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SF 2893

2nd Unofficial Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
  1.1                          A bill for an act 
  1.2             relating to economic development; clarifying state 
  1.3             procurement exceptions; clarifying certain securities 
  1.4             laws; modifying business subsidy requirements; 
  1.5             modifying programs relating to rural and business 
  1.6             development; modifying investment authority for the 
  1.7             Minnesota state colleges and universities; regulating 
  1.8             professional boxing; providing penalties for OSHA 
  1.9             violations; extending the expiration of the 
  1.10            legislative electric energy task force; modifying 
  1.11            renewable energy requirements; modifying youth 
  1.12            employment provisions; amending Minnesota Statutes 
  1.13            1998, sections 16C.05, subdivision 3; 80A.122, by 
  1.14            adding a subdivision; 80A.28, subdivision 1; 116L.04, 
  1.15            subdivision 1; 182.661, subdivision 1; 182.666, 
  1.16            subdivision 2, and by adding a subdivision; 216C.051, 
  1.17            subdivision 9; 216C.41, subdivision 3; and 268.362, 
  1.18            subdivision 2; Minnesota Statutes 1999 Supplement, 
  1.19            sections 116J.421, subdivision 2; 116J.993, 
  1.20            subdivision 3; 116J.994, subdivisions 1, 3, 4, 5, 6, 
  1.21            7, 8, and 9; 116J.995; and 268.98, subdivision 3; Laws 
  1.22            1997, chapter 200, article 1, section 5, subdivision 
  1.23            3; Laws 1999, chapter 223, article 2, section 81, as 
  1.24            amended; article 3, section 8; proposing coding for 
  1.25            new law in Minnesota Statutes, chapters 136F; 144; and 
  1.26            182. 
  1.27  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.28     Section 1.  Minnesota Statutes 1998, section 16C.05, 
  1.29  subdivision 3, is amended to read: 
  1.30     Subd. 3.  [EXCEPTION.] The requirements of subdivision 2 do 
  1.31  not apply to contracts of the department of economic security 
  1.32  distributing state and federal funds for the purpose of 
  1.33  subcontracting the provision of program services to eligible 
  1.34  recipients.  For these contracts, the commissioner of economic 
  1.35  security is authorized to directly enter into agency contracts 
  1.36  and encumber available funds.  For contracts distributing state 
  2.1   or federal funds pursuant to the federal Economic Dislocation 
  2.2   and Worker Adjustment Assistance Act, United States Code, title 
  2.3   29, section 1651 et seq., or sections 268.9771, 268.978, 
  2.4   268.9781, and 268.9782, the commissioner of economic security is 
  2.5   authorized to directly enter into agency contracts with approval 
  2.6   of the workforce development council and encumber available 
  2.7   funds to ensure a rapid response to the needs of dislocated 
  2.8   workers.  The commissioner of economic security shall adopt 
  2.9   internal procedures to administer and monitor funds distributed 
  2.10  under these contracts.  This exception also applies to any 
  2.11  contracts entered into by the commissioner of children, 
  2.12  families, and learning and the jobs skills partnership board 
  2.13  that were previously entered into by the commissioner of 
  2.14  economic security. 
  2.15     Sec. 2.  Minnesota Statutes 1998, section 80A.122, is 
  2.16  amended by adding a subdivision to read: 
  2.17     Subd. 4a.  [EXPIRATION.] (a) A filing made in connection 
  2.18  with the securities of an open-end investment company under 
  2.19  subdivision 1 expires the next June 30 unless renewed.  To renew 
  2.20  a notice filing, an issuer shall: 
  2.21     (1) before expiration of a current notice filing, file with 
  2.22  the commissioner the documents specified by the commissioner 
  2.23  under subdivision 1, clause (2), together with any fees required 
  2.24  by section 80A.28, subdivision 1, paragraph (c); and 
  2.25     (2) no later than September 1 following expiration, file a 
  2.26  sales report for the prior fiscal year with the commissioner 
  2.27  specifying: 
  2.28     (i) the registered sales; 
  2.29     (ii) the actual sales; and 
  2.30     (iii) the balance that could be sold without an additional 
  2.31  filing under section 80A.28, subdivision 1, paragraph (c). 
  2.32     (b) No portion of the unsold balance of shares indicated on 
  2.33  the issuer's sales report may be lawfully sold in this state in 
  2.34  connection with a renewed notice filing until fees have been 
  2.35  paid to renew the shares. 
  2.36     Sec. 3.  Minnesota Statutes 1998, section 80A.28, 
  3.1   subdivision 1, is amended to read: 
  3.2      Subdivision 1.  (a) There shall be a filing fee of $100 for 
  3.3   every application for registration or notice filing.  There 
  3.4   shall be an additional fee of one-tenth of one percent of the 
  3.5   maximum aggregate offering price at which the securities are to 
  3.6   be offered in this state, and the maximum combined fees shall 
  3.7   not exceed $300.  
