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HF 3163

1st Engrossment - 82nd Legislature (2001 - 2002) 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 legislation; correcting erroneous, 
  1.3             ambiguous, and omitted text and obsolete references; 
  1.4             eliminating certain redundant, conflicting, and 
  1.5             superseded provisions; reenacting certain legislation; 
  1.6             making miscellaneous technical corrections to statutes 
  1.7             and other laws; amending Minnesota Statutes 2000, 
  1.8             sections 13.04, subdivision 2; 13.461, subdivision 7; 
  1.9             13.4963, subdivision 2; 13.4967, subdivision 3; 
  1.10            13.741, subdivision 1; 13.7411, subdivision 5; 13D.05, 
  1.11            subdivision 2; 15A.086; 16D.11, subdivision 6; 17A.04, 
  1.12            subdivision 1; 31.51, subdivision 3; 32.073; 41A.09, 
  1.13            subdivision 8; 41B.045, subdivision 2; 41B.046, 
  1.14            subdivision 5; 41B.047, subdivision 4; 48.24, 
  1.15            subdivision 5; 115A.06, subdivision 5a; 115A.59; 
  1.16            115A.9157, subdivision 6; 115B.20, subdivisions 1, 2, 
  1.17            5; 115B.25, subdivision 2; 115B.26; 115B.28, as 
  1.18            amended; 115B.29, subdivision 1; 115B.30, subdivision 
  1.19            3; 115B.31, subdivisions 1, 2, 4; 115B.32; 115B.33; 
  1.20            115B.34; 115B.35, subdivisions 2, 3, 4, 8, 9; 115B.36; 
  1.21            115B.37; 115C.08, subdivisions 4, 5; 116J.615; 
  1.22            116J.616; 119A.11, subdivision 3; 119A.20, subdivision 
  1.23            1; 119A.46, subdivision 6; 144E.43, subdivision 1; 
  1.24            148.71, subdivision 3; 219.98; 221.185, subdivision 
  1.25            5a; 222.631, subdivision 1; 260B.171, subdivision 5; 
  1.26            270.708, subdivision 1; 270B.15; 297B.035, subdivision 
  1.27            3; 297I.05, subdivision 12; 297I.30, subdivisions 1, 
  1.28            5; 299F.11, subdivision 2; 349.163, subdivision 6; 
  1.29            349A.10, subdivision 5; 352D.02, subdivision 1; 
  1.30            383C.19; 401.05, subdivision 3; 437.08; 437.09; 
  1.31            437.10; 458D.02, subdivisions 2, 3; 458D.23; 469.110, 
  1.32            subdivision 2; 469.116, subdivision 7; 469.118, 
  1.33            subdivisions 1, 2, 4; 469.119, subdivision 1; 469.122; 
  1.34            469.154, subdivision 5; 471.415, subdivision 2; 
  1.35            501B.61, as amended; 514.94; 524.2-301; 524.2-604; 
  1.36            524.2-609; 583.24, subdivision 4; 609.341, subdivision 
  1.37            17; Minnesota Statutes 2001 Supplement, sections 
  1.38            16A.151, by adding a subdivision; 17B.15, subdivision 
  1.39            1; 60K.31, subdivision 1; 60K.32; 60K.34, subdivision 
  1.40            1; 60K.39, subdivisions 5, 6; 60K.48; 60K.51, 
  1.41            subdivision 6; 60K.52, subdivision 1; 61B.23, 
  1.42            subdivision 15; 119A.22; 136G.03, subdivision 20; 
  1.43            144.057, subdivision 4; 169.073; 214.01, subdivision 
  1.44            3; 216B.098, subdivision 2; 216B.2424, subdivision 5; 
  1.45            216B.2425, subdivision 3; 268.052, subdivision 1; 
  1.46            270.07, subdivision 3a; 275.28, subdivision 1; 275.70, 
  2.1             subdivision 5; 290A.03, subdivision 13; 297A.668, 
  2.2             subdivision 3; 336.9-334; 356.62; 376.08, subdivision 
  2.3             2; 501B.60, subdivision 3; 514.661, subdivision 5; 
  2.4             626.556, subdivision 11; Laws 1995, chapter 220, 
  2.5             sections 141, 142, as amended; Laws 1997, chapter 202, 
  2.6             article 2, section 61, as amended; Laws 2000, chapter 
  2.7             399, article 1, section 139; Laws 2001, chapter 171, 
  2.8             section 12; proposing coding for new law in Minnesota 
  2.9             Statutes, chapter 89A; repealing Minnesota Statutes 
  2.10            2000, sections 89A.01; 89A.02; 89A.03; 89A.04; 89A.05; 
  2.11            89A.06; 89A.07; 89A.08; 89A.09; 89A.10; 89A.11; 
  2.12            115B.27; 115B.35, subdivisions 1, 5, 6; 116.19; 
  2.13            221.0315; 437.11; 462A.072; 557.11; Minnesota Statutes 
  2.14            2001 Supplement, sections 16A.1286, subdivisions 4, 5; 
  2.15            Laws 1997, chapter 85, article 4, section 28; Laws 
  2.16            1999, chapter 159, section 79; Laws 1999, chapter 231, 
  2.17            section 180; Laws 2001, chapter 161, section 4; Laws 
  2.18            2001, chapter 162, section 4; Laws 2001, First Special 
  2.19            Session chapter 2, section 103; Laws 2001, First 
  2.20            Special Session chapter 8, article 7, section 1; 
  2.21            Minnesota Rules, parts 5300.0360; 7021.0001, subparts 
  2.22            2, 4; 7190.0002; 7190.0003; 7190.0004; 7190.0008, 
  2.23            subparts 1, 2; 7190.0015, subparts 1, 2; 7190.0100, 
  2.24            subpart 2; 7190.1000, subpart 1. 
  2.25  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  2.26                             ARTICLE 1 
  2.27                              GENERAL 
  2.28     Section 1.  Minnesota Statutes 2000, section 13.04, 
  2.29  subdivision 2, is amended to read: 
  2.30     Subd. 2.  [INFORMATION REQUIRED TO BE GIVEN INDIVIDUAL.] An 
  2.31  individual asked to supply private or confidential data 
  2.32  concerning the individual shall be informed of:  (a) the purpose 
  2.33  and intended use of the requested data within the collecting 
  2.34  state agency, political subdivision, or statewide system; (b) 
  2.35  whether the individual may refuse or is legally required to 
  2.36  supply the requested data; (c) any known consequence arising 
  2.37  from supplying or refusing to supply private or confidential 
  2.38  data; and (d) the identity of other persons or entities 
  2.39  authorized by state or federal law to receive the data.  This 
  2.40  requirement shall not apply when an individual is asked to 
  2.41  supply investigative data, pursuant to section 13.82, 
  2.42  subdivision 5 7, to a law enforcement officer. 
  2.43     Sec. 2.  Minnesota Statutes 2000, section 13.461, 
  2.44  subdivision 7, is amended to read: 
  2.45     Subd. 7.  [APPLICATION PROCEDURES.] Tribal licensing agency 
  2.46  access to criminal history data is governed by section 245A.04, 
  2.47  subdivision 3, paragraph (h) (u). 
  3.1      Sec. 3.  Minnesota Statutes 2000, section 13.4963, 
  3.2   subdivision 2, is amended to read: 
  3.3      Subd. 2.  [GENERALLY.] Classification and disclosure of tax 
  3.4   data created, collected, or maintained by the department of 
  3.5   revenue under chapter 115B (except taxes imposed under sections 
  3.6   115B.21 to 115B.24), 289A (except for taxes imposed under 
  3.7   sections 298.01, 298.015, and 298.24), 290, 290A, 291, or 297A, 
  3.8   or 297H, and sections 295.50 to 295.59 or any similar Indian 
  3.9   tribal tax administered by the commissioner according to a tax 
  3.10  agreement between the state and an Indian tribal government are 
  3.11  governed by chapter 270B. 
  3.12     Sec. 4.  Minnesota Statutes 2000, section 13.4967, 
  3.13  subdivision 3, is amended to read: 
  3.14     Subd. 3.  [GROSS EARNINGS TAXES HOSPITAL AND HEALTH CARE 
  3.15  PROVIDER TAX.] Certain patient data provided to the department 
  3.16  of revenue under chapter 295 sections 295.50 to 295.59 are 
  3.17  classified under section 295.57, subdivision 2. 
  3.18     Sec. 5.  Minnesota Statutes 2000, section 13D.05, 
  3.19  subdivision 2, is amended to read: 
  3.20     Subd. 2.  [WHEN MEETING MUST BE CLOSED.] (a) Any portion of 
  3.21  a meeting must be closed if expressly required by other law or 
  3.22  if the following types of data are discussed: 
  3.23     (1) data that would identify alleged victims or reporters 
  3.24  of criminal sexual conduct, domestic abuse, or maltreatment of 
  3.25  minors or vulnerable adults; 
  3.26     (2) active investigative data as defined in section 13.82, 
  3.27  subdivision 5 7, or internal affairs data relating to 
  3.28  allegations of law enforcement personnel misconduct collected or 
  3.29  created by a state agency, statewide system, or political 
  3.30  subdivision; or 
  3.31     (3) educational data, health data, medical data, welfare 
  3.32  data, or mental health data that are not public data under 
  3.33  section 13.32, 13.3805, subdivision 1, 13.384, or 13.46, 
  3.34  subdivision 2 or 7.  
  3.35     (b) A public body shall close one or more meetings for 
  3.36  preliminary consideration of allegations or charges against an 
  4.1   individual subject to its authority.  If the members conclude 
  4.2   that discipline of any nature may be warranted as a result of 
  4.3   those specific charges or allegations, further meetings or 
  4.4   hearings relating to those specific charges or allegations held 
  4.5   after that conclusion is reached must be open.  A meeting must 
  4.6   also be open at the request of the individual who is the subject 
  4.7   of the meeting. 
  4.8      Sec. 6.  Minnesota Statutes 2000, section 15A.086, is 
  4.9   amended to read: 
  4.10     15A.086 [LIMITS ON BONUS PAYMENTS.] 
  4.11     Notwithstanding any law to the contrary, an employee of the 
  4.12  state lottery or of a public corporation or nonprofit 
  4.13  corporation created by law may not receive bonus payments in any 
  4.14  year that exceed ten percent of the employee's base salary for 
  4.15  that year.  For purposes of this section, bonus payments include 
  4.16  any combination of merit pay, achievement awards, or any other 
  4.17  cash payments in addition to base salary, other than severance 
  4.18  pay or overtime or holiday pay.  Groups covered by this section 
  4.19  include, but are not limited to, the Workers' Compensation 
  4.20  Reinsurance Association, the Minnesota Insurance Guaranty 
  4.21  Association, the Fair plan, the Joint Underwriters Association, 
  4.22  the Minnesota Joint Underwriters Association, the Life and 
  4.23  Health Guaranty Association, the Minnesota Comprehensive Health 
  4.24  Association, the Minnesota State High School League, Minnesota 
  4.25  Technology, Inc., Agricultural Utilization Research Institute, 
  4.26  Minnesota Project Outreach Corporation, State Fund Mutual 
  4.27  Insurance Company, and the State Agricultural Society.  This 
  4.28  section does not give any entity authority to grant a bonus not 
  4.29  otherwise authorized by law. 
  4.30     Sec. 7.  Minnesota Statutes 2001 Supplement, section 
  4.31  16A.151, is amended by adding a subdivision to read: 
  4.32     Subd. 4.  [SUPERSEDE.] This section supersedes section 
  4.33  8.31, subdivision 2c.  
  4.34     Sec. 8.  Minnesota Statutes 2000, section 16D.11, 
  4.35  subdivision 6, is amended to read: 
  4.36     Subd. 6.  [CHARGE TO REFERRING AGENCY.] If collection costs 
  5.1   are canceled under subdivision 3, an amount equal to the penalty 
  5.2   costs is retained by the commissioner from the debt collected, 
  5.3   and is accounted for and subject to the same provisions of this 
  5.4   chapter as if the penalty costs had been collected from the 
  5.5   debtor. 
  5.6      Sec. 9.  Minnesota Statutes 2000, section 17A.04, 
  5.7   subdivision 1, is amended to read: 
  5.8      Subdivision 1.  [LICENSING PROVISIONS.] Licenses shall be 
  5.9   issued to livestock market agencies and public stockyards 
  5.10  annually and shall expire on December 31 each year, renewable 
  5.11  annually thereafter.  A separate license must be obtained for 
  5.12  each separate geographical location even though operated under 
  5.13  the same management or same person, partnership, firm, 
  5.14  corporation, or livestock market.  The license issued to a 
  5.15  livestock market agency and public stockyard shall be 
  5.16  conspicuously posted at the licensee's place of business.  
  5.17  Licenses shall be required for livestock dealers and their 
  5.18  agents for the period beginning July 1 each year and ending June 
  5.19  30.  The license issued to a livestock dealer or the agent of a 
  5.20  livestock dealer shall be carried by the person so licensed.  
  5.21  The livestock dealer shall be responsible for the acts of the 
  5.22  dealer's agents.  Licensed livestock market agencies, public 
  5.23  stockyards, and livestock dealers shall be responsible for the 
  5.24  faithful performance of duty of the public livestock weighers at 
  5.25  their places of business.  The license issued to a livestock 
  5.26  market agency, public stockyard or livestock dealer or agent of 
  5.27  a livestock dealer is not transferable.  The operation of 
  5.28  livestock market agencies, livestock dealers, agents and packers 
  5.29  at a public stockyard are exempt from sections 17A.01 
  5.30  to 17A.091, 17A.09 and 17A.12 to 17A.17. 
  5.31     Sec. 10.  Minnesota Statutes 2001 Supplement, section 
  5.32  17B.15, subdivision 1, is amended to read: 
  5.33     Subdivision 1.  [ADMINISTRATION; APPROPRIATION.] The fees 
  5.34  for inspection and weighing shall be fixed by the commissioner 
  5.35  and be a lien upon the grain.  The commissioner shall set fees 
  5.36  for all inspection and weighing in an amount adequate to pay the 
  6.1   expenses of carrying out and enforcing the purposes of sections 
  6.2   17B.01 to 17B.22, including the portion of general support costs 
  6.3   and statewide indirect costs of the agency attributable to that 
  6.4   function, with a reserve sufficient for up to six months.  The 
  6.5   commissioner shall review the fee schedule twice each year.  Fee 
  6.6   adjustments are not subject to chapter 14.  Payment shall be 
  6.7   required for services rendered.  
  6.8      All fees collected and all fines and penalties for 
  6.9   violation of any provision of this chapter shall be deposited in 
  6.10  the grain inspection and weighing account, which is created in 
  6.11  the agricultural fund for carrying out the purpose of sections 
  6.12  17B.01 to 17B.23 17B.22.  The money in the account, including 
  6.13  interest earned on the account, is annually appropriated to the 
  6.14  commissioner of agriculture to administer the provisions of 
  6.15  sections 17B.01 to 17B.23 17B.22.  When money from any other 
  6.16  account is used to administer sections 17B.01 to 17B.23 17B.22, 
  6.17  the commissioner shall notify the chairs of the agriculture, 
  6.18  environment and natural resources finance, and ways and means 
  6.19  committees of the house of representatives; the agriculture and 
  6.20  rural development and finance committees of the senate; and the 
  6.21  finance division of the environment and natural resources 
  6.22  committee of the senate. 
  6.23     Sec. 11.  Minnesota Statutes 2000, section 31.51, 
  6.24  subdivision 3, is amended to read: 
  6.25     Subd. 3.  [RETAIL MEAT MARKET; WHOLESALE MEAT PROCESSING 
  6.26  ESTABLISHMENT.] "Retail meat market" or "wholesale meat 
  6.27  processing establishment" means an establishment with or without 
  6.28  slaughtering facilities, where animal carcasses or edible 
  6.29  products derived therefrom are cured, salted, processed, 
  6.30  packaged, or otherwise prepared for sale as food intended for 
  6.31  human consumption; provided, however, that retail meat market or 
  6.32  wholesale meat processing establishment does not include:  (1) a 
  6.33  purveyor of meals, or (2) a frozen food processing plant 
  6.34  licensed under section 31.185 and in which no slaughtering 
  6.35  operations are conducted. 
  6.36     Sec. 12.  Minnesota Statutes 2000, section 32.073, is 
  7.1   amended to read: 
  7.2      32.073 [LICENSES; EXAMINATIONS, QUALIFICATIONS.] 
  7.3      A grading and testing license shall be issued by the 
  7.4   commissioner to a person making application therefor, after the 
  7.5   commissioner has determined that the applicant is competent and 
  7.6   qualified to grade and test milk and cream, and that the 
  7.7   applicant understands and is familiar with the provisions of 
  7.8   sections 32.01 to 32.532 32.486.  Any conviction for violating 
  7.9   sections 32.01 to 32.532 32.486 or the standards, grades, and 
  7.10  rules adopted by the commissioner shall be taken into 
  7.11  consideration in determining whether or not the applicant is 
  7.12  competent and qualified. 
  7.13     Sec. 13.  Minnesota Statutes 2000, section 41A.09, 
  7.14  subdivision 8, is amended to read: 
  7.15     Subd. 8.  [PROMOTIONAL AND EDUCATIONAL MATERIALS; 
  7.16  DESCRIPTION OF MULTIPLE SOURCES OF ETHANOL REQUIRED.] 
  7.17  Promotional or educational efforts related to ethanol that are 
  7.18  financed wholly or partially with state funds and that promote 
  7.19  or identify a particular crop or commodity used to produce 
  7.20  ethanol must also include a description of the other potential 
  7.21  sources of ethanol listed in subdivision 2 2a. 
  7.22     Sec. 14.  Minnesota Statutes 2000, section 41B.045, 
  7.23  subdivision 2, is amended to read: 
  7.24     Subd. 2.  [LOAN PARTICIPATION.] The authority may 
  7.25  participate in a livestock expansion loan with an eligible 
  7.26  lender to a livestock farmer who meets the requirements of 
  7.27  section 41B.03, subdivision 1, clauses (1) and (2), and who are 
  7.28  actively engaged in a livestock operation.  A prospective 
  7.29  borrower must have a total net worth, including assets and 
  7.30  liabilities of the borrower's spouse and dependents, of less 
  7.31  than $400,000 in 1999 and an amount in subsequent years which is 
  7.32  adjusted for inflation by multiplying $400,000 by the cumulative 
  7.33  inflation rate as determined by the United States All-Items 
  7.34  Consumer Price Index. 
  7.35     Participation is limited to 45 percent of the principal 
  7.36  amount of the loan or $250,000, whichever is less.  The interest 
  8.1   rates and repayment terms of the authority's participation 
  8.2   interest may be different from the interest rates and repayment 
  8.3   terms of the lender's retained portion of the loan.  Loans under 
  8.4   this program must not be included in the lifetime limitation 
  8.5   calculated under section 41B.03, subdivision 1. 
  8.6      Sec. 15.  Minnesota Statutes 2000, section 41B.046, 
  8.7   subdivision 5, is amended to read: 
  8.8      Subd. 5.  [LOANS.] (a) The authority may participate in a 
  8.9   stock loan with an eligible lender to a farmer who is eligible 
  8.10  under subdivision 4.  Participation is limited to 45 percent of 
  8.11  the principal amount of the loan or $24,000, whichever is less.  
  8.12  The interest rates and repayment terms of the authority's 
  8.13  participation interest may differ from the interest rates and 
  8.14  repayment terms of the lender's retained portion of the loan, 
  8.15  but the authority's interest rate must not exceed 50 percent of 
  8.16  the lender's interest rate. 
  8.17     (b) No more than 95 percent of the purchase price of the 
  8.18  stock may be financed under this program. 
  8.19     (c) Loans under this program must not be included in the 
  8.20  lifetime limitation calculated under section 41B.03, subdivision 
  8.21  1. 
  8.22     (d) Security for stock loans must be the stock purchased, a 
  8.23  personal note executed by the borrower, and whatever other 
  8.24  security is required by the eligible lender or the authority. 
  8.25     (e) (d) The authority may impose a reasonable nonrefundable 
  8.26  application fee for each application for a stock loan.  The 
  8.27  authority may review the fee annually and make adjustments as 
  8.28  necessary.  The application fee is initially $50.  Application 
  8.29  fees received by the authority must be deposited in the 
  8.30  value-added agricultural product revolving fund. 
  8.31     (f) (e) Stock loans under this program will be made using 
  8.32  money in the value-added agricultural product revolving fund 
  8.33  established under subdivision 3. 
  8.34     (g) (f) The authority may not grant stock loans in a 
  8.35  cumulative amount exceeding $2,000,000 for the financing of 
  8.36  stock purchases in any one cooperative. 
  9.1      Sec. 16.  Minnesota Statutes 2000, section 41B.047, 
  9.2   subdivision 4, is amended to read: 
  9.3      Subd. 4.  [LOANS.] (a) The authority may participate in a 
  9.4   disaster recovery loan with an eligible lender to a farmer who 
  9.5   is eligible under subdivision 3.  Participation is limited to 45 
  9.6   percent of the principal amount of the loan or $50,000, 
  9.7   whichever is less.  The interest rates and repayment terms of 
  9.8   the authority's participation interest may differ from the 
  9.9   interest rates and repayment terms of the lender's retained 
  9.10  portion of the loan, but the authority's interest rate must not 
  9.11  exceed four percent. 
  9.12     (b) Standards for loan amortization shall be set by the 
  9.13  rural finance authority not to exceed ten years. 
  9.14     (c) Loans under this program must not be included in the 
  9.15  lifetime limitation calculated under section 41B.03, subdivision 
  9.16  1. 
  9.17     (d) Security for the disaster recovery loans must be a 
  9.18  personal note executed by the borrower and whatever other 
  9.19  security is required by the eligible lender or the authority. 
  9.20     (e) (d) The authority may impose a reasonable nonrefundable 
  9.21  application fee for a disaster recovery loan.  The authority may 
  9.22  review the fee annually and make adjustments as necessary.  The 
  9.23  application fee is initially $50.  Application fees received by 
  9.24  the authority must be deposited in the disaster recovery 
  9.25  revolving fund. 
  9.26     (f) (e) Disaster recovery loans under this program will be 
  9.27  made using money in the disaster recovery revolving fund 
  9.28  established under subdivision 2. 
