HF 3722

1st Unofficial Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

1.1A bill for an act

1.2relating to economic development; prohibiting use of certain construction
1.3debris as cover material; requiring state approval of government procurement
1.4agreements of United States trade agreements; establishing a trade policy
1.5advisory group; protecting certain communications in the workplace between
1.6labor organizations and employees; changing the name of the boxing commission
1.7to combative sports commission and making provision modifications; relating
1.8to unemployment insurance; providing for extended unemployment benefits
1.9under certain circumstances; regulating benefit amounts and eligibility for
1.10benefits; extending the time period for a local governmental unit to elect to
1.11be removed from the central iron range sanitary sewer district; establishing
1.12transit improvement area accounts and a loan program; making technical
1.13changes to unemployment insurance provisions; amending Minnesota Statutes
1.142006, sections 268.125, subdivisions 1, 2, by adding a subdivision; 341.21, as
1.15amended; 341.23; 341.26; 341.28, as amended; 341.29; 341.30; 341.32, as
1.16amended; 341.33; 341.34, subdivision 1; 341.35; 341.37; Minnesota Statutes
1.172007 Supplement, sections 214.04, subdivision 3; 268.047, subdivisions 1, 2;
1.18268.085, subdivisions 3, 16; 268.125, subdivision 3; 268.19, subdivision 1;
1.19341.22; 341.25; 341.27; 341.321; Laws 2002, chapter 382, article 2, section 5,
1.20subdivision 3, as added; proposing coding for new law in Minnesota Statutes,
1.21chapters 115A; 116J; 181; 341; 469; repealing Minnesota Statutes 2006, section
1.22341.31.
1.23BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.24    Section 1. [115A.936] CONSTRUCTION DEBRIS AS COVER MATERIAL
1.25PROHIBITED.
1.26    (a) Construction debris or residuals from processed construction debris containing
1.27any amount of gypsum shall not be managed as cover material at disposal facilities unless:
1.28    (1) residual material is managed in an industrial or construction and demolition
1.29disposal facility equipped with a liner and leachate collection system;
1.30    (2) residual material is not mechanically pulverized or size-reduced prior to
1.31processing, screening, or application;
2.1    (3) a maximum effort is made to remove gypsum from the waste prior to processing,
2.2screening, or application;
2.3    (4) residual material is mixed at a ratio of one part soil to one part residual material
2.4prior to application; and
2.5    (5) the disposal facility does not accept any amount of cover material greater than
2.6what is operationally necessary.
2.7    (b) For the purposes of this section, "residual material" means construction debris or
2.8residuals from processed construction debris containing any amount of gypsum.

2.9    Sec. 2. [116J.976] STATE APPROVAL OF GOVERNMENT PROCUREMENT
2.10AGREEMENTS.
2.11    Any decision of the state to enter into government procurement agreements relating
2.12to United States trade agreements must be approved by the governor and the legislature.
2.13EFFECTIVE DATE.This section is effective the day following final enactment.

2.14    Sec. 3. [116J.977] TRADE POLICY ADVISORY GROUP.
2.15    Subdivision 1. Establishment. The trade policy advisory group is established to
2.16advise and assist the governor and the legislature regarding government procurement
2.17agreements of United States trade agreements.
2.18    Subd. 2. Membership. (a) The trade policy advisory group shall be comprised of
2.19nine members as follows:
2.20    (1) the governor, or the governor's designee;
2.21    (2) the commissioner of employment and economic development, or the
2.22commissioner's designee;
2.23    (3) the commissioner of agriculture, or the commissioner's designee;
2.24    (4) the commissioner of administration, or the commissioner's designee;
2.25    (5) the attorney general, or a designee;
2.26    (6) two senators, including one member from the majority party and one member
2.27from the minority party, appointed by the Subcommittee on Committees of the Committee
2.28on Rules and Administration of the senate; and
2.29    (7) two members of the house of representatives, including one member appointed
2.30by the speaker of the house and one member appointed by the minority leader.
2.31    (b) Members of the trade policy advisory group shall serve for a term of two years
2.32and may be reappointed. Members shall serve until their successors have been appointed.
3.1    (c) The trade policy advisory group may invite representatives from other state
3.2agencies, industries, trade and labor organizations, nongovernmental organizations, and
3.3local governments to join the group as nonvoting ex officio members.
3.4    Subd. 3. Administration. (a) The commissioner of employment and economic
3.5development or the commissioner's designee shall:
3.6    (1) coordinate with the other appointing authorities to designate their representatives;
3.7and
3.8    (2) provide meeting space and administrative services for the group.
3.9    (b) The members shall elect a chair from the legislative members of the working
3.10group. The chair will assume responsibility for convening future meetings of the group.
3.11    (c) Public members of the advisory group serve without compensation or payment of
3.12expenses.
3.13    Subd. 4. Duties. The trade policy advisory group shall:
3.14    (1) serve as an advisory group to the governor and the legislature on matters relating
3.15to government procurement agreements of United States trade agreements;
3.16    (2) assess the potential impact of government procurement agreements on the state's
3.17economy;
3.18    (3) advise the governor and the legislature of the group's findings and make
3.19recommendations, including any draft legislation necessary to implement the
3.20recommendations, to the governor and the legislature;
3.21    (4) determine, on a case-by-case basis, the impact of a specific government
3.22procurement agreement by requesting input from state agencies, seeking expert advice,
3.23convening public hearings, and taking other reasonable and appropriate actions;
3.24    (5) provide advice on other issues related to trade agreements other than government
3.25procurement agreements when specifically requested by the governor or the legislature;
3.26    (6) request information from the Office of the United States Trade Representative
3.27necessary to conduct an appropriate review of government procurement agreements or
3.28other trade issues as directed by the governor or the legislature; and
3.29    (7) receive information obtained by the United States Trade Representative's Single
3.30Point of Contact for Minnesota.
3.31    Subd. 5. Expiration. Notwithstanding section 15.059, subdivision 5, this section
3.32expires June 30, 2012.
3.33EFFECTIVE DATE.This section is effective July 1, 2008.

3.34    Sec. 4. [181.985] WORKPLACE COMMUNICATIONS.
4.1    Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
4.2have the meanings given them in this subdivision.
4.3    (b) "Employer" means any person, business entity, or nonprofit organization having
4.4one or more employees in Minnesota, and includes the state and any political subdivisions
4.5of the state.
4.6    (c) "Employee" means a person who performs services for hire in Minnesota for an
4.7employer, but does not include independent contractors.
4.8    (d) "Communication" means any printed or electronic document, letter, brochure,
4.9flyer, advertisement, e-mail, text message, or similar means pertaining to union business
4.10or labor organizing as provided under state or federal law.
4.11    (e) "Employee organization" or "labor organization" have the same meanings given
4.12them in sections 179.01, subdivision 6, and 179A.03, subdivision 6.
4.13    Subd. 2. Prohibited practice. An employer may not refuse to hire a job applicant
4.14or discipline or discharge an employee because the applicant or employee has received
4.15or responded to a communication from an employee organization or labor organization.
4.16Nor shall an employer prohibit an employee from receiving communications from an
4.17employee organization at the employee's work location, work mailbox, in an employee
4.18break room or meal area, or on the employee's work computer. Reasonable rules
4.19concerning the quantity of the communications, political or other inappropriate content of
4.20the communications, attachments to electronic communications, and appropriate nonwork
4.21times for review of these types of communications are permitted. An employer may
4.22discipline or discharge an employee for violations of these rules in accordance with the
4.23employer's personnel policies or union contract.
4.24    Subd. 3. Remedy. The remedy for a violation of this section is through any
4.25applicable grievance procedure. Damages are limited to wages and benefits lost by the
4.26individual because of the violation.

