HF 3725

1st Engrossment - 90th Legislature (2017 - 2018) Posted on 04/19/2018 04:14pm

A bill for an act
relating to forfeiture; providing for criminal forfeiture; limiting participation in
the federal equitable sharing program; eliminating administrative forfeiture;
amending Minnesota Statutes 2016, sections 84.7741, subdivisions 7, 9, 10, 11;
169A.63, subdivisions 3, 5, 6, 9, 10, 11; 609.531, subdivisions 1, 1a, 4, 5, 6a, 8,
by adding subdivisions; 609.5312, subdivisions 3, 4; 609.5313; 609.5315,
subdivisions 1, 5, 5a, 5b; 609.5318, subdivisions 2, 4; 609B.515; 611.32,
subdivision 2; Minnesota Statutes 2017 Supplement, sections 169A.63, subdivisions
1, 7; 609.5315, subdivision 5c; repealing Minnesota Statutes 2016, sections 84.7741,
subdivision 8; 169A.63, subdivision 8; 609.531, subdivision 7; 609.5314; 609.5315,
subdivisions 2, 3; 609.5318, subdivision 3.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

FORFEITURE PROCEDURES

Section 1.

Minnesota Statutes 2016, section 609.531, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

For the purpose of sections 609.531 to 609.5318, the
following terms have the meanings given them.

(a) "Conveyance device" means a device used for transportation and includes, but is not
limited to, a motor vehicle, trailer, snowmobile, airplane, and vessel and any equipment
attached to it. The term "conveyance device" does not include property which is, in fact,
itself stolen or taken in violation of the law.

(b) "Weapon used" means a dangerous weapon as defined under section 609.02,
subdivision 6, that the actor used or had in possession in furtherance of a crime.

(c) "Property" means property as defined in section 609.52, subdivision 1, clause (1).

(d) "Contraband" means property which is illegal to possess under Minnesota law.

(e) "Appropriate agency" means the Bureau of Criminal Apprehension, the Department
of Commerce Fraud Bureau, the Minnesota Division of Driver and Vehicle Services, the
Minnesota State Patrol, a county sheriff's department, the Three Rivers Park District park
rangers, the Department of Natural Resources Division of Enforcement, the University of
Minnesota Police Department, the Department of Corrections Fugitive Apprehension Unit,
a city, metropolitan transit, or airport police department; or a multijurisdictional entity
established under section 299A.642 or 299A.681.

(f) "Designated offense" includes:

(1) for weapons used: any violation of this chapter, chapter 152 or 624;

(2) for driver's license or identification card transactions: any violation of section 171.22;
and

(3) for all other purposes: a felony violation of, or a felony-level attempt or conspiracy
to violate, section 325E.17; 325E.18; 609.185; 609.19; 609.195; 609.2112; 609.2113;
609.2114; 609.221; 609.222; 609.223; 609.2231; 609.2335; 609.24; 609.245; 609.25;
609.255; 609.282; 609.283; 609.322; 609.342, subdivision 1, clauses (a) to (f); 609.343,
subdivision 1, clauses (a) to (f); 609.344, subdivision 1, clauses (a) to (e), and (h) to (j);
609.345, subdivision 1, clauses (a) to (e), and (h) to (j); 609.352; 609.42; 609.425; 609.466;
609.485; 609.487; 609.52; 609.525; 609.527; 609.528; 609.53; 609.54; 609.551; 609.561;
609.562; 609.563; 609.582; 609.59; 609.595; 609.611; 609.631; 609.66, subdivision 1e;
609.671, subdivisions 3, 4, 5, 8, and 12; 609.687; 609.821; 609.825; 609.86; 609.88; 609.89;
609.893; 609.895; 617.246; 617.247; or a gross misdemeanor or felony violation of section
609.891 or 624.7181; or any violation of section 609.324; or a felony violation of, or a
felony-level attempt or conspiracy to violate, Minnesota Statutes 2012, section 609.21.

(g) "Controlled substance" has the meaning given in section 152.01, subdivision 4.

(h) "Prosecuting authority" means the attorney who is responsible for prosecuting an
offense that is the basis for a forfeiture under sections 609.531 to 609.5318.

new text begin (i) "Abandoned property" means personal property left by an owner who relinquishes
all rights to its control. Real property may not be abandoned.
new text end

new text begin (j) "Conviction" has the meaning given in section 609.02, subdivision 5, and, for purposes
of forfeiture of property under this chapter, includes an admission of guilt to an offense
chargeable under chapter 152, a sentence under section 152.152, or a stay of adjudication
under section 152.18.
new text end

Sec. 2.

Minnesota Statutes 2016, section 609.531, subdivision 1a, is amended to read:

Subd. 1a.

Construction.

new text begin Forfeiture is disfavored. new text end Sections 609.531 to 609.5318 must
be deleted text begin liberally deleted text end construed to carry out the following deleted text begin remedial deleted text end purposes:

(1) to enforce the law;

(2) to deter crime;

(3) to reduce the economic incentive to engage in criminal enterprise;

(4) to increase the pecuniary loss resulting from the detection of criminal activity; deleted text begin and
deleted text end

(5) to forfeit property unlawfully used or acquired deleted text begin and divert the property to law
enforcement purposes deleted text end new text begin ; and
new text end

new text begin (6) to protect property and due process rights of innocent property owners new text end .

Sec. 3.

Minnesota Statutes 2016, section 609.531, subdivision 4, is amended to read:

Subd. 4.

Seizure.

(a) Property subject to forfeiture under sections 609.531 to 609.5318
may be seized by the appropriate agency upon process issued by any court having jurisdiction
over the property. Property may be seized without process if:

(1) the seizure is incident to a lawful arrest or a lawful search;

(2) the property subject to seizure has been the subject of a prior judgment in favor of
the state in a criminal injunction or forfeiture proceeding under this chapter; or

(3) the appropriate agency has probable cause to believe that the delay occasioned by
the necessity to obtain process would result in the removal or destruction of the property
and that:

(i) the property was used or is intended to be used in commission of a felony; or

(ii) the property is dangerous to health or safety.

If property is seized without process under item (i), the prosecuting authority must
institute a forfeiture action under section 609.5313 as soon as is reasonably possible.

(b) When property is seized, the officer must provide a receipt to the person found in
possession of the property; or in the absence of any person, the officer must leave a receipt
in the place where the property was found, if reasonably possible.

new text begin (c) The mere presence or possession of United States currency, debit cards, or credit
cards, without other indicia of a crime that subjects property to forfeiture, is insufficient
probable cause for seizure of United States currency, debit cards, or credit cards.
new text end

Sec. 4.

Minnesota Statutes 2016, section 609.531, subdivision 5, is amended to read:

Subd. 5.

Right to possession vests immediately; custody of seized property.

All right,
title, and interest in property subject to forfeiture under sections 609.531 to 609.5318 vests
in the appropriate agency upon commission of the act or omission giving rise to the forfeiture.
Any property seized under sections 609.531 to 609.5318 deleted text begin is not subject to replevin, but deleted text end is
deemed to be in the custody of the appropriate agency subject to the orders and decrees of
the court having jurisdiction over the forfeiture proceedings. When property is so seized,
the appropriate agency shall use reasonable diligence to secure the property and prevent
waste and may do any of the following:

(1) place the property under seal;

(2) remove the property to a place designated by it; and

(3) in the case of controlled substances, require the state Board of Pharmacy to take
custody of the property and remove it to an appropriate location for disposition in accordance
with law.

Sec. 5.

Minnesota Statutes 2016, section 609.531, subdivision 6a, is amended to read:

Subd. 6a.

Forfeiture deleted text begin a civil procedure deleted text end ; conviction required.

(a) An action for forfeiture
is deleted text begin a civil in rem action and is independent of any deleted text end new text begin part of a new text end criminal prosecution deleted text begin , except as
provided in this subdivision deleted text end .

(b) An asset is subject to forfeiture by judicial determination under sections 609.5311
to 609.5318 only if:

(1) a person is convicted of the criminal offense related to the action for forfeiture; deleted text begin or
deleted text end

(2) a person is not charged with a criminal offense under chapter 152 related to the action
for forfeiture based in whole or in part on the person's agreement to provide information
regarding the criminal activity of another person new text begin ;
new text end

new text begin (3) the property is abandoned property; or
new text end

new text begin (4) the defendant dies or is deported new text end .

deleted text begin For purposes of clause (1), An admission of guilt to an offense chargeable under chapter
152, a sentence under section 152.152, a stay of adjudication under section 152.18, or a
referral to a diversion program for an offense chargeable under chapter 152 is considered
a conviction.
deleted text end

deleted text begin (c) The appropriate agency handling the judicial forfeiture may introduce into evidence
in the judicial forfeiture case in civil court the agreement in paragraph (b), clause (2).
deleted text end

deleted text begin (d) deleted text end new text begin (c) new text end The appropriate agency handling the deleted text begin judicial deleted text end forfeiture bears the burden of proving
by clear and convincing evidence that the property is an instrument or represents the proceeds
of the underlying offense.

Sec. 6.

Minnesota Statutes 2016, section 609.531, is amended by adding a subdivision to
read:

new text begin Subd. 6b. new text end

new text begin Property exempt from forfeiture. new text end

new text begin The following property is exempt from
forfeiture and shall be returned to the owner upon request:
new text end

new text begin (1) homesteaded real property;
new text end

new text begin (2) a motor vehicle of less than $10,000 in market value, except that this provision does
not apply to forfeiture proceedings pursuant to section 609.5318; and
new text end

new text begin (3) United States currency totaling no more than $500.
new text end

Sec. 7.

Minnesota Statutes 2016, section 609.531, subdivision 8, is amended to read:

Subd. 8.

Forfeiture policies; statewide model policy required.

(a) By December 1,
2010, the Peace Officer Standards and Training Board, after consulting with the Minnesota
County Attorneys Association, the Minnesota Sheriffs' Association, the Minnesota Chiefs
of Police Association, and the Minnesota Police and Peace Officers Association, shall
develop a model policy that articulates best practices for forfeiture and is designed to
encourage the uniform application of forfeiture laws statewide. At a minimum, the policy
shall address the following:

(1) best practices in pursuing, seizing, and tracking forfeitures;

(2) type and frequency of training for law enforcement on forfeiture laws; and

(3) situations in which forfeitures should not be pursued.

(b) By December 1, 2010, the Minnesota County Attorneys Association, after consulting
with the attorney general, the Peace Officer Standards and Training Board, the Minnesota
Sheriffs' Association, the Minnesota Chiefs of Police Association, and the Minnesota Police
and Peace Officers Association, shall develop a model policy that articulates best practices
for forfeiture and is designed to encourage the uniform application of forfeiture laws
statewide. At a minimum, the policy shall address the following:

(1) statutory role of prosecuting authorities in forfeiture procedures;

(2) best practices for timely and fair resolution of forfeiture cases;

(3) type and frequency of training for prosecuting authorities on forfeiture laws; and

(4) situations in which forfeitures should not be pursued.

