SF 1174

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to higher education; appropriating money for
educational and related purposes to the Higher
Education Services Office, Board of Trustees of the
Minnesota State Colleges and Universities, Board of
Regents of the University of Minnesota, and the Mayo
Medical Foundation, with certain conditions; modifying
various grant and financial aid eligibility
provisions; requiring eligible institutions to provide
certain data; providing definitions; directing the
Board of Trustees to designate centers of excellence;
amending the Minnesota college savings plan;
authorizing transfer of certain bonding authority;
amending provisions related to private career schools;
establishing fees; providing for merger with the
Higher Education Facilities Authority; making
technical, clarifying, and conforming changes;
amending Minnesota Statutes 2004, sections 13.46,
subdivision 2; 136A.01, subdivision 2; 136A.031,
subdivisions 2, 3, 4; 136A.121, subdivisions 2, 6, 9,
by adding a subdivision; 136A.125, subdivisions 2, 4;
136A.1701, by adding subdivisions; 136G.03,
subdivisions 3, 21a, 22, 32; 136G.05, subdivision 8;
136G.09, subdivisions 11, 12; 136G.11, subdivisions 1,
3, 13, by adding a subdivision; 136G.13, subdivisions
1, 5; 136G.14; 141.21, by adding a subdivision;
141.25, subdivisions 3, 5, 7, 8, 9, 12; 141.251;
141.26, subdivision 5; 141.271, subdivisions 4, 7, 10,
by adding subdivisions; 141.28, subdivision 1, by
adding a subdivision; 141.29, subdivision 3; 141.30;
141.35; 299A.45, subdivisions 1, 4; proposing coding
for new law in Minnesota Statutes, chapters 136A;
136F; 141; repealing Minnesota Statutes 2004, sections
136A.011; 136A.031, subdivision 1; 136A.25; 136A.26;
Minnesota Rules, parts 4815.0100; 4815.0110;
4815.0120; 4815.0130; 4815.0140; 4815.0150; 4815.0160;
4830.8100; 4830.8110; 4830.8120; 4830.8130; 4830.8140;
4830.8150.

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

ARTICLE 1

APPROPRIATIONS

Section 1. Higher education appropriations.

The sums in the columns marked "APPROPRIATIONS" are appropriated
from the general fund, or other named fund, to the agencies and
for the purposes specified in this article. The listing of an
amount under the figure "2006" or "2007" in this article
indicates that the amount is appropriated to be available for
the fiscal year ending June 30, 2006, or June 30, 2007,
respectively. "The first year" is fiscal year 2006. "The
second year" is fiscal year 2007. "The biennium" is fiscal
years 2006 and 2007.

SUMMARY BY FUND

2006 2007 TOTAL

General $1,385,214,000 $1,385,504,000 $2,770,718,000

Health Care
Access 2,157,000 2,157,000 4,314,000
SUMMARY BY AGENCY - ALL FUNDS

2006 2007 TOTAL

Higher Education
Services Office 172,262,000 172,152,000 344,414,000

Board of Trustees
of the Minnesota State
Colleges and
Universities 602,994,000 599,894,000 1,202,888,000

Board of Regents
of the University
of Minnesota 610,724,000 614,224,000 1,224,948,000

Mayo Medical
Foundation 1,391,000 1,391,000 2,782,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. HIGHER EDUCATION
SERVICES OFFICE

Subdivision 1.

Total
Appropriation $ 172,262,000 $ 172,152,000

The amounts that may be spent from this
appropriation for each purpose are
specified in the following subdivisions.

Subd. 2.

State Grants 140,575,000 140,575,000

If the appropriation in this
subdivision for either year is
insufficient, the appropriation for the
other year is available for it. For
the biennium, the private institution
maximum shall be $8,983 in the first
year and $8,983 in the second year for
four-year institutions and $6,913 in
the first year and $6,913 in the second
year for two-year institutions.

This appropriation sets the living and
miscellaneous expense allowance at
$5,280 in each year.

Savings in the state grant program in
fiscal years 2006 and 2007 resulting
from any changes in the federal needs
analysis formula must be used as
provided in this subdivision and under
article 2, section 7.

Subd. 3.

Interstate Tuition
Reciprocity 1,000,000 1,000,000

If the appropriation in this
subdivision for either year is
insufficient, the appropriation for the
other year is available to meet
reciprocity contract obligations.

Subd. 4.

State Work Study 12,444,000 12,444,000

Subd. 5.

Child Care Grants 4,743,000 4,743,000

Subd. 6.

Minitex 4,381,000 4,381,000

Subd. 7.

MnLINK Gateway 400,000 400,000

Subd. 8.

Learning Network
of Minnesota 4,329,000 4,329,000

Subd. 9.

Minnesota College
Savings Plan 1,120,000 1,120,000

Subd. 10.

Other Small
Programs 664,000 664,000

Of this appropriation, $100,000 each
year is for grants to increase
campus-community collaboration and
service learning statewide. For each
$1 in state funding, grant recipients
must contribute $2 in campus or
community-based support.

Subd. 11.

Agency
Administration 2,606,000 2,496,000

Of this appropriation, $100,000 in the
first year and $300,000 in the second
year is for the Higher Education
Services Office to develop and
implement a process to measure and
report on the effectiveness of
postsecondary institutions in the
state. The funding base for this
initiative in fiscal years 2008 and
2009 is $300,000 per year.

Of this appropriation, $310,000 in the
first year is for the Higher Education
Services Office to upgrade computer
program application software related to
state grant awards. This appropriation
does not cancel but is available until
expended. This is a onetime
appropriation and is not added to the
agency's base.

Subd. 12. Balances Forward

A balance in the first year under this
section does not cancel, but is
available for the second year.

Subd. 13. Transfers

The Higher Education Services Office
may transfer unencumbered balances from
the appropriations in this section to
the state grant appropriation, the
interstate tuition reciprocity
appropriation, the child care
appropriation, and the state work study
appropriation.

Subd. 14. Reporting

The Higher Education Services Office
shall collect data monthly from
institutions disbursing state financial
aid. The data collected must include,
but is not limited to, expenditures by
type to date and unexpended balances.
The Higher Education Services Office
must evaluate and report quarterly
state financial aid expenditures and
unexpended balances to the chairs of
the Higher Education Finances
Committees of the senate and house of
representatives and the commissioner of
finance. By November 1 and February
15, the Higher Education Services
Office must provide updated state grant
spending projections taking into
account the most current and projected
enrollment and tuition and fee
information, economic conditions, and
other relevant factors. Before
submitting state grant spending
projections, the Higher Education
Services Office must meet and consult
with representatives of public and
private postsecondary education, the
Department of Finance, Governor's
Office, legislative staff, and
financial aid administrators.

Sec. 3. BOARD OF TRUSTEES OF THE MINNESOTA
STATE COLLEGES AND UNIVERSITIES

Subdivision 1.

Total
Appropriation 602,994,000 599,894,000

The amounts that may be spent from this
appropriation for each purpose are
specified in the following subdivisions.

Subd. 2.

General Appropriation 565,494,000 562,394,000

Of this appropriation, $9,000,000 the
first year and $5,000,000 the second
year are for the board to strengthen
and expand its Minnesota on-line
program.

Of this appropriation, $4,800,000 the
first year and $5,200,000 the second
year are for the board to increase its
capacity for training nurses.

Of this appropriation, $2,500,000 the
first year and $3,000,000 the second
year are to provide resources for the
board to establish an innovations fund.

Of this appropriation, $1,500,000 each
year is for the board to address the
management education needs of farm and
small business owners.

Subd. 3.

Allocation Framework 25,000,000 25,000,000

The appropriation in this subdivision
is for the board to reinvest in its
member colleges and universities,
through fully funding its allocation
framework.

Subd. 4.

Centers of Excellence and
Competitive Salaries 12,500,000 12,500,000

Of this appropriation, $10,000,000 each
year is for the board to support
designated centers of excellence, as
provided under article 2, section 16.

Of this appropriation, $2,500,000 each
year is for the board to make incentive
payments to faculty or staff for
initiatives that promote excellence in
student learning. To the extent
practicable, the board must make
payments under this paragraph available
first to faculty or staff associated
with a designated center of excellence.

Sec. 4. BOARD OF REGENTS OF THE
UNIVERSITY OF MINNESOTA

Subdivision 1.

Total
Appropriation 608,567,000 612,067,000

The amounts that may be spent from this
appropriation for each purpose are
specified in the following subdivisions.

Subd. 2.

Operations and
Maintenance 545,200,000 548,700,000

Of this amount, $15,000,000 in the
first year is for the collaborative
research partnership for biotechnology
and medical genomics of the university
and the Mayo Foundation. This is a
onetime appropriation that is to be
evenly divided between the two
partnering organizations. This
appropriation must be matched dollar
for dollar by nonstate funds. The
state funds must be made available
after certification to the director of
the Higher Education Services Office of
the nonstate match. An annual report
on the expenditure of these funds must
be submitted to the governor and to the
chairs of the senate Higher Education
Budget Division and the house Higher
Education Finance Committee by June 30
of each fiscal year. This
appropriation is available until June
30, 2007.

Of this amount, $12,000,000 the first
year and $24,000,000 the second year is
for academic initiatives that are part
of the board's biosciences for a
healthy society initiative.

Of this amount, $5,000,000 the first
year and $10,000,000 the second year is
to award faculty compensation increases
differentially.