4.27    Sec. 5. Minnesota Statutes 2007 Supplement, section 214.04, subdivision 3, is
4.28amended to read:
4.29    Subd. 3. Officers; staff. The executive director of each health-related board and
4.30the executive secretary of each non-health-related board shall be the chief administrative
4.31officer for the board but shall not be a member of the board. The executive director or
4.32executive secretary shall maintain the records of the board, account for all fees received
4.33by it, supervise and direct employees servicing the board, and perform other services as
4.34directed by the board. The executive directors, executive secretaries, and other employees
5.1of the following boards shall be hired by the board, and the executive directors or executive
5.2secretaries shall be in the unclassified civil service, except as provided in this subdivision:
5.3    (1) Dentistry;
5.4    (2) Medical Practice;
5.5    (3) Nursing;
5.6    (4) Pharmacy;
5.7    (5) Accountancy;
5.8    (6) Architecture, Engineering, Land Surveying, Landscape Architecture,
5.9Geoscience, and Interior Design;
5.10    (7) Barber Examiners;
5.11    (8) Cosmetology;
5.12    (9) Teaching;
5.13    (10) Peace Officer Standards and Training;
5.14    (11) Social Work;
5.15    (12) Marriage and Family Therapy;
5.16    (13) Dietetics and Nutrition Practice; and
5.17    (14) Licensed Professional Counseling; and
5.18    (15) Combative Sports Commission.
5.19    The executive directors or executive secretaries serving the boards are hired by those
5.20boards and are in the unclassified civil service, except for part-time executive directors
5.21or executive secretaries, who are not required to be in the unclassified service. Boards
5.22not requiring full-time executive directors or executive secretaries may employ them on
5.23a part-time basis. To the extent practicable, the sharing of part-time executive directors
5.24or executive secretaries by boards being serviced by the same department is encouraged.
5.25Persons providing services to those boards not listed in this subdivision, except executive
5.26directors or executive secretaries of the boards and employees of the attorney general, are
5.27classified civil service employees of the department servicing the board. To the extent
5.28practicable, the commissioner shall ensure that staff services are shared by the boards
5.29being serviced by the department. If necessary, a board may hire part-time, temporary
5.30employees to administer and grade examinations.
5.31EFFECTIVE DATE.This section is effective the day following final enactment.

5.32    Sec. 6. Minnesota Statutes 2007 Supplement, section 268.047, subdivision 1, is
5.33amended to read:
5.34    Subdivision 1. General rule. Unemployment benefits paid to an applicant,
5.35including extended, additional, and shared work benefits, will be used in computing
6.1the future tax rate of a taxpaying base period employer or charged to the reimbursable
6.2account of a base period nonprofit or government employer that has elected to be liable for
6.3reimbursements except as provided in subdivisions 2 and 3. The amount of unemployment
6.4benefits used in computing the future tax rate of taxpaying employers or charged to the
6.5reimbursable account of a nonprofit or government employer that has elected to be liable
6.6for reimbursements is the same percentage of the total amount of unemployment benefits
6.7paid as the percentage of wage credits from the employer is of the total amount of wage
6.8credits from all the applicant's base period employers.
6.9    In making computations under this subdivision, the amount of wage credits, if not a
6.10whole dollar, must be computed to the nearest whole dollar.

6.11    Sec. 7. Minnesota Statutes 2007 Supplement, section 268.047, subdivision 2, is
6.12amended to read:
6.13    Subd. 2. Exceptions for all employers. Unemployment benefits paid will not be
6.14used in computing the future tax rate of a taxpaying base period employer or charged to
6.15the reimbursable account of a base period nonprofit or government employer that has
6.16elected to be liable for reimbursements when:
6.17    (1) the applicant was discharged from the employment because of aggravated
6.18employment misconduct as determined under section 268.095. This exception applies
6.19only to unemployment benefits paid for periods after the applicant's discharge from
6.20employment;
6.21    (2) an applicant's discharge from that employment occurred because a law required
6.22removal of the applicant from the position the applicant held;
6.23    (3) the employer is in the tourist or recreation industry and is in active operation of
6.24business less than 15 calendar weeks each year and the applicant's wage credits from the
6.25employer are less than 600 times the applicable state or federal minimum wage;
6.26    (4) the employer provided regularly scheduled part-time employment to the
6.27applicant during the applicant's base period and continues to provide the applicant with
6.28regularly scheduled part-time employment during the benefit year of at least 90 percent
6.29of the part-time employment provided in the base period, and is an involved employer
6.30because of the applicant's loss of other employment. This exception terminates effective
6.31the first week that the employer fails to meet the benefit year employment requirements.
6.32This exception applies to educational institutions without consideration of the period
6.33between academic years or terms;
6.34    (5) the employer is a fire department or firefighting corporation or operator of
6.35a life-support transportation service, and continues to provide employment for the
7.1applicant as a volunteer firefighter or a volunteer ambulance service personnel during the
7.2benefit year on the same basis that employment was provided in the base period. This
7.3exception terminates effective the first week that the employer fails to meet the benefit
7.4year employment requirements;
7.5    (6) the applicant's unemployment from this employer was a direct result of the
7.6condemnation of property by a governmental agency, a fire, flood, or act of nature,
7.7where 25 percent or more of the employees employed at the affected location, including
7.8the applicant, became unemployed as a result. This exception does not apply where the
7.9unemployment was a direct result of the intentional act of the employer or a person acting
7.10on behalf of the employer;
7.11    (7) the unemployment benefits were paid by another state as a result of the
7.12transferring of wage credits under a combined wage arrangement provided for in section
7.13268.131 ;
7.14    (8) the applicant stopped working because of a labor dispute at the applicant's
7.15primary place of employment if the employer was not a party to the labor dispute;
7.16    (9) the unemployment benefits were determined overpaid unemployment benefits
7.17under section 268.18; or
7.18    (10) the applicant was employed as a replacement worker, for a period of six months
7.19or longer, for an employee who is in the military reserve and was called for active duty
7.20during the time the applicant worked as a replacement, and the applicant was laid off
7.21because the employee returned to employment after active duty; or
7.22    (11) the trust fund was reimbursed for the unemployment benefits by the federal
7.23government.
7.24EFFECTIVE DATE.This section is effective the day following final enactment.

7.25    Sec. 8. Minnesota Statutes 2007 Supplement, section 268.085, subdivision 3, is
7.26amended to read:
7.27    Subd. 3. Payments that delay unemployment benefits. (a) An applicant is not
7.28eligible to receive unemployment benefits for any week with respect to which the applicant
7.29is receiving, has received, or has filed for payment, equal to or in excess of the applicant's
7.30weekly unemployment benefit amount, in the form of:
7.31    (1) vacation pay paid upon temporary, indefinite, or seasonal separation. This clause
7.32does not apply to (i) vacation pay paid upon a permanent separation from employment, or
7.33(ii) vacation pay paid from a vacation fund administered by a union or a third party not
7.34under the control of the employer;
8.1    (2) severance pay, bonus pay, sick pay, and any other payments, except earnings
8.2under subdivision 5, and back pay under subdivision 6, paid by an employer because of,
8.3upon, or after separation from employment, but only if the payment is considered wages at
8.4the time of payment under section 268.035, subdivision 29; or
8.5    (3) pension, retirement, or annuity payments from any plan contributed to by a base
8.6period employer including the United States government, except Social Security benefits
8.7that are provided for in subdivision 4. The base period employer is considered to have
8.8contributed to the plan if the contribution is excluded from the definition of wages under
8.9section 268.035, subdivision 29, clause (1).
8.10    An applicant is not considered to have received the lump sum payment if the
8.11applicant immediately deposits that payment in a qualified pension plan or account.
8.12    (b) This subdivision applies to all the weeks of payment. Payments under paragraph
8.13(a), clauses (1) and (2), are applied to the period immediately following the last day
8.14of employment and. The number of weeks of payment, for purposes of those clauses,
8.15is determined as follows:
8.16    (1) if the payments are made periodically, the total of the payments to be received is
8.17divided by the applicant's last level of regular weekly pay from the employer; or
8.18    (2) if the payment is made in a lump sum, that sum is divided by the applicant's last
8.19level of regular weekly pay from the employer.
8.20    (c) If the payment is less than the applicant's weekly unemployment benefit amount,
8.21unemployment benefits are reduced by the amount of the payment. If the computation
8.22of reduced unemployment benefits is not a whole dollar, it is rounded down to the next
8.23lower whole dollar.
8.24EFFECTIVE DATE.This section is effective the day following final enactment.

