1st Engrossment - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to the organization and operation of state 1.3 government; appropriating money for the general 1.4 legislative and administrative expenses of state 1.5 government; requiring studies; creating working 1.6 groups; creating state accounts; modifying local 1.7 government financial reporting provisions; modifying 1.8 agency and budget reporting provisions; modifying cash 1.9 advance provisions; modifying provisions for claims 1.10 against appropriations; providing for disposition of 1.11 lawsuit proceeds; modifying state property rental 1.12 provisions; waiving contractor's bond for art in state 1.13 buildings; modifying the disposition of certain fees 1.14 and surcharges; authorizing reimbursement charges for 1.15 certain inspections; modifying responsibilities for 1.16 payment of certain retirement supplemental benefits; 1.17 modifying provisions of the amateur sports commission; 1.18 restricting payments related to the Target Center; 1.19 modifying appointment provisions for the board of 1.20 ethical practices executive director; providing for 1.21 additional legislative leadership positions; 1.22 establishing the Minnesota office of technology; 1.23 providing for repayment of certain local government 1.24 grants; changing the name of the ethical practices 1.25 board; amending Minnesota Statutes 1996, sections 1.26 3.099, subdivision 3; 6.47; 10A.02, subdivision 5; 1.27 16A.10, subdivision 2; 16A.11, subdivisions 1, 3, and 1.28 3c; 16A.1285, subdivision 3; 16A.129, subdivision 3; 1.29 16A.15, subdivision 3; 16B.24, subdivision 5; 16B.35, 1.30 by adding a subdivision; 16B.465, subdivision 3; 1.31 16B.70, subdivision 2; 176.611, by adding 1.32 subdivisions; 240A.08; 327.33, subdivision 2; 327B.04, 1.33 subdivision 7; 349.163, subdivision 4; 356.865, 1.34 subdivision 3; 363.073, subdivision 1; and 473.556, 1.35 subdivision 16; proposing coding for new law in 1.36 Minnesota Statutes, chapters 16A; 16B; 129D; and 465; 1.37 proposing coding for new law as Minnesota Statutes, 1.38 chapter 237A; repealing Minnesota Statutes 1996, 1.39 sections 10A.21; 15.95; 15.96; 16B.40; 16B.41; 16B.42; 1.40 16B.43; and 16B.58, subdivision 8. 1.41 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.42 ARTICLE 1 1.43 Section 1. [STATE GOVERNMENT APPROPRIATIONS.] 2.1 The sums shown in the columns marked "APPROPRIATIONS" are 2.2 appropriated from the general fund, or another fund named, to 2.3 the agencies and for the purposes specified in this act, to be 2.4 available for the fiscal years indicated for each purpose. The 2.5 figures "1997," "1998," and "1999," where used in this act, mean 2.6 that the appropriation or appropriations listed under them are 2.7 available for the year ending June 30, 1997, June 30, 1998, or 2.8 June 30, 1999, respectively. 2.9 SUMMARY BY FUND 2.10 BIENNIAL 2.11 1997 1998 1999 TOTAL 2.12 General $5,000,000 $308,961,000 $314,280,000 $628,241,000 2.14 State 2.15 Government 2.16 Special Revenue 11,160,000 12,180,000 23,340,000 2.17 Environmental 224,000 229,000 453,000 2.18 Solid Waste 445,000 450,000 895,000 2.19 Highway User 2.20 Tax Distribution 2,044,000 2,091,000 4,135,000 2.21 Trunk Highway 37,000 37,000 74,000 2.22 Workers' 2.23 Compensation 4,207,000 4,295,000 8,502,000 2.24 TOTAL $5,000,000 $327,078,000 $333,562,000 $665,640,000 2.26 APPROPRIATIONS 2.27 Available for the Year 2.28 Ending June 30 2.29 1998 1999 2.30 Sec. 2. LEGISLATURE 2.31 Subdivision 1. Total 2.32 Appropriation 54,000,000 56,543,000 2.33 Summary by Fund 2.34 General 53,963,000 56,506,000 2.35 Trunk Highway 37,000 37,000 2.36 The amounts that may be spent from this 2.37 appropriation for each program are 2.38 specified in the following subdivisions. 2.39 Subd. 2. Senate 18,280,000 18,049,000 2.40 Subd. 3. House of Representatives 23,561,000 25,745,000 2.41 Subd. 4. Legislative 3.1 Coordinating Commission 12,094,000 12,749,000 3.2 Summary by Fund 3.3 General 12,122,000 12,712,000 3.4 Trunk Highway 37,000 37,000 3.5 $4,754,000 the first year and 3.6 $5,363,000 the second year are for the 3.7 office of the revisor of statutes. 3.8 $1,030,000 the first year and 3.9 $1,052,000 the second year are for the 3.10 legislative reference library. 3.11 $4,615,000 the first year and 3.12 $4,622,000 the second year are for the 3.13 office of the legislative auditor. 3.14 $65,000 the first year is for expenses 3.15 of the information policy task force 3.16 created by this act and is available 3.17 until June 30, 1999. 3.18 Sec. 3. GOVERNOR AND 3.19 LIEUTENANT GOVERNOR 3,816,000 3,884,000 3.20 This appropriation is to fund the 3.21 offices of the governor and lieutenant 3.22 governor. 3.23 $19,000 the first year and $19,000 the 3.24 second year are for necessary expenses 3.25 in the normal performance of the 3.26 governor's and lieutenant governor's 3.27 duties for which no other reimbursement 3.28 is provided. 3.29 By September 1 of each year, the 3.30 commissioner of finance shall report to 3.31 the chairs of the senate governmental 3.32 operations budget division and the 3.33 house state government finance division 3.34 any personnel costs incurred by the 3.35 office of the governor and lieutenant 3.36 governor that were supported by 3.37 appropriations to other agencies during 3.38 the previous fiscal year. The office 3.39 of the governor shall inform the chairs 3.40 of the divisions before initiating any 3.41 interagency agreements. 3.42 Sec. 4. STATE AUDITOR 7,620,000 7,832,000 3.43 Sec. 5. STATE TREASURER 2,070,000 2,134,000 3.44 $1,000,000 the first year and 3.45 $1,000,000 the second year are for the 3.46 treasurer to pay for banking services 3.47 by fees rather than by compensating 3.48 balances. 3.49 Sec. 6. ATTORNEY GENERAL 3.50 Subdivision 1. Total 3.51 Appropriation 26,208,000 27,896,000 3.52 Summary by Fund 3.53 General 23,786,000 25,391,000 4.1 State Government 4.2 Special Revenue 1,849,000 1,924,000 4.3 Environmental 128,000 131,000 4.4 Solid Waste 445,000 450,000 4.5 The amounts that may be spent from this 4.6 appropriation for each program are 4.7 specified in the following subdivisions. 4.8 Subd. 2. Government Services 4.9 3,628,000 3,735,000 4.10 Subd. 3. Public and 4.11 Human Resources 4.12 2,886,000 4,011,000 4.13 Summary by Fund 4.14 General 2,441,000 3,561,000 4.15 Solid Waste 445,000 450,000 4.16 Subd. 4. Law Enforcement 4.17 5,391,000 5,502,000 4.18 Summary by Fund 4.19 General 5,242,000 5,350,000 4.20 Environmental 128,000 131,000 4.21 State Government 4.22 Special Revenue 21,000 21,000 4.23 Subd. 5. Legal Policy and 4.24 Administration 4.25 5,237,000 5,306,000 4.26 Subd. 6. Business Regulation 4.27 2,799,000 2,887,000 4.28 Subd. 7. Solicitor General 4.29 3,678,000 3,766,000 4.30 Subd. 8. Health and Licensing 4.31 2,589,000 2,689,000 4.32 Summary by Fund 4.33 General 761,000 786,000 4.34 State Government 4.35 Special Revenue 1,828,000 1,903,000 4.36 Sec. 7. SECRETARY OF STATE 6,187,000 5,914,000 4.37 $34,000 the first year and $26,000 the 4.38 second year are for administrative 4.39 expenses related to the uniform 4.40 partnership act, 1997 S.F. No. 298, if 4.41 enacted. 5.1 $50,000 the first year is for licensing 5.2 digital signature certification 5.3 authorities under 1997 S.F. No. 173, if 5.4 enacted. 5.5 Sec. 8. ETHICAL PRACTICES BOARD 593,000 483,000 5.6 Sec. 9. INVESTMENT BOARD 2,163,000 2,247,000 5.7 Sec. 10. ADMINISTRATIVE HEARINGS 4,107,000 4,195,000 5.8 This appropriation is from the workers' 5.9 compensation special compensation fund 5.10 for considering workers' compensation 5.11 claims. 5.12 Sec. 11. OFFICE OF STRATEGIC 5.13 AND LONG-RANGE PLANNING 4,196,000 4,126,000 5.14 $1,046,000 the first year and 5.15 $1,066,000 the second year are for the 5.16 land management information center. 5.17 $150,000 the first year is to develop 5.18 the strategic plan for economic policy 5.19 required by this act. 5.20 Sec. 12. ADMINISTRATION 5.21 Subdivision 1. Total 5.22 Appropriation 49,794,000 50,699,000 5.23 Summary by Fund 5.24 General 40,883,000 40,843,000 5.25 State Government 5.26 Special Revenue 8,911,000 9,856,000 5.27 The amounts that may be spent from this 5.28 appropriation for each program are 5.29 specified in the following subdivisions. 5.30 Subd. 2. Operations Management 5.31 3,424,000 3,496,000 5.32 Subd. 3. Intertechnologies Group 5.33 23,416,000 24,607,000 5.34 Summary by Fund 5.35 General 14,505,000 14,751,000 5.36 State Government 5.37 Special Revenue 8,911,000 9,856,000 5.38 The appropriation from the special 5.39 revenue fund is for recurring costs of 5.40 911 emergency telephone service. 5.41 $724,000 the first year and $936,000 5.42 the second year are for the network 5.43 telecommunications initiative. It is 5.44 intended that portions of this 5.45 appropriation be transferred to other 5.46 agencies to fund project costs. The 5.47 commissioner is authorized to make the 5.48 transfers with the advance approval of 5.49 the commissioner of finance. 6.1 $12,750,000 the first year and 6.2 $12,750,000 the second year are to 6.3 modify state business systems to 6.4 address year 2000 changes. No more 6.5 than $8,669,000 of this appropriation 6.6 may be used for the year 2000 project 6.7 office, system assurance, risk 6.8 assessment, and risk abatement. If the 6.9 appropriation for either year is 6.10 insufficient, the appropriation for the 6.11 other year is available for it. 6.12 $300,000 the first year and $300,000 6.13 the second year are to operate and 6.14 expand the North Star web site. 6.15 Subd. 4. Facilities Management 6.16 14,609,000 14,727,000 6.17 $5,775,000 the first year and 6.18 $5,775,000 the second year are for 6.19 repair and maintenance of state 6.20 facilities under the custodial control 6.21 of the commissioner of administration. 6.22 $5,187,000 the first year and 6.23 $5,249,000 the second year are for 6.24 office space costs of the legislature 6.25 and veterans organizations, for 6.26 ceremonial space, and for statutorily 6.27 free space. 6.28 The commissioner of administration 6.29 shall examine the feasibility and 6.30 practicality of relocating the division 6.31 of emergency services to larger 6.32 quarters outside the capitol. 6.33 Subd. 5. Administrative Management 6.34 2,428,000 2,484,000 6.35 $2,000 the first year and $2,000 the 6.36 second year are for the state 6.37 employees' band. 6.38 $187,000 the first year and $190,000 6.39 the second year are for the office of 6.40 the state archaeologist. 6.41 Subd. 6. Management Analysis 6.42 584,000 658,000 6.43 Subd. 7. Public Information Policy 6.44 Analysis 6.45 493,000 501,000 6.46 Subd. 8. Public Broadcasting 6.47 4,680,000 4,066,000 6.48 $1,600,000 the first year and 6.49 $1,600,000 the second year are for 6.50 matching grants for public television. 6.51 Public television grant recipients 6.52 shall give special emphasis to 6.53 children's programming. In addition, 6.54 public television grant recipients 7.1 shall promote program and outreach 7.2 initiatives that attempt to reduce 7.3 youth violence in our communities. 7.4 $800,000 the first year and $800,000 7.5 the second year are for public 7.6 television equipment needs. Equipment 7.7 grant allocations shall be made after 7.8 considering the recommendations of the 7.9 Minnesota public television association. 7.10 $750,000 the first year is for a 7.11 one-time grant to Twin Cities public 7.12 television to develop high-definition 7.13 digital television capability. Twin 7.14 Cities public television will work with 7.15 the University of Minnesota and other 7.16 higher education institutions to 7.17 explore and demonstrate educational 7.18 uses of the broadcast services funded 7.19 by this appropriation. This 7.20 appropriation must be matched equally 7.21 from nonstate sources. 7.22 $305,000 the first year and $441,000 7.23 the second year are for grants for 7.24 public information television 7.25 transmission of legislative 7.26 activities. At least one-half must go 7.27 for programming to be broadcast in 7.28 rural Minnesota. 7.29 $25,000 the first year and $25,000 the 7.30 second year are for grants to the Twin 7.31 Cities regional cable channel. 7.32 $400,000 the first year and $400,000. 