Of this amount, $20,000,000 the first
year and $15,000,000 the second year is
for research support. The funding base
for this initiative in fiscal years
2008 and 2009 is $15,000,000 per year.

Of this amount, $6,500,000 the first
year and $13,000,000 the second year is
for initiatives to attract and retain
students.

Subd. 3.

Health Care Access Fund 2,157,000 2,157,000

This appropriation is from the health
care access fund and is for primary
care education initiatives.

Subd. 4.

Special
Appropriation 63,367,000 63,367,000

(a) Agriculture and Extension Service

50,625,000 50,625,000

This appropriation is for the
Agricultural Experiment Station,
Minnesota Extension Service.

(b) Health Sciences

4,929,000 4,929,000

This appropriation is for the rural
physicians associates program, the
Veterinary Diagnostic Laboratory,
health sciences research, dental care,
and the Biomedical Engineering Center.

(c) Institute of Technology

1,387,000 1,387,000

This appropriation is for the
Geological Survey and the Talented
Youth Mathematics Program.

(d) System Specials

6,426,000 6,426,000

This appropriation is for general
research, student loans matching money,
industrial relations education, Natural
Resources Research Institute, Center
for Urban and Regional Affairs, Bell
Museum of Natural History, and the
Humphrey exhibit.

Subd. 5.

Academic Health Center

The appropriation to the Academic
Health Center under Minnesota Statutes,
section 297F.10, is anticipated to be
$21,594,000 in the first year and
$21,379,000 in the second year.

Sec. 5. MAYO MEDICAL FOUNDATION

Subdivision 1.

Total
Appropriation 1,391,000 1,391,000

The amounts that may be spent from this
appropriation for each purpose are
specified in the following subdivisions.

Subd. 2.

Medical School 514,000 514,000

The state of Minnesota must pay a
capitation each year for each student
who is a resident of Minnesota. The
appropriation may be transferred
between years of the biennium to
accommodate enrollment fluctuations.

It is intended that during the biennium
the Mayo Foundation use the capitation
money to increase the number of doctors
practicing in rural areas in need of
doctors.

Subd. 3.

Family Practice and
Graduate Residency Program 531,000 531,000

The state of Minnesota must pay a
capitation of up to 27 residents each
year.

Subd. 4.

St. Cloud Hospital-Mayo Family
Practice Residency Program

346,000 346,000

This appropriation is to the Mayo
Foundation to support 12 resident
physicians each year in the St. Cloud
Hospital-Mayo family practice residency
program. The program must prepare
doctors to practice primary care
medicine in the rural areas of the
state. It is intended that this
program will improve health care in
rural communities, provide affordable
access to appropriate medical care, and
manage the treatment of patients in a
more cost-effective manner.

Sec. 6. HEFA BALANCES TRANSFER

Up to $390,000 of the amount
transferred under article 4, section 1,
is appropriated to the Higher Education
Services Office for the fiscal year
ending June 30, 2006. The remaining
balance must be transferred to the
general fund.

ARTICLE 2

RELATED PROVISIONS

Section 1.

Minnesota Statutes 2004, section 13.46,
subdivision 2, is amended to read:

Subd. 2.

General.

(a) Unless the data is summary data or
a statute specifically provides a different classification, data
on individuals collected, maintained, used, or disseminated by
the welfare system is private data on individuals, and shall not
be disclosed except:

(1) according to section 13.05;

(2) according to court order;

(3) according to a statute specifically authorizing access
to the private data;

(4) to an agent of the welfare system, including a law
enforcement person, attorney, or investigator acting for it in
the investigation or prosecution of a criminal or civil
proceeding relating to the administration of a program;

(5) to personnel of the welfare system who require the data
to verify an individual's identity; determine eligibility,
amount of assistance, and the need to provide services to an
individual or family across programs; evaluate the effectiveness
of programs; and investigate suspected fraud;

(6) to administer federal funds or programs;

(7) between personnel of the welfare system working in the
same program;

(8) to the Department of Revenue to administer and evaluate
tax refund or tax credit programs and to identify individuals
who may benefit from these programs. The following information
may be disclosed under this paragraph: an individual's and
their dependent's names, dates of birth, Social Security
numbers, income, addresses, and other data as required, upon
request by the Department of Revenue. Disclosures by the
commissioner of human services for the purposes described in
this clause are governed by section 270B.14, subdivision 1. Tax
refund or tax credit programs include, but are not limited to,
the dependent care credit under section 290.067, the Minnesota
working family credit under section 290.0671, the property tax
refund and rental credit under section 290A.04, and the
Minnesota education credit under section 290.0674;

(9) between the Department of Human Services, the
Department of Education, and the Department of Employment and
Economic Development for the purpose of monitoring the
eligibility of the data subject for unemployment benefits, for
any employment or training program administered, supervised, or
certified by that agency, for the purpose of administering any
rehabilitation program or child care assistance program, whether
alone or in conjunction with the welfare system, or to monitor
and evaluate the Minnesota family investment program by
exchanging data on recipients and former recipients of food
support, cash assistance under chapter 256, 256D, 256J, or 256K,
child care assistance under chapter 119B, or medical programs
under chapter 256B, 256D, or 256L;

(10) to appropriate parties in connection with an emergency
if knowledge of the information is necessary to protect the
health or safety of the individual or other individuals or
persons;

(11) data maintained by residential programs as defined in
section 245A.02 may be disclosed to the protection and advocacy
system established in this state according to Part C of Public
Law 98-527 to protect the legal and human rights of persons with
mental retardation or other related conditions who live in
residential facilities for these persons if the protection and
advocacy system receives a complaint by or on behalf of that
person and the person does not have a legal guardian or the
state or a designee of the state is the legal guardian of the
person;

(12) to the county medical examiner or the county coroner
for identifying or locating relatives or friends of a deceased
person;

(13) data on a child support obligor who makes payments to
the public agency may be disclosed to the Higher Education
Services Office to the extent necessary to determine eligibility
under deleted text begin section deleted text end new text begin sections new text end 136A.121, subdivision 2, clause (5) new text begin , and
136A.125, subdivision 2, clause (8) new text end ;

(14) participant Social Security numbers and names
collected by the telephone assistance program may be disclosed
to the Department of Revenue to conduct an electronic data match
with the property tax refund database to determine eligibility
under section 237.70, subdivision 4a;

(15) the current address of a Minnesota family investment
program participant may be disclosed to law enforcement officers
who provide the name of the participant and notify the agency
that:

(i) the participant:

(A) is a fugitive felon fleeing to avoid prosecution, or
custody or confinement after conviction, for a crime or attempt
to commit a crime that is a felony under the laws of the
jurisdiction from which the individual is fleeing; or

(B) is violating a condition of probation or parole imposed
under state or federal law;

(ii) the location or apprehension of the felon is within
the law enforcement officer's official duties; and

(iii) the request is made in writing and in the proper
exercise of those duties;

(16) the current address of a recipient of general
assistance or general assistance medical care may be disclosed
to probation officers and corrections agents who are supervising
the recipient and to law enforcement officers who are
investigating the recipient in connection with a felony level
offense;

(17) information obtained from food support applicant or
recipient households may be disclosed to local, state, or
federal law enforcement officials, upon their written request,
for the purpose of investigating an alleged violation of the
Food Stamp Act, according to Code of Federal Regulations, title
7, section 272.1(c);

(18) the address, Social Security number, and, if
available, photograph of any member of a household receiving
food support shall be made available, on request, to a local,
state, or federal law enforcement officer if the officer
furnishes the agency with the name of the member and notifies
the agency that:

(i) the member:

(A) is fleeing to avoid prosecution, or custody or
confinement after conviction, for a crime or attempt to commit a
crime that is a felony in the jurisdiction the member is
fleeing;

(B) is violating a condition of probation or parole imposed
under state or federal law; or

(C) has information that is necessary for the officer to
conduct an official duty related to conduct described in subitem
(A) or (B);

(ii) locating or apprehending the member is within the
officer's official duties; and

(iii) the request is made in writing and in the proper
exercise of the officer's official duty;

(19) the current address of a recipient of Minnesota family
investment program, general assistance, general assistance
medical care, or food support may be disclosed to law
enforcement officers who, in writing, provide the name of the
recipient and notify the agency that the recipient is a person
required to register under section 243.166, but is not residing
at the address at which the recipient is registered under
section 243.166;

(20) certain information regarding child support obligors
who are in arrears may be made public according to section
518.575;

(21) data on child support payments made by a child support
obligor and data on the distribution of those payments excluding
identifying information on obligees may be disclosed to all
obligees to whom the obligor owes support, and data on the
enforcement actions undertaken by the public authority, the
status of those actions, and data on the income of the obligor
or obligee may be disclosed to the other party;

(22) data in the work reporting system may be disclosed
under section 256.998, subdivision 7;

(23) to the Department of Education for the purpose of
matching Department of Education student data with public
assistance data to determine students eligible for free and
reduced price meals, meal supplements, and free milk according
to United States Code, title 42, sections 1758, 1761, 1766,
1766a, 1772, and 1773; to allocate federal and state funds that
are distributed based on income of the student's family; and to
verify receipt of energy assistance for the telephone assistance
plan;

(24) the current address and telephone number of program
recipients and emergency contacts may be released to the
commissioner of health or a local board of health as defined in
section 145A.02, subdivision 2, when the commissioner or local
board of health has reason to believe that a program recipient
is a disease case, carrier, suspect case, or at risk of illness,
and the data are necessary to locate the person;

(25) to other state agencies, statewide systems, and
political subdivisions of this state, including the attorney
general, and agencies of other states, interstate information
networks, federal agencies, and other entities as required by
federal regulation or law for the administration of the child
support enforcement program;

(26) to personnel of public assistance programs as defined
in section 256.741, for access to the child support system
database for the purpose of administration, including monitoring
and evaluation of those public assistance programs;

(27) to monitor and evaluate the Minnesota family
investment program by exchanging data between the Departments of
Human Services and Education, on recipients and former
recipients of food support, cash assistance under chapter 256,
256D, 256J, or 256K, child care assistance under chapter 119B,
or medical programs under chapter 256B, 256D, or 256L;

(28) to evaluate child support program performance and to
identify and prevent fraud in the child support program by
exchanging data between the Department of Human Services,
Department of Revenue under section 270B.14, subdivision 1,
paragraphs (a) and (b), without regard to the limitation of use
in paragraph (c), Department of Health, Department of Employment
and Economic Development, and other state agencies as is
reasonably necessary to perform these functions; or

(29) counties operating child care assistance programs
under chapter 119B may disseminate data on program participants,
applicants, and providers to the commissioner of education.