  3.8      (b) When an application for registration is withdrawn 
  3.9   before the effective date or a preeffective stop order is 
  3.10  entered under section 80A.13, subdivision 1, all but the $100 
  3.11  filing fee shall be returned.  If an application to register 
  3.12  securities is denied, the total of all fees received shall be 
  3.13  retained. 
  3.14     (c) Where a filing is made in connection with a federal 
  3.15  covered security under section 18(b)(2) of the Securities Act of 
  3.16  1933, there is a fee of $100 for every initial filing.  If the 
  3.17  filing is made in connection with redeemable securities issued 
  3.18  by an open end management company or unit investment trust, as 
  3.19  defined in the Investment Company Act of 1940, there is an 
  3.20  additional annual fee of 1/20 of one percent of the maximum 
  3.21  aggregate offering price at which the securities are to be 
  3.22  offered in this state during the notice filing period.  The fee 
  3.23  must be paid at the time of the initial filing and thereafter in 
  3.24  connection with each renewal no later than July 1 of each year 
  3.25  and must be sufficient to cover the shares the issuer expects to 
  3.26  sell in this state over the next 12 months.  If during a current 
  3.27  notice filing the issuer determines it is likely to sell shares 
  3.28  in excess of the shares for which fees have been paid to the 
  3.29  commissioner, the issuer shall submit an amended notice filing 
  3.30  to the commissioner under section 80A.122, subdivision 1, clause 
  3.31  (3), together with a fee of 1/20 of one percent of the maximum 
  3.32  aggregate offering price of the additional shares.  Shares for 
  3.33  which a fee has been paid, but which have not been sold at the 
  3.34  time of expiration of the notice filing, may not be sold unless 
  3.35  an additional fee to cover the shares has been paid to the 
  3.36  commissioner as provided in this section and section 80A.122, 
  4.1   subdivision 4a.  If the filing is made in connection with 
  4.2   redeemable securities issued by such a company or trust, there 
  4.3   is no maximum fee for securities filings made according to this 
  4.4   paragraph.  If the filing is made in connection with any other 
  4.5   federal covered security under Section 18(b)(2) of the 
  4.6   Securities Act of 1933, there is an additional fee of one-tenth 
  4.7   of one percent of the maximum aggregate offering price at which 
  4.8   the securities are to be offered in this state, and the combined 
  4.9   fees shall not exceed $300.  Beginning with fiscal year 2001 and 
  4.10  continuing each fiscal year thereafter, as of the last day of 
  4.11  each fiscal year, the commissioner shall determine the total 
  4.12  amount of all fees that were collected under this paragraph in 
  4.13  connection with any filings made for that fiscal year for 
  4.14  securities of an open-end investment company on behalf of a 
  4.15  security that is a federal covered security pursuant to section 
  4.16  18(b)(2) of the Securities Act of 1933.  To the extent the total 
  4.17  fees collected by the commissioner in connection with these 
  4.18  filings exceed $25,000,000 in a fiscal year, the commissioner 
  4.19  shall refund, on a pro rata basis, to all persons who paid any 
  4.20  fees for that fiscal year, the amount of fees collected by the 
  4.21  commissioner in excess of $25,000,000.  No individual refund is 
  4.22  required of amounts of $100 or less for a fiscal year. 
  4.23     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
  4.24  116J.421, subdivision 2, is amended to read: 
  4.25     Subd. 2.  [GOVERNANCE.] The center is governed by a board 
  4.26  of directors appointed to six-year terms by the governor 
  4.27  comprised of: 
  4.28     (1) a representative from each of the two largest statewide 
  4.29  general farm organizations; 
  4.30     (2) a representative from a regional initiative 
  4.31  organization selected under section 116J.415, subdivision 3; 
  4.32     (3) the president of Mankato State University; 
  4.33     (4) a representative from the general public residing in a 
  4.34  town of less than 5,000 located outside of the metropolitan 
  4.35  area; 
  4.36     (5) a member of the house of representatives appointed by 
  5.1   the speaker of the house and a member of the senate appointed by 
  5.2   the subcommittee on committees of the senate committee on rules 
  5.3   and administration appointed for two-year terms; 
  5.4      (6) three representatives from business, including one 
  5.5   representing rural manufacturing and one rural retail and 
  5.6   service business; 
  5.7      (7) three representatives from private foundations with a 
  5.8   demonstrated commitment to rural issues; 
  5.9      (8) one representative from a rural county government; and 
  5.10     (9) one representative from a rural regional government. 
  5.11     The board shall appoint one additional member to the board 
  5.12  of directors who shall represent the general public.  
  5.13     If the board concludes at any time that the composition of 
  5.14  the board does not adequately reflect the ethnic and gender 
  5.15  diversity of rural Minnesota, the board may appoint up to four 
  5.16  additional members in order to better reflect this diversity.  
  5.17  Members appointed by the board under this paragraph shall serve 
  5.18  six-year terms.  The board may not appoint additional members 
  5.19  such that the board would have a total of more than 20 members. 