7.33 the second year are for community 7.34 service grants to public educational 7.35 radio stations, which must be allocated 7.36 after considering the recommendations 7.37 of the Association of Minnesota Public 7.38 Educational Radio Stations under 7.39 Minnesota Statutes, section 129D.14. 7.40 $800,000 the first year and $800,000 7.41 the second year are for equipment 7.42 grants to public radio stations. These 7.43 grants must be allocated after 7.44 considering the recommendations of the 7.45 Association of Minnesota Public 7.46 Educational Radio Stations and 7.47 Minnesota Public Radio, Inc. 7.48 If an appropriation for either year for 7.49 grants to public television or radio 7.50 stations is not sufficient, the 7.51 appropriation for the other year is 7.52 available for it. 7.53 Subd. 9. Children's Museum 7.54 160,000 160,000 7.55 This appropriation is for a grant to 7.56 the Minnesota Children's Museum. 7.57 Sec. 13. OFFICE OF TECHNOLOGY 7.58 Subdivision 1. Total 7.59 Appropriation 2,995,000 3,035,000 8.1 The amounts that may be spent from this 8.2 appropriation for each program are 8.3 specified in the following subdivisions. 8.4 Subd. 2. Operations Management 8.5 756,000 774,000 8.6 The appropriation in Laws 1994, chapter 8.7 587, article 3, section 3, to the 8.8 intergovernmental information systems 8.9 advisory council, is canceled. 8.10 Subd. 3. Information Policy Office 8.11 1,339,000 1,361,000 8.12 Subd. 4. Minnesota Trade Point 8.13 400,000 400,000 8.14 This appropriation is available only as 8.15 matched by $1 of nonstate money for 8.16 each $2 from this appropriation. 8.17 Subd. 5. Uniform Business Identifier/ 8.18 One-Stop Licensing 8.19 500,000 500,000 8.20 This appropriation is available only as 8.21 matched by $1 of nonstate money for 8.22 each $2 from this appropriation. 8.23 Sec. 14. CAPITOL AREA ARCHITECTURAL 8.24 AND PLANNING BOARD 746,000 289,000 8.25 $440,000 the first year is for the 8.26 governor's portrait, predesign of a 8.27 memorial to Coya Knutson, design and 8.28 construction of a memorial to Hubert H. 8.29 Humphrey, and completion of the 8.30 Minnesota women's suffrage memorial 8.31 garden and is available until expended. 8.32 Notwithstanding Laws 1993, chapter 192, 8.33 section 16, the appropriation in that 8.34 section for the Hubert H. Humphrey 8.35 memorial need not be matched. 8.36 The appropriation in Laws 1996, chapter 8.37 390, section 5, for revision of the 8.38 board's comprehensive plan and zoning 8.39 ordinance is available until June 30, 8.40 1998. 8.41 Sec. 15. FINANCE 8.42 Subdivision 1. Total 8.43 Appropriation 21,673,000 21,902,000 8.44 The amounts that may be spent from this 8.45 appropriation for each program are 8.46 specified in the following subdivisions. 8.47 Subd. 2. Accounting Services 8.48 4,696,000 4,795,000 8.49 Subd. 3. Accounts Receivable 9.1 Operations 9.2 1,476,000 1,513,000 9.3 $595,000 the first year and $610,000 9.4 the second year are for transfer to the 9.5 department of revenue. 9.6 $266,000 the first year and $273,000 9.7 the second year are for transfer to the 9.8 department of human services. 9.9 $562,000 the first year and $576,000 9.10 the second year are for transfer to the 9.11 attorney general. 9.12 Subd. 4. Budget Services 9.13 2,129,000 2,189,000 9.14 Subd. 5. Economic Analysis 9.15 313,000 319,000 9.16 Subd. 6. Information Services 9.17 11,457,000 11,455,000 9.18 Subd. 7. Management Services 9.19 1,602,000 1,631,000 9.20 Sec. 16. EMPLOYEE RELATIONS 9.21 Subdivision 1. Total 9.22 Appropriation 8,133,000 7,206,000 9.23 The amounts that may be spent from this 9.24 appropriation for each program are 9.25 specified in the following subdivisions. 9.26 Subd. 2. Human Resources 9.27 Management 9.28 7,029,000 7,102,000 9.29 $325,000 the first year and $240,000 9.30 the second year are for continuation of 9.31 reforms to the state's human resource 9.32 management processes and policies, 9.33 including, but not limited to, 9.34 enhancing redeployment procedures, 9.35 application and testing services, 9.36 hiring, the position classification 9.37 system, and employee development 9.38 processes. The commissioner of finance 9.39 shall include $140,000 of the second 9.40 year amount when determining the base 9.41 level for the budget of the department 9.42 of employee relations for the biennium 9.43 ending June 30, 2001. 9.44 $40,000 the first year and $40,000 the 9.45 second year are for a grant to the 9.46 government training service. 9.47 $75,000 the first year and $75,000 the 9.48 second year are for the Minnesota 9.49 quality college under Minnesota 9.50 Statutes, section 43A.211. 10.1 Subd. 3. Employee Insurance 10.2 1,104,000 104,000 10.3 $104,000 the first year and $104,000 10.4 the second year are for the 10.5 right-to-know contracts administered 10.6 through the employee insurance division. 10.7 $1,000,000 in the first year is a 10.8 one-time appropriation to establish a 10.9 state workers' compensation settlement 10.10 and contingency reserve. This 10.11 appropriation must be transferred to a 10.12 separate account within the 10.13 miscellaneous special revenue fund, 10.14 from which payments may be made and 10.15 premiums assessed to replenish the 10.16 reserve account under new Minnesota 10.17 Statutes, section 176.611, subdivision 10.18 2a. 10.19 Sec. 17. REVENUE 10.20 Subdivision 1. Total 10.21 Appropriation 80,251,000 82,483,000 10.22 Summary by Fund 10.23 General 78,111,000 80,294,000 10.24 Highway User 10.25 Tax Distribution 2,044,000 2,091,000 10.26 Environmental 96,000 98,000 10.27 The amounts that may be spent from this 10.28 appropriation for each program are 10.29 specified in the following subdivisions. 10.30 Subd. 2. Income Tax 10.31 14,297,000 14,549,000 10.32 Subd. 3. Sales and Special Taxes 10.33 13,507,000 13,822,000 10.34 Summary by Fund 10.35 General 11,597,000 11,783,000 10.36 Highway User 1,894,000 1,941,000 10.37 Environmental 96,000 98,000 10.38 $150,000 the first year and $150,000 10.39 the second year from the highway user 10.40 tax distribution fund are for funding 10.41 the dyed fuel program. 10.42 Subd. 4. Property Tax and State Aids 10.43 2,869,000 3,026,000 10.44 Subd. 5. Tax Operations 10.45 27,588,000 28,116,000 10.46 Subd. 6. Legal and Research 11.1 3,830,000 3,832,000 11.2 $80,000 the first year is to complete 11.3 the Minnesota/Wisconsin tax reciprocity 11.4 study. 11.5 Subd. 7. Administrative Support 11.6 15,887,000 16,827,000 11.7 Subd. 8. Accounts Receivable 11.8 2,123,000 2,161,000 11.9 Sec. 18. MILITARY AFFAIRS 11.10 Subdivision 1. Total 11.11 Appropriation 9,691,000 9,802,000 11.12 The amounts that may be spent from this 11.13 appropriation for each program are 11.14 specified in the following subdivisions. 11.15 Subd. 2. Maintenance of Training 11.16 Facilities 11.17 5,731,000 5,804,000 11.18 Subd. 3. General Support 11.19 1,608,000 1,645,000 11.20 $75,000 the first year and $75,000 the 11.21 second year are for expenses of 11.22 military forces ordered to active duty 11.23 under Minnesota Statutes, chapter 192. 11.24 If the appropriation for either year is 11.25 insufficient, the appropriation for the 11.26 other year is available for it. 11.27 Subd. 4. Enlistment Incentives 11.28 2,352,000 2,353,000 11.29 Obligations for the reenlistment bonus 11.30 program, suspended on December 31, 11.31 1991, shall be paid from the amounts 11.32 available within the enlistment 11.33 incentives program. 11.34 If appropriations for either year of 11.35 the biennium are insufficient, the 11.36 appropriation from the other year is 11.37 available. The appropriations for 11.38 enlistment incentives are available 11.39 until expended. 11.40 Sec. 19. VETERANS AFFAIRS 4,034,000 4,074,000 11.41 $231,000 the first year and $232,000 11.42 the second year are for grants to 11.43 county veterans offices for training of 11.44 county veterans service officers. 11.45 $1,544,000 the first year and 11.46 $1,544,000 the second year are for 11.47 emergency financial and medical needs 11.48 of veterans. If the appropriation for 11.49 either year is insufficient, the 11.50 appropriation for the other year is 11.51 available for it. 12.1 With the approval of the commissioner 12.2 of finance, the commissioner of 12.3 veterans affairs may transfer the 12.4 unencumbered balance from the veterans 12.5 relief program to other department 12.6 programs during the fiscal year. 12.7 Before the transfer, the commissioner 12.8 of veterans affairs shall explain why 12.9 the unencumbered balance exists. The 12.10 amounts transferred must be identified 12.11 to the chairs of the senate 12.12 governmental operations budget 12.13 committee and the house governmental 12.14 operations and gambling committee 12.15 division on state government finance. 12.16 $275,000 the first year and $275,000 12.17 the second year are for a grant to the 12.18 Vinland National Center. 12.19 Sec. 20. VETERANS OF FOREIGN 12.20 WARS 41,000 41,000 12.21 For carrying out the provisions of Laws 12.22 1945, chapter 455. 12.23 Sec. 21. MILITARY ORDER OF 12.24 THE PURPLE HEART 20,000 20,000 12.25 Sec. 22. DISABLED AMERICAN VETERANS 13,000 12,000 12.26 For carrying out the provisions of Laws 12.27 1941, chapter 425. 12.28 Sec. 23. LAWFUL GAMBLING 12.29 CONTROL 2,277,000 2,177,000 12.30 The commissioner of revenue must 12.31 continue to provide technical support 12.32 to the lawful gambling control board 12.33 for the collection of gambling taxes 12.34 without charge during the biennium 12.35 ending June 30, 1999. 12.36 Sec. 24. RACING COMMISSION 371,000 379,000 12.37 Sec. 25. STATE LOTTERY 12.38 The director of the state lottery shall 12.39 reimburse the general fund $150,000 the 12.40 first year and $150,000 the second year 12.41 for lottery-related costs incurred by 12.42 the department of public safety. 12.43 The director of the state lottery shall 12.44 reimburse the general fund $540,000 the 12.45 first year and $540,000 the second year 12.46 for amounts appropriated from the 12.47 general fund to the commissioner of 12.48 human services for compulsive gambling 12.49 hotline services, outpatient treatment 12.50 services, felony screening, and 12.51 compulsive gambling youth education. 12.52 Sec. 26. AMATEUR SPORTS 12.53 COMMISSION 5,000,000 620,000 599,000 12.54 $5,000,000 for fiscal year 1997 is for 12.55 grants for ice centers under Minnesota 12.56 Statutes, section 240A.09, of up to 12.57 $250,000 each. 13.1 $500,000 the first year and $500,000 13.2 the second year are for renovation 13.3 grants for existing ice arenas. 13.4 The amateur sports commission shall 13.5 report to the legislature by January 13.6 15, 1998, on progress toward the 13.7 construction and renovation of ice 13.8 arenas, their success, financing, and 13.9 operation, and any need for additional 13.10 state-assisted efforts. 13.11 Sec. 27. BOARD OF THE ARTS 13.12 Subdivision 1. Total Appropriation 13,018,000 13,036,000 13.13 Any unencumbered balance remaining in 13.14 this section the first year does not 13.15 cancel but is available for the second 13.16 year of the biennium. 13.17 Subd. 2. Operations and Services 988,000 961,000 13.18 Subd. 3. Grants Program 8,518,000 8,540,000 13.19 The board shall spend this 13.20 appropriation to ensure that at least 13.21 ten percent of the expenditure is for 13.22 arts programs intended primarily for 13.23 children. 13.24 Subd. 4. Regional Arts 13.25 Councils 3,512,000 3,535,000 13.26 The board shall distribute this 13.27 appropriation to the regional arts 13.28 councils to ensure that ten percent of 13.29 the total distribution in each region 13.30 is for arts programs intended primarily 13.31 for children. 13.32 Sec. 28. MINNESOTA HUMANITIES 13.33 COMMISSION 886,000 886,000 13.34 Any unencumbered balance remaining in 13.35 the first year does not cancel but is 13.36 available for the second year of the 13.37 biennium. 13.38 Sec. 29. GENERAL CONTINGENT 13.39 ACCOUNTS 700,000 700,000 13.40 Summary by Fund 13.41 General 200,000 200,000 13.42 State Government 13.43 Special Revenue 400,000 400,000 13.44 Workers' Compensation 100,000 100,000 13.45 The appropriations in this section must 13.46 be spent with the approval of the 13.47 governor after consultation with the 13.48 legislative advisory commission under 13.49 Minnesota Statutes, section 3.30. 