(b) Information on persons who have been treated for drug
or alcohol abuse may only be disclosed according to the
requirements of Code of Federal Regulations, title 42, sections
2.1 to 2.67.

(c) Data provided to law enforcement agencies under
paragraph (a), clause (15), (16), (17), or (18), or paragraph
(b), are investigative data and are confidential or protected
nonpublic while the investigation is active. The data are
private after the investigation becomes inactive under section
13.82, subdivision 5, paragraph (a) or (b).

(d) Mental health data shall be treated as provided in
subdivisions 7, 8, and 9, but is not subject to the access
provisions of subdivision 10, paragraph (b).

For the purposes of this subdivision, a request will be
deemed to be made in writing if made through a computer
interface system.

Sec. 2.

Minnesota Statutes 2004, section 136A.01,
subdivision 2, is amended to read:

Subd. 2.

Responsibilities.

The Higher Education Services
Office is responsible for:

(1) necessary state level administration of financial aid
programs, including accounting, auditing, and disbursing state
and federal financial aid funds, and reporting on financial aid
programs to the governor and the legislature;

(2) approval, registration, licensing, and financial aid
eligibility of private collegiate and career schools, under
sections 136A.61 to 136A.71 and chapter 141;

(3) administering the Telecommunications Council under Laws
1993, First Special Session chapter 2, article 5, section 2, the
Learning Network of Minnesota, and the Statewide Library Task
Force;

(4) negotiating and administering reciprocity agreements;

(5) publishing and distributing financial aid information
and materials, and other information and materials under section
136A.87, to students and parents;

(6) collecting and maintaining deleted text begin student enrollment and
financial aid data deleted text end new text begin and reporting data on students and
postsecondary institutions to measure progress in student
learning and the effective use of public resources new text end ;

(7) administering the federal programs that affect students
and institutions on a statewide basis; and

(8) prescribing policies, procedures, and rules under
chapter 14 necessary to administer the programs under its
supervision.

Sec. 3.

Minnesota Statutes 2004, section 136A.031,
subdivision 2, is amended to read:

Subd. 2.

Higher education advisory council.

A Higher
Education Advisory Council (HEAC) is established. The HEAC is
composed of the president of the University of Minnesota or
designee; the chancellor of the Minnesota State Colleges and
Universities or designee; the commissioner of education; the
president of the Private College Council; a representative from
the Minnesota Association of Private Postsecondary Schools; and
a member appointed by the governor. The HEAC shall deleted text begin (1) deleted text end bring to
the attention of the Higher Education Services deleted text begin Council deleted text end new text begin Office
new text end any matters that the HEAC deems necessary deleted text begin , and (2) review and
comment upon matters before the council. The council shall
refer all proposals to the HEAC before submitting
recommendations to the governor and the legislature. The
council shall provide time for a report from the HEAC at each
meeting of the council deleted text end .

Sec. 4.

Minnesota Statutes 2004, section 136A.031,
subdivision 3, is amended to read:

Subd. 3.

Student advisory council.

A Student Advisory
Council (SAC) to the Higher Education Services deleted text begin Council deleted text end new text begin Office new text end is
established. The members of SAC shall include: the chair of
the University of Minnesota student senate; the state chair of
the Minnesota State University Student Association; the
president of the Minnesota State College Student Association and
an officer of the Minnesota State College Student Association,
one in a community college course of study and one in a
technical college course of study; the president of the
Minnesota Association of Private College Students; and a student
who is enrolled in a private vocational school, to be appointed
by the Minnesota deleted text begin Association of Private Postsecondary Schools
deleted text end new text begin Career Colleges Association new text end . A member may be represented by a
student designee who attends an institution from the same system
that the absent member represents. The SAC shall select one of
its members to serve as chair.

The Higher Education Services deleted text begin Council deleted text end new text begin Office new text end shall inform
the SAC of all matters related to student issues under
consideration and shall refer all proposals to the SAC before
taking action or sending the proposals to the governor or
legislature. The SAC shall report to the Higher Education
Services deleted text begin Council deleted text end new text begin Office new text end quarterly and at other times that the
SAC considers desirable. The SAC shall determine its meeting
times, but it shall also meet with the council within 30 days
after the director's request for a meeting.

The SAC shall:

(1) bring to the attention of the Higher Education Services
deleted text begin Council deleted text end new text begin Office new text end any matter that the SAC believes needs the
attention of the deleted text begin council deleted text end new text begin office new text end ; new text begin and
new text end

(2) make recommendations to the Higher Education Services
deleted text begin Council deleted text end new text begin Office new text end as it finds appropriate deleted text begin ;
deleted text end

deleted text begin (3) appoint student members to the Higher Education
Services Council advisory groups as provided in subdivision 4;
and
deleted text end

deleted text begin (4) provide any reasonable assistance to the council deleted text end .

Sec. 5.

Minnesota Statutes 2004, section 136A.031,
subdivision 4, is amended to read:

Subd. 4.

Student representation.

If requested by the
SAC, the director must place at least one student from an
affected educational system on any task force created under
subdivision 1. deleted text begin The student member or members shall be appointed
by the SAC.
deleted text end

Sec. 6.

Minnesota Statutes 2004, section 136A.121,
subdivision 2, is amended to read:

Subd. 2.

Eligibility for grants.

An applicant is
eligible to be considered for a grant, regardless of the
applicant's sex, creed, race, color, national origin, or
ancestry, under sections 136A.095 to 136A.131 if the office
finds that the applicant:

(1) is a resident of the state of Minnesota;

(2) is a graduate of a secondary school or its equivalent,
or is 17 years of age or over, and has met all requirements for
admission as a student to an eligible college or technical
college of choice as defined in sections 136A.095 to 136A.131;

(3) has met the financial need criteria established in
Minnesota Rules;

(4) is not in default, as defined by the office, of any
federal or state student educational loan; and

(5) is not more than 30 days in arrears deleted text begin for any deleted text end new text begin in
court-ordered new text end child support deleted text begin payments owed to a deleted text end new text begin that is collected
or enforced by the new text end public deleted text begin agency deleted text end new text begin authority new text end responsible for child
support enforcement or, if the applicant is more than 30 days in
arrears new text begin in court-ordered child support that is collected or
enforced by the public authority responsible for child support
enforcement new text end , new text begin but new text end is complying with a written payment
agreement new text begin under section 518.553 new text end or order for arrearages. deleted text begin An
agreement must provide for a repayment of arrearages at no less
than 20 percent per month of the amount of the monthly child
support obligation or no less than $30 per month if there is no
current monthly child support obligation. Compliance means that
payments are made by the payment date.
deleted text end

deleted text begin The director and the commissioner of human services shall
develop procedures to implement clause (5).
deleted text end

Sec. 7.

Minnesota Statutes 2004, section 136A.121,
subdivision 6, is amended to read:

Subd. 6.

Cost of attendance.

(a) The recognized cost of
attendance consists of allowances specified in law for living
and miscellaneous expenses, and an allowance for tuition and
fees equal to the lesser of the deleted text begin average deleted text end new text begin actual new text end tuition and fees
charged by the institution, or the tuition and fee maximums
established in law.

(b) For a student registering for less than full time, the
office shall prorate the cost of attendance to the actual number
of credits for which the student is enrolled.

The recognized cost of attendance for a student who is
confined to a Minnesota correctional institution shall consist
of the tuition and fee component in paragraph (a), with no
allowance for living and miscellaneous expenses.

For the purpose of this subdivision, "fees" include only
those fees that are mandatory and charged to full-time resident
students attending the institution.

Sec. 8.

Minnesota Statutes 2004, section 136A.121,
subdivision 9, is amended to read:

Subd. 9.

Awards.

An undergraduate student who meets the
office's requirements is eligible to apply for and receive a
grant in any year of undergraduate study unless the student has
obtained a baccalaureate degree or previously has been enrolled
full time or the equivalent for eight semesters or the
equivalent, excluding courses taken from a Minnesota school or
postsecondary institution which is not participating in the
state grant program and from which a student transferred no
credit. new text begin A student who withdraws from enrollment for active
military service is entitled to an additional semester of grant
eligibility. new text end A student enrolled in a two-year program at a
four-year institution is only eligible for the tuition and fee
maximums established by law for two-year institutions.

Sec. 9.

