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HF 3862

1st Engrossment - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
  1.1                          A bill for an act 
  1.2             relating to public safety; providing for disaster 
  1.3             relief; authorizing certain waivers, suspension 
  1.4             abatements, and extensions; appropriating money; 
  1.5             amending Minnesota Statutes 1996, section 16A.152, by 
  1.6             adding a subdivision; Minnesota Statutes 1997 
  1.7             Supplement, sections 41B.043, subdivision 2a; 168.16; 
  1.8             and 273.124, subdivision 14; proposing coding for new 
  1.9             law in Minnesota Statutes, chapters 12; and 41B. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11  Section 1.  [APPROPRIATIONS.] 
  1.12     The sums in the column under "APPROPRIATIONS" are 
  1.13  appropriated from the budget reserve in the general fund to be 
  1.14  spent for tornado relief, as specified in this act, in the area 
  1.15  designated under Presidential Declaration of Major Disaster, 
  1.16  DR1212, whether included in the original declaration or added 
  1.17  later by federal government action.  The appropriations are 
  1.18  available until June 30, 1999, unless otherwise specified.  If 
  1.19  there is a shortage of funds in any of the programs under 
  1.20  section 2, 3, 4, or 5, unused funds in any of the other programs 
  1.21  under these sections may be transferred by interagency agreement 
  1.22  to cover the shortfall. 
  1.23                              SUMMARY 
  1.24  PUBLIC SAFETY                                    $    8,300,000
  1.25  HOUSING FINANCE AGENCY                                4,000,000
  1.26  TRADE AND ECONOMIC DEVELOPMENT                        5,150,000
  1.27  AGRICULTURE                                           4,000,000
  2.1   REVENUE                                                 500,000
  2.2   HUMAN SERVICES                                          400,000
  2.3   CHILDREN, FAMILIES, AND LEARNING                        250,000
  2.4   FINANCE                                               5,000,000
  2.5   TOTAL                                            $   27,600,000
  2.6                                                    APPROPRIATIONS 
  2.7                                                    $
  2.8   Sec. 2.  PUBLIC SAFETY                                          
  2.9   Subdivision 1.  To the commissioner 
  2.10  of public safety for the purposes of 
  2.11  this section                                          8,300,000
  2.12  Subd. 2.  Disaster Assistance Match                   8,000,000 
  2.13  For the state and local match of 
  2.14  federal disaster assistance funds under 
  2.15  Minnesota Statutes, section 12.221.  
  2.16  This appropriation is available to fund 
  2.17  100 percent of the state and local 
  2.18  match obligations incurred through the 
  2.19  receipt of federal public assistance.  
  2.20  This appropriation is also available as 
  2.21  a match for eligible state agency 
  2.22  expenditures. 
  2.23  Subd. 3.  Increases in Services                         300,000 
  2.24  To provide for the cost of increases in 
  2.25  services by the division of emergency 
  2.26  management to respond to the tornado 
  2.27  disaster. 
  2.28  Sec. 3.  HOUSING FINANCE                                       
  2.29  Subdivision 1.  For transfer to the 
  2.30  housing development fund for the 
  2.31  programs specified in this section                    4,000,000
  2.32  Subd. 2.  Affordable Rental
  2.33  Investment Fund                                         500,000
  2.34  For the affordable rental investment 
  2.35  fund under Minnesota Statutes, section 
  2.36  462A.21, subdivision 8b, to be used for 
  2.37  rental housing.  Notwithstanding 
  2.38  Minnesota Statutes, section 462A.21, 
  2.39  subdivision 8b, assistance provided 
  2.40  from this appropriation for the 
  2.41  rehabilitation of existing rental 
  2.42  housing may be in the form of 
  2.43  forgivable loans.  In making forgivable 
  2.44  loans from this appropriation, the 
  2.45  agency shall determine the 
  2.46  circumstances, terms, and conditions 
  2.47  under which all or any portion of the 
  2.48  grant shall be repaid.  This 
  2.49  appropriation is available until 
  2.50  expended. 
  2.51  Subd. 3.  Community  
  2.52  Rehabilitation Fund Program                           3,500,000
  2.53  For the community rehabilitation fund 
  3.1   program under Minnesota Statutes, 
  3.2   section 462A.206.  This appropriation 
  3.3   is available until spent. 
  3.4   Subd. 4.  Transfers  
  3.5   Money appropriated under this section 
  3.6   may be transferred between the 
  3.7   affordable rental investment fund 
  3.8   account and the community 
  3.9   rehabilitation fund account.  
  3.10  Sec. 4.  TRADE AND ECONOMIC
  3.11  DEVELOPMENT                                                      
  3.12  Subdivision 1.  To the commissioner of 
  3.13  trade and economic development for purposes 
  3.14  of this section                                       5,150,000
  3.15  Subd. 2.  Minnesota Investment Fund                   4,000,000 
  3.16  To the Minnesota investment fund for 
  3.17  grants to local units of government for 
  3.18  locally administered operating loan 
  3.19  programs for businesses directly and 
  3.20  adversely affected by the tornadoes.  
  3.21  Loan criteria and requirements must be 
  3.22  locally established with approval by 
  3.23  the department.  For the purposes of 
  3.24  this appropriation, Minnesota Statutes, 
  3.25  sections 116J.8731, subdivisions 3, 4, 
  3.26  5, and 7, and 116J.991, are waived.  
  3.27  Businesses that receive grants or loans 
  3.28  from this appropriation shall set goals 
  3.29  for jobs retained and wages paid within 
  3.30  the area designated under Presidential 
  3.31  Declaration of Major Disaster, DR1212, 
  3.32  whether included in the original 
  3.33  declaration or added later by federal 
  3.34  government action. 
