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Minnesota Legislature

Office of the Revisor of Statutes

HF 3557

1st Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

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

Current Version - 1st Engrossment

  1.1                          A bill for an act
  1.2             relating to legislative enactments; correcting 
  1.3             miscellaneous oversights, inconsistencies, unintended 
  1.4             results, and technical errors in state government, 
  1.5             human services, and prekindergarten-grade 12 education 
  1.6             code appropriations acts; appropriating money; 
  1.7             amending Minnesota Statutes 1998, sections 125A.21, 
  1.8             subdivision 1; and 256B.501, by adding a subdivision; 
  1.9             Minnesota Statutes 1999 Supplement, sections 16A.129, 
  1.10            subdivision 3; 124D.65, subdivision 4; 126C.052; 
  1.11            126C.10, subdivisions 2 and 23; 126C.12, subdivision 
  1.12            1; and 256B.77, subdivision 10; Laws 1999, chapters 
  1.13            241, articles 1, section 70; and 4, section 29; 245, 
  1.14            articles 1, section 3, subdivision 2; and 4, section 
  1.15            121; 250, article 1, sections 11 and 14, subdivision 
  1.16            3; repealing Laws 1999, chapter 241, article 10, 
  1.17            section 5; and 250, article 1, section 15, subdivision 
  1.18            4. 
  1.19  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.20                             ARTICLE 1
  1.21                          STATE GOVERNMENT
  1.22     Section 1.  Minnesota Statutes 1999 Supplement, section 
  1.23  16A.129, subdivision 3, is amended to read: 
  1.24     Subd. 3.  [CASH ADVANCES.] When the operations of any 
  1.25  nongeneral fund account would be impeded by projected cash 
  1.26  deficiencies resulting from delays in the receipt of grants, 
  1.27  dedicated income, or other similar receivables, and when the 
  1.28  deficiencies would be corrected within the budget period 
  1.29  involved, the commissioner of finance may use general fund cash 
  1.30  reserves to meet cash demands.  If funds are transferred from 
  1.31  the general fund to meet cash flow needs, the cash flow 
  1.32  transfers must be returned to the general fund as soon as 
  2.1   sufficient cash balances are available in the account to which 
  2.2   the transfer was made.  The fund to which general fund cash was 
  2.3   advanced must pay interest on the cash advance at a rate 
  2.4   comparable to the rate earned by the state on invested 
  2.5   treasurer's cash, as determined monthly by the commissioner.  An 
  2.6   amount necessary to pay the interest is appropriated from the 
  2.7   nongeneral fund to which the cash advance was made.  Any 
  2.8   interest earned on general fund cash flow transfers accrues to 
  2.9   the general fund and not to the accounts or funds to which the 
  2.10  transfer was made.  The commissioner may advance general fund 
  2.11  cash reserves to nongeneral fund accounts where the receipts 
  2.12  from other governmental units cannot be collected within the 
  2.13  budget period. 
  2.14     Sec. 2.  Laws 1999, chapter 250, article 1, section 11, is 
  2.15  amended to read: 
  2.16  Sec. 11.  OFFICE OF STRATEGIC 
  2.17  AND LONG-RANGE PLANNING                6,891,000      4,417,000
  2.18  $100,000 the first year is to integrate 
  2.19  the office's information technology and 
  2.20  is available until June 30, 2003.  The 
  2.21  director shall report on the progress 
  2.22  of the unit to the chairs of the 
  2.23  legislative committees responsible for 
  2.24  this budget item by January 15, 2000, 
  2.25  2001, and 2002. 
  2.26  $1,600,000 the first year is for a 
  2.27  generic environmental impact statement 
  2.28  on animal agriculture. 
  2.29  $200,000 the first year is to perform 
  2.30  program evaluations of agencies in the 
  2.31  executive branch. 
  2.32  The program evaluation division will 
  2.33  report to the legislature by December 
  2.34  1, 2000, ways to reduce state 
  2.35  government expenditures by five to ten 
  2.36  percent. 
  2.37  $100,000 the first year is to provide 
  2.38  administrative support to 
  2.39  community-based planning efforts. 
  2.40  $150,000 the first year is for a grant 
  2.41  of $50,000 to the southwest regional 
  2.42  development commission for the 
  2.43  continuation of the pilot program and 
  2.44  two additional grants of $50,000 each 
  2.45  to regional development commissions or, 
  2.46  in regions not served by regional 
  2.47  development commissions, to regional 
  2.48  organizations selected by the director 
  2.49  of strategic and long-range planning, 
  2.50  to support planning work on behalf of 
  3.1   local units of government.  The 
  3.2   planning work shall include, but need 
  3.3   not be limited to:  
  3.4   (1) development of local zoning 
  3.5   ordinances; 
  3.6   (2) land use plans; 
  3.7   (3) community or economic development 
  3.8   plans; 
  3.9   (4) transportation and transit plans; 
  3.10  (5) solid waste management plans; 
  3.11  (6) wastewater management plans; 
  3.12  (7) workforce development plans; 
  3.13  (8) housing development plans and/or 
  3.14  market analysis; 
  3.15  (9) rural health service plans; 
  3.16  (10) natural resources management 
  3.17  plans; or 
  3.18  (11) development of geographical 
  3.19  information systems database to serve a 
  3.20  region's needs, including hardware and 
  3.21  software purchases and related labor 
  3.22  costs. 
