Minnesota Legislature
SF 2360
1st Engrossment - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am
KEY: stricken = removed, old language.
underscored = added, new language.
Current Version - 1st Engrossment
1.1 A bill for an act 1.2 relating to state government; appropriating money for 1.3 the general legislative, judicial, and administrative 1.4 expenses of state government; modifying provisions 1.5 relating to state and local government; providing for 1.6 economic development; regulating various criminal 1.7 justice, judiciary, housing, technology, and election 1.8 provisions; authorizing local bonds and airport impact 1.9 mitigations; providing for a credit enhancement 1.10 program; authorizing contingency property tax levies 1.11 in the metropolitan area; amending Minnesota Statutes 1.12 2000, sections 2.722, subdivision 1; 2.724, 1.13 subdivision 3; 3.3005, subdivision 2, by adding a 1.14 subdivision; 3.98, subdivision 2; 8.15, by adding a 1.15 subdivision; 10A.01, subdivisions 9, 18; 10A.20, 1.16 subdivision 6b, by adding a subdivision; 10A.25, 1.17 subdivision 1, by adding subdivisions; 10A.27, 1.18 subdivisions 1, 2, 10; 10A.275, subdivision 1; 10A.28, 1.19 subdivision 1; 10A.31, subdivisions 3a, 5, 7, by 1.20 adding a subdivision; 10A.322; 10A.323; 16A.10, 1.21 subdivision 2; 16A.103, subdivisions 1, 1a; 16A.152, 1.22 subdivision 7; 16B.25, subdivision 2; 16B.335, 1.23 subdivision 3; 16B.61, subdivision 1; 16B.62, 1.24 subdivision 1; 16B.63, by adding a subdivision; 1.25 16B.88, subdivision 2; 16C.22; 16E.04, subdivision 2; 1.26 116L.02; 116L.03; 116L.04, by adding a subdivision; 1.27 116L.05, by adding a subdivision; 116L.16; 181.945; 1.28 200.02, subdivisions 7, 23; 211A.12; 268.022, 1.29 subdivision 2; 268.085, by adding a subdivision; 1.30 268.665, by adding subdivisions; 268.666, by adding a 1.31 subdivision; 270A.07, subdivision 1; 290.06, 1.32 subdivision 23; 326.90, subdivision 1; 349.165, 1.33 subdivisions 1, 3; 357.18, subdivision 3; 403.11, 1.34 subdivision 1; 403.113, subdivisions 1, 3; 462.353, 1.35 subdivision 4; 462.358, subdivision 2b; 462A.01; 1.36 462A.03, subdivisions 1, 6, 10, by adding a 1.37 subdivision; 462A.04, subdivision 6; 462A.05, 1.38 subdivisions 14, 14a, 16, 22, 26; 462A.06, 1.39 subdivisions 1, 4; 462A.07, subdivisions 10, 12; 1.40 462A.073, subdivision 1; 462A.15; 462A.17, subdivision 1.41 3; 462A.20, subdivision 3; 462A.201, subdivisions 2, 1.42 6; 462A.204, subdivision 3; 462A.205, subdivisions 4, 1.43 4a; 462A.209; 462A.2091, subdivision 3; 462A.2093, 1.44 subdivision 1; 462A.2097; 462A.21, subdivisions 5, 10, 1.45 by adding subdivisions; 462A.222, subdivision 1a; 1.46 462A.24; 462A.33, subdivisions 1, 2, 3, 5, by adding a 2.1 subdivision; 473.195, by adding a subdivision; 2.2 473.255, subdivisions 1, 2; 473.517, subdivision 3; 2.3 473.901, subdivision 1; 480.182; 517.08, subdivisions 2.4 1b, 1c; Laws 1997, chapter 202, article 2, section 61, 2.5 as amended; Laws 1998, chapter 366, section 80; Laws 2.6 1999, chapter 250, article 1, section 12, subdivision 2.7 3; Laws 1999, chapter 250, article 1, section 34; Laws 2.8 2000, chapter 488, article 8, section 2; proposing 2.9 coding for new law in Minnesota Statutes, chapters 4A; 2.10 8; 11A; 15A; 16B; 16E; 116J; 137; 268; 336; 462; 462A; 2.11 473; repealing Minnesota Statutes 2000, sections 8.15, 2.12 subdivision 2; 16E.08; 129D.06; 179A.07, subdivision 2.13 7; 462A.201, subdivision 4; 462A.207; 462A.209, 2.14 subdivision 4; 462A.21, subdivision 17; 462A.221, 2.15 subdivision 4; 462A.30, subdivision 2; 462A.33, 2.16 subdivisions 4, 6, 7. 2.17 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 2.18 ARTICLE 1 2.19 APPROPRIATIONS 2.20 Section 1. [STATE GOVERNMENT APPROPRIATIONS.] 2.21 The sums shown in the columns marked "APPROPRIATIONS" are 2.22 appropriated from the general fund, or another fund named, to 2.23 the agencies and for the purposes specified in this act, to be 2.24 available for the fiscal years indicated for each purpose. The 2.25 figures "2001," "2002," and "2003," where used in this act, mean 2.26 that the appropriation or appropriations listed under them are 2.27 available for the year ending June 30, 2001, June 30, 2002, or 2.28 June 30, 2003, respectively. 2.29 SUMMARY BY FUND 2.30 BIENNIAL 2.31 2002 2003 TOTAL 2.32 General $347,680,000 $332,529,000 $677,871,000 2.33 For 2001 - $77,000 2.34 State 2.35 Government 2.36 Special Revenue 30,873,000 31,463,000 64,495,000 2.37 For 2001 - $3,998,000 2.38 Health Care Access 1,881,000 1,914,000 3,795,000 2.39 TANF 1,900,000 1,950,000 3,850,000 2.40 Environmental 926,000 939,000 1,865,000 2.41 Lottery Prize 2.42 Fund 750,000 750,000 2.43 Special Revenue 300,000 300,000 2.44 Highway User 2.45 Tax Distribution 2,191,000 2,237,000 4,428,000 3.1 Workers' 3.2 Compensation 7,444,000 7,941,000 15,385,000 3.3 For 2001 - $100,000 3.4 TOTAL $391,597,000 $376,619,000 $768,216,000 3.5 APPROPRIATIONS 3.6 Available for the Year 3.7 Ending June 30 3.8 2002 2003 3.9 Sec. 2. LEGISLATURE 3.10 Subdivision 1. Total 3.11 Appropriation 67,608,000 67,248,000 3.12 Summary by Fund 3.13 General 67,608,000 67,248,000 3.14 Health Care Access 150,000 150,000 3.15 The amounts that may be spent from this 3.16 appropriation for each program are 3.17 specified in the following subdivisions. 3.18 Subd. 2. Senate 24,021,000 23,013,000 3.19 Subd. 3. House of Representatives 27,402,000 28,081,000 3.20 Of amounts previously appropriated to 3.21 the house of representatives and 3.22 carried forward into the biennium 3.23 beginning July 1, 2001, $2,500,000 is 3.24 canceled to the general fund. 3.25 Subd. 4. Legislative 3.26 Coordinating Commission 16,335,000 16,304,000 3.27 $250,000 the first year is for 3.28 investment and technology. 3.29 Summary by Fund 3.30 General 16,185,000 16,154,000 3.31 Health Care Access 150,000 150,000 3.32 $95,000 is for the Mississippi River 3.33 Parkway Commission to support the 3.34 increased promotion of tourism and 3.35 economic development along the Great 3.36 River Road. 3.37 The salary increases recommended by the 3.38 compensation council on March 26, 2001, 3.39 for judges, constitutional officers, 3.40 and legislators are ratified, except as 3.41 modified by this subdivision and in 3.42 other law. 3.43 Effective retroactively to January 1, 3.44 2001, the salaries of other 3.45 constitutional officers are set at the 3.46 following percentages of the salary of 3.47 the governor: 3.48 attorney general - 95 percent; 3.49 state auditor - 85 percent; 4.1 secretary of state - 75 percent; 4.2 lieutenant governor - 65 percent; 4.3 state treasurer - 65 percent. 4.4 The recommendations of the compensation 4.5 council concerning the salaries of the 4.6 heads of state and metropolitan 4.7 agencies may not take effect unless 4.8 enacted by law. 4.9 Of amounts previously appropriated to 4.10 the legislative coordinating commission 4.11 and carried forward into the biennium 4.12 beginning July 1, 2001, $1,440,000 is 4.13 canceled to the general fund. 4.14 $5,738,000 the first year and 4.15 $6,341,000 the second year are for the 4.16 office of the revisor of statutes. 4.17 $1,295,000 the first year and 4.18 $1,339,000 the second year are for the 4.19 legislative reference library. 4.20 $5,933,000 the first year and 4.21 $6,083,000 the second year are for the 4.22 office of the legislative auditor and 4.23 legislative audit commission. 4.24 Sec. 3. GOVERNOR AND 4.25 LIEUTENANT GOVERNOR 4,253,000 4,356,000 4.26 For 2001 - $15,000 4.27 This appropriation is to fund the 4.28 offices of the governor and lieutenant 4.29 governor. 4.30 $19,000 the first year and $19,000 the 4.31 second year are for necessary expenses 4.32 in the normal performance of the 4.33 governor's and lieutenant governor's 4.34 duties for which no other reimbursement 4.35 is provided. 4.36 By September 1 of each year, the 4.37 commissioner of finance shall report to 4.38 the chairs of the senate governmental 4.39 operations budget division and the 4.40 house state government finance division 4.41 any personnel costs incurred by the 4.42 office of the governor and lieutenant 4.43 governor that were supported by 4.44 appropriations to other agencies during 4.45 the previous fiscal year. The office 4.46 of the governor shall inform the chairs 4.47 of the divisions before initiating any 4.48 interagency agreements. 4.49 The funds appropriated to the 4.50 governor's office for maintenance of 4.51 the governor's residence are 4.52 transferred to the department of 4.53 administration for the same purpose. 4.54 Sec. 4. STATE AUDITOR 10,025,000 10,266,000 4.55 Sec. 5. STATE TREASURER 2,368,000 2,337,000 5.1 For 2001 - $10,000 5.2 $1,093,000 the first year and 5.3 $1,125,000 the second year are for the 5.4 treasurer to pay for banking services 5.5 by fees rather than by compensating 5.6 balances. 5.7 Sec. 6. ATTORNEY GENERAL 30,454,000 32,166,000 5.8 Summary by Fund 5.9 General 28,001,000 28,502,000 5.10 State Government 5.11 Special Revenue 1,834,000 3,035,000 5.12 Environmental 619,000 629,000 5.13 $533,000 the first year and $533,000 5.14 the second year are to maintain and 5.15 upgrade existing information technology 5.16 systems. 5.17 Sec. 7. SECRETARY OF STATE 7,225,000 7,252,000 5.18 For 2001 - $17,000 5.19 $1,306,000 the first year and 5.20 $1,054,000 the second year are for 5.21 uniform commercial code operating costs. 5.22 $46,000 the first year is for 5.23 conducting a precinct caucus straw 5.24 poll, preparing election training 5.25 materials, and producing an election 5.26 judge training video. This amount is 5.27 included in base level funding every 5.28 other year, beginning in fiscal year 5.29 2004. 5.30 $218,000 the second year is for 5.31 printing of the Minnesota legislative 5.32 manual and operation of a voter 5.33 information telephone line. This 5.34 amount is included in base level 5.35 funding every other year, beginning in 5.36 fiscal year 2005. 5.37 $20,000 the first year and $20,000 the 5.38 second year of the fees collected by 5.39 the secretary of state's office from 5.40 providing a service under Minnesota 5.41 Statutes, chapter 336, including fees 5.42 collected under Minnesota Statutes, 5.43 section 13.03, subdivision 10, must be 5.44 canceled to the general fund. 5.45 Sec. 8. CAMPAIGN FINANCE AND 5.46 PUBLIC DISCLOSURE BOARD 671,000 698,000 5.47 For 2001 - $35,000 5.48 $35,000 in fiscal year 2001 is for the 5.49 campaign finance and public disclosure 5.50 board for operating budget deficiencies. 5.51 Sec. 9. INVESTMENT BOARD 6,029,000 2,583,000 5.52 $100,000 is for the biennium ending 5.53 June 30, 2003, for the purpose of 6.1 paying staff costs related to focusing 6.2 efforts on investing in Minnesota-based 6.3 startup businesses under Minnesota 6.4 Statutes, section 11A.26. 6.5 $3,500,000 in fiscal year 2002 is for 6.6 transfer to the high technology venture 6.7 capital account. 6.8 Sec. 10. ADMINISTRATIVE HEARINGS 7,444,000 7,941,000 6.9 For 2001 - $100,000 6.10 This appropriation is from the workers' 6.11 compensation fund. 6.12 Sec. 11. OFFICE OF STRATEGIC 6.13 AND LONG-RANGE PLANNING 6,158,000 4,913,000 6.14 $200,000 the first year is to continue 6.15 the generic environmental impact 6.16 statement on urban development. 6.17 $170,000 the first year is to continue 6.18 the generic environmental impact 6.19 statement on animal agriculture. Funds 6.20 not spent in the first year are 6.21 available in the second year. 6.22 $1,000,000 the first year is for a 6.23 grant to regional development 6.24 commissions or, in regions not served 6.25 by regional development commissions, to 6.26 regional organizations selected by the 6.27 director of strategic and long-range 6.28 planning, to support planning work on 6.29 behalf of local units of government. 6.30 The planning work shall include, but 6.31 need not be limited to: 6.32 (1) development of local zoning 6.33 ordinances; 6.34 (2) land use plans; 6.35 (3) community or economic development 6.36 plans; 6.37 (4) transportation and transit plans; 6.38 (5) solid waste management plans; 6.39 (6) wastewater management plans; 6.40 (7) workforce development plans; 6.41 (8) housing development plans and/or 6.42 market analysis; 6.43 (9) rural health service plans; 6.44 (10) natural resources management 6.45 plans; or 6.46 (11) development of a geographical 6.47 information systems database to serve a 6.48 region's needs, including hardware and 6.49 software purchases, and related labor 6.50 costs. 6.51 The office of strategic and long-range 6.52 planning, in consultation with the 7.1 department of natural resources and 7.2 appropriate and affected parties, must 7.3 prepare urban rivers sustainable 7.4 development draft guidelines along the 7.5 central business districts of rivers in 7.6 urban areas of the state. The office 7.7 must: 7.8 (1) evaluate existing state and 7.9 municipal laws; 7.10 (2) evaluate the need for the 7.11 department of natural resources to have 7.12 authority to adopt rules to implement 7.13 the Mississippi river critical area 7.14 order (executive order 79-19); 7.15 (3) review federal legislation 7.16 affecting urban rivers; and 7.17 (4) identify the technical and 7.18 administrative procedures to guide 7.19 urban river development. The draft 7.20 guidelines must be made available to 7.21 the environmental and economic 7.22 development policy committees of the 7.23 legislature, and to interested parties, 7.24 by January 15, 2002. 7.25 Sec. 12. ADMINISTRATION 7.26 Subdivision 1. Total 7.27 Appropriation 62,941,000 55,543,000 7.28 For 2001 - $3,998,000 7.29 Summary by Fund 7.30 General 32,852,000 27,115,000 7.31 State Government 7.32 Special Revenue 29,039,000 28,428,000 7.33 For 2001 - $3,998,000 7.34 Special Revenue 300,000 7.35 Lottery Prize Fund 750,000 7.36 The amounts that may be spent from this 7.37 appropriation for each program are 7.38 specified in the following subdivisions. 7.39 Subd. 2. Operations Management 7.40 3,951,000 4,053,000 7.41 Subd. 3. Office of Technology 7.42 9,419,000 4,237,000 7.43 Summary by Fund 7.44 General 8,545,000 3,632,000 7.45 State Government 7.46 Special Revenue 574,000 605,000 7.47 Special Revenue 300,000 7.48 The amounts that may be spent from this 8.1 appropriation for each purpose are as 8.2 follows: 8.3 (a) CriMNet 8.4 $4,000,000 the first year is for the 8.5 planning, development, and 8.6 implementation of an integration 8.7 backbone consistent with the criminal 8.8 justice information architecture 8.9 (CriMNet). This money may not be used 8.10 by the commissioner for any other 8.11 purpose and is a one-time 8.12 appropriation. Funds not spent in the 8.13 first year are available in the second 8.14 year. 8.15 This appropriation is available only 8.16 pursuant to a budget approved by the 8.17 criminal and juvenile justice 8.18 information policy group that is 8.19 consistent with technology and project 8.20 management analyses of the office of 8.21 technology. 8.22 Up to 20 percent of this appropriation 8.23 may be released on July 1, 2001. The 8.24 remaining funds shall be released upon 8.25 approval of the criminal and juvenile 8.26 justice information policy group, under 8.27 advisement from the office of 8.28 technology. The policy group shall 8.29 approve the release of funding for each 8.30 project to ensure that the project is 8.31 in compliance with the statewide 8.32 criminal justice information system 8.33 standards, that each project remains 8.34 feasible according to plans established 8.35 pursuant to Minnesota Statutes, 8.36 sections 16E.04, subdivision 3, and 8.37 299C.65, subdivisions 6 or 7, or that 8.38 an updated plan has been approved by 8.39 the policy group and the project is 8.40 progressing according to the revised 8.41 plan, that the project is fully 8.42 integrated with existing information 8.43 and communications networks, and that 8.44 it complies with technology standards 8.45 and protocols established by the office 8.46 of technology for statewide 8.47 connectivity and interoperability. 8.48 (b) Administrative Services 8.49 2,974,000 3,335,000 8.50 $468,000 the first year and $468,000 8.51 the second year are for ongoing costs 8.52 of the North Star II project under 8.53 Minnesota Statutes, section 16E.07. 8.54 (c) Small Agency Infrastructure 8.55 Summary by Fund 8.56 General 271,000 147,000 8.57 State Government 8.58 Special Revenue 574,000 605,000 8.59 $418,000 is for a transfer to the 9.1 campaign finance and public disclosure 9.2 board, the board of judicial standards, 9.3 the racing commission, the department 9.4 of veterans affairs, and the Minnesota 9.5 amateur sports commission. $1,179,000 9.6 from the state government special 9.7 revenue fund is for a transfer to the 9.8 board of chiropractic examiners, the 9.9 board of medical practice, the board of 9.10 nursing, and the board of social work 9.11 for the small agency infrastructure 9.12 project. This appropriation is 9.13 available until June 30, 2003. The 9.14 commissioner shall report on the 9.15 progress of this project to the chairs 9.16 of the legislative committees 9.17 responsible for this budget item by 9.18 January 15, 2002. 9.19 $300,000 in fiscal year 2002 is from 9.20 the unemployment insurance technology 9.21 initiative account in the special 9.22 revenue fund for a study of the 9.23 unemployment insurance technology 9.24 initiative project. The study should 9.25 include an analysis of current business 9.26 processes, identification of 9.27 reengineering opportunities, and 9.28 development of a project plan, and 9.29 should ensure integration with the 9.30 state's enterprise architecture. The 9.31 study is the joint responsibility of 9.32 the office of technology and the 9.33 department of economic security 9.34 unemployment branch. The study must be 9.35 completed no later than June 30, 2002. 9.36 Upon completion of the study, the 9.37 department of economic security may 9.38 begin immediate and independent 9.39 implementation of the full project plan. 9.40 (d) Technology Enterprise Fund 9.41 1,000,000 -0- 9.42 A technology enterprise fund is 9.43 established. Money deposited in the 9.44 fund is appropriated to the 9.45 commissioner of administration for the 9.46 purpose of funding enterprise-wide 9.47 technology projects and citizen 9.48 telecommunications access. A portion 9.49 of revenues from the sale of 9.50 information technology surplus 9.51 equipment or data, of funds collected 9.52 from rental of communication towers, of 9.53 refunds from information technology 9.54 services or purchases, and from savings 9.55 generated by information technology and 9.56 telecommunications projects may be 9.57 deposited into the fund upon agreement 9.58 by the commissioner of administration 9.59 and the executive of the government 9.60 entity generating those funds. The 9.61 commissioner of administration may 9.62 accept contributions from other 9.63 entities or other gifts and grants into 9.64 the fund. The transfer of funds 9.65 between state agencies is subject to 9.66 the approval of the commissioner of 9.67 finance. The commissioner of finance 10.1 shall notify the chairs of the 10.2 committees funding the affected state 10.3 agencies of such transfers. Funds are 10.4 available until spent. 10.5 $150,000 from the general fund for the 10.6 Minnesota high technology foundation 10.7 for the Minnesota computers for schools 10.8 program. The foundation must provide a 10.9 match of $1 of private funds for every 10.10 $1 of state funds appropriated for the 10.11 Minnesota computers for schools program. 10.12 Subd. 4. Intertechnologies Group 10.13 29,324,000 28,682,000 10.14 Summary by Fund 10.15 General 859,000 859,000 10.16 State Government 10.17 Special Revenue 28,465,000 27,823,000 10.18 For 2001 - $3,998,000 10.19 $3,988,000 in fiscal year 2001 and 10.20 $2,862,000 in fiscal year 2002 are from 10.21 the 911 fund under Minnesota Statutes, 10.22 section 403.11, for increased costs 10.23 associated with wireless-enhanced 911 10.24 and for reimbursements to providers for 10.25 prior period services not yet certified 10.26 by the public utilities commission. 10.27 The appropriation from the special 10.28 revenue fund is for recurring costs of 10.29 911 emergency telephone service. 10.30 In each of the fiscal years 2002 and 10.31 2003, the department of administration 10.32 intertechnologies group must cancel 10.33 $225,000 of the unobligated balance in 10.34 the internal service fund to the 10.35 general fund. No cancellation may be 10.36 made from any balance that would 10.37 otherwise be required to be rebated to 10.38 the federal government. 10.39 Subd. 5. Facilities Management 10.40 10,688,000 10,779,000 10.41 $6,728,000 the first year and 10.42 $6,728,000 the second year are for 10.43 office space costs of the legislature 10.44 and veterans organizations, for 10.45 ceremonial space, and for statutorily 10.46 free space. 10.47 Subd. 6. Management Services 10.48 3,613,000 3,620,000 10.49 $162,000 the first year and $163,000 10.50 the second year are for the information 10.51 policy training program under Minnesota 10.52 Statutes, section 13.073. 10.53 $196,000 the first year and $196,000 10.54 the second year are for the office of 11.1 the state archaeologist. 11.2 $74,000 the first year and $74,000 the 11.3 second year are for the developmental 11.4 disabilities council. 11.5 The base amount of funding used for 11.6 consulting contracts by the department 11.7 of administration is reduced by 11.8 $439,000, which must come from 11.9 departmental consulting funds. 11.10 The management analysis division shall 11.11 conduct a study to assess the 11.12 feasibility of collecting fees for 11.13 services provided by the office of the 11.14 state archaeologist. The management 11.15 analysis division shall submit a report 11.16 to the chair of the senate state 11.17 government, economic development and 11.18 the judiciary budget division and the 11.19 chair of the house of representatives 11.20 state government finance committees by 11.21 July 15, 2002. 11.22 $200,000 the first year and $100,000 11.23 the second year are for the STAR 11.24 program. This is a one-time 11.25 appropriation. 11.26 Subd. 7. Fiscal Agent 11.27 787,000 2,000 11.28 Summary by Fund 11.29 General 37,000 2,000 11.30 Lottery Prize Fund 750,000 -0- 11.31 $750,000 in the first year from the 11.32 lottery prize fund is for a grant to 11.33 reconstruct project turnabout in 11.34 Granite Falls destroyed by the Granite 11.35 Falls tornado. This appropriation is 11.36 available until June 30, 2003, and does 11.37 not become part of the base. 11.38 $35,000 in the first year is for a 11.39 grant to the Longville city hall 11.40 district to complete construction of 11.41 the Longville city hall ambulance 11.42 building. 11.43 $2,000 the first year and $2,000 the 11.44 second year are for the state 11.45 employees' band. 11.46 Subd. 8. Minneapolis-Guthrie 11.47 Theater 11.48 The appropriation in Laws 2000, chapter 11.49 492, article 1, section 14, subdivision 11.50 2, may be used to predesign and begin 11.51 design of a new Guthrie Theater and 11.52 need not be used to acquire and prepare 11.53 a site for the theater nor to 11.54 construct, furnish, and equip it. 11.55 Subd. 9. Public Broadcasting 12.1 5,159,000 4,170,000 12.2 $1,708,000 the first year and 12.3 $1,716,000 the second year are for 12.4 matching grants for public television. 12.5 $703,000 the first year and $706,000 12.6 the second year are for public 12.7 television equipment grants. 12.8 $1,000,000 the first year is for grants 12.9 to noncommercial television stations to 12.10 assist with conversion to a digital 12.11 broadcast signal as mandated by the 12.12 federal government. In order to 12.13 qualify for a grant, a station must 12.14 meet the criteria established for 12.15 grants in Minnesota Statutes, section 12.16 129D.12, subdivision 2. 12.17 Equipment or digital conversion grant 12.18 allocations shall be made after 12.19 considering the recommendations of the 12.20 Minnesota public television association. 12.21 $441,000 the first year and $441,000 12.22 the second year are for grants for 12.23 public information television 12.24 transmission of legislative 12.25 activities. At least one-half must go 12.26 for programming to be broadcast in 12.27 rural Minnesota. 12.28 $50,000 the first year and $50,000 the 12.29 second year are for grants to the Twin 12.30 Cities regional cable channel. 12.31 $395,000 the first year and $395,000 12.32 the second year are for community 12.33 service grants to public educational 12.34 radio stations, which must be allocated 12.35 after considering the recommendations 12.36 of the association of Minnesota public 12.37 educational radio stations under 12.38 Minnesota Statutes, section 129D.14. 12.39 $862,000 the first year and $862,000 12.40 the second year are for equipment 12.41 grants to public radio stations. These 12.42 grants must be allocated after 12.43 considering the recommendations of the 12.44 association of Minnesota public 12.45 educational radio stations and 12.46 Minnesota Public Radio, Inc. 12.47 If an appropriation for either year for 12.48 grants to public television or radio 12.49 stations is not sufficient, the 12.50 appropriation for the other year is 12.51 available for it. 12.52 Sec. 13. CAPITOL AREA ARCHITECTURAL 12.53 AND PLANNING BOARD 334,000 341,000 12.54 Sec. 14. FINANCE 12.55 Subdivision 1. Total 12.56 Appropriation 18,160,000 18,559,000 12.57 The amounts that may be spent from this 12.58 appropriation for each program are 13.1 specified in the following subdivisions. 13.2 (a) The statewide systems account is a 13.3 separate account in the general fund. 13.4 All money resulting from billings for 13.5 statewide systems services must be 13.6 deposited in the account. For the 13.7 purposes of this section, statewide 13.8 systems includes the state accounting 13.9 system, payroll system, human resources 13.10 systems, procurement system, and 13.11 related information access systems. 13.12 (b) The commissioner of finance may 13.13 bill up to $7,520,000 in fiscal year 13.14 2002 and $7,520,000 in fiscal year 2003 13.15 for statewide systems services provided 13.16 to state agencies, judicial branch 13.17 agencies, the University of Minnesota, 13.18 the Minnesota state colleges and 13.19 universities, and other entities. 13.20 Billing must be based only on usage of 13.21 service relating to statewide systems 13.22 provided by the intertechnologies 13.23 division. Each agency shall transfer 13.24 from agency operating appropriations to 13.25 the statewide systems account the 13.26 amount billed by the commissioner. 13.27 Billing policies and procedures related 13.28 to statewide systems services must be 13.29 developed by the commissioner of 13.30 finance in consultation with the 13.31 commissioners of employee relations and 13.32 administration, the University of 13.33 Minnesota, and the Minnesota state 13.34 colleges and universities. 13.35 (c) Money transferred into the account 13.36 is appropriated to the commissioner of 13.37 finance to pay for statewide systems 13.38 services during the fiscal years 13.39 2002-2003. 13.40 The commissioner of finance shall 13.41 undertake a study of building projects 13.42 authorized for state agencies. The 13.43 study must include an estimate of any 13.44 change in operating costs to agencies 13.45 related to the construction or major 13.46 renovation of facilities that have been 13.47 authorized in previous bonding bills. 13.48 The analysis must examine each project 13.49 authorized since 1990, include only 13.50 state agencies, and measure actual cost 13.51 increases due solely to building 13.52 operations. The study must also 13.53 contain a comparison of the cash flows 13.54 of projects estimated by agencies at 13.55 the time projects were proposed to the 13.56 legislature and the actual cash flows 13.57 of projects actually undertaken. The 13.58 study must also include an analysis of 13.59 the inflation contingency included in 13.60 the initial proposals with cost changes 13.61 that occurred solely due to inflation. 13.62 This comparison may not include costs 13.63 changes due to change orders or other 13.64 project changes after the projects have 13.65 been authorized. The commissioner 13.66 shall consult with the finance chair in 13.67 the senate and the ways and means chair 14.1 in the house of representatives on the 14.2 methodology used in the analysis and 14.3 submit a final report to the chairs by 14.4 November 15, 2001. The commissioner 14.5 shall use the results of operating 14.6 costs estimates in any planning budgets 14.7 included under Minnesota Statutes, 14.8 section 16A.103. 14.9 Subd. 2. State Financial Management 14.10 8,413,000 8,548,000 14.11 Subd. 3. Information and 14.12 Management Services 14.13 9,747,000 10,011,000 14.14 Sec. 15. EMPLOYEE RELATIONS 14.15 Subdivision 1. Total 14.16 Appropriation 7,667,000 7,847,000 14.17 The amounts that may be spent from this 14.18 appropriation for each program are 14.19 specified in the following subdivisions. 14.20 The workers' compensation reinsurance 14.21 association shall report all operating 14.22 expenses, including annual salary 14.23 figures, by name and position, other 14.24 compensation, and expenses to the 14.25 committees on commerce of the Minnesota 14.26 legislature by January 15, 2002. 14.27 Subd. 2. Employee Insurance 14.28 70,000 70,000 14.29 For fiscal years 2002 and 2003, up to 14.30 $1,320,000 may be transferred from the 14.31 revolving fund of the insurance 14.32 division for purposes of the employee 14.33 assistance program. 14.34 Of the funds in the state employee 14.35 insurance fund, $1,690,000 the first 14.36 year and $3,379,000 the second year are 14.37 appropriated for the patient protection 14.38 provisions of Senate File No. 491, 14.39 should that bill become law, as those 14.40 provisions affect state employee 14.41 insurance costs. 14.42 Subd. 3. Human Resources Management 14.43 7,597,000 7,777,000 14.44 $75,000 the first year and $75,000 the 14.45 second year are for a grant to the 14.46 government training service. 14.47 Sec. 16. REVENUE 14.48 Subdivision 1. Total 14.49 Appropriation 101,738,000 97,049,000 14.50 Summary by Fund 14.51 General 97,509,000 92,738,000 15.1 Health Care Access 1,731,000 1,764,000 15.2 Highway User 15.3 Tax Distribution 2,191,000 2,237,000 15.4 Environmental 307,000 310,000 15.5 The amounts that may be spent from this 15.6 appropriation for each program are 15.7 specified in the following subdivisions. 15.8 $179,000 is appropriated to the 15.9 commissioner in the first year for 15.10 allocation as follows: 15.11 (1) $80,000 for deposit in the general 15.12 fund of the city of Osseo; and 15.13 (2) $99,000 for deposit in the special 15.14 fund of the Osseo volunteer firefighter 15.15 relief association. This is a one-time 15.16 expenditure. Funds not spent in the 15.17 first year are available in the second 15.18 year. 15.19 $200,000 in the first year is to be 15.20 apportioned among the counties in 15.21 amendment number 5 and amendment number 15.22 6 to the Presidential Declaration of 15.23 Major Disaster, DR1333, to provide 15.24 reimbursement for abatements granted 15.25 under section 8, for taxes payable in 15.26 2000 and 2001 to properties damaged by 15.27 tornadoes on July 25, 2000. The 15.28 apportionment shall be based upon the 15.29 amount of disaster-related market value 15.30 loss in each county. Counties must be 15.31 reimbursed only for property taxes that 15.32 were actually abated, not to exceed 15.33 each county's apportioned amount. 15.34 Subd. 2. Tax System Management 15.35 90,899,000 86,228,000 15.36 Summary by Fund 15.37 General 86,723,000 81,970,000 15.38 Health Care Access 1,678,000 1,711,000 15.39 Highway User 15.40 Tax Distribution 2,191,000 2,237,000 15.41 Environmental 307,000 310,000 15.42 Subd. 3. Accounts Receivable Management 15.43 10,839,000 10,821,000 15.44 Summary by Fund 15.45 General 10,786,000 10,786,000 15.46 Health Care Access 53,000 53,000 15.47 Sec. 17. MILITARY AFFAIRS 15.48 Subdivision 1. Total 15.49 Appropriation 14,138,000 14,432,000 16.1 The amounts that may be spent from this 16.2 appropriation for each program are 16.3 specified in the following subdivisions. 16.4 Subd. 2. Maintenance of Training 16.5 Facilities 16.6 7,072,000 7,175,000 16.7 $1,325,000 the first year and 16.8 $1,325,000 the second year are 16.9 appropriated for asset preservation and 16.10 facility repair. This appropriation 16.11 may be transferred between programs, to 16.12 the extent it is used for the same 16.13 purpose. The adjutant general may use 16.14 other available funding for this 16.15 purpose, to the extent it is not 16.16 inconsistent with any other law. 16.17 Subd. 3. General Support 16.18 1,765,000 1,799,000 16.19 $50,000 is to assist in the operation 16.20 and staffing of the Minnesota national 16.21 guard youth camp at Camp Ripley. Of 16.22 this amount, $25,000 is for the fiscal 16.23 year ending June 30, 2002, and $25,000 16.24 is for the fiscal year ending June 30, 16.25 2003. This appropriation is contingent 16.26 on its being matched by money from 16.27 other sources. This is a one-time 16.28 appropriation. 16.29 Subd. 4. Enlistment Incentives 16.30 5,226,000 5,383,000 16.31 $5,226,000 the first year and 16.32 $5,382,000 the second is for enlistment 16.33 incentives. 16.34 If appropriations for either year of 16.35 the biennium are insufficient, the 16.36 appropriation from the other year is 16.37 available. The appropriations for 16.38 enlistment incentives are available 16.39 until expended. 16.40 Subd. 5. Emergency Services 16.41 75,000 75,000 16.42 These appropriations are for expenses 16.43 of military forces ordered to active 16.44 duty under Minnesota Statutes, chapter 16.45 192. If the appropriation for either 16.46 year is insufficient, the appropriation 16.47 for the other year is available for it. 16.48 Sec. 18. VETERANS AFFAIRS 4,435,000 4,466,000 16.49 $25,000 the first year is for a grant 16.50 to the St. Louis County Heritage and 16.51 Arts Center in Duluth, Minnesota, to be 16.52 used to complete the Veterans Memorial 16.53 Hall physical exhibit and displays. 16.54 This appropriation is available until 16.55 June 30, 2002. 17.1 Sec. 19. VETERANS OF FOREIGN 17.2 WARS 55,000 55,000 17.3 For carrying out the provisions of Laws 17.4 1945, chapter 455. 17.5 Sec. 20. MILITARY ORDER OF 17.6 THE PURPLE HEART 20,000 20,000 17.7 Sec. 21. DISABLED AMERICAN VETERANS 13,000 13,000 17.8 For carrying out the provisions of Laws 17.9 1941, chapter 425. 17.10 Sec. 22. GAMBLING CONTROL 2,350,000 2,410,000 17.11 Sec. 23. RACING COMMISSION 410,000 418,000 17.12 Sec. 24. BOARD OF THE ARTS 17.13 Subdivision 1. Total 17.14 Appropriation 13,716,000 13,890,000 17.15 Any unencumbered balance remaining in 17.16 this section the first year does not 17.17 cancel but is available for the second 17.18 year of the biennium. 17.19 Subd. 2. Operations and Services 17.20 1,041,000 1,065,000 17.21 Subd. 3. Grants Program 17.22 8,840,000 8,915,000 17.23 Subd. 4. Regional Arts Councils 17.24 3,835,000 3,910,000 17.25 Sec. 25. MINNESOTA HUMANITIES 17.26 COMMISSION 1,272,000 1,436,000 17.27 Any unencumbered balance remaining in 17.28 the first year does not cancel but is 17.29 available for the second year of the 17.30 biennium. 17.31 $350,000 the first year and $500,000 17.32 the second year are for 17.33 Motheread/Fatheread, humanities 17.34 programs, workshops, seminars for 17.35 adults, and grants to community groups. 17.36 Sec. 26. TORT CLAIMS 275,000 275,000 17.37 To be spent by the commissioner of 17.38 finance. 17.39 If the appropriation for either year is 17.40 insufficient, the appropriation for the 17.41 other year is available for it. 17.42 Sec. 27. MINNESOTA STATE 17.43 RETIREMENT SYSTEM 9,299,000 9,856,000 17.44 The amounts estimated to be needed for 17.45 each program are as follows: 17.46 (a) Legislators 18.1 6,821,000 7,230,000 18.2 Under Minnesota Statutes, sections 18.3 3A.03, subdivision 2; 3A.04, 18.4 subdivisions 3 and 4; and 3A.11. 18.5 (b) Constitutional Officers 18.6 355,000 376,000 18.7 Under Minnesota Statutes, sections 18.8 352C.031, subdivision 5; 352C.04, 18.9 subdivision 3; and 352C.09, subdivision 18.10 2. 18.11 If an appropriation in this section for 18.12 either year is insufficient, the 18.13 appropriation for the other year is 18.14 available for it. 18.15 Sec. 28. MINNEAPOLIS EMPLOYEES 18.16 RETIREMENT FUND 3,232,000 3,232,000 18.17 $3,232,000 the first year and 18.18 $3,232,000 the second year are to the 18.19 commissioner of finance for payment to 18.20 the Minneapolis employees retirement 18.21 fund under Minnesota Statutes, section 18.22 422A.101, subdivision 3. Payment must 18.23 be made in four equal installments, 18.24 March 15, July 15, September 15, and 18.25 November 15 each year. 18.26 Sec. 29. POLICE AND FIRE 18.27 AMORTIZATION AID 6,345,000 6,345,000 18.28 $4,925,000 the first year and 18.29 $4,925,000 the second year are to the 18.30 commissioner of revenue for state aid 18.31 to amortize the unfunded liability of 18.32 local police and salaried firefighters 18.33 relief associations under Minnesota 18.34 Statutes, section 423A.02. 18.35 $1,000,000 the first year and 18.36 $1,000,000 the second year are to the 18.37 commissioner of revenue for 18.38 supplemental state aid to amortize the 18.39 unfunded liability of local police and 18.40 salaried firefighters relief 18.41 associations under Minnesota Statutes, 18.42 section 423A.02, subdivision 1a. 18.43 $420,000 the first year and $420,000 18.44 the second year are to the commissioner 18.45 of revenue to pay reimbursements to 18.46 relief associations for firefighter 18.47 supplemental benefits paid under 18.48 Minnesota Statutes, section 424A.10. 18.49 Sec. 30. BOARD OF GOVERNMENT 18.50 INNOVATION AND COOPERATION 922,000 926,000 18.51 Sec. 31. WORKERS' COMPENSATION 18.52 COURT OF APPEALS 18.53 The workers' compensation court of 18.54 appeals is appropriated funds 18.55 sufficient to meet the compensation 18.56 council recommendations regarding that 18.57 court, from the workers' compensation 19.1 special payment fund. 19.2 Sec. 32. CHILDREN, FAMILIES, 19.3 AND LEARNING 4,238,000 4,288,000 19.4 General 2,338,000 2,338,000 19.5 TANF 1,900,000 1,950,000 19.6 $1,900,000 the first year and 19.7 $1,950,000 the second year are for 19.8 reimbursement grants to transitional 19.9 housing programs under Minnesota 19.10 Statutes, section 119A.43. 19.11 The sums indicated in this section are 19.12 appropriated to the commissioner of 19.13 children, families, and learning from 19.14 the federal Temporary Assistance for 19.15 Needy Families (TANF) block grant. 19.16 These amounts are available for 19.17 expenditure until June 30, 2003. 19.18 Appropriations under this section are 19.19 one-time appropriations and are not 19.20 added to the base for fiscal years 2004 19.21 and 2005. 19.22 These appropriations must be used for 19.23 up to four months of transitional 19.24 housing for families with incomes below 19.25 200 percent of the federal poverty 19.26 guidelines. Payment must be made to 19.27 programs on a reimbursement basis. 19.28 [EMERGENCY SERVICES.] For emergency 19.29 services for the homeless: 19.30 2002 2003 19.31 350,000 350,000 19.32 Of the emergency services 19.33 appropriation, up to five percent each 19.34 year may be used for administrative 19.35 costs. 19.36 [TRANSITIONAL HOUSING.] For 19.37 reimbursement grants to transitional 19.38 housing programs under Minnesota 19.39 Statutes, section 119A.43: 19.40 2002 2003 19.41 1,988,000 1,988,000 19.42 Of the transitional housing 19.43 appropriation, up to five percent each 19.44 year may be used for administrative 19.45 costs. 19.46 Sec. 33. [EFFECTIVE DATE.] 19.47 The 2001 appropriations in this article are effective the 19.48 day following final enactment and are available until June 30, 19.49 2003. 19.50 ARTICLE 2 19.51 CRIMINAL JUSTICE APPROPRIATIONS 20.1 Section 1. [CRIMINAL JUSTICE APPROPRIATIONS.] 20.2 The sums shown in the columns marked "APPROPRIATIONS" are 20.3 appropriated from the general fund to the agencies and for the 20.4 purposes specified in this article, to be available for the 20.5 fiscal years indicated for each purpose. The figures "2002" and 20.6 "2003" where used in this article, mean that the appropriation 20.7 or appropriations listed under them are available for the year 20.8 ending June 30, 2002, or June 30, 2003, respectively. 20.9 APPROPRIATIONS 20.10 Available for the Year 20.11 Ending June 30 20.12 2002 2003 20.13 Sec. 2. SUPREME COURT 20.14 Subdivision 1. Total 20.15 Appropriation $ 39,011,000 $ 41,389,000 20.16 The amounts that may be spent from this 20.17 appropriation for each program are 20.18 specified in the following subdivisions. 20.19 Subd. 2. Supreme Court Operations 20.20 5,397,000 5,445,000 20.21 $5,000 the first year and $5,000 the 20.22 second year are for a contingent 20.23 account for expenses necessary for the 20.24 normal operation of the court for which 20.25 no other reimbursement is provided. 20.26 (a) $125,000 the first year is to 20.27 reimburse Carlton county for 20.28 extraordinary expenses related to 20.29 homicide trials. This is a one-time 20.30 appropriation. 20.31 (b) $160,000 the first year is to 20.32 reimburse Aitkin county for 20.33 extraordinary expenses related to 20.34 homicide trials. This is a one-time 20.35 appropriation. 20.36 Subd. 3. Civil Legal Services 20.37 7,934,000 8,934,000 20.38 (a) This appropriation is for legal 20.39 services to low-income clients and for 20.40 family farm legal assistance under 20.41 Minnesota Statutes, section 480.242. 20.42 Any unencumbered balance remaining in 20.43 the first year does not cancel but is 20.44 available for the second year of the 20.45 biennium. A qualified legal services 20.46 program, as defined in Minnesota 20.47 Statutes, section 480.24, subdivision 20.48 3, may provide legal services to 20.49 persons eligible for family farm legal 20.50 assistance under Minnesota Statutes, 20.51 section 480.242. 