Engrossments
Introduction		Posted on 03/22/2005
1st Engrossment		Posted on 03/23/2005

A bill for an act
relating to the financing of state government;
providing for structural balance in the state budget;
appropriating money for education, the environment,
agriculture, economic development, transportation,
public safety, state government, and health and human
services with certain conditions; canceling and
transferring balances to the general fund; fixing and
limiting fees; regulating the deposit of money in the
state treasury; regulating transfers between
appropriations and accounts; requiring certain studies
and reports; shortening the holding period for
abandoned securities; amending Minnesota Statutes
2004, sections 123B.54; 127A.49, subdivision 2;
168.013, subdivision 8; 168.12, subdivisions 2, 2a,
2b, 2c, 2d, 2e, 5; 168.1255, subdivision 4; 168.127,
subdivision 6; 168.129, subdivision 5; 168.1293,
subdivision 7; 168.1296, subdivision 5; 168.27,
subdivision 11; 168.33, subdivision 7; 168.381,
subdivision 4; 168A.152, subdivision 2; 168A.29,
subdivision 1; 168A.31; 169.09, subdivision 13;
169A.60, subdivision 16; 171.06, subdivisions 2, 2a;
171.061, subdivision 4; 171.07, subdivision 11;
171.13, subdivision 6, by adding a subdivision;
171.26; 171.29, subdivision 2; 171.36; 256.975,
subdivision 9; 256B.0595, subdivision 2; 256B.0625,
subdivisions 13, 13e, 13f, by adding subdivisions;
256B.0911, subdivision 1a; 256M.40, subdivision 2;
345.47, subdivisions 3, 3a; Laws 2003, First Special
Session chapter 9, article 1, section 53, subdivisions
2, as amended, 3, as amended, 5, as amended, 6, as
amended, 11, as amended, 12, as amended; Laws 2003,
First Special Session chapter 9, article 2, section
55, subdivisions 2, as amended, 3, as amended, 5, as
amended, 7, as amended, 8, 9, as amended, 12, as
amended; Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivisions 2, 4, as amended,
5, as amended, 6, as amended, 7, as amended, 8, as
amended, 9, as amended, 10; Laws 2003, First Special
Session chapter 9, article 4, section 31, subdivisions
2, as amended, 3, as amended, 4; Laws 2003, First
Special Session chapter 9, article 5, section 35,
subdivisions 2, as amended, 3, as amended; Laws 2003,
First Special Session chapter 9, article 6, section 4,
as amended; Laws 2003, First Special Session chapter
9, article 7, section 11, subdivisions 2, 3, as
amended, 4, 5; Laws 2003, First Special Session
chapter 9, article 8, section 7, subdivisions 2, as
amended, 3, 5, as amended; Laws 2003, First Special
Session chapter 9, article 9, section 9, subdivision
2, as amended; proposing coding for new law in
Minnesota Statutes, chapters 93; 168; 299A; repealing
Minnesota Statutes 2004, sections 168.012, subdivision
12; 168.041, subdivision 11; 168.105, subdivision 6;
168.123, subdivision 5; 168.1235, subdivision 5;
168.128, subdivision 4; 168.231; 168.345, subdivisions
3, 4; 170.23; 171.12, subdivision 8; 171.185; 256.955.

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

ARTICLE 1

SUMMARY
(General Fund Only, Excluding Forecast Adjustments)

BIENNIAL
2006 2007 TOTAL

APPROPRIATIONS

Early Education $ 110,329,000 $ 109,976,000 $ 220,305,000

K-12 Education 5,922,878,000 5,926,837,000 11,849,715,000

Higher Education 1,405,948,000 1,307,004,000 2,712,952,000

Environment &
Agriculture 172,418,000 168,941,000 341,359,000

Economic
Development 153,715,000 153,588,000 307,303,000

Transportation 78,966,000 80,221,000 159,187,000

Public Safety 807,020,000 820,944,000 1,627,964,000

State Government 265,384,000 267,198,000 532,582,000

Health and
Human Services 4,096,207,000 4,449,795,000 8,546,002,000

SUBTOTAL $13,012,865,000 $13,284,504,000 $26,297,369,000

CANCELLATIONS 2,500,000 -0- 2,500,000

TRANSFERS IN 6,951,000 -0- 6,951,000

TOTAL $13,003,414,000 $13,284,504,000 $26,287,918,000

ARTICLE 2

EARLY CHILDHOOD EDUCATION

Section 1. APPROPRIATIONS.

Subdivision 1.

Department of education.

The sums
indicated in this section are appropriated from the general fund
to the Department of Education for the fiscal years designated.

Subd. 2.

School readiness.

For revenue for school
readiness programs under Minnesota Statutes, sections 124D.15
and 124D.16:

$9,020,000 ..... 2006

$9,042,000 ..... 2007

The 2006 appropriation includes $1,417,000 for 2005 and
$7,603,000 for 2006.

The 2007 appropriation includes $1,415,000 for 2006 and
$7,627,000 for 2007.

Subd. 3.

Early childhood family education aid.

For early
childhood family education aid under Minnesota Statutes, section
124D.135:

$11,958,000 ..... 2006

$12,292,000 ..... 2007

The 2006 appropriation includes $1,861,000 for 2005 and
$10,097,000 for 2006.

The 2007 appropriation includes $1,880,000 for 2006 and
$10,412,000 for 2007.

Subd. 4.

Health and developmental screening aid.

For
health and developmental screening aid under Minnesota Statutes,
sections 121A.17 and 121A.19:

$2,661,000 ..... 2006

$2,661,000 ..... 2007

The 2006 appropriation includes $417,000 for 2005 and
$2,244,000 for 2006.

The 2007 appropriation includes $417,000 for 2006 and
$2,244,000 for 2007.

Subd. 5.

Head start program.

For Head Start programs
under Minnesota Statutes, section 119A.52:

$17,100,000 ..... 2006

$17,100,000 ..... 2007

Subd. 6.

Community education aid.

For community
education aid under Minnesota Statutes, section 124D.20:

$1,918,000 ..... 2006

$1,189,000 ..... 2007

The 2006 appropriation includes $390,000 for 2005 and
$1,528,000 for 2006.

The 2007 appropriation includes $284,000 for 2006 and
$905,000 for 2007.

Subd. 7.

Adults with disabilities program aid.

For
adults with disabilities programs under Minnesota Statutes,
section 124D.56:

$ 710,000 ..... 2006

$ 710,000 ..... 2007

The 2006 appropriation includes $111,000 for 2005 and
$599,000 for 2006.

The 2007 appropriation includes $111,000 for 2006 and
$599,000 for 2007.

Subd. 8.

Hearing-impaired adults.

For programs for
hearing-impaired adults under Minnesota Statutes, section
124D.57:

$ 70,000 ..... 2006

$ 70,000 ..... 2007

Subd. 9.

School-age care revenue.

For extended day aid
under Minnesota Statutes, section 124D.22:

$ 17,000 ..... 2006

$ 7,000 ..... 2007

The 2006 appropriation includes $4,000 for 2005 and $13,000
for 2006.

The 2007 appropriation includes $2,000 for 2006 and $5,000
for 2007.

Subd. 10.

Adult basic education aid.

For adult basic
education aid under Minnesota Statutes, section 124D.531:

$36,388,000 ..... 2006

$36,418,000 ..... 2007

The 2006 appropriation includes $5,707,000 for 2005 and
$30,681,000 for 2006.

The 2007 appropriation includes $5,713,000 for 2006 and
$30,705,000 for 2007.

Subd. 11.

Ged tests.

For payment of 60 percent of the
costs of GED tests under Laws 1993, chapter 224, article 4,
section 44, subdivision 10:

$ 125,000 ..... 2006

$ 125,000 ..... 2007

Subd. 12.

Lead hazard reduction.

For lead hazard
reduction under Minnesota Statutes, section 119A.46:

$ 100,000 ..... 2006

$ 100,000 ..... 2007

Any balance in the first year does not cancel but is
available in the second year. The commissioner of education may
transfer this appropriation to the commissioner of health.

Sec. 2. APPROPRIATION.

Subdivision 1.

Department of human services.

The sums
indicated in this section are appropriated from the general fund
to the Department of Human Services.

Subd. 2.

Basic sliding fee.

For basic sliding fee under
Minnesota Statutes, section 119B.03:

$30,262,000 ..... 2006

$30,262,000 ..... 2007

ARTICLE 3

K-12 EDUCATION

Section 1.

Minnesota Statutes 2004, section 123B.54, is
amended to read:

123B.54 DEBT SERVICE APPROPRIATION.

(a) $28,367,000 $22,942,000 in fiscal year 2006 2008 and
$25,560,000 $21,942,000 in fiscal year 2007 2009 and later are
appropriated from the general fund to the commissioner of
education for payment of debt service equalization aid under
section 123B.53.

(b) The appropriations in paragraph (a) must be reduced by
the amount of any money specifically appropriated for the same
purpose in any year from any state fund.

Sec. 2.

Minnesota Statutes 2004, section 127A.49,
subdivision 2, is amended to read:

Subd. 2.

Abatements.

Whenever by virtue of chapter 278,
sections 270.07, 375.192, or otherwise, the net tax capacity of
any district for any taxable year is changed after the taxes for
that year have been spread by the county auditor and the local
tax rate as determined by the county auditor based upon the
original net tax capacity is applied upon the changed net tax
capacities, the county auditor shall, prior to February 1 of
each year, certify to the commissioner of education the amount
of any resulting net revenue loss that accrued to the district
during the preceding year. Each year, the commissioner shall
pay an abatement adjustment to the district in an amount
calculated according to the provisions of this subdivision.
This amount shall be deducted from the amount of the levy
authorized by section 126C.46. The amount of the abatement
adjustment must be the product of:

(1) the net revenue loss as certified by the county
auditor, times

(2) the ratio of:

(i) the sum of the amounts of the district's certified levy
in the third preceding year according to the following:

(A) section 123B.57, if the district received health and
safety aid according to that section for the second preceding
year;

(B) section 124D.20, if the district received aid for
community education programs according to that section for the
second preceding year;

(C) section 124D.135, subdivision 3, if the district
received early childhood family education aid according to
section 124D.135 for the second preceding year; and

(D) section 126C.17, subdivision 6, if the district
received referendum equalization aid according to that section
for the second preceding year; to

(ii) the total amount of the district's certified levy in
the third preceding December, plus or minus auditor's
adjustments.

Sec. 3. APPROPRIATIONS.

Subdivision 1.

Department of education.

The sums
indicated in this section are appropriated from the general fund
to the Department of Education for the fiscal years designated.
A. GENERAL EDUCATION

Subd. 2.

General education aid.

For general education
aid under Minnesota Statutes, section 126C.13, subdivision 4:

$5,012,148,000 ..... 2006

$5,007,512,000 ..... 2007

The 2006 appropriation includes $784,978,000 for 2005 and
$4,227,170,000 for 2006.

The 2007 appropriation includes $782,399,000 for 2006 and
$4,225,113,000 for 2007.

Subd. 3.

Referendum tax base replacement aid.

For
referendum tax base replacement aid under Minnesota Statutes,
section 126C.17, subdivision 7a:

$8,704,000 ..... 2006

$8,704,000 ..... 2007

The 2006 appropriation includes $1,366,000 for 2005 and
$7,338,000 for 2006.

The 2007 appropriation includes $1,366,000 for 2006 and
$7,338,000 for 2007.
B. OTHER GENERAL PROGRAMS

Subd. 4.

Enrollment options transportation.

For
transportation of pupils attending postsecondary institutions
under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota
Statutes, section 124D.03:

$55,000 ..... 2006

$55,000 ..... 2007

Subd. 5.

Abatement revenue.

For abatement aid under
Minnesota Statutes, section 127A.49:

$903,000 ..... 2006

$955,000 ..... 2007

The 2006 appropriation includes $187,000 for 2005 and
$716,000 for 2006.

The 2007 appropriation includes $133,000 for 2006 and
$822,000 for 2007.

Subd. 6.

Consolidation transition.

For districts
consolidating under Minnesota Statutes, section 123A.485:

$253,000 ..... 2007

The 2007 appropriation includes $-0- for 2006 and $253,000
for 2007.

Subd. 7.

Nonpublic pupil education aid.

For nonpublic
pupil education aid under Minnesota Statutes, sections 123B.40
to 123B.43 and 123B.87:

$15,174,000 ..... 2006

$15,976,000 ..... 2007

The 2006 appropriation includes $2,305,000 for 2005 and
$12,869,000 for 2006.

The 2007 appropriation includes $2,396,000 for 2006 and
$13,580,000 for 2007.

Subd. 8.

Nonpublic pupil transportation aid.

For
nonpublic pupil transportation aid under Minnesota Statutes,
section 123B.92, subdivision 9:

$20,758,000 ..... 2006

$21,446,000 ..... 2007

The 2006 appropriation includes $3,274,000 for 2005 and
$17,484,000 for 2006.

The 2007 appropriation includes $3,256,000 for 2006 and
$18,190,000 for 2007.

Subd. 9.

One room schoolhouse.

For a grant to
Independent School District No. 690, Warroad, to operate the
Angle Inlet School:

$50,000 ..... 2006

$50,000 ..... 2007

Subd. 10.

Declining pupil aid; albert lea.

For declining
pupil aid to Independent School District No. 241, Albert Lea:

$75,000 ..... 2006

Subd. 11.

Declining pupil aid; mesabi east.

For
declining pupil aid to Independent School District No. 2711,
Mesabi East:

$50,000 ..... 2006

Subd. 12.

Declining pupil aid; roseau.

For declining
pupil aid to Independent School District No. 682, Roseau:

$10,000 .....2006
C. EDUCATION EXCELLENCE

Subd. 13.

Charter school building lease aid.

For charter
school building lease aid under Minnesota Statutes, section
124D.11, subdivision 4:

$25,465,000 ..... 2006

$30,929,000 ..... 2007

The 2006 appropriation includes $3,324,000 for 2005 and
$22,141,000 for 2006.

The 2007 appropriation includes $4,123,000 for 2006 and
$26,806,000 for 2007.

Subd. 14.

Charter school start-up aid.

For charter
school start-up cost aid under Minnesota Statutes, section
124D.11:

$1,393,000 ..... 2006

$3,185,000 ..... 2007

The 2006 appropriation includes $-0- for 2005 and
$1,393,000 for 2006.

The 2007 appropriation includes $259,000 for 2006 and
$2,926,000 for 2007.

Subd. 15.

Integration aid.

For integration aid under
Minnesota Statutes, section 124D.86, subdivision 5:

$57,801,000 ..... 2006

$57,536,000 ..... 2007

The 2006 appropriation includes $8,545,000 for 2005 and
$49,256,000 for 2006.

The 2007 appropriation includes $9,173,000 for 2006 and
$48,363,000 for 2007.

Subd. 16.

Magnet school grants.

For magnet school and
program grants:

$ 750,000 ..... 2006

$ 750,000 ..... 2007

These amounts may be used for magnet school programs under
Minnesota Statutes, section 124D.88.

Subd. 17.

Interdistrict desegregation or integration
transportation grants.

For interdistrict desegregation or
integration transportation grants under Minnesota Statutes,
section 124D.87:

$7,768,000 ..... 2006

$9,908,000 ..... 2007

Subd. 18.

Success for the future.

For American Indian
success for the future grants under Minnesota Statutes, section
124D.81:

$2,137,000 ..... 2006

$2,137,000 ..... 2007

The 2006 appropriation includes $335,000 for 2005 and
$1,802,000 for 2006.

The 2007 appropriation includes $335,000 for 2006 and
$1,802,000 for 2007.

Subd. 19.

American indian scholarships.

For American
Indian scholarships under Minnesota Statutes, section 124D.84:

$1,875,000 ..... 2006

$1,875,000 ..... 2007

Subd. 20.

American indian teacher preparation
grants.

For joint grants to assist American Indian people to
become teachers under Minnesota Statutes, section 122A.63:

$ 190,000 ..... 2006

$ 190,000 ..... 2007

Subd. 21.

Tribal contract schools.

For tribal contract
school aid under Minnesota Statutes, section 124D.83:

$2,315,000 ..... 2006

$2,415,000 ..... 2007

The 2006 appropriation includes $348,000 for 2005 and
$1,967,000 for 2006.

The 2007 appropriation includes $366,000 for 2006 and
$2,049,000 for 2007.

Subd. 22.

Early childhood programs at tribal
schools.

For early childhood family education programs at
tribal contract schools under Minnesota Statutes, section
124D.83, subdivision 4:

$ 68,000 ..... 2006

$ 68,000 ..... 2007

Subd. 23.

Statewide testing support.

For statewide
testing support under Minnesota Statutes, section 120B.30:

$9,000,000 ..... 2006

$9,000,000 ..... 2007

Subd. 24.

Best practices seminars.

For best practices
seminars and other professional development capacity building
activities that assure proficiency in teaching and
implementation of graduation rule standards:

$1,000,000 ..... 2006

$1,000,000 ..... 2007

Subd. 25.

Alternative teacher compensation.

For
alternative teacher compensation established under Minnesota
Statutes, sections 122A.413 to 122A.415:

$3,700,000 ..... 2006

$3,700,000 ..... 2007

If the appropriations under this subdivision are
insufficient to fund all program participants, a participant may
receive less than the maximum per pupil amount available under
Minnesota Statutes, section 122A.415, subdivision 1. A
qualifying district or site receiving alternative teacher
compensation funding under this subdivision may use the funding
it receives to leverage additional funds from a national program
for enhancing teacher professionalism.

Subd. 26.

Youthworks program.

For funding youthworks
programs under Minnesota Statutes, sections 124D.37 to 124D.45:

$ 900,000 ..... 2006

$ 900,000 ..... 2007

A grantee organization may provide health and child care
coverage to the dependents of each participant enrolled in a
full-time youth works program to the extent such coverage is not
otherwise available.

Subd. 27.

Student organizations.

For student
organizations:

$ 625,000 ..... 2006

$ 625,000 ..... 2007

Subd. 28.

Online learning aid.

For online learning aid
under Minnesota Statutes, section 124D.096:

$1,250,000 ..... 2006

$1,250,000 ..... 2007

Subd. 29.

Collaborative urban educator.

For the
collaborative urban educator program:

$ 528,000 ..... 2006

$ 528,000 ..... 2007

Subd. 30.

Examination fees; teacher training and support
programs.

(a) For students' advanced placement and
international baccalaureate examination fees under Minnesota
Statutes, section 120B.13, subdivision 3, and the training and
related costs for teachers and other interested educators under
Minnesota Statutes, section 120B.13, subdivision 1:

$ 778,000 ..... 2006

$ 778,000 ..... 2007

(b) The advanced placement program shall receive 75 percent
of the appropriation each year and the international
baccalaureate program shall receive 25 percent of the
appropriation each year. The department, in consultation with
representatives of the advanced placement and international
baccalaureate programs selected by the Advanced Placement
Advisory Council and IBMN, respectively, shall determine the
amounts of the expenditures each year for examination fees and
training and support programs for each program.

(c) Notwithstanding Minnesota Statutes, section 120B.13,
subdivision 1, $375,000 each year is for teachers to attend
subject matter summer training programs and follow-up support
workshops approved by the advanced placement or international
baccalaureate programs. The amount of the subsidy for each
teacher attending an advanced placement or international
baccalaureate summer training program or workshop shall be the
same. The commissioner shall determine the payment process and
the amount of the subsidy.

(d) The commissioner shall pay all examination fees for all
students of low-income families under Minnesota Statutes,
section 120B.13, subdivision 3, and to the extent of available
appropriations shall also pay examination fees for students
sitting for an advanced placement examination, international
baccalaureate examination, or both.

Any balance in the first year does not cancel but is
available in the second year.

Subd. 31.

First grade preparedness.

For first grade
preparedness grants under Minnesota Statutes, section 124D.081:

$7,250,000 ..... 2006

$7,250,000 .....2007
D. SPECIAL PROGRAMS

Subd. 32.

Special education; regular.

For special
education aid under Minnesota Statutes, section 125A.75:

$528,846,000 ..... 2006

$527,446,000 ..... 2007

The 2006 appropriation includes $83,078,000 for 2005 and
$445,768,000 for 2006.

The 2007 appropriation includes $83,019,000 for 2006 and
$444,427,000 for 2007.

Subd. 33.

Aid for children with disabilities.

For aid
under Minnesota Statutes, section 125A.75, subdivision 3, for
children with disabilities placed in residential facilities
within the district boundaries for whom no district of residence
can be determined:

$2,212,000 ..... 2006

$2,615,000 ..... 2007

If the appropriation for either year is insufficient, the
appropriation for the other year is available.

Subd. 34.

Travel for home-based services.

For aid for
teacher travel for home-based services under Minnesota Statutes,
section 125A.75, subdivision 1:

$ 187,000 ..... 2006

$ 195,000 ..... 2007

The 2006 appropriation includes $28,000 for 2005 and
$159,000 for 2006.

The 2007 appropriation includes $29,000 for 2006 and
$166,000 for 2007.

Subd. 35.

Special education; excess costs.

For excess
cost aid under Minnesota Statutes, section 125A.79, subdivision
7:

$91,784,000 ..... 2006

$91,595,000 ..... 2007

The 2006 appropriation includes $37,455,000 for 2005 and
$54,329,000 for 2006.

The 2007 appropriation includes $37,417,000 for 2006 and
$54,178,000 for 2007.

Subd. 36.

Litigation costs for special education.

For
paying the costs a district incurs under Minnesota Statutes,
section 125A.75, subdivision 8:

$ 17,000 ..... 2006

$ 17,000 ..... 2007

Subd. 37.

Transition for disabled students.

For aid for
transition programs for children with disabilities under
Minnesota Statutes, section 124D.454:

$8,788,000 ..... 2006

$8,765,000 ..... 2007

The 2006 appropriation includes $1,380,000 for 2005 and
$7,408,000 for 2006.

The 2007 appropriation includes $1,379,000 for 2006 and
$7,386,000 for 2007.

Subd. 38.

Court-placed special education revenue.

For
reimbursing serving school districts for unreimbursed eligible
expenditures attributable to children placed in the serving
school district by court action under Minnesota Statutes,
section 125A.79, subdivision 4:

$ 65,000 ..... 2006

$ 70,000 ..... 2007

Subd. 39.

Out-of-state tuition special education.

For
special education out-of-state tuition according to Minnesota
Statutes, section 125A.79, subdivision 8:

$ 250,000 ..... 2006

$ 250,000 .....2007
E. FACILITIES AND TECHNOLOGY

Subd. 40.

Health and safety revenue.

For health and
safety aid according to Minnesota Statutes, section 123B.57,
subdivision 5:

$ 802,000 ..... 2006

$ 578,000 ..... 2007

The 2006 appropriation includes $211,000 for 2005 and
$591,000 for 2006.

The 2007 appropriation includes $109,000 for 2006 and
$469,000 for 2007.

Subd. 41.

Debt service equalization.

For debt service
aid according to Minnesota Statutes, section 123B.53,
subdivision 6:

$25,654,000 ..... 2006

$24,611,000 ..... 2007

The 2006 appropriation includes $4,654,000 for 2005 and
$21,000,000 for 2006.

The 2007 appropriation includes $3,911,000 for 2006 and
$20,700,000 for 2007.

Subd. 42.

Alternative facilities bonding aid.

For
alternative facilities bonding aid, according to Minnesota
Statutes, section 123B.59, subdivision 1:

$19,287,000 ..... 2006

$19,287,000 ..... 2007

The 2006 appropriation includes $3,028,000 for 2005 and
$16,259,000 for 2006.

The 2007 appropriation includes $3,028,000 for 2006 and
$16,259,000 for 2007.
F. NUTRITION

Subd. 43.

School lunch.

For school lunch aid according
to Minnesota Statutes, section 124D.111, and Code of Federal
Regulations, title 7, section 210.17:

$7,748,000 ..... 2006

$7,826,000 ..... 2007

Subd. 44.

Traditional school breakfast.

For traditional
school breakfast aid under Minnesota Statutes, section 124D.1158:

$4,634,000 ..... 2006

$4,723,000 ..... 2007

Subd. 45.

Summer food service replacement aid.

For
summer food service replacement aid under Minnesota Statutes,
section 124D.119:

$ 150,000 ..... 2006

$ 150,000 .....2007
G. LIBRARIES

Subd. 46.

Basic support.

For basic support grants
according to Minnesota Statutes, sections 134.32 to 134.342:

$8,570,000 ..... 2006

$8,570,000 ..... 2007

The 2006 appropriation includes $1,345,000 for 2005 and
$7,225,000 for 2006.

The 2007 appropriation includes $1,345,000 for 2006 and
$7,225,000 for 2007.

Subd. 47.

Multicounty, multitype library systems.

For
grants according to Minnesota Statutes, sections 134.353 and
134.354, to multicounty, multitype library systems:

$ 903,000 ..... 2006

$ 903,000 ..... 2007

The 2006 appropriation includes $141,000 for 2005 and
$762,000 for 2006.

The 2007 appropriation includes $141,000 for 2006 and
$762,000 for 2007.

Subd. 48.

Electronic library for minnesota.

For
statewide licenses to online databases selected in cooperation
with the Higher Education Services Office for school media
centers, public libraries, and state government agency
libraries, and public, private, or university libraries:

$ 400,000 ..... 2006

$ 400,000 ..... 2007

Subd. 49.

Regional library telecommunications aid.

For
regional library telecommunications aid under Minnesota
Statutes, section 134.355:

$1,200,000 ..... 2006

$1,200,000 ..... 2007

Of the 2006 appropriation, $188,000 is for 2005 and
$1,012,000 is for 2006.

Of the 2007 appropriation, $188,000 is for 2006 and
$1,012,000 is for 2007.
H. STATE AGENCIES

Subd. 50.

Department.

(a) For the Department of
Education:

$21,772,000 ..... 2006

$21,772,000 ..... 2007

Any balance in the first year does not cancel but is
available in the second year.

(b) $260,000 each year is for the Minnesota Children's
Museum.

(d) $621,000 each year is for the Board of Teaching.

(e) $165,000 each year is for the Board of School
Administrators.

(f) $29,000 each year is for Minnesota's Washington, D.C.,
office.

Sec. 4. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.

The sums indicated in this section are appropriated from
the general fund to the Minnesota State Academies for the Deaf
and the Blind for the fiscal years designated:

$10,466,000 ..... 2006

$10,466,000 ..... 2007

Any balance in the first year does not cancel but is
available in the second year.

Sec. 5. APPROPRIATIONS; PERPICH CENTER FOR ARTS
EDUCATION.

The sums indicated in this section are appropriated from
the general fund to the Perpich Center for Arts Education for
the fiscal years designated:

$6,423,000 ..... 2006

$6,423,000 ..... 2007

Any balance in the first year does not cancel but is
available in the second year.

ARTICLE 4

PREKINDERGARTEN THROUGH GRADE 12 EDUCATION
FORECAST ADJUSTMENTS
A. GENERAL EDUCATION

Section 1.

Laws 2003, First Special Session chapter 9,
article 1, section 53, subdivision 2, as amended by Laws 2004,
chapter 272, article 1, section 1, is amended to read:

Subd. 2.

General education aid.

For general education
aid under Minnesota Statutes, section 126C.13, subdivision 4:

$4,726,466,000 ..... 2004

$5,026,983,000 $5,281,781,000..... 2005

The 2004 appropriation includes $860,552,000 for 2003 and
$3,865,914,000 for 2004.

The 2005 appropriation includes
$1,009,822,000 $1,009,526,000 for 2004
and $4,017,161,000 $4,272,255,000 for 2005.

Sec. 2.

Laws 2003, First Special Session chapter 9,
article 1, section 53, subdivision 3, as amended by Laws 2004,
chapter 272, article 1, section 2, is amended to read:

Subd. 3.

Referendum tax base replacement aid.

For
referendum tax base replacement aid under Minnesota Statutes,
section 126C.17, subdivision 7a:

$8,096,000 ..... 2004

$8,596,000 $9,007,000..... 2005

The 2004 appropriation includes $1,419,000 for 2003 and
$6,677,000 for 2004.

The 2005 appropriation includes $1,669,000 for 2004 and
$6,927,000 $7,338,000 for 2005.

Sec. 3.

Laws 2003, First Special Session chapter 9,
article 1, section 53, subdivision 5, as amended by Laws 2004,
chapter 272, article 1, section 3, is amended to read:

Subd. 5.

Abatement revenue.

For abatement aid under
Minnesota Statutes, section 127A.49:

$2,436,000 ..... 2004

$1,559,000 $1,498,000..... 2005

The 2004 appropriation includes $472,000 for 2003 and
$1,964,000 for 2004.