(c) By December 1, 2010, the Minnesota County Attorneys Association and the Peace
Officer Standards and Training Board shall forward an electronic copy of its respective
model policy to the chairs and ranking minority members of the senate and house of
representatives committees having jurisdiction over criminal justice and civil law policy.

(d) By March 1, 2011, the chief law enforcement officer of every state and local law
enforcement agency and every prosecution office in the state shall adopt and implement a
written policy on forfeiture that is identical or substantially similar to the model policies
developed under paragraphs (a) and (b). The written policy shall be made available to the
public upon request.

new text begin (e) By December 1, 2018, the County Attorneys Association and Peace Officer Standards
and Training Board must update the model policies identified in paragraphs (a) and (b) and
forward an electronic copy of the updated model policy to the chairs and ranking minority
members of the senate and house of representatives committees having jurisdiction over
criminal justice and civil law policy.
new text end

new text begin (f) By March 1, 2019, the chief law enforcement officer of every state and local law
enforcement agency and every prosecution office in the state must update the written policy
adopted and implemented under paragraph (d) to be identical or substantially similar to the
model policies updated under paragraph (e).
new text end

Sec. 8.

Minnesota Statutes 2016, section 609.531, is amended by adding a subdivision to
read:

new text begin Subd. 9. new text end

new text begin Adoption; joint task forces; receipt of payment proceeds from federal
government. new text end

new text begin (a) An appropriate agency shall not refer, transfer, or otherwise relinquish
possession of property seized under state law to a federal agency by way of adoption of the
seized property or other means by the federal agency for the purpose of the property's
forfeiture under federal law.
new text end

new text begin (b) An appropriate agency or participant in a joint task force or other multijurisdictional
collaboration with the federal government shall not accept payment of any kind or distribution
of forfeiture proceeds resulting from a joint task force or other multijurisdictional
collaboration unless the aggregate net equity value of the property and currency seized in
a case exceeds $100,000, excluding the value of contraband.
new text end

new text begin (c) Nothing in paragraph (a) or (b) shall be construed to restrict an appropriate agency
from acting alone or collaborating with a federal agency or other agency to seize contraband
or property a law enforcement agent has probable cause to believe is the proceeds or
instruments of a crime that subjects the property to forfeiture.
new text end

Sec. 9.

Minnesota Statutes 2016, section 609.5312, subdivision 3, is amended to read:

Subd. 3.

Vehicle forfeiture for prostitution offenses.

(a) A motor vehicle is subject to
forfeiture under this subdivision if it was used to commit or facilitate, or used during the
commission of, a violation of section 609.324 or a violation of a local ordinance substantially
similar to section 609.324. A motor vehicle is subject to forfeiture under this subdivision
only if the offense is established by proof of a criminal conviction for the offense. Except
as otherwise provided in this subdivision, a forfeiture under this subdivision is governed
by sections 609.531, 609.5312, and 609.5313.

(b) When a motor vehicle subject to forfeiture under this subdivision is seized in advance
of a deleted text begin judicial deleted text end forfeiture order, a hearing before a judge or referee must be held within 96
hours of the seizure. Notice of the hearing must be given to the registered owner within 48
hours of the seizure. The prosecuting authority shall certify to the court, at or in advance of
the hearing, that it has filed or intends to file charges against the alleged violator for violating
section 609.324 or a local ordinance substantially similar to section 609.324. After conducting
the hearing, the court shall order that the motor vehicle be returned to the owner if:

(1) the prosecuting authority has failed to make the certification required by paragraph
(b);

(2) the owner of the motor vehicle has demonstrated to the court's satisfaction that the
owner has a defense to the forfeiture, including but not limited to the defenses contained in
subdivision 2; or

(3) the court determines that seizure of the vehicle creates or would create an undue
hardship for members of the owner's family.

(c) If the defendant is acquitted or prostitution charges against the defendant are
dismissed, neither the owner nor the defendant is responsible for paying any costs associated
with the seizure or storage of the vehicle.

(d) A vehicle leased or rented under section 168.27, subdivision 4, for a period of 180
days or less is not subject to forfeiture under this subdivision.

(e) For purposes of this subdivision, seizure occurs either:

(1) at the date at which personal service of process upon the registered owner is made;
or

(2) at the date when the registered owner has been notified by certified mail at the address
listed in the Minnesota Department of Public Safety computerized motor vehicle registration
records.

(f) The Department of Corrections Fugitive Apprehension Unit shall not participate in
paragraphs (a) to (e).

Sec. 10.

Minnesota Statutes 2016, section 609.5312, subdivision 4, is amended to read:

Subd. 4.

Vehicle forfeiture for fleeing peace officer.

(a) A motor vehicle is subject to
forfeiture under this subdivision if it was used to commit a violation of section 609.487 and
endanger life or property. A motor vehicle is subject to forfeiture under this subdivision
only if the offense is established by proof of a criminal conviction for the offense. Except
as otherwise provided in this subdivision, a forfeiture under this subdivision is governed
by sections 609.531, 609.5312, 609.5313, and 609.5315, subdivision 6.

(b) When a motor vehicle subject to forfeiture under this subdivision is seized in advance
of a deleted text begin judicial deleted text end forfeiture order, a hearing before a judge or referee must be held within 96
hours of the seizure. Notice of the hearing must be given to the registered owner within 48
hours of the seizure. The prosecuting authority shall certify to the court, at or in advance of
the hearing, that it has filed or intends to file charges against the alleged violator for violating
section 609.487. After conducting the hearing, the court shall order that the motor vehicle
be returned to the owner if:

(1) the prosecuting authority has failed to make the certification required by this
paragraph;

(2) the owner of the motor vehicle has demonstrated to the court's satisfaction that the
owner has a defense to the forfeiture, including but not limited to the defenses contained in
subdivision 2; or

(3) the court determines that seizure of the vehicle creates or would create an undue
hardship for members of the owner's family.

(c) If the defendant is acquitted or the charges against the defendant are dismissed,
neither the owner nor the defendant is responsible for paying any costs associated with the
seizure or storage of the vehicle.

(d) A vehicle leased or rented under section 168.27, subdivision 4, for a period of 180
days or less is not subject to forfeiture under this subdivision.

(e) A motor vehicle that is an off-road recreational vehicle as defined in section 169A.03,
subdivision 16, or a motorboat as defined in section 169A.03, subdivision 13, is not subject
to paragraph (b).

(f) For purposes of this subdivision, seizure occurs either:

(1) at the date at which personal service of process upon the registered owner is made;
or

(2) at the date when the registered owner has been notified by certified mail at the address
listed in the Minnesota Department of Public Safety computerized motor vehicle registration
records.

(g) The Department of Corrections Fugitive Apprehension Unit shall not seize a motor
vehicle for the purposes of forfeiture under paragraphs (a) to (f).

Sec. 11.

Minnesota Statutes 2016, section 609.5313, is amended to read:

609.5313 FORFEITURE deleted text begin BY JUDICIAL ACTION deleted text end ; PROCEDURE.

new text begin Subdivision 1. new text end

new text begin Complaint; service of process. new text end

(a) The forfeiture of property under
sections new text begin 169A.63, new text end 609.5311 deleted text begin and deleted text end new text begin , new text end 609.5312 new text begin , and 609.5318 new text end is governed by this section. deleted text begin A
separate complaint must be filed against the property stating the act, omission, or occurrence
giving rise to the forfeiture and the date and place of the act or occurrence. Within 60 days
from when the seizure occurs, deleted text end new text begin In any case in which the state seeks forfeiture of property, new text end
the prosecuting authority shall deleted text begin notify the owner or possessor of the property of the action,
if known or readily ascertainable. The action must be captioned in the name of the prosecuting
authority or the prosecuting authority's designee as plaintiff and the property as defendant deleted text end new text begin
file a complaint that includes the information identified in paragraph (b) at the time of the
defendant's first appearance in court new text end . Upon motion by the prosecuting authority, a court
may deleted text begin extend the time period for sending notice for a period not to exceed 90 deleted text end new text begin permit the filing
of an amended complaint within seven new text end days new text begin of the first appearance new text end for good cause shown. new text begin
Service of an amended complaint on a represented party must be made on the attorney.
Service on the attorney or party must be made in the manner provided in civil actions or as
ordered by the court. Service may be made by electronic means as authorized or required
by the General Rules of Practice for the District Courts. The court shall verify service at
the defendant's next appearance.
new text end

(b) new text begin A complaint in any case in which the state seeks forfeiture of property must include:
new text end

new text begin (1) a description of the property seized;
new text end

new text begin (2) the date and place of the seizure;
new text end

new text begin (3) the name and address of the appropriate agency responsible for the seizure;
new text end

new text begin (4) a statement of facts establishing probable cause to believe that the charged offense
has been committed, that the defendant committed it, and that the seized property is an
instrument or represents the proceeds of the underlying offense; and
new text end

new text begin (5) the name of any person known to the prosecuting authority to have an interest in the
property, and the nature of that interest.
new text end

new text begin (c) new text end If deleted text begin notice deleted text end new text begin a complaint new text end is not deleted text begin sent deleted text end new text begin filed new text end in accordance with paragraph (a), and no time
extension is granted or the extension period has expired, the appropriate agency shall new text begin , upon
the owner's request, new text end return the property to the person from whom the property was seized,
if known. deleted text begin An agency's return of property due to lack of proper notice does not restrict the
right of the agency to commence a forfeiture proceeding at a later time. deleted text end The agency shall
not be required to return contraband or other property that the person from whom the property
was seized may not legally possess.