21.1 (b) Of this appropriation, $877,000 the 21.2 first year and $877,000 the second year 21.3 are to improve the access of low-income 21.4 clients to legal representation in 21.5 family law matters. This appropriation 21.6 must be distributed under Minnesota 21.7 Statutes, section 480.242, to the 21.8 qualified legal services programs 21.9 described in Minnesota Statutes, 21.10 section 480.242, subdivision 2, 21.11 paragraph (a). Any unencumbered 21.12 balance remaining in the first year 21.13 does not cancel and is available for 21.14 the second year of the biennium. 21.15 Subd. 4. State Court Administration 21.16 23,627,000 24,852,000 21.17 (a) $7,500,000 the first year and 21.18 $7,500,000 the second year are to 21.19 continue redevelopment of the court 21.20 information system to be used by all 21.21 counties to integrate court information 21.22 with other criminal justice information. 21.23 This appropriation is available only 21.24 pursuant to a budget approved by the 21.25 criminal and juvenile justice 21.26 information policy group that is 21.27 consistent with technology and project 21.28 management analyses of the office of 21.29 technology. 21.30 Up to 20 percent of this appropriation 21.31 may be released on July 1, 2001. The 21.32 remaining funds shall be released upon 21.33 approval of the criminal and juvenile 21.34 justice information policy group, under 21.35 advisement from the office of 21.36 technology. The policy group shall 21.37 approve the release of funding for each 21.38 project to ensure that the project is 21.39 in compliance with the statewide 21.40 criminal justice information system 21.41 standards, that each project remains 21.42 feasible according to plans established 21.43 pursuant to Minnesota Statutes, 21.44 sections 16E.04, subdivision 3, and 21.45 299C.65, subdivisions 6 or 7, or that 21.46 an updated plan has been approved by 21.47 the policy group and the project is 21.48 progressing according to the revised 21.49 plan, that the project is fully 21.50 integrated with existing information 21.51 and communications networks, and that 21.52 it complies with technology standards 21.53 and protocols established by the office 21.54 of technology for statewide 21.55 connectivity and interoperability. 21.56 (b) The department of finance shall 21.57 include base adjustments for district 21.58 and state court administration 21.59 infrastructure and for state 21.60 compensation plan and insurance 21.61 implementation associated with the 21.62 judicial district funding transfer from 21.63 county to state government within the 21.64 fiscal year 2004 and fiscal year 2005 21.65 budgets for the judicial branch. 22.1 Subd. 5. Law Library Operations 22.2 2,053,000 2,158,000 22.3 Sec. 3. COURT OF APPEALS 8,001,000 8,312,000 22.4 Sec. 4. DISTRICT COURTS 123,894,000 133,766,000 22.5 (a) $2,586,000 the first year and 22.6 $2,519,000 the second year are for the 22.7 nine judge units authorized by article 22.8 3, section 1, and other judicial 22.9 services. Each judge unit consists of 22.10 a judge, law clerk, and court 22.11 reporter. The appropriation is 22.12 available until expended. 22.13 (b) $160,000 the first year is for 22.14 alternative dispute resolution programs 22.15 authorized by article 3, section 5. Of 22.16 this amount, $80,000 is for the third 22.17 judicial district and $80,000 is for 22.18 the fifth judicial district. 22.19 Sec. 5. BOARD ON JUDICIAL 22.20 STANDARDS 249,000 254,000 22.21 Sec. 6. TAX COURT 813,000 853,000 22.22 FY 2001 - $24,000 22.23 Sec. 7. HUMAN RIGHTS 4,076,000 4,176,000 22.24 Sec. 8. UNIFORM LAWS COMMISSION 39,000 40,000 22.25 ARTICLE 3 22.26 JUDICIARY PROVISIONS 22.27 Section 1. Minnesota Statutes 2000, section 2.722, 22.28 subdivision 1, is amended to read: 22.29 Subdivision 1. [DESCRIPTION.] Effective July 1, 1959, the 22.30 state is divided into ten judicial districts composed of the 22.31 following named counties, respectively, in each of which 22.32 districts judges shall be chosen as hereinafter specified: 22.33 1. Goodhue, Dakota, Carver, Le Sueur, McLeod, Scott, and 22.34 Sibley;3234 judges; and four permanent chambers shall be 22.35 maintained in Red Wing, Hastings, Shakopee, and Glencoe and one 22.36 other shall be maintained at the place designated by the chief 22.37 judge of the district; 22.38 2. Ramsey; 26 judges; 22.39 3. Wabasha, Winona, Houston, Rice, Olmsted, Dodge, Steele, 22.40 Waseca, Freeborn, Mower, and Fillmore;2224 judges; and 22.41 permanent chambers shall be maintained in Faribault, Albert Lea, 22.42 Austin, Rochester, and Winona; 23.1 4. Hennepin; 60 judges; 23.2 5. Blue Earth, Watonwan, Lyon, Redwood, Brown, Nicollet, 23.3 Lincoln, Cottonwood, Murray, Nobles, Pipestone, Rock, Faribault, 23.4 Martin, and Jackson; 16 judges; and permanent chambers shall be 23.5 maintained in Marshall, Windom, Fairmont, New Ulm, and Mankato; 23.6 6. Carlton, St. Louis, Lake, and Cook; 15 judges; 23.7 7. Benton, Douglas, Mille Lacs, Morrison, Otter Tail, 23.8 Stearns, Todd, Clay, Becker, and Wadena;2425 judges; and 23.9 permanent chambers shall be maintained in Moorhead, Fergus 23.10 Falls, Little Falls, and St. Cloud; 23.11 8. Chippewa, Kandiyohi, Lac qui Parle, Meeker, Renville, 23.12 Swift, Yellow Medicine, Big Stone, Grant, Pope, Stevens, 23.13 Traverse, and Wilkin; 11 judges; and permanent chambers shall be 23.14 maintained in Morris, Montevideo, and Willmar; 23.15 9. Norman, Polk, Marshall, Kittson, Red Lake, Roseau, 23.16 Mahnomen, Pennington, Aitkin, Itasca, Crow Wing, Hubbard, 23.17 Beltrami, Lake of the Woods, Clearwater, Cass and Koochiching; 23.182223 judges; and permanent chambers shall be maintained in 23.19 Crookston, Thief River Falls, Bemidji, Brainerd, Grand Rapids, 23.20 and International Falls; and 23.21 10. Anoka, Isanti, Wright, Sherburne, Kanabec, Pine, 23.22 Chisago, and Washington;3942 judges; and permanent chambers 23.23 shall be maintained in Anoka, Stillwater, and other places 23.24 designated by the chief judge of the district. 23.25 Sec. 2. Minnesota Statutes 2000, section 2.724, 23.26 subdivision 3, is amended to read: 23.27 Subd. 3. [RETIRED JUSTICES AND JUDGES.] (a) The chief 23.28 justice of the supreme court may assign a retired justice of the 23.29 supreme court to act as a justice of the supreme court pursuant 23.30 to subdivision 2 or as a judge of any other court. The chief 23.31 justice may assign a retired judge of any court to act as a 23.32 judge of any court except the supreme court.A judge acting23.33pursuant to this paragraph shall receive pay and expenses in the23.34amount and manner provided by law for judges serving on the23.35court to which the retired judge is assigned, less the amount of23.36retirement pay which the judge is receivingThe supreme court 24.1 shall determine the pay and expenses to be received by a judge 24.2 acting pursuant to this paragraph. 24.3 (b) A judge who has been elected to office and who has 24.4 retired as a judge in good standing and is not practicing law 24.5 may also be appointed to serve as judge of any court except the 24.6 supreme court. A retired judge acting under this paragraph will 24.7 receive pay and expenses in the amount established by the 24.8 supreme court. 24.9 Sec. 3. [15A.0821] [JUDGES' SALARIES.] 24.10 Subdivision 1. [ANNUAL INCREASE.] Effective January 1 of 24.11 each year, the salaries of judges of the supreme court, court of 24.12 appeals, and district court are increased by the average of the 24.13 general salary adjustment for state employees in the fiscal year 24.14 ending the prior June 30 in collective bargaining agreements or 24.15 arbitration awards ratified by the legislature. 24.16 Subd. 2. [CALCULATION.] The commissioner of employee 24.17 relations shall calculate the average of the general salary 24.18 adjustments provided by collective bargaining agreements or 24.19 arbitration awards that have been ratified by the legislature. 24.20 Collective bargaining agreements or arbitration awards that do 24.21 not include general salary adjustments may not be included in 24.22 these calculations. The commissioner shall weight the general 24.23 salary adjustments by the number of full-time equivalent 24.24 employees covered by each agreement or award. The results of 24.25 the commissioner's calculations must be expressed as a 24.26 percentage, rounded to the nearest one-tenth of one percent. 24.27 The commissioner shall calculate the new salaries for judges and 24.28 report them to the chief justice of the supreme court by 24.29 December 1 each year. The salary adjustments provided in this 24.30 section do not limit the ability of the legislature to provide 24.31 other adjustments in other law. 24.32 [EFFECTIVE DATE.] This section is effective for increases 24.33 to take effect January 1, 2004, based on calculations by the 24.34 commissioner of employee relations reported by December 1, 2003. 24.35 Sec. 4. Minnesota Statutes 2000, section 480.182, is 24.36 amended to read: 25.1 480.182 [STATE ASSUMPTION OF CERTAIN COURT COSTS.] 25.2 (a) Notwithstanding any law to the contrary, the state 25.3 courts will pay for the following court-related programs and 25.4 costs: 25.5 (1) court interpreter program and personnel costs; 25.6 (2) guardian ad litem program and personnel costs; 25.7 (3) examination costs, not including hospitalization or 25.8 treatment costs, for mental commitments and related proceedings 25.9 under chapter 253B; 25.10 (4) examination costs under rule 20 of the Rules of 25.11 Criminal Procedure; 25.12 (5) in forma pauperis costs; 25.13 (6) costs for transcripts mandated by statute, except in 25.14 appeal cases and postconviction cases handled by the board of 25.15 public defense; and 25.16 (7) jury program costs, not including personnel. 25.17 (b) In counties in a judicial district under section 25.18 480.181, subdivision 1, paragraph (b), the state courts shall 25.19 pay the witness fees and mileage fees specified in sections 25.20 253B.23, subdivision 1; 260B.152, subdivision 2; 260C.152, 25.21 subdivision 2; 260B.331, subdivision 3, clause (a); 260C.331, 25.22 subdivision 3, clause (a); 357.24; 357.32; 525.012, subdivision 25.23 5; and 627.02. 25.24 Sec. 5. [DEVELOPMENT OF AND GRANTS FOR ALTERNATIVE DISPUTE 25.25 RESOLUTION PROGRAMS.] 25.26 Subdivision 1. [DEVELOPMENT; OPERATION; PURPOSE.] The 25.27 third and fifth judicial districts must develop, or continue the 25.28 operation of, alternative dispute resolution programs to provide 25.29 services in conciliation court cases and unlawful detainer 25.30 proceedings. The purposes of the programs are to provide 25.31 increased efficiency of court proceedings, reduce court costs, 25.32 allow judges to provide added attention to cases on the regular 25.33 docket, improve the quality of justice, and improve collection 25.34 of judgments. Volunteer community mediators must be trained to 25.35 conduct the mediations. 25.36 Subd. 2. [CONTRACTS; GRANTS.] The third and fifth judicial 26.1 districts may contract with or provide grants to a person or 26.2 organization to develop and operate alternative dispute 26.3 resolution programs under this section. Grants or contract 26.4 awards can be in amounts up to $40,000. A person or 26.5 organization that develops or operates a program under this 26.6 section must provide matching funds from nonstate sources equal 26.7 to at least 50 percent of the grant or contract award. 26.8 Subd. 3. [ELIGIBILITY.] An alternative dispute resolution 26.9 program developed or operated under this section must meet the 26.10 requirements for dispute resolution programs under Minnesota 26.11 Statutes, chapter 494. 26.12 Subd. 4. [REPORTING.] By January 1, 2003, the district 26.13 court administrators from the third and fifth judicial districts 26.14 must jointly report to the legislature on the results of the 26.15 alternative dispute resolution programs developed or operated 26.16 under this section. 26.17 Sec. 6. [EFFECTIVE DATE.] 26.18 One of the additional judgeships in the first district, two 26.19 of the additional judgeships in the third district, one of the 26.20 additional judgeships in the seventh district, one of the 26.21 additional judgeships in the ninth district, and two of the 26.22 additional judgeships in the tenth district are effective July 26.23 1, 2001. One of the additional judgeships in the first district 26.24 and one of the additional judgeships in the tenth district are 26.25 effective April 1, 2003. 26.26 ARTICLE 4 26.27 ECONOMIC DEVELOPMENT AND JOBS APPROPRIATIONS 26.28 Section 1. [ECONOMIC DEVELOPMENT; APPROPRIATIONS.] 26.29 The sums shown in the columns marked "APPROPRIATIONS" are 26.30 appropriated from the general fund, or another named fund, to 26.31 the agencies and for the purposes specified in this act, to be 26.32 available for the fiscal years indicated for each purpose. The 26.33 figures "2002" and "2003," where used in this act, mean that the 26.34 appropriation or appropriations listed under them are available 26.35 for the year ending June 30, 2002, or June 30, 2003, 26.36 respectively. The term "first year" means the fiscal year 27.1 ending June 30, 2002, and "second year" means the fiscal year 27.2 ending June 30, 2003. 27.3 SUMMARY BY FUND 27.4 2002 2003 TOTAL 27.5 General $102,095,000 $79,919,000 $182,014,000 27.6 Remediation Fund 700,000 700,000 1,400,000 27.7 TANF 750,000 750,000 1,500,000 27.8 Workforce 27.9 Development Fund 13,674,000 4,770,000 18,444,000 27.10 TOTAL $117,219,000 $86,139,000 $203,358,000 27.11 APPROPRIATIONS 27.12 Available for the Year 27.13 Ending June 30 27.14 2002 2003 27.15 Sec. 2. TRADE AND ECONOMIC DEVELOPMENT 27.16 Subdivision 1. Total 27.17 Appropriation 65,165,000 37,188,000 27.18 Summary by Fund 27.19 General 56,743,000 35,438,000 27.20 TANF 750,000 750,000 27.21 Remediation Fund 700,000 700,000 27.22 Workforce 27.23 Development Fund 6,972,000 300,000 27.24 The amounts that may be spent from this 27.25 appropriation for each program are 27.26 specified in the following subdivisions. 27.27 Subd. 2. Business and Community 27.28 Development 35,759,000 11,062,000 27.29 Summary by Fund 27.30 General 30,487,000 10,362,000 27.31 Remediation Fund 700,000 700,000 27.32 Workforce 27.33 Development Fund 4,572,000 -0- 27.34 $12,700,000 is for a grant to the board 27.35 of regents of the University of 27.36 Minnesota for the university's 27.37 contribution to the North Star Research 27.38 Coalition. Of this amount, $3,200,000 27.39 is for the coalition to invest in the 27.40 biomedical innovation and 27.41 commercialization initiative. Of the 27.42 remainder, 80 percent is for a 27.43 permanent endowment to be maintained by 27.44 the coalition and 20 percent is for 27.45 grants in the biennium. The 27.46 commissioner of finance may not release 27.47 this appropriation until the board of 27.48 regents certifies that a tax-exempt 28.1 corporation in a form complying with 28.2 Minnesota Statutes, section 137.45, has 28.3 been established. The commissioner 28.4 shall release the money appropriated, 28.5 as a one-for-one match for money 28.6 contributed directly to the coalition 28.7 from nonstate sources, or as a 28.8 one-for-one match with respect to 28.9 individual research projects funded by 28.10 the coalition for which a match from 28.11 nonstate sources is required by the 28.12 coalition or is available. The 28.13 appropriation shall be released on a 28.14 quarterly basis until the appropriation 28.15 is expended. Notwithstanding any law 28.16 to the contrary, this appropriation 28.17 shall not cancel, but is available 28.18 until expended. It is the intention of 28.19 the legislature that the base funding 28.20 in fiscal year 2004 for the North Star 28.21 Coalition be $25,000,000. Of this 28.22 amount, $5,000,000 is for investment in 28.23 the biomedical innovation and 28.24 commercialization initiative. 28.25 $1,300,000 the first year is for 28.26 purposes of the redevelopment grant 28.27 program under Minnesota Statutes, 28.28 sections 116J.561 to 116J.567. Funds 28.29 not expended in the first year are 28.30 available in the second year. This is 28.31 a one-time appropriation. 28.32 $1,000,000 the first year is for 28.33 payment to the metropolitan council for 28.34 livable communities grants. The 28.35 commissioner must transfer the amount 28.36 to the metropolitan council upon 28.37 receipt of a certified copy of a 28.38 council resolution requesting payment. 28.39 The appropriation must be used by the 28.40 council for grants to metropolitan 28.41 local governmental units, as defined in 28.42 Minnesota Statutes, section 473.121, 28.43 subdivision 6. A local governmental 28.44 unit that receives a grant is 28.45 authorized to enter into any agreements 28.46 or contracts necessary for the purposes 28.47 of this section. This is a one-time 28.48 appropriation. Funds not expended the 28.49 first year are available the second. 28.50 $150,000 the first year from the 28.51 workforce development fund is for the 28.52 purpose of capacity building grants to 28.53 community foundations. 28.54 $1,000,000 the first year is for a 28.55 grant to Camp Knutson for capital 28.56 improvements. This is a one-time 28.57 expenditure, and funds not spent the 28.58 first year are available the second. 28.59 $300,000 the first year from the 28.60 workforce development fund is for 28.61 northeast entrepreneur fund initiative 28.62 grants. This is a one-time 28.63 expenditure, and funds not spent the 28.64 first year are available the second. 28.65 $500,000 the first year from the 29.1 workforce development fund is for 29.2 microenterprise technical assistance 29.3 grants to small businesses. 29.4 $900,000 the first year from the 29.5 workforce development fund is for a 29.6 grant to the city of Duluth to support 29.7 the development of the Duluth 29.8 Technology Village. The grant is a 29.9 one-time expenditure, and funds not 29.10 spent the first year are available the 29.11 second. 29.12 $500,000 the first year from the 29.13 workforce development fund is for a 29.14 grant to the rural policy and 29.15 development center at Minnesota State 29.16 University, Mankato. The funds not 29.17 spent the first year are available the 29.18 second. 29.19 $1,000,000 is for a grant to the cities 29.20 of Ada, Breckenridge, East Grand Forks, 29.21 and Warren. Of that amount, $478,000 29.22 is to reimburse Ada for bond interest 29.23 expenses in connection with temporary 29.24 financing in anticipation of financing 29.25 by the Federal Emergency Management 29.26 Agency (FEMA) for 1997 flood recovery 29.27 work in that city. $119,000 is to 29.28 reimburse Breckenridge, $321,000 is to 29.29 reimburse East Grand Forks, and $82,000 29.30 is to reimburse Warren for lost 29.31 interest in connection with 29.32 expenditures in anticipation of 29.33 financing by FEMA for 1997 flood 29.34 recovery work in those cities. 29.35 $1,775,000 the first year is for 29.36 purposes of tornado relief to the 29.37 Granite Falls area. This appropriation 29.38 shall be spent as follows: 29.39 (1) $1,400,000 to the Minnesota 29.40 investment fund for grants to local 29.41 units of government for locally 29.42 administered operating loan programs 29.43 for businesses directly and adversely 29.44 affected by the July 25, 2000, 29.45 tornadoes. Loan criteria and 29.46 requirements must be locally 29.47 established with approval by the 29.48 department. For the purposes of this 29.49 appropriation, Minnesota Statutes, 29.50 section 116J.8731, subdivisions 3, 4, 29.51 5, and 7, is waived. Businesses that 29.52 receive grants or loans from this 29.53 appropriation shall set goals for jobs 29.54 retained and wages paid within the 29.55 areas designated in amendment number 5 29.56 and amendment number 6 to the 29.57 Presidential Declaration of Major 29.58 Disaster, DR1333; and 29.59 (2) $375,000 is for a grant to project 29.60 turnabout, a residential compulsive 29.61 gambling treatment facility. 29.62 $1,200,000 the first year is for a 29.63 grant to the city of St. Paul for the 29.64 planning, predesign, and design of the 30.1 new Roy Wilkins auditorium and exhibit 30.2 hall. 30.3 $250,000 the first year from the 30.4 workforce development fund is for a 30.5 grant to the Albert Lea port authority 30.6 to remodel a building in the Northaire 30.7 Industrial Park for use as a business 30.8 development center. This appropriation 30.9 is available until expended. 30.10 $200,000 the first year is for a grant 30.11 to Koochiching county to construct a 30.12 North American bear center called the 30.13 Big Bear Country Education and Logging 30.14 Center. 30.15 $375,000 the first year from the 30.16 workforce development fund is for 30.17 grants of $125,000 each to the counties 30.18 of Blue Earth, Martin, and St. Louis 30.19 for a pilot project incubated by the 30.20 county with the rural advanced business 30.21 facilitation program. A grant must be 30.22 matched with nonstate money for up to 30.23 the first $50,000 of a grant. The 30.24 funds not spent the first year are 30.25 available the second. 30.26 $25,000 in fiscal year 2002 is to the 30.27 commissioner of natural resources for 30.28 purchase and installation of a Civilian 30.29 Conservation Corps worker statue. This 30.30 appropriation is available until June 30.31 30, 2003. In planning for purchase, 30.32 siting, and installation of the statue, 30.33 the commissioner shall consult with the 30.34 North Star chapter of the National 30.35 Association of Civilian Conservation 30.36 Corps Alumni and with the Capitol Area 30.37 Architectural and Planning Board. The 30.38 statue may be located on publicly owned 30.39 land. 30.40 $50,000 in fiscal year 2002 and $50,000 30.41 in fiscal year 2003 are for grants from 30.42 the Minnesota investment fund by the 30.43 commissioner to the West Central Growth 30.44 Alliance to establish a regional 30.45 marketing plan, economic development 30.46 pilot project in Big Stone, Chippewa, 30.47 Kandiyohi, Lac Qui Parle, Meeker, 30.48 Renville, Stevens, Swift, and Yellow 30.49 Medicine counties. The annual grant 30.50 must be matched each year by $60,000 in 30.51 nonstate money. This is a one-time 30.52 appropriation. 30.53 $97,000 the first year from the 30.54 workforce development fund is for a 30.55 grant to Neighborhood Development 30.56 Center, Inc. The funds not spent the 30.57 first year are available the second. 30.58 $1,000,000 the first year from the 30.59 workforce development fund is for 30.60 catalyst grants to local governments 30.61 and recognized Indian tribal 30.62 governments to expand Internet access 30.63 in areas of rural Minnesota that are 30.64 otherwise unlikely to receive access 31.1 through existing technology. The funds 31.2 not spent the first year are available 31.3 the second. 31.4 The remaining $200,000 of the match 31.5 required under Laws 1998, chapter 404, 31.6 section 23, subdivision 23, for the 31.7 United States Hockey Hall of Fame, may 31.8 be met through in-kind contributions. 31.9 $500,000 the first year from the 31.10 workforce development fund is for a 31.11 grant to the metropolitan economic 31.12 development association for continuing 31.13 minority business development programs 31.14 in the metropolitan area and 31.15 encouraging minority business 31.16 development throughout the state. 31.17 Subd. 3. Workforce Development 31.18 Division 11,376,000 9,276,000 31.19 Summary by Fund 31.20 General 8,226,000 8,226,000 31.21 Workforce 31.22 Development Fund 2,400,000 300,000 31.23 TANF 750,000 750,000 31.24 $8,076,000 the first year and 31.25 $8,076,000 the second year are for the 31.26 job skills partnership program. If the 31.27 appropriation for either year is 31.28 insufficient, the appropriation for the 31.29 other year is available. It is the 31.30 intention of the legislature that this 31.31 program base funding be $8,076,000 per 31.32 year in the 2002-2003 biennium. This 31.33 appropriation does not cancel. 31.34 $600,000 the first year is from the 31.35 workforce development fund is to the 31.36 port authority of the city of St. Paul 31.37 for the customized job training program 31.38 of the port authority. The port 31.39 authority shall coordinate with Ramsey 31.40 county workforce solutions to more 31.41 effectively link St. Paul employers and 31.42 job seekers. This appropriation is 31.43 available until spent. 31.44 $750,000 the first year and $750,000 31.45 the second are from the TANF fund to 31.46 the commissioner for the health care 31.47 and human services training program. 31.48 $1,000,000 the first year is from the 31.49 workforce development fund for a grant 31.50 to Lifetrack Resources for its 31.51 immigrant/refugee collaborative 31.52 programs, including those related to 31.53 job-seeking skills and workplace 31.54 orientation, intensive job development, 31.55 functional work English, and on-site 31.56 job coaching, to provide assistance to 31.57 Somali immigrants. 31.58 $250,000 the first year and $250,000 31.59 the second year from the workforce 32.1 development fund are for a grant to 32.2 WomenVenture for women's business 32.3 development programs. 32.4 $150,000 the first year and $150,000 32.5 the second year are for a grant to Twin 32.6 Cities Rise, to provide job training to 32.7 hard-to-train individuals. 32.8 $300,000 the first year and $300,000 32.9 the second year from the workforce 32.10 development fund are for a grant to 32.11 Twin Cities Rise, to provide job 32.12 training to hard-to-train individuals. 32.13 This is a one-time appropriation. 32.14 Subd. 4. Minnesota Trade Office 32.15 2,350,000 2,389,000 32.16 Subd. 5. Tourism 32.17 10,794,000 10,486,000 32.18 $375,000 the first year and $375,000 32.19 the second year are for operation of 32.20 the travel information centers. Of 32.21 this amount, $150,000 the first year is 32.22 a one-time appropriation for the 32.23 planning, design, site selection, and 32.24 construction of a travel information 32.25 center to be located within Region 6W. 32.26 Priority shall be given to the center 32.27 located in Worthington and the Upper 32.28 Minnesota Valley Information Center. 32.29 $400,000 the first year is for grants 32.30 to plan and promote the 2004 Grand 32.31 Excursion. Grants may be made to state 32.32 agencies and local units of government 32.33 and state or local nonprofit entities. 32.34 A local match may be required. This 32.35 appropriation is available until 32.36 expended. 32.37 $829,000 the first year and $829,000 32.38 the second year are for the Minnesota 32.39 film board. $329,000 of this 32.40 appropriation in each year is available 32.41 only upon receipt by the board of $1 in 32.42 matching contributions of money or 32.43 in-kind from nonstate sources for every 32.44 $3 provided by this appropriation. Of 32.45 this amount, $500,000 the first year 32.46 and $500,000 the second year are for 32.47 grants to the Minnesota film board for 32.48 a film production jobs fund to 32.49 stimulate feature film production in 32.50 Minnesota. This appropriation is to 32.51 reimburse film and television producers 32.52 for up to ten percent of the documented 32.53 wages and cost of services that they 32.54 paid to Minnesotans for film and 32.55 television production after January 1, 32.56 2001. 32.57 To develop maximum private sector 32.58 involvement in tourism, $3,500,000 the 32.59 first year and $3,500,000 the second 32.60 year of the amounts appropriated for 32.61 marketing activities are contingent on 33.1 receipt of an equal contribution from 33.2 nonstate sources that have been 33.3 certified by the commissioner. Up to 33.4 one-half of the match may be given in 33.5 in-kind contributions. 33.6 In order to maximize marketing grant 33.7 benefits, the commissioner must give 33.8 priority for joint venture marketing 33.9 grants to organizations with year-round 33.10 sustained tourism activities. For 33.11 programs and projects submitted, the 33.12 commissioner must give priority to 33.13 those that encompass two or more areas 33.14 or that attract nonresident travelers 33.15 to the state. 33.16 If an appropriation for either year for 33.17 grants is not sufficient, the 33.18 appropriation for the other year is 33.19 available for it. 33.20 The commissioner may use grant dollars 33.21 or the value of in-kind services to 33.22 provide the state contribution for the 33.23 partnership program. 33.24 Any unexpended money from general fund 33.25 appropriations made under this 33.26 subdivision does not cancel but must be 33.27 placed in a special advertising account 33.28 for use by the office of tourism to 33.29 purchase additional media. 33.30 Subd. 6. Administration 33.31 3,255,000 2,307,000 33.32 The base amount of funding used for 33.33 consulting contracts by the department 33.34 of trade and economic development is 33.35 reduced by $216,000, which must come 33.36 from departmental consulting funds. 33.37 Subd. 7. Information and Analysis 33.38 1,631,000 1,668,000 33.39 Sec. 3. MINNESOTA TECHNOLOGY, INC. 8,075,000 7,075,000 33.40 $6,105,000 the first year and 33.41 $6,105,000 the second year are for 33.42 transfer from the general fund to the 33.43 Minnesota Technology, Inc. fund. 33.44 $95,000 the first year and $95,000 the 33.45 second year are for grants to Minnesota 33.46 Inventors Congress. This is a one-time 33.47 appropriation and is not added to the 33.48 agency's budget base. 33.49 $875,000 the first year and $875,000 33.50 the second year are for grants to 33.51 Minnesota Project Innovation. This is 33.52 a one-time appropriation and is not 33.53 added to the agency's budget base. 33.54 $1,000,000 the first year is to 33.55 Minnesota Technology, Inc. for a grant 33.56 to Minnesota Investment Network 33.57 Corporation for the purposes of its 34.1 seed capital funds. The appropriation 34.2 does not cancel. 34.3 Sec. 4. ECONOMIC SECURITY 34.4 Subdivision 1. Total 34.5 Appropriation 43,979,000 41,876,000 34.6 Summary by Fund 34.7 General 37,277,000 37,406,000 34.8 Workforce 34.9 Development Fund 6,702,000 4,470,000 34.10 Subd. 2. Rehabilitation Services 24,653,000 23,686,000 34.11 Summary by Fund 34.12 General 22,026,000 22,041,000 34.13 Workforce 34.14 Development Fund 2,627,000 1,645,000 34.15 $175,000 the first year is appropriated 34.16 from the workforce development fund for 34.17 purposes of workplace HIV education. 34.18 $800,000 the first year and $1,145,000 34.19 the second year from the workforce 34.20 development fund are for grants for 34.21 programs that provide employment 34.22 support services to persons with mental 34.23 illness under Minnesota Statutes, 34.24 sections 268A.13 and 268A.14. This is 34.25 a one-time appropriation. 34.26 $252,000 from the workforce development 34.27 fund is for a grant to Advocating 34.28 Change Together, Inc. This is a 34.29 one-time appropriation. 34.30 $1,900,000 the first year and 34.31 $1,900,000 the second year are for the 34.32 centers for independent living. 34.33 $600,000 the first year from the 34.34 workforce development fund is for 34.35 grants to the Minnesota employment 34.36 center for people who are deaf or 34.37 hard-of-hearing. This appropriation is 34.38 one-time and in addition to the amount 34.39 appropriated as the base level funding 34.40 for the 2002-2003 biennium for the 34.41 Minnesota employment center for people 34.42 who are deaf or hard-of-hearing. Funds 34.43 not expended in the first year are 34.44 available in the second. 34.45 $300,000 from the workforce development 34.46 fund is for the purpose of the 34.47 vocational rehabilitation brain injury 34.48 pilot program to be available until 34.49 June 30, 2003. This is a one-time 34.50 appropriation. 34.51 $500,000 the first year and $500,000 34.52 the second year from the workforce 34.53 development fund are to increase the 34.54 reimbursement rates for extended 34.55 employment services. This is a 35.1 one-time appropriation. 35.2 Subd. 3. State Services for the Blind 35.3 4,918,000 5,023,000 35.4 Subd. 4. Workforce Services 35.5 13,908,000 12,667,000 35.6 Summary by Fund 35.7 General 9,833,000 9,842,000 35.8 Workforce 35.9 Development Fund 4,075,000 2,825,000 35.10 $1,950,000 the first year and 35.11 $1,950,000 the second year from the 35.12 workforce development fund are for 35.13 displaced homemaker programs under 35.14 Minnesota Statutes, section 268.96. 35.15 $650,000 each year is added to the base 35.16 for youth intervention grants. Of this 35.17 appropriation, $15,000 is for a grant 35.18 to the Minnesota Youth Intervention 35.19 Programs Association (YIPA) to provide 35.20 collaborative training and technical 35.21 assistance to community-based grantees 35.22 of the program. 35.23 $750,000 the first year is a one-time 35.24 appropriation from the workforce 35.25 development fund for grants to 35.26 Youthbuild programs under Minnesota 35.27 Statutes, sections 268.361 to 268.3661. 35.28 $111,000 the first year and $111,000 35.29 the second year of the amounts 35.30 appropriated for the Youth 35.31 Curfew/Truancy grant shall be used for 35.32 youth violence prevention programs to 35.33 match the federal juvenile 35.34 accountability incentive block grant. 35.35 Should a match of federal funds become 35.36 unnecessary, the amounts herein shall 35.37 revert to the Youth Curfew/Truancy 35.38 grant. 35.39 $500,000 from the workforce development 35.40 fund is for grants to nonprofit 35.41 organizations for programs that 35.42 encourage and assist women to enter 35.43 nontraditional careers in the trades 35.44 and in manual and technical 35.45 occupations. The appropriation is 35.46 one-time and available until June 30, 35.47 2003. 35.48 $100,000 the first year and $100,000 35.49 the second year from the workforce 35.50 development fund in addition to the 35.51 base are for the opportunities 35.52 industrialization center programs. 35.53 $50,000 the first year and $50,000 the 35.54 second year are for asset preservation 35.55 and facility repair. 35.56 Subd. 5. Workforce Wage Assistance 36.1 500,000 500,000 36.2 $500,000 the first year and $500,000 36.3 the second year are for the voluntary 36.4 paid parental leave pilot project. 36.5 This is a one-time appropriation. 36.6 $2,000,000 in each year of the biennium 36.7 is canceled and returned to the general 36.8 fund for the 2002-2003 biennium from 36.9 the economic security contingent 36.10 account created under Minnesota 36.11 Statutes, section 268.196, subdivision 36.12 3. 36.13 ARTICLE 5 36.14 2001 HOUSING APPROPRIATIONS 36.15 Section 1. [HOUSING APPROPRIATIONS.] 36.16 The sums shown in the columns marked "APPROPRIATIONS" are 36.17 appropriated from the general fund, or another fund named, to 36.18 the agencies and for the purposes specified in this article, to 36.19 be available for the fiscal years indicated for each purpose. 36.20 The figure "2001," means that the appropriation or 36.21 appropriations listed under them are available for the year 36.22 ending June 30, 2001. Appropriations in this article do not 36.23 cancel and carry forward to the succeeding biennium and as 36.24 otherwise provided by law. All appropriations in this article 36.25 are one-time appropriations and are not part of the agency's 36.26 permanent budget base. 36.27 SUMMARY BY FUND 36.28 BIENNIAL 36.29 2001 TOTAL 36.30 General $ 75,000,000 $ 75,000,000 36.31 Sec. 2. HOUSING FINANCE AGENCY 71,700,000 36.32 Summary by Fund 36.33 General 71,700,000 36.34 Subdivision 1. Total Appropriation 36.35 The amounts that may be spent from this 36.36 appropriation for certain programs are 36.37 specified in the following subdivisions. 36.38 This appropriation is for transfer to 36.39 the housing development fund for the 36.40 programs specified. 36.41 Subd. 2. Challenge Program 36.42 $20,639,000 is for the economic 36.43 development and housing challenge 37.1 program created by Minnesota Statutes, 37.2 section 462A.33. 37.3 Subd. 3. Family Homeless Prevention 37.4 $2,412,000 is for the family homeless 37.5 prevention and assistance program under 37.6 Minnesota Statutes, section 462A.204. 37.7 Of this amount, $660,000 is for grants 37.8 to organizations providing case 37.9 management for persons that need 37.10 assistance to rehabilitate their rent 37.11 history and find rental housing. Case 37.12 management services include, but are 37.13 not limited to, assisting tenants in 37.14 correcting tenant screening reports, 37.15 providing intensive training and 37.16 certification for tenants, creating a 37.17 bonding program to encourage landlords 37.18 to accept high-risk tenants with poor 37.19 rent histories, paying security 37.20 deposits for high-risk tenants, and 37.21 agreeing to pay landlord expenses for 37.22 filing unlawful detainer actions. 37.23 Of this amount, $234,000 is for a 37.24 rental housing pilot project, to 37.25 encourage landlords to rent to 37.26 high-risk tenants with poor rental 37.27 histories, in the counties of Benton, 37.28 Clay, Dakota, Hennepin, Olmsted, 37.29 Ramsey, St. Louis, Sherburne, and 37.30 Stearns. For purposes of this 37.31 subdivision, a "high-risk tenant" is a 37.32 person who has had an application for 37.33 rental housing denied for reasons other 37.34 than criminal conduct or previous 37.35 destruction of rental housing. 37.36 The project shall allow local agencies 37.37 to provide payment bonds to landlords 37.38 willing to accept high-risk tenants to 37.39 reimburse them for losses caused by a 37.40 high-risk tenant. In selecting 37.41 recipients for funding under the rental 37.42 housing pilot project, priority must be 37.43 given to proposals that include 37.44 accountability provisions for 37.45 participating landlords and training 37.46 for participating tenants. Local 37.47 government units, nonprofit agencies, 37.48 or partnerships between local 37.49 government units and nonprofit agencies 37.50 are eligible for funding under the 37.51 rental housing pilot project. 37.52 Notwithstanding Minnesota Statutes, 37.53 section 462A.204, subdivisions 2 and 3, 37.54 nonprofit agencies may apply and 37.55 receive a grant without obtaining a 37.56 resolution of the county board and 37.57 grants may be made to nonprofit 37.58 agencies in the metropolitan area for 37.59 the rental housing pilot project. 37.60 Local government units must provide 37.61 matching funds, which may include 37.62 administrative costs, payment bond 37.63 funding, or property tax credits. 38.1 The agency shall consult with 38.2 representatives of the following 38.3 organizations in selecting recipients 38.4 for funding under the rental housing 38.5 pilot project: organizations who 38.6 advocate for tenants and provide tenant 38.7 training, nonprofit and for-profit 38.8 housing providers, supportive housing 38.9 service providers, and tenant screening 38.10 organizations. 38.11 The agency must report to the 38.12 legislature by January 15, 2003, on the 38.13 effectiveness of the pilot project in 38.14 securing rental housing for individuals 38.15 with poor rental histories. The report 38.16 must also address the feasibility of 38.17 and need for expanding the project 38.18 statewide and recommend best practices. 38.19 Subd. 4. School Stability 38.20 $1,000,000 is for the school stability 38.21 project under Minnesota Statutes, 38.22 section 462A.208, subdivision 8. 38.23 Subd. 5. Housing Trust Fund 38.24 $23,017,000 is for the housing trust 38.25 fund to be deposited in the housing 38.26 trust fund account created under 38.27 Minnesota Statutes, section 462A.201, 38.28 and used for the purposes provided in 38.29 that section. 38.30 Subd. 6. Affordable Rental Investment Fund 38.31 $8,249,000 is for the affordable rental 38.32 investment fund program under Minnesota 38.33 Statutes, section 462A.21, subdivision 38.34 8b, to finance the acquisition, 38.35 rehabilitation, and debt restructuring 38.36 of federally assisted rental property 38.37 and for making equity take-out loans 38.38 under Minnesota Statutes, section 38.39 462A.05, subdivision 39. The owner of 38.40 the federally assisted rental property 38.41 must agree to participate in the 38.42 applicable federally assisted housing 38.43 program and to extend any existing 38.44 low-income affordability restrictions 38.45 on the housing for the maximum term 38.46 permitted. The owner must also enter 38.47 into an agreement that gives local 38.48 units of government, housing and 38.49 redevelopment authorities, and 38.50 nonprofit housing organizations the 38.51 right of first refusal if the rental 38.52 property is offered for sale. Priority 38.53 must be given among comparable 38.54 properties to properties with the 38.55 longest remaining term under an 38.56 agreement for federal rental 38.57 assistance. Priority must also be 38.58 given among comparable rental housing 38.59 developments to developments that are 38.60 or will be owned by local government 38.61 units, a housing and redevelopment 38.62 authority, or a nonprofit housing 38.63 organization. 39.1 Subd. 7. Capacity Building Grants 39.2 $1,100,000 is for nonprofit capacity 39.3 building grants under Minnesota 39.4 Statutes, section 462A.21, subdivision 39.5 3b. 39.6 Of this amount, $1,000,000 is for 39.7 grants to agencies administering the 39.8 federal section 8 housing program for 39.9 administrative costs associated with 39.10 the establishment and operation of 39.11 section 8 home ownership programs. 39.12 Of this amount, $100,000 is for a grant 39.13 to the district 287 foundation to 39.14 assist in the development of supportive 39.15 housing to provide independent living 39.16 opportunities for adults with 39.17 disabilities. 39.18 Subd. 8. Full-Cycle Home Ownership 39.19 $1,116,000 is for the full-cycle home 39.20 ownership program under Minnesota 39.21 Statutes, section 462A.21, subdivision 39.22 26. 39.23 Of this amount, $1,000,000 is for 39.24 proposals that increase services to 39.25 non-English-speaking persons, recent 39.26 immigrants, and historically 39.27 underserved populations. 39.28 Subd. 9. Innovative and Inclusionary 39.29 Housing Program 39.30 $6,269,000 is for innovative and 39.31 inclusionary housing programs. 39.32 $2,269,000 of this appropriation is for 39.33 the nonmetropolitan innovative and 39.34 inclusionary housing program under 39.35 Minnesota Statutes, section 462A.2093. 39.36 $4,000,000 of this appropriation is for 39.37 transfer to the metropolitan council 39.38 for deposit in the inclusionary housing 39.39 account created in Minnesota Statutes, 39.40 section 473.251. The metropolitan 39.41 council may use this transfer only for 39.42 projects that are consistent with 39.43 Minnesota Statutes, section 473.255. 