The 2005 appropriation includes $491,000 for 2004 and
$1,068,000 $1,007,000 for 2005.

Sec. 4.

Laws 2003, First Special Session chapter 9,
article 1, section 53, subdivision 6, as amended by Laws 2004,
chapter 272, article 1, section 4, is amended to read:

Subd. 6.

Consolidation transition.

For districts
consolidating under Minnesota Statutes, section 123A.485:

$ 35,000 ..... 2004

$145,000 $-0-..... 2005

The 2004 appropriation includes $35,000 for 2003 and $0 for
2004.

The 2005 appropriation includes $0 for 2004 and $145,000
for 2005.

Sec. 5.

Laws 2003, First Special Session chapter 9,
article 1, section 53, subdivision 11, as amended by Laws 2004,
chapter 272, article 1, section 5, is amended to read:

Subd. 11.

Nonpublic pupil aid.

For nonpublic pupil
education aid under Minnesota Statutes, sections 123B.40 to
123B.43 and 123B.87:

$14,411,000 ..... 2004

$15,072,000 $15,304,000..... 2005

The 2004 appropriation includes $2,715,000 for 2003 and
$11,696,000 for 2004.

The 2005 appropriation includes $2,923,000 for 2004 and
$12,149,000 $12,381,000 for 2005.

Sec. 6.

Laws 2003, First Special Session chapter 9,
article 1, section 53, subdivision 12, as amended by Laws 2004,
chapter 272, article 1, section 6, is amended to read:

Subd. 12.

Nonpublic pupil transportation.

For nonpublic
pupil transportation aid under Minnesota Statutes, section
123B.92, subdivision 9:

$20,471,000 ..... 2004

$21,421,000 $21,703,000..... 2005

The 2004 appropriation includes $3,990,000 for 2003 and
$16,481,000 for 2004.

The 2005 appropriation includes $4,120,000 for 2004 and
$17,301,000 $17,583,000 for 2005.
B. EDUCATION EXCELLENCE

Sec. 7.

Laws 2003, First Special Session chapter 9,
article 2, section 55, subdivision 2, as amended by Laws 2004,
chapter 272, article 1, section 7, is amended to read:

Subd. 2.

Charter school building lease aid.

For building
lease aid under Minnesota Statutes, section 124D.11, subdivision
4:

$16,753,000 ..... 2004

$21,347,000 $21,410,000..... 2005

The 2004 appropriation includes $2,524,000 for 2003 and
$14,229,000 for 2004.

The 2005 appropriation includes $3,557,000 for 2004 and
$17,790,000 $17,853,000 for 2005.

Sec. 8.

Laws 2003, First Special Session chapter 9,
article 2, section 55, subdivision 5, as amended by Laws 2004,
chapter 272, article 1, section 10, is amended to read:

Subd. 5.

Integration aid.

For integration aid under
Minnesota Statutes, section 124D.86, subdivision 5:

$55,911,000 ..... 2004

$55,893,000 $57,756,000..... 2005

The 2004 appropriation includes $8,428,000 for 2003 and
$47,483,000 for 2004.

The 2005 appropriation includes $11,870,000 for 2004 and
$44,023,000 $45,886,000 for 2005.

Sec. 9.

Laws 2003, First Special Session chapter 9,
article 2, section 55, subdivision 7, as amended by Laws 2004,
chapter 272, article 1, section 11, is amended to read:

Subd. 7.

Magnet school startup aid.

For magnet school
startup aid under Minnesota Statutes, section 124D.88:

$ 37,000 ..... 2004

$ 40,000 ..... 2005

The 2004 appropriation includes $37,000 for 2003 and $0 for
2004.

The 2005 appropriation includes $0 for 2004 and $40,000 for
2005.

Sec. 10.

Laws 2003, First Special Session chapter 9,
article 2, section 55, subdivision 8, is amended to read:

Subd. 8.

Interdistrict desegregation or integration
transportation grants.

For interdistrict desegregation or
integration transportation grants under Minnesota Statutes,
section 124D.87:

$5,796,000 ..... 2004

$8,401,000 $5,279,000..... 2005

Sec. 11.

Laws 2003, First Special Session chapter 9,
article 2, section 55, subdivision 9, as amended by Laws 2004,
chapter 272, article 1, section 12, is amended to read:

Subd. 9.

Success for the future.

For American Indian
success for the future grants under Minnesota Statutes, section
124D.81:

$2,061,000 ..... 2004

$2,137,000 $2,229,000..... 2005

The 2004 appropriation includes $351,000 for 2003 and
$1,710,000 for 2004.

The 2005 appropriation includes $427,000 for 2004 and
$1,710,000 $1,802,000 for 2005.

Sec. 12.

Laws 2003, First Special Session chapter 9,
article 2, section 55, subdivision 12, as amended by Laws 2004,
chapter 272, article 1, section 13, is amended to read:

Subd. 12.

Tribal contract schools.

For tribal contract
school aid under Minnesota Statutes, section 124D.83:

$1,617,000 ..... 2004

$2,185,000 $2,203,000..... 2005

The 2004 appropriation includes $285,000 for 2003 and
$1,332,000 for 2004.

The 2005 appropriation includes $333,000 for 2004 and
$1,852,000 $1,870,000 for 2005.
C. SPECIAL PROGRAMS

Sec. 13.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 2, is amended to read:

Subd. 2.

Special education; regular.

For special
education aid under Minnesota Statutes, section 125A.75:

$515,091,000 ..... 2004

$529,460,000 $552,214,000..... 2005

The 2004 appropriation includes $90,577,000 for 2003 and
$424,514,000 for 2004.

The 2005 appropriation includes $106,128,000 for 2004 and
$423,332,000 $446,086,000 for 2005.

Sec. 14.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 4, as amended by Laws 2004,
chapter 272, article 1, section 14, is amended to read:

Subd. 4.

Aid for children with disabilities.

$2,311,000 ..... 2004

$2,550,000 $3,155,000..... 2005

If the appropriation for either year is insufficient, the
appropriation for the other year is available.

Sec. 15.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 5, as amended by Laws 2004,
chapter 272, article 1, section 15, is amended to read:

Subd. 5.

Travel for home-based services.

For aid for
teacher travel for home-based services under Minnesota Statutes,
section 125A.75, subdivision 1:

$173,000 ..... 2004

$178,000 $187,000..... 2005

The 2004 appropriation includes $34,000 for 2003 and
$139,000 for 2004.

The 2005 appropriation includes $34,000 for 2004 and
$144,000 $153,000 for 2005.

Sec. 16.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 6, as amended by Laws 2004,
chapter 272, article 1, section 16, is amended to read:

Subd. 6.

Special education; excess costs.

For excess
cost aid under Minnesota Statutes, section 125A.79, subdivision
7:

$92,605,000 ..... 2004

$92,799,000 $95,572,000..... 2005

The 2004 appropriation includes $41,754,000 for 2003 and
$50,851,000 for 2004.

The 2005 appropriation includes $41,216,000 for 2004 and
$51,583,000 $54,356,000 for 2005.

Sec. 17.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 7, as amended by Laws 2004,
chapter 272, article 1, section 17, is amended to read:

Subd. 7.

Litigation costs for special education.

For
paying the costs a district incurs under Minnesota Statutes,
section 125A.75, subdivision 8:

$201,000 ..... 2004

$150,000 $109,000..... 2005

Sec. 18.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 8, as amended by Laws 2004,
chapter 272, article 1, section 18, is amended to read:

Subd. 8.

Transition for disabled students.

For aid for
transition programs for children with disabilities under
Minnesota Statutes, section 124D.454:

$8,570,000 ..... 2004

$8,760,000 $9,176,000..... 2005

The 2004 appropriation includes $1,516,000 for 2003 and
$7,054,000 for 2004.

The 2005 appropriation includes $1,763,000 for 2004 and
$6,997,000 $7,413,000 for 2005.

Sec. 19.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 9, as amended by Laws 2004,
chapter 272, article 1, section 19, is amended to read:

Subd. 9.

Court-placed special education revenue.

$36,000 ..... 2004

$61,000 $62,000..... 2005

Sec. 20.

Laws 2003, First Special Session chapter 9,
article 3, section 20, subdivision 10, is amended to read:

Subd. 10.

Out-of-state tuition special education.

For
special education out-of-state tuition according to Minnesota
Statutes, section 125A.79, subdivision 8:

$250,000 ..... 2004

$250,000 $208,000..... 2005
D. FACILITIES AND TECHNOLOGY

Sec. 21.

Laws 2003, First Special Session chapter 9,
article 4, section 31, subdivision 2, as amended by Laws 2004,
chapter 272, article 1, section 21, is amended to read:

Subd. 2.

Health and safety revenue.

For health and
safety aid according to Minnesota Statutes, section 123B.57,
subdivision 5:

$5,356,000 ..... 2004

$1,920,000 $2,099,000..... 2005

The 2004 appropriation includes $1,516,000 for 2003 and
$3,840,000 for 2004.

The 2005 appropriation includes $960,000 for 2004 and
$960,000 $1,139,000 for 2005.

Sec. 22.

Laws 2003, First Special Session chapter 9,
article 4, section 31, subdivision 3, as amended by Laws 2004,
chapter 272, article 1, section 22, is amended to read:

Subd. 3.

Debt service equalization.

For debt service aid
according to Minnesota Statutes, section 123B.53, subdivision 6:

$35,598,000 ..... 2004

$31,220,000 $32,495,000..... 2005

The 2004 appropriation includes $5,586,000 for 2003 and
$30,012,000 for 2004.

The 2005 appropriation includes $7,503,000 for 2004 and
$23,717,000 $24,992,000 for 2005.

Sec. 23.

Laws 2003, First Special Session chapter 9,
article 4, section 31, subdivision 4, is amended to read:

Subd. 4.

Alternative facilities bonding aid.

For
alternative facilities bonding aid, according to Minnesota
Statutes, section 123B.59, subdivision 1:

$18,708,000 ..... 2004

$19,287,000 $20,116,000..... 2005

The 2004 appropriation includes $3,278,000 for 2003 and
$15,430,000 for 2004.

The 2005 appropriation includes $3,857,000 for 2004 and
$15,430,000 $16,259,000 for 2005.
E. NUTRITION, SCHOOL ACCOUNTING, OTHER PROGRAMS

Sec. 24.

Laws 2003, First Special Session chapter 9,
article 5, section 35, subdivision 2, as amended by Laws 2004,
chapter 272, article 1, section 23, is amended to read:

Subd. 2.

School lunch.

For school lunch aid according to
Minnesota Statutes, section 124D.111, and Code of Federal
Regulations, title 7, section 210.17:

$7,650,000 ..... 2004

$7,760,000 $7,671,000..... 2005

Sec. 25.

Laws 2003, First Special Session chapter 9,
article 5, section 35, subdivision 3, as amended by Laws 2004,
chapter 272, article 1, section 24, is amended to read:

Subd. 3.

Traditional school breakfast; kindergarten
milk.

For traditional school breakfast aid and kindergarten
milk under Minnesota Statutes, sections 124D.1158 and 124D.118:

$4,382,000 ..... 2004

$4,460,000 $4,548,000..... 2005
F. LIBRARIES

Sec. 26.

Laws 2003, First Special Session chapter 9,
article 6, section 4, as amended by Laws 2004, chapter 272,
article 1, section 25, and Laws 2004, chapter 286, section 3, is
amended to read:

Sec. 4. APPROPRIATIONS.

Subdivision 1.

Department of education.

The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.

Subd. 2.

Basic system support.

For basic system support
grants under Minnesota Statutes, section 134.355:

$8,312,000 ..... 2004

$8,570,000 $8,939,000..... 2005

The 2004 appropriation includes $1,456,000 for 2003 and
$6,856,000 for 2004.

The 2005 appropriation includes $1,714,000 for 2004 and
$6,856,000 $7,225,000 for 2005.

Subd. 3.

Regional library telecommunications aid.

For
regional library telecommunications aid under Minnesota
Statutes, section 134.355:

$960,000 ..... 2004

$1,200,000 $1,252,000..... 2005

The 2004 appropriation includes $960,000 for 2004.

The 2005 appropriation includes $240,000 for 2004 and
$960,000 $1,012,000 for 2005.

Subd. 4.

Multicounty, multitype library systems.

For
grants according to Minnesota Statutes, sections 134.353 and
134.354, to multicounty, multitype library systems:

$876,000 ..... 2004

$903,000 $942,000..... 2005

The 2004 appropriation includes $153,000 for 2003 and
$723,000 for 2004.

The 2005 appropriation includes $180,000 for 2004 and
$723,000 $762,000 for 2005.

Subd. 5.

Electronic library for minnesota.

For statewide
licenses to on-line databases selected in cooperation with the
higher education services office for school media centers,
public libraries, state government agency libraries, and public
or private college or university libraries:

$400,000 ..... 2004

$400,000 ..... 2005

Any balance in the first year does not cancel but is
available in the second year.
G. EARLY CHILDHOOD FAMILY SUPPORT

Sec. 27.

Laws 2003, First Special Session chapter 9,
article 7, section 11, subdivision 2, is amended to read:

Subd. 2.

School readiness.

For revenue for school
readiness programs under Minnesota Statutes, sections 124D.15
and 124D.16:

$ 9,536,000 ..... 2004

$ 9,258,000 $9,594,000..... 2005

The 2004 appropriation includes $1,605,000 for 2003 and
$7,931,000 for 2004.

The 2005 appropriation includes $1,982,000 for 2004 and
$7,276,000 $7,612,000 for 2005.

Sec. 28.

Laws 2003, First Special Session chapter 9,
article 7, section 11, subdivision 3, as amended by Laws 2004,
chapter 272, article 1, section 26, is amended to read:

Subd. 3.

Early childhood family education aid.

For early
childhood family education aid under Minnesota Statutes, section
124D.135:

$19,079,000 ..... 2004

$14,407,000 $13,956,000..... 2005

The 2004 appropriation includes $3,239,000 for 2003 and
$15,840,000 for 2004.

The 2005 appropriation includes $3,959,000 for 2004 and
$10,448,000 $9,997,000 for 2005.

Sec. 29.

Laws 2003, First Special Session chapter 9,
article 7, section 11, subdivision 4, is amended to read:

Subd. 4.

Health and developmental screening aid.

For
health and developmental screening aid under Minnesota Statutes,
sections 121A.17 and 121A.19:

$2,581,000 ..... 2004

$2,661,000 $2,776,000..... 2005

The 2004 appropriation includes $452,000 for 2003 and
$2,129,000 for 2004.

The 2005 appropriation includes $532,000 for 2004 and
$2,129,000 $2,244,000 for 2005.
H. PREVENTION

Sec. 30.

Laws 2003, First Special Session chapter 9,
article 8, section 7, subdivision 2, as amended by Laws 2004,
chapter 272, article 1, section 27, is amended to read:

Subd. 2.

Community education aid.

For community
education aid under Minnesota Statutes, section 124D.20:

$5,351,000 ..... 2004

$3,137,000 $3,198,000..... 2005

The 2004 appropriation includes $956,000 for 2003 and
$4,395,000 for 2004.

The 2005 appropriation includes $1,098,000 for 2004 and
$2,039,000 $2,100,000 for 2005.

Sec. 31.

Laws 2003, First Special Session chapter 9,
article 8, section 7, subdivision 3, is amended to read:

Subd. 3.

Adults with disabilities program aid.

For
adults with disabilities programs under Minnesota Statutes,
section 124D.56:

$688,000 ..... 2004

$710,000 $741,000..... 2005

The 2004 appropriation includes $120,000 for 2003 and
$568,000 for 2004.

The 2005 appropriation includes $142,000 for 2004 and
$568,000 $599,000 for 2005.

Sec. 32.

Laws 2003, First Special Session chapter 9,
article 8, section 7, subdivision 5, as amended by Laws 2004,
chapter 272, article 1, section 28, is amended to read:

Subd. 5.

School-age care revenue.

For extended day care
aid under Minnesota Statutes, section 124D.22:

$40,000 ..... 2004

$24,000 $30,000..... 2005

The 2004 appropriation includes $14,000 for 2003 and
$26,000 for 2004.

The 2005 appropriation includes $6,000 for 2004 and
$18,000 $24,000 for 2005.
I. SELF-SUFFICIENCY AND LIFELONG LEARNING

Sec. 33.

Laws 2003, First Special Session chapter 9,
article 9, section 9, subdivision 2, as amended by Laws 2004,
chapter 272, article 1, section 29, is amended to read:

Subd. 2.

Adult basic education aid.

For adult basic
education aid under Minnesota Statutes, section 124D.52, in
fiscal year 2004 and Minnesota Statutes, section 124D.531, in
fiscal year 2005:

$33,014,000 ..... 2004

$35,808,000 $37,444,000..... 2005

The 2004 appropriation includes $5,827,000 for 2003 and
$27,187,000 for 2004.

The 2005 appropriation includes $6,796,000 for 2004 and
$29,012,000 $30,648,000 for 2005.

Sec. 34. EFFECTIVE DATE.

This article is effective the day following final enactment.

ARTICLE 5

HIGHER EDUCATION

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 $1,405,948,000 $1,307,004,000 $2,712,952,000

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

2006 2007 TOTAL

Higher Education Services Office

171,852,000 171,852,000 343,704,000

Board of Trustees of the Minnesota
State Colleges and Universities

642,494,000 583,694,000 1,226,188,000

Board of Regents of the University
of Minnesota

590,211,000 550,067,000 1,140,278,000

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 $ 171,852,000 $ 171,852,000

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

For the biennium, the private
institution tuition 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 contains money to
provide educational benefits to
dependent children under age 23 and the
spouses of public safety officers
killed in the line of duty pursuant to
Minnesota Statutes, section 299A.45.

This appropriation contains money to
set the living and miscellaneous
expense allowance at $5,205 in each
year.

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

400,000 400,000

Subd. 8.

Learning Network
of Minnesota

4,329,000 4,329,000

Subd. 9.

Income Contingent Loans

The Higher Education Services 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
Minnesota Statutes, section 136A.162.
No new applicants may be accepted after
June 30, 1995.

Subd. 10.

Minnesota College
Savings Plan

1,120,000 1,120,000

Subd. 11.

Agency
Administration

2,860,000 2,860,000

This appropriation includes $125,000
each year for the student and parent
information program under Minnesota
Statutes, section 136A.87; $184,000
each year for the Get Ready program;
and $255,000 each year for the college
intervention program to foster
postsecondary attendance by providing
outreach services to historically
underserved groups of Minnesota
elementary and secondary students. The
office may contract with other agencies
or nonprofit organizations for specific
services specifically funded by this
paragraph.

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

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 and the
interstate tuition reciprocity
appropriation.

Subd. 14.

Reporting

The Higher Education Services Office
shall collect data monthly from
institutions disbursing state financial
aid. The data collected shall include,
but is not limited to, expenditures by
type to date and unexpended balances.

The Higher Education Services Office
shall evaluate and report monthly on
state financial aid expenditures and
unexpended balances to the chairs of
the higher education finance committees
of the senate and house of
representatives and the commissioner of
finance. By July 15, December 1,
February 15, and April 15, the services
office shall 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 office shall meet and
consult with representatives of public
and private postsecondary education,
the Department of Finance, governor's
office, legislative staff, and
financial aid administrators. The
Board of Regents of the University of
Minnesota, the Board of Trustees of the
Minnesota State Colleges and
Universities, and private institutions
that participate in the state grant
program shall submit tuition and fee
information to the Higher Education
Services Office no later than July 1 of
each year.

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

Subdivision 1.

Total
Appropriation 642,494,000 583,694,000

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

Subd. 2.

Estimated Expenditures
and Appropriations

The legislature estimates that
instructional expenditures will be
$579,530,000 in the first year and
$526,492,000 in the second year. The
legislature estimates that
noninstructional expenditures will be
$62,964,000 in the first year and
$57,202,000 in the second year.

Subd. 3.

Accountability

The board shall continue to submit the
data and information enumerated in Laws
2001, First Special Session chapter 1,
article 1, section 3, subdivision 3, in
the accountability report. For the
purpose of those reports, a first
generation student is a student neither
of whose parents received any
postsecondary education.

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

Subdivision 1.

Total

Appropriation 590,211,000 550,067,000

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

Subd. 2.

Operations and
Maintenance

526,844,000 486,700,000

Estimated Expenditures
and Appropriations

The legislature estimates that
instructional expenditures will be
$300,417,000 in the first year and
$279,984,000 in the second year. The
legislature estimates that
noninstructional expenditures will be
$289,794,000 in the first year and
$270,083,000 in the second year.

Subd. 3.

Health Care Access Fund

2,157,000 2,157,000

This appropriation is from the health
care access fund 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.

Any salary increases granted by the
university to personnel paid from the
Minnesota Extension appropriation must
not result in a reduction of the county
responsibility for the salary payments.

During the biennium, the university
shall maintain an advisory council
system for each experiment station.
The advisory councils must be broadly
representative of the range in size and
income distribution of farms and
agribusinesses and must not
disproportionately represent those from
the upper half of the size and income
distributions.

The university must continue to provide
support for the rapid agricultural
response fund, and sustainable and
organic agriculture initiatives
including, but not limited to, the
alternative swine systems program.

(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.

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
$20,940,000 in the first year and
$20,524,000 in the second year.

Subd. 6.

Accountability

The board shall continue to submit the
data and information enumerated in Laws
2001, First Special Session chapter 1,
article 1, section 4, subdivision 5, in
the board's university plan,
performance, and accountability
report. For the purpose of those
reports, a first generation student is
a student neither of whose parents
received any postsecondary education.

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.

The legislature intends 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 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 shall 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.

ARTICLE 6

ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE

Section 1. ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE
APPROPRIATIONS.

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or another named fund, to
the agencies and for the purposes specified in this article, to
be available for the fiscal years indicated for each purpose.
The figures "2006" and "2007," where used in this article, mean
that the appropriation or appropriations listed under them are
available for the year ending June 30, 2006, or June 30, 2007,
respectively. The term "the first year" means the year ending
June 30, 2006, and the term "the second year" means the year
ending June 30, 2007.
SUMMARY BY FUND

2006 2007 TOTAL

General $ 172,418,000 $ 168,941,000 $ 341,359,000

State Government
Special Revenue 48,000 48,000 96,000

Environmental 34,806,000 34,806,000 69,612,000

Natural
Resources 56,833,000 56,833,000 113,666,000

Game and Fish 82,050,000 82,050,000 164,100,000

Remediation 11,857,000 11,857,000 23,714,000

TOTAL $ 358,012,000 $ 354,535,000 $ 712,547,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. POLLUTION CONTROL
AGENCY

Subdivision 1.

Total
Appropriation $ 52,979,000 $ 52,979,000

Summary by Fund

General 14,715,000 14,715,000

State Government
Special Revenue 48,000 48,000

Environmental 26,812,000 26,812,000

Remediation 11,404,000 11,404,000

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

Subd. 2.

Water

19,456,000 19,456,000

Summary by Fund

General 10,467,000 10,467,000

State Government
Special Revenue 48,000 48,000

Environmental 8,941,000 8,941,000

$2,348,000 the first year and
$2,348,000 the second year are for the
clean water partnership program. Any
balance remaining in the first year
does not cancel and is available for
the second year. This appropriation
may be used for grants to local units
of government for the purpose of
restoring impaired waters listed under
section 303(d) of the federal Clean
Water Act in accordance with adopted
total maximum daily loads (TMDLs),
including implementation of approved
clean water partnership diagnostic
study work plans that will assist in
restoration of such impaired waters.

$2,324,000 the first year and
$2,324,000 the second year must be
distributed as grants to delegated
counties to administer the county
feedlot program. Distribution of the
funds must be conducted according to
the following three-part formula:

(1) Number of feedlots in the county:
60 percent of the total appropriation
must be distributed according to the
number of feedlots that are required to
be registered in the county. Grants
awarded under this clause must be
matched with a combination of local
cash and in-kind contributions.

(2) Minimum program requirements: 25
percent of the total appropriation must
be distributed based on the county (i)
conducting an annual number of
inspections at feedlots that is equal
to or greater than seven percent of the
total number of registered feedlots
that are required to be registered in
the county; and (ii) meeting
noninspection minimum program
requirements as identified in the
county feedlot workplan form. Counties
that do not meet the inspection
requirement must not receive 50 percent
of the eligible funding under this
clause. Counties must receive funding
for noninspection requirements under
this clause according to a scoring
system checklist administered by the
department. The commissioner, in
consultation with the Minnesota
Association of County Feedlot Officers
executive team, shall make a final
decision regarding any appeal by a
county regarding the terms and
conditions of this clause.

(3) Performance credits: 15 percent of
the total appropriation must be
distributed according to work that has
been done by the counties during the
fiscal year. The amount must be
determined by the number of performance
credits a county accumulates during the
year based on a performance credit
matrix jointly agreed upon by the
commissioner in consultation with the
Minnesota Association of County Feedlot
Officers executive team. To receive an
award under this clause the county must
meet the requirements of clause (2)(i)
and achieve 90 percent of the
requirements according to clause
(2)(ii) of the formula. The rate of
reimbursement per performance credit
item must not exceed $200.

Delegated counties are eligible for a
minimum grant of $7,500. To receive
the full $7,500 amount a county must
meet the requirements under clause (2)
of the formula. Nondelegated counties
that apply for delegation shall receive
a grant prorated according to the
number of full quarters remaining in
the program year from the date of
commissioner approval of the
delegation. Funds for awards to any
newly delegated counties must be made
out of the appropriation reserved for
clause (3) of the formula. The
commissioner, in consultation with the
Minnesota Association of County Feedlot
Officers executive team, may decide to
use funds reserved for clause (3) of
the formula in an amount not to exceed
five percent of the total annual
appropriation for initiatives to
enhance existing delegated county
feedlot programs, information and
education, or technical assistance
efforts to reduce feedlot-related
pollution hazards. Any funds remaining
after distribution under clauses (1)
and (2) of the formula must be
transferred to clause (3) of the
formula. Any money remaining after the
first year is available for the second
year.

$335,000 the first year and $335,000
the second year are for community
technical assistance and education,
including grants and technical
assistance to communities for local and
basinwide water quality protection.

$405,000 the first year and $405,000
the second year are for individual
sewage treatment system (ISTS)
administration and grants. Of this
amount, $86,000 in each year is for
assistance to local units of government
through competitive grant programs for
ISTS program development. Any
unexpended balance in the first year
does not cancel but is available in the
second year.

$480,000 the first year and $480,000
the second year are from the
environmental fund to address the need
for continued increased activity in the
areas of new technology review,
technical assistance for local
governments, and enforcement under
Minnesota Statutes, sections 115.55 to
115.58, and to complete the
requirements of Laws 2003, chapter 128,
article 1, sections 164 and 165. Of
this amount, $48,000 each year is for
administration of individual septic
tank fees, as provided in Minnesota
Statutes, section 115.551.

Notwithstanding Minnesota Statutes,
section 16A.28, the appropriations
encumbered under contract on or before
June 30, 2007, for clean water
partnership, individual sewage
treatment systems (ISTS), Minnesota
River, total maximum daily loads
(TMDLs), and local and basinwide water
quality protection grants in this
subdivision are available until June
30, 2009.

Subd. 3.

Air

8,765,000 8,765,000

Summary by Fund

Environmental 8,765,000 8,765,000

Up to $150,000 the first year and
$150,000 the second year may be
transferred to the environmental fund
for the small business environmental
improvement loan program established in
Minnesota Statutes, section 116.993.

$200,000 the first year and $200,000
the second year are from the
environmental fund for a monitoring
program under Minnesota Statutes,
section 116.454.

$125,000 the first year and $125,000
the second year are from the
environmental fund for monitoring
ambient air for hazardous pollutants in
the metropolitan area.

Subd. 4.

Land

18,469,000 18,469,000

Summary by Fund

Environmental 7,065,000 7,065,000

Remediation 11,404,000 11,404,000

All money for environmental response,
compensation, and compliance in the
remediation fund not otherwise
appropriated is appropriated to the
commissioners of the Pollution Control
Agency and the Department of
Agriculture for purposes of Minnesota
Statutes, section 115B.20, subdivision
2, clauses (1), (2), (3), (6), and
(7). At the beginning of each fiscal
year, the two commissioners shall
jointly submit an annual spending plan
to the commissioner of finance that
maximizes the utilization of resources
and appropriately allocates the money
between the two agencies. This
appropriation is available until June
30, 2007.

$574,000 the first year and $574,000
the second year are from the petroleum
tank fund to be transferred to the
remediation fund for purposes of the
leaking underground storage tank
program to protect the land.