13.50 If an appropriation in this section for 13.51 either year is insufficient, the 13.52 appropriation for the other year is 13.53 available for it. 14.1 The special revenue appropriation is 14.2 available to be transferred to the 14.3 attorney general when the costs to 14.4 provide legal services to the health 14.5 boards exceed the biennial 14.6 appropriation to the attorney general 14.7 from the special revenue fund and for 14.8 transfer to the health boards if 14.9 required for unforeseen expenditures of 14.10 an emergency nature. The boards 14.11 receiving the additional services or 14.12 supplemental appropriations shall set 14.13 their fees to cover the costs. 14.14 Sec. 30. TORT CLAIMS 275,000 275,000 14.15 To be spent by the commissioner of 14.16 finance. 14.17 If the appropriation for either year is 14.18 insufficient, the appropriation for the 14.19 other year is available for it. 14.20 Sec. 31. MINNESOTA STATE 14.21 RETIREMENT SYSTEM 2,266,000 2,379,000 14.22 The amounts estimated to be needed for 14.23 each program are as follows: 14.24 (a) Legislators 14.25 2,093,000 2,197,000 14.26 Under Minnesota Statutes, sections 14.27 3A.03, subdivision 2; 3A.04, 14.28 subdivisions 3 and 4; and 3A.11. 14.29 (b) Constitutional Officers 14.30 173,000 182,000 14.31 Under Minnesota Statutes, sections 14.32 352C.031, subdivision 5; 352C.04, 14.33 subdivision 3; and 352C.09, subdivision 14.34 2. 14.35 If an appropriation in this section for 14.36 either year is insufficient, the 14.37 appropriation for the other year is 14.38 available for it. 14.39 Sec. 32. MINNEAPOLIS EMPLOYEES 14.40 RETIREMENT FUND 11,005,000 11,005,000 14.41 $10,455,000 the first year and 14.42 $10,455,000 the second year are to the 14.43 commissioner of finance for payment to 14.44 the Minneapolis employees retirement 14.45 fund under Minnesota Statutes, section 14.46 422A.101, subdivision 3. Payment must 14.47 be made in four equal installments, 14.48 March 15, July 15, September 15, and 14.49 November 15, each year. 14.50 $550,000 the first year and $550,000 14.51 the second year are to the commissioner 14.52 of finance for payment to the 14.53 Minneapolis employees retirement fund 14.54 for the supplemental benefit for 14.55 pre-1973 retirees under Minnesota 14.56 Statutes, section 356.865. 15.1 Sec. 33. POLICE AND FIRE 15.2 AMORTIZATION AID 6,303,000 6,300,000 15.3 $4,925,000 the first year and 15.4 $4,925,000 the second year are to the 15.5 commissioner of revenue for state aid 15.6 to amortize the unfunded liability of 15.7 local police and salaried firefighters' 15.8 relief associations, under Minnesota 15.9 Statutes, section 423A.02. 15.10 $1,000,000 the first year and 15.11 $1,000,000 the second year are to the 15.12 commissioner of revenue for 15.13 supplemental state aid to amortize the 15.14 unfunded liability of local police and 15.15 salaried firefighters' relief 15.16 associations under Minnesota Statutes, 15.17 section 423A.02, subdivision 1a. 15.18 $378,000 the first year and $378,000 15.19 the second year are to the commissioner 15.20 of revenue to pay reimbursements to 15.21 relief associations for firefighter 15.22 supplemental benefits paid under 15.23 Minnesota Statutes, section 424A.10. 15.24 Sec. 34. BOARD OF GOVERNMENT 15.25 INNOVATION AND COOPERATION 1,006,000 1,009,000 15.26 The appropriation to the board of 15.27 government innovation and cooperation 15.28 in Laws 1995, chapter 264, article 8, 15.29 section 25, and designated for aids to 15.30 cooperating and combining local 15.31 government units under Minnesota 15.32 Statutes, section 465.87, is available 15.33 until June 30, 1999. 15.34 Sec. 35. BOND SALE SCHEDULE 15.35 The commissioner of finance shall 15.36 schedule the sale of state general 15.37 obligation bonds so that, during the 15.38 biennium ending June 30, 1999, no more 15.39 than $545,457,000 will need to be 15.40 transferred from the general fund to 15.41 the state bond fund to pay principal 15.42 and interest due and to become due on 15.43 outstanding state general obligation 15.44 bonds. During the biennium, before 15.45 each sale of state general obligation 15.46 bonds, the commissioner of finance 15.47 shall calculate the amount of debt 15.48 service payments needed on bonds 15.49 previously issued and shall estimate 15.50 the amount of debt service payments 15.51 that will be needed on the bonds 15.52 scheduled to be sold, the commissioner 15.53 shall adjust the amount of bonds 15.54 scheduled to be sold so as to remain 15.55 within the limit set by this section. 15.56 The amount needed to make the debt 15.57 service payments is appropriated from 15.58 the general fund as provided in 15.59 Minnesota Statutes, section 16A.641. 15.60 Sec. 36. [ECONOMIC POLICY AND STRATEGIC PLANNING SURVEY.] 15.61 The director of the office of strategic and long-range 16.1 planning shall survey the possible means of establishing and 16.2 sustaining an ongoing state economic policy and the accompanying 16.3 strategic planning and measures of success. Specifically, the 16.4 survey should: 16.5 (1) review and summarize previous and ongoing efforts to 16.6 guide economic goals for Minnesota; 16.7 (2) recommend a set of overall goals or possible 16.8 alternatives for goals that reflects consensus, focusing on 16.9 economic foundations including workforce development, public 16.10 infrastructure, well-managed natural resources, technological 16.11 innovation and commercialization, access to capital, and tax and 16.12 regulatory climate; 16.13 (3) identify and critique models of economic policy and 16.14 strategic planning from other states; 16.15 (4) consider methods of establishing and funding a 16.16 broad-based, bipartisan economic policy council which will 16.17 include substantial public and private participation; 16.18 (5) consider methods of integrating and consolidating the 16.19 economic policy work of existing councils, commissions, and task 16.20 forces; and 16.21 (6) report the findings, including recommendations as to 16.22 composition and organization of an economic policy council and 16.23 appropriate guidelines for the council, to the legislature by 16.24 January 15, 1998. 16.25 Sec. 37. [ESTABLISHMENT OF INTERIM ECONOMIC STRATEGY 16.26 GROUP.] 16.27 (a) By January 15, 1998, the director of the office of 16.28 strategic and long-range planning shall convene an interim 16.29 economic strategy group to define the structure of the economic 16.30 policy council and the long-range vision for the Minnesota 16.31 economy. The interim group shall be comprised of 16 members 16.32 from the public and private sectors with demonstrated leadership 16.33 and vision in the area of economic foundations with perspectives 16.34 on global competitiveness. Eight members shall be appointed as 16.35 follows: two by the governor, three by the speaker of the house 16.36 of representatives, and three by the subcommittee on committees 17.1 of the committee on rules and administration of the senate. At 17.2 least one member from each house of the legislature must be a 17.3 member of the minority caucus or an independent. These eight 17.4 members shall appoint eight additional members. 17.5 (b) The interim group shall report its findings and 17.6 recommendations to the legislature by January 15, 1999. The 17.7 report shall include recommendations for legislative action 17.8 regarding establishment of and appropriations for a permanent 17.9 economic policy council. The interim group expires upon 17.10 submission of its report. 17.11 Sec. 38. [INFORMATION POLICY TASK FORCE.] 17.12 Subdivision 1. [CREATION.] An information policy 17.13 legislative task force is created to study and make 17.14 recommendations regarding Minnesota law on public information 17.15 policy, including government data practices and information 17.16 technology issues. The task force consists of: 17.17 (1) two members of the senate appointed by the 17.18 subcommittees on committees of the committee on rules and 17.19 administration; 17.20 (2) two members of the house of representatives appointed 17.21 by the speaker; 17.22 (3) four members appointed by the governor; 17.23 (4) two nonlegislative members appointed by the 17.24 subcommittee on committees of the committee on rules and 17.25 administration of the senate; and 17.26 (5) two nonlegislative members appointed by the speaker of 17.27 the house of representatives. 17.28 At least one member from each legislative body must be a 17.29 member of the majority party and at least one member from each 17.30 body must be a member of the minority party or an independent. 17.31 Subd. 2. [DUTIES; REPORT.] The task force shall study: 17.32 (1) the content and organization of government data 17.33 practices statutes in Minnesota Statutes, chapter 13, and 17.34 related statutes dealing with access to government data, fair 17.35 information practices, and privacy; 17.36 (2) issues related to surveillance and other forms of 18.1 information technology, including the impact of technology on 18.2 data practices and privacy; 18.3 (3) procedures and structures for developing and 18.4 implementing a coherent and coordinated approach to public 18.5 information policy; 18.6 (4) approaches to information policy in other states and 18.7 foreign jurisdictions; and 18.8 (5) other information policy issues identified by the task 18.9 force. 18.10 In its study of statutes under clause (1), the task force 18.11 shall include an evaluation to determine whether any statutes 18.12 are inconsistent or obsolete. 18.13 The task force shall submit a progress report to the 18.14 legislature by February 1, 1998, and a final report of its 18.15 findings and recommendations, including any proposed 18.16 legislation, to the legislature by January 15, 1999. 18.17 Subd. 3. [SUPPORT.] The commissioner of administration and 18.18 the director of the office of strategic and long-range planning 18.19 shall provide staff and other support services to the council. 18.20 Legislative support to the council must come from existing 18.21 resources. The executive director of the Minnesota office of 18.22 technology or the executive director's designee shall assist in 18.23 the task force's activities. 18.24 Subd. 4. [EXPIRATION.] The task force expires upon 18.25 submission of its final report to the legislature under 18.26 subdivision 2. 18.27 Sec. 39. [STATEWIDE SYSTEMS ACCOUNT.] 18.28 Subdivision 1. [CONTINUATION.] The statewide systems 18.29 account is a separate account in the general fund. All money 18.30 resulting from billings for statewide systems services must be 18.31 deposited in the account. For the purposes of this section, 18.32 statewide systems includes the state accounting system, payroll 18.33 system, human resources system, procurement system, and related 18.34 information access systems. 18.35 Subd. 2. [BILLING PROCEDURES.] The commissioner of finance 18.36 may bill up to $3,861,000 in fiscal year 1998 and $4,409,000 in 19.1 fiscal year 1999 for statewide systems services provided to 19.2 state agencies, judicial branch agencies, the University of 19.3 Minnesota, the Minnesota state colleges and universities, and 19.4 other entities. Billing must be based only on usage of services 19.5 relating to statewide systems provided by the intertechnologies 19.6 division. Each agency shall transfer from agency operating 19.7 appropriations to the statewide systems account the amount 19.8 billed by the commissioner. Billing policies and procedures 19.9 related to statewide systems services must be developed by the 19.10 commissioner of finance in consultation with the commissioners 19.11 of employee relations and administration, the University of 19.12 Minnesota, and the Minnesota state colleges and universities. 19.13 Subd. 3. [APPROPRIATION.] Money transferred into the 19.14 account is appropriated to the commissioner of finance to pay 19.15 for statewide systems services during fiscal years 1998 and 1999. 