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Capital IconMinnesota Legislature

SF 888

4th Engrossment - 89th Legislature (2015 - 2016) Posted on 10/23/2015 09:22am

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

Current Version - 4th Engrossment

Line numbers 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37 1.38 1.39 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14
2.15 2.16
2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28
2.29 2.30 2.31 2.32 2.33 2.34 2.35 2.36 2.37 2.38 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 3.33 3.34 3.35 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 4.32 4.33 4.34 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9
5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23 5.24 5.25 5.26 5.27 5.28 5.29 5.30 5.31 5.32 5.33
5.34
6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8
6.9 6.10 6.11 6.12 6.13 6.14
6.15 6.16 6.17 6.18 6.19 6.20 6.21 6.22 6.23 6.24 6.25 6.26 6.27 6.28 6.29 6.30 6.31 6.32 6.33 6.34
7.1
7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 7.13 7.14 7.15 7.16 7.17 7.18 7.19 7.20 7.21
7.22 7.23 7.24 7.25 7.26 7.27 7.28 7.29 7.30 7.31 7.32 7.33 7.34 8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8 8.9 8.10 8.11
8.12 8.13 8.14 8.15 8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27 8.28 8.29 8.30 8.31 8.32 8.33 8.34 9.1 9.2 9.3 9.4 9.5 9.6 9.7 9.8 9.9 9.10 9.11 9.12 9.13 9.14 9.15 9.16 9.17 9.18 9.19 9.20 9.21 9.22 9.23 9.24 9.25 9.26 9.27 9.28 9.29 9.30 9.31 9.32 9.33 9.34 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13 10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25 10.26 10.27 10.28 10.29 10.30 10.31 10.32 10.33 10.34 11.1 11.2
11.3 11.4 11.5
11.6 11.7 11.8 11.9 11.10 11.11 11.12 11.13 11.14 11.15 11.16 11.17 11.18 11.19 11.20 11.21 11.22 11.23 11.24 11.25 11.26 11.27 11.28 11.29 11.30 11.31 11.32 11.33 11.34 11.35 12.1 12.2 12.3 12.4 12.5 12.6 12.7 12.8 12.9 12.10 12.11 12.12 12.13 12.14 12.15
12.16 12.17 12.18 12.19 12.20 12.21 12.22 12.23 12.24 12.25 12.26 12.27 12.28 12.29 12.30 12.31 12.32 12.33 12.34 12.35 12.36 13.1 13.2 13.3 13.4 13.5 13.6 13.7 13.8 13.9 13.10 13.11 13.12 13.13 13.14 13.15 13.16
13.17 13.18 13.19 13.20
13.21 13.22 13.23 13.24 13.25 13.26 13.27 13.28 13.29 13.30 13.31 13.32 14.1 14.2 14.3 14.4 14.5 14.6 14.7 14.8 14.9 14.10
14.11 14.12 14.13 14.14 14.15
14.16
14.17 14.18
14.19 14.20
14.21 14.22
14.23
14.24 14.25 14.26 14.27 14.28 14.29 14.30 15.1 15.2 15.3 15.4 15.5 15.6 15.7 15.8 15.9 15.10 15.11 15.12 15.13 15.14 15.15 15.16 15.17 15.18 15.19 15.20 15.21 15.22
15.23 15.24 15.25 15.26 15.27 15.28 15.29 15.30 16.1 16.2 16.3 16.4 16.5 16.6 16.7 16.8 16.9 16.10 16.11 16.12 16.13
16.14 16.15 16.16 16.17 16.18 16.19 16.20 16.21 16.22 16.23
16.24
16.25 16.26 16.27 16.28
16.29 16.30
16.31
16.32 16.33 17.1 17.2 17.3 17.4 17.5 17.6 17.7 17.8 17.9 17.10 17.11 17.12 17.13 17.14 17.15 17.16 17.17 17.18
17.19 17.20 17.21 17.22 17.23 17.24 17.25
17.26 17.27 17.28 17.29 17.30 17.31 17.32 17.33 18.1 18.2 18.3 18.4 18.5 18.6
18.7 18.8 18.9 18.10 18.11 18.12 18.13 18.14
18.15 18.16 18.17 18.18 18.19 18.20 18.21 18.22 18.23 18.24 18.25 18.26 18.27
18.28 18.29 18.30 18.31 18.32 18.33 18.34
19.1 19.2 19.3 19.4 19.5 19.6 19.7 19.8 19.9 19.10 19.11 19.12 19.13 19.14 19.15 19.16 19.17 19.18 19.19 19.20 19.21 19.22 19.23 19.24
19.25 19.26 19.27 19.28 19.29 19.30 19.31 19.32 20.1 20.2 20.3 20.4 20.5 20.6 20.7 20.8 20.9 20.10 20.11 20.12 20.13 20.14 20.15 20.16 20.17 20.18 20.19 20.20 20.21 20.22 20.23 20.24 20.25 20.26 20.27 20.28 20.29 20.30 20.31 20.32 20.33 20.34 21.1 21.2 21.3 21.4 21.5 21.6 21.7 21.8 21.9 21.10 21.11 21.12 21.13 21.14 21.15 21.16 21.17 21.18 21.19 21.20 21.21 21.22 21.23 21.24 21.25 21.26 21.27 21.28 21.29 21.30 21.31 21.32 21.33 21.34 21.35 22.1 22.2 22.3 22.4 22.5
22.6 22.7 22.8 22.9 22.10 22.11 22.12 22.13 22.14 22.15 22.16 22.17 22.18
22.19 22.20
22.21 22.22 22.23 22.24
22.25 22.26 22.27 22.28 22.29 22.30 22.31 22.32 22.33 23.1 23.2 23.3 23.4 23.5 23.6 23.7 23.8 23.9 23.10 23.11 23.12 23.13 23.14 23.15 23.16 23.17 23.18 23.19 23.20 23.21 23.22 23.23 23.24 23.25 23.26
23.27 23.28 23.29 23.30 23.31 23.32 23.33 23.34 23.35 24.1 24.2 24.3 24.4 24.5 24.6 24.7 24.8 24.9 24.10 24.11 24.12 24.13 24.14 24.15 24.16 24.17 24.18 24.19 24.20 24.21 24.22 24.23 24.24 24.25 24.26 24.27 24.28 24.29 24.30 24.31 24.32 24.33 24.34
24.35
25.1 25.2 25.3 25.4 25.5 25.6 25.7 25.8 25.9 25.10 25.11
25.12 25.13
25.14 25.15 25.16 25.17 25.18 25.19 25.20 25.21 25.22 25.23 25.24 25.25 25.26 25.27 25.28 25.29 25.30 25.31 25.32 25.33 25.34 26.1 26.2 26.3 26.4 26.5 26.6 26.7 26.8 26.9 26.10 26.11 26.12 26.13 26.14 26.15 26.16 26.17 26.18 26.19 26.20 26.21 26.22 26.23 26.24 26.25 26.26 26.27 26.28 26.29 26.30 26.31 26.32 26.33 26.34 26.35 26.36 27.1 27.2 27.3 27.4 27.5 27.6 27.7 27.8 27.9 27.10 27.11 27.12 27.13 27.14 27.15 27.16 27.17 27.18 27.19 27.20 27.21 27.22 27.23 27.24 27.25 27.26 27.27 27.28 27.29 27.30 27.31 27.32 27.33 27.34 27.35 27.36 28.1 28.2 28.3 28.4 28.5 28.6 28.7 28.8 28.9 28.10 28.11 28.12 28.13 28.14 28.15 28.16 28.17 28.18 28.19 28.20 28.21 28.22 28.23 28.24 28.25 28.26 28.27 28.28 28.29 28.30 28.31 28.32 28.33 28.34 28.35 29.1 29.2 29.3 29.4 29.5 29.6 29.7 29.8 29.9 29.10 29.11 29.12 29.13 29.14 29.15
29.16 29.17 29.18 29.19 29.20 29.21 29.22 29.23 29.24 29.25 29.26 29.27 29.28
29.29 29.30 29.31 29.32 29.33 29.34 30.1 30.2 30.3 30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 30.13 30.14 30.15
30.16
30.17 30.18 30.19 30.20 30.21 30.22 30.23 30.24 30.25 30.26 30.27 30.28 30.29 30.30 30.31 30.32 30.33 30.34 30.35 31.1 31.2 31.3 31.4 31.5 31.6 31.7 31.8 31.9 31.10 31.11 31.12 31.13 31.14 31.15 31.16 31.17 31.18 31.19 31.20 31.21
31.22 31.23
31.24 31.25 31.26 31.27 31.28 31.29 31.30 31.31 31.32
31.33 32.1 32.2 32.3 32.4 32.5 32.6 32.7
32.8 32.9 32.10 32.11 32.12 32.13 32.14 32.15 32.16
32.17 32.18 32.19 32.20 32.21 32.22 32.23 32.24 32.25 32.26 32.27 32.28 32.29 32.30 32.31 32.32 33.1 33.2 33.3 33.4 33.5 33.6 33.7 33.8 33.9 33.10 33.11 33.12 33.13 33.14 33.15 33.16 33.17 33.18 33.19 33.20 33.21 33.22 33.23 33.24 33.25 33.26 33.27 33.28 33.29 33.30 33.31 33.32 33.33 33.34 33.35 33.36 34.1 34.2 34.3 34.4 34.5 34.6 34.7 34.8 34.9 34.10 34.11 34.12 34.13 34.14 34.15 34.16 34.17 34.18 34.19 34.20 34.21 34.22 34.23 34.24 34.25 34.26 34.27 34.28 34.29 34.30 34.31 34.32 34.33 34.34 34.35 35.1 35.2 35.3 35.4 35.5 35.6 35.7
35.8 35.9 35.10 35.11 35.12 35.13 35.14 35.15 35.16 35.17
35.18 35.19 35.20 35.21 35.22 35.23 35.24 35.25 35.26 35.27 35.28 35.29 35.30
35.31 35.32 36.1 36.2 36.3 36.4 36.5 36.6 36.7 36.8 36.9
36.10 36.11 36.12 36.13 36.14 36.15 36.16 36.17 36.18 36.19 36.20 36.21 36.22 36.23 36.24 36.25 36.26 36.27 36.28 36.29 36.30 36.31 36.32 36.33 36.34 37.1 37.2 37.3 37.4 37.5 37.6 37.7 37.8 37.9 37.10 37.11 37.12 37.13 37.14
37.15 37.16 37.17 37.18 37.19 37.20 37.21 37.22 37.23 37.24 37.25 37.26 37.27 37.28 37.29 37.30 37.31 37.32 37.33 37.34 37.35 38.1 38.2 38.3 38.4 38.5 38.6 38.7 38.8 38.9 38.10 38.11 38.12 38.13 38.14 38.15 38.16 38.17 38.18 38.19 38.20
38.21 38.22 38.23 38.24 38.25 38.26 38.27 38.28 38.29 38.30 38.31 38.32 38.33 38.34 38.35 39.1 39.2 39.3 39.4
39.5 39.6 39.7 39.8 39.9 39.10 39.11 39.12 39.13 39.14 39.15 39.16 39.17 39.18 39.19 39.20 39.21 39.22 39.23 39.24 39.25
39.26 39.27 39.28 39.29 39.30 39.31 39.32 39.33 39.34 40.1 40.2 40.3 40.4 40.5 40.6 40.7 40.8 40.9 40.10
40.11 40.12 40.13 40.14 40.15 40.16 40.17 40.18 40.19 40.20 40.21 40.22 40.23 40.24 40.25 40.26 40.27 40.28 40.29
40.30 40.31 40.32 40.33 40.34 41.1 41.2 41.3 41.4 41.5 41.6 41.7 41.8 41.9 41.10 41.11 41.12 41.13 41.14
41.15 41.16 41.17 41.18 41.19 41.20 41.21 41.22 41.23 41.24 41.25 41.26 41.27 41.28 41.29 41.30 41.31 41.32 41.33 41.34
42.1 42.2 42.3 42.4 42.5 42.6 42.7 42.8 42.9 42.10 42.11 42.12 42.13 42.14 42.15 42.16 42.17 42.18 42.19 42.20 42.21 42.22 42.23 42.24 42.25 42.26 42.27 42.28 42.29 42.30 42.31 42.32 42.33 42.34 42.35
43.1 43.2 43.3 43.4 43.5 43.6 43.7 43.8 43.9 43.10 43.11 43.12 43.13 43.14 43.15 43.16 43.17 43.18 43.19 43.20 43.21 43.22 43.23
43.24 43.25 43.26 43.27 43.28 43.29 43.30 43.31 43.32 43.33 43.34 43.35 44.1 44.2 44.3 44.4 44.5 44.6 44.7 44.8 44.9 44.10 44.11 44.12 44.13 44.14 44.15 44.16 44.17 44.18 44.19 44.20 44.21 44.22
44.23 44.24 44.25 44.26 44.27 44.28 44.29 44.30 44.31 44.32 44.33 44.34 45.1 45.2 45.3
45.4 45.5 45.6 45.7 45.8 45.9 45.10 45.11
45.12 45.13 45.14 45.15 45.16 45.17
45.18 45.19 45.20 45.21 45.22
45.23
45.24 45.25 45.26 45.27 45.28 45.29
45.30 45.31
46.1 46.2 46.3 46.4 46.5
46.6 46.7 46.8 46.9 46.10
46.11 46.12 46.13 46.14 46.15
46.16 46.17 46.18 46.19
46.20 46.21 46.22 46.23 46.24 46.25
46.26 46.27 46.28 46.29 46.30 46.31 47.1 47.2 47.3 47.4 47.5 47.6 47.7 47.8 47.9 47.10 47.11 47.12 47.13 47.14 47.15 47.16 47.17 47.18 47.19 47.20 47.21 47.22 47.23 47.24 47.25 47.26 47.27 47.28 47.29 47.30 47.31 47.32 47.33 47.34 47.35 48.1 48.2 48.3 48.4 48.5 48.6 48.7 48.8 48.9 48.10 48.11 48.12 48.13 48.14 48.15 48.16 48.17 48.18 48.19 48.20 48.21 48.22 48.23 48.24 48.25 48.26 48.27
48.28 48.29 48.30 48.31 48.32 48.33 48.34 48.35 49.1 49.2
49.3 49.4 49.5 49.6 49.7 49.8
49.9 49.10 49.11 49.12 49.13 49.14 49.15 49.16
49.17 49.18
49.19 49.20 49.21 49.22 49.23 49.24 49.25
49.26 49.27 49.28 49.29
49.30 50.1 50.2 50.3 50.4 50.5 50.6
50.7 50.8 50.9 50.10 50.11
50.12 50.13 50.14 50.15 50.16 50.17 50.18 50.19 50.20 50.21 50.22 50.23 50.24 50.25 50.26 50.27 50.28 50.29 50.30 50.31 50.32 50.33 50.34 51.1 51.2 51.3 51.4 51.5 51.6 51.7 51.8 51.9 51.10 51.11 51.12 51.13 51.14 51.15 51.16 51.17 51.18 51.19 51.20 51.21 51.22 51.23 51.24 51.25 51.26 51.27 51.28 51.29 51.30 51.31 51.32 51.33 51.34 51.35 51.36 52.1 52.2 52.3 52.4 52.5 52.6 52.7 52.8 52.9 52.10 52.11 52.12 52.13
52.14 52.15
52.16 52.17 52.18 52.19 52.20 52.21 52.22 52.23 52.24
52.25 52.26 52.27 52.28 52.29 52.30 52.31 52.32 52.33 52.34 53.1 53.2 53.3 53.4 53.5 53.6
53.7 53.8 53.9 53.10 53.11 53.12 53.13
53.14
53.15 53.16 53.17 53.18 53.19 53.20 53.21 53.22 53.23 53.24 53.25 53.26 53.27 53.28 53.29 53.30 53.31 53.32 53.33 54.1 54.2 54.3 54.4 54.5 54.6 54.7 54.8 54.9 54.10 54.11 54.12 54.13 54.14 54.15 54.16
54.17 54.18 54.19 54.20 54.21
54.22 54.23
54.24 54.25 54.26 54.27 54.28 54.29 54.30 54.31 54.32 54.33
55.1 55.2 55.3 55.4 55.5 55.6 55.7 55.8 55.9 55.10 55.11 55.12 55.13 55.14
55.15 55.16 55.17 55.18 55.19 55.20 55.21 55.22 55.23 55.24 55.25 55.26 55.27 55.28 55.29 55.30 55.31 55.32 55.33 55.34 55.35 56.1 56.2
56.3 56.4 56.5 56.6 56.7 56.8 56.9 56.10
56.11 56.12 56.13 56.14 56.15 56.16 56.17 56.18
56.19 56.20 56.21 56.22 56.23 56.24 56.25 56.26 56.27 56.28 56.29 56.30
56.31 56.32 57.1 57.2 57.3 57.4
57.5 57.6 57.7 57.8 57.9 57.10 57.11 57.12 57.13 57.14 57.15 57.16 57.17
57.18 57.19 57.20 57.21 57.22 57.23
57.24 57.25 57.26 57.27
57.28 57.29 57.30 57.31 57.32 58.1 58.2 58.3 58.4 58.5 58.6 58.7 58.8 58.9
58.10 58.11 58.12 58.13
58.14 58.15 58.16 58.17 58.18 58.19 58.20 58.21 58.22 58.23 58.24 58.25 58.26 58.27 58.28
58.29 58.30 58.31 58.32 58.33 59.1 59.2 59.3 59.4 59.5 59.6 59.7 59.8 59.9 59.10 59.11 59.12 59.13 59.14 59.15 59.16 59.17 59.18 59.19 59.20 59.21 59.22 59.23 59.24 59.25 59.26 59.27 59.28 59.29 59.30 59.31 59.32 59.33 59.34 60.1 60.2 60.3
60.4 60.5 60.6 60.7 60.8 60.9 60.10 60.11 60.12 60.13 60.14 60.15 60.16 60.17 60.18 60.19 60.20 60.21 60.22 60.23 60.24 60.25 60.26 60.27 60.28 60.29 60.30 60.31 60.32 60.33 60.34 60.35
61.1 61.2 61.3 61.4 61.5 61.6 61.7 61.8 61.9 61.10 61.11 61.12 61.13 61.14 61.15 61.16 61.17 61.18 61.19 61.20 61.21 61.22 61.23 61.24 61.25 61.26 61.27 61.28 61.29 61.30 61.31 61.32
61.33 62.1 62.2 62.3 62.4 62.5 62.6 62.7 62.8 62.9 62.10 62.11 62.12 62.13 62.14
62.15 62.16 62.17 62.18 62.19 62.20 62.21 62.22 62.23 62.24 62.25 62.26 62.27 62.28 62.29 62.30 62.31 62.32 62.33 62.34 63.1 63.2 63.3 63.4 63.5 63.6 63.7 63.8 63.9 63.10 63.11 63.12 63.13 63.14 63.15 63.16 63.17 63.18 63.19 63.20 63.21 63.22 63.23 63.24 63.25 63.26 63.27 63.28 63.29 63.30 63.31 63.32 63.33 63.34 63.35 63.36 64.1 64.2 64.3 64.4 64.5 64.6 64.7 64.8 64.9 64.10 64.11 64.12 64.13 64.14 64.15 64.16 64.17 64.18 64.19 64.20 64.21 64.22 64.23 64.24 64.25 64.26 64.27 64.28 64.29 64.30 64.31 64.32 64.33 64.34 64.35 65.1 65.2 65.3 65.4 65.5 65.6 65.7 65.8 65.9 65.10 65.11 65.12 65.13 65.14 65.15 65.16 65.17 65.18 65.19 65.20 65.21 65.22 65.23 65.24 65.25 65.26 65.27 65.28 65.29 65.30 65.31 65.32 65.33 65.34 65.35 65.36 66.1 66.2
66.3 66.4 66.5 66.6 66.7 66.8 66.9 66.10 66.11 66.12 66.13 66.14 66.15
66.16 66.17 66.18 66.19 66.20 66.21 66.22 66.23 66.24 66.25
66.26
66.27 66.28 66.29
66.30 66.31 66.32
67.1 67.2
67.3 67.4
67.5 67.6 67.7 67.8 67.9 67.10 67.11 67.12 67.13 67.14 67.15 67.16 67.17 67.18 67.19 67.20 67.21 67.22 67.23 67.24 67.25
67.26 67.27
67.28 67.29 67.30 67.31 67.32 67.33 68.1 68.2 68.3 68.4 68.5 68.6 68.7 68.8 68.9 68.10 68.11 68.12 68.13 68.14 68.15 68.16 68.17 68.18 68.19 68.20 68.21 68.22 68.23 68.24 68.25 68.26 68.27 68.28 68.29 68.30 68.31 68.32 68.33 68.34
68.35 68.36
69.1 69.2 69.3 69.4 69.5 69.6 69.7 69.8 69.9 69.10
69.11 69.12 69.13
69.14 69.15 69.16 69.17 69.18 69.19 69.20 69.21 69.22 69.23 69.24 69.25 69.26 69.27 69.28 69.29 69.30 69.31 69.32 69.33 69.34 70.1 70.2 70.3 70.4 70.5 70.6 70.7
70.8
70.9 70.10 70.11 70.12 70.13 70.14 70.15 70.16 70.17
70.18 70.19 70.20 70.21 70.22 70.23 70.24 70.25 70.26
70.27 70.28 70.29 70.30 70.31 70.32 71.1 71.2 71.3 71.4 71.5 71.6 71.7 71.8 71.9 71.10 71.11 71.12 71.13 71.14 71.15 71.16 71.17
71.18 71.19 71.20 71.21 71.22 71.23 71.24 71.25 71.26 71.27 71.28 71.29 71.30
71.31 71.32 71.33
71.34 72.1 72.2 72.3
72.4 72.5 72.6 72.7 72.8 72.9 72.10
72.11 72.12 72.13 72.14 72.15 72.16
72.17 72.18 72.19 72.20 72.21
72.22 72.23 72.24 72.25 72.26 72.27 72.28 72.29 72.30 72.31 73.1 73.2 73.3 73.4 73.5 73.6 73.7 73.8 73.9 73.10 73.11
73.12 73.13 73.14 73.15 73.16 73.17 73.18 73.19 73.20 73.21 73.22 73.23 73.24 73.25 73.26 73.27 73.28
73.29
73.30 73.31 73.32 73.33 73.34
74.1 74.2
74.3 74.4 74.5 74.6 74.7 74.8 74.9 74.10 74.11 74.12 74.13 74.14 74.15 74.16 74.17 74.18 74.19 74.20 74.21
74.22 74.23 74.24 74.25 74.26 74.27
74.28 74.29 74.30 74.31 74.32 74.33 75.1 75.2 75.3 75.4 75.5 75.6 75.7
75.8 75.9 75.10 75.11 75.12 75.13 75.14 75.15 75.16 75.17 75.18 75.19 75.20 75.21 75.22 75.23 75.24 75.25 75.26 75.27 75.28 75.29
75.30 75.31 75.32 75.33 75.34 76.1 76.2 76.3 76.4 76.5 76.6 76.7 76.8 76.9 76.10 76.11 76.12 76.13 76.14 76.15 76.16 76.17 76.18 76.19 76.20 76.21 76.22 76.23 76.24 76.25 76.26 76.27
76.28 76.29 76.30 76.31 76.32 76.33 76.34 76.35 77.1 77.2 77.3 77.4 77.5 77.6 77.7 77.8 77.9 77.10 77.11 77.12 77.13 77.14 77.15 77.16 77.17 77.18 77.19 77.20 77.21 77.22 77.23 77.24 77.25 77.26 77.27 77.28 77.29 77.30 77.31 77.32 77.33 77.34 77.35 78.1 78.2 78.3 78.4 78.5 78.6 78.7 78.8 78.9 78.10 78.11 78.12 78.13 78.14 78.15 78.16 78.17 78.18 78.19 78.20 78.21 78.22 78.23 78.24
78.25 78.26
78.27 78.28 78.29 78.30 78.31 78.32 78.33 78.34 79.1 79.2 79.3 79.4 79.5 79.6 79.7 79.8 79.9 79.10 79.11 79.12 79.13 79.14 79.15 79.16 79.17 79.18 79.19 79.20 79.21 79.22 79.23 79.24 79.25 79.26 79.27 79.28 79.29 79.30 79.31 79.32 79.33 79.34 79.35 79.36 80.1 80.2 80.3 80.4 80.5 80.6 80.7 80.8 80.9 80.10 80.11 80.12 80.13 80.14 80.15 80.16 80.17 80.18 80.19 80.20 80.21 80.22 80.23 80.24
80.25
80.26 80.27 80.28 80.29 80.30 80.31 80.32 80.33
81.1 81.2
81.3 81.4
81.5 81.6 81.7 81.8 81.9 81.10 81.11
81.12
81.13 81.14 81.15 81.16
81.17 81.18 81.19 81.20
81.21 81.22 81.23 81.24
81.25 81.26 81.27 81.28 81.29
82.1 82.2 82.3 82.4 82.5 82.6 82.7
82.8 82.9 82.10 82.11 82.12 82.13 82.14 82.15
82.16 82.17 82.18 82.19 82.20 82.21 82.22 82.23 82.24 82.25 82.26 82.27 82.28 82.29 82.30 82.31 82.32 82.33 82.34 83.1 83.2 83.3 83.4 83.5
83.6 83.7 83.8 83.9 83.10 83.11 83.12 83.13 83.14 83.15 83.16 83.17 83.18 83.19 83.20 83.21 83.22 83.23 83.24 83.25 83.26 83.27 83.28 83.29 83.30 83.31
83.32 83.33 83.34 84.1 84.2 84.3 84.4 84.5 84.6
84.7
84.8 84.9 84.10 84.11 84.12 84.13 84.14 84.15 84.16 84.17 84.18 84.19 84.20 84.21 84.22 84.23 84.24 84.25 84.26 84.27
84.28 84.29 84.30 84.31 84.32 84.33 85.1 85.2 85.3 85.4 85.5
85.6
85.7 85.8 85.9 85.10 85.11 85.12 85.13 85.14 85.15 85.16 85.17 85.18 85.19 85.20 85.21 85.22 85.23 85.24 85.25 85.26 85.27 85.28 85.29 85.30 85.31 85.32 85.33 85.34 85.35 86.1 86.2 86.3 86.4 86.5 86.6 86.7 86.8 86.9 86.10 86.11 86.12 86.13 86.14 86.15 86.16 86.17 86.18 86.19 86.20 86.21 86.22 86.23 86.24 86.25 86.26 86.27 86.28 86.29 86.30 86.31 86.32 86.33 86.34 86.35 86.36 87.1 87.2 87.3 87.4 87.5 87.6 87.7 87.8 87.9 87.10 87.11 87.12 87.13 87.14 87.15 87.16 87.17 87.18 87.19 87.20 87.21 87.22
87.23
87.24 87.25 87.26 87.27 87.28 87.29 87.30 87.31 87.32 87.33 87.34 87.35 88.1 88.2 88.3 88.4 88.5 88.6 88.7 88.8 88.9 88.10 88.11 88.12 88.13 88.14 88.15 88.16 88.17 88.18 88.19 88.20 88.21 88.22 88.23 88.24 88.25 88.26 88.27 88.28 88.29 88.30 88.31 88.32 88.33
88.34 88.35 89.1 89.2 89.3 89.4 89.5 89.6 89.7 89.8 89.9 89.10 89.11 89.12 89.13 89.14 89.15 89.16 89.17 89.18 89.19 89.20 89.21 89.22 89.23 89.24
89.25 89.26 89.27 89.28 89.29 89.30 89.31 89.32 89.33 89.34 89.35 90.1 90.2 90.3 90.4 90.5 90.6 90.7
90.8 90.9 90.10 90.11 90.12 90.13 90.14 90.15 90.16 90.17 90.18 90.19 90.20 90.21 90.22
90.23 90.24 90.25 90.26 90.27 90.28 90.29 90.30 90.31 90.32 90.33 91.1 91.2 91.3 91.4 91.5 91.6
91.7 91.8 91.9 91.10 91.11 91.12 91.13 91.14 91.15 91.16 91.17 91.18 91.19 91.20 91.21
91.22
91.23 91.24 91.25 91.26 91.27 91.28 91.29 91.30 91.31 91.32 92.1 92.2 92.3 92.4 92.5 92.6 92.7 92.8 92.9 92.10 92.11 92.12 92.13 92.14 92.15 92.16
92.17
92.18 92.19 92.20 92.21 92.22 92.23 92.24 92.25 92.26 92.27 92.28 92.29 92.30 92.31 92.32 92.33 92.34 93.1 93.2 93.3 93.4 93.5 93.6 93.7 93.8 93.9 93.10 93.11 93.12 93.13 93.14 93.15 93.16 93.17 93.18 93.19 93.20 93.21
93.22 93.23 93.24 93.25 93.26
93.27 93.28