8.25    Sec. 9. Minnesota Statutes 2007 Supplement, section 268.085, subdivision 16, is
8.26amended to read:
8.27    Subd. 16. Actively seeking suitable employment defined. (a) "Actively seeking
8.28suitable employment" means those reasonable, diligent efforts an individual in similar
8.29circumstances would make if genuinely interested in obtaining suitable employment under
8.30the existing conditions in the labor market area. Limiting the search to positions that are
8.31not available or are above the applicant's training, experience, and qualifications is not
8.32"actively seeking suitable employment."
8.33    (b) To be considered "actively seeking suitable employment" an applicant must,
8.34when reasonable, contact those employers from whom the applicant was laid off because
8.35of lack of work and request suitable employment.
9.1    (c) If reasonable prospects of suitable employment in the applicant's usual or
9.2customary occupation do not exist, the applicant must actively seek other suitable
9.3employment to be considered "actively seeking suitable employment." This applies to an
9.4applicant who is seasonally unemployed.
9.5    (d) An applicant who is seeking employment only through a union is not considered
9.6actively seeking suitable employment unless if the applicant is in an occupation where
9.7it is required by union rule that all the hiring in that locality is done through the
9.8union or that all members are. If the applicant is a union member who is restricted
9.9to obtaining employment among signatory contractors in the construction industry,
9.10seeking employment only with those signatory contractors is considered actively seeking
9.11employment. The applicant must be a union member in good standing, registered with
9.12the union for employment, and in compliance with other union rules to be considered
9.13"actively seeking suitable employment."
9.14EFFECTIVE DATE.This section is effective the day following final enactment.

9.15    Sec. 10. Minnesota Statutes 2006, section 268.125, subdivision 1, is amended to read:
9.16    Subdivision 1. Additional unemployment benefits; when available. Additional
9.17unemployment benefits are available if:
9.18    (1) a county had a total unemployment rate for the prior 12-month period of at least
9.191.8 times the state average unemployment rate for the prior 12-month period and the state
9.20average unemployment rate for the same 12-month period was at least 4.6 percent. The
9.21commissioner must calculate the applicable unemployment rates within 30 days following
9.22the end of the month. Once it has been calculated that the total unemployment rate in a
9.23county equals or exceeds 1.8 times the state average unemployment rate for the prior
9.2412-month period, the additional benefits are available beginning the Sunday following the
9.25date of calculation and continuing for a minimum of 13 weeks; or
9.26    (2) (i) at a facility that had 100 or more employees, the employer reduced operations,
9.27resulting within a one-month period in the layoff of 50 percent or more of the facility's
9.28work force, including reductions caused as a result of a major natural disaster declared by
9.29the president;
9.30    (2) (ii) the employer has no expressed plan to resume operations that would lead to
9.31the reemployment of those employees in the immediate future; and
9.32    (3) (iii) the seasonally adjusted unemployment rate in the county that the facility
9.33is located was ten percent or more during the month of the reduction or any of the three
9.34months before or after the month of the reduction.
10.1EFFECTIVE DATE.This section is effective the day following final enactment
10.2and applies retroactively from January 1, 2008.

10.3    Sec. 11. Minnesota Statutes 2006, section 268.125, subdivision 2, is amended to read:
10.4    Subd. 2. Payment of unemployment benefits from trust fund; effect on
10.5employer. Additional unemployment benefits are payable from the trust fund. Additional
10.6unemployment benefits paid will not be used in computing the experience rating of a
10.7taxpaying employer nor charged to the reimbursing account of a nonprofit or government
10.8employer.

10.9    Sec. 12. Minnesota Statutes 2007 Supplement, section 268.125, subdivision 3, is
10.10amended to read:
10.11    Subd. 3. Eligibility conditions. An applicant is eligible to receive additional
10.12unemployment benefits for any week during the applicant's benefit year if:
10.13    (1) for any week during which benefits are available under subdivision 1, clause (1):
10.14    (i) the applicant resides in a county that meets the requirements of subdivision 1,
10.15clause (1), and resided in that county each week that regular unemployment benefits
10.16were paid;
10.17    (ii) the applicant was not paid unemployment benefits for any week in the 12 months
10.18before the effective date of the applicant's benefit account;
10.19    (iii) the applicant meets the same eligibility requirements that are required for
10.20regular unemployment benefits under section 268.069; and
10.21    (iv) the applicant has exhausted regular unemployment benefits under section
10.22268.07, is not entitled to receive extended unemployment benefits under section 268.115,
10.23and is not entitled to receive unemployment benefits under any other state or federal
10.24law for that week; or
10.25    (2) the applicant was laid off from employment as a result of a reduction under
10.26subdivision 1, clause (2), or was laid off because of lack of work from that employer
10.27during the three-month period before, or the three-month period after, the month of the
10.28reduction under subdivision 1, clause (2);
10.29    (2) (3) the applicant meets the same eligibility requirements that are required for
10.30regular unemployment benefits under section 268.085 268.069;
10.31    (3) the applicant is not ineligible under section 268.095 because of a quit or a
10.32discharge;
10.33    (4) the applicant has exhausted regular unemployment benefits under section 268.07,
10.34is not entitled to receive extended unemployment benefits under section 268.115, and
11.1is not entitled to receive unemployment benefits under any other state or federal law
11.2for that week; and
11.3    (5) a majority of the applicant's wage credits were from the employer that had a
11.4reduction in operations under subdivision 1, clause (2).
11.5EFFECTIVE DATE.This section is effective the day following final enactment
11.6and applies retroactively from January 1, 2008, except clause (1), item (ii), which shall be
11.7effective January 1, 2009.

11.8    Sec. 13. Minnesota Statutes 2006, section 268.125, is amended by adding a subdivision
11.9to read:
11.10    Subd. 6. Notice. The commissioner must notify applicants of the availability
11.11of additional unemployment benefits by contacting applicants by mail or electronic
11.12transmission, by posting a notice on the department's official Web site, and by appropriate
11.13announcement.
11.14EFFECTIVE DATE.This section is effective the day following final enactment.