Minnesota Statutes 2004, section 136A.121, is
amended by adding a subdivision to read:

new text begin Subd. 18. new text end

new text begin Data. new text end

new text begin An eligible institution must provide to
the office student enrollment, financial aid, financial, and
other data as determined by the director, to enable the office
to carry out its responsibilities under chapter 136A.
new text end

Sec. 10.

Minnesota Statutes 2004, section 136A.125,
subdivision 2, is amended to read:

Subd. 2.

Eligible students.

An applicant is eligible for
a child care grant if the applicant:

(1) is a resident of the state of Minnesota;

(2) has a child 12 years of age or younger, or 14 years of
age or younger who is handicapped as defined in section 125A.02,
and who is receiving or will receive care on a regular basis
from a licensed or legal, nonlicensed caregiver;

(3) is income eligible as determined by the office's
policies and rules, but is not a recipient of assistance from
the Minnesota family investment program;

(4) has not earned a baccalaureate degree and has been
enrolled full time less than eight semesters or the equivalent;

(5) is pursuing a nonsectarian program or course of study
that applies to an undergraduate degree, diploma, or
certificate;

(6) is enrolled at least half time in an eligible
institution; deleted text begin and
deleted text end

(7) is in good academic standing and making satisfactory
academic progress new text begin ; and
new text end

new text begin (8) is not more than 30 days in arrears in court-ordered
child support that is collected or enforced by the public
authority responsible for child support enforcement or, if the
applicant is more than 30 days in arrears in court-ordered child
support that is collected or enforced by the public authority
responsible for child support enforcement, but is complying with
a written payment agreement under section 518.553 or order for
arrearages new text end .

Sec. 11.

Minnesota Statutes 2004, section 136A.125,
subdivision 4, is amended to read:

Subd. 4.

Amount and length of grants.

The amount of a
child care grant must be based on:

(1) the income of the applicant and the applicant's spouse;

(2) the number in the applicant's family, as defined by the
office; and

(3) the number of eligible children in the applicant's
family.

The maximum award to the applicant shall be $2,200 for each
eligible child per academic year, except that the campus
financial aid officer may apply to the office for approval to
increase grants by up to ten percent to compensate for higher
market charges for infant care in a community. new text begin A student who
withdraws from enrollment for active military service is
entitled to an additional semester of grant eligibility. new text end The
office shall develop policies to determine community market
costs and review institutional requests for compensatory grant
increases to ensure need and equal treatment. The office shall
prepare a chart to show the amount of a grant that will be
awarded per child based on the factors in this subdivision. The
chart shall include a range of income and family size.

Sec. 12.

Minnesota Statutes 2004, section 136A.1701, is
amended by adding a subdivision to read:

new text begin Subd. 11. new text end

new text begin Data. new text end

new text begin An eligible institution must provide to
the office student enrollment, financial aid, financial, and
other data as determined by the director, to enable the office
to carry out its responsibilities under chapter 136A.
new text end

Sec. 13.

Minnesota Statutes 2004, section 136A.1701, is
amended by adding a subdivision to read:

new text begin Subd. 12. new text end

new text begin Eligible student. new text end

new text begin "Eligible student" means a
student who is a Minnesota resident who is enrolled or accepted
for enrollment at an eligible institution in Minnesota or in
another state or province. Non-Minnesota residents are eligible
students if they are enrolled or accepted for enrollment at an
eligible institution in Minnesota and will be physically
attending classes in Minnesota for at least 50 percent of the
academic term. Non-Minnesota resident students not physically
attending classes in Minnesota due to an approved study abroad
program for 12 months or less are eligible students.
Non-Minnesota residents enrolled in study abroad programs
exceeding 12 months are not eligible students.
new text end

Sec. 14.

new text begin [136A.1703] INCOME-CONTINGENT LOANS.
new text end

new text begin The office shall administer an income-contingent loan
repayment program to assist graduates of Minnesota schools in
medicine, dentistry, pharmacy, chiropractic medicine, public
health, and veterinary medicine, and Minnesota residents
graduating from optometry and osteopathy programs. Applicant
data collected by the office for this program may be disclosed
to a consumer credit reporting agency under the same conditions
as those that apply to the supplemental loan program under
section 136A.162. No new applicants may be accepted after June
30, 1995.
new text end

Sec. 15.

new text begin [136A.1785] LOAN CAPITAL FUND.
new text end

new text begin The office may deposit and hold assets derived from the
operation of its student loan programs authorized by this
chapter in a fund known as the loan capital fund. Assets in the
loan capital fund are available to the office solely for
carrying out the purposes and terms of sections 136A.15 to
136A.1702, including, but not limited to, making student loans
authorized by this chapter, paying administrative expenses
associated with the operation of its student loan programs,
repurchasing defaulted student loans, and paying expenses in
connection with the issuance of revenue bonds authorized under
this chapter. Assets in the loan capital fund may be invested
as provided in sections 11A.24 and 136A.16, subdivision 8. All
interest and earnings from the investment of the loan capital
fund inure to the benefit of the fund and are deposited into the
fund.
new text end

Sec. 16.

new text begin [136F.31] CENTERS OF EXCELLENCE.
new text end

new text begin Subdivision 1. new text end

new text begin Board designation. new text end

new text begin The board must
designate at least three and up to eight different program
centers of excellence in manufacturing technology,
science/engineering, health care, information technology,
business, and teacher education. The board must determine the
form and required information contained in applications from
member institutions. A center of excellence must include no
more than one state university working with up to two community
and technical colleges.
new text end

new text begin Subd. 2. new text end

new text begin Center selection criteria. new text end

new text begin The board must
select programs based on institutional proposals demonstrating:
new text end

new text begin (1) a comprehensive academic plan that includes a seamless
continuum of academic offerings in the program area including
associate, baccalaureate, and customized training and continuing
education;
new text end

new text begin (2) a specific development plan that includes a description
of how the institution will pursue continuous improvement,
accountability and work toward becoming nationally recognized;
new text end

new text begin (3) identified commitments from employers that include a
measurable financial and programmatic commitment to the center
of excellence on the part of employers who will benefit from the
development of the center. A center for teacher education must
demonstrate support from local school districts;
new text end

new text begin (4) a commitment from the institution that demonstrates
support from the entire institution for the proposal, and that
new designated funding will not supplant current budgets for the
programs; and
new text end

new text begin (5) a separate endowment amount created for the program
within current institutional foundations.
new text end

new text begin Subd. 3. new text end

new text begin Advisory committee and reports required. new text end

new text begin A
center of excellence must create an advisory committee
representing local, statewide, and national leaders in the
field. By January 15 of each odd-numbered year, each designated
center must provide a report to the governor and the chairs of
the senate Higher Education Budget Division and the house Higher
Education Finance Committee that includes annual and integrated
data on program enrollment, student demographics, student
admission data, endowment growth, graduation rates, graduation
outcomes, employer involvement, and other outcomes as determined
by the board. A report under this subdivision must also include
the use of any funds made available by a legislative
appropriation for incentive payments to faculty or staff.
new text end

Sec. 17.

Minnesota Statutes 2004, section 136G.03,
subdivision 3, is amended to read:

Subd. 3.

Account owner.

"Account owner" means a person
who enters into a participation agreement and is entitled
to deleted text begin select or change deleted text end new text begin conduct transactions on the account,
including selecting and changing new text end the beneficiary of an account
deleted text begin or to receive deleted text end new text begin and receiving new text end distributions from the account deleted text begin for
other than payment of qualified higher education expenses deleted text end .

Sec. 18.

Minnesota Statutes 2004, section 136G.03,
subdivision 21a, is amended to read:

Subd. 21a.

Minor trust account.

"Minor trust account"
means a Uniform Gift to Minors Act account deleted text begin , deleted text end new text begin or new text end a Uniform
Transfers to Minors Act account deleted text begin , or a trust instrument naming a
minor person as beneficiary, deleted text end created and operating under the
laws of Minnesota or another state.

Sec. 19.

Minnesota Statutes 2004, section 136G.03,
subdivision 22, is amended to read:

Subd. 22.

Nonqualified distribution.

"Nonqualified
distribution" means a distribution made from an account other
than (1) a qualified distribution; or (2) a distribution due to
the death or disability of, or scholarship to, new text begin or attendance at
a United States military academy by, new text end a beneficiary.

Sec. 20.

Minnesota Statutes 2004, section 136G.03,
subdivision 32, is amended to read:

Subd. 32.

Scholarship.

"Scholarship" means a
scholarship deleted text begin , deleted text end new text begin or educational assistance new text end allowance deleted text begin , or payment
under section 529(b)(3)(C) of the Internal Revenue Code deleted text end .

Sec. 21.

Minnesota Statutes 2004, section 136G.05,
subdivision 8, is amended to read:

Subd. 8.

Administration.

The director shall administer
the program, including accepting and processing applications,
maintaining account records, making payments, making matching
grants under section 136G.11, and undertaking any other
necessary tasks to administer the program. The office may
contract with one or more third parties to carry out some or all
of these administrative duties, including deleted text begin promotion deleted text end new text begin providing
incentives new text end and marketing deleted text begin of deleted text end the program. The office and the
board may jointly contract with third-party providers, if the
office and board determine that it is desirable to contract with
the same entity or entities for administration and investment
management.

Sec. 22.

Minnesota Statutes 2004, section 136G.09,
subdivision 11, is amended to read:

Subd. 11.

Effect of plan changes on participation
agreement.

Amendments to sections 136G.01 to 136G.13
automatically amend the participation agreement. Any amendments
to the operating procedures and policies of the plan shall
new text begin automatically new text end amend the participation agreement deleted text begin 30 days deleted text end after
adoption by the office or the board.