  3.23  $200,000 the first year is to prepare 
  3.24  the generic environmental impact 
  3.25  statement on urban development required 
  3.26  by section 108.  Any unencumbered 
  3.27  balance remaining in the first year 
  3.28  does not cancel and is available for 
  3.29  the second year of the biennium. 
  3.30  $24,000 the first year is for the 
  3.31  southwest Minnesota wind monitoring 
  3.32  project. 
  3.33  $100,000 the first year is for a grant 
  3.34  to the city of Mankato to complete the 
  3.35  Mankato area growth management and 
  3.36  planning study, phase 2.  The 
  3.37  appropriation is available until June 
  3.38  30, 2002.  The appropriation must be 
  3.39  matched by an in-kind donation of 
  3.40  $100,000 in administrative, technical, 
  3.41  and higher educational internship 
  3.42  support and supervision.  The value of 
  3.43  the in-kind donations must be 
  3.44  determined by the commissioner of 
  3.45  finance. 
  3.46  The city shall serve as fiscal agent to 
  3.47  complete the study under the 1997 
  3.48  regional planning joint powers 
  3.49  agreement among the cities of Mankato, 
  3.50  North Mankato, and Eagle Lake; the 
  3.51  counties of Nicollet and Blue Earth; 
  3.52  and the towns of Mankato, South Bend, 
  3.53  Lime, Decoria, and Belgrade, without 
  3.54  limitation on the rights of the parties 
  3.55  to that agreement to add or remove 
  3.56  members.  The study is intended as an 
  4.1   alternative to community-based 
  4.2   planning.  The study is intended to 
  4.3   develop information and analysis to 
  4.4   provide guidance on such issues as: 
  4.5   (1) the development of joint planning 
  4.6   agreements to implement a unified 
  4.7   growth management strategy; 
  4.8   (2) joint service ventures, such as 
  4.9   planning or zoning administration in 
  4.10  urban fringe areas; 
  4.11  (3) orderly growth and annexation 
  4.12  agreements between cities and 
  4.13  townships; 
  4.14  (4) feedlot regulations in urban fringe 
  4.15  areas and future growth corridors; 
  4.16  (5) service strategies for unsewered 
  4.17  subdivisions; 
  4.18  (6) other joint ventures for city, 
  4.19  county, and township service delivery 
  4.20  in fringe areas; 
  4.21  (7) feasibility of a rural township 
  4.22  taxing district; and 
  4.23  (8) alternatives to the current 
  4.24  community-based planning legislation 
  4.25  that would add flexibility and improve 
  4.26  the planning process. 
  4.27  The city of Mankato shall report the 
  4.28  results of the study to the legislature 
  4.29  by January 15, 2002. 
  4.30     Sec. 3.  Laws 1999, chapter 250, article 1, section 14, 
  4.31  subdivision 3, is amended to read: 
  4.32   Subd. 3.  Information and 
  4.33  Management Services 
  4.34      16,643,000      9,932,000
  4.35  $100,000 the first year is for a grant 
  4.36  to the city of Mankato to complete the 
  4.37  Mankato area growth management and 
  4.38  planning study, phase 2.  The 
  4.39  appropriation is available until June 
  4.40  30, 2002.  The appropriation must be 
  4.41  matched by an in-kind donation of 
  4.42  $100,000 in administrative, technical, 
  4.43  and higher educational internship 
  4.44  support and supervision.  The value of 
  4.45  the in-kind donations must be 
  4.46  determined by the commissioner of 
  4.47  finance. 
  4.48  The city shall serve as fiscal agent to 
  4.49  complete the study under the 1997 
  4.50  regional planning joint powers 
  4.51  agreement among the cities of Mankato, 
  4.52  North Mankato, and Eagle Lake; the 
  4.53  counties of Nicollet and Blue Earth; 
  4.54  and the towns of Mankato, South Bend, 
  4.55  Lime, Decoria, and Belgrade, without 
  4.56  limitation on the rights of the parties 
  5.1   to that agreement to add or remove 
  5.2   members.  The study is intended as an 
  5.3   alternative to community-based 
  5.4   planning.  The study is intended to 
  5.5   develop information and analysis to 
  5.6   provide guidance on such issues as: 
  5.7   (1) the development of joint planning 
  5.8   agreements to implement a unified 
  5.9   growth management strategy; 
  5.10  (2) joint service ventures, such as 
  5.11  planning or zoning administration in 
  5.12  urban fringe areas; 
  5.13  (3) orderly growth and annexation 
  5.14  agreements between cities and 
  5.15  townships; 
  5.16  (4) feedlot regulations in urban fringe 
  5.17  areas and future growth corridors; 
  5.18  (5) service strategies for unsewered 
  5.19  subdivisions; 
  5.20  (6) other joint ventures for city, 
  5.21  county, and township service delivery 
  5.22  in fringe areas; 
  5.23  (7) feasibility of a rural township 
  5.24  taxing district; and 
  5.25  (8) alternatives to the current 
  5.26  community-based planning legislation 
  5.27  that would add flexibility and improve 
  5.28  the planning process. 
  5.29  The city of Mankato shall report the 
  5.30  results of the study to the legislature 
  5.31  by January 15, 2002. 
