SF 1573

1st Engrossment - 87th Legislature (2011 - 2012) Posted on 03/23/2012 09:31am

A bill for an act
relating to higher education; requiring the provision of textbook information
to certain students; providing for the continued operation of Minnesota State
Colleges and Universities in certain circumstances; increasing Minnesota State
Colleges and Universities system revenue bond authority; prescribing uses of
the permanent university fund; providing a graduate study benefit to certain
safety officer survivors; making miscellaneous technical changes; appropriating
money; amending Minnesota Statutes 2010, sections 135A.25, subdivision 5;
136F.58, subdivision 3, by adding a subdivision; 136F.71, subdivision 3, by
adding a subdivision; 136F.98, subdivision 1; 136G.03, subdivision 7; 137.022,
subdivision 4; 141.35; 299A.45, subdivisions 1, 2.

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

Section 1.

Minnesota Statutes 2010, section 135A.25, subdivision 5, is amended to
read:

Subd. 5.

Bookstores; course materials.

The University of Minnesota and private
colleges are encouraged to comply with the requirements deleted text begin for instructors and bookstores deleted text end
under section 136F.58, deleted text begin subdivision deleted text end new text begin subdivisions new text end 2 new text begin , 2a, and 3 new text end .

Sec. 2.

Minnesota Statutes 2010, section 136F.58, is amended by adding a subdivision
to read:

new text begin Subd. 2a. new text end

new text begin Course schedule and material list. new text end

new text begin (a) Each state college and university
shall compile a course schedule indicating each course offered by the state college or
university for each term and shall include with the course schedule a list of the required
and recommended course materials that specifies, to the extent practicable, the information
required in subdivision 3, paragraph (b).
new text end

new text begin (b) At or before the time required by subdivision 3, paragraph (b), a state college or
university shall publish course schedules and course material lists on the state college's
or university's Web site.
new text end

Sec. 3.

Minnesota Statutes 2010, section 136F.58, subdivision 3, is amended to read:

Subd. 3.

Notice to purchase.

(a) An instructor new text begin or department new text end shall deleted text begin make reasonable
efforts to deleted text end notify a bookstore of the final order for required and recommended course
material at least deleted text begin 30 deleted text end new text begin 45 new text end days prior to the commencement of the term.

(b) The bookstore must make reasonable efforts to notify students of the following
information concerning the required and recommended course material at least deleted text begin 15 deleted text end new text begin 30 new text end days
prior to the commencement of the term for which the course material is required including,
but not limited to:

(1) the title, edition, author, and International Standard Book Number (ISBN) of
the course material;

(2) the new text begin retail new text end price new text begin charged in the college or university bookstore new text end for the course
material new text begin , including custom textbooks new text end ;

(3) deleted text begin whether the required course material is bundled with optional material, whether
it can be unbundled, and the price for each bundled and unbundled component deleted text end new text begin the name of
the publisher of the course material except an international textbook purchased directly
from a distributor where no publisher information is readily available new text end ; and

(4) whether the material is available in an alternative format and the cost for the
alternatively formatted material.

new text begin (c) For purposes of this subdivision, "custom textbooks" means course materials
that are compiled by a publisher at the direction of a faculty member or, if applicable,
the other adopting entity in charge of selecting course materials for courses taught at a
state college or university. Custom textbooks may include items such as selections from
original instructor materials, previously copyrighted publisher materials, copyrighted
third-party works, or elements unique to a specific state college or university.
new text end

Sec. 4.

Minnesota Statutes 2010, section 136F.71, subdivision 3, is amended to read:

Subd. 3.

Interest income.

deleted text begin Beginning July 1, 1997, deleted text end Interest income attributable to
general fund dedicated receipts of the board is appropriated to the board. The board shall
allocate the income proportionately among the colleges and universities. The board shall
report this income separately in its biennial budget requests.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2012.
new text end

Sec. 5.

Minnesota Statutes 2010, section 136F.71, is amended by adding a subdivision
to read:

new text begin Subd. 5. new text end

new text begin Continued operation. new text end

new text begin Notwithstanding any other law to the contrary, to
the extent that the board has receipts under this section sufficient to continue operations,
the commissioner of management and budget shall provide the board with statewide
systems services under section 16A.1286 and access to its funds as deemed necessary
by the board to continue its operations. The board shall pay for the services received
in accordance with section 16A.1286, including any administrative services necessary
for the commissioner of management and budget to provide the statewide systems
services. In addition, the board shall pay for treasury operations services provided by the
commissioner of management and budget. Payments received by the commissioner of
management and budget under this subdivision are appropriated to the Department of
Management and Budget for the purposes of providing those services. The commissioner
of management and budget may transfer payments received under this subdivision to the
chief information officer and the commissioner of administration, if necessary.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2012.
new text end

Sec. 6.