  3.35  Subd. 3.  Public Infrastructure                       1,000,000 
  3.36  For grants to local units of government 
  3.37  to assist with the cost of repair and 
  3.38  replacement of publicly owned 
  3.39  buildings; storm sewers, wastewater and 
  3.40  municipal utility service; drinking 
  3.41  water systems; and streets, bridges, 
  3.42  and other infrastructure. 
  3.43  Subd. 4.  Technical Assistance                          150,000 
  3.44  For grants to local units of government 
  3.45  for technical assistance for loan 
  3.46  programs. 
  3.47  Sec. 5.  AGRICULTURE                                  4,000,000
  3.48  To the rural finance authority for 
  3.49  department of agriculture loans under 
  3.50  Minnesota Statutes, chapter 41B, to 
  3.51  farmers for repairs to farm buildings 
  3.52  and for working capital operating loans.
  3.53  Sec. 6.  REVENUE                                        500,000
  3.54  To the commissioner of revenue to be 
  3.55  apportioned among the counties within 
  3.56  the area designated under Presidential 
  3.57  Declaration of Major Disaster, DR1212, 
  4.1   whether included in the original 
  4.2   declaration or added later by federal 
  4.3   government action to provide 
  4.4   reimbursement for abatements granted 
  4.5   for taxes payable in 1998 to properties 
  4.6   damaged in the March 29, 1998, 
  4.7   tornadoes.  The apportionment shall be 
  4.8   based upon the amount of 
  4.9   tornado-related market value loss in 
  4.10  each county.  Counties must be 
  4.11  reimbursed only for property taxes that 
  4.12  are actually abated, not to exceed each 
  4.13  county's apportioned amount.  
  4.14  Sec. 7.  HUMAN SERVICES                                 400,000
  4.15  To the commissioner of human services 
  4.16  for grants to counties and nonprofit 
  4.17  social service agencies for social 
  4.18  services and farm advocacy outreach.  
  4.19  Sec. 8.  CHILDREN, FAMILIES, AND LEARNING               250,000
  4.20  To the commissioner of children, 
  4.21  families, and learning for grants to 
  4.22  counties for after-school and expanded 
  4.23  day care services. 
  4.24  Sec. 9.  FINANCE                                      5,000,000
  4.25  A contingency appropriation to the 
  4.26  commissioner of finance for allocations 
  4.27  to programs at the request of the 
  4.28  governor, for unanticipated needs to 
  4.29  aid disaster victims.  This 
  4.30  appropriation includes the amount 
  4.31  needed for historic preservation loans 
  4.32  or grants to be administered by the 
  4.33  Minnesota Historical Society, in 
  4.34  conjunction with the Minnesota Housing 
  4.35  Finance Agency and the Department of 
  4.36  Trade and Economic Development.  This 
  4.37  appropriation includes the amounts 
  4.38  needed in fiscal years 1998 and 1999 
  4.39  for the department of children, 
  4.40  families, and learning for the costs of 
  4.41  sections 26, 27, and 28.  Before 
  4.42  transfer of funds to specific programs, 
  4.43  the commissioner must seek a 
  4.44  recommendation on the proposed spending 
  4.45  from the legislative advisory review 
  4.46  commission under Minnesota Statutes, 
  4.47  section 3.3005, subdivision 5. 
  4.48     Sec. 10.  [TEMPORARY WAIVER OF FEES, ASSESSMENTS, OR 
  4.49  TAXES.] 
  4.50     Notwithstanding any law to the contrary, for fiscal years 
  4.51  1998 and 1999, an agency, with the approval of the governor, may 
  4.52  waive fees that would otherwise be charged for agency services.  
  4.53  The waiver of fees must be confined to geographic areas within 
  4.54  counties included in the area designated under Presidential 
  4.55  Declaration of Major Disaster, DR1212, whether included in the 
  4.56  original declaration or added later by federal government action 
  5.1   and for the minimum periods of times necessary to deal with the 
  5.2   emergency situation.  The agency must promptly report the 
  5.3   reasons for and the impact of any suspended fees to the chairs 
  5.4   of the legislative committees that oversee the policy and 
  5.5   budgetary affairs of the agency.  This section expires January 
  5.6   15, 1999. 
  5.7      Sec. 11.  [EARLY PAYMENT OF STATE AIDS.] 
  5.8      Notwithstanding Minnesota Statutes, sections 273.1398, 
  5.9   subdivision 6, and 477A.015, the commissioner of revenue, in 
  5.10  consultation with the division of emergency management, shall 
  5.11  make payments of homestead and agricultural credit aid and local 
  5.12  government aid as provided in this section to all qualified 
  5.13  local units of government that the commissioner determines have 
  5.14  suffered financial hardship.  As used in this section, 
  5.15  "qualified local units of government" means counties, home rule 
  5.16  charter or statutory cities, and towns that suffered damage in 
  5.17  the tornadoes and storms of March 29, 1998. 
  5.18     Payment of the homestead and agricultural credit aid and 
  5.19  local government aid that would otherwise have been payable on 
  5.20  July 20, 1998, shall be made as soon as practicable after the 
  5.21  date of final enactment of this act.  
  5.22     Sec. 12.  [TORNADO DAMAGED SCHOOL RECONSTRUCTION.] 
  5.23     In order to expedite school reconstruction of school 
  5.24  buildings destroyed by the tornadoes of March 29, 1998, the 
  5.25  affected school districts may enter into construction contracts, 
  5.26  including but not limited to design-build, that the districts 
  5.27  determine to be in their best interests.  Construction of these 
  5.28  educational facilities is emergency construction and not subject 
  5.29  to competitive bid requirements of Minnesota Statutes, sections 
  5.30  123.37 and 471.345, or other law or charter or the requirements 
  5.31  of Minnesota Statutes, section 16B.335.  The department of 
  5.32  children, families, and learning shall notify the chairs of the 
  5.33  senate finance committees, the house ways and means committee, 
  5.34  and the house capital investment committee that the projects 
  5.35  have been approved under review and comment and necessary 
  5.36  contracts have been executed. 