  5.32  $6,839,000 the first year is a one-time 
  5.33  appropriation to upgrade the human 
  5.34  resources and payroll system and is 
  5.35  available until June 30, 2003.  The 
  5.36  commissioner shall report on the 
  5.37  progress of this project to the chairs 
  5.38  of the legislative committees 
  5.39  responsible for this budget item by 
  5.40  January 15, 2000, 2001, and 2002. 
  5.41  The commissioner of finance shall work 
  5.42  with the commissioners of employee 
  5.43  relations and administration and shall 
  5.44  develop as part of the human resource 
  5.45  and payroll systems upgrade, and submit 
  5.46  to the chairs of the senate 
  5.47  governmental operations budget division 
  5.48  and the house state government finance 
  5.49  committee by January 15, 2000, a 
  5.50  long-range plan for the statewide 
  5.51  business systems:  human resources, 
  5.52  payroll, accounting, and procurement.  
  5.53  The plan must detail each system's 
  5.54  original development costs, its 
  5.55  expected life cycle, the estimated cost 
  5.56  of upgrading software to newer versions 
  5.57  during its life cycle, its operating 
  5.58  costs to date, and the factors that are 
  5.59  expected to drive future operating 
  5.60  costs within the departments of 
  6.1   finance, administration, and employee 
  6.2   relations.  The plan must also include 
  6.3   an evaluation of and recommendations on 
  6.4   whether, for the statewide business 
  6.5   systems, the state should use software 
  6.6   that is developed and maintained in 
  6.7   house; proprietary software, either 
  6.8   modified or unmodified; a private 
  6.9   vendor; or a particular combination of 
  6.10  these options. 
  6.11  The commissioner of finance, in 
  6.12  consultation with senate and house 
  6.13  fiscal staff and the commissioner of 
  6.14  administration, shall develop 
  6.15  recommendations for inclusion in the 
  6.16  governor's fiscal year 2002-2003 budget 
  6.17  document on the presentation of 
  6.18  internal service funds.  The 
  6.19  commissioner of finance shall submit 
  6.20  the recommendations to the chairs of 
  6.21  the senate governmental operations 
  6.22  budget division and the house state 
  6.23  government finance committee by January 
  6.24  15, 2000. 
  6.25  The department shall prepare a separate 
  6.26  budget book for the biennium beginning 
  6.27  July 1, 2001, containing all of the 
  6.28  administration's technology 
  6.29  initiatives.  The book must also 
  6.30  include a complete inventory of 
  6.31  state-owned and leased technology, 
  6.32  along with a projected replacement 
  6.33  schedule.  The inventory must include 
  6.34  information on how the technology fits 
  6.35  into the state's master plan. 
  6.36     Sec. 4.  [REPEALER.] 
  6.37     Laws 1999, chapter 250, article 1, section 15, subdivision 
  6.38  4, is repealed. 
  6.39                             ARTICLE 2 
  6.40                    DEPARTMENT OF HUMAN SERVICES 
  6.41     Section 1.  Minnesota Statutes 1998, section 125A.21, 
  6.42  subdivision 1, is amended to read: 
  6.43     Subdivision 1.  [OBLIGATION TO PAY.] Nothing in sections 
  6.44  125A.03 to 125A.24 and 125A.65 relieves an insurer or similar 
  6.45  third party from an otherwise valid obligation to pay, or 
  6.46  changes the validity of an obligation to pay, for services 
  6.47  rendered to a child with a disability, and the child's family.  
  6.48  A school district shall pay the nonfederal share of medical 
  6.49  assistance services provided according to section 256B.0625, 
  6.50  subdivision 26.  Eligible expenditures must not be made from 
  6.51  federal funds or funds used to match other federal funds.  Any 
  6.52  federal disallowances are the responsibility of the school 
  7.1   district.  A school district may pay or reimburse copayments, 
  7.2   coinsurance, deductibles, and other enrollee cost-sharing 
  7.3   amounts, on behalf of the student or family, in connection with 
  7.4   health and related services provided under an individual 
  7.5   educational plan.  
  7.6      Sec. 2.  Minnesota Statutes 1998, section 256B.501, is 
  7.7   amended by adding a subdivision to read: 
  7.8      Subd. 13.  [ICF/MR RATE INCREASES BEGINNING OCTOBER 1, 
  7.9   1999, AND OCTOBER 1, 2000.] (a) For the rate years beginning 
  7.10  October 1, 1999, and October 1, 2000, the commissioner shall 
  7.11  make available to each facility reimbursed under this section, 
  7.12  section 256B.5011, and Laws 1993, First Special Session chapter 
  7.13  1, article 4, section 11, an adjustment to the total operating 
  7.14  payment rate.  For each facility, total operating costs shall be 
  7.15  separated into costs that are compensation-related and all other 
  7.16  costs.  "Compensation-related costs" means the facility's 
  7.17  allowable program operating cost category employee training 
  7.18  expenses, and the facility's allowable salaries, payroll taxes, 
  7.19  and fringe benefits.  The term does not include these same 
  7.20  salary-related costs for both administrative or central office 
  7.21  employees. 
  7.22     For the purpose of determining the adjustment to be granted 
  7.23  under this subdivision, the commissioner must use the most 
  7.24  recent cost report that has been subject to desk audit. 
  7.25     (b) For the rate year beginning October 1, 1999, the 
  7.26  commissioner shall make available a rate increase for 
  7.27  compensation-related costs of 4.6 percent and a rate increase 
  7.28  for all other operating costs of 3.2 percent. 