  9.29     Sec. 17.  Minnesota Statutes 2000, section 48.24, 
  9.30  subdivision 5, is amended to read: 
  9.31     Subd. 5.  Loans or obligations shall not be subject under 
  9.32  this section to any limitation based upon such capital and 
  9.33  surplus to the extent that they are secured or covered by 
  9.34  guarantees, or by commitments or agreements to take over or to 
  9.35  purchase the same, made by: 
  9.36     (1) the commissioner of agriculture on the purchase of 
 10.1   agricultural land; 
 10.2      (2) any Federal Reserve bank; 
 10.3      (3) the United States or any department, bureau, board, 
 10.4   commission, or establishment of the United States, including any 
 10.5   corporation wholly owned directly or indirectly by the United 
 10.6   States; 
 10.7      (4) the Minnesota energy trade and economic development 
 10.8   authority department; 
 10.9      (5) the Minnesota export finance authority; or 
 10.10     (6) a municipality or political subdivision within 
 10.11  Minnesota to the extent that the guarantee or collateral is a 
 10.12  valid and enforceable general obligation of that political body. 
 10.13     Sec. 18.  Minnesota Statutes 2001 Supplement, section 
 10.14  60K.31, subdivision 1, is amended to read: 
 10.15     Subdivision 1.  [SCOPE.] For purposes of sections 
 10.16  60K.31 60K.30 to 60K.57 60K.56, the terms in subdivisions 2 to 
 10.17  18 have the meanings given them.  The definitions in section 
 10.18  60A.02 are applicable to terms not defined in this section, 
 10.19  unless the language or context clearly indicates that a 
 10.20  different meaning is intended. 
 10.21     Sec. 19.  Minnesota Statutes 2001 Supplement, section 
 10.22  60K.32, is amended to read: 
 10.23     60K.32 [LICENSE REQUIRED.] 
 10.24     A person shall not sell, solicit, or negotiate insurance in 
 10.25  this state for any class or classes of insurance unless the 
 10.26  person is licensed for that line of authority under sections 
 10.27  60K.31 60K.30 to 60K.57 60K.56.  The license itself does not 
 10.28  create any authority, actual, apparent, or inherent, in the 
 10.29  holder to represent or commit an insurance carrier. 
 10.30     Sec. 20.  Minnesota Statutes 2001 Supplement, section 
 10.31  60K.34, subdivision 1, is amended to read: 
 10.32     Subdivision 1.  [LICENSE NOT REQUIRED.] Nothing in sections 
 10.33  60K.31 60K.30 to 60K.57 60K.56 requires an insurer to obtain an 
 10.34  insurance producer license.  In this section, the term "insurer" 
 10.35  does not include an insurer's officers, directors, employees, 
 10.36  subsidiaries, or affiliates. 
 11.1      Sec. 21.  Minnesota Statutes 2001 Supplement, section 
 11.2   60K.39, subdivision 5, is amended to read: 
 11.3      Subd. 5.  [SURPLUS LINES PRODUCERS.] (a) Notwithstanding 
 11.4   any other provision of sections 60K.31 60K.30 to 60K.57 60K.56, 
 11.5   a person licensed as a surplus lines producer in the person's 
 11.6   home state shall receive a nonresident surplus lines producer 
 11.7   license under subdivision 1.  Except as to subdivision 1, 
 11.8   nothing in this section otherwise amends or supersedes any 
 11.9   provision of sections 60A.195 to 60A.209. 
 11.10     (b) No surplus lines agent or broker licensed under 
 11.11  sections 60A.195 to 60A.209 may do business in this state unless 
 11.12  the agent or broker has complied with the requirements set forth 
 11.13  in section 60A.198, subdivision 3, paragraphs (b) to (d). 
 11.14     Sec. 22.  Minnesota Statutes 2001 Supplement, section 
 11.15  60K.39, subdivision 6, is amended to read: 
 11.16     Subd. 6.  [LIMITED LINES PRODUCER.] Notwithstanding any 
 11.17  other provision of sections 60K.31 60K.30 to 60K.57 60K.56, a 
 11.18  person licensed as a limited line credit insurance or other type 
 11.19  of limited lines producer in the person's home state shall 
 11.20  receive a nonresident limited lines producer license, under 
 11.21  subdivision 1, granting the same scope of authority as granted 
 11.22  under the license issued by the producer's home state.  For the 
 11.23  purposes of this subdivision, limited line insurance is any 
 11.24  authority granted by the home state that restricts the authority 
 11.25  of the license to less than the total authority prescribed in 
 11.26  the associated major lines pursuant to section 60K.38, 
 11.27  subdivision 1, clauses (1) to (6). 
 11.28     Sec. 23.  Minnesota Statutes 2001 Supplement, section 
 11.29  60K.48, is amended to read: 
 11.30     60K.48 [COMMISSIONS.] 
 11.31     Subdivision 1.  [PAYMENT PROHIBITED.] An insurance company 
 11.32  or insurance producer shall not pay a commission, service fee, 
 11.33  brokerage, or other valuable consideration to a person for 
 11.34  selling, soliciting, or negotiating insurance in this state if 
 11.35  that person is required to be licensed under sections 
 11.36  60K.31 60K.30 to 60K.57 60K.56 and is not so licensed.  
 12.1      Subd. 2.  [ACCEPTANCE PROHIBITED.] A person shall not 
 12.2   accept a commission, service fee, brokerage, or other valuable 
 12.3   consideration for selling, soliciting, or negotiating insurance 
 12.4   in this state if that person is required to be licensed under 
 12.5   sections 60K.31 60K.30 to 60K.57 60K.56 and is not so licensed. 
 12.6      Subd. 3.  [EXCEPTIONS.] (a) Renewal or other deferred 
 12.7   commissions may be paid to a person for selling, soliciting, or 
 12.8   negotiating insurance in this state if the person was required 
 12.9   to be licensed under sections 60K.31 60K.30 to 60K.57 60K.56 at 
 12.10  the time of the sale, solicitation, or negotiation and was so 
 12.11  licensed at that time. 
 12.12     (b) An insurer or insurance producer may pay or assign 
 12.13  commissions, service fees, brokerages, or other valuable 
 12.14  consideration to an insurance agency or to persons who do not 
 12.15  sell, solicit, or negotiate insurance in this state, unless the 
 12.16  payment would constitute an illegal rebate or otherwise violate 
 12.17  section 72A.20, subdivision 10.  A duly licensed producer may 
 12.18  pay commissions or assign or direct that commissions be paid to 
 12.19  a partnership of which the producer is a member, employee, or 
 12.20  agent, or to a corporation of which the agent is an officer, 
 12.21  employee, or agent. 
 12.22     Sec. 24.  Minnesota Statutes 2001 Supplement, section 
 12.23  60K.51, subdivision 6, is amended to read: 
 12.24     Subd. 6.  [CLASSIFICATION OF INVESTIGATIVE DATA.] Any 
 12.25  documents, materials, or other information in the control or 
 12.26  possession of the department of commerce that is furnished by an 
 12.27  insurer, producer, or an employee or agent of an insurer or 
 12.28  producer acting on behalf of the insurer or producer, or 
 12.29  obtained by the commissioner in an investigation pursuant to 
 12.30  this section is classified as confidential data pursuant to 
 12.31  section 13.41, subdivision 4, or private data pursuant to 
 12.32  section 13.41, subdivision 2. 
 12.33     Sec. 25.  Minnesota Statutes 2001 Supplement, section 
 12.34  60K.52, subdivision 1, is amended to read: 
 12.35     Subdivision 1.  [COMMISSIONER'S AUTHORITY.] In order to 
 12.36  assist in the performance of the commissioner's duties under 
 13.1   sections 60K.31 60K.30 to 60K.57 60K.56, the commissioner: 
 13.2      (1) may share licensing data or any active or inactive 
 13.3   investigative data with other state, federal, and international 
 13.4   regulatory agencies, with the National Association of Insurance 
 13.5   Commissioners, its affiliates or subsidiaries, and with state, 
 13.6   federal, and international law enforcement authorities if the 
 13.7   recipient agrees to maintain the data in a manner consistent 
 13.8   with its data classification; 
 13.9      (2) may receive documents, materials, or information, 
 13.10  including otherwise confidential and privileged documents, 
 13.11  materials, or information, from the National Association of 
 13.12  Insurance Commissioners, its affiliates or subsidiaries, and 
 13.13  from regulatory and law enforcement officials of other foreign 
 13.14  or domestic jurisdictions, and shall maintain as confidential or 
 13.15  privileged any document, material, or information received with 
 13.16  notice or the understanding that it is confidential or 
 13.17  privileged under the laws of the jurisdiction that is the source 
 13.18  of the document, material, or information; and 
 13.19     (3) may enter into agreements governing sharing and use of 
 13.20  information consistent with this subdivision. 
 13.21     No waiver of any applicable privilege or claim of 
 13.22  confidentiality in the documents, materials, or information 
 13.23  occurs as a result of disclosure to the commissioner under this 
 13.24  section or as a result of sharing as authorized in this 
 13.25  subdivision. 
 13.26     Nothing in sections 60K.31 60K.30 to 60K.57 60K.56 
 13.27  prohibits the commissioner from releasing information concerning 
 13.28  final, adjudicated actions, including for-cause terminations, to 
 13.29  a database or other clearinghouse service maintained by the 
 13.30  National Association of Insurance Commissioners, its affiliates, 
 13.31  or subsidiaries of the National Association of Insurance 
 13.32  Commissioners. 
 13.33     Sec. 26.  Minnesota Statutes 2001 Supplement, section 
 13.34  61B.23, subdivision 15, is amended to read: 
 13.35     Subd. 15.  [VENUE; APPEAL BOND.] Except as otherwise 
 13.36  provided in section 61B.24, subdivision 10, or 61B.26, paragraph 
 14.1   (c), venue in a suit against the association arising under 
 14.2   sections 62B.18 to 62B.32 61B.18 to 61B.32 shall be in Ramsey 
 14.3   county.  The association shall not be required to give an appeal 
 14.4   bond in an appeal that relates to a cause of action arising 
 14.5   under sections 61B.18 to 61B.32. 
 14.6      Sec. 27.  [89A.11] [REPEALER.] 
 14.7      Sections 89A.01; 89A.02; 89A.03; 89A.04; 89A.05; 89A.06; 
 14.8   89A.07; 89A.08; 89A.09; 89A.10; and 89A.11, are repealed June 
 14.9   30, 2007. 
 14.10     Sec. 28.  Minnesota Statutes 2000, section 115A.06, 
 14.11  subdivision 5a, is amended to read: 
 14.12     Subd. 5a.  [ACQUISITION OF EASEMENTS.] If the office 
 14.13  determines that any activity deemed necessary to accomplish its 
 14.14  purposes under subdivision 5 constitutes a substantial 
 14.15  interference with the possession, enjoyment, or value of the 
 14.16  property where the activity will take place, the office may 
 14.17  acquire a temporary easement interest in the property that 
 14.18  permits the office to carry out the activity and other 
 14.19  activities incidental to the accomplishment of the same 
 14.20  purposes.  The office may acquire temporary easement interests 
 14.21  under this subdivision by purchase, gift, or condemnation.  The 
 14.22  right of the office to acquire a temporary easement is subject 
 14.23  to the same requirements and may be exercised with the same 
 14.24  authority as provided for acquisition of property interests by 
 14.25  the commissioner of administration under Minnesota Statutes 
 14.26  1994, section 115A.06, subdivision 4. 
 14.27     Sec. 29.  Minnesota Statutes 2000, section 115A.59, is 
 14.28  amended to read: 
 14.29     115A.59 [BOND AUTHORIZATION AND APPROPRIATION OF PROCEEDS.] 
 14.30     The commissioner of finance is authorized, upon request of 
 14.31  the director, to sell state bonds in the amount of up to 
 14.32  $8,800,000 for the purpose of the waste processing facility 
 14.33  capital assistance program under section 115A.54, and in the 
 14.34  amount of up to $6,200,000 for the purpose of acquiring real 
 14.35  property and interests in real property for hazardous waste 
 14.36  facility sites and buffer areas as authorized by section 
 15.1   115A.06, subdivision 4.  The bonds shall be sold in the manner 
 15.2   and upon the conditions prescribed in sections 16A.631 to 
 15.3   16A.675, and in the Minnesota Constitution, article XI, sections 
 15.4   4 to 7.  The amount of bonds issued pursuant to this 
 15.5   authorization shall not exceed at any time the amount needed to 
 15.6   produce a balance in the waste management account equal to the 
 15.7   aggregate amount of the loans and grants then approved and not 
 15.8   previously disbursed, plus the amount of the loans and grants to 
 15.9   be approved in the current and the following fiscal year, as 
 15.10  estimated by the director. 
 15.11     Sec. 30.  Minnesota Statutes 2000, section 115A.9157, 
 15.12  subdivision 6, is amended to read: 
 15.13     Subd. 6.  [LIST OF PARTICIPANTS.] A manufacturer or its 
 15.14  representative organization shall inform the legislative 
 15.15  commission on waste management committees listed in subdivision 
 15.16  5 when they begin participating in the projects and programs and 
 15.17  immediately if they withdraw participation.  The list of 
 15.18  participants shall be available to retailers, distributors, 
 15.19  governmental agencies, and other interested persons who provide 
 15.20  a self-addressed stamped envelope to the commission. 
 15.21     Sec. 31.  Minnesota Statutes 2000, section 115B.20, 
 15.22  subdivision 1, is amended to read: 
 15.23     Subdivision 1.  [ESTABLISHMENT.] (a) The environmental 
 15.24  response, compensation, and compliance account is in the 
 15.25  environmental fund in the state treasury and may be spent only 
 15.26  for the purposes provided in subdivision 2.  
 15.27     (b) The commissioner of finance shall administer a response 
 15.28  account for the agency and the commissioner of agriculture to 
 15.29  take removal, response, and other actions authorized under 
 15.30  subdivision 2, clauses (1) to (4) and (10) to (12) (9) to (11).  
 15.31  The commissioner of finance shall transfer money from the 
 15.32  response account to the agency and the commissioner of 
 15.33  agriculture to take actions required under subdivision 2, 
 15.34  clauses (1) to (4) and (10) to (12) (9) to (11).  
 15.35     (c) The commissioner of finance shall administer the 
 15.36  account in a manner that allows the commissioner of agriculture 
 16.1   and the agency to utilize the money in the account to implement 
 16.2   their removal and remedial action duties as effectively as 
 16.3   possible. 
 16.4      (d) Amounts appropriated to the commissioner of finance 
 16.5   under this subdivision shall not be included in the department 
 16.6   of finance budget but shall be included in the pollution control 
 16.7   agency and department of agriculture budgets. 
 16.8      (e) All money recovered by the state under section 115B.04 
 16.9   or any other law for injury to, destruction of, or loss of 
 16.10  natural resources resulting from the release of a hazardous 
 16.11  substance, or a pollutant or contaminant, must be credited to 
 16.12  the environmental response, compensation, and compliance account 
 16.13  in the environmental fund and is appropriated to the 
 16.14  commissioner of natural resources for purposes of subdivision 2, 
 16.15  clause (5), consistent with any applicable term of judgments, 
 16.16  consent decrees, consent orders, or other administrative actions 
 16.17  requiring payments to the state for such purposes.  Before 
 16.18  making an expenditure of money appropriated under this 
 16.19  paragraph, the commissioner of natural resources shall provide 
 16.20  written notice of the proposed expenditure to the chairs of the 
 16.21  senate committee on finance, the house of representatives 
 16.22  committee on ways and means, the finance division of the senate 
 16.23  committee on environment and natural resources, and the house of 
 16.24  representatives committee on environment and natural resources 
 16.25  finance. 
 16.26     Sec. 32.  Minnesota Statutes 2000, section 115B.20, 
 16.27  subdivision 2, is amended to read: 
 16.28     Subd. 2.  [PURPOSES FOR WHICH MONEY MAY BE SPENT.] Subject 
 16.29  to appropriation by the legislature the money in the account may 
 16.30  be spent for any of the following purposes:  
 16.31     (1) preparation by the agency and the commissioner of 
 16.32  agriculture for taking removal or remedial action under section 
 16.33  115B.17, or under chapter 18D, including investigation, 
 16.34  monitoring and testing activities, enforcement and compliance 
 16.35  efforts relating to the release of hazardous substances, 
 16.36  pollutants or contaminants under section 115B.17 or 115B.18, or 
 17.1   chapter 18D; 
 17.2      (2) removal and remedial actions taken or authorized by the 
 17.3   agency or the commissioner of the pollution control agency under 
 17.4   section 115B.17, or taken or authorized by the commissioner of 
 17.5   agriculture under chapter 18D including related enforcement and 
 17.6   compliance efforts under section 115B.17 or 115B.18, or chapter 
 17.7   18D, and payment of the state share of the cost of remedial 
 17.8   action which may be carried out under a cooperative agreement 
 17.9   with the federal government pursuant to the federal Superfund 
 17.10  Act, under United States Code, title 42, section 9604(c)(3) for 
 17.11  actions related to facilities other than commercial hazardous 
 17.12  waste facilities located under the siting authority of chapter 
 17.13  115A; 
 17.14     (3) reimbursement to any private person for expenditures 
 17.15  made before July 1, 1983, to provide alternative water supplies 
 17.16  deemed necessary by the agency or the commissioner of 
 17.17  agriculture and the department of health to protect the public 
 17.18  health from contamination resulting from the release of a 
 17.19  hazardous substance; 
 17.20     (4) removal and remedial actions taken or authorized by the 
 17.21  agency or the commissioner of agriculture or the pollution 
 17.22  control agency under section 115B.17, or chapter 18D, including 
 17.23  related enforcement and compliance efforts under section 115B.17 
 17.24  or 115B.18, or chapter 18D, and payment of the state share of 
 17.25  the cost of remedial action which may be carried out under a 
 17.26  cooperative agreement with the federal government pursuant to 
 17.27  the federal Superfund Act, under United States Code, title 42, 
 17.28  section 9604(c)(3) for actions related to commercial hazardous 
 17.29  waste facilities located under the siting authority of chapter 
 17.30  115A; 
 17.31     (5) planning and implementation by the commissioner of 
 17.32  natural resources of the rehabilitation, restoration, or 
 17.33  acquisition of natural resources to remedy injuries or losses to 
 17.34  natural resources resulting from the release of a hazardous 
 17.35  substance; 
 17.36     (6) inspection, monitoring, and compliance efforts by the 
 18.1   agency, or by political subdivisions with agency approval, of 
 18.2   commercial hazardous waste facilities located under the siting 
 18.3   authority of chapter 115A; 
 18.4      (7) grants by the agency or the office of environmental 
 18.5   assistance to demonstrate alternatives to land disposal of 
 18.6   hazardous waste including reduction, separation, pretreatment, 
 18.7   processing and resource recovery, for education of persons 
 18.8   involved in regulating and handling hazardous waste; 
 18.9      (8) intervention and environmental mediation by the 
 18.10  legislative commission on waste management under chapter 115A; 
 18.11     (9) grants by the agency to study the extent of 
 18.12  contamination and feasibility of cleanup of hazardous substances 
 18.13  and pollutants or contaminants in major waterways of the state; 
 18.14     (10) (9) acquisition of a property interest under section 
 18.15  115B.17, subdivision 15; 
 18.16     (11) (10) reimbursement, in an amount to be determined by 
 18.17  the agency in each case, to a political subdivision that is not 
 18.18  a responsible person under section 115B.03, for reasonable and 
 18.19  necessary expenditures resulting from an emergency caused by a 
 18.20  release or threatened release of a hazardous substance, 
 18.21  pollutant, or contaminant; and 
 18.22     (12) (11) reimbursement to a political subdivision for 
 18.23  expenditures in excess of the liability limit under section 
 18.24  115B.04, subdivision 4. 
 18.25     Sec. 33.  Minnesota Statutes 2000, section 115B.20, 
 18.26  subdivision 5, is amended to read: 
 18.27     Subd. 5.  [RECOMMENDATION.] The legislative commission on 
 18.28  waste management and the commissioner of agriculture shall make 
 18.29  recommendations to the standing legislative committees on 
 18.30  finance and appropriations regarding appropriations from the 
 18.31  account. 
 18.32     Sec. 34.  Minnesota Statutes 2000, section 116J.615, is 
 18.33  amended to read: 
 18.34     116J.615 [OFFICE OF TOURISM.] 
 18.35     Subdivision 1.  [DUTIES OF DIRECTOR DEPUTY COMMISSIONER.] 
 18.36  The director deputy commissioner of the office of tourism shall: 
 19.1      (1) publish, disseminate, and distribute informational and 
 19.2   promotional literature; 
 19.3      (2) promote and encourage the expansion and development of 
 19.4   international tourism marketing; 
 19.5      (3) advertise and disseminate information about travel 
 19.6   opportunities in the state of Minnesota; 
 19.7      (4) aid various local communities to improve their tourism 
 19.8   marketing programs; 
 19.9      (5) coordinate and implement a comprehensive state tourism 
 19.10  marketing program that takes into consideration all public and 
 19.11  private businesses and attractions; 
 19.12     (6) conduct market research and analysis to improve 
 19.13  marketing techniques in the area of tourism; 
 19.14     (7) investigate and study conditions affecting Minnesota's 
 19.15  tourism industry, collect and disseminate information, and 
 19.16  engage in technical studies, scientific investigations, and 
 19.17  statistical research and educational activities necessary or 
 19.18  useful for the proper execution of the powers and duties of the 
 19.19  director deputy commissioner in promoting and developing 
 19.20  Minnesota's tourism industry, both within and outside the state; 
 19.21     (8) apply for, accept, receive, and expend any funds for 
 19.22  the promotion of tourism in Minnesota.  All money received by 
 19.23  the director deputy commissioner under this subdivision shall be 
 19.24  deposited in the state treasury and is appropriated to 
 19.25  the director deputy commissioner for the purposes for which the 
 19.26  money has been received.  The director deputy commissioner may 
 19.27  enter into interagency agreements and may agree to share net 
 19.28  revenues with the contributing agencies.  The money does not 
 19.29  cancel and is available until expended; and 
 19.30     (9) plan and conduct information and publicity programs to 
 19.31  attract tourists, visitors, and other interested persons from 
 19.32  outside the state to this state; encourage and coordinate 
 19.33  efforts of other public and private organizations or groups of 
 19.34  citizens to publicize facilities and attractions in this state; 
 19.35  and work with representatives of the hospitality and tourism 
 19.36  industry to carry out its programs. 
 20.1      Sec. 35.  Minnesota Statutes 2000, section 116J.616, is 
 20.2   amended to read: 
 20.3      116J.616 [SPECIFIC AGREEMENTS PROHIBITED.] 
 20.4      The commissioner or director deputy commissioner of the 
 20.5   office of tourism may not enter into an agreement which would 
 20.6   obligate the state to pay any part of a debt incurred by a 
 20.7   public or private facility, organization, or attraction. 
 20.8      Sec. 36.  Minnesota Statutes 2000, section 119A.11, 
 20.9   subdivision 3, is amended to read: 
 20.10     Subd. 3.  [ADVISORY COUNCIL.] "Advisory council" means the 
 20.11  advisory council established under section 119A.13 119A.35. 