  6.1      Sec. 13.  [SOLID WASTE MANAGEMENT TAX WAIVER.] 
  6.2      Subdivision 1.  [AUTHORITY TO WAIVE TAXES.] Notwithstanding 
  6.3   any law to the contrary, the commissioner of revenue may waive 
  6.4   solid waste management taxes under Minnesota Statutes, chapter 
  6.5   297H, for construction debris generated from repair and 
  6.6   demolition activities in the area designated under Presidential 
  6.7   Declaration of Major Disaster, DR1212, whether included in the 
  6.8   original declaration or added later by federal government action 
  6.9   due to tornado and other weather damage on March 29, 1998, and 
  6.10  disposed of in a waste management facility designated by the 
  6.11  commissioner of the pollution control agency.  The commissioner 
  6.12  of revenue's authority under this section to waive the taxes 
  6.13  expires for waste transported to the designated facilities after 
  6.14  March 31, 1999. 
  6.15     Subd. 2.  [RETROACTIVE EFFECT.] Notwithstanding other laws, 
  6.16  this section is effective retroactive to March 29, 1998. 
  6.17     Sec. 14.  [WAITING WEEK WAIVER.] 
  6.18     The waiting week requirement under Minnesota Statutes, 
  6.19  section 268.08, subdivision 1, clause (3), does not apply to 
  6.20  persons who became unemployed and filed an application for 
  6.21  reemployment insurance benefits as a direct result of the March 
  6.22  29, 1998, tornado and resulting storm damage. 
  6.23     Sec. 15.  [COMMERCIAL VEHICLE WAIVER.] 
  6.24     The registration requirements of Minnesota Statutes, 
  6.25  sections 168.181, 168.183, 168.187, and 169.79; the inspections 
  6.26  requirements of sections 169.781 and 169.782; and the size and 
  6.27  weight requirements of sections 169.80, 169.81, 169.825, 169.87, 
  6.28  and chapters 221 and 296 do not apply to commercial vehicles 
  6.29  that are involved in the cleanup of damage or assistance for the 
  6.30  area damaged by the March 29, 1998, tornado. 
  6.31     Sec. 16.  [WAIVER OF HUMAN SERVICES STATUTES.] 
  6.32     (a) In response to the immediate and long-term effects on 
  6.33  individuals and public and private entities of the severe 
  6.34  conditions of March 29, 1998, tornado, the commissioner of human 
  6.35  services may waive or grant variances to provisions in Minnesota 
  6.36  Statutes, chapters 245A, 252, 256, 256B, 256D, 256E, 256G, 256I, 
  7.1   257, 259, 260, 518, and 626 governing:  the transference of 
  7.2   funds between grant accounts; rate setting or other funding 
  7.3   requirements or limits for specific services; documentation or 
  7.4   reporting requirements; licensing requirements; payments, 
  7.5   including MinnesotaCare premiums; emergency assistance time 
  7.6   limits; general assistance citizenship requirements for student 
  7.7   residents; restrictions on receipt of emergency general 
  7.8   assistance by MFIP-S recipients; and other administrative 
  7.9   procedures as needed to ensure timely and continuous service to 
  7.10  persons receiving or eligible to receive services administered 
  7.11  by the commissioner or by the counties under supervision of the 
  7.12  commissioner.  In granting a waiver or variance, the 
  7.13  commissioner shall consider the impact on the health and safety 
  7.14  of vulnerable persons.  Waivers or variances may be restricted 
  7.15  to specific geographical areas and specific time periods. 
  7.16     (b) The commissioner shall notify the chairs of the senate 
  7.17  health and family security committee, health and family security 
  7.18  budget division, human resources finance committee, the house 
  7.19  health and human services committee, health and human services 
  7.20  finance division, and ways and means committee ten days prior to 
  7.21  the effective date of any waiver or variance granted under 
  7.22  paragraph (a). 
  7.23     (c) The appeal rights of applicants for, or recipients of, 
  7.24  public assistance or a program of social services under 
  7.25  Minnesota Statutes, section 256.045, are not affected by this 
  7.26  provision.  Counties and other services providers do not have a 
  7.27  right to appeal the commissioner's decision on whether to waive 
  7.28  or grant a variance from a statute under this provision. 
  7.29     (d) Expenditures under the waivers or variances must not 
  7.30  exceed the total appropriation for the commissioner, including 
  7.31  any special appropriations for tornado relief.  The commissioner 
  7.32  shall issue a summary to the chairs of the senate human 
  7.33  resources finance and house ways and means committees by January 
  7.34  15, 1999, regarding variances and waivers granted under the 
  7.35  terms under this provision. 
  7.36     Sec. 17.  [AUTHORITY TO WAIVE REQUIREMENTS DURING DISASTER 
  8.1   PERIODS.] 
  8.2      The commissioner of children, families, and learning may 
  8.3   waive requirements under Minnesota Statutes, chapter 119B, for 
  8.4   up to nine months in areas where a federal disaster has been 
  8.5   declared under United States Code, title 42, section 5121, et 
  8.6   seq., or the governor has exercised authority under Minnesota 
  8.7   Statutes, chapter 12. 
  8.8      Sec. 18.  [AUTHORITY TO WAIVE REQUIREMENTS DURING DISASTER 
  8.9   PERIODS.] 
  8.10     The commissioner of children, families, and learning may 
  8.11  waive requirements under Minnesota Statutes, section 268.38, for 
  8.12  up to nine months for grantees in areas where a federal disaster 
  8.13  has been declared under United States Code, title 42, section 
  8.14  5121, et seq., or the governor has exercised authority under 
  8.15  Minnesota Statutes, chapter 12. 
  8.16     Sec. 19.  [AUTHORITY TO WAIVE REQUIREMENTS DURING DISASTER 
  8.17  PERIODS.] 
  8.18     The commissioner of children, families, and learning may 
  8.19  waive requirements under Minnesota Statutes, sections 268.912 to 
  8.20  268.916, for up to nine months for Head Start grantees in areas 
  8.21  where a federal disaster has been declared under United States 
  8.22  Code, title 42, section 5121, et seq., or the governor has 
  8.23  exercised authority under Minnesota Statutes, chapter 12. 