  7.29     (c) For the rate year beginning October 1, 2000, the 
  7.30  commissioner shall make available a rate increase for 
  7.31  compensation-related costs of 3.6 percent and a rate increase 
  7.32  for all other operating costs of two percent. 
  7.33     (d) For each facility, the commissioner shall determine the 
  7.34  payment rate adjustment using the categories specified in 
  7.35  paragraph (a) multiplied by the rate increases specified in 
  7.36  paragraph (b) or (c), and then dividing the resulting amount by 
  8.1   the facility's actual resident days.  
  8.2      (e) Any facility whose payment rates are governed by 
  8.3   closure agreements, receivership agreements, or Minnesota Rules, 
  8.4   part 9553.0075, are not eligible for an adjustment otherwise 
  8.5   granted under this subdivision.  
  8.6      (f) A facility may apply for the compensation-related 
  8.7   payment rate adjustment calculated under this subdivision.  The 
  8.8   application must be made to the commissioner and contain a plan 
  8.9   by which the facility will distribute the compensation-related 
  8.10  portion of the payment rate adjustment to employees of the 
  8.11  facility.  For facilities in which the employees are represented 
  8.12  by an exclusive bargaining representative, an agreement 
  8.13  negotiated and agreed to by the employer and the exclusive 
  8.14  bargaining representative constitutes the plan.  The 
  8.15  commissioner shall review the plan to ensure that the payment 
  8.16  rate adjustment per diem is used as provided in this 
  8.17  subdivision.  To be eligible, a facility must submit its plan 
  8.18  for the compensation distribution by December 31 each year.  A 
  8.19  facility may amend its plan for the second rate year by 
  8.20  submitting a revised plan by December 31, 2000.  If a facility's 
  8.21  plan for compensation distribution is effective for its 
  8.22  employees after October 1 of the year that the funds are 
  8.23  available, the payment rate adjustment per diem shall be 
  8.24  effective the same date as its plan. 
  8.25     (g) A copy of the approved distribution plan must be made 
  8.26  available to all employees.  This must be done by giving each 
  8.27  employee a copy or by posting it in an area of the facility to 
  8.28  which all employees have access.  If an employee does not 
  8.29  receive the compensation adjustment described in their 
  8.30  facility's approved plan and is unable to resolve the problem 
  8.31  with the facility's management or through the employee's union 
  8.32  representative, the employee may contact the commissioner at an 
  8.33  address or phone number provided by the commissioner and 
  8.34  included in the approved plan. 
  8.35     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
  8.36  256B.77, subdivision 10, is amended to read: 
  9.1      Subd. 10.  [CAPITATION PAYMENT.] (a) The commissioner shall 
  9.2   pay a capitation payment to the county authority and, when 
  9.3   applicable under subdivision 6, paragraph (a), to the service 
  9.4   delivery organization for each medical assistance eligible 
  9.5   enrollee.  The commissioner shall develop capitation payment 
  9.6   rates for the initial contract period for each demonstration 
  9.7   site in consultation with an independent actuary, to ensure that 
  9.8   the cost of services under the demonstration project does not 
  9.9   exceed the estimated cost for medical assistance services for 
  9.10  the covered population under the fee-for-service system for the 
  9.11  demonstration period.  For each year of the demonstration 
  9.12  project, the capitation payment rate shall be based on 96 
  9.13  percent of the projected per person costs that would otherwise 
  9.14  have been paid under medical assistance fee-for-service during 
  9.15  each of those years.  Rates shall be adjusted within the limits 
  9.16  of the available risk adjustment technology, as mandated by 
  9.17  section 62Q.03.  In addition, the commissioner shall implement 
  9.18  appropriate risk and savings sharing provisions with county 
  9.19  administrative entities and, when applicable under subdivision 
  9.20  6, paragraph (a), service delivery organizations within the 
  9.21  projected budget limits.  Capitation rates shall be adjusted, at 
  9.22  least annually, to include any rate increases and payments for 
  9.23  expanded or newly covered services for eligible individuals.  
  9.24  The initial demonstration project rate shall include an amount 
  9.25  in addition to the fee-for-service payments to adjust for 
  9.26  underutilization of dental services.  Any savings beyond those 
  9.27  allowed for the county authority, county administrative entity, 
  9.28  or service delivery organization shall be first used to meet the 
  9.29  unmet needs of eligible individuals.  Payments to providers 
  9.30  participating in the project are exempt from the requirements of 
  9.31  sections 256.966 and 256B.03, subdivision 2. 
  9.32     (b) The commissioner shall monitor and evaluate annually 
  9.33  the effect of the discount on consumers, the county authority, 
  9.34  and providers of disability services.  Findings shall be 
  9.35  reported and recommendations made, as appropriate, to ensure 
  9.36  that the discount effect does not adversely affect the ability 
 10.1   of the county administrative entity or providers of services to 
 10.2   provide appropriate services to eligible individuals, and does 
 10.3   not result in cost shifting of eligible individuals to the 
 10.4   county authority. 