$200,000 the first year and $200,000
the second year are from the
remediation fund to be transferred to
the Department of Health for private
water supply monitoring and health
assessment costs in areas contaminated
by unpermitted mixed municipal solid
waste disposal facilities.

Subd. 5.

Multimedia

4,306,000 4,306,000

Summary by Fund

General 2,265,000 2,265,000

Environmental 2,041,000 2,041,000

Subd. 6.

Administrative Support

1,983,000 1,983,000

Sec. 3. OFFICE OF ENVIRONMENTAL
ASSISTANCE 19,754,000 19,754,000

Summary by Fund

General 11,760,000 11,760,000

Environmental 7,994,000 7,994,000

$12,500,000 each year is for SCORE
block grants to counties. Of that
amount, $7,060,000 is from the general
fund and $5,440,000 is from the
environmental fund.

Any unencumbered grant and loan
balances in the first year do not
cancel but are available for grants and
loans in the second year.

All money deposited in the
environmental fund for the metropolitan
solid waste landfill fee in accordance
with Minnesota Statutes, section
473.843, and not otherwise
appropriated, is appropriated to the
Office of Environmental Assistance for
the purposes of Minnesota Statutes,
section 473.844.

$119,000 the first year and $119,000
the second year are for environmental
assistance grants or loans under
Minnesota Statutes, section 115A.0716.

Notwithstanding Minnesota Statutes,
section 16A.28, the appropriations
encumbered under contract on or before
June 30, 2007, for environmental
assistance grants awarded under
Minnesota Statutes, section 115A.0716,
and for technical and research
assistance under Minnesota Statutes,
section 115A.152, technical assistance
under Minnesota Statutes, section
115A.52, and pollution prevention
assistance under Minnesota Statutes,
section 115D.04, are available until
June 30, 2009.

Sec. 4. ZOOLOGICAL BOARD 6,681,000 6,681,000

Summary by Fund

General 6,557,000 6,557,000

Natural Resources 124,000 124,000

$124,000 the first year and $124,000
the second year are from the natural
resources fund. This appropriation is
from the revenue deposited in the
natural resources fund under Minnesota
Statutes, section 297A.94, paragraph
(e), clause (5).

Sec. 5. NATURAL RESOURCES

Subdivision 1.

Total
Appropriation 212,158,000 212,158,000

Summary by Fund

General 77,941,000 77,941,000

Natural Resources 52,067,000 52,067,000

Game and Fish 82,050,000 82,050,000

Remediation 100,000 100,000

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

Subd. 2.

Land and Mineral Resources
Management

7,914,000 7,914,000

Summary by Fund

General 4,925,000 4,925,000

Natural Resources 2,102,000 2,102,000

Game and Fish 887,000 887,000

$275,000 the first year and $275,000
the second year are for iron ore
cooperative research, of which $137,500
the first year and $137,500 the second
year are available only as matched by
$1 of nonstate money for each $1 of
state money. The match may be cash or
in-kind.

$172,000 the first year and $172,000
the second year are for mineral
diversification.

$86,000 the first year and $86,000 the
second year are for minerals
cooperative environmental research, of
which $43,000 the first year and
$43,000 the second year are available
only as matched by $1 of nonstate money
for each $1 of state money. The match
may be cash or in-kind.

$1,946,000 the first year and
$1,946,000 the second year are from the
minerals management account in the
natural resources fund for only the
purposes specified in new Minnesota
Statutes, section 93.2236, paragraph
(c). Of this amount, $1,526,000 the
first year and $1,526,000 the second
year are for mineral resource
management, $420,000 the first year and
$420,000 the second year are for
projects to enhance future income and
promote new opportunities, including
value-added iron products, geological
mapping, and mercury research. The
appropriation is from the revenue
deposited in the minerals management
account under Minnesota Statutes,
section 93.22, subdivision 1, paragraph
(b).

Subd. 3.

Water Resources Management

10,684,000 10,684,000

Summary by Fund

General 10,404,000 10,404,000

Natural Resources 280,000 280,000

$65,000 the first year and $65,000 the
second year are for a grant to the
Mississippi Headwaters Board for up to
50 percent of the cost of implementing
the comprehensive plan for the upper
Mississippi within areas under its
jurisdiction.

$5,000 the first year and $5,000 the
second year are for payment to the
Leech Lake Band of Chippewa Indians to
implement its portion of the
comprehensive plan for the upper
Mississippi.

$125,000 the first year and $125,000
the second year are for the
construction of ring dikes under
Minnesota Statutes, section 103F.161.
The ring dikes may be publicly or
privately owned. Any unencumbered
balance does not cancel at the end of
the first year and is available for the
second year.

Subd. 4.

Forest Management

32,237,000 32,237,000

Summary by Fund

General 26,022,000 26,022,000

Natural Resources 6,215,000 6,215,000

$7,217,000 the first year and
$7,217,000 the second year are for
prevention, presuppression, and
suppression costs of emergency
firefighting and other costs incurred
under Minnesota Statutes, section
88.12. If the appropriation for either
year is insufficient to cover all costs
of presuppression and suppression, the
amount necessary to pay for these costs
during the biennium is appropriated
from the general fund. By November 15
of each year, the commissioner of
natural resources shall submit a report
to the chairs of the house of
representatives Ways and Means
Committee, the senate Finance
Committee, the Environment and
Agriculture Budget Division of the
senate Finance Committee, and the house
of representatives Environment and
Natural Resources Finance Committee,
identifying all firefighting costs
incurred and reimbursements received in
the prior fiscal year. These
appropriations may not be transferred.
Any reimbursement of firefighting
expenditures made to the commissioner
from any source other than federal
mobilizations shall be deposited into
the general fund.

$9,715,000 the first year and
$9,715,000 the second year are from the
forest management investment account in
the natural resources fund for only the
purposes specified in Minnesota
Statutes, section 89.039, subdivision 2.

$730,000 the first year and $730,000
the second year are for the Forest
Resources Council for implementation of
the Sustainable Forest Resources Act.

$350,000 the first year and $350,000
the second year are for the FORIST
timber management information system
and for increased forestry management.

$250,000 the first year and $250,000
the second year are from the game and
fish fund to implement ecological
classification systems (ECS) standards
on forested landscapes. This is from
revenue deposited in the game and fish
fund under Minnesota Statutes, section
297A.94, paragraph (e), clause (1).

Subd. 5.

Parks and Recreation
Management

29,284,000 29,284,000

Summary by Fund

General 16,211,000 16,211,000

Natural Resources 13,073,000 13,073,000

$640,000 the first year and $640,000
the second year are from the water
recreation account in the natural
resources fund for state park
development projects.

$3,725,000 the first year and
$3,813,000 the second year are from the
natural resources fund for state park
and recreation area operations. This
appropriation is from the revenue
deposited to the natural resources fund
under Minnesota Statutes, section
297A.94, paragraph (e), clause (2).

$8,971,000 the first year and
$8,971,000 the second year are from the
state parks account in the natural
resources fund for state park and
recreation area operations.

Subd. 6.

Trails and Waterways
Management

19,930,000 19,930,000

Summary by Fund

General 1,234,000 1,234,000

Natural Resources 17,012,000 17,012,000

Game and Fish 1,684,000 1,684,000

$5,724,000 the first year and
$5,724,000 the second year are from the
snowmobile trails and enforcement
account in the natural resources fund
for snowmobile grants-in-aid. Any
unencumbered balance does not cancel at
the end of the first year and is
available for the second year.

$625,000 the first year and $625,000
the second year are from the natural
resources fund for off-highway vehicle
grants-in-aid. Of this amount,
$475,000 each year is from the
all-terrain vehicle account; $50,000
each year is from the off-highway
motorcycle account; and $100,000 each
year is from the off-road vehicle
account. Any unencumbered balance does
not cancel at the end of the first year
and is available for the second year.

$261,000 the first year and $261,000
the second year are from the water
recreation account in the natural
resources fund for a safe harbor
program on Lake Superior.

$742,000 the first year and $760,000
the second year are from the natural
resources fund for state trail
operations. This appropriation is from
the revenue deposited in the natural
resources fund under Minnesota
Statutes, section 297A.94, paragraph
(e), clause (2).

$632,000 the first year and $645,000
the second year are from the natural
resources fund for trail grants to
local units of government on land to be
maintained for at least 20 years for
the purposes of the grant. This
appropriation is from the revenue
deposited in the natural resources fund
under Minnesota Statutes, section
297A.94, paragraph (e), clause (4).

Subd. 7.

Fish and Wildlife Management

55,937,000 55,937,000

Summary by Fund

General 1,966,000 1,966,000

Natural Resources 1,392,000 1,392,000

Game and Fish 52,579,000 52,579,000

$407,000 the first year and $412,000
the second year are for resource
population surveys in the 1837 treaty
area. Of this amount, $265,000 the
first year and $270,000 the second year
are from the game and fish fund.

$177,000 the first year and $177,000
the second year are for the reinvest in
Minnesota programs of game and fish,
critical habitat, and wetlands
established under Minnesota Statutes,
section 84.95, subdivision 2.

$1,030,000 the first year and
$1,030,000 the second year are from the
trout and salmon management account for
only the purposes specified in
Minnesota Statutes, section 97A.075,
subdivision 3.

$136,000 the first year and $136,000
the second year are available for
aquatic plant restoration.

Notwithstanding Minnesota Statutes,
section 16A.28, the appropriations
encumbered under contract on or before
June 30, 2007, for aquatic restoration
grants in this subdivision are
available until June 30, 2009.

$2,030,000 the first year and
$2,030,000 the second year are from the
wildlife acquisition surcharge account
for only the purposes specified in
Minnesota Statutes, section 97A.071,
subdivision 2a.

$1,269,000 the first year and
$1,269,000 the second year are from the
deer habitat improvement account for
only the purposes specified in
Minnesota Statutes, section 97A.075,
subdivision 1, paragraph (b).

$332,000 the first year and $332,000
the second year are from the deer and
bear management account for only the
purposes specified in Minnesota
Statutes, section 97A.075, subdivision
1, paragraph (c).

$808,000 the first year and $808,000
the second year are from the waterfowl
habitat improvement account for only
the purposes specified in Minnesota
Statutes, section 97A.075, subdivision
2.

$546,000 the first year and $546,000
the second year are from the pheasant
habitat improvement account for only
the purposes specified in Minnesota
Statutes, section 97A.075, subdivision
4.

$120,000 the first year and $120,000
the second year are from the wild
turkey management account for only the
purposes specified in Minnesota
Statutes, section 97A.075, subdivision
5. Of this amount, $8,000 the first
year and $8,000 the second year are
appropriated from the game and fish
fund for transfer to the wild turkey
management account for purposes
specified in Minnesota Statutes,
section 97A.075, subdivision 5.

$2,560,000 the first year and
$2,560,000 the second year are from the
heritage enhancement account in the
game and fish fund for only the
purposes specified in Minnesota
Statutes, section 297A.94, paragraph
(e), clause (1).

$13,000 the first year and $13,000 the
second year are to publicize the
critical habitat license plate match
program.

Notwithstanding Minnesota Statutes,
section 297A.94, this appropriation may
be used for hunter recruitment and
retention and public land user
facilities.

Notwithstanding Minnesota Statutes,
section 16A.28, the appropriations
encumbered under contract on or before
June 30, 2005, for wildlife habitat
grants in this subdivision are
available until June 30, 2009.

Subd. 8.

Ecological Services

9,173,000 9,173,000

Summary by Fund

General 3,104,000 3,104,000

Natural Resources 2,789,000 2,789,000

Game and Fish 3,280,000 3,280,000

$1,082,000 the first year and
$1,082,000 the second year are from the
nongame wildlife management account in
the natural resources fund for the
purpose of nongame wildlife management.

$477,000 the first year and $477,000
the second year are for the reinvest in
Minnesota programs of game and fish,
critical habitat, and wetlands
established under Minnesota Statutes,
section 84.95, subdivision 2.

$1,588,000 the first year and
$1,588,000 the second year are from the
heritage enhancement account in the
game and fish fund for only the
purposes specified in Minnesota
Statutes, section 297A.94, paragraph
(e), clause (1).

Subd. 9.

Enforcement

27,585,000 27,585,000

Summary by Fund

General 3,346,000 3,346,000

Natural Resources 6,786,000 6,786,000

Game and Fish 17,353,000 17,353,000

Remediation 100,000 100,000

$1,082,000 the first year and
$1,082,000 the second year are from the
water recreation account in the natural
resources fund for grants to counties
for boat and water safety.

$100,000 the first year and $100,000
the second year are from the
remediation fund for solid waste
enforcement activities under Minnesota
Statutes, section 116.073.

$315,000 the first year and $315,000
the second year are from the snowmobile
trails and enforcement account in the
natural resources fund for grants to
local law enforcement agencies for
snowmobile enforcement activities.

$1,164,000 the first year and
$1,164,000 the second year are from the
heritage enhancement account in the
game and fish fund for only the
purposes specified in Minnesota
Statutes, section 297A.94, paragraph
(e), clause (1).

Overtime shall be distributed to
conservation officers at historical
levels; however, a reasonable reduction
or addition may be made to the
officer's allocation, if justified,
based on an individual officer's
workload. If funding for enforcement
is reduced because of an unallotment,
the overtime bank may be reduced in
proportion to reductions made in other
areas of the budget.

$700,000 the first year and $700,000
the second year are from the natural
resources fund for off-highway vehicle
enforcement. Of this amount, $665,000
the first year and $665,000 the second
year are from the all-terrain vehicle
account, $28,000 the first year and
$28,000 the second year are from the
off-highway motorcycle account, and
$7,000 the first year and $7,000 the
second year are from the off-road
vehicle account.

$130,000 the first year and $130,000
the second year are from the
all-terrain vehicle account in the
natural resources fund for
administration of the all-terrain
vehicle environmental and safety
education and training program under
Minnesota Statutes, section 84.925.

$225,000 the first year and $225,000
the second year are from the natural
resources fund for grants to county law
enforcement agencies for off-highway
vehicle enforcement and public
education activities based on
off-highway vehicle use in the county.
Of this amount, $213,000 each year is
from the all-terrain vehicle account;
$11,000 each year is from the
off-highway motorcycle account; and
$1,000 each year is from the off-road
vehicle account. The county
enforcement agencies may use money
received under this appropriation to
make grants to other local enforcement
agencies within the county that have a
high concentration of off-highway
vehicle use. Of this appropriation,
$25,000 each year is for administration
of these grants.

Subd. 10.

Operations Support

19,414,000 19,414,000

Summary by Fund

General 10,729,000 10,729,000

Natural Resources 2,418,000 2,418,000

Game and Fish 6,267,000 6,267,000

$246,000 the first year and $246,000
the second year are from the natural
resources fund for grants to be divided
equally between the city of St. Paul
for the Como Zoo and Conservatory and
the city of Duluth Zoo. This
appropriation is from the revenue
deposited to the natural resources fund
under Minnesota Statutes, section
297A.94, paragraph (e), clause (5).

Sec. 6. MINNESOTA
CONSERVATION CORPS 840,000 840,000

Summary by Fund

General 350,000 350,000

Natural Resources 490,000 490,000

The Minnesota Conservation Corps may
receive money appropriated from the
natural resources fund under this
section only as provided in an
agreement with the commissioner of
natural resources.

Sec. 7. BOARD OF WATER AND
SOIL RESOURCES 15,131,000 15,131,000

$4,102,000 the first year and
$4,102,000 the second year are for
natural resources block grants to local
governments.

The board may reduce the amount of the
natural resources block grant to a
county by an amount equal to any
reduction in the county's general
services allocation to a soil and water
conservation district from the county's
previous year allocation when the board
determines that the reduction was
disproportionate.

Grants must be matched with a
combination of local cash or in-kind
contributions. The base grant portion
related to water planning must be
matched by an amount that would be
raised by a levy under Minnesota
Statutes, section 103B.3369.

$3,566,000 the first year and
$3,566,000 the second year are for
grants to soil and water conservation
districts for general purposes,
nonpoint engineering, and
implementation of the reinvest in
Minnesota conservation reserve
program. Upon approval of the board,
expenditures may be made from these
appropriations for supplies and
services benefiting soil and water
conservation districts.

$3,285,000 the first year and
$3,285,000 the second year are for
grants to soil and water conservation
districts for cost-sharing contracts
for erosion control and water quality
management. Of this amount, at least
$1,500,000 the first year and
$1,500,000 the second year are for
grants for cost-sharing contracts for
water quality management on feedlots.

$105,000 the first year and $105,000
the second year are for grants to
watershed districts and other local
units of government in the southern
Minnesota River basin study area 2 for
floodplain management.

$100,000 the first year and $100,000
the second year are for a grant to the
Red River Basin Commission to develop a
Red River basin plan and to coordinate
water management activities in the
states and provinces bordering the Red
River.

The appropriations for grants in this
section are available until expended.
If an appropriation for grants in
either year is insufficient, the
appropriation in the other year is
available for it.

Sec. 8.

SCIENCE MUSEUM
OF MINNESOTA 750,000 750,000

Sec. 9. METROPOLITAN COUNCIL 7,452,000 7,452,000

Summary by Fund

General 3,300,000 3,300,000

Natural Resources 4,152,000 4,152,000

$3,300,000 the first year and
$3,300,000 the second year are for
metropolitan area regional parks
maintenance and operations.

$4,152,000 the first year and
$4,152,000 the second year are from the
natural resources fund for metropolitan
area regional parks and trails
maintenance and operations. This
appropriation is from the revenue
deposited in the natural resources fund
under Minnesota Statutes, section
297A.94, paragraph (e), clause (3).

Sec. 10. AGRICULTURE

Subdivision 1.

Total
Appropriation 37,864,000 34,387,000

Summary by Fund

General 37,511,000 34,034,000

Remediation 353,000 353,000

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

Subd. 2.

Protection Services

10,297,000 10,297,000

Summary by Fund

General 9,944,000 9,944,000

Remediation 353,000 353,000

$388,000 the first year and $388,000
the second year are from the
remediation fund for administrative
funding for the voluntary cleanup
program.

The balance in the waste pesticide
account in the agricultural fund is
canceled to the pesticide regulatory
account in the agricultural fund and
the waste pesticide account is
abolished.

Subd. 3.

Agricultural Marketing
and Development

4,097,000 4,097,000

$71,000 the first year and $71,000 the
second year are for transfer to the
Minnesota grown matching account and
may be used as grants for Minnesota
grown promotion under Minnesota
Statutes, section 17.109. Grants may
be made for one year. Notwithstanding
Minnesota Statutes, section 16A.28, the
appropriations encumbered under
contract on or before June 30, 2007,
for Minnesota grown grants in this
subdivision are available until June
30, 2009.

$80,000 the first year and $80,000 the
second year are for grants to farmers
for demonstration projects involving
sustainable agriculture as authorized
in Minnesota Statutes, section 17.116.
Of the amount for grants, up to $20,000
may be used for dissemination of
information about the demonstration
projects. Notwithstanding Minnesota
Statutes, section 16A.28, the
appropriations encumbered under
contract on or before June 30, 2007,
for sustainable agriculture grants in
this subdivision are available until
June 30, 2009.

The commissioner may reduce
appropriations for the administration
of activities in this subdivision by up
to $135,000 each year and transfer the
amounts reduced to activities under
subdivision 5.

Subd. 4.

Value-Added Agricultural Products

18,745,000 15,268,000

$18,745,000 the first year and
$15,268,000 the second year are for
ethanol producer payments under
Minnesota Statutes, section 41A.09.
Payments for eligible ethanol
production in fiscal years 2006 and
2007 shall be disbursed at the rate of
$0.13 per gallon. If the total amount
for which all producers are eligible in
a quarter exceeds the amount available
for payments, the commissioner shall
make payments on a pro rata basis. If
the appropriation exceeds the total
amount for which all producers are
eligible in a fiscal year for scheduled
payments and for deficiencies in
payments during previous fiscal years,
the balance in the appropriation is
available to the commissioner for
value-added agricultural programs
including the value-added agricultural
product processing and marketing grant
program under Minnesota Statutes,
section 17.101, subdivision 5. The
appropriation remains available until
spent.

Subd. 5.

Administration and
Financial Assistance

4,725,000 4,725,000

$1,005,000 the first year and
$1,005,000 the second year are for
continuation of the dairy development
and profitability enhancement and dairy
business planning grant programs
established under Laws 1997, chapter
216, section 7, subdivision 2, and Laws
2001, First Special Session chapter 2,
section 9, subdivision 2. The
commissioner may allocate the available
sums among permissible activities,
including efforts to improve the
quality of milk produced in the state,
in the proportions which the
commissioner deems most beneficial to
Minnesota's dairy farmers. The
commissioner must submit a work plan
detailing plans for expenditures under
this program to the chairs of the house
and senate committees dealing with
agricultural policy and budget on or
before the start of each fiscal year.
If significant changes are made to the
plans in the course of the year, the
commissioner must notify the chairs.

$50,000 the first year and $50,000 the
second year are for the Northern Crops
Institute. These appropriations may be
spent to purchase equipment.

$19,000 the first year and $19,000 the
second year are for a grant to the
Minnesota Livestock Breeders
Association.

$2,000 the first year and $2,000 the
second year are for family farm
security interest payment adjustments.
If the appropriation for either year is
insufficient, the appropriation for the
other year is available for it. No new
loans may be approved in fiscal year
2006 or 2007.

Aid payments to county and district
agricultural societies and associations
under Minnesota Statutes, section
38.02, subdivision 1, shall be
disbursed not later than July 15.
These payments are the amount of aid
owed by the state for an annual fair
held in the previous calendar year.

Sec. 11. BOARD OF ANIMAL
HEALTH 2,803,000 2,803,000

$200,000 the first year and $200,000
the second year are for a program to
control paratuberculosis ("Johne's
disease") in domestic bovine herds.

$80,000 the first year and $80,000 the
second year are for a program to
investigate the avian pneumovirus
disease and to identify the infected
flocks. This appropriation must be
matched on a dollar-for-dollar or
in-kind basis with nonstate sources and
is in addition to money currently
designated for turkey disease
research. Costs of blood sample
collection, handling, and
transportation, in addition to costs
associated with early diagnosis tests
and the expenses of vaccine research
trials, may be credited to the match.

$400,000 the first year and $400,000
the second year are for the purposes of
cervidae inspection as authorized in
Minnesota Statutes, section 17.452.

Sec. 12.

AGRICULTURAL UTILIZATION
RESEARCH INSTITUTE 1,600,000 1,600,000

Sec. 13. DISPOSITION OF MINERAL PAYMENTS; FISCAL YEARS
2006 AND 2007.

(a) Notwithstanding Minnesota Statutes, section 93.22,
subdivision 1, in fiscal years 2006 and 2007, all payments under
Minnesota Statutes, sections 93.14 to 93.285, shall be made to
the Department of Natural Resources and shall be credited
according to this section.

(b) Twenty percent of all payments under Minnesota
Statutes, sections 93.14 to 93.285, shall be credited to the
minerals management account in the natural resources fund as
costs for the administration and management of state mineral
resources by the commissioner of natural resources.

(1) if the lands or minerals and mineral rights covered by
a lease are held by the state by virtue of an act of Congress,
payments made under the lease shall be credited to the permanent
fund of the class of land to which the leased premises belong;

(2) if a lease covers the bed of navigable waters, payments
made under the lease shall be credited to the permanent school
fund of the state;

(3) if the lands or minerals and mineral rights covered by
a lease are held by the state in trust for the taxing districts,
payments made under the lease shall be distributed annually on
the first day of September to the respective counties in which
the lands lie, to be apportioned among the taxing districts
interested therein as follows: county, three-ninths; town or
city, two-ninths; and school district, four-ninths;

(4) if the lands or mineral rights covered by a lease
became the absolute property of the state under the provisions
of Minnesota Statutes, chapter 84A, payments made under the
lease shall be distributed as follows: county containing the
land from which the income was derived, five-eighths; and
general fund of the state, three-eighths; and

(5) except as provided under this section and except where
the disposition of payments may be otherwise directed by law,
payments made under a lease shall be paid into the general fund
of the state.

Sec. 14.

[93.2236] MINERALS MANAGEMENT ACCOUNT.

(a) The minerals management account is created as an
account in the natural resources fund. Interest earned on money
in the account accrues to the account. Money in the account may
be spent or distributed only as provided in paragraphs (b) and
(c).

(b) If the balance in the minerals management account
exceeds $3,000,000 on June 30, the amount exceeding $3,000,000
must be distributed to the permanent school fund and the
permanent university fund. The amount distributed to each fund
must be in the same proportion as the total mineral lease
revenue received in the previous biennium from school trust
lands and university lands.

(c) Subject to appropriation by the legislature, money in
the minerals management account may be spent by the commissioner
of natural resources for mineral resource management and
projects to enhance future mineral income and promote new
mineral resource opportunities.

ARTICLE 7

ECONOMIC DEVELOPMENT

Section 1. ECONOMIC DEVELOPMENT; APPROPRIATIONS.

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or another named fund, to
the agencies and for the purposes specified in this article, to
be available for the fiscal years indicated for each purpose.
The figures "2006" and "2007," where used in this article, mean
that the appropriation or appropriations listed under them are
available for the year ending June 30, 2006, or June 30, 2007,
respectively. The term "first year" means the fiscal year
ending June 30, 2006, and the term "second year" means the
fiscal year ending June 30, 2007.
SUMMARY BY FUND

2006 2007 TOTAL

General $ 153,715,000 $ 153,588,000 $ 307,303,000

Petroleum Tank
Cleanup 1,084,000 1,084,000 2,168,000

Environmental 700,000 700,000 1,400,000

Workers'
Compensation 21,725,000 21,725,000 43,450,000

Workforce
Development 9,020,000 9,020,000 18,040,000

Special Revenue 200,000 200,000 400,000

TOTAL $ 186,444,000 $ 186,317,000 $ 372,761,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. EMPLOYMENT AND
ECONOMIC DEVELOPMENT

Subdivision 1.

Total
Appropriation $ 54,233,000 $ 54,233,000

Summary by Fund

General 44,963,000 44,963,000

Remediation 700,000 700,000

Workforce
Development 8,570,000 8,570,000

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

Subd. 2.

Business and Community
Development

8,604,000 8,604,000

Summary by Fund

General 7,904,000 7,904,000

Remediation 700,000 700,000

$1,203,000 the first year and
$1,203,000 the second year are for
Minnesota investment fund grants.

$150,000 the first year and $150,000
the second year are for grants to the
Rural Policy and Development Center at
Minnesota State University, Mankato.
The grant shall be used for research
and policy analysis on emerging
economic and social issues in rural
Minnesota, to serve as a policy
resource center for rural Minnesota
communities, to encourage collaboration
across higher education institutions to
provide interdisciplinary team
approaches to research and problem
solving in rural communities, and to
administer overall operations of the
center.

The grant shall be provided upon the
condition that each state-appropriated
dollar be matched with a nonstate
dollar. Acceptable matching funds are
nonstate contributions that the center
has received and have not been used to
match previous state grants. The funds
not spent the first year are available
the second year.

$100,000 the first year and $100,000
the second year are from the general
fund for a grant to the Metropolitan
Economic Development Association for
continuing minority business
development programs in the
metropolitan area.

$150,000 the first year and $150,000
the second year are from the general
fund for a grant to WomenVenture for
women's business development programs.

Subd. 3.

Workforce Partnerships

15,442,000 15,442,000

Summary by Fund

General 13,617,000 13,617,000

Workforce
Development 1,625,000 1,625,000

Special Revenue 200,000 200,000

(a) $6,785,000 the first year and
$6,785,000 the second year are from the
general fund for the Minnesota job
skills partnership programs. If the
appropriation for either year is
insufficient, the appropriation for the
other year is available. This
appropriation does not cancel.

(b) $250,000 the first year and
$250,000 the second year are from the
general fund for a grant under
Minnesota Statutes, section 116J.8747,
to Twin Cities RISE! to provide
training to hard-to-train individuals.

(c) $875,000 the first year and
$875,000 the second year are from the
workforce development fund for
Opportunities Industrialization Center
programs.

(d) $950,000 the first year and
$950,000 the second year are for
displaced homemaker programs under
Minnesota Statutes, section 116L.96.
Of this amount, $750,000 each year is
from the workforce development fund and
$750,000 each year is from the special
revenue fund. The commissioner of
economic security shall report to the
legislature by February 15, 2007, on
the outcome of grants under this
paragraph.

(e) $1,452,000 the first year and
$1,452,000 the second year are for
youth intervention programs under
Minnesota Statutes, section 116L.30.
One percent of this appropriation is
for a grant to the Minnesota Youth
Intervention Programs Association
(YIPA) to provide collaborative
training and technical assistance to
community-based grantees of the program.