  8.24     Sec. 20.  [WAIVER OF LIMITATION FOR FACILITY CHANGES.] 
  8.25     The limitation under Minnesota Statutes 1996, section 
  8.26  268.362, subdivision 1, paragraph (a), on the type of facilities 
  8.27  which may be rehabilitated, improved, or constructed as part of 
  8.28  a work experience component to provide education and work 
  8.29  experience to targeted youth is waived and shall include 
  8.30  low-income private residences, private businesses, municipal 
  8.31  parks, and other land areas impacted by the March 29, 1998, 
  8.32  tornado disaster. 
  8.33     Sec. 21.  [WAIVER ON DEFINITION OF AT-RISK YOUTH.] 
  8.34     The limitation on the definition of an at-risk youth under 
  8.35  the Minnesota youth program, in Minnesota Statutes 1996, section 
  8.36  268.56, subdivision 3, is waived to include a youth affected by 
  9.1   the March 29, 1998, tornado disaster.  The waiver is effective 
  9.2   until May 30, 1999. 
  9.3      Sec. 22.  [NOTIFICATION.] 
  9.4      The commissioner of children, families, and learning shall 
  9.5   notify the chairs of the senate health and family security 
  9.6   committee, health and family security budget division, human 
  9.7   resources finance committee, the house health and human services 
  9.8   committee, health and human services finance division, and ways 
  9.9   and means committee ten days prior to the effective date of 
  9.10  waiver or variance granted to respond to the March 29, 1998, 
  9.11  tornado. 
  9.12     Sec. 23.  [PROPERTY TAX ABATEMENTS; PROPERTY DAMAGED BY 
  9.13  TORNADO.] 
  9.14     Subdivision 1.  [AUTHORIZATION.] Notwithstanding the 
  9.15  requirements of Minnesota Statutes, section 375.192, the county 
  9.16  board of a qualified county may grant abatements of the full 
  9.17  amount of taxes on eligible property for taxes payable in 1998 
  9.18  as provided in this section.  The owner of the property is not 
  9.19  required to apply for the abatement. 
  9.20     Subd. 2.  [DEFINITIONS.] (a) As used in this section, the 
  9.21  terms defined in this subdivision have the meanings given them. 
  9.22     (b) "Qualified county" means any county in the area 
  9.23  designated under Presidential Declaration of Major Disaster, 
  9.24  DR1212, whether included in the original declaration or added 
  9.25  later by federal government action. 
  9.26     (c) "Eligible property" means a parcel of taxable property 
  9.27  located in a qualified county that contains a structure that has 
  9.28  been determined by the assessor to have lost over 50 percent of 
  9.29  its estimated market value due to wind damage.  In the case of 
  9.30  agricultural property, the abatement is limited to the taxes on 
  9.31  the parcel attributable to the value of the house, garage, and 
  9.32  surrounding one acre, if the house has lost over 50 percent of 
  9.33  its estimated market value, and the tax attributable to the 
  9.34  value of any farm buildings and structures that have lost over 
  9.35  50 percent of their estimated market value. 
  9.36     Subd. 3.  [ASSESSORS' DUTIES.] As soon as practicable, 
 10.1   local and county assessors in qualified counties shall notify 
 10.2   the county board and property owners of parcels of eligible 
 10.3   property. 
 10.4      Sec. 24.  [DISASTER AREA; DUE DATE EXTENDED FOR BUSINESS 
 10.5   PROPERTY TAXES.] 
 10.6      (a) Notwithstanding Minnesota Statutes, section 279.01, 
 10.7   subdivision 1, a penalty shall not accrue if (1) because of a 
 10.8   natural disaster, a taxpayer is unable to pay the first half of 
 10.9   the payable 1998 property taxes on class 3a or 3b property, 
 10.10  classified under Minnesota Statutes, section 273.13, subdivision 
 10.11  24, located in an area designated under Presidential Declaration 
 10.12  of Major Disaster, DR1212, whether included in the original 
 10.13  declaration or added later by federal government action and (2) 
 10.14  the taxpayer pays the first half of the payable 1998 taxes by 
 10.15  October 15, 1998. 
 10.16     (b) If the first one-half payment is paid after October 15, 
 10.17  1998, then all penalties that would have occurred on the due 
 10.18  date under Minnesota Statutes, section 279.01, subdivision 1, 
 10.19  shall be charged on the amount of the unpaid tax. 
 10.20     (c) The property taxpayer shall attach to the payment a 
 10.21  statement that the property is located in the disaster area and 
 10.22  qualified for an extension under this section.  
 10.23     Sec. 25.  [DELAY OF FINANCIAL REPORT FILING; DISASTER 
 10.24  AREAS.] 
 10.25     For any city or town located in whole or in part in the 
 10.26  area designated under Presidential Declaration of Major 
 10.27  Disaster, DR1212, whether included in the original declaration 
 10.28  or added later by federal government action, the deadline by 
 10.29  which financial reports are required to be filed under Minnesota 
 10.30  Statutes, section 471.697 or 471.698, is extended by 90 days. 
 10.31     Sec. 26.  [FISCAL YEAR 1998 AVERAGE DAILY MEMBERSHIP.] 
 10.32     Notwithstanding Minnesota Statutes, section 124.17, the 
 10.33  fiscal year 1998 average daily membership for a school building 
 10.34  closed due to tornado damage for part of the school year and 
 10.35  reopened before the end of the school year shall be the greater 
 10.36  of the amount that would have been computed if the school 
 11.1   building had not reopened or the amount computed using actual 
 11.2   data for the entire school year. 