Minnesota Statutes 2010, section 136F.98, subdivision 1, is amended to read:

Subdivision 1.

Issuance of bonds.

The Board of Trustees of the Minnesota State
Colleges and Universities or a successor may issue revenue bonds under sections 136F.90
to 136F.97 whose aggregate principal amount at any time may not exceed deleted text begin $300,000,000 deleted text end new text begin
$405,000,000 new text end , and payable from the revenue appropriated to the fund established by
section 136F.94, and use the proceeds together with other public or private money that
may otherwise become available to acquire land, and to acquire, construct, complete,
remodel, and equip structures or portions thereof to be used for dormitory, residence hall,
student union, food service, parking purposes, or for any other similar revenue-producing
building or buildings of such type and character as the board finds desirable for the good
and benefit of the state colleges and universities. Before issuing the bonds or any part
of them, the board shall consult with and obtain the advisory recommendations of the
chairs of the house of representatives Ways and Means Committee and the senate Finance
Committee about the facilities to be financed by the bonds.

Sec. 7.

Minnesota Statutes 2010, section 136G.03, subdivision 7, is amended to read:

Subd. 7.

Contingent account owner.

"Contingent account owner" means the
deleted text begin individual deleted text end new text begin person new text end designated as the account owner, either in the participation agreement or
pursuant to a separate Minnesota college savings plan form, in the event of the death of
the account owner.

Sec. 8.

Minnesota Statutes 2010, section 137.022, subdivision 4, is amended to read:

Subd. 4.

Mineral research; scholarships.

(a) All income credited after July 1,
1992, to the permanent university fund from royalties for mining under state mineral
leases from and after July 1, 1991, must be allocated as provided in this subdivision.

(b)(1) deleted text begin Fifty deleted text end new text begin Beginning January 1, 2012, 50 new text end percent of the income new text begin must be allocated
according to this paragraph. One-half of the income under this paragraph new text end , up to
$50,000,000, must be credited to the mineral research account of the fund to be allocated
for the Natural Resources Research Institute-Duluth and Coleraine facilities, for mineral
and mineral-related research including mineral-related environmental research deleted text begin ; and deleted text end new text begin . The
other one-half of the income under this paragraph, up to $25,000,000, is credited to an
endowment for the costs of operating a mining, metallurgical, or related engineering
degree program offered through the University of Minnesota at Mesabi Range Community
and Technical College and for scholarships for students to attend the mining, metallurgical,
or related engineering program. The maximum scholarship awarded to attend the mining,
metallurgical, or related engineering degree program funded under this paragraph cannot
exceed $6,500 per academic year and may be awarded a maximum of four academic years.
new text end

(2) The remainder new text begin of the income under paragraph (a) and the amount of any income
over the $25,000,000 for the engineering program under clause (1) new text end must be credited
to the endowed scholarship account of the fund for distribution annually for scholastic
achievement as provided by the Board of Regents to undergraduates enrolled at the
University of Minnesota who are resident students as defined in section 136A.101,
subdivision 8.

(c) The annual distribution from the endowed scholarship account must be allocated
to the various campuses of the University of Minnesota in proportion to the number of
undergraduate resident students enrolled on each campus.

(d) The Board of Regents must report to the education committees of the legislature
biennially at the time of the submission of its budget request on the disbursement of money
from the endowed scholarship account and to the environment and natural resources
committees on the use of the mineral research account.

(e) Capital gains and losses and portfolio income of the permanent university fund
must be credited to its three accounts in proportion to the market value of each account.

(f) The endowment support from the income and capital gains of the endowed
mineral research and endowed scholarship accounts of the fund must not total more than
six percent per year of the 36-month trailing average market value of the account from
which the support is derived.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from January 1, 2012.
new text end

Sec. 9.

Minnesota Statutes 2010, section 141.35, is amended to read:

141.35 EXEMPTIONS.

Sections 141.21 to 141.32 shall not apply to the following:

(1) public postsecondary institutions;

(2) postsecondary institutions registered under sections 136A.61 to 136A.71;

(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 disabled persons
for the state of Minnesota;

(7) schools licensed by boards authorized under Minnesota law to issue licenses
except schools required to obtain a private career school license due to the use of
"academy," "institute," "college," or "university" in their names;

(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 except schools required to obtain a private
career school license due to the use of "academy," "institute," "college," or "university" in
their names new text begin unless the school used "academy" or "institute" in its name prior to August
1, 2008 new text end ;

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

(11) 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;

(12) 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 exclusively to an individual practicing
the profession;

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

(14) 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 except
schools required to obtain a private career school license due to the use of "academy,"
"institute," "college," or "university" in their names;

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

(16) 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

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

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from August 1, 2008.
new text end

Sec. 10.