19.16 ARTICLE 2 19.17 Section 1. Minnesota Statutes 1996, section 3.099, 19.18 subdivision 3, is amended to read: 19.19 Subd. 3. [LEADERS.] The senate committee on rules and 19.20 administration for the senate and the house committee on rules 19.21 and legislative administration for the house may each designate 19.22 for their respective body up tothreefive leadership positions 19.23 to receive up to 140 percent of the compensation of other 19.24 members. 19.25 At the commencement of each biennial legislative session, 19.26 each house of the legislature shall adopt a resolution 19.27 designating its majority and minority leader. 19.28 The majority leader is the person elected by the caucus of 19.29 members in each house which is its largest political 19.30 affiliation. The minority leader is the person elected by the 19.31 caucus which is its second largest political affiliation. 19.32 Sec. 2. Minnesota Statutes 1996, section 6.47, is amended 19.33 to read: 19.34 6.47 [ACCOUNTING AND BUDGETING SYSTEMS; INVESTIGATION, 19.35 FORMS.] 19.36 The state auditor shall inquire into the accounting and 20.1 budgeting systems of all local units of government and shall 20.2 prescribe suitable systems of accounts and budgeting, and forms, 20.3 books, and instructions concerning the same. The state auditor 20.4 may prescribe standards, policies, and computer protocols for 20.5 transmitting local government financial reporting data to state 20.6 agencies. At the request of any local unit of government the 20.7 state auditor may install such systems. The state auditor shall 20.8 recommend a form for order- and warrant-checks of all local 20.9 units of government which shall conform, so far as consistent 20.10 with statutory and charter requirements, to approved banking 20.11 practice in order to facilitate handling of such instruments by 20.12 banks and other depositories. 20.13 Sec. 3. Minnesota Statutes 1996, section 10A.02, 20.14 subdivision 5, is amended to read: 20.15 Subd. 5. The board, with the advice and consent of the 20.16 senate, shall appoint an executive director who shall be in the 20.17 unclassified service. The board may also employ and prescribe 20.18 the duties of other permanent or temporary employees in the 20.19 unclassified service as may be necessary to administer this 20.20 chapter, subject to appropriation. The executive director and 20.21 all other employees shall serve at the pleasure of the board. 20.22 Expenses of the board shall be approved by the chair or such 20.23 other member as the rules of the board may provide and the 20.24 expenses shall then be paid in the same manner as other state 20.25 expenses are paid. 20.26 Sec. 4. Minnesota Statutes 1996, section 16A.10, 20.27 subdivision 2, is amended to read: 20.28 Subd. 2. [BY OCTOBER 15 AND NOVEMBER 30.] By October 15 of 20.29 each even-numbered year, an agency must file the following with 20.30 the commissioner: 20.31 (1) budgetand departmental earningsestimates for the most 20.32 recent and current fiscal years; 20.33 (2) its upcoming biennial budgetand departmental earnings20.34 estimates; 20.35 (3) a comprehensive and integrated statement of agency 20.36 missions and outcome and performance measures; and 21.1 (4) a concise explanation of any planned changes in the 21.2 level of services or new activities. 21.3 The commissioner shall prepare and file the budget 21.4 estimates for an agency failing to file them. By November 30, 21.5 the commissioner shall send the final budget format, 21.6departmental earnings report,agency budget plans or requests 21.7 for the next biennium, and copies of the filed material to the 21.8 ways and means and finance committees, except that the 21.9 commissioner shall not be required to transmit information that 21.10 identifies executive branch budget decision items. At this 21.11 time, a list of each employee's name, title, and salary must be 21.12 available to the legislature, either on paper or through 21.13 electronic retrieval. 21.14 Sec. 5. Minnesota Statutes 1996, section 16A.11, 21.15 subdivision 1, is amended to read: 21.16 Subdivision 1. [WHEN.] The governor shall submit a 21.17 four-part budget to the legislature. Parts one and two, the 21.18 budget message and detailed operating budget, must be submitted 21.19 by the fourth Tuesday in January in each odd-numbered year. 21.20 Part three, the detailed recommendations as to capital 21.21 expenditure, must be submitted as follows: agency capital 21.22 budget requests byJune 15July 1 of each odd-numbered year;21.23preliminary governor's recommendations by September 1 of each21.24odd-numbered year;, andfinalgovernor's recommendations by 21.25 February 1 of each even-numbered year. Part four, the detailed 21.26 recommendations as to information technology expenditure, must 21.27 be submitted at the same time the governor submits the budget 21.28 message to the legislature. 21.29 Sec. 6. Minnesota Statutes 1996, section 16A.11, 21.30 subdivision 3, is amended to read: 21.31 Subd. 3. [PART TWO: DETAILED BUDGET.] Part two of the 21.32 budget, the detailed budget estimates both of expenditures and 21.33 revenues, shall contain any statements on the financial plan 21.34 which the governor believes desirable or which may be required 21.35 by the legislature. Part of the budget must be prepared using 21.36 performance-based budgeting concepts. In this subdivision, 22.1 "performance-based budgeting" means a budget system that 22.2 identifies agency outcomes and results and provides 22.3 comprehensive information regarding actual and proposed changes 22.4 in funding and outcomes. The detailed estimates shall include 22.5 the budget plan of each agency arranged in tabular form so it 22.6 may readily be compared with the governor's budget for each 22.7 agency. The budget plan of each agency shall include a separate 22.8 line listing the total number of professional and technical 22.9 contracts and the total cost of those contracts for the prior 22.10 biennium and the projected number of professional and technical 22.11 contracts and the projected costs of those contracts for the 22.12 upcoming biennium. They shall also include, as part of each 22.13 agency's organization chart, a summary of the personnel employed 22.14 by the agency, showing the full-time equivalent positions for 22.15 the current biennium, and the number of full-time equivalent 22.16 employees of all kinds employed by the agency on June 30 of the 22.17 last complete fiscal year. 22.18 Sec. 7. Minnesota Statutes 1996, section 16A.11, 22.19 subdivision 3c, is amended to read: 22.20 Subd. 3c. [PART FOUR; DETAILED INFORMATION TECHNOLOGY 22.21 BUDGET.] The detailed information technology budget must include 22.22 recommendations for information technology projects to be funded 22.23 during the next biennium and planning estimates for an 22.24 additional two biennia.It must be submitted with projects22.25ranked in order of importance among all projects as determined22.26by the governor.22.27 Sec. 8. Minnesota Statutes 1996, section 16A.1285, 22.28 subdivision 3, is amended to read: 22.29 Subd. 3. [DUTIES OF THE COMMISSIONER OF FINANCE.] The 22.30 commissioner of finance shall classify, monitor, analyze, and 22.31 report all departmental earnings that fall within the definition 22.32 established in subdivision 1. Specifically, the commissioner 22.33 shall: 22.34 (1) establish and maintain a classification system that 22.35 clearly defines and distinguishes categories and types of 22.36 departmental earnings and takes into account the purpose of the 23.1 various earnings types and the extent to which various earnings 23.2 types serve a public or private interest; 23.3 (2) prepare a biennial report that documents collection 23.4 costs, purposes, and yields of all departmental earnings, the 23.5 report to be submitted to the legislature on or beforeNovember23.630 of each even-numbered yearthe fourth Tuesday in January in 23.7 each odd-numbered year and to include estimated data for the 23.8 year in which the report is prepared, actual data for the two 23.9 years immediately before, and estimates for the two years 23.10 immediately following; and 23.11 (3) prepare and maintain a detailed directory of all 23.12 departmental earnings. 23.13 Sec. 9. Minnesota Statutes 1996, section 16A.129, 23.14 subdivision 3, is amended to read: 23.15 Subd. 3. [CASH ADVANCES.] When the operations of any 23.16 nongeneral fund account would be impeded by projected cash 23.17 deficiencies resulting from delays in the receipt of grants, 23.18 dedicated income, or other similar receivables, and when the 23.19 deficiencies would be corrected within the budget period 23.20 involved, the commissioner of finance may use general fund cash 23.21 reserves to meet cash demands. If funds are transferred from 23.22 the general fund to meet cash flow needs, the cash flow 23.23 transfers must be returned to the general fund as soon as 23.24 sufficient cash balances are available in the account to which 23.25 the transfer was made. Any interest earned on general fund cash 23.26 flow transfers accrues to the general fund and not to the 23.27 accounts or funds to which the transfer was made. The 23.28 commissioner may advance general fund cash reserves to 23.29 nongeneral fund accounts where the receipts from other 23.30 governmental units cannot be collected within the budget period. 23.31 Sec. 10. Minnesota Statutes 1996, section 16A.15, 23.32 subdivision 3, is amended to read: 23.33 Subd. 3. [ALLOTMENT AND ENCUMBRANCE.] (a) A payment may 23.34 not be made without prior obligation. An obligation may not be 23.35 incurred against any fund, allotment, or appropriation unless 23.36 the commissioner has certified a sufficient unencumbered balance 24.1 or the accounting system shows sufficient allotment or 24.2 encumbrance balance in the fund, allotment, or appropriation to 24.3 meet it. The commissioner shall determine when the accounting 24.4 system may be used to incur obligations without the 24.5 commissioner's certification of a sufficient unencumbered 24.6 balance. An expenditure or obligation authorized or incurred in 24.7 violation of this chapter is invalid and ineligible for payment 24.8 until made valid. A payment made in violation of this chapter 24.9 is illegal. An employee authorizing or making the payment, or 24.10 taking part in it, and a person receiving any part of the 24.11 payment, are jointly and severally liable to the state for the 24.12 amount paid or received. If an employee knowingly incurs an 24.13 obligation or authorizes or makes an expenditure in violation of 24.14 this chapter or takes part in the violation, the violation is 24.15 just cause for the employee's removal by the appointing 24.16 authority or by the governor if an appointing authority other 24.17 than the governor fails to do so. In the latter case, the 24.18 governor shall give notice of the violation and an opportunity 24.19 to be heard on it to the employee and to the appointing 24.20 authority. A claim presented against an appropriation without 24.21 prior allotment or encumbrance may be made valid on 24.22 investigation, review, and approval by thecommissioneragency 24.23 head in accordance with the commissioner's policy, if the 24.24 services, materials, or supplies to be paid for were actually 24.25 furnished in good faith without collusion and without intent to 24.26 defraud. The commissioner may then draw a warrant to pay the 24.27 claim just as properly allotted and encumbered claims are paid. 24.28 (b) The commissioner may approve payment for materials and 24.29 supplies in excess of the obligation amount when increases are 24.30 authorized by section 16B.07, subdivision 2. 24.31 (c) To minimize potential construction delay claims, an 24.32 agency with a project funded by a building appropriation may 24.33 allow a contractor to proceed with supplemental work within the 24.34 limits of the appropriation before money is encumbered. Under 24.35 this circumstance, the agency may requisition funds and allow 24.36 contractors to expeditiously proceed with a construction 25.1 sequence. While the contractor is proceeding, the agency shall 25.2 immediately act to encumber the required funds. 25.3 Sec. 11. [16A.151] [LAWSUIT PROCEEDS.] 