 11.3      Sec. 27.  [FISCAL YEARS 1999 AND 2000 DECLINING PUPIL UNIT 
 11.4   AID.] 
 11.5      For fiscal years 1999 and 2000 only, a school district with 
 11.6   one or more school buildings closed during the 1997-1998 school 
 11.7   year due to tornado damage is eligible for declining pupil unit 
 11.8   aid equal to the greater of zero or the product of the general 
 11.9   education formula allowance for fiscal year 1999 or fiscal year 
 11.10  2000 times the difference between the district's actual pupil 
 11.11  units for fiscal year 1998 and the district's actual pupil units 
 11.12  for fiscal year 1999 or fiscal year 2000. 
 11.13     Sec. 28.  [SCHOOL DISTRICT AVERAGE DAILY MEMBERSHIP.] 
 11.14     For fiscal years 1999 and 2000, the commissioner of 
 11.15  children, families, and learning may adjust school district 
 11.16  average daily membership data calculated under Minnesota 
 11.17  Statutes, section 124.17, for those school districts affected by 
 11.18  the March 29, 1998, tornado for students who have not yet 
 11.19  returned to their resident school districts because school 
 11.20  facilities or homes are not available for occupancy. 
 11.21     Sec. 29.  [TEMPORARY AUTHORITY TO SUSPEND RULES.] 
 11.22     Notwithstanding any law to the contrary, for fiscal years 
 11.23  1998 and 1999, an agency with the approval of the governor, may 
 11.24  temporarily suspend specific agency rules because of the effects 
 11.25  of the March 29, 1998, tornadoes.  The suspension of rules must 
 11.26  be confined to geographic areas affected within counties located 
 11.27  in the area designated under Presidential Declaration of Major 
 11.28  Disaster, DR1212, whether included in the original declaration 
 11.29  or added later by federal government action, and to the minimum 
 11.30  periods of time necessary to deal with the emergency situation.  
 11.31  The agency must promptly report the reasons for and the impact 
 11.32  of any suspended rules to the chairs of the legislative 
 11.33  committees that oversee the policy and budgetary affairs of the 
 11.34  agency and to the chairs of the legislative committees on 
 11.35  governmental operations.  This section expires January 15, 1999. 
 11.36     Sec. 30.  [FEDERAL FUNDS.] 
 12.1      State agencies may apply for any federal funds available 
 12.2   for tornado relief.  Notwithstanding Minnesota Statutes, section 
 12.3   3.3005, the commissioner of finance may submit the request to 
 12.4   receive and spend federal funds to the legislative advisory 
 12.5   commission required under Minnesota Statutes, section 3.3005, 
 12.6   any time after the application is made for those funds.  If a 
 12.7   recommendation is not made within five days, no further review 
 12.8   by the legislative advisory commission is required, and the 
 12.9   commissioner shall approve or disapprove the request.  If a 
 12.10  recommendation is made for further review, the commissioner may 
 12.11  proceed according to Minnesota Statutes, section 3.3005, 
 12.12  subdivision 5.  This section expires January 15, 1999. 
 12.13     Sec. 31.  [TORNADO DAMAGES; STATE EMPLOYEE VACATION 
 12.14  DONATION.] 
 12.15     Subdivision 1.  [DONATION OF VACATION TIME.] A state 
 12.16  employee may donate up to 40 hours of accrued vacation time, in 
 12.17  addition to that donated under Minnesota Statutes, section 
 12.18  43A.181, in the biennium ending June 30, 1999, to the account 
 12.19  established by subdivision 2.  The employee must notify the 
 12.20  employee's agency head of the amount of accrued vacation time 
 12.21  the employee wishes to donate.  Vacation donations of more than 
 12.22  12 hours require the approval of the agency head.  The agency 
 12.23  head shall determine the monetary value of the donated time, 
 12.24  using the gross salary of the employee making the donation.  The 
 12.25  agency head shall transfer that amount, less deductions for 
 12.26  applicable taxes and retirement contributions, to the account 
 12.27  established by subdivision 2.  A donation of accrued vacation 
 12.28  time is irrevocable once its monetary value has been transferred 
 12.29  to the account. 
 12.30     Subd. 2.  [TORNADO DISASTER BENEFIT ACCOUNT.] The tornado 
 12.31  disaster benefit account, consisting of money transferred under 
 12.32  subdivision 1, is administered by the commissioner of employee 
 12.33  relations.  Money in the account is appropriated to the 
 12.34  commissioner for purposes of this section. 
 12.35     Subd. 3.  [USE OF ACCOUNT ASSETS.] Expenditures from the 
 12.36  account established by subdivision 2 must be used to assist 
 13.1   needy families and individuals affected by the tornadoes 
 13.2   occurring on March 29, 1998.  The commissioner must consult with 
 13.3   charitable organizations in targeting the money appropriately. 