39.44 Subd. 10. Local Initiatives 39.45 $7,898,000 is for grants or loans under 39.46 Minnesota Statutes, section 462A.34. 39.47 Of this amount, $1,000,000 the first 39.48 year is for the manufactured home park 39.49 redevelopment program under new 39.50 Minnesota Statutes section 462A.34, 39.51 subdivision 4. This is a one-time 39.52 appropriation. 39.53 Sec. 3. CHILDREN, FAMILIES, 3,300,000 39.54 AND LEARNING 39.55 Summary by Fund 39.56 General 3,300,000 39.57 Subdivision 1. Total Appropriation 40.1 The amount that may be spent from this 40.2 appropriation for certain programs is 40.3 specified in the following subdivisions. 40.4 Subd. 2. Emergency Services 1,320,000 40.5 Up to five percent of this 40.6 appropriation may be used for 40.7 administrative costs. 40.8 Subd. 3. Transitional Housing 1,980,000 40.9 Operation 40.10 Up to five percent of this 40.11 appropriation may be used for 40.12 administrative costs. 40.13 Sec. 4. [462A.34] [LOCAL GRANT AND LOAN PROGRAMS.] 40.14 Subdivision 1. [BLOCK GRANTS.] The commissioner may make 40.15 block grants to local governments or nonprofit organizations in 40.16 partnership with local governments for housing production and 40.17 preservation programs for persons with incomes at or below 80 40.18 percent of statewide median income. The commissioner may use 40.19 existing processes for making grants or may establish a request 40.20 for proposal process specifically for this block grant program. 40.21 Grants shall be made to satisfy specific housing needs, however, 40.22 grants do not need to be tied to any particular project, but 40.23 rather, should be available to flexibly meet the identified need. 40.24 Subd. 2. [VETERANS.] The commissioner may make loans and 40.25 grants to local units of government to assist in the design, 40.26 development, construction, acquisition, or rehabilitation of 40.27 supportive and permanent housing to serve veterans and single 40.28 adults who are homeless or at risk of becoming homeless. The 40.29 loans or grants must be used for the planning and predesign of 40.30 at least two housing projects that: 40.31 (1) are located on property owned by the United States 40.32 Department of Veterans Affairs; 40.33 (2) provide or coordinate health and social services needed 40.34 by the residents; and 40.35 (3) are a collaborative partnership between community 40.36 agencies and local units of government or the federal government. 40.37 Subd. 3. [LEAD ABATEMENT.] The Minnesota housing finance 40.38 agency may make grants to cities, local units of government, and 40.39 nonprofit organizations for the purpose of implementing federal 41.1 regulations for lead hazard reduction. These grants are for the 41.2 purpose of lead hazard reduction for training, rehabilitation, 41.3 and other direct costs, including labor, materials, equipment, 41.4 and testing associated with compliance with federal lead hazard 41.5 control regulations. 41.6 Subd. 4. [MANUFACTURED HOME PARK REDEVELOPMENT 41.7 PROGRAM.] (a) The agency shall establish a manufactured home 41.8 park redevelopment program for the purpose of making 41.9 manufactured home park redevelopment grants or loans to cities, 41.10 counties, or community action programs. Cities, counties, and 41.11 community action programs may use grants and loans under this 41.12 program to: 41.13 (1) assist with the purchase of existing manufactured homes 41.14 in manufactured home parks with preference given to older 41.15 manufactured homes and buy-out assistance to be determined by 41.16 the appraised value of the home; 41.17 (2) provide down payment assistance not to exceed $10,000 41.18 per house to affected homeowners for replacement dwellings or 41.19 new manufactured homes; and 41.20 (3) make improvements in manufactured home parks as 41.21 requested by the grant recipient. 41.22 (b) Households assisted under this subdivision must have an 41.23 annual household income at or below 80 percent of the area 41.24 median household income. Cities, counties, or community action 41.25 programs receiving funds under the program must give preference 41.26 to households at or below 50 percent of the area median 41.27 household income. The agency shall attempt to make grants and 41.28 loans in approximately equal amounts to applicants outside of 41.29 and within the metropolitan area, as defined in section 473.121, 41.30 subdivision 2. 41.31 (c) The housing finance agency shall select program 41.32 participants from eligible applicants, with the first grant 41.33 being awarded no later than December 31, 2001. Participation in 41.34 this program is voluntary and no park resident shall be required 41.35 to participate. The agency shall report to the legislature by 41.36 February 1, 2003, on the effectiveness of the program. 42.1 Sec. 5. [EFFECTIVE DATE.] 42.2 Sections 1 to 4 are effective the day following final 42.3 enactment. 42.4 ARTICLE 6 42.5 HOUSING FINANCE AGENCY 42.6 Section 1. [HOUSING FINANCE AGENCY APPROPRIATIONS.] 42.7 The sums shown in the columns marked "APPROPRIATIONS" are 42.8 appropriated from the general fund, or another fund named, to 42.9 the agencies and for the purposes specified in this article, to 42.10 be available for the fiscal years indicated for each purpose. 42.11 The figures "2002" and "2003," where used in this article, mean 42.12 that the appropriation or appropriations listed under them are 42.13 available for the year ending June 30, 2002, or June 30, 2003, 42.14 respectively. 42.15 SUMMARY BY FUND 42.16 BIENNIAL 42.17 2002 2003 TOTAL 42.18 General $ 40,832,000 $ 39,832,000 $80,664,000 42.19 Sec. 2. HOUSING FINANCE AGENCY 40,832,000 39,832,000 42.20 Subdivision 1. Total Appropriation 42.21 The amounts that may be spent from this 42.22 appropriation for certain programs are 42.23 specified in the following subdivisions. 42.24 This appropriation is for transfer to 42.25 the housing development fund for the 42.26 programs specified. Except as 42.27 otherwise indicated, this transfer is 42.28 part of the agency's permanent budget 42.29 base. 42.30 Subd. 2. Rental Assistance for Mentally Ill 42.31 $1,700,000 the first year and 42.32 $1,700,000 the second year are for a 42.33 rental housing assistance program for 42.34 persons with a mental illness or 42.35 families with an adult member with a 42.36 mental illness under Minnesota 42.37 Statutes, section 462A.2097. 42.38 Subd. 3. Family Homeless Prevention 42.39 $3,250,000 the first year and 42.40 $3,250,000 the second year are for the 42.41 family homeless prevention and 42.42 assistance program under Minnesota 42.43 Statutes, section 462A.204. 42.44 Subd. 4. Homeownership Education and 42.45 Training Program 43.1 $858,000 the first year and $858,000 43.2 the second year are for the 43.3 homeownership education and training 43.4 program under Minnesota Statutes, 43.5 section 462A.209. 43.6 Subd. 5. Housing Trust Fund 43.7 $4,623,000 the first year and 43.8 $4,623,000 the second year are for the 43.9 housing trust fund to be deposited in 43.10 the housing trust fund account created 43.11 under Minnesota Statutes, section 43.12 462A.201, and used for the purposes 43.13 provided in that section. Until 43.14 January 1, 2002, the agency may 43.15 administer the appropriations under 43.16 this subdivision in the same manner as 43.17 appropriations for Minnesota Statutes, 43.18 section 462A.21, subdivision 8b, 15, 43.19 21, or 24. 43.20 Subd. 6. Affordable Rental Investment Fund 43.21 $10,000,000 the first year and 43.22 $10,000,000 the second year are for the 43.23 affordable rental investment fund 43.24 program under Minnesota Statutes, 43.25 section 462A.21, subdivision 8b. Of 43.26 this amount, $10,000,000 the first year 43.27 and $10,000,000 the second year are to 43.28 finance the acquisition, 43.29 rehabilitation, and debt restructuring 43.30 of federally assisted rental property 43.31 and for making equity take-out loans 43.32 under Minnesota Statutes, section 43.33 462A.05, subdivision 39. The owner of 43.34 the federally assisted rental property 43.35 must agree to participate in the 43.36 applicable federally assisted housing 43.37 program and to extend any existing 43.38 low-income affordability restrictions 43.39 on the housing for the maximum term 43.40 permitted. The owner must also enter 43.41 into an agreement that gives local 43.42 units of government, housing and 43.43 redevelopment authorities, and 43.44 nonprofit housing organizations the 43.45 right of first refusal if the rental 43.46 property is offered for sale. Priority 43.47 must be given among comparable 43.48 properties to properties with the 43.49 longest remaining term under an 43.50 agreement for federal rental 43.51 assistance. Priority must also be 43.52 given among comparable rental housing 43.53 developments to developments that are 43.54 or will be owned by local government 43.55 units, a housing and redevelopment 43.56 authority, or a nonprofit housing 43.57 organization. 43.58 Subd. 7. Urban Indian Housing Program 43.59 $187,000 the first year and $187,000 43.60 the second year are for the urban 43.61 Indian housing program under Minnesota 43.62 Statutes, section 462A.07, subdivision 43.63 15. 43.64 Subd. 8. Tribal Indian Housing Program 44.1 $1,683,000 the first year and 44.2 $1,683,000 the second year are for the 44.3 tribal Indian housing program under 44.4 Minnesota Statutes, section 462A.07, 44.5 subdivision 14. 44.6 Subd. 9. Capacity Building Grants 44.7 $340,000 the first year and $340,000 44.8 the second year are for nonprofit 44.9 capacity building grants under 44.10 Minnesota Statutes, section 462A.21, 44.11 subdivision 3b. 44.12 Subd. 10. Challenge Program 44.13 $13,004,000 the first year and 44.14 $12,004,000 the second year are 44.15 appropriated for transfer to the 44.16 housing development fund for the 44.17 economic development and housing 44.18 challenge program created by Minnesota 44.19 Statutes, section 462A.33. Until 44.20 January 1, 2002, the agency may 44.21 administer the appropriations under 44.22 this subdivision in the same manner as 44.23 appropriations for Minnesota Statutes, 44.24 section 462A.21, subdivision 8b, 15, 44.25 21, or 24. 44.26 Of this appropriation, $610,000 the 44.27 first year is for disaster relief for 44.28 home ownership in the areas that 44.29 sustained damage from the tornado that 44.30 struck Yellow Medicine and Chippewa 44.31 counties on July 25, 2000, and were 44.32 added to the Presidential Declaration 44.33 of Major Disaster, DR1333, by amendment 44.34 number 5 dated July 28, 2000, and 44.35 amendment number 6 dated August 14, 44.36 2000. 44.37 Of this appropriation, $390,000 the 44.38 first year is for disaster relief for 44.39 rental housing in the areas that 44.40 sustained damage from the tornado that 44.41 struck Yellow Medicine and Chippewa 44.42 counties on July 25, 2000, and were 44.43 added to the Presidential Declaration 44.44 of Major Disaster, DR1333, by amendment 44.45 number 5 dated July 28, 2000, and 44.46 amendment number 6 dated August 14, 44.47 2000. Notwithstanding Minnesota 44.48 Statutes, section 462A.21, subdivision 44.49 8b, assistance provided from this 44.50 disaster relief appropriation for the 44.51 rehabilitation of existing rental 44.52 housing may be in the form of 44.53 foregivable loans. In making 44.54 forgivable loans from this 44.55 appropriation, the agency shall 44.56 determine the circumstances, terms, and 44.57 conditions under which all or any 44.58 portion of the grant shall be repaid. 44.59 This appropriation is available until 44.60 spent. 44.61 Subd. 11. Transfers 44.62 Money appropriated under this section 44.63 for disaster relief may be transferred 45.1 between the affordable rental 45.2 investment fund account and the 45.3 community rehabilitation fund account. 45.4 Sec. 3. Minnesota Statutes 2000, section 16B.61, 45.5 subdivision 1, is amended to read: 45.6 Subdivision 1. [ADOPTION OF CODE.] Subject to sections 45.7 16B.59 to 16B.75, the commissioner shall by rule establish a 45.8 code of standards for the construction, reconstruction, 45.9 alteration, and repair of buildings, governing matters of 45.10 structural materials, design and construction, fire protection, 45.11 health, sanitation, and safety, including design and 45.12 construction standards regarding heat loss control, 45.13 illumination, and climate control. The code must conform 45.14 insofar as practicable to model building codes generally 45.15 accepted and in use throughout the United States, including a 45.16 code for building conservation. In the preparation of the code, 45.17 consideration must be given to the existing statewide specialty 45.18 codes presently in use in the state. Model codes with necessary 45.19 modifications and statewide specialty codes may be adopted by 45.20 reference. The code must be based on the application of 45.21 scientific principles, approved tests, and professional 45.22 judgment. To the extent possible, the code must be adopted in 45.23 terms of desired results instead of the means of achieving those 45.24 results, avoiding wherever possible the incorporation of 45.25 specifications of particular methods or materials. To that end 45.26 the code must encourage the use of new methods and new 45.27 materials. Except as otherwise provided in sections 16B.59 to 45.28 16B.75, the commissioner shall administer and enforce the 45.29 provisions of those sections. 45.30 The commissioner shall develop rules addressing the plan 45.31 review fee assessed to similar buildings without significant 45.32 modifications including provisions for use of building systems 45.33 as specified in the industrialized/modular program specified in 45.34 section 16B.75. Additional plan review fees associated with 45.35 similar plans must be based on costs commensurate with the 45.36 direct and indirect costs of the service. 45.37 Sec. 4. Minnesota Statutes 2000, section 16B.62, 46.1 subdivision 1, is amended to read: 46.2 Subdivision 1. [MUNICIPAL ENFORCEMENT.] The State Building 46.3 Code applies statewide and supersedes the building code of any 46.4 municipality. A municipality must not by ordinance or through 46.5 development agreement require building code provisions 46.6 regulating components or systems of any residential structure 46.7 that are more restrictive than any provision of the State 46.8 Building Code. The State Building Code does not apply to 46.9 agricultural buildings except with respect to state inspections 46.10 required or rulemaking authorized by sections 103F.141, 216C.19, 46.11 subdivision 8, and 326.244. All municipalities shall adopt and 46.12 enforce the State Building Code with respect to new construction 46.13 within their respective jurisdictions. 46.14 If a city has adopted or is enforcing the State Building 46.15 Code on June 3, 1977, or determines by ordinance after that date 46.16 to undertake enforcement, it shall enforce the code within the 46.17 city. A city may by ordinance extend the enforcement of the 46.18 code to contiguous unincorporated territory not more than two 46.19 miles distant from its corporate limits in any direction. Where 46.20 two or more noncontiguous cities which have elected to enforce 46.21 the code have boundaries less than four miles apart, each is 46.22 authorized to enforce the code on its side of a line equidistant 46.23 between them. Once enforcement authority is extended 46.24 extraterritorially by ordinance, the authority may continue to 46.25 be exercised in the designated territory even though another 46.26 city less than four miles distant later elects to enforce the 46.27 code. After the extension, the city may enforce the code in the 46.28 designated area to the same extent as if the property were 46.29 situated within its corporate limits. 46.30 A city which, on June 3, 1977, had not adopted the code may 46.31 not commence enforcement of the code within or outside of its 46.32 jurisdiction until it has provided written notice to the 46.33 commissioner, the county auditor, and the town clerk of each 46.34 town in which it intends to enforce the code. A public hearing 46.35 on the proposed enforcement must be held not less than 30 days 46.36 after the notice has been provided. Enforcement of the code by 47.1 the city outside of its jurisdiction commences on the first day 47.2 of January in the year following the notice and hearing. 47.3 Municipalities may provide for the issuance of permits, 47.4 inspection, and enforcement within their jurisdictions by means 47.5 which are convenient, and lawful, including by means of 47.6 contracts with other municipalities pursuant to section 471.59, 47.7 and with qualified individuals. The other municipalities or 47.8 qualified individuals may be reimbursed by retention or 47.9 remission of some or all of the building permit fee collected or 47.10 by other means. In areas of the state where inspection and 47.11 enforcement is unavailable from qualified employees of 47.12 municipalities, the commissioner shall train and designate 47.13 individuals available to carry out inspection and enforcement on 47.14 a fee basis. Nothing in this section prohibits a municipality 47.15 from adopting ordinances relating to zoning, subdivision, or 47.16 planning unless the ordinance conflicts with a provision of the 47.17 State Building Code. 47.18 Sec. 5. Minnesota Statutes 2000, section 16B.63, is 47.19 amended by adding a subdivision to read: 47.20 Subd. 5. [INTERPRETATIVE AUTHORITY.] To achieve uniform 47.21 and consistent application of the State Building Code, the state 47.22 building official has final interpretative authority applicable 47.23 to all codes adopted as part of the State Building Code except 47.24 for the plumbing code and the electrical code. A final 47.25 interpretative committee composed of seven members, consisting 47.26 of five certified building officials and two construction 47.27 industry representatives, shall review requests for final 47.28 interpretations relating to that field. The state building 47.29 official must establish procedures for membership of the 47.30 interpretative committees. The appropriate committee shall 47.31 review the request and make a recommendation to the state 47.32 building official for the final interpretation within 30 days of 47.33 the request. The state building official must issue an 47.34 interpretation within ten business days from the recommendation 47.35 from the review committee. A final interpretation may be 47.36 appealed within 30 days of its issuance to the commissioner 48.1 under section 16B.67. The final interpretation must be 48.2 published within ten business days of its issuance and made 48.3 available to the public. Final interpretations must be 48.4 considered for adoption as part of the State Building Code. 48.5 Sec. 6. [16B.685] [ANNUAL REPORT.] 48.6 Beginning with the first report filed by April 1, 2003, 48.7 each municipality shall annually report by April 1 to the 48.8 department, in a format prescribed by the department, all 48.9 construction and development-related fees collected by the 48.10 municipality from developers, builders, and subcontractors. The 48.11 report must include: 48.12 (1) the number and valuation of units for which fees were 48.13 paid; 48.14 (2) the amount of building permit fees, plan review fees, 48.15 administrative fees, engineering fees, infrastructure fees, and 48.16 other construction and development-related fees; and 48.17 (3) the expenses associated with the municipal activities 48.18 for which fees were collected. 48.19 Sec. 7. Minnesota Statutes 2000, section 326.90, 48.20 subdivision 1, is amended to read: 48.21 Subdivision 1. [LOCAL LICENSE PROHIBITED.] Except as 48.22 provided in sections326.991 and326.90, subdivision 2, and 48.23 326.991, a political subdivision may not require a person 48.24 licensed under sections 326.83 to 326.991 to also be licensed or 48.25 pay a registration or other fee related to licensure under any 48.26 ordinance, law, rule, or regulation of the political 48.27 subdivision. This section does not prohibit charges for 48.28 building permits or other charges not directly related to 48.29 licensure. 48.30 Sec. 8. Minnesota Statutes 2000, section 462.353, 48.31 subdivision 4, is amended to read: 48.32 Subd. 4. [FEES.] A municipality may prescribe fees 48.33 sufficient to defray the costs incurred by it in reviewing, 48.34 investigating, and administering an application for an amendment 48.35 to an official control established pursuant to sections 462.351 48.36 to 462.364 or an application for a permit or other approval 49.1 required under an official control established pursuant to those 49.2 sections. Fees as prescribedshallmust be by ordinance and 49.3 must be fair, reasonable, and proportionate to the actual cost 49.4 of the service for which the fee is imposed. A municipality 49.5 shall adopt management and accounting procedures to ensure that 49.6 fees are maintained and used only for the purpose for which they 49.7 are collected. 49.8 If a dispute arises over a specific fee imposed by a 49.9 municipality related to a specific application, the amount of 49.10 the fee must be deposited and held in escrow, and the person 49.11 aggrieved by the fee may appeal under section 462.361. An 49.12 approved application may proceed as if the fee had been paid, 49.13 pending a decision on the appeal. 49.14 Sec. 9. [462.3531] [WAIVER OF RIGHTS; PROHIBITION.] 49.15 A local government unit must not require a contractor, 49.16 builder, or developer of property to waive a right possessed by 49.17 the contractor, builder, or developer as a condition of 49.18 receiving any approval for the development or construction of a 49.19 property. 49.20 Sec. 10. Minnesota Statutes 2000, section 462.358, 49.21 subdivision 2b, is amended to read: 49.22 Subd. 2b. [DEDICATION.] The regulations may require that a 49.23 reasonable portion of any proposed subdivision be dedicated to 49.24 the public or preserved for public use as streets, roads, 49.25 sewers, electric, gas, and water facilities, storm water 49.26 drainage and holding areas or ponds and similar utilities and 49.27 improvements. 49.28 The regulations may require that any proposed subdivision 49.29 include a certain percentage of units that are affordable across 49.30 a range of incomes. 49.31 In addition, the regulations may require that a reasonable 49.32 portion of any proposed subdivision be dedicated to the public 49.33 or preserved for conservation purposes or for public use as 49.34 parks, recreational facilities as defined and outlined in 49.35 section 471.191, playgrounds, trails, wetlands, or open space; 49.36 provided that (a) the municipality may choose to accept an 50.1 equivalent amount in cash from the applicant for part or all of 50.2 the portion required to be dedicated to such public uses or 50.3 purposes based on the fair market value of the land no later 50.4 than at the time of final approval, (b) any cash payments 50.5 received shall be placed in a special fund by the municipality 50.6 used only for the purposes for which the money was obtained, (c) 50.7 in establishing the reasonable portion to be dedicated, the 50.8 regulations may consider the open space, park, recreational, or 50.9 common areas and facilities which the applicant proposes to 50.10 reserve for the subdivision, and (d) the municipality reasonably 50.11 determines that it will need to acquire that portion of land for 50.12 the purposes stated in this paragraph as a result of approval of 50.13 the subdivision. 50.14 Sec. 11. [462.3851] [COLLAR COUNTY; AFFORDABLE HOUSING.] 50.15 Municipalities in collar counties must adopt regulations by 50.16 January 1, 2002, that, at a minimum, comply with the 50.17 affordability and other requirements of section 473.2542. For 50.18 the purpose of this subdivision, a "collar county" is a county 50.19 that is contiguous to a county within the metropolitan area as 50.20 defined in section 473.121, subdivision 2. 50.21 Sec. 12. Minnesota Statutes 2000, section 462A.05, 50.22 subdivision 14, is amended to read: 50.23 Subd. 14. [REHABILITATION LOANS.] It may agree to 50.24 purchase, make, or otherwise participate in the making, and may 50.25 enter into commitments for the purchase, making, or 50.26 participation in the making, of eligible loans for 50.27 rehabilitation to persons and families of low and moderate 50.28 income, and to owners of existing residential housing for 50.29 occupancy by such persons and families, for the rehabilitation 50.30 of existing residential housing owned by them. The loans may be 50.31 insured or uninsured and may be made with security, or may be 50.32 unsecured, as the agency deems advisable. The loans may be in 50.33 addition to or in combination with long-term eligible mortgage 50.34 loans under subdivision 3. They may be made in amounts 50.35 sufficient to refinance existing indebtedness secured by the 50.36 property, if refinancing is determined by the agency to be 51.1 necessary to permit the owner to meet the owner's housing cost 51.2 without expending an unreasonable portion of the owner's income 51.3 thereon. No loan for rehabilitation shall be made unless the 51.4 agency determines that the loan will be used primarily to make 51.5 the housing more desirable to live in, to increase the market 51.6 value of the housing, for compliance with state, county or 51.7 municipal building, housing maintenance, fire, health or similar 51.8 codes and standards applicable to housing, or to accomplish 51.9 energy conservation related improvements. In unincorporated 51.10 areas and municipalities not having codes and standards, the 51.11 agency may, solely for the purpose of administering the 51.12 provisions of this chapter, establish codes and standards. 51.13 Except for accessibility improvements under this subdivision and 51.14 subdivisions 14a and 24, clause (1), no secured loan for 51.15 rehabilitation of any property shall be made in an amount which, 51.16 with all other existing indebtedness secured by the property, 51.17 would exceed 110 percent of its market value, as determined by 51.18 the agency. No loan under this subdivision shall be denied 51.19 solely because the loan will not be used for placing the 51.20 residential housing in full compliance with all state, county, 51.21 or municipal building, housing maintenance, fire, health, or 51.22 similar codes and standards applicable to housing. 51.23 Rehabilitation loans shall be made only when the agency 51.24 determines that financing is not otherwise available, in whole 51.25 or in part, from private lenders upon equivalent terms and 51.26 conditions. Accessibility rehabilitation loans authorized under 51.27 this subdivision may be made to eligible persons and families 51.28 without limitations relating to the maximum incomes of the 51.29 borrowers if: 51.30 (1) the borrower or a member of the borrower's family 51.31 requires a level of care provided in a hospital, skilled nursing 51.32 facility, or intermediate care facility for persons with mental 51.33 retardation or related conditions; 51.34 (2) home care is appropriate; and 51.35 (3) the improvement will enable the borrower or a member of 51.36 the borrower's family to reside in the housing. 52.1 The agency may waive any requirement that the housing units in a 52.2 residential housing development be rented to persons of low and 52.3 moderate income if the development consists of four or less 52.4 dwelling units, one of which is occupied by the owner. 52.5 Sec. 13. Minnesota Statutes 2000, section 462A.05, 52.6 subdivision 14a, is amended to read: 52.7 Subd. 14a. [REHABILITATION LOANS; EXISTING OWNER OCCUPIED 52.8 RESIDENTIAL HOUSING.] It may make loans to persons and families 52.9 of low and moderate income to rehabilitate or to assist in 52.10 rehabilitating existing residential housing owned and occupied 52.11 by those persons or families. No loan shall be made unless the 52.12 agency determines that the loan will be used primarily for 52.13 rehabilitation work necessary for health or safety, essential 52.14 accessibility improvements, or to improve the energy efficiency 52.15 of the dwelling. No loan for rehabilitation of owner occupied 52.16 residential housing shall be denied solely because the loan will 52.17 not be used for placing the residential housing in full 52.18 compliance with all state, county or municipal building, housing 52.19 maintenance, fire, health or similar codes and standards 52.20 applicable to housing. The amount of any loan shall not exceed 52.21 the lesser of (a) a maximum loan amount determined under rules 52.22 adopted by the agency not to exceed $20,000, or (b) the actual 52.23 cost of the work performed, or (c) that portion of the cost of 52.24 rehabilitation which the agency determines cannot otherwise be 52.25 paid by the person or family without the expenditure of an 52.26 unreasonable portion of the income of the person or family. 52.27 Loans made in whole or in part with federal funds may exceed the 52.28 maximum loan amount to the extent necessary to comply with 52.29 federal lead abatement requirements prescribed by the funding 52.30 source. In making loans, the agency shall determine the 52.31 circumstances under which and the terms and conditions under 52.32 which all or any portion of the loan will be repaid and shall 52.33 determine the appropriate security for the repayment of the 52.34 loan. Loans pursuant to this subdivision may be made with or 52.35 without interest or periodic payments.Loans made without52.36interest or periodic payments need not be repaid by the borrower53.1if the property for which the loan is made has not been sold,53.2transferred, or otherwise conveyed nor has it ceased to be the53.3principal place of residence of the borrower, within ten years53.4after the date of the loan.53.5 Sec. 14. Minnesota Statutes 2000, section 462A.20, 53.6 subdivision 3, is amended to read: 53.7 Subd. 3. [SEPARATE ACCOUNTS; TRANSFERS; LIMITS.] Whenever 53.8 any money is appropriated by the state to the agency solely for 53.9 a specified purpose or purposes, the agency shall establish a 53.10 separate bookkeeping account or accounts in the housing 53.11 development fund to record the receipt and disbursement of such 53.12 money and of the income, gain, and loss from the investment and 53.13 reinvestment thereof. Earnings from investment of any amounts 53.14 appropriated by the state to the agency for a specified purpose 53.15 or purposes may be aggregated. The costs and expenses necessary 53.16 and incidental to the development and operation of all programs 53.17 funded by state appropriations may be paid from the aggregated 53.18 earnings from investments prior to periodic distributions of 53.19 earnings to separate accounts to be used for the same purpose as 53.20 the respective original appropriation. The agency may transfer 53.21 unencumbered balances from one appropriated account to another, 53.22 provided that no money appropriated for the purpose of agency 53.23 loan programs may be transferred to an account to be used for 53.24 making grants, except that money appropriated for the purpose of 53.25 section 462A.05, subdivision 14a, may be transferred for the 53.26 purpose of section 462A.05, subdivision 15a. 53.27 Sec. 15. Minnesota Statutes 2000, section 462A.201, 53.28 subdivision 2, is amended to read: 53.29 Subd. 2. [LOW-INCOME HOUSING.] (a) The agency may, in 53.30 consultation with the advisory committee, use money from the 53.31 housing trust fund account for operational costs for providing 53.32 permanent housing and to provide loans or grants for projects 53.33 for the development, construction, acquisition, preservation, 53.34 and rehabilitation of low-income rental and limited equity 53.35 cooperative housing units, including temporary and transitional 53.36 housing, and homes for ownership. For purposes of this section, 54.1 "transitional housing" means housing that is provided for a 54.2 limited duration not exceeding 24 months, except that up to 54.3 one-third of the residents may live in the housing for up to 36 54.4 months. Loans or grants for residential housing for migrant 54.5 farmworkers may be made under this section. No more than 20 54.6 percent of available funds may be used for home ownership 54.7 projects. 54.8 (b) A rental or limited equity cooperative permanent 54.9 housing project must meet one of the following income tests: 54.10 (1) at least 75 percent of the rental and cooperative units 54.11 must be rented to or cooperatively owned by persons and families 54.12 whose income does not exceed 30 percent of the median family 54.13 income for the metropolitan area as defined in section 473.121, 54.14 subdivision 2; or 54.15 (2) all of the units funded by the housing trust fund 54.16 account must be used for the benefit of persons and families 54.17 whose income does not exceed 30 percent of the median family 54.18 income for the metropolitan area as defined in section 473.121, 54.19 subdivision 2. 54.20 The median family income may be adjusted for families of 54.21 five or more. 54.22 (c) Homes for ownership must be owned or purchased by 54.23 persons and families whose income does not exceed 50 percent of 54.24 the metropolitan area median income, adjusted for family size. 54.25 (d) In making the grants, the agency shall determine the 54.26 terms and conditions of repayment and the appropriate security, 54.27 if any, should repayment be required. To promote the geographic 54.28 distribution of grants and loans, the agency may designate a 54.29 portion of the grant or loan awards to be set aside for projects 54.30 located in specified congressional districts or other 54.31 geographical regions specified by the agency. The agency may 54.32 adopt rules for awarding grants and loans under this subdivision. 54.33 Sec. 16. Minnesota Statutes 2000, section 462A.2097, is 54.34 amended to read: 54.35 462A.2097 [RENTAL HOUSING.] 54.36 The agency may establish a tenant-based or project-based 55.1 rental housing assistance program for persons of low income or 55.2 for persons with a mental illness or families that include an 55.3 adult family member with a mental illness. Rental assistance 55.4 may be in the form of direct rental subsidies for housing for 55.5 persons or families with incomes, at the time of initial 55.6 occupancy, of up to 50 percent of the area median income as 55.7 determined by the United States Department of Housing and Urban 55.8 Development, adjusted for families of five or more. Housing for 55.9 the mentally ill must be operated in coordination with social 55.10 service providers who provide services requested by tenants. 55.11 Direct rental subsidies must be administered by the agency for 55.12 the benefit of eligible tenants. Financial assistance provided 55.13 under this section must be in the form of vendor payments 55.14 whenever possible. 55.15 Sec. 17. Minnesota Statutes 2000, section 462A.21, 55.16 subdivision 10, is amended to read: 55.17 Subd. 10. [CERTAIN APPROPRIATIONS AVAILABLE UNTIL 55.18 EXPENDED.] Notwithstanding the repeal of section 462A.26 and the 55.19 provisions of section 16A.28 or any other law relating to lapse 55.20 of an appropriation, the appropriations made to the agency by 55.21 the legislature in 1976 and subsequent years are available until 55.22 fully expended, and the allocations provided in the 55.23 appropriations remain in effect. Earnings from investments of 55.24 any of the amounts appropriated to the agency are appropriated 55.25 to the agency to be used for the same purposes as the respective 55.26 original appropriations, after payment of the costs and expenses 55.27 necessary and incidental to the development and operation of the 55.28 programs authorized under this chapter. 55.29 Sec. 18. Minnesota Statutes 2000, section 462A.21, is 55.30 amended by adding a subdivision to read: 55.31 Subd. 28. [FAMILY STABILIZATION DEMONSTRATION 55.32 PROJECT.] The agency may spend money for the purposes of section 55.33 462A.205 and may pay costs and expenses necessary and incidental 55.34 to the development and operation of the project. 55.35 Sec. 19. [473.2541] [DEFINITIONS.] 55.36 Subdivision 1. [SCOPE.] For the purpose of sections 56.1 473.2541 and 473.2542, the terms defined in this section have 56.2 the meanings given them. 56.3 Subd. 2. [AFFORDABLE RENTAL HOUSING.] "Affordable rental 56.4 housing" means rental housing units having a monthly rent of no 56.5 more than 30 percent of a specified area median income divided 56.6 by 12. 56.7 Subd. 3. [AFFORDABLE HOMES.] "Affordable homes" means 56.8 single-family homes having a monthly mortgage payment of 56.9 principal and interest of no more than the amount determined by 56.10 30 percent of a specified area median income divided by 12. 56.11 Subd. 4. [DEVELOPMENT.] "Development" means a new 56.12 construction or reconstruction development of single-family or 56.13 multiple-family residences containing a total of 20 or more 56.14 units located in the metropolitan area on a single parcel of 56.15 land. 56.16 Subd. 5. [MUNICIPALITY.] "Municipality" means a statutory 56.17 or home rule charter city or town in the metropolitan area. 56.18 Subd. 6. [PUBLIC SUBSIDY.] "Public subsidy" means funds 56.19 provided to a specifically identified project from the 56.20 inclusionary housing account to assist in financing the 56.21 construction of the development. 56.22 Sec. 20. [473.2542] [AFFORDABLE HOUSING.] 56.23 Subdivision 1. [OPTIONAL AFFORDABLE HOUSING.] A developer 56.24 may choose whether or not to comply with the provisions of this 56.25 section. If a developer chooses to comply, the development must 56.26 contain on the same parcel of land at least 20 percent 56.27 affordable rental housing or affordable homes as provided in 56.28 this section. The affordable housing must blend architecturally 56.29 with the remainder of the development. 56.30 Subd. 2. [PRIVATE DEVELOPMENT.] For a development without 56.31 public subsidy, affordable housing or affordable rental housing 56.32 and affordable homes shall be determined using 80 percent of the 56.33 area median income. 56.34 Subd. 3. [PUBLIC SUBSIDY.] For a development of rental 56.35 housing receiving a public subsidy from the inclusionary housing 56.36 account, ten percent of the units must be determined affordable 57.1 at 30 percent of area median income, and ten percent must be 57.2 determined affordable using 50 percent of area median income. 57.3 For home ownership units receiving a public subsidy, 57.4 affordability is determined using 60 percent of area median 57.5 income. 57.6 Subd. 4. [DENSITY BONUS.] If a developer chooses to comply 57.7 with the provisions of this section, then a development 57.8 containing at least the minimum number of affordable units must 57.9 receive a density bonus of at least 30 percent more units to be 57.10 built than would otherwise be permitted. 57.11 Subd. 5. [EXCEPTION.] A development complies with the 57.12 affordability requirement of this section even if that 57.13 development does not contain the requisite affordable rental 57.14 housing or affordable homes, if land adjacent to the development 57.15 is given by the developer to a local housing authority or 57.16 nonprofit developer and the requisite affordable units are 57.17 constructed on that land. 57.18 Subd. 6. [REGULATORY FLEXIBILITY.] A municipality shall 57.19 assist a development in being affordable by providing at least 57.20 one of the following: 57.21 (1) reduced setback and parking requirements; 57.22 (2) decreased road width; 57.23 (3) flexibility in site development standards or zoning 57.24 code requirements; 57.25 (4) waiver of permit or impact fees; 57.26 (5) fast-track permitting; or 57.27 (6) any other regulatory incentive that would result in 57.28 identifiable cost avoidance or reductions and that contributes 57.29 significantly to the economic feasibility of affordable housing. 57.30 Subd. 7. [RIGHT OF FIRST REFUSAL.] For 90 days after a 57.31 development has received final approval, the local housing 57.32 authority has the first option to purchase the affordable units 57.33 in a development at fair market value, followed in order of 57.34 preference by the county housing and redevelopment authority and 57.35 nonprofit organizations. This subdivision does not apply to 57.36 developments using federal tax credits. 58.1 Subd. 8. [RENTAL LONG-TERM AFFORDABILITY.] Those housing 58.2 units required to be affordable rental housing units by this 58.3 section must remain at affordable rents for at least the first 58.4 15 years after initial occupancy of the unit. 58.5 Sec. 21. Minnesota Statutes 2000, section 473.255, 58.6 subdivision 1, is amended to read: 58.7 Subdivision 1. [DEFINITIONS.] (a) "Inclusionary housing 58.8 development" means a new construction development, including58.9owner-occupied or rental housing, or a combination of both, with58.10a variety of prices and designs which serve families with a58.11range of incomes and housing needscomplying with the 58.12 affordability requirements of section 473.2542. 58.13 (b) "Municipality" means a statutory or home rule charter 58.14 city or town participating in the local housing incentives 58.15 program under section 473.254. 58.16 Sec. 22. Minnesota Statutes 2000, section 473.255, 58.17 subdivision 2, is amended to read: 58.18 Subd. 2. [APPLICATION CRITERIA.] The metropolitan council 58.19 must give preference to economically viable proposals to the 58.20 degree that they: (1) use innovative building techniques or 58.21 materials to lower construction costs while maintaining high 58.22 quality construction and livability; (2) are located in 58.23 communities that have demonstrated a willingness to waive local 58.24 restrictions which otherwise would increase costs of 58.25 construction; and (3)include units affordable to households58.26with incomes at or below 80 percent of area median incomemeet 58.27 the affordability and other requirements of section 473.2542. 