Sec. 23.

Minnesota Statutes 2004, section 136G.09,
subdivision 12, is amended to read:

Subd. 12.

Special account to hold plan assets in trust.

All assets of the plan, including contributions to accounts and
matching grant accounts and earnings, are held in trust for the
exclusive benefit of account owners and beneficiaries. Assets
must be held in a separate account in the state treasury to be
known as the Minnesota college savings plan account new text begin or in
accounts with the third party provider selected pursuant to
section 136G.05, subdivision 8 new text end . Plan assets are not subject to
claims by creditors of the state, are not part of the general
fund, and are not subject to appropriation by the state.
Payments from the Minnesota college savings plan account shall
be made under sections 136G.01 to 136G.13.

Sec. 24.

Minnesota Statutes 2004, section 136G.11,
subdivision 1, is amended to read:

Subdivision 1.

Matching grant qualification.

By June 30
of each year, a state matching grant must be added to each
account established under the program if the following
conditions are met:

(1) the contributor applies, in writing in a form
prescribed by the director, for a matching grant;

(2) a minimum contribution of $200 was made during the
preceding calendar year; deleted text begin and
deleted text end

(3) new text begin the beneficiary's family meets Minnesota college
savings plan residency requirements; and
new text end

new text begin (4) new text end the family income of the beneficiary did not exceed
$80,000.

Sec. 25.

Minnesota Statutes 2004, section 136G.11,
subdivision 3, is amended to read:

Subd. 3.

Residency requirement.

(a) If the beneficiary
is under age 25, the beneficiary's parents or legal guardians
must be Minnesota residents to qualify for a matching grant. If
the beneficiary is age 25 or older, the beneficiary must be a
Minnesota resident to qualify for a matching grant.

(b) To meet the residency requirements, the parent or legal
guardian of beneficiaries under age 25 must have filed a
Minnesota individual income tax return as a Minnesota resident
and claimed the beneficiary as a dependent on the parent or
legal guardian's federal tax return for the calendar year in
which contributions were made. new text begin If the beneficiary's parents are
divorced, the parent or legal guardian claiming the beneficiary
as a dependent on the federal individual income tax return must
be a Minnesota resident. new text end For beneficiaries age 25 or older, the
beneficiary, and a spouse, if any, must have filed a Minnesota
and a federal individual income tax return as a Minnesota
resident for the calendar year in which contributions were made.

(c) A parent of beneficiaries under age 25 and
beneficiaries age 25 or older who did not reside in Minnesota in
the calendar year in which contributions were made are not
eligible for a matching grant.

Sec. 26.

Minnesota Statutes 2004, section 136G.11, is
amended by adding a subdivision to read:

new text begin Subd. 3a. new text end

new text begin Family income. new text end

new text begin (a) For purposes of this
section, "family income" means:
new text end

new text begin (1) if the beneficiary is under age 25, the combined
adjusted gross income of the beneficiary's parents or legal
guardians as reported on the federal tax return or returns for
the calendar year in which contributions were made. If the
beneficiary's parents or legal guardians are divorced, the
income of the parent claiming the beneficiary as a dependent on
the federal individual income tax return and the income of that
parent's spouse, if any, is used to determine family income; or
new text end

new text begin (2) if the beneficiary is age 25 or older, the combined
adjusted gross income of the beneficiary and spouse, if any.
new text end

new text begin (b) For a parent or legal guardian of beneficiaries under
age 25 and for beneficiaries age 25 or older who resided in
Minnesota and filed a federal individual income tax return, the
matching grant must be based on family income from the calendar
year in which contributions were made.
new text end

Sec. 27.

Minnesota Statutes 2004, section 136G.11,
subdivision 13, is amended to read:

Subd. 13.

Forfeiture of matching grants.

(a) Matching
grants are forfeited if:

(1) the account owner transfers the total account balance
of an account to another account or to another qualified tuition
program;

(2) the beneficiary receives a full tuition scholarship or
deleted text begin admission to deleted text end new text begin is attending new text end a United States service academy;

(3) the beneficiary dies or becomes disabled;

(4) the account owner changes the beneficiary of the
account; or

(5) the account owner closes the account with a
nonqualified withdrawal.

(b) Matching grants must be proportionally forfeited if:

(1) the account owner transfers a portion of an account to
another account or to another qualified tuition program;

(2) the beneficiary receives a scholarship covering a
portion of qualified higher education expenses; or

(3) the account owner makes a partial nonqualified
withdrawal.

(c) If the account owner makes a misrepresentation in a
participation agreement or an application for a matching grant
that results in a matching grant, the matching grant associated
with the misrepresentation is forfeited. The office and the
board must instruct the plan administrator as to the amount to
be forfeited from the matching grant account. The office and
the board must withdraw the matching grant or the proportion of
the matching grant that is related to the misrepresentation.

Sec. 28.

Minnesota Statutes 2004, section 136G.13,
subdivision 1, is amended to read:

Subdivision 1.

Qualified distribution methods.

(a)
Qualified distributions may be made:

(1) directly to participating eligible educational
institutions on behalf of the beneficiary; deleted text begin or
deleted text end

(2) in the form of a check payable to both the beneficiary
and the eligible educational institution new text begin ; or
new text end

new text begin (3) directly to the account owner or beneficiary if the
account owner or beneficiary has already paid qualified higher
education expenses new text end .

(b) Qualified distributions must be withdrawn
proportionally from contributions and earnings in an account
owner's account on the date of distribution as provided in
section 529 of the Internal Revenue Code.

Sec. 29.

Minnesota Statutes 2004, section 136G.13,
subdivision 5, is amended to read:

Subd. 5.

Distributions due to death or disability of, or
scholarship to, new text begin or attendance at a united states military
academy by, new text end a beneficiary.

An account owner may request a
distribution due to the death or disability of, or scholarship
to, new text begin or attendance at a United States military academy by, new text end a
beneficiary from an account by submitting a completed request to
the plan. Prior to distribution, the account owner shall
certify the reason for the distribution and provide written
confirmation from a third party that the beneficiary has died,
become disabled, or received a scholarship for attendance at an
eligible educational institution new text begin , or is attending a United
States military academy new text end . The plan must not consider a request
to make a distribution until a third-party written confirmation
is received by the plan. For purposes of this subdivision, a
third-party written confirmation consists of the following:

(1) for death of the beneficiary, a certified copy of the
beneficiary's death record;

(2) for disability of the beneficiary, a certification by a
physician who is a doctor of medicine or osteopathy stating that
the doctor is legally authorized to practice in a state of the
United States and that the beneficiary is unable to attend any
eligible educational institution because of an injury or illness
that is expected to continue indefinitely or result in death.
Certification must be on a form approved by the plan; deleted text begin or
deleted text end

(3) for a scholarship award to the beneficiary, a letter
from the grantor of the scholarship or from the eligible
educational institution receiving or administering the
scholarship, that identifies the beneficiary by name and Social
Security number or taxpayer identification number as the
recipient of the scholarship and states the amount of the
scholarship, the period of time or number of credits or units to
which it applies, the date of the scholarship, and, if
applicable, the eligible educational institution to which the
scholarship is to be applied new text begin ; or
new text end

new text begin (4) for attendance by the beneficiary at a United States
military academy, a letter from the military academy indicating
the beneficiary's enrollment and attendance new text end .

Sec. 30.

Minnesota Statutes 2004, section 136G.14, is
amended to read:

136G.14 MINOR TRUST ACCOUNTS.

(a) This section applies to a plan account in which funds
of a minor trust account are invested.

(b) The account owner may not be changed to any person
other than a successor custodian or the beneficiary unless a
court order directing the change of ownership is provided to the
plan administrator. The custodian must sign all forms and
requests submitted to the plan administrator in the custodian's
representative capacity. The custodian must notify the plan
administrator in writing when the beneficiary becomes legally
entitled to be the account owner. An account owner under this
section may not select a contingent account owner.

(c) The beneficiary of an account under this section may
not be changed. If the beneficiary dies, assets in a plan
account become the property of the beneficiary's estate. Funds
in an account must not be transferred or rolled over to another
account owner or to an account for another beneficiary. A
nonqualified distribution from an account, or a distribution due
to the disability or scholarship award to the beneficiary, new text begin or
made on account of the beneficiary's attendance at a United
States military academy, new text end must be used for the benefit of the
beneficiary.

Sec. 31.

Minnesota Statutes 2004, section 299A.45,
subdivision 1, is amended to read:

Subdivision 1.

Eligibility.

Following certification
under section 299A.44 and compliance with this section and rules
of the commissioner of public safety and the higher education
services office, dependent children less than 23 years of age
and the surviving spouse of a public safety officer killed in
the line of duty on or after January 1, 1973, are eligible to
receive educational benefits under this section. To qualify for
an award, they must be enrolled in undergraduate degree or
certificate programs after June 30, 1990, at an eligible
Minnesota institution as provided in section 136A.101,
subdivision 4. new text begin A student who withdraws from enrollment for
active military service is entitled to an additional semester of
grant eligibility. new text end Persons who have received a baccalaureate
degree or have been enrolled full time or the equivalent of ten
semesters or the equivalent, whichever occurs first, are no
longer eligible.

Sec. 32.

Minnesota Statutes 2004, section 299A.45,
subdivision 4, is amended to read:

Subd. 4.

Renewal.