 13.4      Subd. 4.  [RECOVERY LEAVE BANK.] In the biennium ending 
 13.5   June 30, 1999, a state employee may donate up to 12 hours of 
 13.6   accrued vacation time to a recovery leave bank administered by 
 13.7   the commissioner of employee relations.  This donation is in 
 13.8   addition to those permitted in subdivision 1 and Minnesota 
 13.9   Statutes, sections 43A.181 and 43A.1815.  The recovery leave 
 13.10  bank is for the use of state employees who have been adversely 
 13.11  affected by the tornadoes occurring on March 29, 1998.  The 
 13.12  donating employee must notify the employee's agency head of the 
 13.13  amount of accrued vacation time the employee wishes to donate to 
 13.14  the recovery leave bank.  A donation of accrued vacation time is 
 13.15  irrevocable after the donor signs a donation request form.  The 
 13.16  agency head must transfer that vacation time to the recovery 
 13.17  leave bank.  The commissioner must establish procedures for 
 13.18  determining eligibility for receiving the time donated to the 
 13.19  recovery leave bank and other issues related to the 
 13.20  administration of this program.  These procedures must be 
 13.21  established after consulting with the exclusive representatives 
 13.22  of affected employees and are not subject to the provisions of 
 13.23  Minnesota Statutes, chapter 14.  The commissioner must 
 13.24  distribute all hours remaining in the recovery leave bank at the 
 13.25  end of the biennium to the sick leave balances of those 
 13.26  employees eligible to receive donated time under the provisions 
 13.27  of Minnesota Statutes, section 43A.1815. 
 13.28     Sec. 32.  [12.331] [LOCAL ASSISTANCE BETWEEN POLITICAL 
 13.29  SUBDIVISIONS.] 
 13.30     Subdivision 1.  [AUTHORITY BETWEEN POLITICAL SUBDIVISIONS.] 
 13.31  When the public interest requires it because of an emergency, a 
 13.32  political subdivision may request the assistance of another 
 13.33  political subdivision.  Upon receiving such a request, a 
 13.34  political subdivision, called the "sending political 
 13.35  subdivision," may go to the assistance of the requesting 
 13.36  political subdivision, called the "receiving political 
 14.1   subdivision."  The receiving political subdivision may accept 
 14.2   and use the personnel, equipment, and supplies of the sending 
 14.3   political subdivision as agreed upon by both political 
 14.4   subdivisions. 
 14.5      Subd. 2.  [EFFECT.] Unless there is a written agreement 
 14.6   between the political subdivisions establishing the rules for 
 14.7   conducting these activities, the provisions of paragraphs (a) to 
 14.8   (d) shall apply while the political subdivisions are engaged in 
 14.9   the activities described in subdivision 1. 
 14.10     (a) For the purposes of workers' compensation insurance, 
 14.11  the employees, officers, and members of the sending political 
 14.12  subdivision have the same powers, duties, rights, privileges, 
 14.13  and immunities as if they were performing similar services in 
 14.14  the sending political subdivision and are considered to be 
 14.15  acting within the scope of and in the course of their regular 
 14.16  employment, as employees of the sending political subdivision. 
 14.17     (b) For the purposes of chapter 466, the employees and 
 14.18  officers of the sending political subdivision are deemed to be 
 14.19  employees, as defined in section 466.01, subdivision 6, of the 
 14.20  receiving political subdivision. 
 14.21     (c) The sending political subdivision shall be responsible 
 14.22  for any damages to its equipment. 
 14.23     (d) The receiving political subdivision shall reimburse the 
 14.24  sending political subdivision for the supplies used and the 
 14.25  compensation paid to the officers and members of the forces 
 14.26  furnished, during the time when the rendition of aid prevents 
 14.27  them from performing their duties in the sending political 
 14.28  subdivision, and for the actual travel and maintenance expenses 
 14.29  of the officers and members while so engaged.  A claim for loss, 
 14.30  damage, or expense in using equipment or supplies or for 
 14.31  additional expenses incurred in operating or maintaining them 
 14.32  must not be allowed unless within 90 days after the loss, 
 14.33  damage, or expense is sustained or incurred, an itemized notice 
 14.34  of it, verified by an officer or employee of the municipality 
 14.35  having knowledge of the facts, is filed with the clerk of the 
 14.36  receiving political subdivision. 
 15.1      Subd. 3.  [TAX EXEMPTIONS.] (a) Any sales or transfers of 
 15.2   materials or property under this section are exempt from any 
 15.3   taxes otherwise imposed under chapters 297A and 297B. 
 15.4      (b) Any sales or transfers of materials or property by the 
 15.5   state or its agencies and instrumentalities to a receiving 
 15.6   political subdivision under this section for use in relief 
 15.7   efforts are exempt from any taxes otherwise imposed under 
 15.8   chapters 297A and 297B. 
 15.9      Subd. 4.  [RETROACTIVE EFFECT.] Notwithstanding other laws 
 15.10  this section is effective retroactive to March 29, 1998. 
 15.11     Sec. 33.  Minnesota Statutes 1996, section 16A.152, is 
 15.12  amended by adding a subdivision to read: 
 15.13     Subd. 2a.  [ADDITIONAL REVENUES; PRIORITY.] If on the basis 
 15.14  of a forecast of general fund revenues and expenditures in 1998 
 15.15  after November 1, 1998, the commissioner of finance determines 
 15.16  that there will be a positive unrestricted budgetary general 
 15.17  fund balance at the close of the biennium, the commissioner of 
 15.18  finance must allocate money to the budget reserve to replace 
 15.19  amounts appropriated in this act. 
 15.20     Sec. 34.  Minnesota Statutes 1997 Supplement, section 
 15.21  41B.043, subdivision 2a, is amended to read: 
 15.22     Subd. 2a.  [SNOW OR, FLOOD, OR OTHER NATURALLY CAUSED 
 15.23  DAMAGE.] A prospective borrower applying for a loan 
 15.24  participation through an eligible lender may refinance an 
 15.25  existing debt in order to repair or replace farm driveways, 
 15.26  drainage ditches and tile lines, grassed waterways, or 
 15.27  agricultural buildings damaged due to snow or, flooding, or 
 15.28  other weather-related causes. 
 15.29     Sec. 35.  [41B.047] [DISASTER RECOVERY LOAN PROGRAM.] 
 15.30     Subdivision 1.  [ESTABLISHMENT.] The authority shall 
 15.31  establish and implement a disaster recovery loan program to help 
 15.32  farmers clean up, repair, or replace farm structures and septic 
 15.33  and water systems, as well as replacement of seed, other crop 
 15.34  inputs, feed, and livestock. 