  5.20     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
  5.21  116J.993, subdivision 3, is amended to read: 
  5.22     Subd. 3.  [BUSINESS SUBSIDY.] "Business subsidy" or 
  5.23  "subsidy" means a state or local government agency grant, 
  5.24  contribution of personal property, real property, 
  5.25  infrastructure, the principal amount of a loan at rates below 
  5.26  those commercially available to the recipient, any reduction or 
  5.27  deferral of any tax or any fee, any guarantee of any payment 
  5.28  under any loan, lease, or other obligation, or any preferential 
  5.29  use of government facilities given to a business. 
  5.30     The following forms of financial assistance are not a 
  5.31  business subsidy: 
  5.32     (1) a business subsidy of less than $25,000 $100,000; 
  5.33     (2) assistance that is generally available to all 
  5.34  businesses or to a general class of similar businesses, such as 
  5.35  a line of business, size, location, or similar general criteria; 
  5.36     (3) public improvements to buildings or lands owned by the 
  6.1   state or local government that serve a public purpose and do not 
  6.2   principally benefit a single business or defined group of 
  6.3   businesses at the time the improvements are made; 
  6.4      (4) redevelopment property polluted by contaminants as 
  6.5   defined in section 116J.552, subdivision 3; 
  6.6      (5) assistance provided for the sole purpose of renovating 
  6.7   old or decaying building stock or bringing it up to code and 
  6.8   assistance provided for designated historic preservation 
  6.9   districts, provided that the assistance is equal to or less than 
  6.10  50 percent of the total cost; 
  6.11     (6) assistance provided to organizations whose primary 
  6.12  mission is to provide job readiness and training services if the 
  6.13  sole purpose of the assistance is to provide those services; 
  6.14     (7) assistance for housing; 
  6.15     (8) assistance for pollution control or abatement, 
  6.16  including assistance for a tax increment financing hazardous 
  6.17  substance subdistrict as defined under section 469.174, 
  6.18  subdivision 23; 
  6.19     (9) assistance for energy conservation; 
  6.20     (10) tax reductions resulting from conformity with federal 
  6.21  tax law; 
  6.22     (11) workers' compensation and unemployment compensation; 
  6.23     (12) benefits derived from regulation; 
  6.24     (13) indirect benefits derived from assistance to 
  6.25  educational institutions; 
  6.26     (14) funds from bonds allocated under chapter 474A issued 
  6.27  by government agencies on behalf of entities without actual 
  6.28  direct financial assistance being provided by the issuing 
  6.29  authority; 
  6.30     (15) assistance for a collaboration between a Minnesota 
  6.31  higher education institution and a business; 
  6.32     (16) assistance for a tax increment financing soils 
  6.33  condition district as defined under section 469.174, subdivision 
  6.34  19; 
  6.35     (17) redevelopment when the recipient's investment in the 
  6.36  purchase of the site and in site preparation is 70 percent or 
  7.1   more of the assessor's current year's estimated market 
  7.2   value; and 
  7.3      (18) general changes in tax increment financing law and 
  7.4   other general tax law changes of a principally technical nature; 
  7.5      (19) federal assistance until the assistance has been 
  7.6   repaid to, and reinvested by, the state or local government 
  7.7   agency; and 
  7.8      (20) funds from dock and wharf bonds issued by a seaway 
  7.9   port authority. 
  7.10     Sec. 6.  Minnesota Statutes 1999 Supplement, section 
  7.11  116J.994, subdivision 1, is amended to read: 
  7.12     Subdivision 1.  [PUBLIC PURPOSE.] A business subsidy must 
  7.13  meet a public purpose other than which may include, but may not 
  7.14  be limited to, increasing the tax base.  Job retention may only 
  7.15  be used as a public purpose in cases where job loss is imminent 
  7.16  specific and demonstrable. 
  7.17     Sec. 7.  Minnesota Statutes 1999 Supplement, section 
  7.18  116J.994, subdivision 3, is amended to read: 
  7.19     Subd. 3.  [SUBSIDY AGREEMENT.] (a) A recipient must enter 
  7.20  into a subsidy agreement with the grantor of the subsidy that 
  7.21  includes: 
  7.22     (1) a description of the subsidy, including the amount and 
  7.23  type of subsidy, and type of district if the subsidy is tax 
  7.24  increment financing; 
  7.25     (2) a statement of the public purposes for the subsidy; 
  7.26     (3) measurable, specific, and tangible goals for the 
  7.27  subsidy; 
  7.28     (4) a description of the financial obligation of the 
  7.29  recipient if the goals are not met; 
  7.30     (5) a statement of why the subsidy is needed; 
  7.31     (6) a commitment to continue operations at the site where 
  7.32  the subsidy is used for at least five years after the benefit 
  7.33  date; 
  7.34     (7) the name and address of the parent corporation of the 
  7.35  recipient, if any; and 
  7.36     (8) a list of all financial assistance by all grantors for 
  8.1   the project. 
  8.2      (b) Business subsidies in the form of grants must be 
  8.3   structured as forgivable loans.  If a business subsidy is not 
  8.4   structured as a forgivable loan For other types of business 
  8.5   subsidies, the agreement must state the fair market value of the 
  8.6   subsidy to the recipient, including the value of conveying 
  8.7   property at less than a fair market price, or other in-kind 
  8.8   benefits to the recipient. 