25.4 Money received by the state as a result of litigation or 25.5 settlements that cannot be classified as federal funds or gift 25.6 funds may be deposited in a special revenue account with the 25.7 approval of the commissioner. The commissioner shall promptly 25.8 notify the chairs of the house ways and means and senate finance 25.9 committees that the money has been received. Up to $250,000 of 25.10 the money deposited in a special revenue account is appropriated 25.11 for the purpose defined in the litigation or settlement. 25.12 Unobligated balances in these accounts may be carried forward to 25.13 subsequent fiscal years with the approval of the commissioner. 25.14 Sec. 12. Minnesota Statutes 1996, section 16B.24, 25.15 subdivision 5, is amended to read: 25.16 Subd. 5. [RENTING OUT STATE PROPERTY.] (a) [AUTHORITY.] 25.17 The commissioner may rent out state property, real or personal, 25.18 that is not needed for public use, if the rental is not 25.19 otherwise provided for or prohibited by law. The property may 25.20 not be rented out for more than five years at a time without the 25.21 approval of the state executive council and may never be rented 25.22 out for more than 25 years. A rental agreement may provide that 25.23 the state will reimburse a tenant for a portion of capital 25.24 improvements that the tenant makes to state real property if the 25.25 state does not permit the tenant to renew the lease at the end 25.26 of the rental agreement. 25.27 (b) [RESTRICTIONS.] Paragraph (a) does not apply to state 25.28 trust fund lands, other state lands under the jurisdiction of 25.29 the department of natural resources, lands forfeited for 25.30 delinquent taxes, lands acquired under section 298.22, or lands 25.31 acquired under section 41.56 which are under the jurisdiction of 25.32 the department of agriculture. 25.33 (c) [FORT SNELLING CHAPEL; RENTAL.] The Fort Snelling 25.34 Chapel, located within the boundaries of Fort Snelling State 25.35 Park, is available for use only on payment of a rental fee. The 25.36 commissioner shall establish rental fees for both public and 26.1 private use. The rental fee for private use by an organization 26.2 or individual must reflect the reasonable value of equivalent 26.3 rental space. Rental fees collected under this section must be 26.4 deposited in the general fund. 26.5 (d) [RENTAL OF LIVING ACCOMMODATIONS.] The commissioner 26.6 shall establish rental rates for all living accommodations 26.7 provided by the state for its employees. Money collected as 26.8 rent by state agencies pursuant to this paragraph must be 26.9 deposited in the state treasury and credited to the general fund. 26.10 (e) [LEASE OF SPACE IN CERTAIN STATE BUILDINGS TO STATE 26.11 AGENCIES.] The commissioner may lease portions of the 26.12 state-owned buildings in the capitol complex, the capitol square 26.13 building, the health building, the Duluth government center, and 26.14 the building at 1246 University Avenue, St. Paul, Minnesota, to 26.15 state agencies and the court administrator on behalf of the 26.16 judicial branch of state government and charge rent on the basis 26.17 of space occupied. Notwithstanding any law to the contrary, all 26.18 money collected as rent pursuant to the terms of this section 26.19 shall be deposited in the state treasury. Money collected as 26.20 rent to recover the depreciationcostand interest costs of a 26.21 building built with state dedicated funds shall be credited to 26.22 the dedicated fund which funded the original acquisition or 26.23 construction. All other money received shall be credited to the 26.24 general services revolving fund. 26.25 Sec. 13. Minnesota Statutes 1996, section 16B.35, is 26.26 amended by adding a subdivision to read: 26.27 Subd. 5. [CONTRACTOR'S BOND NOT REQUIRED.] Sections 574.26 26.28 to 574.32 do not apply to this section. 26.29 Sec. 14. Minnesota Statutes 1996, section 16B.70, 26.30 subdivision 2, is amended to read: 26.31 Subd. 2. [COLLECTION AND REPORTS.] All permit surcharges 26.32 must be collected by each municipality and a portion of them 26.33 remitted to the state. Each municipality having a population 26.34 greater than 20,000 people shall prepare and submit to the 26.35 commissioner once a month a report of fees and surcharges on 26.36 fees collected during the previous month but shall retain the 27.1 greater of two percent or that amount collected up to $25 to 27.2 apply against the administrative expenses the municipality 27.3 incurs in collecting the surcharges. All other municipalities 27.4 shall submit the report and surcharges on fees once a quarter 27.5 but shall retain the greater of four percent or that amount 27.6 collected up to $25 to apply against the administrative expenses 27.7 the municipalities incur in collecting the surcharges. The 27.8 report, which must be in a form prescribed by the commissioner, 27.9 must be submitted together with a remittance covering the 27.10 surcharges collected by the 15th day following the month or 27.11 quarter in which the surcharges are collected. All money 27.12 collected by the commissioner through surcharges and other fees 27.13 prescribed by sections 16B.59 to 16B.75, which are payable to27.14the state, must be paidshall be deposited in the state 27.15 government special revenue fund and is appropriated to the 27.16 commissionerwho shall deposit them in the state treasury for27.17credit to a special revenue fundfor the purpose of 27.18 administering and enforcing the state building code under 27.19 sections 16B.59 to 16B.75. 27.20 Sec. 15. [129D.17] [SURVEY OF ARTS FACILITY NEEDS.] 27.21 A committee composed of an equal number of representatives 27.22 designated by the board of the arts and by the directors of the 27.23 regional arts councils shall survey the nonprofit arts community 27.24 in this state to assess the need for capital to further the 27.25 acquisition and betterment of nonprofit arts facilities 27.26 statewide. The committee shall report its findings to the 27.27 commissioners of administration and finance by June 15 of each 27.28 odd-numbered year for their use in preparing the governor's 27.29 capital budget request. The committee shall also report their 27.30 findings to the chairs of the state government finance division 27.31 in the house of representatives and the governmental operations 27.32 budget division in the senate. 27.33 Sec. 16. Minnesota Statutes 1996, section 176.611, is 27.34 amended by adding a subdivision to read: 27.35 Subd. 2a. [SETTLEMENT AND CONTINGENCY RESERVE ACCOUNT.] To 27.36 reduce long-term costs, minimize impairment to agency operations 28.1 and budgets, and distribute risk of one-time catastrophic 28.2 claims, the commissioner shall maintain a separate account 28.3 within the state compensation revolving fund. The account shall 28.4 be used to pay for lump-sum or annuitized settlements, 28.5 structured claim settlements, and one-time large, legal, 28.6 catastrophic medical, indemnity, or other irregular claim costs 28.7 that might otherwise pose a significant burden for agencies. 28.8 The commissioner, with the approval of the commissioner of 28.9 finance, may establish criteria and procedures for payment from 28.10 the account on an agency's behalf. The commissioner may assess 28.11 agencies on a reimbursement or premium basis from time-to-time 28.12 to ensure adequate account reserves. The account consists of 28.13 appropriations from the general fund, receipts from billings to 28.14 agencies, and credited investment gains or losses attributable 28.15 to balances in the account. The state board of investment shall 28.16 invest the assets of the account according to section 11A.24. 28.17 Sec. 17. Minnesota Statutes 1996, section 176.611, is 28.18 amended by adding a subdivision to read: 28.19 Subd. 3b. [APPROPRIATION; WORKERS' COMPENSATION PREMIUMS.] 28.20 The amount necessary to pay premiums for coverage by the 28.21 workers' compensation reinsurance association under section 28.22 79.34 is appropriated annually from the general fund to the 28.23 commissioner of employee relations. 28.24 Sec. 18. Minnesota Statutes 1996, section 240A.08, is 28.25 amended to read: 28.26 240A.08 [APPROPRIATION.] 28.27 (a) $750,000 is appropriated annually from the general fund 28.28 to the Minnesota amateur sports commission for the purpose of 28.29 entering into long-term leases, use, or other agreements with 28.30 the metropolitan sports facilities commission for the conduct of 28.31 amateur sports activities at the basketball and hockey arena, 28.32 consistent with the purposes set forth in this chapter, 28.33 including (1) stimulating and promoting amateur sports, (2) 28.34 promoting physical fitness by promoting participation in sports, 28.35 (3) promoting the development of recreational amateur sport 28.36 opportunities and activities, and (4) promoting local, regional, 29.1 national, and international amateur sport competitions and 29.2 events. The amateur sports commission shall determine what 29.3 constitutes amateur sports activities as provided in this 29.4 chapter as of March 1, 1995. The metropolitan sports facilities 29.5 commissionmayshall allocate at least 25 but no more than 50 29.6 dates a year for the conduct of amateur sports activities at the 29.7 basketball and hockey arena by the amateur sports commission. 29.8 At least 12 of the dates must be on a Friday, Saturday, or 29.9 Sunday. The full and total amount that the Minnesota amateur 29.10 sports commission must pay to the metropolitan sports facilities 29.11 commission for the use of the basketball and hockey arena is the 29.12 amount of the appropriation specified in this paragraph, and 29.13 that amount must cover all fixed and all ordinary and necessary 29.14 event-related expenses associated with the Minnesota amateur 29.15 sports commission's use of the basketball and hockey arena for 29.16 the specific amateur sports activity. The amateur sports 29.17 commission may sell or transfer a date at the arena to another 29.18 group for any purpose. Revenue from sale of these dates is 29.19 appropriated to the amateur sports commission for purposes 29.20 listed in section 240A.04. If any amateur sports activities 29.21 conducted by the amateur sports commission at the basketball and 29.22 hockey arena are restricted to participants of one gender, an 29.23 equal number of activities on comparable days of the week must 29.24 be conducted for participants of the other gender, but not 29.25 necessarily in the same year. The legislature reserves the 29.26 right to repeal or amend this appropriation, and does not intend 29.27 this appropriation to create public debt. 29.28 (b) The amateur sports commissionshall not transmit to the29.29operator of the basketball and hockey arena payment ofis not 29.30 liable for any ordinary or necessary event-related costs or 29.31 expenses, including, but not limited to, personnel, labor, 29.32 services, equipment, utilities, or supplies attributable to the 29.33 events beyond the amount appropriated in paragraph (a). 29.34 Extraordinary event-related costs and expenses may not be billed 29.35 to the amateur sports commission, unless and until the operator 29.36 has demonstrated, to the satisfaction of the amateur sports 30.1 commission, the basis for each specific extraordinary cost or 30.2 expense and the means by which the costs and expenses were 30.3 determined. 30.4 (c) The amateur sports commission may use any ticket system 30.5 as may be in place from time to time at the basketball and 30.6 hockey arena, provided that any royalty or rebate fees or 30.7 charges or surcharges on tickets received by the operator of the 30.8 arena from third parties must be credited against extraordinary 30.9 event-related costs or expenses. 30.10 (d) In the establishment of extraordinary event-related 30.11 costs to be imposed upon the amateur sports commission, the 30.12 operator of the basketball and hockey arena shall provide the 30.13 amateur sports commission with the maximum discount that the 30.14 operator has supplied to any other sponsor of a similar amateur 30.15 sports event in the arena within the 180-day period immediately 30.16 preceding the date of the amateur sports commission event. 