 10.5      (c) For risk-sharing to occur under this subdivision, the 
 10.6   aggregate fee-for-service cost of covered services provided by 
 10.7   the county administrative entity under this section must exceed 
 10.8   the aggregate sum of capitation payments made to the county 
 10.9   administrative entity under this section.  The county authority 
 10.10  is required to maintain its current level of nonmedical 
 10.11  assistance spending on enrollees.  If the county authority 
 10.12  spends less in nonmedical assistance dollars on enrollees than 
 10.13  it spent the year prior to the contract year, the amount of 
 10.14  underspending shall be deducted from the aggregate 
 10.15  fee-for-service cost of covered services.  The commissioner 
 10.16  shall then compare the fee-for-service costs and capitation 
 10.17  payments related to the services provided for the term of this 
 10.18  contract.  The commissioner shall base its calculation of the 
 10.19  fee-for-service costs on application of the medical assistance 
 10.20  fee schedule to services identified on the county administrative 
 10.21  entity's encounter claims submitted to the commissioner.  The 
 10.22  aggregate fee-for-service cost shall not include any third-party 
 10.23  recoveries or cost-avoided amounts. 
 10.24     If the commissioner finds that the aggregate 
 10.25  fee-for-service cost is greater than the sum of the capitation 
 10.26  payments, the commissioner shall settle according to the 
 10.27  following schedule: 
 10.28     (1) For the first contract year for each project, the 
 10.29  commissioner shall pay the county administrative entity 50 
 10.30  percent of the difference between the sum of the capitation 
 10.31  payments and 100 percent of projected fee-for-service costs.  
 10.32  For aggregate fee-for-service costs in excess of 100 percent of 
 10.33  projected fee-for-service costs, the commissioner shall pay 250 
 10.34  25 percent of the difference between the aggregate 
 10.35  fee-for-service costs and the projected fee-for-service costs, 
 10.36  up to 104 percent of the projected fee-for-service costs.  The 
 11.1   county administrative entity shall be responsible for all costs 
 11.2   in excess of 104 percent of projected fee-for-service costs. 
 11.3      (2) For the second contract year for each project, the 
 11.4   commissioner shall pay the county administrative entity 37.5 
 11.5   percent of the difference between the sum of the capitation 
 11.6   payments and 100 percent of projected fee-for-service costs.  
 11.7   The county administrative entity shall be responsible for all 
 11.8   costs in excess of 100 percent of projected fee-for-service 
 11.9   costs. 
 11.10     (3) For the third contract year for each project, the 
 11.11  commissioner shall pay the county administrative entity 25 
 11.12  percent of the difference between the sum of the capitation 
 11.13  payments and 100 percent of projected fee-for-service costs.  
 11.14  The county administrative entity shall be responsible for all 
 11.15  costs in excess of 100 percent of projected fee-for-service 
 11.16  costs. 
 11.17     (4) For the fourth and subsequent contract years for each 
 11.18  project, the county administrative entity shall be responsible 
 11.19  for all costs in excess of the capitation payments. 
 11.20     (d) In addition to other payments under this subdivision, 
 11.21  the commissioner may increase payments by up to 0.25 percent of 
 11.22  the projected per person costs that would otherwise have been 
 11.23  paid under medical assistance fee-for-service.  The commissioner 
 11.24  may make the increased payments to: 
 11.25     (1) offset rate increases for regional treatment services 
 11.26  under subdivision 22 which are higher than was expected by the 
 11.27  commissioner when the capitation was set at 96 percent; and 
 11.28     (2) implement incentives to encourage appropriate, high 
 11.29  quality, efficient services. 
 11.30     Sec. 4.  Laws 1999, chapter 245, article 1, section 3, 
 11.31  subdivision 2, is amended to read: 
 11.32  Subd. 2.  Health Systems
 11.33  and Special Populations               66,999,000     66,269,000
 11.34                Summary by Fund
 11.35  General              46,593,000    46,299,000
 11.36  State Government
 11.37  Special Revenue      10,557,000    10,012,000
 12.1   Health Care 
 12.2   Access                9,849,000     9,958,000
 12.3   [MERC ADMINISTRATIVE COSTS.] Of the 
 12.4   general fund appropriation for the 
 12.5   medical education and research fund, 
 12.6   $150,000 in fiscal year 2000 and 
 12.7   $150,000 in fiscal year 2001 is for the 
 12.8   commissioner for administrative costs 
 12.9   in implementing Minnesota Statutes, 
 12.10  sections 62J.692 and 62J.693. 
 12.11  [WIC TRANSFERS.] The general fund 
 12.12  appropriation for the women, infants, 
 12.13  and children (WIC) food supplement 
 12.14  program is available for either year of 
 12.15  the biennium.  Transfers of these funds 
 12.16  between fiscal years must either be to 
 12.17  maximize federal funds or to minimize 
 12.18  fluctuations in the number of program 
 12.19  participants. 
 12.20  [MINNESOTA CHILDREN WITH SPECIAL HEALTH 
 12.21  NEEDS CARRYOVER.] General fund 
 12.22  appropriations for treatment services 
 12.23  in the services for Minnesota children 
 12.24  with special health needs program are 
 12.25  available for either year of the 
 12.26  biennium. 
 12.27  [SUICIDE PREVENTION STUDY.] Of the 
 12.28  general fund appropriation, $100,000 in 
 12.29  fiscal year 2000 is for the 
 12.30  commissioner to study suicide issues 
 12.31  and develop a suicide prevention plan.  
 12.32  The study must be conducted in 
 12.33  consultation with local community 
 12.34  health boards, mental health 
 12.35  professionals, schools, and other 
 12.36  interested parties.  The plan must be 
 12.37  reported to the legislature by January 
 12.38  15, 2000.  