  8.9      (c) If a business subsidy benefits more than one recipient, 
  8.10  the grantor must assign a proportion of the business subsidy to 
  8.11  each recipient that signs a subsidy agreement.  The proportion 
  8.12  assessed to each recipient must reflect a reasonable estimate of 
  8.13  the recipient's share of the total benefits of the project. 
  8.14     (d) The state or local government agency and the recipient 
  8.15  must both sign the subsidy agreement and, if the grantor is a 
  8.16  local government agency, the agreement must be approved by the 
  8.17  local elected governing body, except for the St. Paul Port 
  8.18  Authority and a seaway port authority. 
  8.19     (e) Notwithstanding the provision in subdivision 6, a 
  8.20  recipient may be authorized to move from the site where the 
  8.21  subsidy is used within the five-year period after the benefit 
  8.22  date if, after a public hearing, the grantor approves the 
  8.23  recipient's request to move. 
  8.24     Sec. 8.  Minnesota Statutes 1999 Supplement, section 
  8.25  116J.994, subdivision 4, is amended to read: 
  8.26     Subd. 4.  [WAGE AND JOB GOALS.] The subsidy agreement, in 
  8.27  addition to any other goals, must include:  (1) goals for the 
  8.28  number of jobs created, which may include separate goals for the 
  8.29  number of part-time or full-time jobs, or, in cases where job 
  8.30  loss is imminent specific and demonstrable, goals for the number 
  8.31  of jobs retained; and (2) wage goals for the jobs created or 
  8.32  retained.  After a public hearing, if the creation or retention 
  8.33  of jobs is determined not to be a goal, the wage and job goals 
  8.34  may be set at zero. 
  8.35     In addition to other specific goal time frames, the wage 
  8.36  and job goals must contain specific goals to be attained within 
  9.1   two years of the benefit date. 
  9.2      Sec. 9.  Minnesota Statutes 1999 Supplement, section 
  9.3   116J.994, subdivision 5, is amended to read: 
  9.4      Subd. 5.  [PUBLIC NOTICE AND HEARING.] (a) Before granting 
  9.5   a business subsidy that exceeds $500,000 for a state government 
  9.6   grantor and $100,000 for a local government grantor, the grantor 
  9.7   must provide public notice and a hearing on the subsidy.  A 
  9.8   public hearing and notice under this subdivision is not required 
  9.9   if a hearing and notice on the subsidy is otherwise required by 
  9.10  law. 
  9.11     (b) Public notice of a proposed business subsidy under this 
  9.12  subdivision by a state government grantor, other than the iron 
  9.13  range resources and rehabilitation board, must be published in 
  9.14  the State Register.  Public notice of a proposed business 
  9.15  subsidy under this subdivision by a local government grantor or 
  9.16  the iron range resources and rehabilitation board must be 
  9.17  published in a local newspaper of general circulation.  The 
  9.18  public notice must identify the location at which information 
  9.19  about the business subsidy, including a copy summary of 
  9.20  the terms of the subsidy agreement, is available.  Published 
  9.21  notice should be sufficiently conspicuous in size and placement 
  9.22  to distinguish the notice from the surrounding text.  The 
  9.23  grantor must make the information available in printed paper 
  9.24  copies and, if possible, on the Internet.  The government agency 
  9.25  must provide at least a ten-day notice for the public hearing. 
  9.26     (c) The public notice must include the date, time, and 
  9.27  place of the hearing. 
  9.28     (d) The public hearing by a state government grantor other 
  9.29  than the iron range resources and rehabilitation board must be 
  9.30  held in St. Paul. 
  9.31     (e) If more than one nonstate grantor provides a business 
  9.32  subsidy to the same recipient, the nonstate grantors may 
  9.33  designate one nonstate grantor to hold a single public hearing 
  9.34  regarding the business subsidies provided by all nonstate 
  9.35  grantors.  For the purposes of this paragraph, "nonstate 
  9.36  grantor" includes the iron range resources and rehabilitation 
 10.1   board. 
 10.2      Sec. 10.  Minnesota Statutes 1999 Supplement, section 
 10.3   116J.994, subdivision 6, is amended to read: 
 10.4      Subd. 6.  [FAILURE TO MEET GOALS.] The subsidy agreement 
 10.5   must specify the recipient's obligation if the recipient does 
 10.6   not fulfill the agreement.  At a minimum, the agreement must 
 10.7   require a recipient failing to meet subsidy agreement goals to 
 10.8   pay back the assistance plus interest to the grantor or, at the 
 10.9   grantor's option, to the account created under section 116J.551 
 10.10  provided that repayment may be prorated to reflect partial 
 10.11  fulfillment of goals.  The interest rate must be set at no less 
 10.12  than the implicit price deflator as defined under section 
 10.13  275.70, subdivision 2.  The grantor, after a public hearing, may 
 10.14  extend for up to one year the period for meeting the goals 
 10.15  provided in a subsidy agreement. 