30.17 (e) The amateur sports commission must report by August 1 30.18 each year to the chairs of the house and senate state government 30.19 finance divisions on compliance with this section and on the 30.20 total value of dates and ancillary services, and revenue derived 30.21 from resale of dates, during the previous state fiscal year. 30.22 (f) The attorney general, on behalf of the amateur sports 30.23 commission, must pursue collection of monetary damages from the 30.24 operator of the arena if the operator fails to comply with the 30.25 requirements of this section. 30.26 (g) The books, records, documents, accounting procedures, 30.27 and practices of the metropolitan sports facilities commission, 30.28 the Minneapolis community development agency, and any 30.29 corporation with which the Minnesota amateur sports commission 30.30 may contract for use of the basketball and hockey arena are 30.31 available for review by the Minnesota amateur sports commission, 30.32 the legislative auditor, and the chairs of the state government 30.33 finance divisions of the senate and the house of 30.34 representatives, subject to chapter 13 and section 473.598, 30.35 subdivision 4. 30.36 Sec. 19. Minnesota Statutes 1996, section 327.33, 31.1 subdivision 2, is amended to read: 31.2 Subd. 2. [FEES.] The commissioner shall by rule establish 31.3 reasonable fees for seals, installation seals and inspections 31.4 which are sufficient to cover all costs incurred in the 31.5 administration of sections 327.31 to 327.35. The commissioner 31.6 shall also establish by rule a monitoring inspection fee in an 31.7 amount that will comply with the secretary's fee distribution 31.8 program. This monitoring inspection fee shall be an amount paid 31.9 by the manufacturer for each manufactured home produced in 31.10 Minnesota. The monitoring inspection fee shall be paid by the 31.11 manufacturer to the secretary. The rules of the fee 31.12 distribution program require the secretary to distribute the 31.13 fees collected from all manufactured home manufacturers among 31.14 states approved and conditionally approved based on the number 31.15 of new manufactured homes whose first location after leaving the 31.16 manufacturer is on the premises of a distributor, dealer or 31.17 purchaser in that state. Allfees receivedmoney collected by 31.18 the commissionershall be deposited in the state treasury and31.19credited to the general fundthrough fees prescribed by sections 31.20 327.31 to 327.36 shall be deposited in the state government 31.21 special revenue fund and is appropriated to the commissioner for 31.22 the purpose of administering and enforcing the manufactured home 31.23 building code under sections 327.31 to 327.36. 31.24 Sec. 20. Minnesota Statutes 1996, section 327B.04, 31.25 subdivision 7, is amended to read: 31.26 Subd. 7. [FEES; LICENSES; WHEN GRANTED.] Each application 31.27 for a license or license renewal must be accompanied by a fee in 31.28 an amount established by the commissioner by rule pursuant to 31.29 section 327B.10, which shall be paid into the state treasury and31.30credited to the general fund. The fees shall be set in an 31.31 amount which over the fiscal biennium will produce revenues 31.32 approximately equal to the expenses which the commissioner 31.33 expects to incur during that fiscal biennium while administering 31.34 and enforcing sections 327B.01 to 327B.12. All money collected 31.35 by the commissioner through fees prescribed in sections 327B.01 31.36 to 327B.12 shall be deposited in the state government special 32.1 revenue fund and is appropriated to the commissioner for 32.2 purposes of administering and enforcing the provisions of this 32.3 chapter. The commissioner shall grant or deny a license 32.4 application or a renewal application within 60 days of its 32.5 filing. If the license is granted, the commissioner shall 32.6 license the applicant as a dealer or manufacturer for the 32.7 remainder of the calendar year. Upon application by the 32.8 licensee, the commissioner shall renew the license for a two 32.9 year period, if: 32.10 (a) the renewal application satisfies the requirements of 32.11 subdivisions 3 and 4; 32.12 (b) the renewal applicant has made all listings, 32.13 registrations, notices and reports required by the commissioner 32.14 during the preceding year; and 32.15 (c) the renewal applicant has paid all fees owed pursuant 32.16 to sections 327B.01 to 327B.12 and all taxes, arrearages, and 32.17 penalties owed to the state. 32.18 Sec. 21. Minnesota Statutes 1996, section 349.163, 32.19 subdivision 4, is amended to read: 32.20 Subd. 4. [INSPECTION OF MANUFACTURERS.] Employees of the 32.21 board and the division of gambling enforcement may inspect the 32.22 books, records, inventory, and business premises of a licensed 32.23 manufacturer without notice during the normal business hours of 32.24 the manufacturer. The board may charge a manufacturer for the 32.25 actual cost of conducting an inspection of the manufacturer's 32.26 facilities provided (1) the board provides the manufacturer with 32.27 reasonable notice of the inspections, and (2) the amount charged 32.28 to the manufacturer for the cost of inspections does not exceed 32.29 $7,500 in any year. The board shall deposit in a separate 32.30 account in the state treasury all money received as 32.31 reimbursement for the costs of inspections. Money in the 32.32 account is appropriated to the board to pay the costs of the 32.33 inspections. 32.34 Sec. 22. Minnesota Statutes 1996, section 356.865, 32.35 subdivision 3, is amended to read: 32.36 Subd. 3. [COSTSTATE APPROPRIATION.]The cost of the33.1payments made under this section is the responsibility of the33.2state.Payments under this section are the responsibility of 33.3 the Minneapolis employees retirement fund. A separate state aid 33.4 is provided toward the level dollar amortized cost of the 33.5 payments. For state fiscal years 1992 to 2001 inclusive, there 33.6 is appropriated annually $550,000 from the general fund to the 33.7 commissioner of finance to be added, in quarterly installments, 33.8 to the annual state contribution amount determined under section 33.9 422A.101, subdivision 3. After fiscal year 2001, any difference 33.10 between the cumulative benefit amounts actually paid under this 33.11 section after fiscal year 1991 and the amounts paid to the 33.12 retirement fund by the state under this subdivision plus 33.13 investment earnings on the aid shall be included by the 33.14 retirement fund board and the actuary retained by the 33.15 legislative commission on pensions and retirement in determining 33.16 financial requirements of the fund and contributions under 33.17 section 422A.101. 33.18 Sec. 23. Minnesota Statutes 1996, section 363.073, 33.19 subdivision 1, is amended to read: 33.20 Subdivision 1. [SCOPE OF APPLICATION.] No department or 33.21 agency of the state shall accept any bid or proposal for a 33.22 contract or agreement or execute any contract or agreement for 33.23 goods or services in excess of $50,000 with any business having 33.24 more than 20 full-time employees, either within or outside this 33.25 state, on a single working day during the previous 12 months, 33.26 unless the firm or business has an affirmative action plan for 33.27 the employment of minority persons, women, and the disabled that 33.28 has been approved by the commissioner of human rights. Receipt 33.29 of a certificate of compliance issued by the commissioner shall 33.30 signify that a firm or business has an affirmative action plan 33.31 that has been approved by the commissioner. A certificate shall 33.32 be valid for a period of two years. A municipality as defined 33.33 in section 466.01, subdivision 1, that receives state money for 33.34 any reason is encouraged to prepare and implement an affirmative 33.35 action plan for the employment of minority persons, women, and 33.36 the disabled and submit the plan to the commissioner of human 34.1 rights. 34.2 Sec. 24. [465.803] [REPAYMENT OF GRANTS.] 34.3 Subdivision 1. [REPAYMENT PROCEDURES.] Without regard to 34.4 whether a grant recipient offered to repay the grant in its 34.5 original application, as part of a grant awarded under section 34.6 465.798, 465.799, or 465.801, the board may require the grant 34.7 recipient to repay all or part of the grant if the board 34.8 determines the project funded by the grant resulted in an actual 34.9 savings for the participating local units of government. The 34.10 grant agreement must specify how the savings are to be 34.11 determined and the period of time over which the savings will be 34.12 used to calculate a repayment requirement. The repayment of 34.13 grant money under this section may not exceed an amount equal to 34.14 the total savings achieved through the implementation of the 34.15 project multiplied by the total amount of the grant divided by 34.16 the total budget for the project and may not exceed the total 34.17 amount of the original grant. 34.18 Subd. 2. [BONUS POINTS.] In addition to the points awarded 34.19 to competitive grant applications under section 465.802, the 34.20 board shall award additional points to any applicant that 34.21 projects a potential cost savings through the implementation of 34.22 its project and offers to repay the grant money under the 34.23 formula in subdivision 1. 34.24 Subd. 3. [USE OF REPAYMENT REVENUE.] All grant money 34.25 repaid to the board under this section is appropriated to the 34.26 board for additional grants authorized by sections 465.798, 34.27 465.799, and 465.801. 34.28 Sec. 25. Minnesota Statutes 1996, section 473.556, 34.29 subdivision 16, is amended to read: 34.30 Subd. 16. [AGREEMENTS WITH AMATEUR SPORTS COMMISSION.] (a) 34.31 The commission and the Minnesota amateur sports commission 34.32 created pursuant to chapter 240A may enter into long-term 34.33 leases, use or other agreements for the conduct of amateur 34.34 sports activities at the basketball and hockey arena, and the 34.35 net revenues from the activities may be pledged for basketball 34.36 and hockey arena debt service. The commission, with the advice 35.1 of the Minnesota amateur sports commission, shall establish 35.2 standards to provide reasonable assurances to other public 35.3 bodies owning or operating an entertainment or sports complex or 35.4 indoor sports arena in the metropolitan area that the agreements 35.5 between the commission and the Minnesota amateur sports 35.6 commission with respect to the basketball and hockey arena shall 35.7 not remove the conduct of amateur sports activities currently 35.8 and traditionally held at such facilities. 35.9 (b) Any long-term lease, use, or other agreement entered 35.10 into by the Minnesota amateur sports commission with the 35.11 commission under paragraph (a) must also: 35.12 (1) provide for a release of the Minnesota amateur sports 35.13 commission from its commitment under the agreement if the 35.14 legislature repeals or amends a standing appropriation or 35.15 otherwise does not appropriate sufficient money to fund the 35.16 lease or agreement to the Minnesota amateur sports commission; 35.17 and 35.18 (2) provide for a release of the Minnesota amateur sports 35.19 commission from its commitment under the agreement and permit it 35.20 to agree to a per event use fee when the bonds issued for the 35.21 metrodome under section 473.581 have been retired. 35.22 (c) No long-term lease, use, or other agreement entered 35.23 into by the Minnesota amateur sports commission under paragraph 35.24 (a) may commit the amateur sports commission to paying more than 35.25 $750,000 per year for the use of the basketball and hockey arena 35.26 and all ordinary and necessary event-related expenses. 35.27 (d) Any long-term lease, use, or other agreement entered 35.28 into under paragraph (a) shall provide that the Minnesota 35.29 amateur sports commission shall be entitled to use of the 35.30 basketball and hockey arena for 50 event days per year. In 35.31 addition, any long-term lease, use, or other agreement entered 35.32 into under paragraph (a) shall permit the Minnesota amateur 35.33 sports commission to allow another person or organization to use 35.34 one or more of its days. 35.35 Sec. 26. [AGENCY EXAMINATION.] 