 12.39  [FAMILY PRACTICE RESIDENCY PROGRAM.] Of 
 12.40  the general fund appropriation, 
 12.41  $300,000 in fiscal year 2000 is to the 
 12.42  commissioner to make a grant to the 
 12.43  city of Duluth for a family practice 
 12.44  residency program for northeastern 
 12.45  Minnesota. 
 12.46  [UNCOMPENSATED CARE.] The commissioner 
 12.47  shall study and report to the 
 12.48  legislature by January 15, 2000, with: 
 12.49  (1) statistical information on the 
 12.50  amount of uncompensated health care 
 12.51  provided in Minnesota, the types of 
 12.52  care provided, the settings in which 
 12.53  the care is provided, and, if known, 
 12.54  the most common reasons why the care is 
 12.55  uncompensated; and 
 12.56  (2) recommendations for reducing the 
 12.57  level of uncompensated care, including, 
 12.58  but not limited to, methods to enroll 
 12.59  eligible persons in public health care 
 12.60  programs through simplification of the 
 12.61  application process and other efforts. 
 13.1   [RURAL HOSPITAL CAPITAL IMPROVEMENT 
 13.2   GRANT PROGRAM.] (a) Of this 
 13.3   appropriation, $2,800,000 for each 
 13.4   fiscal year is from the health care 
 13.5   access fund to the commissioner for the 
 13.6   rural hospital capital improvement 
 13.7   grant program described in Minnesota 
 13.8   Statutes, section 144.148. This 
 13.9   appropriation shall not become part of 
 13.10  the base for the 2002-2003 biennium. 
 13.11  (b) The commissioner may provide up to 
 13.12  $300,000 for the Westbrook health 
 13.13  center for hospital and clinic 
 13.14  improvements, upon receipt of 
 13.15  information from the Westbrook health 
 13.16  center indicating how it has fulfilled 
 13.17  the requirements of Minnesota Statutes, 
 13.18  section 144.148, and evidence that it 
 13.19  has raised at least a dollar-for-dollar 
 13.20  match from nonstate sources. 
 13.21  [ACCESS TO SUMMARY MINIMUM DATA SET 
 13.22  (MDS).] The commissioner, in 
 13.23  cooperation with the commissioner of 
 13.24  administration, shall work to obtain 
 13.25  access to Minimum Data Set (MDS) data 
 13.26  that is electronically transmitted by 
 13.27  nursing facilities to the health 
 13.28  department.  The MDS data shall be made 
 13.29  available on a quarterly basis to 
 13.30  industry trade associations for use in 
 13.31  quality improvement efforts and 
 13.32  comparative analysis.  The MDS data 
 13.33  shall be provided to the industry trade 
 13.34  associations in the form of summary 
 13.35  aggregate data, without patient 
 13.36  identifiers, to ensure patient 
 13.37  privacy.  The commissioner may charge 
 13.38  for the actual cost of production of 
 13.39  these documents. 
 13.40  [NURSING HOME MORATORIUM REPORT.] In 
 13.41  preparing the report required by 
 13.42  Minnesota Statutes, section 144A.071, 
 13.43  subdivision 5, the commissioner and the 
 13.44  commissioner of human services shall 
 13.45  analyze the adequacy of the supply of 
 13.46  nursing home beds by measuring the 
 13.47  ability of hospitals to promptly 
 13.48  discharge patients to a nursing home 
 13.49  within the hospital's primary service 
 13.50  area.  If it is determined that a 
 13.51  shortage of beds exists, the report 
 13.52  shall present a plan to correct the 
 13.53  service deficits.  The report shall 
 13.54  also analyze the impact of assisted 
 13.55  living services on the medical 
 13.56  assistance utilization of nursing homes.
 13.57  [HEALTH CARE PURCHASING ALLIANCES.] Of 
 13.58  the health care access fund 
 13.59  appropriation, $100,000 each year is to 
 13.60  the commissioner for grants to two 
 13.61  local organizations to develop health 
 13.62  care purchasing alliances under 
 13.63  Minnesota Statutes, section 62T.02, to 
 13.64  negotiate the purchase of health care 
 13.65  services from licensed entities.  Of 
 13.66  this amount, $50,000 each year is for a 
 13.67  grant to the Southwest Regional 
 14.1   Development Commissioner to coordinate 
 14.2   purchasing alliance development in the 
 14.3   southwest area of the state, and 
 14.4   $50,000 each year is for a grant to the 
 14.5   University of Minnesota extension 
 14.6   services in Crookston to coordinate 
 14.7   purchasing alliance development in the 
 14.8   northwest area of the state.  This is a 
 14.9   one-time appropriation and shall not 
 14.10  become part of base level funding for 
 14.11  this activity for the 2002-2003 
 14.12  biennium. 
 14.13  [GENERAL FUND TOBACCO BASE REDUCTION.] 
 14.14  The general fund base level 
 14.15  appropriation for tobacco prevention 
 14.16  and control programs and activities 
 14.17  shall be reduced by $1,100,000 each 
 14.18  year of the biennium beginning July 1, 
 14.19  2001.  Section 13, sunset of uncodified 
 14.20  language, does not apply to this 
 14.21  provision. 