new text begin Subd. 2. new text end

new text begin Notice to registered owner. new text end

new text begin (a) Unless otherwise specified in law, the
prosecuting authority shall provide notice of the forfeiture proceeding to the registered
owner of any vehicle and any other individual known to have an interest in any property
subject to forfeiture under this section who is not charged with a crime in the complaint.
Notice must be given within seven days of the filing of the complaint pursuant to subdivision
1 or, if an interest was not known at the time of the filing, within seven days of discovery
of an individual with an interest in the property and may be made by personal service if the
owner is a resident of this state, or by certified mail if the person is the resident of another
state.
new text end

new text begin (b) The notice must be in writing and contain:
new text end

new text begin (1) a description of the property seized;
new text end

new text begin (2) the date of seizure; and
new text end

new text begin (3) a copy of the complaint filed pursuant to subdivision 1.
new text end

new text begin (c) Substantially, the following language must appear conspicuously in the notice:
new text end

new text begin "WARNING: You may lose the right to be heard in court if you do not file a statement
of interest or ownership within 20 days. You must file in district court. You do not have to
pay a filing fee for your notice."
new text end

new text begin Subd. 3. new text end

new text begin Statement of interest or ownership. new text end

new text begin (a) Any person, other than the defendant,
who claims an interest in seized property shall file a simple statement of interest or ownership
within 20 days of the date of service of the complaint. The filing fee for the statement under
this subdivision is waived.
new text end

new text begin (b) No information in the statement of interest or ownership filed pursuant to this section
shall be used as evidence in the criminal matter. Nothing in this paragraph prevents any
individual who has filed a statement of interest or ownership under this section from
providing information to any prosecuting authority or defendant involved in the related
criminal matter or their representatives, or from testifying in any trial as to facts within the
individual's knowledge.
new text end

new text begin Subd. 4. new text end

new text begin Venue. new text end

new text begin The district court with jurisdiction over the related criminal matter has
jurisdiction over the ancillary forfeiture proceeding.
new text end

new text begin Subd. 5. new text end

new text begin Hearing; time. new text end

new text begin A forfeiture hearing under this section shall be held as soon as
practicable after a conviction in the related criminal matter.
new text end

new text begin Subd. 6. new text end

new text begin Innocent owner. new text end

new text begin (a) Any person, other than the defendant, asserting a legal
interest in property which has been seized or restrained may, until the criminal conviction,
petition the court for a hearing to adjudicate the validity of the person's alleged interest in
the property. The hearing shall be held before the court.
new text end

new text begin (b) The petition shall be signed by the petitioner under penalty of perjury and shall set
forth the nature and extent of the petitioner's right, title, or interest in the property, the time
and circumstances of the petitioner's acquisition of the right, title, or interest in the property,
any additional facts supporting the petitioner's claim, and the relief sought.
new text end

new text begin (c) The hearing on the petition shall, to the extent practicable and consistent with the
interests of justice, be held within 30 days of the filing of the petition. The court may
consolidate the hearing on the petition with a hearing on any other petition filed by a person
other than the defendant under this subdivision.
new text end

new text begin (d) At the hearing, the petitioner may testify and present evidence and witnesses on the
petitioner's own behalf, and cross-examine witnesses who appear at the hearing. The state
may present evidence and witnesses in rebuttal and in defense of its claim to the property
and cross-examine witnesses who appear at the hearing.
new text end

new text begin (e) The petitioner who has an ownership interest in property subject to forfeiture existing
at the time the illegal conduct giving rise to forfeiture occurred and who claims to be an
innocent owner bears the burden of proving by clear and convincing evidence that the person
has a legal interest in the seized property.
new text end

new text begin (f) If paragraph (e) is satisfied and the state seeks to proceed with the forfeiture against
the property, the state shall prove by clear and convincing evidence that the petitioner
actively or passively permitted the defendant to use the property while having actual or
constructive knowledge that the property would be used in the manner contrary to law for
which the defendant was charged and failed to take reasonable steps to prevent use of the
property by the defendant.
new text end

new text begin (g) For purposes of this subdivision, a person, other than the defendant, who claims an
interest in seized property is presumed to know that property would be used in a manner
contrary to law consistent with the offense of which the defendant was convicted if the
defendant is a family or household member as defined in section 169A.63, subdivision 1,
paragraph (e), and:
new text end

new text begin (1) the defendant has three or more prior impaired driving convictions and the underlying
criminal matter alleges a violation of a designated offense as defined in section 169A.63,
subdivision 1, paragraph (d), or conduct resulting in a designated license revocation as
defined in section 169A.63, subdivision 1, paragraph (d);
new text end

new text begin (2) the defendant has three or more prior controlled substance convictions and the
underlying criminal matter alleges a controlled substance violation; or
new text end

new text begin (3) the defendant has three or more designated offense convictions and the underlying
criminal matter alleges a designated offense violation.
new text end

new text begin (h) A petitioner who acquired an ownership interest in property subject to forfeiture
after the commission of a crime giving rise to the forfeiture and who claims to be an innocent
owner bears the burden of proving by clear and convincing evidence that the person has a
legal interest in the seized property.
new text end

new text begin (i) If paragraph (g) is satisfied and the state seeks to proceed with the forfeiture against
the property, the state shall prove by clear and convincing evidence that, at the time the
petitioner acquired the property, the person:
new text end

new text begin (1) had actual knowledge that the property was subject to forfeiture; or
new text end

new text begin (2) was not a bona fide purchaser who made the purchase (1) without notice of any
defect in title, and (2) for valuable consideration.
new text end

new text begin (j) If the state fails to meet its burden in paragraph (f) or (i), the court shall find that the
petitioner is an innocent owner and shall order the state to relinquish all claims of title to
the property.
new text end

new text begin (k) An individual who asserts a claim pursuant to this subdivision is barred from asserting
a claim pursuant to subdivision 9.
new text end

new text begin (l) The defendant or convicted offender may invoke the right against self-incrimination
or the marital privilege during the forfeiture-related stage of the prosecution. The trier of
fact at the hearing may draw an adverse inference from the invocation of the right or
privilege.
new text end

new text begin Subd. 7. new text end

new text begin Replevin hearing. new text end

new text begin (a) Following the seizure of property, a defendant has a
right to a pretrial hearing to determine the validity of the seizure.
new text end

new text begin (b) The defendant may claim at any time prior to 60 days before trial of the related
criminal offense the right to possession of property by motion to the court to issue a writ
of replevin.
new text end

new text begin (c) The claimant shall file a motion establishing the validity of the alleged interest in
the property.
new text end

new text begin (d) The court shall hear the motion no more than 30 days after the motion is filed.
new text end

new text begin (e) The state shall file an answer showing probable cause for the seizure or cross motions
at least ten days before the hearing.
new text end

new text begin (f) Either party may, by agreement or for good cause, move the court for one extension
of no more than ten days. Any such motion may be supported by affidavits or other
submissions.
new text end

new text begin (g) The court shall issue a writ of replevin if it finds that:
new text end

new text begin (1) it is likely the final judgment will be that the state must return the property to the
claimant;
new text end

new text begin (2) the property is not reasonably required to be held for evidentiary reasons; or
new text end

new text begin (3) the property is the only reasonable means for a defendant to pay for legal
representation in the forfeiture or criminal proceeding.
new text end

new text begin At the court's discretion under clause (2), it may order the return of funds or property
sufficient to obtain counsel of choice but less than the total amount seized.
new text end

new text begin (h) In lieu of ordering the issuance of the writ, the court may order the state to give
security or written assurance for satisfaction of any judgment, including damages, that may
be rendered in the action, or order other relief as may be just.
new text end

new text begin (i) A defendant who asserts a claim under this subdivision is not barred from asserting
a claim pursuant to subdivision 9.
new text end

new text begin Subd. 8. new text end

new text begin Discovery. new text end

new text begin Discovery in a forfeiture proceeding is subject to the Rules of
Criminal Procedure.
new text end

new text begin Subd. 9. new text end

new text begin Proceeding. new text end

new text begin (a) A contested forfeiture proceeding shall be held before a judge.
new text end

new text begin (b) The court shall provide notice of the hearing to the defendant in the related criminal
matter, any person who filed a statement of interest or ownership pursuant to subdivision
3, and any person who claims an interest in seized property and did not receive the notice
required under subdivision 2.
new text end

new text begin (c) Except as otherwise provided in this section, when a judge conducts a contested
forfeiture proceeding, the judge is not bound by the common law or statutory rules of
evidence or technical or formal rules of pleading or procedure. Hearsay evidence which is
reliable is admissible.
new text end

new text begin (d) The defendant, any person who filed a statement of interest or ownership pursuant
to subdivision 3, and any person who claims an interest in seized property and did not receive
the notice required under subdivision 2 shall be entitled to challenge the forfeiture and may
be represented by counsel. If the defendant in the related criminal matter was represented
by the public defender, the state public defender or chief public defender of the judicial
district may authorize representation of the defendant in the forfeiture proceeding.
new text end

new text begin (e) Nothing in this subdivision prohibits resolution of the forfeiture proceeding by
stipulation or as part of a plea agreement except that the court shall not accept a plea
agreement or other arrangement that:
new text end

new text begin (1) allows a defendant to contribute or donate property to a person, charity, or other
organization; or
new text end

new text begin (2) prevents the claims of any person who filed a statement of interest or ownership
pursuant to subdivision 3 or any person who claims an interest in seized property and did
not receive the notice required under subdivision 2 from being heard.
new text end

new text begin Subd. 10. new text end

new text begin Standards of proof. new text end

new text begin (a) At a hearing held pursuant to subdivision 9, a person,
other than the defendant, who claims an interest in seized property has the burden to prove
by clear and convincing evidence that the person has a legal interest in the seized property.
new text end

new text begin (b) The prosecuting authority has the burden to prove by clear and convincing evidence
that:
new text end

new text begin (1) the defendant in the related criminal matter is the sole owner of the property, or any
other person who claims an ownership interest in seized property actively or passively
permitted the defendant to use the property while having actual or constructive knowledge
that the property would be used in the manner contrary to law for which the defendant was
charged and failed to take reasonable steps to prevent use of the property by the defendant;
new text end

new text begin (2) the related criminal matter resulted in a conviction for the criminal offense related
to the action for forfeiture; and
new text end

new text begin (3) the seized property was an instrument or represents the proceeds of the underlying
offense.
new text end

new text begin (c) The presumptions in subdivision 6, paragraph (g), apply to a hearing under this
subdivision.
new text end

new text begin Subd. 11. new text end

new text begin Proportionality hearing. new text end

new text begin (a) At any time following the determination of
forfeiture by the judge, the defendant may petition the court to determine whether the
forfeiture is excessive under the state or federal constitution.
new text end

new text begin (b) The defendant has the burden of establishing that the forfeiture is disproportional to
the seriousness of the offense by a preponderance of the evidence at a hearing conducted
by the court.
new text end

new text begin (c) In determining whether the forfeiture is excessive, the court may consider all relevant
factors including but not limited to:
new text end

new text begin (1) the seriousness of the offense and its impact on the community, including the duration
of the activity and the harm caused by the defendant;
new text end

new text begin (2) the extent to which the defendant participated in the offense;
new text end

new text begin (3) the extent to which the property was used in committing the offense;
new text end

new text begin (4) the sentence imposed for committing the crime subject to forfeiture; and
new text end

new text begin (5) whether the offense was completed or attempted.
new text end

new text begin (d) In determining the value of the instrumentality subject to forfeiture, the court may
consider all relevant factors including:
new text end

new text begin (1) the fair market value of the property;
new text end

new text begin (2) the value of the property to the defendant including hardship to the defendant if the
forfeiture is realized and if the forfeiture would deprive the property owner of the owner's
livelihood; and
new text end

new text begin (3) the hardship from the loss of a primary residence, motor vehicle, or other property
to the defendant's family members or others if the property is forfeited.
new text end

new text begin (e) The court may not consider the value of the instrumentality to the state in determining
whether the forfeiture of an instrumentality is constitutionally excessive.
new text end

new text begin Subd. 12. new text end

new text begin Judgment. new text end

new text begin (a) If the prosecuting authority fails to meet its burden as to any
claimant, the court must enter judgment dismissing the forfeiture proceeding and delivering
the property to the prevailing owner, unless the owner's possession of the property is illegal.
new text end

new text begin (b) If the prosecuting authority meets its burden as to all claimants, the court shall enter
judgment forfeiting the seized property.
new text end

new text begin (c) If the court orders return of property, the law enforcement agency that holds the
property shall return the property to the owner or other prevailing claimant within a
reasonable period of time not to exceed five days after entry of judgment.
new text end

new text begin (d) Any owner to whom property is returned shall not be subject to any charges for
storage of the property or expenses incurred in the preservation of the property.
new text end

new text begin (e) The law enforcement agency that holds the property is responsible for any damages,
storage fees, and related costs applicable to property returned under this section.
new text end

new text begin (f) A court may enter judgment following a hearing or pursuant to a stipulation or plea
agreement.
new text end

new text begin Subd. 13. new text end

new text begin Appeal. new text end

new text begin A defendant or any individual who asserted an ownership claim at a
hearing under this section may appeal a decision regarding seizure or forfeiture. Decisions
regarding seizure may be made on an interlocutory basis.
new text end

Sec. 12.