A bill for an act
relating to the operation of state government; appropriating money for the
legislature, governor's office, state auditor, attorney general, secretary of state,
certain agencies, boards, councils, retirement funds, military affairs, and veterans
affairs; cancellation of certain appropriations; requiring general incentive
proposals for review by the legislative auditor; allowing counties to elect to have
an audit conducted by a CPA firm; changing the signature requirement for phone
records of certain public officials; creating three ethnic councils; allowing prepay
for certain software and information technology hosting services; changing
provisions on report on budget reserve percentage; providing reimbursement for
reasonable accommodation; modifying grant agreement provisions; making
changes to guaranteed energy-savings program, small business requirements,
and veteran-owned small businesses; establishing healthy eating, here at home
program; establishing expedited and temporary licensing for former and current
members of the military for certain occupations; changing certain provisions
governing cosmetology; assessing certain costs for Office of Administrative
Hearings; requirements for reinstatement of a foreign corporation; making
changes to provisions governing public benefit corporations; modifying
provisions for accountants; changing certain requirements for corporations;
modifying gambling provisions; limiting railroad condemnation powers in
certain interests; modifying debt service provision for legislative parking garage;
requiring some room numbers on signage in the Capitol to identify legacy
rooms; providing in-lieu of rent evaluation; allowing board of cosmetology to
adopt rules; specifying political contribution credit; specifying state agency
technology projects; requiring the legislative auditor to evaluate the efficacy
of the state auditor's examinations; requiring a report on reduction of chief
information officers in state agencies; making changes to provisions governing
military and veterans affairs; changing provisions governing pari-mutuel horse
racing; setting certain fees; requiring reports; amending Minnesota Statutes 2014,
sections 3.8843, subdivision 5; 10.43; 16A.065; 16A.152, subdivision 8; 16B.97,
subdivision 1; 16B.98, subdivisions 1, 11; 16C.144; 16C.16, subdivisions
2, 6a, by adding a subdivision; 16C.19; 148.57, by adding a subdivision;
148.624, subdivision 5; 148B.33, by adding a subdivision; 148B.53, by adding
a subdivision; 148B.5301, by adding a subdivision; 148F.025, by adding a
subdivision; 153.16, subdivisions 1, 4; 154.003; 154.11, subdivision 3; 155A.21;
155A.23, subdivision 8, by adding subdivisions; 155A.24, subdivision 2;
155A.25, subdivisions 1a, 5, by adding subdivisions; 155A.27, subdivisions 1, 2,
5a; 155A.271; 155A.29, subdivisions 1, 2, by adding a subdivision; 155A.30,
subdivisions 5, 10; 161.1419, subdivision 8; 190.19, subdivisions 2a, 3; 192.38,
subdivision 1; 192.501, by adding a subdivision; 197.133; 197.46; 198.01;
211B.37; 240.01, subdivision 22, by adding subdivisions; 240.011; 240.03;
240.08, subdivisions 2, 4, 5; 240.10; 240.13, subdivisions 5, 6; 240.135; 240.15,
subdivisions 1, 6; 240.16, subdivision 1; 240.22; 240.23; 272.484; 303.19;
304A.301, subdivisions 1, 5, 6, by adding a subdivision; 326A.01, subdivisions
2, 12, 13a, 15, 16; 326A.02, subdivisions 3, 5; 326A.05, subdivisions 1, 3;
326A.08, subdivision 7; 326A.10; 336A.09, subdivision 1; 349.16, subdivision
6a; 349.161, subdivision 4; 349.163, subdivisions 2, 6; 349.166, subdivision 2;
364.09; Laws 2013, chapter 142, article 1, section 10; Laws 2014, chapter 287,
section 25; proposing coding for new law in Minnesota Statutes, chapters 3; 6;
15; 16B; 138; 197; 383B; repealing Minnesota Statutes 2014, sections 3.9223;
3.9225; 3.9226, subdivisions 1, 2, 3, 4, 5, 6, 7; 6.48; 155A.23, subdivision 6;
197.131; 197.132; 240.01, subdivisions 12, 23; 375.23.

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

ARTICLE 1

STATE GOVERNMENT APPROPRIATIONS

Section 1. new text begin STATE GOVERNMENT APPROPRIATIONS.
new text end

new text begin The sums shown in the columns marked "Appropriations" are appropriated to the
agencies and for the purposes specified in this article. The appropriations are from the
general fund, or another named fund, and are available for the fiscal years indicated
for each purpose. The figures "2016" and "2017" used in this article mean that the
appropriations listed under them are available for the fiscal year ending June 30, 2016, or
June 30, 2017, respectively. "The first year" is fiscal year 2016. "The second year" is fiscal
year 2017. "The biennium" is fiscal years 2016 and 2017.
new text end

new text begin APPROPRIATIONS
new text end
new text begin Available for the Year
new text end
new text begin Ending June 30
new text end
new text begin 2016
new text end
new text begin 2017
new text end

Sec. 2. new text begin LEGISLATURE
new text end

new text begin Subdivision 1. new text end

new text begin Total
Appropriation
new text end

new text begin $
new text end
new text begin 76,304,000
new text end
new text begin 82,132,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2016
new text end
new text begin 2017
new text end
new text begin General
new text end
new text begin 76,176,000
new text end
new text begin 82,004,000
new text end
new text begin Health Care Access
new text end
new text begin 128,000
new text end
new text begin 128,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin The appropriations in this section may
be used for any purpose relating to the
functions of the entities receiving the
appropriations, including but not limited
to member and employee compensation
and expenses, supplies, payments required
under lease agreements for real property, and
other expenses associated with legislative
sessions, interim activities, public hearings
and other public outreach activities, and
related activities. The Senate Committee
on Rules and Administration for the Senate,
the House of Representatives Committee
on Rules and Legislative Administration
for the House of Representatives, and the
Legislative Coordinating Commission for
entities under its control must each adopt a
budget approving use of these appropriations
for specific purposes. The budget must
approve use of specific amounts for employee
compensation, member compensation, rental
payments under a lease, and other categories
determined by the rules committees and
the Legislative Coordinating Commission.
The budget must be adopted after this
appropriation is enacted.
new text end

new text begin Subd. 2. new text end

new text begin Senate
new text end

new text begin 27,962,000
new text end
new text begin 32,286,000
new text end

new text begin The base for fiscal year 2018 is $32,299,000
and for fiscal year 2019 is $32,105,000.
new text end

new text begin Subd. 3. new text end

new text begin House of Representatives
new text end

new text begin 31,439,000
new text end
new text begin 32,383,000
new text end

new text begin During the biennium ending June 30, 2017,
any revenues received by the house of
representatives from voluntary donations
to support broadcast or print media are
appropriated to the house of representatives.
new text end

new text begin Subd. 4. new text end

new text begin Legislative Coordinating Commission
new text end

new text begin 16,903,000
new text end
new text begin 17,463,000
new text end
new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 16,775,000
new text end
new text begin 17,335,000
new text end
new text begin Health Care Access
new text end
new text begin 128,000
new text end
new text begin 128,000
new text end

new text begin $6,564,000 each year from the general fund
is to the Office of the Legislative Auditor.
The auditor is requested to conduct a special
review of the Department of Veterans Affairs
financial management of Minnesota veterans
homes. This review should include an
examination of the department's:
new text end

new text begin (1) management of increasing compensation
costs, including any projected increases in
staffing levels;
new text end

new text begin (2) use of reserve funds in the special revenue
fund to manage shortfalls in funding;
new text end

new text begin (3) implementation of federal Centers for
Medicare and Medicaid Services certification
requirements, and the ability to accurately
forecast and obtain federal reimbursements;
new text end

new text begin (4) operation of the adult day care program
at the Minneapolis campus; and
new text end

new text begin (5) management of facilities operating costs,
including plans to address the needs of aging
facilities.
new text end

new text begin $380,000 in fiscal year 2017 is for the
revisor's administrative rules system. This is
a onetime appropriation.
new text end

new text begin $297,000 the first year and $298,000 the
second year is for the Office of the Revisor of
Statutes to maintain and improve information
technology services.
new text end

new text begin $35,000 in fiscal year 2016 and $35,000 in
fiscal year 2017 are to provide support to the
Legislative Commission on Data Practices
established under Minnesota Statutes, section
3.8843. This is a onetime appropriation.
new text end

new text begin From its funds, $10,000 each year is for
purposes of the legislators' forum, through
which Minnesota legislators meet with
counterparts from South Dakota, North
Dakota, and Manitoba to discuss issues of
mutual concern.
new text end

Sec. 3. new text begin GOVERNOR AND LIEUTENANT
GOVERNOR
new text end

new text begin $
new text end
new text begin 3,615,000
new text end
new text begin $
new text end
new text begin 3,616,000
new text end

new text begin (a) This appropriation is to fund the Office of
the Governor and Lieutenant Governor.
new text end

new text begin (b) Up to $19,000 the first year and up to
$19,000 the second year are for necessary
expenses in the normal performance of
the Governor's and Lieutenant Governor's
duties for which no other reimbursement is
provided.
new text end

new text begin (c) By September 1 of each year, the
commissioner of management and budget
shall report to the chairs and ranking minority
members of the senate State Departments
and Veterans Affairs Budget Division and the
house of representatives State Government
Finance Committee any personnel costs
incurred by the Offices of the Governor and
Lieutenant Governor that were supported
by appropriations to other agencies during
the previous fiscal year. The Office of the
Governor shall inform the chairs and ranking
minority members of the committees before
initiating any interagency agreements.
new text end

Sec. 4. new text begin STATE AUDITOR
new text end

new text begin $
new text end
new text begin 2,185,000
new text end
new text begin $
new text end
new text begin 2,231,000
new text end

Sec. 5. new text begin ATTORNEY GENERAL
new text end

new text begin $
new text end
new text begin 24,343,000
new text end
new text begin $
new text end
new text begin 24,343,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2016
new text end
new text begin 2017
new text end
new text begin General
new text end
new text begin 22,125,000
new text end
new text begin 22,125,000
new text end
new text begin State Government
Special Revenue
new text end
new text begin 1,823,000
new text end
new text begin 1,823,000
new text end
new text begin Environmental
new text end
new text begin 145,000
new text end
new text begin 145,000
new text end
new text begin Remediation
new text end
new text begin 250,000
new text end
new text begin 250,000
new text end

Sec. 6. new text begin SECRETARY OF STATE
new text end

new text begin $
new text end
new text begin 6,631,000
new text end
new text begin $
new text end
new text begin 6,631,000
new text end

new text begin Any funds available in the account
established in Minnesota Statutes, section
5.30, pursuant to the Help America Vote Act,
are appropriated for the purposes and uses
authorized by federal law.
new text end

Sec. 7. new text begin CAMPAIGN FINANCE AND PUBLIC
DISCLOSURE BOARD
new text end

new text begin $
new text end
new text begin 1,164,000
new text end
new text begin $
new text end
new text begin 1,028,000
new text end

new text begin Campaign Finance and Public Disclosure
Board Web Site Redevelopment Project.
$150,000 in fiscal year 2016 is appropriated
to the Campaign Finance and Public
Disclosure Board to complete redevelopment
of its Web site. This appropriation is
available until June 30, 2017. By January 15,
2016, the director of the Campaign Finance
and Public Disclosure Board shall report to
the chairs and ranking minority members of
the senate State Departments and Veterans
Affairs Budget Division and the house of
representatives State Government Finance
Committee on the status of the Web site
redevelopment project. The report shall
include a budget detailing total dollars to be
spent, completion date of the project, and
dollars expended to date.
new text end

Sec. 8. new text begin INVESTMENT BOARD
new text end

new text begin $
new text end
new text begin 139,000
new text end
new text begin $
new text end
new text begin 139,000
new text end

Sec. 9. new text begin ADMINISTRATIVE HEARINGS
new text end

new text begin $
new text end
new text begin 7,630,000
new text end
new text begin $
new text end
new text begin 7,633,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2016
new text end
new text begin 2017
new text end
new text begin General
new text end
new text begin 380,000
new text end
new text begin 383,000
new text end
new text begin Workers'
Compensation
new text end
new text begin 7,250,000
new text end
new text begin 7,250,000
new text end

new text begin Campaign Violations Hearings. new text end new text begin $115,000
in fiscal year 2016 and $115,000 in fiscal year
2017 are appropriated from the general fund
for the cost of considering complaints filed
under Minnesota Statutes, section 211B.32.
These amounts may be used in either year
of the biennium.
new text end

new text begin $6,000 in fiscal year 2016 and $6,000 in
fiscal year 2017 are appropriated from the
general fund to the Office of Administrative
Hearings for the cost of considering data
practices complaints filed under Minnesota
Statutes, section 13.085. These amounts may
be used in either year of the biennium.
new text end

Sec. 10. new text begin MN.IT SERVICES
new text end

new text begin $
new text end
new text begin 2,526,000
new text end
new text begin $
new text end
new text begin 2,622,000
new text end

new text begin The commissioner of management and
budget is authorized to provide cash flow
assistance of up to $110,000,000 from the
special revenue fund or other statutory
general funds as defined in Minnesota
Statutes, section 16A.671, subdivision
3, paragraph (a), to the Office of MN.IT
Services for the purpose of managing
revenue and expenditure differences during
the initial phases of IT consolidation. These
funds shall be repaid with interest by the end
of the fiscal year 2017 closing period.
new text end

new text begin During the biennium ending June 30, 2017,
MN.IT Services must not charge fees to a
public noncommercial educational television
broadcast station eligible for funding under
Minnesota Statutes, chapter 129D, for
access to the state broadcast infrastructure.
If the access fees not charged to public
noncommercial educational television
broadcast stations total more than $400,000
for the biennium, the office may charge for
access fees in excess of these amounts.
new text end

Sec. 11. new text begin ADMINISTRATION
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 24,397,000
new text end
new text begin $
new text end
new text begin 22,346,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Government and Citizen Services
new text end

new text begin 9,465,000
new text end
new text begin 8,600,000
new text end

new text begin $74,000 the first year and $74,000 the second
year are for the Council on Developmental
Disabilities.
new text end

new text begin $735,000 the first year and $65,000 the
second year are to conduct a disparity study
required under Minnesota Statutes, section
16C.16, subdivision 5. This is a onetime
appropriation.
new text end

new text begin $200,000 in fiscal year 2016 and $200,000
in fiscal year 2017 are credited to the
accommodation account established in
Minnesota Statutes, section 16B.4805.
In fiscal year 2016, the commissioner of
administration may use five percent of
the appropriation for fiscal year 2016 for
developing policies and procedures to
implement the reimbursement program
established in Minnesota Statutes, section
16B.4805, and for educating qualifying
agencies about the availability of and
process for receiving reimbursement for
accommodation expenses.
new text end

new text begin Subd. 3. new text end

new text begin Strategic Management Services
new text end

new text begin 1,975,000
new text end
new text begin 2,009,000
new text end

new text begin Subd. 4. new text end

new text begin Fiscal Agent
new text end

new text begin 12,957,000
new text end
new text begin 11,737,000
new text end

new text begin The appropriations under this section are to
the commissioner of administration for the
purposes specified.
new text end

new text begin In-Lieu of Rent. new text end new text begin $8,158,000 the first year
and $8,158,000 the second year are for
space costs of the legislature and veterans
organizations, ceremonial space, and
statutorily free space. In-lieu of rent may be
used for rent loss and relocation expenses
related to the Capitol restoration in the fiscal
year 2014-2015 biennium and fiscal year
2016-2017 biennium.
new text end

new text begin Relocation Expenses. $1,380,000 the first
year and $960,000 the second year are for
rent loss and relocation expenses related
to the Capitol renovation project. This is a
onetime appropriation.
new text end

new text begin Public Broadcasting. new text end new text begin (a) $1,550,000 the
first year and $1,550,000 the second year are
for matching grants for public television.
new text end

new text begin (b) $550,000 the first year and $250,000
the second year are for public television
equipment grants under Minnesota Statutes,
section 129D.13.
new text end

new text begin (c) The commissioner of administration
must consider the recommendations of the
Minnesota Public Television Association
before allocating the amount appropriated
in paragraphs (a) and (b) for equipment or
matching grants.
new text end

new text begin (d) $592,000 the first year and $392,000 the
second year are for community service grants
to public educational radio stations. This
appropriation may be used to disseminate
emergency information in foreign languages.
new text end

new text begin (e) $167,000 the first year and $117,000
the second year are for equipment grants
to public educational radio stations. This
appropriation may be used for the repair,
rental, and purchase of equipment including
equipment under $500.
new text end

new text begin (f) $560,000 the first year and $310,000
the second year are for equipment grants
to Minnesota Public Radio, Inc., including
upgrades to Minnesota's Emergency Alert
and AMBER Alert Systems.
new text end

new text begin (g) The appropriations in paragraphs (d),
(e), and (f), may not be used for indirect
costs claimed by an institution or governing
body. The commissioner of administration
must consider the recommendations of
the Minnesota Public Educational Radio
Stations before awarding grants under
Minnesota Statutes, section 129D.14, using
the appropriations in paragraphs (d), (e), and
(f). No grantee is eligible for a grant unless
they are a member of the Association of
Minnesota Public Educational Radio Stations
on or before July 1, 2015.
new text end

new text begin (h) Any unencumbered balance remaining
the first year for grants to public television or
radio stations does not cancel and is available
for the second year.
new text end

Sec. 12. new text begin CAPITOL AREA
ARCHITECTURAL AND PLANNING
BOARD
new text end

new text begin $
new text end
new text begin 340,000
new text end
new text begin $
new text end
new text begin 345,000
new text end

Sec. 13. new text begin MINNESOTA MANAGEMENT AND
BUDGET
new text end

new text begin $
new text end
new text begin 22,398,000
new text end
new text begin $
new text end
new text begin 23,691,000
new text end

new text begin $1,000,000 in fiscal year 2016 and
$2,000,000 in fiscal year 2017 are to maintain
and upgrade statewide business systems,
including, but not limited to, the statewide
accounting system, the human resource and
payroll system, the employment application
system, the enterprise learning management
system, the budget planning and analysis
system, the fiscal note tracking system, and
capital budget system.
new text end

new text begin $121,000 the first year and $122,000 the
second year are to develop and implement
a return on taxpayer investment (ROTI)
methodology using the Pew-MacArthur
Results First framework to evaluate
corrections and human services programs
administered and funded by state and
county governments. The commissioner
shall engage and work with staff from
Pew-MacArthur Results First, and shall
consult with representatives of other state
agencies, counties, legislative staff, the
commissioners of corrections and human
services, and other commissioners of state
agencies and stakeholders to implement the
established methodology. The commissioner
of management and budget shall report
on implementation progress and make
recommendations to the governor and
legislature by January 31, 2017.
new text end

new text begin The commissioner must report to the chairs
and ranking minority members of the
House of Representatives State Government
Finance Committee and the Senate State
Departments and Veterans Budget Division
by July 15, 2015, on the gainsharing program
in Minnesota Statutes, Section 16A.90. The
report must include information on how the
commissioner has promoted the program
to state employees, results achieved under
the program, and recommendations for any
legislative changes needed to make the
program more effective.
new text end

Sec. 14. new text begin REVENUE
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 144,438,000
new text end
new text begin $
new text end
new text begin 146,112,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2016
new text end
new text begin 2017
new text end
new text begin General
new text end
new text begin 140,203,000
new text end
new text begin 141,877,000
new text end
new text begin Health Care Access
new text end
new text begin 1,749,000
new text end
new text begin 1,749,000
new text end
new text begin Highway User Tax
Distribution
new text end
new text begin 2,183,000
new text end
new text begin 2,183,000
new text end
new text begin Environmental
new text end
new text begin 303,000
new text end
new text begin 303,000
new text end

new text begin Subd. 2. new text end

new text begin Tax System Management
new text end

new text begin 115,822,000
new text end
new text begin 117,496,000
new text end
new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 111,587,000
new text end
new text begin 113,261,000
new text end
new text begin Health Care Access
new text end
new text begin 1,749,000
new text end
new text begin 1,749,000
new text end
new text begin Highway User Tax
Distribution
new text end
new text begin 2,183,000
new text end
new text begin 2,183,000
new text end
new text begin Environmental
new text end
new text begin 303,000
new text end
new text begin 303,000
new text end

new text begin Appropriation; Taxpayer Assistance.
(a) $400,000 each year from the general
fund is for grants to one or more nonprofit
organizations, qualifying under section
501(c)(3) of the Internal Revenue Code of
1986, to coordinate, facilitate, encourage, and
aid in the provision of taxpayer assistance
services. The unencumbered balance in the
first year does not cancel but is available for
the second year.
new text end

new text begin (b) For purposes of this section, "taxpayer
assistance services" means accounting
and tax preparation services provided by
volunteers to low-income, elderly, and
disadvantaged Minnesota residents to help
them file federal and state income tax returns
and Minnesota property tax refund claims
and to provide personal representation before
the Department of Revenue and Internal
Revenue Service.
new text end

new text begin Subd. 3. new text end

new text begin Debt Collection Management
new text end

new text begin 28,616,000
new text end
new text begin 28,616,000
new text end

Sec. 15. new text begin GAMBLING CONTROL
new text end

new text begin $
new text end
new text begin 3,260,000
new text end
new text begin $
new text end
new text begin 3,324,000
new text end

new text begin These appropriations are from the lawful
gambling regulation account in the special
revenue fund.
new text end

Sec. 16. new text begin RACING COMMISSION
new text end

new text begin $
new text end
new text begin 1,168,000
new text end
new text begin $
new text end
new text begin 1,153,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2016
new text end
new text begin 2017
new text end
new text begin General
new text end
new text begin 269,000
new text end
new text begin 72,000
new text end
new text begin Special Revenue
new text end
new text begin 899,000
new text end
new text begin 1,081,000
new text end

new text begin The general fund appropriation is for fiscal
years 2016 and 2017 only.
new text end

new text begin The special revenue fund appropriations are
from the racing and card playing regulation
accounts. The base for the special revenue
fund appropriation is $972,000 in fiscal year
2018 and $971,000 in fiscal year 2019.
new text end

new text begin The Racing Commission is directed to work
in consultation with the racing industry
to propose permanent dedicated funding
changes to fully support the operations of
the commission to ensure that racing is
conducted in the public interest. These
changes shall be reported to the Office of the
Governor and to the majority and minority
leaders of the relevant finance and policy
legislative committees by November 1, 2015.
new text end

Sec. 17. new text begin STATE LOTTERY
new text end

new text begin Notwithstanding Minnesota Statutes, section
349A.10, subdivision 3, the operating budget
must not exceed $31,000,000 in fiscal year
2016 and $31,000,000 in fiscal year 2017.
new text end

Sec. 18. new text begin AMATEUR SPORTS COMMISSION
new text end

new text begin $
new text end
new text begin 300,000
new text end
new text begin $
new text end
new text begin 300,000
new text end

Sec. 19. new text begin COUNCIL ON BLACK
MINNESOTANS
new text end

new text begin $
new text end
new text begin 396,000
new text end
new text begin $
new text end
new text begin 401,000
new text end

Sec. 20. new text begin COUNCIL ON ASIAN-PACIFIC
MINNESOTANS
new text end

new text begin $
new text end
new text begin 359,000
new text end
new text begin $
new text end
new text begin 364,000
new text end

Sec. 21. new text begin COUNCIL ON AFFAIRS OF
CHICANO/LATINO PEOPLE
new text end

new text begin $
new text end
new text begin 381,000
new text end
new text begin $
new text end
new text begin 386,000
new text end

Sec. 22. new text begin INDIAN AFFAIRS COUNCIL
new text end

new text begin $
new text end
new text begin 569,000
new text end
new text begin $
new text end
new text begin 576,000
new text end

Sec. 23. new text begin MINNESOTA HISTORICAL
SOCIETY
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 22,022,000
new text end
new text begin $
new text end
new text begin 22,193,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Operations and Programs
new text end

new text begin 21,576,000
new text end
new text begin 21,822,000
new text end

new text begin Notwithstanding Minnesota Statutes, section
138.668, the Minnesota Historical Society
may not charge a fee for its general tours at
the Capitol, but may charge fees for special
programs other than general tours.
new text end

new text begin Subd. 3. new text end

new text begin Fiscal Agent
new text end

new text begin (a) Minnesota International Center
new text end
new text begin 39,000
new text end
new text begin 39,000
new text end
new text begin (b) Minnesota Air National Guard Museum
new text end
new text begin 17,000
new text end
new text begin 17,000
new text end
new text begin (c) Minnesota Military Museum
new text end
new text begin 100,000
new text end
new text begin 100,000
new text end

new text begin $50,000 in fiscal year 2016 and $50,000 in
fiscal year 2017 are for an archivist position.
This is a onetime appropriation and available
until June 30, 2017.
new text end

new text begin (d) Farmamerica
new text end
new text begin 190,000
new text end
new text begin 115,000
new text end

new text begin $75,000 in fiscal year 2016 is for a grant
to Farmamerica, the Minnesota agriculture
interpretive center, for capital improvements.
new text end

new text begin (e) Hockey Hall of Fame
new text end
new text begin 100,000
new text end
new text begin 100,000
new text end

new text begin new text begin Balances Forward.new text end Any unencumbered
balance remaining in this subdivision the first
year does not cancel but is available for the
second year of the biennium.
new text end

Sec. 24. new text begin BOARD OF THE ARTS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 7,522,000
new text end
new text begin $
new text end
new text begin 7,530,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Operations and Services
new text end

new text begin 583,000
new text end
new text begin 591,000
new text end

new text begin Subd. 3. new text end

new text begin Grants Program
new text end

new text begin 4,800,000
new text end
new text begin 4,800,000
new text end

new text begin Subd. 4. new text end

new text begin Regional Arts Councils
new text end

new text begin 2,139,000
new text end
new text begin 2,139,000
new text end

new text begin Unencumbered Balance Available. Any
unencumbered balance remaining in this
section the first year does not cancel, but is
available for the second year of the biennium.
new text end

new text begin Projects located in Minnesota; travel
restriction.
Money appropriated in this
section and distributed as grants may only
be spent on projects located in Minnesota.
A recipient of a grant funded by an
appropriation in this section must not use
more than ten percent of the total grant for
costs related to travel outside the state of
Minnesota.
new text end

Sec. 25. new text begin MINNESOTA HUMANITIES
CENTER
new text end

new text begin $
new text end
new text begin 675,000
new text end
new text begin $
new text end
new text begin 675,000
new text end

new text begin $325,000 in fiscal year 2016 and $325,000 in
fiscal year 2017 are for the healthy eating,
here at home program under Minnesota
Statutes, section 138.912. No more than
three percent of the appropriation may be
used for the nonprofit administration of the
grant program under Minnesota Statutes,
section 138.912.
new text end

Sec. 26. new text begin BOARD OF ACCOUNTANCY
new text end

new text begin $
new text end
new text begin 639,000
new text end
new text begin $
new text end
new text begin 641,000
new text end

Sec. 27. new text begin BOARD OF ARCHITECTURE
ENGINEERING, LAND SURVEYING,
LANDSCAPE ARCHITECTURE,
GEOSCIENCE, AND INTERIOR DESIGN
new text end

new text begin $
new text end
new text begin 784,000
new text end
new text begin $
new text end
new text begin 794,000
new text end