(f) $4,190,000 the first year and
$4,190,000 the second year are for the
Minnesota youth program. If the
appropriation in either year is
insufficient, the appropriation for the
other year is available. Of the money
appropriated for the summer youth
program for the first year, $400,000 is
immediately available. Any remaining
balance of the immediately available
money is available in the first year.

(g) $183,000 the first year and
$183,000 the second year are for the
learn-to-earn summer youth employment
program. This appropriation is
available until spent.

(h) $757,000 the first year and
$757,000 the second year are for the
youthbuild program under Minnesota
Statutes, sections 268.361 to
268.3661. A Minnesota Youthbuild
program funded under this section as
authorized in Minnesota Statutes,
sections 116L.361 to 116L.366,
qualifies as an approved training
program under Minnesota Rules, part
5200.0930, subpart 1.

(i) Pursuant to Laws 2001, First
Special Session chapter 4, article 1,
section 4, subdivision 6, as amended by
Laws 2002, chapter 220, article 12,
section 12, the first $2,000,000
deposited in each year of the biennium
into the contingent account created
under Minnesota Statutes, section
268.196, subdivision 3, shall be
transferred upon deposit to the
workforce development fund created
under Minnesota Statutes, section
116L.20. Deposits in excess of the
$2,000,000 shall be transferred upon
deposit to the general fund.

Subd. 4.

Workforce Services

27,110,000 27,110,000

Summary by Fund

General 20,165,000 20,165,000

Workforce
Development 6,945,000 6,945,000

(a) $7,521,000 the first year and
$7,521,000 the second year are from the
general fund for the state's vocational
rehabilitation program for people with
significant disabilities to assist with
employment, under Minnesota Statutes,
chapter 268A.

(b) $4,864,000 the first year and
$4,864,000 the second year are from the
general fund and $6,920,000 the first
year and $6,920,000 the second year are
from the workforce development fund for
extended employment services for
persons with severe disabilities or
related conditions under Minnesota
Statutes, section 268A.15.

(c) $1,690,000 the first year and
$1,690,000 the second year are from the
general fund for grants under Minnesota
Statutes, section 268A.11, for the
eight centers for independent living.
Money not expended the first year is
available the second year.

(d) $150,000 the first year and
$150,000 the second year are from the
general fund and $25,000 the first year
and $25,000 the second year are from
the workforce development fund for
grants to the Minnesota Employment
Center for people who are deaf or
hard-of-hearing. Money not expended
the first year is available the second
year.

(e) $1,000,000 the first year and
$1,000,000 the second year are from the
general fund for grants for programs
that provide employment support
services to persons with mental illness
under Minnesota Statutes, sections
268A.13 and 268A.14. Up to $70,000
each year may be used for
administrative and salary expenses.

(f) $4,940,000 the first year and
$4,940,000 the second year are from the
general fund for State Services for the
Blind activities.

Subd. 5.

State-Funded Administration

3,277,000 3,277,000

Sec. 3. EXPLORE MINNESOTA TOURISM 8,626,000 8,626,000

To develop maximum private sector
involvement in tourism, $3,500,000 the
first year and $3,500,000 the second
year of the amounts appropriated for
marketing activities are contingent
upon receipt of an equal contribution
from nonstate sources that have been
certified by the commissioner. Up to
one-half of the match may be given in
in-kind contributions.

In order to maximize marketing grant
benefits, the commissioner must give
priority for joint venture marketing
grants to organizations with year-round
sustained tourism activities. For
programs and projects submitted, the
commissioner must give priority to
those that encompass two or more areas
or that attract nonresident travelers
to the state.

If an appropriation for either year for
grants is not sufficient, the
appropriation for the other year is
available for it.

The commissioner may use grant dollars
or the value of in-kind services to
provide the state contribution for the
partnership program.

Any unexpended money from general fund
appropriations made under this
subdivision does not cancel but must be
placed in a special advertising account
for use by Explore Minnesota Tourism to
purchase additional media.

$175,000 the first year and $175,000
the second year are for the Minnesota
Film Board. The appropriation in each
year is available only upon receipt by
the board of $1 in matching
contributions of money or in-kind from
nonstate sources for every $3 provided
by this appropriation.

Sec. 4. HOUSING FINANCE AGENCY

Subdivision 1.

Total
Appropriation 35,770,000 35,770,000

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

This appropriation is for transfer to
the housing development fund for the
programs specified. Except as
otherwise indicated, this transfer is
part of the agency's permanent budget
base.

Subd. 2.

Affordable Rental Investment Fund

9,273,000 9,273,000

For the affordable rental investment
fund program under Minnesota Statutes,
section 462A.21, subdivision 8b.

This appropriation is to finance the
acquisition, rehabilitation, and debt
restructuring of federally assisted
rental property and for making equity
take-out loans under Minnesota
Statutes, section 462A.05, subdivision
39. The owner of the federally
assisted rental property must agree to
participate in the applicable federally
assisted housing program and to extend
any existing low-income affordability
restrictions on the housing for the
maximum term permitted. The owner must
also enter into an agreement that gives
local units of government, housing and
redevelopment authorities, and
nonprofit housing organizations the
right of first refusal if the rental
property is offered for sale. Priority
must be given among comparable
properties to properties with the
longest remaining term under an
agreement for federal rental
assistance. Priority must also be
given among comparable rental housing
developments to developments that are
or will be owned by local government
units, a housing and redevelopment
authority, or a nonprofit housing
organization.

Subd. 3.

Family Homeless Prevention

3,715,000 3,715,000

For family homeless prevention and
assistance programs under Minnesota
Statutes, section 462A.204. Any
balance in the first year does not
cancel but is available in the second
year.

Subd. 4.

Challenge Program

9,622,000 9,622,000

For the economic development and
housing challenge program under
Minnesota Statutes, section 462A.33.

Subd. 5.

Rental Assistance for Mentally Ill

1,638,000 1,638,000

For a rental housing assistance program
for persons with a mental illness or
families with an adult member with a
mental illness under Minnesota
Statutes, section 462A.2097. The
agency must not reduce the funding
under this subdivision.

Subd. 6.

Home Ownership Education,
Counseling, and Training

770,000 770,000

For the home ownership education,
counseling, and training program under
Minnesota Statutes, section 462A.209.

Subd. 7.

Housing Trust Fund

4,305,000 4,305,000

For the housing trust fund to be
deposited in the housing trust fund
account created under Minnesota
Statutes, section 462A.201, and used
for the purposes provided in that
section.

Subd. 8.

Urban Indian Housing Program

180,000 180,000

For the urban Indian housing program
under Minnesota Statutes, section
462A.07, subdivision 15.

Subd. 9.

Tribal Indian Housing Program

1,105,000 1,105,000

For the tribal Indian housing program
under Minnesota Statutes, section
462A.07, subdivision 14.

Subd. 10.

Capacity Building Grants

305,000 305,000

For nonprofit capacity building grants
under Minnesota Statutes, section
462A.21, subdivision 3b.

Subd. 11.

Housing Rehabilitation
and Accessibility

3,972,000 3,972,000

For the housing rehabilitation and
accessibility program under Minnesota
Statutes, section 462A.05, subdivisions
14a and 15a.

Subd. 12.

Home Ownership
Assistance Fund

885,000 885,000

For the home ownership assistance fund
under Minnesota Statutes, section
462A.21, subdivision 8.

Sec. 5. COMMERCE

Subdivision 1.

Total
Appropriation 24,874,000 24,874,000

Summary by Fund

General 22,955,000 22,955,000

Petroleum
Cleanup 1,084,000 1,084,000

Workers'
Compensation 835,000 835,000

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

Subd. 2.

Financial Examinations

5,994,000 5,994,000

Subd. 3.

Petroleum Tank Release
Cleanup Board

1,084,000 1,084,000

This appropriation is from the
petroleum tank release cleanup fund.

Subd. 4.

Administrative Services

5,418,000 5,418,000

Subd. 5.

Market Assurance

5,647,000 5,647,000

Summary by Fund

General 4,812,000 4,812,000

Workers' Compensation 835,000 835,000

Subd. 6.

Energy and
Telecommunications

4,224,000 4,224,000

Subd. 7.

Weights and
Measurements

2,507,000 2,507,000

Sec. 6. BOARD OF ACCOUNTANCY 487,000 487,000

Effective the day following final
enactment of this act and no later than
June 30, 2006, the Board of Accountancy
shall combine its administrative
functions with those of the Board of
Architecture, Engineering, Land
Surveying, Landscape Architecture,
Geoscience, and Interior Design.

Sec. 7.

BOARD OF ARCHITECTURE,
ENGINEERING, LAND SURVEYING,
LANDSCAPE ARCHITECTURE,
GEOSCIENCE, AND INTERIOR
DESIGN 785,000 785,000

Sec. 8.

BOARD OF BARBER
AND COSMETOLOGISTS EXAMINERS 699,000 699,000

Sec. 9.

PUBLIC UTILITIES
COMMISSION 4,163,000 4,163,000

Sec. 10. LABOR AND INDUSTRY

Subdivision 1.

Total
Appropriation 22,216,000 22,216,000

Summary by Fund

General 2,494,000 2,494,000

Workers'
Compensation 19,272,000 19,272,000

Workforce
Development 450,000 450,000

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

Subd. 2.

Workers' Compensation

10,346,000 10,346,000

This appropriation is from the workers'
compensation fund.

$125,000 the first year and $125,000
the second year are for grants to the
Vinland Center for rehabilitation
service.

Subd. 3.

Workplace Services

6,583,000 6,583,000

Summary by Fund

General 2,494,000 2,494,000

Workers'
Compensation 3,639,000 3,639,000

Workforce
Development 450,000 450,000

$350,000 each year is from the
workforce development fund for the
apprenticeship program under Minnesota
Statutes, chapter 178.

$100,000 the first year and $100,000
the second year are for labor education
and advancement program grants. This
appropriation is from the workforce
development fund.

Subd. 4.

General Support

5,287,000 5,287,000

This appropriation is from the workers'
compensation fund.

Sec. 11. BUREAU OF MEDIATION SERVICES

Subdivision 1.

Total
Appropriation 1,773,000 1,773,000

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

Subd. 2.

Mediation Services

1,673,000 1,673,000

Subd. 3.

Labor Management
Cooperation Grants

100,000 100,000

$100,000 each year is for grants to
area labor-management committees.
Grants may be awarded for a 12-month
period beginning July 1 of each year.
Any unencumbered balance remaining at
the end of the first year does not
cancel but is available for the second
year.

Sec. 12. WORKERS' COMPENSATION
COURT OF APPEALS 1,618,000 1,618,000

This appropriation is from the workers'
compensation fund.

Sec. 13. MINNESOTA HISTORICAL
SOCIETY

Subdivision 1.

Total
Appropriation 22,407,000 22,280,000

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

Subd. 2.

Education and Outreach

12,381,000 12,381,000

Subd. 3.

Preservation and Access

9,772,000 9,772,000

Subd. 4.

Fiscal Agent

254,000 127,000

(a) Minnesota International Center

43,000 42,000

(b) Minnesota Air National
Guard Museum

16,000 -0-

67,000 -0-

(d) Farmamerica

128,000 85,000

Notwithstanding any other law, this
appropriation may be used for
operations.

(e) Balances Forward

Any unencumbered balance remaining in
this subdivision the first year does
not cancel but is available for the
second year of the biennium.

Subd. 5.

Fund Transfer

The society may reallocate funds
appropriated in and between
subdivisions 2 and 3 for any program
purposes.

Sec. 14. BOARD OF THE ARTS

Subdivision 1.

Total
Appropriation 8,593,000 8,593,000

If the appropriation for either year is
insufficient, the appropriation for the
other year is available.

Subd. 2.

Operations and Services

404,000 404,000

Subd. 3.

Grants Programs

5,767,000 5,767,000

Subd. 4.

Regional Arts Councils

2,422,000 2,422,000

Sec. 15.

Minnesota Statutes 2004, section 345.47,
subdivision 3, is amended to read:

Subd. 3.

Securities.

Securities listed on an established
stock exchange shall be sold at the prevailing prices on the
exchange. Other securities may be sold over the counter at
prevailing prices or, with prior approval of the State Board of
Investment,by another method the commissioner determines
advisable. United States government savings bonds and United
States war bonds shall be presented to the United States for
payment.

Sec. 16.

Minnesota Statutes 2004, section 345.47,
subdivision 3a, is amended to read:

Subd. 3a.

Holding period.

All securities presumed
abandoned under section 345.35 and delivered to the commissioner
must be held for at least three years before they are sold. A
person making a claim under this section is entitled to receive
either the securities delivered to the commissioner by the
holder, if they still remain in the hands of the commissioner,
or the proceeds received from the sale, but no person has any
claim under this section against the state, the holder, any
transfer agent, registrar, or other person acting for or on
behalf of a holder for any appreciation in the value of the
property occurring after delivery by the holder to the
commissioner. If the property is of a type customarily sold on
a recognized market or of a type that may be sold over the
counter at prevailing prices, the commissioner may sell the
property without notice by publication or otherwise. The
commissioner may proceed with the liquidation after holding for
one year, with the exception of securities being held as the
result of an insurance company demutualization, these types of
securities may be sold upon receipt. This section grants to the
commissioner express authority to sell any property, including,
but not limited to, stocks, bonds, notes, bills, and all other
public or private securities. A person making a claim under
section 345.35 is entitled to receive the securities delivered
to the administrator by the holder, if they remain in the
custody of the administrator, or the net proceeds received from
sale, and is not entitled to receive any appreciation in the
value of the property occurring after sale by the commissioner.
The commissioner may liquidate all unclaimed securities
currently held in custody in accordance with this section.

ARTICLE 8

TRANSPORTATION AND OTHER AGENCIES

Section 1. TRANSPORTATION AND OTHER AGENCIES APPROPRIATIONS.

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or another named fund, to
the agencies and for the purposes specified in this article, to
be available for the fiscal years indicated for each purpose.
The figures "2006" and "2007," where used in this article, mean
that the appropriations listed under them are available for the
year ending June 30, 2006, or June 30, 2007, respectively. The
term "first year" means the year ending June 30, 2006, and the
term "second year" means the year ending June 30, 2007.
SUMMARY BY FUND

2006 2007 TOTAL

General $ 78,966,000 $ 80,221,000 $ 159,187,000

Airports 19,458,000 19,458,000 38,916,000

C.S.A.H. 441,335,000 453,948,000 895,283,000

M.S.A.S. 117,048,000 120,841,000 237,889,000

Special Revenue 73,423,000 71,737,000 145,160,000

Highway User 8,568,000 8,638,000 17,206,000

Trunk Highway 1,148,201,000 1,262,744,000 2,410,945,000

TOTAL $1,887,323,000 $2,017,911,000 $3,905,234,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. TRANSPORTATION

Subdivision 1.

Total
Appropriation $1,668,391,000 $1,799,349,000

The appropriations in this section are
from the trunk highway fund, except
when another fund is named.

Summary by Fund

2006 2007

General 16,221,000 16,221,000

Airports 19,408,000 19,408,000

C.S.A.H. 441,335,000 453,948,000

M.S.A.S. 117,048,000 120,841,000

Trunk Highway 1,074,379,000 1,188,931,000

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

Subd. 2.

Multimodal Systems 42,147,000 42,147,000

Summary by Fund

Airports 19,383,000 19,383,000

General 16,156,000 16,156,000

Trunk Highway 6,608,000 6,608,000

The amounts that may be spent from this
appropriation for each activity are as
follows:

(a) Aeronautics

20,220,000 20,220,000

Summary by Fund

Airports 19,383,000 19,383,000

Trunk Highway 837,000 837,000

Except as otherwise provided, the
appropriations in this subdivision are
from the state airports fund.

(1) Airport Development
and Assistance

14,298,000 14,298,000

These appropriations must be spent
according to Minnesota Statutes,
section 360.305, subdivision 4.

Notwithstanding Minnesota Statutes,
section 16A.28, subdivision 6, funds
are available for five years after
appropriation.

If the appropriation for either year is
insufficient, the appropriation for the
other year is available for it.

Of the state airports fund
appropriation in Laws 2003, First
Special Session chapter 19, article 1,
section 2, subdivision 2, paragraph
(a), clause (1), $1,900,000 cancels to
the state airports fund. This
cancellation is effective the day
following final enactment.

(2) Aviation Support and Services

5,922,000 5,922,000

Summary by Fund

Airports 5,085,000 5,085,000

Trunk Highway 837,000 837,000

$65,000 the first year and $65,000 the
second year are for the Civil Air
Patrol.

(b) Transit

16,605,000 16,605,000

Summary by Fund

General 15,810,000 15,810,000

Trunk Highway 795,000 795,000

5,322,000 5,322,000

Summary by Fund

General 346,000 346,000

Trunk Highway 4,976,000 4,976,000

Subd. 3.

State Roads 1,012,272,000 1,126,824,000

Summary by Fund

General 9,000 9,000

Trunk Highway 1,012,263,000 1,126,815,000

The amounts that may be spent from this
appropriation for each activity are as
follows:

(a) Infrastructure Investment and Planning

801,561,000 916,113,000

(1) Infrastructure Investment Support

168,207,000 168,207,000

$266,000 the first year and $266,000
the second year are available for
grants to metropolitan planning
organizations outside the seven-county
metropolitan area.

$75,000 the first year and $75,000 the
second year are for a transportation
research contingent account to finance
research projects that are reimbursable
from the federal government or from
other sources. If the appropriation
for either year is insufficient, the
appropriation for the other year is
available for it.

$600,000 the first year and $600,000
the second year are available for
grants for transportation studies
outside the metropolitan area to
identify critical concerns, problems,
and issues. These grants are available
(1) to regional development commissions
and (2) in regions where no regional
development commission is functioning,
to joint powers boards established
under agreement of two or more
political subdivisions in the region to
exercise the planning functions of a
regional development commission, and
(3) in regions where no regional
development commission or joint powers
board is functioning, to the
department's district office for that
region.

(2) State Road Construction

576,950,000 680,950,000

It is estimated that these
appropriations will be funded as
follows:

Federal Highway Aid

280,000,000 384,000,000

Highway User Taxes

296,950,000 296,950,000

The commissioner of transportation
shall notify the chair of the
Transportation Budget Division of the
senate and the chair of the
Transportation Finance Committee of the
house of representatives of any
significant events that should cause
these estimates to change.

This appropriation is for the actual
construction, reconstruction, and
improvement of trunk highways,
including design-build contracts. This
includes the cost of actual payment to
landowners for lands acquired for
highway rights-of-way, payment to
lessees, interest subsidies, and
relocation expenses.

The commissioner may transfer up to
$15,000,000 each year to the
transportation revolving loan fund.

The commissioner may receive money
covering other shares of the cost of
partnership projects. These receipts
are appropriated to the commissioner
for these projects.

(3) Highway Debt Service

56,404,000 66,956,000

$42,086,000 the first year and
$62,005,000 the second year are for
transfer to the state bond fund. If
this appropriation is insufficient to
make all transfers required in the year
for which it is made, the commissioner
of finance shall notify the Committee
on Finance of the senate and the
Committee on Ways and Means of the
house of representatives of the amount
of the deficiency and shall then
transfer that amount under the
statutory open appropriation. Any
excess appropriation cancels to the
trunk highway fund.

(b) Infrastructure Operations
and Maintenance

204,746,000 204,746,000

5,965,000 5,965,000

Summary by Fund

General 9,000 9,000

Trunk Highway 5,956,000 5,956,000

$9,000 the first year and $9,000 the
second year are from the general fund
for equipment and operation of the
Roosevelt signal tower for Lake of the
Woods weather broadcasting.

Subd. 4.

Local Roads 558,383,000 574,789,000

Summary by Fund

C.S.A.H. 441,335,000 453,948,000

M.S.A.S. 117,048,000 120,841,000

The amounts that may be spent from this
appropriation for each activity are as
follows:

(a) County State Aids

441,335,000 453,948,000

This appropriation is from the county
state-aid highway fund and is available
until spent.

(b) Municipal State Aids

117,048,000 120,841,000

This appropriation is from the
municipal state-aid street fund and is
available until spent.

If an appropriation for either county
state aids or municipal state aids does
not exhaust the balance in the fund
from which it is made in the year for
which it is made, the commissioner of
finance, upon request of the
commissioner of transportation, shall
notify the chair of the Transportation
Finance Committee of the house of
representatives and the chair of the
Transportation Budget Division of the
senate of the amount of the remainder
and shall then add that amount to the
appropriation. The amount added is
appropriated for the purposes of county
state aids or municipal state aids, as
appropriate.

If the appropriation for either county
state aids or municipal state aids does
exhaust the balance in the fund from
which it is made in the year for which
it is made, the commissioner of finance
shall notify the chair of the
Transportation Finance Committee of the
house of representatives and the chair
of the Transportation Budget Division
of the senate of the amount by which
the appropriation exceeds the balance
and shall then reduce that amount from
the appropriation.

Subd. 5.

General Support
and Services 55,589,000 55,589,000

Summary by Fund

General 56,000 56,000

Airports 25,000 25,000

Trunk Highway 55,508,000 55,508,000

The amounts that may be spent from this
appropriation for each activity are as
follows:

(a) Department Support

38,999,000 38,999,000

Summary by Fund

Airports 25,000 25,000

Trunk Highway 38,974,000 38,974,000

(b) Buildings

16,590,000 16,590,000

Summary by Fund

General 56,000 56,000

Trunk Highway 16,534,000 16,534,000

If the appropriation for either year is
insufficient, the appropriation for the
other year is available for it.

Subd. 6.

Transfers

(a) With the approval of the
commissioner of finance, the
commissioner of transportation may
transfer unencumbered balances among
the appropriations from the trunk
highway fund and the state airports
fund made in this section. No transfer
may be made from the appropriation for
state road construction. No transfer
may be made from the appropriations for
debt service to any other appropriation.
Transfers under this paragraph may not
be made between funds. Transfers
between programs must be reported
immediately to the chair of the
Transportation Budget Division of the
senate and the chair of the
Transportation Finance Committee of the
house of representatives.

(b) The commissioner of finance shall
transfer from the flexible account in
the county state-aid highway fund
$5,650,000 the first year and
$1,480,000 the second year to the
municipal turnback account in the
municipal state-aid street fund; and
the remainder in each year to the
county turnback account in the county
state-aid highway fund.

Subd. 7.

Use of State Road
Construction Appropriations

Any money appropriated to the
commissioner of transportation for
state road construction for any fiscal
year before fiscal year 2006 is
available to the commissioner during
fiscal years 2006 and 2007 to the
extent that the commissioner spends the
money on the state road construction
project for which the money was
originally encumbered during the fiscal
year for which it was appropriated.
The commissioner of transportation
shall report to the commissioner of
finance by August 1, 2005, and August
1, 2006, on a form the commissioner of
finance provides, on expenditures made
during the previous fiscal year that
are authorized by this subdivision.

Subd. 8.

Contingent Appropriation

The commissioner of transportation,
with the approval of the governor after
review by the Legislative Advisory
Commission under Minnesota Statutes,
section 3.30, may transfer all or part
of the unappropriated balance in the
trunk highway fund to an appropriation
(1) for trunk highway design,
construction, or inspection in order to
take advantage of an unanticipated
receipt of income to the trunk highway
fund or to take advantage of federal
advanced construction funding, (2) for
trunk highway maintenance in order to
meet an emergency, or (3) to pay tort
or environmental claims. Any transfer
as a result of the use of federal
advanced construction funding must
include an analysis of the effects on
the long-term trunk highway fund
balance. The amount transferred is
appropriated for the purpose of the
account to which it is transferred.

Sec. 3. METROPOLITAN COUNCIL
TRANSIT 57,503,000 58,753,000

(a) Bus Transit

53,453,000 53,453,000

This appropriation is for bus system
operations.

(b) Rail Operations

4,050,000 5,300,000

This appropriation is for operations of
the Hiawatha light rail transit line.

This appropriation is for paying 50
percent of operating costs for the
Hiawatha light rail transit line after
operating revenue and federal funds are
used for light rail transit operations.
The remaining operating costs up to a
maximum of $4,050,000 the first year
and $5,300,000 the second year are to
be paid by the Hennepin County Regional
Rail Authority, using any or all of
these sources:

(1) general tax revenues of Hennepin
County;

(2) the authority's reserves; and

(3) taxes levied under Minnesota
Statutes, section 398A.04, subdivision
8, notwithstanding any provision in
that subdivision that limits amounts
that may be levied for light rail
transit purposes.

Sec. 4. PUBLIC SAFETY

Subdivision 1.

Total
Appropriation 160,454,000 158,834,000

Summary by Fund

General 5,242,000 5,247,000

Trunk Highway 73,022,000 73,013,000

Highway User 8,443,000 8,513,000

Special Revenue 74,247,000 73,261,000

Subd. 2.

Administration
and Related Services 9,684,000 9,689,000

Summary by Fund

General 2,371,000 2,376,000

Trunk Highway 5,938,000 5,938,000

Highway User 1,385,000 1,385,000

(a) Office of Communications

385,000 385,000

Summary by Fund

General 39,000 39,000

Trunk Highway 346,000 346,000

(b) Public Safety Support

6,855,000 6,860,000

Summary by Fund

General 2,241,000 2,246,000

Trunk Highway 3,248,000 3,248,000

Highway User 1,366,000 1,366,000

$375,000 the first year and $380,000
the second year are for payment of
public safety officer survivor benefits
under Minnesota Statutes, section
299A.44. If the appropriation for
either year is insufficient, the
appropriation for the other year is
available for it.

$314,000 the first year and $314,000
the second year are to be deposited in
the public safety officer's benefit
account. This money is available for
reimbursements under Minnesota
Statutes, section 299A.465.

$508,000 the first year and $508,000
the second year are for soft body armor
reimbursements under Minnesota
Statutes, section 299A.38.

$792,000 the first year and $792,000
the second year are appropriated from
the general fund for transfer by the
commissioner of finance to the trunk
highway fund on December 31, 2005, and
December 31, 2006, respectively, in
order to reimburse the trunk highway
fund for expenses not related to the
fund. These represent amounts
appropriated out of the trunk highway
fund for general fund purposes in the
administration and related services
program.

$610,000 the first year and $610,000
the second year are appropriated from
the highway user tax distribution fund
for transfer by the commissioner of
finance to the trunk highway fund on
December 31, 2005, and December 31,
2006, respectively, in order to
reimburse the trunk highway fund for
expenses not related to the fund.
These represent amounts appropriated
out of the trunk highway fund for
highway user tax distribution fund
purposes in the administration and
related services program.

$716,000 the first year and $716,000
the second year are appropriated from
the highway user tax distribution fund
for transfer by the commissioner of
finance to the general fund on December
31, 2005, and December 31, 2006,
respectively, in order to reimburse the
general fund for expenses not related
to the fund. These represent amounts
appropriated out of the general fund
for operation of the criminal justice
data network related to driver and
motor vehicle licensing.

2,454,000 2,454,000

Summary by Fund

General 91,000 91,000

Trunk Highway 2,344,000 2,344,000

Highway User 19,000 19,000

Subd. 3.

State Patrol 70,047,000 70,038,000

Summary by Fund

General 2,871,000 2,871,000

Trunk Highway 67,084,000 67,075,000

Highway User 92,000 92,000

(a) Patrolling Highways

60,739,000 60,730,000

Summary by Fund

General 37,000 37,000

Trunk Highway 60,610,000 60,601,000

Highway User 92,000 92,000

$3,700,000 the first year is for the
cost of adding State Patrol positions.
If money transferred to the trunk
highway fund in the first year from the
alcohol enforcement account in the
special revenue fund is less than the
amount specified in this paragraph, the
commissioner shall make up the
difference by transferring to the trunk
highway fund money allocated to the
commissioner under the federal Repeat
Offender Transfer Program, Public Law
105-206, section 164.

(b) Commercial Vehicle Enforcement

6,474,000 6,474,000

This appropriation is from the trunk
highway fund.

2,834,000 2,834,000

The commissioner may not (1) spend any
money from the trunk highway fund for
capitol security or (2) permanently
transfer any state trooper from the
patrolling highways activity to capitol
security.

The commissioner may not transfer any
money (1) appropriated for Department
of Public Safety administration, the
patrolling of highways, commercial
vehicle enforcement, or driver and
vehicle services to capitol security or
(2) from capitol security.

Subd. 4.

Driver and Vehicle Services

51,389,000 50,814,000

Summary by Fund

Highway User 6,966,000 7,036,000

Special Revenue 44,423,000 43,778,000

(a) Vehicle Services

23,383,000 23,849,000

Summary by Fund

Highway User 6,966,000 7,036,000

Special Revenue 16,417,000 16,813,000

This appropriation is from the vehicle
services operating account in the
special revenue fund.