Minnesota Statutes 2016, section 609.5315, subdivision 1, is amended to read:

Subdivision 1.

Disposition.

(a) Subject to paragraph (b), if the court finds under section
609.5313 deleted text begin , 609.5314, or 609.5318 deleted text end that the property is subject to forfeiture, it shall order the
appropriate agency to do one of the following:

(1) unless a different disposition is provided under clause (3) or (4), either destroy
firearms, ammunition, and firearm accessories that the agency decides not to use for law
enforcement purposes under clause (8), or sell them to federally licensed firearms dealers,
as defined in section 624.7161, subdivision 1, and distribute the proceeds under subdivision
5 or 5b;

(2) sell property that is not required to be destroyed by law and is not harmful to the
public and distribute the proceeds under subdivision 5 or 5b;

(3) sell antique firearms, as defined in section 624.712, subdivision 3, to the public and
distribute the proceeds under subdivision 5 or 5b;

(4) destroy or use for law enforcement purposes semiautomatic military-style assault
weapons, as defined in section 624.712, subdivision 7;

(5) take custody of the property and remove it for disposition in accordance with law;

(6) forward the property to the federal drug enforcement administration; new text begin or
new text end

(7) disburse money as provided under subdivision 5, 5b, or 5c deleted text begin ; or
deleted text end

deleted text begin (8) keep property other than money for official use by the agency and the prosecuting
agency deleted text end .

(b) Notwithstanding paragraph (a), the Hennepin or Ramsey County sheriff may not sell
firearms, ammunition, or firearms accessories if the policy is disapproved by the applicable
county board.

(c) If property is sold under paragraph (a), the appropriate agency shall not sell property
to: (1) an officer or employee of the agency that seized the property or to a person related
to the officer or employee by blood or marriage; or (2) the prosecuting authority or any
individual working in the same office or a person related to the authority or individual by
blood or marriage.

(d) Sales of forfeited property under this section must be conducted in a commercially
reasonable manner.

Sec. 13.

Minnesota Statutes 2016, section 609.5315, subdivision 5, is amended to read:

Subd. 5.

Distribution of money.

The money or proceeds from the sale of forfeited
property, after payment of seizure, storage, forfeiture, and sale expenses, and satisfaction
of valid liens against the property, must be deleted text begin distributed as follows:
deleted text end

deleted text begin (1) 70 percent of the money or proceeds must be forwarded to the appropriate agency
for deposit as a supplement to the agency's operating fund or similar fund for use in law
enforcement;
deleted text end

deleted text begin (2) 20 percent of the money or proceeds must be forwarded to the prosecuting authority
that handled the forfeiture for deposit as a supplement to its operating fund or similar fund
for prosecutorial purposes; and
deleted text end

deleted text begin (3) the remaining ten percent of the money or proceeds must be deleted text end forwarded within 60
days after resolution of the forfeiture to the state treasury and credited to the general fund.
Any local police relief association organized under chapter 423 which received or was
entitled to receive the proceeds of any sale made under this section before the effective date
of Laws 1988, chapter 665, sections 1 to 17, shall continue to receive and retain the proceeds
of these sales.

Sec. 14.

Minnesota Statutes 2016, section 609.5315, subdivision 5a, is amended to read:

Subd. 5a.

Disposition of certain forfeited proceeds; prostitution.

The proceeds from
the sale of motor vehicles forfeited under section 609.5312, subdivision 3, after payment
of seizure, storage, forfeiture, and sale expenses, and satisfaction of valid liens against the
vehicle, shall be distributed as follows:

deleted text begin (1) 40 percent of the proceeds must be forwarded to the appropriate agency for deposit
as a supplement to the agency's operating fund or similar fund for use in law enforcement;
deleted text end

deleted text begin (2) 20 percent of the proceeds must be forwarded to the prosecuting authority that handled
the forfeiture for deposit as a supplement to its operating fund or similar fund for
prosecutorial purposes; and
deleted text end

deleted text begin (3) the remaining 40 deleted text end new text begin (1) 50 new text end percent of the proceeds must be forwarded to the city treasury
for distribution to neighborhood crime prevention programs new text begin ; and
new text end

new text begin (2) the remaining 50 percent forwarded within 60 days after resolution of the forfeiture
to the state treasury and credited to the general fund new text end .

Sec. 15.

Minnesota Statutes 2016, section 609.5315, subdivision 5b, is amended to read:

Subd. 5b.

Disposition of certain forfeited proceeds; trafficking of persons; report
required.

(a) Except as provided in subdivision 5c, for forfeitures resulting from violations
of section 609.282, 609.283, or 609.322, the money or proceeds from the sale of forfeited
property, after payment of seizure, storage, forfeiture, and sale expenses, and satisfaction
of valid liens against the property, must be distributed as follows:

deleted text begin (1) 40 percent of the proceeds must be forwarded to the appropriate agency for deposit
as a supplement to the agency's operating fund or similar fund for use in law enforcement;
deleted text end

deleted text begin (2) 20 percent of the proceeds must be forwarded to the prosecuting authority that handled
the forfeiture for deposit as a supplement to its operating fund or similar fund for
prosecutorial purposes; and
deleted text end

deleted text begin (3) the remaining 40 deleted text end new text begin (1) 50 new text end percent of the proceeds must be forwarded to the
commissioner of public safety and are appropriated to the commissioner for distribution to
crime victims services organizations that provide services to victims of trafficking offenses new text begin ;
and
new text end

new text begin (2) the remaining 50 percent forwarded within 60 days after resolution of the forfeiture
to the state treasury and credited to the general fund new text end .

(b) By February 15 of each year, the commissioner of public safety shall report to the
chairs and ranking minority members of the senate and house of representatives committees
or divisions having jurisdiction over criminal justice funding on the money collected under
paragraph (a), clause (3). The report must indicate the following relating to the preceding
calendar year:

(1) the amount of money appropriated to the commissioner;

(2) how the money was distributed by the commissioner; and

(3) what the organizations that received the money did with it.

Sec. 16.

Minnesota Statutes 2017 Supplement, section 609.5315, subdivision 5c, is amended
to read:

Subd. 5c.

Disposition of money; prostitution.

Money forfeited under section 609.5312,
subdivision 1, paragraph (b), must be distributed as follows:

deleted text begin (1) 40 percent must be forwarded to the appropriate agency for deposit as a supplement
to the agency's operating fund or similar fund for use in law enforcement;
deleted text end

deleted text begin (2) 20 percent must be forwarded to the prosecuting authority that handled the forfeiture
for deposit as a supplement to its operating fund or similar fund for prosecutorial purposes;
and
deleted text end

deleted text begin (3) the remaining 40 deleted text end new text begin (1) 50 new text end percent must be forwarded to the commissioner of health to
be deposited in the safe harbor for youth account in the special revenue fund and is
appropriated to the commissioner for distribution to crime victims services organizations
that provide services to sexually exploited youth, as defined in section 260C.007, subdivision
31 new text begin ; and
new text end

new text begin (2) the remaining 50 percent forwarded within 60 days after resolution of the forfeiture
to the state treasury and credited to the general fund new text end .

Sec. 17.

Minnesota Statutes 2016, section 609.5318, subdivision 2, is amended to read:

Subd. 2.

Notice.

(a) The registered owner of the vehicle must be notified of the seizure
and intent to forfeit the vehicle within seven days after the seizure. Notice by certified mail
to the address shown in Department of Public Safety records is deemed to be sufficient
notice to the registered owner.

(b) The notice must be in writing and:

(1) contain a description of the property seized;

(2) contain the date of seizure; and

(3) be printed in English. This requirement does not preclude the appropriate agency
from printing the notice in other languages in addition to English.

deleted text begin (c) Substantially, the following language must appear conspicuously in the notice:
deleted text end

deleted text begin "WARNING: You will automatically lose the above-described property and the right
to be heard in court if you do not file a lawsuit and serve the prosecuting authority within
60 days. You may file your lawsuit in conciliation court if the property is worth $15,000 or
less; otherwise, you must file in district court. You may not have to pay a filing fee for your
lawsuit if you are unable to afford the fee. You do not have to pay a conciliation court fee
if your property is worth less than $500."
deleted text end

Sec. 18.

Minnesota Statutes 2016, section 609.5318, subdivision 4, is amended to read:

Subd. 4.

Procedure.

deleted text begin (a) If a judicial determination of the forfeiture is requested, a
separate complaint must be filed against the vehicle, stating the specific act giving rise to
the forfeiture and the date, time, and place of the act. The action must be captioned in the
name of deleted text end The prosecuting authority deleted text begin or the prosecuting authority's designee as plaintiff and
the property as defendant deleted text end new text begin must conduct the forfeiture under sections 609.531, subdivision
6a, and 609.5313 new text end .

deleted text begin (b) If a demand for judicial determination of an administrative forfeiture is filed and the
court orders the return of the seized property, the court shall order that filing fees be
reimbursed to the person who filed the demand. In addition, the court may order the payment
of reasonable costs, expenses, attorney fees, and towing and storage fees. If the court orders
payment of these costs, they must be paid from forfeited money or proceeds from the sale
of forfeited property from the appropriate law enforcement and prosecuting agencies in the
same proportion as they would be distributed under section 609.5315, subdivision 5.
deleted text end

Sec. 19. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2016, sections 609.531, subdivision 7; 609.5314; 609.5315,
subdivisions 2 and 3; and 609.5318, subdivision 3, new text end new text begin are repealed.
new text end

Sec. 20. new text begin EFFECTIVE DATE.
new text end

new text begin This article is effective August 1, 2019.
new text end

ARTICLE 2

DRIVING WHILE IMPAIRED VEHICLE FORFEITURE

Section 1.

Minnesota Statutes 2017 Supplement, section 169A.63, subdivision 1, is
amended to read:

Subdivision 1.

Definitions.

(a) As used in this section, the following terms have the
meanings given them.