Sec. 28. new text begin BOARD OF COSMETOLOGIST
EXAMINERS
new text end

new text begin $
new text end
new text begin 2,565,000
new text end
new text begin $
new text end
new text begin 2,584,000
new text end

Sec. 29. new text begin BOARD OF BARBER EXAMINERS
new text end

new text begin $
new text end
new text begin 321,000
new text end
new text begin $
new text end
new text begin 325,000
new text end

Sec. 30. new text begin GENERAL CONTINGENT
ACCOUNTS
new text end

new text begin $
new text end
new text begin 1,000,000
new text end
new text begin $
new text end
new text begin 500,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2016
new text end
new text begin 2017
new text end
new text begin General
new text end
new text begin 500,000
new text end
new text begin -0-
new text end
new text begin State Government
Special Revenue
new text end
new text begin 400,000
new text end
new text begin 400,000
new text end
new text begin Workers'
Compensation
new text end
new text begin 100,000
new text end
new text begin 100,000
new text end

new text begin (a) The appropriations in this section
may only be spent with the approval of
the governor after consultation with the
Legislative Advisory Commission pursuant
to Minnesota Statutes, section 3.30.
new text end

new text begin (b) If an appropriation in this section for
either year is insufficient, the appropriation
for the other year is available for it.
new text end

new text begin (c) If a contingent account appropriation
is made in one fiscal year, it should be
considered a biennial appropriation.
new text end

Sec. 31. new text begin TORT CLAIMS
new text end

new text begin $
new text end
new text begin 161,000
new text end
new text begin $
new text end
new text begin 161,000
new text end

new text begin These appropriations are to be spent by the
commissioner of management and budget
according to Minnesota Statutes, section
3.736, subdivision 7. If the appropriation for
either year is insufficient, the appropriation
for the other year is available for it.
new text end

Sec. 32. new text begin MINNESOTA STATE RETIREMENT
SYSTEM
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 6,552,000
new text end
new text begin $
new text end
new text begin 8,936,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Combined Legislators and
Constitutional Officers Retirement Plan
new text end

new text begin Under Minnesota Statutes, sections 3A.03,
subdivision 2; 3A.04, subdivisions 3 and 4;
and 3A.115.
new text end

new text begin If an appropriation in this section for either
year is insufficient, the appropriation for the
other year is available for it.
new text end

Sec. 33. new text begin PUBLIC EMPLOYEES
RETIREMENT ASSOCIATION
new text end

new text begin $
new text end
new text begin 6,000,000
new text end
new text begin $
new text end
new text begin 6,000,000
new text end

new text begin Notwithstanding Minnesota Statutes, section
353.505, the state payments to the Public
Employees Retirement Association on behalf
of the former MERF division account are
$6,000,000 on September 15, 2015 and
$6,000,000 on September 15, 2016.
new text end

Sec. 34. new text begin TEACHERS RETIREMENT
ASSOCIATION
new text end

new text begin $
new text end
new text begin 29,831,000
new text end
new text begin $
new text end
new text begin 29,831,000
new text end

new text begin The amounts estimated to be needed are as
follows:
new text end

new text begin Special Direct State Aid. $27,331,000 the
first year and $27,331,000 the second year
are for special direct state aid authorized
under Minnesota Statutes, section 354.436.
new text end

new text begin Special Direct State Matching Aid.
$2,500,000 the first year and $2,500,000
the second year are for special direct state
matching aid authorized under Minnesota
Statutes, section 354.435.
new text end

Sec. 35. new text begin ST. PAUL TEACHERS
RETIREMENT FUND
new text end

new text begin $
new text end
new text begin 9,827,000
new text end
new text begin $
new text end
new text begin 9,827,000
new text end

new text begin The amounts estimated to be needed for
special direct state aid to the first class
city teachers retirement fund association
authorized under Minnesota Statutes, section
354A.12, subdivisions 3a and 3c.
new text end

Sec. 36. new text begin MILITARY AFFAIRS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 19,368,000
new text end
new text begin $
new text end
new text begin 19,368,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Maintenance of Training Facilities
new text end

new text begin 9,661,000
new text end
new text begin 9,661,000
new text end

new text begin Subd. 3. new text end

new text begin General Support
new text end

new text begin 2,819,000
new text end
new text begin 2,819,000
new text end

new text begin Subd. 4. new text end

new text begin Enlistment Incentives
new text end

new text begin 6,888,000
new text end
new text begin 6,888,000
new text end

new text begin Appropriation Availability. If
appropriations for either year of the biennium
are insufficient, the appropriation from the
other year is available. The appropriations
for enlistment incentives are available until
expended.
new text end

new text begin Transfer Authority. Of the funds carried
forward from fiscal year 2015 to fiscal
year 2016, in the enlistment incentives
appropriation, $10,000,000 in fiscal year
2016 may be transferred to the maintenance
of training facilities appropriation to
address significant maintenance backlog
to the department's military training and
community centers. This is a onetime
transfer and is available until June 30, 2019.
new text end

Sec. 37. new text begin VETERANS AFFAIRS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 69,106,000
new text end
new text begin $
new text end
new text begin 73,679,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Veterans Programs and Services
new text end

new text begin 16,393,000
new text end
new text begin 16,461,000
new text end

new text begin $44,000 for a transfer to the Department
of Education to implement the expedited
and temporary licensing provisions of
Minnesota Statutes, section 197.4552. This
appropriation is available until June 30, 2017.
new text end

new text begin Veterans Service Organizations. new text end new text begin $353,000
each year is for grants to the following
congressionally chartered veterans service
organizations, as designated by the
commissioner: Disabled American Veterans,
Military Order of the Purple Heart, the
American Legion, Veterans of Foreign Wars,
Vietnam Veterans of America, AMVETS,
and Paralyzed Veterans of America. This
funding must be allocated in direct proportion
to the funding currently being provided by
the commissioner to these organizations.
new text end

new text begin Minnesota Assistance Council for
Veterans.
$750,000 each year is for a grant
to the Minnesota Assistance Council for
Veterans to provide assistance throughout
Minnesota to veterans and their families who
are homeless or in danger of homelessness,
including assistance with the following:
new text end

new text begin (1) utilities;
new text end

new text begin (2) employment; and
new text end

new text begin (3) legal issues.
new text end

new text begin The assistance authorized under this
paragraph must be made only to veterans who
have resided in Minnesota for 30 days prior
to application for assistance and according
to other guidelines established by the
commissioner. In order to avoid duplication
of services, the commissioner must ensure
that this assistance is coordinated with all
other available programs for veterans.
new text end

new text begin new text begin Honor Guards.new text end $200,000 each year is for
compensation for honor guards at the funerals
of veterans under Minnesota Statutes, section
197.231.
new text end

new text begin new text begin Minnesota GI Bill.new text end $200,000 each year is
for the costs of administering the Minnesota
GI Bill postsecondary educational benefits,
on-the-job training, and apprenticeship
program under Minnesota Statutes, section
197.791. Of this amount, $100,000 is for
transfer to the Office of Higher Education.
new text end

new text begin new text begin Gold Star Program.new text end $100,000 each year
is for administering the Gold Star Program
for surviving family members of deceased
veterans.
new text end

new text begin new text begin County Veterans Service Office.
new text end
$1,100,000 each year is for funding the
County Veterans Service Office grant
program under Minnesota Statutes, section
197.608.
new text end

new text begin Subd. 3. new text end

new text begin Veterans Homes
new text end

new text begin 52,713,000
new text end
new text begin 57,218,000
new text end

new text begin Veterans Homes Special Revenue Account.
The general fund appropriations made to the
department may be transferred to a veterans
homes special revenue account in the special
revenue fund in the same manner as other
receipts are deposited according to Minnesota
Statutes, section 198.34, and are appropriated
to the department for the operation of
veterans homes facilities and programs.
new text end

new text begin Maximize Federal Reimbursements.
The department will seek opportunities
to maximize federal reimbursements of
Medicare-eligible expenses and will provide
annual reports to the commissioner of
management and budget on the federal
Medicare reimbursements received.
Contingent upon future federal Medicare
receipts, reductions to the homes' general
fund appropriation may be made.
new text end

Sec. 38. new text begin APPROPRIATION
CANCELLATIONS
new text end

new text begin All unspent funds, estimated to be $44,000,
to implement the expedited and temporary
licensing provisions of Minnesota Statutes,
section 197.4552, under Laws 2014, chapter
312, article 4, section 2, subdivision 8, are
canceled to the general fund on June 30, 2015.
new text end

new text begin All unspent funds, estimated to be $150,000,
from the Web site redevelopment project
appropriation under Laws 2013, chapter
142, article 1, section 7, are canceled to the
general fund on June 30, 2015.
new text end

ARTICLE 2

STATE GOVERNMENT OPERATIONS

Section 1.

Minnesota Statutes 2014, section 3.8843, subdivision 5, is amended to read:


Subd. 5.

Staff.

Legislative staff must provide administrative and research assistance
to the commission.new text begin The Legislative Coordinating Commission may, if funding is available,
appoint staff to provide research assistance.
new text end

Sec. 2.

new text begin [3.9735] EVALUATION OF ECONOMIC DEVELOPMENT INCENTIVE
PROGRAMS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For purposes of this section, the terms defined in this
section have the meanings given them.
new text end

new text begin (a) "General incentive" means a state program, statutory provision, or tax expenditure,
including tax credits, tax exemptions, tax deductions, grants, or loans, that is intended to
encourage businesses to locate, expand, invest, or remain in Minnesota or to hire or retain
employees in Minnesota. To be a general incentive, a state program, statutory provision,
or tax expenditure must be funded by an appropriation from the general fund, and be
available to multiple entities, projects, or associated projects or include eligibility criteria
with the intent that it will be available to multiple entities, projects, or associated projects.
new text end

new text begin (b) "Exclusive incentive" means a state program, statutory provision, tax
expenditure, or section of a general incentive, including tax credits, tax exemptions, tax
deductions, grants, or loans, that is intended to encourage a single specific entity, project,
or associated projects to locate, expand, invest, or remain in Minnesota or to hire or retain
employees in Minnesota.
new text end

new text begin Subd. 2. new text end

new text begin Selection of general incentives for review; schedule for evaluation;
report.
new text end

new text begin Annually, the legislative auditor shall submit to the Legislative Audit Commission
a list of three to five general incentives proposed for review. In selecting general
incentives to include on this list, the legislative auditor may consider what the incentive
will cost state and local governments in actual spending and foregone revenue currently or
projected into the future, the legislature's need for information about a general incentive
that has an upcoming expiration date, and the legislature's need for regular information on
the results of all major general incentives. Annually, the Legislative Audit Commission
will select at least one general incentive for the legislative auditor's evaluation. The
legislative auditor will evaluate the selected general incentive or incentives, prepared
according to the evaluation plan established under subdivision 4, and submit a written
report to the Legislative Audit Commission.
new text end

new text begin Subd. 3. new text end

new text begin Exclusive incentive schedule. new text end

new text begin The legislative auditor's schedule shall
ensure that at least once every four years the legislative auditor will complete an analysis
of best practices for exclusive incentives.
new text end

new text begin Subd. 4. new text end

new text begin Evaluation plans. new text end

new text begin By February 1, 2016, the Legislative Audit Commission
shall establish evaluation plans that identify elements that the legislative auditor must
include in evaluations of a general incentive and an exclusive incentive. The Legislative
Audit Commission may modify the evaluation plans as needed.
new text end

Sec. 3.

new text begin [6.481] COUNTY AUDITS.
new text end

new text begin Subdivision 1. new text end

new text begin Powers and duties. new text end

new text begin All the powers and duties conferred and imposed
upon the state auditor shall be exercised and performed by the state auditor in respect to
the offices, institutions, public property, and improvements of several counties of the
state. The state auditor may visit, without previous notice, each county and examine all
accounts and records relating to the receipt and disbursement of the public funds and the
custody of the public funds and other property. The state auditor shall prescribe and install
systems of accounts and financial reports that shall be uniform, so far as practicable, for
the same class of offices.
new text end

new text begin Subd. 2. new text end

new text begin Annual audit required. new text end

new text begin A county must have an annual financial audit.
A county may choose to have the audit performed by the state auditor, or may choose to
have the audit performed by a CPA firm meeting the requirements of section 326A.05.
The state auditor or a CPA firm may accept the records and audit of the Department of
Human Services instead of examining county human service funds, if the audit of the
Department of Human Services has been made within any period covered by the auditor's
audit of other county records.
new text end

new text begin Subd. 3. new text end

new text begin CPA firm audit. new text end

new text begin A county audit performed by a CPA firm must meet
the standards and be in the form required by the state auditor. The state auditor may
require additional information from the CPA firm if the state auditor determines that is
in the public interest, but the state auditor must accept the audit unless the state auditor
determines it does not meet recognized industry auditing standards or is not in the form
required by the state auditor. The state auditor may make additional examinations as the
auditor determines to be in the public interest.
new text end

new text begin Subd. 4. new text end

new text begin Audit availability; data. new text end

new text begin A copy of the annual audit by the state auditor or
by a CPA firm must be available for public inspection in the Office of the State Auditor and
in the Office of the County Auditor. If an audit is performed by a CPA firm, data relating
to the audit are subject to the same data classifications that apply under section 6.715. A
CPA firm conducting a county audit must provide access to data relating to the audit and is
liable for unlawful disclosure of the data as if it were a government entity under chapter 13.
new text end

new text begin Subd. 5. new text end

new text begin Reporting. new text end

new text begin If an audit conducted by the state auditor or a CPA firm
discloses malfeasance, misfeasance, or nonfeasance, the auditor must report this to the
county attorney, who shall institute civil and criminal proceedings as the law and the
protection of the public interests requires.
new text end

new text begin Subd. 6. new text end

new text begin Payments to state auditor. new text end

new text begin A county audited by the state auditor must
pay the state auditor for the costs and expenses of the audit. If the state auditor makes
additional examinations of a county whose audit is performed by a CPA firm, the county
must pay the auditor for the cost of these examinations. Payments must be deposited in
the state auditor enterprise fund.
new text end

new text begin Subd. 7. new text end

new text begin Procedures for change of auditor. new text end

new text begin A county that plans to change to or
from the state auditor and a CPA firm must notify the state auditor of this change by
August 1 of an even-numbered year. Upon this notice, the following calendar year will be
the first year's records that will be subject to an audit by the new entity. A county that
changes to or from the state auditor must have two annual audits done by the new entity.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2016.
new text end

Sec. 4.

Minnesota Statutes 2014, section 10.43, is amended to read:


10.43 TELEPHONE USE; APPROVAL.

new text begin (a) new text end Each representative, senator, constitutional officer, judge, and head of a state
department or agency shall sign the person's monthly long-distance telephone bills paid
by the state as evidence of the person's approval of each bill.new text begin This signature requirement
does not apply to a month in which the person's long-distance phone bill paid by the
state is less than $5.
new text end

new text begin (b) Even if the monthly long-distance phone bill paid by the state for a person
subject to this section is less than $5, the person is responsible for paying that portion of
the bill that does not relate to state business. As provided in section 10.46, long-distance
telephone bills paid by the state are public data, regardless of the amount of the bills.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for telephone bills for usage on or
after July 1, 2015.
new text end

Sec. 5.

new text begin [15.0145] ETHNIC COUNCILS.
new text end

new text begin Subdivision 1. new text end

new text begin Three ethnic councils; creation. new text end

new text begin (a) The Minnesota Council on
Latino Affairs includes public members with an ethnic heritage from Mexico, any of the
countries in Central or South America, Cuba, the Dominican Republic, or Puerto Rico.
new text end

new text begin (b) The Council for Minnesotans of African Heritage includes public members of
black African ancestry.
new text end

new text begin (c) The Council on Asian-Pacific Minnesotans includes public members with an
ethnic heritage from any of the countries east of, and including, Afghanistan or the
Pacific Islands.
new text end

new text begin Subd. 2. new text end

new text begin Membership. new text end

new text begin (a) Each council has 15 voting members. Eleven members
of each council are public members appointed by the governor. Four members of each
council are legislators.
new text end

new text begin (b) The governor shall appoint 11 members of each council as follows:
new text end

new text begin (1) the Minnesota Council on Latino Affairs must include one member representing
each of the state's congressional districts and three members appointed at-large. The
council must include at least five women. The governor must attempt to ensure that
the demographic composition of council members accurately reflects the demographic
composition of Minnesota's Latino community, including recent immigrants, as
determined by the state demographer;
new text end

new text begin (2) the Council for Minnesotans of African Heritage must include members who are
broadly representative of the African heritage community of the state. The council must
include at least five women. At least three members must be first or second generation
African immigrants, who generally reflect the demographic composition of these African
immigrants, as determined by the state demographer; and
new text end

new text begin (3) the Council on Asian-Pacific Minnesotans must include one member from each
of the five ancestries with the state's highest percentages of Asian-Pacific populations,
as determined by the state demographer. The other six members must be broadly
representative of the rest of the Asian-Pacific population, with no more than one council
member from any one ancestry. The council must include at least five women. For
purposes of this clause, ancestry refers to heritage that is commonly accepted in Minnesota
as a unique population.
new text end

new text begin (c) Four legislators are voting members of each council. The speaker of the house
and the house minority leader shall each appoint one member to each council. The
Subcommittee on Committees of the senate Committee on Rules and Administration shall
appoint one member of the majority caucus and one member of the minority caucus to
each council.
new text end

new text begin (d) The governor may appoint a commissioner of a state agency or a designee of that
commissioner to serve as an ex-officio, nonvoting member of a council.
new text end

new text begin Subd. 3. new text end

new text begin Appointments; terms; removal. new text end

new text begin (a) In making appointments to a council,
the governor shall consider an appointee's proven dedication and commitment to the
council's community and any expertise possessed by the appointee that might be beneficial
to the council, such as experience in public policy, legal affairs, social work, business,
or management. The executive director of a council and legislative members may offer
advice to the governor on applicants seeking appointment.
new text end

new text begin (b) Terms, compensation, and filling of vacancies for members appointed by the
governor are as provided in section 15.059. Removal of members appointed by the
governor is governed by section 15.059, except that: (1) a member who missed more than
half of the council meetings convened during a 12-month period automatically is removed
from the council; and (2) a member appointed by the governor may be removed by a vote
of three of the four legislative members of the council. The chair of a council shall inform
the governor of the need for the governor to fill a vacancy on the council. Legislative
members serve at the pleasure of their appointing authority.
new text end

new text begin (c) A member appointed by the governor may serve no more than a total of eight
years on a council. A legislator may serve no more than eight consecutive years or 12
nonconsecutive years on any one council.
new text end

new text begin Subd. 4. new text end

new text begin Training; executive committee; meetings; support. new text end

new text begin (a) A member
appointed by the governor must attend orientation training within the first six months of
service for each term. The commissioner of administration must arrange for the training
to include but not be limited to the legislative process, government data practices, open
meeting law, Robert's Rules of Order, fiscal management, and human resources. The
governor must remove a member who does not complete the training.
new text end

new text begin (b) Each council shall annually elect from among the members appointed by the
governor a chair and other officers it deems necessary. These officers and one legislative
member selected by the council shall serve as the executive committee of the council.
new text end

new text begin (c) Forty percent of voting members of a council constitutes a quorum. A quorum is
required to conduct council business. A council member may not vote on any action if the
member has a conflict of interest under section 10A.07.
new text end

new text begin (d) Each council shall receive administrative support from the commissioner of
administration under section 16B.371. The council may contract in its own name but may
not accept or receive a loan or incur indebtedness except as otherwise provided by law.
Contracts must be approved by a majority of the members of the council and executed by
the chair and the executive director. The council may apply for, receive, and expend in
its own name grants and gifts of money consistent with the powers and duties specified
in this section.
new text end

new text begin (e) The attorney general shall provide legal services to the councils on behalf of the
state on all matters relating to the councils, including matters relating to the state as the
employer of the executive directors of the council, and other council staff.
new text end

new text begin Subd. 5. new text end

new text begin Executive director; staff. new text end

new text begin (a) The Legislative Coordinating Commission
must appoint an executive director for each council. The executive director must be
experienced in administrative activities and familiar with the challenges and needs of
the ethnic council's larger community. The executive director serves in the unclassified
service at the pleasure of the Legislative Coordinating Commission.
new text end

new text begin (b) The Legislative Coordinating Commission must establish a process for recruiting
and selecting applicants for the executive director positions. This process must include
consultation and collaboration with the applicable council.
new text end

new text begin (c) The executive director and applicable council members must work together in
fulfilling council duties. The executive director must consult with the commissioners of
administration and management and budget to ensure appropriate financial, purchasing,
human resources, and other services for operation of the council. The executive director
must appoint and supervise the work of other staff necessary to carry out the duties of the
council. The executive director and other council staff are executive branch employees.
new text end

new text begin Subd. 6. new text end

new text begin Duties of council. new text end

new text begin (a) A council must work for the implementation
of economic, social, legal, and political equality for its constituency. The council shall
work with the legislature and governor to carry out this work by performing the duties
in this section.
new text end

new text begin (b) A council shall advise the governor and the legislature on issues confronting the
constituency of the council. This may include, but is not limited to, presenting the results
of surveys, studies, and community forums to the appropriate executive departments
and legislative committees.
new text end

new text begin (c) A council shall advise the governor and the legislature of administrative
and legislative changes needed to improve the economic and social condition of the
constituency of the council. This may include but is not limited to working with legislators
to develop legislation to address these issues and to work for passage of the legislation.
This may also include making recommendations regarding the state's affirmative action
program and the state's targeted group small business program, or working with state
agencies and organizations to develop business opportunities and promote economic
development for the constituency of the council.
new text end

new text begin (d) A council shall advise the governor and the legislature of the implications
and effect of proposed administrative and legislative changes on the constituency of
the council. This may include but is not limited to tracking legislation, testifying as
appropriate, and meeting with executive departments and legislators.
new text end

new text begin (e) A council shall serve as a liaison between state government and organizations that
serve the constituency of the council. This may include but is not limited to working with
these organizations to carry out the duties in paragraphs (a) to (d), and working with these
organizations to develop informational programs or publications to involve and empower
the constituency in seeking improvement in their economic and social conditions.
new text end

new text begin (f) A council shall perform or contract for the performance of studies designed
to suggest solutions to the problems of the constituency of the council in the areas of
education, employment, human rights, health, housing, social welfare, and other related
areas.
new text end

new text begin (g) In carrying out duties under this subdivision, councils may act to advise on issues
that affect the shared constituencies of more than one council.
new text end

new text begin Subd. 7. new text end

new text begin Duties of council members. new text end

new text begin A council member shall:
new text end

new text begin (1) attend and participate in scheduled meetings and be prepared by reviewing
meeting notes;
new text end

new text begin (2) maintain and build communication with the community represented;
new text end

new text begin (3) collaborate with the council and executive director in carrying out the council's
duties; and
new text end

new text begin (4) participate in activities the council or executive director deem appropriate and
necessary to facilitate the goals and duties of the council.
new text end

new text begin Subd. 8. new text end

new text begin Reports. new text end

new text begin A council must report on the measurable outcomes achieved in
the council's current strategic plan to meet its statutory duties, along with the specific
objectives and outcome measures proposed for the following year. The council must
submit the report by January 15 each year to the chairs of the committees in the house of
representatives and the senate with primary jurisdiction over state government operations.
Each report must cover the calendar year of the year before the report is submitted. The
specific objectives and outcome measures for the following current year must focus on
three or four achievable objectives, action steps, and measurable outcomes for which
the council will be held accountable. The strategic plan may include other items that
support the statutory purposes of the council but should not distract from the primary
statutory proposals presented. The funding request of each council, after approval by the
Legislative Coordinating Commission, must also be presented by February 1 in each
odd-numbered year.
new text end

Sec. 6.

Minnesota Statutes 2014, section 16A.065, is amended to read:


16A.065 PREPAY SOFTWARE, SUBSCRIPTIONS, UNITED STATES
DOCUMENTS.

Notwithstanding section 16A.41, subdivision 1, the commissioner may allow an
agency to make advance deposits or payments for software or software maintenance
services for state-owned or leased electronic data processing equipment, new text begin for information
technology hosting services,
new text end for sole source maintenance agreements where it is not
cost-effective to pay in arrears, for exhibit booth space or boat slip rental when required
by the renter to guarantee the availability of space, for registration fees where advance
payment is required or advance payment discount is provided, and for newspaper,
magazine, and other subscription fees customarily paid for in advance. The commissioner
may also allow advance deposits by any department with the Library of Congress and
federal Supervisor of Documents for items to be purchased from those federal agencies.

Sec. 7.

Minnesota Statutes 2014, section 16A.152, subdivision 8, is amended to read:


Subd. 8.

Report on budget reserve percentage.

(a) The commissioner of
management and budget shall develop and annually review a methodology for evaluating
the adequacy of the budget reserve based on the volatility of Minnesota's general fund
tax structure. The review must take into consideration relevant statistical and economic
literature. After completing the review, the commissioner may revise the methodology
if necessary. The commissioner must use the methodology to annually estimate the
percentage of the current biennium's general fund nondedicated revenues recommended
as a budget reserve.

(b) By deleted text begin January 15deleted text end new text begin September 30new text end of each year, the commissioner shall report
the percentage of the current biennium's general fund nondedicated revenue that is
recommended as a budget reserve to the chairs and ranking minority members of the
deleted text begin legislative committees with jurisdiction over the Department of Management and Budget
deleted text end new text begin senate committee on finance, the house of representatives committee on ways and means,
and the senate and house of representatives committees on taxes
new text end . The report must also
specify:

(1) whether the commissioner revised the recommendation as a result of significant
changes in the mix of general fund taxes or the base of one or more general fund taxes;

(2) whether the commissioner revised the recommendation as a result of a revision
to the methodology; and

(3) any additional appropriate information.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015.
new text end

Sec. 8.

new text begin [16B.4805] ACCOMMODATION REIMBURSEMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin "Reasonable accommodation" as used in this section
has the meaning given in section 363A.08. "State agency" as used in this section has the
meaning given in section 16A.011, subdivision 12. "Reasonable accommodations eligible
for reimbursement" means:
new text end

new text begin (1) reasonable accommodations provided to applicants for employment;
new text end

new text begin (2) reasonable accommodations for employees for services that will need to be
provided on a periodic or ongoing basis; or
new text end

new text begin (3) reasonable accommodations that involve onetime expenses that total more than
$1,000 for an employee in a fiscal year.
new text end

new text begin Subd. 2. new text end

new text begin Reimbursement for making reasonable accommodation. new text end

new text begin The
commissioner of administration shall reimburse state agencies for expenses incurred in
making reasonable accommodations eligible for reimbursement for agency employees and
applicants for employment to the extent that funds are available in the accommodation
account established under subdivision 3 for this purpose.
new text end

new text begin Subd. 3. new text end

new text begin Accommodation account established. new text end

new text begin The accommodation account
is created as an account in the special revenue fund for reimbursing state agencies for
expenses incurred in providing reasonable accommodation eligible for reimbursement for
agency employees and applicants for agency employment.
new text end

new text begin Subd. 4. new text end

new text begin Administration costs. new text end

new text begin The commissioner may use up to 15 percent of the
biennial appropriation for administration of this section.
new text end

new text begin Subd. 5. new text end

new text begin Notification. new text end

new text begin By August 1, 2015, or within 30 days of final enactment,
whichever is later, and each year thereafter by June 30, the commissioner of administration
must notify state agencies that reimbursement for expenses incurred to make reasonable
accommodation eligible for reimbursement for agency employees and applicants for
agency employment is available under this section.
new text end

new text begin Subd. 6. new text end

new text begin Report. new text end

new text begin By January 31 of each year, the commissioner of administration
must report to the chairs and ranking minority members of the house of representatives and
the senate committees with jurisdiction over state government finance on the use of the
central accommodation account during the prior calendar year. The report must include:
new text end

new text begin (1) the number and type of accommodations requested;
new text end

new text begin (2) the cost of accommodations requested;
new text end

new text begin (3) the state agencies from which the requests were made;
new text end

new text begin (4) the number of requests made for employees and the number of requests for
applicants for employment;
new text end

new text begin (5) the number and type of accommodations that were not provided;
new text end

new text begin (6) any remaining balance left in the account;
new text end

new text begin (7) if the account was depleted, the date on which funds were exhausted and the
number, type, and cost of accommodations that were not reimbursed to state agencies; and
new text end

new text begin (8) a description of how the account was promoted to state agencies.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015. Reimbursement is
available for accommodation expenses incurred after June 30, 2015.
new text end

Sec. 9.