11.15    Sec. 14. Minnesota Statutes 2007 Supplement, section 268.19, subdivision 1, is
11.16amended to read:
11.17    Subdivision 1. Use of data. (a) Except as provided by this section, data gathered
11.18from any person under the administration of the Minnesota Unemployment Insurance Law
11.19are private data on individuals or nonpublic data not on individuals as defined in section
11.2013.02, subdivisions 9 and 12 , and may not be disclosed except according to a district court
11.21order or section 13.05. A subpoena is not considered a district court order. These data
11.22may be disseminated to and used by the following agencies without the consent of the
11.23subject of the data:
11.24    (1) state and federal agencies specifically authorized access to the data by state
11.25or federal law;
11.26    (2) any agency of any other state or any federal agency charged with the
11.27administration of an unemployment insurance program;
11.28    (3) any agency responsible for the maintenance of a system of public employment
11.29offices for the purpose of assisting individuals in obtaining employment;
11.30    (4) the public authority responsible for child support in Minnesota or any other
11.31state in accordance with section 256.978;
11.32    (5) human rights agencies within Minnesota that have enforcement powers;
12.1    (6) the Department of Revenue to the extent necessary for its duties under Minnesota
12.2laws;
12.3    (7) public and private agencies responsible for administering publicly financed
12.4assistance programs for the purpose of monitoring the eligibility of the program's
12.5recipients;
12.6    (8) the Department of Labor and Industry and the Division of Insurance Fraud
12.7Prevention in the Department of Commerce for uses consistent with the administration of
12.8their duties under Minnesota law;
12.9    (9) local and state welfare agencies for monitoring the eligibility of the data subject
12.10for assistance programs, or for any employment or training program administered by those
12.11agencies, whether alone, in combination with another welfare agency, or in conjunction
12.12with the department or to monitor and evaluate the statewide Minnesota family investment
12.13program by providing data on recipients and former recipients of food stamps or food
12.14support, cash assistance under chapter 256, 256D, 256J, or 256K, child care assistance
12.15under chapter 119B, or medical programs under chapter 256B, 256D, or 256L;
12.16    (10) local and state welfare agencies for the purpose of identifying employment,
12.17wages, and other information to assist in the collection of an overpayment debt in an
12.18assistance program;
12.19    (11) local, state, and federal law enforcement agencies for the purpose of ascertaining
12.20the last known address and employment location of an individual who is the subject of
12.21a criminal investigation;
12.22    (12) the United States Citizenship and Immigration Services has access to data on
12.23specific individuals and specific employers provided the specific individual or specific
12.24employer is the subject of an investigation by that agency;
12.25    (13) the Department of Health for the purposes of epidemiologic investigations; and
12.26    (14) the Department of Corrections for the purpose of preconfinement and
12.27postconfinement employment tracking of individuals who had been committed to the
12.28custody of the commissioner of corrections committed offenders for the purpose of case
12.29planning.
12.30    (b) Data on individuals and employers that are collected, maintained, or used by
12.31the department in an investigation under section 268.182 are confidential as to data
12.32on individuals and protected nonpublic data not on individuals as defined in section
12.3313.02, subdivisions 3 and 13 , and must not be disclosed except under statute or district
12.34court order or to a party named in a criminal proceeding, administrative or judicial, for
12.35preparation of a defense.
13.1    (c) Data gathered by the department in the administration of the Minnesota
13.2unemployment insurance program must not be made the subject or the basis for any
13.3suit in any civil proceedings, administrative or judicial, unless the action is initiated by
13.4the department.
13.5EFFECTIVE DATE.This section is effective July 1, 2008.

13.6    Sec. 15. Minnesota Statutes 2006, section 341.21, as amended by Laws 2007, chapter
13.7135, article 3, section 30, is amended to read:
13.8341.21 DEFINITIONS.
13.9    Subdivision 1. Applicability. The definitions in this section apply to this chapter.
13.10    Subd. 2. Boxing. "Boxing" means the act of attack and defense with the fists, using
13.11padded gloves, that is practiced as a sport under the rules of the Association of Boxing
13.12Commissions, or equivalent. Where applicable, boxing includes tough person contests.
13.13    Subd. 2a. Combatant. "Combatant" means an individual who employs the act of
13.14attack and defense as a boxer, tough person, or mixed martial artist while engaged in
13.15a combative sport.
13.16    Subd. 2b. Combative sport. "Combative sport" means a sport that employs the act
13.17of attack and defense with the fists, with or without using padded gloves, or feet that is
13.18practiced as a sport under the rules of the Association of Boxing Commissions, unified
13.19rules for mixed martial arts, or their equivalent. Combative sports include professional
13.20boxing and professional and amateur tough person and professional and amateur mixed
13.21martial arts contests.
13.22    Subd. 3. Commission. "Commission" means the Minnesota Boxing Combative
13.23Sports Commission.
13.24    Subd. 4. Combative sports contest. "Combative sports contest" means any a
13.25professional boxing, a professional or amateur tough person, or a professional or amateur
13.26mixed martial art bout, competition contest, match, or exhibition.
13.27    Subd. 4a. Director. "Director" means the executive director of the commission.
13.28    Subd. 4b. HBV. "HBV" means the hepatitis B virus with the e-antigen present in
13.29the most recent blood test.
13.30    Subd. 4c. HCV. "HCV" means the hepatitis C virus.
13.31    Subd. 4d. HIV. "HIV" means the human immunodeficiency virus.
13.32    Subd. 4e. Individual. "Individual" means a living human being.
13.33    Subd. 4f. Mixed martial arts contest. "Mixed martial arts contest" means a contest
13.34between two or more individuals consisting of any combination of full contact martial art
14.1including, but not limited to, Muay Thai and Karate, kickboxing, wrestling, grappling,
14.2or other recognized martial art.
14.3    Subd. 4g. Person. "Person" means an individual, corporation, partnership, limited
14.4liability company, organization, or other business entity organized and existing under law,
14.5its officers and directors, or a person holding 25 percent or more of the ownership of a
14.6corporation that is authorized to do business under the laws of this state.
14.7    Subd. 5. Professional. "Professional" means any person who competes for any
14.8money prize or a prize that exceeds the value of $50 or teaches, pursues, or assists in the
14.9practice of boxing a combative sport as a means of obtaining a livelihood or pecuniary
14.10gain.
14.11    Subd. 6. Director. "Director" means the executive director of the commission.
14.12    Subd. 7. Tough person contest. "Tough person contest," including contests
14.13marketed as tough man and or tough woman contests, means any boxing match consisting
14.14a contest of one-minute rounds two-minute rounds consisting of not more than four rounds
14.15between two or more persons individuals who use their hands, or their feet, or both, in any
14.16manner. Tough person contest does not include kick boxing kickboxing or any recognized
14.17martial arts competition contest.
14.18    Subd. 8. Mixed martial arts. "Mixed martial arts" means any combination of
14.19boxing, kick boxing, wrestling, grappling, or other recognized martial arts.
14.20EFFECTIVE DATE.This section is effective the day following final enactment.

14.21    Sec. 16. Minnesota Statutes 2007 Supplement, section 341.22, is amended to read:
14.22341.22 BOXING COMBATIVE SPORTS COMMISSION.
14.23    There is hereby created the Minnesota Boxing Combative Sports Commission
14.24consisting of nine members who are citizens of this state. The members must be appointed
14.25by the governor. One member of the commission must be a retired judge of the Minnesota
14.26district court, Minnesota Court of Appeals, Minnesota Supreme Court, the United States
14.27District Court for the District of Minnesota, or the Eighth Circuit Court of Appeals, and
14.28at least three four members must have knowledge of the boxing industry. At least four
14.29members must have knowledge of the mixed martial arts industry. The governor shall
14.30make serious efforts to appoint qualified women to serve on the commission. Membership
14.31terms, compensation of members, removal of members, the filling of membership
14.32vacancies, and fiscal year and reporting requirements must be as provided in sections
14.33214.07 to 214.09. Unless otherwise provided, the provision of staff, administrative
14.34services, and office space; the review and processing of complaints; the setting of fees; and
15.1other provisions relating to commission operations must be are as provided in chapter 214.
15.2The purpose of the commission is to protect health, promote safety, and ensure fair events.
15.3EFFECTIVE DATE.This section is effective the day following final enactment.