(b) Driver Services

28,006,000 26,965,000

This appropriation is from the driver
services operating account in the
special revenue fund.

Subd. 5.

Traffic Safety 324,000 324,000

This appropriation is from the driver
services operating account in the
special revenue fund.

The commissioner of public safety shall
spend 50 percent of the money available
to the state under Public Law 105-206,
section 164, and the remaining 50
percent must be transferred to the
commissioner of transportation for
hazard elimination activities under
United States Code, title 23, section
152.

Subd. 6.

Pipeline Safety 994,000 994,000

This appropriation is from the pipeline
safety account in the special revenue
fund.

Sec. 5. GENERAL CONTINGENT
ACCOUNTS 375,000 375,000

Summary by Fund

Trunk Highway 200,000 200,000

Highway User 125,000 125,000

Airports 50,000 50,000

The appropriations in this section may
only be spent with the approval of the
governor after consultation with the
Legislative Advisory Commission
pursuant to Minnesota Statutes, section
3.30.

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

Sec. 6. TORT CLAIMS 600,000 600,000

To be spent by the commissioner of
finance.

This appropriation is from the trunk
highway fund.

If the appropriation for either year is
insufficient, the appropriation for the
other year is available for it.

Sec. 7.

Minnesota Statutes 2004, section 168.013,
subdivision 8, is amended to read:

Subd. 8.

Proceeds to highway user fund; vehicle services
operating account.

(a) Unless otherwise specified in this
chapter,the net proceeds of the registration tax imposed on
motor vehicles under this chapter shall must be collected by the
registrar of motor vehicles and commissioner,paid into the
state treasury,and credited to the highway user tax
distribution fund.

(b) All fees collected under this chapter, unless otherwise
specified, must be deposited in the state treasury and credited
to the vehicle services operating account in the special revenue
fund under section 299A.705.

Sec. 8.

Minnesota Statutes 2004, section 168.12,
subdivision 2, is amended to read:

Subd. 2.

Amateur radio licensee; special plates.

(a) Any
The commissioner shall issue amateur radio plates to an
applicant who:

(1) is an owner or joint owner of a passenger automobile,
van or pickup truck,or a self-propelled recreational motor
vehicle, and ;

(2) is a resident of this state, and who ;

(3) holds an official amateur radio station license,or a
citizens radio service class D license, in good standing, issued
by the Federal Communications Commission shall upon compliance ;

(4) pays the registration tax required under section
168.013;

(5) pays a fee of $10 for each set of special plates and
any other fees required by this chapter; and

(6) complies with all laws of this state relating to this
chapter and rules governing the registration of motor vehicles
and the licensing of motor vehicles and drivers, be furnished
with license plates for the motor vehicle, as prescribed by law,
upon which,.

(b) In lieu of the numbers registration number required for
identification under subdivision 1, shall be inscribed the
plates must indicate the official amateur call letters of the
applicant, as assigned by the Federal Communications Commission,
and the words "AMATEUR RADIO."

The applicant shall pay in addition to the registration tax
required by law, the sum of $10 for the special license plates,
and at the time of delivery of the special license plates the
applicant shall surrender to the registrar the current license
plates issued for the motor vehicle.

(c) This provision for the issue of special license plates
shall apply applies only if the applicant's motor vehicle is
already registered in Minnesota so that the applicant has valid
regular Minnesota plates issued for that motor vehicle under
which to operate it during the time that it will take to have
the necessary special license plates made.

(d) If owning or jointly owning more than one motor vehicle
of the type specified in this subdivision, the applicant may
apply for special plates for each of not more than two motor
vehicles,and, if each application complies with this
subdivision, the registrar commissioner shall furnish the
applicant with the special plates, inscribed with indicating the
official amateur call letters and other distinguishing
information as the registrar commissioner considers necessary,
for each of the two motor vehicles.

And (e) The registrar commissioner may make reasonable
rules governing the use of the special license plates as will
assure the full compliance by the owner and holder of the
special plates, with all existing laws governing the
registration of motor vehicles,and the transfer and the use
thereof of the plates.

(b) (f) Despite any contrary provision of subdivision 1,
the special license plates issued under this subdivision may be
transferred by an owner to another motor vehicle listed in
paragraph (a) and registered to the same owner,upon the payment
of a fee of $5. The registrar commissioner must be notified of
before the transfer and may prescribe a form format for the
notification.

(c) Fees collected under this subdivision must be paid into
the state treasury and credited to the highway user tax
distribution fund.

Sec. 9.

Minnesota Statutes 2004, section 168.12,
subdivision 2a, is amended to read:

Subd. 2a.

Personalized plates; rules.

(a) The
commissioner shall issue personalized license plates must be
issued to an applicant for registration of who:

(1) is an owner of a passenger automobile including a
passenger automobile registered as a classic car, pioneer car,
collector car, or street rod; van; pickup truck as defined in
section 168.011, subdivision 29, and any other truck with a
manufacturer's nominal rated capacity of one ton or less and
resembling a pickup truck; a motorcycle,including a classic
motorcycle; or self-propelled a recreational motor vehicle, upon
compliance with the laws of this state relating to registration
of the vehicle and upon payment of ;

(2) pays a onetime fee of $100 in addition to and any other
fees required by this chapter;

(3) pays the registration tax required by law this chapter
for the motor vehicle; and

(4) complies with this chapter and rules governing
registration of motor vehicles and licensing of drivers.

(b) The registrar commissioner shall designate charge a
replacement fee for personalized license plates that is
calculated to cover the cost of replacement as specified in
subdivision 5. This fee must be paid by the applicant whenever
the personalized license plates are required to be replaced by
law.

(c) In lieu of the numbers registration number assigned as
provided in subdivision 1, personalized license plates must have
imprinted on them a series of not more than seven numbers and
letters in any combination. When an applicant has once obtained
personalized plates, the applicant shall have a prior claim for
similar personalized plates in the next succeeding year as long
as current motor vehicle registration is maintained.

(d) The commissioner of public safety shall adopt rules in
the manner provided by chapter 14, regulating the issuance and
transfer of personalized license plates. No words or
combination of letters placed on personalized license plates may
be used for commercial advertising, be of an obscene, indecent,
or immoral nature, or be of a nature that would offend public
morals or decency. The call signals or letters of a radio or
television station are not commercial advertising for the
purposes of this subdivision.

(b) Notwithstanding (e) Despite the provisions of
subdivision 1, personalized license plates issued under this
subdivision may be transferred to another motor vehicle owned or
jointly listed in paragraph (a) and owned by the applicant, upon
the payment of a fee of $5, which must be paid into the state
treasury and credited to the highway user tax distribution fund.

(f) The registrar commissioner may by rule provide a form
specify the format for notification.

(g) A personalized license plate issued for a classic car,
pioneer car, collector car, street rod, or classic motorcycle
may not be transferred to a vehicle not eligible for such
a license plate.

(c) Notwithstanding (h) Despite any law to the contrary, if
the personalized license plates are lost, stolen, or destroyed,
the applicant may apply and shall receive must be issued
duplicate license plates bearing the same combination of letters
and numbers as the former personalized plates upon the payment
of the fee required by section 168.29.

(d) Fees from the sale of permanent and duplicate
personalized license plates must be paid into the state treasury
and credited to the highway user tax distribution fund.

Sec. 10.

Minnesota Statutes 2004, section 168.12,
subdivision 2b, is amended to read:

Subd. 2b.

Firefighters; special plates.

(a) The
registrar commissioner shall issue special license plates to any
applicant who:

(1) is both a member of a fire department receiving state
aid under chapter 69 and an owner or joint owner of a passenger
automobile, or truck with a manufacturer's nominal rated
capacity of one ton and resembling a pickup truck, upon payment
of ;

(2) pays a fee of $10 and upon payment of any other fees
required by this chapter;

(3) pays the registration tax required by law this chapter
for the motor vehicle and compliance with other laws of this
state relating to ; and

(4) complies with this chapter and rules governing the
registration of motor vehicles and licensing of motor vehicles
and drivers.

(b) In lieu of the identification required under
subdivision 1, the special license plates shall be inscribed
with a symbol must bear an emblem of a Maltese Cross together
with five any numbers or characters prescribed by the
commissioner. No applicant shall receive more than two sets of
plates for motor vehicles owned or jointly owned by the
applicant.

(b) (c) Special plates issued under this subdivision may
only be used during the period that the owner or joint owner of
the motor vehicle is a member of a fire department as specified
in this subdivision. When the person individual to whom the
special plates were issued is no longer a member of a fire
department or when the motor vehicle ownership is transferred,
the owner shall remove the special license plates shall be
removed from the motor vehicle and returned to the registrar.
Upon return removal of the special plates, either the owner or
purchaser of the motor vehicle is entitled to receive regular
plates for the motor vehicle without cost for the remainder of
the registration period for which the special plates were issued.

(d) Firefighter license plates issued pursuant to this
subdivision may be transferred to another motor vehicle upon
payment of a $5, which fee shall be paid into the state treasury
and credited to the highway user tax distribution fund.

(c) (e) The commissioner of public safety may adopt rules
under the Administrative Procedure Act, sections 14.001 to
14.69, to govern the issuance and use of the special plates
authorized in this subdivision. All fees from the sale of
special license plates for firefighters shall be paid into the
state treasury and credited to the highway user tax distribution
fund.

Sec. 11.

Minnesota Statutes 2004, section 168.12,
subdivision 2c, is amended to read:

Subd. 2c.

National guard; special plates.

(a) The
registrar commissioner shall issue special license plates to any
applicant who:

(1) is a regularly enlisted, commissioned, or retired
member of the Minnesota National Guard, other than an inactive
member who is not a retired member, and is an owner or joint
owner of a passenger automobile, van, or pickup truck included
within the definition of a passenger automobile upon payment of ;

(2) pays a fee of $10, payment of and any other fees
required by this chapter;

(3) pays the registration tax required by law, and
compliance with other laws of this state relating to this
chapter; and

(4) complies with this chapter and rules governing the
registration of motor vehicles and licensing of motor vehicles
and drivers.

(b) The adjutant general shall design the emblem for these
special plates subject to the approval of the registrar
commissioner. No

(c) An applicant shall must not be issued more than two
sets of plates for motor vehicles owned or jointly owned by
registered to the applicant. The adjutant general shall
estimate the number of special plates that will be required and
submit the estimate to the registrar.

(b) (d) Special plates issued under this subdivision may
only be used during the period that the owner or joint owner of
the motor vehicle is an active or retired member of the
Minnesota National Guard as specified in this subdivision. When
the person individual to whom the special plates were issued is
no longer an active or retired member of the Minnesota National
Guard, the special plates must be removed from the vehicle and
returned to by the registrar owner. Upon return removal of
the special plates, either the owner or purchaser of the motor
vehicle is entitled to receive regular plates for the motor
vehicle without cost for the remainder of the registration
period for which the special plates were issued.

(e) While the person is an active or retired member of the
Minnesota National Guard, plates issued pursuant to this
subdivision may be transferred to another motor vehicle owned or
jointly owned by that person individual upon payment of a fee of
$5.

(c) (f) For purposes of this subdivision, "retired member"
means a person an individual placed on the roll of retired
officers or roll of retired enlisted members in the Office of
the Adjutant General under section 192.18 and who is not
deceased.

(d) All fees collected under the provisions of this
subdivision shall be paid into the state treasury and credited
to the highway user tax distribution fund.

(e) (g) The registrar commissioner may adopt rules under
the Administrative Procedure Act to govern the issuance and use
of the special plates authorized by this subdivision.

Sec. 12.

Minnesota Statutes 2004, section 168.12,
subdivision 2d, is amended to read:

Subd. 2d.

Ready reserve; special plates.

(a) The
registrar commissioner shall issue special license plates to an
applicant who:

(1) is not eligible for special license National Guard
plates under subdivision 2c, who is a member of the United
States Armed Forces Ready Reserve as described in United States
Code, title 10, section 10142 or 10143, and is an owner or joint
owner of a passenger automobile, van, or pickup truck, on
paying ;

(2) pays a fee of $10, paying and any other fees required
by this chapter;

(3) pays the registration tax required by law, and
complying with other laws of this state relating to this
chapter; and

(4) complies with this chapter and rules governing the
registration of motor vehicles and licensing of motor vehicles
and drivers.

(b) The commissioner of veterans affairs shall design the
emblem for these special plates subject to the approval of the
registrar commissioner. No

(c) An applicant may must not be issued more than two sets
of plates for motor vehicles owned or jointly owned by the
applicant. The commissioner of veterans affairs shall estimate
the number of special plates that will be required and submit
the estimate to the registrar.

(b) (d) Special plates issued under this subdivision may
only be used during the period that the owner or joint owner of
the motor vehicle is a member of the ready reserve. When the
person owner is no longer a member, the special plates must be
removed from the motor vehicle and returned to the registrar by
the owner. On returning removing the special plates, either the
owner or purchaser of the motor vehicle is entitled to receive
regular plates for the motor vehicle without cost for the rest
of the registration period for which the special plates were
issued. While the person owner is a member of the ready
reserve, plates issued under this subdivision may be transferred
to another motor vehicle owned or jointly owned by that person
individual on paying a fee of $5.

(c) The fees collected under this subdivision must be paid
into the state treasury and credited to the highway user tax
distribution fund.

(d) (e) The registrar commissioner may adopt rules under
the Administrative Procedure Act to govern the issuance and use
of the special plates authorized by this subdivision.

Sec. 13.

Minnesota Statutes 2004, section 168.12,
subdivision 2e, is amended to read:

Subd. 2e.

Volunteer ambulance attendants; special
plates.

(a) The registrar commissioner shall issue special
license plates to an applicant who:

(1) is a volunteer ambulance attendant as defined in
section 144E.001, subdivision 15, and who owns or jointly owns a
motor vehicle taxed as a passenger automobile. The registrar
shall issue the special plates on payment of ;

(2) pays the registration tax required by law this chapter
for the motor vehicle, compliance with all other applicable laws
relating to ;

(3) pays a fee of $10 and any other fees required by this
chapter; and

(4) complies with this chapter and rules governing the
registration of motor vehicles and licensing of motor vehicles
and drivers, and payment of an additional fee of $10.

(b) The registrar commissioner shall not issue more than
two sets of these plates to each qualified applicant.

(b) A person (c) An individual may use special plates
issued under this subdivision only during the period that
the person individual is a volunteer ambulance attendant. When
the person individual to whom the special plates were issued
ceases to be a volunteer ambulance attendant, the person
individual shall return remove each set of special plates issued
to that person. When ownership of a the motor vehicle is
transferred, the person individual shall remove the special
plates from that motor vehicle and return them to the
registrar. On return removal of each set of plates, the owner
of the motor vehicle, or new owner in case of a
transferred motor vehicle, is entitled to receive
regular license plates for the motor vehicle without cost for
the rest of the registration period for which the set of special
plates were issued. Special plates issued under this
subdivision may be transferred to another motor vehicle owned by
the volunteer ambulance attendant on payment of a fee of $5.

(c) The fees specified in this subdivision must be paid
into the state treasury and deposited in the highway user tax
distribution fund.

(d) The commissioner may adopt rules governing the design,
issuance, and sale of the special plates authorized by this
subdivision.

Sec. 14.

Minnesota Statutes 2004, section 168.12,
subdivision 5, is amended to read:

Subd. 5.

Additional fee.

(a) In addition to any fee
otherwise authorized or any tax otherwise imposed upon any motor
vehicle, the payment of which is required as a condition to the
issuance of any number license plate or plates, the commissioner
of public safety shall impose the fee specified in paragraph (b)
that is calculated to cover the cost of manufacturing and
issuing the license plate or plates, except for license plates
issued to disabled veterans as defined in section 168.031 and
license plates issued pursuant to section 168.124, 168.125, or
168.27, subdivisions 16 and 17, for passenger automobiles. The
commissioner shall issue graphic design license plates shall
only be issued for vehicles registered pursuant to section
168.017 and recreational vehicles registered pursuant to section
168.013, subdivision 1g.

(b) Unless otherwise specified or exempted by statute, the
following plate and validation sticker fees apply for the
original, duplicate, or replacement issuance of a plate in a
plate year:

Sequential Regular Double Plate $ 4.25

Sequential Special Plate-Double $ 7.00

Sequential Regular Single Plate $ 3.00

Sequential Special Plate-Single $ 5.50

Utility Trailer Self-Adhesive Plate $ 2.50

Nonsequential Double Plate $14.00

Nonsequential Single Plate $10.00

Duplicate Sticker $ 1.00

(c) Fees collected under this subdivision must be paid into
the state treasury and credited to the highway user tax
distribution fund.

Sec. 15.

Minnesota Statutes 2004, section 168.1255,
subdivision 4, is amended to read:

Subd. 4.

Fees credited.

The fees collected under this
section must be deposited in the state treasury and credited to
the highway user tax distribution fund.Fees collected under
this section do not include the contributions collected for the
World War II memorial donation match account.

Sec. 16.

Minnesota Statutes 2004, section 168.127,
subdivision 6, is amended to read:

Subd. 6.

Fees.

Instead of the filing fee described in
section 168.33, subdivision 7, the applicant for fleet
registration shall pay an equivalent administrative fee to the
commissioner for each vehicle in the fleet. The administrative
fee must be deposited in the state treasury and credited to the
highway user tax distribution fund.

Sec. 17.

Minnesota Statutes 2004, section 168.129,
subdivision 5, is amended to read:

Subd. 5.

Fees credited.

Sec. 18.

Minnesota Statutes 2004, section 168.1293,
subdivision 7, is amended to read:

Subd. 7.

Deposit of fee; appropriation.

The commissioner
shall deposit the application fee under subdivision 2, paragraph
(a), clause (3), in the highway user tax distribution fund
vehicle services operating account of the special revenue fund
under section 299A.705. An amount sufficient to pay the
department's cost in implementing and administering this
section, including payment of refunds under subdivision 4, is
appropriated to the commissioner.

Sec. 19.

Minnesota Statutes 2004, section 168.1296,
subdivision 5, is amended to read:

Subd. 5.

Contribution and fees credited.

Contributions
under subdivision 1, paragraph (a), clause (5), must be paid to
the registrar commissioner and credited to the Minnesota
critical habitat private sector matching account established in
section 84.943. The fees collected under this section must be
deposited in the highway user tax distribution fund vehicle
services operating account of the special revenue fund under
section 299A.705.

Sec. 20.

Minnesota Statutes 2004, section 168.27,
subdivision 11, is amended to read:

Subd. 11.

dealer's licenses; location change notice;
fee.

(a) Application for a dealer's license or notification of
a change of location of the place of business on a dealer's
license must include a street address, not a post office box,
and is subject to the registrar's commissioner's approval.

(b) Upon the filing of an application for a dealer's
license and the proper fee, the registrar is authorized,unless
the application on its face appears to be invalid, to the
commissioner shall grant a 90-day temporary license. During the
90-day period following issuance of the temporary license,
the registrar commissioner shall investigate the fitness of the
applicant,inspect the place of business site,and make other
investigation as necessary to insure compliance with the
licensing law this section and rules adopted under this section.

(c) The registrar commissioner may extend the temporary
license 30 days to allow the temporarily licensed dealer to come
into full compliance with this section and rules adopted under
this section.

At the end of the period of investigation (d) In no more
than 120 days following issuance of the temporary license, the
dealer license must either be granted or denied.

(e) A license must be denied under the following conditions:

(1) The license must be denied if within the previous ten
years the applicant was enjoined due to a violation of section
325F.69 or convicted of violating section 325E.14, 325E.15,
325E.16, or 325F.69, or convicted under section 609.53 of
receiving or selling stolen vehicles, or convicted of violating
United States Code, title 15, sections 1981 to 1991, as amended
through December 31, 1984,or pleaded guilty, entered a plea of
nolo contendere or no contest, or has been found guilty in a
court of competent jurisdiction of any charge of failure to pay
state or federal income or sales taxes or felony charge of
forgery, embezzlement, obtaining money under false pretenses,
theft by swindle, extortion, conspiracy to defraud, or bribery.

(2) The license must also be denied if within the previous
year the applicant has been denied a dealer license.

(3) A license must also be denied if the applicant has had
a dealer license revoked within the previous ten years.

(f) If the application is approved, the registrar
commissioner shall license the applicant as a motor vehicle
dealer for one year from the date the temporary license is
granted and issue a certificate of license that must include a
distinguishing number of identification of the dealer. The
license must be displayed in a prominent place in the dealer's
licensed location place of business.

(g) Each initial application for a license must be
accompanied by a fee of $50 $100 in addition to the annual fee.
The annual fee shall be $100 is $150. All The initial fees and
annual fees must be paid into the state treasury and credited to
the general fund except that $50 of each initial and annual fee
must be credited to the vehicle services operating account in
the special revenue fund under section 299A.705.

Sec. 21.

[168.326] EXPEDITED DRIVER AND VEHICLES
SERVICES; FEE.

(a) When an applicant requests and pays an expedited
service fee of $20, in addition to other specified and
statutorily mandated fees and taxes, the commissioner shall
expedite the processing of an application for a driver's
license, driving instruction permit, Minnesota identification
card, or vehicle title transaction.

(b) A driver's license agent or deputy registrar may retain
$10 of the expedited service fee for each expedited service
request processed by the licensing agent or deputy registrar.

(c) When expedited service is requested, materials must be
mailed or delivered to the requester within three days of
receipt of the expedited service fee excluding Saturdays,
Sundays, or the holidays listed in section 645.44, subdivision
5. The requester shall comply with all relevant requirements of
the requested document.

(d) The commissioner may decline to accept an expedited
service request if it is apparent at the time it is made that
the request cannot be granted.

(e) The expedited service fees collected under this section
for an application for a driver's license, driving instruction
permit, or Minnesota identification card minus any portion
retained by a licensing agent or deputy registrar under
paragraph (b) must be credited to the driver services operating
account in the special revenue fund specified under section
299A.705.

(f) The expedited service fees collected under this section
for a transaction for a vehicle service minus any portion
retained by a licensing agent or deputy registrar under
paragraph (b) must be credited to the vehicle services operating
account in the special revenue fund specified under section
299A.705.

Sec. 22.

[168.327] DRIVER AND VEHICLE RECORD FEES.

Subdivision 1.

Records and fees.

(a) Upon request by any
person authorized in this section, the commissioner shall
furnish a certified copy of any driver's license record,
instruction permit record, Minnesota identification card record,
vehicle registration record, vehicle title record, or accident
record.

(b) Other than accident records governed under section
169.09, subdivision 13, the requester shall pay a fee of $10 for
each certified record specified in paragraph (a) or a fee of $9
for each record that is not certified.

(c) In addition to the record fee in paragraph (b), the fee
for a copy of the history of any vehicle title not in electronic
format is $1 for each page of the historical record.

(d) Fees collected under paragraph (b) for driver's
license, instruction permit, and Minnesota identification card
records must be paid into the state treasury with 50 cents of
each fee credited to the general fund. The remainder of the
fees collected must be credited to the driver services operating
account in the special revenue fund under section 299A.705.

(e) Fees collected under paragraphs (b) and (c) for vehicle
registration or title records must be paid into the state
treasury with 50 cents of each fee credited to the general
fund. The remainder of the fees collected must be credited to
the vehicle services operating account in the special revenue
fund specified in section 299A.705.

(f) The commissioner shall permit a person to inquire into
a record by the person's own electronic means for a fee of $4.50
for each inquiry, except that no fee may be charged when the
requester is the subject of the data.

(1) Of the $4.50 fee, $2.70 must be credited to the general
fund.

(2) For driver's license, instruction permit, or Minnesota
identification card records, the remainder must be credited to
the driver services operating account in the special revenue
fund under section 299A.705.

(3) For vehicle title or registration records, the
remainder must be credited to the vehicle services operating
account in the special revenue fund under section 299A.705.

(g) Fees and the deposit of the fees for accident records
and reports are governed by section 169.09, subdivision 13.

Subd. 2.

Exception to fee.

(a) Notwithstanding this
subdivision or section 13.03, a fee may not be imposed in
response to a request for public information about the
registration of a vehicle if the commissioner is satisfied that:

(1) the requester seeks the information on behalf of a
community-based, nonprofit organization designated by a local
law enforcement agency to be a requester; and

(2) the information is needed to identify suspected
prostitution law violators, controlled substance law violators,
or health code violators.

(b) The commissioner shall not require a requester under
paragraph (a) to make a minimum number of data requests or limit
the requester to a maximum number of data requests.

Sec. 23.

Minnesota Statutes 2004, section 168.33,
subdivision 7, is amended to read:

Subd. 7.

Filing fee.

(a) In addition to all other
statutory fees and taxes, a filing fee of:

(i) (1) $4.50 is imposed on every motor vehicle
registration renewal, excluding pro rate transactions; and

(ii) $7 (2) $8.50 is imposed on every other type of vehicle
transaction, including pro rate transactions;

except that a filing fee may not be charged for a document
returned for a refund or for a correction of an error made by
the Department of Public Safety, a licensed auto dealer, or a
deputy registrar. The filing fee must be shown as a separate
item on all registration renewal notices sent out by the
department commissioner. No filing fee or other fee may be
charged for the permanent surrender of a certificate of title
and license plates for a motor vehicle.

(b) Filing All of the fees collected under this subdivision
by the department paragraph (a), clause (1),must be paid
into deposited in the state treasury and credited to the highway
user tax distribution fund, except fees for registrations of
motor vehicles. Filing fees collected for registrations of
motor vehicles in conjunction with a title transfer or first
application in this state must be paid into the state treasury
with 50 percent of the money credited to the general fund and 50
percent credited to the highway user tax distribution
fund vehicle services operating account in the special revenue
fund under section 299A.705. Of the fee collected under
paragraph (a), clause (2), $3.50 must be credited to the general
fund with the remainder credited to the vehicle services
operating account in the special revenue fund under section
299A.705.

(c) A motor vehicle dealer shall retain $2.50 of each
filing fee imposed under this subdivision for a completed
transaction involving the sale of a motor vehicle to or by a
licensed dealer, if the dealer electronically transmits the
transaction to the department commissioner or a deputy registrar.
The department commissioner shall develop procedures to
implement this subdivision in consultation with the Minnesota
Deputy Registrar Association and the Minnesota Automobile
Dealers Association. Deputy registrars shall must not be
prohibited from receiving and processing required documents
supporting an electronic transaction.

Sec. 24.

Minnesota Statutes 2004, section 168.381,
subdivision 4, is amended to read:

Subd. 4.

Appropriations.

(a) Money appropriated to the
Department of Public Safety to procure the plates for any fiscal
year or years are is available for allotment, encumbrance, and
expenditure from and after the date of the enactment of the
appropriation. Materials and equipment used in the manufacture
of number plates are subject only to the approval of the
commissioner of public safety.

(b) This section contemplates that money to be appropriated
to the Department of Public Safety in order to carry out the
terms and provisions of this section will be appropriated by the
legislature from the highway user tax distribution vehicle
services operating account in the special revenue fund.

(c) A sum sufficient is appropriated annually from the
highway user tax distribution fund to the commissioner of public
safety to pay the costs of purchasing, delivering, and mailing
motor vehicle license number plates, license plate registration
tabs or stickers, and license plate registration notices.

Sec. 25.

Minnesota Statutes 2004, section 168A.152,
subdivision 2, is amended to read:

Subd. 2.

Inspection fee; proceeds to general fund vehicle
services operating account.

(a) A fee of $20 $35 must be paid
to the department before the department issues a certificate of
title for a vehicle that has been inspected and for which a
certificate of inspection has been issued pursuant to
subdivision 1. The only additional fee that may be assessed for
issuing the certificate of title is the filing fee imposed under
section 168.33, subdivision 7.

(b) Fees Of the fee collected by the department under this
subdivision, for conducting inspections under subdivision 1, $20
must be deposited in credited to the general fund and the
remainder of the fee collected must be credited to the vehicle
services operating account in the special revenue fund as
specified in section 299A.705.

Sec. 26.

Minnesota Statutes 2004, section 168A.29,
subdivision 1, is amended to read:

Subdivision 1.

Amounts.