58.28Priority shall be given to proposals where at least 1558.29percent of the owner-occupied units are affordable to households58.30at or below 60 percent of the area annual median income and at58.31least ten percent of the rental units are affordable to58.32households at or below 30 percent of area annual median income.58.33An inclusionary housing development may include resale58.34limitations on its affordable units. The limitations may58.35include a minimum ownership period before a purchaser may profit58.36on the sale of an affordable unit.59.1 Cost savings from regulatory incentives must be reflected 59.2 in the sale of all residences in an inclusionary development. 59.3 Sec. 23. Laws 2000, chapter 488, article 8, section 2, 59.4 subdivision 6, is amended to read: 59.5 Subd. 6. Economic Support Grants 59.6 30,509,000 25,368,000 59.7 The amounts that may be spent from this 59.8 appropriation for each purpose are as 59.9 follows: 59.10 [ASSISTANCE TO FAMILIES GRANTS TANF 59.11 FORECAST ADJUSTMENT.] The federal 59.12 Temporary Assistance to Needy Families 59.13 (TANF) block grant fund appropriated to 59.14 the commissioner of human services in 59.15 Laws 1999, chapter 245, article 1, 59.16 section 2, subdivision 10, for MFIP 59.17 cash grants are reduced by $37,513,000 59.18 in fiscal year 2000 and $30,217,000 in 59.19 fiscal year 2001. 59.20 [FEDERAL TANF FUNDS.] (1) In addition 59.21 to the Federal Temporary Assistance for 59.22 Needy Families (TANF) block grant funds 59.23 appropriated to the commissioner of 59.24 human services in Laws 1999, chapter 59.25 245, article 1, section 2, subdivision 59.26 10, federal TANF funds are appropriated 59.27 to the commissioner in amounts up to 59.28 $20,000,000 in fiscal year 2000 and 59.29 $80,440,000 in fiscal year 2001. In 59.30 addition to these funds, the 59.31 commissioner may draw or transfer any 59.32 other appropriations of federal TANF 59.33 funds or transfers of federal TANF 59.34 funds that are enacted into state law. 59.35 (2) Of the amounts in clause (1), 59.36 $19,680,000 in fiscal year 2001 is for 59.37 the local intervention grants program 59.38 under Minnesota Statutes, section 59.39 256J.625 and related grant programs and 59.40 shall be expended as follows: 59.41 (a) $500,000 in fiscal year 2001 is for 59.42 a grant to the Southeast Asian MFIP 59.43 services collaborative to replicate in 59.44 a second location an existing model of 59.45 an intensive intervention transitional 59.46 employment training project which 59.47 serves TANF-eligible recipients and 59.48 which moves refugee and immigrant 59.49 welfare recipients unto unsubsidized 59.50 employment and leads to economic 59.51 self-sufficiency. This is a one-time 59.52 appropriation. 59.53 (b) $500,000 in fiscal year 2001 is for 59.54 nontraditional career assistance and 59.55 training programs under Minnesota 59.56 Statutes, section 256K.30, subdivision 59.57 4. This is a one-time appropriation. 59.58 (c) $18,680,000 is for local 59.59 intervention grants for 60.1 self-sufficiency program under 60.2 Minnesota Statutes, section 256J.625. 60.3 For fiscal years 2002 and 2003 the 60.4 commissioner of finance shall ensure 60.5 that the base level funding for the 60.6 local intervention grants program is 60.7 $27,180,000 each year. 60.8 (3) Of the amounts in clause (2), 60.9 paragraph (c) for local intervention 60.10 grants, $7,000,000 in fiscal year 2001 60.11 shall be transferred to the 60.12 commissioner of health for distribution 60.13 to county boards according to the 60.14 formula in Minnesota Statutes, section 60.15 256J.625, subdivision 3, to be used by 60.16 county public health boards to serve 60.17 families with incomes at or below 200 60.18 percent of the federal poverty 60.19 guidelines, in the manner specified by 60.20 Minnesota Statutes, section 145A.16, 60.21 subdivision 3, clauses (2) through 60.22 (6). Training, evaluation and 60.23 technical assistance shall be provided 60.24 in accordance with Minnesota Statutes, 60.25 section 145A.16, subdivisions 5 to 7. 60.26 For fiscal years 2002 and 2003 the 60.27 commissioner of finance shall ensure 60.28 that the base level funding for this 60.29 activity is $7,000,000 each year. 60.30 (4) Of the amounts in clause (1), 60.31 $250,000 in fiscal year 2001 is 60.32 appropriated to the commissioner to 60.33 contract with the board of trustees of 60.34 the Minnesota state colleges and 60.35 universities to provide tuition waivers 60.36 to employees of health care and human 60.37 services providers located in the state 60.38 that are members of qualifying 60.39 consortia operating under Minnesota 60.40 Statutes, sections 116L.10 to 116L.15. 60.41 (5) Of the amounts in clause (1), 60.42 $320,000 in fiscal year 2001 is for 60.43 training job counselors about the MFIP 60.44 program. For fiscal years 2002 and 60.45 2003 the commissioner of finance shall 60.46 ensure that the base level funding for 60.47 employment services includes $320,000 60.48 each year for this activity. The 60.49 appropriations in this clause shall not 60.50 become part of the base for the 60.51 2004-2005 biennium. 60.52 (6) Of the amounts in clause (1), 60.53 $1,000,000 in fiscal year 2001 is for 60.54 out-of-wedlock pregnancy prevention 60.55 funds to serve children in 60.56 TANF-eligible families under Minnesota 60.57 Statutes, section 256K.35. For fiscal 60.58 years 2002 and 2003 the commissioner of 60.59 finance shall ensure that the base 60.60 level funding for this program is 60.61 $1,000,000 each year. The 60.62 appropriations in this clause shall not 60.63 become part of the base for the 60.64 2004-2005 biennium. 60.65 (7) Of the amounts in clause (1), 60.66 $1,000,000 in fiscal year 2001 is to 61.1 provide services to TANF-eligible 61.2 families who are participating in the 61.3 supportive housing and managed care 61.4 pilot project under Minnesota Statutes, 61.5 section 256K.25. For fiscal years 2002 61.6 and 2003 the commissioner of finance 61.7 shall ensure that the base level 61.8 funding for this project is $1,000,000 61.9 each year. The appropriations in this 61.10 clause shall not become part of the 61.11 base for this project for the 2004-2005 61.12 biennium. 61.13 [TANF TRANSFER TO SOCIAL SERVICES.] 61.14 $7,500,000 is transferred from the 61.15 state's federal TANF block grant to the 61.16 state's federal Title XX block grant in 61.17 fiscal year 2001 and in fiscal year 61.18 2002, for purposes of increasing 61.19 services for families with children 61.20 whose incomes are at or below 200 61.21 percent of the federal poverty 61.22 guidelines. Notwithstanding section 6, 61.23 this paragraph expires June 30, 2002. 61.24 [TANF MOE.] (a) In order to meet the 61.25 basic maintenance of effort (MOE) 61.26 requirements of the TANF block grant 61.27 specified under United States Code, 61.28 title 42, section 609(a)(7), the 61.29 commissioner may only report nonfederal 61.30 money expended for allowable activities 61.31 listed in the following clauses as TANF 61.32 MOE expenditures: 61.33 (1) MFIP cash and food assistance 61.34 benefits under Minnesota Statutes, 61.35 chapter 256J; 61.36 (2) the child care assistance programs 61.37 under Minnesota Statutes, sections 61.38 119B.03 and 119B.05, and county child 61.39 care administrative costs under 61.40 Minnesota Statutes, section 119B.15; 61.41 (3) state and county MFIP 61.42 administrative costs under Minnesota 61.43 Statutes, chapters 256J and 256K; 61.44 (4) state, county, and tribal MFIP 61.45 employment services under Minnesota 61.46 Statutes, chapters 256J and 256K; and 61.47 (5) expenditures made on behalf of 61.48 noncitizen MFIP recipients who qualify 61.49 for the medical assistance without 61.50 federal financial participation program 61.51 under Minnesota Statutes, section 61.52 256B.06, subdivision 4, paragraphs (d), 61.53 (e), and (j). 61.54 (b) The commissioner shall ensure that 61.55 sufficient qualified nonfederal 61.56 expenditures are made each year to meet 61.57 the state's TANF MOE requirements. For 61.58 the activities listed in paragraph (a), 61.59 clauses (2) to (6), the commissioner 61.60 may only report expenditures that are 61.61 excluded from the definition of 61.62 assistance under Code of Federal 61.63 Regulations, title 45, section 260.31. 62.1 If nonfederal expenditures for the 62.2 programs and purposes listed in 62.3 paragraph (a) are insufficient to meet 62.4 the state's TANF MOE requirements, the 62.5 commissioner shall recommend additional 62.6 allowable sources of nonfederal 62.7 expenditures to the legislature, if the 62.8 legislature is or will be in session to 62.9 take action to specify additional 62.10 sources of nonfederal expenditures for 62.11 TANF MOE before a federal penalty is 62.12 imposed. The commissioner shall 62.13 otherwise provide notice to the 62.14 legislative commission on planning and 62.15 fiscal policy under paragraph (d). 62.16 (c) If the commissioner uses authority 62.17 granted under Laws 1999, chapter 245, 62.18 article 1, section 10, or similar 62.19 authority granted by a subsequent 62.20 legislature, to meet the state's TANF 62.21 MOE requirements in a reporting period, 62.22 the commissioner shall inform the 62.23 chairs of the appropriate legislative 62.24 committees about all transfers made 62.25 under that authority for this purpose. 62.26 (d) If the commissioner determines that 62.27 nonfederal expenditures for the 62.28 programs under Minnesota Statutes, 62.29 section 256J.025, are insufficient to 62.30 meet TANF MOE expenditure requirements, 62.31 and if the legislature is not or will 62.32 not be in session to take timely action 62.33 to avoid a federal penalty, the 62.34 commissioner may report nonfederal 62.35 expenditures from other allowable 62.36 sources as TANF MOE expenditures after 62.37 the requirements of this paragraph are 62.38 met. 62.39 The commissioner may report nonfederal 62.40 expenditures in addition to those 62.41 specified under paragraph (a) as 62.42 nonfederal TANF MOE expenditures, but 62.43 only ten days after the commissioner of 62.44 finance has first submitted the 62.45 commissioner's recommendations for 62.46 additional allowable sources of 62.47 nonfederal TANF MOE expenditures to the 62.48 members of the legislative commission 62.49 on planning and fiscal policy for their 62.50 review. 62.51 (e) The commissioner of finance shall 62.52 not incorporate any changes in federal 62.53 TANF expenditures or nonfederal 62.54 expenditures for TANF MOE that may 62.55 result from reporting additional 62.56 allowable sources of nonfederal TANF 62.57 MOE expenditures under the interim 62.58 procedures in paragraph (d) into the 62.59 February or November forecasts required 62.60 under Minnesota Statutes, section 62.61 16A.103, unless the commissioner of 62.62 finance has approved the additional 62.63 sources of expenditures under paragraph 62.64 (d). 62.65 (f) The provisions of paragraphs (a) to 62.66 (e) supersede any contrary provisions 63.1 in Laws 1999, chapter 245, article 1, 63.2 section 2, subdivision 10. 63.3 (g) The provisions of Minnesota 63.4 Statutes, section 256.011, subdivision 63.5 3, which require that federal grants or 63.6 aids secured or obtained under that 63.7 subdivision be used to reduce any 63.8 direct appropriations provided by law 63.9 do not apply if the grants or aids are 63.10 federal TANF funds. 63.11 (h) Notwithstanding section 6 of this 63.12 article, paragraphs (a) to (g) expire 63.13 June 30, 2003. 63.14 (i) Paragraphs (a) to (h) are effective 63.15 the day following final enactment. 63.16 (a) Assistance to Families Grants 63.17 9,628,000 (2,305,000) 63.18 (b) Work Grants 63.19 -0- (250,000) 63.20 (c) AFDC and Other Assistance 63.21 20,000,000 30,734,000 63.22 [TRANSFERS TO MINNESOTA HOUSING FINANCE 63.23 AGENCY.] (a) By June 30, 2001, the 63.24 commissioner shall transfer $50,000,000 63.25 of the general funds appropriated under 63.26 this paragraph to the Minnesota housing 63.27 finance agency for transfer to the 63.28 housing development fund. The program 63.29 funded by this transfer shall be known 63.30 as the "Bruce F. Vento Year 2000 63.31 Affordable Housing Program." Up to 63.32 $15,000,000 may be transferred in 63.33 fiscal year 2000. 63.34 (b) Of the funds transferred in 63.35 paragraph (a), $5,000,000 in fiscal 63.36 year 2001 and $15,000,000 in fiscal 63.37 year 2002 is for a loan to Habitat for 63.38 Humanity of Minnesota, Inc. The loan 63.39 shall be an interest-free deferred 63.40 loan. The loan shall become due and 63.41 payable in the event and to the extent 63.42 that Habitat for Humanity of Minnesota, 63.43 Inc. does not invest repayments and 63.44 prepayment of mortgage loans financed 63.45 with this appropriation in new 63.46 mortgages for additional homebuyers 63.47 through Habitat for Humanity of 63.48 Minnesota, Inc. To the extent 63.49 practicable, funding must be allocated 63.50 to Habitat for Humanity chapters on the 63.51 basis of the number of MFIP households 63.52 residing within a chapter's service 63.53 area compared to the statewide total of 63.54 MFIP households and on the basis of a 63.55 chapter's capacity. 63.56 (c) Of the funds transferred in 63.57 paragraph (a), $15,000,000 in fiscal 63.58 year 2001 and $15,000,000 in fiscal 63.59 year 2002 is for the affordable rental 64.1 investment fund program under Minnesota 64.2 Statutes, section 462A.21, subdivision 64.3 8b. To the extent practicable, the 64.4 number of units financed with the 64.5 appropriation under this paragraph 64.6 within a city, county, or region shall 64.7 reflect the number of MFIP households 64.8 residing within the city, county, or 64.9 region compared to the statewide total 64.10 of MFIP households. This appropriation 64.11 must be used to finance rental housing 64.12 units that serve families: 64.13 (1) receiving MFIP benefits under 64.14 Minnesota Statutes, section 256J.01, or 64.15 its successor program; and 64.16 (2) who have lost eligibility for MFIP 64.17due to increased income from employment64.18or due to the collection of child or64.19spousal support under part D of title64.20IV of the Social Security Actfor 64.21 reasons other than disqualification 64.22 from MFIP due to fraud. 64.23 Units produced with this appropriation 64.24 must remain affordable for a 30-year 64.25 period. 64.26 In order to coordinate the availability 64.27 of housing developed with the 64.28 appropriation under this paragraph with 64.29 MFIP families in need of affordable 64.30 housing, the commissioner of the 64.31 Minnesota housing finance agency, with 64.32 the assistance of the commissioner of 64.33 human services, shall establish 64.34 cooperative relationships with county 64.35 agencies as defined in Minnesota 64.36 Statutes, section 256J.08, local 64.37 employment and training service 64.38 providers as defined in Minnesota 64.39 Statutes, section 256J.49, local social 64.40 service agencies, or other 64.41 organizations that provide assistance 64.42 to MFIP households. 64.43 The commissioner of the Minnesota 64.44 housing finance agency shall develop 64.45 strategies to promote occupancy of the 64.46 units financed by the appropriation 64.47 under this paragraph by households most 64.48 in need of subsidized housing. The 64.49 strategies shall include provisions 64.50 that encourage households to move into 64.51 homeownership or unsubsidized housing 64.52 as the household secures stable 64.53 employment and achieves 64.54 self-sufficiency. The commissioner of 64.55 the Minnesota housing finance agency 64.56 shall consult with interested parties 64.57 in developing these strategies. 64.58 (d) The commissioner of the Minnesota 64.59 housing finance agency and the 64.60 commissioner of human services shall 64.61 jointly prepare and submit a report to 64.62 the governor and the legislature on the 64.63 results of the funding provided under 64.64 this section. The report shall include: 65.1 (1) information on the number of units 65.2 produced; 65.3 (2) the household size and income of 65.4 the occupants of the units at initial 65.5 occupancy; and 65.6 (3) to the extent the information is 65.7 available, measures related to the 65.8 occupants' attachment to the workforce 65.9 and public assistance usage, and number 65.10 of occupant moves. 65.11 The report must be submitted annually 65.12 beginning January 15, 2003. 65.13 (e) Section 6, sunset of uncodified 65.14 language, does not apply to paragraphs 65.15 (a) to (d). Paragraphs (a) to (d) are 65.16 effective the day following final 65.17 enactment. 65.18 [WORKING FAMILY CREDIT.] (a) On a 65.19 regular basis, the commissioner of 65.20 revenue, with the assistance of the 65.21 commissioner of human services, shall 65.22 calculate the value of the refundable 65.23 portion of the Minnesota working family 65.24 credits provided under Minnesota 65.25 Statutes, section 290.0671, that 65.26 qualifies for federal reimbursement 65.27 from the temporary assistance to needy 65.28 families block grant. The commissioner 65.29 of revenue shall provide the 65.30 commissioner of human services with 65.31 such expenditure records and 65.32 information as are necessary to support 65.33 draws of federal funds. The 65.34 commissioner of human services shall 65.35 reimburse the commissioner of revenue 65.36 for the costs of providing the 65.37 information required by this paragraph. 65.38 (b) Federal TANF funds, as specified in 65.39 this paragraph, are appropriated to the 65.40 commissioner of human services based on 65.41 calculations under paragraph (a) of 65.42 working family tax credit expenditures 65.43 that qualify for reimbursement from the 65.44 TANF block grant for income tax refunds 65.45 payable in federal fiscal years 65.46 beginning October 1, 1999. The draws 65.47 of federal TANF funds shall be made on 65.48 a regular basis based on calculations 65.49 of credit expenditures by the 65.50 commissioner of revenue. Up to the 65.51 following amounts of federal TANF draws 65.52 are appropriated to the commissioner of 65.53 human services to deposit into the 65.54 general fund: in fiscal year 2000, 65.55 $30,957,000; and in fiscal year 2001, 65.56 $33,895,000. 65.57 (d) General Assistance 65.58 557,000 (3,134,000) 65.59 (e) Minnesota Supplemental Aid 65.60 324,000 323,000 66.1 ARTICLE 7 66.2 BUDGET PREPARATION 66.3 Section 1. Minnesota Statutes 2000, section 3.3005, 66.4 subdivision 2, is amended to read: 66.5 Subd. 2. [GOVERNOR'S REQUEST TO LEGISLATURE.] A state 66.6 agency shall not expend money received by it under federal law 66.7 for any purpose unless a request to spend federal money from 66.8 that source for that purpose in that fiscal year has been 66.9 submitted by the governor to the legislature as a part of a 66.10 budget request submitted during or within ten days before the 66.11 start of a regular legislative session, or unless specifically 66.12 authorized by law or as provided by this section. A budget 66.13 request submitted to the legislature according to this 66.14 subdivision must be submitted at least 20 days before the 66.15 deadline set by the legislature for legislative budget 66.16 committees to act on finance bills. 66.17 Sec. 2. Minnesota Statutes 2000, section 3.3005, is 66.18 amended by adding a subdivision to read: 66.19 Subd. 3b. [INCREASE IN AMOUNT.] If a request to spend 66.20 federal money is included in a governor's budget request and 66.21 approved according to subdivisions 2 and 2a or subdivision 5 and 66.22 the amount of money available increases after the request is 66.23 made and authorized, the additional amount may be allotted for 66.24 expenditure after a revised request is submitted according to 66.25 subdivision 2, or the requirements of subdivision 5 are met. 66.26 Sec. 3. Minnesota Statutes 2000, section 3.98, subdivision 66.27 2, is amended to read: 66.28 Subd. 2. [CONTENTS.] (a) The fiscal note, where possible, 66.29 shall: 66.30 (1) cite the effect in dollar amounts; 66.31 (2) cite the statutory provisions affected; 66.32 (3) estimate the increase or decrease in revenues or 66.33 expenditures; 66.34 (4) include the costs which may be absorbed without 66.35 additional funds;and66.36 (5) include the assumptions used in determining the cost 67.1 estimates; and 67.2 (6) specify any long-range implication. 67.3 (b) The fiscal note may comment on technical or mechanical 67.4 defects in the bill but shall express no opinions concerning the 67.5 merits of the proposal. 67.6 Sec. 4. Minnesota Statutes 2000, section 16A.10, 67.7 subdivision 2, is amended to read: 67.8 Subd. 2. [BY OCTOBER 15 AND NOVEMBER 30AGENCY BUDGET 67.9 INFORMATION.] (a) By October 15 of each even-numbered year, an 67.10 agency must file the following with the commissioner: 67.11 (1) budget estimates for the most recent and current fiscal 67.12 years; 67.13 (2) its upcoming biennial budget estimates; 67.14 (3) a comprehensive and integrated statement of agency 67.15 missions and outcome and performance measures; and 67.16 (4) a concise explanation of any planned changes in the 67.17 level of services or new activities. 67.18 The commissioner shall prepare and file the budget 67.19 estimates for an agency failing to file them. 67.20 (b) Between October 15 and November 30, the commissioner 67.21 must hold at least one open public meeting with each agency to 67.22 discuss that agency's budget information, agency performance 67.23 data, and any proposed changes in level of services and new 67.24 activities. 67.25 (c) By November 30, the commissioner shall send the final 67.26 budget format, agency budget estimates for the next biennium, 67.27 and copies of the filed material to the ways and means and 67.28 finance committees, except that the commissioner shall not be 67.29 required to transmit information that identifies executive 67.30 branch budget decision items. At this time, a list of each 67.31 employee's name, title, and salary must be available to the 67.32 legislature, either on paper or through electronic retrieval. 67.33 Sec. 5. Minnesota Statutes 2000, section 16A.103, 67.34 subdivision 1, is amended to read: 67.35 Subdivision 1. [STATE REVENUE AND EXPENDITURES.] In 67.36 February and November each year, the commissioner shall prepare 68.1 a forecast of state revenue and expenditures. The November 68.2 forecast must be delivered to the legislature and governor no 68.3 later than the end of the first week of December. The February 68.4 forecast must be delivered to the legislature and governor by 68.5 the end of February. Forecasts must be delivered to the 68.6 legislature and governor on the same day. If requested by the 68.7 legislative commission on planning and fiscal policy, delivery 68.8 to the legislature must include a presentation to the commission. 68.9 When forecasts are delivered to the legislature, the 68.10 commissioner shall reconcile the general fund balance to the end 68.11 of session legislative tracking documents and detail any 68.12 difference by omnibus budget bill jurisdiction for the current 68.13 and next biennium. A written explanation of differences must be 68.14 provided to the chairs of the senate finance committee and the 68.15 house of representatives ways and means committee and 68.16 legislative fiscal staff. The commissioner shall also deliver a 68.17 general fund balance and reconciliation within one week of the 68.18 end of each legislative session. At least one week before 68.19 delivery of a general fund balance report, the commissioner 68.20 shall notify the chairs of the senate finance committee and 68.21 house ways and means committee of any ways in which the format 68.22 of the fund balance or treatment of similar items in the fund 68.23 balance will differ from the previous report. 68.24 Sec. 6. Minnesota Statutes 2000, section 16A.103, 68.25 subdivision 1a, is amended to read: 68.26 Subd. 1a. [FORECAST PARAMETERS.] The forecast must assume 68.27 the continuation of current laws and reasonable estimates of 68.28 projected growth in the national and state economies and 68.29 affected populations. Revenue must be estimated for all sources 68.30 provided for in current law. Expenditures must be estimated for 68.31 all obligations imposed by law and those projected to occur as a 68.32 result of inflation and variables outside the control of the 68.33 legislature. The forecast must include a set-aside amount that 68.34 reflects cost increases as a result of inflation in delivering 68.35 the current-law level of services. This amount must not exceed 68.36 the amount obtained by applying the rate of inflation to those 69.1 state expenditures that reflect payments for services at the 69.2 state or local level. An amount to reflect increases in 69.3 providing services must not be applied to any appropriation for 69.4 which the law or process determining that current-law 69.5 appropriation amount already includes a factor to reflect those 69.6 cost increases. 69.7 Sec. 7. Minnesota Statutes 2000, section 16A.152, 69.8 subdivision 7, is amended to read: 69.9 Subd. 7. [DELAY; REDUCTION.] The commissioner may delay 69.10 paying up to 15 percent of an appropriation to a special taxing 69.11 district or a system of higher education in that entity's fiscal 69.12 year for up to 60 days after the start of its next fiscal year. 69.13 The delayed amount is subject to allotment reduction under 69.14 subdivision14. 69.15 ARTICLE 8 69.16 MISCELLANEOUS 69.17 Section 1. [4A.11] [SELF-SUFFICIENCY STANDARD.] 69.18 By January 1, 2002, and every two years thereafter, the 69.19 office shall calculate a dollar amount for self-sufficiency in 69.20 Minnesota. A self-sufficiency standard measures how much income 69.21 is needed for a family to meet its basic needs. A family's 69.22 basic needs include, but are not limited to, housing, food, 69.23 child care, transportation, health care, taxes, and clothing. 69.24 Expenses such as education or job training, debt repayment, 69.25 savings, vacation, entertainment, restaurant meals, or holiday 69.26 expenses are not included in the standard. 69.27 The self-sufficiency standard must be calculated for 69.28 multiple family sizes and the costs used for the calculation 69.29 must take into account geographical variation and the age and 69.30 number of children in the family. 69.31 The calculations, methodology used, and sources of costs 69.32 used and the standards must be published in a self-sufficiency 69.33 report for public use. By October 1, 2002, the office must make 69.34 the self-sufficiency report available to the legislature, the 69.35 governor's workforce development council, state agencies, and 69.36 secondary and post-secondary educational institutions, and 70.1 otherwise make the report generally available to the public. 70.2 The report must be posted on each of the above mentioned state 70.3 agencies' Web sites, or linked to the report by the Internet. 70.4 Sec. 2. Minnesota Statutes 2000, section 8.15, is amended 70.5 by adding a subdivision to read: 70.6 Subd. 6. [TRUNK HIGHWAY COSTS.] On July 1, 2001, the 70.7 commissioner of finance shall transfer $1,118,000 from the trunk 70.8 highway fund to the general fund. On July 1, 2002, the 70.9 commissioner of finance shall transfer $1,151,000 from the trunk 70.10 highway fund to the general fund. These amounts are 70.11 appropriated from the general fund to the attorney general in 70.12 fiscal years 2002 and 2003. Effective for fiscal year 2004 and 70.13 thereafter, this amount shall be annually adjusted by the rate 70.14 of inflation determined under section 477A.145 and transferred 70.15 from the trunk highway fund to the general fund. When preparing 70.16 the budget for the 2004-2005 biennium, the commissioner of 70.17 finance shall adjust the base appropriations for the attorney 70.18 general's office by this amount. The purpose of this transfer 70.19 is to pay for the cost of legal service provided by the attorney 70.20 general to the department of transportation for trunk highway 70.21 purposes. 70.22 Sec. 3. [8.151] [CHARGES; CERTAIN AGENCIES.] 70.23 Subdivision 1. [TRANSFERS.] On July 1, 2002, the 70.24 commissioner of finance shall transfer the general fund 70.25 appropriations to the attorney general from the following 70.26 agencies in the following amounts: 70.27 department of children, families, and learning $ 243,000 70.28 department of corrections $ 161,000 70.29 department of health $ 471,000 70.30 housing finance agency $ 454,000 70.31 department of human services $2,126,000 70.32 iron range resources rehabilitation board $ 63,000 70.33 Minnesota state colleges and universities $1,086,000 70.34 department of natural resources $1,389,000 70.35 petroleum tank release board $ 134,000 70.36 pollution control agency $1,474,000 71.1 department of public safety $ 126,000 71.2 The attorney general may not access charges for legal 71.3 service to these agencies performed after June 30, 2001. The 71.4 attorney general may assess charges for services performed prior 71.5 to this date but not yet billed. Notwithstanding any law to the 71.6 contrary, these departments and agencies may reallocate 71.7 resources from other operating funds within their budgets 71.8 between appropriation accounts to compensate for these general 71.9 fund reductions. When preparing the budget for the 2004-2005 71.10 biennium, the commissioner of finance shall adjust the base 71.11 appropriations for the attorney general's office and the named 71.12 agencies by these changes. 71.13 Effective July 1, 2002, a direct appropriation from the 71.14 state government special revenue fund in the amount of 71.15 $1,159,000 each year is made to the attorney general's office to 71.16 provide legal services for the board of medical practice. When 71.17 preparing for the 2004-2005 biennium, the commissioner of 71.18 finance shall adjust the base appropriations for the attorney 71.19 general's office by these amounts. 71.20 Subd. 2. [ADDITIONAL TRANSFERS.] On July 1, 2002, and each 71.21 year thereafter, the commissioner of finance shall transfer to 71.22 the general fund from the following funds the following amounts: 71.23 teachers retirement fund $ 44,000 71.24 public employees retirement fund $ 134,000 71.25 Minnesota state retirement fund $ 20,000 71.26 These amounts are appropriated from the general fund to the 71.27 attorney general in fiscal year 2003. When preparing the budget 71.28 for the 2004-2005 biennium, the commissioner of finance shall 71.29 adjust the base appropriations for the attorney general's office 71.30 by these amounts. 71.31 Sec. 4. Minnesota Statutes 2000, section 16B.25, 71.32 subdivision 2, is amended to read: 71.33 Subd. 2. [NOTICE.] Lost or abandoned property found on 71.34 state lands is placed in the custody of the commissioner. If 71.35 the rightful owner is known, the owner must be notified by 71.36 certified mail and may reclaim the property on paying the 72.1 expenses of the search.If the owner is unknown, the72.2commissioner must give two weeks' published notice in the county72.3where the property was found. Within six months following72.4publication, the rightful owner may receive the property on72.5paying the search expenses.72.6 [EFFECTIVE DATE.] This section is effective the day 72.7 following final enactment. 72.8 Sec. 5. Minnesota Statutes 2000, section 16B.335, 72.9 subdivision 3, is amended to read: 72.10 Subd. 3. [PREDESIGN REQUIREMENT.] The definitions in 72.11 paragraphs (a) and (b) apply to this section. 72.12 (a) "Predesign" means the stage in the development of a 72.13 project during which the purpose, scope, cost, and schedule of 72.14 the complete project are defined and instructions to design 72.15 professionals are produced. 72.16 (b) "Design" means the stage in the development of a 72.17 project during which schematic, design development, and contract 72.18 documents are produced. 72.19 (c) A recipient to whom an appropriation is made for a 72.20 project subject to review under subdivision 1 or notice under 72.21 subdivision 2 shall prepare a predesign package and submit it to 72.22 the commissioner for review and recommendation before proceeding 72.23 with design activities. The commissioner must complete the 72.24 review and recommendation within ten working days after 72.25 receiving it. Failure to review and recommend within the ten 72.26 days is considered a positive recommendation. The predesign 72.27 package must be sufficient to define the purpose, scope, cost, 72.28 and schedule of the project and must demonstrate that the 72.29 project has been analyzed according to appropriate space needs 72.30 standards. This subdivision does not apply to local government 72.31 or political subdivision projects with a construction cost of 72.32 less than $5,000,000 or any other capital projects with a 72.33 construction cost of less than $750,000. 72.34 Sec. 6. [16B.614] [CODE FOR REHABILITATION OF HISTORIC 72.35 STRUCTURES.] 72.36 By July 1, 2002, the commissioner must adopt rules 73.1 establishing a building code for the renovation and 73.2 rehabilitation of historic structures, including properties 73.3 listed on the National Register of Historic Places and 73.4 properties designated by either a certified local government or 73.5 a heritage preservation commission created under the National 73.6 Preservation Act of 1966 and whose designation is approved by 73.7 the state historic preservation officer. The commissioner may 73.8 adopt a model code by reference, with necessary modifications 73.9 for Minnesota conditions. 73.10 [EFFECTIVE DATE.] This section is effective the day after 73.11 final enactment. 73.12 Sec. 7. Minnesota Statutes 2000, section 16B.88, 73.13 subdivision 2, is amended to read: 73.14 Subd. 2. [COOPERATION WITH OTHER GROUPS.] The director 73.15 shall cooperate with national, state, and local groups in 73.16 collecting information on federal, state, and private resources 73.17 which may encourage and improve volunteer projects within the 73.18 state.The office shall coordinate its research and other work73.19on citizen engagement with the board of government innovation73.20and cooperation, the Minnesota extension service, and Project73.21Public Life, Humphrey Institute, University of Minnesota.73.22 [EFFECTIVE DATE.] This section is effective the day 73.23 following final enactment. 73.24 Sec. 8. Minnesota Statutes 2000, section 16C.22, is 73.25 amended to read: 73.26 16C.22 [DISTRICT HEATING.] 73.27 Notwithstanding any other law, general or special, the 73.28 commissioner is authorized to enter into or approve a written 73.29 agreement not to exceed 31 years with a district heating or 73.30 cooling utility that will specify, but not be limited to, the 73.31 appropriate terms and conditions for the interchange of district 73.32 heating or cooling services. 73.33 Sec. 9. Minnesota Statutes 2000, section 16E.04, 73.34 subdivision 2, is amended to read: 73.35 Subd. 2. [RESPONSIBILITIES.] (a) In addition to other 73.36 activities prescribed by law, the office shall carry out the 74.1 duties set out in this subdivision. 74.2 (b) The office shall develop and establish a state 74.3 information architecture to ensure that further state agency 74.4 development and purchase of information and communications 74.5 systems, equipment, and services is designed to ensure that 74.6 individual agency information systems complement and do not 74.7 needlessly duplicate or conflict with the systems of other 74.8 agencies. When state agencies have need for the same or similar 74.9 public data, the commissioner, in coordination with the affected 74.10 agencies, shall promote the most efficient and cost-effective 74.11 method of producing and storing data for or sharing data between 74.12 those agencies. The development of this information 74.13 architecture must include the establishment of standards and 74.14 guidelines to be followed by state agencies. 74.15 (c) The office shall assist state agencies in the planning 74.16 and management of information systems so that an individual 74.17 information system reflects and supports the state agency's 74.18 mission and the state's requirements and functions. 74.19 (d) The office shall review agency requests for legislative 74.20 appropriations for the development or purchase of information 74.21 systems equipment or software. 74.22 (e) The office shall review major purchases of information 74.23 systems equipment to: 74.24 (1) ensure that the equipment follows the standards and 74.25 guidelines of the state information architecture; 74.26 (2) ensure that the equipment is consistent with the 74.27 information management principles adopted by the information 74.28 policy council; 74.29 (3) evaluate whether the agency's proposed purchase 74.30 reflects a cost-effective policy regarding volume purchasing; 74.31 and 74.32 (4) ensure that the equipment is consistent with other 74.33 systems in other state agencies so that data can be shared among 74.34 agencies, unless the office determines that the agency 74.35 purchasing the equipment has special needs justifying the 74.36 inconsistency. 75.1 (f) The office shall review the operation of information 75.2 systems by state agencies and provide advice and assistance to 75.3 ensure that these systems are operated efficiently and 75.4 continually meet the standards and guidelines established by the 75.5 office. The standards and guidelines must emphasize uniformity 75.6 that encourages information interchange, open systems 75.7 environments, and portability of information whenever 75.8 practicable and consistent with an agency's authority and 75.9 chapter 13.The office, in consultation with the75.10intergovernmental information systems advisory council and the75.11legislative reference library, shall recommend specific75.12standards and guidelines for each state agency within a time75.13period fixed by the office in regard to the following:75.14(1) establishing methods and systems directed at reducing75.15and ultimately eliminating redundant storage of data; and75.16(2) establishing information sales systems that utilize75.17licensing and royalty agreements to the greatest extent75.18possible, together with procedures for agency denial of requests75.19for licenses or royalty agreements by commercial users or75.20resellers of the information. Section 3.751 does not apply to75.21those licensing and royalty agreements, and the agreements must75.22include provisions that section 3.751 does not apply and that75.23the state is immune from liability under the agreement.75.24 (g) The office shall conduct a comprehensive review at 75.25 least every three years of the information systems investments 75.26 that have been made by state agencies and higher education 75.27 institutions. The review must include recommendations on any 75.28 information systems applications that could be provided in a 75.29 more cost-beneficial manner by an outside source. The office 75.30 must report the results of its review to the legislature and the 75.31 governor. 75.32(h) The office shall report to the legislature by January75.3315 of each year on progress in implementing paragraph (f),75.34clauses (1) and (2).75.35 [EFFECTIVE DATE.] This section is effective the day 75.36 following final enactment. 76.1 Sec. 10. [16E.09] [TECHNOLOGY ENTERPRISE FUND.] 76.2 Subdivision 1. [TECHNOLOGY ENTERPRISE FUND.] A technology 76.3 enterprise fund is established. Money deposited in the fund is 76.4 appropriated to the commissioner of administration for the 76.5 purpose of funding technology projects and programs among 76.6 government entities that support cooperation, innovation, and 76.7 efficiency; promoting shared use of technology and technology 76.8 standards; and assuring that citizens throughout the state have 76.9 the opportunity to use electronic government services. A 76.10 portion of revenues from the sale of information technology 76.11 surplus equipment or data, of funds collected from rental of 76.12 communication tower space, of refunds from information 76.13 technology services or purchases, and from savings generated by 76.14 information technology and telecommunications projects may be 76.15 deposited into the fund upon agreement by the commissioner of 76.16 administration and the executive of the government entity 76.17 generating those funds. The commissioner of administration may 76.18 accept contributions from other entities or other gifts and 76.19 grants into the fund. The transfer of funds between state 76.20 agencies is subject to the approval of the commissioner of 76.21 finance. The commissioner of finance shall notify the chairs of 76.22 the committees funding the affected state agencies of such 76.23 transfers. Funds are available until spent. 76.24 Subd. 2. [TECHNOLOGY ENTERPRISE BOARD.] A technology 76.25 enterprise board is established to advise the state chief 76.26 information officer, the office of technology, the governor, the 76.27 executive branch, and the legislature regarding information 76.28 technology funding and expenditures from the technology 76.29 enterprise fund. The board shall consist of up to 18 members 76.30 representing public and private entities with general expertise 76.31 in information technology and telecommunications initiatives and 76.32 planning. The state chief information officer shall act as 76.33 chair and the office of technology shall provide necessary staff 76.34 support. Nonlegislator members shall be appointed by the 76.35 governor, including one nominee representing the state executive 76.36 council, one nominee representing the supreme court, and one 77.1 nominee representing the higher education advisory council; and 77.2 seven at-large members representing the private sector with 77.3 experience in business. The speaker of the house of 77.4 representatives and the senate subcommittee on committees shall 77.5 each appoint two legislators to the board. Legislator members 77.6 serve at the pleasure of the appointing authority. Membership 77.7 terms, compensation, and removal of nonlegislator board members 77.8 are governed by section 15.0575, except that terms are three 77.9 years. 77.10 Sec. 11. Minnesota Statutes 2000, section 43A.24, 77.11 subdivision 1, is amended to read: 77.12 Subdivision 1. [GENERAL.] Employees, including persons on 77.13 layoff from a civil service position, and employees who are 77.14 employed less than full time, shall be eligible for state paid 77.15 life insurance and hospital, medical and dental benefits as 77.16 provided in collective bargaining agreements or plans 77.17 established pursuant to section 43A.18. 