Minnesota Statutes 2014, section 16B.97, subdivision 1, is amended to read:


Subdivision 1.

Grant agreement.

(a) A grant agreement is a written instrument or
electronic document defining a legal relationship between a granting agency and a grantee
when the principal purpose of the relationship is to transfer cash or something of value
to the recipient to support a public purpose authorized by law instead of acquiring by
professional or technical contract, purchase, lease, or barter property or services for the
direct benefit or use of the granting agency.

(b) This section does not apply to new text begin general obligation grants as defined by section
16A.695 and
new text end capital project grants to political subdivisions as defined by section 16A.86.

Sec. 10.

Minnesota Statutes 2014, section 16B.98, subdivision 1, is amended to read:


Subdivision 1.

Limitation.

new text begin (a) new text end As a condition of receiving a grant from
an appropriation of state funds, the recipient of the grant must agree to minimize
administrative costs. The granting agency is responsible for negotiating appropriate limits
to these costs so that the state derives the optimum benefit for grant funding.

new text begin (b) This section does not apply to general obligation grants as defined by section
16A.695 and also capital project grants to political subdivisions as defined by section
16A.86.
new text end

Sec. 11.

Minnesota Statutes 2014, section 16B.98, subdivision 11, is amended to read:


Subd. 11.

Encumbrance exception.

Notwithstanding subdivision 5, paragraph (a),
clause (2), or section 16C.05, subdivision 2, paragraph (a), clause (3), agencies may
permit a specifically named, legislatively appropriated, noncompetitive grant recipient to
incur eligible expenses based on an agreed upon work plan and budget for up to 60 days
prior to an encumbrance being established in the accounting system. deleted text begin For a grant funded
in whole or in part with state general obligation bond proceeds, an agency may permit
incurring of expenses under this subdivision only with prior approval of the commissioner
of management and budget.
deleted text end

Sec. 12.

Minnesota Statutes 2014, section 16C.144, is amended to read:


16C.144 GUARANTEED ENERGY-SAVINGS PROGRAM.

Subdivision 1.

Definitions.

The following definitions apply to this section.

(a) "Utility" means electricity, natural gas, or other energy resource, water, and
wastewater.

(b) "Utility cost savings" means the difference between the utility costs after
installation of the utility cost-savings measures pursuant to the guaranteed energy-savings
agreement and the baseline utility costs after baseline adjustments have been made.

(c) "Baseline" means the preagreement utilities, operations, and maintenance costs.

(d) "Utility cost-savings measure" means a measure that produces utility cost savings
or operation and maintenance cost savings.

(e) "Operation and maintenance cost savings" means a measurable difference
between operation and maintenance costs after the installation of the utility cost-savings
measures pursuant to the guaranteed energy-savings agreement and the baseline operation
and maintenance costs after inflation adjustments have been made. Operation and
maintenance costs savings shall not include savings from in-house staff labor.

(f) "Guaranteed energy-savings agreement" means an agreement for the installation
of one or more utility cost-savings measures that includes the qualified provider's
guarantee as required under subdivision 2.

(g) "Baseline adjustments" means adjusting the utility cost-savings baselines
annually for changes in the following variables:

(1) utility rates;

(2) number of days in the utility billing cycle;

(3) square footage of the facility;

(4) operational schedule of the facility;

(5) facility temperature set points;

(6) weather; and

(7) amount of equipment or lighting utilized in the facility.

(h) "Inflation adjustment" means adjusting the operation and maintenance
cost-savings baseline annually for inflation.

(i) "deleted text begin Lease purchase agreementdeleted text end new text begin Project financingnew text end " means deleted text begin an agreementdeleted text end new text begin any type of
financing including but not limited to lease, lease purchase, installment agreements, or
bonds issued by an entity, other than the state, with authority to issue bonds,
new text end obligating the
state to make regular deleted text begin leasedeleted text end payments to satisfy the deleted text begin leasedeleted text end costs of the utility cost-savings
measures until the final paymentdeleted text begin , after which time the utility cost-savings measures
become the sole property of the state of Minnesota
deleted text end .

(j) "Qualified provider" means a person or business experienced in the design,
implementation, and installation of utility cost-savings measures.

(k) "Engineering report" means a report prepared by a professional engineer licensed
by the state of Minnesota summarizing estimates of all costs of installations, modifications,
or remodeling, including costs of design, engineering, installation, maintenance, repairs,
and estimates of the amounts by which utility and operation and maintenance costs will be
reduced.

(l) "Capital cost avoidance" means money expended by a state agency to pay for
utility cost-savings measures with a guaranteed savings agreement so long as the measures
that are being implemented to achieve the utility, operation, and maintenance cost savings
are a significant portion of an overall project as determined by the commissioner.

(m) "Guaranteed energy-savings program guidelines" means policies, procedures,
and requirements of guaranteed savings agreements established by the Department of
Administration.

Subd. 2.

Guaranteed energy-savings agreement.

The commissioner may enter
into a guaranteed energy-savings agreement with a qualified provider if:

(1) the qualified provider is selected through a competitive process in accordance
with the guaranteed energy-savings program guidelines within the Department of
Administration;

(2) the qualified provider agrees to submit an engineering report prior to the
execution of the guaranteed energy-savings agreement. The cost of the engineering report
may be considered as part of the implementation costs if the commissioner enters into a
guaranteed energy-savings agreement with the provider;

(3) the term of the guaranteed energy-savings agreement shall not exceed 25 years
from the date of final installation;

(4) the commissioner finds that the amount deleted text begin itdeleted text end new text begin the state new text end would spendnew text begin , less the amount
contributed for capital cost avoidance,
new text end on the utility cost-savings measures recommended
in the engineering report will not exceed the amount to be saved in utility operation and
maintenance costs over 25 years from the date of implementation of utility cost-savings
measures;

(5) the qualified provider provides a written guarantee that the annual utility,
operation, and maintenance cost savings during the term of the guaranteed energy-savings
agreement will meet or exceed the annual payments due under deleted text begin a lease purchase agreement
deleted text end new text begin the project financingnew text end . The qualified provider shall reimburse the state for any shortfall of
guaranteed utility, operation, and maintenance cost savings; and

(6) the qualified provider gives a sufficient bond in accordance with section
574.26 to the commissioner for the faithful implementation and installation of the utility
cost-savings measures.

Subd. 3.

deleted text begin Lease purchase agreementdeleted text end new text begin Project financingnew text end .

The commissioner
may enter into deleted text begin a lease purchase agreementdeleted text end new text begin project financingnew text end with any party for the
implementation of utility cost-savings measures in accordance with the guaranteed
energy-savings agreement. deleted text begin The implementation costs of the utility cost-savings measures
recommended in the engineering report shall not exceed the amount to be saved in utility
and operation and maintenance costs over the term of the lease purchase agreement.
deleted text end The
term of the deleted text begin lease purchase agreementdeleted text end new text begin project financingnew text end shall not exceed 25 years from
the date of final installation. The deleted text begin leasedeleted text end new text begin project financingnew text end is assignable in accordance with
terms approved by the commissioner of management and budget.

Subd. 4.

Use of capital cost avoidance.

The affected state agency may contribute
funds for capital cost avoidance for guaranteed energy-savings agreements. Use of capital
cost avoidance is subject to the guaranteed energy-savings program guidelines within the
Department of Administration.

Subd. 5.

Independent report.

For each guaranteed energy-savings agreement
entered into, the commissioner of administration shall contract with an independent third
party to evaluate the cost-effectiveness of each utility cost-savings measure implemented
to ensure that such measures were the least-cost measures available. For the purposes of
this section, "independent third party" means an entity not affiliated with the qualified
provider, that is not involved in creating or providing conservation project services to that
provider, and that has expertise (or access to expertise) in energy-savings practices.

Sec. 13.

Minnesota Statutes 2014, section 16C.16, subdivision 2, is amended to read:


Subd. 2.

Small business.

The commissioner shall adopt deleted text begin rules definingdeleted text end new text begin the size
standards for
new text end "small business"new text begin found in Code of Federal Relations, title 49, section
26.65,
new text end for purposes of sections 16C.16 to 16C.21, 137.31, 137.35, 161.321, and 473.142deleted text begin .
The definition must include only businesses with their
deleted text end new text begin , provided that the business has
its
new text end principal place of business in Minnesota. deleted text begin The definition must establish different
size standards for various types of businesses. In establishing these standards, the
commissioner must consider the differences among industries caused by the size of the
market for goods or services and the relative size and market share of the competitors
operating in those markets.
deleted text end

Sec. 14.

Minnesota Statutes 2014, section 16C.16, subdivision 6a, is amended to read:


Subd. 6a.

Veteran-owned small businesses.

(a) Except when mandated by the
federal government as a condition of receiving federal funds, the commissioner shall
award up to a six percent preference, but no less than the percentage awarded to any
other group under this section, in the amount bid on state procurement to certified small
businesses that are majority-owned and operated by veterans.

(b) The purpose of this designation is to facilitate the transition of veterans from
military to civilian life, and to help compensate veterans for their sacrifices, including but
not limited to their sacrifice of health and time, to the state and nation during their military
service, as well as to enhance economic development within Minnesota.

new text begin (c) Before the commissioner certifies that a small business is majority-owned and
operated by a veteran, the commissioner of veterans affairs must verify that the owner of
the small business is a veteran, as defined in section 197.447.
new text end

Sec. 15.

Minnesota Statutes 2014, section 16C.16, is amended by adding a subdivision
to read:


new text begin Subd. 13. new text end

new text begin State-funded projects. new text end

new text begin (a) Notwithstanding section 16C.001, this
subdivision applies to contracts for state-funded capital improvement projects in excess of
$100,000 that are issued by organizations not subject to the small business requirements of
this section, including municipalities as defined in section 466.01, subdivision 1.
new text end

new text begin (b) Organizations administering contracts described in paragraph (a) shall promote
the use of targeted group businesses designated under this section and take steps to remove
barriers to equitable participation of targeted group businesses.
new text end

new text begin (c) Organizations shall cooperate with the commissioner's efforts to monitor and
measure compliance with this subdivision in the performance of state-funded contracts.
new text end

Sec. 16.

Minnesota Statutes 2014, section 16C.19, is amended to read:


16C.19 ELIGIBILITY; RULES.

(a) A small business wishing to participate in the programs under section 16C.16,
subdivisions 4 to 7, must be certified by the commissioner. The commissioner shall adopt
by rule standards and procedures for certifying that small targeted group businesses,
small businesses located in economically disadvantaged areas, and veteran-owned small
businesses are eligible to participate under the requirements of sections 16C.16 to 16C.21.
The commissioner shall adopt by rule standards and procedures for hearing appeals and
grievances and other rules necessary to carry out the duties set forth in sections 16C.16
to 16C.21.

(b) The commissioner may make rules which exclude or limit the participation of
nonmanufacturing business, including third-party lessors, brokers, franchises, jobbers,
manufacturers' representatives, and others from eligibility under sections 16C.16 to 16C.21.

(c) The commissioner may make rules that set time limits and other eligibility limits
on business participation in programs under sections 16C.16 to 16C.21.

(d) Notwithstanding paragraph deleted text begin (c)deleted text end new text begin (a)new text end , for purposes of sections 16C.16 to 16C.21, a
veteran-owned small business, the principal place of business of which is in Minnesota,
is certified ifnew text begin :
new text end

new text begin (1)new text end it has been verified by the United States Department of Veterans Affairs as
being either a veteran-owned small business or a service-disabled veteran-owned small
business, in accordance with Public Law 109-461 and Code of Federal Regulations, title
38, part 74deleted text begin .deleted text end new text begin ; or
new text end

new text begin (2) the veteran-owned small business supplies the commissioner with proof that the
small business is majority-owned and operated by:
new text end

new text begin (i) a veteran as defined in section 197.447; or
new text end

new text begin (ii) a veteran with a service-connected disability, as determined at any time by the
United States Department of Veterans Affairs.
new text end

(e) Until rules are adopted pursuant to paragraph (a) for the purpose of certifying
veteran-owned small businesses, the provisions of Minnesota Rules, part 1230.1700, may
be read to include veteran-owned small businesses. In addition to the documentation
required in Minnesota Rules, part 1230.1700, the veteran owner must have been
discharged under honorable conditions from active service, as indicated by the veteran
owner's most current United States Department of Defense form DD-214.

new text begin (f) Notwithstanding paragraph (a), for purposes of sections 16C.16 to 16C.21, a
minority- or woman-owned small business, the principal place of business of which is
in Minnesota, is certified if it has been certified by the Minnesota unified certification
program under the provisions of Code of Federal Regulations, title 49, part 26.
new text end

new text begin (g) The commissioner may adopt rules to implement the programs under section
16C.16, subdivisions 4 to 7, using the expedited rulemaking process in section 14.389.
new text end

Sec. 17.

new text begin [138.912] HEALTHY EATING, HERE AT HOME.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The healthy eating, here at home program is
established to provide incentives for low-income Minnesotans to use federal Supplemental
Nutrition Assistance Program (SNAP) benefits for healthy purchases at Minnesota-based
farmers' markets.
new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin (a) The definitions in this subdivision apply to this section.
new text end

new text begin (b) "Healthy eating, here at home" means a program administered by the Minnesota
Humanities Center to provide incentives for low-income Minnesotans to use SNAP
benefits for healthy purchases at Minnesota-based farmers' markets.
new text end

new text begin (c) "Healthy purchases" means SNAP-eligible foods.
new text end

new text begin (d) "Minnesota-based farmers' market" means a physical market as defined in section
28A.151, subdivision 1, paragraph (b), and also includes mobile markets.
new text end

new text begin (e) "Voucher" means a physical or electronic credit.
new text end

new text begin (f) "Eligible household" means an individual or family that is determined to be a
recipient of SNAP.
new text end

new text begin Subd. 3. new text end

new text begin Grants. new text end

new text begin The Minnesota Humanities Center shall allocate grant funds to
nonprofit organizations that work with Minnesota-based farmers' markets to provide up
to $10 vouchers to SNAP participants who use electronic benefits transfer (EBT) cards
for healthy purchases. Funds may also be provided for vouchers distributed through
nonprofit organizations engaged in healthy cooking and food education outreach to
eligible households for use at farmers' markets. Funds appropriated under this section may
not be used for healthy cooking classes or food education outreach. When awarding
grants, the Minnesota Humanities Center must consider how the nonprofit organizations
will achieve geographic balance, including specific efforts to reach eligible households
across the state, and the organizations' capacity to manage the programming and outreach.
new text end

new text begin Subd. 4. new text end

new text begin Household eligibility; participation. new text end

new text begin To be eligible for a healthy eating,
here at home voucher, an eligible household must meet the Minnesota SNAP eligibility
requirements under section 256D.051.
new text end

new text begin Subd. 5. new text end

new text begin Permissible uses; information provided. new text end

new text begin An eligible household may use
the voucher toward healthy purchases at Minnesota-based farmers' markets. Every eligible
household that receives a voucher must be informed of the allowable uses of the voucher.
new text end

new text begin Subd. 6. new text end

new text begin Program reporting. new text end

new text begin The nonprofit organizations that receive grant funds
must report annually to the Minnesota Humanities Center with information regarding the
operation of the program, including the number of vouchers issued and the number of
people served. To the extent practicable, the nonprofit organizations must report on the
usage of the vouchers and evaluate the program's effectiveness.
new text end

new text begin Subd. 7. new text end

new text begin Grocery inclusion. new text end

new text begin The commissioner of human services must submit a
waiver request to the federal United States Department of Agriculture seeking approval
for the inclusion of Minnesota grocery stores in this program so that SNAP participants
may use the vouchers for healthy produce at grocery stores. Grocery store participation is
voluntary and a grocery store's associated administrative costs will not be reimbursed.
new text end

Sec. 18.

Minnesota Statutes 2014, section 148.57, is amended by adding a subdivision
to read:


new text begin Subd. 5. new text end

new text begin Expedited and temporary licensing for former and current members
of the military.
new text end

new text begin (a) Applicants seeking licensure according to this subdivision must be:
new text end

new text begin (1) an active duty military member;
new text end

new text begin (2) the spouse of an active duty military member; or
new text end

new text begin (3) a veteran who has left service in the two years preceding the date of license
application, and has confirmation of an honorable or general discharge status.
new text end

new text begin (b) A qualified applicant under this subdivision must provide evidence of:
new text end

new text begin (1) a current valid license, certificate, or permit in another state without history of
disciplinary action by a regulatory authority in the other state; and
new text end

new text begin (2) a current criminal background study without a criminal conviction that is
determined by the board to adversely affect the applicant's ability to become licensed.
new text end

new text begin (c) A temporary license issued under this subdivision is effective for six months
from the initial temporary licensure date.
new text end

new text begin (d) During the temporary license period, the individual shall complete the licensed
optometrist application for licensure.
new text end

new text begin (e) In order to remain licensed after the expiration of the temporary license, an
individual must meet the requirements in section 148.57, subdivisions 1 and 2.
new text end

Sec. 19.

Minnesota Statutes 2014, section 148.624, subdivision 5, is amended to read:


Subd. 5.

new text begin Expedited and new text end temporary new text begin licensing for former and current members
of the
new text end military deleted text begin permitdeleted text end .

deleted text begin The board shall issue a temporary permit to members of the
military in accordance with section 197.4552.
deleted text end new text begin (a) Applicants seeking licensure according
to this subdivision must be:
new text end

new text begin (1) an active duty military member;
new text end

new text begin (2) the spouse of an active duty military member; or
new text end

new text begin (3) a veteran who has left service in the two years preceding the date of license
application, and has confirmation of an honorable or general discharge status.
new text end

new text begin (b) A qualified applicant under this subdivision must provide evidence of:
new text end

new text begin (1) a current valid license in another state without history of disciplinary action by a
regulatory authority in the other state; and
new text end

new text begin (2) a current criminal background study without a criminal conviction that is
determined by the board to adversely affect the applicant's ability to become licensed.
new text end

new text begin (c) A temporary license issued under this subdivision is effective for six months
from the initial temporary licensure date.
new text end

new text begin (d) During the temporary license period, the individual shall complete the licensed
dietitian or nutritionist application for licensure.
new text end

new text begin (e) In order to remain licensed after the expiration of the temporary license, an
individual must meet the full licensure requirements.
new text end

new text begin (f)new text end The fee for the temporary deleted text begin permitdeleted text end new text begin licensenew text end is $250.

Sec. 20.

Minnesota Statutes 2014, section 148B.33, is amended by adding a
subdivision to read:


new text begin Subd. 3. new text end

new text begin Expedited and temporary licensing for former and current members
of the military.
new text end

new text begin (a) Applicants seeking licensure according to this subdivision must be:
new text end

new text begin (1) an active duty military member;
new text end

new text begin (2) the spouse of an active duty military member; or
new text end

new text begin (3) a veteran who has left service in the two years preceding the date of license
application, and has confirmation of an honorable or general discharge status.
new text end

new text begin (b) A qualified applicant under this subdivision must provide evidence of:
new text end

new text begin (1) a current valid license, certificate, or permit in another state without history of
disciplinary action by a regulatory authority in the other state; and
new text end

new text begin (2) a current criminal background study without a criminal conviction that is
determined by the board to adversely affect the applicant's ability to become licensed.
new text end

new text begin (c) A temporary license issued under this subdivision is effective for six months
from the initial temporary licensure date.
new text end

new text begin (d) During the temporary license period, the individual shall complete the licensed
marriage and family therapist application for licensure.
new text end

new text begin (e) In order to remain licensed after the expiration of the temporary license, an
individual must meet the requirements in subdivisions 1 and 2.
new text end

Sec. 21.

Minnesota Statutes 2014, section 148B.53, is amended by adding a
subdivision to read:


new text begin Subd. 1a. new text end

new text begin Expedited and temporary licensing for former and current members
of the military.
new text end

new text begin (a) Applicants seeking licensure according to this subdivision must be:
new text end

new text begin (1) an active duty military member;
new text end

new text begin (2) the spouse of an active duty military member; or
new text end

new text begin (3) a veteran who has left service in the two years preceding the date of license
application, and has confirmation of an honorable or general discharge status.
new text end

new text begin (b) A qualified applicant under this subdivision must provide evidence of:
new text end

new text begin (1) a current valid license, certificate, or permit in another state without history of
disciplinary action by a regulatory authority in the other state; and
new text end

new text begin (2) a current criminal background study without a criminal conviction that is
determined by the board to adversely affect the applicant's ability to become licensed.
new text end

new text begin (c) A temporary license issued under this subdivision is effective for one year from
the initial licensure date.
new text end

new text begin (d) During the temporary license period, the individual shall complete the licensed
professional counselor application for licensure.
new text end

new text begin (e) In order to remain licensed after the expiration of the temporary license, an
individual must meet the requirements in subdivision 1, paragraphs (a) and (b).
new text end

Sec. 22.

Minnesota Statutes 2014, section 148B.5301, is amended by adding a
subdivision to read:


new text begin Subd. 4a. new text end

new text begin Expedited and temporary licensing for former and current members
of the military.
new text end

new text begin (a) Applicants seeking licensure according to this subdivision must be:
new text end

new text begin (1) an active duty military member;
new text end

new text begin (2) the spouse of an active duty military member; or
new text end

new text begin (3) a veteran who has left service in the two years preceding the date of license
application, and has confirmation of an honorable or general discharge status.
new text end

new text begin (b) A qualified applicant under paragraph (a) must provide evidence of:
new text end

new text begin (1) a current valid license, certificate, or permit in another state without history of
disciplinary action by a regulatory authority in the other state; and
new text end

new text begin (2) a current criminal background study without a criminal conviction that is
determined by the board to adversely affect the applicant's ability to become licensed.
new text end

new text begin (c) A temporary license issued under this subdivision is effective for one year from
the initial licensure date.
new text end

new text begin (d) During the temporary license period, the individual shall complete the licensed
professional clinical counselor application for licensure.
new text end

new text begin (e) In order to remain licensed after the expiration of the temporary license, an
individual must meet the requirements in subdivisions 1 and 2.
new text end

Sec. 23.

Minnesota Statutes 2014, section 148F.025, is amended by adding a
subdivision to read:


new text begin Subd. 5. new text end

new text begin Expedited and temporary licensing for former and current members
of the military.
new text end

new text begin (a) Applicants seeking licensure according to this subdivision must be:
new text end

new text begin (1) an active duty military member;
new text end

new text begin (2) the spouse of an active duty military member; or
new text end

new text begin (3) a veteran who has left service in the two years preceding the date of license
application, and has confirmation of an honorable or general discharge status.
new text end

new text begin (b) Applicants are required to comply with subdivisions 1 and 4.
new text end

new text begin (c) A qualified applicant under paragraph (a) must provide evidence of:
new text end

new text begin (1) a current valid license, certificate, or permit in another state without history of
disciplinary action by a regulatory authority in the other state; and
new text end

new text begin (2) a current criminal background study without a criminal conviction that is
determined by the board to adversely affect the applicant's ability to become licensed.
new text end

new text begin (d) A temporary license issued under this subdivision is effective for two years from
the initial licensure date.
new text end

new text begin (e) During the temporary license period, the individual shall complete the application
for licensure required in subdivision 1.
new text end

new text begin (f) In order to remain licensed after the expiration of the temporary license, an
individual must meet the requirements in subdivisions 2 and 3.
new text end

Sec. 24.

Minnesota Statutes 2014, section 153.16, subdivision 1, is amended to read:


Subdivision 1.

License requirements.

The board shall issue a license to practice
podiatric medicine to a person who meets the following requirements:

(a) The applicant for a license shall file a written notarized application on forms
provided by the board, showing to the board's satisfaction that the applicant is of good
moral character and satisfies the requirements of this section.

(b) The applicant shall present evidence satisfactory to the board of being a graduate
of a podiatric medical school approved by the board based upon its faculty, curriculum,
facilities, accreditation by a recognized national accrediting organization approved by the
board, and other relevant factors.

(c) The applicant must have received a passing score on each part of the national board
examinations, parts one and two, prepared and graded by the National Board of Podiatric
Medical Examiners. The passing score for each part of the national board examinations,
parts one and two, is as defined by the National Board of Podiatric Medical Examiners.

(d) Applicants graduating after 1986 from a podiatric medical school shall present
evidence of successful completion of a residency program approved by a national
accrediting podiatric medicine organization.

(e) The applicant shall appear in person before the board or its designated
representative to show that the applicant satisfies the requirements of this section,
including knowledge of laws, rules, and ethics pertaining to the practice of podiatric
medicine. The board may establish as internal operating procedures the procedures or
requirements for the applicant's personal presentation.new text begin Upon completion of all other
application requirements, a doctor of podiatric medicine applying for a temporary military
license has six months in which to comply with this subdivision.
new text end

(f) The applicant shall pay a fee established by the board by rule. The fee shall
not be refunded.

(g) The applicant must not have engaged in conduct warranting disciplinary action
against a licensee. If the applicant does not satisfy the requirements of this paragraph,
the board may refuse to issue a license unless it determines that the public will be
protected through issuance of a license with conditions and limitations the board considers
appropriate.

(h) Upon payment of a fee as the board may require, an applicant who fails to pass
an examination and is refused a license is entitled to reexamination within one year of
the board's refusal to issue the license. No more than two reexaminations are allowed
without a new application for a license.

Sec. 25.

Minnesota Statutes 2014, section 153.16, subdivision 4, is amended to read:


Subd. 4.

Temporary military deleted text begin permitdeleted text end new text begin licensenew text end .

deleted text begin The board shall establish a temporary
permit in accordance with section 197.4552. The fee for the temporary military permit is
$250.
deleted text end new text begin (a) The board shall issue an expedited license to practice podiatric medicine to an
applicant who meets the following requirements:
new text end

new text begin (1) is an active duty military member;
new text end

new text begin (2) is the spouse of an active duty military member; or
new text end

new text begin (3) is a veteran who has left service in the two years preceding the date of license
application, and has confirmation of an honorable or general discharge status.
new text end

new text begin (b) A qualified applicant under this subdivision must provide evidence of:
new text end

new text begin (1) a current, valid license in another state without history of disciplinary action by a
regulatory authority in the other state; and
new text end

new text begin (2) a current criminal background study without a criminal conviction that is
determined by the board to adversely affect the applicant's ability to become licensed.
new text end

new text begin (c) The board shall issue a license for up to six months to a doctor of podiatric
medicine eligible for licensure under this subdivision. Doctors of podiatric medicine
licensed in another state who have complied with all other requirements may receive a
temporary license valid for up to six months. No extension is available.
new text end

new text begin (d) A temporary license issued under this subdivision permits a qualified individual
to perform podiatric medicine for a limited length of time as determined by the licensing
board. During the temporary license period, the individual shall complete the full
application procedure and be approved as required by applicable law.
new text end

new text begin (e) The fee for the temporary military license is $250.
new text end

Sec. 26.

Minnesota Statutes 2014, section 154.003, is amended to read:


154.003 FEES.

(a) The fees collected, as required in this chapter, chapter 214, and the rules of the
board, shall be paid to the board. The board shall deposit the fees in the general fund
in the state treasury.