 14.22  [STANDARDS FOR SPECIAL CASE AUTOPSIES.] 
 14.23  Of this general fund appropriation, 
 14.24  $20,000 for the biennium is for a grant 
 14.25  to a professional association 
 14.26  representing coroners and medical 
 14.27  examiners in Minnesota to conduct case 
 14.28  studies, and develop and disseminate 
 14.29  guidelines, for autopsy practice in 
 14.30  special cases.  This is a one-time 
 14.31  appropriation and shall not become part 
 14.32  of base level funding for the 2002-2003 
 14.33  biennium. 
 14.34     Sec. 5.  Laws 1999, chapter 245, article 4, section 121, is 
 14.35  amended to read: 
 14.36     Sec. 121.  [EFFECTIVE DATE.] 
 14.37     (a) Sections 3, 4, 5, 45, 95, and 97, subdivision 3, 
 14.38  paragraph (d), are effective July 1, 2000. 
 14.39     (b) Section 56 is effective upon federal approval. 
 14.40     Sec. 6.  [EFFECTIVE DATE.] 
 14.41     Section 1 is effective July 1, 2000.  Sections 2 to 4 are 
 14.42  effective retroactive to July 1, 1999. 
 14.43                             ARTICLE 3 
 14.44             EDUCATION CODE:  PREKINDERGARTEN-GRADE 12 
 14.45     Section 1.  Minnesota Statutes 1999 Supplement, section 
 14.46  124D.65, subdivision 4, is amended to read: 
 14.47     Subd. 4.  [STATE TOTAL LEP REVENUE.] (a) The state total 
 14.48  limited English proficiency programs revenue for fiscal year 
 14.49  2000 equals $27,454,000.  The state total limited English 
 14.50  proficiency programs revenue for fiscal year 2001 equals 
 14.51  $31,752,000.  
 15.1      (b) The state total limited English proficiency programs 
 15.2   revenue for later fiscal years equals: 
 15.3      (1) the state total limited English proficiency programs 
 15.4   revenue for the preceding fiscal year; times 
 15.5      (2) the program growth factor under section 125A.76 
 15.6   subdivision 1; times 
 15.7      (3) the ratio of the state total number of pupils with 
 15.8   limited English proficiency for the current fiscal year to the 
 15.9   state total number of pupils with limited English proficiency 
 15.10  for the preceding fiscal year. 
 15.11     Sec. 2.  Minnesota Statutes 1999 Supplement, section 
 15.12  126C.052, is amended to read: 
 15.13     126C.052 [CLASS SIZE, ALL-DAY KINDERGARTEN, AND SPECIAL 
 15.14  EDUCATION STUDENT-TO-INSTRUCTOR RATIO RESERVE.] 
 15.15     A district is required to reserve $3 in fiscal year 2000 
 15.16  and $11 in fiscal year 2001 and later per adjusted marginal cost 
 15.17  pupil unit for class size reduction, all-day kindergarten, or 
 15.18  for reducing special education student-to-instructor ratios.  
 15.19  The school board of each district must pass a resolution stating 
 15.20  which one of these three programs will be funded with this 
 15.21  reserve.  The reserve amount under this section must be 
 15.22  allocated to the education site as defined in section 123B.04, 
 15.23  subdivision 1, according to a plan adopted by the school board. 
 15.24     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
 15.25  126C.10, subdivision 2, is amended to read: 
 15.26     Subd. 2.  [BASIC REVENUE.] The basic revenue for each 
 15.27  district equals the formula allowance times the resident 
 15.28  adjusted marginal cost pupil units for the school year.  The 
 15.29  formula allowance for fiscal year 1998 is $3,581.  The formula 
 15.30  allowance for fiscal year 1999 is $3,530.  The formula allowance 
 15.31  for fiscal year 2000 is $3,740.  The formula allowance for 
 15.32  fiscal year 2001 and subsequent fiscal years is $3,875. 
 15.33     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
 15.34  126C.10, subdivision 23, is amended to read: 
 15.35     Subd. 23.  [REFERENDUM OFFSET ADJUSTMENT.] A district that 
 15.36  qualifies for the referendum allowance reduction under section 
 16.1   126C.17, subdivision 12, and whose referendum allowance under 
 16.2   section 126C.17, subdivision 1, as adjusted under section 
 16.3   126C.17, subdivisions 2 and 12, does not exceed the referendum 
 16.4   allowance limit under section 126C.17, subdivision 2, clause 
 16.5   (2), shall receive a referendum offset adjustment.  In fiscal 
 16.6   year 2000 and thereafter, the referendum offset adjustment is 
 16.7   equal to $25 per resident adjusted marginal cost pupil unit. 
 16.8      Sec. 5.  Minnesota Statutes 1999 Supplement, section 
 16.9   126C.12, subdivision 1, is amended to read: 
 16.10     Subdivision 1.  [REVENUE.] Of a district's general 
 16.11  education revenue for fiscal year 2000 and thereafter each 
 16.12  school district shall reserve an amount equal to the formula 
 16.13  allowance multiplied by the following calculation: 
 16.14     (1) the sum of adjusted marginal cost pupil units pupils in 
 16.15  average daily membership, according to section 126C.05, 
 16.16  subdivision 5, in kindergarten times .057; plus 
 16.17     (2) the sum of adjusted marginal cost pupil units pupils in 
 16.18  average daily membership, according to section 126C.05, 
 16.19  subdivision 5, in grades 1 to 3 times .115; plus 
 16.20     (3) the sum of adjusted marginal cost pupil units pupils in 
 16.21  average daily membership, according to section 126C.05, 
 16.22  subdivision 5, in grades 4 to 6 times .06. 