 20.12     Sec. 37.  Minnesota Statutes 2000, section 119A.20, 
 20.13  subdivision 1, is amended to read: 
 20.14     Subdivision 1.  [DEFINITIONS.] For the purposes of sections 
 20.15  119A.20 to 119A.23 119A.22, the following terms have the 
 20.16  meanings given.  
 20.17     Sec. 38.  Minnesota Statutes 2001 Supplement, section 
 20.18  119A.22, is amended to read: 
 20.19     119A.22 [DUTIES OF COMMISSIONER.] 
 20.20     The commissioner shall:  
 20.21     (1) review applications and award grants to programs 
 20.22  pursuant to section 119A.21; 
 20.23     (2) design a uniform method of collecting data to be used 
 20.24  to monitor and assure compliance of the programs funded under 
 20.25  section 119A.21; 
 20.26     (3) provide technical assistance to applicants in the 
 20.27  development of grant requests and to grantees in meeting the 
 20.28  data collection requirements established by the commissioner; 
 20.29  and 
 20.30     (4) adopt, under chapter 14, all rules necessary to 
 20.31  implement the provisions of sections 119A.20 to 119A.23 119A.22. 
 20.32     Sec. 39.  Minnesota Statutes 2000, section 119A.46, 
 20.33  subdivision 6, is amended to read: 
 20.34     Subd. 6.  [ON-THE-JOB TRAINING COMPONENT.] (a) Programs 
 20.35  established under this section must provide on-the-job training 
 20.36  for swab team workers.  Training methods must follow procedures 
 21.1   established under section 144.9506.  
 21.2      (b) Swab team workers must receive monetary compensation 
 21.3   equal to the prevailing wage as defined in section 177.42, 
 21.4   subdivision 6, for comparable jobs in the licensed contractor's 
 21.5   principal business. 
 21.6      Sec. 40.  Minnesota Statutes 2001 Supplement, section 
 21.7   136G.03, subdivision 20, is amended to read: 
 21.8      Subd. 20.  [MAXIMUM ACCOUNT BALANCE LIMIT.] "Maximum 
 21.9   account balance limit" means the amount established by the 
 21.10  office under section 136.2441 136G.09, subdivision 8, paragraph 
 21.11  (d). 
 21.12     Sec. 41.  Minnesota Statutes 2001 Supplement, section 
 21.13  144.057, subdivision 4, is amended to read: 
 21.14     Subd. 4.  [RESPONSIBILITIES OF FACILITIES AND AGENCIES.] 
 21.15  Facilities and agencies described in subdivision 1 shall be 
 21.16  responsible for cooperating with the departments in implementing 
 21.17  the provisions of this section.  The responsibilities imposed on 
 21.18  applicants and licensees under chapter 245A shall apply to these 
 21.19  facilities and supplemental nursing services agencies.  The 
 21.20  provision of section 245A.04, subdivision 3, paragraph (e) (n), 
 21.21  shall apply to applicants, licensees, registrants, or an 
 21.22  individual's refusal to cooperate with the completion of the 
 21.23  background studies.  Supplemental nursing services agencies 
 21.24  subject to the registration requirements in section 144A.71 must 
 21.25  maintain records verifying compliance with the background study 
 21.26  requirements under this section. 
 21.27     Sec. 42.  Minnesota Statutes 2000, section 144E.43, 
 21.28  subdivision 1, is amended to read: 
 21.29     Subdivision 1.  [AWARD PAYMENTS.] (a) The emergency medical 
 21.30  services regulatory board or the board's designee under section 
 21.31  144E.40, subdivision 2, shall pay ambulance service personnel 
 21.32  longevity awards to qualified ambulance service personnel 
 21.33  determined to be entitled to an award under section 144E.46 by 
 21.34  the board based on the submissions by the various ambulance 
 21.35  services. Amounts necessary to pay the ambulance service 
 21.36  personnel longevity award are appropriated from the ambulance 
 22.1   service personnel longevity award and incentive trust account to 
 22.2   the board.  
 22.3      (b) If the state of Minnesota is unable to meet its 
 22.4   financial obligations as they become due, the commissioner of 
 22.5   health board shall undertake all necessary steps to discontinue 
 22.6   paying ambulance service personnel longevity awards until the 
 22.7   state of Minnesota is again able to meet its financial 
 22.8   obligations as they become due. 
 22.9      Sec. 43.  Minnesota Statutes 2000, section 148.71, 
 22.10  subdivision 3, is amended to read: 
 22.11     Subd. 3.  [FOREIGN-TRAINED PHYSICAL THERAPISTS; TEMPORARY 
 22.12  PERMITS.] (a) The board of medical practice physical therapy may 
 22.13  issue a temporary permit to a foreign-trained physical therapist 
 22.14  who: 
 22.15     (1) is enrolled in a supervised physical therapy 
 22.16  traineeship that meets the requirements under paragraph (b); 
 22.17     (2) has completed a physical therapy education program 
 22.18  equivalent to that under section 148.705 and Minnesota Rules, 
 22.19  part 5601.0800, subpart 2; 
 22.20     (3) has achieved a score of at least 550 on the test of 
 22.21  English as a foreign language or a score of at least 85 on the 
 22.22  Minnesota battery test; and 
 22.23     (4) has paid a nonrefundable fee set by the board. 
 22.24     A foreign-trained physical therapist must have the 
 22.25  temporary permit before beginning a traineeship. 
 22.26     (b) A supervised physical therapy traineeship must: 
 22.27     (1) be at least six months; 
 22.28     (2) be at a board-approved facility; 
 22.29     (3) provide a broad base of clinical experience to the 
 22.30  foreign-trained physical therapist including a variety of 
 22.31  physical agents, therapeutic exercises, evaluation procedures, 
 22.32  and patient diagnoses; 
 22.33     (4) be supervised by a physical therapist who has at least 
 22.34  three years of clinical experience and is licensed under 
 22.35  subdivision 1; and 
 22.36     (5) be approved by the board before the foreign-trained 
 23.1   physical therapist begins the traineeship. 
 23.2      (c) A temporary permit is effective on the first day of a 
 23.3   traineeship and expires 90 days after the next examination for 
 23.4   licensing given by the board following successful completion of 
 23.5   the traineeship or on the date on which the board, after 
 23.6   examination of the applicant, grants or denies the applicant a 
 23.7   license to practice, whichever occurs first. 
 23.8      (d) A foreign-trained physical therapist must successfully 
 23.9   complete a traineeship to be licensed as a physical therapist 
 23.10  under subdivision 1.  The traineeship may be waived for a 
 23.11  foreign-trained physical therapist who is licensed or otherwise 
 23.12  registered in good standing in another state and has 
 23.13  successfully practiced physical therapy in that state under the 
 23.14  supervision of a licensed or registered physical therapist for 
 23.15  at least six months at a facility that meets the requirements 
 23.16  under paragraph (b), clauses (2) and (3). 
 23.17     (e) A temporary permit will not be issued to a 
 23.18  foreign-trained applicant who has been issued a temporary permit 
 23.19  for longer than six months in any other state. 
 23.20     Sec. 44.  Minnesota Statutes 2001 Supplement, section 
 23.21  169.073, is amended to read: 
 23.22     169.073 [PROHIBITED LIGHT OR SIGNAL.] 
 23.23     (a) No person or corporation shall place, maintain or 
 23.24  display any red light or red sign, signal, or lighting device or 
 23.25  maintain it in view of any highway or any line of railroad on or 
 23.26  over which trains are operated in such a way as to interfere 
 23.27  with the effectiveness or efficiency of any highway 
 23.28  traffic-control device or signals or devices used in the 
 23.29  operation of a railroad.  Upon written notice from the 
 23.30  commissioner of transportation, a person or corporation 
 23.31  maintaining or owning or displaying a prohibited light shall 
 23.32  promptly remove it, or change the color of it to some other 
 23.33  color than red.  Where a prohibited light or sign interferes 
 23.34  with the effectiveness or efficiency of the signals or devices 
 23.35  used in the operation of a railroad, the department of 
 23.36  transportation may cause the removal of it and the department 
 24.1   may issue notices and orders for its removal.  The department 
 24.2   shall proceed as provided in sections 216.13, 216.14, 216.15, 
 24.3   216.16, and 216.17, with a right of appeal to the aggrieved 
 24.4   party in accordance with chapter 14. 
 24.5      (b) No person or corporation shall maintain or display any 
 24.6   light after written notice from the commissioner of 
 24.7   transportation or the department of public service that the 
 24.8   light constitutes a traffic hazard and that it the commissioner 
 24.9   has ordered the removal thereof. 
 24.10     Sec. 45.  Minnesota Statutes 2001 Supplement, section 
 24.11  214.01, subdivision 3, is amended to read: 
 24.12     Subd. 3.  [NON-HEALTH-RELATED LICENSING BOARD.] 
 24.13  "Non-health-related licensing board" means the board of teaching 
 24.14  established pursuant to section 122A.07, the board of barber 
 24.15  examiners established pursuant to section 154.22, the board of 
 24.16  assessors established pursuant to section 270.41, the board of 
 24.17  architecture, engineering, land surveying, landscape 
 24.18  architecture, geoscience, and interior design established 
 24.19  pursuant to section 326.04, the board of electricity established 
 24.20  pursuant to section 326.241, the private detective and 
 24.21  protective agent licensing board established pursuant to section 
 24.22  326.33, the board of accountancy established pursuant to section 
 24.23  326A.02, the board of boxing established pursuant to section 
 24.24  341.01, and the peace officer standards and training board 
 24.25  established pursuant to section 626.841. 
 24.26     Sec. 46.  Minnesota Statutes 2001 Supplement, section 
 24.27  216B.098, subdivision 2, is amended to read: 
 24.28     Subd. 2.  [BUDGET BILLING PLANS.] A utility shall offer a 
 24.29  customer a budget billing plan for payment of charges for 
 24.30  service, including adequate notice to customers prior to 
 24.31  changing budget payment amounts.  Municipal utilities having 
 24.32  3,000 or fewer customers are exempt from this requirement.  
 24.33  Municipal utilities having more than 3,000 customers shall 
 24.34  implement this requirement within two years of the effective 
 24.35  date of this chapter before July 1, 2003. 
 24.36     Sec. 47.  Minnesota Statutes 2001 Supplement, section 
 25.1   216B.2424, subdivision 5, is amended to read: 
 25.2      Subd. 5.  [MANDATE.] (a) A public utility, as defined in 
 25.3   section 216B.02, subdivision 4, that operates a nuclear-powered 
 25.4   electric generating plant within this state must construct and 
 25.5   operate, purchase, or contract to construct and operate (1) by 
 25.6   December 31, 1998, 50 megawatts of electric energy installed 
 25.7   capacity generated by farm-grown closed-loop biomass scheduled 
 25.8   to be operational by December 31, 2001; and (2) by December 31, 
 25.9   1998, an additional 75 megawatts of installed capacity so 
 25.10  generated scheduled to be operational by December 31, 2002.  
 25.11     (b) Of the 125 megawatts of biomass electricity installed 
 25.12  capacity required under this subdivision, no more than 50 
 25.13  megawatts of this capacity may be provided by a facility that 
 25.14  uses poultry litter as its primary fuel source and any such 
 25.15  facility:  
 25.16     (1) need not use biomass that complies with the definition 
 25.17  in subdivision 1; 
 25.18     (2) must enter into a contract with the public utility for 
 25.19  such capacity, that has an average purchase price per megawatt 
 25.20  hour over the life of the contract that is equal to or less than 
 25.21  the average purchase price per megawatt hour over the life of 
 25.22  the contract in contracts approved by the public utilities 
 25.23  commission before April 1, 2000, to satisfy the mandate of this 
 25.24  section, and file that contract with the public utilities 
 25.25  commission prior to September 1, 2000; and 
 25.26     (3) must schedule such capacity must be scheduled to be 
 25.27  operational by December 31, 2002.  
 25.28     (c) Of the total 125 megawatts of biomass electric energy 
 25.29  installed capacity required under this section, no more than 75 
 25.30  megawatts may be provided by a single project.  
 25.31     (d) Of the 75 megawatts of biomass electric energy 
 25.32  installed capacity required under paragraph (a), clause (2), no 
 25.33  more than 25 megawatts of this capacity may be provided by a St. 
 25.34  Paul district heating and cooling system cogeneration facility 
 25.35  utilizing waste wood as a primary fuel source.  The St. Paul 
 25.36  district heating and cooling system cogeneration facility need 
 26.1   not use biomass that complies with the definition in subdivision 
 26.2   1.  
 26.3      (e) The public utility must accept and consider on an equal 
 26.4   basis with other biomass proposals: 
 26.5      (1) a proposal to satisfy the requirements of this section 
 26.6   that includes a project that exceeds the megawatt capacity 
 26.7   requirements of either paragraph (a), clause (1) or (2), and 
 26.8   that proposes to sell the excess capacity to the public utility 
 26.9   or to other purchasers; and 
 26.10     (2) a proposal for a new facility to satisfy more than ten 
 26.11  but not more than 20 megawatts of the electrical generation 
 26.12  requirements by a small business-sponsored independent power 
 26.13  producer facility to be located within the northern quarter of 
 26.14  the state, which means the area located north of Constitutional 
 26.15  Route No. 8 as described in section 161.114, subdivision 2, and 
 26.16  that utilizes biomass residue wood, sawdust, bark, chipped wood, 
 26.17  or brush to generate electricity.  A facility described in this 
 26.18  clause is not required to utilize biomass complying with the 
 26.19  definition in subdivision 1, but must have the capacity required 
 26.20  by this clause operational by December 31, 2002. 
 26.21     (f) If a public utility files a contract with the 
 26.22  commission for electric energy installed capacity that uses 
 26.23  poultry litter as its primary fuel source, the commission must 
 26.24  do a preliminary review of the contract to determine if it meets 
 26.25  the purchase price criteria provided in paragraph (b), clause 
 26.26  (2), of this subdivision.  The commission shall perform its 
 26.27  review and advise the parties of its determination within 30 
 26.28  days of filing of such a contract by a public utility.  A public 
 26.29  utility may submit by September 1, 2000, a revised contract to 
 26.30  address the commission's preliminary determination.  
 26.31     (g) The commission shall finally approve, modify, or 
 26.32  disapprove no later than July 1, 2001, all contracts submitted 
 26.33  by a public utility as of September 1, 2000, to meet the mandate 
 26.34  set forth in this subdivision.  
 26.35     (h) If a public utility subject to this section exercises 
 26.36  an option to increase the generating capacity of a project in a 
 27.1   contract approved by the commission prior to April 25, 2000, to 
 27.2   satisfy the mandate in this subdivision, the public utility must 
 27.3   notify the commission by September 1, 2000, that it has 
 27.4   exercised the option and include in the notice the amount of 
 27.5   additional megawatts to be generated under the option 
 27.6   exercised.  Any review by the commission of the project after 
 27.7   exercise of such an option shall be based on the same criteria 
 27.8   used to review the existing contract. 
 27.9      (i) A facility specified in this subdivision qualifies for 
 27.10  exemption from property taxation under section 272.02, 
 27.11  subdivision 43. 
 27.12     Sec. 48.  Minnesota Statutes 2001 Supplement, section 
 27.13  216B.2425, subdivision 3, is amended to read: 
 27.14     Subd. 3.  [COMMISSION APPROVAL.] By June 1 of each 
 27.15  even-numbered year, the commission shall adopt a state 
 27.16  transmission project list and shall certify, certify as 
 27.17  modified, or deny certification of the projects proposed under 
 27.18  subdivision 2.  The commission may only certify a project that 
 27.19  is a high-voltage transmission line as defined in section 
 27.20  216B.2421, subdivision 2, that the commission finds is: 
 27.21     (1) necessary to maintain or enhance the reliability of 
 27.22  electric service to Minnesota consumers; 
 27.23     (2) needed, applying the criteria in section 216B.241 
 27.24  216B.243, subdivision 3; and 
 27.25     (3) in the public interest, taking into account electric 
 27.26  energy system needs and economic, environmental, and social 
 27.27  interests affected by the project. 
 27.28     Sec. 49.  Minnesota Statutes 2000, section 219.98, is 
 27.29  amended to read: 
 27.30     219.98 [FEES FOR APPLYING FOR ORDER.] 
 27.31     A person other than the state, a state agency, or a 
 27.32  political subdivision, who applies for an order of the 
 27.33  commissioner of transportation relating to clearances under 
 27.34  section 219.47, permitting the abandonment or removal of track 
 27.35  under section 219.741, or permitting abandonment of a station or 
 27.36  discontinuance or reduction of agency service under section 
 28.1   219.85, shall pay, at the time the application is filed, into 
 28.2   the state treasury a fee of $100.  A person other than the 
 28.3   state, a state agency, or a political subdivision, applying for 
 28.4   an order of the commissioner under any other provision of this 
 28.5   chapter shall pay, at the time the application is filed, into 
 28.6   the state treasury a fee of $50. 
 28.7      Sec. 50.  Minnesota Statutes 2000, section 221.185, 
 28.8   subdivision 5a, is amended to read: 
 28.9      Subd. 5a.  [REINSTATEMENT AFTER CANCELLATION.] A motor 
 28.10  carrier whose permit or certificate is canceled for failure to 
 28.11  comply with sections 221.141 and 221.296 relating to bonds and 
 28.12  insurance may ask the board commissioner to review the 
 28.13  cancellation.  Upon review, the board commissioner shall rescind 
 28.14  the cancellation if:  (1) the motor carrier presents evidence 
 28.15  showing that before the effective date of the notice of 
 28.16  cancellation issued under subdivision 5, the motor carrier had 
 28.17  obtained and paid for the insurance required by sections 221.141 
 28.18  and 221.296, and the rules of the commissioner, and (2) the 
 28.19  commissioner informs the board is satisfied that the motor 
 28.20  carrier has complied with the requirements of sections 221.141 
 28.21  and 221.296 and the rules of the commissioner. 
 28.22     Sec. 51.  Minnesota Statutes 2000, section 222.631, 
 28.23  subdivision 1, is amended to read: 
 28.24     Subdivision 1.  [TERMS.] For purposes of sections 
 28.25  222.631 to 222.633 and 222.632, the following terms have the 
 28.26  meanings given them. 
 28.27     Sec. 52.  Minnesota Statutes 2000, section 260B.171, 
 28.28  subdivision 5, is amended to read: 
 28.29     Subd. 5.  [PEACE OFFICER RECORDS OF CHILDREN.] (a) Except 
 28.30  for records relating to an offense where proceedings are public 
 28.31  under section 260B.163, subdivision 1, peace officers' records 
 28.32  of children who are or may be delinquent or who may be engaged 
 28.33  in criminal acts shall be kept separate from records of persons 
 28.34  18 years of age or older and are private data but shall be 
 28.35  disseminated:  (1) by order of the juvenile court, (2) as 
 28.36  required by section 121A.28, (3) as authorized under section 
 29.1   13.82, subdivision 2, (4) to the child or the child's parent or 
 29.2   guardian unless disclosure of a record would interfere with an 
 29.3   ongoing investigation, (5) to the Minnesota crime victims 
 29.4   reparations board as required by section 611A.56, subdivision 2, 
 29.5   clause (f), for the purpose of processing claims for crime 
 29.6   victims reparations, or (6) as otherwise provided in this 
 29.7   subdivision.  Except as provided in paragraph (c), no 
 29.8   photographs of a child taken into custody may be taken without 
 29.9   the consent of the juvenile court unless the child is alleged to 
 29.10  have violated section 169A.20.  Peace officers' records 
 29.11  containing data about children who are victims of crimes or 
 29.12  witnesses to crimes must be administered consistent with section 
 29.13  13.82, subdivisions 2, 3, 4 6, and 10 17.  Any person violating 
 29.14  any of the provisions of this subdivision shall be guilty of a 
 29.15  misdemeanor. 
 29.16     In the case of computerized records maintained about 
 29.17  juveniles by peace officers, the requirement of this subdivision 
 29.18  that records about juveniles must be kept separate from adult 
 29.19  records does not mean that a law enforcement agency must keep 
 29.20  its records concerning juveniles on a separate computer system.  
 29.21  Law enforcement agencies may keep juvenile records on the same 
 29.22  computer as adult records and may use a common index to access 
 29.23  both juvenile and adult records so long as the agency has in 
 29.24  place procedures that keep juvenile records in a separate place 
 29.25  in computer storage and that comply with the special data 
 29.26  retention and other requirements associated with protecting data 
 29.27  on juveniles. 
 29.28     (b) Nothing in this subdivision prohibits the exchange of 
 29.29  information by law enforcement agencies if the exchanged 
 29.30  information is pertinent and necessary for law enforcement 
 29.31  purposes. 
 29.32     (c) A photograph may be taken of a child taken into custody 
 29.33  pursuant to section 260B.175, subdivision 1, clause (b), 
 29.34  provided that the photograph must be destroyed when the child 
 29.35  reaches the age of 19 years.  The commissioner of corrections 
 29.36  may photograph juveniles whose legal custody is transferred to 
 30.1   the commissioner.  Photographs of juveniles authorized by this 
 30.2   paragraph may be used only for institution management purposes, 
 30.3   case supervision by parole agents, and to assist law enforcement 
 30.4   agencies to apprehend juvenile offenders.  The commissioner 
 30.5   shall maintain photographs of juveniles in the same manner as 
 30.6   juvenile court records and names under this section. 
 30.7      (d) Traffic investigation reports are open to inspection by 
 30.8   a person who has sustained physical harm or economic loss as a 
 30.9   result of the traffic accident.  Identifying information on 
 30.10  juveniles who are parties to traffic accidents may be disclosed 
 30.11  as authorized under section 13.82, subdivision 4, and accident 
 30.12  reports required under section 169.09 may be released under 
 30.13  section 169.09, subdivision 13, unless the information would 
 30.14  identify a juvenile who was taken into custody or who is 
 30.15  suspected of committing an offense that would be a crime if 
 30.16  committed by an adult, or would associate a juvenile with the 
 30.17  offense, and the offense is not an adult court traffic offense 
 30.18  under section 260B.225. 
 30.19     (e) A law enforcement agency shall notify the principal or 
 30.20  chief administrative officer of a juvenile's school of an 
 30.21  incident occurring within the agency's jurisdiction if: 
 30.22     (1) the agency has probable cause to believe that the 
 30.23  juvenile has committed an offense that would be a crime if 
 30.24  committed as an adult, that the victim of the offense is a 
 30.25  student or staff member of the school, and that notice to the 
 30.26  school is reasonably necessary for the protection of the victim; 
 30.27  or 
 30.28     (2) the agency has probable cause to believe that the 
 30.29  juvenile has committed an offense described in subdivision 3, 
 30.30  paragraph (a), clauses (1) to (3), that would be a crime if 
 30.31  committed by an adult, regardless of whether the victim is a 
 30.32  student or staff member of the school. 