35.36 During the interim between the 1997 and 1998 regular 36.1 sessions, the governmental operations budget division of the 36.2 senate shall conduct a thorough review of the operation and 36.3 financing of the following state agencies: the departments of 36.4 administration, finance, and revenue; the board of the arts; and 36.5 the Minnesota amateur sports commission. The agencies shall 36.6 make their books, records, documents, accounting procedures, and 36.7 practices available for examination by the division and division 36.8 staff. Agency personnel shall assist the division and division 36.9 staff in developing a better understanding of how the agencies 36.10 operate. 36.11 Sec. 27. [TARGET CENTER.] 36.12 On and after the effective date of sections 18 and 25, no 36.13 more money may be paid out pursuant to the annual appropriation 36.14 in Minnesota Statutes, section 240A.08, paragraph (a), unless it 36.15 is expended consistent with all conditions set forth in 36.16 Minnesota Statutes, sections 240A.08 and 473.556, subdivision 36.17 16, paragraph (c), as amended by this act. If the the 36.18 metropolitan sports facilities commission does not allocate the 36.19 number of event dates described in Minnesota Statutes, section 36.20 240A.08, paragraph (a), or terminates or cancels before July 1, 36.21 1999, any Minnesota amateur sports commission event that was 36.22 scheduled before July 1, 1997, to occur during the biennium 36.23 beginning July 1, 1997, no further payments may be made to the 36.24 metropolitan sports facilities commission under Minnesota 36.25 Statutes, section 240A.08 for the fiscal year in which the 36.26 termination or cancellation occurs and the appropriation for the 36.27 next succeeding fiscal year is void. 36.28 Sec. 28. [INSTRUCTION TO REVISOR.] 36.29 In the next editions of Minnesota Statutes and Minnesota 36.30 Rules, the revisor of statutes shall change the term "ethical 36.31 practices board" to "campaign finance and public disclosure 36.32 board" wherever it appears. 36.33 Sec. 29. [REPEALER.] 36.34 Minnesota Statutes 1996, sections 10A.21; 16B.42; and 36.35 16B.58, subdivision 8, are repealed. 36.36 Sec. 30. [EFFECTIVE DATE.] 37.1 This article is effective the day following final enactment. 37.2 ARTICLE 3 37.3 Section 1. [237A.01] [OFFICE OF TECHNOLOGY.] 37.4 Subdivision 1. [PURPOSE.] The Minnesota office of 37.5 technology is an agency in the executive branch managed by an 37.6 executive director appointed by the governor in accordance with 37.7 section 237A.02, subdivision 1. The office shall provide 37.8 leadership and direction for information and communications 37.9 technology policy in Minnesota. The office shall attempt to 37.10 establish Minnesota as a national and global leader in 37.11 electronic commerce, including trade, distance learning, 37.12 telemedicine, and government services, and to ensure that 37.13 Minnesota's citizens and businesses receive the benefits of the 37.14 emerging competitive market for advanced information and 37.15 communications products and services as well as reasonable 37.16 consumer protection. The office shall attempt to coordinate 37.17 public and private efforts to advance the development of a 37.18 statewide information and communications technology 37.19 infrastructure. 37.20 Subd. 2. [DISCRETIONARY POWERS.] The office may: 37.21 (1) within its authorized spending authority, enter into 37.22 contracts for goods or services with public or private 37.23 organizations and charge fees for services it provides; 37.24 (2) apply for, receive, and expend money from public 37.25 agencies; 37.26 (3) apply for, accept, and disburse grants and other aids 37.27 from the federal government and other public or private sources; 37.28 (4) enter into contracts with agencies of the federal 37.29 government, local governmental units, the University of 37.30 Minnesota and other educational institutions, and private 37.31 persons and other nongovernmental organizations as necessary to 37.32 perform its statutory duties; 37.33 (5) appoint committees and task forces to assist the office 37.34 in carrying out its duties; 37.35 (6) sponsor and conduct conferences and studies, collect 37.36 and disseminate information, and issue reports relating to 38.1 information and communications technology issues; 38.2 (7) participate in the activities of standards bodies and 38.3 other appropriate conferences related to information and 38.4 communications technology issues; 38.5 (8) review the technology infrastructure of regions of the 38.6 state and cooperate with and make recommendations to the 38.7 governor, legislature, state agencies, local governments, local 38.8 technology development agencies, the federal government, private 38.9 businesses, and individuals for the realization of information 38.10 and communications technology infrastructure development 38.11 potential; 38.12 (9) sponsor, support, and facilitate innovative and 38.13 collaborative economic and community development and government 38.14 services projects, including technology initiatives related to 38.15 culture and the arts, with public and private organizations; and 38.16 (10) review and recommend alternative sourcing strategies 38.17 for state information and communication systems. 38.18 Subd. 3. [DUTIES.] The office shall: 38.19 (1) coordinate the efficient and effective use of available 38.20 federal, state, local, and private resources to develop 38.21 statewide information and communications technology and its 38.22 infrastructure; 38.23 (2) review state agency and intergovernmental information 38.24 and communications systems development efforts involving state 38.25 or intergovernmental funding, provide information to the 38.26 legislature in accordance with section 16A.11 regarding projects 38.27 reviewed, and recommend projects for inclusion in the 38.28 information technology budget under section 16A.11; 38.29 (3) encourage cooperation and collaboration among state and 38.30 local governments in developing intergovernmental communication 38.31 and information systems, and define the structure and 38.32 responsibilities of the information policy council; 38.33 (4) continue the development of North Star, the state's 38.34 official comprehensive on-line service and information 38.35 initiative; 38.36 (5) promote and collaborate with the state's agencies in 39.1 the state's transition to an effectively competitive 39.2 telecommunications market; 39.3 (6) promote and coordinate education and lifelong learning 39.4 initiatives to assist Minnesotans to develop technical literacy 39.5 and obtain access to ongoing learning resources; 39.6 (7) promote and coordinate public information access and 39.7 network initiatives, consistent with chapter 13, to connect 39.8 Minnesota's citizens and communities to each other, to their 39.9 governments, and to the world; 39.10 (8) promote and coordinate electronic commerce initiatives 39.11 to ensure that Minnesota businesses and citizens can 39.12 successfully compete in the global economy; 39.13 (9) promote and coordinate the regular and periodic 39.14 reinvestment in the core information and communications 39.15 technology infrastructure so state and local government agencies 39.16 can effectively and efficiently serve their customers; 39.17 (10) work with others, including the department of 39.18 administration, to facilitate the cooperative development of 39.19 standards for information systems, electronic data practices and 39.20 privacy, and electronic commerce among international, national, 39.21 state, and local public and private organizations; and 39.22 (11) work with others to avoid unnecessary duplication of 39.23 existing services or activities provided by other public and 39.24 private organizations while building on the existing 39.25 governmental, educational, business, health care, and economic 39.26 development infrastructures. 39.27 Sec. 2. [237A.02] [OFFICE OF TECHNOLOGY STRUCTURE AND 39.28 PERSONNEL.] 39.29 Subdivision 1. [OFFICE MANAGEMENT AND STRUCTURE.] The 39.30 executive director of the office of technology shall serve as 39.31 the chief information officer and technology advisor to the 39.32 governor. The salary of the executive director may not exceed 39.33 85 percent of the governor's salary. The executive director may 39.34 employ a deputy director, assistant directors, and other 39.35 employees the executive director may consider necessary. The 39.36 staff of the office must include individuals knowledgeable in 40.1 information and communications technology. The executive 40.2 director may define the duties and designate the titles of the 40.3 employees in accordance with chapter 43A. 40.4 Subd. 2. [INTERGOVERNMENTAL PARTICIPATION.] The executive 40.5 director or the director's designee shall serve as a member of 40.6 the Minnesota education telecommunications council, the 40.7 geographic information systems council, the library planning 40.8 task force, and their respective successor organizations, and as 40.9 a member of Minnesota Technology, Inc., the Minnesota health 40.10 data institute, and the Minnesota world trade center corporation. 40.11 Sec. 3. [237A.03] [NORTH STAR INFORMATION ACCESS ACCOUNT.] 40.12 The North Star information access account is in the special 40.13 revenue fund. Money in the account is appropriated to the 40.14 office to be used to continue the development of the North Star 40.15 project as provided in this chapter. The account consists of: 40.16 (1) grants received from nonstate entities; 40.17 (2) fees and charges collected by the office of technology; 40.18 (3) gifts, donations, and bequests made to the office; and 40.19 (4) other funds credited to the account by law. 40.20 Sec. 4. [237A.04] [ADMINISTRATION OF STATE INFORMATION AND 40.21 COMMUNICATIONS SYSTEMS.] 40.22 Subdivision 1. [DEFINITIONS.] For the purposes of sections 40.23 237A.04 to 237A.06 the following terms have the meanings given 40.24 them. 40.25 (a) "Information and communications technology activity" 40.26 means the development or acquisition of information and 40.27 communications technology devices and systems. 40.28 (b) "Data processing device or system" means equipment or 40.29 computer programs, including computer hardware, firmware, 40.30 software, and communication protocol, used in connection with 40.31 the processing of information through electronic data processing 40.32 means, and includes data communication devices used in 40.33 connection with computer facilities for the transmission of data. 40.34 (c) "State agency" includes state colleges and universities 40.35 and the Minnesota higher education services office. 40.36 Subd. 2. [EXECUTIVE DIRECTOR'S RESPONSIBILITY.] The 41.1 executive director of the office of technology shall coordinate 41.2 the state's information and communications technology systems to 41.3 serve the needs of the state government. The executive director 41.4 shall: 41.5 (1) coordinate the design of a master plan for information 41.6 and communications technology systems in the state and its 41.7 political subdivisions and shall report on the plan to the 41.8 governor and legislature at the beginning of each regular 41.9 session; 41.10 (2) coordinate all information and communications 41.11 technology plans and contracts and oversee the state's 41.12 information and communications systems; 41.13 (3) establish standards for information and communications 41.14 systems that encourage competition and support open systems 41.15 environments and that are compatible with national and 41.16 international standards; and 41.17 (4) maintain a library of systems and programs developed by 41.18 the state and its political subdivisions for use by agencies of 41.19 government. 41.20 Subd. 3. [EVALUATION PROCEDURE.] The executive director 41.21 shall establish and, as necessary, update and modify procedures 41.22 to evaluate information and communications activities proposed 41.23 by state agencies. The evaluation procedure must assess the 41.24 necessity, design, and plan for development; ability to meet 41.25 user requirements; feasibility; and flexibility of the proposed 41.26 data processing device or system, its relationship to other 41.27 state data processing devices or systems, and its costs and 41.28 benefits when considered by itself and when compared with other 41.29 options. 