Each award must be given for one
academic year and is renewable for a maximum of eight semesters
or the equivalent. new text begin A student who withdraws from enrollment for
active military service is entitled to an additional semester of
grant eligibility. new text end An award must not be given to a dependent
child who is 23 years of age or older on the first day of the
academic year.

Sec. 33. new text begin TRANSFER OF MHFA BONDING AUTHORITY TO HESO.
new text end

new text begin Notwithstanding Minnesota Statutes, section 474A.03,
subdivision 2a, paragraph (b), the Minnesota Housing Finance
Agency may enter into an agreement with the Higher Education
Services Office under which the Higher Education Services Office
issues qualified student loan bonds, up to $50,000,000 of which
are issued pursuant to bonding authority allocated to the
Minnesota Housing Finance Agency in 2005 under Minnesota
Statutes, section 474A.03, subdivision 2a, paragraph (a). This
amount is in addition to the bonding authority otherwise
allocated to the Higher Education Services Office under
Minnesota Statutes, chapter 474A. Notwithstanding Minnesota
Statutes, section 474A.04, subdivision 1a, 474A.061, or
474A.091, subdivision 2, bonding authority carried forward by
the Minnesota Housing Financing Agency from its allocation for
2005 under Minnesota Statutes, section 474A.03, subdivision 2a,
paragraph (b), are exempt from the requirement that the bonding
authority be permanently issued by December 31 of the next
succeeding calendar year.
new text end

Sec. 34. new text begin APPLICATION OF ELIGIBILITY.
new text end

new text begin The additional semester of grant eligibility under sections
8, 11, 31, and 32 applies to any student who withdrew from
enrollment in a postsecondary institution after December 31,
2002, because the student was ordered to active military service
as defined in Minnesota Statutes, section 190.05, subdivision 5b
or 5c.
new text end

Sec. 35. new text begin ADVISORY TASK FORCE ON PUBLIC POSTSECONDARY
FUNDING.
new text end

new text begin The Higher Education Services Office shall convene an
advisory task force to study the current postsecondary funding
policy under Minnesota Statutes, sections 135A.01 to 135A.034.
The task force must include the chief financial officers of the
University of Minnesota and the Minnesota State Colleges and
Universities and the commissioner of finance, or their
designees. The task force may include other members as selected
by the Higher Education Services Office. The task force must
study and make specific recommendations on alternatives to the
methods currently used by the postsecondary systems to implement
the provisions of Minnesota Statutes, section 135A.031,
subdivision 4. The task force must submit its recommendations
to the legislature and the governor by January 15, 2006. The
task force expires on June 30, 2007.
new text end

Sec. 36. new text begin REVISOR INSTRUCTION.
new text end

new text begin The revisor of statutes shall change the terms "HESO" and
"Higher Education Services Office" to "Minnesota Office of
Higher Education" wherever in Minnesota Statutes and Minnesota
Rules the terms appear.
new text end

Sec. 37. new text begin REPEALER.
new text end

new text begin (a) Minnesota Statutes 2004, sections 136A.011 and
136A.031, subdivision 1, are repealed.
new text end

new text begin (b) Minnesota Rules, parts 4815.0100; 4815.0110; 4815.0120;
4815.0130; 4815.0140; 4815.0150; 4815.0160; 4830.8100;
4830.8110; 4830.8120; 4830.8130; 4830.8140; and 4830.8150, are
repealed.
new text end

ARTICLE 3

PRIVATE CAREER SCHOOLS

Section 1.

Minnesota Statutes 2004, section 141.21, is
amended by adding a subdivision to read:

new text begin Subd. 6a. new text end

new text begin Multiple location. new text end

new text begin "Multiple location" means
any site where classes or administrative services are provided
and which has a street address that is different than the street
address found on the school's private career school license.
new text end

Sec. 2.

Minnesota Statutes 2004, section 141.25,
subdivision 3, is amended to read:

Subd. 3.

Application.

Application for a license shall be
on forms prepared and furnished by the office, and shall include
the following and other information as the office may require:

(1) the title or name of the school, ownership and
controlling officers, members, managing employees, and director;

(2) the specific programs which will be offered and the
specific purposes of the instruction;

(3) the place or places where the instruction will be
given;

(4) a listing of the equipment available for instruction in
each program;

(5) the maximum enrollment to be accommodated with
equipment available in each specified program;

(6) the qualifications of instructors and supervisors in
each specified program;

(7) a current balance sheet, income statement, and adequate
supporting documentation, prepared and certified by an
independent public accountant or CPA;

(8) copies of all media advertising and promotional
literature and brochures or electronic display currently used or
reasonably expected to be used by the school;

(9) copies of all Minnesota enrollment agreement forms and
contract forms and all enrollment agreement forms and contract
forms used in Minnesota; and

(10) gross income earned in the preceding year from student
tuition, fees, and other required institutional charges, unless
the school files with the office a surety bond equal to at least
deleted text begin $50,000 deleted text end new text begin $250,000 new text end as described in subdivision 5.

Sec. 3.

Minnesota Statutes 2004, section 141.25,
subdivision 5, is amended to read:

Subd. 5.

Bond.

(a) No license shall be issued to any
school which maintains, conducts, solicits for, or advertises
within the state of Minnesota any program, unless the applicant
files with the office a continuous corporate surety bond written
by a company authorized to do business in Minnesota conditioned
upon the faithful performance of all contracts and agreements
with students made by the applicant.

(b) The amount of the surety bond shall be ten percent of
the preceding year's gross income from student tuition, fees,
and other required institutional charges, but in no event less
than deleted text begin $10,000 deleted text end new text begin $25,000 new text end nor greater than deleted text begin $50,000 deleted text end new text begin $250,000 new text end , except
that a school may deposit a greater amount at its own
discretion. A school in each annual application for licensure
must compute the amount of the surety bond and verify that the
amount of the surety bond complies with this subdivision, unless
the school maintains a surety bond equal to at
least deleted text begin $50,000 deleted text end new text begin $250,000 new text end . A school that operates at two or more
locations may combine gross income from student tuition, fees,
and other required institutional charges for all locations for
the purpose of determining the annual surety bond requirement.
The gross tuition and fees used to determine the amount of the
surety bond required for a school having a license for the sole
purpose of recruiting students in Minnesota shall be only that
paid to the school by the students recruited from Minnesota.

(c) 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 the principal sum deposited by the school under paragraph
(b). The surety of any bond may cancel it upon giving 60 days'
notice in writing to the office and shall be relieved of
liability for any breach of condition occurring after the
effective date of cancellation.

(d) In lieu of bond, the applicant may deposit with the
commissioner of finance a sum equal to the amount of the
required surety bond in cash, or securities as may be legally
purchased by savings banks or for trust funds in an aggregate
market value equal to the amount of the required surety bond.

(e) Failure of a school to post and maintain the required
surety bond or deposit under paragraph (d) may result in denial,
suspension, or revocation of the school's license.

Sec. 4.

Minnesota Statutes 2004, section 141.25,
subdivision 7, is amended to read:

Subd. 7.

Minimum standards.

A license shall be issued if
the office first determines:

(1) that the applicant has a sound financial condition with
sufficient resources available to:

(i) meet the school's financial obligations;

(ii) 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 by the student body;

(iii) provide adequate service to its students and
prospective students; and

(iv) maintain and support the school;

(2) that the applicant has satisfactory facilities with
sufficient tools and equipment and the necessary number of work
stations to prepare adequately the students currently enrolled,
and those proposed to be enrolled;

(3) that the applicant employs a sufficient number of
qualified teaching personnel to provide the educational programs
contemplated;

(4) that the school has an organizational framework with
administrative and instructional personnel to provide the
programs and services it intends to offer;

(5) that the premises and conditions under which the
students work and study are sanitary, healthful, and safe,
according to modern standards;

(6) that the quality and content of each occupational
course or program of study provides education and adequate
preparation to enrolled students for entry level positions in
the occupation for which prepared;

(7) that the living quarters which are owned, maintained,
new text begin recommended, new text end or approved by the applicant for students are
sanitary and safe;

(8) that the contract or enrollment agreement used by the
school complies with the provisions in section 141.265;

(9) that contracts and agreements do not contain a wage
assignment provision or a confession of judgment clause; and

(10) that there has been no adjudication of fraud or
misrepresentation in any criminal, civil, or administrative
proceeding in any jurisdiction against the school or its owner,
officers, agents, or sponsoring organization.

Sec. 5.

Minnesota Statutes 2004, section 141.25,
subdivision 8, is amended to read:

Subd. 8.

Fees and terms of license.

An application for
an initial license under sections 141.21 to 141.35 shall be
accompanied by a nonrefundable application fee deleted text begin established by
the office deleted text end new text begin as provided in section 141.255 new text end that is sufficient to
recover, but not exceed, deleted text begin its deleted text end new text begin the new text end administrative costs new text begin of the
office new text end .

All licenses shall expire one year from the date issued by
the office, except as provided in section 141.251.

Sec. 6.

Minnesota Statutes 2004, section 141.25,
subdivision 9, is amended to read:

Subd. 9.

Catalog, brochure, or electronic display.