77.18 A collective bargaining agreement or plan may provide 77.19 state-paid benefits only to an employee or the spouse or 77.20 dependent child or dependent grandchild of an employee. A 77.21 collective bargaining agreement or compensation plan may define 77.22 a dependent child to include a biological child, a child legally 77.23 adopted or placed for adoption with the employee, a foster 77.24 child, or a step-child. A collective bargaining agreement or 77.25 compensation plan may provide conditions and limitations on 77.26 coverage for employees, spouses, and dependent children or 77.27 grandchildren. Nothing in this section shall interfere with 77.28 collective bargaining agreements. 77.29 Sec. 12. Minnesota Statutes 2000, section 116L.16, is 77.30 amended to read: 77.31 116L.16 [DISTANCE-WORK GRANTS.] 77.32 The job skills partnership board may make grants-in-aid for 77.33 distance-work projects. The purpose of the grants is to promote 77.34 distance-work projects involving technology in rural areas and 77.35 may include a consortium of organizations partnering in the 77.36 development of rural technology industry. Grants may be used to 78.1 identify and train rural workers in technology, act as a 78.2 catalyst to bring together employers and rural employees to 78.3 perform distance work, and provide rural workers with physical 78.4 connections to telecommunications infrastructure, where 78.5 necessary, in order to be self-employed or employed from their 78.6 homes or satellite offices. Grants must be made according to 78.7 sections 116L.02 and 116L.04, except that: 78.8 (1) the business match may include, but is not limited 78.9 to, office space; additional management or technology staff 78.10 costs; start-up equipment costs such as telecommunications 78.11 infrastructure, additional software, or computer upgrades; 78.12 consulting fees for implementation of distance-work policies or 78.13 identification and skill assessment of potential employees; and 78.14 the joint financial contribution of two or more businesses 78.15 acting as a consortium; 78.16 (2) cash or in-kind contributions by partnering 78.17 organizations may be used as a match; 78.18 (3) eligible grantees may be educational or nonprofit 78.19 educational training organizations;and78.20 (4) grants-in-aid may be packaged with loans under section 78.21 116L.06, subdivision 6; and 78.22 (5) with respect to grants serving as a catalyst to bring 78.23 together employers and rural employees to perform distance work, 78.24 the match does not have to be one-to-one. 78.25 The board shall, to the extent there are sufficient 78.26 applications, make grant awards to as many parts of the state as 78.27 possible. Subject to the requirement for geographic 78.28 distribution of grants, preference shall be given to grant 78.29 applications that provide the most cost-effective training 78.30 proposals, that provide the best prospects for high-paying jobs 78.31 with high retention rates, or that are from more economically 78.32 distressed rural areas or communities. 78.33 Grantees must meet reporting and evaluation requirements 78.34 established by the board. 78.35 Sec. 13. Minnesota Statutes 2000, section 181.945, is 78.36 amended to read: 79.1 181.945 [LEAVE FOR BONE MARROW DONATIONS AND ORGAN 79.2 DONATION.] 79.3 Subdivision 1. [DEFINITIONS.] (a) For the purposes of this 79.4 section, the following terms have the meanings given to them in 79.5 this subdivision. 79.6 (b) "Employee" means a person who performs services for 79.7 hire for an employer, for an average of 20 or more hours per 79.8 week, and includes all individuals employed at any site owned or 79.9 operated by an employer. Employee does not include an 79.10 independent contractor. 79.11 (c) "Employer" means a person or entity that employs 20 or 79.12 more employees at at least one site and includes an individual, 79.13 corporation, partnership, association, nonprofit organization, 79.14 group of persons, state, county, town, city, school district, or 79.15 other governmental subdivision. 79.16 Subd. 2. [LEAVE; BONE MARROW DONATIONS.] An employer must 79.17 grant paid leaves of absence to an employee who seeks to undergo 79.18 a medical procedure to donate bone marrow. The combined length 79.19 of the leaves shall be determined by the employee, but may not 79.20 exceed 40 work hours, unless agreed to by the employer. The 79.21 employer may require verification by a physician of the purpose 79.22 and length of each leave requested by the employee to donate 79.23 bone marrow. If there is a medical determination that the 79.24 employee does not qualify as a bone marrow donor, the paid leave 79.25 of absence granted to the employee prior to that medical 79.26 determination is not forfeited. 79.27 Subd. 2a. [LEAVE; ORGAN DONATION.] An employer must grant 79.28 a paid leave of absence to an employee who seeks to undergo a 79.29 medical procedure to donate an organ or partial organ to another 79.30 person. The length of the leave shall be determined by the 79.31 employee, but may not exceed 30 working days unless agreed to by 79.32 the employer. The employer may require verification by a 79.33 physician of the purpose and length of the leave required by the 79.34 employee for organ donation. If there is a medical 79.35 determination that the employee does not qualify as an organ 79.36 donor, the paid leave of absence granted to the employee prior 80.1 to that medical determination is not forfeited. 80.2 Subd. 3. [NO EMPLOYER SANCTIONS.] An employer shall not 80.3 retaliate against an employee for requesting or obtaining a 80.4 leave of absence as provided by this section. 80.5 Subd. 4. [RELATIONSHIP TO OTHER LEAVE.] This section does 80.6 not prevent an employer from providing leave for bone marrow or 80.7 organ donations in addition to leave allowed under this 80.8 section. This section does not affect an employee's rights with 80.9 respect to any other employment benefit. 80.10 Sec. 14. [268.195] [UNEMPLOYMENT INSURANCE TECHNOLOGY 80.11 INITIATIVE.] 80.12 Subdivision 1. [PURPOSE; SET-ASIDE.] The unemployment 80.13 insurance technology initiative involves a set-aside of a 80.14 portion of the money that would otherwise go into the 80.15 unemployment insurance trust fund. This money would then be 80.16 used on technology to provide substantially enhanced 80.17 unemployment insurance services to both applicants for benefits 80.18 and employers. 80.19 Subd. 2. [TAX REDUCTION; FEE ASSESSED.] (a) 80.20 Notwithstanding section 268.051, subdivision 2, paragraph (b), 80.21 effective January 1, 2002, the base unemployment tax rate on all 80.22 taxable wages shall be reduced 0.02 percent, from 0.1 percent to 80.23 0.08 percent. This reduction shall expire on December 31, 2005. 80.24 (b) Effective January 1, 2002, there shall be an 80.25 unemployment insurance technology initiative fee on taxpaying 80.26 employers, equal to the amount of the base unemployment tax rate 80.27 reduction of 0.02 percent on all taxable wages. This fee shall 80.28 be due and be paid on the same schedule and in the same manner 80.29 as unemployment taxes under section 268.051. Any past due fee 80.30 under this section shall be subject to the same interest and 80.31 collection provisions as unemployment taxes. The money 80.32 collected by this fee, less reimbursement for collection costs, 80.33 shall be deposited in the unemployment insurance technology 80.34 initiative account. This fee shall expire on December 31, 2005. 80.35 Subd. 3. [ACCOUNT.] (a) Effective January 1, 2002, there 80.36 is hereby created in the state treasury a special account known 81.1 as the unemployment insurance technology initiative account. 81.2 This account shall lapse on December 31, 2007, and any money 81.3 remaining in that account on that date shall be paid into the 81.4 unemployment insurance program trust fund. This account shall 81.5 consist of all money collected by the unemployment insurance 81.6 technology initiative fee and all interest earned upon any money 81.7 in this account, less amounts under paragraph (e). 81.8 (b) Money in this account is hereby appropriated to the 81.9 commissioner and shall be allocated and expended by the 81.10 commissioner only for technology initiatives to enhance 81.11 unemployment insurance services for both applicants for benefits 81.12 and employers. 81.13 (c) Any funds not allocated, obligated, or expended in a 81.14 fiscal year shall be available for allocation, obligation, and 81.15 expenditure in the following fiscal year. 81.16 (d) If the total amount collected by the technology 81.17 initiative fee, excluding the amount expended for reimbursement 81.18 of collection costs plus interest earned upon money in the 81.19 unemployment insurance technology initiative account exceeds 81.20 $30,000,000, the excess shall be paid into the unemployment 81.21 insurance program trust fund. 81.22 (e) Because the administrative cost of collection of the 81.23 technology initiative fee is borne by federal money made 81.24 available only to administer the unemployment insurance program, 81.25 the commissioner shall negotiate with the United States 81.26 Department of Labor the amount of any reimbursement for costs 81.27 related to collection of the fee. Because the amount of any 81.28 such reimbursement is subsequently made available by the United 81.29 State Department of Labor to the commissioner for administration 81.30 of the unemployment insurance program, the commissioner shall 81.31 expend, from the federal Unemployment Insurance Administration 81.32 grant, an amount equal to the reimbursement on direct personnel 81.33 costs of developing, designing, and implementing the 81.34 unemployment insurance technology initiative. 81.35 Subd. 4. [SUNSET.] This section expires December 31, 2007. 81.36 Sec. 15. Minnesota Statutes 2000, section 270A.07, 82.1 subdivision 1, is amended to read: 82.2 Subdivision 1. [NOTIFICATION REQUIREMENT.] Any claimant 82.3 agency, seeking collection of a debt through setoff against a 82.4 refund due, shall submit to the commissioner information 82.5 indicating the amount of each debt and information identifying 82.6 the debtor, as required by section 270A.04, subdivision 3. 82.7 For each setoff of a debt against a refund due, the 82.8 commissioner shall charge a fee of $10. The proceeds of fees 82.9 shall be allocated by depositing $2.55 of each $10 fee collected 82.10 into a department of revenue recapture revolving fund, and 82.11 depositing the remaining balance into the general fund. The 82.12 sums deposited into the revolving fund are appropriated to the 82.13 commissioner for the purpose of administering the Revenue 82.14 Recapture Act. 82.15 The claimant agency shall notify the commissioner when a 82.16 debt has been satisfied or reduced by at least $200 within 30 82.17 days after satisfaction or reduction. 82.18 [EFFECTIVE DATE.] This section is effective for revenue 82.19 recapture fees collected on or after July 1, 2001. 82.20 Sec. 16. [336.1-110] [UNIFORM COMMERCIAL CODE ACCOUNT.] 82.21 The uniform commercial code account is established as an 82.22 account in the state treasury. Fees that are not expressly set 82.23 by statute but are charged by the secretary of state to offset 82.24 the costs of providing a service under this chapter must be 82.25 deposited in the state treasury and credited to the uniform 82.26 commercial code account. 82.27 Fees that are not expressly set by statute but are charged 82.28 by the secretary of state to offset the costs of providing 82.29 information contained in the computerized records maintained by 82.30 the secretary of state must be deposited in the state treasury 82.31 and credited to the uniform commercial code account. 82.32 Money in the uniform commercial code account is 82.33 continuously appropriated to the secretary of state to implement 82.34 and maintain the central filing system under this chapter and to 82.35 provide electronic access to other computerized records 82.36 maintained by the secretary of state. 83.1 Sec. 17. Minnesota Statutes 2000, section 349.165, 83.2 subdivision 1, is amended to read: 83.3 Subdivision 1. [PREMISES PERMIT REQUIRED; APPLICATION.] A 83.4 licensed organization may not conduct lawful gambling at any 83.5 site unless it has first obtained from the board a premises 83.6 permit for the site. The board shall prescribe a form for 83.7 permit applications, and each application for a permit must be 83.8 submitted on a separate form.AThe premises permit issued by 83.9 the boardis valid for two yearsruns concurrently with the 83.10 license of the organization unless the premises permit is 83.11 suspended, revoked, or voluntarily terminated by the 83.12 organization. The board may by rule limit the number of 83.13 premises permits that may be issued to an organization. 83.14 Sec. 18. Minnesota Statutes 2000, section 349.165, 83.15 subdivision 3, is amended to read: 83.16 Subd. 3. [FEES.] (a) The board may issue four classes of 83.17 premises permits corresponding to the classes of licenses 83.18 authorized under section 349.16, subdivision 6. The fee for 83.19 each class of permit is: 83.20 (1) $400 for a class A permit; 83.21 (2) $250 for a class B permit; 83.22 (3) $200 for a class C permit; and 83.23 (4) $150 for a class D permit. 83.24 (b) If a premises permit is issued during the second year 83.25 of an organization's license, the fee for each class of permit 83.26 is: 83.27 (1) $200 for a class A permit; 83.28 (2) $125 for a class B permit; 83.29 (3) $100 for a class C permit; and 83.30 (4) $75 for a class D permit. 83.31 Sec. 19. Minnesota Statutes 2000, section 357.18, 83.32 subdivision 3, is amended to read: 83.33 Subd. 3. [SURCHARGE.] In addition to the fees imposed in 83.34 subdivision 1, a$4.50$5 surcharge shall be collected: on each 83.35 fee charged under subdivision 1, clauses (1) and (6), and for 83.36 each abstract certificate under subdivision 1, clause (4). 84.1 Fifty cents of each surcharge shall be retained by the county to 84.2 cover its administrative costs, 50 cents shall be appropriated 84.3 to the legislative coordinating commission for the task force on 84.4 electronic real estate recording created by Laws 2000, chapter 84.5 391, and $4 shall be paid to the state treasury and credited to 84.6 the general fund. 84.7 [EFFECTIVE DATE.] This section is effective only between 84.8 July 1, 2001, and June 30, 2003. 84.9 Sec. 20. Minnesota Statutes 2000, section 403.11, 84.10 subdivision 1, is amended to read: 84.11 Subdivision 1. [EMERGENCY TELEPHONE SERVICE FEE.] (a) Each 84.12 customer of a telephone company or communications carrier that 84.13 provides service capable of originating a 911 emergency 84.14 telephone call is assessed a fee to cover the costs of ongoing 84.15 maintenance and related improvements for trunking and central 84.16 office switching equipment for minimum 911 emergency telephone 84.17 service, plus administrative and staffing costs of the 84.18 department of administration related to managing the 911 84.19 emergency telephone service program. Recurring charges by a 84.20 public utility providing telephone service for updating the 84.21 information required by section 403.07, subdivision 3, must be 84.22 paid by the commissioner of administration if the utility is 84.23 included in an approved 911 plan and the charges have been 84.24 certified and approved under subdivision 3. The commissioner of 84.25 administration shall transfer an amount equal to two cents a 84.26 month from the fee assessed under this section on cellular and 84.27 other nonwire access services to the commissioner of public 84.28 safety for the purpose of offsetting the costs, including 84.29 administrative and staffing costs, incurred by the state patrol 84.30 division of the department of public safety in handling 911 84.31 emergency calls made from cellular phones. Money remaining in 84.32 the 911 emergency telephone service account after all other 84.33 obligations are paid must not cancel and is carried forward to 84.34 subsequent years and may be appropriated from time to time to 84.35 the commissioner of administration to provide financial 84.36 assistance to counties for the improvement of local emergency 85.1 telephone services. The improvements may include providing 85.2 access to minimum 911 service for telephone service subscribers 85.3 currently without access and upgrading existing 911 service to 85.4 include automatic number identification, local location 85.5 identification, automatic location identification, and other 85.6 improvements specified in revised county 911 plans approved by 85.7 the department. 85.8 (b) The fee may not be less than eight cents nor more than 85.93040 cents a month for each customer access line or other basic 85.10 access service, including trunk equivalents as designated by the 85.11 public utilities commission for access charge purposes and 85.12 including cellular and other nonwire access services. The fee 85.13 must be the same for all customers. 85.14 (c) The fee must be collected by each company or carrier 85.15 providing service subject to the fee. Fees are payable to and 85.16 must be submitted to the commissioner of administration monthly 85.17 before the 25th of each month following the month of collection, 85.18 except that fees may be submitted quarterly if less than $250 a 85.19 month is due, or annually if less than $25 a month is due. 85.20 Receipts must be deposited in the state treasury and credited to 85.21 a 911 emergency telephone service account in the special revenue 85.22 fund. The money in the account may only be used for 911 85.23 telephone services as provided in paragraph (a). 85.24 (d) The commissioner of administration, with the approval 85.25 of the commissioner of finance, shall establish the amount of 85.26 the fee within the limits specified under this section and 85.27 taking into account the amount of the fee established in section 85.28 403.113, subdivision 1, and inform the companies and carriers of 85.29 the amount to be collected. Companies and carriers must be 85.30 given a minimum of 45 days' notice of fee changes. 85.31 (e) This subdivision does not apply to customers of a 85.32 telecommunications carrier as defined in section 237.01, 85.33 subdivision 6. 85.34 [EFFECTIVE DATE.] This section is effective the day 85.35 following final enactment. 85.36 Sec. 21. Minnesota Statutes 2000, section 403.113, 86.1 subdivision 1, is amended to read: 86.2 Subdivision 1. [FEE.] (a) In addition to the actual fee 86.3 assessed under section 403.11, each customer receiving local 86.4 telephone service, including cellular or other nonwire service, 86.5 is assessed a fee to fund implementation and maintenance of 86.6 enhanced 911 service, including acquisition of necessary 86.7 equipment and the costs of the commissioner to administer the 86.8 program. The enhanced fee collected from cellular or other 86.9 nonwire service customers must be collected effective in July 86.10 1997 billings. Effective July 1, 2001, the enhanced fee shall 86.11 be 20 cents a month assessed on the same basis as the fee under 86.12 section 403.11. The actual fee assessed under section 403.11 86.13 and the enhanced 911 service fee must be collected as one amount 86.14 and may not exceed the amount specified in section 403.11, 86.15 subdivision 1, paragraph (b). 86.16 (b) The enhanced 911 service fee must be collected and 86.17 deposited in the same manner as the fee in section 403.11 and 86.18 used solely for the purposes of paragraph (a) and subdivision 3. 86.19 (c) The commissioner of the department of administration, 86.20 in consultation with counties and 911 system users, shall 86.21 determine the amount of the enhanced 911 service fee and inform 86.22 telephone companies or communications carriers that provide 86.23 service capable of originating a 911 emergency telephone call of 86.24 the total amount of the 911 service fees in the same manner as 86.25 provided in section 403.11. 86.26 [EFFECTIVE DATE.] This section is effective the day 86.27 following final enactment. 86.28 Sec. 22. Minnesota Statutes 2000, section 403.113, 86.29 subdivision 3, is amended to read: 86.30 Subd. 3. [LOCAL EXPENDITURES.] (a) Money distributed under 86.31 subdivision 2 for enhanced 911 service may be spent: 86.32 (1) on enhanced 911 system costs for the purposes stated in 86.33 subdivision 1, paragraph (a). In addition, money may be spent; 86.34 (2) to lease, purchase, lease-purchase, or maintain 86.35 enhanced 911 equipment, including telephone equipment; 86.36 (3) on recording equipment; 87.1 (4) on computer hardware; 87.2 (5) on computer software for database provisioning, 87.3 addressing, mapping, and any other software necessary for 87.4 automatic location identification or local location 87.5 identification; 87.6 (6) on trunk lines; 87.7 (7) on selective routing equipment; 87.8 (8) on the master street address guide; 87.9 (9) on dispatcher public safety answering point equipment 87.10 proficiency and operational skills; 87.11 (10) on pay for long-distance charges incurred due to 87.12 transferring 911 calls to other jurisdictions;and the87.13 (11) on equipment necessary within the public safety 87.14 answering point for community alert systems and to notify and 87.15 communicate with the emergency services requested by the 911 87.16 caller; and 87.17 (12) to address, install, or maintain, on a 87.18 dollar-for-dollar matching basis with the county, any associated 87.19 signs, posts, or other markers. 87.20 (b) Money distributed for enhanced 911 service may not be 87.21 spent on: 87.22 (1) purchasing or leasing of real estate or cosmetic 87.23 additions to or remodeling of communications centers; 87.24 (2) mobile communications vehicles, fire engines, 87.25 ambulances, law enforcement vehicles, or other emergency 87.26 vehicles; or 87.27 (3) signs, posts, or other markers related to addressing or 87.28 any costs associated with the installation or maintenance of 87.29 signs, posts, or markers; except as provided in paragraph (a), 87.30 clause (12). 87.31 [EFFECTIVE DATE.] This section is effective the day 87.32 following final enactment. 87.33 Sec. 23. Minnesota Statutes 2000, section 473.195, is 87.34 amended by adding a subdivision to read: 87.35 Subd. 5. [HRA GOVERNING BOARD.] For the purposes of 87.36 exercising the authority granted to it under this section, the 88.1 council may, at its sole discretion, establish within the 88.2 council's existing organizational structure a separate governing 88.3 body to which the council may delegate any or all of the 88.4 authority granted to the council under this section. The 88.5 resolution establishing the separate governing body must: 88.6 (1) set out the powers and duties delegated to the separate 88.7 governing body; 88.8 (2) prescribe the number, qualifications, and terms of the 88.9 its members; and 88.10 (3) provide for any other terms and conditions that are 88.11 deemed appropriate by the council. 88.12 The council shall appoint the members of the separate governing 88.13 body in accordance with a process established by the council. 88.14 No fewer than 75 percent of the members of the separate 88.15 governing body must be council members. For purposes of 88.16 compliance with United State Code, title 42, section 1437(b), 88.17 and implementing federal regulations, at least one member of the 88.18 separate governing body members must be a resident directly 88.19 assisted by the council. Members are entitled to reimbursement 88.20 for all actual and necessary expenses incurred in the 88.21 performance of governing body business, and a member other than 88.22 a council member is entitled to payment of $50 for each day the 88.23 member attends one or more meetings of the separate governing 88.24 body or performs other services authorized by the body. The 88.25 council shall provide administrative and staff support to the 88.26 separate governing body. The council may, at its sole 88.27 discretion, abolish the separate governing body or limit or 88.28 expand its delegated authority. Nothing in this section impairs 88.29 existing contracts to which the council is a party or limits the 88.30 council's ability to enter into contracts when the council 88.31 exercises any of the functions, rights, powers, duties, 88.32 privileges, immunities, and limitations granted to the council 88.33 by this section. 88.34 Sec. 24. Minnesota Statutes 2000, section 473.517, 88.35 subdivision 3, is amended to read: 88.36 Subd. 3. [ALLOCATION OF TREATMENT, INTERCEPTOR COSTS; 89.1RESERVED CAPACITYGROWTH PORTION OF CAPITAL COSTS.] For the 89.2 purposes of this subdivision, the growth cost portion of an 89.3 interceptor or treatment works facility is that portion of the 89.4 capital costs for acquisition, construction, or rehabilitation 89.5 of the facility that is attributable to the providing of 89.6 additional capacity, for either higher volume or higher strength 89.7 of flow, for the facility. In preparing each budget the council 89.8 shallestimatedetermine the growth cost portion of the current 89.9 costs of acquisition,bettermentconstruction, rehabilitation, 89.10 and debt service, only, of all the treatment works and 89.11 interceptors in the metropolitan disposal systemwhich will not89.12be used to total capacity during the budget year, and the89.13percentage of such capacity which will not be used,and shall 89.14 deductthe same percentage of such treatment workssuch costs 89.15 from the current costs allocated under subdivision 1.The89.16council shall also estimate the current costs of acquisition,89.17betterment, and debt service, only, of the interceptors in the89.18metropolitan disposal system that will not be used to total89.19capacity during the budget year, shall estimate the percentage89.20of the total capacity that will not be used, and shall deduct89.21the same percentage of interceptor costs from the current costs89.22allocated under subdivision 1.The total amount so deducted 89.23 with respect to all treatment works and interceptors in the 89.24 system shall be allocated among and paid by therespectivelocal 89.25 government units in the metropolitan areafor which system89.26capacity unused each year is reserved for future use, in89.27proportion to the amounts of such capacity reserved for each of89.28themthrough a fee structure to be charged by the council for 89.29 new connections to the metropolitan disposal system, in the 89.30 amounts and the manner established by the council. 89.31 Sec. 25. Minnesota Statutes 2000, section 473.901, 89.32 subdivision 1, is amended to read: 89.33 Subdivision 1. [COSTS COVERED BY FEE.] For each fiscal 89.34 year beginning with the fiscal year commencing July 1, 1997, the 89.35 amount necessary to pay the following costs is appropriated to 89.36 the commissioner of administration from the 911 emergency 90.1 telephone service account established under section 403.11: 90.2 (1) debt service costs and reserves for bonds issued 90.3 pursuant to section 473.898; 90.4 (2) repayment of the right-of-way acquisition loans; 90.5 (3) costs of design, construction, maintenance of, and 90.6 improvements to those elements of the first phase that support 90.7 mutual aid communications and emergency medical services;or90.8 (4) recurring charges for leased sites and equipment for 90.9 those elements of the first phase that support actual aid and 90.10 emergency medical communication services; or 90.11 (5) aid to local units of government for sites and 90.12 equipment in support of mutual aid and emergency medical 90.13 communications services. 90.14 This appropriation shall be used to pay annual debt service 90.15 costs and reserves for bonds issued pursuant to section 473.898 90.16 prior to use of fee money to pay other costs eligible under this 90.17 subdivision. In no event shall the appropriation for each 90.18 fiscal year exceed an amount equal to four cents a month for 90.19 each customer access line or other basic access service, 90.20 including trunk equivalents as designated by the public 90.21 utilities commission for access charge purposes and including 90.22 cellular and other nonwire access services, in the fiscal year. 90.23 [EFFECTIVE DATE.] This section is effective the day 90.24 following final enactment. 90.25 Sec. 26. Minnesota Statutes 2000, section 517.08, 90.26 subdivision 1b, is amended to read: 90.27 Subd. 1b. [TERM OF LICENSE; FEE; PREMARITAL EDUCATION.] 90.28 (a) The court administrator shall examine upon oath the party 90.29 applying for a license relative to the legality of the 90.30 contemplated marriage. If at the expiration of a five-day 90.31 period, on being satisfied that there is no legal impediment to 90.32 it, including the restriction contained in section 259.13, the 90.33 court administrator shall issue the license, containing the full 90.34 names of the parties before and after marriage, and county and 90.35 state of residence, with the district court seal attached, and 90.36 make a record of the date of issuance. The license shall be 91.1 valid for a period of six months. In case of emergency or 91.2 extraordinary circumstances, a judge of the district court of 91.3 the county in which the application is made, may authorize the 91.4 license to be issued at any time before the expiration of the 91.5 five days. Except as provided in paragraph (b), the court 91.6 administrator shall collect from the applicant a fee of $70 for 91.7 administering the oath, issuing, recording, and filing all 91.8 papers required, and preparing and transmitting to the state 91.9 registrar of vital statistics the reports of marriage required 91.10 by this section. If the license should not be used within the 91.11 period of six months due to illness or other extenuating 91.12 circumstances, it may be surrendered to the court administrator 91.13 for cancellation, and in that case a new license shall issue 91.14 upon request of the parties of the original license without 91.15 fee. A court administrator who knowingly issues or signs a 91.16 marriage license in any manner other than as provided in this 91.17 section shall pay to the parties aggrieved an amount not to 91.18 exceed $1,000. 91.19 (b) The marriage license fee for parties who have completed 91.20 at least 12 hours of premarital education is $20. In order to 91.21 qualify for the reduced fee, the parties must submit a signed 91.22 and dated statement from the person who provided the premarital 91.23 education confirming that it was received. The premarital 91.24 education must be provided by a licensed or ordained minister or 91.25 the minister's designee, a person authorized to solemnize 91.26 marriages under section 517.18, or a person authorized to 91.27 practice marriage and family therapy under section 148B.33. The 91.28 education must include the use of a premarital inventory and the 91.29 teaching of communication and conflict management skills. 91.30 (c) The statement from the person who provided the 91.31 premarital education under paragraph (b) must be in the 91.32 following form: 91.33 "I, (name of educator), confirm that (names of both 91.34 parties) received at least 12 hours of premarital education that 91.35 included the use of a premarital inventory and the teaching of 91.36 communication and conflict management skills. I am a licensed 92.1 or ordained minister, a person authorized to solemnize marriages 92.2 under Minnesota Statutes, section 517.18, or a person licensed 92.3 to practice marriage and family therapy under Minnesota 92.4 Statutes, section 148B.33." 92.5 The names of the parties in the educator's statement must 92.6 be identical to the legal names of the parties as they appear in 92.7 the marriage license application. Notwithstanding section 92.8 138.17, the educator's statement must be retained for seven 92.9 years, after which time it may be destroyed. 92.10(b)(d) If section 259.13 applies to the request for a 92.11 marriage license, the court administrator shall grant the 92.12 marriage license without the requested name change. 92.13 Alternatively, the court administrator may delay the granting of 92.14 the marriage license until the party with the conviction: 92.15 (1) certifies under oath that 30 days have passed since 92.16 service of the notice for a name change upon the prosecuting 92.17 authority and, if applicable, the attorney general and no 92.18 objection has been filed under section 259.13; or 92.19 (2) provides a certified copy of the court order granting 92.20 it. The parties seeking the marriage license shall have the 92.21 right to choose to have the license granted without the name 92.22 change or to delay its granting pending further action on the 92.23 name change request. 92.24 Sec. 27. Minnesota Statutes 2000, section 517.08, 92.25 subdivision 1c, is amended to read: 92.26 Subd. 1c. [DISPOSITION OF LICENSE FEE.] (a) Of the 92.27 marriage license fee collected pursuant to subdivision 92.28 1b, paragraph (a), $15 must be retained by the county. The 92.29 court administratorshallmust pay $55 to the state treasurer to 92.30 be deposited as follows: 92.31 (1) $50 in the general fund; 92.32 (2) $3 in the special revenue fund to be appropriated to 92.33 the commissioner of children, families, and learning for 92.34 supervised parenting time facilities under section 119A.37; and 92.35 (3) $2 in the special revenue fund to be appropriated to 92.36 the commissioner of health for developing and implementing the 93.1 MN ENABL program under section 145.9255. 93.2 (b) Of the $20 fee under subdivision 1b, paragraph (b), $15 93.3 must be retained by the county. The state court administrator 93.4 must pay $5 to the state treasurer to be distributed as provided 93.5 in paragraph (a), clauses (2) and (3). 93.6 Sec. 28. Laws 1997, chapter 202, article 2, section 61, as 93.7 amended by Laws 1999, chapter 250, article 1, section 106, is 93.8 amended to read: 93.9 Sec. 61. [VOLUNTARY UNPAID LEAVE OF ABSENCE.] 93.10 Appointing authorities in state government may allow each 93.11 employee to take an unpaid leave of absence for up to 160 hours 93.12 during the period ending June 30,20012005. Each appointing 93.13 authority approving such a leave shall allow the employee to 93.14 continue accruing vacation and sick leave, be eligible for paid 93.15 holidays and insurance benefits, accrue seniority, and accrue 93.16 service credit in state retirement plans permitting service 93.17 credits for authorized leaves of absence as if the employee had 93.18 actually been employed during the time of the leave. If the 93.19 leave of absence is for one full pay period or longer, any 93.20 holiday pay shall be included in the first payroll warrant after 93.21 return from the leave of absence. The appointing authority 93.22 shall attempt to grant requests for unpaid leaves of absence 93.23 consistent with the need to continue efficient operation of the 93.24 agency. However, each appointing authority shall retain 93.25 discretion to grant or refuse to grant requests for leaves of 93.26 absence and to schedule and cancel leaves, subject to applicable 93.27 provisions of collective bargaining agreements and compensation 93.28 plans. 93.29 Sec. 29. Laws 1998, chapter 366, section 80, is amended to 93.30 read: 93.31 Sec. 80. [SETTLEMENT DIVISION; TRANSFER OF JUDGES.] 93.32 The office of administrative hearings shall establish a 93.33 settlement division. The workers' compensation judges at the 93.34 department of labor and industry, together with their support 93.35 staff, offices, furnishings, equipment, and supplies, are 93.36 transferred to the settlement division of the office of 94.1 administrative hearings. Minnesota Statutes, section 15.039, 94.2 applies to the transfer of employees. The settlement division 94.3 of the office of administrative hearings shall maintain offices 94.4 in either Hennepin or Ramsey county and the cities ofSt. Paul,94.5 Duluth,and Detroit Lakes. The office of a judge in the 94.6 settlement division of the office of administrative hearings and 94.7 the support staff of the judge may be located in a building that 94.8 contains offices of the department of labor and industry. The 94.9 seniority of a workers' compensation judge at the office of 94.10 administrative hearings, after the transfer, shall be based on 94.11 the total length of service as a judge at either agency. For 94.12 purposes of the commissioner's plan under Minnesota Statutes, 94.13 section 43A.18, subdivision 2, all compensation judges at the 94.14 office of administrative hearings shall be considered to be in 94.15 the same employment condition, the same organizational unit and 94.16 qualified for work in either division. 94.17 Sec. 30. Laws 1999, chapter 250, article 1, section 12, 94.18 subdivision 3, as amended by Laws 2000, chapter 488, article 12, 94.19 section 1, subdivision 1, is amended to read: 94.20 Subd. 3. Office of Technology 94.21 5,499,000 2,707,000 94.22 The commissioner of administration 94.23 shall develop and submit to the chairs 94.24 of the senate governmental operations 94.25 budget division and the house state 94.26 government finance committee by January 94.27 15, 2000, a long-range plan identifying 94.28 the mission and goals of the office of 94.29 technology. The appropriation for the 94.30 second year is not available until the 94.31 plan has been approved by a law enacted 94.32 at the 2000 regular session. 94.33 Summary by Fund 94.34 General 5,071,000 2,707,000 94.35 State Government 94.36 Special Revenue 168,000 -0- 94.37 Workers' 94.38 Compensation 260,000 -0- 94.39 The amounts that may be spent from this 94.40 appropriation for each purpose are as 94.41 follows: 94.42 (a) Administrative Services 94.43 2,871,000 2,707,000 95.1 $468,000 the first year and $468,000 95.2 the second year are for ongoing costs 95.3 of the North Star II project under 95.4 Minnesota Statutes, section 16E.07. 95.5 (b) One-Stop Business Licensing 95.6 $500,000 the first year is a one-time 95.7 appropriation for the one-stop business 95.8 licensing system project under 95.9 Minnesota Statutes, section 16E.08. 95.10 The commissioner shall report on the 95.11 progress of this project to the chairs 95.12 of the legislative committees 95.13 responsible for this budget item by 95.14 January 15, 2000, and 2001. Before the 95.15 system is put into operation, the 95.16 security information technology project 95.17 of the commissioner of administration 95.18 shall perform a security audit of the 95.19 system and submit a report on the audit 95.20 to the chairs of the governmental 95.21 operations budget division of the 95.22 senate and the state government finance 95.23 committee of the house of 95.24 representatives. 95.25 (c) Small Agency Infrastructure 95.26 Summary by Fund 95.27 General 1,700,000 -0- 95.28 State Government 95.29 Special Revenue 168,000 -0- 95.30 Workers' 95.31 Compensation 260,000 -0- 95.32 This appropriation is for a one-time 95.33 transfer to eligible small agencies for 95.34 the small agency infrastructure 95.35 project. The commissioner of 95.36 administration shall determine 95.37 priorities for which projects should be 95.38 funded, except that $323,000 is for the 95.39 public utilities commission. An agency 95.40 whose strategic plan for information 95.41 technology was not approved before 95.42 April 1, 1999, may not receive money 95.43 from this appropriation. This 95.44 appropriation is available until June 95.45 30, 2003.The commissioner shall95.46report on the progress of this project95.47to the chairs of the legislative95.48committees responsible for this budget95.49item by January 15, 2000, 2001, and95.502002.95.51 [EFFECTIVE DATE.] This section is effective the day 95.52 following final enactment. 95.53 Sec. 31. [EXEMPTION FROM ADDITIONAL BENEFITS REQUIREMENTS; 95.54 FINGERHUT; MORA; ONAN POWER ELECTRONICS; NICOLLET COUNTY.] 95.55 Notwithstanding Minnesota Statutes, section 268.125, 95.56 subdivisions 1 and 3, clauses (1) and (5), an applicant is 96.1 eligible to receive additional benefits under Minnesota 96.2 Statutes, section 268.125, effective the week following the week 96.3 in which the applicant exhausted regular benefits if: 96.4 (1) the applicant was laid off due to lack of work from 96.5 Fingerhut, Inc., in Mora, Minnesota, after January 1, 2001, or 96.6 from Onan Power Electronics in Nicollet county; and 96.7 (2) the commissioner of economic security finds that the 96.8 applicant satisfies the conditions of Minnesota Statutes, 96.9 section 268.125, subdivision 3, clauses (2) to (4). 96.10 This section does not apply to any applicant who, with 96.11 respect to any period prior to June 1, 2001, receives, or has an 96.12 agreement to receive, a retirement pension financed in whole or 96.13 in part by Fingerhut, Inc. or Onan Power Electronics. 96.14 [EFFECTIVE DATE.] This section is effective the day 96.15 following final enactment. 96.16 Sec. 32. [EXEMPTION FROM ADDITIONAL BENEFITS REQUIREMENTS; 96.17 M.E. INTERNATIONAL, ST. LOUIS COUNTY.] 96.18 Notwithstanding Minnesota Statutes, section 268.125, 96.19 subdivisions 1 and 3, clauses (1) and (5), an applicant is 96.20 eligible to receive additional benefits under Minnesota 96.21 Statutes, section 268.125, effective the week following the week 96.22 in which the applicant exhausted regular benefits if: 96.23 (1) the applicant was laid off due to lack of work from M. 96.24 E. International in St. Louis county on February 25, 2000; and 96.25 (2) the commissioner of economic security finds that the 96.26 applicant satisfies the conditions of Minnesota Statutes, 96.27 section 268.125, subdivision 3, clauses (2) to (4). 96.28 This section does not apply to any applicant who, with 96.29 respect to any period prior to September 1, 2001, receives, or 96.30 has an agreement to receive, a retirement pension financed in 96.31 whole or in part by M. E. International. 96.32 [EFFECTIVE DATE.] This section is effective the day 96.33 following final enactment. 96.34 Sec. 33. [VOLUNTARY PAID PARENTAL LEAVE PROGRAM.] 