(b) The board shall charge the following fees:

(1) examination and certificate, registered barber, $85;

(2) retake of written examination, registered barber, $10;

(3) examination and certificate, apprentice, $80;

(4) retake of written examination, apprentice, $10;

(5) examination, instructor, $180;

(6) certificate, instructor, $65;

(7) temporary teacher or apprentice permit, $80;

(8) new text begin temporary registered barber, military, $85;
new text end

new text begin (9) temporary barber instructor, military, $180;
new text end

new text begin (10) temporary apprentice barber, military, $80;
new text end

new text begin (11) new text end renewal of registration, registered barber, $80;

deleted text begin (9)deleted text end new text begin (12)new text end renewal of registration, apprentice, $70;

deleted text begin (10)deleted text end new text begin (13)new text end renewal of registration, instructor, $80;

deleted text begin (11)deleted text end new text begin (14)new text end renewal of temporary teacher permit, $65;

deleted text begin (12)deleted text end new text begin (15)new text end student permit, $45;

deleted text begin (13)deleted text end new text begin (16)new text end renewal of student permit, $25;

deleted text begin (14)deleted text end new text begin (17)new text end initial shop registration, $85;

deleted text begin (15)deleted text end new text begin (18)new text end initial school registration, $1,030;

deleted text begin (16)deleted text end new text begin (19)new text end renewal shop registration, $85;

deleted text begin (17)deleted text end new text begin (20)new text end renewal school registration, $280;

deleted text begin (18)deleted text end new text begin (21)new text end restoration of registered barber registration, $95;

deleted text begin (19)deleted text end new text begin (22)new text end restoration of apprentice registration, $90;

deleted text begin (20)deleted text end new text begin (23)new text end restoration of shop registration, $105;

deleted text begin (21)deleted text end new text begin (24)new text end change of ownership or location, $55;

deleted text begin (22)deleted text end new text begin (25)new text end duplicate registration, $40;

deleted text begin (23)deleted text end new text begin (26)new text end home study course, $75;

deleted text begin (24)deleted text end new text begin (27)new text end letter of registration verification, $25; and

deleted text begin (25)deleted text end new text begin (28)new text end reinspection, $100.

Sec. 27.

Minnesota Statutes 2014, section 154.11, subdivision 3, is amended to read:


Subd. 3.

Temporary military deleted text begin licensedeleted text end new text begin permitsnew text end .

new text begin (a) In accordance with section
197.4552,
new text end the board shall deleted text begin establishdeleted text end new text begin issuenew text end a temporary deleted text begin licensedeleted text end new text begin :
new text end

new text begin (1) permitnew text end for new text begin apprentice new text end barbers deleted text begin and masterdeleted text end new text begin ;
new text end

new text begin (2) certificate for registerednew text end barbersnew text begin ;new text end and deleted text begin a temporary permit for apprentices in
accordance with section 197.4552. The fee for a temporary license under this subdivision
for a master barber is $85. The fee for a temporary license under this subdivision for a
barber is $180. The fee for a temporary permit under this subdivision for an apprentice is
$80.
deleted text end

new text begin (3) certificate for registered barber instructors.
new text end

new text begin (b) Fees for temporary military permits and certificates of registration under this
subdivision are listed under section 154.003.
new text end

new text begin (c) Permits or certificates of registration issued under this subdivision are valid
for one year from the date of issuance, after which the individual must complete a full
application as required by section 197.4552.
new text end

Sec. 28.

Minnesota Statutes 2014, section 155A.21, is amended to read:


155A.21 POLICY.

The legislature finds that the health and safety of the people of the state are served
by the licensing of the practice of cosmetology because of new text begin infection control and new text end the use
of chemicalsnew text begin , implementsnew text end , apparatus, and other appliances requiring special skills and
education.

To this end, the public will best be served by vesting these responsibilities in the
Board of Cosmetologist Examiners.

Sec. 29.

Minnesota Statutes 2014, section 155A.23, subdivision 8, is amended to read:


Subd. 8.

Manager.

A "manager" is any person who deleted text begin conducts, operates, or manages
a cosmetology school or salon and who also instructs in or
deleted text end new text begin is a cosmetologist, esthetician,
advanced practice esthetician, or nail technician practitioner, and who has a manager
license and
new text end provides any servicesnew text begin under that licensenew text end , as defined in subdivision 3. deleted text begin A school
manager must maintain an active salon manager's license.
deleted text end

Sec. 30.

Minnesota Statutes 2014, section 155A.23, is amended by adding a
subdivision to read:


new text begin Subd. 8a. new text end

new text begin Mobile salon. new text end

new text begin A "mobile salon" is a salon that is operated in a mobile
vehicle or mobile structure for exclusive use to offer personal services, as defined in
subdivision 3.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017.
new text end

Sec. 31.

Minnesota Statutes 2014, section 155A.23, is amended by adding a
subdivision to read:


new text begin Subd. 14. new text end

new text begin Advanced practice esthetician. new text end

new text begin An "advanced practice esthetician" is a
person who for compensation performs personal services for the cosmetic care of the skin,
including the use of mechanical or electrical skin care apparatuses or appliances that are
used on the epidermal layer of the skin.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2015, except that a license
for an advanced practice esthetician must not be issued prior to January 1, 2018.
new text end

Sec. 32.

Minnesota Statutes 2014, section 155A.23, is amended by adding a
subdivision to read:


new text begin Subd. 15. new text end

new text begin Designated licensed salon manager. new text end

new text begin A "designated licensed salon
manager" is a manager designated by a salon owner and registered with the board, who is
responsible with the salon owner for salon and practitioner compliance.
new text end

Sec. 33.

Minnesota Statutes 2014, section 155A.23, is amended by adding a
subdivision to read:


new text begin Subd. 16. new text end

new text begin School manager. new text end

new text begin A "school manager" is a cosmetologist who is a salon
manager and who has a school manager license. A school manager must maintain an
active salon manager's license.
new text end

Sec. 34.

Minnesota Statutes 2014, section 155A.23, is amended by adding a
subdivision to read:


new text begin Subd. 17. new text end

new text begin Designated school manager. new text end

new text begin A "designated school manager" is a school
manager who is designated by the school owner and registered with the board, who is
responsible with the school owner for school and instructor compliance.
new text end

Sec. 35.

Minnesota Statutes 2014, section 155A.23, is amended by adding a
subdivision to read:


new text begin Subd. 18. new text end

new text begin Practitioner. new text end

new text begin A "practitioner" is any person licensed in the practice of
cosmetology, esthiology, or nail technology services.
new text end

Sec. 36.

Minnesota Statutes 2014, section 155A.24, subdivision 2, is amended to read:


Subd. 2.

Hiring and assignment of employees.

The board has the authority to hire
qualified personnel in the classified service to assist in administering the law, including
those for the testing and licensing of applicants deleted text begin and the continuing inspections required.
All staff must receive periodic training to improve and maintain customer service skills
deleted text end new text begin ,
conducting inspections, and complaint investigations
new text end .

Sec. 37.

Minnesota Statutes 2014, section 155A.25, subdivision 1a, is amended to read:


Subd. 1a.

Schedule.

new text begin (a) new text end The deleted text begin feedeleted text end schedule for deleted text begin licenseesdeleted text end new text begin fees and penaltiesnew text end is as
deleted text begin follows:deleted text end new text begin provided in this subdivisionnew text end new text begin .
new text end

deleted text begin (a)deleted text end new text begin (b)new text end Three-year license feesnew text begin are as followsnew text end :

(1) deleted text begin cosmetologist, nail technician, or estheticiandeleted text end new text begin $195 initial practitioner, manager,
or instructor license, divided as follows
new text end :

(i) deleted text begin $90deleted text end new text begin $155 new text end for each initial license deleted text begin and a $40 nonrefundable initial license
application fee, for a total of $130
deleted text end ; and

(ii) deleted text begin $60 for each renewal and a $15 nonrefundable renewal application fee, for a total
of $75
deleted text end new text begin $40 for each initial license application feenew text end ;

(2) deleted text begin instructor or managerdeleted text end new text begin $115 renewal of practitioner license, divided as followsnew text end :

(i) deleted text begin $120deleted text end new text begin $100new text end for each deleted text begin initialdeleted text end new text begin renewalnew text end license deleted text begin and a $40 nonrefundable initial license
application fee, for a total of $160
deleted text end ; and

(ii) deleted text begin $90deleted text end new text begin $15new text end for each deleted text begin renewal and a $15 nonrefundabledeleted text end renewal application feedeleted text begin ,
for a total of $105
deleted text end ;

(3) new text begin $145 renewal of manager or instructor license, divided as follows:
new text end

new text begin (i) $130 for each renewal license; and
new text end

new text begin (ii) $15 for each renewal application fee;
new text end

new text begin (4) new text end new text begin $350 initial new text end salonnew text begin license, divided as followsnew text end :

(i) deleted text begin $130deleted text end new text begin $250new text end for each initial license deleted text begin and a $100 nonrefundable initial license
application fee, for a total of $230
deleted text end ; and

(ii) $100 for each deleted text begin renewal and a $50 nonrefundable renewaldeleted text end new text begin initial license
new text end application feedeleted text begin , for a total of $150deleted text end ; deleted text begin and
deleted text end

deleted text begin (4) schooldeleted text end new text begin (5) $225 renewal of salon license, divided as followsnew text end :

(i) deleted text begin $1,500deleted text end new text begin $175new text end for each deleted text begin initial license and a $1,000 nonrefundable initial license
application fee, for a total of $2,500
deleted text end new text begin renewalnew text end ; and

(ii) deleted text begin $1,500deleted text end new text begin $50new text end for each deleted text begin renewal and a $500 nonrefundabledeleted text end renewal application
feedeleted text begin , for a total of $2,000deleted text end new text begin ;
new text end

new text begin (6) $4,000 initial school license, divided as follows:
new text end

new text begin (i) $3,000 for each initial license; and
new text end

new text begin (ii) $1,000 for each initial license application fee; and
new text end

new text begin (7) $2,500 renewal of school license, divided as follows:
new text end

new text begin (i) $2,000 for each renewal; and
new text end

new text begin (ii) $500 for each renewal application feenew text end .

deleted text begin (b)deleted text end new text begin (c)new text end Penaltiesnew text begin may be assessed in amounts up to the followingnew text end :

(1) reinspection fee, deleted text begin variabledeleted text end new text begin $150new text end ;

(2) manager and owner with lapsed practitioner found on inspection, $150 each;

(3) lapsed practitioner or instructor found on inspection, $200;

(4) lapsed salon found on inspection, $500;

(5) lapsed school found on inspection, $1,000;

(6) failure to display current license, $100;

(7) failure to dispose of single-use equipment, implements, or materials as provided
under section 155A.355, subdivision 1, $500;

(8) use of prohibited razor-type callus shavers, rasps, or graters under section
155A.355, subdivision 2, $500;

(9) performing nail or cosmetology services in esthetician salon, or performing
esthetician or cosmetology services in a nail salon, $500;

(10) owner and manager allowing an operator to work as an independent contractor,
$200;

(11) operator working as an independent contractor, $100;

(12) refusal or failure to cooperate with an inspection, $500;

(13) deleted text begin expired cosmetologist, nail technician, esthetician, manager, school manager,
and instructor license
deleted text end new text begin practitioner late renewal feenew text end , $45; and

(14) deleted text begin expireddeleted text end salon or school deleted text begin licensedeleted text end new text begin late renewal feenew text end , $50.

deleted text begin (c)deleted text end new text begin (d)new text end Administrative feesnew text begin are as followsnew text end :

(1) deleted text begin certificate of identification, $20deleted text end new text begin homebound service permit, $50 three-year feenew text end ;

(2) name change, $20;

(3) deleted text begin letter of license verificationdeleted text end new text begin certification of licensurenew text end , $30new text begin eachnew text end ;

(4) duplicate license, $20;

(5) deleted text begin processing fee, $10;
deleted text end

deleted text begin (6)deleted text end special event permit, $75 per year; deleted text begin and
deleted text end

deleted text begin (7)deleted text end new text begin (6)new text end registration of hair braiders, $20 per yearnew text begin ;
new text end

new text begin (7) $100 for each temporary military license for a cosmetologist, nail technician,
esthetician, or advanced practice esthetician one-year fee;
new text end

new text begin (8) expedited initial individual license, $150;
new text end

new text begin (9) expedited initial salon license, $300;
new text end

new text begin (10) instructor continuing education provider approval, $150 each year; and
new text end

new text begin (11) practitioner continuing education provider approval, $150 each yearnew text end .

Sec. 38.

Minnesota Statutes 2014, section 155A.25, subdivision 5, is amended to read:


Subd. 5.

Board must approve or deny application; timeline.

Within 15 working
days of receiving a complete application and the required fees deleted text begin for an initial or renewal
deleted text end new text begin to apply for or renew an new text end individual or salon licensenew text begin that is not an expedited license or a
military license
new text end , the board must (1) deleted text begin either grant or deny the applicationdeleted text end new text begin issue the licensenew text end ,
(2) deleted text begin issuedeleted text end new text begin denynew text end the license deleted text begin ordeleted text end new text begin andnew text end notify the applicant of the denial, or (3) deleted text begin issue a temporary
license to an applicant for whom no record exists regarding: (i) a complaint filed with the
board against the applicant; or (ii) a negative action by the board against the applicant
deleted text end new text begin if
the conditions in subdivision 6 are met, notify the applicant that the board must conduct
additional review
new text end .

Sec. 39.

Minnesota Statutes 2014, section 155A.25, is amended by adding a
subdivision to read:


new text begin Subd. 6. new text end

new text begin Additional review for certain licenses. new text end

new text begin If an application contains
discrepancies, the applicant is the subject of a complaint investigation, or the applicant
has pending disciplinary actions before the board, the board will comply with the time
limits prescribed in section 15.992 to process the application.
new text end

Sec. 40.

Minnesota Statutes 2014, section 155A.25, is amended by adding a
subdivision to read:


new text begin Subd. 7. new text end

new text begin Temporary military license or expedited license. new text end

new text begin Within five business
days of receiving a completed application and the required fees for an individual or salon
license that meets requirements for an expedited license or a temporary military license,
the board must (1) issue the license, (2) deny the license and notify the applicant of the
denial, or (3) notify the applicant that the board must conduct additional review if the
application meets the conditions in subdivision 8.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2015, except that an
expedited license must not be issued prior to January 1, 2016.
new text end

Sec. 41.

Minnesota Statutes 2014, section 155A.25, is amended by adding a
subdivision to read:


new text begin Subd. 8. new text end

new text begin Additional review for certain temporary military license or expedited
license.
new text end

new text begin If an application under subdivision 7 contains discrepancies, the applicant is the
subject of a complaint investigation, or the applicant has pending disciplinary actions
before the board, the board will process the application according to the time limits in
section 15.992.
new text end

Sec. 42.

Minnesota Statutes 2014, section 155A.27, subdivision 1, is amended to read:


Subdivision 1.

Licensing.

deleted text begin Individual licensing shall be required for persons seeking
deleted text end new text begin A person must hold an individual license new text end to practice in the state as a cosmetologist,
esthetician, nail technician, new text begin advanced practice esthetician, new text end manager, or instructor.

Sec. 43.

Minnesota Statutes 2014, section 155A.27, subdivision 2, is amended to read:


Subd. 2.

Qualifications.

Qualifications for licensing in each classification shall
be determined by the board and established by rule, and shall include educational
and experiential prerequisites. The rules shall require a demonstrated knowledge of
procedures necessary to protect the health new text begin and safety new text end of the practitioner and the consumer
of cosmetology services, including but not limited to deleted text begin chemical applicationsdeleted text end new text begin infection
control, use of implements, apparatuses and other appliances, and the use of chemicals
new text end .

Sec. 44.

Minnesota Statutes 2014, section 155A.27, subdivision 5a, is amended to read:


Subd. 5a.

Temporary military license.

The board shall establish temporary
licenses for a cosmetologist, nail technician, and esthetician in accordance with section
197.4552. deleted text begin The fee for a temporary license under this subdivision for a cosmetologist, nail
technician, or esthetician is $100.
deleted text end

Sec. 45.

Minnesota Statutes 2014, section 155A.271, is amended to read:


155A.271 CONTINUING EDUCATION REQUIREMENTS.

Subdivision 1.

Continuing education requirements.

new text begin (a) new text end Effective August 1, 2014,
to qualify for license renewal under this chapter as an individual cosmetologist, nail
technician, esthetician, new text begin advanced practice esthetician, new text end or salon manager, the applicant
must attest to the completion of four hours of continuing education credits from an
accredited school or a professional association of cosmetology during the three years
prior to the applicant's renewal date. One credit hour of the requirement must include
instruction pertaining to state laws and rules governing the practice of cosmetology. Three
credit hours must include instruction pertaining to health, safety, and sanitation matters
consistent with the United States Department of Labor's Occupational Safety and Health
Administration standards applicable to the practice of cosmetology, or other applicable
federal health, sanitation, and safety standards, and must be regularly updated so as to
incorporate newly developed standards and accepted professional best practices. Credit
hours earned are valid for three years and may be applied simultaneously to all individual
licenses held by a licensee under this chapter. deleted text begin This subdivision does not apply to
instructors or inactive licenses.
deleted text end

new text begin (b) Effective August 1, 2017, in addition to the hours of continuing education credits
required under paragraph (a), to qualify for license renewal under this chapter as an
individual cosmetologist, nail technician, esthetician, advanced practice esthetician, or
salon manager, the applicant must also attest to the completion of one four-hour continuing
education course from a continuing education provider based on any or all of the following:
new text end

new text begin (1) product chemistry and chemistry interaction;
new text end

new text begin (2) proper use of machines and instruments;
new text end

new text begin (3) business management and human relations; or
new text end

new text begin (4) techniques relevant to the type of license held.
new text end

new text begin Credits must be completed during the three years prior to the applicant's renewal date and
may be applied simultaneously to other individual licenses held as applicable, except
that credits completed under this paragraph must not duplicate credits completed under
paragraph (a).
new text end

new text begin (c) Paragraphs (a) and (b) do not apply to an instructor license, a school manager
license, or an inactive license.
new text end

new text begin Subd. 1a. new text end

new text begin Product sales or marketing prohibited. new text end

new text begin The marketing or sale of
any product is prohibited during a continuing education class receiving credit under
subdivision 1.
new text end

Subd. 2.

deleted text begin Schools and professional associationsdeleted text end new text begin Continuing education providersnew text end .

(a) Only a board-licensed school of cosmetology, a postsecondary institution as defined in
section 136A.103, paragraph (a), or a board-recognized professional association new text begin organized
under chapter 317A
new text end may offer continuing education curriculum for credit under deleted text begin this
section.
deleted text end new text begin subdivision 1, paragraph (a). Continuing education curriculum under subdivision
1, paragraph (b), may be offered by a:
new text end

new text begin (1) board-licensed school of cosmetology;
new text end

new text begin (2) board-recognized professional association organized under chapter 317A; or
new text end

new text begin (3) board-licensed salon.
new text end

The school and professional association may offer online and independent study
options to achieve maximum involvement of licensees deleted text begin and isdeleted text end new text begin . Continuing education
providers are
new text end encouraged to offer classes available in foreign language formats.

(b) Board deleted text begin recognitiondeleted text end new text begin authorizationnew text end of a deleted text begin professional associationdeleted text end new text begin continuing
education provider under paragraph (a)
new text end is valid for deleted text begin three yearsdeleted text end new text begin one calendar yearnew text end and is
contingent upon submission and preapproval of the deleted text begin general curriculumdeleted text end new text begin lesson plan or
plans with learning objectives for the class
new text end to be offerednew text begin and the payment of the application
fee in section 155A.25, subdivision 1a, paragraph (d), clause (11)
new text end . The board may revoke
deleted text begin recognitiondeleted text end new text begin authorization of a continuing education providernew text end at any time for just causenew text begin and
the board may demand return of documents required under subdivision 3
new text end . deleted text begin The professional
association offering continuing education must be organized under chapter 317A.
deleted text end

Subd. 3.

Proof of credits.

The deleted text begin school or professional associationdeleted text end new text begin continuing
education provider
new text end shall provide to licensees who attend a class a receipt to prove
completion of the class. Licensees shall retain proof of their continuing education credits
for one year beyond the credit's expiration. The deleted text begin school or professional association
deleted text end new text begin continuing education providernew text end shall retain documentation of all licensees successfully
completing a class and the licensee's credit hours for five years.

Subd. 4.

Audit.

The board shall conduct random audits of active licensees
periodically to ensure compliance with continuing education requirements. To initiate
an audit, the board shall notify an active licensee of the audit and request proof of
credits earned during a specified period. The licensee must provide the requested proof
to the board within 30 days of an audit notice. The board may request that a school or
professional association verify a licensee's credits. The deleted text begin school or professional association
deleted text end new text begin continuing education provider new text end must furnish verification, or a written statement that the
credits are not verified, within 15 days of the board's request for verification. If the board
determines that a licensee has failed to provide proof of necessary credits earned during
the specified time, the board may revoke the individual's license and may deem the
individual a lapsed practitioner subject to penalty under section 155A.25 or 155A.36.

new text begin EFFECTIVE DATE. new text end

new text begin Subdivision 1 is effective August 1, 2017. Subdivision 1a is
effective the day following final enactment. Subdivisions 2 to 4 are effective July 1, 2015.
new text end

Sec. 46.

Minnesota Statutes 2014, section 155A.29, subdivision 1, is amended to read:


Subdivision 1.

Licensing.

deleted text begin Anydeleted text end new text begin Anew text end person deleted text begin who offersdeleted text end new text begin must not offernew text end cosmetology
services for compensation deleted text begin in this state shall be (1) licensed as a salon if not employed by
another licensed salon or (2) employed as an esthetician or cosmetologist in connection
with medical care in relation to esthiology in the office of a licensed physician
deleted text end new text begin unless the
services are provided by a licensee in a licensed salon or as otherwise provided in this
section. Each salon must be licensed as a cosmetology salon, a nail salon, esthetician
salon, or advanced practice esthetician salon. A salon may hold more than one type of
salon license
new text end .

Sec. 47.

Minnesota Statutes 2014, section 155A.29, subdivision 2, is amended to read:


Subd. 2.

Requirements.

deleted text begin (a)deleted text end The conditions and process by which a salon is licensed
shall be established by the board by rule. In addition to those requirements, no license
shall be issued unless the board first determines that the conditions in clauses (1) to (5)
have been satisfied:

(1) compliance with all local and state laws, particularly relating to matters of
sanitation, health, and safety;

(2) the employment of a manager, as defined in section 155A.23, subdivision 8;

(3) if applicable, evidence of compliance withnew text begin workers' compensationnew text end section
176.182; and

(4) evidence of continued professional liability insurance coverage of at least
$25,000 for each claim and $50,000 total coverage for each policy year for each operator.

deleted text begin (b) A licensed esthetician or nail technician who complies with the health, safety,
sanitation, inspection, and insurance rules promulgated by the board to operate a salon
solely for the performance of those personal services defined in section 155A.23,
subdivision 5
, in the case of an esthetician, or subdivision 7, in the case of a nail technician.
deleted text end

Sec. 48.

Minnesota Statutes 2014, section 155A.29, is amended by adding a
subdivision to read:


new text begin Subd. 2a. new text end

new text begin Requirements for mobile salon. new text end

new text begin In addition to complying with the
requirements for a salon in subdivision 2, the holder of a salon license for a mobile salon
must:
new text end

new text begin (1) maintain a permanent business address; and
new text end

new text begin (2) notify the board of the locations and schedule of operation of a mobile salon.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017.
new text end

Sec. 49.

Minnesota Statutes 2014, section 155A.30, subdivision 5, is amended to read:


Subd. 5.

Conditions precedent to issuance.

A license must not be issued unless the
board first determines that the applicant has met the requirements in clauses (1) to (8)deleted text begin .deleted text end new text begin :
new text end

(1) the applicant must have a sound financial condition with sufficient resources
available to meet the school's financial obligations; to refund all tuition and other charges,
within a reasonable period of time, in the event of dissolution of the school or in the event
of any justifiable claims for refund against the school; to provide adequate service to its
students and prospective students; and to maintain proper use and support of the schooldeleted text begin .deleted text end new text begin ;
new text end

(2) the applicant must have satisfactory training facilities with sufficient tools and
equipment and the necessary number of work stations to adequately train the students
currently enrolled, and those proposed to be enrolleddeleted text begin .deleted text end new text begin ;
new text end

(3) the applicant must employ a sufficient number of qualified instructors trained by
experience and education to give the training contemplateddeleted text begin .deleted text end new text begin ;
new text end

(4) the premises and conditions under which the students work and study must be
sanitary, healthful, and safe according to modern standardsdeleted text begin .deleted text end new text begin ;
new text end

(5) each occupational course or program of instruction or study must be of such
quality and content as to provide education and training deleted text begin whichdeleted text end new text begin thatnew text end will adequately prepare
enrolled students for testing, licensing, and entry level positions as a cosmetologist,
esthetician, or nail techniciandeleted text begin .deleted text end new text begin ;
new text end

(6) the school must have coverage by professional liability insurance of at least
$25,000 per incident and an accumulation of $150,000 for each premium yeardeleted text begin .deleted text end new text begin ;
new text end

(7) the applicant shall provide evidence of the school's compliance with section
176.182deleted text begin .deleted text end new text begin ;
new text end

(8) the applicant, except the state and its political subdivisions as described in
section 471.617, subdivision 1, shall file with the board a continuous corporate surety
bond in the amount of $10,000, conditioned upon the faithful performance of all contracts
and agreements with students made by the applicant. The bond shall run to the state of
Minnesota and to any person who may have a cause of action against the applicant arising
at any time after the bond is filed and before it is canceled for breach of any contract or
agreement made by the applicant with any student. The aggregate liability of the surety for
all breaches of the conditions of the bond shall not exceed $10,000. The surety of the bond
may cancel it upon giving 60 days' notice in writing to the board and shall be relieved of
liability for any breach of condition occurring after the effective date of cancellationnew text begin ; and
new text end

new text begin (9) the applicant must, at all times during the term of the license, employ a
designated licensed school manager who maintains a cosmetology salon manager license
new text end .

Sec. 50.

Minnesota Statutes 2014, section 155A.30, subdivision 10, is amended to read:


Subd. 10.

Discrimination prohibited.

deleted text begin Nodeleted text end new text begin Eachnew text end schooldeleted text begin , duly approved under
sections 155A.21 to 155A.36, shall refuse to teach any student, otherwise qualified, on
account of race, sex, creed, color, citizenship, national origin, or sexual preference
deleted text end new text begin must
comply with the Minnesota Human Rights Act under chapter 363A
new text end .

Sec. 51.

Minnesota Statutes 2014, section 161.1419, subdivision 8, is amended to read:


Subd. 8.

Expiration.

The commission expires on June 30, deleted text begin 2016deleted text end new text begin 2020new text end .

Sec. 52.

Minnesota Statutes 2014, section 211B.37, is amended to read:


211B.37 COSTS ASSESSED.

Except as otherwise provided in section 211B.36, subdivision 3, the chief
administrative law judge shall assess the cost of considering complaints filed under section
211B.32 as provided in this section. Costs of complaints relating to a statewide ballot
question or an election for a statewide or legislative office must be deleted text begin assessed against the
appropriation from the general fund to the general account of the state elections campaign
account in section 10A.31, subdivision 4
deleted text end new text begin paid from appropriations to the Office of
Administrative Hearings for this purpose
new text end . Costs of complaints relating to any other ballot
question or elective office must be paid from appropriations to the office for this purpose.

Sec. 53.

Minnesota Statutes 2014, section 272.484, is amended to read:


272.484 FEES.

The fee for filing and indexing each notice of lien or certificate or notice affecting
the lien is:

(1) for a lien, certificate of discharge or subordination, and for all other notices,
including a certificate of release or nonattachment filed with the secretary of state, the fee
provided by section 336.9-525, except that the filing fee charged to the district directors
of internal revenue for filing a federal tax lien is $15 deleted text begin for up to two debtor names and
$15 for each additional name
deleted text end ;new text begin and
new text end

(2) for a lien, certificate of discharge or subordination, and for all other notices,
including a certificate of release or nonattachment filed with the county recorder, the fee
for filing a real estate mortgage in the county where filed.

The officer shall bill the district directors of internal revenue or other appropriate
federal officials on a monthly basis for fees for documents filed by them.

Sec. 54.