 10.16     A recipient that fails to meet the terms of a subsidy 
 10.17  agreement may not receive a business subsidy from any grantor 
 10.18  for a period of five years from the date of failure or until a 
 10.19  recipient satisfies its repayment obligation under this 
 10.20  subdivision, whichever occurs first.  
 10.21     Before a grantor signs a business subsidy agreement, the 
 10.22  grantor must check with the compilation and summary report 
 10.23  required by this section to determine if the recipient is 
 10.24  eligible to receive a business subsidy. 
 10.25     Sec. 11.  Minnesota Statutes 1999 Supplement, section 
 10.26  116J.994, subdivision 7, is amended to read: 
 10.27     Subd. 7.  [REPORTS BY RECIPIENTS TO GRANTORS.] (a) A 
 10.28  business subsidy grantor must monitor the progress by the 
 10.29  recipient in achieving agreement goals. 
 10.30     (b) A recipient must provide information regarding goals 
 10.31  and results for two years after the benefit date or until the 
 10.32  goals are met, whichever is later.  If the goals are not met, 
 10.33  the recipient must continue to provide information on the 
 10.34  subsidy until the subsidy is repaid.  The information must be 
 10.35  filed on forms developed by the commissioner in cooperation with 
 10.36  representatives of local government.  Copies of the completed 
 11.1   forms must be sent to the commissioner and the local government 
 11.2   agency that provided the business subsidy to the local 
 11.3   government agency that provided the subsidy or to the 
 11.4   commissioner if the grantor is a state agency.  The report must 
 11.5   include: 
 11.6      (1) the type, public purpose, and amount of subsidies and 
 11.7   type of district, if the subsidy is tax increment financing; 
 11.8      (2) the hourly wage of each job created with separate bands 
 11.9   of wages; 
 11.10     (3) the sum of the hourly wages and cost of health 
 11.11  insurance provided by the employer with separate bands of wages; 
 11.12     (4) the date the job and wage goals will be reached; 
 11.13     (5) a statement of goals identified in the subsidy 
 11.14  agreement and an update on achievement of those goals; 
 11.15     (6) the location of the recipient prior to receiving the 
 11.16  business subsidy; 
 11.17     (7) why the recipient did not complete the project outlined 
 11.18  in the subsidy agreement at their previous location, if the 
 11.19  recipient was previously located at another site in Minnesota; 
 11.20     (8) the name and address of the parent corporation of the 
 11.21  recipient, if any; 
 11.22     (9) a list of all financial assistance by all grantors for 
 11.23  the project; and 
 11.24     (10) other information the commissioner may request. 
 11.25  A report must be filed no later than March 1 of each year for 
 11.26  the previous year and within 30 days after the deadline for 
 11.27  meeting the job and wage goals.  The local agency must forward 
 11.28  copies of the reports received by recipients to the commissioner 
 11.29  by April 1.  
 11.30     (c) Financial assistance that is excluded from the 
 11.31  definition of "business subsidy" by section 116J.993, 
 11.32  subdivision 3, clauses (4), (5), (8), and (16) is subject to the 
 11.33  reporting requirements of this subdivision, except that the 
 11.34  report of the recipient must include instead:  
 11.35     (1) the type, public purpose, and amount of the financial 
 11.36  assistance, and type of district if the subsidy assistance is 
 12.1   tax increment financing; 
 12.2      (2) progress towards meeting goals stated in the subsidy 
 12.3   assistance agreement and the public purpose of the assistance; 
 12.4      (3) if the agreement includes job creation, the hourly wage 
 12.5   of each job created with separate bands of wages; 
 12.6      (4) if the agreement includes job creation, the sum of the 
 12.7   hourly wages and cost of health insurance provided by the 
 12.8   employer with separate bands of wages; 
 12.9      (5) the location of the recipient prior to receiving the 
 12.10  assistance; and 
 12.11     (6) other information the grantor requests. 
 12.12     (d) If the recipient does not submit its report, the local 
 12.13  government agency must mail the recipient a warning within one 
 12.14  week of the required filing date.  If, after 14 days of the 
 12.15  postmarked date of the warning, the recipient fails to provide a 
 12.16  report, the recipient must pay to the grantor a penalty of $100 
 12.17  for each subsequent day until the report is filed.  The maximum 
 12.18  penalty shall not exceed $1,000.  
 12.19     Sec. 12.  Minnesota Statutes 1999 Supplement, section 
 12.20  116J.994, subdivision 8, is amended to read: 
 12.21     Subd. 8.  [REPORTS BY GRANTORS.] (a) Local government 
 12.22  agencies of a local government with a population of more than 
 12.23  2,500 and state government agencies, regardless of whether or 
 12.24  not they have awarded any business subsidies, must file a report 
 12.25  by April 1 of each year with the commissioner.  Local government 
 12.26  agencies of a local government with a population of 2,500 or 
 12.27  less are exempt from filing this report if they have not awarded 
 12.28  a business subsidy in the past five years.  The local government 
 12.29  agency report must include a list of recipients that did not 
 12.30  complete the recipient report required under subdivision 7 and a 
 12.31  list of recipients that have not met their job and wage goals 
 12.32  within two years and the steps being taken to bring them into 
 12.33  compliance or to recoup the subsidy.  