15.4    Sec. 17. Minnesota Statutes 2006, section 341.23, is amended to read:
15.5341.23 LIMITATIONS.
15.6    No member of the Boxing commission may directly or indirectly promote a boxing
15.7contest, directly or indirectly engage in the managing of a boxer combatant, or have an
15.8interest in any manner in the proceeds from a boxing combative sports contest.
15.9EFFECTIVE DATE.This section is effective the day following final enactment.

15.10    Sec. 18. Minnesota Statutes 2007 Supplement, section 341.25, is amended to read:
15.11341.25 RULES.
15.12    (a) The commission may adopt rules that include standards for the physical
15.13examination and condition of boxers combatants and referees.
15.14    (b) The commission may adopt other rules necessary to carry out the purposes of
15.15this chapter, including, but not limited to, the conduct of boxing exhibitions, bouts, and
15.16fights, all combative sports contests and their manner, supervision, time, and place.
15.17    (c) The commission must adopt unified rules for mixed martial arts contests.
15.18    (d) The commission may adopt the rules of the Association of Boxing Commissions,
15.19with amendments.
15.20EFFECTIVE DATE.This section is effective the day following final enactment.

15.21    Sec. 19. Minnesota Statutes 2006, section 341.26, is amended to read:
15.22341.26 MEETINGS.
15.23    The commission shall hold a regular meeting quarterly and may hold special
15.24meetings. Except as otherwise provided in law, all meetings of the commission must be
15.25open to the public and reasonable notice of the meetings must be given under chapter
15.2613D. If compliance with section 13D.02 is impractical, the commission may conduct a
15.27meeting of its members by telephone or other electronic means so long as the following
15.28conditions are met:
15.29    (1) all members of the commission participating in the meeting, wherever their
15.30physical location, can hear one another and can hear all discussion and testimony;
16.1    (2) members of the public present at the regular meeting location of the commission
16.2can hear clearly all discussion and testimony and all votes of members of the commission
16.3and, if needed, receive those services required by sections 15.44 and 15.441;
16.4    (3) at least one member of the commission is physically present at the regular
16.5meeting location; and
16.6    (4) all votes are conducted by roll call, so each member's vote on each issue can be
16.7identified and recorded.
16.8    Each member of the commission participating in a meeting by telephone or other
16.9electronic means is considered present at the meeting for purposes of determining a
16.10quorum and participating in all proceedings.
16.11    If a telephone or other electronic means is used to conduct a regular, special, or
16.12emergency meeting, the commission, to the extent practical, shall allow a person to
16.13monitor the meeting electronically from a remote location. The commission may require
16.14the person making such a connection to pay for documented costs that the commission
16.15incurs as a result of the additional connection.
16.16    If a telephone or other electronic means is used to conduct a regular, special, or
16.17emergency meeting, the commission shall provide notice of the regular meeting location,
16.18of the fact that some members may participate by telephone or other electronic means, and
16.19that a person may monitor the meeting electronically from a remote location. The timing
16.20and method of providing notice is governed by section 13D.04.
16.21EFFECTIVE DATE.This section is effective the day following final enactment.

16.22    Sec. 20. Minnesota Statutes 2007 Supplement, section 341.27, is amended to read:
16.23341.27 COMMISSION DUTIES.
16.24    The commission shall:
16.25    (1) issue, deny, renew, suspend, or revoke licenses;
16.26    (2) make and maintain records of its acts and proceedings including the issuance,
16.27denial, renewal, suspension, or revocation of licenses;
16.28    (3) keep public records of the commission open to inspection at all reasonable times;
16.29    (4) assist the director in the development of rules to be implemented under this
16.30chapter;
16.31    (5) conform to the rules adopted under this chapter; and
16.32    (6) develop policies and procedures for regulating mixed martial arts;
16.33    (7) immediately suspend an individual license for a medical condition, including but
16.34not limited to a medical condition resulting from an injury sustained during a match, bout,
17.1or contest that has been confirmed by the ringside physician. The medical suspension must
17.2be lifted after the commission receives written information from a physician licensed in
17.3the home state of the licensee indicating that the combatant may resume competition, and
17.4any other information that the commission may by rule require. Medical suspensions are
17.5not subject to section 214.10; and
17.6    (8) evaluate the performance and compensation of the director, including eligibility
17.7for salary increases, in keeping with state procedures.
17.8EFFECTIVE DATE.This section is effective the day following final enactment.

17.9    Sec. 21. [341.271] GIFT AUTHORITY.
17.10    The commission may apply for, receive, and expend in its own name grants and
17.11gifts of money consistent with the powers and duties specified in section 341.27. The
17.12commission may accept gifts, bequests, grants, payments for services, and other public
17.13and private money to help finance the activities of the commission.
17.14EFFECTIVE DATE.This section is effective the day following final enactment.

17.15    Sec. 22. Minnesota Statutes 2006, section 341.28, as amended by Laws 2007, chapter
17.16135, article 3, sections 34, 35, is amended to read:
17.17341.28 REGULATION OF BOXING COMBATIVE SPORTS CONTESTS.
17.18    Subdivision 1. Regulatory authority; boxing combative sports. All professional
17.19boxing combative sports contests are subject to this chapter. Every contestant in a boxing
17.20contest shall wear padded gloves that weigh at least eight ounces. The commission shall,
17.21for every boxing combative sports contest:
17.22    (1) direct a commission member to be present; and
17.23    (2) direct the attending commission member to make a written report of the contest.
17.24    All boxing combative sports contests within this state must be conducted according
17.25to the requirements of this chapter.
17.26    Subd. 1a. Regulatory authority; boxing contests. All professional boxing contests
17.27are subject to this chapter. Every combatant in a boxing contest shall wear padded gloves
17.28that weigh at least eight ounces. Officials at all boxing contests must be licensed under
17.29this chapter.
17.30    Subd. 2. Regulatory authority; tough person contests. All professional and
17.31amateur tough person contests, including amateur tough person contests, are subject to
17.32this chapter. All tough person contests are subject to American Association of Boxing
17.33Commission (ABC) Commission's rules. Every contestant in a tough person contest shall
18.1have a physical examination prior to their bouts. Every contestant in a tough person
18.2contest shall wear padded gloves that weigh at least 12 ounces. All tough person bouts are
18.3limited to two-minute rounds and a maximum of four total rounds. Officials at all tough
18.4person bouts contests shall be licensed under this chapter.
18.5    Subd. 3. Regulatory authority; mixed martial arts contests; similar sporting
18.6events. All professional and amateur mixed martial arts, ultimate fight contests, and
18.7similar sporting events are subject to this chapter and all officials at these events must be
18.8licensed under this chapter.
18.9EFFECTIVE DATE.This section is effective the day following final enactment.

18.10    Sec. 23. Minnesota Statutes 2006, section 341.29, is amended to read:
18.11341.29 JURISDICTION OF COMMISSION.
18.12    The commission shall:
18.13    (1) have sole direction, supervision, regulation, control, and jurisdiction over all
18.14boxing combative sports contests and tough person contests that are held within this state
18.15unless a contest is exempt from the application of this chapter under federal law;
18.16    (2) have sole control, authority, and jurisdiction over all licenses required by this
18.17chapter; and
18.18    (3) grant a license to an applicant if, in the judgment of the commission, the financial
18.19responsibility, experience, character, and general fitness of the applicant are consistent
18.20with the public interest, convenience, or necessity and the best interests of boxing
18.21combative sports and conforms with this chapter and the commission's rules.
18.22EFFECTIVE DATE.This section is effective the day following final enactment.