96.35 Subdivision 1. [CREATED.] The commissioner of economic 96.36 security shall operate a pilot program to reimburse an 97.1 "employer" in Minnesota, as defined in Minnesota Statutes, 97.2 section 268.035, subdivision 14, that provides qualified paid 97.3 parental leave. "Qualified paid parental leave" or "leave" is 97.4 an employer-paid leave of absence to an employee residing in 97.5 Minnesota who is a natural or adoptive parent in conjunction 97.6 with the birth or adoption of a child. Qualified paid parental 97.7 leave does not include sick leave or vacation leave. Before 97.8 receiving qualified paid parental leave, however, an employee 97.9 must use up other paid leave available to the employee, 97.10 including accumulated vacation time and time covered by 97.11 temporary disability insurance. Qualified paid parental leave 97.12 must occur within the first year of birth or during the first 97.13 year in which the employee becomes an adoptive parent. To 97.14 qualify for reimbursement under subdivision 2, an employer must 97.15 pay an employee at least $200 per week of qualified paid 97.16 parental leave unless the employee's preleave salary was $300 or 97.17 less, in which case the employer must pay at least $100 per 97.18 week. Qualified paid parental leave must be at least six 97.19 consecutive weeks in duration. 97.20 Subd. 2. [REIMBURSEMENT AMOUNT.] Reimbursement is one-half 97.21 the employer weekly leave payment; except that, for employees 97.22 with weekly preleave wages below $300, reimbursement is $100 if 97.23 the employer pays qualified paid parental leave of at least that 97.24 much. Except for employees with a preleave salary of $300 or 97.25 less, reimbursement cannot exceed one-third of an employee's 97.26 preleave salary. Reimbursement is limited to 26 weeks. 97.27 Reimbursement is subject to a maximum of $250 per week. The 97.28 commissioner shall adjust the maximum reimbursement annually by 97.29 the United States All-Items Consumer Price Index to reflect 97.30 inflation. Benefits received under this section are income for 97.31 the purposes of Minnesota Statutes, section 119B.061. 97.32 Subd. 3. [NOTIFICATION.] The commissioner of economic 97.33 security shall notify employers of the voluntary paid parental 97.34 leave program through the department's newsletter, Web site, and 97.35 other communications with employers. 97.36 Subd. 4. [EVALUATION.] By February 1, 2003, the 98.1 commissioner of economic security shall report to the 98.2 legislature on the number of employers requesting paid parental 98.3 leave reimbursement, including an estimation of the number, 98.4 size, and industry type of employers obtaining reimbursement; 98.5 the number of employees who have taken parental leave under the 98.6 program; the average and range of leave lengths reimbursed; and 98.7 the average and ranges of payments, as well as implementation 98.8 issues identified by the commissioner. In addition, the 98.9 commissioner shall obtain a sample of at least 30 participating 98.10 families to provide additional information on employee's and 98.11 employer's experiences, including information on the salary 98.12 ranges of participating employees, employee and employer 98.13 satisfaction or dissatisfaction with the program, and other 98.14 information identified by the commissioner. 98.15 [EFFECTIVE DATE.] This section is effective July 1, 2001, 98.16 and applies to employer-paid leave benefits paid on or after 98.17 that date. 98.18 Sec. 34. [WORK PLAN APPROPRIATIONS.] 98.19 (a) $650,000 is appropriated from the surcharge collected 98.20 under Minnesota Statutes, section 357.18, subdivision 3, to the 98.21 legislative coordinating commission, to be made available to the 98.22 real estate task force established in accordance with Laws 2000, 98.23 chapter 391, for the expenses of the task force in carrying out 98.24 the work plan as described in the January 15, 2001, task force 98.25 report to the legislature. This appropriation is available 98.26 until June 30, 2003, and is to be administered at the direction 98.27 of the chair of the task force, subject to the prior approval of 98.28 the task force. 98.29 (b) $500,000 is appropriated from the surcharge collected 98.30 under Minnesota Statutes, section 357.18, subdivision 3, to the 98.31 legislative coordinating commission, to be made available to the 98.32 task force for the development and implementation of pilot 98.33 electronic real estate projects in diverse counties as described 98.34 in the January 15, 2001, task force report to the legislature. 98.35 This appropriation is available until June 30, 2003. 98.36 Sec. 35. [LEGISLATIVE COORDINATING COMMISSION; DUTIES; 99.1 APPROPRIATION.] 99.2 (a) The real estate task force established under Laws 2000, 99.3 chapter 391, may contract with the legislative coordinating 99.4 commission for the provision of administrative services to, the 99.5 preparation of requests for proposal, or the disbursement of 99.6 funds for the payment of vendors, salaries, and other expenses 99.7 of the task force. 99.8 (b) $50,000 is appropriated from the surcharge collected 99.9 under Minnesota Statutes, section 357.18, subdivision 3, to the 99.10 legislative coordinating commission for the purpose of paragraph 99.11 (a). 99.12 Sec. 36. [DONATIONS.] 99.13 The real estate task force established under Laws 2000, 99.14 chapter 391, may accept donations of money or resources, 99.15 including loaned employees or other services. The donations 99.16 must be under the sole control of the task force. 99.17 Sec. 37. [LEGISLATIVE AND EXECUTIVE BRANCH ASSISTANCE.] 99.18 Whenever possible, legislative employees and agencies in 99.19 the executive branch shall assist the real estate task force 99.20 established under Laws 2000, chapter 391, in carrying out its 99.21 duties. 99.22 Sec. 38. [METROPOLITAN COUNCIL TRANSITION PLAN.] 99.23 The metropolitan council may adopt an implementation plan 99.24 for transition from the reserve capacity system in effect before 99.25 the effective date of section 19 and the growth cost system 99.26 established by the amendment made by section 19. The transition 99.27 plan may include, without limitation, a phase-in of any 99.28 difference in charges, to be paid by local government units, 99.29 between the reserve capacity system and the new growth cost 99.30 system. The council may use any funds collected under the 99.31 reserve capacity system for the purposes of the transition plan 99.32 and to pay the growth cost portion of current capital costs 99.33 after December 31, 2001. The council shall maintain the current 99.34 service availability charge (SAC) credit system, which 99.35 recognizes reductions in connections or capacity for local 99.36 governmental units with current SAC credit balances who choose 100.1 to remain on the current SAC credit system. 100.2 Sec. 39. [CONSTRUCTION.] 100.3 Minnesota Statutes, section 645.35, does not apply to 100.4 section 22. 100.5 Sec. 40. [APPLICATION.] 100.6 Sections 23, 24, 38, and 39 apply in the counties of Anoka, 100.7 Carver, Dakota, Hennepin, Ramsey, Scott, and Washington. 100.8 Sec. 41. [REPEALER.] 100.9 Minnesota Statutes 2000, sections 8.15, subdivision 2; 100.10 16E.08; 129D.06; and 179A.07, subdivision 7, are repealed. 100.11 Sec. 42. [EFFECTIVE DATE.] 100.12 Sections 24, 38, and 39 are effective January 1, 2002, for 100.13 allocation of the growth cost portion of current capital costs 100.14 on and after that date. 100.15 ARTICLE 9 100.16 STATE AGENCY RESTRUCTURING 100.17 Section 1. [STATE AGENCY RESTRUCTURING.] 100.18 The department of labor and industry and the department of 100.19 economic security are abolished. The department of trade and 100.20 economic development is renamed the department of economic and 100.21 workforce development. The new department of labor is created. 100.22 [EFFECTIVE DATE.] This section is effective July 1, 2002. 100.23 Sec. 2. [TRANSFER OF RESPONSIBILITIES; DEPARTMENT OF 100.24 ECONOMIC SECURITY.] 100.25 Subdivision 1. [TO DEPARTMENT OF ECONOMIC AND WORKFORCE 100.26 DEVELOPMENT.] The responsibilities of the department of economic 100.27 security performed by its workforce services unit for employment 100.28 transition services, youth services, welfare-to-work services, 100.29 and workforce exchange services are transferred to the 100.30 department of economic and workforce development. 100.31 Subd. 2. [TO DEPARTMENT OF LABOR.] The responsibilities of 100.32 the department of economic security for the unemployment 100.33 insurance program are transferred to the department of labor. 100.34 Subd. 3. [TO DEPARTMENT OF COMMERCE.] The responsibility 100.35 for energy programs of the department of economic security is 100.36 transferred to the department of commerce. 101.1 [EFFECTIVE DATE.] This section is effective July 1, 2002. 101.2 Sec. 3. [TRANSFER OF RESPONSIBILITIES; DEPARTMENT OF LABOR 101.3 AND INDUSTRY.] 101.4 The responsibilities of the department of labor and 101.5 industry are transferred to the department of labor. 101.6 Sec. 4. [ORGANIZATION OF ECONOMIC AND WORKFORCE 101.7 DEVELOPMENT DEPARTMENT.] 101.8 The department of economic and workforce development shall 101.9 have a division of economic development consisting of business 101.10 and community development, the Minnesota trade office, tourism 101.11 division, information and analysis division, and administrative 101.12 support. The job skills partnership program shall be housed in 101.13 the department and shall have a policy, research, and evaluation 101.14 unit. The department shall provide targeted-worker services to 101.15 include the dislocated worker program and welfare-to-work 101.16 services formerly located in the department of economic 101.17 security. The department shall have a unit providing special 101.18 programs under a workforce transition services unit. 101.19 [EFFECTIVE DATE.] This section is effective June 30, 2002. 101.20 Sec. 5. [TRANSITION TEAM CREATION; COMPOSITION.] 101.21 Subdivision 1. [CREATION.] A workforce development program 101.22 reorganization transition advisory team is created. The 101.23 transition team shall make recommendations to the governor and 101.24 the legislature by November 1, 2001, concerning the state 101.25 government structure and department organization for delivering 101.26 workforce development programs and other issues described in 101.27 section 6. The object of the reorganization is to consolidate 101.28 and streamline the state's workforce development system and 101.29 programs so as to provide the most efficient and effective 101.30 workforce development programs. 101.31 Subd. 2. [TRANSITION TEAM COMPOSITION.] The transition 101.32 team shall consist of nine members appointed as follows: 101.33 (1) three members appointed by the governor of which one 101.34 shall be designated as chair of the transition team; 101.35 (2) three members of the house of representatives appointed 101.36 by the speaker of the house of representatives, one of whom must 102.1 be a member of the minority party; and 102.2 (3) three members of the senate appointed by the 102.3 subcommittee on committees of the committee on rules and 102.4 administration of the senate, one of whom must be a member of 102.5 the minority party. 102.6 The transition team must solicit input from all interested 102.7 groups on how to best implement the reorganization of state 102.8 departments contained in this article and develop the 102.9 recommendations required in subdivision 1. 102.10 [EFFECTIVE DATE.] This section is effective the day 102.11 following final enactment. 102.12 Sec. 6. [TRANSITION TEAM DUTIES.] 102.13 Subdivision 1. [WORKFORCE DEVELOPMENT PROGRAMS.] The 102.14 transition team shall: 102.15 (1) consider alternative configurations of workforce 102.16 development programs, including legislative proposals submitted 102.17 during the 2001 legislative session and models from other 102.18 states; 102.19 (2) recommend governance structures for workforce 102.20 development; 102.21 (3) develop recommendations for creating stronger linkages 102.22 between the higher education system and the workforce 102.23 development system; 102.24 (4) recommend statutory amendments necessary to implement 102.25 sections 1 to 4; 102.26 (5) recommend the appropriate programs to transfer to local 102.27 workforce boards, including those programs under the Workforce 102.28 Investment Act, United States Code, title 29; 102.29 (6) recommend statutory and administrative changes 102.30 necessary to strengthen the oversight and management 102.31 responsibilities of local workforce boards and local elected 102.32 officials to ensure the efficient operation of the workforce 102.33 center system and to ensure better coordination of service 102.34 delivery at the community level; 102.35 (7) recommend the transfer of workforce development related 102.36 programs from other state agencies; 103.1 (8) recommend program modifications necessary to ensure 103.2 coordination between the workforce development system and the 103.3 employment and training programs administered by the department 103.4 of human services; 103.5 (9) recommend procedures for promoting greater coordination 103.6 and cooperation among local workforce development agencies, 103.7 local economic development agencies, and higher education 103.8 institutions; 103.9 (10) recommend methods for decreasing administrative costs 103.10 at the state agency level for the purpose of redirecting funding 103.11 to support the delivery of services at the community level; and 103.12 (11) make other recommendations to complete the 103.13 reorganization of state departments contained in this article. 103.14 Subd. 2. [CONSULTATION WITH INTERESTED ORGANIZATIONS.] The 103.15 transition team shall consult with all interested organizations, 103.16 including, but not limited to, those specified in this 103.17 subdivision. 103.18 The transition team shall consult with the state 103.19 rehabilitation advisory council, the statewide independent 103.20 living council, the rehabilitation advisory council for the 103.21 blind, and the Minnesota state council on disability, prior to 103.22 making recommendations to the legislature on the appropriate 103.23 transfer of responsibility for the workforce rehabilitation 103.24 services unit, the workforce services for the blind unit, and 103.25 the workforce wage assistance unit from the department of 103.26 economic security to another state agency or other recommended 103.27 entity. 103.28 The transition team shall consult with the SAFE 103.29 coordinating council, prior to making any recommendation to the 103.30 legislature, on the appropriate state agency of the juvenile 103.31 justice program, the Minnesota city grants program, and the 103.32 youth intervention program in the department of economic 103.33 security. 103.34 The transition team shall consult with the commissioners of 103.35 economic security, trade and economic development, and labor and 103.36 industry, and the cochairs of the legislative task force on 104.1 workforce development prior to making any recommendation to the 104.2 legislature under subdivision 3. 104.3 In determining the placement in state government of state 104.4 services for the blind, the head of the transition team shall 104.5 consult with representatives from each of the following groups: 104.6 (1) the rehabilitation council for the blind; 104.7 (2) the national federation of the blind; 104.8 (3) the American council for the blind; and 104.9 (4) the united blind of Minnesota. 104.10 Subd. 3. [GOVERNMENT REORGANIZATION RECOMMENDATIONS.] The 104.11 transition team shall recommend to the governor and legislature, 104.12 the transfer to the appropriate state agencies of the 104.13 responsibilities for administration of programs currently 104.14 administered by the department of trade and economic development 104.15 and the department of economic security. 104.16 Subd. 4. [TRANSFER OF WORKFORCE INVESTMENT ACT 104.17 PROGRAMS.] The transition team may recommend, where appropriate, 104.18 the transfer of a program, including those programs under the 104.19 Workforce Investment Act (United States Code, title 29), title I 104.20 and title III, to local workforce boards. 104.21 Subd. 5. [STAFF SUPPORT.] The commissioners of trade and 104.22 economic development, labor and industry, and economic security 104.23 must cooperate with and provide staff support to the transition 104.24 team. The support includes, but is not limited to, 104.25 professional, technical, and clerical staff necessary to fully 104.26 assess the programs under subdivision 4. 104.27 Subd. 6. [ACCESS TO DATA.] The transition team shall have 104.28 access to private or nonpublic data within the department of 104.29 economic security, department of labor and industry, and the 104.30 department of trade and economic development necessary to carry 104.31 out the objective of subdivision 4. 104.32 [EFFECTIVE DATE.] This section is effective the day 104.33 following final enactment. 104.34 Sec. 7. [WORKER PROTECTION.] 104.35 In addition to any other protection, no employee shall 104.36 suffer job loss, have a salary reduced, or have employment 105.1 benefits reduced as a result of a reorganization mandated or 105.2 recommended under authority of this article. 105.3 Sec. 8. [EXPIRATION.] 105.4 Sections 5 and 6 expire on June 30, 2002. 105.5 ARTICLE 10 105.6 TECHNOLOGY, RESEARCH, AND INVESTMENT 105.7 Section 1. [11A.26] [MINNESOTA INVESTMENTS.] 105.8 The board shall make an effort to identify and invest in 105.9 venture capital funds that invest in Minnesota-based start-up 105.10 businesses that are high technology-based and are expected to 105.11 experience high growth. 105.12 Sec. 2. [11A.27] [HIGH TECHNOLOGY VENTURE CAPITAL 105.13 PROGRAM.] 105.14 Subdivision 1. [ACCOUNT CREATED.] The high technology 105.15 venture capital account is created as an account in the special 105.16 revenue fund in the state treasury. Earnings and gains on the 105.17 account must be credited to the account. Money in the account 105.18 is appropriated to the state board of investment for the 105.19 purposes of making investments under this section. 105.20 Subd. 2. [INVESTMENTS.] The board may make investments in 105.21 private venture capital funds that provide seed capital for 105.22 early stage development of Minnesota-based companies in 105.23 industries that are high technology-based and are expected to 105.24 experience high growth. The board's investment must not exceed 105.25 25 percent of the total investment in a particular fund. An 105.26 investment may not be less than $50,000 nor more than 105.27 $2,000,000. The board may not invest more than 20 percent of 105.28 funds in the account in any one fund. 105.29 Subd. 3. [REQUEST FOR PROPOSAL.] The board may 105.30 periodically publish requests for proposals for the purpose of 105.31 selecting venture capital funds. The board may also make 105.32 investments without requesting proposals. 105.33 Subd. 4. [PERSONNEL.] The board may employ additional 105.34 professional staff to select and manage investments of the 105.35 venture capital account and may contract for investment advice 105.36 and management services. 106.1 Subd. 5. [INVESTMENT RETURNS.] Earnings, realized gains, 106.2 and other returns on investments of the account must be 106.3 deposited in the high technology venture capital account, are 106.4 appropriated to the board, and may be reinvested under this 106.5 section. 106.6 Sec. 3. [116J.885] [BIOMEDICAL INNOVATION AND 106.7 COMMERCIALIZATION INITIATIVE.] 106.8 Subdivision 1. [ESTABLISHED.] The North Star Research 106.9 Coalition shall establish the biomedical innovation and 106.10 commercialization initiative (BICI) as a collaborative economic 106.11 development initiative between the University of Minnesota, 106.12 Minnesota's medical technology industry, and investors. BICI is 106.13 not a state agency. 106.14 The North Star Research Coalition shall invest $4,700,000 106.15 in BICI if money for that purpose is appropriated to the 106.16 coalition and if the governance documents satisfy the 106.17 specifications of this section. The investment is contingent on 106.18 a three-to-one match of money contributions or investments from 106.19 other sources. 106.20 The board established in subdivision 2 shall organize and 106.21 operate BICI as a for-profit entity and in a manner and form 106.22 that the board determines best allows BICI to carry out its 106.23 objectives. Any distribution from BICI must be returned to all 106.24 investors, including the coalition, in the same proportion as 106.25 funds were contributed. 106.26 Subd. 2. [BOARD.] BICI is governed by a board of 106.27 directors, appointed to six-year terms, composed of: 106.28 (1) a representative chosen by the governor; 106.29 (2) a representative of the North Star Research Coalition; 106.30 (3) a representative chosen by the president of the 106.31 University of Minnesota with the consent of the board of 106.32 regents; and 106.33 (4) at least five representatives from the state's medical 106.34 technology industry, chosen by private sector investors based on 106.35 the proportion of their equity investments. 106.36 The board may use up to five percent of its total 107.1 capitalization to establish a management and administrative 107.2 budget, including the hiring of staff and for professional 107.3 management expenses. Members of the staff are not state 107.4 employees. 107.5 Subd. 3. [MISSION OF BICI.] The mission of BICI is to: 107.6 (1) add business and financial expertise to technologies 107.7 that are being developed by University of Minnesota faculty and 107.8 staff to enhance commercial value; 107.9 (2) promote the depth, breadth, and value of technologies 107.10 being developed by the biomedical academic community; 107.11 (3) catalyze the development of functional, mutually 107.12 advantageous relationships between industry, faculty, staff, the 107.13 university, and extended research community; 107.14 (4) provide a financial return on commercialization efforts 107.15 to the stakeholders in BICI; and 107.16 (5) directly commercialize technologies through the 107.17 start-up of new Minnesota companies or enhance the marketing of 107.18 technologies to existing companies creating expanded economic 107.19 development opportunities. 107.20 Subd. 4. [STATEWIDE FOCUS.] BICI may contract and 107.21 collaborate with higher education and other research 107.22 institutions located throughout the state. BICI shall promote 107.23 the statewide distribution of business opportunities created 107.24 through carrying out its duties under subdivision 3. 107.25 Subd. 5. [POWERS OF BOARD.] The board has the power to do 107.26 all things reasonable and necessary to carry out the mission of 107.27 BICI including, without limitation, the power to: 107.28 (1) enter into contracts for goods and services with 107.29 individuals and private and public entities; 107.30 (2) sue and be sued; 107.31 (3) acquire, hold, lease, and transfer any interest in real 107.32 and personal property; 107.33 (4) accept appropriations, gifts, grants, and bequests; 107.34 (5) hire employees for BICI; and 107.35 (6) delegate any of its powers. 107.36 Subd. 6. [ANNUAL REPORT.] The corporation shall publish an 108.1 annual report within 75 days of the end of each fiscal year. 108.2 The annual report must include a balance sheet; a statement of 108.3 income, expenses, and cash flow; the identity of projects or 108.4 entities receiving funding and the amount of funding; the number 108.5 of employees of recipient entities; licensing and royalty 108.6 revenue paid to the university by recipient entities; and 108.7 sources of investment in the corporation. A copy of the report 108.8 must be transmitted to the commissioner of the department of 108.9 trade and economic development. 108.10 Sec. 4. [137.45] [NORTH STAR RESEARCH COALITION.] 108.11 Subdivision 1. [ESTABLISHMENT.] The board of regents is 108.12 requested to establish a partnership with private industry to 108.13 leverage the university's research capabilities into economic 108.14 development results through the creation of a nonprofit 108.15 tax-exempt corporation to be known as the North Star Research 108.16 Coalition. The incorporating documents of the North Star 108.17 Research Coalition must provide for representation of university 108.18 and private sector interests on the coalition's board of 108.19 directors and provide that changes in the governance structure 108.20 require a supermajority of the board. The board consists of 12 108.21 members. Six shall be appointed by the board of regents of the 108.22 University of Minnesota and need not be affiliated with the 108.23 university. The initial six members representing the private 108.24 sector shall be appointed by the governor. Subsequent members 108.25 representing the private sector shall be appointed by the 108.26 incumbent members of the board. Private sector members of the 108.27 board must have expertise in the technology research needs of 108.28 the state and not be affiliated with the university. 108.29 Subd. 2. [RESEARCH PROJECTS.] The coalition shall fund 108.30 research projects consistent with this section and priorities 108.31 established by the coalition, purchase equipment for research 108.32 laboratories, and establish endowed faculty chairs in the area 108.33 of technology-based research. The coalition may fund research 108.34 projects that establish collaborative research efforts among the 108.35 University of Minnesota and the private sector, the Mayo Clinic, 108.36 nonprofit research institutes, or the Minnesota state colleges 109.1 and universities. 109.2 Subd. 3. [PURPOSES.] The purposes of the coalition include: 109.3 (1) identifying technology-based research projects that 109.4 have the potential to create significant opportunities for 109.5 economic development and industrial growth in the state; 109.6 (2) strengthening the university's research capabilities in 109.7 subject areas associated with emerging technology-based 109.8 industries; 109.9 (3) expanding the research capacity of the university 109.10 through the creation of opportunities for the university to 109.11 assist private enterprises in emerging technology-based 109.12 industries; 109.13 (4) expanding the research capacity of the university 109.14 through the creation of opportunities for the university to 109.15 assist private enterprises in emerging technology-based 109.16 industries; 109.17 (5) promoting the transfer of technology from the research 109.18 laboratory to commercial application by businesses; 109.19 (6) developing application procedures for, reviewing, and 109.20 prioritizing research projects seeking funding from the 109.21 coalition; and 109.22 (7) creating opportunities for collaborative research among 109.23 the University of Minnesota, the Mayo Clinic, nonprofit research 109.24 institutes, and the Minnesota state colleges and universities. 109.25 The board shall have the authority to allocate state and 109.26 nonstate money to projects. 109.27 Sec. 5. [INITIAL TERMS.] 109.28 Notwithstanding section 3, subdivision 2, the first board 109.29 members appointed under clause (4) of subdivision 2 must be 109.30 appointed as follows: two to two-year terms, two to four-year 109.31 terms, and one to a six-year term. 109.32 ARTICLE 11 109.33 HOUSING PROGRAM CONSOLIDATION 109.34 Section 1. Minnesota Statutes 2000, section 462A.201, 109.35 subdivision 2, is amended to read: 109.36 Subd. 2. [LOW-INCOME HOUSING.] (a) The agency may, in110.1consultation with the advisory committee,use money from the 110.2 housing trust fund account to provide loans or grants for: 110.3 (1) projects for the development, construction, 110.4 acquisition, preservation, and rehabilitation of low-income 110.5 rental and limited equity cooperative housing units, including 110.6 temporary and transitional housing, and homes for ownership; 110.7 (2) the costs of operating rental housing, as determined by 110.8 the agency, that are unique to the operation of low-income 110.9 rental housing or supportive housing; and 110.10 (3) rental assistance, either project-based or tenant-based. 110.11 For purposes of this section, "transitional housing"means110.12housing that is provided for a limited duration not exceeding 24110.13months, except that up to one-third of the residents may live in110.14the housing for up to 36 monthshas the meaning given by the 110.15 United States Department of Housing and Urban Development. 110.16 Loans or grants for residential housing for migrant farmworkers 110.17 may be made under this section.No more than 20 percent of110.18available funds may be used for home ownership projects.110.19 (b)A rental or limited equity cooperative permanent110.20housing project must meet one of the following income tests:110.21(1) at least 75 percent of the rental and cooperative units110.22must be rented to or cooperatively owned by persons and families110.23whose income does not exceed 30 percent of the median family110.24income for the metropolitan area as defined in section 473.121,110.25subdivision 2; or110.26(2) allThe housing trust fund account must be used for the 110.27 benefit of persons and families whose income, at the time of 110.28 initial occupancy, does not exceed 60 percent of median income 110.29 as determined by the United States Department of Housing and 110.30 Urban Development for the metropolitan area. At least 75 110.31 percent of theunits funded byfunds in the housing trust fund 110.32 account must be used for the benefit of persons and families 110.33 whose income, at the time of initial occupancy, does not exceed 110.34 30 percent of the median family income for the metropolitan area 110.35 as defined in section 473.121, subdivision 2. For purposes of 110.36 this section, a household with a housing assistance voucher 111.1 under section 8 of the United States Housing Act of 1937, as 111.2 amended, is deemed to meet the income requirements of this 111.3 section. 111.4 The median family income may be adjusted for families of 111.5 five or more. 111.6 (c)Homes for ownership must be owned or purchased by111.7persons and families whose income does not exceed 50 percent of111.8the metropolitan area median income, adjusted for family size.111.9(d)Rental assistance under this section must be provided 111.10 by governmental units which administer housing assistance 111.11 supplements or for-profit or by nonprofit organizations 111.12 experienced in housing management. Rental assistance shall be 111.13 limited to households whose income at the time of initial 111.14 receipt of rental assistance does not exceed 60 percent of 111.15 median income, as determined by the United States Department of 111.16 Housing and Urban Development for the metropolitan area. 111.17 Priority among comparable applications for tenant-based rental 111.18 assistance will be given to proposals that will serve households 111.19 whose income at the time of initial application for rental 111.20 assistance does not exceed 30 percent of median income, as 111.21 determined by the United States Department of Housing and Urban 111.22 Development for the metropolitan area. Rental assistance must 111.23 be terminated when it is determined that 30 percent of a 111.24 household's monthly income for four consecutive months equals or 111.25 exceeds the market rent for the unit in which the household 111.26 resides plus utilities for which the tenant is responsible. 111.27 Rental assistance may only be used for rental housing units that 111.28 meet the housing maintenance code of the local unit of 111.29 government in which the unit is located, if a maintenance code 111.30 has been adopted, or the housing quality standards adopted by 111.31 the United States Department of Housing and Urban Development, 111.32 if no local housing maintenance code has been adopted. 111.33 (d) In making the loans or grants, the agency shall 111.34 determine the terms and conditions of repayment and the 111.35 appropriate security, if any, should repayment be required. To 111.36 promote the geographic distribution of grants and loans, the 112.1 agency may designate a portion of the grant or loan awards to be 112.2 set aside for projects located in specified congressional 112.3 districts or other geographical regions specified by the 112.4 agency. The agency may adopt rules for awarding grants and 112.5 loans under this subdivision. 112.6 Sec. 2. Minnesota Statutes 2000, section 462A.201, 112.7 subdivision 6, is amended to read: 112.8 Subd. 6. [REPORT.] The agency shall submit a biennial 112.9 report to the legislature and the governorannuallyon the use 112.10 of the housing trust fund account including the number of loans 112.11 and grants made, the number and types of residential units 112.12 assisted through the account, the number of households for whom 112.13 rental assistance payments were provided, and the number of 112.14 residential units assisted through the account that were rented 112.15 to or cooperatively owned by persons or families at or below 30 112.16 percent of the median family income of the metropolitan area at 112.17 the time of initial occupancy. 112.18 Sec. 3. Minnesota Statutes 2000, section 462A.209, is 112.19 amended to read: 112.20 462A.209 [HOME OWNERSHIPASSISTANCEEDUCATION, COUNSELING, 112.21 AND TRAINING PROGRAM.] 112.22 Subdivision 1. [FULL CYCLE HOME OWNERSHIP SERVICES.] 112.23 Thefull cycle home ownership serviceshomeownership education, 112.24 counseling, and training program shall be used tofundprovide 112.25 funding to community-based nonprofit organizations and political 112.26 subdivisionsproviding, building capacity to provide, or112.27supporting full cycle lending forto assist them in building the 112.28 capacity to provide and providing full cycle home ownership 112.29 services to low and moderate income home buyers and homeowners, 112.30 including seniors. The purpose of the program is to encourage 112.31 private investment in affordable housing and collaboration of 112.32 nonprofit organizations and political subdivisions with each 112.33 other and private lenders in providing full cyclelending112.34 homeownership services. 112.35 Subd. 2. [DEFINITION.] "Full cycle home ownership 112.36 services" means supporting eligible home buyers andowners113.1 homeowners through all phases of purchasing and keeping a home, 113.2 by providing prepurchase home buyer education,; prepurchase 113.3 counseling and credit repair,; prepurchase and postpurchase 113.4 property inspection and technical and financial assistance to 113.5 buyers in rehabilitating the home,; postpurchase counseling, 113.6 including home equity conversion loan counseling, mortgage 113.7 default counseling, postpurchase assistance with home 113.8 maintenance, entry cost assistance,; foreclosure prevention and 113.9 assistance; and access to flexible loan products. 113.10 Subd. 3. [ELIGIBILITY.] The agency shall establish 113.11 eligibility criteria for nonprofit organizations and political 113.12 subdivisions to receive funding under this section. The 113.13 eligibility criteria must require the nonprofit organization or 113.14 political subdivision to provide, to build capacity to provide, 113.15 or support full cycle home ownership services for eligible home 113.16 buyers. The agency may fund a nonprofit organization or 113.17 political subdivision that will provide full cycle home 113.18 ownership services by coordinating with one or more other 113.19 organizations that will provide specific components of full 113.20 cycle home ownership services. The agency may make exceptions 113.21 to providing all components of full cycle lending if justified 113.22 by the application. If there are more applicants requesting 113.23 funding than there are funds available, the agency shall award 113.24 the funds on a competitive basis and also assure an equitable 113.25 geographic distribution of the available funds. The eligibility 113.26 criteria must require the nonprofit organization or political 113.27 subdivision to have a demonstrated involvement in the local 113.28 community and to target the housing affordability needs of the 113.29 local community or to have demonstrated experience with 113.30 counseling older persons on housing, or both. The eligibility 113.31 criteria may include a requirement for specific training 113.32 provided by designated state or national entities. The agency 113.33 may also include an eligibility criteria that requires counselor 113.34 certification or organizational accreditation by specified 113.35 organizations which provide certification or accreditation 113.36 services. Partnerships and collaboration with innovative, grass 114.1 roots, or community-based initiatives shall be encouraged. The 114.2 agency shall give priority to nonprofit organizations and 114.3 political subdivisions thatprovide matching fundshave funding 114.4 from other sources for full cycle home ownership services. 114.5 Applicants for funds under section 462A.057 may also apply funds 114.6 under this program. 114.7 Subd. 4. [ENTRY COST HOME OWNERSHIP OPPORTUNITY PROGRAM.] 114.8 The agency may establish an entry cost home ownership 114.9 opportunity program, on terms and conditions it deems advisable, 114.10 to assist individuals with downpayment and closing costs to 114.11 finance the purchase of a home. 114.12 Subd. 5. [SELECTION CRITERIA.] The agency shall take the 114.13 following criteria into consideration when determining whether 114.14 to award funds to an eligible organization: 114.15 (1) to the extent to which there is an equitable geographic 114.16 distribution of funds among program applicants; 114.17 (2) the prior experience and documented familiarity of the 114.18 organization, as may be applicable, in establishing, 114.19 administering, and maintaining some or all of the components of 114.20 full cycle homeownership services; 114.21 (3) the reasonableness of the proposed budget in meeting 114.22 the program objectives, a demonstrated ability to leverage 114.23 program money with other sources of funding, and the extent of 114.24 the leveraging of other sources of funding; 114.25 (4) the extent to which efforts are targeted towards 114.26 households with incomes that do not exceed 80 percent of the 114.27 state or area median income or underserved segments of the local 114.28 population; and 114.29 (5) the extent to which program funding does not duplicate 114.30 other efforts currently available in the local area and will 114.31 enable, expand, or enhance existing activities. 114.32 Subd. 6. [DESIGNATED AREAS.] A program administrator must 114.33 designate specific areas, communities, or neighborhoods within 114.34 which the program is proposed to be operated for the purpose of 114.35 focusing resources. 114.36 Subd. 7. [ASSISTANCE TO PREVENT MORTGAGE FORECLOSURES.] (a) 115.1 Program assistance and counseling to prevent mortgage 115.2 foreclosures or cancellations of contract for deeds includes 115.3 general information, screening, assessment, referral services, 115.4 case management, advocacy, and financial assistance to borrowers 115.5 who are delinquent on mortgage or contract for deed payments. 115.6 (b) Not more than one-half of funds awarded for foreclosure 115.7 prevention and assistance activities may be used for mortgage or 115.8 financial counseling services. 115.9 (c) Financial assistance consists of payments for 115.10 delinquent mortgage or contract for deed payments, future 115.11 mortgage or contract for deed payments for a period of up to six 115.12 months, property taxes, assessments, utilities, insurance, home 115.13 improvement repairs, future rent payments for a period of up to 115.14 six months, and relocation costs if necessary, or other costs 115.15 necessary to prevent foreclosure. 115.16 (d) An individual or family may receive a maximum of $5,500 115.17 of financial assistance to prevent a mortgage foreclosure or the 115.18 cancellation of a contract for deed. 115.19 (e) The agency may require the recipient of financial 115.20 assistance to enter into an agreement with the agency for 115.21 repayment. The repayment agreement for mortgages or contract 115.22 for deed buyers must provide that in the event the property is 115.23 sold, transferred, or otherwise conveyed, or ceases to be the 115.24 recipient's principal place of residence, the recipient shall 115.25 repay all or a portion of the financial assistance. The agency 115.26 may take into consideration financial hardship in determining 115.27 repayment requirements. The repayment agreement may be secured 115.28 by a lien on the property for the benefit of the agency. 115.29 Subd. 8. [REPORT.] By January 10 of every year, each 115.30 nonprofit organization that delivers services under this section 115.31 must submit a report to the agency that summarizes the number of 115.32 people served and the sources and amounts of nonstate money used 115.33 to fund the services. The agency shall annually submit a report 115.34 to the legislature by February 15. 115.35 Sec. 4. Minnesota Statutes 2000, section 462A.21, is 115.36 amended by adding a subdivision to read: 116.1 Subd. 27. [ECONOMIC DEVELOPMENT AND HOUSING CHALLENGE 116.2 PROGRAM.] The agency may spend money for the purposes of section 116.3 462A.33 and may pay the costs and expenses necessary and 116.4 incidental to the development and operation of the program. 116.5 Sec. 5. Minnesota Statutes 2000, section 462A.33, 116.6 subdivision 1, is amended to read: 116.7 Subdivision 1. [CREATED.] The economic development and 116.8 housing challenge program is created to be administered by the 116.9 agency. 116.10 (a) The program shall provide grants or loans for the 116.11 purpose of construction, acquisition, rehabilitation, demolition 116.12 or removal of existing structures, construction financing, 116.13 permanent financing, interest rate reduction, refinancing, and 116.14 gap financing of housing to support economic development and 116.15 redevelopment activities or job creation or job preservation 116.16 within a community or region by meeting locally identified 116.17 housing needs. 