Minnesota Statutes 2014, section 303.19, is amended to read:


303.19 REINSTATEMENT.

Subdivision 1.

deleted text begin Applicationdeleted text end new text begin Required filingnew text end .

Any foreign corporation whose
certificate of authority to do business in this state shall have been revoked or canceled may
deleted text begin filedeleted text end new text begin reinstate that authority by filing an annual renewal and the fee required by subdivision
2
new text end with the secretary of state deleted text begin an application for reinstatement. Such application shall be
on forms prescribed by the secretary of state, shall contain all the matters required to be
set forth in an original application for a certificate of authority, and such other pertinent
information as may be required by the secretary of state
deleted text end .new text begin If any of the information in the
original application for authority has changed, the foreign corporation must also file an
amended certificate setting forth the currently accurate information, with the fee required
by section 303.21, subdivision 3.
new text end

Subd. 2.

Fee.

If the certificate of authority was revoked by the secretary of state
pursuant to section 303.17, deleted text begin the corporation shall pay to the commissioner of management
and budget $250 before it may be reinstated.
deleted text end

deleted text begin If the certificate of authority was canceleddeleted text end new text begin ornew text end by a judgment pursuant to section
303.18, the corporation shall pay to the commissioner of management and budget $500
before it may be reinstated.

Subd. 3.

Certificate of reinstatement.

Upon the filing of the application and upon
payment of deleted text begin all penalties, fees and charges required by law, not including an initial license
fee or additional license fees to the extent that they have previously been paid by the
corporation
deleted text end new text begin the fees imposed by this sectionnew text end , the secretary of state shall reinstate the
license of the corporation.

Sec. 55.

Minnesota Statutes 2014, section 304A.301, subdivision 1, is amended to read:


Subdivision 1.

Report required.

deleted text begin No later than 90 days after the conclusion of
each calendar year
deleted text end new text begin Before each April 1new text end , a public benefit corporation must deliver to the
secretary of state for filing an annual benefit report covering the 12-month period ending
on December 31 of deleted text begin thatdeleted text end new text begin the previousnew text end year and pay a fee of $35 to the secretary of state.
The annual benefit report must state the name of the public benefit corporation, be signed
by the public benefit corporation's chief executive officer not more than 30 days before the
report is delivered to the secretary of state for filing, and must be current when signed.

Sec. 56.

Minnesota Statutes 2014, section 304A.301, subdivision 5, is amended to read:


Subd. 5.

Failure to file an annual benefit report.

If a public benefit corporation
fails to file deleted text begin andeleted text end new text begin , before April 1 of any calendar year, thenew text end annual benefit report deleted text begin in accordance
with this section within 90 days of the date on which an annual benefit report is due
deleted text end new text begin required by this sectionnew text end , the secretary of state shall revoke the corporation's status as a
public benefit corporation under this chapter and must notify the public benefit corporation
of the revocation using the information provided by the corporation pursuant to section
5.002 or 5.34 or provided in the articles.

Sec. 57.

Minnesota Statutes 2014, section 304A.301, subdivision 6, is amended to read:


Subd. 6.

Effects of revocation; reinstatement.

(a) A public benefit corporation
that has lost its public benefit corporation status for failure to timely file an annual benefit
report new text begin or by terminating that status pursuant to section 304A.103 new text end is not entitled to the
benefits afforded to a public benefit corporation under this chapter as of the date of
revocationnew text begin or termination and must amend the articles of incorporation to reflect a name
compliant with section 302A.115, but which does not include the corporate designation
provided for in section 304A.101, subdivision 2
new text end .

(b) Within 30 days of issuance of revocation of public benefit corporation status by
the secretary of state, filing a renewal complying with this section and a $500 fee with
the secretary of state will reinstate the corporation as a public benefit corporation under
this chapter as of the date of revocation.

Sec. 58.

Minnesota Statutes 2014, section 304A.301, is amended by adding a
subdivision to read:


new text begin Subd. 8. new text end

new text begin Failure to change corporate name. new text end

new text begin The duration of a corporation that has
had public benefit status terminated or revoked and which fails to change the corporate
name as provided in subdivision 6 expires automatically 30 days after termination or
revocation of the public benefit corporation status.
new text end

Sec. 59.

Minnesota Statutes 2014, section 326A.01, subdivision 2, is amended to read:


Subd. 2.

Attest.

"Attest" means deleted text begin to providedeleted text end new text begin providing any ofnew text end the following deleted text begin financial
statement
deleted text end services:

(1) an audit or other engagement performed in accordance with the Statements on
Auditing Standards (SAS);

(2) a review of a financial statement performed in accordance with the Statements on
Standards for Accounting and Review Services (SSARS);

(3) an examination of prospective financial information performed in accordance
with the Statements on Standards for Attestation Engagements (SSAE); deleted text begin and
deleted text end

(4) deleted text begin anydeleted text end new text begin annew text end engagement performed in accordance with deleted text begin auditing and relateddeleted text end new text begin the
new text end standards of the Public Company Accounting Oversight Boardnew text begin (PCAOB); and
new text end

new text begin (5) an examination, review, or agreed-upon procedures engagement performed in
accordance with SSAE, other than an examination described in clause (3)
new text end .

Sec. 60.

Minnesota Statutes 2014, section 326A.01, subdivision 12, is amended to read:


Subd. 12.

Peer review.

"Peer review" means an independent study, appraisal, or
review of one or more aspects of the professional work of a licensee new text begin or CPA firm new text end that
issues attest or compilation reports, or the professional work of a person registered under
section 326A.06, paragraph (b), by persons who are not affiliated with the licensee new text begin or
CPA firm
new text end being reviewed.

Sec. 61.

Minnesota Statutes 2014, section 326A.01, subdivision 13a, is amended to read:


Subd. 13a.

Principal place of business.

"Principal place of business" means the
office location designated by the licensee for purposes of substantial equivalency and
reciprocity deleted text begin in this state and in other statesdeleted text end .

Sec. 62.

Minnesota Statutes 2014, section 326A.01, subdivision 15, is amended to read:


Subd. 15.

Report.

"Report," when used with reference to deleted text begin financial statementsdeleted text end new text begin an
attest or compilation service
new text end , means an opinion, report, or other form of language that
states or implies assurance as to the reliability of deleted text begin anydeleted text end new text begin the attested information or compiled
new text end financial statements and that also includes or is accompanied by a statement or implication
that the person or firm issuing it has special knowledge or competence in accounting or
auditing. Such a statement or implication of special knowledge or competence may arise
from use by the issuer of the report of names or titles indicating that the person or firm is an
accountant or auditor, or from the language of the report itself. The term "report" includes
any form of language that disclaims an opinion when the form of language is conventionally
understood to imply any positive assurance as to the reliability of the new text begin attested information
or compiled
new text end financial statements referred to or special competence on the part of the person
or firm issuing the language. It includes any other form of language that is conventionally
understood to imply such assurance or such special knowledge or competence.

Sec. 63.

Minnesota Statutes 2014, section 326A.01, subdivision 16, is amended to read:


Subd. 16.

State.

"State" means any state of the United States, the District of
Columbia, Puerto Rico, the U.S. Virgin Islands, new text begin the Commonwealth of the Northern
Mariana Islands,
new text end and Guam; except that "this state" means the state of Minnesota.

Sec. 64.

Minnesota Statutes 2014, section 326A.02, subdivision 3, is amended to read:


Subd. 3.

Officers; proceedings.

The board shall elect one of its deleted text begin numberdeleted text end new text begin members
new text end as chair, another as vice-chair, and another as secretary and treasurer. The officers shall
hold their respective offices for a term of one year and until their successors are elected.
The affirmative vote of a majority of the qualified members of the board, or a majority of
a quorum of the board at any meeting duly called, is considered the action of the board.
The board shall meet at such times and places as may be fixed by the board. Meetings
of the board are subject to chapter 13D. A majority of the board members then in office
constitutes a quorum at any meeting duly called. The board shall retain or arrange for the
retention of all applications and all documents under oath that are filed with the board and
also records of its proceedings, and it shall maintain a registry of the names and addresses
of all licensees and registrants under this chapter. In any proceeding in court, civil or
criminal, arising out of or founded upon any provision of this chapter, copies of records of
the proceeding certified as true copies by the board chair or executive director shall be
admissible in evidence as tending to prove the contents of the records.

Sec. 65.

Minnesota Statutes 2014, section 326A.02, subdivision 5, is amended to read:


Subd. 5.

Rules.

The board may adopt rules governing its administration and
enforcement of this chapter and the conduct of licensees and persons registered under
section 326A.06, paragraph (b), including:

(1) rules governing the board's meetings and the conduct of its business;

(2) rules of procedure governing the conduct of investigations and hearings and
discipline by the board;

(3) rules specifying the educational and experience qualifications required for the
issuance of certificates and the continuing professional education required for renewal
of certificates;

(4) rules of professional conduct directed to controlling the quality and probity
of services by licensees, and dealing among other things with independence, integrity,
and objectivity; competence and technical standards; and responsibilities to the public
and to clients;

(5) rules governing the professional standards applicable to licensees including
adoption of the standards specified in section 326A.01, subdivision 2, and as developed
for general application by recognized national accountancy organizations such as the
American Institute of Certified Public Accountants or the Public Company Accounting
Oversight Board;

new text begin (6) rules that incorporate by reference the standards for attesting listed in section
326A.01, subdivision 2, that are consistent with the standards of general applicability
recognized by national accountancy organizations, including the American Institute of
Certified Public Accountants and the Public Company Accounting Oversight Board;
new text end

deleted text begin (6)deleted text end new text begin (7)new text end rules governing the manner and circumstances of use of the titles "certified
public accountant," "CPA," "registered accounting practitioner," and "RAP";

deleted text begin (7)deleted text end new text begin (8)new text end rules regarding peer review that may be required to be performed under
provisions of this chapter;

deleted text begin (8)deleted text end new text begin (9)new text end rules on substantial equivalence to implement section 326A.14;

deleted text begin (9)deleted text end new text begin (10)new text end rules regarding the conduct of the certified public accountant examination;

deleted text begin (10)deleted text end new text begin (11)new text end rules regarding the issuance and renewals of certificates, permits, and
registrations;

deleted text begin (11)deleted text end new text begin (12)new text end rules regarding transition provisions to implement this chapter;

deleted text begin (12)deleted text end new text begin (13)new text end rules specifying the educational and experience qualifications for
registration, rules of professional conduct, rules regarding peer review, rules governing
standards for providing services, and rules regarding the conduct and content of
examination for those persons registered under section 326A.06, paragraph (b);

deleted text begin (13)deleted text end new text begin (14)new text end rules regarding fees for examinations, certificate issuance and renewal,
firm permits, registrations under section 326A.06, paragraph (b), notifications made under
section 326A.14, and late processing fees; and

deleted text begin (14)deleted text end new text begin (15)new text end upon any change to this chapter, if the board determines a change in
Minnesota Rules is required, the board may initiate the expedited process under section
14.389 up to one year after the effective date of the change to this chapter.

Sec. 66.

Minnesota Statutes 2014, section 326A.05, subdivision 1, is amended to read:


Subdivision 1.

General.

The board shall grant or renew permits to practice as
a CPA firm to entities that make application and demonstrate their qualifications in
accordance with this section.

(a) The following must hold a permit issued under this section:

(1) any firm with an office in this state performing attest services as defined in
section 326A.01, subdivision 2;

(2) to the extent required by section 326A.10, paragraph (k), any firm with an office
in this state performing compilation services as defined in section 326A.01, subdivision 6;

(3) any firm with an office in this state that uses the title "CPA" or "CPA firm"; or

(4) any firm that does not have an office in this state but performs attest services
as described in section 326A.01, subdivision 2, paragraph (1), (3), or (4), for a client
having its headquarters in this state.

(b) A firm possessing a valid permit from another state which does not have an office
in this state may perform services described in section 326A.01, subdivision 2, clause (2)
new text begin or (5)new text end , or subdivision 6, for a client having its headquarters in this state and may use the
title "CPA" or "CPA firm" without a permit issued under this section only if:

(1) it has the qualifications described in subdivision 3, paragraph (b);

(2) as a condition to the renewal of the firm's permit issued by the other state, that
state requires a peer review which contains the requirements equivalent to subdivision 8,
paragraphs (a) and (e); and

(3) it performs the services through an individual who has been granted practice
privileges under section 326A.14.

(c) A firm possessing a valid permit from another state that does not have an office
in this state and which is not subject to the requirements of paragraph (a), clause (4), or
(b), may perform other professional services while using the title "CPA" or "CPA firm" in
this state without a permit issued under this section only if the firm:

(1) has the qualifications described in subdivision 3, paragraph (b);

(2) performs the services through an individual who has been granted practice
privileges under section 326A.14; and

(3) can lawfully perform the services in the state where the individuals with practice
privileges have their principal place of business.

Sec. 67.

Minnesota Statutes 2014, section 326A.05, subdivision 3, is amended to read:


Subd. 3.

Qualifications.

(a) An applicant for initial issuance or renewal of a permit
to practice under this section shall comply with the requirements in this subdivision.

(b) Notwithstanding chapter 319B or any other provision of law, a simple majority
of the ownership of the firm, in terms of financial interests and voting rights of all partners,
officers, shareholders, members, or managers, must belong to holders of certificates who
are licensed in some state, and the partners, officers, shareholders, members, or managers,
whose principal place of business is in this state, and who perform professional services in
this state, must hold valid certificates issued under section 326A.04 or the corresponding
provision of prior law. Although firms may include nonlicensee owners, the firm and
its ownership must comply with rules adopted by the board. The firm shall register all
nonlicensee owners with the state board as set forth by rule. An individual who has been
granted practice privileges under section 326A.14 and who performs services for which
a firm permit is required under section 326A.14, subdivision 1, paragraph (d), is not
required to obtain a certificate from the board under section 326A.04.

(c) A CPA firm may include nonlicensee owners provided that:

(1) the firm designates a licensee of this state, or in the case of a firm that must
have a permit according to section 326A.14, subdivision 1, paragraph (d), a licensee of
another state who meets the requirements in section 326A.14, subdivision 1, paragraph
(a) or (b), who is responsible for the proper registration of the firm and identifies that
individual to the board;

(2) all nonlicensee owners are persons of good moral character and are active
individual participants in the CPA firm or affiliated entities; and

(3) the firm complies with other requirements imposed by the board in rule.

(d) An individual licensee and any individual granted practice privileges under
section 326A.14 who is responsible for supervising attest or compilation services and
signs or authorizes someone to sign the accountant's report deleted text begin on the financial statements
deleted text end on behalf of the firm, shall meet the competency requirements set out in the professional
standards for such services.

(e) An individual licensee and any individual granted practice privileges under section
326A.14 who signs or authorizes someone to sign the accountants' report deleted text begin on the financial
statements
deleted text end on behalf of the firm shall meet the competency requirement of paragraph (d).

Sec. 68.

Minnesota Statutes 2014, section 326A.08, subdivision 7, is amended to read:


Subd. 7.

Violation; penalties; costs of proceeding.

(a) The board may impose
a civil penalty not to exceed deleted text begin $2,000deleted text end new text begin $5,000 new text end per violation upon a person or a firm that
violates an order, statute, or rule that the board has issued or is empowered to enforce.

(b) The board may, in addition, impose a fee to reimburse the board for all or
part of the cost of the proceedings, including reasonable investigative costs, resulting
in disciplinary or corrective action authorized by this section, the imposition of civil
penalties, or the issuance of a cease and desist order. The fee may be imposed when the
board shows that the position of the person or firm that violates a statute, rule, or order
that the board has issued or is empowered to enforce is not substantially justified, unless
special circumstances make an award unjust, notwithstanding the provisions of Minnesota
Rules, part 1400.8401. The costs include, but are not limited to, the amount paid by the
board for services from the office of administrative hearings, attorney and reasonable
investigative fees, court reporters, witnesses, reproduction of records, board members' per
diem compensation, board staff time, and expense incurred by board members and staff.

Sec. 69.

Minnesota Statutes 2014, section 326A.10, is amended to read:


326A.10 UNLAWFUL ACTS.

(a) Only a licensee and individuals who have been granted practice privileges
under section 326A.14 may issue a report on financial statements of any person, firm,
organization, or governmental unit that results from providing attest services, or offer to
render or render any attest service. Only a certified public accountant, an individual who
has been granted practice privileges under section 326A.14, a CPA firm, or, to the extent
permitted by board rule, a person registered under section 326A.06, paragraph (b), may
issue a report on financial statements of any person, firm, organization, or governmental
unit that results from providing compilation services or offer to render or render any
compilation service. These restrictions do not prohibit any act of a public official or
public employee in the performance of that person's duties or prohibit the performance
by any nonlicensee of other services involving the use of accounting skills, including
the preparation of tax returns, management advisory services, and the preparation of
financial statements without the issuance of reports on them. Nonlicensees may prepare
financial statements and issue nonattest transmittals or information on them which do not
purport to be in compliance with the Statements on Standards for Accounting and Review
Services (SSARS). Nonlicensees registered under section 326A.06, paragraph (b), may,
to the extent permitted by board rule, prepare financial statements and issue nonattest
transmittals or information on them.

(b) Licensees and individuals who have been granted practice privileges under
section 326A.14 performing attest or compilation services must provide those services in
accordance with professional standards. To the extent permitted by board rule, registered
accounting practitioners performing compilation services must provide those services in
accordance with standards specified in board rule.

(c) A person who does not hold a valid certificate issued under section 326A.04
or a practice privilege granted under section 326A.14 shall not use or assume the title
"certified public accountant," the abbreviation "CPA," or any other title, designation,
words, letters, abbreviation, sign, card, or device tending to indicate that the person is a
certified public accountant.

(d) A firm shall not provide attest services or assume or use the title "certified public
accountants," the abbreviation "CPA's," or any other title, designation, words, letters,
abbreviation, sign, card, or device tending to indicate that the firm is a CPA firm unless
(1) the firm has complied with section 326A.05, and (2) ownership of the firm is in
accordance with this chapter and rules adopted by the board.

(e) A person or firm that does not hold a valid certificate or permit issued under
section 326A.04 or 326A.05 or has not otherwise complied with section 326A.04 or
326A.05 as required in this chapter shall not assume or use the title "certified accountant,"
"chartered accountant," "enrolled accountant," "licensed accountant," "registered
accountant," "accredited accountant," "accounting practitioner," "public accountant,"
"licensed public accountant," or any other title or designation likely to be confused
with the title "certified public accountant," or use any of the abbreviations "CA," "LA,"
"RA," "AA," "PA," "AP," "LPA," or similar abbreviation likely to be confused with the
abbreviation "CPA." The title "enrolled agent" or "EA" may only be used by individuals
so designated by the Internal Revenue Service.

(f) Persons registered under section 326A.06, paragraph (b), may use the title
"registered accounting practitioner" or the abbreviation "RAP." A person who does not
hold a valid registration under section 326A.06, paragraph (b), shall not assume or use
such title or abbreviation.

(g) Except to the extent permitted in paragraph (a), nonlicensees may not use
language in any statement relating to the financial affairs of a person or entity that is
conventionally used by licensees in reports on financial statementsnew text begin or on an attest servicenew text end .
In this regard, the board shall issue by rule safe harbor language that nonlicensees may
use in connection with such financial information. A person or firm that does not hold a
valid certificate or permit, or a registration issued under section 326A.04, 326A.05, or
326A.06, paragraph (b), or has not otherwise complied with section 326A.04 or 326A.05
as required in this chapter shall not assume or use any title or designation that includes the
word "accountant" or "accounting" in connection with any other language, including the
language of a report, that implies that the person or firm holds such a certificate, permit,
or registration or has special competence as an accountant. A person or firm that does
not hold a valid certificate or permit issued under section 326A.04 or 326A.05 or has not
otherwise complied with section 326A.04 or 326A.05 as required in this chapter shall not
assume or use any title or designation that includes the word "auditor" in connection with
any other language, including the language of a report, that implies that the person or firm
holds such a certificate or permit or has special competence as an auditor. However,
this paragraph does not prohibit any officer, partner, member, manager, or employee of
any firm or organization from affixing that person's own signature to any statement in
reference to the financial affairs of such firm or organization with any wording designating
the position, title, or office that the person holds, nor prohibit any act of a public official or
employee in the performance of the person's duties as such.

(h)(1) No person holding a certificate or registration or firm holding a permit under
this chapter shall use a professional or firm name or designation that is misleading about
the legal form of the firm, or about the persons who are partners, officers, members,
managers, or shareholders of the firm, or about any other matter. However, names of one
or more former partners, members, managers, or shareholders may be included in the
name of a firm or its successor.

(2) A common brand name or network name part, including common initials, used
by a CPA firm in its name, is not misleading if the firm is a network firm as defined in
the American Institute of Certified Public Accountants (AICPA) Code of Professional
Conduct in effect July 1, 2011, and when offering or rendering services that require
independence under AICPA standards, the firm must comply with the AICPA code's
applicable standards on independence.

(i) Paragraphs (a) to (h) do not apply to a person or firm holding a certification,
designation, degree, or license granted in a foreign country entitling the holder to engage
in the practice of public accountancy or its equivalent in that country, if:

(1) the activities of the person or firm in this state are limited to the provision of
professional services to persons or firms who are residents of, governments of, or business
entities of the country in which the person holds the entitlement;

(2) the person or firm performs no attest or compilation services and issues no
reports with respect to the deleted text begin financial statementsdeleted text end new text begin informationnew text end of any other persons, firms, or
governmental units in this state; and

(3) the person or firm does not use in this state any title or designation other than
the one under which the person practices in the foreign country, followed by a translation
of the title or designation into English, if it is in a different language, and by the name
of the country.

(j) No holder of a certificate issued under section 326A.04 may perform attest services
through any business form that does not hold a valid permit issued under section 326A.05.

(k) No individual licensee may issue a report in standard form upon a compilation
of financial information through any form of business that does not hold a valid permit
issued under section 326A.05, unless the report discloses the name of the business through
which the individual is issuing the report, and the individual:

(1) signs the compilation report identifying the individual as a certified public
accountant;

(2) meets the competency requirement provided in applicable standards; and

(3) undergoes no less frequently than once every three years, a peer review
conducted in a manner specified by the board in rule, and the review includes verification
that the individual has met the competency requirements set out in professional standards
for such services.

(l) No person registered under section 326A.06, paragraph (b), may issue a report
in standard form upon a compilation of financial information unless the board by rule
permits the report and the person:

(1) signs the compilation report identifying the individual as a registered accounting
practitioner;

(2) meets the competency requirements in board rule; and

(3) undergoes no less frequently than once every three years a peer review conducted
in a manner specified by the board in rule, and the review includes verification that the
individual has met the competency requirements in board rule.

(m) Nothing in this section prohibits a practicing attorney or firm of attorneys from
preparing or presenting records or documents customarily prepared by an attorney or firm
of attorneys in connection with the attorney's professional work in the practice of law.

(n) The board shall adopt rules that place limitations on receipt by a licensee or a
person who holds a registration under section 326A.06, paragraph (b), of:

(1) contingent fees for professional services performed; and

(2) commissions or referral fees for recommending or referring to a client any
product or service.

(o) Anything in this section to the contrary notwithstanding, it shall not be a violation
of this section for a firm not holding a valid permit under section 326A.05 and not having
an office in this state to provide its professional services in this state so long as it complies
with the applicable requirements of section 326A.05, subdivision 1.

Sec. 70.

Minnesota Statutes 2014, section 336A.09, subdivision 1, is amended to read:


Subdivision 1.

Procedure.

(a) deleted text begin Oraldeleted text end new text begin Onlinenew text end and written inquiries regarding
information provided by the filing of effective financing statements or lien notices may
be deleted text begin made at any filing officedeleted text end new text begin submitted to the secretary of statenew text end during regular business
hoursnew text begin or, if submitted online, at any timenew text end .

(b) deleted text begin A filing office receiving an oral or written inquiry shall, upon requestdeleted text end new text begin The
secretary of state must, upon receiving an inquiry
new text end , provide deleted text begin an oral or facsimiledeleted text end new text begin a prompt
new text end response to the inquiry.

(c) deleted text begin A filing officedeleted text end new text begin The secretary of statenew text end shall maintain a record of inquiries made
under this section including:

(1) the date of the inquiry;

(2) the name of the debtor inquired about; and

(3) identification of the person making the request for inquiry.

Sec. 71.

Minnesota Statutes 2014, section 349.16, subdivision 6a, is amended to read:


Subd. 6a.

Monthly regulatory fee.

An organization must pay a monthly regulatory
fee of deleted text begin 0.1deleted text end new text begin 0.125new text end percent of the organization's gross receipts from lawful gambling
conducted each month. The fee must be reported and paid on a monthly basis in a format
as determined by the commissioner of revenue, and remitted to the commissioner of
revenue with the organization's monthly tax return. All monthly regulatory fees received
by the commissioner of revenue under this subdivision must be deposited in the lawful
gambling regulation account in the special revenue fund according to section 349.151.
Failure to pay the monthly regulatory fees in a timely manner may result in disciplinary
action by the board.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015.
new text end

Sec. 72.

Minnesota Statutes 2014, section 349.161, subdivision 4, is amended to read:


Subd. 4.

Fees.

(a) The annual fee for a distributor's license is deleted text begin $6,000deleted text end new text begin $7,000new text end .

(b) The annual fee for a distributor salesperson license is deleted text begin $100deleted text end new text begin $150new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to distributor and distributor salesperson licenses with an effective date
of July 1, 2015, or later.
new text end

Sec. 73.

Minnesota Statutes 2014, section 349.163, subdivision 2, is amended to read:


Subd. 2.

License; fee.

The annual fee for a manufacturer's license is deleted text begin $9,000deleted text end new text begin $10,000new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to manufacturer licenses with an effective date of July 1, 2015, or later.
new text end

Sec. 74.

Minnesota Statutes 2014, section 349.163, subdivision 6, is amended to read:


Subd. 6.

Samples of gambling equipment.

(a) The board shall require each
licensed manufacturer to submit to the board one or more samples of each item of
gambling equipment manufactured for use or resale in this state. For purposes of this
subdivision, a manufacturer is also required to submit the applicable version of any
software necessary to operate electronic devices and related systems.

(b) The board shall inspect and test all the equipment, including software and
software upgrades, it deems necessary to determine the equipment's compliance with law
and board rules. Samples required under this subdivision must be approved by the board
before the equipment being sampled is shipped into or sold for use or resale in this state.
The board shall impose a fee of deleted text begin $25deleted text end new text begin $30new text end for each item of gambling equipment that the
manufacturer submits for approval or for which the manufacturer requests approval. The
board shall impose a fee of deleted text begin $100deleted text end new text begin $125new text end for each sample of gambling equipment that it tests.

(c) The board may require samples of gambling equipment to be tested by an
independent testing laboratory prior to submission to the board for approval. All costs
of testing by an independent testing laboratory must be borne by the manufacturer. An
independent testing laboratory used by a manufacturer to test samples of gambling
equipment must be approved by the board before the equipment is submitted to the
laboratory for testing.

(d) The board may request the assistance of the commissioner of public safety and
the director of the State Lottery in performing the tests.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to games submitted for approval on July 1, 2015, or later.
new text end

Sec. 75.

Minnesota Statutes 2014, section 349.166, subdivision 2, is amended to read:


Subd. 2.

Exemptions.

(a) Lawful gambling, with the exception of linked bingo
games, may be conducted by an organization without a license and without complying
with sections 349.168, subdivisions 1 and 2; 349.17, subdivision 4; 349.18, subdivision 1;
and 349.19 if:

(1) the organization conducts lawful gambling on five or fewer days in a calendar year;

(2) the organization does not award more than $50,000 in prizes for lawful gambling
in a calendar year;

(3) the organization submits a board-prescribed application and pays a fee of deleted text begin $50
deleted text end new text begin $100new text end to the board for each gambling occasion, and receives an exempt permit number
from the board. If the application is postmarked or received less than 30 days before the
gambling occasion, the fee is deleted text begin $100deleted text end new text begin $150new text end for that application. The application must include
the date and location of the occasion, the types of lawful gambling to be conducted, and
the prizes to be awarded;

(4) the organization notifies the local government unit 30 days before the lawful
gambling occasion, or 60 days for an occasion held in a city of the first class;

(5) the organization purchases all gambling equipment and supplies from a licensed
distributor; and

(6) the organization reports to the board, on a single-page form prescribed by the
board, within 30 days of each gambling occasion, the gross receipts, prizes, expenses,
expenditures of net profits from the occasion, and the identification of the licensed
distributor from whom all gambling equipment was purchased.