 30.33     A law enforcement agency is not required to notify the 
 30.34  school under this paragraph if the agency determines that notice 
 30.35  would jeopardize an ongoing investigation.  Notwithstanding 
 30.36  section 138.17, data from a notice received from a law 
 31.1   enforcement agency under this paragraph must be destroyed when 
 31.2   the juvenile graduates from the school or at the end of the 
 31.3   academic year when the juvenile reaches age 23, whichever date 
 31.4   is earlier.  For purposes of this paragraph, "school" means a 
 31.5   public or private elementary, middle, or secondary school. 
 31.6      (f) In any county in which the county attorney operates or 
 31.7   authorizes the operation of a juvenile prepetition or pretrial 
 31.8   diversion program, a law enforcement agency or county attorney's 
 31.9   office may provide the juvenile diversion program with data 
 31.10  concerning a juvenile who is a participant in or is being 
 31.11  considered for participation in the program. 
 31.12     (g) Upon request of a local social services agency, peace 
 31.13  officer records of children who are or may be delinquent or who 
 31.14  may be engaged in criminal acts may be disseminated to the 
 31.15  agency to promote the best interests of the subject of the data. 
 31.16     (h) Upon written request, the prosecuting authority shall 
 31.17  release investigative data collected by a law enforcement agency 
 31.18  to the victim of a criminal act or alleged criminal act or to 
 31.19  the victim's legal representative, except as otherwise provided 
 31.20  by this paragraph.  Data shall not be released if: 
 31.21     (1) the release to the individual subject of the data would 
 31.22  be prohibited under section 13.821; or 
 31.23     (2) the prosecuting authority reasonably believes: 
 31.24     (i) that the release of that data will interfere with the 
 31.25  investigation; or 
 31.26     (ii) that the request is prompted by a desire on the part 
 31.27  of the requester to engage in unlawful activities. 
 31.28     Sec. 53.  Minnesota Statutes 2001 Supplement, section 
 31.29  268.052, subdivision 1, is amended to read: 
 31.30     Subdivision 1.  [PAYMENTS.] In lieu of taxes payable on a 
 31.31  quarterly basis, the state of Minnesota or its political 
 31.32  subdivisions shall pay into the fund the amount of unemployment 
 31.33  benefits charged to its reimbursable account under section 
 31.34  268.047.  Payments in the amount of unemployment benefits 
 31.35  charged to the reimbursable account during a calendar quarter 
 31.36  shall be made on or before the last day of the month following 
 32.1   the month that the notice of unemployment benefits paid is sent 
 32.2   pursuant to section 268.047, subdivision 6 5.  Past due payments 
 32.3   in lieu of taxes shall be subject to the same interest charges 
 32.4   and collection procedures that apply to past due taxes. 
 32.5      Sec. 54.  Minnesota Statutes 2001 Supplement, section 
 32.6   270.07, subdivision 3a, is amended to read: 
 32.7      Subd. 3a.  [APPROPRIATION.] An amount sufficient for the 
 32.8   reissuance of rebate warrants authorized under this section 
 32.9   subdivision 3, paragraph (f), is appropriated to the 
 32.10  commissioner from the general fund. 
 32.11     Sec. 55.  Minnesota Statutes 2000, section 270.708, 
 32.12  subdivision 1, is amended to read: 
 32.13     Subdivision 1.  [COLLECTION OF LIABILITY.] Any money 
 32.14  realized by proceedings under this chapter, whether by seizure, 
 32.15  by surrender under section 270.70 (except pursuant to 
 32.16  subdivision 9 thereof), by sale of seized property, by sale of 
 32.17  property redeemed by the state of Minnesota (if the interest of 
 32.18  the state of Minnesota in the property was a lien arising under 
 32.19  the provisions of section 270.69), or by agreement, arrangement, 
 32.20  or any other means shall be applied as follows: 
 32.21     (a) First, against the expenses of the proceedings; then 
 32.22     (b) If the property seized and sold is subject to a tax 
 32.23  administered by the commissioner of revenue which has not been 
 32.24  paid, the amount remaining after applying clause (a) shall next 
 32.25  be applied against the tax liability (and, if the tax was not 
 32.26  previously assessed, it shall then be assessed); and 
 32.27     (c) The amount, if any, remaining after applying clauses 
 32.28  (a) and (b) shall be applied against the tax liability in 
 32.29  respect of which the levy was made or the sale was conducted. 
 32.30     Sec. 56.  Minnesota Statutes 2000, section 270B.15, is 
 32.31  amended to read: 
 32.32     270B.15 [DISCLOSURE TO LEGISLATIVE AUDITOR.] 
 32.33     Returns and return information must be disclosed to the 
 32.34  legislative auditor to the extent necessary for the legislative 
 32.35  auditor to carry out sections 3.97 to 3.98 3.979. 
 32.36     Sec. 57.  Minnesota Statutes 2001 Supplement, section 
 33.1   275.28, subdivision 1, is amended to read: 
 33.2      Subdivision 1.  [AUDITOR TO MAKE.] The county auditor shall 
 33.3   make out the tax lists according to the prescribed form, and to 
 33.4   correspond with the assessment districts.  The rate percent 
 33.5   necessary to raise the required amount of the various taxes 
 33.6   shall be calculated on the net tax capacity of property as 
 33.7   determined by the state board of equalization, but, in 
 33.8   calculating such rates, no rate shall be used resulting in a 
 33.9   fraction other than a decimal fraction, or less than a gross 
 33.10  local tax rate of .01 percent or a net local tax rate of .01 
 33.11  percent; and, in extending any tax, whenever it amounts to the 
 33.12  fractional part of a cent, it shall be made one cent.  The tax 
 33.13  lists shall also be made out to correspond with the assessment 
 33.14  books in reference to ownership and description of property, 
 33.15  with columns for the valuation and for the various items of tax 
 33.16  included in the total amount of all taxes set down opposite each 
 33.17  description.  The auditor shall enter both the state tax 
 33.18  determined under sections 275.02 and 275.025, and the local 
 33.19  taxes tax determined under sections section 275.08 and 
 33.20  275.083, on the tax lists.  The total ad valorem property tax 
 33.21  for each description of property before credits is the sum of 
 33.22  the amounts of the various local taxes that apply to the parcel 
 33.23  plus the amount of any applicable state tax.  Opposite each 
 33.24  description which has been sold for taxes, and which is subject 
 33.25  to redemption, but not redeemed, shall be placed the words "sold 
 33.26  for taxes."  The amount of all special taxes shall be entered in 
 33.27  the proper columns, but the general taxes may be shown by 
 33.28  entering the rate percent of each tax at the head of the proper 
 33.29  columns, without extending the same, in which case a schedule of 
 33.30  the rates percent of such taxes shall be made on the first page 
 33.31  of each tax list.  If the auditor fails to enter on any such 
 33.32  list before its delivery to the treasurer any tax levied, the 
 33.33  tax may be subsequently entered.  The tax lists shall be deemed 
 33.34  completed, and all taxes extended thereon, as of January 1 
 33.35  annually. 
 33.36     Sec. 58.  Minnesota Statutes 2001 Supplement, section 
 34.1   275.70, subdivision 5, is amended to read: 
 34.2      Subd. 5.  [SPECIAL LEVIES.] "Special levies" means those 
 34.3   portions of ad valorem taxes levied by a local governmental unit 
 34.4   for the following purposes or in the following manner: 
 34.5      (1) to pay the costs of the principal and interest on 
 34.6   bonded indebtedness or to reimburse for the amount of liquor 
 34.7   store revenues used to pay the principal and interest due on 
 34.8   municipal liquor store bonds in the year preceding the year for 
 34.9   which the levy limit is calculated; 
 34.10     (2) to pay the costs of principal and interest on 
 34.11  certificates of indebtedness issued for any corporate purpose 
 34.12  except for the following: 
 34.13     (i) tax anticipation or aid anticipation certificates of 
 34.14  indebtedness; 
 34.15     (ii) certificates of indebtedness issued under sections 
 34.16  298.28 and 298.282; 
 34.17     (iii) certificates of indebtedness used to fund current 
 34.18  expenses or to pay the costs of extraordinary expenditures that 
 34.19  result from a public emergency; or 
 34.20     (iv) certificates of indebtedness used to fund an 
 34.21  insufficiency in tax receipts or an insufficiency in other 
 34.22  revenue sources; 
 34.23     (3) to provide for the bonded indebtedness portion of 
 34.24  payments made to another political subdivision of the state of 
 34.25  Minnesota; 
 34.26     (4) to fund payments made to the Minnesota state armory 
 34.27  building commission under section 193.145, subdivision 2, to 
 34.28  retire the principal and interest on armory construction bonds; 
 34.29     (5) property taxes approved by voters which are levied 
 34.30  against the referendum market value as provided under section 
 34.31  275.61; 
 34.32     (6) to fund matching requirements needed to qualify for 
 34.33  federal or state grants or programs to the extent that either 
 34.34  (i) the matching requirement exceeds the matching requirement in 
 34.35  calendar year 2001, or (ii) it is a new matching requirement 
 34.36  that didn't exist prior to 2002; 
 35.1      (7) to pay the expenses reasonably and necessarily incurred 
 35.2   in preparing for or repairing the effects of natural disaster 
 35.3   including the occurrence or threat of widespread or severe 
 35.4   damage, injury, or loss of life or property resulting from 
 35.5   natural causes, in accordance with standards formulated by the 
 35.6   emergency services division of the state department of public 
 35.7   safety, as allowed by the commissioner of revenue under section 
 35.8   275.74, paragraph (b) subdivision 2; 
 35.9      (8) pay amounts required to correct an error in the levy 
 35.10  certified to the county auditor by a city or county in a levy 
 35.11  year, but only to the extent that when added to the preceding 
 35.12  year's levy it is not in excess of an applicable statutory, 
 35.13  special law or charter limitation, or the limitation imposed on 
 35.14  the governmental subdivision by sections 275.70 to 275.74 in the 
 35.15  preceding levy year; 
 35.16     (9) to pay an abatement under section 469.1815; 
 35.17     (10) to pay any costs attributable to increases in the 
 35.18  employer contribution rates under chapter 353 that are effective 
 35.19  after June 30, 2001; 
 35.20     (11) to pay the operating or maintenance costs of a county 
 35.21  jail as authorized in section 641.01 or 641.262, or of a 
 35.22  correctional facility as defined in section 241.021, subdivision 
 35.23  1, paragraph (5), to the extent that the county can demonstrate 
 35.24  to the commissioner of revenue that the amount has been included 
 35.25  in the county budget as a direct result of a rule, minimum 
 35.26  requirement, minimum standard, or directive of the department of 
 35.27  corrections, or to pay the operating or maintenance costs of a 
 35.28  regional jail as authorized in section 641.262.  For purposes of 
 35.29  this clause, a district court order is not a rule, minimum 
 35.30  requirement, minimum standard, or directive of the department of 
 35.31  corrections.  If the county utilizes this special levy, any 
 35.32  amount levied by the county in the previous levy year for the 
 35.33  purposes specified under this clause and included in the 
 35.34  county's previous year's levy limitation computed under section 
 35.35  275.71, shall be deducted from the levy limit base under section 
 35.36  275.71, subdivision 2, when determining the county's current 
 36.1   year levy limitation.  The county shall provide the necessary 
 36.2   information to the commissioner of revenue for making this 
 36.3   determination; 
 36.4      (12) to pay for operation of a lake improvement district, 
 36.5   as authorized under section 103B.555.  If the county utilizes 
 36.6   this special levy, any amount levied by the county in the 
 36.7   previous levy year for the purposes specified under this clause 
 36.8   and included in the county's previous year's levy limitation 
 36.9   computed under section 275.71 shall be deducted from the levy 
 36.10  limit base under section 275.71, subdivision 2, when determining 
 36.11  the county's current year levy limitation.  The county shall 
 36.12  provide the necessary information to the commissioner of revenue 
 36.13  for making this determination; 
 36.14     (13) to repay a state or federal loan used to fund the 
 36.15  direct or indirect required spending by the local government due 
 36.16  to a state or federal transportation project or other state or 
 36.17  federal capital project.  This authority may only be used if the 
 36.18  project is not a local government initiative; 
 36.19     (14) for counties only, to pay the costs reasonably 
 36.20  expected to be incurred in 2002 related to the redistricting of 
 36.21  election districts and establishment of election precincts under 
 36.22  sections 204B.135 and 204B.14, the notice required by section 
 36.23  204B.14, subdivision 4, and the reassignment of voters in the 
 36.24  statewide registration system, not to exceed $1 per capita, 
 36.25  provided that the county shall distribute a portion of the 
 36.26  amount levied under this clause equal to 25 cents times the 
 36.27  population of the city to all cities in the county with a 
 36.28  population of 30,000 or more; and 
 36.29     (15) to pay for court administration costs as required 
 36.30  under section 273.1398, subdivision 4b; however, for taxes 
 36.31  levied to pay for these costs in the year in which the court 
 36.32  financing is transferred to the state, the amount under this 
 36.33  section is limited to one-third of the aid reduction under 
 36.34  section 273.1398, subdivision 4a. 
 36.35     Sec. 59.  Minnesota Statutes 2001 Supplement, section 
 36.36  290A.03, subdivision 13, is amended to read: 
 37.1      Subd. 13.  [PROPERTY TAXES PAYABLE.] "Property taxes 
 37.2   payable" means the property tax exclusive of special 
 37.3   assessments, penalties, and interest payable on a claimant's 
 37.4   homestead after deductions made under sections 273.135, 273.1382 
 37.5   273.1384, 273.1391, 273.42, subdivision 2, and any other state 
 37.6   paid property tax credits in any calendar year, and after any 
 37.7   refund claimed and allowable under section 290A.04, subdivision 
 37.8   2h, that is first payable in the year that the property tax is 
 37.9   payable.  In the case of a claimant who makes ground lease 
 37.10  payments, "property taxes payable" includes the amount of the 
 37.11  payments directly attributable to the property taxes assessed 
 37.12  against the parcel on which the house is located.  No 
 37.13  apportionment or reduction of the "property taxes payable" shall 
 37.14  be required for the use of a portion of the claimant's homestead 
 37.15  for a business purpose if the claimant does not deduct any 
 37.16  business depreciation expenses for the use of a portion of the 
 37.17  homestead in the determination of federal adjusted gross 
 37.18  income.  For homesteads which are manufactured homes as defined 
 37.19  in section 273.125, subdivision 8, and for homesteads which are 
 37.20  park trailers taxed as manufactured homes under section 168.012, 
 37.21  subdivision 9, "property taxes payable" shall also include 19 
 37.22  percent of the gross rent paid in the preceding year for the 
 37.23  site on which the homestead is located.  When a homestead is 
 37.24  owned by two or more persons as joint tenants or tenants in 
 37.25  common, such tenants shall determine between them which tenant 
 37.26  may claim the property taxes payable on the homestead.  If they 
 37.27  are unable to agree, the matter shall be referred to the 
 37.28  commissioner of revenue whose decision shall be final.  Property 
 37.29  taxes are considered payable in the year prescribed by law for 
 37.30  payment of the taxes. 
 37.31     In the case of a claim relating to "property taxes 
 37.32  payable," the claimant must have owned and occupied the 
 37.33  homestead on January 2 of the year in which the tax is payable 
 37.34  and (i) the property must have been classified as homestead 
 37.35  property pursuant to section 273.124, on or before December 15 
 37.36  of the assessment year to which the "property taxes payable" 
 38.1   relate; or (ii) the claimant must provide documentation from the 
 38.2   local assessor that application for homestead classification has 
 38.3   been made on or before December 15 of the year in which the 
 38.4   "property taxes payable" were payable and that the assessor has 
 38.5   approved the application. 
 38.6      Sec. 60.  Minnesota Statutes 2001 Supplement, section 
 38.7   297A.668, subdivision 3, is amended to read: 
 38.8      Subd. 3.  [DEFINITION OF TERMS.] For purposes of this 
 38.9   section, the terms "receive" and "receipt" mean taking 
 38.10  possession of tangible personal property, making first use of 
 38.11  services, or taking possession of or making first use of digital 
 38.12  goods, whichever occurs first.  The terms receive and receipt do 
 38.13  not include possession by a carrier for hire on behalf of the 
 38.14  purchaser. 
 38.15     Sec. 61.  Minnesota Statutes 2000, section 297B.035, 
 38.16  subdivision 3, is amended to read: 
 38.17     Subd. 3.  [SALE IN VIOLATION OF LICENSING REQUIREMENT.] 
 38.18  Motor vehicles sold by a new motor vehicle dealer in 
 38.19  contravention of section 168.27, subdivision 10, paragraph (a), 
 38.20  clause (1)(ii), shall not be considered to have been acquired or 
 38.21  purchased for resale in the ordinary or regular course of 
 38.22  business for the purposes of this chapter, and the dealer shall 
 38.23  be required to pay the excise tax due on the purchase of those 
 38.24  vehicles.  The sale by a lessor of a new motor vehicle under 
 38.25  lease within 120 days of the commencement of the lease is deemed 
 38.26  a sale in contravention of section 168.27, subdivision 10, 
 38.27  paragraph (a), clause (1)(ii), unless the lessor holds a valid 
 38.28  contract or franchise with the manufacturer or distributor of 
 38.29  the vehicle.  Notwithstanding section 297B.11, the rights of a 
 38.30  dealer to appeal any amounts owed by the dealer under this 
 38.31  subdivision are governed exclusively by the hearing procedure 
 38.32  under section 168.27, subdivision 13. 
 38.33     Sec. 62.  Minnesota Statutes 2000, section 297I.05, 
 38.34  subdivision 12, is amended to read: 
 38.35     Subd. 12.  [OTHER ENTITIES.] (a) A tax is imposed equal to 
 38.36  two percent of: 
 39.1      (1) gross premiums less return premiums written for risks 
 39.2   resident or located in Minnesota by a risk retention group; 
 39.3      (2) gross premiums less return premiums received by an 
 39.4   attorney in fact acting in accordance with chapter 71A; 
 39.5      (3) gross premiums less return premiums received pursuant 
 39.6   to assigned risk policies and contracts of coverage under 
 39.7   chapter 79; 
 39.8      (4) the direct funded premium received by the reinsurance 
 39.9   association under section 79.34 from self-insurers approved 
 39.10  under section 176.181 and political subdivisions that 
 39.11  self-insure; 
 39.12     (5) gross premiums less return premiums received by a 
 39.13  nonprofit health service plan corporation authorized under 
 39.14  chapter 62C; and 
 39.15     (6) gross premiums less return premiums paid to an insurer 
 39.16  other than a licensed insurance company or a surplus lines 
 39.17  licensee for coverage of risks resident or located in Minnesota 
 39.18  by a purchasing group or any members of the purchasing group to 
 39.19  a broker or agent for the purchasing group. 
 39.20     (b) A tax is imposed on the state fund mutual insurance 
 39.21  company established under chapter 176A.  The tax must be 
 39.22  computed in the same manner as mutual insurance companies under 
 39.23  subdivisions 1, 3, and 4. 
 39.24     (c) A tax is imposed on a joint self-insurance plan 
 39.25  operating under chapter 60F.  The rate of tax is equal to two 
 39.26  percent of the total amount of claims paid during the fund year, 
 39.27  with no deduction for claims wholly or partially reimbursed 
 39.28  through stop-loss insurance. 
 39.29     (d) (c) A tax is imposed on a joint self-insurance plan 
 39.30  operating under chapter 62H.  The rate of tax is equal to two 
 39.31  percent of the total amount of claims paid during the fund's 
 39.32  fiscal year, with no deduction for claims wholly or partially 
 39.33  reimbursed through stop-loss insurance. 
 39.34     (e) (d) A tax is imposed equal to the tax imposed under 
 39.35  section 297I.05, subdivision 5, on the gross premiums less 
 39.36  return premiums on all coverages received by an accountable 
 40.1   provider network or agents of an accountable provider network in 
 40.2   Minnesota, in cash or otherwise, during the year. 
 40.3      Sec. 63.  Minnesota Statutes 2000, section 297I.30, 
 40.4   subdivision 1, is amended to read: 
 40.5      Subdivision 1.  [GENERAL RULE.] On or before March 1, every 
 40.6   insurer subject to taxation under section 297I.05, subdivisions 
 40.7   1 to 6, and 12, paragraphs (a), clauses (1) to (5), and (b), and 
 40.8   (e), shall file an annual return for the preceding calendar year 
 40.9   setting forth such information as the commissioner may 
 40.10  reasonably require on forms prescribed by the commissioner. 
 40.11     Sec. 64.  Minnesota Statutes 2000, section 297I.30, 
 40.12  subdivision 5, is amended to read: 
 40.13     Subd. 5.  [JOINT SELF-INSURANCE PLANS.] On or before 60 
 40.14  days following the conclusion of their fiscal year, a plan 
 40.15  subject to tax under section 297I.05, subdivision 12, paragraph 
 40.16  (c) (b) or (d) (c), shall file a return with the commissioner 
 40.17  for the preceding fiscal year setting forth any information the 
 40.18  commissioner reasonably requires on forms prescribed by the 
 40.19  commissioner. 
 40.20     Sec. 65.  Minnesota Statutes 2000, section 299F.11, 
 40.21  subdivision 2, is amended to read: 
 40.22     Subd. 2.  [AUCTION FOR SALVAGE MATERIAL.] In all cases 
 40.23  where the order of the court has not been complied with and the 
 40.24  state fire marshal is authorized to proceed with the demolition 
 40.25  of any building or structure, the state fire marshal shall sell 
 40.26  and dispose of the salvage materials therefrom at public auction 
 40.27  upon three days' posted notice and all expenses incurred by the 
 40.28  state fire marshal shall be paid out of the moneys received from 
 40.29  the auction of salvage material, and any deficit remaining 
 40.30  unpaid thereafter may be paid out of the funds created by and 
 40.31  provided for in section 299F.21.  Should any surplus remain of 
 40.32  the amount received for salvage material, after deducting the 
 40.33  expenses incurred by the state fire marshal, this surplus shall 
 40.34  be paid to the treasurer of the county where the property was 
 40.35  situated to be distributed by the treasurer as provided by law. 
 40.36     Sec. 66.  Minnesota Statutes 2001 Supplement, section 
 41.1   336.9-334, is amended to read: 
 41.2      336.9-334 [PRIORITY OF SECURITY INTERESTS IN FIXTURES AND 
 41.3   CROPS.] 
 41.4      (a)  [SECURITY INTEREST IN FIXTURES UNDER THIS ARTICLE.] A 
 41.5   security interest under this article may be created in goods 
 41.6   that are fixtures or may continue in goods that become 
 41.7   fixtures.  A security interest does not exist under this article 
 41.8   in ordinary building materials incorporated into an improvement 
 41.9   on land. 