 12.34     If the commissioner has not received the report by April 1 
 12.35  from an entity required to report, the commissioner shall issue 
 12.36  a warning to the government agency.  If the commissioner has 
 13.1   still not received the report by June 1 of that same year from 
 13.2   an entity required to report, then that government agency may 
 13.3   not award any business subsidies until the report has been filed.
 13.4      (b) The commissioner of trade and economic development must 
 13.5   provide information on reporting requirements to state and local 
 13.6   government agencies. 
 13.7      Sec. 13.  Minnesota Statutes 1999 Supplement, section 
 13.8   116J.994, subdivision 9, is amended to read: 
 13.9      Subd. 9.  [COMPILATION AND SUMMARY REPORT.] The department 
 13.10  of trade and economic development must publish a compilation and 
 13.11  summary of the results of the reports for the previous calendar 
 13.12  year by July August 1 of each year.  The reports of the 
 13.13  government agencies to the department and the compilation and 
 13.14  summary report of the department must be made available to the 
 13.15  public. 
 13.16     The commissioner must coordinate the production of reports 
 13.17  so that useful comparisons across time periods and across 
 13.18  grantors can be made.  The commissioner may add other 
 13.19  information to the report as the commissioner deems necessary to 
 13.20  evaluate business subsidies.  Among the information in the 
 13.21  summary and compilation report, the commissioner must include: 
 13.22     (1) total amount of subsidies awarded in each development 
 13.23  region of the state; 
 13.24     (2) distribution of business subsidy amounts by size of the 
 13.25  business subsidy; 
 13.26     (3) distribution of business subsidy amounts by time 
 13.27  category, such as monthly or quarterly; 
 13.28     (4) distribution of subsidies by type and by public 
 13.29  purpose; 
 13.30     (5) percent of all business subsidies that reached their 
 13.31  goals; 
 13.32     (6) percent of business subsidies that did not reach their 
 13.33  goals by two years from the benefit date; 
 13.34     (7) total dollar amount of business subsidies that did not 
 13.35  meet their goals after two years from the benefit date; 
 13.36     (8) percent of subsidies that did not meet their goals and 
 14.1   that did not receive repayment; 
 14.2      (9) list of recipients that have failed to meet the terms 
 14.3   of a subsidy agreement in the past five years and have not 
 14.4   satisfied their repayment obligations; 
 14.5      (10) number of part-time and full-time jobs within separate 
 14.6   bands of wages; and 
 14.7      (11) benefits paid within separate bands of wages. 
 14.8      Sec. 14.  Minnesota Statutes 1999 Supplement, section 
 14.9   116J.995, is amended to read: 
 14.10     116J.995 [ECONOMIC GRANTS.] 
 14.11     An appropriation rider in an appropriation to the 
 14.12  department of trade and economic development that specifies that 
 14.13  the appropriation be granted to a particular business or class 
 14.14  of businesses must contain a statement of the expected benefits 
 14.15  associated with the grant.  At a minimum, the statement must 
 14.16  include goals for the number of jobs created, wages paid, and 
 14.17  the tax revenue increases due to the grant.  The wage and job 
 14.18  goals must contain specific goals to be attained within two 
 14.19  years of the benefit date.  The statement must specify the 
 14.20  recipient's obligation if the recipient does not attain the 
 14.21  goals.  At a minimum, the statement must require a recipient 
 14.22  failing to meet the job and wage goals to pay back the 
 14.23  assistance plus interest to the department of trade and economic 
 14.24  development provided that repayment may be prorated to reflect 
 14.25  partial fulfillment of goals.  The interest rate must be set at 
 14.26  the implicit price deflator defined under section 275.70, 
 14.27  subdivision 2.  The legislature, after a public hearing, may 
 14.28  extend for up to one year the period for meeting the goals 
 14.29  provided in the statement. 
 14.30     Sec. 15.  Minnesota Statutes 1998, section 116L.04, 
 14.31  subdivision 1, is amended to read: 
 14.32     Subdivision 1.  [PARTNERSHIP PROGRAM.] (a) The partnership 
 14.33  program may provide grants-in-aid to educational or other 
 14.34  nonprofit training educational institutions using the following 
 14.35  guidelines:  
 14.36     (1) the educational or other nonprofit educational 
 15.1   institution is a provider of training within the state in either 
 15.2   the public or private sector; 
 15.3      (2) the program involves skills training that is an area of 
 15.4   employment need; and 
 15.5      (3) preference will be given to educational or other 
 15.6   nonprofit training institutions which serve economically 
 15.7   disadvantaged people, minorities, or those who are victims of 
 15.8   economic dislocation and to businesses located in rural areas.  
 15.9      (b) A single grant to any one institution shall not exceed 
 15.10  $400,000.  