(b) If the organization fails to file a timely report as required by paragraph (a), clause
(6), the board shall not issue any authorization, license, or permit to the organization to
conduct lawful gambling on an exempt, excluded, or licensed basis until the report has
been filed and the organization may be subject to penalty as determined by the board. The
board may refuse to issue any authorization, license, or permit if a report or application is
determined to be incomplete or knowingly contains false or inaccurate information.

(c) Merchandise prizes must be valued at their fair market value.

(d) Organizations that qualify to conduct exempt raffles under paragraph (a), are
exempt from section 349.173, paragraph (b), clause (2), if the raffle tickets are sold
only in combination with an organization's membership or a ticket for an organization's
membership dinner and are not included with any other raffle conducted under the exempt
permit.

(e) Unused pull-tab and tipboard deals must be returned to the distributor within
seven working days after the end of the lawful gambling occasion. The distributor must
accept and pay a refund for all returns of unopened and undamaged deals returned under
this paragraph.

(f) The organization must maintain all required records of exempt gambling activity
for 3-1/2 years.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to all permits with an effective date of July 1, 2015, or later.
new text end

Sec. 76.

new text begin [383B.83] LIMITS ON RAILROAD CONDEMNATION POWERS
OVER CERTAIN GOVERNMENTAL PROPERTY INTERESTS.
new text end

new text begin Notwithstanding anything to the contrary in chapter 117, sections 222.26, 222.27,
222.36, or any other law, the powers of a railroad corporation or a railroad company
or a railroad interest acting as a public service corporation or a common carrier do not
include the power to exercise eminent domain over a property interest owned by Hennepin
County, the Hennepin County Housing and Redevelopment Authority, or the Hennepin
County Regional Railroad Authority if such governmental power, by resolution of its
governing board, determines based on findings that the public safety or access of first
responders would be detrimentally affected by the exercise.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from March 2, 2015,
and applies to any eminent domain action to acquire any property interest of any of the
named entities.
new text end

Sec. 77.

Laws 2013, chapter 142, article 1, section 10, is amended to read:


Sec. 10. OFFICE OF deleted text begin ENTERPRISE
TECHNOLOGY
deleted text end new text begin MN.IT SERVICES
new text end

$
2,431,000
$
2,431,000

During the biennium ending June 30, 2015,
the Office of deleted text begin Enterprise Technologydeleted text end new text begin MN.IT
Services
new text end must not charge fees to a public
noncommercial educational television
broadcast station eligible for funding under
Minnesota Statutes, chapter 129D, for
access to the state broadcast infrastructure.
If the access fees not charged to public
noncommercial educational television
broadcast stations total more than $400,000
for the biennium, the office may charge for
access fees in excess of these amounts.

The commissioner of Minnesota management
and budget is authorized to provide cash
flow assistance of up to $110,000,000 from
the special revenue fund or other statutory
general funds as defined in Minnesota
Statutes, section 16A.671, subdivision 3,
paragraph (a), to the Office of deleted text begin Enterprise
Technology
deleted text end new text begin MN.IT Servicesnew text end for the purpose
of managing revenue and expenditure
differences during the initial phases of IT
consolidation. These funds shall be repaid
with interest by deleted text begin June 30, 2015deleted text end new text begin the end of the
fiscal year 2015 closing period
new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 78.

Laws 2014, chapter 287, section 25, is amended to read:


Sec. 25. PARKING RAMP; REQUIRED USER FINANCING.

new text begin The amount equivalent to new text end debt service on the design and construction costs allocated
to the parking garage to be located on the block bounded by Sherburne Avenue on the north,
Park Street on the west, University Avenue on the south, and North Capitol Boulevard on
the east deleted text begin must be user-financed fromdeleted text end new text begin must be transferred from new text end parking fees collected and
deposited into the state parking account deleted text begin and credited to the debt service account for the
Legislative Office Facility.
deleted text end new text begin to the general fund to offset any direct appropriations made to
the senate for debt service payments for the legislative parking garage.
new text end

Sec. 79. new text begin CAPITOL ROOM NUMBERS.
new text end

new text begin After the Capitol renovation has been completed, the commissioner of administration
must use the same room numbers on signage to identify legacy rooms that were used to
identify the rooms before the Capitol renovation. For purposes of this section, "Capitol
renovation" means the construction project for which funds were appropriated in Laws
2013, chapter 136, section 3; "legacy rooms" means any room in the Capitol after Capitol
renovation that has dimensions and a location that are substantially similar to a room
within the Capitol that existed before renovation; and "signage" means any posting on any
surface in the Capitol building.
new text end

Sec. 80. new text begin IN-LIEU OF RENT EVALUATION.
new text end

new text begin (a) The commissioner of administration must evaluate and provide recommendations
regarding the base appropriation to the Department of Administration for an in-lieu of rent
payment for space costs of the legislature and veterans organizations, vending operators,
ceremonial space, and statutorily free space in the Capitol building and in other buildings
on the Capitol grounds under the custodial control of the Department of Administration.
new text end

new text begin (b) By January 15, 2017, the commissioner must report to the chairs and
ranking minority members of the committees and divisions in the senate and the
house of representatives with jurisdiction over the appropriation to the Department of
Administration for the in-lieu of rent payment. The report must:
new text end

new text begin (1) identify the amount and quality of space that will be occupied by the senate, the
house of representatives, and veterans organizations, ceremonial space, and statutorily free
space, in fiscal years 2018 and 2019, including a comparison to the amount and quality of
space occupied by the same tenants in fiscal year 2013;
new text end

new text begin (2) evaluate and justify the expense components included and assumptions made in
determining lease rates and make comparisons to market rates; and
new text end

new text begin (3) evaluate whether the base funding for fiscal years 2018 and 2019 for the in-lieu
of rent appropriation is justified, and if not, recommend an increase or decrease.
new text end

new text begin (c) In conducting the evaluation and preparing the report, the commissioner must
consult with the secretary of the senate, the chief clerk of the house of representatives, the
commissioner of employment and economic development on behalf of the services for the
blind, and the commissioner of veterans affairs on behalf of veterans organizations that use
space for which the Department of Administration receives an in-lieu of rent appropriation.
new text end

Sec. 81. new text begin RULEMAKING.
new text end

new text begin (a) The Board of Cosmetologist Examiners shall adopt rules governing the licensure,
operation, and inspection of mobile salons, including facility requirements; safety and
infection control requirements; a process for a salon licensee to notify the board of the
mobile salon's location and times of operation; requirements for supplying and disposing
of water and waste products; and the scope of personal services to be provided in mobile
salons. The rules must prohibit mobile salons from violating reasonable municipal
restrictions on time and place of operation of a mobile salon within its jurisdiction,
and shall establish penalties, up to and including revocation of a license, for repeated
violations of municipal laws.
new text end

new text begin (b) The Board of Cosmetologist Examiners shall adopt rules governing the advanced
practice esthetician license, including the educational and training requirements, scope of
practice, and the conditions and process of issuing and renewing the license.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Paragraph (a) of this section is effective the day following
final enactment. Paragraph (b) of this section is effective January 1, 2016, and expires
January 1, 2019.
new text end

Sec. 82. new text begin POLITICAL CONTRIBUTION CREDIT.
new text end

new text begin Notwithstanding the provisions of Minnesota Statutes, section 290.06, subdivision
23, or any other law to the contrary, the political contribution refund does not apply to
contributions made after June 30, 2015, and before July 1, 2017.
new text end

Sec. 83. new text begin STATE AGENCY TECHNOLOGY PROJECTS.
new text end

new text begin Any appropriation in this chapter for information technology project services and
support is subject to Minnesota Statutes, section 16E.0466. If an agency needs ongoing
information technology services as a result of the services and support paid for with an
appropriation in this chapter, the agency must enter into an agreement with the Office of
MN.IT Services to provide those services. The agreement must require the agency to pay
the Office of MN.IT Services under rates and mechanisms specified in the agreement.
new text end

Sec. 84. new text begin EXAMINATION OF COUNTY RECORDS; REPORT.
new text end

new text begin Consistent with the authority granted under Minnesota Statutes, section 3.971,
the Office of the Legislative Auditor shall report on the efficiency of the examinations
conducted by the state auditor under Minnesota Statutes, section 6.48. The report must be
forwarded to the house of representatives and senate chairs of legislative committees with
jurisdiction over state government finance by January 15, 2016.
new text end

Sec. 85. new text begin REPORT ON AGENCY CHIEF INFORMATION OFFICERS.
new text end

new text begin The chief information officer of MN.IT must report to the legislature by January 15,
2016, on reduction in the number of chief information officers (CIOs) in state agencies.
The report must include the number of CIOs on July 1, 2015, the number on January
15, 2016, and plans to reduce that number.
new text end

Sec. 86. new text begin TRANSITION.
new text end

new text begin (a) Members of an ethnic council specified in new Minnesota Statutes, section
15.0145, on July 1, 2015, continue to serve on the council until the end of their current
term. However, if a member of a council has served eight years or more on the council
at any time before December 31, 2015, the term of that member expires December 31,
2015. If a council has more members on July 1, 2015, than is provided for by Minnesota
Statutes, section 15.0145, positions on the council shall not be filled until the expiration of
a term results in fewer members on the council than provided for in Minnesota Statutes,
section 15.0145. Membership qualifications newly specified in Minnesota Statutes, section
15.0145, must be complied with as soon as possible when terms of current members expire.
new text end

new text begin (b) The Legislative Coordinating Commission must appoint an executive director
for each council no later than November 15, 2015. The authority of the Legislative
Coordinating Commission to recruit and select persons to serve as executive directors
is effective the day following final enactment. An incumbent executive director of a
council may apply to be appointed by the Legislative Coordinating Commission but, if
not selected, the employment of the incumbent ends when the Legislative Coordinating
Commission appoints a new executive director, or on another date determined by the
Legislative Coordinating Commission. Other council staff are transferred to employment
with the reformulated councils specified in Minnesota Statutes, section 15.0145.
new text end

new text begin (c) Minnesota Statutes, section 15.039, subdivisions 1 to 6, apply to the ethnic
councils that are reformulated in this act.
new text end

Sec. 87. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin Subdivision 1. new text end

new text begin Cosmetology. new text end

new text begin The revisor of statutes shall change the word
"sanitation" to "infection control" and the word "lapsed" to "expired" wherever they
appear in Minnesota Statutes, chapter 155A, or Minnesota Rules, chapter 2105 or 2110.
new text end

new text begin Subd. 2. new text end

new text begin County audits. new text end

new text begin In the next and subsequent edition of Minnesota Statutes,
the Revisor of Statutes shall substitute a reference to section 6.481 for each reference
to section 6.48.
new text end

new text begin Subd. 3. new text end

new text begin Ethnic councils. new text end

new text begin (a) In the next and subsequent editions of Minnesota
Statutes, the revisor of statutes shall substitute the names of councils as follows in each
place where the names occur:
new text end

new text begin (1) Council for Minnesotans of African Heritage, in place of Council on Black
Minnesotans; and
new text end

new text begin (2) Minnesota Council on Latino Affairs, in place of Council on Affairs of
Chicano/Latino People.
new text end

new text begin (b) The revisor of statutes shall change cross-references to sections 3.9223, 3.9225,
and 3.9226, with Minnesota Statutes, section 15.0145, and make changes necessary to
correct punctuation, grammar, or sentence structure.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Subdivision 2 is effective August 1, 2016.
new text end

Sec. 88. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2014, sections 3.9223; 3.9225; and 3.9226, subdivisions 1,
2, 3, 4, 5, 6, and 7,
new text end new text begin are repealed.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2014, sections 6.48; and 375.23, new text end new text begin are repealed.
new text end

new text begin (c) new text end new text begin Minnesota Statutes 2014, section 155A.23, subdivision 6, new text end new text begin is repealed.
new text end

ARTICLE 3

MILITARY AND VETERANS AFFAIRS

Section 1.

Minnesota Statutes 2014, section 190.19, subdivision 2a, is amended to read:


Subd. 2a.

Uses; veterans.

new text begin (a) new text end Money appropriated to the Department of Veterans
Affairs from the Minnesota "Support Our Troops" account may be used for:

(1) grants to veterans service organizations;

(2) outreach to underserved veterans;

(3) providing services and programs for veterans and their families; deleted text begin and
deleted text end

(4) transfers to the vehicle services account for Gold Star license plates under
section 168.1253deleted text begin .deleted text end new text begin ;
new text end

new text begin (5) grants of up to $100,000 to any organization approved by the commissioner of
veterans affairs for the purpose of supporting and improving the lives of veterans and
their families; and
new text end

new text begin (6) grants to an eligible foundation.
new text end

new text begin (b) For purposes of this subdivision, "eligible foundation" includes any organization
that:
new text end

new text begin (1) is a tax-exempt organization under section 501(c) of the Internal Revenue
Code; and
new text end

new text begin (2) is a nonprofit corporation under chapter 317A and the organization's articles of
incorporation specify that a purpose of the organization includes (i) providing assistance
to veterans and their families or (ii) enhancing the lives of veterans and their families.
new text end

Sec. 2.

Minnesota Statutes 2014, section 190.19, subdivision 3, is amended to read:


Subd. 3.

Annual report.

The adjutant general new text begin and commissioner of veterans affairs
new text end must report by February 1deleted text begin , 2007, anddeleted text end each year deleted text begin thereafter,deleted text end to the chairs and ranking minority
members of the legislative committees and divisions with jurisdiction over military and
veterans' affairs on the number, amounts, and use of grants made by deleted text begin the adjutant general
deleted text end new text begin each agency new text end from the Minnesota "Support Our Troops" account in the previous year.

Sec. 3.

Minnesota Statutes 2014, section 192.38, subdivision 1, is amended to read:


Subdivision 1.

Temporary emergency relief.

If any officer or enlisted member
of the military forces is wounded or otherwise disabled, dies from disease contracted or
injuries received, or is killed while in state active service as defined in section 190.05,
subdivision 5a
, the officer or member, or in the case of death the officer's or member's
dependent spouse, child, or parent, may be provided with immediate temporary relief as
necessary in cases of severe hardship, in an amount to be determined by the adjutant general
and approved by the governornew text begin or a death gratuity payment equal to the amount allowed for
service members in a federal active service status
new text end . All payments under this subdivision
shall be made from appropriations for deleted text begin the maintenance of the state military forces
deleted text end new text begin emergency servicesnew text end . The adjutant general shall notify the Department of Management and
Budget of any payments made pursuant to this subdivision and the amount of it shall be
subtracted from any award made by the Department of Management and Budget.

Sec. 4.

Minnesota Statutes 2014, section 192.501, is amended by adding a subdivision
to read:


new text begin Subd. 1d. new text end

new text begin Reclassification bonus program. new text end

new text begin (a) The adjutant general must establish
a program to provide a bonus to eligible members of the Minnesota National Guard who
complete training that results in the award of a new military occupational specialty or
Air Force specialty code in specialties that are identified by the adjutant general to be
necessary for the enhanced readiness of the Minnesota National Guard.
new text end

new text begin (b) Eligibility for the bonus is limited to a member of the National Guard who:
new text end

new text begin (1) is serving satisfactorily as determined by the adjutant general;
new text end

new text begin (2) has 16 or fewer years of services creditable for retirement; and
new text end

new text begin (3) undergoes military training deemed by the adjutant general as sufficiently
important to the readiness of the National Guard or a unit of the National Guard to warrant
the payment of a bonus in an amount to generally encourage the member's participation
in the training.
new text end

new text begin The adjutant general may, within the limitations of this paragraph and other applicable
laws, determine additional eligibility criteria for the bonus, and must specify all of the
criteria in regulations and publish changes as necessary.
new text end

new text begin (c) The bonus payments must be made on a schedule that is determined and
published in department regulations by the adjutant general.
new text end

new text begin (d) If a member fails to complete a term of reenlistment or an obligated term of
commissioned service for which a bonus was paid, the adjutant general may seek to
recoup a prorated amount of the bonus as determined by the adjutant general.
new text end

Sec. 5.

Minnesota Statutes 2014, section 197.133, is amended to read:


197.133 DISPOSAL OF PROPERTY AND EXPIRATION OF BOARD OF
GOVERNORS.

new text begin (a) new text end If a majority of the board determines that the disposal of thenew text begin Big Island Veterans
new text end camp or a portion of the camp is in the best interests of Minnesota veterans, or if the camp
is not used solely as a camp for and by disabled and other veterans and their families and
operated and maintained in compliance with all state, federal, and local laws, the board
may dispose of the property at market value as provided in this section. Before disposing
of the property, the board shall give notice by certified mail to the commissioner of
veterans affairs of its decision to dispose of the property. The commissioner shall publish
the notice in the State Register. Interested governmental agencies have until the end of the
next legislative session after the notice to appropriate money to purchase the property.

new text begin (b) new text end Proceeds realized from the disposal of the property and any assets on hand at
the time of the disposal of the property, must be placed in an irrevocable trust to be used
for the initiation or maintenance of veterans programs in the state of Minnesota. Trustees
must be appointed in the same manner as provided for under new text begin Minnesota Statutes 2014,
new text end section 197.131. The trustees shall consult with the commissioner of veterans affairs to
determine the needs of Minnesota veterans and provide the commissioner with an annual
written report on the trust. The commissioner must approve all expenditures from the
trust. A certified audit of all assets, expenditures, and property must be conducted prior
to any disposition of any assets under the control of the board. Any board member who
would benefit directly or indirectly financially from the sale of this property must be
removed by the board and a successor appointed as provided by new text begin Minnesota Statutes 2014,
new text end section 197.131. Upon final disposition of all assets to the trust, the board must disband.
Should the assets of the trust be exhausted, the trust must be terminated.

new text begin (c) The trustees appointed under paragraph (b) shall have the exclusive authority
to remove a trustee of the trust established under paragraph (b). A trustee may be
removed at any time without cause upon a majority vote of the trustees with consent
of the commissioner of veterans affairs.
new text end

new text begin (d) A vacancy in a trusteeship of the trust established under paragraph (b) must
be filled for the remainder of the unexpired term in the same manner as the original
appointment.
new text end

Sec. 6.

Minnesota Statutes 2014, section 197.46, is amended to read:


197.46 VETERANS PREFERENCE ACT; REMOVAL FORBIDDEN; RIGHT
OF MANDAMUS.

new text begin (a) new text end Any person whose rights may be in any way prejudiced contrary to any of the
provisions of this section, shall be entitled to a writ of mandamus to remedy the wrong.
No person holding a position by appointment or employment in the several counties,
cities, towns, school districts and all other political subdivisions in the state, who is a
veteran separated from the military service under honorable conditions, shall be removed
from such position or employment except for incompetency or misconduct shown after a
hearing, upon due notice, upon stated charges, in writing.

new text begin (b) new text end Any veteran who has been notified of the intent to discharge the veteran from an
appointed position or employment pursuant to this section shall be notified in writing of
such intent to discharge and of the veteran's right to request a hearing within 60 days of
receipt of the notice of intent to discharge. The failure of a veteran to request a hearing
within the provided 60-day period shall constitute a waiver of the right to a hearing. Such
failure shall also waive all other available legal remedies for reinstatement.

Request for a hearing concerning such a discharge shall be made in writing and
submitted by mail or personal service to the employment office of the concerned employer
or other appropriate office or person.new text begin If the veteran requests a hearing under this section,
such written request must also contain the veteran's election to be heard by a civil service
board or commission, a merit authority, or a three-person panel as defined in paragraph
(c). If the veteran fails to identify the veteran's election, the governmental subdivision
may select the hearing body.
new text end

new text begin (c) new text end In all governmental subdivisions having an established civil service board or
commission, or merit system authority, such hearing for removal or discharge shall be
held before such civil service board or commission or merit system authority. Where no
such civil service board or commission or merit system authority exists, such hearing
shall be held by a board of three persons appointed as follows: one by the governmental
subdivision, one by the veteran, and the third by the two so selected. In the event that
the hearing is authorized to be held before a three-person board, the governmental
subdivision's notice of intent to discharge shall state that the veteran must respond within
60 days of receipt of the notice of intent to discharge, and provide in writing to the
governmental subdivision the name, United States mailing address, and telephone number
of the veteran's selected representative for the three-person board. The failure of a veteran
to submit the name, address, and telephone number of the veteran's selected representative
to the governmental subdivision by mail or by personal service within the provided
notice's 60-day period, shall constitute a waiver of the veteran's right to the hearing and all
other legal remedies available for reinstatement of the veteran's employment position. In
the event the two persons selected by the veteran and governmental subdivision do not
appoint the third person within ten days after the appointment of the last of the two,
then the judge of the district court of the county wherein the proceeding is pending, or
if there be more than one judge in said county then any judge in chambers, shall have
jurisdiction to appoint, and upon application of either or both of the two so selected shall
appoint, the third person to the board and the person so appointed by the judge with the
two first selected shall constitute the board.

new text begin (d) new text end Either the veteran or the governmental subdivision may appeal from the decision
of the board upon the charges to the district court by causing written notice of appeal,
stating the grounds thereof, to be served upon the other party within 15 days after notice of
the decision and by filing the original notice of appeal with proof of service thereof in the
office of the court administrator of the district court within ten days after service thereof.
Nothing in section 197.455 or this section shall be construed to apply to the position of
private secretary, superintendent of schools, or one chief deputy of any elected official
or head of a department, or to any person holding a strictly confidential relation to the
appointing officer. Nothing in this section shall be construed to apply to the position of
teacher. The burden of establishing such relationship shall be upon the appointing officer
in all proceedings and actions relating thereto.

new text begin (e) For disputes heard by a civil service board, the political subdivisions shall
bear all costs associated with the hearing but not including attorney fees for attorneys
representing the veteran. For disputes heard by a three-person panel, all parties shall bear
equally all costs associated with the hearing, but not including attorney fees for attorneys
representing the veteran. If the veteran prevails in a dispute heard by a civil service board
or a three-person panel and the hearing reverses all aspects of discharge, the governmental
subdivision shall pay the veteran's reasonable attorney fees.
new text end

new text begin (f) new text end All officers, boards, commissions, and employees shall conform to, comply with,
and aid in all proper ways in carrying into effect the provisions of section 197.455 and this
section notwithstanding any laws, charter provisions, ordinances or rules to the contrary.
Any willful violation of such sections by officers, officials, or employees is a misdemeanor.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to all notices of intent to discharge issued on or after that date.
new text end

Sec. 7.

new text begin [197.987] HONOR AND REMEMBER FLAG.
new text end

new text begin Subdivision 1. new text end

new text begin Legislative findings. new text end

new text begin The legislature of the state of Minnesota finds
and determines that:
new text end

new text begin (1) since the Revolutionary War, more than 1,000,000 members of the United States
armed forces have paid the ultimate price by sacrificing their lives in active military
service for the United States of America;
new text end

new text begin (2) the contribution made by those fallen members of the armed forces is deserving
of state and national recognition; and
new text end

new text begin (3) the Honor and Remember Flag is an appropriate symbol that acknowledges the
selfless sacrifice of those members of the United States armed forces.
new text end

new text begin Subd. 2. new text end

new text begin Designation. new text end

new text begin The Honor and Remember Flag described in subdivision
3 is designated as the symbol of our state's concern and commitment to honoring and
remembering the lives of all members of the United States armed forces who have lost
their lives in the line of duty while serving honorably in active military service in the
United States armed forces or of a service-connected cause due to or aggravated by that
service, as determined by the United States Department of Defense or the United States
Department of Veterans Affairs. This designation is contingent on the flag being available
for purchase at a reasonable price.
new text end

new text begin Subd. 3. new text end

new text begin Description. new text end

new text begin The Honor and Remember Flag shall conform substantially
to the following description: The Honor and Remember Flag is the same standard
proportions as the flag of the United States of America. Its design contains a red field that
occupies the top three-quarters and a white field that occupies the bottom quarter of the
flag. In the center of the red field is a five-pointed, gold star with the top point located
near the top of the red field and the two bottom points extending about one-quarter of the
way into the white field. The gold star has a white border surrounded by a blue border.
Between the two bottom points of the star is a tri-folded American flag displaying the blue
field and some stars, which is the configuration of the American flag presented to the
family of the deceased at a military memorial service. At the top of the tri-folded flag,
extending into the center of the gold star, is a stylized, three-part flame, with one blue part
and two red parts. In the white field below the tri-folded flag, the words "Honor and
Remember" are centered. The Honor and Remember Flag is protected by U. S. copyright,
registration number VA0001670661, owned by Honor and Remember, Inc.
new text end

new text begin Subd. 4. new text end

new text begin Suggested days for flag display. new text end

new text begin (a) The chief administrator of each
governmental building or facility within this state, as defined in paragraph (b), is
encouraged to display the Honor and Remember Flag on the following days each year:
new text end

new text begin (1) Armed Forces Day, the third Saturday in May;
new text end

new text begin (2) Flag Day, June 14;
new text end

new text begin (3) July 2nd and July 3rd, in remembrance of the 262 soldiers of the 1st Regiment
Minnesota Volunteer Infantry who, at the Battle of Gettysburg during the American Civil
War, fought so gallantly and successfully to repulse two major Confederate attacks on the
main Union line, suffering over 80 percent casualties, thereby turning the battle and the
war and helping to preserve the Union itself at that pivotal moment in our nation's history;
new text end

new text begin (4) July 4th, Independence Day;
new text end

new text begin (5) the third Friday of September, National POW/MIA Recognition Day;
new text end

new text begin (6) November 11, Veterans Day;
new text end

new text begin (7) July 27, Korean War Armistice Day;
new text end

new text begin (8) March 29, Vietnam Veterans Day; and
new text end

new text begin (9) any day on which the United States flag is displayed at a governmental building
or facility within this state.
new text end

new text begin (b) For purposes of this section, "governmental building or facility within this state"
means the following locations:
new text end

new text begin (1) the Minnesota State Capitol, the Office of the Governor and each other Minnesota
constitutional office, the chambers of the Minnesota Senate and the Minnesota House of
Representatives, the Minnesota Judicial Center and each Minnesota District Court House,
any official state of Minnesota veterans memorial, Minnesota veterans home, Minnesota
veterans cemetery, state veterans service centers, and state veterans community-based
outreach centers; and
new text end

new text begin (2) any appropriate local government building or facility, as determined by the
governing body of that local government.
new text end

new text begin Subd. 5. new text end

new text begin Limitation. new text end

new text begin This section may not be construed or interpreted to require
any employee to report to work solely for the purpose of providing for the display of the
Honor and Remember Flag or any other flag.
new text end

new text begin Subd. 6. new text end

new text begin Implementation. new text end

new text begin If a governmental building or facility within this state
opts to display the Honor and Remember Flag, the chief administrator of that facility shall
prescribe procedures necessary for the display.
new text end

new text begin Subd. 7. new text end

new text begin Flag donation. new text end

new text begin Notwithstanding sections 10A.071 and 471.895, any
named public office or public official may accept a donation of one or more Honor and
Remember Flags for the purpose of this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 8.

Minnesota Statutes 2014, section 198.01, is amended to read:


198.01 VETERANS HOME; ELIGIBILITY OF VETERANS.

The Minnesota veterans homes shall provide nursing care and related health
and social services for veterans and their spouses who meet eligibility and admission
requirements of the Minnesota veterans homes. new text begin The commissioner may not close a
veterans home unless closure of the home is specifically authorized or required by a law
enacted after July 1, 2015.
new text end The word "veteran" as used in this section has the meaning
provided in section 197.447.