 15.35     Subd. 2.  [REVOLVING FUND.] There is established in the 
 15.36  state treasury a disaster recovery revolving fund which is 
 16.1   eligible to receive appropriations.  All repayments of financial 
 16.2   assistance granted under subdivision 1, including principal and 
 16.3   interest, must be deposited into this fund.  Interest earned on 
 16.4   money in the fund accrues to the fund, and money in the fund is 
 16.5   appropriated to the commissioner of agriculture for purposes of 
 16.6   the disaster recovery loan program, including costs incurred by 
 16.7   the authority to establish and administer the program. 
 16.8      Subd. 3.  [ELIGIBILITY.] To be eligible for this program, a 
 16.9   borrower must: 
 16.10     (1) be a resident of Minnesota or a domestic family farm 
 16.11  corporation or family farm partnership as defined in section 
 16.12  500.24, subdivision 2; 
 16.13     (2) certify that the damage or loss was sustained within a 
 16.14  county that was the subject of a state or federal disaster 
 16.15  declaration; 
 16.16     (3) demonstrate an ability to repay the loan; 
 16.17     (4) have a total net worth, including assets and 
 16.18  liabilities of the borrower's spouse and dependents, of less 
 16.19  than $400,000; and 
 16.20     (5) have received at least 50 percent of average annual 
 16.21  gross income from farming for the past three years. 
 16.22     Subd. 4.  [LOANS.] (a) The authority may participate in a 
 16.23  disaster recovery loan with an eligible lender to a farmer who 
 16.24  is eligible under subdivision 3.  Participation is limited to 45 
 16.25  percent of the principal amount of the loan or $50,000, 
 16.26  whichever is less.  The interest rates and repayment terms of 
 16.27  the authority's participation interest may differ from the 
 16.28  interest rates and repayment terms of the lender's retained 
 16.29  portion of the loan, but the authority's interest rate must not 
 16.30  exceed four percent. 
 16.31     (b) Standards for loan amortization shall be set by the 
 16.32  rural finance authority not to exceed ten years. 
 16.33     (c) Loans under this program must not be included in the 
 16.34  lifetime limitation calculated under section 41B.03, subdivision 
 16.35  1. 
 16.36     (d) Security for the disaster recovery loans must be a 
 17.1   personal note executed by the borrower and whatever other 
 17.2   security is required by the eligible lender or the authority. 
 17.3      (e) The authority may impose a reasonable nonrefundable 
 17.4   application fee for a disaster recovery loan.  The authority may 
 17.5   review the fee annually and make adjustments as necessary.  The 
 17.6   application fee is initially $50.  Application fees received by 
 17.7   the authority must be deposited in the disaster recovery 
 17.8   revolving fund. 
 17.9      (f) Disaster recovery loans under this program will be made 
 17.10  using money in the disaster recovery revolving fund established 
 17.11  under subdivision 2. 
 17.12     Sec. 36.  Minnesota Statutes 1997 Supplement, section 
 17.13  168.16, is amended to read: 
 17.14     168.16 [REFUNDS; APPROPRIATION.] 
 17.15     After the tax upon any motor vehicle shall have been paid 
 17.16  for any year, refund shall be made for errors made in computing 
 17.17  the tax or fees and for the error on the part of an owner who 
 17.18  may in error have registered a motor vehicle that was not 
 17.19  before, nor at the time of registration, nor at any time 
 17.20  thereafter during the current past year, subject to tax in this 
 17.21  state as provided by section 168.012.  Unless otherwise provided 
 17.22  in this chapter, a claim for a refund of an overpayment of 
 17.23  registration tax must be filed within 3-1/2 years from the date 
 17.24  of payment.  The refundment shall be made from any fund in 
 17.25  possession of the registrar and shall be deducted from the 
 17.26  registrar's monthly report to the commissioner of finance.  A 
 17.27  detailed report of the refundment shall accompany the report.  
 17.28  The former owner of a transferred vehicle by an assignment in 
 17.29  writing endorsed upon the registration certificate and delivered 
 17.30  to the registrar within the time provided herein may sell and 
 17.31  assign to the new owner thereof the right to have the tax paid 
 17.32  by the former owner accredited to the owner who duly registers 
 17.33  the vehicle.  Any owner at the time of such occurrence, whose 
 17.34  vehicle is declared by an insurance company to be a total loss 
 17.35  due to flood or tornado damage, permanently destroyed, or sold 
 17.36  to the federal government, the state, or political subdivision 
 18.1   thereof, and any owner who sells a rental motor vehicle and 
 18.2   transfers the license plates issued to that motor vehicle under 
 18.3   section 168.15, subdivision 3, shall upon filing a verified 
 18.4   claim be entitled to a refund of the unused portion of the tax 
 18.5   paid upon the vehicle, computed as follows: 
 18.6      (1) if the vehicle is registered under the calendar year 
 18.7   system of registration, the refund is computed pro rata by the 
 18.8   month, 1/12 of the annual tax paid for each month of the year 
 18.9   remaining after the month in which the plates and certificate 
 18.10  were returned to the registrar; 
 18.11     (2) in the case of a vehicle registered under the monthly 
 18.12  series system of registration, the amount of the refund is equal 
 18.13  to the sum of the amounts of the license fee attributable to 
 18.14  those months remaining in the licensing period after the month 
 18.15  in which the plates and certificate were returned to the 
 18.16  registrar. 
 18.17     There is hereby appropriated to the persons entitled to a 
 18.18  refund, from the fund or account in the state treasury to which 
 18.19  the money was credited, an amount sufficient to make the refund 
 18.20  and payment.  Refunds under this section to licensed motor 
 18.21  vehicle lessors must be made annually in a manner the registrar 
 18.22  determines. 