18.23    Sec. 24. Minnesota Statutes 2006, section 341.30, is amended to read:
18.24341.30 LICENSURE REQUIREMENTS.
18.25    Subdivision 1. Licensure; individuals. All referees, judges, matchmakers,
18.26promoters, trainers, ring announcers, timekeepers, ringside physicians, boxers combatants,
18.27boxers' managers, and boxers' seconds are required to be licensed by the commission.
18.28The commission shall not permit any of these persons to participate in the holding or
18.29conduct of any boxing combative sports contest unless the commission has first issued
18.30the person a license.
18.31    Subd. 2. Entity licensure. Before participating in the holding or conduct of any
18.32boxing combative sports contest, a corporation, partnership, limited liability company,
18.33or other business entity organized and existing under law, its officers and directors, and
19.1any person holding 25 percent or more of the ownership of the corporation shall obtain
19.2a license from the commission and must be authorized to do business under the laws of
19.3this state.
19.4    Subd. 3. Background investigation. The commission may require referees, judges,
19.5matchmakers, promoters, and boxers combatants to furnish fingerprints and background
19.6information under commission rules before licensure. The commission shall charge a fee
19.7for receiving fingerprints and background information in an amount determined by the
19.8commission. The commission may require referees, judges, matchmakers, promoters,
19.9and boxers combatants to furnish fingerprints and background information before
19.10license renewal. The fee may include a reasonable charge for expenses incurred by the
19.11commission or the Department of Public Safety. For this purpose, the commission and the
19.12Department of Public Safety may enter into an interagency agreement.
19.13    Subd. 4. Prelicensure requirements. (a) Before the commission issues a license to
19.14a promoter, matchmaker, corporation, or other business entity, the applicant shall:
19.15    (1) provide the commission with a copy of any agreement between a contestant
19.16combatant and the applicant that binds the applicant to pay the contestant combatant a
19.17certain fixed fee or percentage of the gate receipts;
19.18    (2) show on the application the owner or owners of the applicant entity and the
19.19percentage of interest held by each owner holding a 25 percent or more interest in the
19.20applicant;
19.21    (3) provide the commission with a copy of the latest financial statement of the
19.22entity; and
19.23    (4) provide the commission with a copy or other proof acceptable to the commission
19.24of the insurance contract or policy required by this chapter.
19.25    (b) Before the commission issues a license to a promoter, the applicant shall deposit
19.26with the commission a cash bond or surety bond in an amount set by the commission.
19.27The bond shall be executed in favor of this state and shall be conditioned on the faithful
19.28performance by the promoter of the promoter's obligations under this chapter and the rules
19.29adopted under it. An applicant for a license as a promoter shall submit an application a
19.30minimum of six weeks before the combative sports contest is scheduled to occur.
19.31    (c) Before the commission issues a license to a boxer combatant, the applicant
19.32shall submit to the commission the results of a current medical examination on forms
19.33furnished or approved by the commission. The medical examination must include an
19.34ophthalmological and neurological examination, and documentation of test results for
19.35HBV, HCV, and HIV, and any other blood test as the commission by rule may require.
19.36The ophthalmological examination must be designed to detect any retinal defects or other
20.1damage or condition of the eye that could be aggravated by boxing combative sports. The
20.2neurological examination must include an electroencephalogram or medically superior
20.3test if the boxer combatant has been knocked unconscious in a previous boxing or other
20.4athletic competition contest. The commission may also order an electroencephalogram
20.5or other appropriate neurological or physical examination before any contest, match, or
20.6exhibition if it determines that the examination is desirable to protect the health of the
20.7boxer. combatant. The commission shall not issue a license to an applicant submitting
20.8positive test results for HBV, HCV, or HIV.
20.9EFFECTIVE DATE.This section is effective the day following final enactment.

20.10    Sec. 25. Minnesota Statutes 2006, section 341.32, as amended by Laws 2007, chapter
20.11135, article 3, section 36, is amended to read:
20.12341.32 LICENSE FEES; EXPIRATION; RENEWAL.
20.13    Subdivision 1. Annual licensure. The commission may establish and issue annual
20.14licenses subject to the collection of advance fees by the commission for promoters,
20.15matchmakers, managers, judges, referees, ring announcers, ringside physicians,
20.16timekeepers, boxers combatants, boxers' trainers, boxers' seconds, business entities filing
20.17for a license to participate in the holding of any boxing contest, and officers, directors, or
20.18other persons affiliated with the business entity.
20.19    Subd. 2. Expiration and renewal. A license issued after July 1, 2007, is valid for
20.20one year from the date it is issued and may be renewed by filing an application for renewal
20.21with the commission and payment of the license fee fees established in section 341.321.
20.22An application for a license and renewal of a license must be on a form provided by the
20.23commission. There is a 30-day grace period during which a license may be renewed if a
20.24late filing penalty fee equal to the license fee is submitted with the regular license fee.
20.25A licensee that files late shall not conduct any activity regulated by this chapter until the
20.26commission has renewed the license. If the licensee fails to apply to the commission within
20.27the 30-day grace period, the licensee must apply for a new license under subdivision 1.
20.28EFFECTIVE DATE.This section is effective the day following final enactment.

20.29    Sec. 26. Minnesota Statutes 2007 Supplement, section 341.321, is amended to read:
20.30341.321 FEE SCHEDULE.
20.31    (a) The fee schedule for professional licenses issued by the Minnesota Boxing
20.32commission is as follows:
20.33    (1) referees, $45 $25 for each initial license and each renewal;
21.1    (2) promoters, $400 for each initial license and each renewal;
21.2    (3) judges and knockdown judges, $45 $25 for each initial license and each renewal;
21.3    (4) trainers, $45 $25 for each initial license and each renewal;
21.4    (5) ring announcers, $45 $25 for each initial license and each renewal;
21.5    (6) boxers' seconds, $45 $25 for each initial license and each renewal;
21.6    (7) timekeepers, $45 $25 for each initial license and each renewal;
21.7    (8) boxers combatants, $45 $25 for each initial license and each renewal;
21.8    (9) managers, $45 $25 for each initial license and each renewal; and
21.9    (10) ringside physicians, $45 $25 for each initial license and each renewal.
21.10In addition to the license fee and the late filing penalty fee in section 341.32, subdivision
21.112, if applicable, an individual who applies for a combatant license on the same day the
21.12combative sporting event is held shall pay a fee of $100 at the time the application is
21.13submitted.
21.14    (b) The fee schedule for amateur licenses issued by the commission is as follows:
21.15    (1) referees, $10 for each initial license and each renewal;
21.16    (2) promoters, $100 for each initial license and each renewal;
21.17    (3) judges and knockdown judges, $10 for each initial license and each renewal;
21.18    (4) trainers, $10 for each initial license and each renewal;
21.19    (5) ring announcers, $10 for each initial license and each renewal;
21.20    (6) seconds, $10 for each initial license and each renewal;
21.21    (7) timekeepers, $10 for each initial license and each renewal;
21.22    (8) combatants, $10 for each initial license and each renewal;
21.23    (9) managers, $10 for each initial license and each renewal; and
21.24    (10) ringside physicians, $10 for each initial license and each renewal.
21.25    (c) The commission shall establish and assess an event a contest fee for each sporting
21.26event combative sports contest. The event contest fee is set at a minimum of $1,500 per
21.27event or a percentage not more than four percent of the gross ticket sales as determined by
21.28the commission when the sporting event combative sports contest is scheduled, except that
21.29the amateur combative sports contest fee shall be $150. The commission shall consider the
21.30size and type of venue when establishing a contest fee. The commission may establish the
21.31maximum number of complimentary tickets allowed for each event by rule. An amateur
21.32combative sports contest fee is nonrefundable.
21.33    (c) (d) All fees and penalties collected by the Minnesota Boxing commission must
21.34be deposited in the Boxing commission account in the special revenue fund.
21.35EFFECTIVE DATE.This section is effective July 1, 2008.