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

new text begin Minnesota Statutes 2014, sections 197.131; and 197.132, new text end new text begin are repealed.
new text end

ARTICLE 4

PARI-MUTUEL HORSE RACING

Section 1.

Minnesota Statutes 2014, section 240.01, subdivision 22, is amended to read:


Subd. 22.

Racing season.

"Racing season" means that portion of the calendar
year starting at the beginning of the day of the first live horse race conducted by the
licensee and concluding at the end of the day of the last live horse race conducted by
the licensee in any year.

deleted text begin For purposes of this chapter, the racing season begins before the first Saturday in
May and continues for not less than 25 consecutive weeks.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2016.
new text end

Sec. 2.

Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision
to read:


new text begin Subd. 28. new text end

new text begin Takeout. new text end

new text begin "Takeout" means the total amount of money, excluding
breakage, withheld from each pari-mutuel pool, as authorized by statute or rule.
new text end

Sec. 3.

Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision
to read:


new text begin Subd. 29. new text end

new text begin Handle new text end

new text begin "Handle" means the aggregate of all pari-mutuel pools, excluding
refundable wagers or cancellations.
new text end

Sec. 4.

Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision
to read:


new text begin Subd. 30. new text end

new text begin Mixed meet. new text end

new text begin "Mixed meet" means a racing day or series of racing days
on which the racing of more than one breed of horse occurs.
new text end

Sec. 5.

Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision
to read:


new text begin Subd. 31. new text end

new text begin Banked. new text end

new text begin "Banked" means any game of chance that is played with the
house as a participant in the game, where the house takes on all players, collects from all
losers, and pays all winners, and the house can win.
new text end

Sec. 6.

Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision
to read:


new text begin Subd. 32. new text end

new text begin Steward. new text end

new text begin A "steward" means an official described in section 240.16. The
term steward includes the terms "judge," "chief steward," and "presiding judge," and
applies to stewards and judges of the commission or a class B licensee, but not to other
racing officials, such as paddock or placement judges, who are employees or agents of
a class B licensee.
new text end

Sec. 7.

Minnesota Statutes 2014, section 240.011, is amended to read:


240.011 APPOINTMENT OF DIRECTOR.

The governor shall appoint the director of the Minnesota Racing Commission,
who serves in the unclassified service at the governor's pleasure. The director must be
a person qualified by experience deleted text begin in the administration and regulation of pari-mutuel
racing
deleted text end new text begin and training to possess the skills necessarynew text end to discharge the duties of the director.
The governor must select a director from a list of one or more names submitted by the
Minnesota Racing Commission.

Sec. 8.

Minnesota Statutes 2014, section 240.03, is amended to read:


240.03 COMMISSION POWERS AND DUTIES.

The commission has the following powers and duties:

(1) to regulate horse racing in Minnesota to ensure that it is conducted in the public
interest;

(2) to issue licenses as provided in this chapter;

(3) to enforce all laws and rules governing horse racing;

(4) to collect and distribute all taxes provided for in this chapter;

(5) to conduct necessary investigations and inquiries and new text begin to issue subpoenas to
new text end compel new text begin the attendance of witnesses and new text end the submission of information, documents, deleted text begin and
deleted text end recordsnew text begin , and other evidencenew text end it deems necessary to carry out its duties;

(6) to supervise the conduct of pari-mutuel betting on horse racing;

(7) to employ and supervise personnel under this chapter;

(8) to determine the number of racing days to be held in the state and at each
licensed racetrack;

(9) to take all necessary steps to ensure the integrity of racing in Minnesota; and

(10) to impose fees on the racing and card playing industries sufficient to recover the
operating costs of the commission with the approval of the legislature according to section
16A.1283. Notwithstanding section 16A.1283, when the legislature is not in session, the
commissioner of management and budget may grant interim approval for any new fees
or adjustments to existing fees that are not statutorily specified, until such time as the
legislature reconvenes and acts upon the new fees or adjustments. As part of its biennial
budget request, the commission must propose changes to its fees that will be sufficient to
recover the operating costs of the commission.

Sec. 9.

Minnesota Statutes 2014, section 240.08, subdivision 2, is amended to read:


Subd. 2.

Application.

new text begin (a) new text end An application for a class C license must be on a form
the commission prescribes and must be accompanied by an affidavit of qualification
that the applicant:

deleted text begin (a)deleted text end new text begin (1)new text end is not in default in the payment of an obligation or debt to the state under
Laws 1983, chapter 214;

deleted text begin (b)deleted text end new text begin (2)new text end does not have a felony conviction of record in a state or federal court and
does not have a state or federal felony charge pending;

deleted text begin (c)deleted text end new text begin (3)new text end is not and never has been connected with or engaged in an illegal business;

deleted text begin (d)deleted text end new text begin (4)new text end has never been found guilty of fraud or misrepresentation in connection
with racing or breeding;

deleted text begin (e)deleted text end new text begin (5)new text end has never been found guilty of a violation of law or rule relating to horse
racing, pari-mutuel betting or any other form of gambling which is a serious violation
as defined by the commission's rules; and

deleted text begin (f)deleted text end new text begin (6)new text end has never new text begin been found to have new text end knowingly violated deleted text begin a rule ordeleted text end new text begin annew text end order of the
commission or a law new text begin or rule new text end of Minnesotanew text begin or another jurisdictionnew text end relating to new text begin horse new text end racingnew text begin ,
pari-mutuel betting, or any other form of gambling
new text end .

new text begin (b) new text end The application must also contain an irrevocable consent statement, to be signed
by the applicant, which states that suits and actions relating to the subject matter of the
application or acts or omissions arising from it may be commenced against the applicant in
any court of competent jurisdiction in this state by the service on the secretary of state of
any summons, process, or pleading authorized by the laws of this state. If any summons,
process, or pleading is served upon the secretary of state, it must be by duplicate copies.
One copy must be retained in the Office of the Secretary of State and the other copy must
be forwarded immediately by certified mail to the address of the applicant, as shown by
the records of the commission.

Sec. 10.

Minnesota Statutes 2014, section 240.08, subdivision 4, is amended to read:


Subd. 4.

License issuance and renewal.

If the commission determines that
the applicant is qualified for the occupation for which licensing is sought and will
not adversely affect the public health, welfare, and safety or the integrity of racing in
Minnesota, it may issue a class C license to the applicant. If it makes a similar finding for
a renewal of a class C license it may renew the license. Class C licenses are effective deleted text begin for
one year.
deleted text end new text begin until December 31 of the calendar year for which they are issued. Certain types
of class C licenses, to be determined by the commission, are effective until December 31
of the third calendar year for which they have been issued.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015.
new text end

Sec. 11.

Minnesota Statutes 2014, section 240.08, subdivision 5, is amended to read:


Subd. 5.

Revocation and suspension.

new text begin (a) new text end The commission may revoke a class C
license for a violation of law or rule which in the commission's opinion adversely affects
the integrity of horse racing in Minnesota, new text begin the public health, welfare, or safety, new text end or for an
intentional false statement made in a license application.

The commission may suspend a class C license for up to one year for a violation of
law, order or rule.

The commission may delegate to its designated agents the authority to impose
suspensions of class C licenses, and thenew text begin revocation ornew text end suspension new text begin of a class C license new text end may
be appealed to the commission according to its rules.

new text begin (b) new text end A license revocation or suspension for more than 90 days is a contested case
under sections 14.57 to 14.69 of the Administrative Procedure Act and is in addition to
criminal penalties imposed for a violation of law or rule. The commission may summarily
suspend a license for more than 90 days prior to a contested case hearing where it is
necessary to ensure the integrity of racingnew text begin or to protect the public health, welfare, or safetynew text end .
A contested case hearing must be held within deleted text begin 20deleted text end new text begin 30new text end days of the summary suspension and
the administrative law judge's report must be issued within deleted text begin 20deleted text end new text begin 30new text end days from the close of
the hearing record. In all cases involving summary suspension the commission must issue
its final decision within 30 days from receipt of the report of the administrative law judge
and subsequent exceptions and argument under section 14.61.

Sec. 12.

Minnesota Statutes 2014, section 240.10, is amended to read:


240.10 LICENSE FEES.

The fee for a class A license is $253,000 per year and must be remitted on July 1.
The fee for a class B license is $500 for each assigned racing day and $100 for each day
on which simulcasting is authorized and must be remitted on July 1. deleted text begin Included herein are
all days assigned to be conducted after January 1, 2003.
deleted text end The fee for a class D license is
$50 for each assigned racing day on which racing is actually conducted. Fees imposed on
class D licenses must be paid to the commission at a time and in a manner as provided by
rule of the commission.

The commission shall by rule establish an annual license fee for each occupation it
licenses under section 240.08 deleted text begin but no annual fee for a class C license may exceed $100deleted text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015.
new text end

Sec. 13.

Minnesota Statutes 2014, section 240.13, subdivision 5, is amended to read:


Subd. 5.

Purses.

(a) From the amounts deducted from all pari-mutuel pools by a
licensee, an amount equal to not less than the following percentages of all money in all
pools must be set aside by the licensee and used for purses for races conducted by the
licensee, provided that a licensee may agree by contract with an organization representing
a majority of the horsepersons racing the breed involved to set aside amounts in addition
to the following percentagesnew text begin , if the contract is in writing and filed with the commissionnew text end :

(1) for live races conducted at a class A facility, deleted text begin and for races that are part of full
racing card simulcasting that takes place within the time period of the live races,
deleted text end 8.4
percentnew text begin of handlenew text end ;

deleted text begin (2) for simulcasts conducted during the racing season other than as provided for in
clause (1), 50 percent of the takeout remaining after deduction for taxes on pari-mutuel
pools, payment to the breeders fund, and payment to the sending out-of-state racetrack for
receipt of the signal; and
deleted text end

deleted text begin (3)deleted text end new text begin (2)new text end for simulcasts conducted deleted text begin outside of the racing season, 25deleted text end new text begin any day a class A
facility is licensed, not less than 37
new text end percent of the takeout remaining after deduction for the
state pari-mutuel tax, payment to the breeders fund, new text begin and new text end payment to the sending out-of-state
racetrack for receipt of the signal deleted text begin and, before January 1, 2005, a further deduction of
eight percent of all money in all pools. In the event that wagering on simulcasts outside
of the racing season exceeds $125 million in any calendar year, the amount set aside for
purses by this formula is increased to 30 percent on amounts between $125,000,000 and
$150,000,000 wagered; 40 percent on amounts between $150,000,000 and $175,000,000
wagered; and 50 percent on amounts in excess of $175,000,000 wagered. In lieu of
the eight percent deduction, A deduction as agreed to between the licensee and the
horsepersons' organization representing the majority of horsepersons racing at the licensee's
class A facility during the preceding 12 months, is allowed after December 31, 2004
deleted text end .

The commission may by rule provide for the administration and enforcement of
this subdivision. The deductions for payment to the sending out-of-state racetrack must
be actual, except that when there exists any overlap of ownership, control, or interest
between the sending out-of-state racetrack and the receiving licensee, the deduction
must not be greater than three percent unless agreed to between the licensee and the
horsepersons' organization representing the majority of horsepersons racing the breed
racing the majority of races during the existing racing meeting or, if outside of the racing
season, during the most recent racing meeting.

deleted text begin In lieu of the amount the licensee must pay to the commission for deposit in the
Minnesota breeders fund under section 240.15, subdivision 1,
deleted text end The licensee shall paynew text begin to the
commission for deposit in the Minnesota breeders fund
new text end 5-1/2 percent of the takeout from
all pari-mutuel pools generated by wagering at the licensee's facility on deleted text begin full racing card
deleted text end simulcasts of races not conducted in this state.

(b) From the money set aside for purses, the licensee shall pay to the horseperson's
organization representing the majority of the horsepersons racing the breed involved
and contracting with the licensee with respect to purses and the conduct of the racing
meetings and providing representationnew text begin to its membersnew text end ,new text begin an amount as may be determined
by agreement by the licensee and the horsepersons' organization sufficient to provide
new text end benevolent programs, benefits, and services for horsepersons and their on-track employeesdeleted text begin ,
an amount, sufficient to perform these services, as may be determined by agreement by
the licensee and the horseperson's organization
deleted text end . The amount paid may be deducted only
from the money set aside for purses to be paid in races for the breed represented by the
horseperson's organization. With respect to racing meetings where more than one breed
is racing, the licensee may contract independently with the horseperson's organization
representing each breed racing.

(c) Notwithstanding sections 325D.49 to 325D.66, a horseperson's organization
representing the majority of the horsepersons racing a breed at a meeting, and the members
thereof, may agree to withhold horses during a meeting.

deleted text begin (d) Money set aside for purses from wagering, during the racing season, on
simulcasts must be used for purses for live races conducted at the licensee's class A facility
during the same racing season, over and above the 8.4 percent purse requirement or any
higher requirement to which the parties agree, for races conducted in this state. Money
set aside for purses from wagering, outside of the racing season, on simulcasts must be
for purses for live races conducted at the licensee's class A facility
deleted text end deleted text begin during the next racing
season, over and above the 8.4 percent purse requirement or any higher requirement to
which the parties agree, for races conducted in this state.
deleted text end

deleted text begin (e)deleted text end new text begin (d)new text end Money set aside for purses from wagering on simulcasts must be used for
purses for live races involving the same breed involved in the simulcast except that money
set aside for purses and payments to the breeders fund from wagering on deleted text begin full racing card
deleted text end simulcasts of races not conducted in this state, occurring during a live mixed meet, must
be allotted to the purses and breeders fund for each breed participating in the mixed meet
new text begin as agreed upon by the breed organizations participating in the live mixed meet. The
agreement shall be in writing and filed with the commission prior to the first day of the live
mixed meet. In the absence of a written agreement filed with the commission, the money
set aside for purses and payments to the breeders fund from wagering on simulcasts,
occurring during a live mixed meet, shall be allotted to each breed participating in the live
mixed meet
new text end in the same proportion that the number of live races run by each breed bears
to the total number of live races conducted during the period of the mixed meet.

deleted text begin (f)deleted text end new text begin (e)new text end The allocation of money set aside for purses to particular racing meets may be
adjusted, relative to overpayments and underpayments, by contract between the licensee
and the horsepersons' organization representing the majority of horsepersons racing the
breed involved at the licensee's facility.

deleted text begin (g)deleted text end new text begin (f)new text end Subject to the provisions of this chapter, money set aside from pari-mutuel
pools for purses must be for the breed involved in the race that generated the pool, except
that if the breed involved in the race generating the pari-mutuel pool is not racing in the
current racing meeting, or has not raced within the preceding 12 months at the licensee's
class A facility, money set aside for purses may be distributed proportionately to those
breeds that have run during the preceding 12 months or paid to the commission and
used for purses or to promote racing for the breed involved in the race generating the
pari-mutuel pool, or both, in a manner prescribed by the commission.

deleted text begin (h)deleted text end new text begin (g)new text end This subdivision does not apply to a class D licensee.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2016.
new text end

Sec. 14.

Minnesota Statutes 2014, section 240.13, subdivision 6, is amended to read:


Subd. 6.

Simulcasting.

(a) The commission may permit an authorized licensee to
conduct simulcasting at the licensee's facility on any day authorized by the commission.
All simulcasts must comply with the Interstate Horse Racing Act of 1978, United States
Code, title 15, sections 3001 to 3007.

(b) The commission may not authorize any day for simulcasting at a class A facility
during the racing season, and a licensee may not be allowed to transmit out-of-state
telecasts of races the licensee conducts, unless the licensee has obtained the approval of
the horsepersons' organization representing the majority of the horsepersons racing the
breed involved at the licensed racetrack during the preceding 12 months. In the case of
a class A facility licensed under section 240.06, subdivision 5a, the approval applicable
to the first year of the racetrack's operation may be obtained from the horsepersons'
organization that represents the majority of horsepersons who will race the breed involved
at the licensed racetrack during the first year of the racetrack's operation.

(c) The licensee may pay fees and costs to an entity transmitting a telecast of a
race to the licensee for purposes of conducting pari-mutuel wagering on the race. The
licensee may deduct fees and costs related to the receipt of televised transmissions from a
pari-mutuel pool on the televised race, provided that one-half of any amount recouped in
this manner must be added to the amounts required to be set aside for purses.

(d) With the approval of the commission and subject to the provisions of this
subdivision, a licensee may transmit telecasts of races it conducts, for wagering purposes,
to locations outside the state, and the commission may allow this to be done on a
commingled pool basis.

(e) Except as otherwise provided in this section, simulcasting may be conducted on a
deleted text begin separatedeleted text end new text begin comminglednew text end pool basis or, with the approval of the commission, on a deleted text begin commingled
deleted text end new text begin separatenew text end pool basis. All provisions of law governing pari-mutuel betting apply to
simulcasting except as otherwise provided in this subdivision or in the commission's
rules. If pools are commingled, wagering at the licensed facility must be on equipment
electronically linked with the equipment at the licensee's class A facility or with the
sending racetrack via the totalizator computer at the licensee's class A facility. Subject to
the approval of the commission, the types of betting, takeout, and distribution of winnings
on commingled pari-mutuel pools are those in effect at the sending racetrack. Breakage
for pari-mutuel pools on a televised race must be calculated in accordance with the law or
rules governing the sending racetrack for these pools, and must be distributed in a manner
agreed to between the licensee and the sending racetrack. Notwithstanding subdivision 7
and section 240.15, subdivision 5, the commission may approve procedures governing the
definition and disposition of unclaimed tickets that are consistent with the law and rules
governing unclaimed tickets at the sending racetrack. For the purposes of this section,
"sending racetrack" is either the racetrack outside of this state where the horse race is
conducted or, with the consent of the racetrack, an alternative facility that serves as the
racetrack for the purpose of commingling pools.

(f) Except as otherwise provided in section 240.06, subdivision 5b, paragraph (2),
if there is more than one class B licensee conducting racing within the seven-county
metropolitan area, simulcasting may be conducted only on races run by a breed that ran at
the licensee's class A facility within the 12 months preceding the event.

Sec. 15.

Minnesota Statutes 2014, section 240.135, is amended to read:


240.135 CARD CLUB REVENUE.

(a) From the amounts received from charges authorized under section 240.30,
subdivision 4
, the licensee shall set aside the amounts specified in this section to be
used for purse payments. These amounts are in addition to the breeders fund and purse
requirements set forth elsewhere in this chapter.

(1) For amounts between zero and $6,000,000, the licensee shall set aside new text begin not less
than
new text end ten percent to be used as purses.

(2) For amounts in excess of $6,000,000, the licensee shall set aside new text begin not less than
new text end 14 percent to be used as purses.

(b) From all amounts set aside under paragraph (a), the licensee shall set aside
ten percent to be deposited in the breeders fund. deleted text begin The licensee and the horseperson's
organization representing the majority of horsepersons who have raced at the racetrack
during the preceding 12 months may negotiate percentages different from those stated in
this section if the agreement is in writing and filed with the Racing Commission.
deleted text end

(c) It is the intent of the legislature that the proceeds of the card playing activities
authorized by this chapter be used to improve the horse racing industry by improving purses.
new text begin The licensee and the horseperson's organization representing the majority of horsepersons
who have raced at the racetrack during the preceding 12 months may negotiate percentages
that exceed those stated in this section if the agreement is in writing and filed with the
commission.
new text end The commission shall annually review the financial details of card playing
activities and determine if the present use of card playing proceeds is consistent with the
policy established by this paragraph. If the commission determines that the use of the
proceeds does not comply with the policy set forth herein, then the commission shall direct
the parties to make the changes necessary to ensure compliance. If these changes require
legislation, the commission shall make the appropriate recommendations to the legislature.

Sec. 16.

Minnesota Statutes 2014, section 240.15, subdivision 1, is amended to read:


Subdivision 1.

Taxes imposed.

(a) There is imposed a tax at the rate of six percent
of the amount in excess of $12,000,000 annually withheld from all pari-mutuel pools by
the licensee, including breakage and amounts withheld under section 240.13, subdivision
4
. For the purpose of this subdivision, "annually" is the period from July 1 to June 30 of
the next year.

In addition to the above tax, the licensee must designate and pay to the commission
a tax of one percent of the deleted text begin total amount bet on each racing daydeleted text end new text begin handle for live races
conducted at a class A facility
new text end , for deposit in the Minnesota breeders fund.

The taxes imposed by this clause must be paid from the amounts permitted to be
withheld by a licensee under section 240.13, subdivision 4.

(b) The commission may impose an admissions tax of not more than ten cents on
each paid admission at a licensed racetrack on a racing day if:

(1) the tax is requested by a local unit of government within whose borders the
track is located;

(2) a public hearing is held on the request; and

(3) the commission finds that the local unit of government requesting the tax is in
need of its revenue to meet extraordinary expenses caused by the racetrack.

Sec. 17.

Minnesota Statutes 2014, section 240.15, subdivision 6, is amended to read:


Subd. 6.

Disposition of proceeds; account.

The commission shall distribute all
money received under this section, and all money received from license fees and fines it
collects, according to this subdivision. All money designated for deposit in the Minnesota
breeders fund must be paid into that fund for distribution under section 240.18 except that
all money generated by deleted text begin full racing carddeleted text end simulcasts must be distributed as provided in
section 240.18, subdivisions 2, paragraph (d), clauses (1), (2), and (3); and 3. Revenue
from an admissions tax imposed under subdivision 1 must be paid to the local unit of
government at whose request it was imposed, at times and in a manner the commission
determines. Taxes received under this section and fines collected under section 240.22
must be paid to the commissioner of management and budget for deposit in the general
fund. All revenues from licenses and other fees imposed by the commission must be
deposited in the state treasury and credited to a racing and card playing regulation account
in the special revenue fund. Receipts in this account are available for the operations of the
commission up to the amount authorized in biennial appropriations from the legislature.

Sec. 18.

Minnesota Statutes 2014, section 240.16, subdivision 1, is amended to read:


Subdivision 1.

Powers and duties.

All horse races run at a licensed racetrack must
be presided over by a board of three stewards, who must be appointees of the commission or
persons approved by it. The commission shall designate one steward as chair. At least two
stewards for all races either shall be employees of the commission who shall serve in the
unclassified service, or shall be under contract with the commission to serve as stewards.
The commission may delegate the following duties and powers to a board of stewards:

(a) to ensure that races are run in accordance with the commission's rules;

(b) to supervise the conduct of racing to ensure the integrity of the sport;

(c) to settle disputes arising from the running of horse races, and to certify official
results;

(d) to impose on licensees, for violation of law or commission rules, fines not
exceeding deleted text begin $2,000deleted text end new text begin $5,000new text end and license suspensions not exceeding 90 days;

(e) to recommend to the commission where warranted penalties in excess of those
in clause (d);

(f) to otherwise enforce the laws and rules of racing; and

(g) to perform other duties and have other powers assigned by the commission.

Sec. 19.

Minnesota Statutes 2014, section 240.22, is amended to read:


240.22 FINES.

new text begin (a) new text end The commission shall by rule establish a graduated schedule of civil fines for
violations of laws related to horse racing or of the commission's rules. The schedule
must include minimum and maximum fines for each violation and be based on and
reflect the culpability, frequency and severity of the violator's actions. The commission
may impose a fine from this schedule on a licensee for a violation of those rules or laws
relating to horse racing. The fine is in addition to any criminal penalty imposed for the
same violation. Fines imposed by the commission must be paid to the commission and
new text begin except as provided in paragraph (b), new text end forwarded to the commissioner of management and
budget for deposit in the general fund. A fine in excess of deleted text begin $2,000deleted text end new text begin $5,000new text end is a contested
case under the Administrative Procedure Act.

new text begin (b) If the commission is the prevailing party in a contested case proceeding, the
commission may recover, from amounts to be forwarded under paragraph (a), reasonable
attorney fees and costs associated with the contested case.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2016.
new text end

Sec. 20.

Minnesota Statutes 2014, section 240.23, is amended to read:


240.23 RULEMAKING AUTHORITY.

The commission has the authority, in addition to all other rulemaking authority
granted elsewhere in this chapter to promulgate rules governing:

(a) the conduct of horse races held at licensed racetracks in Minnesota, including but
not limited to the rules of racing, standards of entry, operation of claiming races, filing and
handling of objections, carrying of weights, and declaration of official results;

(b) deleted text begin wiredeleted text end new text begin wired and wirelessnew text end communications between the premises of a licensed
racetrack and any place outside the premises;

(c) information on horse races which is sold on the premises of a licensed racetrack;

(d) liability insurance which it may require of all class A, class B, and class D
licensees;

(e) the auditing of the books and records of a licensee by an auditor employed
or appointed by the commission;

(f) emergency action plans maintained by licensed racetracks and their periodic
review;

(g) safety, security, and sanitation of stabling facilities at licensed racetracks;

(h) entry fees and other funds received by a licensee in the course of conducting
racing which the commission determines must be placed in escrow accounts;

(i) affirmative action in employment and contracting by class A, class B, and class D
licensees; deleted text begin and
deleted text end

new text begin (j) procedures for the sampling and testing of any horse that is eligible to race in
Minnesota for substances or practices that are prohibited by law or rule; and
new text end

deleted text begin (j)deleted text end new text begin (k)new text end any other aspect of horse racing or pari-mutuel betting which in its opinion
affects the integrity of racing or the public health, welfare, or safety.

Rules of the commission are subject to chapter 14, the Administrative Procedure Act.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 21.

Minnesota Statutes 2014, section 364.09, is amended to read:


364.09 EXCEPTIONS.

(a) This chapter does not apply to the licensing process for peace officers; to law
enforcement agencies as defined in section 626.84, subdivision 1, paragraph (f); to fire
protection agencies; to eligibility for a private detective or protective agent license; to the
licensing and background study process under chapters 245A and 245C;new text begin to the licensing
and background investigation process under chapter 240;
new text end to eligibility for school bus
driver endorsements; to eligibility for special transportation service endorsements; to
eligibility for a commercial driver training instructor license, which is governed by section
171.35 and rules adopted under that section; to emergency medical services personnel, or
to the licensing by political subdivisions of taxicab drivers, if the applicant for the license
has been discharged from sentence for a conviction within the ten years immediately
preceding application of a violation of any of the following:

(1) sections 609.185 to 609.2114, 609.221 to 609.223, 609.342 to 609.3451, or
617.23, subdivision 2 or 3; or Minnesota Statutes 2012, section 609.21;

(2) any provision of chapter 152 that is punishable by a maximum sentence of
15 years or more; or

(3) a violation of chapter 169 or 169A involving driving under the influence, leaving
the scene of an accident, or reckless or careless driving.

This chapter also shall not apply to eligibility for juvenile corrections employment, where
the offense involved child physical or sexual abuse or criminal sexual conduct.

(b) This chapter does not apply to a school district or to eligibility for a license
issued or renewed by the Board of Teaching or the commissioner of education.

(c) Nothing in this section precludes the Minnesota Police and Peace Officers
Training Board or the state fire marshal from recommending policies set forth in this
chapter to the attorney general for adoption in the attorney general's discretion to apply to
law enforcement or fire protection agencies.

(d) This chapter does not apply to a license to practice medicine that has been denied
or revoked by the Board of Medical Practice pursuant to section 147.091, subdivision 1a.

(e) This chapter does not apply to any person who has been denied a license to
practice chiropractic or whose license to practice chiropractic has been revoked by the
board in accordance with section 148.10, subdivision 7.

(f) This chapter does not apply to any license, registration, or permit that has
been denied or revoked by the Board of Nursing in accordance with section 148.261,
subdivision 1a.

(g) This chapter does not supersede a requirement under law to conduct a criminal
history background investigation or consider criminal history records in hiring for
particular types of employment.

Sec. 22. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin (a) The revisor of statutes shall renumber the subdivisions in Minnesota Statutes,
section 240.01, to put the definitions contained in that section in alphabetical order.
new text end

new text begin (b) The revisor of statutes shall correct any cross-references in Minnesota Statutes
and Minnesota Rules as a result of the renumbering in paragraph (a).
new text end

Sec. 23. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2014, section 240.01, subdivisions 12 and 23, new text end new text begin are repealed.
new text end