(b) "Appropriate agency" means a law enforcement agency that has the authority to
make an arrest for a violation of a designated offense or to require a test under section
169A.51 (chemical tests for intoxication).

(c) "Claimant" means an owner of a motor vehicle or a person claiming a leasehold or
security interest in a motor vehicle.

deleted text begin (d) "Designated license revocation" includes a license revocation under section 169A.52
(license revocation for test failure or refusal) or 171.177 (revocation; search warrant) or a
license disqualification under section 171.165 (commercial driver's license disqualification)
resulting from a violation of section 169A.52 or 171.177; within ten years of the first of
two or more qualified prior impaired driving incidents.
deleted text end

deleted text begin (e) deleted text end new text begin (d) new text end "Designated offense" includes:

(1) a violation of section 169A.20 (driving while impaired) under the circumstances
described in section 169A.24 (first-degree driving while impaired), or 169A.25
(second-degree driving while impaired); or

(2) a violation of section 169A.20 or an ordinance in conformity with it:

(i) by a person whose driver's license or driving privileges have been canceled as inimical
to public safety under section 171.04, subdivision 1, clause (10), and not reinstated; or

(ii) by a person who is subject to a restriction on the person's driver's license under
section 171.09 (commissioner's license restrictions), which provides that the person may
not use or consume any amount of alcohol or a controlled substance.

deleted text begin (f) deleted text end new text begin (e) new text end "Family or household member" means:

(1) a parent, stepparent, or guardian;

(2) any of the following persons related by blood, marriage, or adoption: brother, sister,
stepbrother, stepsister, first cousin, aunt, uncle, nephew, niece, grandparent,
great-grandparent, great-uncle, great-aunt; or

(3) persons residing together or persons who regularly associate and communicate with
one another outside of a workplace setting.

deleted text begin (g) deleted text end new text begin (f) new text end "Motor vehicle" and "vehicle" do not include a vehicle which is stolen or taken
in violation of the law.

deleted text begin (h) deleted text end new text begin (g) new text end "Owner" means a person legally entitled to possession, use, and control of a
motor vehicle, including a lessee of a motor vehicle if the lease agreement has a term of
180 days or more. There is a rebuttable presumption that a person registered as the owner
of a motor vehicle according to the records of the Department of Public Safety is the legal
owner. For purposes of this section, if a motor vehicle is owned jointly by two or more
people, each owner's interest extends to the whole of the vehicle and is not subject to
apportionment.

deleted text begin (i) deleted text end new text begin (h) new text end "Prosecuting authority" means the attorney in the jurisdiction in which the
designated offense occurred who is responsible for prosecuting violations of a designated
offense or a designee. If a state agency initiated the forfeiture, and the attorney responsible
for prosecuting the designated offense declines to pursue forfeiture, the Attorney General's
Office or its designee may initiate forfeiture under this section.

deleted text begin (j) deleted text end new text begin (i) new text end "Security interest" means a bona fide security interest perfected according to
section 168A.17, subdivision 2, based on a loan or other financing that, if a vehicle is
required to be registered under chapter 168, is listed on the vehicle's title.

Sec. 2.

Minnesota Statutes 2016, section 169A.63, subdivision 3, is amended to read:

Subd. 3.

Right to possession vests immediately; custody.

All right, title, and interest
in a vehicle subject to forfeiture under this section vests in the appropriate agency upon
commission of the conduct resulting in the designated offense deleted text begin or designated license
revocation deleted text end giving rise to the forfeiture. Any vehicle seized under this section is not subject
to replevin, but is deemed to be in the custody of the appropriate agency subject to the orders
and decrees of the court having jurisdiction over the forfeiture proceedings. When a vehicle
is seized under this section, the appropriate agency shall use reasonable diligence to secure
the property and prevent waste and may do any of the following:

(1) place the vehicle under seal;

(2) remove the vehicle to a place designated by it; and

(3) place a disabling device on the vehicle.

Sec. 3.

Minnesota Statutes 2016, section 169A.63, subdivision 5, is amended to read:

Subd. 5.

Evidence.

Certified copies of court records and motor vehicle and driver's
license records concerning qualified prior impaired driving incidents are admissible as
substantive evidence where necessary to prove the commission of a designated offense deleted text begin or
the occurrence of a designated license revocation deleted text end .

Sec. 4.

Minnesota Statutes 2016, section 169A.63, subdivision 6, is amended to read:

Subd. 6.

Vehicle subject to forfeiture.

(a) A motor vehicle is subject to forfeiture under
this section if it was used in the commission of a designated offense deleted text begin or was used in conduct
resulting in a designated license revocation deleted text end .

(b) Motorboats subject to seizure and forfeiture under this section also include their
trailers.

Sec. 5.

Minnesota Statutes 2017 Supplement, section 169A.63, subdivision 7, is amended
to read:

Subd. 7.

Limitations on vehicle forfeiture.

(a) A vehicle is presumed subject to forfeiture
under this section if deleted text begin :
deleted text end

deleted text begin (1) deleted text end the driver is convicted of the designated offense upon which the forfeiture is based deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (2) the driver fails to appear for a scheduled court appearance with respect to the
designated offense charged and fails to voluntarily surrender within 48 hours after the time
required for appearance; or
deleted text end

deleted text begin (3) the driver's conduct results in a designated license revocation and the driver fails to
seek judicial review of the revocation in a timely manner as required by section 169A.53,
subdivision 2, (petition for judicial review), or the license revocation is judicially reviewed
and sustained under section 169A.53, subdivision 2.
deleted text end

(b) A vehicle encumbered by a security interest perfected according to section 168A.17,
subdivision 2, or subject to a lease that has a term of 180 days or more, is subject to the
interest of the secured party or lessor unless the party or lessor had knowledge of or consented
to the act upon which the forfeiture is based. However, when the proceeds of the sale of a
seized vehicle do not equal or exceed the outstanding loan balance, the appropriate agency
shall remit all proceeds of the sale to the secured party after deducting the agency's costs
for the seizure, tow, storage, forfeiture, and sale of the vehicle. If the sale of the vehicle is
conducted in a commercially reasonable manner consistent with the provisions of section
336.9-610, the agency is not liable to the secured party for any amount owed on the loan in
excess of the sale proceeds. The validity and amount of a nonperfected security interest
must be established by its holder by clear and convincing evidence.

(c) Notwithstanding paragraph (b), the secured party's or lessor's interest in a vehicle is
not subject to forfeiture based solely on the secured party's or lessor's knowledge of the act
or omission upon which the forfeiture is based if the secured party or lessor demonstrates
by clear and convincing evidence that the party or lessor took reasonable steps to terminate
use of the vehicle by the offender.

deleted text begin (d) A motor vehicle is not subject to forfeiture under this section if any of its owners
who petition the court can demonstrate by clear and convincing evidence that the petitioning
owner did not have actual or constructive knowledge that the vehicle would be used or
operated in any manner contrary to law or that the petitioning owner took reasonable steps
to prevent use of the vehicle by the offender. If the offender is a family or household member
of any of the owners who petition the court and has three or more prior impaired driving
convictions, the petitioning owner is presumed to know of any vehicle use by the offender
that is contrary to law. "Vehicle use contrary to law" includes, but is not limited to, violations
of the following statutes:
deleted text end

deleted text begin (1) section 171.24 (violations; driving without valid license);
deleted text end

deleted text begin (2) section 169.791 (criminal penalty for failure to produce proof of insurance);
deleted text end

deleted text begin (3) section 171.09 (driving restrictions; authority, violations);
deleted text end

deleted text begin (4) section 169A.20 (driving while impaired);
deleted text end

deleted text begin (5) section 169A.33 (underage drinking and driving); and
deleted text end

deleted text begin (6) section 169A.35 (open bottle law).
deleted text end

new text begin (d) Any person, other than the defendant, asserting a legal interest in the motor vehicle
may petition the court pursuant to section 609.5315, subdivision 6.
new text end

Sec. 6.

Minnesota Statutes 2016, section 169A.63, subdivision 9, is amended to read:

Subd. 9.

deleted text begin Judicial deleted text end Forfeiture procedure.

(a) deleted text begin This subdivision governs judicial
determinations of the deleted text end new text begin Except as otherwise stated in this section, section 609.5313 governs new text end
forfeiture deleted text begin of deleted text end new text begin proceedings for new text end a motor vehicle used to commit a designated offense deleted text begin or used
in conduct resulting in a designated license revocation. An action for forfeiture is a civil in
rem action and is independent of any criminal prosecution. All proceedings are governed
by the Rules of Civil Procedure deleted text end .

deleted text begin (b) If no demand for judicial determination of the forfeiture is pending, the prosecuting
authority may, in the name of the jurisdiction pursuing the forfeiture, file a separate complaint
against the vehicle, describing it, specifying that it was used in the commission of a
designated offense or was used in conduct resulting in a designated license revocation, and
specifying the time and place of its unlawful use.
deleted text end

deleted text begin (c) The prosecuting authority may file an answer to a properly served demand for judicial
determination, including an affirmative counterclaim for forfeiture. The prosecuting authority
is not required to file an answer.
deleted text end

deleted text begin (d) A judicial determination under this subdivision must be held at the earliest practicable
date, and in any event no later than 180 days following the filing of the demand by the
claimant. If a related criminal proceeding is pending, the hearing shall not be held until the
conclusion of the criminal proceedings. The district court administrator shall schedule the
hearing as soon as practicable after the conclusion of the criminal prosecution. The district
court administrator shall establish procedures to ensure efficient compliance with this
subdivision. The hearing is to the court without a jury.
deleted text end

deleted text begin (e) There is a presumption that a vehicle seized under this section is subject to forfeiture
if the prosecuting authority establishes that the vehicle was used in the commission of a
designated offense or designated license revocation. A claimant bears the burden of proving
any affirmative defense raised.
deleted text end

deleted text begin (f) deleted text end new text begin (b) new text end If the forfeiture is based on the commission of a designated offense and the person
charged with the designated offense appears in court as required and is not convicted of the
offense, the court shall order the property returned to the person legally entitled to it upon
that person's compliance with the redemption requirements of section 169A.42 deleted text begin . If the
forfeiture is based on a designated license revocation, and the license revocation is rescinded
under section 169A.53, subdivision 3 (judicial review hearing, issues, order, appeal), the
court shall order the property returned to the person legally entitled to it upon that person's
compliance with the redemption requirements of section 169A.42 deleted text end new text begin , except that any owner
to whom property is returned shall not be subject to any charges for storage of the motor
vehicle or expenses incurred in the preservation of the motor vehicle new text end .

deleted text begin (g) deleted text end new text begin (c) new text end If the lawful ownership of the vehicle used in the commission of a designated
offense or used in conduct resulting in a designated license revocation can be determined
and the owner makes the demonstration required under deleted text begin subdivision 7, paragraph (d) deleted text end new text begin section
609.5313, subdivision 6 new text end , the vehicle must be returned immediately upon the owner's
compliance with the redemption requirements of section 169A.42 new text begin , except that any owner
to whom property is returned shall not be subject to any charges for storage of the motor
vehicle or expenses incurred in the preservation of the motor vehicle new text end .

deleted text begin (h) If the court orders the return of a seized vehicle under this subdivision it must order
that filing fees be reimbursed to the person who filed the demand for judicial determination.
In addition, the court may order sanctions under section 549.211 (sanctions in civil actions).
Any reimbursement fees or sanctions must be paid from other forfeiture proceeds of the
law enforcement agency and prosecuting authority involved and in the same proportion as
distributed under subdivision 10, paragraph (b).
deleted text end

Sec. 7.