(a) The department shall must be
paid the following fees:

(1) for filing an application for and the issuance of an
original certificate of title, the sum of $3 $5.50 of which
$2.50 must be credited to the vehicle services operating account
of the special revenue fund under section 299A.705;

(2) for each security interest when first noted upon a
certificate of title, including the concurrent notation of any
assignment thereof and its subsequent release or satisfaction,
the sum of $2, except that no fee is due for a security interest
filed by a public authority under section 168A.05, subdivision
8;

(3) for the transfer of the interest of an owner and the
issuance of a new certificate of title, the sum of $3 $5.50 of
which $2.50 must be credited to the vehicle services operating
account of the special revenue fund under section 299A.705;

(4) for each assignment of a security interest when first
noted on a certificate of title, unless noted concurrently with
the security interest, the sum of $1;

(5) for issuing a duplicate certificate of title, the sum
of $4 $6.50 of which $2.50 must be credited to the vehicle
services operating account of the special revenue fund under
section 299A.705.

(b) After June 30, 1994, in addition to each of the fees
required under paragraph (a), clauses (1) and (3), the
department shall must be paid $3.50. The additional $3.50 fee
collected under this paragraph must be deposited in the special
revenue fund and credited to the public safety motor vehicle
account established in section 299A.70.

Sec. 27.

Minnesota Statutes 2004, section 168A.31, is
amended to read:

168A.31 DISPOSITION OF FEES; PAYMENT OF EXPENSES.

Subdivision 1.

paid to general fund distribution.

All
fees prescribed by sections 168A.01 to 168A.31 and 168.54
collected by the department must be paid into the general fund,
unless otherwise specified in chapter 168A.

Subd. 2.

Expenses; appropriation.

All necessary expenses
incurred by the department for the administration of sections
168A.01 to 168A.31shall must be paid from moneys money in the
transfer of ownership revolving vehicle services operating
account of the special revenue fund, and such funds are hereby
appropriated as specified in section 299A.705.

Sec. 28.

Minnesota Statutes 2004, section 169.09,
subdivision 13, is amended to read:

Subd. 13.

Reports confidential; evidence, fee, penalty,
appropriation.

(a) All written reports and supplemental reports
information required under this section shall must be for the
use of the commissioner of public safety and other appropriate
state, federal, county, and municipal governmental agencies for
accident analysis purposes, except:

(1) the commissioner of public safety or any law
enforcement agency shall, upon written request of any person
individual involved in an accident or upon written request of
the representative of the person's individual's estate,
surviving spouse, or one or more surviving next of kin, or a
trustee appointed pursuant to under section 573.02, disclose to
the requester, the requester's legal counsel, or a
representative of the requester's insurer the report required
under subdivision 8;

(2) the commissioner of public safety shall, upon written
request, provide the driver filing a report under subdivision 7
with a copy of the report filed by the driver;

(3) the commissioner of public safety may verify with
insurance companies vehicle insurance information to enforce
sections 65B.48, 169.792, 169.793, 169.796, and 169.797;

(4) the commissioner of public safety shall provide the
commissioner of transportation the information obtained for each
traffic accident involving a commercial motor vehicle, for
purposes of administering commercial vehicle safety regulations;
and

(5) the commissioner of public safety may give to the
United States Department of Transportation commercial vehicle
accident information in connection with federal grant programs
relating to safety.

(b) Accident reports and data contained in the reports
shall are not be discoverable under any provision of law or rule
of court. No report shall be used as evidence in any trial,
civil or criminal, or any action for damages or criminal
proceedings arising out of an accident, except that . However,
the commissioner of public safety shall furnish,upon the demand
of any person who has,or claims to have,made a report,or,
upon demand of any court, a certificate showing that a specified
accident report has or has not been made to the commissioner
solely to prove compliance or failure to comply with the
requirements that the report be made to the commissioner.

(c) Nothing in this subdivision prevents any person
individual who has made a report pursuant to under this section
from providing information to any persons individuals involved
in an accident or their representatives or from testifying in
any trial, civil or criminal, arising out of an accident, as to
facts within the person's individual's knowledge. It is
intended by this subdivision to render privileged the reports
required, but it is not intended to prohibit proof of the facts
to which the reports relate.

(d) Disclosing any information contained in any accident
report, except as provided in this subdivision, section 13.82,
subdivision 3 or 6, or other statutes, is a misdemeanor.

(e) The commissioner of public safety may shall charge
authorized persons as described in paragraph (a) a $5 fee for a
copy of an accident report. Ninety percent of the $5 fee
collected under this paragraph must be deposited in the special
revenue fund and credited to the driver services operating
account established in section 299A.705 and ten percent must be
deposited in the general fund.The commissioner may also
furnish copies of the modified accident records an electronic
copy of the database of accident records, which must not contain
personal or private data on an individual,to private agencies
as provided in paragraph (g), for not less than the cost of
preparing the copies on a bulk basis as provided in section
13.03, subdivision 3.

(f) The fees specified in paragraph (e) notwithstanding,
the commissioner and law enforcement agencies may shall charge
commercial users who request access to response or incident data
relating to accidents a fee not to exceed 50 cents per
report record. "Commercial user" is a user who in one location
requests access to data in more than five accident reports per
month, unless the user establishes that access is not for a
commercial purpose. Of the money collected by the commissioner
under this paragraph is appropriated to the commissioner , 90
percent must be deposited in the special revenue fund and
credited to the driver services operating account established in
section 299A.705 and ten percent must be deposited in the
general fund.

(g) The fees in paragraphs (e) and (f) notwithstanding,the
commissioner may shall provide a modified an electronic copy of
the accident records database that does to the public on a
case-by-case basis using the cost-recovery charges provided for
under section 13.03, subdivision 3. The database provided must
not contain names, driver's license numbers, vehicle license
plate numbers, addresses, or other identifying data to the
public upon request personal or private data on an individual.
However, unless the accident records data base includes
the motor vehicle identification number, the commissioner shall
include the vehicle license registration plate number if a
private agency certifies and agrees that the agency:

(1) is in the business of collecting accident and damage
information on vehicles;

(2) will use the vehicle license registration plate number
only for the purpose of identifying vehicles that have been
involved in accidents or damaged in order ,to provide this
information to persons seeking access to a vehicle's history and
not for the purpose of identifying individuals or for any other
purpose; and

(3) will be subject to the penalties and remedies under
sections 13.08 and 13.09.

Sec. 29.

Minnesota Statutes 2004, section 169A.60,
subdivision 16, is amended to read:

Subd. 16.

Fees credited to highway user fund.

Fees
collected from the sale or reinstatement of license plates under
this section must be paid into the state treasury and credited
one-half to the highway user tax distribution fund vehicle
services operating account in the special revenue fund specified
in section 299A.705 and one-half to the general fund.

Sec. 30.

Minnesota Statutes 2004, section 171.06,
subdivision 2, is amended to read:

Subd. 2.

Fees.

(a) The fees for a license and Minnesota
identification card are as follows:

Classified Driver's License D- $18.50 $21.50 C- $22.50 $25.50
B- $29.50 $32.50 A- $37.50 $40.50
Classified Under-21 D.L. D- $18.50 $21.50 C- $22.50 $25.50
B- $29.50 $32.50 A- $17.50 $20.50
Instruction Permit $ 9.50
Provisional License $ 9.50 $12.50
Duplicate License or
duplicate identification card $ 8.00 $11.00
Minnesota identification card or Under-21 Minnesota
identification card, other than duplicate,
except as otherwise provided in section 171.07,
subdivisions 3 and 3a $12.50 $15.50

(b) Notwithstanding paragraph (a), a person an individual
who holds a provisional license and has a driving record free of
(1) convictions for a violation of section 169A.20, 169A.33,
169A.35, or sections 169A.50 to 169A.53, (2) convictions for
crash-related moving violations, and (3) convictions for moving
violations that are not crash related, shall have a $3.50 credit
toward the fee for any classified under-21 driver's license.
"Moving violation" has the meaning given it in section 171.04,
subdivision 1.

(c) In addition to the driver's license fee required under
paragraph (a), the registrar commissioner shall collect an
additional $4 processing fee from each new applicant or person
individual renewing a license with a school bus endorsement to
cover the costs for processing an applicant's initial and
biennial physical examination certificate. The department shall
not charge these applicants any other fee to receive or renew
the endorsement.

Sec. 31.

Minnesota Statutes 2004, section 171.06,
subdivision 2a, is amended to read:

Subd. 2a.

Two-wheeled vehicle endorsement fee increased.

(a) The fee for any duplicate driver's license which is obtained
for the purpose of adding a two-wheeled vehicle endorsement is
increased by $18.50 for each first such duplicate license and
$13 for each renewal thereof. The additional fee shall must be
paid into the state treasury and credited as follows:

(1) $11 of the additional fee for each first duplicate
license, and $7 of the additional fee for each renewal, must be
credited to the motorcycle safety fund,which is hereby created;
provided,that any ten percent of fee receipts in excess of
$750,000 in a fiscal year shall must be credited 90 percent to
the trunk highway fund and ten percent to the general fund, as
provided in section 171.26.

(2) The remainder of the additional fee must be credited to
the general fund.

(b) All application forms prepared by the commissioner for
two-wheeled vehicle endorsements shall must clearly state the
amount of the total fee that is dedicated to the motorcycle
safety fund.

Sec. 32.

Minnesota Statutes 2004, section 171.061,
subdivision 4, is amended to read:

Subd. 4.

Fee; equipment.

(a) The agent may charge and
retain a filing fee of $3.50 $5 for each application. Except as
provided in paragraph (b), the fee shall cover all expenses
involved in receiving, accepting, or forwarding to the
department the applications and fees required under sections
171.02, subdivision 3; 171.06, subdivisions 2 and 2a; and
171.07, subdivisions 3 and 3a.

(b) The department shall maintain the photo identification
equipment for all agents appointed as of January 1, 2000. Upon
the retirement, resignation, death, or discontinuance of an
existing agent, and if a new agent is appointed in an existing
office pursuant to Minnesota Rules, chapter 7404, and
notwithstanding the above or Minnesota Rules, part 7404.0400,
the department shall provide and maintain photo identification
equipment without additional cost to a newly appointed agent in
that office if the office was provided the equipment by the
department before January 1, 2000. All photo identification
equipment must be compatible with standards established by the
department.

(c) A filing fee retained by the agent employed by a county
board must be paid into the county treasury and credited to the
general revenue fund of the county. An agent who is not an
employee of the county shall retain the filing fee in lieu of
county employment or salary and is considered an independent
contractor for pension purposes, coverage under the Minnesota
State Retirement System, or membership in the Public Employees
Retirement Association.

(d) Before the end of the first working day following the
final day of the reporting period established by the department,
the agent must forward to the department all applications and
fees collected during the reporting period except as provided in
paragraph (c).

Sec. 33.

Minnesota Statutes 2004, section 171.07,
subdivision 11, is amended to read:

Subd. 11.

Standby or temporary custodian.

(a) Upon the
written request of the applicant and upon payment of an
additional fee of $3.50, the department shall issue a driver's
license or Minnesota identification card bearing a symbol or
other appropriate identifier indicating that the license holder
has appointed an individual to serve as a standby or temporary
custodian under chapter 257B.

(b) The request must be accompanied by a copy of the
designation executed under section 257B.04.

(c) The department shall maintain a computerized records
system of all persons individuals listed as standby or temporary
custodians by driver's license and identification card
applicants. This data shall must be released to appropriate law
enforcement agencies under section 13.69. Upon a parent's
request and payment of a fee of $3.50, the department shall
revise its list of standby or temporary custodians to reflect a
change in the appointment.

(d) At the request of the license or cardholder, the
department shall cancel the standby or temporary custodian
indication without additional charge. However, this paragraph
does not prohibit a fee that may be applicable for a duplicate
or replacement license or card, renewal of a license, or other
service applicable to a driver's license or identification card.

(e) Notwithstanding sections 13.08, subdivision 1, and
13.69, the department and department employees are conclusively
presumed to be acting in good faith when employees rely on
statements made, in person or by telephone, by persons
purporting to be law enforcement and subsequently release
information described in paragraph (b). When acting in good
faith, the department and department personnel are immune from
civil liability and not subject to suit for damages resulting
from the release of this information.

(f) The department and its employees:

(1) have no duty to inquire or otherwise determine whether
a designation submitted under this subdivision is legally valid
and enforceable; and

(2) are immune from all civil liability and not subject to
suit for damages resulting from a claim that the designation was
not legally valid and enforceable.

(g) Of the fees received by the department under this
subdivision:

(1) Up to $111,000 received in fiscal year 1997 and up to
$61,000 received in subsequent fiscal years must be deposited in
the general fund.

(2) All other fees must be deposited in the trunk highway
driver services operating account in the special revenue fund
specified in section 299A.705.

Sec. 34.

Minnesota Statutes 2004, section 171.13,
subdivision 6, is amended to read:

Subd. 6.

Initial motorcycle endorsement fee.

A person
applying for an initial motorcycle endorsement on a driver's
license shall pay at the place of examination a total fee of
$21, which includes the examination fee and endorsement fee, but
does not include the fee for a duplicate driver's license
prescribed in section 171.06, subdivision 2. Of this amount,
$11 must be credited as provided in section 171.06, subdivision
2a, paragraph (a), clause (1), $2.50 must be credited to
the trunk highway driver services operating account in the
special revenue fund specified under section 299A.705, and the
remainder must be credited to the general fund.

Sec. 35.

Minnesota Statutes 2004, section 171.13, is
amended by adding a subdivision to read:

Subd. 7.

Repeat examination fee.

(a) A fee of $10 must
be paid by an individual to take a third and any subsequent
knowledge test administered by the department if the individual
has failed two previous consecutive knowledge tests on the
subject.

(b) A fee of $20 must be paid by an individual to take a
third and any subsequent skills or road test administered by the
department if the individual has previously failed two
consecutive skill or road tests in a specified class of motor
vehicle.

(c) All fees received under this subdivision must be paid
into the state treasury and credited to the driver services
operating account in the special revenue fund specified under
section 299A.705.

Sec. 36.

Minnesota Statutes 2004, section 171.26, is
amended to read:

171.26 MONEY CREDITED TO FUNDS.

All money received under this chapter must be paid into the
state treasury and credited to the trunk highway driver services
operating account in the special revenue fund specified under
section 299A.705, except as provided in sections 171.06,
subdivision 2a; 171.07, subdivision 11, paragraph (g); 171.12,
subdivision 8;and 171.29, subdivision 2, paragraph (b).

Sec. 37.

Minnesota Statutes 2004, section 171.29,
subdivision 2, is amended to read:

Subd. 2.

Reinstatement fees and surcharges allocated and
appropriated.

(a) A person An individual whose driver's license
has been revoked as provided in subdivision 1, except under
section 169A.52, 169A.54, or 609.21, shall must pay a $30 fee
before the driver's license is reinstated.

(b) A person whose driver's license has been revoked as
provided in subdivision 1 under section 169A.52, 169A.54, or
609.21, shall must pay a $250 fee plus a $40 surcharge before
the driver's license is reinstated. Beginning July 1, 2002, the
surcharge is $145. Beginning July 1, 2003, the surcharge is
$430. The $250 fee is to be credited as follows:

(1) Twenty percent must be credited to the trunk highway
driver services operating account in the special revenue fund as
specified in section 299A.705.

(2) Sixty-seven percent must be credited to the general
fund.

(3) Eight percent must be credited to a separate account to
be known as the Bureau of Criminal Apprehension account. Money
in this account may be appropriated to the commissioner of
public safety and the appropriated amount must be apportioned 80
percent for laboratory costs and 20 percent for carrying out the
provisions of section 299C.065.

(4) Five percent must be credited to a separate account to
be known as the vehicle forfeiture account, which is created in
the special revenue fund. The money in the account is annually
appropriated to the commissioner for costs of handling vehicle
forfeitures.

(c) The revenue from $50 of each surcharge must be credited
to a separate account to be known as the traumatic brain injury
and spinal cord injury account. The money in the account is
annually appropriated to the commissioner of health to be used
as follows: 83 percent for contracts with a qualified
community-based organization to provide information, resources,
and support to assist persons with traumatic brain injury and
their families to access services, and 17 percent to maintain
the traumatic brain injury and spinal cord injury registry
created in section 144.662. For the purposes of this
clause paragraph, a "qualified community-based organization" is
a private, not-for-profit organization of consumers of traumatic
brain injury services and their family members. The
organization must be registered with the United States Internal
Revenue Service under section 501(c)(3) as a tax-exempt
organization and must have as its purposes:

(i) the promotion of public, family, survivor, and
professional awareness of the incidence and consequences of
traumatic brain injury;

(ii) the provision of a network of support for persons with
traumatic brain injury, their families, and friends;

(iii) the development and support of programs and services
to prevent traumatic brain injury;

(iv) the establishment of education programs for persons
with traumatic brain injury; and

(v) the empowerment of persons with traumatic brain injury
through participation in its governance.

No A patient's name, identifying information, or identifiable
medical data will must not be disclosed to the organization
without the informed voluntary written consent of the patient or
patient's guardian or, if the patient is a minor, of the parent
or guardian of the patient.

(d) The remainder of the surcharge must be credited to a
separate account to be known as the remote electronic
alcohol-monitoring program account. The commissioner shall
transfer the balance of this account to the commissioner of
finance on a monthly basis for deposit in the general fund.

(e) When these fees are collected by a licensing agent,
appointed under section 171.061, a handling charge is imposed in
the amount specified under section 171.061, subdivision 4. The
reinstatement fees and surcharge must be deposited in an
approved state depository as directed under section 171.061,
subdivision 4.

Sec. 38.

Minnesota Statutes 2004, section 171.36, is
amended to read:

171.36 LICENSE RENEWAL; FEES; PROCEEDS TO TRUNK HIGHWAY
FUND DRIVER SERVICES OPERATING ACCOUNT.

All licenses shall expire one year from the date of
issuance and may be renewed upon application to the
commissioner. Each application for an original or renewal
school license shall must be accompanied by a fee of $150 and
each application for an original or renewal instructor's license
shall must be accompanied by a fee of $50. The license fees
collected under sections 171.33 to 171.41shall must be paid
into credited to the trunk highway driver services operating
account in the special revenue fund specified under section
299A.705. No A license fee shall must not be refunded in the
event that the license is rejected or revoked.

Sec. 39.

[299A.705] DRIVER AND VEHICLE SERVICES OPERATING
ACCOUNTS.

Subdivision 1.

Vehicle services operating account.

(a)
The vehicle services operating account is created in the special
revenue fund, consisting of all money from the vehicle services
fees specified in chapters 168 and 168A and any other money
otherwise deposited in or credited to this account.

(b) Money appropriated is available to administer vehicle
services as specified in chapters 168 and 168A and section
169.345, including:

(1) designing, producing, issuing, and mailing vehicle
registrations, plates, emblems, and titles;

(2) collecting title and registration taxes and fees;

(3) transferring vehicle registration plates and titles;

(4) maintaining vehicle records;

(5) issuing disability certificates and plates;

(6) licensing vehicle dealers;

(7) appointing, monitoring, and auditing deputy registrars;
and

(8) inspecting vehicles when required by law.

Subd. 2.

Driver services operating account.

(a) The
Driver and Vehicle Services Division driver services operating
account is created in the special revenue fund, consisting of
all money collected under chapter 171 and any other money
otherwise deposited in or credited to the account.

(b) Money in the account must be used by the commissioner
of public safety to administer the driver services specified in
chapters 169A and 171, including the activities associated with
producing and mailing drivers' licenses and identification cards
and notices relating to issuance, renewal, or withdrawal of
driving and identification card privileges for any fiscal year
or years and for the testing and examination of drivers. Money
in the account may also be used for driver and traffic safety
activities.

Sec. 40. REPEALER.

Minnesota Statutes 2004, sections 168.012, subdivision 12;
168.041, subdivision 11; 168.105, subdivision 6; 168.123,
subdivision 5; 168.1235, subdivision 5; 168.128, subdivision 4;
168.231; 168.345, subdivisions 3 and 4; 170.23; 171.12,
subdivision 8; and 171.185, are repealed.

ARTICLE 9

PUBLIC SAFETY APPROPRIATIONS

Section 1. PUBLIC SAFETY APPROPRIATIONS.

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or another named fund, to
the agencies and for the purposes specified in this article, to
be available for the fiscal years indicated for each purpose.
The figures "2006" and "2007" where used in this article, mean
that the appropriation or appropriations listed under them are
available for the year ending June 30, 2006, or June 30, 2007,
respectively. The term "first year" means the fiscal year
ending June 30, 2006, and the term "second year" means the
fiscal year ending June 30, 2007.
SUMMARY BY FUND

2006 2007 TOTAL

General $ 807,020,000 $ 820,944,000 $1,627,964,000

State Government
Special Revenue 29,072,000 29,521,000 58,593,000

Environmental 194,000 194,000 388,000

Special Revenue 5,423,000 5,422,000 10,845,000

Trunk
Highway 361,000 361,000 722,000

Remediation 484,000 484,000 968,000

TOTAL $ 842,554,000 $ 856,926,000 $1,699,480,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. SUPREME COURT $ 36,084,000 $ 36,084,000

[CONTINGENT ACCOUNT.] $5,000 each year
is for a contingent account for
expenses necessary for the normal
operation of the court for which no
other reimbursement is provided.

[LEGAL SERVICES TO LOW-INCOME CLIENTS
IN FAMILY LAW MATTERS.] $877,000 each
year is to improve the access of
low-income clients to legal
representation in family law matters.
This appropriation must be distributed
under Minnesota Statutes, section
480.242, to the qualified legal
services programs described in
Minnesota Statutes, section 480.242,
subdivision 2, paragraph (a). Any
unencumbered balance remaining in the
first year does not cancel and is
available in the second year.

Sec. 3.

COURT OF APPEALS 7,939,000 7,939,000

Sec. 4.

DISTRICT COURTS 220,191,000 220,221,000

Sec. 5.

TAX COURT 726,000 726,000

Sec. 6.

UNIFORM LAWS
COMMISSION 39,000 39,000

Sec. 7.

BOARD ON
JUDICIAL STANDARDS 252,000 252,000

Sec. 8.

BOARD OF PUBLIC
DEFENSE 53,908,000 53,956,000

Sec. 9. PUBLIC SAFETY

Subdivision 1.

Total
Appropriation 96,729,000 97,143,000

Summary by Fund

2006 2007

General 68,435,000 68,417,000

Special Revenue 590,000 589,000

State Government
Special Revenue 27,294,000 27,727,000

Environmental 49,000 49,000

Trunk Highway 361,000 361,000

[APPROPRIATIONS FOR PROGRAMS.] The
amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Emergency Management

2,594,000 2,594,000

Summary by Fund

General 2,545,000 2,545,000

Environmental 49,000 49,000

Subd. 3.

Criminal Apprehension

35,637,000 35,636,000

Summary by Fund

General 34,829,000 34,829,000

Special Revenue 440,000 439,000

State Government
Special Revenue 7,000 7,000

Trunk Highway 361,000 361,000

[COOPERATIVE INVESTIGATION OF
CROSS-JURISDICTIONAL CRIMINAL
ACTIVITY.] $94,000 the first year and
$93,000 the second year from the Bureau
of Criminal Apprehension account in the
special revenue fund is for grants to
local officials for the cooperative
investigation of cross-jurisdictional
criminal activity. Any unencumbered
balance remaining in the first year
does not cancel but is available for
the second year.

[LABORATORY ACTIVITIES.] $346,000 each
year from the Bureau of Criminal
Apprehension account in the special
revenue fund is for laboratory
activities.

[DWI LAB ANALYSIS; TRUNK HIGHWAY FUND.]
Notwithstanding Minnesota Statutes,
section 161.20, subdivision 3, $361,000
each year from the trunk highway fund
is for laboratory analysis related to
driving while impaired cases.

Subd. 4.

Fire Marshal

2,445,000 2,432,000

Subd. 5.

Alcohol and
Gambling Enforcement

1,772,000 1,772,000

Summary by Fund

General 1,622,000 1,622,000

Special Revenue 150,000 150,000

Subd. 6.

Office of Justice
Programs

26,994,000 26,989,000

[ADMINISTRATION COSTS.] Up to 2.5
percent of the grant funds appropriated
in this subdivision may be used to
administer the grant programs.

Subd. 7.

911 Emergency
Services/ARMER

27,287,000 27,720,000

This appropriation is from the state
government special revenue fund for 911
emergency telecommunications services.

Sec. 10. BOARD OF PEACE OFFICER
STANDARDS AND TRAINING 3,943,000 3,943,000

This appropriation is from the peace
officers training account in the
special revenue fund. Any receipts
credited to that account in the first
year in excess of $3,943,000 must be
transferred and credited to the general
fund. Any receipts credited to that
account in the second year in excess of
$3,943,000 must be transferred and
credited to the general fund.

Sec. 11.

BOARD OF PRIVATE DETECTIVE
AND PROTECTIVE AGENT SERVICES 126,000 126,000

Sec. 12.

HUMAN RIGHTS 3,490,000 3,490,000

Sec. 13. CORRECTIONS

Subdivision 1.

Total
Appropriation 393,450,000 407,289,000

Summary by Fund

General 392,560,000 406,399,000

Special Revenue 890,000 890,000

[APPROPRIATIONS FOR PROGRAMS.] The
amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Correctional
Institutions

282,300,000 295,988,000

Summary by Fund

General 281,720,000 295,408,000

Special Revenue 580,000 580,000

[CONTRACT FOR BEDS AT RUSH CITY.] If
the commissioner contracts with other
states, local units of government, or
the federal government to rent beds in
the Rush City correctional facility,
the commissioner shall charge a per
diem under the contract, to the extent
possible, that is equal to or greater
than the per diem cost of housing
Minnesota inmates in the facility.

Subd. 3.

Community Services

95,592,000 95,743,000

Summary by Fund

General 95,492,000 95,643,000

Special Revenue 100,000 100,000

$1,207,000 each year is for costs
associated with the housing and care of
short-term offenders. The commissioner
may use up to 20 percent of the total
amount of the appropriation for
inpatient medical care for short-term
offenders with less than six months to
serve as affected by the changes made
to Minnesota Statutes, section 609.105,
in 2003. All funds remaining at the
end of the fiscal year not expended for
inpatient medical care shall be added
to and distributed with the housing
funds. These funds shall be
distributed proportionately based on
the total number of days short-term
offenders are placed locally, not to
exceed $70 per day. Short-term
offenders may be housed in a state
correctional facility at the discretion
of the commissioner.

Subd. 4.

Operations Support

15,558,000 15,558,000

Summary by Fund

General 15,348,000 15,348,000

Special Revenue 210,000 210,000

Sec. 14.

SENTENCING GUIDELINES 436,000 436,000

Sec. 15. ATTORNEY GENERAL 25,241,000 25,282,000

Summary by Fund

General 22,834,000 22,859,000

State Government
Special Revenue 1,778,000 1,794,000

Environmental 145,000 145,000

Remediation 484,000 484,000

ARTICLE 10

STATE GOVERNMENT

Section 1. STATE GOVERNMENT APPROPRIATIONS.

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or another fund named, to
the agencies and for the purposes specified in this article, to
be available for the fiscal years indicated for each purpose.
The figures "2005," "2006," and "2007," where used in this
article, mean that the appropriation or appropriations listed
under them are available for the year ending June 30, 2005, June
30, 2006, or June 30, 2007, respectively.
SUMMARY BY FUND

2006 2007 TOTAL

General $ 265,384,000 $ 267,198,000 $ 532,582,000

Health Care
Access 1,782,000 1,782,000 3,564,000

State Government
Special Revenue 400,000 400,000 800,000

Environmental 291,000 291,000 582,000

Special Revenue 2,947,000 2,947,000 5,894,000

Highway User Tax
Distribution 2,097,000 2,097,000 4,194,000

Workers'
Compensation 7,349,000 7,349,000 14,698,000

TOTAL $ 280,250,000 $ 282,064,000 $ 562,314,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. LEGISLATURE

Subdivision 1.

Total
Appropriation $58,176,000 $58,176,000

Summary by Fund

General $ 58,048,000 $ 58,048,000

Health Care Access 128,000 128,000

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

Subd. 2.

Senate

19,319,000 19,319,000

Subd. 3.

House of Representatives

25,993,000 25,993,000

Subd. 4.

Legislative
Coordinating Commission

12,864,000 12,864,000

Summary by Fund

General 12,736,000 12,736,000

Health Care Access 128,000 128,000

$4,894,000 the first year and
$4,894,000 the second year are for the
Office of the Revisor of Statutes.

$1,085,000 the first year and
$1,085,000 the second year are for the
Legislative Reference Library.

$4,868,000 the first year and
$4,868,000 the second year are for the
Office of the Legislative Auditor.

$360,000 the first year and $360,000
the second year are for public
information television, Internet,
Intranet, and other transmission of
legislative activities. At least
one-half must go for programming to be
broadcast and transmitted to rural
Minnesota.