 41.10     (b)  [SECURITY INTEREST IN FIXTURES UNDER REAL PROPERTY 
 41.11  LAW.] This article does not prevent creation of an encumbrance 
 41.12  upon fixtures under real property law. 
 41.13     (c)  [GENERAL RULE:  SUBORDINATION OF SECURITY INTEREST IN 
 41.14  FIXTURES.] In cases not governed by subsections (d) through (h), 
 41.15  a security interest in fixtures is subordinate to a conflicting 
 41.16  interest of an encumbrancer or owner of the related real 
 41.17  property other than the debtor. 
 41.18     (d)  [FIXTURES PURCHASE-MONEY PRIORITY.] Except as 
 41.19  otherwise provided in subsection (h), a perfected security 
 41.20  interest in fixtures has priority over a conflicting interest of 
 41.21  an encumbrancer or owner of the real property if the debtor has 
 41.22  an interest of record in or is in possession of the real 
 41.23  property and: 
 41.24     (1) the security interest is a purchase-money security 
 41.25  interest; 
 41.26     (2) the interest of the encumbrancer or owner arises before 
 41.27  the goods become fixtures; and 
 41.28     (3) the security interest is perfected by a fixture filing 
 41.29  before the goods become fixtures or within 20 days thereafter. 
 41.30     (e)  [PRIORITY OF SECURITY INTEREST IN FIXTURES OVER 
 41.31  INTERESTS IN REAL PROPERTY.] A perfected security interest in 
 41.32  fixtures has priority over a conflicting interest of an 
 41.33  encumbrancer or owner of the real property if: 
 41.34     (1) the debtor has an interest of record in the real 
 41.35  property or is in possession of the real property and the 
 41.36  security interest: 
 42.1      (A) is perfected by a fixture filing before the interest of 
 42.2   the encumbrancer or owner is of record; and 
 42.3      (B) has priority over any conflicting interest of a 
 42.4   predecessor in title of the encumbrancer or owner; 
 42.5      (2) before the goods become fixtures, the security interest 
 42.6   is perfected by any method permitted by this article and the 
 42.7   fixtures are readily removable: 
 42.8      (A) factory or office machines; 
 42.9      (B) equipment that is not primarily used or leased for use 
 42.10  in the operation of the real property; or 
 42.11     (C) replacements of domestic appliances that are consumer 
 42.12  goods; 
 42.13     (3) the conflicting interest is a lien on the real property 
 42.14  obtained by legal or equitable proceedings after the security 
 42.15  interest was perfected by any method permitted by this article; 
 42.16  or 
 42.17     (4) the security interest is: 
 42.18     (A) created in a manufactured home in a manufactured home 
 42.19  transaction; and 
 42.20     (B) perfected pursuant to a statute described in section 
 42.21  336.9-311(a)(2). 
 42.22     (f)  [PRIORITY BASED ON CONSENT, DISCLAIMER, OR RIGHT TO 
 42.23  REMOVE.] A security interest in fixtures, whether or not 
 42.24  perfected, has priority over a conflicting interest of an 
 42.25  encumbrancer or owner of the real property if: 
 42.26     (1) the encumbrancer or owner has, in an authenticated 
 42.27  record, consented to the security interest or disclaimed an 
 42.28  interest in the goods as fixtures; or 
 42.29     (2) the debtor has a right to remove the goods as against 
 42.30  the encumbrancer or owner. 
 42.31     (g)  [CONTINUATION OF PARAGRAPH (F)(2) PRIORITY.] The 
 42.32  priority of the security interest under paragraph (f)(2) 
 42.33  continues for a reasonable time if the debtor's right to remove 
 42.34  the goods as against the encumbrancer or owner terminates. 
 42.35     (h)  [PRIORITY OF CONSTRUCTION MORTGAGE.] A mortgage is a 
 42.36  construction mortgage to the extent that it secures an 
 43.1   obligation incurred for the construction of an improvement on 
 43.2   land, including the acquisition cost of the land, if a recorded 
 43.3   record of the mortgage so indicates.  Except as otherwise 
 43.4   provided in subsections (e) and (f), a security interest in 
 43.5   fixtures is subordinate to a construction mortgage if a record 
 43.6   of the mortgage is recorded before the goods become fixtures and 
 43.7   the goods become fixtures before the completion of the 
 43.8   construction.  A mortgage has this priority to the same extent 
 43.9   as a construction mortgage to the extent that it is given to 
 43.10  refinance a construction mortgage. 
 43.11     (i)  [PRIORITY OF SECURITY INTEREST IN CROPS.] A perfected 
 43.12  security interest in crops growing on real property has priority 
 43.13  over a conflicting interest of an encumbrancer or owner of the 
 43.14  real property except a perfected landlord's lien if the debtor 
 43.15  has an interest of record in or is in possession of the real 
 43.16  property. 
 43.17     (j)  [SUBSECTION (I) PREVAILS.] Subsection (i) prevails 
 43.18  over any inconsistent provisions of the following statutes: 
 43.19     (1) section 557.12; and 
 43.20     (2) section 559.2091. 
 43.21     Sec. 67.  Minnesota Statutes 2000, section 349.163, 
 43.22  subdivision 6, is amended to read: 
 43.23     Subd. 6.  [SAMPLES OF GAMBLING EQUIPMENT.] The board shall 
 43.24  require each licensed manufacturer to submit to the board one or 
 43.25  more samples of each item of gambling equipment the manufacturer 
 43.26  manufactures for use or resale in this state.  The board shall 
 43.27  inspect and test all the equipment it deems necessary to 
 43.28  determine the equipment's compliance with law and board rules.  
 43.29  Samples required under this subdivision must be approved by the 
 43.30  board before the equipment being sampled is shipped into or sold 
 43.31  for use or resale in this state.  The board may request the 
 43.32  assistance of the commissioner of public safety and the director 
 43.33  of the state lottery board in performing the tests. 
 43.34     Sec. 68.  Minnesota Statutes 2000, section 349A.10, 
 43.35  subdivision 5, is amended to read: 
 43.36     Subd. 5.  [DEPOSIT OF NET PROCEEDS.] Within 30 days after 
 44.1   the end of each month, the director shall deposit in the state 
 44.2   treasury the net proceeds of the lottery, which is the balance 
 44.3   in the lottery fund after transfers to the lottery prize fund 
 44.4   and credits to the lottery operations account.  Of the net 
 44.5   proceeds, 40 percent must be credited to the Minnesota 
 44.6   environment and natural resources trust fund, and during any 
 44.7   period in which bonds are issued and outstanding under section 
 44.8   16A.67, the remainder must be credited to the special revenue 
 44.9   fund created in section 16A.67, subdivision 3, provided that if 
 44.10  bonds are not issued and outstanding under section 16A.67, such 
 44.11  remainder must be credited to the general fund.  Money credited 
 44.12  to the special revenue fund must be transferred to the debt 
 44.13  service fund established in section 16A.67, subdivision 4, at 
 44.14  the times and in the amounts determined by the commissioner of 
 44.15  finance to be necessary to provide for the payment and security 
 44.16  of bonds issued pursuant to section 16A.67.  On or before the 
 44.17  tenth day of each month, any money in the special revenue fund 
 44.18  not required to be transferred to the debt service fund must be 
 44.19  transferred to the general fund. 
 44.20     Sec. 69.  Minnesota Statutes 2000, section 352D.02, 
 44.21  subdivision 1, is amended to read: 
 44.22     Subdivision 1.  [COVERAGE.] (a) Employees enumerated in 
 44.23  paragraph (c), clauses (2), (3), (4), and (6) to (14), if they 
 44.24  are in the unclassified service of the state or metropolitan 
 44.25  council and are eligible for coverage under the general state 
 44.26  employees retirement plan under chapter 352, are participants in 
 44.27  the unclassified plan under this chapter unless the employee 
 44.28  gives notice to the executive director of the Minnesota state 
 44.29  retirement system within one year following the commencement of 
 44.30  employment in the unclassified service that the employee desires 
 44.31  coverage under the general state employees retirement plan.  For 
 44.32  the purposes of this chapter, an employee who does not file 
 44.33  notice with the executive director is deemed to have exercised 
 44.34  the option to participate in the unclassified plan. 
 44.35     (b) Persons referenced in paragraph (c), clauses (1) and 
 44.36  (5), are participants in the unclassified program under this 
 45.1   chapter unless the person is eligible to elect different 
 45.2   coverage under section 3A.07 or 352C.011 and, after July 1, 
 45.3   1998, elects retirement coverage by the applicable alternative 
 45.4   retirement plan.  Persons referenced in paragraph (c), clause 
 45.5   (15), are participants in the unclassified program under this 
 45.6   chapter for judicial employment in excess of the service credit 
 45.7   limit in section 490.121, subdivision 22. 
 45.8      (c) Enumerated employees and referenced persons are: 
 45.9      (1) the governor, the lieutenant governor, the secretary of 
 45.10  state, the state auditor, the state treasurer, and the attorney 
 45.11  general; 
 45.12     (2) an employee in the office of the governor, lieutenant 
 45.13  governor, secretary of state, state auditor, state treasurer, 
 45.14  attorney general; 
 45.15     (3) an employee of the state board of investment; 
 45.16     (4) the head of a department, division, or agency created 
 45.17  by statute in the unclassified service, an acting department 
 45.18  head subsequently appointed to the position, or an employee 
 45.19  enumerated in section 15A.0815 or 15A.083, subdivision 4; 
 45.20     (5) a member of the legislature; 
 45.21     (6) a full-time unclassified employee of the legislature or 
 45.22  a commission or agency of the legislature who is appointed 
 45.23  without a limit on the duration of the employment or a temporary 
 45.24  legislative employee having shares in the supplemental 
 45.25  retirement fund as a result of former employment covered by this 
 45.26  chapter, whether or not eligible for coverage under the 
 45.27  Minnesota state retirement system; 
 45.28     (7) a person who is employed in a position established 
 45.29  under section 43A.08, subdivision 1, clause (3), or in a 
 45.30  position authorized under a statute creating or establishing a 
 45.31  department or agency of the state, which is at the deputy or 
 45.32  assistant head of department or agency or director level; 
 45.33     (8) the regional administrator, or executive director of 
 45.34  the metropolitan council, general counsel, division directors, 
 45.35  operations managers, and other positions as designated by the 
 45.36  council, all of which may not exceed 27 positions at the council 
 46.1   and the chair; 
 46.2      (9) the executive director, associate executive director, 
 46.3   and not to exceed nine positions of the higher education 
 46.4   services office in the unclassified service, as designated by 
 46.5   the higher education services office before January 1, 1992, or 
 46.6   subsequently redesignated with the approval of the board of 
 46.7   directors of the Minnesota state retirement system, unless the 
 46.8   person has elected coverage by the individual retirement account 
 46.9   plan under chapter 354B; 
 46.10     (10) the clerk of the appellate courts appointed under 
 46.11  article VI, section 2, of the Constitution of the state of 
 46.12  Minnesota; 
 46.13     (11) the chief executive officers of correctional 
 46.14  facilities operated by the department of corrections and of 
 46.15  hospitals and nursing homes operated by the department of human 
 46.16  services; 
 46.17     (12) an employee whose principal employment is at the state 
 46.18  ceremonial house; 
 46.19     (13) an employee of the Minnesota educational computing 
 46.20  corporation; 
 46.21     (14) an employee of the state lottery board who is covered 
 46.22  by the managerial plan established under section 43A.18, 
 46.23  subdivision 3; and 
 46.24     (15) a judge who has exceeded the service credit limit in 
 46.25  section 490.121, subdivision 22. 
 46.26     Sec. 70.  Minnesota Statutes 2001 Supplement, section 
 46.27  356.62, is amended to read: 
 46.28     356.62 [PAYMENT OF EMPLOYEE CONTRIBUTION.] 
 46.29     For purposes of any public pension plan, as defined in 
 46.30  section 365.615 356.615, paragraph (b), each employer shall pick 
 46.31  up the employee contributions required pursuant to law or the 
 46.32  pension plan for all salary payable after December 31, 1982.  If 
 46.33  the United States Treasury department rules that pursuant to 
 46.34  section 414(h) of the Internal Revenue Code of 1986, as amended 
 46.35  through December 31, 1992, that these picked up contributions 
 46.36  are not includable in the employee's adjusted gross income until 
 47.1   they are distributed or made available, then these picked up 
 47.2   contributions shall be treated as employer contributions in 
 47.3   determining tax treatment pursuant to the Internal Revenue Code 
 47.4   of 1986, as amended through December 31, 1992, and the employer 
 47.5   shall discontinue withholding federal income taxes on the amount 
 47.6   of these contributions.  The employer shall pay these picked up 
 47.7   contributions from the same source of funds as is used to pay 
 47.8   the salary of the employee.  The employer shall pick up these 
 47.9   employee contributions by a reduction in the cash salary of the 
 47.10  employee. 
 47.11     Employee contributions that are picked up shall be treated 
 47.12  for all purposes of the public pension plan in the same manner 
 47.13  and to the same extent as employee contributions that were made 
 47.14  prior to the date on which the employee contributions pick up 
 47.15  began.  The amount of the employee contributions that are picked 
 47.16  up shall be included in the salary upon which retirement 
 47.17  coverage is credited and retirement and survivor's benefits are 
 47.18  determined.  For purposes of this section, "employee" means any 
 47.19  person covered by a public pension plan.  For purposes of this 
 47.20  section, "employee contributions" include any sums deducted from 
 47.21  the employee's salary or wages or otherwise paid in lieu 
 47.22  thereof, regardless of whether they are denominated 
 47.23  contributions by the public pension plan. 
 47.24     For any calendar year in which withholding has been reduced 
 47.25  pursuant to this section, the employing unit shall supply each 
 47.26  employee and the commissioner of revenue with an information 
 47.27  return indicating the amount of the employer's picked-up 
 47.28  contributions for the calendar year that were not subject to 
 47.29  withholding.  This return shall be provided to the employee not 
 47.30  later than January 31 of the succeeding calendar year.  The 
 47.31  commissioner of revenue shall prescribe the form of the return 
 47.32  and the provisions of section 289A.12 shall apply to the extent 
 47.33  not inconsistent with the provisions of this section. 
 47.34     Sec. 71.  Minnesota Statutes 2001 Supplement, section 
 47.35  376.08, subdivision 2, is amended to read: 
 47.36     Subd. 2.  [HOSPITAL REMODELING OR ADDITIONS; FINANCING.] A 
 48.1   county hospital may by majority vote of its board of 
 48.2   commissioners, or if the hospital has been leased to another 
 48.3   entity under section 376.06, subdivision 1, or 447.47, by 
 48.4   majority vote of the board of directors of that entity, enter 
 48.5   into projects for the construction of an addition or remodeling 
 48.6   to its presently existing facility or the acquisition of 
 48.7   equipment as described in this subdivision without complying 
 48.8   with the dollar limitation of subdivision 1 or the election 
 48.9   requirements of section 376.03.  This subdivision applies to 
 48.10  projects in which the funds for the project are derived from 
 48.11  dedicated, restricted, or other designated accounts, from the 
 48.12  hospital's depreciation fund, or from the issuance of bonds 
 48.13  authorized under other law.  An addition to a current hospital 
 48.14  under this subdivision may include construction of buildings 
 48.15  physically separate from the present hospital building, as well 
 48.16  as additions to the present building, if the new buildings are 
 48.17  constructed on the hospital's existing premises. 
 48.18     This subdivision does not affect the ability of the 
 48.19  hospital board to approve funds for improvements or remodeling 
 48.20  of a hospital facility under other law. 
 48.21     Sec. 72.  Minnesota Statutes 2000, section 383C.19, is 
 48.22  amended to read: 
 48.23     383C.19 [EMERGENCY JOBS PROGRAM.] 
 48.24     St. Louis county may establish an emergency employment 
 48.25  program to meet the needs of its unemployed residents.  The 
 48.26  county board of commissioners shall establish rules governing 
 48.27  the operation of the employment program.  Rules shall include 
 48.28  but not be limited to number of hours worked, wages, benefits, 
 48.29  and methods and terms of payment.  Limits imposed by civil 
 48.30  service rules shall not apply to an emergency jobs program 
 48.31  established under the authority of this section.  Service in a 
 48.32  St. Louis county emergency jobs program shall not constitute 
 48.33  employment under chapter 268 but shall come within the exclusion 
 48.34  established in section 268.04 268.035, subdivision 12 20, clause 
 48.35  (10)(d), and St. Louis county shall not be liable for 
 48.36  contributions to the unemployment insurance program trust fund 
 49.1   for participants of an emergency jobs program. 
 49.2      Sec. 73.  Minnesota Statutes 2000, section 401.05, 
 49.3   subdivision 3, is amended to read: 
 49.4      Subd. 3.  [LEASING.] (a) A county or joint powers board of 
 49.5   a group of counties which acquires or constructs and equips or 
 49.6   improves facilities under this chapter may, with the approval of 
 49.7   the board of county commissioners of each county, enter into a 
 49.8   lease agreement with a city situated within any of the counties, 
 49.9   or a county housing and redevelopment authority established 
 49.10  under chapter 469 or any special law.  Under the lease 
 49.11  agreement, the city or county housing and redevelopment 
 49.12  authority shall: 
 49.13     (1) construct or acquire and equip or improve a facility in 
 49.14  accordance with plans prepared by or at the request of a county 
 49.15  or joint powers board of the group of counties and approved by 
 49.16  the commissioner of corrections; and 
 49.17     (2) finance the facility by the issuance of revenue bonds. 
 49.18     (b) The county or joint powers board of a group of counties 
 49.19  may lease the facility site, improvements, and equipment for a 
 49.20  term upon rental sufficient to produce revenue for the prompt 
 49.21  payment of the revenue bonds and all interest accruing on them.  
 49.22  Upon completion of payment, the lessee shall acquire title.  The 
 49.23  real and personal property acquired for the facility constitutes 
 49.24  a project and the lease agreement constitutes a revenue 
 49.25  agreement as provided in sections 469.152 to 469.165.  All 
 49.26  proceedings by the city or county housing and redevelopment 
 49.27  authority and the county or joint powers board shall be as 
 49.28  provided in sections 469.152 to 469.165, with the following 
 49.29  adjustments: 
 49.30     (1) no tax may be imposed upon the property; 
 49.31     (2) the approval of the project by the commissioner of 
 49.32  trade and economic development is not required; 
 49.33     (3) the department of corrections shall be furnished and 
 49.34  shall record information concerning each project as it may 
 49.35  prescribe, in lieu of reports required on other projects to the 
 49.36  commissioner of trade and economic development or the energy and 
 50.1   economic development authority; 
 50.2      (4) the rentals required to be paid under the lease 
 50.3   agreement shall not exceed in any year one-tenth of one percent 
 50.4   of the market value of property within the county or group of 
 50.5   counties as last equalized before the execution of the lease 
 50.6   agreement; 
 50.7      (5) the county or group of counties shall provide for 
 50.8   payment of all rentals due during the term of the lease 
 50.9   agreement in the manner required in subdivision 4; 
 50.10     (6) no mortgage on the facilities shall be granted for the 
 50.11  security of the bonds, but compliance with clause (5) may be 
 50.12  enforced as a nondiscretionary duty of the county or group of 
 50.13  counties; and 
 50.14     (7) the county or the joint powers board of the group of 
 50.15  counties may sublease any part of the facilities for purposes 
 50.16  consistent with their maintenance and operation. 
 50.17     Sec. 74.  Minnesota Statutes 2000, section 437.08, is 
 50.18  amended to read: 
 50.19     437.08 [LICENSES OR PERMITS VOID.] 
 50.20     Any license, permit, or other grant of authority issued or 
 50.21  made in violation of the provisions of sections 437.07 to 437.11 
 50.22  437.10 shall be absolutely null and void. 
 50.23     Sec. 75.  Minnesota Statutes 2000, section 437.09, is 
 50.24  amended to read: 
 50.25     437.09 [SHOWS PROHIBITED WITHOUT LICENSE.] 
 50.26     No person, firm, copartnership, corporation, or association 
 50.27  of any nature or kind shall operate or attempt to operate or 
 50.28  carry on any itinerant carnival, street show, street fair, 
 50.29  sideshow, circus, or any similar enterprise within one mile of 
 50.30  the corporate limits of any city of the fourth class in this 
 50.31  state without license or permit so to do lawfully granted under 
 50.32  the restrictions provided in sections 437.07 to 437.11 437.10.  
 50.33     Any person violating any of the provisions of this section 
 50.34  shall be guilty of a misdemeanor; and any such enterprise 
 50.35  operated without license or permit as herein prescribed is 
 50.36  hereby declared to be a public nuisance. 
 51.1      Sec. 76.  Minnesota Statutes 2000, section 437.10, is 
 51.2   amended to read: 
 51.3      437.10 [DEFINITION.] 
 51.4      An itinerant carnival, street show, street fair, sideshow, 
 51.5   circus, or other similar enterprise, within the meaning of 
 51.6   sections 437.07 to 437.11 437.10, is any itinerant carnival, 
 51.7   street show, street fair, sideshow, circus, or other similar 
 51.8   enterprise, which is held, operated, or carried on in the open 
 51.9   or indoors or upon or within any public or private ground, at 
 51.10  which there congregates and assembles, with or without the 
 51.11  payment of an admission fee, a promiscuous gathering of people 
 51.12  as spectators or otherwise. 
 51.13     Sec. 77.  Minnesota Statutes 2000, section 458D.02, 
 51.14  subdivision 2, is amended to read: 
 51.15     Subd. 2.  [WESTERN LAKE SUPERIOR SANITARY DISTRICT.] 
 51.16  "Western Lake Superior Sanitary District" and "district" mean 
 51.17  the area over which the sanitary sewer board has jurisdiction 
 51.18  which shall include the area now comprised of the city of 
 51.19  Cloquet, the cities of Carlton, Scanlon, Thomson and Wrenshall, 
 51.20  and the townships of Knife Falls, Silver Brook, Thomson, and 
 51.21  Twin Lakes in the county of Carlton; the city of Duluth, the 
 51.22  city of Proctor, and the townships of Canosia, Duluth, Grand 
 51.23  Lake, Herman, Lakewood, Midway, Rice Lake and Solway in the 
 51.24  county of St. Louis; other territory included in the district 
 51.25  pursuant to section 458D.22; and any waters of the state 
 51.26  adjacent thereto. 
 51.27     Sec. 78.  Minnesota Statutes 2000, section 458D.02, 
 51.28  subdivision 3, is amended to read: 
 51.29     Subd. 3.  [SANITARY SEWER BOARD.] "Sanitary sewer board" or 
 51.30  "board" means the sanitary sewer board established for the 
 51.31  Western Lake Superior Sanitary District as provided in section 
 51.32  458D.03. 