 16.23     Sec. 6.  Laws 1999, chapter 241, article 1, section 70, is 
 16.24  amended to read: 
 16.25     Sec. 70.  [EFFECTIVE DATES.] 
 16.26     Sections 13, 14, 26, 30, 37, and 39 are effective for 
 16.27  revenue for fiscal year 2000 and later.  Section 41 is effective 
 16.28  for revenue for fiscal year 2001 and later.  Sections 46, 47, 
 16.29  and 55 to 60 are effective the day following final enactment.  
 16.30  Section 61 is effective for taxes payable in 2000 and later. 
 16.31     Sec. 7.  Laws 1999, chapter 241, article 4, section 29, is 
 16.32  amended to read: 
 16.33     Sec. 29.  [REPEALER.] 
 16.34     (a) Minnesota Statutes 1998, sections 123A.44; 123A.441; 
 16.35  123A.442; 123A.443; 123A.444; 123A.445; 123A.446; 123B.57, 
 16.36  subdivisions 4, 5, and 7; 123B.59, subdivision 7; 123B.63, 
 17.1   subdivisions 1 and 2; section 123B.66; 123B.67; 123B.68; and 
 17.2   123B.69, are, is repealed effective the day following final 
 17.3   enactment. 
 17.4      (b) Minnesota Statutes 1998, section 123B.58, is repealed 
 17.5   effective July 1, 2004. 
 17.6      (c) Minnesota Statutes 1998, section 123B.64, subdivision 
 17.7   4, is repealed effective for revenue for fiscal year 2000. 
 17.8      (d) (c) Minnesota Statutes 1998, section 123B.64, 
 17.9   subdivisions 1, 2, and 3, are repealed effective for revenue for 
 17.10  fiscal year 2001. 
 17.11     (e) (d) Minnesota Rules, parts 3500.3900; 3500.4000; 
 17.12  3500.4100; 3500.4200; and 3500.4300, are repealed. 
 17.13     Sec. 8.  [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] 
 17.14     (a) The sums indicated in this section are appropriated 
 17.15  from the general fund unless otherwise indicated to the 
 17.16  department of children, families, and learning for the fiscal 
 17.17  years designated. 
 17.18       $32,316,000     .....     2000 
 17.19       $29,785,000     .....     2001 
 17.20     (b) Any balance the first year does not cancel but is 
 17.21  available in the second year. 
 17.22     (c) $21,000 each year is from the trunk highway fund. 
 17.23     (d) $673,000 in 2000 and $678,000 in 2001 is for the board 
 17.24  of teaching. 
 17.25     (e) Notwithstanding Minnesota Statutes, section 15.53, 
 17.26  subdivision 2, the commissioner of children, families, and 
 17.27  learning may contract with a school district for a period no 
 17.28  longer than five consecutive years to work in the development or 
 17.29  implementation of the graduation rule.  The commissioner may 
 17.30  contract for services and expertise as necessary.  The contracts 
 17.31  are not subject to Minnesota Statutes, section 16C.05. 
 17.32     (f) $165,000 in 2000 is for the state board of education.  
 17.33  Any functions of the state board of education that are not 
 17.34  specifically transferred to another agency are transferred to 
 17.35  the department of children, families, and learning under 
 17.36  Minnesota Statutes, section 15.039.  For the position that is 
 18.1   classified, upon transferring the responsibilities, the current 
 18.2   incumbent is appointed to the classified position without exam 
 18.3   or probationary period. 
 18.4      (g) $2,000,000 in 2000 is for litigation costs and may only 
 18.5   be used for those purposes.  This is a one-time appropriation. 
 18.6      Sec. 9.  [REPEALER WITHOUT EFFECT.] 
 18.7      The repeal of Minnesota Statutes 1998, sections 123A.44; 
 18.8   123A.441; 123A.442; 123A.443; 123A.444; 123A.445; 123A.446; 
 18.9   123B.57, subdivisions 4, 5, and 7; 123B.59, subdivision 7; 
 18.10  123B.63, subdivisions 1 and 2; 123B.67; 123B.68; and 123B.69, by 
 18.11  Laws 1999, chapter 241, article 4, section 29, with an effective 
 18.12  date of May 26, 1999, is without effect and Minnesota Statutes 
 18.13  1998, sections 123A.44; 123A.441; 123A.442; 123A.443; 123A.444; 
 18.14  123A.445; 123A.446; 123B.57, subdivisions 4, 5, and 7; 123B.59, 
 18.15  subdivision 7; 123B.63, subdivisions 1 and 2; 123B.67; 123B.68; 
 18.16  and 123B.69, remain in effect after May 25, 1999. 
 18.17     Sec. 10.  [REPEALER.] 
 18.18     Laws 1999, chapter 241, article 10, section 5, is repealed 
 18.19  retroactive to July 1, 1999. 
 18.20     Sec. 11.  [EFFECTIVE DATE.] 
 18.21     Section 8 is effective retroactive to July 1, 1999.  
 18.22  Sections 7, paragraph (a), and 9 are effective retroactive to 
 18.23  May 26, 1999.