 18.23     Sec. 37.  Minnesota Statutes 1997 Supplement, section 
 18.24  273.124, subdivision 14, is amended to read: 
 18.25     Subd. 14.  [AGRICULTURAL HOMESTEADS; SPECIAL PROVISIONS.] 
 18.26  (a) Real estate of less than ten acres that is the homestead of 
 18.27  its owner must be classified as class 2a under section 273.13, 
 18.28  subdivision 23, paragraph (a), if:  
 18.29     (1) the parcel on which the house is located is contiguous 
 18.30  on at least two sides to (i) agricultural land, (ii) land owned 
 18.31  or administered by the United States Fish and Wildlife Service, 
 18.32  or (iii) land administered by the department of natural 
 18.33  resources on which in lieu taxes are paid under sections 477A.11 
 18.34  to 477A.14; 
 18.35     (2) its owner also owns a noncontiguous parcel of 
 18.36  agricultural land that is at least 20 acres; 
 19.1      (3) the noncontiguous land is located not farther than two 
 19.2   townships or cities, or a combination of townships or cities 
 19.3   from the homestead; and 
 19.4      (4) the agricultural use value of the noncontiguous land 
 19.5   and farm buildings is equal to at least 50 percent of the market 
 19.6   value of the house, garage, and one acre of land. 
 19.7      Homesteads initially classified as class 2a under the 
 19.8   provisions of this paragraph shall remain classified as class 
 19.9   2a, irrespective of subsequent changes in the use of adjoining 
 19.10  properties, as long as the homestead remains under the same 
 19.11  ownership, the owner owns a noncontiguous parcel of agricultural 
 19.12  land that is at least 20 acres, and the agricultural use value 
 19.13  qualifies under clause (4). 
 19.14     (b) Except as provided in paragraph (d), noncontiguous land 
 19.15  shall be included as part of a homestead under section 273.13, 
 19.16  subdivision 23, paragraph (a), only if the homestead is 
 19.17  classified as class 2a and the detached land is located in the 
 19.18  same township or city, or not farther than two townships or 
 19.19  cities or combination thereof from the homestead.  
 19.20     (c) Agricultural land used for purposes of a homestead and 
 19.21  actively farmed by a person holding a vested remainder interest 
 19.22  in it must be classified as a homestead under section 273.13, 
 19.23  subdivision 23, paragraph (a).  If agricultural land is 
 19.24  classified class 2a, any other dwellings on the land used for 
 19.25  purposes of a homestead by persons holding vested remainder 
 19.26  interests who are actively engaged in farming the property, and 
 19.27  up to one acre of the land surrounding each homestead and 
 19.28  reasonably necessary for the use of the dwelling as a home, must 
 19.29  also be assessed class 2a. 
 19.30     (d) Agricultural land and buildings that were class 2a 
 19.31  homestead property under section 273.13, subdivision 23, 
 19.32  paragraph (a), for the 1997 assessment shall remain classified 
 19.33  as agricultural homesteads for subsequent assessments if:  
 19.34     (1) the property owner abandoned the homestead dwelling 
 19.35  located on the agricultural homestead as a result of the April 
 19.36  1997 floods; 
 20.1      (2) the property is located in the county of Polk, Clay, 
 20.2   Kittson, Marshall, Norman, or Wilkin; 
 20.3      (3) the agricultural land and buildings remain under the 
 20.4   same ownership for the current assessment year as existed for 
 20.5   the 1997 assessment year; 
 20.6      (4) the dwelling occupied by the owner is located in 
 20.7   Minnesota and is within 30 miles of one of the parcels of 
 20.8   agricultural land that is owned by the taxpayer; and 
 20.9      (5) the owner notifies the county assessor that the 
 20.10  relocation was due to the 1997 floods, and the owner furnishes 
 20.11  the assessor any information deemed necessary by the assessor in 
 20.12  verifying the change in homestead dwelling.  For taxes payable 
 20.13  in 1998, the owner must notify the assessor by December 1, 1997. 
 20.14     (e) Agricultural land and buildings that were class 2a 
 20.15  homestead property under section 273.13, subdivision 23, 
 20.16  paragraph (a), for the 1998 assessment shall remain classified 
 20.17  as agricultural homesteads for subsequent assessments if: 
 20.18     (1) the property owner abandoned the homestead dwelling 
 20.19  located on the agricultural homestead as a result of the March 
 20.20  29, 1998, tornado; 
 20.21     (2) the property is located in the county of Blue Earth, 
 20.22  Brown, Cottonwood, LeSueur, Nicollet, Nobles, or Rice; 
 20.23     (3) the agricultural land and buildings remain under the 
 20.24  same ownership for the current assessment year as existed for 
 20.25  the 1998 assessment year; 
 20.26     (4) the dwelling occupied by the owner is located in 
 20.27  Minnesota and is within 50 miles of one of the parcels of 
 20.28  agricultural land that is owned by the taxpayer; and 
 20.29     (5) the owner notifies the county assessor that the 
 20.30  relocation was due to the March 29, 1998, tornado and the owner 
 20.31  furnishes the assessor any information deemed necessary by the 
 20.32  assessor in verifying the change in homestead dwelling.  For 
 20.33  taxes payable in 1999, the owner must notify the assessor by 
 20.34  December 1, 1998. 
 20.35     Further notification to the assessor is not required if the 
 20.36  property continues to meet all the requirements in this 
 21.1   paragraph and any dwelling on the agricultural land remain 
 21.2   uninhabited. 
 21.3      Sec. 38.  [EFFECTIVE DATE.] 
 21.4      Section 37 is effective for taxes levied in 1998, payable 
 21.5   in 1999, and thereafter. 
 21.6      Except as otherwise provided in this act, this act is 
 21.7   effective the day after its final enactment.