 15.11     Sec. 16.  [136F.77] [EQUITY INVESTMENTS.] 
 15.12     Subdivision 1.  The board may acquire an interest in a 
 15.13  product or a private business entity for the purpose of 
 15.14  developing and providing educational materials and related 
 15.15  programs or services to further the mission of the Minnesota 
 15.16  state colleges and universities and foster the economic growth 
 15.17  of the state.  The board may enter into joint venture agreements 
 15.18  with private corporations to develop educational materials and 
 15.19  related programs or services.  Any proceeds from such 
 15.20  investments or ventures are appropriated to the board.  The 
 15.21  state is not liable for any obligations or liabilities that 
 15.22  arise from investments pursuant to this section.  The board must 
 15.23  report annually by September 1 to the legislature regarding its 
 15.24  earnings from partnerships and the disposition of those earnings.
 15.25     Subd. 2.  Prior to entering into a joint venture agreement 
 15.26  under this section, the board shall consult with appropriate 
 15.27  exclusive bargaining representatives and must address topics 
 15.28  such as employee protections, instructional services, 
 15.29  information availability and reporting conflicts of interest. 
 15.30     Subd. 3.  Nothing in this section shall abrogate the 
 15.31  provisions of sections 43A.047 and 136F.581. 
 15.32     Sec. 17.  [144.994] [PROFESSIONAL BOXING REGULATION.] 
 15.33     Subdivision 1.  [GENERALLY.] The commissioner of health 
 15.34  shall regulate professional boxing matches in Minnesota.  For 
 15.35  the purposes of this section, "professional boxing matches" 
 15.36  means boxing contests held in Minnesota between individuals for 
 16.1   financial compensation, but does not include boxing contests 
 16.2   regulated by an amateur sports organization. 
 16.3      Subd. 2.  [COMPLIANCE WITH FEDERAL LAW.] The commissioner 
 16.4   shall act as Minnesota's state boxing commission for the 
 16.5   purposes of the Professional Boxing Safety Act, United States 
 16.6   Code, title 15, sections 6301 to 6313, and shall ensure that 
 16.7   safety standards, registration procedures, and other regulations 
 16.8   required by federal law are sufficient to protect the health and 
 16.9   safety of boxers. 
 16.10     Subd. 3.  [LIMITATION.] The commissioner shall not impose 
 16.11  regulations substantially more stringent than necessary to 
 16.12  protect boxers' health and safety and to fully comply with 
 16.13  federal requirements. 
 16.14     Sec. 18.  [182.6545] [RIGHTS OF NEXT OF KIN UPON DEATH.] 
 16.15     In the case of a death of an employee, the department shall 
 16.16  make reasonable efforts to locate the employee's next of kin and 
 16.17  shall mail to them copies of the following: 
 16.18     (1) citations and notification of penalty; 
 16.19     (2) notices of hearings; 
 16.20     (3) complaints and answers; 
 16.21     (4) settlement agreements; 
 16.22     (5) orders and decisions; and 
 16.23     (6) notices of appeals. 
 16.24     In addition, the next of kin shall have the right to 
 16.25  request a consultation with the department regarding citations 
 16.26  and notification of penalties issued as a result of the 
 16.27  investigation of the employee's death.  For the purposes of this 
 16.28  section, "next of kin" refers to the nearest proper relative as 
 16.29  that term is defined by section 253B.03, subdivision 6, 
 16.30  paragraph (c). 
 16.31     Sec. 19.  Minnesota Statutes 1998, section 182.661, 
 16.32  subdivision 1, is amended to read: 
 16.33     Subdivision 1.  If, after an inspection or investigation, 
 16.34  the commissioner issues a citation under section 182.66, the 
 16.35  commissioner shall notify the employer by certified mail of the 
 16.36  penalty, if any, proposed to be assessed under section 182.666 
 17.1   and that the employer has 20 calendar days within which to file 
 17.2   a notice of contest and certification of service, on a form 
 17.3   provided by the commissioner, indicating that the employer 
 17.4   wishes to contest the citation, type of violation, proposed 
 17.5   assessment of penalty, or the period of time fixed in the 
 17.6   citation given for correction of violation.  A copy of the 
 17.7   citation and the proposed assessment of penalty shall also be 
 17.8   mailed to the authorized employee representative and including, 
 17.9   in the case of the death of an employee, to the next of kin if 
 17.10  requested.  If within 20 calendar days from the receipt of the 
 17.11  penalty notice issued by the commissioner the employer fails to 
 17.12  file the notice of contest, and no notice of contest is filed by 
 17.13  any employee or authorized representative of employees under 
 17.14  subdivision 3 within such time, the citation and assessment, as 
 17.15  proposed, shall be deemed a final order of the commissioner and 
 17.16  not subject to review by any court or agency. 
 17.17     Sec. 20.  Minnesota Statutes 1998, section 182.666, 
 17.18  subdivision 2, is amended to read: 
 17.19     Subd. 2.  Any employer who has received a citation for a 
 17.20  serious violation of its duties under section 182.653, or any 
 17.21  standard, rule, or order adopted under the authority of the 
 17.22  commissioner as provided in this chapter, shall be assessed a 
 17.23  fine not to exceed $7,000 for each violation.  If the violation 
 17.24  causes or contributes to the cause of the death of an employee, 
 17.25  the employer shall be assessed a fine of up to $25,000. 