Minnesota Statutes 2016, section 169A.63, subdivision 10, is amended to read:

Subd. 10.

Disposition of forfeited vehicle.

(a) If the vehicle is administratively forfeited
under subdivision 8, or if the court finds under subdivision 9 that the vehicle is subject to
forfeiture under subdivisions 6 and 7, the appropriate agency shall deleted text begin :
deleted text end

deleted text begin (1) deleted text end sell the vehicle and distribute the proceeds under paragraph (b) deleted text begin ; or deleted text end new text begin .
new text end

deleted text begin (2) keep the vehicle for official use. If the agency keeps a forfeited motor vehicle for
official use, it shall make reasonable efforts to ensure that the motor vehicle is available for
use by the agency's officers who participate in the drug abuse resistance education program.
deleted text end

(b) The proceeds from the sale of forfeited vehicles, after payment of seizure, towing,
storage, forfeiture, and sale expenses, and satisfaction of valid liens against the property,
must be deleted text begin distributed as follows: deleted text end new text begin forwarded within 60 days after resolution of the forfeiture
to the state treasury and credited to the general fund.
new text end

deleted text begin (1) 70 percent of the proceeds must be forwarded to the appropriate agency for deposit
as a supplement to the state or local agency's operating fund or similar fund for use in
DWI-related enforcement, training, and education; and
deleted text end

deleted text begin (2) 30 percent of the money or proceeds must be forwarded to the prosecuting authority
that handled the forfeiture for deposit as a supplement to its operating fund or similar fund
for prosecutorial purposes.
deleted text end

(c) If a vehicle is sold under paragraph (a), the appropriate agency shall not sell the
vehicle to: (1) an officer or employee of the agency that seized the property or to a person
related to the officer or employee by blood or marriage; or (2) the prosecuting authority or
any individual working in the same office or a person related to the authority or individual
by blood or marriage.

(d) Sales of forfeited vehicles under this section must be conducted in a commercially
reasonable manner.

deleted text begin (e) If a vehicle is forfeited administratively under this section and no demand for judicial
determination is made, the appropriate agency shall provide the prosecuting authority with
a copy of the forfeiture or evidence receipt, the notice of seizure and intent to forfeit, a
statement of probable cause for forfeiture of the property, and a description of the property
and its estimated value. Upon review and certification by the prosecuting authority that (1)
the appropriate agency provided a receipt in accordance with subdivision 2, paragraph (c),
(2) the appropriate agency served notice in accordance with subdivision 8, and (3) probable
cause for forfeiture exists based on the officer's statement, the appropriate agency may
dispose of the property in any of the ways listed in this subdivision.
deleted text end

Sec. 8.

Minnesota Statutes 2016, section 169A.63, subdivision 11, is amended to read:

Subd. 11.

Sale of forfeited vehicle by secured party.

(a) A financial institution with a
valid security interest in or a valid lease covering a forfeited vehicle may choose to dispose
of the vehicle under this subdivision, in lieu of the appropriate agency disposing of the
vehicle under subdivision 9. A financial institution wishing to dispose of a vehicle under
this subdivision shall notify the appropriate agency of its intent, in writing, within 30 days
after receiving notice of the seizure and forfeiture. The appropriate agency shall release the
vehicle to the financial institution or its agent after the financial institution presents proof
of its valid security agreement or of its lease agreement and the financial institution agrees
not to sell the vehicle to a member of the violator's household, unless the violator is not
convicted of the offense on which the forfeiture is based. The financial institution shall
dispose of the vehicle in a commercially reasonable manner as defined in section 336.9-610.

(b) After disposing of the forfeited vehicle, the financial institution shall reimburse the
appropriate agency for its seizure, storage, and forfeiture costs. The financial institution
may then apply the proceeds of the sale to its storage costs, to its sale expenses, and to
satisfy the lien or the lease on the vehicle. If any proceeds remain, the financial institution
shall forward the proceeds to the state treasury deleted text begin , which shall credit the appropriate fund as
specified in subdivision 9 deleted text end .

Sec. 9. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2016, section 169A.63, subdivision 8, new text end new text begin is repealed.
new text end

Sec. 10. new text begin EFFECTIVE DATE.
new text end

new text begin This article is effective August 1, 2019.
new text end

ARTICLE 3

CONFORMING CHANGES

Section 1.

Minnesota Statutes 2016, section 84.7741, subdivision 7, is amended to read:

Subd. 7.

Presumptions; limitations on vehicle forfeiture.

(a) An off-highway vehicle
is presumed subject to forfeiture under this section if the driver deleted text begin :
deleted text end

deleted text begin (1) deleted text end is convicted of the designated offense upon which the forfeiture is based deleted text begin ; or deleted text end new text begin .
new text end

deleted text begin (2) fails to appear for a scheduled court appearance with respect to the designated offense
charged and fails to voluntarily surrender within 48 hours after the time required for
appearance.
deleted text end

(b) An off-highway vehicle encumbered by a security interest perfected according to
section 168A.17, subdivision 2, or subject to a lease that has a term of 180 days or more,
is subject to the interest of the secured party or lessor unless the party or lessor had knowledge
of or consented to the act upon which the forfeiture is based. However, when the proceeds
of the sale of a seized vehicle do not equal or exceed the outstanding loan balance, the
appropriate agency shall remit all proceeds of the sale to the secured party after deducting
the agency's costs for the seizure, tow, storage, forfeiture, and sale of the vehicle. If the sale
of the vehicle is conducted in a commercially reasonable manner consistent with section
336.9-610, the agency is not liable to the secured party for any amount owed on the loan in
excess of the sale proceeds. The validity and amount of a nonperfected security interest
must be established by its holder by clear and convincing evidence.

(c) Notwithstanding paragraph (b), the secured party's or lessor's interest in an
off-highway vehicle is not subject to forfeiture based solely on the secured party's or lessor's
knowledge of the act or omission upon which the forfeiture is based if the secured party or
lessor demonstrates by clear and convincing evidence that the party or lessor took reasonable
steps to terminate use of the vehicle by the offender.

deleted text begin (d) An off-highway vehicle is not subject to forfeiture under this section if its owner can
demonstrate by clear and convincing evidence that the owner did not have actual or
constructive knowledge that the vehicle would be used or operated in any manner contrary
to law or that the owner took reasonable steps to prevent use of the vehicle by the offender.
If the offender is a family or household member of the owner and has three or more prior
off-highway vehicle convictions, the owner is presumed to know of any vehicle use by the
offender that is contrary to law.
deleted text end

new text begin (d) Any person, other than the defendant, asserting a legal interest in the off-highway
vehicle may petition the court pursuant to section 609.5315, subdivision 6.
new text end

Sec. 2.

Minnesota Statutes 2016, section 84.7741, subdivision 9, is amended to read:

Subd. 9.

deleted text begin Judicial deleted text end Forfeiture procedure.

(a) deleted text begin This subdivision governs judicial
determinations of deleted text end new text begin Except as otherwise stated in this section, section 609.5313 governs new text end the
forfeiture of an off-highway vehicle used to commit a designated offense. deleted text begin An action for
forfeiture is a civil in rem action and is independent of any criminal prosecution. All
proceedings are governed by the Rules of Civil Procedure.
deleted text end

deleted text begin (b) If no demand for judicial determination of the forfeiture is pending, the prosecuting
authority may, in the name of the jurisdiction pursuing the forfeiture, file a separate complaint
against the vehicle, describing it, specifying that it was used in the commission of a
designated offense, and specifying the time and place of its unlawful use.
deleted text end

deleted text begin (c) The prosecuting authority may file an answer to a properly served demand for judicial
determination, including an affirmative counterclaim for forfeiture. The prosecuting authority
is not required to file an answer.
deleted text end

deleted text begin (d) A judicial determination under this subdivision must be held at the earliest practicable
date, and in any event no later than 180 days following the filing of the demand by the
claimant. If a related criminal proceeding is pending, the hearing shall not be held until the
conclusion of the criminal proceedings. The district court administrator shall schedule the
hearing as soon as practicable after the conclusion of the criminal prosecution. The district
court administrator shall establish procedures to ensure efficient compliance with this
subdivision. The hearing is to the court without a jury.
deleted text end

deleted text begin (e) There is a presumption that an off-highway vehicle seized under this section is subject
to forfeiture if the prosecuting authority establishes that the vehicle was used in the
commission of a designated offense. A claimant bears the burden of proving any affirmative
defense raised.
deleted text end

deleted text begin (f) deleted text end new text begin (b) new text end If the forfeiture is based on the commission of a designated offense and the person
charged with the designated offense appears in court as required and is not convicted of the
offense, the court shall order the property returned to the person legally entitled to it upon
that person's compliance with the redemption requirements of subdivision 12.

deleted text begin (g) deleted text end new text begin (c) new text end If the lawful ownership of the vehicle used in the commission of a designated
offense can be determined and the owner makes the demonstration required under deleted text begin subdivision deleted text end
deleted text begin 7, paragraph (d) deleted text end new text begin section 609.5313, subdivision 6 new text end , the vehicle must be returned immediately
upon the owner's compliance with the redemption requirements of subdivision 12.

deleted text begin (h) If the court orders the return of a seized vehicle under this subdivision, it must order
that filing fees be reimbursed to the person who filed the demand for judicial determination.
In addition, the court may order sanctions under section 549.211. Any reimbursement fees
or sanctions must be paid from other forfeiture proceeds of the law enforcement agency
and prosecuting authority involved and in the same proportion as distributed under
subdivision 10, paragraph (b).
deleted text end

Sec. 3.

Minnesota Statutes 2016, section 84.7741, subdivision 10, is amended to read:

Subd. 10.

Disposition of forfeited vehicle.