 51.33     Sec. 79.  Minnesota Statutes 2000, section 458D.23, is 
 51.34  amended to read: 
 51.35     458D.23 [PROPERTY EXEMPT FROM TAXATION.] 
 51.36     Any properties, real or personal, owned, leased, 
 52.1   controlled, used, or occupied by the sanitary sewer board for 
 52.2   any purpose under sections 458D.01 to 458D.24 are declared to be 
 52.3   acquired, owned, leased, controlled, used and occupied for 
 52.4   public, governmental, and municipal purposes, and shall be 
 52.5   exempt from taxation by the state or any political subdivision 
 52.6   of the state, except to the extent that the property is subject 
 52.7   to the sales and use tax under chapter 297A, provided that such 
 52.8   properties shall be subject to special assessments levied by a 
 52.9   political subdivision for a local improvement in amounts 
 52.10  proportionate to and not exceeding the special benefit received 
 52.11  by the properties from such improvement.  No possible use of any 
 52.12  such properties in any manner different from their use as part 
 52.13  of a disposal system at the time shall be considered in 
 52.14  determining the special benefit received by such properties.  
 52.15  All such assessments shall be subject to final approval by the 
 52.16  board, whose determination of the benefits shall be conclusive 
 52.17  upon the political subdivision levying the assessment.  All 
 52.18  bonds, certificates of indebtedness or other obligations of the 
 52.19  board, and the interest thereon, shall be exempt from taxation 
 52.20  by the state or any political subdivision of the state. 
 52.21     Sec. 80.  Minnesota Statutes 2000, section 469.110, 
 52.22  subdivision 2, is amended to read: 
 52.23     Subd. 2.  [AUTHORITY DEPARTMENT.] "Authority Department" 
 52.24  means the energy and department of trade and economic 
 52.25  development authority. 
 52.26     Sec. 81.  Minnesota Statutes 2000, section 469.116, 
 52.27  subdivision 7, is amended to read: 
 52.28     Subd. 7.  [INVESTMENT IN BONDS.] Subject to the approval of 
 52.29  the state agency, the bonds of a local agency may be declared 
 52.30  securities in which all public officers and bodies of the state 
 52.31  and of its municipal subdivisions, all insurance companies and 
 52.32  associations, all savings banks and savings institutions, 
 52.33  including savings associations, executors, administrators, 
 52.34  guardians, trustees, and all other fiduciaries in the state may 
 52.35  properly and legally invest the funds within their control.  
 52.36  Each mortgage or issue of bonds shall relate only to a single 
 53.1   specified project, and those bonds shall be secured by a 
 53.2   mortgage upon all the real property of which the projects 
 53.3   consist and shall be first lien bonds, secured by a mortgage not 
 53.4   exceeding 80 percent of the estimated cost prior to the 
 53.5   completion of the project, or 80 percent of the appraised value 
 53.6   or actual cost, but in no event in excess of 80 percent of the 
 53.7   actual cost, after that completion, as certified by the 
 53.8   authority department. 
 53.9      Sec. 82.  Minnesota Statutes 2000, section 469.118, 
 53.10  subdivision 1, is amended to read: 
 53.11     Subdivision 1.  [CONDITIONS FOR MAKING.] When it has been 
 53.12  determined by the authority department upon application of a 
 53.13  local agency that the establishment of a particular 
 53.14  redevelopment project in a redevelopment area has accomplished 
 53.15  or will accomplish the public purposes of sections 469.109 to 
 53.16  469.123, the authority department may contract to loan the local 
 53.17  agency an amount not in excess of 20 percent of the cost or 
 53.18  estimated cost of the redevelopment project, subject to the 
 53.19  following conditions: 
 53.20     (a) In the case of a redevelopment project to be 
 53.21  established, 
 53.22     (1) the authority department shall have first determined 
 53.23  that the local agency holds funds in an amount equal to, or 
 53.24  property of a value equal to not less than, ten percent of the 
 53.25  estimated cost of establishing the redevelopment project, which 
 53.26  funds or property are available for and shall be applied to the 
 53.27  establishment of the project.  If a public facility within the 
 53.28  redevelopment area has been or may be constructed and will 
 53.29  benefit a redevelopment project, the imputed value of the 
 53.30  benefit of the facility to the redevelopment project may be 
 53.31  determined and the estimated cost thereof credited to the local 
 53.32  agency for the purpose of satisfying the requirements of this 
 53.33  subparagraph.  For purposes of this section, a public facility 
 53.34  includes utility installations, street improvements, public 
 53.35  buildings, parks, playgrounds, schools, recreational buildings, 
 53.36  and parking facilities; 
 54.1      (2) the authority department shall have also determined 
 54.2   that the local agency has obtained from other sources, by gift, 
 54.3   grant, or loan from private or other state or federal sources, a 
 54.4   firm commitment for all other funds, over and above the loan of 
 54.5   the state agency, and such funds or property as the 
 54.6   redevelopment agency may hold, necessary for payment of all the 
 54.7   estimated cost of establishing the redevelopment project, and 
 54.8   that the sum of all these funds, together with the machinery and 
 54.9   equipment to be provided by the owner or operator of the 
 54.10  redevelopment project is adequate to ensure completion and 
 54.11  operation of the plant, enterprise, or facility. 
 54.12     (b) In the case of a redevelopment project established 
 54.13  without initial state or local agency participation, 
 54.14     (1) the state agency shall have first determined that the 
 54.15  local or area redevelopment agency has expended funds in an 
 54.16  amount equal to, or has applied property of a value equal to, 
 54.17  not less than ten percent of the cost of establishing the 
 54.18  redevelopment project.  If a public facility within the 
 54.19  redevelopment area has been or may be constructed and will 
 54.20  benefit a redevelopment project, the imputed value of the 
 54.21  benefit of the facility to the redevelopment project may be 
 54.22  determined and the estimated cost thereof credited to the local 
 54.23  agency for the purpose of satisfying the requirements of this 
 54.24  subparagraph; 
 54.25     (2) the authority department shall have also determined 
 54.26  that the local agency has obtained from other public or private 
 54.27  sources other funds necessary for payment of all the cost of 
 54.28  establishing the redevelopment project, and that the local 
 54.29  agency participation and these funds, together with the 
 54.30  machinery and equipment provided by the owner or operator of the 
 54.31  redevelopment project has been adequate to ensure completion and 
 54.32  operation of the plant, enterprise, or facility.  The proceeds 
 54.33  of any loan made by the authority department to a local agency 
 54.34  pursuant to this paragraph shall be used only for the 
 54.35  establishment of additional redevelopment projects in 
 54.36  furtherance of the public purposes of sections 469.109 to 
 55.1   469.123. 
 55.2      Sec. 83.  Minnesota Statutes 2000, section 469.118, 
 55.3   subdivision 2, is amended to read: 
 55.4      Subd. 2.  [TERMS.] Any such loan of the authority 
 55.5   department shall be for the period of time and shall bear 
 55.6   interest at the rate determined by the authority department.  It 
 55.7   may be secured by a mortgage on the redevelopment project for 
 55.8   which the loan was made.  The mortgage may be second and 
 55.9   subordinate only to the mortgage securing the first lien 
 55.10  obligation, if any, issued to secure the commitment of funds 
 55.11  from a private or public source and used in the financing of the 
 55.12  redevelopment project. 
 55.13     Sec. 84.  Minnesota Statutes 2000, section 469.118, 
 55.14  subdivision 4, is amended to read: 
 55.15     Subd. 4.  [DEPOSIT OF PAYMENTS.] All payments of interest 
 55.16  on the loans and repayments of principal shall be deposited by 
 55.17  the authority department in the Minnesota account and shall be 
 55.18  available to be applied and reapplied to carry out the purposes 
 55.19  of sections 469.109 to 469.123. 
 55.20     Sec. 85.  Minnesota Statutes 2000, section 469.119, 
 55.21  subdivision 1, is amended to read: 
 55.22     Subdivision 1.  [APPLICATION CONTENTS.] Prior to the 
 55.23  loaning of any funds for a redevelopment project in a 
 55.24  redevelopment area the local agency shall receive from the 
 55.25  applicant and, in the case of authority department 
 55.26  participation, shall forward to the state agency a loan 
 55.27  application.  The application shall be in the form adopted by 
 55.28  the local agency, and shall contain among other things the 
 55.29  following information: 
 55.30     (1) a general description of the redevelopment project and 
 55.31  of the industrial, recreational, commercial, or manufacturing 
 55.32  enterprise for which the project has been or is to be 
 55.33  established; 
 55.34     (2) a legal description of all real estate necessary for 
 55.35  the project; 
 55.36     (3) plans and other documents as may be required to show 
 56.1   the type, structure, and general character of the redevelopment 
 56.2   project; 
 56.3      (4) a general description of the type, classes, and number 
 56.4   of employees employed or to be employed in the operation of the 
 56.5   redevelopment project; and 
 56.6      (5) cost or estimates of cost of establishing the 
 56.7   redevelopment project. 
 56.8      Sec. 86.  Minnesota Statutes 2000, section 469.122, is 
 56.9   amended to read: 
 56.10     469.122 [LIMITATION OF POWERS.] 
 56.11     The state pledges to the United States or any agency 
 56.12  thereof that if any federal agency shall construct, loan, or 
 56.13  contribute any funds for the construction, extension, 
 56.14  improvement, or enlargement of any redevelopment project, or any 
 56.15  portion thereof, the state will not alter or limit the rights 
 56.16  and powers of the authority department or the local agency in 
 56.17  any manner inconsistent with the performance of any agreements 
 56.18  between the authority department or the local agency and any 
 56.19  such federal agency.  The authority department and the local 
 56.20  agency shall continue to have all powers herein granted, so long 
 56.21  as the same shall be necessary or desirable for the carrying out 
 56.22  of the purposes of these sections. 
 56.23     Sec. 87.  Minnesota Statutes 2000, section 469.154, 
 56.24  subdivision 5, is amended to read: 
 56.25     Subd. 5.  [INFORMATION TO ENERGY TRADE AND ECONOMIC 
 56.26  DEVELOPMENT AUTHORITY DEPARTMENT.] Each municipality and 
 56.27  redevelopment agency upon entering into a revenue agreement, 
 56.28  except one pertaining to a project referred to in section 
 56.29  469.153, subdivision 2, paragraph (g) or (j), shall furnish 
 56.30  the energy trade and economic development authority department 
 56.31  on forms the authority department prescribes the following 
 56.32  information concerning the project:  The name of the contracting 
 56.33  party, the nature of the enterprise, the location, approximate 
 56.34  number of employees, the general terms and nature of the revenue 
 56.35  agreement, the amount of bonds or notes issued, and other 
 56.36  information the energy trade and economic development 
 57.1   authority department deems advisable.  The energy trade and 
 57.2   economic development authority department shall keep a record of 
 57.3   the information which shall be available to the public at times 
 57.4   the authority department prescribes. 
 57.5      Sec. 88.  Minnesota Statutes 2000, section 471.415, 
 57.6   subdivision 2, is amended to read: 
 57.7      Subd. 2.  [AFFIDAVIT FILED BEFORE WARRANT ISSUES.] A 
 57.8   duplicate for a lost or destroyed order or warrant shall not 
 57.9   issue until there shall have been filed with the proper officer 
 57.10  an affidavit of the owner thereof setting forth the ownership of 
 57.11  the order or warrant, the description thereof, and the manner of 
 57.12  its loss or destruction, and until there shall have been 
 57.13  executed and filed with the same officer an indemnifying bond, 
 57.14  with sureties to be approved by such officer, in a sum equal to 
 57.15  the amount of such order or warrant, conditioned that the 
 57.16  parties thereto shall pay all damages which the county, city, 
 57.17  town, or school district may sustain if compelled to pay such 
 57.18  loss lost or destroyed order or warrant.  The governing body of 
 57.19  any county, city, town, or school district may in its discretion 
 57.20  dispense with the requirement of an indemnifying bond. 
 57.21     Sec. 89.  Minnesota Statutes 2001 Supplement, section 
 57.22  501B.60, subdivision 3, is amended to read: 
 57.23     Subd. 3.  [STANDARDS FOR EXERCISE.] In exercising a power 
 57.24  to adjust under section 501B.70 501B.705 or a discretionary 
 57.25  power of administration regarding a matter within the scope of 
 57.26  sections 501B.59 to 501B.76, a fiduciary shall administer the 
 57.27  trust or estate impartially, based on what is fair and 
 57.28  reasonable to all of the beneficiaries, except to the extent 
 57.29  that the terms of the trust or the will clearly manifest an 
 57.30  intention that the fiduciary shall or may favor one or more of 
 57.31  the beneficiaries.  A determination in accordance with sections 
 57.32  501B.59 to 501B.76 is presumed to be fair and reasonable to all 
 57.33  of the beneficiaries. 
 57.34     Sec. 90.  Minnesota Statutes 2000, section 501B.61, as 
 57.35  amended by Laws 2001, chapter 15, section 4, is amended to read: 
 57.36     501B.61 [INCOME; PRINCIPAL; CHARGES.] 
 58.1      Subdivision 1.  [INCOME DEFINED.] "Income" means the return 
 58.2   in money or property derived from the use of principal, 
 58.3   including return received as: 
 58.4      (1) rent of real or personal property, including sums 
 58.5   received for cancellation or renewal of a lease; 
 58.6      (2) interest on money lent, including sums received as 
 58.7   consideration for the privilege of prepayment of principal, 
 58.8   except as provided in section 501B.65 on bond premium and bond 
 58.9   discount; 
 58.10     (3) income earned during administration of a decedent's 
 58.11  estate as provided in section 501B.63; 
 58.12     (4) corporate distributions as provided in section 501B.64; 
 58.13     (5) accrued increment on bonds or other obligations issued 
 58.14  at discount as provided in section 501B.65; 
 58.15     (6) receipts from business and farming operations as 
 58.16  provided in section 501B.66 501B.665; 
 58.17     (7) receipts from disposition of natural resources as 
 58.18  provided in sections 501B.67 and 501B.68; 
 58.19     (8) receipts from other principal subject to depletion as 
 58.20  provided in section 501B.69; and 
 58.21     (9) receipts from disposition of underproductive property 
 58.22  as provided in section 501B.70. 
 58.23     Subd. 2.  [PRINCIPAL DEFINED.] "Principal" means the 
 58.24  property set aside by the owner or the person legally empowered 
 58.25  so that it is held in trust eventually to be delivered to a 
 58.26  remainderperson while the return or use of the principal is in 
 58.27  the meantime taken or received by or held for accumulation for 
 58.28  an income beneficiary.  Principal includes: 
 58.29     (1) consideration received by the trustee on the sale or 
 58.30  other transfer of principal, on repayment of a loan, or as a 
 58.31  refund, replacement, or change in the form of principal; 
 58.32     (2) proceeds of property taken on eminent domain 
 58.33  proceedings; 
 58.34     (3) proceeds of insurance on property forming part of the 
 58.35  principal, except proceeds of insurance on a separate interest 
 58.36  of an income beneficiary; 
 59.1      (4) stock dividends, receipts on liquidation of a 
 59.2   corporation, and other corporate distributions as provided in 
 59.3   section 501B.64; 
 59.4      (5) receipts from the disposition of corporate securities 
 59.5   as provided in section 501B.65; 
 59.6      (6) royalties and other receipts from disposition of 
 59.7   natural resources as provided in sections 501B.67 and 501B.68; 
 59.8      (7) receipts from other principal subject to depletion as 
 59.9   provided in section 501B.69; 
 59.10     (8) profit resulting from a change in the form of 
 59.11  principal, except as provided in section 501B.70 on 
 59.12  underproductive property; 
 59.13     (9) receipts from disposition of underproductive property 
 59.14  as provided in section 501B.70; 
 59.15     (10) allowances for depreciation established under sections 
 59.16  501B.66 501B.665 and 501B.71, subdivision 1, clause (2); and 
 59.17     (11) gain or loss, including the purchase premium, if any, 
 59.18  from the grant of an option to buy or sell property of the 
 59.19  trust, whether or not the trust owns the property when the 
 59.20  option is granted. 
 59.21     Subd. 3.  [CHARGES.] After determining income and principal 
 59.22  in accordance with the terms of the trust instrument or of 
 59.23  sections 501B.59 to 501B.76, the trustee shall charge to income 
 59.24  or principal expenses and other charges as provided in section 
 59.25  501B.71. 
 59.26     Sec. 91.  Minnesota Statutes 2001 Supplement, section 
 59.27  514.661, subdivision 5, is amended to read: 
 59.28     Subd. 5.  [PRIORITY.] (a) A perfected lien has priority 
 59.29  over all other liens and security interests in crops produced by 
 59.30  the debtor during the calendar year in which the mediation 
 59.31  occurs except for a perfected landlord's lien under section 
 59.32  514.960.  
 59.33     (b) An unperfected lien has the priority of an unperfected 
 59.34  security interest under sections 336.9-317 and 336.9-322. 
 59.35     Sec. 92.  Minnesota Statutes 2000, section 514.94, is 
 59.36  amended to read: 
 60.1      514.94 [RIGHTS OF DETAINER, LIEN AND SALE OF ANIMALS.] 
 60.2      Nothing in sections 514.92 to 514.94 this section or 
 60.3   section 514.93 shall in any way alter or revoke a veterinarian's 
 60.4   rights of detainer, lien and sale of animals under sections 
 60.5   514.18 to 514.22. 
 60.6      Sec. 93.  Minnesota Statutes 2000, section 524.2-301, is 
 60.7   amended to read: 
 60.8      524.2-301 [ENTITLEMENT OF SPOUSE; PREMARITAL WILL.] 
 60.9      (a) A testator's surviving spouse, who married the testator 
 60.10  after the testator's will was executed, is entitled to receive, 
 60.11  as an intestate share, no less than the value of the share of 
 60.12  the estate the surviving spouse would have received if the 
 60.13  testator had died intestate as to that portion of the testator's 
 60.14  estate, if any, that neither is devised to a child of the 
 60.15  testator who was born before the testator married the surviving 
 60.16  spouse and who is not a child of the surviving spouse nor is 
 60.17  devised to a descendant of such a child or passes under section 
 60.18  524.2-603 524.2-6031 or 524.2-604 to such a child or to a 
 60.19  descendant of such a child, unless: 
 60.20     (1) it appears from the will or other evidence that the 
 60.21  will was made in contemplation of the testator's marriage to the 
 60.22  surviving spouse; 
 60.23     (2) the will expresses the intention that it is to be 
 60.24  effective notwithstanding any subsequent marriage; or 
 60.25     (3) the testator provided for the spouse by transfer 
 60.26  outside the will and the intent that the transfer be in lieu of 
 60.27  a testamentary provision is shown by the testator's statements 
 60.28  or is reasonably inferred from the amount of the transfer or 
 60.29  other evidence. 
 60.30     (b) In satisfying the share provided by this section, 
 60.31  devises made by the will to the testator's surviving spouse, if 
 60.32  any, are applied first, and other devises, other than a devise 
 60.33  to a child of the testator who was born before the testator 
 60.34  married the surviving spouse and who is not a child of the 
 60.35  surviving spouse or a devise or substitute gift under section 
 60.36  524.2-603 524.2-6031 or 524.2-604 to a descendant of such a 
 61.1   child, abate as provided in section 524.3-902. 
 61.2      Sec. 94.  Minnesota Statutes 2000, section 524.2-604, is 
 61.3   amended to read: 
 61.4      524.2-604 [FAILURE OF TESTAMENTARY PROVISION.] 
 61.5      (a) Except as provided in section 524.2-603 524.2-6031, a 
 61.6   devise, other than a residuary devise, that fails for any reason 
 61.7   becomes a part of the residue. 
 61.8      (b) Except as provided in section 524.2-603 524.2-6031, if 
 61.9   the residue is devised to two or more persons, the share of a 
 61.10  residuary devisee that fails for any reason passes to the other 
 61.11  residuary devisee, or to other residuary devisees in proportion 
 61.12  to the interest of each in the remaining part of the residue. 
 61.13     Sec. 95.  Minnesota Statutes 2000, section 524.2-609, is 
 61.14  amended to read: 
 61.15     524.2-609 [ADEMPTION BY SATISFACTION.] 
 61.16     (a) Property a testator, while living, gave to a person is 
 61.17  treated as a satisfaction of a devise in whole or in part, only 
 61.18  if (i) the will provides for deduction of the gift, (ii) the 
 61.19  testator declared in a contemporaneous writing that the gift is 
 61.20  in satisfaction of the devise or that its value is to be 
 61.21  deducted from the value of the devise, or (iii) the devisee 
 61.22  acknowledged in writing that the gift is in satisfaction of the 
 61.23  devise or that its value is to be deducted from the value of the 
 61.24  devise. 
 61.25     (b) For purposes of partial satisfaction, property given 
 61.26  during lifetime is valued as of the time the devisee came into 
 61.27  possession or enjoyment of the property or at the testator's 
 61.28  death, whichever occurs first. 
 61.29     (c) If the devisee fails to survive the testator, the gift 
 61.30  is treated as a full or partial satisfaction of the devise, as 
 61.31  appropriate, in applying sections 524.2-603 524.2-6031 and 
 61.32  524.2-604, unless the testator's contemporaneous writing 
 61.33  provides otherwise. 
 61.34     Sec. 96.  Minnesota Statutes 2000, section 583.24, 
 61.35  subdivision 4, is amended to read: 
 61.36     Subd. 4.  [DEBTS.] The Farmer-Lender Mediation Act does not 
 62.1   apply to a debt: 
 62.2      (1) for which a proof of claim form has been filed in 
 62.3   bankruptcy by a creditor or that was listed as a scheduled debt, 
 62.4   of a debtor who has filed a petition in bankruptcy after July 1, 
 62.5   1987, under United States Code, title 11, chapter 7, 11, 12, or 
 62.6   13; 
 62.7      (2) if the debt was in default when the creditor received a 
 62.8   mediation proceeding notice under the Farmer-Lender Mediation 
 62.9   Act and the creditor filed a claim form, the debt was mediated 
 62.10  during the mediation period under section 583.26, subdivision 8, 
 62.11  and (i) the mediation was unresolved; or (ii) a mediation 
 62.12  agreement with respect to that debt was signed; 
 62.13     (3) for which the creditor has served a mediation notice, 
 62.14  the debtor has failed to make a timely request for mediation, 
 62.15  and within 60 days after the debtor failed to make a timely 
 62.16  request the creditor began a proceeding to enforce the debt 
 62.17  against the agricultural property of the debtor; 
 62.18     (4) for which a creditor has received a mediation 
 62.19  proceeding notice and the creditor and debtor have restructured 
 62.20  the debt and have signed a separate mediation agreement with 
 62.21  respect to that debt; or 
 62.22     (5) for which there is a lien for rental value of farm 
 62.23  machinery under section 514.661 or a lien for rental value 
 62.24  relating to a contract for deed subject to the Farmer-Lender 
 62.25  Mediation Act under section 559.2091. 
 62.26     Sec. 97.  Minnesota Statutes 2000, section 609.341, 
 62.27  subdivision 17, is amended to read: 
 62.28     Subd. 17.  "Psychotherapist" means a person who is or 
 62.29  purports to be a physician, psychologist, nurse, chemical 
 62.30  dependency counselor, social worker, marriage and family 
 62.31  counselor therapist, or other mental health service provider; or 
 62.32  any other person, whether or not licensed by the state, who 
 62.33  performs or purports to perform psychotherapy. 