During the biennium ending June 30,
2007, the Legislative Coordinating
Commission, the Office of the
Legislative Auditor, and the Office of
the Revisor of Statutes are not subject
to the limitations in uses of funds
provided under Minnesota Statutes,
section 16A.281.

On July 1, 2005, the commissioner of
finance shall transfer $1,764,000 of
unspent fees from the special revenue
fund dedicated for the Electronic Real
Estate Recording Task Force to the
general fund.

On July 1, 2005, the commissioner of
finance shall cancel $2,500,000 of the
legislature's accumulated carryforward
account balances, divided equally
between the senate and house balances,
to the general fund.

Sec. 3. GOVERNOR AND
LIEUTENANT GOVERNOR 3,586,000 3,586,000

This appropriation is to fund the
offices of the Governor and Lieutenant
Governor.

$19,000 the first year and $19,000 the
second year are for necessary expenses
in the normal performance of the
governor's and lieutenant governor's
duties for which no other reimbursement
is provided.

By September 1 of each year, the
commissioner of finance shall report to
the chairs of the senate Governmental
Operations Budget Division and the
house State Government Finance Division
any personnel costs incurred by the
Office of the Governor and Lieutenant
Governor that were supported by
appropriations to other agencies during
the previous fiscal year. The Office
of the Governor shall inform the chairs
of the divisions before initiating any
interagency agreements.

Sec. 4.

STATE AUDITOR 8,306,000 8,306,000

Sec. 5.

SECRETARY OF STATE 5,904,000 6,076,000

Sec. 6.

CAMPAIGN FINANCE AND
PUBLIC DISCLOSURE BOARD 694,000 694,000

Sec. 7.

INVESTMENT BOARD 2,167,000 2,167,000

Sec. 8. ADMINISTRATIVE HEARINGS 7,249,000 7,249,000

This appropriation is from the workers'
compensation fund.

Sec. 9. ADMINISTRATION

Subdivision 1.

Total
Appropriation 22,778,000 22,778,000

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

Subd. 2.

Technology Services

1,803,000 1,803,000

Subd. 3.

State Facilities Services

10,946,000 10,946,000

$7,888,000 the first year and
$7,888,000 the second year are for
office space costs of the legislature
and veterans organizations, for
ceremonial space, and for statutorily
free space.

Subd. 4.

State and Community Services

3,564,000 3,564,000

$1,095,000 the first year and
$1,095,000 the second year are for the
Land Management Information Center and
are not subject to reduction under
section 33.

$196,000 the first year and $196,000
the second year are for the Office of
the State Archaeologist.

Subd. 5.

Administrative Management Services

4,562,000 4,562,000

$74,000 the first year and $74,000 the
second year are for the Developmental
Disabilities Council.

Subd. 6.

Public Broadcasting

1,903,000 1,903,000

$975,000 the first year and $975,000
the second year are for matching grants
for public television.

$403,000 the first year and $403,000
the second year are for public
television equipment grants.

Equipment or matching grant allocations
shall be made after considering the
recommendations of the Minnesota Public
Television Association.

$17,000 the first year and $17,000 the
second year are for grants to the Twin
Cities regional cable channel.

$313,000 the first year and $313,000
the second year are for community
service grants to public educational
radio stations. The grants must be
allocated after considering the
recommendations of the Association of
Minnesota Public Educational Radio
Stations under Minnesota Statutes,
section 129D.14.

$195,000 the first year and $195,000
the second year are for equipment
grants to Minnesota Public Radio, Inc.

Any unencumbered balance remaining the
first year for grants to public
television or radio stations does not
cancel and is available for the second
year.

Sec. 10. CAPITOL AREA ARCHITECTURAL
AND PLANNING BOARD 262,000 262,000

During the biennium ending June 30,
2007, money received by the board from
public agencies, as provided by
Minnesota Statutes, section 15B.17,
subdivision 1, is appropriated to the
board.

Sec. 11. FINANCE

Subdivision 1.

Total
Appropriation 14,808,000 14,808,000

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

Subd. 2.

State Financial Management

8,447,000 8,447,000

Subd. 3.

Information and
Management Services

6,361,000 6,361,000

$3,000,000 of the amounts billed to
state agencies under Minnesota
Statutes, section 16A.1286, for the
biennium ending June 30, 2005, and not
needed to provide statewide system
services during that time, must be
carried forward from fiscal year 2005
to fiscal year 2006. On July 1, 2005,
the commissioner shall transfer that
amount to the general fund.

Sec. 12.

EMPLOYEE RELATIONS 5,667,000 5,556,000

Sec. 13. REVENUE

Subdivision 1.

Total
Appropriation 99,911,000 102,635,000

Summary by Fund

General 95,869,000 98,593,000

Health Care Access 1,654,000 1,654,000

Highway User
Tax Distribution 2,097,000 2,097,000

Environmental 291,000 291,000

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

Subd. 2.

Tax System Management

78,401,000 79,401,000

Summary by Fund

General 79,455,000 81,549,000

Health Care Access 1,654,000 1,654,000

Highway User
Tax Distribution 2,097,000 2,097,000

Environmental 291,000 291,000

$5,096,000 the first year and
$6,190,000 the second year are for
additional activities to identify and
collect tax liabilities from
individuals and businesses that
currently do not pay all taxes owed.
This initiative is expected to result
in new general fund revenues of
$42,800,000 for the biennium ending
June 30, 2007.

The department must report to the
chairs of the house Ways and Means and
senate Finance Committees by March 1,
2006, and January 15, 2007, on the
following performance indicators:

(1) the number of corporations
noncompliant with the corporate tax
system each year and the percentage and
dollar amounts of valid tax liabilities
collected;

(2) the number of businesses
noncompliant with the sales and use tax
system and the percentage and dollar
amount of the valid tax liabilities
collected; and

(3) the number of individual
noncompliant cases resolved and the
percentage and dollar amounts of valid
tax liabilities collected.

The reports must also identify base
level expenditures and staff positions
related to compliance and audit
activities, including baseline
information as of January 1, 2004. The
information must be provided at the
budget activity level.

Subd. 3.

Debt Collection Management

16,414,000 17,044,000

$690,000 the first year and $1,320,000
the second year are for additional
activities to identify and collect tax
liabilities from individuals and
businesses that currently do not pay
all taxes owed. This initiative is
expected to result in new general
revenues of $25,200,000 for the
biennium ending June 30, 2007.

Sec. 14. MILITARY AFFAIRS

Subdivision 1.

Total
Appropriation 12,204,000 12,204,000

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

Subd. 2.

Maintenance of Training
Facilities

5,590,000 5,590,000

Subd. 3.

General Support

1,757,000 1,757,000

Subd. 4.

Enlistment Incentives

4,857,000 4,857,000

If appropriations for either year of
the biennium are insufficient, the
appropriation from the other year is
available. The appropriations for
enlistment incentives are available
until expended.

Sec. 15.

VETERANS AFFAIRS 4,027,000 4,027,000

Sec. 16. VETERANS OF FOREIGN
WARS 55,000 55,000

For carrying out the provisions of Laws
1945, chapter 455.

Sec. 17.

MILITARY ORDER OF
THE PURPLE HEART 20,000 20,000

Sec. 18. DISABLED AMERICAN VETERANS 13,000 13,000

For carrying out the provisions of Laws
1941, chapter 425.

Sec. 19. GAMBLING CONTROL 2,526,000 2,526,000

The special revenue fund appropriation
is made from the lawful gambling
regulation account.

Sec. 20. RACING COMMISSION 421,000 421,000

The special revenue fund appropriation
is made from the racing and card
playing regulation account.

Sec. 21. STATE LOTTERY

Notwithstanding Minnesota Statutes,
section 349A.10, the operating budget
must not exceed $26,700,000 in fiscal
year 2006 and $27,350,000 in fiscal
year 2007.

On July 1, 2005, the director of the
State Lottery shall transfer unclaimed
prize funds accumulated before July 1,
2003, in the amount of $2,187,000, to
the general fund.

Sec. 22.

AMATEUR SPORTS
COMMISSION 525,000 525,000

Sec. 23.

COUNCIL ON BLACK
MINNESOTANS 282,000 282,000

Sec. 24.

COUNCIL ON
CHICANO-LATINO AFFAIRS 275,000 275,000

Sec. 25.

COUNCIL ON
ASIAN-PACIFIC MINNESOTANS 243,000 243,000

Sec. 26.

INDIAN AFFAIRS
COUNCIL 482,000 482,000

Sec. 27. GENERAL CONTINGENT
ACCOUNTS 1,500,000 500,000

Summary by Fund

General 1,000,000 -0-

State Government
Special Revenue 400,000 400,000

Workers'
Compensation 100,000 100,000

The appropriations in this section may
only be spent with the approval of the
governor after consultation with the
Legislative Advisory Commission
pursuant to Minnesota Statutes, section
3.30.

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

Sec. 28. TORT CLAIMS 161,000 161,000

To be spent by the commissioner of
finance.

If the appropriation for either year is
insufficient, the appropriation for the
other year is available for it.

Sec. 29. MINNESOTA STATE
RETIREMENT SYSTEM 1,176,000 1,205,000

The amounts estimated to be needed for
each program are as follows:

(a) Legislators

783,000 802,000

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

(b) Constitutional Officers

393,000 403,000

Under Minnesota Statutes, sections
352C.031, subdivision 5; 352C.04,
subdivision 3; and 352C.09, subdivision
2.

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

Sec. 30.

MINNEAPOLIS EMPLOYEES
RETIREMENT FUND 8,065,000 8,065,000

Sec. 31. MINNEAPOLIS TEACHERS
RETIREMENT FUND 15,800,000 15,800,000

The amounts estimated to be needed are
as follows:

(a) Special direct state aid to first
class city teachers retirement funds

13,300,000 13,300,000

Authorized under Minnesota Statutes,
section 354A.12, subdivisions 3a and 3c.

(b) Special direct state matching aid
to Minneapolis teachers retirement fund

2,500,000 2,500,000

Authorized under Minnesota Statutes,
section 354A.12, subdivision 3b.

Sec. 32. ST. PAUL TEACHERS
RETIREMENT FUND 2,967,000 2,967,000

The amounts estimated to be needed for
special direct state aid to first class
city teachers retirement funds
authorized under Minnesota Statutes,
section 354A.12, subdivisions 3a and 3c.

Sec. 33. GENERAL REDUCTION.

The commissioner of finance shall reduce general fund
appropriations to the departments and agencies listed in
Minnesota Statutes, section 15.06, subdivision 1, for state
agency operations in the biennium ending June 30, 2007, by
$14,526,000. This reduction is intended to reduce each agency's
appropriation base. The commissioner must not reduce
appropriations to the Departments of Agriculture, Corrections,
Health, Human Services, Military Affairs, Public Safety, or
Veterans Affairs.

Sec. 34. EFFECTIVE DATE.

This article is effective the day following final enactment.

ARTICLE 11

APPROPRIATIONS

Section 1. HEALTH AND HUMAN SERVICES APPROPRIATIONS.

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or any other fund named, to
the agencies and for the purposes specified in the sections of
this article, to be available for the fiscal years indicated for
each purpose. The figures "2006" and "2007" where used in this
article, mean that the appropriation or appropriations listed
under them are available for the fiscal year ending June 30,
2006, or June 30, 2007, respectively.
SUMMARY BY FUND

BIENNIAL
2006 2007 TOTAL

General $4,096,207,000 $4,449,795,000 $8,546,002,000

State Government
Special Revenue 44,733,000 44,743,000 89,476,000

Health Care
Access 314,010,000 253,009,000 567,019,000

Federal TANF 276,749,000 276,807,000 553,556,000

Lottery Prize 1,456,000 1,456,000 2,912,000

TOTAL $4,733,155,000 $5,025,810,000 $9,758,965,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. COMMISSIONER OF
HUMAN SERVICES

Subdivision 1.

Total
Appropriation $4,583,334,000 $4,875,979,000

Summary by Fund

2006 2007

General 3,996,801,000 4,350,389,000

State Government
Special Revenue 534,000 534,000

Health Care
Access 307,794,000 246,793,000

Federal TANF 276,749,000 276,807,000

Lottery Cash
Flow 1,456,000 1,456,000

[RECEIPTS FOR SYSTEMS PROJECTS.]
Appropriations and federal receipts for
information system projects for MAXIS,
PRISM, MMIS, AND SSIS must be deposited
in the state system account authorized
in Minnesota Statutes, section
256.014. Money appropriated for
computer projects approved by the
Minnesota Office of Technology, funded
by the legislature, and approved by the
commissioner of finance, may be
transferred from one project to another
and from development to operations as
the commissioner of human services
considers necessary. Any unexpended
balance in the appropriation for these
projects does not cancel but is
available for ongoing development and
operations.

[SYSTEMS CONTINUITY.] In the event of
disruption of technical systems or
computer operations, the commissioner
may use available grant appropriations
to ensure continuity of payments for
maintaining the health, safety, and
well-being of clients served by
programs administered by the Department
of Human Services. Grant funds must be
used in a manner consistent with the
original intent of the appropriation.

[NONFEDERAL SHARE TRANSFERS.] The
nonfederal share of activities for
which federal administrative
reimbursement is appropriated to the
commissioner may be transferred to the
special revenue fund.

[TANF FUNDS APPROPRIATED TO OTHER
ENTITIES.] Any expenditures from the
TANF block grant shall be expended in
accordance with the requirements and
limitations of part A of title IV of
the Social Security Act, as amended,
and any other applicable federal
requirement or limitation. Prior to
any expenditure of these funds, the
commissioner shall ensure that funds
are expended in compliance with the
requirements and limitations of federal
law and that any reporting requirements
of federal law are met. It shall be
the responsibility of any entity to
which these funds are appropriated to
implement a memorandum of understanding
with the commissioner that provides the
necessary assurance of compliance prior
to any expenditure of funds. The
commissioner shall receipt TANF funds
appropriated to other state agencies
and coordinate all related interagency
accounting transactions necessary to
implement these appropriations.
Unexpended TANF funds appropriated to
any state, local, or nonprofit entity
cancel at the end of the state fiscal
year unless appropriating or statutory
language permits otherwise.

[TANF MAINTENANCE OF EFFORT.] (a) In
order to meet the basic maintenance of
effort (MOE) requirements of the TANF
block grant specified under Code of
Federal Regulations, title 45, section
263.1, the commissioner may only report
nonfederal money expended for allowable
activities listed in the following
clauses as TANF/MOE expenditures:

(1) MFIP cash, diversionary work
program, and food assistance benefits
under Minnesota Statutes, chapter 256J;

(2) the child care assistance programs
under Minnesota Statutes, sections
119B.03 and 119B.05, and county child
care administrative costs under
Minnesota Statutes, section 119B.15;

(3) state and county MFIP
administrative costs under Minnesota
Statutes, chapters 256J and 256K;

(4) state, county, and tribal MFIP
employment services under Minnesota
Statutes, chapters 256J and 256K;

(5) expenditures made on behalf of
noncitizen MFIP recipients who qualify
for the medical assistance without
federal financial participation program
under Minnesota Statutes, section
256B.06, subdivision 4, paragraphs (d),
(e), and (j); and

(6) qualifying working family credit
expenditures under Minnesota Statutes,
section 290.0671.

(b) The commissioner shall ensure that
sufficient qualified nonfederal
expenditures are made each year to meet
the state's TANF/MOE requirements. For
the activities listed in paragraph (a),
clauses (2) to (6), the commissioner
may only report expenditures that are
excluded from the definition of
assistance under Code of Federal
Regulations, title 45, section 260.31.

(c) For fiscal years beginning with
state fiscal year 2003, the
commissioner shall assure that the
maintenance of effort used by the
commissioner of finance for the
February and November forecasts
required under Minnesota Statutes,
section 16A.103, contains expenditures
under paragraph (a), clause (1), equal
to at least 25 percent of the total
required under Code of Federal
Regulations, title 45, section 263.1.

(d) Minnesota Statutes, section
256.011, subdivision 3, which requires
that federal grants or aids secured or
obtained under that subdivision be used
to reduce any direct appropriations
provided by law, do not apply if the
grants or aids are federal TANF funds.

(e) Paragraph (a), clauses (1) to (6),
and paragraphs (b) to (d), expire June
30, 2009, notwithstanding section 12.

[WORKING FAMILY CREDIT EXPENDITURES AS
TANF/MOE.] The commissioner may claim
as TANF maintenance of effort up to the
following amounts of working family
credit expenditures for the following
fiscal years:

(1) fiscal year 2006, $6,942,000; and

(2) fiscal year 2007 and thereafter,
$6,707,000.

[GIFTS.] Notwithstanding Minnesota
Statutes, sections 16A.013 to 16A.016,
the commissioner may accept, on behalf
of the state, additional funding from
sources other than state funds for the
purpose of financing the cost of
assistance program grants or nongrant
administration. All additional funding
is appropriated to the commissioner for
use as designated by the grantor of
funding.

[CAPITATION RATE INCREASE.] Of the
health care access fund appropriations
to the University of Minnesota in
article 5, section 4, $2,157,000 in
fiscal year 2006 and $2,157,000 in
fiscal year 2007 are to be used to
increase the capitation payments under
Minnesota Statutes, section 256B.69.
Notwithstanding the provisions of
section 12, this provision shall not
expire.

Subd. 2.

Agency Management

Summary by Fund

General 39,530,000 39,530,000

State Government
Special Revenue 415,000 415,000

Health Care Access 3,541,000 3,541,000

Federal TANF 222,000 222,000

The amounts that may be spent from the
appropriation for each purpose are as
follows:

(a) Financial Operations

General 10,049,000 10,049,000

Health Care Access 696,000 696,000

Federal TANF 122,000 122,000

(b) Legal and
Regulation Operations

General 7,635,000 7,635,000

State Government
Special Revenue 415,000 415,000

Health Care Access 244,000 244,000

Federal TANF 100,000 100,000

General 3,281,000 3,281,000

Health Care Access 68,000 68,000

(d) Information Technology
Operations

General 18,565,000 18,565,000

Health Care Access 2,533,000 2,533,000

Subd. 3.

Revenue and Pass-Through Expenditures

Federal TANF 60,767,000 58,224,000

Subd. 4.

Economic Support Grants

Summary by Fund

General 397,165,000 413,392,000

Federal TANF 215,308,000 217,909,000

The amounts that may be spent from this
appropriation for each purpose are as
follows:

(a) MFIP/DWP Grants

General 35,640,000 31,902,000

Federal TANF 112,714,000 115,277,000

(b) Support Services Grants

General 8,697,000 8,715,000

Federal TANF 102,594,000 102,632,000

General 81,635,000 91,365,000

(d) Child Care Development Grants

General 1,540,000 1,540,000

(e) Child Support Enforcement Grants

General 3,255,000 3,255,000

(f) Children's Services Grants

General 39,403,000 43,657,000

[BASE ADJUSTMENT FOR ADOPTION
ASSISTANCE GRANTS.] The general fund
base is increased by $2,153,000 in
fiscal year 2008 and $4,310,000 in
fiscal year 2009 for adoption
assistance grants.

[BASE ADJUSTMENT FOR RELATIVE CUSTODY
ASSISTANCE GRANTS.] The general fund
base is increased by $838,000 in fiscal
year 2008 and $1,689,000 in fiscal year
2009 for relative custody assistance
grants.

[ADOPTION ASSISTANCE AND RELATIVE
CUSTODY ASSISTANCE.] The commissioner
may transfer unencumbered appropriation
balances for adoption assistance and
relative custody assistance between
fiscal years and between programs.

[PRIVATIZED ADOPTION GRANTS.] Federal
reimbursement for privatized adoption
grant and foster care recruitment grant
expenditures is appropriated to the
commissioner for adoption grants and
foster care and adoption administrative
purposes.

(g) Children and Community
Services Grants

General 68,488,000 68,488,000

[DELAY PROJECTS OF REGIONAL
SIGNIFICANCE.] Notwithstanding
Minnesota Statutes, section 256M.40,
subdivision 2, the projects of the
regional significance grant program are
delayed until July 1, 2007. The
general fund base for the program shall
be $25,000,000 in fiscal year 2008 and
$25,000,000 in fiscal year 2009.

(h) General Assistance Grants

General 30,823,000 31,157,000

[GENERAL ASSISTANCE STANDARD.] The
commissioner shall set the monthly
standard of assistance for general
assistance units consisting of an adult
recipient who is childless and
unmarried or living apart from parents
or a legal guardian at $203. The
commissioner may reduce this amount
according to Laws 1997, chapter 85,
article 3, section 54.

[EMERGENCY GENERAL ASSISTANCE.] The
amount appropriated for emergency
general assistance funds is limited to
no more that $7,889,812 in fiscal year
2006 and $7,889,812 in fiscal year
2007. Funds to counties shall be
allocated by the commissioner using the
allocation method specified in
Minnesota Statutes, section 256D.06.

(i) Minnesota Supplemental Aid Grants

General 30,315,000 30,801,000

[EMERGENCY MINNESOTA SUPPLEMENTAL AID
FUNDS.] The amount appropriated for
emergency Minnesota supplemental aid
funds is limited to no more than
$1,100,000 in fiscal year 2006 and
$1,100,000 in fiscal year 2007. Funds
to counties shall be allocated by the
commissioner using the allocation
method specified in Minnesota Statutes,
section 256D.46.

(j) Group Residential Housing Grants

General 84,588,000 90,110,000

(k) Other Children and Economic
Assistance Grants

General 12,781,000 12,402,000

Subd. 5.

Children and Economic Assistance
Management

Summary by Fund

General 42,292,000 42,292,000

Health Care Access 249,000 249,000

Federal TANF 452,000 452,000

The amounts that may be spent from the
appropriation for each purpose are as
follows:

(a) Children and Economic
Assistance Administration

General 7,571,000 7,571,000

Federal TANF 452,000 452,000

(b) Children and Economic
Assistance Operations

General 34,721,000 34,721,000

Health Care Access 249,000 249,000

[SPENDING AUTHORITY FOR FOOD STAMPS
BONUS AWARDS.] In the event that
Minnesota qualifies for the United
States Department of Agriculture Food
and Nutrition Services Food Stamp
Program performance bonus awards
beginning in federal fiscal year 2004,
the funding is appropriated to the
commissioner. The commissioner shall
retain 25 percent of the funding, with
the other 75 percent divided among the
counties according to a formula that
takes into account each county's impact
on state performance in the applicable
bonus categories.

[CHILD SUPPORT PAYMENT CENTER.]
Payments to the commissioner from other
governmental units, private
enterprises, and individuals for
services performed by the child support
payment center must be deposited in the
state systems account authorized under
Minnesota Statutes, section 256.014.
These payments are appropriated to the
commissioner for the operation of the
child support payment center or system,
according to Minnesota Statutes,
section 256.014.

[CHILD SUPPORT COST RECOVERY FEES.] The
commissioner shall transfer $34,000 of
child support cost recovery fees
collected in fiscal year 2006 and
fiscal year 2007 to the PRISM special
revenue account to offset PRISM system
costs of maintaining the fee.

[FINANCIAL INSTITUTION DATA MATCH AND
PAYMENT OF FEES.] The commissioner is
authorized to allocate up to $310,000
each year in fiscal year 2006 and
fiscal year 2007 from the PRISM special
revenue account to make payments to
financial institutions in exchange for
performing data matches between account
information held by financial
institutions and the public authority's
database of child support obligors as
authorized by Minnesota Statutes,
section 13B.06, subdivision 7.

Subd. 6.

Basic Health Care Grants

Summary by Fund

General 1,727,366,000 1,989,812,000

Health Care Access 288,239,000 227,238,000

[UPDATING FEDERAL POVERTY GUIDELINES.]
Annual updates to the federal poverty
guidelines are effective each July 1,
following publication by the United
States Department of Health and Human
Services for health care programs under
Minnesota Statutes, chapters 256, 256B,
256D, and 256L.

The amounts that may be spent from the
appropriation for each purpose are as
follows:

(a) MinnesotaCare Grants

Health Care Access 287,489,000 226,488,000

[MINNESOTACARE FEDERAL RECEIPTS.]
Receipts received as a result of
federal participation pertaining to
administrative costs of the Minnesota
health care reform waiver shall be
deposited as nondedicated revenue in
the health care access fund. Receipts
received as a result of federal
participation pertaining to grants
shall be deposited in the federal fund
and shall offset health care access
funds for payments to providers.

[MINNESOTACARE FUNDING.] The
commissioner may expend money
appropriated from the health care
access fund for MinnesotaCare in either
fiscal year of the biennium.

(b) MA Basic Health Care -
Families and Children

General 630,437,000 771,874,000

General 810,407,000 865,094,000

(d) General Assistance Medical Care
Grants

General 279,623,000 349,785,000

(e) Prescription Drug Program Grants

General 4,340,000 -0-

[PDP TO MEDICARE PART D TRANSITION.]
The commissioner of human services,
with the approval of the commissioner
of finance, and after notification of
the chair of the senate Health and
Human Services Budget Division and the
chair of the house Health Policy and
Finance Committee, may transfer fiscal
year 2006 appropriations between the
medical assistance program and the
prescription drug program.

(f) Health Care Grants -
Other Assistance

General 2,559,000 3,059,000

Health Care Access 750,000 750,000

Subd. 7.

Health Care Management

Summary by Fund

General 21,113,000 21,116,000

Health Care Access 15,765,000 15,765,000

The amounts that may be spent from the
appropriation for each purpose are as
follows:

(a) Health Care Policy Administration

General 5,124,000 5,175,000

Health Care Access 745,000 745,000

[MINNESOTACARE OUTREACH REIMBURSEMENT.]
Federal administrative reimbursement
resulting from MinnesotaCare outreach
is appropriated to the commissioner for
this activity.

[MINNESOTA SENIOR HEALTH OPTIONS
REIMBURSEMENT.] Federal administrative
reimbursement resulting from the
Minnesota senior health options project
is appropriated to the commissioner for
this activity.

[UTILIZATION REVIEW.] Federal
administrative reimbursement resulting
from prior authorization and inpatient
admission certification by a
professional review organization shall
be dedicated to the commissioner for
these purposes. A portion of these
funds must be used for activities to
decrease unnecessary pharmaceutical
costs in medical assistance.

(b) Health Care Operations

General 15,989,000 15,941,000

Health Care Access 15,020,000 15,020,000

Subd. 8.

Continuing Care Grants

Summary by Fund

General 1,554,247,000 1,636,406,000

Lottery Prize 1,308,000 1,308,000

The amounts that may be spent from the
appropriation for each purpose are as
follows:

(a) Aging and Adult Services Grant

General 13,951,000 13,951,000

(b) Alternative Care Grants

General 67,425,000 67,528,000

[ALTERNATIVE CARE TRANSFER.] Any money
allocated to the alternative care
program that is not spent for the
purposes indicated does not cancel but
shall be transferred to the medical
assistance account.

General 512,671,000 508,930,000

(d) Medical Assistance Grants -
Long-Term Care Waivers and
Home Care Grants

General 833,982,000 914,451,000

[LIMITING GROWTH IN MR/RC WAIVER.] For
each year of the biennium ending June
30, 2007, the commissioner shall limit
the new diversion caseload growth in
the MR/RC waiver to 50 additional
allocations. Notwithstanding Minnesota
Statutes, section 256B.0916,
subdivision 5, paragraph (b), the
available diversion allocations shall
be awarded to support individuals whose
health and safety needs result in an
imminent risk of an institutional
placement at any time during the fiscal
year.

(e) Mental Health Grants

General 46,141,000 45,908,000

Lottery Prize 1,308,000 1,308,000

[RESTRUCTURING OF ADULT MENTAL HEALTH
SERVICES.] The commissioner may make
transfers that do not increase the
state share of costs to effectively
implement the restructuring of adult
mental health services.

(f) Deaf and Hard-of-Hearing
Grants

General 1,445,000 1,445,000

(g) Chemical Dependency
Entitlement Grants

General 63,183,000 68,744,000

(h) Chemical Dependency Nonentitlement
Grants

General 1,055,000 1,055,000

(i) Other Continuing Care Grants

General 14,394,000 14,394,000

Subd. 9.

Continuing Care Management

Summary by Fund

General 14,189,000 14,189,000

State Government
Special Revenue 119,000 119,000

Lottery Prize 148,000 148,000

Subd. 10.

State-Operated Services

Summary by Fund

General 200,899,000 193,652,000

[TRANSFER AUTHORITY RELATED TO
STATE-OPERATED SERVICES.] Money
appropriated to finance state-operated
services programs and administrative
services may be transferred between
fiscal years of the biennium with the
approval of the commissioner of finance.

[APPROPRIATION LIMITATION.] No part of
the appropriation in this article to
the commissioner for mental health
treatment services at the regional
treatment centers shall be used for the
Minnesota sex offender program.