41.30 Subd. 4. [REPORT TO LEGISLATURE.] The executive director 41.31 shall submit to the legislature, in the annual information 41.32 technology budget required by section 16A.11, a concise 41.33 narrative explanation of the activity and a request for any 41.34 additional appropriation necessary to complete the activity. 41.35 Subd. 5. [SYSTEM DEVELOPMENT METHODOLOGY.] The executive 41.36 director shall establish and, as necessary, update and modify 42.1 methodologies for the development of information and 42.2 communications systems appropriate to the specific needs of 42.3 individual state agencies. The development methodology shall be 42.4 used to define the design, programming, and implementation of 42.5 systems. The development methodologies must also enable and 42.6 require a data processing system to be defined in terms of its 42.7 computer programs, input requirements, output formats, 42.8 administrative procedures, and processing frequencies. 42.9 Subd. 6. [DATA SECURITY SYSTEMS.] In consultation with the 42.10 attorney general and appropriate agency heads, the executive 42.11 director shall develop data security policies, guidelines, and 42.12 standards, and the commissioner of administration shall install 42.13 and administer state data security systems on the state's 42.14 centralized computer facility consistent with these policies, 42.15 guidelines, standards, and state law to ensure the integrity of 42.16 computer-based and other data and to ensure confidentiality of 42.17 the data, consistent with the public's right to know as defined 42.18 in chapter 13. Each department or agency head is responsible 42.19 for the security of the department's or agency's data. 42.20 Subd. 7. [JOINT ACTIONS.] The executive director may join 42.21 with the federal government, other states, local governments, 42.22 and organizations representing those groups either jointly or 42.23 severally in the development and implementation of systems 42.24 analysis, information services, and computerization projects. 42.25 Subd. 8. [ELECTRONIC PERMITTING AND LICENSING.] The 42.26 executive director, in consultation with affected parties, shall 42.27 coordinate the development of a system through which state 42.28 permits or licenses normally issued immediately upon payment of 42.29 a fee may be issued through electronic access to the appropriate 42.30 state agencies. 42.31 Sec. 5. [237A.05] [INFORMATION AND COMMUNICATIONS 42.32 TECHNOLOGY POLICY.] 42.33 Subdivision 1. [DEVELOPMENT.] The office of technology 42.34 shall coordinate with state agencies in the development and 42.35 establishment of policies and standards for state agencies to 42.36 follow in developing and purchasing information and 43.1 communications systems and training appropriate persons in their 43.2 use. The office shall develop, promote, and coordinate state 43.3 technology, architecture, standards and guidelines, information 43.4 needs analysis techniques, contracts for the purchase of 43.5 equipment and services, and training of state agency personnel 43.6 on these issues. 43.7 Subd. 2. [RESPONSIBILITIES.] (a) In addition to other 43.8 activities prescribed by law, the office shall carry out the 43.9 duties set out in this subdivision. 43.10 (b) The office must develop and establish a state 43.11 information architecture to ensure that further state agency 43.12 development and purchase of information and communications 43.13 systems, equipment, and services is designed to ensure that 43.14 individual agency information systems complement and do not 43.15 needlessly duplicate or conflict with the systems of other 43.16 agencies. The development of this information architecture must 43.17 include the establishment of standards and guidelines to be 43.18 followed by state agencies. 43.19 (c) The office shall assist state agencies in the planning 43.20 and management of information systems so that an individual 43.21 information system reflects and supports the state agency's 43.22 mission and the state's requirements and functions. 43.23 (d) The office must review agency requests for legislative 43.24 appropriations for the development or purchase of information 43.25 systems equipment or software. 43.26 (e) The office shall review major purchases of information 43.27 systems equipment to: 43.28 (1) ensure that the equipment follows the standards and 43.29 guidelines of the state information architecture; 43.30 (2) ensure that the equipment is consistent with the 43.31 information management principles adopted by the information 43.32 policy council; 43.33 (3) evaluate whether the agency's proposed purchase 43.34 reflects a cost-effective policy regarding volume purchasing; 43.35 and 43.36 (4) ensure that the equipment is consistent with other 44.1 systems in other state agencies so that data can be shared among 44.2 agencies, unless the office determines that the agency 44.3 purchasing the equipment has special needs justifying the 44.4 inconsistency. 44.5 (f) The office shall review the operation of information 44.6 systems by state agencies and provide advice and assistance to 44.7 ensure that these systems are operated efficiently and 44.8 continually meet the standards and guidelines established by the 44.9 office. The standards and guidelines must emphasize uniformity 44.10 that encourages information interchange, open systems 44.11 environments, and portability of information whenever 44.12 practicable and consistent with an agency's authority and 44.13 chapter 13. The office, in consultation with the 44.14 intergovernmental information systems advisory council and the 44.15 legislative reference library, shall recommend specific 44.16 standards and guidelines for each state agency within a time 44.17 period fixed by the office in regard to the establishment of: 44.18 (1) methodologies and systems directed at reducing and 44.19 ultimately eliminating redundant storage of data; and 44.20 (2) information sales systems that utilize licensing and 44.21 royalty agreements to the greatest extent possible, together 44.22 with procedures for agency denial of requests for licenses or 44.23 royalty agreements by commercial users or resellers of the 44.24 information. Section 3.751 does not apply to those licensing 44.25 and royalty agreements, and the agreements must include 44.26 provisions that section 3.751 does not apply and that the state 44.27 is immune from liability under the agreement. 44.28 (g) The office shall conduct a comprehensive review at 44.29 least every three years of the information systems investments 44.30 that have been made by state agencies and higher education 44.31 institutions. The review must include recommendations on any 44.32 information systems applications that could be provided in a 44.33 more cost-beneficial manner by an outside source. The office 44.34 must report the results of its review to the legislature and the 44.35 governor. 44.36 (h) The office shall report to the legislature by January 45.1 15 of each year on progress in implementing paragraph (f), 45.2 clauses (1) and (2). 45.3 Sec. 6. [237A.06] [GOVERNMENT INFORMATION ACCESS.] 45.4 Subdivision 1. [DUTIES.] The office of technology, in 45.5 consultation with interested persons, shall: 45.6 (1) coordinate statewide efforts by units of state and 45.7 local government to plan for and develop a system for providing 45.8 access to government services; 45.9 (2) make recommendations to facilitate coordination and 45.10 assistance of demonstration projects; 45.11 (3) explore ways and means to improve citizen and business 45.12 access to public services, including implementation of 45.13 technological improvements. 45.14 Subd. 2. [APPROVAL OF STATE AGENCY INITIATIVES.] A state 45.15 agency shall coordinate with the office when implementing a new 45.16 initiative for providing electronic access to state government 45.17 information. 45.18 Subd. 3. [CAPITAL INVESTMENT.] No state agency may propose 45.19 or implement a capital investment plan for a state office 45.20 building unless: 45.21 (1) the agency has developed a plan for increasing 45.22 telecommuting by employees who would normally work in the 45.23 building, or the agency has prepared a statement describing why 45.24 such a plan is not practicable; and 45.25 (2) the plan or statement has been reviewed by the office. 45.26 Sec. 7. [237A.07] [DATA.] 45.27 The following data submitted to the office of technology by 45.28 businesses are private data on individuals or nonpublic data: 45.29 financial statements, business plans, income and expense 45.30 projections, customer lists, and market and feasibility studies 45.31 not paid for with public funds. 45.32 Sec. 8. [EFFECTIVE DATE.] 45.33 This article is effective July 1, 1997. 45.34 ARTICLE 4 45.35 Section 1. Minnesota Statutes 1996, section 16B.465, 45.36 subdivision 3, is amended to read: 46.1 Subd. 3. [DUTIES.] The commissioner, after consultation 46.2 with thecouncilMinnesota office of technology, shall: 46.3 (1) provide voice, data, video, and other 46.4 telecommunications transmission services to the state and to 46.5 political subdivisions through an account in the 46.6 intertechnologies revolving fund; 46.7 (2) manage vendor relationships, network function, and 46.8 capacity planning in order to be responsive to the needs of the 46.9 system users; 46.10 (3) set rates and fees for services; 46.11 (4) approve contracts relating to the system; 46.12 (5) in consultation with the Minnesota office of 46.13 technology, develop the system plan, including plans for the 46.14 phasing of its implementation and maintenance of the initial 46.15 system, and the annual program and fiscal plans for the system; 46.16 and 46.17 (6) in consultation with the Minnesota office of 46.18 technology, develop a plan for interconnection of the network 46.19 with private colleges and public and private schools in the 46.20 state. 46.21 Sec. 2. [16B.466] [ADMINISTRATION OF STATE COMPUTER 46.22 FACILITIES.] 46.23 Subdivision 1. [COMMISSIONER'S RESPONSIBILITY.] The 46.24 commissioner of administration shall integrate and operate the 46.25 state's centralized computer facilities to serve the needs of 46.26 state government. The commissioner shall provide technical 46.27 assistance to state agencies in the design, development, and 46.28 operation of their computer systems. 46.29 Subd. 2. [DATA SECURITY SYSTEMS.] In consultation with the 46.30 attorney general and appropriate agency heads, the commissioner 46.31 shall install and administer state data security systems on the 46.32 state's centralized computer facility consistent with state law 46.33 to ensure the integrity of computer-based and other data and to 46.34 ensure applicable limitations on access to data, consistent with 46.35 the public's right to know. Each department or agency head is 46.36 responsible for the security of the department's or agency's 47.1 data. 47.2 Subd. 3. [JOINT ACTIONS.] The commissioner may, within 47.3 available funding, join with the federal government, other 47.4 states, local governments, and organizations representing those 47.5 groups either jointly or severally in the development and 47.6 implementation of systems analysis, information services, and 47.7 computerization projects. 47.8 Sec. 3. [REPEALER.] 47.9 Minnesota Statutes 1996, sections 15.95; 15.96; 16B.40; 47.10 16B.41; and 16B.43, are repealed. 47.11 Sec. 4. [TRANSFERS.] 47.12 In accordance with Minnesota Statutes 1996, sections 15.039 47.13 and 43A.045, the budget and positions of the information policy 47.14 office, with incumbents, excluding the public information policy 47.15 analysis division, are transferred to the Minnesota office of 47.16 technology, effective July 1, 1997. 47.17 Sec. 5. [INSTRUCTION TO REVISOR.] 47.18 The revisor is instructed to change all statutory 47.19 references to the information policy office and the government 47.20 information access council to the office of technology. 47.21 Sec. 6. [EFFECTIVE DATE.] 47.22 This article is effective July 1, 1997.