Minnesota Statutes 2010, section 299A.45, subdivision 1, is amended to read:

Subdivision 1.

Eligibility.

A person is eligible to receive educational benefits under
this section if the person:

(1) is certified under section 299A.44 and in compliance with this section and rules
of the commissioner of public safety and the Minnesota Office of Higher Education;

(2) is enrolled in an undergraduate degree or certificate program after June 30, 1990
new text begin or a graduate degree or certificate program after June 30, 2011 new text end , at an eligible Minnesota
institution as provided in section 136A.101, subdivision 4;

(3) has not received deleted text begin a baccalaureate degree or been enrolled full time for nine
semesters or the equivalent, except that a student who withdraws from enrollment for
active military service is entitled to an additional semester or the equivalent of eligibility deleted text end new text begin
benefits for the maximum duration specified in subdivision 4 new text end ; and

(4) is related in one of the following ways to a public safety officer killed in the
line of duty on or after January 1, 1973:

(i) as a dependent child less than 23 years of age;

(ii) as a surviving spouse; or

(iii) as a dependent child less than 30 years of age who has served on active military
duty 181 consecutive days or more and has been honorably discharged or released to the
dependent child's reserve or National Guard unit.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from July 1, 2011.
new text end

Sec. 11.

Minnesota Statutes 2010, section 299A.45, subdivision 2, is amended to read:

Subd. 2.

Award amount.

(a) The amount of the award is the lesser of:

(1) the average tuition and fees charged by the institution; or

(2) the tuition maximums established by law for the state grant program under
section 136A.121. new text begin The tuition maximum for graduate study is the maximum established
by law for the state grant program for four-year programs.
new text end

(b) An award under this subdivision must not affect a recipient's eligibility for a
state grant under section 136A.121.

(c) For the purposes of this subdivision, "fees" include only those fees that are
mandatory and charged to all students attending the institution.

new text begin (d) For the purpose of benefits awarded under this section, full time for a graduate
program is eight or more credits per term or the equivalent.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from July 1, 2011.
new text end

Sec. 12. new text begin MINNESOTA STATE COLLEGES AND UNIVERSITIES TEXTBOOK
WORK GROUP.
new text end

new text begin The Board of Trustees of the Minnesota State Colleges and Universities shall
establish a work group to study methods that result in lower textbook costs for
students. Methods include studying alternative textbook delivery methods, including a
cross-campus shared delivery system for textbooks, the expansion of electronic textbooks
with an assessment of effective methods for delivering e-books to students, and other
technology-based, innovative, or best practices methods to bring real cost-savings to
students. The goal of this work group is to help assess current practices, present a stable
of business strategies, technologies and campus deployment plans that are effective in
driving down the cost of learning resources for students while offering greater access to
no- or low-cost academic content for faculty.
new text end

Sec. 13. new text begin UNIVERSITY OF MINNESOTA APPROPRIATION TRANSFER TO
HENNEPIN COUNTY MEDICAL CENTER.
new text end

new text begin The regents of the University of Minnesota must transfer $645,000 in fiscal year
2012 and $645,000 in fiscal year 2013 from the appropriations made to it for operations
and maintenance in Laws 2011, First Special Session chapter 5, article 1, section 5, to the
Hennepin County Medical Center for graduate family medicine education programs at
Hennepin County Medical Center.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 14. new text begin APPROPRIATION; MINNESOTA STATE COLLEGES AND
UNIVERSITIES LEVERAGED EQUIPMENT ACQUISITION.
new text end

new text begin $....... is appropriated from the general fund for the fiscal year ending June 30,
2013, to the Board of Trustees of the Minnesota State Colleges and Universities for
leveraged equipment acquisition. For the purpose of this section, "equipment" means
equipment for instructional purposes for programs that the board has determined would
produce graduates with skills for which there is a high employer need within the state. An
equipment acquisition may be made using this appropriation only if matched by cash or
in-kind contributions from nonstate sources.
new text end

Sec. 15. new text begin APPROPRIATION; MINNESOTA STATE COLLEGES AND
UNIVERSITIES PROGRAM WORKFORCE ALIGNMENT.
new text end

new text begin $........ is appropriated from the general fund for the fiscal year ending June 30, 2013,
to the Board of Trustees of the Minnesota State Colleges and Universities for the purpose
of aligning its programs to meet the needs of Minnesota employers for a skilled workforce.
new text end