116.18 Gap financing is either: 116.19 (i) the difference between the costs of the property, 116.20 including acquisition, demolition, rehabilitation, and 116.21 construction, and the market value of the property upon sale; or 116.22 (ii) the difference between the cost of the property and 116.23 the amount the targeted household can afford for housing, based 116.24 on industry standards and practices. 116.25 (b) Preference for grants and loans shall be given to 116.26 comparable proposals that include regulatory changes or waivers 116.27 that result in identifiable cost avoidance or cost reductions, 116.28 such as increased density, flexibility in site development 116.29 standards, or zoning code requirements. Preference must also be 116.30 given among comparable proposals to proposals for projects that 116.31 are accessible to transportation systems, jobs, schools, and 116.32 other services. 116.33 (c) If a grant or loan is used for demolition or removal of 116.34 existing structures, the cleared land must be used for the 116.35 construction of housing to be owned or rented by persons who 116.36 meet the income limits of this section or for other 117.1 housing-related purposes that primarily benefit the persons 117.2 residing in the adjacent housing. 117.3 Sec. 6. Minnesota Statutes 2000, section 462A.33, 117.4 subdivision 2, is amended to read: 117.5 Subd. 2. [ELIGIBLE RECIPIENTS.] Challenge grants or loans 117.6 may be made to a city, a private developer, a nonprofit 117.7 organization, or the owner of the housing, including 117.8 individuals. For the purpose of this section, "city" has the 117.9 meaning given it in section 462A.03, subdivision 21.Preference117.10shall be given to challenge grants or loans for home ownership.117.11 To the extent practicable, grants and loans shall be made so 117.12 that an approximately equal number of housing units are financed 117.13 in the metropolitan area, as defined in section 473.121, 117.14 subdivision 2, and in the nonmetropolitan area. 117.15 Sec. 7. Minnesota Statutes 2000, section 462A.33, 117.16 subdivision 3, is amended to read: 117.17 Subd. 3. [CONTRIBUTION REQUIREMENT; REGULATORY117.18FLEXIBILITY.] Fifty percent of the funds appropriated for this 117.19 section must be used for challenge grants or loans which meet 117.20 the requirements of this subdivision. These challenge grants or 117.21 loans must be used for economically viable homeownership or 117.22 rental housing proposals that: 117.23 (1) include a financial or in-kind contribution from an 117.24 area employer and either a unit of local government or a private 117.25 philanthropic, religious, or charitable organization; and 117.26 (2) address the housing needs of the local work force. 117.27 For the purpose of this subdivision, an employer 117.28 contribution may consist partially or wholly of the premium paid 117.29 for federal housing tax credits.Preference for grants and117.30loans shall be given to comparable proposals that include117.31regulatory changes that result in identifiable cost avoidance or117.32cost reductions, such as increased density, flexibility in site117.33development standards, or zoning code requirements.117.34 Preference for grants and loans shall also be given to 117.35 comparable proposals that include a financial or in-kind 117.36 contribution from a unit of local government, an area employer, 118.1 and a private philanthropic, religious, or charitable 118.2 organization. 118.3 Sec. 8. Minnesota Statutes 2000, section 462A.33, 118.4 subdivision 5, is amended to read: 118.5 Subd. 5. [INCOME LIMITS.] Households served through 118.6 challenge grants or loans must not have incomes at the time of 118.7 initial occupancy that exceed, for homeownership projects, 115 118.8 percent of the greater of state or area median income as 118.9 determined by the United States Department of Housing and Urban 118.10 Development, and for rental housing projects,11580 percent of 118.11 the greater of state or area median income as determined by the 118.12 United States Department of Housing and Urban Development except 118.13 that the housing developed or rehabilitated with challenge fund 118.14 grants or loans must be affordable to the local work force. 118.15 Preference among comparable proposals shall be given those 118.16 that provide housing opportunities for an expanded range of 118.17 household incomes within a community or that provide housing 118.18 opportunities for a wide range of incomes within the development. 118.19 Sec. 9. Minnesota Statutes 2000, section 462A.33, is 118.20 amended by adding a subdivision to read: 118.21 Subd. 8. [LIMITATION ON RETURN.] The limitations on return 118.22 of eligible mortgagors contained in section 462A.03, subdivision 118.23 13, do not apply to loans or grants for rental housing if the 118.24 loans or grants made by the agency, from all sources, are less 118.25 than 50 percent of the total costs, as determined by the agency. 118.26 Sec. 10. [REPEALER.] 118.27 Minnesota Statutes 2000, sections 462A.201, subdivision 4; 118.28 462A.207; 462A.209, subdivision 4; 462A.21, subdivision 17; and 118.29 462A.33, subdivisions 4, 6, and 7, are repealed. 118.30 ARTICLE 12 118.31 WORKFORCE DEVELOPMENT PROGRAM ADMINISTRATION 118.32 Section 1. Minnesota Statutes 2000, section 116L.02, is 118.33 amended to read: 118.34 116L.02 [JOB SKILLS PARTNERSHIP PROGRAM.] 118.35 (a) The Minnesota job skills partnership program is created 118.36 to act as a catalyst to bring together employers with specific 119.1 training needs with educational or other nonprofit institutions 119.2 which can design programs to fill those needs. The partnership 119.3 shall work closely with employers to train and place workers in 119.4 identifiable positions as well as assisting educational or other 119.5 nonprofit institutions in developing training programs that 119.6 coincide with current and future employer requirements. The 119.7 partnership shall provide grants to educational or other 119.8 nonprofit institutions for the purpose of training displaced 119.9 workers. A participating business must match the grant-in-aid 119.10 made by the Minnesota job skills partnership. The match may be 119.11 in the form of funding, equipment, or faculty. 119.12 (b) The partnership program shall administer the health 119.13 care and human services worker training and retention program 119.14 under sections 116L.10 to 116L.15. 119.15 (c) The partnership board created in section 116L.03 is the 119.16 lead state agency for workforce policy and program development 119.17 and coordination. 119.18 Sec. 2. Minnesota Statutes 2000, section 116L.03, is 119.19 amended to read: 119.20 116L.03 [BOARD.] 119.21 Subdivision 1. [MEMBERS.] The partnership shall be 119.22 governed by a board of1213 directors. 119.23 Subd. 2. [APPOINTMENT.] The Minnesota job skills 119.24 partnership board consists of:nineseven members appointed by 119.25 the governor, the chair of the governor's workforce development 119.26 council, the commissioner of trade and economic development,the119.27commissioner of economic security, andthe chancellor, or the 119.28 chancellor's designee, of the Minnesota state colleges and 119.29 universities, the president, or the president's designee, of the 119.30 University of Minnesota, and two nonlegislator members, one 119.31 appointed by the subcommittee on committees of the senate 119.32 committee on rules and administration and one appointed by the 119.33 speaker of the house. If the chancellor or the president of the 119.34 university makes a designation under this subdivision, the 119.35 designee must have experience in technical education.TwoFour 119.36 of the appointed members must berepresentatives frommembers of 120.1 the governor's workforce development council, of whom two must 120.2 represent organized labor and two must represent business and 120.3 industry. One of the appointed members must be a representative 120.4 of a nonprofit organization that provides workforce development 120.5 or job training services. 120.6 Subd. 3. [QUALIFICATIONS.] Members must have expertise in, 120.7 and be representative of the following fields of education, job 120.8 skills training, labor, business, and government. 120.9 Subd. 4. [CHAIR.] The chair shall be appointed by the 120.10 governor. 120.11 Subd. 5. [TERMS.] The terms of appointed members shall be 120.12 for four years except for the initial appointments. The initial 120.13 appointments of the governor shall have the following terms: 120.14 two members each for one, two, three, and four years. 120.15 Compensation for board members is as provided in section 120.16 15.0575, subdivision 3. 120.17 Subd. 7. [OFFICES.] The board may hire an executive 120.18 director and staff to carry out its duties. The board shall 120.19 have its own offices and may contract with the department of 120.20 trade and economic development for administrative services. The 120.21 department of trade and economic development shall 120.22 provide additional staff and administrative servicesforat the 120.23 request of the board. 120.24 Subd. 8. [PARTNERSHIP BOARD.] The board shall administer 120.25 and coordinate the state's workforce development activities. 120.26 The board shall hire staff to conduct workforce policy 120.27 development, research, and program evaluations. 120.28 Sec. 3. Minnesota Statutes 2000, section 116L.04, is 120.29 amended by adding a subdivision to read: 120.30 Subd. 4. [PERFORMANCE STANDARDS AND REPORTING.] By January 120.31 15, 2002, the board must develop performance standards for 120.32 workforce development and job training programs receiving state 120.33 funding. The standards may vary across program types. The 120.34 board may contract with a consultant to develop the performance 120.35 standards. The board must consult with stakeholder advocacy 120.36 groups, nonprofit service providers, and local workforce 121.1 councils in the development of both performance standards and 121.2 reporting requirements. The adult standards must at a minimum 121.3 measure: 121.4 (1) the employability levels of individuals as defined by 121.5 basic skill level, the amount of work experience, and barriers 121.6 to employment prior to program entry; 121.7 (2) the individual's annual income and employability level 121.8 for the 12 months prior to entering the program, the starting 121.9 annual income upon placement after completing the program, 121.10 employability level and annual income one year after completion 121.11 of the program, and the individual's reported satisfaction; 121.12 (3) the program completion rate, placement rate, 121.13 employability level upon placement, and one-year retention rate; 121.14 and 121.15 (4) the governmental cost per placement and per job 121.16 retained at one year and the percentage of program funding 121.17 coming from the state and other levels of government. 121.18 After January 15, 2002, all workforce development programs 121.19 receiving state funds must submit an annual performance report 121.20 to the board. The board may develop a uniform format for the 121.21 report and prescribe the manner in which the report is required 121.22 to be submitted. 121.23 Sec. 4. Minnesota Statutes 2000, section 116L.05, is 121.24 amended by adding a subdivision to read: 121.25 Subd. 4. [ANNUAL LEGISLATIVE RECOMMENDATIONS.] By January 121.26 15 of each year, the board must submit recommendations to the 121.27 house and senate committees with jurisdiction over workforce 121.28 development programs, regarding modifications to, or elimination 121.29 of, existing workforce development programs and the potential 121.30 implementation of new programs. The recommendations must 121.31 include recommendations regarding funding levels and sources. 121.32 Sec. 5. Minnesota Statutes 2000, section 268.022, 121.33 subdivision 2, is amended to read: 121.34 Subd. 2. [DISBURSEMENT OF SPECIAL ASSESSMENT FUNDS.] (a) 121.35 The money collected under this section shall be deposited in the 121.36 state treasury and credited to the workforce development fund to 122.1 provide for employment and training programs. The workforce 122.2 development fund is created as a special account in the state 122.3 treasury. 122.4 (b) All money in the fund not otherwise appropriated or 122.5 transferred is appropriated to the commissioner who must act as 122.6 the fiscal agent for the money and must disburse that money for 122.7 the purposes of this section, not allowing the money to be used 122.8 for any other obligation of the state. All money in the 122.9 workforce development fund shall be deposited, administered, and 122.10 disbursed in the same manner and under the same conditions and 122.11 requirements as are provided by law for the other special 122.12 accounts in the state treasury, except that all interest or net 122.13 income resulting from the investment or deposit of money in the 122.14 fund shall accrue to the fund for the purposes of the fund. 122.15 (c) No more than five percent of the funds collected in 122.16 each fiscal year may be used by the department of economic 122.17 security for its administrative costs. 122.18 (d) Reimbursement for costs related to collection of the 122.19 special assessment shall be in an amount negotiated between the 122.20 commissioner and the United States Department of Labor. 122.21 (e) The funds appropriated to the commissioner, less 122.22 amounts under paragraphs (c) and (d) shall be allocated as 122.23 follows: 122.24 (1) 40 percent to be allocated annually to substate 122.25 grantees for provision of expeditious response activities under 122.26 section 268.9771 and worker adjustment services under section 122.27 268.9781; and 122.28 (2) 60 percent to be allocated to the job skills 122.29 partnership board for activities and programs authorized 122.30 under chapter 116L and sections 268.975 to 268.98. 122.31 (f) Any funds not allocated, obligated, or expended in a 122.32 fiscal year shall be available for allocation, obligation, and 122.33 expenditure in the following fiscal year. 122.34 Sec. 6. Minnesota Statutes 2000, section 268.085, is 122.35 amended by adding a subdivision to read: 122.36 Subd. 1a. [TRAINING SERVICES.] The commissioner must 123.1 provide an applicant who is not job attached and is receiving 123.2 benefits, notice of and opportunity for, employment and training 123.3 services through a Minnesota workforce center. 123.4 "Job attached" means the applicant is employed, on a leave 123.5 of absence, or on temporary or seasonal layoff from employment 123.6 due to lack of work. 123.7 Sec. 7. Minnesota Statutes 2000, section 268.665, is 123.8 amended by adding a subdivision to read: 123.9 Subd. 2a. [EXECUTIVE COMMITTEE.] An executive committee of 123.10 the governor's workforce development council is created. The 123.11 executive committee consists of the council chair, two council 123.12 members representing organized labor, two council members 123.13 representing business and industry, one council member 123.14 representing a community-based organization, and one council 123.15 member representing higher educational institutions. Executive 123.16 committee members are appointed by the governor. 123.17 Sec. 8. Minnesota Statutes 2000, section 268.665, is 123.18 amended by adding a subdivision to read: 123.19 Subd. 3a. [EXECUTIVE COMMITTEE DUTIES.] The executive 123.20 committee must develop performance standards for the state 123.21 workforce centers. By January 15, 2002, and each year 123.22 thereafter, the executive committee shall submit an annual 123.23 report to the senate and house committees with jurisdiction over 123.24 workforce development programs regarding the performance and 123.25 outcomes of the workforce centers. The report must provide 123.26 recommendations regarding workforce center funding levels and 123.27 sources, program changes, and administrative changes. 123.28 Sec. 9. Minnesota Statutes 2000, section 268.666, is 123.29 amended by adding a subdivision to read: 123.30 Subd. 6. [ADVANCED EMPLOYMENT AND TRAINING.] Local 123.31 workforce centers shall establish an advanced reemployment 123.32 program to monitor and contact underemployed individuals and 123.33 inform them of advanced placement and training opportunities. 123.34 Sec. 10. [WORKFORCE CENTERS STRATEGIC PLAN.] 123.35 The executive committee of the governor's workforce 123.36 development council shall develop a strategic plan regarding the 124.1 appropriate placement and number of workforce centers within the 124.2 state. The executive committee must consult with local 124.3 workforce boards when determining the placement and number of 124.4 workforce centers in their area. The plan must recognize the 124.5 differing employment needs of various regions, the workforce 124.6 population within proximity of a center, and the potential for 124.7 colocation of the workforce centers with available educational 124.8 institutions. By January 15, 2002, the executive committee 124.9 shall submit the plan and recommendations for closure or 124.10 consolidation of workforce centers to the senate and house 124.11 committees with jurisdiction over workforce development programs. 124.12 ARTICLE 13 124.13 ELECTIONS 124.14 Section 1. Minnesota Statutes 2000, section 10A.01, 124.15 subdivision 9, is amended to read: 124.16 Subd. 9. [CAMPAIGN EXPENDITURE.] (a) "Campaign 124.17 expenditure" or "expenditure" means a purchase or payment of 124.18 money or anything of value, or an advance of credit, made or 124.19 incurred for the purpose of influencing the nomination or 124.20 election of a candidate or for the purpose of promoting or 124.21 defeating a ballot question. "Expenditure" includes a cost 124.22 incurred to design, produce, or disseminate a communication if 124.23 the communication contains words such as "vote for," "reelect," 124.24 "(name of candidate) for (office)," "vote against," "defeat," or 124.25 another phrase or campaign slogan that in context can have no 124.26 reasonable meaning other than to advocate support for or 124.27 opposition to the nomination or election of one or more clearly 124.28 identified candidates. 124.29 (b) "Expenditure" is presumed to include a cost incurred to 124.30 design, produce, or disseminate a communication if the 124.31 communication names or depicts one or more clearly identified 124.32 candidates, is disseminated during the 45 days before a primary 124.33 election, during the 60 days before a general election, or 124.34 during a special election cycle until election day, and the cost 124.35 exceeds the following amounts for a communication naming or 124.36 depicting a candidate for the following offices: 125.1 (1) $500 for a candidate for governor, lieutenant governor, 125.2 attorney general, secretary of state, or state auditor; or 125.3 (2) $100 for a candidate for state senator or 125.4 representative. 125.5 An individual or association presumed under this paragraph 125.6 to have made an expenditure may rebut the presumption by a 125.7 written statement signed by the spender and filed with the board 125.8 stating that the cost was not incurred with intent to influence 125.9 the nomination, election, or defeat of any candidate, supported 125.10 by any additional evidence the spender chooses to submit. The 125.11 board may consider any additional evidence it deems relevant and 125.12 material and must determine by a preponderance of the evidence 125.13 whether the cost was incurred with intent to influence the 125.14 nomination, election, or defeat of a candidate. 125.15 (c) An expenditure is considered to be made in the year in 125.16 which the candidate made the purchase of goods or services or 125.17 incurred an obligation to pay for goods or services. 125.18 (d) An expenditure made for the purpose of defeating a 125.19 candidate is considered made for the purpose of influencing the 125.20 nomination or election of that candidate or any opponent of that 125.21 candidate. 125.22 (e) Except as provided in clause (1), "expenditure" 125.23 includes the dollar value of a donation in kind. 125.24 "Expenditure" does not include: 125.25 (1) noncampaign disbursements as defined in subdivision 26; 125.26 (2) services provided without compensation by an individual 125.27 volunteering personal time on behalf of a candidate, ballot 125.28 question, political committee, political fund, principal 125.29 campaign committee, or party unit;or125.30 (3) the publishing or broadcasting of news items or 125.31 editorial comments by the news media, if the news medium is not 125.32 owned by or affiliated with any candidate or principal campaign 125.33 committee; or 125.34 (4) a cost incurred by an association for a communication 125.35 targeted to inform solely its own dues-paying members of the 125.36 association's position on a candidate. 126.1 Sec. 2. Minnesota Statutes 2000, section 10A.01, 126.2 subdivision 18, is amended to read: 126.3 Subd. 18. [INDEPENDENT EXPENDITURE.] (a) "Independent 126.4 expenditure" means an expenditureexpressly advocating the126.5election or defeat of a clearly identified candidate, if the126.6expenditurethat is made without the express or implied consent, 126.7 authorization, or cooperation of, and not in concert with or at 126.8 the request or suggestion of, any candidate or any candidate's 126.9 principal campaign committee or agent. An independent 126.10 expenditure is not a contribution to that candidate.An126.11expenditure by a political party or political party unit in a126.12race where the political party has a candidate on the ballot is126.13not an independent expenditure.126.14 (b) An expenditure is presumed to be not independent if, 126.15 for example: 126.16 (1) in the same election cycle in which the expenditure 126.17 occurs, the spender or the spender's agent retains the 126.18 professional services of an individual or entity that, in a 126.19 nonministerial capacity, provides or has provided 126.20 campaign-related service, including polling or other campaign 126.21 research, media consulting or production, direct mail, or 126.22 fundraising, to a candidate supported by the spender for 126.23 nomination or election to the same office as any candidate whose 126.24 nomination or election the expenditure is intended to influence 126.25 or to a political party working in coordination with the 126.26 supported candidate; 126.27 (2) the expenditure pays for a communication that 126.28 disseminates, in whole or in substantial part, a broadcast or 126.29 written, graphic, or other form of campaign material designed, 126.30 produced, or distributed by the candidate, the candidate's 126.31 principal campaign committee, or their agents; 126.32 (3) the expenditure is based on information about the 126.33 candidate's electoral campaign plans, projects, or needs that is 126.34 provided by the candidate, the candidate's principal campaign 126.35 committee, or their agents directly or indirectly to the spender 126.36 or the spender's agent, with an express or tacit understanding 127.1 that the spender is considering making the expenditure; 127.2 (4) before the election, the spender or the spender's agent 127.3 informs a candidate or the principal campaign committee or agent 127.4 of a candidate for the same office as a candidate clearly 127.5 identified in a communication paid for by the expenditure about 127.6 the communication's contents; timing, location, mode, or 127.7 frequency of dissemination; or intended audience; or 127.8 (5) in the same election cycle in which the expenditure 127.9 occurs, the spender or the spender's agent is serving or has 127.10 served in an executive, policymaking, fundraising, or advisory 127.11 position with the candidate's campaign or has participated in 127.12 strategic or policymaking discussions with the candidate's 127.13 campaign relating to the candidate's pursuit of nomination or 127.14 election to office and the candidate is pursuing the same office 127.15 as a candidate whose nomination or election the expenditure is 127.16 intended to influence. 127.17 An individual or association presumed under this paragraph 127.18 to have made an expenditure that was not independent may rebut 127.19 the presumption by a written statement signed by the spender and 127.20 filed with the board stating that the expenditure was made 127.21 without the express or implied consent, authorization, or 127.22 cooperation of, and not in concert with or at the request or 127.23 suggestion of, any candidate or any candidate's principal 127.24 campaign committee or agent, supported by any additional 127.25 evidence the spender chooses to submit. The board may consider 127.26 any additional evidence it deems relevant and material and must 127.27 determine by a preponderance of the evidence whether the 127.28 expenditure was independent. 127.29 (c) An expenditure by anyone other than a principal 127.30 campaign committee that does not qualify as an independent 127.31 expenditure under this subdivision is deemed to be an approved 127.32 expenditure under subdivision 4. 127.33 Sec. 3. Minnesota Statutes 2000, section 10A.20, 127.34 subdivision 6b, is amended to read: 127.35 Subd. 6b. [INDEPENDENT EXPENDITURES; NOTICE; REPORT.] (a) 127.36 Within 24 hours after an individual, political committee, or 128.1 political fundmakes or becomes obligated by oral or written128.2agreement to makedisseminates a communication paid for by an 128.3 independent expenditurein excess of $100that causes the 128.4 aggregate of independent expenditures by that individual, 128.5 political committee, or political fund during that election 128.6 cycle to exceed $500 in a legislative race or $2,000 in a 128.7 statewide race, other than an expenditure by an association for 128.8 a communication targeted to inform solely its own dues-paying 128.9 members of the association's position on a candidate, the 128.10 individual, political committee, or political fund mustfile128.11with the board an affidavit notifying the boardpost on the 128.12 board's Web site a notice ofthe intent to makethe independent 128.13 expenditure andserveprovide a copy of theaffidavit onnotice 128.14 to each candidate in the affected race and on the treasurer of 128.15 the candidate's principal campaign committee. The purpose of 128.16 this notice is to inform the public that the communication was 128.17 not paid for by the candidate or by the public. 128.18 The notices must be received by the board and candidates 128.19 within the 24-hour period. Theaffidavitnotice must contain 128.20 the information with respect to the expenditure that is required 128.21 to be reported under subdivision 3, paragraph (g); except that 128.22 if an expenditure is reported before it is made, the notice must 128.23 include a reasonable estimate of the anticipated amount. Each 128.24 new expenditure requires a new notice. 128.25 (b) An individual or association that has made an 128.26 independent expenditure of which notice was required under this 128.27 subdivision must submit to the board within 24 hours after 128.28 disseminating a communication, a description of the content of 128.29 the communication for which the expenditure was made, including 128.30 a copy of any printed advertisement or a transcript of any 128.31 broadcast advertisement. 128.32 (c) An individual or the treasurer of a political committee 128.33 or political fund who fails to give notice as required by this 128.34 subdivision, or who files a false affidavit of notice, is guilty 128.35 of a gross misdemeanor and is subject to a civil fine of up to 128.36 four times the amount of the independent expenditure stated in 129.1 the notice or of which notice was required, whichever is greater. 129.2 (d) An affidavit of notice is false if it indicates that an 129.3 independent expenditure was made on behalf of one candidate when 129.4 the facts and circumstances show that the intent of the 129.5 expenditure was actually to defeat that candidate and benefit an 129.6 opponent. 129.7 Sec. 4. Minnesota Statutes 2000, section 10A.20, is 129.8 amended by adding a subdivision to read: 129.9 Subd. 15. [INTERNET PUBLICATION.] (a) The board must 129.10 publish the following information on its Web site: 129.11 (1) information reported under subdivision 3, paragraph 129.12 (b), by a principal campaign committee, except for the home 129.13 street addresses of contributors; and 129.14 (2) information reported on any independent expenditure 129.15 totaling $1,000 or more in any legislative district. 129.16 (b) The information must be published within seven days 129.17 after the report is due for pre-primary and pre-general election 129.18 reports. 129.19 (c) The publication must be in a form that permits a user 129.20 of the Web site to search the reports and prepare comparisons 129.21 and cross-tabulations among the various contributors and 129.22 principal campaign committees. 129.23 Sec. 5. Minnesota Statutes 2000, section 10A.25, 129.24 subdivision 1, is amended to read: 129.25 Subdivision 1. [LIMITS ARE VOLUNTARY.] The expenditure 129.26 limits imposed by this section on a candidate apply only to a 129.27 candidate who has signed an agreement under section 10A.322 to 129.28 be bound by them as a condition of receiving a public subsidy 129.29 for the candidate's campaign. The prohibition imposed by this 129.30 section on a political party applies only to a political party 129.31 that has signed an agreement under section 10A.322 to be bound 129.32 by it as a condition of receiving a public subsidy for the 129.33 party's activities or participating in the political 129.34 contribution refund program under section 290.06, subdivision 23. 129.35 Sec. 6. Minnesota Statutes 2000, section 10A.25, is 129.36 amended by adding a subdivision to read: 130.1 Subd. 14. [INDEPENDENT EXPENDITURES BY POLITICAL PARTIES.] 130.2 A political party or party unit must not make an independent 130.3 expenditure. 130.4 Sec. 7. Minnesota Statutes 2000, section 10A.25, is 130.5 amended by adding a subdivision to read: 130.6 Subd. 15. [MATCHING INDEPENDENT EXPENDITURES.] (a) Within 130.7 24 hours after receipt of a notice of independent expenditures 130.8 under section 10A.20, subdivision 6b, the board must notify each 130.9 candidate in the affected race of the amount of the independent 130.10 expenditure. For purposes of this subdivision, before the 130.11 primary election, "opponent" means the other candidates whose 130.12 names are on the ballot for the primary of the same major party 130.13 or, if there are none, the candidates whose names will be on the 130.14 ballot for the general election. 130.15 (b) If the independent expenditure advocates the defeat of 130.16 a candidate or the election of the candidate's opponent, the 130.17 spending limit of the candidate is increased by the amount of 130.18 the independent expenditure. 130.19 (c) An independent expenditure matching account is 130.20 established in the state treasury. $3,500,000 for each state 130.21 general election is appropriated from the general fund for 130.22 transfer to the independent expenditure matching account. The 130.23 money in the account is appropriated to the board to make loans 130.24 to candidates who: 130.25 (1) have agreed to be bound by the spending limits in this 130.26 section; 130.27 (2) are the targets of independent expenditures made during 130.28 the 14 days before a primary or election; and 130.29 (3) do not have enough money to respond to the independent 130.30 expenditure by exceeding their spending limit under paragraph 130.31 (b). 130.32 To receive a loan from the account, a candidate must agree 130.33 to repay the loan within six months. Repayments must be 130.34 credited to the account. 130.35 (d) The unobligated balance in the account on June 30 130.36 following the state general election is canceled to the general 131.1 fund. 131.2 (e) A candidate who is the target of an independent 131.3 expenditure may accept additional contributions from political 131.4 party units to match the amount of the independent expenditure. 131.5 (f) A candidate who is the target of an independent 131.6 expenditure for which no notice has been filed, posted, or 131.7 provided under section 10A.20, subdivision 6b, may make 131.8 additional expenditures under paragraph (b) in an amount equal 131.9 to the estimated amount of the independent expenditure. The 131.10 targeted candidate must file with the board an affidavit stating 131.11 the facts surrounding the unreported independent expenditure and 131.12 the basis for the estimated amount of the independent 131.13 expenditure. If the targeted candidate overestimates the amount 131.14 of an independent expenditure that is ultimately reported to the 131.15 board by more than $500 or ten percent of the independent 131.16 expenditure, whichever is less, the targeted candidate must pay 131.17 a penalty to the board of twice the amount of the overestimate. 131.18 (g) A candidate who obtains a loan under paragraph (c) and 131.19 additional contributions from political party units under 131.20 paragraph (e) must use the contributions to repay the loan. 131.21 Sec. 8. Minnesota Statutes 2000, section 10A.27, 131.22 subdivision 1, is amended to read: 131.23 Subdivision 1. [CONTRIBUTION LIMITS.] (a) Except as 131.24 provided in subdivision 2, a candidate must not permit the 131.25 candidate's principal campaign committee to accept aggregate 131.26 contributions made or delivered by any individual, political 131.27 committee, or political fund in excess of the following: 131.28 (1) to candidates for governor and lieutenant governor 131.29 running together, $2,000 in an election year for the office 131.30 sought and $500 in other years; 131.31 (2) to a candidate for attorney general, $1,000 in an 131.32 election year for the office sought and $200 in other years; 131.33 (3) to a candidate for the office of secretary of state or 131.34 state auditor, $500 in an election year for the office sought 131.35 and $100 in other years; 131.36 (4) to a candidate for state senator, $500 in an election 132.1 year for the office sought and $100 in other years; and 132.2 (5) to a candidate for state representative, $500 in an 132.3 election year for the office sought and $100 in the other year. 132.4 (b) The following deliveries are not subject to the 132.5 bundling limitation in this subdivision: 132.6 (1) delivery of contributions collected by a member of the 132.7 candidate's principal campaign committee,such as a block worker132.8or a volunteer who hosts a fund raising eventother than a 132.9 lobbyist, to the committee's treasurer; and 132.10 (2) a delivery made by an individual on behalf of the 132.11 individual's spouse. 132.12 Sec. 9. Minnesota Statutes 2000, section 10A.27, 132.13 subdivision 2, is amended to read: 132.14 Subd. 2. [POLITICAL PARTY LIMIT.] A candidate must not 132.15 permit the candidate's principal campaign committee to accept 132.16 contributions from any political party units in aggregate in 132.17 excess of ten times the amount that may be contributed to that 132.18 candidate as set forth in subdivision 1 or 20 times that amount 132.19 in the case of a candidate for state senator. 132.20 Sec. 10. Minnesota Statutes 2000, section 10A.27, 132.21 subdivision 10, is amended to read: 132.22 Subd. 10. [LIMITED PERSONAL CONTRIBUTIONSLIMITS ON 132.23 CANDIDATES WHO ACCEPT PUBLIC SUBSIDIES.] A candidate who accepts 132.24 a public subsidy may not: 132.25 (1) contribute to the candidate's own campaign during a 132.26 year more than ten times the candidate's election year 132.27 contribution limit under subdivision 1; or 132.28 (2) accept or permit the candidate's principal campaign 132.29 committee to accept any contribution from a lobbyist. 132.30 Sec. 11. Minnesota Statutes 2000, section 10A.275, 132.31 subdivision 1, is amended to read: 132.32 Subdivision 1. [EXCEPTIONS.] Notwithstanding other 132.33 provisions of this chapter, the following expenditures by a 132.34 party unit, or two or more party units acting together, with at 132.35 least one party unit being either: the state committee or the 132.36 party organization within a congressional district, county, or 133.1 legislative district, are not considered contributions to or 133.2 expenditures on behalf of a candidate for the purposes of 133.3 section 10A.25 or 10A.27 and must not be allocated to candidates 133.4 under section 10A.20, subdivision 3, paragraph (g): 133.5 (1) expenditures on behalf of candidates of that party 133.6 generally without referring to any of them specifically in a 133.7 published, posted, or broadcast advertisement; 133.8 (2) expenditures for the preparation, display, mailing, or 133.9 other distribution of an official party sample ballot 133.10 listing with roughly equal emphasis the names of three or more 133.11 individuals whose names are to appear on the ballot; 133.12 (3) expenditures for a telephone conversationincluding133.13 mentioning with roughly equal emphasis the names of three or 133.14 more individuals whose names are to appear on the ballot; or 133.15 (4) expenditures for a political party fundraising effort 133.16 on behalf of three or more candidates in a year that is not an 133.17 election year for any of them; or 133.18 (5) expenditures for party committee staff services that 133.19 benefit three or more candidates. 133.20 Sec. 12. Minnesota Statutes 2000, section 10A.28, 133.21 subdivision 1, is amended to read: 133.22 Subdivision 1. [EXCEEDING EXPENDITURE LIMITS.] (a) A 133.23 candidate subject to the expenditure limits in section 10A.25 133.24 who permits the candidate's principal campaign committee to make 133.25 expenditures or permits approved expenditures to be made on the 133.26 candidate's behalf in excess of the limits imposed by section 133.27 10A.25, as adjusted by section 10A.255, is subject to a civil 133.28 fine of up to four times the amount by which the expenditures 133.29 exceeded the limit. 133.30 (b) The chair of a political party or party unit subject to 133.31 the prohibition in section 10A.25 that makes expenditures in 133.32 violation of section 10A.25 is subject to a civil fine of up to 133.33 four times the amount of the expenditures. 133.34 Sec. 13. Minnesota Statutes 2000, section 10A.31, 133.35 subdivision 3a, is amended to read: 133.36 Subd. 3a. [QUALIFICATION OF POLITICAL PARTIES.] (a) A 134.1 major political party qualifies for inclusion on the income tax 134.2 form and property tax refund return as provided in subdivision 3 134.3 if it qualifies as a major political party by July 1 of the 134.4 taxable year. 134.5 (b) A minor political party qualifies for inclusion on the 134.6 income tax form and property tax refund return as provided in 134.7 subdivision 3 ifthe secretary of state certifies to the134.8commissioner of revenueit qualifies as a minor party statewide 134.9 by July 1 of the taxable yearthat the party satisfies the134.10following conditions:134.11(1) in the last general election, the party ran a candidate134.12for the office of governor and lieutenant governor, secretary of134.13state, state auditor, or attorney general, who received votes in134.14each county that in the aggregate total at least one percent of134.15the total number of individuals who voted in the election;134.16(2) it is a political party, not a principal campaign134.17committee; and134.18(3) it has held a state convention in the last two years134.19and an officer of the party has filed with the secretary of134.20state a certification to that effect. 134.21 The secretary of state shall notify each major and minor 134.22 political party by the first Monday in January of each 134.23 odd-numbered year of the conditions necessary for the party to 134.24 participate in income tax form and property tax refund return 134.25 programs. 134.26 The secretary of state shall notify each political party, 134.27 the commissioner of revenue, and the campaign finance and public 134.28 disclosure board by July 1 of each year and following 134.29 certification of the results of each general election of the 134.30 parties that qualify for inclusion on the income tax form and 134.31 property tax refund return as provided in subdivision 3. 134.32 A major or minor political party whose candidates fail to 134.33 receive a sufficient number of votes at a state general election 134.34 to retain major or minor party status loses that status as of 134.35 December 31 following the general election. 134.36 Sec. 14. Minnesota Statutes 2000, section 10A.31, 135.1 subdivision 5, is amended to read: 135.2 Subd. 5. [ALLOCATION.] (a) [GENERAL ACCOUNT.] In each 135.3 calendar year the money in the general account must be allocated 135.4 to candidates as follows: 135.5 (1) 21 percent for the offices of governor and lieutenant 135.6 governor together; 135.7 (2) 4.2 percent for the office of attorney general; 135.8 (3) 2.4 percent each for the offices of secretary of state 135.9 and state auditor; 135.10 (4) in each calendar year during the period in which state 135.11 senators serve a four-year term, 23-1/3 percent for the office 135.12 of state senator, and 46-2/3 percent for the office of state 135.13 representative; and 135.14 (5) in each calendar year during the period in which state 135.15 senators serve a two-year term, 35 percent each for the offices 135.16 of state senator and state representative. 135.17 (b) [PARTY ACCOUNT.] In each calendar year the money in 135.18 each party account must be allocated as follows: 135.19 (1) 14 percent for the offices of governor and lieutenant 135.20 governor together; 135.21 (2) 2.8 percent for the office of attorney general; 135.22 (3) 1.6 percent each for the offices of secretary of state 135.23 and state auditor; 135.24 (4) in each calendar year during the period in which state 135.25 senators serve a four-year term, 23-1/3 percent for the office 135.26 of state senator, and 46-2/3 percent for the office of state 135.27 representative; 135.28 (5) in each calendar year during the period in which state 135.29 senators serve a two-year term, 35 percent each for the offices 135.30 of state senator and state representative; and 135.31 (6) ten percent for the state committee of a political 135.32 party that has signed and filed with the board a spending limit 135.33 agreement under section 10A.322. 