(a) If the vehicle is deleted text begin administratively forfeited
under subdivision 8, or if the court finds under subdivision 9 that the vehicle is deleted text end subject to
forfeiture deleted text begin under subdivisions 6 and 7 deleted text end , the appropriate agency shall deleted text begin :
deleted text end

deleted text begin (1) deleted text end sell the vehicle and distribute the proceeds under paragraph (b) deleted text begin ; or deleted text end new text begin .
new text end

deleted text begin (2) keep the vehicle for official use. If the agency keeps a forfeited off-highway vehicle
for official use, the agency shall make reasonable efforts to ensure that the off-highway
vehicle is available for use by the agency's officers who participate in off-highway vehicle
enforcement or education programs.
deleted text end

(b) The proceeds from the sale of forfeited vehicles, after payment of seizure, towing,
storage, forfeiture, and sale expenses and satisfaction of valid liens against the property,
must be deleted text begin distributed as follows: deleted text end new text begin forwarded within 60 days after resolution of the forfeiture
to the state treasury and credited to the general fund.
new text end

deleted text begin (1) 70 percent of the proceeds must be forwarded to the appropriate agency for deposit
as a supplement to the state or local agency's operating fund or similar fund for use in
purchasing equipment for off-highway vehicle enforcement, training, and education; and
deleted text end

deleted text begin (2) 30 percent of the money or proceeds must be forwarded to the prosecuting authority
that handled the forfeiture for deposit as a supplement to its operating fund or similar fund
for prosecutorial purposes.
deleted text end

(c) If a vehicle is sold under paragraph (a), the appropriate agency shall not sell the
vehicle to: (1) an officer or employee of the agency that seized the property or to a person
related to the officer or employee by blood or marriage; or (2) the prosecuting authority or
any individual working in the same office or a person related to the authority or individual
by blood or marriage.

(d) Sales of forfeited vehicles under this section must be conducted in a commercially
reasonable manner.

deleted text begin (e) If a vehicle is forfeited administratively under this section and no demand for judicial
determination is made, the appropriate agency shall provide the prosecuting authority with
a copy of the forfeiture or evidence receipt, the notice of seizure and intent to forfeit, a
statement of probable cause for forfeiture of the property, and a description of the property
and its estimated value. Upon review and certification by the prosecuting authority that (1)
the appropriate agency provided a receipt in accordance with subdivision 2, paragraph (c),
(2) the appropriate agency served notice in accordance with subdivision 8, and (3) probable
cause for forfeiture exists based on the officer's statement, the appropriate agency may
dispose of the property in any of the ways listed in this subdivision.
deleted text end

Sec. 4.

Minnesota Statutes 2016, section 84.7741, subdivision 11, is amended to read:

Subd. 11.

Sale of forfeited vehicle by secured party.

(a) A financial institution with a
valid security interest in or a valid lease covering a forfeited off-highway vehicle may choose
to dispose of the vehicle under this subdivision, in lieu of the appropriate agency disposing
of the vehicle under subdivision 10. A financial institution wishing to dispose of an
off-highway vehicle under this subdivision shall notify the appropriate agency of its intent,
in writing, within 30 days after receiving notice of the seizure and forfeiture. The appropriate
agency shall release the vehicle to the financial institution or its agent after the financial
institution presents proof of its valid security agreement or of its lease agreement and the
financial institution agrees not to sell the vehicle to a family or household member of the
violator, unless the violator is not convicted of the offense on which the forfeiture is based.
The financial institution shall dispose of the vehicle in a commercially reasonable manner
as defined in section 336.9-610.

(b) After disposing of the forfeited vehicle, the financial institution shall reimburse the
appropriate agency for its seizure, storage, and forfeiture costs. The financial institution
may then apply the proceeds of the sale to its storage costs, to its sale expenses, and to
satisfy the lien or the lease on the vehicle. If any proceeds remain, the financial institution
shall forward the proceeds to the state treasury deleted text begin , which shall credit the appropriate fund as
specified in subdivision 10 deleted text end .

Sec. 5.

Minnesota Statutes 2016, section 609B.515, is amended to read:

609B.515 DWI; VEHICLE FORFEITURE.

Under section 169A.63, a motor vehicle is subject to forfeiture if a driver is convicted
of a "designated offense," as defined in section 169A.63, subdivision 1.

Section 169A.63, subdivision 7, specifies limitations on vehicle forfeiture. Section
169A.63, deleted text begin subdivisions 8 and deleted text end new text begin subdivision new text end 9, deleted text begin provide deleted text end new text begin provides new text end for deleted text begin administrative forfeiture
procedure and judicial deleted text end forfeiture procedure. Section 169A.63, subdivisions 10 and 11,
provide for disposition of a forfeited vehicle.

Sec. 6.

Minnesota Statutes 2016, section 611.32, subdivision 2, is amended to read:

Subd. 2.

Proceedings at time of apprehension or arrest.

Following the apprehension
or arrest of a person disabled in communication for an alleged violation of a criminal law,
the arresting officer, sheriff or other law enforcement official shall immediately make
necessary contacts to obtain a qualified interpreter and shall obtain an interpreter at the
earliest possible time at the place of detention. A law enforcement officer shall, with the
assistance of the interpreter, explain to the person disabled in communication, all charges
filed against the person, and all procedures relating to the person's detainment and release.
If the property of a person is seized under section 609.531, subdivision 4, the seizing officer,
sheriff, or other law enforcement official shall deleted text begin , upon request, deleted text end make available to the person
at the earliest possible time a qualified interpreter to assist the person in understanding the
possible consequences of the seizure and the person's right to deleted text begin judicial deleted text end review. deleted text begin If the seizure
is governed by section 609.5314, subdivision 2, a request for an interpreter must be made
within 15 days after service of the notice of seizure and forfeiture. For a person who requests
an interpreter under this section because of a seizure of property under section 609.5314,
the 60 days for filing a demand for a judicial determination of a forfeiture begins when the
interpreter is provided. deleted text end The interpreter shall also assist the person with all other
communications, including communications relating to needed medical attention. Prior to
interrogating or taking the statement of the person disabled in communication, the arresting
officer, sheriff, or other law enforcement official shall make available to the person a
qualified interpreter to assist the person throughout the interrogation or taking of a statement.

Sec. 7. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2016, section 84.7741, subdivision 8, new text end new text begin is repealed.
new text end

Sec. 8. new text begin EFFECTIVE DATE.
new text end

new text begin This article is effective August 1, 2019.
new text end

APPENDIX

Repealed Minnesota Statutes: H3725-1

84.7741 OFF-HIGHWAY VEHICLE FORFEITURE.

Subd. 8.

Administrative forfeiture procedure.

(a) An off-highway vehicle used to commit a designated offense is subject to administrative forfeiture under this subdivision.

(b) Within 60 days from when an off-highway vehicle is seized under subdivision 2, or within a reasonable time after seizure, the appropriate agency shall serve the driver or operator of the vehicle with a notice of the seizure and intent to forfeit the vehicle. Additionally, when an off-highway vehicle is seized under subdivision 2, or within a reasonable time after that, all persons known to have an ownership, possessory, or security interest in the vehicle must be notified of the seizure and the intent to forfeit the vehicle. For those vehicles required to be registered under chapter 168, the notification to a person known to have a security interest in the vehicle is required only if the vehicle is registered under chapter 168 and the interest is listed on the vehicle's title. Upon motion by the appropriate agency or prosecuting authority, a court may extend the time period for sending notice for a period not to exceed 90 days for good cause shown. Notice mailed by certified mail to the address shown in Department of Public Safety records is sufficient notice to the registered owner of the vehicle. For off-highway vehicles not required to be registered under chapter 168, notice mailed by certified mail to the address shown in the applicable filing or registration for the vehicle is sufficient notice to a person known to have an ownership, possessory, or security interest in the vehicle. Otherwise, notice may be given in the manner provided by law for service of a summons in a civil action.

(c) The notice must be in writing and contain:

(1) a description of the vehicle seized;

(2) the date of the seizure; and

(3) notice of the right to obtain judicial review of the forfeiture and of the procedure for obtaining that judicial review, printed in English. This requirement does not preclude the appropriate agency from printing the notice in other languages in addition to English.

Substantially the following language must appear conspicuously in the notice:

"WARNING: You will automatically lose the above-described property and the right to be heard in court if you do not file a lawsuit and serve the prosecuting authority within 60 days. You may file your lawsuit in conciliation court if the property is worth $15,000 or less; otherwise, you must file in district court. You may not have to pay a filing fee for your lawsuit if you are unable to afford the fee. You do not have to pay a conciliation court fee if your property is worth less than $500."

(d) If notice is not sent in accordance with paragraph (b), and no time extension is granted or the extension period has expired, the appropriate agency shall return the property to the person from whom the property was seized, if known. An agency's return of property due to lack of proper notice does not restrict the agency's authority to commence a forfeiture proceeding at a later time. The agency shall not be required to return contraband or other property that the person from whom the property was seized may not legally possess.

(e) Within 60 days following service of a notice of seizure and forfeiture under this subdivision, a claimant may file a demand for a judicial determination of the forfeiture. The demand must be in the form of a civil complaint and must be filed with the court administrator in the county in which the seizure occurred, together with proof of service of a copy of the complaint on the prosecuting authority having jurisdiction over the forfeiture and the standard filing fee for civil actions unless the petitioner has the right to sue in forma pauperis under section 563.01. The claimant may serve the complaint on the prosecuting authority by any means permitted by court rules. If the value of the seized property is $15,000 or less, the claimant may file an action in conciliation court for recovery of the seized vehicle. A copy of the conciliation court statement of claim must be served personally or by mail on the prosecuting authority having jurisdiction over the forfeiture within 60 days following service of the notice of seizure and forfeiture under this subdivision. If the value of the seized property is less than $500, the claimant does not have to pay the conciliation court filing fee. No responsive pleading is required of the prosecuting authority and no court fees may be charged for the prosecuting authority's appearance in the matter. Pleadings, filings, and methods of service are governed by the Rules of Civil Procedure.

(f) The complaint must be captioned in the name of the claimant as plaintiff and the seized vehicle as defendant and must state with specificity the grounds on which the claimant alleges the vehicle was improperly seized, the claimant's interest in the vehicle seized, and any affirmative defenses the claimant may have. Notwithstanding any law to the contrary, an action for the return of an off-highway vehicle seized under this section may not be maintained by or on behalf of any person who has been served with a notice of seizure and forfeiture unless the person has complied with this subdivision.

(g) If the claimant makes a timely demand for a judicial determination under this subdivision, the forfeiture proceedings must be conducted according to subdivision 9.

169A.63 VEHICLE FORFEITURE.

Subd. 8.

Administrative forfeiture procedure.

(a) A motor vehicle used to commit a designated offense or used in conduct resulting in a designated license revocation is subject to administrative forfeiture under this subdivision.

(b) Within 60 days from when a motor vehicle is seized under subdivision 2, or within a reasonable time after seizure, the appropriate agency shall serve the driver or operator of the vehicle with a notice of the seizure and intent to forfeit the vehicle. Additionally, when a motor vehicle is seized under subdivision 2, or within a reasonable time after that, all persons known to have an ownership, possessory, or security interest in the vehicle must be notified of the seizure and the intent to forfeit the vehicle. For those vehicles required to be registered under chapter 168, the notification to a person known to have a security interest in the vehicle is required only if the vehicle is registered under chapter 168 and the interest is listed on the vehicle's title. Upon motion by the appropriate agency or prosecuting authority, a court may extend the time period for sending notice for a period not to exceed 90 days for good cause shown. Notice mailed by certified mail to the address shown in Department of Public Safety records is sufficient notice to the registered owner of the vehicle. For motor vehicles not required to be registered under chapter 168, notice mailed by certified mail to the address shown in the applicable filing or registration for the vehicle is sufficient notice to a person known to have an ownership, possessory, or security interest in the vehicle. Otherwise, notice may be given in the manner provided by law for service of a summons in a civil action.