22.1    Sec. 27. Minnesota Statutes 2006, section 341.33, is amended to read:
22.2341.33 PHYSICAL EXAMINATION REQUIRED; FEES.
22.3    Subdivision 1. Examination by physician. All boxers and referees combatants
22.4must be examined by a physician licensed by this state within three 36 hours before
22.5entering the ring, and the examining physician shall immediately file with the commission
22.6a written report of the examination. The physician's examination shall may report on the
22.7condition of the boxer's combatant's heart and general physical and general neurological
22.8condition. The physician's report may record the condition of the boxer's combatant's
22.9nervous system and brain as required by the commission. The physician may prohibit the
22.10boxer combatant from entering the ring if, in the physician's professional opinion, it is in
22.11the best interest of the boxer's combatant's health. The cost of the examination is payable
22.12by the person or entity conducting the contest or exhibition.
22.13    Subd. 2. Attendance of physician. A person holding or sponsoring a boxing contest
22.14combative sports contest, shall have in attendance a physician licensed by this state. The
22.15commission may establish a schedule of fees to be paid to each attending physician by the
22.16person holding or sponsoring the contest.
22.17EFFECTIVE DATE.This section is effective the day following final enactment.

22.18    Sec. 28. Minnesota Statutes 2006, section 341.34, subdivision 1, is amended to read:
22.19    Subdivision 1. Required insurance. The commission shall:
22.20    (1) require insurance coverage for a boxer combatant to provide for medical,
22.21surgical, and hospital care for injuries sustained in the ring in an amount of at least
22.22$20,000 $10,000 and payable to the boxer combatant as beneficiary; and
22.23    (2) require life insurance for a boxer combatant in the amount of at least $20,000
22.24$10,000 payable in case of accidental death resulting from injuries sustained in the ring.
22.25EFFECTIVE DATE.This section is effective the day following final enactment.

22.26    Sec. 29. Minnesota Statutes 2006, section 341.35, is amended to read:
22.27341.35 PENALTIES FOR NONLICENSED EXHIBITIONS CONTESTS.
22.28    Any person or persons who send or cause to be sent, published, or otherwise made
22.29known, any challenge to fight what is commonly known as a prize fight, or engage in any
22.30public boxing or sparring combative sports match or contest, with or without gloves, for
22.31any prize, reward, or compensation, or for which any admission fee is charged directly or
22.32indirectly, or go into training preparatory for the fight, exhibition, or contest, or act as a
22.33trainer, aider, abettor, backer, umpire, referee, second, surgeon, assistant, or attendant at
23.1the fight, exhibition, or contest, or in any preparation for same, and any owner or lessee of
23.2any ground, building, or structure of any kind permitting the same to be used for any fight,
23.3exhibition, or contest, is guilty of a misdemeanor unless a license the licenses required for
23.4the holding of the fight, exhibition, or contest has have been issued by the commission in
23.5compliance with the rules adopted by it.
23.6EFFECTIVE DATE.This section is effective the day following final enactment.

23.7    Sec. 30. [341.355] PENALTIES.
23.8    When the commission finds that a person has violated one or more provisions of
23.9any statute, rule, or order that the commission is empowered to regulate, enforce, or
23.10issue, the commission may impose, for each violation, a civil penalty of up to $10,000
23.11for each violation, or a civil penalty that deprives the person of any economic advantage
23.12gained by the violation, or both.
23.13EFFECTIVE DATE.This section is effective the day following final enactment.

23.14    Sec. 31. Minnesota Statutes 2006, section 341.37, is amended to read:
23.15341.37 APPROPRIATION.
23.16    A Boxing commission account is created in the special revenue fund. Money in the
23.17account is annually appropriated to the Boxing commission for the purposes of conducting
23.18its statutory responsibilities and obligations.
23.19EFFECTIVE DATE.This section is effective the day following final enactment.

23.20    Sec. 32. [469.35] TRANSIT IMPROVEMENT AREA ACCOUNTS.
23.21    Two transit improvement area accounts are created, one in the general fund and one
23.22in the bond proceeds fund. Money in the accounts may be used to make grants or loans as
23.23provided in section 469.351 and for the commissioner's costs in reviewing applications
23.24and making loans or grants. Money in the accounts must not be used to pay for the
23.25operation of transit lines or the construction or operating costs of transit stations.