135.34 Money allocated to each state committee under clause (6) 135.35 must be deposited in a separate account and must be spent for 135.36 only those items enumerated in section 10A.275. Money allocated 136.1 to a state committee under clause (6) must be paid to the 136.2 committee by the board as it is received in the account on a 136.3 monthly basis, with payment on the 15th day of the calendar 136.4 month following the month in which the returns were processed by 136.5 the department of revenue, provided that these distributions 136.6 would be equal to 90 percent of the amount of money indicated in 136.7 the department of revenue's weekly unedited reports of income 136.8 tax returns and property tax refund returns processed in the 136.9 month, as notified by the department of revenue to the board. 136.10 The amounts paid to each state committee are subject to biennial 136.11 adjustment and settlement at the time of each certification 136.12 required of the commissioner of revenue under subdivisions 7 and 136.13 10. If the total amount of payments received by a state 136.14 committee for the period reflected on a certification by the 136.15 department of revenue is different from the amount that should 136.16 have been received during the period according to the 136.17 certification, each subsequent monthly payment must be increased 136.18 or decreased to the fullest extent possible until the amount of 136.19 the overpayment is recovered or the underpayment is distributed. 136.20 Money not allocated to a state committee under clause (6) 136.21 because the state committee has not signed and filed with the 136.22 board a spending limit agreement under section 10A.322 must be 136.23 canceled to the general fund. 136.24 Sec. 15. Minnesota Statutes 2000, section 10A.31, 136.25 subdivision 7, is amended to read: 136.26 Subd. 7. [DISTRIBUTION OF GENERAL ACCOUNT.] (a)Within two136.27weeks after certification by the state canvassing board ofAs 136.28 soon as the board has obtained the results of thegeneral136.29 primary election from the secretary of state, but no later than 136.30 one week after certification of the primary results by the state 136.31 canvassing board, the board must distribute the available money 136.32 in the general account, as certified by the commissioner of 136.33 revenue onNovemberSeptember 1 and according to allocations set 136.34 forth in subdivision 5, in equal amounts to all candidates of a 136.35 major political party whose names are to appear on the ballot in 136.36 the general election and who: 137.1 (1) have signed a spending limit agreement under section 137.2 10A.322; 137.3 (2) have filed the affidavit of contributions required by 137.4 section 10A.323; and 137.5 (3) were opposed in either the primary election or the 137.6 general election; and. 137.7(4) are either a candidate for statewide office who137.8received at least five percent of the votes cast in the general137.9election for that office or a candidate for legislative office137.10who received at least ten percent of the votes cast in the137.11general election for that seat.137.12 (b) The public subsidy under this subdivision may not be 137.13 paid in an amount that would cause the sum of the public subsidy 137.14 paid from the party account plus the public subsidy paid from 137.15 the general account to exceed 50 percent of the expenditure 137.16 limit for the candidate or 50 percent of the expenditure limit 137.17 that would have applied to the candidate if the candidate had 137.18 not been freed from expenditure limits under section 10A.25, 137.19 subdivision 10. Money from the general account not paid to a 137.20 candidate because of the 50 percent limit must be distributed 137.21 equally among all other qualifying candidates for the same 137.22 office until all have reached the 50 percent limit or the 137.23 balance in the general account is exhausted. 137.24 Sec. 16. Minnesota Statutes 2000, section 10A.31, is 137.25 amended by adding a subdivision to read: 137.26 Subd. 7a. [PENALTY FOR FAILING TO FILE REPORT.] Payments 137.27 under subdivisions 6 and 7 to a candidate who fails to file the 137.28 campaign report due before the primary must be reduced as 137.29 provided by this subdivision. Payments must be reduced or, if 137.30 the payments have already been made, a penalty must be assessed, 137.31 in the amount of: 137.32 (1) two percent per day from the first to the seventh day 137.33 after the report is due; and 137.34 (2) five percent per day from the eighth to the 21st day 137.35 after the report is due. 137.36 If a report is not filed by the 21st day after it is due, a 138.1 candidate must not receive any public subsidy under subdivision 138.2 6 or 7. 138.3 Sec. 17. Minnesota Statutes 2000, section 10A.322, is 138.4 amended to read: 138.5 10A.322 [SPENDING LIMIT AGREEMENTS.] 138.6 Subdivision 1. [AGREEMENT BY CANDIDATE.] (a) As a 138.7 condition of receiving a public subsidy, a candidate must sign 138.8 and file with the board a written agreement in which the 138.9 candidate agrees that the candidate will comply with sections 138.10 10A.25; 10A.27, subdivision 10; and 10A.324. 138.11 (b) Before the first day of filing for office, the board 138.12 must forward agreement forms to all filing officers. The board 138.13 must also provide agreement forms to candidates on request at 138.14 any time. The candidate must file the agreement with the board 138.15 bySeptemberAugust 1 preceding the candidate's general election 138.16 or a special election held at the general election. An 138.17 agreement may not be filed after that date. An agreement once 138.18 filed may not be rescinded. 138.19 (c) The board must notify the commissioner of revenue of 138.20 any agreementsignedfiled under this subdivision. 138.21 (d) Notwithstanding paragraph (b), if a vacancy occurs that 138.22 will be filled by means of a special election and the filing 138.23 period does not coincide with the filing period for the general 138.24 election, a candidate may sign andsubmitfile a spending limit 138.25 agreement not later than the day after the candidate files the 138.26 affidavit of candidacy or nominating petition for the office. 138.27Subd. 2. [HOW LONG AGREEMENT IS EFFECTIVE.](e) The 138.28 agreement, insofar as it relates to the expenditure limits in 138.29 section 10A.25, as adjusted by section 10A.255, and the 138.30 contribution limit in section 10A.27, subdivision 10, remains 138.31 effective for candidates until the dissolution of the principal 138.32 campaign committee of the candidate or the end of the first 138.33 election cycle completed after the agreement was filed, 138.34 whichever occurs first. 138.35 Subd. 2a. [AGREEMENT BY POLITICAL PARTY.] (a) As a 138.36 condition of receiving a public subsidy, the chair of the state 139.1 committee of a political party must sign and file with the board 139.2 a written agreement in which the state committee agrees that the 139.3 political party and all its party units will comply with section 139.4 10A.25. An agreement once filed may not be rescinded. 139.5 (b) The board must provide agreement forms to political 139.6 parties on request at any time. The state chair must file the 139.7 agreement with the board by February 1 in order to be allocated 139.8 money credited to the party account for the preceding taxable 139.9 year. 139.10 (c) The spending limit agreement remains in effect until 139.11 the end of the first general election cycle completed after the 139.12 agreement was filed or the dissolution of the political party, 139.13 whichever occurs first. 139.14 (d) The board must notify the commissioner of revenue of 139.15 any agreement filed under this subdivision. 139.16 Subd. 4. [REFUND RECEIPT FORMS; PENALTY.] The board must 139.17 make available to a political partyon request and to anyor 139.18 candidate for whom an agreement under this section is effective, 139.19 a supply of official refund receipt forms that state in boldface 139.20 type that (1) a contributor who is given a receipt form is 139.21 eligible to claim a refund as provided in section 290.06, 139.22 subdivision 23, and (2)if the contribution is to a candidate,139.23 that the candidate or political party has signed an agreement to 139.24 limit campaign expenditures as provided in this section. The 139.25 forms must provide duplicate copies of the receipt to be 139.26 attached to the contributor's claim. A candidate who does not 139.27 sign an agreement under this section and who willfully issues an 139.28 official refund receipt form or a facsimile of one to any of the 139.29 candidate's contributors is guilty of a misdemeanor. If the 139.30 state chair of a political party has not signed an agreement 139.31 under this section and the chair of a party unit willfully 139.32 issues an official refund receipt form or a facsimile of one to 139.33 any of the party's contributors, the chair of the party unit is 139.34 subject to a civil fine of up to $1,000. 139.35 Sec. 18. Minnesota Statutes 2000, section 10A.323, is 139.36 amended to read: 140.1 10A.323 [AFFIDAVIT OF CONTRIBUTIONS.] 140.2 In addition to the requirements of section 10A.322, to be 140.3 eligible to receive a public subsidy under section 10A.31 a 140.4 candidate or the candidate's treasurer must file an affidavit 140.5 with the board stating that during that calendar year the 140.6 candidate has accumulated contributions from persons eligible to 140.7 vote in this state in at least the amount indicated for the 140.8 office sought, counting only the first $50 received from each 140.9 contributor: 140.10 (1) candidates for governor and lieutenant governor running 140.11 together, $35,000; 140.12 (2) candidates for attorney general, $15,000; 140.13 (3) candidates for secretary of state and state auditor, 140.14 separately, $6,000; 140.15 (4) candidates for the senate, $3,000; and 140.16 (5) candidates for the house of representatives, $1,500. 140.17 The affidavit must state the total amount of contributions 140.18 that have been received from persons eligible to vote in this 140.19 state, disregarding the portion of any contribution in excess of 140.20 $50. 140.21 The candidate or the candidate's treasurer must submit the 140.22 affidavit required by this section to the board in writing by 140.23 September 1 of the general election year to receive the payment 140.24 made following the primary election and by November 1 to receive 140.25 the payment made following the general election. 140.26 A candidate for a vacancy to be filled at a special 140.27 election for which the filing period does not coincide with the 140.28 filing period for the general election must submit the affidavit 140.29 required by this section to the board withinfive15 days after 140.30 filing the affidavit of candidacy. 140.31 Sec. 19. Minnesota Statutes 2000, section 200.02, 140.32 subdivision 7, is amended to read: 140.33 Subd. 7. [MAJOR POLITICAL PARTY.] "Major political party" 140.34 means a political party that maintains a party organization in 140.35 the state, political division or precinct in question and: 140.36 (a) which has presented at least one candidate for election 141.1 to a partisan office at the last preceding state general 141.2 election for constitutional officers, which candidate received 141.3 votes in each county in that election and received votes from 141.4 not less than five percent of the total number of individuals 141.5 who voted in that election; or 141.6 (b) whose members present to the secretary of state a 141.7 petition for a place on the state partisan primary ballot, which 141.8 petition contains signatures of a number of the party members 141.9 equal to at least five percent of the total number of 141.10 individuals who voted in the preceding state general election. 141.11 Sec. 20. Minnesota Statutes 2000, section 200.02, 141.12 subdivision 23, is amended to read: 141.13 Subd. 23. [MINOR POLITICAL PARTY.] (a) "Minor political 141.14 party" means a political party that is not a major political 141.15 party as defined by subdivision 7 and that has adopted a state 141.16 constitution, designated a state party chair, held a state 141.17 convention in the last two years, filed with the secretary of 141.18 state a certification that the party has met the foregoing 141.19 requirements, and met the requirements of paragraph (b) or (c), 141.20 as applicable. 141.21 (b) To be considered a minor party in all elections 141.22 statewide, the political party must have presented at least one 141.23 candidate for a partisan office voted on statewide at the 141.24 preceding state general election for constitutional officers who 141.25 received votes in each county that in the aggregate equal at 141.26 least one percent of the total number of individuals who voted 141.27 in the election, or its members must have presented to the 141.28 secretary of state a nominating petition in a form prescribed by 141.29 the secretary of state containing the signatures of party 141.30 members in a number equal to at least one percent of the total 141.31 number of individuals who voted in the preceding state general 141.32 election. 141.33 (c) To be considered a minor party in an election in a 141.34 legislative district, the political party must have presented at 141.35 least one candidate for a legislative office in that district 141.36 who received votes from at least ten percent of the total number 142.1 of individuals who voted for that office, or its members must 142.2 have presented to the secretary of state a nominating petition 142.3 in a form prescribed by the secretary of state containing the 142.4 signatures of party members in a number equal to at least ten 142.5 percent of the total number of individuals who voted in the 142.6 preceding state general election for that legislative office. 142.7 Sec. 21. Minnesota Statutes 2000, section 211A.12, is 142.8 amended to read: 142.9 211A.12 [CONTRIBUTION LIMITS.] 142.10 A candidate or a candidate's committee may not accept 142.11 aggregate contributions made or delivered by an individual or 142.12 committee in excess of $300 in an election year for the office 142.13 sought and $100 in other years; except that a candidate or a 142.14 candidate's committee for an office whose territory has a 142.15 population over 100,000 may not accept aggregate contributions 142.16 made or delivered by an individual or committee in excess of 142.17 $500 in an election year for the office sought and $100 in other 142.18 years. 142.19 The following deliveries are not subject to the bundling 142.20 limitation in this section: 142.21 (1) delivery of contributions collected by a member of the 142.22 candidate's committee,such as a block worker or a volunteer who142.23hosts a fundraising eventother than a lobbyist as defined in 142.24 section 10A.01, subdivision 21, to the committee's treasurer; 142.25 and 142.26 (2) a delivery made by an individual on behalf of the 142.27 individual's spouse. 142.28 Notwithstanding sections 211A.02, subdivision 3, and 142.29 410.21, this section supersedes any home rule charter. 142.30 Sec. 22. [211B.205] [PARTICIPATION IN PUBLIC PARADES.] 142.31 If a public parade allows candidates, a candidate must be 142.32 allowed to participate for a fee that is not greater than the 142.33 amount that is charged to other units participating in the 142.34 parade. 142.35 Sec. 23. Minnesota Statutes 2000, section 290.06, 142.36 subdivision 23, is amended to read: 143.1 Subd. 23. [REFUND OF CONTRIBUTIONS TO POLITICAL PARTIES 143.2 AND CANDIDATES.] (a) A taxpayer may claim a refund equal to the 143.3 amount of the taxpayer's contributions made in the calendar year 143.4 to candidates and to a political party. The maximum refund for 143.5 an individual must not exceed $50 and for a married couple, 143.6 filing jointly, must not exceed $100. A refund of a 143.7 contribution is allowed only if the taxpayer files a form 143.8 required by the commissioner and attaches to the form a copy of 143.9 an official refund receipt form issued by the candidate or party 143.10 and signed by the candidate, the treasurer of the candidate's 143.11 principal campaign committee, or the chair or treasurer of the 143.12 party unit, after the contribution was received. The receipt 143.13 forms must be numbered, and the data on the receipt that are not 143.14 public must be made available to the campaign finance and public 143.15 disclosure board upon its request. A claim must be filed with 143.16 the commissioner no sooner than January 1 of the calendar year 143.17 in which the contribution was made and no later than April 15 of 143.18 the calendar year following the calendar year in which the 143.19 contribution was made. A taxpayer may file only one claim per 143.20 calendar year. Amounts paid by the commissioner after June 15 143.21 of the calendar year following the calendar year in which the 143.22 contribution was made must include interest at the rate 143.23 specified in section 270.76. 143.24 (b) No refund is allowed under this subdivision for a 143.25 contribution to a candidate unless the candidate: 143.26 (1) has signed and filed an agreement to limit campaign 143.27 expenditures as provided in section 10A.322; 143.28 (2) is seeking an office for which voluntary spending 143.29 limits are specified in section 10A.25; and 143.30 (3) has designated a principal campaign committee. 143.31 This subdivision does not limit the campaign expenditures 143.32 of a candidate who does not sign an agreement but accepts a 143.33 contribution for which the contributor improperly claims a 143.34 refund. 143.35 No refund is allowed under this subdivision for a 143.36 contribution to a political party or party unit unless the state 144.1 chair of the political party has signed and filed an agreement 144.2 to limit campaign expenditures as provided in section 10A.322. 144.3 (c) For purposes of this subdivision, "political party" 144.4 means a major political party as defined in section 200.02, 144.5 subdivision 7, or a minor political party qualifying for 144.6 inclusion on the income tax or property tax refund form under 144.7 section 10A.31, subdivision 3a. 144.8 A "major party" or "minor party" includes the aggregate of 144.9 that party's organization within each house of the legislature, 144.10 the state party organization, and the party organization within 144.11 congressional districts, counties, legislative districts, 144.12 municipalities, and precincts. 144.13 "Candidate" means a candidate as defined in section 10A.01, 144.14 subdivision 10, except a candidate for judicial office. 144.15 "Contribution" means a gift of money. 144.16 (d) The commissioner shall make copies of the form 144.17 available to the public and candidates upon request. 144.18 (e) The following data collected or maintained by the 144.19 commissioner under this subdivision are private: the identities 144.20 of individuals claiming a refund, the identities of candidates 144.21 to whom those individuals have made contributions, and the 144.22 amount of each contribution. 144.23 (f) The commissioner shall report to the campaign finance 144.24 and public disclosure board by each August 1 a summary showing 144.25 the total number and aggregate amount of political contribution 144.26 refunds made on behalf of each candidate and each political 144.27 party. These data are public. 144.28 (g) The amount necessary to pay claims for the refund 144.29 provided in this section is appropriated from the general fund 144.30 to the commissioner of revenue. 144.31 Sec. 24. [NONSEVERABILITY.] 144.32 Notwithstanding Minnesota Statutes, section 645.20, if a 144.33 provision of Minnesota Statutes, section 10A.25, subdivision 15 144.34 is found to be unconstitutional and void, the provisions of 144.35 Minnesota Statutes, section 10A.25, subdivision 14 are also void. 144.36 Sec. 25. [EFFECTIVE DATE.] 145.1 This article is effective January 1, 2002, and applies to 145.2 contributions received and expenditures made on and after that 145.3 date. 145.4 ARTICLE 14 145.5 TECHNICAL AND CONFORMING CHANGES 145.6 Section 1. Minnesota Statutes 2000, section 462A.01, is 145.7 amended to read: 145.8 462A.01 [CITATION.] 145.9 Sections 462A.01 to462A.24462A.33 shall be known as and 145.10 may be cited as the "Minnesota Housing Finance Agency Law of 145.11 1971." 145.12 Sec. 2. Minnesota Statutes 2000, section 462A.03, 145.13 subdivision 1, is amended to read: 145.14 Subdivision 1. [APPLICATION.] For the purpose ofsections145.15462A.01 to 462A.24this chapter, the terms defined in this 145.16 section have the meanings ascribed to them. 145.17 Sec. 3. Minnesota Statutes 2000, section 462A.03, 145.18 subdivision 6, is amended to read: 145.19 Subd. 6. [AGENCY.] "Agency" means the Minnesota housing 145.20 finance agency created bysections 462A.01 to 462A.24this 145.21 chapter. 145.22 Sec. 4. Minnesota Statutes 2000, section 462A.03, 145.23 subdivision 10, is amended to read: 145.24 Subd. 10. [PERSONS AND FAMILIES OF LOW AND MODERATE 145.25 INCOME.] "Persons and families of low and moderate income" means 145.26 persons and families, irrespective of race, creed, national 145.27 origin, sex, or status with respect to guardianship or 145.28 conservatorship, determined by the agency to require such 145.29 assistance as is made available bysections 462A.01 to 462A.24145.30 this chapter on account of personal or family income not 145.31 sufficient to afford adequate housing. In making such 145.32 determination the agency shall take into account the following: 145.33 (a) The amount of the total income of such persons and families 145.34 available for housing needs, (b) the size of the family, (c) the 145.35 cost and condition of housing facilities available, (d) the 145.36 eligibility of such persons and families to compete successfully 146.1 in the normal housing market and to pay the amounts at which 146.2 private enterprise is providing sanitary, decent and safe 146.3 housing. In the case of federally subsidized mortgages with 146.4 respect to which income limits have been established by any 146.5 agency of the federal government having jurisdiction thereover 146.6 for the purpose of defining eligibility of low and moderate 146.7 income families, the limits so established shall govern under 146.8 theprovisionprovisions ofsections 462A.01 to 462A.24this 146.9 chapter. In all other cases income limits for the purpose of 146.10 defining low or moderate income persons shall be established by 146.11 the agency by rules. 146.12 Sec. 5. Minnesota Statutes 2000, section 462A.03, is 146.13 amended by adding a subdivision to read: 146.14 Subd. 23. [METROPOLITAN AREA.] "Metropolitan area" has the 146.15 meaning given in section 473.121, subdivision 2. 146.16 Sec. 6. Minnesota Statutes 2000, section 462A.04, 146.17 subdivision 6, is amended to read: 146.18 Subd. 6. [MANAGEMENT, CONTROL.] The management and control 146.19 of the agency shall be vested solely in the members in 146.20 accordance with the provisions ofsections 462A.01 to 462A.24146.21 this chapter. 146.22 Sec. 7. Minnesota Statutes 2000, section 462A.05, 146.23 subdivision 16, is amended to read: 146.24 Subd. 16. [PAYMENTS FOR STRUCTURAL DEFECTS.] (a) It may 146.25 make payments or expenditures from the housing development fund 146.26 to persons of low or moderate income, who are recipients of an 146.27 eligible loan as defined in section 462A.03, subdivision 11, or 146.28 who have purchased residential housing from a recipient of such 146.29 eligible loan, and who are owners and occupants of residential 146.30 housing constructed or rehabilitated undersections 462A.01 to146.31462A.24this chapter, when, in the agency's determination, such 146.32 residential housing contains defects or omissions which affect 146.33 the structural soundness, or the use and the livability of such 146.34 housing, including but not limited to defects or omissions in 146.35 materials, hardware, fixtures, design, workmanship and 146.36 landscaping of whatever kind and nature incorporated in said 147.1 housing and which are covered by an agency approved warranty, 147.2 for the purposes of (i) correcting such defects, or (ii) paying 147.3 the claims of the owner arising from such defects, provided, 147.4 that this authority shall exist only if the owner has requested 147.5 assistance from the agency not later than four years after the 147.6 issuance of the eligible loan, or where such residential housing 147.7 was rehabilitated undersections 462A.01 to 462A.24this chapter 147.8 only if the owner has requested assistance from the agency not 147.9 later than two years after the issuance of the eligible loan. 147.10 (b) If such owner elects to receive payments or 147.11 expenditures pursuant to this section, the agency is subrogated 147.12 to the right of such owner to recover damages against any party 147.13 or persons reasonably calculated to be responsible for such 147.14 damages. 147.15 (c) The agency may require from the seller of such 147.16 residential housing, or the contractor responsible for the 147.17 construction or rehabilitation of such housing, an agreement to 147.18 reimburse the agency for any payments and expenditures made 147.19 pursuant to this subdivision with respect to such residential 147.20 housing. 147.21 Sec. 8. Minnesota Statutes 2000, section 462A.05, 147.22 subdivision 22, is amended to read: 147.23 Subd. 22. [LOANS TO FINANCIAL INSTITUTIONS.] It may make 147.24 or participate in the making and enter into commitments for the 147.25 making of loans to any banking institution, savings association, 147.26 or other lender approved by the members, organized under the 147.27 laws of this or any other state or of the United States having 147.28 an office in this state, notwithstanding the provisions of 147.29 section 462A.03, subdivision 13, if it first determines that the 147.30 proceeds of such loans will be utilized for the purpose of 147.31 making loans to or for the benefit of eligible persons and 147.32 families as provided and in accordance withsections 462A.01 to147.33462A.24this chapter. Loans pursuant to this subdivision shall 147.34 be secured, repaid and bear interest at the rate as determined 147.35 by the members. 147.36 Sec. 9. Minnesota Statutes 2000, section 462A.05, 148.1 subdivision 26, is amended to read: 148.2 Subd. 26. [FORMATION OF NONPROFIT CORPORATIONS.] It may, 148.3 when the agency determines it is necessary or desirable to carry 148.4 out its purposes and to exercise any or all of the powers 148.5 conferred upon itunder sections 462A.01 to 462A.24by this 148.6 chapter, and subject to the provisions of subdivision 27, form 148.7 or consent to the formation of one or more corporations under 148.8 the Minnesota Nonprofit Corporation Act, as amended, or under 148.9 other laws of this state. The agency may be a member of the 148.10 corporations, and the members and employees of the agency from 148.11 time to time may be members of the board of directors or 148.12 officers of the corporations. The agency may enter into 148.13 agreements with them providing for the agency to approve various 148.14 aspects of their operations. The agency may capitalize the 148.15 corporations and may acquire all or a part of the corporations' 148.16 share or member certificates. The agency may require that it 148.17 approve aspects of the operation of the corporations including 148.18 the corporations' articles of incorporation or bylaws, 148.19 directors, projects and expenditures, and the sale or conveyance 148.20 of projects, and the issuance of obligations. The agency may 148.21 agree to and may take title to property of the corporations upon 148.22 their dissolution. 148.23 Sec. 10. Minnesota Statutes 2000, section 462A.06, 148.24 subdivision 1, is amended to read: 148.25 Subdivision 1. [LISTED HERE.] For the purpose of 148.26 exercising the specific powers granted in section 462A.05 and 148.27 effectuating the other purposes ofsections 462A.01 to 462A.24148.28 this chapter, the agency shall have the general powers granted 148.29 in this section. 148.30 Sec. 11. Minnesota Statutes 2000, section 462A.06, 148.31 subdivision 4, is amended to read: 148.32 Subd. 4. [RULES.] It may make, and from time to time, 148.33 amend and repeal rules not inconsistent with the provisions of 148.34sections 462A.01 to 462A.24this chapter. 148.35 Sec. 12. Minnesota Statutes 2000, section 462A.07, 148.36 subdivision 10, is amended to read: 149.1 Subd. 10. [HUMAN RIGHTS.] It may establish and enforce 149.2 such rules as may be necessary to insure compliance with chapter 149.3 363, and to insure that occupancy of housing assisted under 149.4sections 462A.01 to 462A.24this chapter shall be open to all 149.5 persons, and that contractors and subcontractors engaged in the 149.6 construction of such housing shall provide an equal opportunity 149.7 for employment to all persons, without discrimination as to 149.8 race, color, creed, religion, national origin, sex, marital 149.9 status, age, and status with regard to public assistance or 149.10 disability. 149.11 Sec. 13. Minnesota Statutes 2000, section 462A.07, 149.12 subdivision 12, is amended to read: 149.13 Subd. 12. [USE OF OTHER AGENCIES.] It may delegate, use or 149.14 employ any federal, state, regional or local public or private 149.15 agency or organization, including organizations of physically 149.16 handicapped persons, upon terms it deems necessary or desirable, 149.17 to assist in the exercise of any of the powers grantedin149.18sections 462A.01 to 462A.24by this chapter and to carry out the 149.19 objectives ofsections 462A.01 to 462A.24this chapter and may 149.20 pay for the services from the housing development fund. 149.21 Sec. 14. Minnesota Statutes 2000, section 462A.073, 149.22 subdivision 1, is amended to read: 149.23 Subdivision 1. [DEFINITIONS.] (a) For purposes of this 149.24 section, the following terms have the meanings given them. 149.25 (b) "Existing housing" means single-family housing that (i) 149.26 has been previously occupied prior to the first day of the 149.27 origination period; or (ii) has been available for occupancy for 149.28 at least 12 months but has not been previously occupied. 149.29 (c)"Metropolitan area" means the metropolitan area as149.30defined in section 473.121, subdivision 2.149.31(d)"New housing" means single-family housing that has not 149.32 been previously occupied. 149.33(e)(d) "Origination period" means the period that loans 149.34 financed with the proceeds of qualified mortgage revenue bonds 149.35 are available for the purchase of single-family housing. The 149.36 origination period begins when financing actually becomes 150.1 available to the borrowers for loans. 150.2(f)(e) "Redevelopment area" means a compact and contiguous 150.3 area within which the city finds by resolution that 70 percent 150.4 of the parcels are occupied by buildings, streets, utilities, or 150.5 other improvements and more than 25 percent of the buildings, 150.6 not including outbuildings, are structurally substandard to a 150.7 degree requiring substantial renovation or clearance. 150.8(g)(f) "Single-family housing" means dwelling units 150.9 eligible to be financed from the proceeds of qualified mortgage 150.10 revenue bonds under federal law. 150.11(h)(g) "Structurally substandard" means containing defects 150.12 in structural elements or a combination of deficiencies in 150.13 essential utilities and facilities, light, ventilation, fire 150.14 protection including adequate egress, layout and condition of 150.15 interior partitions, or similar factors, which defects or 150.16 deficiencies are of sufficient total significance to justify 150.17 substantial renovation or clearance. 150.18 Sec. 15. Minnesota Statutes 2000, section 462A.15, is 150.19 amended to read: 150.20 462A.15 [STATE PLEDGE AGAINST IMPAIRMENT OF CONTRACTS.] 150.21 The state pledges and agrees with the holders of any notes 150.22 or bonds issued undersections 462A.01 to 462A.24this chapter, 150.23 that the state will not limit or alter the rights vested in the 150.24 agency to fulfill the terms of any agreements made with the 150.25 holders thereof, or in any way impair the rights and remedies of 150.26 the holders until the notes or bonds, together with the interest 150.27 thereon, with interest on any unpaid installments of interest, 150.28 and all costs and expenses in connection with any action or 150.29 proceeding by or on behalf of such holders, are fully met and 150.30 discharged. The agency is authorized to include this pledge and 150.31 agreement of the state in any agreement with the holders of such 150.32 notes or bonds. 150.33 Sec. 16. Minnesota Statutes 2000, section 462A.17, 150.34 subdivision 3, is amended to read: 150.35 Subd. 3. [RAMSEY COUNTY VENUE; NOTICE OF PRINCIPAL DUE.] 150.36 The venue of any action or proceedings brought by the trustees 151.1 undersections 462A.01 to 462A.24this chapter, shall be in 151.2 Ramsey county. Before declaring the principal of notes or bonds 151.3 due and payable, the trustee shall first give 30 days' notice in 151.4 writing to the governor, to the agency and to the state 151.5 treasurer. 151.6 Sec. 17. Minnesota Statutes 2000, section 462A.204, 151.7 subdivision 3, is amended to read: 151.8 Subd. 3. [SET ASIDE.] At least one grant must be awarded 151.9 in an area located outside of the metropolitan areaas defined151.10in section 473.121, subdivision 2. A county, a group of 151.11 contiguous counties jointly acting together, or a 151.12 community-based nonprofit organization with a sponsoring 151.13 resolution from each of the county boards of the counties 151.14 located within its operating jurisdiction may apply for and 151.15 receive grants for areas located outside the metropolitan area. 151.16 Sec. 18. Minnesota Statutes 2000, section 462A.205, 151.17 subdivision 4, is amended to read: 151.18 Subd. 4. [AMOUNT AND PAYMENT OF RENT ASSISTANCE.] (a) This 151.19 subdivision applies to both the voucher option and the 151.20 project-based voucher option. 151.21 (b) Within the limits of available appropriations, eligible 151.22 families may receive monthly rent assistance for a 60-month 151.23 period starting with the month the family first receives rent 151.24 assistance under this section. The amount of the family's 151.25 portion of the rental payment is equal to at least 30 percent of 151.26 gross income. 151.27 (c) The rent assistance must be paid by the local housing 151.28 organization to the property owner. 151.29 (d) Subject to the limitations in paragraph (e), the amount 151.30 of rent assistance is the difference between the rent and the 151.31 family's portion of the rental payment. 151.32 (e) In no case: 151.33 (1) may the amount of monthly rent assistance be more than 151.34 $250 for housing located within the metropolitan area, as151.35defined in section 473.121, subdivision 2,or more than $200 for 151.36 housing located outside of the metropolitan area; 152.1 (2) may the owner receive more rent for assisted units than 152.2 for comparable unassisted units; nor 152.3 (3) may the amount of monthly rent assistance be more than 152.4 the difference between the family's portion of the rental 152.5 payment and the fair market rent for the unit as determined by 152.6 the Department of Housing and Urban Development. 152.7 Sec. 19. Minnesota Statutes 2000, section 462A.205, 152.8 subdivision 4a, is amended to read: 152.9 Subd. 4a. [ADDITIONAL AUTHORIZED EXPENSES.] In addition to 152.10 the monthly rent assistance authorized under subdivision 4, rent 152.11 assistance may include up to $200 for a security deposit for 152.12 housing located outside the metropolitan area, as defined in152.13section 473.121, subdivision 2,and up to $250 for a security 152.14 deposit for housing located within the metropolitan area. 152.15 Sec. 20. Minnesota Statutes 2000, section 462A.2091, 152.16 subdivision 3, is amended to read: 152.17 Subd. 3. [ELIGIBLE PROPERTY.] Contracts for deed eligible 152.18 for refinancing with guarantee fund assistance must be for the 152.19 purchase of an owner-occupied single-family or duplex 152.20 structure. In a city of the first class in the metropolitan 152.21 area,as defined in section 473.121, subdivision 2,eligible 152.22 properties must be located in an area in which at least one 152.23 census tract meets at least three of the following four criteria: 152.24 (1) at least 70 percent of the housing structures were 152.25 built before 1960; 152.26 (2) at least 60 percent of the single-family housing is 152.27 owner-occupied; 152.28 (3) the median market value of the area's owner-occupied 152.29 housing, as recorded in the most recent federal decennial 152.30 census, is not more than 100 percent of the purchase price limit 152.31 for existing homes eligible for purchase in the area under the 152.32 agency's home mortgage loan program; and 152.33 (4) between 1980 and 1990, the rate of owner occupancy of 152.34 residential properties in the area declined by at least five 152.35 percent, or at least 80 percent of the residential properties in 152.36 the area are rental properties. 153.1 The area must include eight blocks in any direction from 153.2 the census tract. Priority must be given for property located 153.3 in an area that meets all four criteria. 153.4 Sec. 21. Minnesota Statutes 2000, section 462A.2093, 153.5 subdivision 1, is amended to read: 153.6 Subdivision 1. [DEFINITIONS.] For purposes of this 153.7 section, the following terms have the meanings given them in 153.8 this subdivision. 153.9 (a) "Municipality" means a town or a statutory or home rule 153.10 city. 153.11 (b) "Nonmetropolitan" means the area of the state outside 153.12 of the metropolitan areadefined in section 473.121, subdivision153.132. 153.14 (c) "Inclusionary housing development" means a new 153.15 construction development including owner-occupied or rental 153.16 housing, or a combination of both, with a variety of prices and 153.17 designs which serve families with a range of incomes and housing 153.18 needs. 153.19 Sec. 22. Minnesota Statutes 2000, section 462A.21, 153.20 subdivision 5, is amended to read: 153.21 Subd. 5. [OTHER AGENCY PURPOSES.] It may expend moneys in 153.22 the fund, not otherwise appropriated, for such other agency 153.23 purposes as previously enumerated insections 462A.01 to 462A.24153.24 this chapter as the agency in its discretion shall determine and 153.25 provide. 153.26 Sec. 23. Minnesota Statutes 2000, section 462A.222, 153.27 subdivision 1a, is amended to read: 153.28 Subd. 1a. [DETERMINATION OF REGIONAL CREDIT POOLS.] The 153.29 agency shall divide the annual per capita amount used in 153.30 determining the state ceiling for low-income housing tax credits 153.31 provided under section 42 of the Internal Revenue Code of 1986, 153.32 as amended, into a metropolitan pool and a greater Minnesota 153.33 pool. The metropolitan pool shall serve the metropolitan area 153.34as defined in section 473.121, subdivision 2. The greater 153.35 Minnesota pool shall serve the remaining counties of the state. 153.36 The percentage of the annual per capita amount allotted to each 154.1 pool must be determined as follows: 154.2 (a) The percentage set-aside for projects involving a 154.3 qualified nonprofit organization as provided in section 42 of 154.4 the Internal Revenue Code of 1986, as amended, must be deducted 154.5 from the annual per capita amount used in determining the state 154.6 ceiling. 154.7 (b) Of the remaining amount, the metropolitan pool must be 154.8 allotted a percentage equal to the metropolitan counties' 154.9 percentage of the total number of state recipients of the 154.10 Minnesota family investment program, general assistance, 154.11 Minnesota supplemental aid, and supplemental security income in 154.12 the state, as reported annually by the department of human 154.13 services. The greater Minnesota pool must be allotted the 154.14 amount remaining after the metropolitan pool's percentage has 154.15 been allotted. 154.16 The set-aside for qualified nonprofit organizations must be 154.17 divided between the two regional pools in the same percentage as 154.18 determined for the credit amounts above. 154.19 Sec. 24. Minnesota Statutes 2000, section 462A.24, is 154.20 amended to read: 154.21 462A.24 [CONSTRUCTION.] 154.22Sections 462A.01 to 462A.24 areThis chapter is necessary 154.23 for the welfare of the state of Minnesota and its inhabitants; 154.24 therefore, it shall be liberally construed to effect its purpose. 154.25 Sec. 25. Minnesota Statutes 2000, section 462A.33, 154.26 subdivision 2, is amended to read: 154.27 Subd. 2. [ELIGIBLE RECIPIENTS.] Challenge grants or loans 154.28 may be made to a city, a private developer, a nonprofit 154.29 organization, or the owner of the housing, including 154.30 individuals. For the purpose of this section, "city" has the 154.31 meaning given it in section 462A.03, subdivision 21. Preference 154.32 shall be given to challenge grants or loans for home ownership. 154.33 To the extent practicable, grants and loans shall be made so 154.34 that an approximately equal number of housing units are financed 154.35 in the metropolitan area, as defined in section 473.121,154.36subdivision 2,and in the nonmetropolitan area. 155.1 Sec. 26. [462A.34] [VISITABILITY REQUIREMENT.] 155.2 All new construction of single-family homes, duplexes, 155.3 triplexes, and multilevel townhouses that are financed in whole 155.4 or in part by the agency must incorporate basic visitability 155.5 access into their design and construction. For the purpose of 155.6 this section, "visitability" means designing a dwelling so that 155.7 people with mobility impairments may enter and comfortably stay 155.8 for a duration. The specific design elements include one 155.9 no-step entrance, 32-inch clear doorways throughout the 155.10 dwelling, and a one-half bathroom on the main level. The agency 155.11 may waive the one-half bathroom requirement if it reduces 155.12 affordability for the targeted population of the agency program 155.13 from which it is funded. The agency may waive the no-step 155.14 entrance requirement if topographical conditions make the 155.15 requirement impractical. 155.16 Sec. 27. [REPEALER.] 155.17 Minnesota Statutes 2000, sections 462A.221, subdivision 4; 155.18 and 462A.30, subdivision 2, are repealed.