 62.34     Sec. 98.  Minnesota Statutes 2001 Supplement, section 
 62.35  626.556, subdivision 11, is amended to read: 
 62.36     Subd. 11.  [RECORDS.] (a) Except as provided in paragraph 
 63.1   (b) or (d) and subdivisions 10b, 10d, 10g, and 11b, all records 
 63.2   concerning individuals maintained by a local welfare agency or 
 63.3   agency responsible for assessing or investigating the report 
 63.4   under this section, including any written reports filed under 
 63.5   subdivision 7, shall be private data on individuals, except 
 63.6   insofar as copies of reports are required by subdivision 7 to be 
 63.7   sent to the local police department or the county sheriff.  All 
 63.8   records concerning determinations of maltreatment by a facility 
 63.9   are nonpublic data as maintained by the department of children, 
 63.10  families, and learning, except insofar as copies of reports are 
 63.11  required by subdivision 7 to be sent to the local police 
 63.12  department or the county sheriff.  Reports maintained by any 
 63.13  police department or the county sheriff shall be private data on 
 63.14  individuals except the reports shall be made available to the 
 63.15  investigating, petitioning, or prosecuting authority, including 
 63.16  county medical examiners or county coroners.  Section 13.82, 
 63.17  subdivisions 7, 8, and 9, and 14, apply to law enforcement data 
 63.18  other than the reports.  The local social services agency or 
 63.19  agency responsible for assessing or investigating the report 
 63.20  shall make available to the investigating, petitioning, or 
 63.21  prosecuting authority, including county medical examiners or 
 63.22  county coroners or their professional delegates, any records 
 63.23  which contain information relating to a specific incident of 
 63.24  neglect or abuse which is under investigation, petition, or 
 63.25  prosecution and information relating to any prior incidents of 
 63.26  neglect or abuse involving any of the same persons.  The records 
 63.27  shall be collected and maintained in accordance with the 
 63.28  provisions of chapter 13.  In conducting investigations and 
 63.29  assessments pursuant to this section, the notice required by 
 63.30  section 13.04, subdivision 2, need not be provided to a minor 
 63.31  under the age of ten who is the alleged victim of abuse or 
 63.32  neglect.  An individual subject of a record shall have access to 
 63.33  the record in accordance with those sections, except that the 
 63.34  name of the reporter shall be confidential while the report is 
 63.35  under assessment or investigation except as otherwise permitted 
 63.36  by this subdivision.  Any person conducting an investigation or 
 64.1   assessment under this section who intentionally discloses the 
 64.2   identity of a reporter prior to the completion of the 
 64.3   investigation or assessment is guilty of a misdemeanor.  After 
 64.4   the assessment or investigation is completed, the name of the 
 64.5   reporter shall be confidential.  The subject of the report may 
 64.6   compel disclosure of the name of the reporter only with the 
 64.7   consent of the reporter or upon a written finding by the court 
 64.8   that the report was false and that there is evidence that the 
 64.9   report was made in bad faith.  This subdivision does not alter 
 64.10  disclosure responsibilities or obligations under the rules of 
 64.11  criminal procedure. 
 64.12     (b) Upon request of the legislative auditor, data on 
 64.13  individuals maintained under this section must be released to 
 64.14  the legislative auditor in order for the auditor to fulfill the 
 64.15  auditor's duties under section 3.971.  The auditor shall 
 64.16  maintain the data in accordance with chapter 13.  
 64.17     (c) The commissioner of children, families, and learning 
 64.18  must be provided with all requested data that are relevant to a 
 64.19  report of maltreatment and are in possession of a school 
 64.20  facility as defined in subdivision 2, paragraph (f), when the 
 64.21  data is requested pursuant to an assessment or investigation of 
 64.22  a maltreatment report of a student in a school.  If the 
 64.23  commissioner of children, families, and learning makes a 
 64.24  determination of maltreatment involving an individual performing 
 64.25  work within a school facility who is licensed by a board or 
 64.26  other agency, the commissioner shall provide necessary and 
 64.27  relevant information to the licensing entity to enable the 
 64.28  entity to fulfill its statutory duties.  Notwithstanding section 
 64.29  13.03, subdivision 4, data received by a licensing entity under 
 64.30  this paragraph are governed by section 13.41 or other applicable 
 64.31  law governing data of the receiving entity, except that this 
 64.32  section applies to the classification of and access to data on 
 64.33  the reporter of the maltreatment. 
 64.34     (d) The investigating agency shall exchange not public data 
 64.35  with the child maltreatment review panel under section 256.022 
 64.36  if the data are pertinent and necessary for a review requested 
 65.1   under section 256.022.  Upon completion of the review, the not 
 65.2   public data received by the review panel must be returned to the 
 65.3   investigating agency. 
 65.4      Sec. 99.  Laws 1995, chapter 220, section 141, is amended 
 65.5   to read: 
 65.6      Sec. 141.  [REPEALER.] 
 65.7      (a) Minnesota Statutes 1994, sections 97B.301, subdivision 
 65.8   5; 115B.26, subdivision 1; 239.791, subdivisions 4, 5, 6, and 9; 
 65.9   325E.0951, subdivision 5; and Laws 1993, chapter 172, section 
 65.10  10, are repealed. 
 65.11     (b) Sections 78 to 87 are repealed. 
 65.12     (c) Minnesota Statutes 1994, sections 28A.08, subdivision 
 65.13  2; and 446A.071, subdivision 7, are repealed. 
 65.14     (d) (c) Minnesota Statutes 1994, sections 41A.09, 
 65.15  subdivisions 2, 3, and 5; 97A.531, subdivisions 2, 3, 4, 5, and 
 65.16  6; and 296.02, subdivision 7, are repealed. 
 65.17     Sec. 100.  Laws 1995, chapter 220, section 142, as amended 
 65.18  by Laws 1995, chapter 263, section 12, Laws 1996, chapter 351, 
 65.19  section 1, Laws 1999, chapter 231, section 191, and Laws 2001, 
 65.20  First Special Session chapter 2, section 151, is amended to read:
 65.21     Sec. 142.  [EFFECTIVE DATES.] 
 65.22     Sections 2, 5, 7, 20, 42, 44 to 49, 56, 57, 101, 102, 117, 
 65.23  and 141, paragraph (d), are effective the day following final 
 65.24  enactment. 
 65.25     Sections 114, 115, 118, and 121 are effective January 1, 
 65.26  1996. 
 65.27     Sections 120, subdivisions 2, 3, 4, and 5, and 141, 
 65.28  paragraph (c), are effective July 1, 1996. 
 65.29     Section 141, paragraph (b), is effective June 30, 2007. 
 65.30     Sections 58 and 66 are effective retroactively to August 1, 
 65.31  1991.  
 65.32     Section 119 is effective September 1, 1996. 
 65.33     Section 120, subdivision 1, is effective July 1, 1999. 
 65.34     Sec. 101.  Laws 2000, chapter 399, article 1, section 139, 
 65.35  is amended to read: 
 65.36     Sec. 139.  [SATELLITE OFFICES; RULEMAKING.] 
 66.1      The secretary of state shall adopt rules governing the 
 66.2   establishment and operation of satellite offices under Minnesota 
 66.3   Statutes, sections 336.9-527 to 336.9-530, by July 1, 2000.  The 
 66.4   rules are exempt from the rulemaking provisions of Minnesota 
 66.5   Statutes, chapter 14, but must be adopted under Minnesota 
 66.6   Statutes, section 14.386.  Notwithstanding Minnesota Statutes, 
 66.7   section 14.386, paragraph (b), the rules remain in effect until 
 66.8   July 1, 2003. 
 66.9      The secretary of state may also adopt expedited rules 
 66.10  governing the establishment and operation of the central filing 
 66.11  system under Minnesota Statutes, sections 336.9-501 to 336.9-530 
 66.12  336.9-531 and 336.9-701 to 336.9-709, pursuant to section 14.389.
 66.13     The authority to adopt rules under this section expires on 
 66.14  July 1, 2003.  The expiration of this authority does not affect 
 66.15  the validity of the rules adopted under it. 
 66.16     This section is effective the day following final enactment.
 66.17     Sec. 102.  Laws 2001, chapter 171, section 12, is amended 
 66.18  to read: 
 66.19     Sec. 12.  [TRANSFER OF ENFORCEMENT AUTHORITY.] 
 66.20     (a) The terms used in this section have the meanings given 
 66.21  in Minnesota Statutes, section 149A.02. 
 66.22     (b) Except as otherwise provided in statute, enforcement 
 66.23  authority for Minnesota Statutes, sections 149A.70, 149A.71, 
 66.24  149A.72, 149A.73, 149A.74, 149A.745, 149A.75, and 149A.97, may 
 66.25  be exercised for provisions related to insurance policies 
 66.26  purchased by a preneed consumer to arrange for funeral goods, 
 66.27  funeral services, burial site goods, or burial services, 
 66.28  enforcement authority may be exercised by the commissioner of 
 66.29  commerce. 
 66.30     (c) The commissioner of health retains enforcement 
 66.31  authority for provisions of Minnesota Statutes, chapter 149A, 
 66.32  related to funeral providers that are required to be licensed, 
 66.33  registered, or issued a permit under that chapter. 
 66.34     Sec. 103.  Laws 1997, chapter 202, article 2, section 61, 
 66.35  as amended by Laws 1999, chapter 250, article 1, section 106, 
 66.36  and Laws 2001, First Special Session chapter 10, article 2, 
 67.1   section 85, is amended to read: 
 67.2      Sec. 61.  [VOLUNTARY UNPAID LEAVE OF ABSENCE.] 
 67.3      Appointing authorities in state government may allow each 
 67.4   employee to take an unpaid leave of absence for up to 160 hours 
 67.5   during the period ending June 30, 2003, and up to 160 hours 
 67.6   during the period ending June 30, 2005.  Each appointing 
 67.7   authority approving such a leave shall allow the employee to 
 67.8   continue accruing vacation and sick leave, be eligible for paid 
 67.9   holidays and insurance benefits, accrue seniority, and accrue 
 67.10  service credit in state retirement plans permitting service 
 67.11  credits for authorized leaves of absence as if the employee had 
 67.12  actually been employed during the time of the leave.  If the 
 67.13  leave of absence is for one full pay period or longer, any 
 67.14  holiday pay shall be included in the first payroll warrant after 
 67.15  return from the leave of absence.  The appointing authority 
 67.16  shall attempt to grant requests for unpaid leaves of absence 
 67.17  consistent with the need to continue efficient operation of the 
 67.18  agency.  However, each appointing authority shall retain 
 67.19  discretion to grant or refuse to grant requests for leaves of 
 67.20  absence and to schedule and cancel leaves, subject to applicable 
 67.21  provisions of collective bargaining agreements and compensation 
 67.22  plans. 
 67.23     Sec. 104.  [REENACTMENT.] 
 67.24     2001 First Special Session Senate File No. 4, as passed by 
 67.25  the senate and the house of representatives on Friday, June 29, 
 67.26  2001, and subsequently published as Laws 2001, First Special 
 67.27  Session chapter 9, is reenacted.  Its provisions are effective 
 67.28  on the dates originally provided in the bill. 
 67.29     Sec. 105.  [REPEALER.] 
 67.30     (a) Minnesota Statutes 2001 Supplement, section 16A.1286, 
 67.31  subdivisions 4 and 5, are repealed. 
 67.32     (b) Minnesota Statutes 2000, section 116.19, is repealed. 
 67.33     (c) Minnesota Statutes 2000, section 221.0315, is repealed. 
 67.34     (d) Minnesota Statutes 2000, section 437.11, is repealed. 
 67.35     (e) Minnesota Statutes 2000, section 462A.072, is repealed. 
 67.36     (f) Minnesota Statutes 2000, section 557.11, is repealed. 
 68.1      (g) Laws 1997, chapter 85, article 4, section 28, is 
 68.2   repealed. 
 68.3      (h) Laws 1999, chapter 159, section 79, is repealed. 
 68.4      (i) Laws 1999, chapter 231, section 180, is repealed. 
 68.5      (j) Laws 2001, chapter 161, section 4, is repealed. 
 68.6      (k) Laws 2001, chapter 162, section 4, is repealed. 
 68.7      (l) Laws 2001, First Special Session chapter 2, section 
 68.8   103, is repealed. 
 68.9      (m) Laws 2001, First Special Session chapter 8, article 7, 
 68.10  section 1, is repealed. 
 68.11     (n) Minnesota Rules, part 5300.0360, is repealed. 
 68.12                             ARTICLE 2
 68.13                       CONFORMING AMENDMENTS 
 68.14           HARMFUL SUBSTANCE COMPENSATION BOARD TRANSFER
 68.15     Section 1.  Minnesota Statutes 2000, section 13.741, 
 68.16  subdivision 1, is amended to read: 
 68.17     Subdivision 1.  [HARMFUL SUBSTANCE COMPENSATION BOARD 
 68.18  DATA.] The following data on individuals filing claims for 
 68.19  compensation with the harmful substance compensation board 
 68.20  pollution control agency for injury from harmful substances are 
 68.21  classified as confidential while the claim is being investigated 
 68.22  and private after a decision is made by the board agency about 
 68.23  the claim:  the name, address, and all other information that 
 68.24  may identify an individual filing a claim; all medical data 
 68.25  provided to the board agency by the claimant or providers of 
 68.26  health care to the claimant, including reports of physical 
 68.27  examinations, mental health treatment, hospital care, physical 
 68.28  therapy, laboratory testing, X-ray studies, and prescriptions; 
 68.29  and all financial data provided to the board agency by the 
 68.30  claimant or the claimant's employer, insurance carrier, or other 
 68.31  provider of benefits, including state or federal tax forms, W-2 
 68.32  forms, salary records, records of insurance payments, 
 68.33  unemployment or disability benefits.  
 68.34     Sec. 2.  Minnesota Statutes 2000, section 13.7411, 
 68.35  subdivision 5, is amended to read: 
 68.36     Subd. 5.  [ENVIRONMENTAL RESPONSE AND LIABILITY.] (a) 
 69.1   [RESPONSIBLE PERSONS.] Certain data obtained by the pollution 
 69.2   control agency from a person who may be responsible for a 
 69.3   release are classified in section 115B.17, subdivision 5.  
 69.4      (b) [HAZARDOUS WASTE GENERATORS.] Data exchanged between 
 69.5   the pollution control agency and the department of revenue under 
 69.6   sections 115B.24 and 116.075, subdivision 2, are classified 
 69.7   under section 115B.24, subdivision 5.  
 69.8      (c) [HARMFUL SUBSTANCE COMPENSATION BOARD.] Access to data 
 69.9   collected and maintained by the in connection with harmful 
 69.10  substance compensation board reimbursement is governed by 
 69.11  sections 115B.28, subdivision 2; and 115B.35, subdivision 2. 
 69.12     (d) [DRYCLEANERS ENVIRONMENTAL ACCOUNT.] Disclosure of data 
 69.13  collected under section 115B.49, subdivision 4, is governed by 
 69.14  chapter 270B. 
 69.15     Sec. 3.  Minnesota Statutes 2000, section 115B.25, 
 69.16  subdivision 2, is amended to read: 
 69.17     Subd. 2.  [BOARD AGENCY.] "Board Agency" means 
 69.18  the harmful substance compensation board established in section 
 69.19  115B.27 pollution control agency. 
 69.20     Sec. 4.  Minnesota Statutes 2000, section 115B.26, is 
 69.21  amended to read: 
 69.22     115B.26 [HARMFUL SUBSTANCE COMPENSATION ENVIRONMENTAL 
 69.23  RESPONSE, COMPENSATION, AND COMPLIANCE ACCOUNT.] 
 69.24     Subd. 2.  [APPROPRIATION.] The amount necessary to pay 
 69.25  claims of compensation granted by the agency under sections 
 69.26  115B.25 to 115B.37 is appropriated to the agency from the 
 69.27  account. 
 69.28     Subd. 3.  [PAYMENT OF CLAIMS WHEN ACCOUNT INSUFFICIENT.] If 
 69.29  the amount of the claims granted exceeds the amount in the 
 69.30  account, the board agency shall request a transfer from the 
 69.31  general contingent account to the harmful substance compensation 
 69.32  environmental response, compensation, and compliance account as 
 69.33  provided in section 3.30.  If no transfer is approved, the board 
 69.34  agency shall pay the claims which have been granted in the order 
 69.35  granted only to the extent of the money remaining in the 
 69.36  account.  The board agency shall pay the remaining claims which 
 70.1   have been granted after additional money is credited to the 
 70.2   account. 
 70.3      Subd. 4.  [ACCOUNT TRANSFER REQUEST.] At the end of each 
 70.4   fiscal year, the board agency shall submit a request to the 
 70.5   petroleum tank release compensation board for transfer to the 
 70.6   harmful substance compensation account from the petroleum tank 
 70.7   release cleanup fund under section 115C.08, subdivision 5, of an 
 70.8   amount equal to the compensation granted by the board agency for 
 70.9   claims related to petroleum releases plus administrative costs 
 70.10  related to determination of those claims. 
 70.11     Sec. 5.  Minnesota Statutes 2000, section 115B.28, as 
 70.12  amended by Laws 1999, chapter 227, section 22, is amended to 
 70.13  read: 
 70.14     115B.28 [POWERS AND DUTIES OF THE BOARD AGENCY.] 
 70.15     Subdivision 1.  [DUTIES.] In addition to performing duties 
 70.16  specified in sections 115B.25 to 115B.37 or in other law, and 
 70.17  subject to the limitations on disclosure contained in section 
 70.18  115B.35, the board agency shall: 
 70.19     (1) adopt rules as soon as practicable after all members 
 70.20  are appointed, including rules governing practice and procedure 
 70.21  before the board agency, the form and procedure for applications 
 70.22  for compensation, and procedures for claims investigations; 
 70.23     (2) publicize the availability of compensation and 
 70.24  application procedures on a statewide basis with special 
 70.25  emphasis on geographical areas surrounding sites identified by 
 70.26  the pollution control agency as having releases from a facility 
 70.27  where a harmful substance was placed or came to be located prior 
 70.28  to July 1, 1983; 
 70.29     (3) collect, analyze, and make available to the public, in 
 70.30  consultation with the department of health, the pollution 
 70.31  control agency, the University of Minnesota medical and public 
 70.32  health schools, and the medical community, data regarding 
 70.33  injuries relating to exposure to harmful substances; and 
 70.34     (4) prepare and transmit by December 31 of each year to the 
 70.35  governor and the legislature an annual report to include (a) a 
 70.36  summary of board agency activity under clause (3); (b) data 
 71.1   determined by the board agency from actual cases, including but 
 71.2   not limited to number of cases, actual compensation received by 
 71.3   each claimant, types of cases, and types of injuries 
 71.4   compensated, as they relate to types of harmful substances as 
 71.5   well as length of exposure, but excluding identification of the 
 71.6   claimants; (c) all administrative costs associated with the 
 71.7   business of the board agency; and (d) board agency 
 71.8   recommendations for legislative changes, further study, or any 
 71.9   other recommendation aimed at improving the system of 
 71.10  compensation. 
 71.11     Subd. 2.  [POWERS.] In addition to exercising any powers 
 71.12  specified in sections 115B.25 to 115B.37 or in other law, 
 71.13  the board agency may: 
 71.14     (1) in reviewing a claim, consider any information relevant 
 71.15  to the claim, in accordance with the evidentiary standards 
 71.16  contained in section 115B.35; 
 71.17     (2) contract for consultant or other services necessary to 
 71.18  carry out the board's agency's duties under sections 115B.25 to 
 71.19  115B.37; 
 71.20     (3) grant reasonable partial compensation on an emergency 
 71.21  basis pending the final decision on a claim if the claim is one 
 71.22  with respect to which an award will probably be made and undue 
 71.23  hardship will result to the claimant if immediate payment is not 
 71.24  made; 
 71.25     (4) limit access to information collected and maintained by 
 71.26  the board agency and take any other action necessary to protect 
 71.27  not public data as defined in section 13.02, subdivision 8a, and 
 71.28  protected information, in accordance with the limitations 
 71.29  contained in section 115B.35. 
 71.30     Subd. 3.  [INVESTIGATION; OBTAINING INFORMATION.] The board 
 71.31  agency may investigate any claim for compensation and for this 
 71.32  purpose it may require from the claimant and request from any 
 71.33  person information regarding any matter, fact, or circumstance 
 71.34  which is relevant to determination of a claim under section 
 71.35  115B.33.  In exercising its powers under this subdivision, 
 71.36  the board agency may collect information reasonably calculated 
 72.1   to lead to the discovery of evidence admissible under section 
 72.2   115B.35.  The board agency shall reimburse the person requested 
 72.3   to provide information the actual cost of copies of documents, 
 72.4   papers, samples, or other tangible items necessary to respond to 
 72.5   the request from the board agency.  In order to obtain this 
 72.6   information the board agency, subject to any applicable 
 72.7   privilege, may: 
 72.8      (a) request any person to produce documents, papers, books, 
 72.9   or other tangible things in the possession, custody, or control 
 72.10  of that person; 
 72.11     (b) request the sworn testimony of any person as to any 
 72.12  relevant fact or opinion; 
 72.13     (c) direct written questions to any person and request 
 72.14  written answers and objections; 
 72.15     (d) request a mental or physical examination of the 
 72.16  claimant or autopsy of any deceased person whose death is the 
 72.17  basis of the claim, provided that notice is given to the 
 72.18  claimant and the claimant receives a copy of the report; and 
 72.19     (e) request a waiver of medical privilege by the claimant. 
 72.20     The board agency shall give written notice of any request 
 72.21  under this subdivision at least 15 days before the person is 
 72.22  expected to comply with the request.  If a person fails or 
 72.23  refuses to comply with a request for information relevant to the 
 72.24  release of a harmful substance, the board agency may issue a 
 72.25  subpoena for the production of the information and may petition 
 72.26  the district court for an order enforcing the subpoena.  If a 
 72.27  person fails or refuses to comply with a request for other 
 72.28  information relevant to determination of the claim, the board 
 72.29  agency may petition the district court for an order to compel 
 72.30  compliance with the request.  If the claimant refuses to comply 
 72.31  with a request by the board agency for information relevant to 
 72.32  the claim, the board agency may dismiss the claim. 