(c) The notice must be in writing and contain:

(1) a description of the vehicle seized;

(2) the date of seizure; and

(3) notice of the right to obtain judicial review of the forfeiture and of the procedure for obtaining that judicial review, printed in English. This requirement does not preclude the appropriate agency from printing the notice in other languages in addition to English.

Substantially the following language must appear conspicuously in the notice:

"WARNING: You will automatically lose the above-described property and the right to be heard in court if you do not file a lawsuit and serve the prosecuting authority within 60 days. You may file your lawsuit in conciliation court if the property is worth $15,000 or less; otherwise, you must file in district court. You may not have to pay a filing fee for your lawsuit if you are unable to afford the fee. You do not have to pay a conciliation court fee if your property is worth less than $500."

(d) If notice is not sent in accordance with paragraph (b), and no time extension is granted or the extension period has expired, the appropriate agency shall return the property to the person from whom the property was seized, if known. An agency's return of property due to lack of proper notice does not restrict the agency's authority to commence a forfeiture proceeding at a later time. The agency shall not be required to return contraband or other property that the person from whom the property was seized may not legally possess.

(e) Within 60 days following service of a notice of seizure and forfeiture under this subdivision, a claimant may file a demand for a judicial determination of the forfeiture. The demand must be in the form of a civil complaint and must be filed with the court administrator in the county in which the seizure occurred, together with proof of service of a copy of the complaint on the prosecuting authority having jurisdiction over the forfeiture, including the standard filing fee for civil actions unless the petitioner has the right to sue in forma pauperis under section 563.01. The claimant may serve the complaint by any means permitted by court rules. If the value of the seized property is $15,000 or less, the claimant may file an action in conciliation court for recovery of the seized vehicle. A copy of the conciliation court statement of claim must be served personally or by mail on the prosecuting authority having jurisdiction over the forfeiture, as well as on the appropriate agency that initiated the forfeiture, within 60 days following service of the notice of seizure and forfeiture under this subdivision. If the value of the seized property is less than $500, the claimant does not have to pay the conciliation court filing fee.

No responsive pleading is required of the prosecuting authority and no court fees may be charged for the prosecuting authority's appearance in the matter. The prosecuting authority may appear for the appropriate agency. Pleadings, filings, and methods of service are governed by the Rules of Civil Procedure.

(f) The complaint must be captioned in the name of the claimant as plaintiff and the seized vehicle as defendant, and must state with specificity the grounds on which the claimant alleges the vehicle was improperly seized, the claimant's interest in the vehicle seized, and any affirmative defenses the claimant may have. Notwithstanding any law to the contrary, an action for the return of a vehicle seized under this section may not be maintained by or on behalf of any person who has been served with a notice of seizure and forfeiture unless the person has complied with this subdivision.

(g) If the claimant makes a timely demand for a judicial determination under this subdivision, the forfeiture proceedings must be conducted as provided under subdivision 9.

609.531 FORFEITURES.

Subd. 7.

Petition for remission or mitigation.

Prior to the entry of a court order disposing with the forfeiture action, any person who has an interest in forfeited property may file with the prosecuting authority a petition for remission or mitigation of the forfeiture. The prosecuting authority may remit or mitigate the forfeiture upon terms and conditions the prosecuting authority deems reasonable if the prosecuting authority finds that: (1) the forfeiture was incurred without willful negligence or without any intention on the part of the petitioner to violate the law; or (2) extenuating circumstances justify the remission or mitigation of the forfeiture.

609.5314 ADMINISTRATIVE FORFEITURE OF CERTAIN PROPERTY SEIZED IN CONNECTION WITH A CONTROLLED SUBSTANCES SEIZURE.

Subdivision 1.

Property subject to administrative forfeiture; presumption.

(a) The following are presumed to be subject to administrative forfeiture under this section:

(1) all money, precious metals, and precious stones found in proximity to:

(i) controlled substances;

(ii) forfeitable drug manufacturing or distributing equipment or devices; or

(iii) forfeitable records of manufacture or distribution of controlled substances;

(2) all conveyance devices containing controlled substances with a retail value of $100 or more if possession or sale of the controlled substance would be a felony under chapter 152; and

(3) all firearms, ammunition, and firearm accessories found:

(i) in a conveyance device used or intended for use to commit or facilitate the commission of a felony offense involving a controlled substance;

(ii) on or in proximity to a person from whom a felony amount of controlled substance is seized; or

(iii) on the premises where a controlled substance is seized and in proximity to the controlled substance, if possession or sale of the controlled substance would be a felony under chapter 152.

(b) The Department of Corrections Fugitive Apprehension Unit shall not seize items listed in paragraph (a), clauses (2) and (3), for the purposes of forfeiture.

(c) A claimant of the property bears the burden to rebut this presumption.

Subd. 2.

Administrative forfeiture procedure.

(a) Forfeiture of property described in subdivision 1 that does not exceed $50,000 in value is governed by this subdivision. Within 60 days from when seizure occurs, all persons known to have an ownership, possessory, or security interest in seized property must be notified of the seizure and the intent to forfeit the property. In the case of a motor vehicle required to be registered under chapter 168, notice mailed by certified mail to the address shown in Department of Public Safety records is deemed sufficient notice to the registered owner. The notification to a person known to have a security interest in seized property required under this paragraph applies only to motor vehicles required to be registered under chapter 168 and only if the security interest is listed on the vehicle's title. Upon motion by the appropriate agency or the prosecuting authority, a court may extend the time period for sending notice for a period not to exceed 90 days for good cause shown.

(b) Notice may otherwise be given in the manner provided by law for service of a summons in a civil action. The notice must be in writing and contain:

(1) a description of the property seized;

(2) the date of seizure; and

(3) notice of the right to obtain judicial review of the forfeiture and of the procedure for obtaining that judicial review, printed in English. This requirement does not preclude the appropriate agency from printing the notice in other languages in addition to English.

Substantially the following language must appear conspicuously in the notice:

"WARNING: You will automatically lose the above-described property and the right to be heard in court if you do not file a lawsuit and serve the prosecuting authority within 60 days. You may file your lawsuit in conciliation court if the property is worth $15,000 or less; otherwise, you must file in district court. You may not have to pay a filing fee for your lawsuit if you are unable to afford the fee. You do not have to pay a conciliation court fee if your property is worth less than $500."

(c) If notice is not sent in accordance with paragraph (a), and no time extension is granted or the extension period has expired, the appropriate agency shall return the property to the person from whom the property was seized, if known. An agency's return of property due to lack of proper notice does not restrict the agency's authority to commence a forfeiture proceeding at a later time. The agency shall not be required to return contraband or other property that the person from whom the property was seized may not legally possess.

Subd. 3.

Judicial determination.

(a) Within 60 days following service of a notice of seizure and forfeiture under this section, a claimant may file a demand for a judicial determination of the forfeiture. The demand must be in the form of a civil complaint and must be filed with the court administrator in the county in which the seizure occurred, together with proof of service of a copy of the complaint on the prosecuting authority for that county, and the standard filing fee for civil actions unless the petitioner has the right to sue in forma pauperis under section 563.01. The claimant may serve the complaint on the prosecuting authority by any means permitted by court rules. If the value of the seized property is $15,000 or less, the claimant may file an action in conciliation court for recovery of the seized property. If the value of the seized property is less than $500, the claimant does not have to pay the conciliation court filing fee. No responsive pleading is required of the prosecuting authority and no court fees may be charged for the prosecuting authority's appearance in the matter. The district court administrator shall schedule the hearing as soon as practicable after, and in any event no later than 90 days following, the conclusion of the criminal prosecution. The proceedings are governed by the Rules of Civil Procedure.

(b) The complaint must be captioned in the name of the claimant as plaintiff and the seized property as defendant, and must state with specificity the grounds on which the claimant alleges the property was improperly seized and the plaintiff's interest in the property seized. Notwithstanding any law to the contrary, an action for the return of property seized under this section may not be maintained by or on behalf of any person who has been served with a notice of seizure and forfeiture unless the person has complied with this subdivision.

(c) If the claimant makes a timely demand for judicial determination under this subdivision, the appropriate agency must conduct the forfeiture under section 609.531, subdivision 6a. The limitations and defenses set forth in section 609.5311, subdivision 3, apply to the judicial determination.

(d) If a demand for judicial determination of an administrative forfeiture is filed under this subdivision and the court orders the return of the seized property, the court shall order that filing fees be reimbursed to the person who filed the demand. In addition, the court may order sanctions under section 549.211. If the court orders payment of these costs, they must be paid from forfeited money or proceeds from the sale of forfeited property from the appropriate law enforcement and prosecuting agencies in the same proportion as they would be distributed under section 609.5315, subdivision 5.

609.5315 DISPOSITION OF FORFEITED PROPERTY.

Subd. 2.

Disposition of administratively forfeited property.

If property is forfeited administratively under section 609.5314 or 609.5318 and no demand for judicial determination is made, the appropriate agency shall provide the prosecuting authority with a copy of the forfeiture or evidence receipt, the notice of seizure and intent to forfeit, a statement of probable cause for forfeiture of the property, and a description of the property and its estimated value. Upon review and certification by the prosecuting authority that (1) the appropriate agency provided a receipt in accordance with section 609.531, subdivision 4, or 626.16; (2) the appropriate agency served notice in accordance with section 609.5314, subdivision 2, or 609.5318, subdivision 2; and (3) probable cause for forfeiture exists based on the officer's statement, the appropriate agency may dispose of the property in any of the ways listed in subdivision 1.

Subd. 3.

Use by law enforcement.

(a) Property kept under this section may be used only in the performance of official duties of the appropriate agency or prosecuting agency and may not be used for any other purpose. If an appropriate agency keeps a forfeited motor vehicle for official use, it shall make reasonable efforts to ensure that the motor vehicle is available for use and adaptation by the agency's officers who participate in the drug abuse resistance education program.

(b) Proceeds from the sale of property kept under this subdivision must be disbursed as provided in subdivision 5.

609.5318 FORFEITURE OF VEHICLES USED IN DRIVE-BY SHOOTINGS.

Subd. 3.

Hearing.

(a) Within 60 days following service of a notice of seizure and forfeiture, a claimant may demand a judicial determination of the forfeiture. If a related criminal proceeding is pending, the 60-day period begins to run at the conclusion of those proceedings.

(b) The demand must be in the form of a civil complaint as provided in section 609.5314, subdivision 3, except as otherwise provided in this section.

(c) If the claimant makes a timely demand for judicial determination under this subdivision, the appropriate agency must conduct the forfeiture under subdivision 4.