1) that state agency development and purchase of information and communications
24.23systems, equipment, and services is designed to ensure that individual agency information
24.24systems complement and do not needlessly duplicate or conflict with the systems of other
24.25agencies; and
24.26(2) enhanced public access to data can be provided consistent with standards
24.27developed under section 16E.05, subdivision 4.
24.28When state agencies have need for the same or similar public data, the chief information
24.29officer, in coordination with the affected agencies, shall manage the most efficient and
24.30cost-effective method of producing and storing data for or sharing data between those
24.31agencies. The development of this information architecture must include the establishment
24.32of standards and guidelines to be followed by state agencies. The office shall ensure
24.33compliance with the architecture.
25.1    (c) The office shall, in cooperation with state agencies, plan and manage the
25.2development and improvement of information systems so that an individual information
25.3system reflects and supports the state agency's mission and the state's requirements and
25.5    (d) (b) The office shall review and approve agency requests for funding for the
25.6development or purchase of information systems equipment or software before the
25.7requests may be included in the governor's budget.
25.8    (e) (c) The office shall review and approve agency requests for grant funding that
25.9have an information and technology component.
25.10(f) (d) The office shall review major purchases of information systems equipment to:
25.11    (1) ensure that the equipment follows the standards and guidelines of the state
25.12information architecture;
25.13    (2) ensure the agency's proposed purchase reflects a cost-effective policy regarding
25.14volume purchasing; and
25.15    (3) ensure that the equipment is consistent with other systems in other state agencies
25.16so that data can be shared among agencies, unless the office determines that the agency
25.17purchasing the equipment has special needs justifying the inconsistency.
25.18    (g) (e) The office shall review the operation of information systems by state agencies
25.19and ensure that these systems are operated efficiently and securely and continually meet
25.20the standards and guidelines established by the office. The standards and guidelines must
25.21emphasize uniformity that is cost-effective for the enterprise, that encourages information
25.22interchange, open systems environments, and portability of information whenever
25.23practicable and consistent with an agency's authority and chapter 13.

25.24    Sec. 5. Minnesota Statutes 2012, section 16E.05, subdivision 1, is amended to read:
25.25    Subdivision 1. Duties. The office, in consultation with interested persons, shall:
25.26(1) coordinate statewide efforts by units of state and local government to plan for
25.27and develop a system for providing access to government services; and
25.28(2) make recommendations to facilitate coordination and assistance of demonstration
25.29projects; and
25.30(3) (2) explore ways and means to improve citizen and business access to public
25.31services, including implementation of technological improvements.

25.32    Sec. 6. Minnesota Statutes 2013 Supplement, section 16E.18, subdivision 8, is
25.33amended to read:
26.1    Subd. 8. Exemption. The state information network is exempt from the five-
26.2and ten-year limitation on contracts set by sections 16C.03, subdivision 17; 16C.05,
26.3subdivision 2
, paragraph (b); 16C.06, subdivision 3b; 16C.08, subdivision 3, clause (5);
26.4and 16C.09, clause (6). A contract compliance review must be performed by the office on
26.5a five-year basis for any contract that has a total term greater than five years. The review
26.6must detail any compliance or performance issues on the part of the contractor.

26.7    Sec. 7. REPEALER.
26.8Minnesota Statutes 2012, sections 16E.02, subdivisions 2 and 3; 16E.03, subdivision
26.98; and 16E.0475, are repealed the day following final enactment."
26.10Delete the title and insert:
26.11"A bill for an act
26.12relating to state government; repealing obsolete, redundant, and unnecessary laws
26.13administered by the Department of Employment and Economic Development,
26.14Metropolitan Council, and MN.IT; making conforming changes;amending
26.15Minnesota Statutes 2012, sections 15.991, subdivision 1; 16E.01, as amended;
26.1616E.03, subdivision 2; 16E.035; 16E.05, subdivision 1; 116C.34, subdivision 3;
26.17116D.04, subdivision 2a; 116L.02; 116L.05, subdivision 5; 116L.20, subdivision
26.182; 256J.49, subdivision 4; 256J.51, subdivision 2; 268.105, subdivision 7;
26.19268.186; 473.123, subdivision 4; 473.125; 473.129, subdivisions 6, 12;
26.20473.173, subdivision 2; 473.181, subdivision 2; 473.254, subdivisions 3a, 4,
26.215; 473.315, subdivision 1; 473.375, subdivision 11; 473.39, subdivision 1e;
26.22473.391, subdivision 1; 473.405, subdivision 5; 473.42; 473.504, subdivisions
26.235, 11; 473.858, subdivision 1; 473.859, subdivision 6; 473.861, subdivision 2;
26.24473.862, subdivision 2; Minnesota Statutes 2013 Supplement, sections 16E.04,
26.25subdivision 2; 16E.18, subdivision 8; repealing Minnesota Statutes 2012, sections
26.2616E.02, subdivisions 2, 3; 16E.03, subdivision 8; 16E.0475; 116C.22; 116C.23;
26.27116C.24; 116C.25; 116C.26; 116C.261; 116C.27; 116C.28; 116C.29; 116C.30;
26.28116C.31; 116C.32; 116C.33; 116J.037; 116J.422; 116J.68, subdivision 5;
26.29116J.74, subdivision 7a; 116J.874, subdivisions 1, 2, 3, 4, 5; 116J.885; 116J.987;
26.30116J.988; 116J.989; 116J.990, subdivisions 1, 2, 3, 4, 5, 6; 116L.06; 116L.10;
26.31116L.11; 116L.12, subdivisions 1, 3, 4, 5, 6; 116L.13; 116L.14; 116L.15;
26.32116L.361, subdivision 2; 116L.363; 116L.871; 116L.872; 473.123, subdivision 7;
26.33473.13, subdivision 1c; 473.23; 473.241; 473.243; 473.244; 473.254, subdivision
26.343; 473.315, subdivision 2; 473.326; 473.333; 473.375, subdivision 9; 473.382;
26.35473.388, subdivision 8; 473.392; 473.516, subdivision 5; 473.523, subdivision 2;
26.36473.535; 473.852, subdivision 11; Minnesota Statutes 2013 Supplement, sections
26.37116J.6581; 116J.70, subdivision 2a; 473.517, subdivision 9."
We request the adoption of this report and repassage of the bill.
House Conferees:
..... .....
Tim Mahoney John Persell
Bob Gunther
Senate Conferees:
..... .....
Dan Sparks Terri E. Bonoff
Gary H. Dahms