Before a license is issued to a school, the school shall furnish
to the office a catalog, brochure, or electronic display
including:

(1) identifying data, such as volume number and date of
publication;

(2) name and address of the school and its governing body
and officials;

(3) a calendar of the school showing legal holidays,
beginning and ending dates of each course quarter, term, or
semester, and other important dates;

(4) the school policy and regulations on enrollment
including dates and specific entrance requirements for each
program;

(5) the school policy and regulations about leave,
absences, class cuts, make-up work, tardiness, and interruptions
for unsatisfactory attendance;

(6) the school policy and regulations about standards of
progress for the student including the grading system of the
school, the minimum grades considered satisfactory, conditions
for interruption for unsatisfactory grades or progress, a
description of any probationary period allowed by the school,
and conditions of reentrance for those dismissed for
unsatisfactory progress;

(7) the school policy and regulations about student conduct
and conditions for dismissal for unsatisfactory conduct;

(8) a detailed schedule of fees, charges for tuition,
books, supplies, tools, student activities, laboratory fees,
service charges, rentals, deposits, and all other charges;

(9) the school policy and regulations, including an
explanation of section 141.271, about refunding tuition, fees,
and other charges if the student does not enter the program,
withdraws from the program, or the program is discontinued;

(10) a description of the available facilities and
equipment;

(11) a course outline new text begin syllabus new text end for each course offered
showing course objectives, subjects or units in the course, type
of work or skill to be learned, and approximate time, hours, or
credits to be spent on each subject or unit;

(12) the school policy and regulations about granting
credit for previous education and preparation;

(13) a procedure for investigating and resolving student
complaints; and

(14) the name and address of the Minnesota Higher Education
Services Office.

A school that is exclusively a distance education school is
exempt from clauses (3) and (5).

Sec. 7.

Minnesota Statutes 2004, section 141.25,
subdivision 12, is amended to read:

Subd. 12.

Permanent records.

A school licensed under
this chapter and located in Minnesota shall maintain a permanent
record for each student for 50 years from the last date of the
student's attendance. A school licensed under this chapter and
offering distance instruction to a student located in Minnesota
shall maintain a permanent record for each Minnesota student for
50 years from the last date of the student's attendance.
Records include school transcripts, documents, and files
containing student data about academic credits earned, courses
completed, grades awarded, degrees awarded, and periods of
attendance. To preserve permanent records, a school shall
submit a plan that meets the following requirements:

(1) at least one copy of the records must be held in a
secure new text begin , fireproof new text end depository;

(2) an appropriate official must be designated to provide a
student with copies of records or a transcript upon request;

(3) an alternative method new text begin , approved by the office, new text end of
complying with clauses (1) and (2) must be established if the
school ceases to exist; and

(4) a continuous surety bond must be filed with the office
in an amount not to exceed $20,000 if the school has no binding
agreement for preserving student records or a trust must be
arranged if the school ceases to exist.

Sec. 8.

Minnesota Statutes 2004, section 141.251, is
amended to read:

141.251 LICENSE RENEWAL.

Subdivision 1.

Application.

Application for renewal of a
license must be made at least deleted text begin 30 deleted text end new text begin 60 new text end days before expiration of
the current license on a form provided by the office. A renewal
application shall be accompanied by a nonrefundable fee
deleted text begin established by the office deleted text end new text begin as provided in section 141.255 new text end that is
sufficient to recover, but does not exceed, deleted text begin its deleted text end new text begin the
new text end administrative costs new text begin of the office new text end .

Subd. 2.

Conditions.

The office shall adopt rules
establishing the conditions for renewal of a license. The
conditions shall permit two levels of renewal based on the
record of the school. A school that has demonstrated the
quality of its program and operation through longevity and
performance in the state may renew its license based on a
relaxed standard of scrutiny. A school that has been in
operation in Minnesota for a limited period of time or that has
not performed adequately on performance indicators shall renew
its license based on a strict standard of scrutiny. The office
shall specify minimum longevity standards and performance
indicators that must be met before a school may be permitted to
operate under the relaxed standard of scrutiny. The performance
indicators used in this determination shall include, but not be
limited to: degree granting status, new text begin regional or new text end national
accreditation, loan default rates, placement rate of graduates,
student withdrawal rates, audit results, student complaints, and
school status with the United States Department of Education.
Schools that meet the requirements established in rule shall be
required to submit a full relicensure report once every four
years, and in the interim years will be exempt from the
requirements of section 141.25, subdivision 3, clauses (4), (5),
and (8), and Minnesota Rules, parts 4880.1700, subpart 6; and
4880.2100, subpart 4.

Sec. 9.

new text begin [141.255] FEES.
new text end

new text begin Subdivision 1. new text end

new text begin Initial licensure fee. new text end

new text begin The office
processing fee for an initial licensure application is:
new text end

new text begin (1) $1,500 for a school that will offer no more than one
program during its first year of operation;
new text end

new text begin (2) $2,000 for a school that will offer two or more
nondegree level programs during its first year of operation; and
new text end

new text begin (3) $2,500 for a school that will offer two or more degree
level programs during its first year of operation.
new text end

new text begin Subd. 2. new text end

new text begin Renewal licensure fee; late fee. new text end

new text begin (a) The office
processing fee for a renewal licensure application is:
new text end

new text begin (1) for a category A school, as determined by the office,
the fee is $865 if the school offers one program or $1,150 if
the school offers two or more programs; and
new text end

new text begin (2) for a category B or C school, as determined by the
office, the fee is $430 if the school offers one program or $575
if the school offers two or more programs.
new text end

new text begin (b) If a license renewal application is not received by the
office by the close of business at least 60 days before the
expiration of the current license, a late fee of $250 per day
shall be assessed.
new text end

new text begin Subd. 3. new text end

new text begin Degree level addition fee. new text end

new text begin The office
processing fee for adding a degree level to an existing program
is $2,000 per program.
new text end

new text begin Subd. 4. new text end

new text begin Program addition fee. new text end

new text begin The office processing fee
for adding a program that represents a significant departure in
the objectives, content, or method of delivery of programs that
are currently offered by the school is $500 per program.
new text end

new text begin Subd. 5. new text end

new text begin Visit or consulting fee. new text end

new text begin If the office
determines that a fact-finding visit or outside consultant is
necessary to review or evaluate any new or revised program, the
office shall be reimbursed for the expenses incurred related to
the review as follows:
new text end

new text begin (1) $300 for the team base fee or for a paper review
conducted by a consultant if the office determines that a
fact-finding visit is not required;
new text end

new text begin (2) $300 for each day or part thereof on site per team
member; and
new text end

new text begin (3) the actual cost of customary meals, lodging, and
related travel expenses incurred by team members.
new text end

new text begin Subd. 6. new text end

new text begin Modification fee. new text end

new text begin The fee for modification of
any existing program is $100 and is due if there is:
new text end

new text begin (1) an increase or decrease of 25 percent or more, from the
original date of program approval, in clock hours, credit hours,
or calendar length of an existing program;
new text end

new text begin (2) a change in academic measurement from clock hours to
credit hours or vice versa; or
new text end

new text begin (3) an addition or alteration of courses that represent a
25 percent change or more in the objectives, content, or methods
of delivery.
new text end

new text begin Subd. 7. new text end

new text begin Solicitor permit fee. new text end

new text begin The solicitor permit fee
is $350 and must be paid annually.
new text end

new text begin Subd. 8. new text end

new text begin Multiple location fee. new text end

new text begin Schools wishing to
operate at multiple locations must pay:
new text end

new text begin (1) $250 per location, for two to five locations; and
new text end

new text begin (2) $50 per location, for six or more locations.
new text end

new text begin Subd. 9. new text end

new text begin Student transcript fee. new text end

new text begin The fee for a student
transcript requested from a closed school whose records are held
by the office is $10, with a maximum of five transcripts per
request.
new text end

new text begin Subd. 10. new text end

new text begin Public office documents; copies. new text end

new text begin The office
shall establish rates for copies of any public office document.
new text end

Sec. 10.

Minnesota Statutes 2004, section 141.26,
subdivision 5, is amended to read:

Subd. 5.

Fee.

The initial and renewal application for
each permit shall be accompanied by a nonrefundable fee deleted text begin as
established by the office deleted text end new text begin under section 141.255 new text end .

Sec. 11.

Minnesota Statutes 2004, section 141.271, is
amended by adding a subdivision to read:

new text begin Subd. 1b. new text end

new text begin Short-term programs. new text end

new text begin Licensed schools
conducting programs not exceeding 40 hours in length shall not
be required to make a full refund once the programs have
commenced and shall be allowed to prorate any refund based on
the actual length of the program as stated in the school catalog
or advertisements and the number of hours attended by the
student.
new text end

Sec. 12.

Minnesota Statutes 2004, section 141.271,
subdivision 4, is amended to read:

Subd. 4.

Resident schools.

When a student has been
accepted by a school offering a resident program and gives
written notice of cancellation new text begin , or the school has actual notice
of a student's nonattendance new text end after the start of the period of
instruction for which the student has been charged, but before
completion of 75 percent of the period of instruction, the
amount charged for tuition, fees, and all other charges shall be
prorated new text begin based on number of days in the term new text end as a portion of the
total charges for tuition, fees, and all other charges. An
additional 25 percent of the total cost of the period of
instruction may be added, but shall not exceed $100. After
completion of 75 percent of the period of instruction for which
the student has been charged, no refunds are required.

Sec. 13.

Minnesota Statutes 2004, section 141.271,
subdivision 7, is amended to read:

Subd. 7.

Equipment and supplies.

The fair market retail
price, if separately stated in the catalog and contract or
enrollment agreement, of equipment or supplies furnished to the
student, which the student fails to return in condition suitable
for resale new text begin , and which may reasonably be resold, new text end within ten
business days following cancellation may be retained by the
school and may be deducted from the total cost for tuition, fees
and all other charges when computing refunds.