Sec. 3. COMMISSIONER OF HEALTH

Subdivision 1.

Total
Appropriation 102,985,000 102,985,000

Summary by Fund

General 64,688,000 64,688,000

State Government
Special Revenue 32,081,000 32,081,000

Health Care Access 6,216,000 6,216,000

[TANF APPROPRIATIONS.] (a) $4,000,000
of TANF funds is appropriated each year
to the commissioner for home visiting
and nutritional services listed under
Minnesota Statutes, section 145.882,
subdivision 7, clauses (6) and (7).
Funding shall be distributed to
community health boards based on
Minnesota Statutes, section 145A.131,
subdivision 1, and tribal governments
based on Minnesota Statutes, section
145A.14, subdivision 2, paragraph (b).

(b) $2,000,000 of TANF funds is
appropriated each year to the
commissioner for decreasing racial and
ethnic disparities in infant mortality
rates under Minnesota Statutes, section
145.928, subdivision 7.

Subd. 2.

Community and Family
Health Promotion

Summary by Fund

General 41,407,000 41,407,000

State Government
Special Revenue 128,000 128,000

Health Care Access 3,453,000 3,453,000

Subd. 3.

Policy Quality and
Compliance

Summary by Fund

General 3,805,000 3,805,000

State Government
Special Revenue 10,424,000 10,424,000

Health Care Access 2,763,000 2,763,000

Subd. 4.

Health Protection

Summary by Fund

General 9,092,000 9,092,000

State Government
Special Revenue 21,529,000 21,529,000

Subd. 5.

Minority and
Multicultural Health

General 4,982,000 4,982,000

Subd. 6.

Administrative
Support Services

General 5,402,000 5,402,000

Sec. 4. VETERANS NURSING HOMES BOARD

General 30,030,000 30,030,000

Sec. 5. HEALTH-RELATED BOARDS

Subdivision 1.

Total
Appropriation 11,572,000 11,582,000

State Government
Special Revenue 11,572,000 11,582,000

[STATE GOVERNMENT SPECIAL REVENUE
FUND.] The appropriations in this
section are from the state government
special revenue fund, except where
noted.

[NO SPENDING IN EXCESS OF REVENUES.]
The commissioner of finance shall not
permit the allotment, encumbrance, or
expenditure of money appropriated in
this section in excess of the
anticipated biennial revenues or
accumulated surplus revenues from fees
collected by the boards. Neither this
provision nor Minnesota Statutes,
section 214.06, applies to transfers
from the general contingent account.

[HEALTH PROFESSIONAL SERVICES
ACTIVITY.] $546,000 each year from the
state government special revenue fund
is for the health professional services
activity.

Subd. 2.

Board of Behavioral
Health and Therapy

673,000 673,000

Subd. 3.

Board of Chiropractic
Examiners

384,000 384,000

Subd. 4.

Board of Dentistry

State Government Special
Revenue Fund

858,000 858,000

Subd. 5.

Board of Dietetics and
Nutrition Practice

101,000 101,000

Subd. 6.

Board of Marriage and
Family Therapy

118,000 118,000

Subd. 7.

Board of Medical
Practice

3,404,000 3,404,000

Subd. 8.

Board of Nursing

2,356,000 2,356,000

Subd. 9.

Board of Nursing
Home Administrators

597,000 607,000

[ADMINISTRATIVE SERVICES UNIT.] Of this
appropriation, $359,000 the first year
and $359,000 the second year are for
the health boards administrative
services unit. The administrative
services unit may receive and expend
reimbursements for services performed
for other agencies.

Subd. 10.

Board of Optometry

96,000 96,000

Subd. 11.

Board of Pharmacy

1,027,000 1,027,000

Subd. 12.

Board of Physical
Therapy

197,000 197,000

Subd. 13.

Board of Podiatry

45,000 45,000

Subd. 14.

Board of Psychology

680,000 680,000

Subd. 15.

Board of Social
Work

873,000 873,000

Subd. 16.

Board of Veterinary
Medicine

163,000 163,000

Sec. 6. EMERGENCY MEDICAL SERVICES BOARD

Subdivision 1.

Total
Appropriation 3,027,000 3,027,000

Summary by Fund

General 2,481,000 2,481,000

State Government
Special Revenue 546,000 546,000

Sec. 7. COUNCIL ON DISABILITY

General 500,000 500,000

Sec. 8. OMBUDSMAN FOR MENTAL HEALTH
AND MENTAL RETARDATION

General 1,462,000 1,462,000

Sec. 9. OMBUDSMAN FOR FAMILIES

General 245,000 245,000

Sec. 10. TRANSFERS.

Subdivision 1.

Grants.

The commissioner of human
services, with the approval of the commissioner of finance, and
after notification of the chairs of the relevant senate budget
division and house finance committee, may transfer unencumbered
appropriation balances for the biennium ending June 30, 2007,
within fiscal years among the MFIP, general assistance medical
care, general assistance, medical assistance, MFIP child care
assistance under Minnesota Statutes, section 119B.05, Minnesota
supplemental aid, and group residential housing programs, and
the entitlement portion of the chemical dependency consolidated
treatment fund, and between fiscal years of the biennium.

Subd. 2.

Administration.

Positions, salary money, and
nonsalary administrative money may be transferred within the
Departments of Human Services and Health and within the programs
operated by the Veterans Nursing Homes Board as the
commissioners and the board consider necessary, with the advance
approval of the commissioner of finance. The commissioner or
the board shall inform the chairs of the relevant house and
senate health committees quarterly about transfers made under
this provision.

Subd. 3.

Prohibited transfers.

Grant money shall not be
transferred to operations within the Departments of Human
Services and Health and within the programs operated by the
Veterans Nursing Homes Board without the approval of the
legislature.

Sec. 11. INDIRECT COSTS NOT TO FUND PROGRAMS.

The commissioners of health and of human services shall not
use indirect cost allocations to pay for the operational costs
of any program for which they are responsible.

Sec. 12. SUNSET OF UNCODIFIED LANGUAGE.

All uncodified language contained in this article expires
on June 30, 2007, unless a different expiration date is explicit.

Sec. 13. EFFECTIVE DATE.

The provisions in this article are effective July 1, 2005,
unless a different effective date is specified.

ARTICLE 12

HUMAN SERVICES FORECAST ADJUSTMENTS

Section 1. APPROPRIATION ADJUSTMENTS.

The sums shown are added to or, if shown in parentheses,
are subtracted from the appropriations in Laws 2003, First
Special Session chapter 14, as amended by Laws 2004, chapter
272, or other law, and are appropriated from the general fund,
or any other fund named, to the Department of Human Services for
the purposes specified in this article, to be available for the
fiscal year indicated for each purpose. The figure "2005" used
in this article means that the appropriation or appropriations
listed are available for the fiscal year ending June 30, 2005.
SUMMARY BY FUND

2005

General $ 33,797,000

Health Care Access (33,947,000)

TANF (17,645,000)

TOTAL $ (17,795,000)

APPROPRIATIONS
Available for the Year
Ending June 30, 2005

Sec. 2. COMMISSIONER OF
HUMAN SERVICES

Subdivision 1.

Total
Appropriation $ (17,795,000)

Summary by Fund

General $ 33,797,000

Health Care Access (33,947,000)

TANF (17,645,000)

Subd. 2.

Revenue and Pass-Through

TANF (814,000)

Subd. 3.

Basic Health Care Grants

General 44,502,000

Health Care Access (33,947,000)

The amount that may be spent from this
appropriation for each purpose is as
follows:

(a) MinnesotaCare

Health Care Access (33,947,000)

(b) MA Basic Health Care
Families and Children

General 39,343,000

General (20,641,000)

(d) General Assistance
Medical Care

General 25,800,000

Subd. 4.

Continuing Care Grants

General (12,968,000)

The amount that may be spent from this
appropriation for each purpose is as
follows:

(a) MA Long-Term Care Waivers

General (6,218,000)

(b) MA Long-Term Care Facilities

General (15,645,000)

General 6,017,000

(d) Chemical Dependency
Entitlement Grants

General 2,878,000

Subd. 5.

Economic Support Grants

General 22,940,000

TANF (16,831,000)

The amount that may be spent from this
appropriation for each purpose is as
follows:

(a) Minnesota Family Investment Program

General 21,000,000

TANF (16,831,000)

(b) General Assistance 2,840,000

Subd. 6.

Child Care

General (20,677,000)

ARTICLE 13

HUMAN SERVICES POLICY

Section 1.

Minnesota Statutes 2004, section 256.975,
subdivision 9, is amended to read:

Subd. 9.

Prescription drug assistance.

(a) The Minnesota
Board on Aging shall establish and administer a prescription
drug assistance program to assist individuals in accessing
programs offered by pharmaceutical manufacturers that provide
free or discounted prescription drugs or provide coverage for
prescription drugs. The board shall use computer software
programs to:

(1) list eligibility requirements for pharmaceutical
assistance programs offered by manufacturers;

(2) list drugs that are included in a supplemental rebate
contract between the commissioner and a pharmaceutical
manufacturer under section 256.01, subdivision 2, clause (23);
and

(3) link individuals with the pharmaceutical assistance
programs most appropriate for the individual. The board shall
make information on the prescription drug assistance program
available to interested individuals and health care providers
and shall coordinate the program with the statewide information
and assistance service provided through the Senior LinkAge Line
under subdivision 7.

(b) The board shall work with the commissioner and county
social service agencies to coordinate the enrollment of
individuals who are referred to the prescription drug assistance
program from the prescription drug program, as required under
section 256.955, subdivision 4a.

EFFECTIVE DATE.

This section is effective January 1, 2006.

Sec. 2.

Minnesota Statutes 2004, section 256B.0595,
subdivision 2, is amended to read:

Subd. 2.

Period of ineligibility.

(a) For any
uncompensated transfer occurring on or before August 10, 1993,
the number of months of ineligibility for long-term care
services shall be the lesser of 30 months, or the uncompensated
transfer amount divided by the average medical assistance rate
for nursing facility services in the state in effect on the date
of application. The amount used to calculate the average
medical assistance payment rate shall be adjusted each July 1 to
reflect payment rates for the previous calendar year. The
period of ineligibility begins with the month in which the
assets were transferred. If the transfer was not reported to
the local agency at the time of application, and the applicant
received long-term care services during what would have been the
period of ineligibility if the transfer had been reported, a
cause of action exists against the transferee for the cost of
long-term care services provided during the period of
ineligibility, or for the uncompensated amount of the transfer,
whichever is less. The action may be brought by the state or
the local agency responsible for providing medical assistance
under chapter 256G. The uncompensated transfer amount is the
fair market value of the asset at the time it was given away,
sold, or disposed of, less the amount of compensation received.

(b) For uncompensated transfers made after August 10, 1993,
the number of months of ineligibility for long-term care
services shall be the total uncompensated value of the resources
transferred divided by the average medical assistance rate for
nursing facility services in the state in effect on the date of
application. The amount used to calculate the average medical
assistance payment rate shall be adjusted each July 1 to reflect
payment rates for the previous calendar year. The period of
ineligibility begins with the first day of the month after the
month in which the assets were transferred except that if one or
more uncompensated transfers are made during a period of
ineligibility, the total assets transferred during the
ineligibility period shall be combined and a penalty period
calculated to begin on the first day of the month after the
month in which the first uncompensated transfer was made. If
the transfer was reported to the local agency after the date
that advance notice of a period of ineligibility that affects
the next month could be provided to the recipient and the
recipient received medical assistance services or the transfer
was not reported to the local agency, and the applicant or
recipient received medical assistance services during what would
have been the period of ineligibility if the transfer had been
reported, a cause of action exists against the transferee for
the cost of medical assistance services provided during the
period of ineligibility, or for the uncompensated amount of the
transfer, whichever is less. The action may be brought by the
state or the local agency responsible for providing medical
assistance under chapter 256G. The uncompensated transfer
amount is the fair market value of the asset at the time it was
given away, sold, or disposed of, less the amount of
compensation received. Effective for transfers made on or after
March 1, 1996, involving persons who apply for medical
assistance on or after April 13, 1996, no cause of action exists
for a transfer unless:

(1) the transferee knew or should have known that the
transfer was being made by a person who was a resident of a
long-term care facility or was receiving that level of care in
the community at the time of the transfer;

(2) the transferee knew or should have known that the
transfer was being made to assist the person to qualify for or
retain medical assistance eligibility; or

(3) the transferee actively solicited the transfer with
intent to assist the person to qualify for or retain eligibility
for medical assistance.

(c) If a calculation of a penalty period results in a
partial month, payments for long-term care services shall be
reduced in an amount equal to the fraction, except that in
calculating the value of uncompensated transfers, if the total
value of all uncompensated transfers made in a month not
included in an existing penalty period does not exceed $200,
then such transfers shall be disregarded for each month prior to
the month of application for or during receipt of medical
assistance.

EFFECTIVE DATE.

This section is effective for transfers
occurring on or after July 1, 2005.

Sec. 3.

Minnesota Statutes 2004, section 256B.0625, is
amended by adding a subdivision to read:

Subd. 3c.

Medical policy committee.

The commissioner,
after receiving recommendations from professional physician
associations, professional associations representing licensed
nonphysician health care professionals, and consumer groups,
shall convene an 11-member Medical Policy Committee, which
consists of ten voting members and one nonvoting member. The
Medical Policy Committee shall advise the commissioner regarding
medical issues pertaining to the administration of health care
benefits covered under the medical assistance, general
assistance medical care, and MinnesotaCare programs. The
Medical Policy Committee shall meet at least quarterly. The
Medical Policy Committee shall annually elect a physician chair
from among its members, who shall work directly with the
commissioner's medical director, to establish the agenda for
each meeting.

Sec. 4.

Minnesota Statutes 2004, section 256B.0625, is
amended by adding a subdivision to read:

Subd. 3d.

Medical policy committee members.

The Medical
Policy Committee consists of:

(1) seven voting members who are licensed physicians
actively engaged in the practice of medicine in Minnesota, one
of whom must be actively engaged in the treatment of persons
with mental illness, and three of whom must represent health
plans currently under contract to serve medical assistance
recipients;

(2) two voting members who are either physician specialists
actively practicing their specialty in Minnesota or nonphysician
health care professionals licensed in their profession and
actively engaged in the practice of their profession in
Minnesota;

(3) the commissioner's medical director who shall serve as
a nonvoting member; and

(4) one consumer who shall serve as a voting member.

Members of the Medical Policy Committee shall not be
employed by the Department of Human Services, except for the
medical director.

Sec. 5.

Minnesota Statutes 2004, section 256B.0625, is
amended by adding a subdivision to read:

Subd. 3e.

Medical policy committee terms and
compensation.

Committee members shall serve staggered
three-year terms, with one-third of the voting members' terms
expiring annually. Members may be reappointed by the
commissioner. The commissioner may require more frequent
Medical Policy Committee meetings as needed. An honorarium of
$200 per meeting and reimbursement for mileage and parking shall
be paid to each committee member in attendance except the
medical director. The Medical Policy Committee does not expire
as provided in section 15.059, subdivision 6.

Sec. 6.

Minnesota Statutes 2004, section 256B.0625,
subdivision 13, is amended to read:

Subd. 13.

Drugs.

(a) Medical assistance covers drugs,
except for fertility drugs when specifically used to enhance
fertility, if prescribed by a licensed practitioner and
dispensed by a licensed pharmacist, by a physician enrolled in
the medical assistance program as a dispensing physician, or by
a physician or a nurse practitioner employed by or under
contract with a community health board as defined in section
145A.02, subdivision 5, for the purposes of communicable disease
control.

(b) The dispensed quantity of a prescription drug must not
exceed a 34-day supply, unless authorized by the commissioner.

(c) Medical assistance covers the following
over-the-counter drugs when prescribed by a licensed
practitioner or by a licensed pharmacist who meets standards
established by the commissioner, in consultation with the board
of pharmacy: antacids, acetaminophen, family planning products,
aspirin, insulin, products for the treatment of lice, vitamins
for adults with documented vitamin deficiencies, vitamins for
children under the age of seven and pregnant or nursing women,
and any other over-the-counter drug identified by the
commissioner, in consultation with the formulary committee, as
necessary, appropriate, and cost-effective for the treatment of
certain specified chronic diseases, conditions, or disorders,
and this determination shall not be subject to the requirements
of chapter 14. A pharmacist may prescribe over-the-counter
medications as provided under this paragraph for purposes of
receiving reimbursement under Medicaid. When prescribing
over-the-counter drugs under this paragraph, licensed
pharmacists must consult with the recipient to determine
necessity, provide drug counseling, review drug therapy for
potential adverse interactions, and make referrals as needed to
other health care professionals.

(d) Effective January 1, 2006, medical assistance shall not
cover drugs that are coverable under Medicare Part D as defined
in the Medicare Prescription Drug, Improvement, and
Modernization Act of 2003, Public Law 108-173, section
1860D-2(e), for individuals eligible for drug coverage as
defined in the Medicare Prescription Drug, Improvement, and
Modernization Act of 2003, Public Law 108-173, section
1860D-1(a)(3)(A). For these individuals, medical assistance may
cover drugs from the drug classes listed in United States Code,
title 42, section 1396r-8(d)(2), subject to this subdivision and
subdivisions 13a to 13g, except that drugs listed in United
States Code, title 42, section 1396r-8(d)(2)(E), shall not be
covered.

Sec. 7.

Minnesota Statutes 2004, section 256B.0625,
subdivision 13e, is amended to read:

Subd. 13e.

Payment rates.

(a) The basis for determining
the amount of payment shall be the lower of the actual
acquisition costs of the drugs plus a fixed dispensing fee; the
maximum allowable cost set by the federal government or by the
commissioner plus the fixed dispensing fee; or the usual and
customary price charged to the public. The amount of payment
basis must be reduced to reflect all discount amounts applied to
the charge by any provider/insurer agreement or contract for
submitted charges to medical assistance programs. The net
submitted charge may not be greater than the patient liability
for the service. The pharmacy dispensing fee shall be $3.65,
except that the dispensing fee for intravenous solutions which
must be compounded by the pharmacist shall be $8 per bag, $14
per bag for cancer chemotherapy products, and $30 per bag for
total parenteral nutritional products dispensed in one liter
quantities, or $44 per bag for total parenteral nutritional
products dispensed in quantities greater than one liter. Actual
acquisition cost includes quantity and other special discounts
except time and cash discounts. The actual acquisition cost of
a drug shall be estimated by the commissioner, at average
wholesale price minus 11.5 percent, except that where a drug has
had its wholesale price reduced as a result of the actions of
the National Association of Medicaid Fraud Control Units, the
estimated actual acquisition cost shall be the reduced average
wholesale price, without the 11.5 percent deduction. The actual
acquisition cost of antihemophilic factor drugs shall be
estimated at the average wholesale price minus 30 percent.The
maximum allowable cost of a multisource drug may be set by the
commissioner and it shall be comparable to, but no higher than,
the maximum amount paid by other third-party payors in this
state who have maximum allowable cost programs. Establishment
of the amount of payment for drugs shall not be subject to the
requirements of the Administrative Procedure Act.

(b) An additional dispensing fee of $.30 may be added to
the dispensing fee paid to pharmacists for legend drug
prescriptions dispensed to residents of long-term care
facilities when a unit dose blister card system, approved by the
department, is used. Under this type of dispensing system, the
pharmacist must dispense a 30-day supply of drug. The National
Drug Code (NDC) from the drug container used to fill the blister
card must be identified on the claim to the department. The
unit dose blister card containing the drug must meet the
packaging standards set forth in Minnesota Rules, part
6800.2700, that govern the return of unused drugs to the
pharmacy for reuse. The pharmacy provider will be required to
credit the department for the actual acquisition cost of all
unused drugs that are eligible for reuse. Over-the-counter
medications must be dispensed in the manufacturer's unopened
package. The commissioner may permit the drug clozapine to be
dispensed in a quantity that is less than a 30-day supply.

(c) Whenever a generically equivalent product is available,
payment shall be on the basis of the actual acquisition cost of
the generic drug, or on the maximum allowable cost established
by the commissioner.

(d) The basis for determining the amount of payment for
drugs administered in an outpatient setting shall be the lower
of the usual and customary cost submitted by the provider, the
average wholesale price minus five percent, or the maximum
allowable cost set by the federal government under United States
Code, title 42, chapter 7, section 1396r-8(e), and Code of
Federal Regulations, title 42, section 447.332, or by the
commissioner under paragraphs (a) to (c) or the amount
established for Medicare by the United States Department of
Health and Human Services pursuant to title XVIII, section 1847a
of the federal Social Security Act.

(e) The commissioner may negotiate lower reimbursement
rates for specialty pharmacy products than the rates specified
in paragraph (a). The commissioner may require individuals
enrolled in the health care programs administered by the
department to obtain specialty pharmacy products from providers
with whom the commissioner has negotiated lower reimbursement
rates. Specialty pharmacy products are defined as those used by
a small number of recipients or recipients with complex and
chronic diseases that require expensive and challenging drug
regimens. Examples of these conditions include, but are not
limited to: multiple sclerosis, HIV/AIDS, transplantation,
hepatitis C, growth hormone deficiency, Crohn's Disease,
rheumatoid arthritis, and certain forms of cancer. Specialty
pharmaceutical products include injectable and infusion
therapies, biotechnology drugs, high-cost therapies, and
therapies that require complex care. The commissioner shall
consult with the formulary committee to develop a list of
specialty pharmacy products subject to this paragraph.

Sec. 8.

Minnesota Statutes 2004, section 256B.0625,
subdivision 13f, is amended to read:

Subd. 13f.

Prior authorization.

(a) The Formulary
Committee shall review and recommend drugs which require prior
authorization. The Formulary Committee shall establish general
criteria to be used for the prior authorization of brand-name
drugs for which generically equivalent drugs are available, but
the committee is not required to review each brand-name drug for
which a generically equivalent drug is available.

(b) Prior authorization may be required by the commissioner
before certain formulary drugs are eligible for payment. The
Formulary Committee may recommend drugs for prior authorization
directly to the commissioner. The commissioner may also request
that the Formulary Committee review a drug for prior
authorization. Before the commissioner may require prior
authorization for a drug:

(1) the commissioner must provide information to the
Formulary Committee on the impact that placing the drug on prior
authorization may have on the quality of patient care and on
program costs, information regarding whether the drug is subject
to clinical abuse or misuse, and relevant data from the state
Medicaid program if such data is available;

(2) the Formulary Committee must review the drug, taking
into account medical and clinical data and the information
provided by the commissioner; and

(3) the Formulary Committee must hold a public forum and
receive public comment for an additional 15 days.

The commissioner must provide a 15-day notice period before
implementing the prior authorization.

(c) Prior authorization shall not be required or utilized
for any atypical antipsychotic drug prescribed for the treatment
of mental illness if:

(1) there is no generically equivalent drug available; and

(2) the drug was initially prescribed for the recipient
prior to July 1, 2003; or

(3) the drug is part of the recipient's current course of
treatment.

This paragraph applies to any multistate preferred drug list or
supplemental drug rebate program established or administered by
the commissioner.

(d) Prior authorization shall not be required or utilized
for any antihemophilic factor drug prescribed for the treatment
of hemophilia and blood disorders where there is no generically
equivalent drug available if the prior authorization is used in
conjunction with any supplemental drug rebate program or
multistate preferred drug list established or administered by
the commissioner. This paragraph expires July 1, 2005.

(e) The commissioner may require prior authorization for
brand name drugs whenever a generically equivalent product is
available, even if the prescriber specifically indicates
"dispense as written-brand necessary" on the prescription as
required by section 151.21, subdivision 2.

(f) Notwithstanding this subdivision, the commissioner may
automatically require prior authorization, for a period not to
exceed 180 days, for any drug that is approved by the United
States Food and Drug Administration on or after July 1, 2005.
The 180-day period begins no later than the first day that a
drug is available for shipment to pharmacies within the state.
The Formulary Committee shall recommend to the commissioner
general criteria to be used for the prior authorization of the
drugs, but the committee is not required to review each
individual drug. In order to continue prior authorizations for
a drug after the 180-day period has expired, the commissioner
must follow provisions of this subdivision.

Sec. 9.

Minnesota Statutes 2004, section 256B.0911,
subdivision 1a, is amended to read:

Subd. 1a.

Definitions.

For purposes of this section, the
following definitions apply:

(a) "Long-term care consultation services" means:

(1) providing information and education to the general
public regarding availability of the services authorized under
this section;

(2) an intake process that provides access to the services
described in this section;

(3) assessment of the health, psychological, and social
needs of referred individuals;

(4) assistance in identifying services needed to maintain
an individual in the least restrictive environment;

(5) providing recommendations on cost-effective community
services that are available to the individual;

(6) development of an individual's community support plan;

(7) providing information regarding eligibility for
Minnesota health care programs;

(8) preadmission screening to determine the need for a
nursing facility level of care;

(9) preliminary determination of Minnesota health care
programs eligibility for individuals who need a nursing facility
level of care, with appropriate referrals for final
determination;

(10) providing recommendations for nursing facility
placement when there are no cost-effective community services
available; and

(11) assistance to transition people back to community
settings after facility admission.

(b) "Minnesota health care programs" means the medical
assistance program under chapter 256B,and the alternative care
program under section 256B.0913, and the prescription drug
program under section 256.955.

EFFECTIVE DATE.

This section is effective January 1, 2006.

Sec. 10.

Minnesota Statutes 2004, section 256M.40,
subdivision 2, is amended to read:

Subd. 2.

Project of regional significance; study.

The
commissioner shall study whether and how to dedicate a portion
of the allocated funds for projects of regional significance.
The study shall include an analysis of the amount of annual
funding to be dedicated for projects of regional significance
and what efforts these projects must support. The commissioner
shall submit a report to the chairs of the house and senate
committees with jurisdiction over children and community
services grants by January 15, 2005. The commissioner of
finance, in preparing the proposed biennial budget for fiscal
years 2006 and 2007, is instructed to include $25 million each
year in funding for projects of regional significance under this
chapter.

Sec. 11. REPEALER.

Minnesota Statutes 2004, section 256.955, is repealed
effective January 1, 2006.

SF 1879

Bill Text Versions

Current Version - 1st Engrossment

ARTICLE 1

SUMMARY (General Fund Only, Excluding Forecast Adjustments)

ARTICLE 2

EARLY CHILDHOOD EDUCATION

Section 1. APPROPRIATIONS.

Subdivision 1.

Department of education.

Subd. 2.

School readiness.

Subd. 3.

Early childhood family education aid.

Subd. 4.

Health and developmental screening aid.

Subd. 5.

Head start program.

Subd. 6.

Community education aid.

Subd. 7.

Adults with disabilities program aid.

Subd. 8.

Hearing-impaired adults.

Subd. 9.

School-age care revenue.

Subd. 10.

Adult basic education aid.

Subd. 11.

Ged tests.

Subd. 12.

Lead hazard reduction.

Sec. 2. APPROPRIATION.

Subdivision 1.

Department of human services.

Subd. 2.

Basic sliding fee.

ARTICLE 3

K-12 EDUCATION

Section 1.

123B.54 DEBT SERVICE APPROPRIATION.

Sec. 2.

Subd. 2.

Abatements.

Sec. 3. APPROPRIATIONS.

Subdivision 1.

Department of education.

Subd. 2.

General education aid.

Subd. 3.

Referendum tax base replacement aid.

Subd. 4.

Enrollment options transportation.

Subd. 5.

Abatement revenue.

Subd. 6.

Consolidation transition.

Subd. 7.

Nonpublic pupil education aid.

Subd. 8.

Nonpublic pupil transportation aid.

Subd. 9.

One room schoolhouse.

Subd. 10.

Declining pupil aid; albert lea.

Subd. 11.

Declining pupil aid; mesabi east.

Subd. 12.

Declining pupil aid; roseau.

Subd. 13.

Charter school building lease aid.

Subd. 14.

Charter school start-up aid.

Subd. 15.

Integration aid.

Subd. 16.

Magnet school grants.

Subd. 17.

Interdistrict desegregation or integration transportation grants.

Subd. 18.

SUMMARY
(General Fund Only, Excluding Forecast Adjustments)

Interdistrict desegregation or integration
transportation grants.

American indian teacher preparation
grants.

Early childhood programs at tribal
schools.

Examination fees; teacher training and support
programs.

Sec. 5. APPROPRIATIONS; PERPICH CENTER FOR ARTS
EDUCATION.

PREKINDERGARTEN THROUGH GRADE 12 EDUCATION
FORECAST ADJUSTMENTS
A. GENERAL EDUCATION