 72.33     Subd. 4.  [ADMINISTRATIVE PERSONNEL AND SERVICES 
 72.34  INFORMATION FROM STATE AGENCIES.] The board may appoint an 
 72.35  executive director who is not a member of the board.  The 
 72.36  executive director is in the unclassified service.  The 
 73.1   commissioner of health shall provide staff assistance, 
 73.2   administrative services, and office space under a contract with 
 73.3   the board.  The board shall reimburse the commissioner for the 
 73.4   staff, services, and space provided.  In order to perform its 
 73.5   duties, the board agency may request information from the 
 73.6   supervising officer of any state agency or state institution of 
 73.7   higher education.  When requesting health data as defined in 
 73.8   section 13.3805, subdivision 1, or sections 144.671 to 144.69, 
 73.9   the board agency must submit a written release signed by the 
 73.10  subject of the data or, if the subject is deceased, a 
 73.11  representative of the deceased, authorizing release of the data 
 73.12  in whole or in part.  The supervising officer shall comply with 
 73.13  the board's agency's request to the extent possible considering 
 73.14  available agency or institution appropriations and may assign 
 73.15  agency or institution employees to assist the board agency in 
 73.16  performing its duties under sections 115B.25 to 115B.37. 
 73.17     Sec. 6.  Minnesota Statutes 2000, section 115B.29, 
 73.18  subdivision 1, is amended to read: 
 73.19     Subdivision 1.  [PERSONAL INJURY AND CERTAIN PROPERTY 
 73.20  CLAIMS.] A person may file a claim with the board agency 
 73.21  pursuant to this section for compensation for an eligible 
 73.22  injury, or for eligible property damage that could reasonably 
 73.23  have resulted from an exposure in Minnesota to a harmful 
 73.24  substance released from a facility. 
 73.25     Sec. 7.  Minnesota Statutes 2000, section 115B.30, 
 73.26  subdivision 3, is amended to read: 
 73.27     Subd. 3.  [TIME FOR FILING CLAIM.] (a) A claim is not 
 73.28  eligible for compensation from the account unless it is filed 
 73.29  with the board agency within the time provided in this 
 73.30  subdivision. 
 73.31     (b) A claim for compensation for personal injury must be 
 73.32  filed within two years after the injury and its connection to 
 73.33  exposure to a harmful substance was or reasonably should have 
 73.34  been discovered. 
 73.35     (c) A claim for compensation for property damage must be 
 73.36  filed within two years after the full amount of compensable 
 74.1   losses can be determined. 
 74.2      (d) Notwithstanding the provisions of this subdivision, 
 74.3   claims for compensation that would otherwise be barred by any 
 74.4   statute of limitations provided in sections 115B.25 to 115B.37 
 74.5   may be filed not later than January 1, 1992. 
 74.6      Sec. 8.  Minnesota Statutes 2000, section 115B.31, 
 74.7   subdivision 1, is amended to read: 
 74.8      Subdivision 1.  [SUBSEQUENT ACTION OR CLAIM PROHIBITED IN 
 74.9   CERTAIN CASES.] (a) A person who has settled a claim for an 
 74.10  eligible injury or eligible property damage with a responsible 
 74.11  person, either before or after bringing an action in court for 
 74.12  that injury or damage, may not file a claim with the account for 
 74.13  the same injury or damage.  A person who has received a 
 74.14  favorable judgment in a court action for an eligible injury or 
 74.15  eligible property damage may not file a claim with the account 
 74.16  for the same injury or damage, unless the judgment cannot be 
 74.17  satisfied in whole or in part against the persons responsible 
 74.18  for the release of the harmful substance.  A person who has 
 74.19  filed a claim with the board agency or its predecessor, the 
 74.20  harmful substance compensation board, may not file another claim 
 74.21  with the board agency for the same eligible injury or damage, 
 74.22  unless the claim was inactivated by the agency or board as 
 74.23  provided in section 115B.32, subdivision 1. 
 74.24     (b) A person who has filed a claim with the agency or board 
 74.25  for an eligible injury or damage, and who has received and 
 74.26  accepted an award from the agency or board, is precluded from 
 74.27  bringing an action in court for the same eligible injury or 
 74.28  damage.  
 74.29     (c) A person who files a claim with the board agency for 
 74.30  personal injury or property damage must include all known claims 
 74.31  eligible for compensation in one proceeding before the board 
 74.32  agency. 
 74.33     Sec. 9.  Minnesota Statutes 2000, section 115B.31, 
 74.34  subdivision 2, is amended to read: 
 74.35     Subd. 2.  [USE OF PROTECTED INFORMATION AND BOARD AGENCY 
 74.36  FINDINGS.] The findings and decision of the board agency are 
 75.1   inadmissible in any court action.  Protected information may not 
 75.2   be used in any court action except to the extent that the 
 75.3   information is otherwise available to a party or discovered 
 75.4   under the applicable rules of civil or criminal procedure. 
 75.5      Sec. 10.  Minnesota Statutes 2000, section 115B.31, 
 75.6   subdivision 4, is amended to read: 
 75.7      Subd. 4.  [SIMULTANEOUS CLAIM AND COURT ACTION PROHIBITED.] 
 75.8   A claimant may not commence a court action to recover for any 
 75.9   injury or damage for which the claimant seeks compensation from 
 75.10  the account during the time that a claim is pending before 
 75.11  the board agency.  A person may not file a claim with the board 
 75.12  agency for compensation for any injury or damage for which the 
 75.13  claimant seeks to recover in a pending court action.  The time 
 75.14  for filing a claim under section 115B.30 or the statute of 
 75.15  limitations for any civil action is suspended during the period 
 75.16  of time that a claimant is precluded from filing a claim or 
 75.17  commencing an action under this subdivision. 
 75.18     Sec. 11.  Minnesota Statutes 2000, section 115B.32, is 
 75.19  amended to read: 
 75.20     115B.32 [CLAIM FOR COMPENSATION.] 
 75.21     Subdivision 1.  [FORM.] A claim for compensation from the 
 75.22  account must be filed with the board agency in the form required 
 75.23  by the board agency.  When a claim does not include all the 
 75.24  information required by subdivision 2 and applicable board 
 75.25  agency rules, the board agency staff shall notify the claimant 
 75.26  of the absence of the required information within 14 days of the 
 75.27  filing of the claim.  All required information must be received 
 75.28  by the board agency not later than 60 days after the claimant 
 75.29  received notice of its absence or the claim will be inactivated 
 75.30  and may not be resubmitted for at least one year following the 
 75.31  date of inactivation.  The board agency may decide not to 
 75.32  inactivate a claim under this subdivision if it finds serious 
 75.33  extenuating circumstances. 
 75.34     Subd. 2.  [REQUIRED INFORMATION.] A claimant must provide 
 75.35  the following information as part of the claim, provided that 
 75.36  nothing in Laws 1985, First Special Session this chapter 8, 
 76.1   shall be construed to require the claimant to initiate a court 
 76.2   action before filing a claim: 
 76.3      (1) a sworn verification by the claimant of the facts set 
 76.4   forth in the claim to the best of the claimant's knowledge; 
 76.5      (2) evidence that the claimant is an eligible person; 
 76.6      (3) evidence of the claimant's exposure to a named harmful 
 76.7   substance; 
 76.8      (4) evidence that the claimant's exposure to the substance 
 76.9   in the amount and duration experienced by the claimant could 
 76.10  reasonably have been caused or significantly contributed to by 
 76.11  the release of a harmful substance from a facility where the 
 76.12  substance was placed or came to be located, to the extent the 
 76.13  information is available to the claimant; 
 76.14     (5) evidence that the exposure experienced by the claimant 
 76.15  can cause or can significantly contribute to the injury suffered 
 76.16  by the claimant; 
 76.17     (6) evidence of the injury eligible for compensation 
 76.18  suffered by the claimant and the compensable losses resulting 
 76.19  from the injury; 
 76.20     (7) evidence of any property damage eligible for 
 76.21  compensation and the amount of compensable losses resulting from 
 76.22  the damage; 
 76.23     (8) information regarding any collateral sources of 
 76.24  compensation; and 
 76.25     (9) other information required by the rules of the board 
 76.26  agency. 
 76.27     Subd. 3.  [DEATH CLAIMS.] In any case in which death is 
 76.28  claimed as a compensable injury, the claim may be brought on 
 76.29  behalf of the claimant by the claimant's estate for compensable 
 76.30  medical expenses and by the claimant's trustee for death 
 76.31  benefits for the claimant's dependents as defined in section 
 76.32  176.111.  
 76.33     Sec. 12.  Minnesota Statutes 2000, section 115B.33, is 
 76.34  amended to read: 
 76.35     115B.33 [DETERMINATION OF CLAIM.] 
 76.36     Subdivision 1.  [STANDARD FOR PERSONAL INJURY.] The 
 77.1   board agency shall grant compensation to a claimant who shows 
 77.2   that it is more likely than not that: 
 77.3      (1) the claimant suffers a medically verified injury that 
 77.4   is eligible for compensation from the account and that has 
 77.5   resulted in a compensable loss; 
 77.6      (2) the claimant has been exposed to a harmful substance; 
 77.7      (3) the release of the harmful substance from a facility 
 77.8   where the substance was placed or came to be located could 
 77.9   reasonably have resulted in the claimant's exposure to the 
 77.10  substance in the amount and duration experienced by the 
 77.11  claimant; and 
 77.12     (4) the injury suffered by the claimant can be caused or 
 77.13  significantly contributed to by exposure to the harmful 
 77.14  substance in an amount and duration experienced by the claimant. 
 77.15     Subd. 2.  [STANDARD FOR PROPERTY DAMAGE.] The board agency 
 77.16  shall grant compensation to a claimant who shows that it is more 
 77.17  likely than not that: 
 77.18     (1) the claimant has suffered property damage that is 
 77.19  eligible for compensation and that has resulted in compensable 
 77.20  loss; and 
 77.21     (2) the presence of the harmful substance in or on the 
 77.22  property could reasonably have resulted from the release of the 
 77.23  harmful substance from a facility where the substance was placed 
 77.24  or came to be located. 
 77.25     Sec. 13.  Minnesota Statutes 2000, section 115B.34, is 
 77.26  amended to read: 
 77.27     115B.34 [COMPENSABLE LOSSES.] 
 77.28     Subdivision 1.  [PERSONAL INJURY LOSSES.] Losses 
 77.29  compensable by the account for personal injury are limited to: 
 77.30     (1) medical expenses directly related to the claimant's 
 77.31  injury; 
 77.32     (2) up to two-thirds of the claimant's lost wages not to 
 77.33  exceed $2,000 per month or $24,000 per year; 
 77.34     (3) up to two-thirds of a self-employed claimant's lost 
 77.35  income, not to exceed $2,000 per month or $24,000 per year; 
 77.36     (4) death benefits to dependents which the board agency 
 78.1   shall define by rule subject to the following conditions: 
 78.2      (i) the rule adopted by the board agency must establish a 
 78.3   schedule of benefits similar to that established by section 
 78.4   176.111 and must not provide for the payment of benefits to 
 78.5   dependents other than those dependents defined in section 
 78.6   176.111; 
 78.7      (ii) the total benefits paid to all dependents of a 
 78.8   claimant must not exceed $2,000 per month; 
 78.9      (iii) benefits paid to a spouse and all dependents other 
 78.10  than children must not continue for a period longer than ten 
 78.11  years; 
 78.12     (iv) payment of benefits is subject to the limitations of 
 78.13  section 115B.36; and 
 78.14     (5) the value of household labor lost due to the claimant's 
 78.15  injury or disease, which must be determined in accordance with a 
 78.16  schedule established by the board by rule, not to exceed $2,000 
 78.17  per month or $24,000 per year. 
 78.18     Subd. 2.  [PROPERTY DAMAGE LOSSES.] (a) Losses compensable 
 78.19  by the account for property damage are limited to the following 
 78.20  losses caused by damage to the principal residence of the 
 78.21  claimant: 
 78.22     (1) the reasonable cost of replacing or decontaminating the 
 78.23  primary source of drinking water for the property not to exceed 
 78.24  the amount actually expended by the claimant or assessed by a 
 78.25  local taxing authority, if the department of health has 
 78.26  confirmed that the remedy provides safe drinking water and 
 78.27  advised that the water not be used for drinking or determined 
 78.28  that the replacement or decontamination of the source of 
 78.29  drinking water was necessary, up to a maximum of $25,000; 
 78.30     (2) losses incurred as a result of a bona fide sale of the 
 78.31  property at less than the appraised market value under 
 78.32  circumstances that constitute a hardship to the owner, limited 
 78.33  to 75 percent of the difference between the appraised market 
 78.34  value and the selling price, but not to exceed $25,000; and 
 78.35     (3) losses incurred as a result of the inability of an 
 78.36  owner in hardship circumstances to sell the property due to the 
 79.1   presence of harmful substances, limited to the increase in costs 
 79.2   associated with the need to maintain two residences, but not to 
 79.3   exceed $25,000.  
 79.4      (b) In computation of the loss under paragraph (a), clause 
 79.5   (3), the board agency shall offset the loss by the amount of any 
 79.6   income received by the claimant from the rental of the property. 
 79.7      (c) For purposes of paragraph (a), the following 
 79.8   definitions apply: 
 79.9      (1) "appraised market value" means an appraisal of the 
 79.10  market value of the property disregarding any decrease in value 
 79.11  caused by the presence of a harmful substance in or on the 
 79.12  property; and 
 79.13     (2) "hardship" means an urgent need to sell the property 
 79.14  based on a special circumstance of the owner including 
 79.15  catastrophic medical expenses, inability of the owner to 
 79.16  physically maintain the property due to a physical or mental 
 79.17  condition, and change of employment of the owner or other member 
 79.18  of the owner's household requiring the owner to move to a 
 79.19  different location. 
 79.20     (d) Appraisals are subject to board agency approval.  The 
 79.21  board agency may adopt rules governing approval of appraisals, 
 79.22  criteria for establishing a hardship, and other matters 
 79.23  necessary to administer this subdivision. 
 79.24     Sec. 14.  Minnesota Statutes 2000, section 115B.35, 
 79.25  subdivision 2, is amended to read: 
 79.26     Subd. 2.  [TREATMENT OF PROTECTED INFORMATION.] In making a 
 79.27  preliminary or final decision under this section, the 
 79.28  board agency shall examine protected information outside of the 
 79.29  presence of the claimant, the claimant's attorney, or any other 
 79.30  person except agency staff to the board.  The board agency, the 
 79.31  board's agency's staff, and any other person who obtains access 
 79.32  to protected information under this section may not reveal 
 79.33  protected information to any person except as provided in this 
 79.34  section. 
 79.35     Sec. 15.  Minnesota Statutes 2000, section 115B.35, 
 79.36  subdivision 3, is amended to read: 
 80.1      Subd. 3.  [EVIDENCE ADMISSIBLE IN CLAIM PROCEEDINGS.] In 
 80.2   the determination of a claim, the board agency may admit and 
 80.3   give probative effect to evidence that possesses probative value 
 80.4   commonly accepted by reasonable and prudent persons in the 
 80.5   conduct of their affairs.  The board agency shall give effect to 
 80.6   the rules of privilege recognized by law.  The board agency may 
 80.7   exclude incompetent, irrelevant, immaterial, and repetitious 
 80.8   evidence. 
 80.9      Sec. 16.  Minnesota Statutes 2000, section 115B.35, 
 80.10  subdivision 4, is amended to read: 
 80.11     Subd. 4.  [PRELIMINARY DECISION.] The board member to whom 
 80.12  the claim is assigned agency shall review all materials filed in 
 80.13  support of the claim and may cause an investigation to be 
 80.14  conducted into the validity of the claim.  The board member 
 80.15  agency may make a preliminary decision on the basis of the 
 80.16  papers filed in support of the claim and the report of any 
 80.17  investigation of it. The decision must be in writing and include 
 80.18  the reasons for the decision, subject to the limitations on 
 80.19  disclosure of protected information. 
 80.20     Sec. 17.  Minnesota Statutes 2000, section 115B.35, 
 80.21  subdivision 8, is amended to read: 
 80.22     Subd. 8.  [APPEAL.] A final decision of the board agency 
 80.23  made under this section is conclusive on all matters decided.  
 80.24  There is no right to judicial review of a final decision of the 
 80.25  board agency. 
 80.26     Sec. 18.  Minnesota Statutes 2000, section 115B.35, 
 80.27  subdivision 9, is amended to read: 
 80.28     Subd. 9.  [REMEDIES AND PENALTIES.] A board An agency 
 80.29  member, board agency staff person, or other person who reveals 
 80.30  protected information in violation of this section is subject to 
 80.31  the civil remedies contained in section 13.08 and the penalties 
 80.32  in section 13.09. 
 80.33     Sec. 19.  Minnesota Statutes 2000, section 115B.36, is 
 80.34  amended to read: 
 80.35     115B.36 [AMOUNT AND FORM OF PAYMENT.] 
 80.36     If the board agency decides to grant compensation, it shall 
 81.1   determine the net uncompensated loss payable to the claimant by 
 81.2   computing the total amount of compensable losses payable to the 
 81.3   claimant and subtracting the total amount of any compensation 
 81.4   received by the claimant for the same injury or damage from 
 81.5   other sources including, but not limited to, all forms of 
 81.6   insurance and social security and any emergency award made by 
 81.7   the board agency.  The board agency shall pay compensation in 
 81.8   the amount of the net uncompensated loss, provided that no 
 81.9   claimant may receive more than $250,000.  In the case of a 
 81.10  death, the total amount paid to all persons on behalf of the 
 81.11  claimant may not exceed $250,000. 
 81.12     Compensation from the account may be awarded in a lump sum 
 81.13  or in installments at the discretion of the board agency. 
 81.14     Sec. 20.  Minnesota Statutes 2000, section 115B.37, is 
 81.15  amended to read: 
 81.16     115B.37 [ATTORNEY FEES.] 
 81.17     The board agency may by rule limit the fee charged by any 
 81.18  attorney for representing a claimant before the board agency. 
 81.19     Sec. 21.  Minnesota Statutes 2000, section 115C.08, 
 81.20  subdivision 4, is amended to read: 
 81.21     Subd. 4.  [EXPENDITURES.] (a) Money in the fund may only be 
 81.22  spent: 
 81.23     (1) to administer the petroleum tank release cleanup 
 81.24  program established in this chapter; 
 81.25     (2) for agency administrative costs under sections 116.46 
 81.26  to 116.50, sections 115C.03 to 115C.06, and costs of corrective 
 81.27  action taken by the agency under section 115C.03, including 
 81.28  investigations; 
 81.29     (3) for costs of recovering expenses of corrective actions 
 81.30  under section 115C.04; 
 81.31     (4) for training, certification, and rulemaking under 
 81.32  sections 116.46 to 116.50; 
 81.33     (5) for agency administrative costs of enforcing rules 
 81.34  governing the construction, installation, operation, and closure 
 81.35  of aboveground and underground petroleum storage tanks; 
 81.36     (6) for reimbursement of the harmful substance compensation 
 82.1   environmental response, compensation, and compliance account 
 82.2   under subdivision 5 and section 115B.26, subdivision 4; 
 82.3      (7) for administrative and staff costs as set by the board 
 82.4   to administer the petroleum tank release program established in 
 82.5   this chapter; 
 82.6      (8) for corrective action performance audits under section 
 82.7   115C.093; and 
 82.8      (9) for contamination cleanup grants, as provided in 
 82.9   paragraph (c). 
 82.10     (b) Except as provided in paragraph (c), money in the fund 
 82.11  is appropriated to the board to make reimbursements or payments 
 82.12  under this section. 
 82.13     (c) $6,200,000 is annually appropriated from the fund to 
 82.14  the commissioner of trade and economic development for 
 82.15  contamination cleanup grants under section 116J.554.  Of this 
 82.16  amount, the commissioner may spend up to $120,000 annually for 
 82.17  administration of the contamination cleanup grant program.  The 
 82.18  appropriation does not cancel and is available until expended.  
 82.19  The appropriation shall not be withdrawn from the fund nor the 
 82.20  fund balance reduced until the funds are requested by the 
 82.21  commissioner of trade and economic development.  The 
 82.22  commissioner shall schedule requests for withdrawals from the 
 82.23  fund to minimize the necessity to impose the fee authorized by 
 82.24  subdivision 2.  Unless otherwise provided, the appropriation in 
 82.25  this paragraph may be used for: 
 82.26     (1) project costs at a qualifying site if a portion of the 
 82.27  cleanup costs are attributable to petroleum contamination; and 
 82.28     (2) the costs of performing contamination investigation if 
 82.29  there is a reasonable basis to suspect the contamination is 
 82.30  attributable to petroleum. 
 82.31     Sec. 22.  Minnesota Statutes 2000, section 115C.08, 
 82.32  subdivision 5, is amended to read: 
 82.33     Subd. 5.  [ACCOUNT TRANSFER.] The board shall authorize the 
 82.34  commissioner of finance to transfer to the harmful substance 
 82.35  compensation environmental response, compensation, and 
 82.36  compliance account the amount requested by the harmful substance 
 83.1   compensation board pollution control agency under section 
 83.2   115B.26, subdivision 4.  Transfer of the amount must be made at 
 83.3   the earliest practical date after authorization by the board.  
 83.4   If the unencumbered balance in the account is less than 
 83.5   $2,000,000, the transfer must be made at the earliest practical 
 83.6   date after the unencumbered balance in the account exceeds that 
 83.7   amount.  
 83.8      Sec. 23.  [REVISOR INSTRUCTION.] 
 83.9      The revisor shall make the following changes in Minnesota 
 83.10  Rules, chapter 7190:  substitute "pollution control agency" or 
 83.11  "agency" for "harmful substance compensation board" or "board" 
 83.12  where it means the harmful substance compensation board; 
 83.13  substitute "agency" for "director"; substitute "agency staff" or 
 83.14  "staff" for "board members" or "member"; and substitute "agency" 
 83.15  for "board by majority vote." 
 83.16     Sec. 24.  [REPEALER.] 
 83.17     Minnesota Statutes 2000, sections 115B.27; and 115B.35, 
 83.18  subdivisions 1, 5, and 6; and Minnesota Rules, parts 7021.0001, 
 83.19  subparts 2 and 4; 7190.0002; 7190.0003; 7190.0004; 7190.0008, 
 83.20  subparts 1 and 2; 7190.0015, subparts 1 and 2; 7190.0100, 
 83.21  subpart 2; and 7190.1000, subpart 1, are repealed.