An overstatement of the fair market retail price of any
equipment or supplies furnished the student shall be considered
inconsistent with this provision.

Sec. 14.

Minnesota Statutes 2004, section 141.271,
subdivision 10, is amended to read:

Subd. 10.

Cancellation occurrence.

Written notice of
cancellation shall take place on the date the letter of
cancellation is postmarked or, in the cases where the notice is
hand carried, it shall occur on the date the notice is delivered
to the school. new text begin If a student has not attended classes for a
period of 21 consecutive days, the student is considered to have
withdrawn from school for all purposes as of the student's last
documented date of attendance.
new text end

Sec. 15.

Minnesota Statutes 2004, section 141.271, is
amended by adding a subdivision to read:

new text begin Subd. 14. new text end

new text begin Closed school. new text end

new text begin In the event a school closes
for any reason during a term and interrupts and terminates
classes during that term, all tuition for the term shall be
refunded to the students or the appropriate state or federal
agency or private lender that had provided any funding for the
term and any outstanding obligation of the student for the term
is canceled.
new text end

Sec. 16.

Minnesota Statutes 2004, section 141.28,
subdivision 1, is amended to read:

Subdivision 1.

Not to advertise state approval.

Schools,
agents of schools, and solicitors may not advertise or represent
in writing or orally that such school is approved or accredited
by the state of Minnesota, except that any school, agent, or
solicitor may advertise that the school and solicitor have been
duly licensed by the state deleted text begin . deleted text end new text begin using the following language:
new text end

new text begin "(Name of school) is licensed as a private career school with
the Minnesota Higher Education Services Office. Licensure is
not an endorsement of the institution. Credits earned at the
institution may not transfer to all other institutions. The
educational programs may not meet the needs of every student or
employer."
new text end

Sec. 17.

Minnesota Statutes 2004, section 141.28, is
amended by adding a subdivision to read:

new text begin Subd. 6. new text end

new text begin Financial aid payments. new text end

new text begin (a) All schools must
collect, assess, and distribute funds received from loans or
other financial aid as provided in this subdivision.
new text end

new text begin (b) Student loans or other financial aid funds received
from federal, state, or local governments or administered in
accordance with federal student financial assistance programs
under title IV of the Higher Education Act of 1965, as amended,
United States Code, title 20, chapter 28, must be collected and
applied as provided by applicable federal, state, or local law
or regulation.
new text end

new text begin (c) Student loans or other financial aid assistance
received from a bank, finance or credit card company, or other
private lender must be collected or disbursed as provided in
paragraphs (d) and (e).
new text end

new text begin (d) Loans or other financial aid payments for amounts
greater than $3,000 must be disbursed:
new text end

new text begin (1) in two equal disbursements, if the course or term
length is less than six months. The loan or payment amounts may
be disbursed no earlier than the first day the student attends
class with the remainder to be disbursed halfway through the
class or term;
new text end

new text begin (2) in three equal disbursements, if the course or term
length is more than six months, but less than 12 months. The
loan or payment amounts may be disbursed no earlier than the
first day the student attends class, one-third of the way
through the class or term, and two-thirds of the way through the
class or term; or
new text end

new text begin (3) in four equal disbursements, if the course or term
length is greater than 12 months. The loan or payment amounts
may be disbursed no earlier than the first day a student attends
class, one-quarter of the way through the class or term, halfway
through the class or term, and three-fourths of the way through
the class or term.
new text end

new text begin (e) Loans or other financial aid payments for amounts less
than $3,000 may be disbursed as a single disbursement on the
first day a student attends class, regardless of course length.
new text end

new text begin (f) No school may enter into a contract or agreement with,
or receive any money from, a bank, finance or credit card
company, or other private lender, unless the private lender
follows the requirements for disbursements provided in
paragraphs (d) and (e).
new text end

Sec. 18.

Minnesota Statutes 2004, section 141.29,
subdivision 3, is amended to read:

Subd. 3.

Powers and duties.

The office shall have (in
addition to the powers and duties now vested therein by law) the
following powers and duties:

(a) To negotiate and enter into interstate reciprocity
agreements with similar agencies in other states, if in the
judgment of the office such agreements are or will be helpful in
effectuating the purposes of Laws 1973, Chapter 714;

(b) To grant conditional school license for periods of less
than one year if in the judgment of the office correctable
deficiencies exist at the time of application and when refusal
to issue school license would adversely affect currently
enrolled students;

(c) The office may upon its own motion, and shall upon the
verified complaint in writing of any person setting forth fact
which, if proved, would constitute grounds for refusal or
revocation under Laws 1973, Chapter 714, investigate the actions
of any applicant or any person or persons holding or claiming to
hold a license or permit. However, before proceeding to a
hearing on the question of whether a license or permit shall be
refused, revoked or suspended for any cause enumerated in
subdivision 1, the office deleted text begin may deleted text end new text begin shall new text end grant a reasonable time to
the holder of or applicant for a license or permit to correct
the situation. If within such time the situation is corrected
and the school is in compliance with the provisions of this
chapter, no further action leading to refusal, revocation, or
suspension shall be taken.

Sec. 19.

Minnesota Statutes 2004, section 141.30, is
amended to read:

141.30 INSPECTION.

(a) The office or a delegate may inspect the instructional
books and records, classrooms, dormitories, tools, equipment and
classes of any school or applicant for license at any reasonable
time. The office may require the submission of a certified
public audit, or if there is no such audit available the office
or a delegate may inspect the financial books and records of the
school. In no event shall such financial information be used by
the office to regulate or set the tuition or fees charged by the
school.

(b) Data obtained from an inspection of the financial
records of a school new text begin or submitted to the office as part of a
license application or renewal new text end are nonpublic data as defined in
section 13.02, subdivision 9. Data obtained from inspections
may be disclosed to other members of the office, to law
enforcement officials, or in connection with a legal or
administrative proceeding commenced to enforce a requirement of
law.

Sec. 20.

Minnesota Statutes 2004, section 141.35, is
amended to read:

141.35 EXEMPTIONS.

Sections 141.21 to 141.35 shall not apply to the following:

(1) public postsecondary institutions;

(2) private postsecondary institutions registered under
sections 136A.61 to 136A.71 that are nonprofit, or that are for
profit and registered under sections 136A.61 to 136A.71 as of
December 31, 1998, or are approved to offer exclusively
baccalaureate or postbaccalaureate programs;

(3) schools of nursing accredited by the state Board of
Nursing or an equivalent public board of another state or
foreign country;

(4) private schools complying with the requirements of
section 120A.22, subdivision 4;

(5) courses taught to students in a valid apprenticeship
program taught by or required by a trade union;

(6) schools exclusively engaged in training physically or
mentally handicapped persons for the state of Minnesota;

(7) schools licensed by boards authorized under Minnesota
law to issue licenses;

(8) schools and educational programs, or training programs,
contracted for by persons, firms, corporations, government
agencies, or associations, for the training of their own
employees, for which no fee is charged the employee;

(9) schools engaged exclusively in the teaching of purely
avocational, recreational, or remedial subjects as determined by
the office;

(10) driver training schools and instructors as defined in
section 171.33, subdivisions 1 and 2;

(11) classes, courses, or programs conducted by a bona fide
trade, professional, or fraternal organization, solely for that
organization's membership;

(12) programs in the fine arts provided by organizations
exempt from taxation under section 290.05 and registered with
the attorney general under chapter 309. For the purposes of
this clause, "fine arts" means activities resulting in artistic
creation or artistic performance of works of the imagination
which are engaged in for the primary purpose of creative
expression rather than commercial sale or employment. In making
this determination the office may seek the advice and
recommendation of the Minnesota Board of the Arts;

(13) classes, courses, or programs intended to fulfill the
continuing education requirements for licensure or certification
in a profession, that have been approved by a legislatively or
judicially established board or agency responsible for
regulating the practice of the profession, and that are offered
deleted text begin primarily deleted text end new text begin exclusively new text end to an individual practicing the
profession;

(14) classes, courses, or programs intended to prepare
students to sit for undergraduate, graduate, postgraduate, or
occupational licensing and occupational entrance examinations;

(15) classes, courses, or programs providing 16 or fewer
clock hours of instruction that are not part of the curriculum
for an occupation or entry level employment;

(16) classes, courses, or programs providing instruction in
personal development, modeling, or acting;

(17) training or instructional programs, in which one
instructor teaches an individual student, that are not part of
the curriculum for an occupation or are not intended to prepare
a person for entry level employment; and

(18) schools with no physical presence in Minnesota new text begin , as
determined by the office, new text end engaged exclusively in offering
distance instruction that are located in and regulated by other
states or jurisdictions.

ARTICLE 4

FACILITIES AUTHORITY MERGER

Section 1. new text begin FACILITIES AUTHORITY; MERGER.
new text end

new text begin The authority, duties, and unexpended balance of any funds
collected pursuant to Minnesota Statutes, section 136A.29,
subdivision 12, of the Minnesota Higher Education Facilities
Authority are transferred to the Higher Education Services
Office. Minnesota Statutes, section 15.039, applies to the
transfer of responsibilities under this section.
new text end

Sec. 2. new text begin REVISOR INSTRUCTION.
new text end

new text begin The revisor of statutes shall prepare a bill for
introduction in the 2006 regular legislative session making any
technical changes to Minnesota Statutes and Minnesota Rules made
necessary by section 1.
new text end

Sec. 3. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2004, sections 136A.25 and 136A.26, are
repealed.
new text end

Sec. 4. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 to 3 are effective July 1, 2005.
new text end