23.26    Sec. 33. [469.351] TRANSIT IMPROVEMENT AREA LOAN PROGRAM.
23.27    Subdivision 1. Definitions. (a) The terms defined in this section have the meanings
23.28given them and apply to sections 469.35 and 469.351.
23.29    (b) "Applicant" means a local governmental unit or a joint powers board, established
23.30under section 471.59.
24.1    (c) "Commissioner" means the commissioner of employment and economic
24.2development.
24.3    (d) "Eligible organization" means an applicant that has been designated as a transit
24.4improvement area by the commissioner.
24.5    (e) "Local governmental unit" means a statutory or home rule charter city or town,
24.6or a county.
24.7    (f) "Transit improvement area" means a geographic area designated by the
24.8commissioner composed of land parcels that are in proximity to a transit station.
24.9    (g) "Transit station" means a physical structure to support the interconnection of
24.10public transit modes including at least one of the following modes: bus rapid transit,
24.11light rail transit, and commuter rail.
24.12    Subd. 2. Designation of transit improvement areas. A transit improvement area
24.13must increase the effectiveness of a transit project by incorporating one or more public
24.14transit modes with commercial and housing development and by providing for safe
24.15and pleasant pedestrian use. The commissioner, in consultation with affected state and
24.16regional agencies, must designate transit improvement areas that meet the objectives
24.17under this subdivision. Affected state and regional agencies include, but are not limited to,
24.18the Minnesota Department of Transportation, the Minnesota Housing Finance Agency,
24.19and the Metropolitan Council for transit improvement areas located in the seven-county
24.20metropolitan region. To be eligible for designation, an applicant must submit a transit
24.21area improvement plan according to the requirements and timelines established by the
24.22commissioner. At a minimum, the plan must include the information specified under
24.23subdivision 3. The commissioner may modify an applicant's plan to better achieve the
24.24objectives of transit improvement areas. The commissioner must notify applicants of the
24.25designations and must provide a statement of any changes to an applicant's plan with
24.26justification for all changes.
24.27    Subd. 3. Transit area improvement plan. (a) An applicant must adopt a transit area
24.28improvement plan by resolution before submitting the application to the commissioner
24.29with the information required in this subdivision. Each transit area improvement plan
24.30must include the following:
24.31    (1) a map indicating the geographic boundaries of the transit improvement area;
24.32    (2) an analysis of the demographic mix of people who are anticipated to use the
24.33transit station;
24.34    (3) a description of the ownership and intended use of public and private facilities
24.35to be constructed in the transit improvement area, including infrastructure, buildings
24.36and other structures, and parks;
25.1    (4) a description of pedestrian-friendly improvements to be provided, including
25.2walkways, parkways, and signage;
25.3    (5) a statement of findings that the redevelopment or development of the transit
25.4improvement area promotes higher density land uses resulting in increased transit
25.5ridership;
25.6    (6) a statement of the anticipated sources and amounts of local public funds;
25.7    (7) a statement of the anticipated sources and amounts of private funds;
25.8    (8) a statement of the anticipated sources and amounts of leveraged regional, state,
25.9and federal funds;
25.10    (9) a description of the linkages to existing and proposed local, regional, and state
25.11transit systems; and
25.12    (10) a description of other factors in the proposed development to increase ridership.
25.13    (b) Transit improvement area plans with a residential component must propose at
25.14least 12 residential units per acre or a density bonus that allows for an increase in the
25.15number of residential units over what is permitted by the underlying zoning. The plan
25.16must include a description of the variety of housing types, including housing appropriate
25.17for low income persons, disabled persons, and senior citizens and the prices for each
25.18housing type within the transit improvement area.
25.19    Subd. 4. Transit improvement area loans. (a) The commissioner may make low or
25.20no-interest loans to eligible organizations to be used for eligible costs under paragraph (b).
25.21A loan must be used for a designated transit improvement area, under the following terms:
25.22    (1) the eligible organization must guarantee repayment of 100 percent of the loan;
25.23    (2) a loan must be for a term of ten years, unless repayment is from a tax increment
25.24financing district or other state or federal funds, at an interest rate to be negotiated by
25.25the commissioner;
25.26    (3) the eligible organization must make annual interest-only payments during the
25.27ten-year term of the loan;
25.28    (4) the eligible organization must pay the entire principal amount of the initial loan
25.29at the end of the ten-year term;
25.30    (5) a loan may not exceed $2,000,000;
25.31    (6) the commissioner must advance the full amount of the loan to the eligible
25.32organization upon execution of a formal loan agreement specifying the terms of the loan,
25.33as well as reporting and other requirements outlined in subdivision 5;
25.34    (7) the eligible organization must maintain the funds in accounts that allow the funds
25.35to be readily available for business investments;
26.1    (8) the eligible organization and the commissioner may agree on contract
26.2specifications that are consistent with payback from a tax increment financing district or
26.3from any other state and federal funds that may be forthcoming; and
26.4    (9) an eligible organization that receives a loan must report annually, in a format
26.5prescribed by the commissioner, on the nature and amount of the business investments in
26.6the transit improvement area, including an account of each financing transaction involving
26.7loans received under this section, the types and amounts of financing from sources other
26.8than the transit improvement area loan, the number of jobs created, and the amount of
26.9private sector and nonstate investment leveraged.
26.10    (b) Loans under this section must be used to supplement and not replace funding
26.11from existing sources or programs. Loans must not be used for the construction costs of
26.12transit stations; transit systems; or the operating costs of public transit or transportation,
26.13including, but not limited to, the costs of maintaining, staffing, or operating transit
26.14stations. Loans from the bond proceeds fund must be spent to acquire and to better
26.15publicly owned land and buildings and other public improvements of a capital nature.
26.16Loans can be used for the following eligible expenditures according to an approved transit
26.17area improvement plan:
26.18    (1) clearing land;
26.19    (2) relocation costs;
26.20    (3) corrections for soil, including removing or remediation of hazardous substances;
26.21    (4) construction or installation of walkways, bridges or tunnels for pedestrians,
26.22bikeways, parking facilities, and signage;
26.23    (5) improvements to streetscapes;
26.24    (6) construction of public infrastructure to support construction of new affordable
26.25housing, senior housing, or housing for disabled persons;
26.26    (7) construction of public infrastructure to support job creation in the area, especially
26.27small business development;
26.28    (8) developing green spaces and parks; and
26.29    (9) administrative expenses of the authority.
26.30    (c) All loan repayments under this section must be made to the appropriate account
26.31under section 469.35 for reinvestment in transit improvement areas.
26.32    Subd. 5. Loan requirements. All loans under this section are subject to an
26.33investment agreement that must include:
26.34    (1) a description of the eligible organization, including business finance experience,
26.35qualifications, and investment history;
26.36    (2) a description of the uses of investment proceeds by the eligible organization;
27.1    (3) an explanation of the investment objectives; and
27.2    (4) a description of the method of payment.

27.3    Sec. 34. Laws 2002, chapter 382, article 2, section 5, subdivision 3, as added by Laws
27.42003, chapter 128, article 9, section 10, subdivision 3, is amended to read:
27.5    Subd. 3. Removal of area. After adopting the first plan, any of the local
27.6governmental units can elect not to be included within the central iron range sanitary
27.7sewer district by delivering a written resolution of the governing body of the governmental
27.8unit to the central iron range sanitary sewer district within 60 180 days of adoption of the
27.9first comprehensive plan. The area of the local governmental unit shall then be removed
27.10from the district.

27.11    Sec. 35. CENTRAL IRON RANGE SANITARY SEWER DISTRICT.
27.12    Local approval of Laws 2003, chapter 128, article 9, amending portions of Laws
27.132002, chapter 382, article 2, having been timely completed by the cities of Hibbing, Buhl,
27.14Chisholm, and Kinney, and the town boards of the towns of Balkan and Great Scott,
27.15is approval of Laws 2002, chapter 382, article 2. Laws 2002, chapter 382, article 2, is
27.16effective December 27, 2003, upon completion of local approval of this section under
27.17Minnesota Statutes, section 645.021, subdivision 2. Actions undertaken in accordance
27.18with Laws 2002, chapter 382, article 2, as amended by Laws 2003, chapter 128, article
27.199, are validated by this section.

27.20    Sec. 36. INITIAL ADMINISTRATION.
27.21    Subdivision 1. Convening authority. The commissioner of employment and
27.22economic development or the commissioner's designee shall convene the initial
27.23organizational meeting of the trade policy advisory group.
27.24    Subd. 2. Deadline for appointments and designations. The appointments and
27.25designations authorized by Minnesota Statutes, section 116J.977, subdivision 2, must be
27.26complete by September 30, 2008.
27.27EFFECTIVE DATE.This section is effective July 1, 2008.

27.28    Sec. 37. REVISOR'S INSTRUCTION; UNEMPLOYMENT INSURANCE
27.29TECHNICAL CHANGES.
27.30    The revisor of statutes shall make the following changes in Minnesota Statutes:
27.31    (1) renumber Minnesota Statutes, section 268.196, subdivision 3, as Minnesota
27.32Statutes, section 268.199;
28.1    (2) renumber Minnesota Statutes, section 268.196, subdivision 4, as Minnesota
28.2Statutes, section 268.211;
28.3    (3) change "additional assessments" to "special assessments" and change "shall" to
28.4"must" in Minnesota Statutes, section 268.051, subdivision 1;
28.5    (4) change "referee" to "unemployment law judge" in Minnesota Statutes, section
28.610A.01, subdivision 35, clause (11);
28.7    (5) change "determination of eligibility or ineligibility" to "determination of
28.8eligibility or determination of ineligibility" in Minnesota Statutes, section 268.101,
28.9subdivision 4;
28.10    (6) change "shall be" to "is" in Minnesota Statutes, section 268.115, subdivision 8;
28.11    (7) change "shall be" to "is" in Minnesota Statutes, section 268.145, subdivision
28.125; and
28.13    (8) renumber Minnesota Statutes, section 268.03, subdivision 2, as Minnesota
28.14Statutes, section 268.031.

28.15    Sec. 38. REPEALER.
28.16Minnesota Statutes 2006, section 341.31, is repealed.
28.17EFFECTIVE DATE.This section is effective the day following final enactment.