 17.26     Sec. 21.  Minnesota Statutes 1998, section 182.666, is 
 17.27  amended by adding a subdivision to read: 
 17.28     Subd. 2a.  Notwithstanding any other provision of this 
 17.29  section, if any (1) serious, willful, or repeated violation 
 17.30  other than a violation of section 182.653, subdivision 2; or (2) 
 17.31  any failure to correct a violation pursuant to subdivision 4 
 17.32  causes or contributes to the death of an employee, the minimum 
 17.33  total nonnegotiable fine which shall be assessed for all 
 17.34  citations connected to the death of an employee is $50,000 if 
 17.35  there is a willful or repeated violation or $25,000 if there is 
 17.36  no willful or repeated violation. 
 18.1      Sec. 22.  Minnesota Statutes 1998, section 216C.051, 
 18.2   subdivision 9, is amended to read: 
 18.3      Subd. 9.  [EXPIRATION.] This section is repealed June 30 
 18.4   March 15, 2000 2001. 
 18.5      Sec. 23.  Minnesota Statutes 1998, section 216C.41, 
 18.6   subdivision 3, is amended to read: 
 18.7      Subd. 3.  [ELIGIBILITY WINDOW.] Payments may be made under 
 18.8   this section only for electricity generated: 
 18.9      (a) from a qualified hydroelectric facility that is 
 18.10  operational and generating electricity before January 1 December 
 18.11  31, 2001; or 
 18.12     (b) from a qualified wind energy conversion facility that 
 18.13  is operational and generating electricity before January 1, 2005.
 18.14     Sec. 24.  Minnesota Statutes 1998, section 268.362, 
 18.15  subdivision 2, is amended to read: 
 18.16     Subd. 2.  [GRANT APPLICATIONS; AWARDS.] Interested eligible 
 18.17  organizations must apply to the commissioner for the grants.  
 18.18  The advisory committee must review the applications and provide 
 18.19  to the commissioner a list of recommended eligible organizations 
 18.20  that the advisory committee determines meet the requirements for 
 18.21  receiving a grant.  The total grant award for any program may 
 18.22  not exceed $80,000 $150,000 per year.  In awarding grants, the 
 18.23  advisory committee and the commissioner must give priority to: 
 18.24     (1) continuing and expanding effective programs by 
 18.25  providing grant money to organizations that are operating or 
 18.26  have operated a successful program that meets the program 
 18.27  purposes under section 268.364; and 
 18.28     (2) distributing programs throughout the state through 
 18.29  start-up grants for programs in areas that are not served by an 
 18.30  existing program. 
 18.31     To receive a grant under this section, the eligible 
 18.32  organization must match the grant money with at least an equal 
 18.33  amount of nonstate money.  The commissioner must verify that the 
 18.34  eligible organization has matched the grant money.  Nothing in 
 18.35  this subdivision shall prevent an eligible organization from 
 18.36  applying for and receiving grants for more than one program.  A 
 19.1   grant received by an eligible organization from the federal 
 19.2   Youthbuild Project under United States Code, title 42, section 
 19.3   5091, is nonstate money and may be used to meet the state match 
 19.4   requirement.  State grant money awarded under this section may 
 19.5   be used by grantee organizations for match requirements of a 
 19.6   federal Youthbuild Project. 
 19.7      Sec. 25.  Minnesota Statutes 1999 Supplement, section 
 19.8   268.98, subdivision 3, is amended to read: 
 19.9      Subd. 3.  [COST LIMITATIONS.] (a) For purposes of sections 
 19.10  268.9781 and 268.9782, funds allocated to a grantee are subject 
 19.11  to the following limitations: 
 19.12     (1) a maximum of 15 percent for administration in a worker 
 19.13  adjustment services plan and ten percent in a dislocation event 
 19.14  services grant; 
 19.15     (2) a minimum of 50 percent for provision of training 
 19.16  assistance; 
 19.17     (3) no more than ten percent statewide may be allocated 
 19.18  annually a maximum of 15 percent for support services, as 
 19.19  defined in section 268.975, subdivision 13; and 
 19.20     (4) the balance used for provision of basic readjustment 
 19.21  assistance. 
 19.22     (b) A waiver of the cost limitation on providing training 
 19.23  assistance may be requested.  The waiver may not permit less 
 19.24  than 30 percent of the funds be spent on training assistance. 
 19.25     (c) The commissioner shall prescribe the form and manner 
 19.26  for submission of an application for a waiver under paragraph 
 19.27  (b).  Criteria for granting a waiver shall be established by the 
 19.28  commissioner in consultation with the workforce development 
 19.29  council. 
 19.30     Sec. 26.  Laws 1997, chapter 200, article 1, section 5, 
 19.31  subdivision 3, is amended to read:  
 19.32  Subd. 3.  State Services for the Blind 
 19.33       3,735,000      3,816,000
 19.34  This appropriation may be supplemented 
 19.35  by funds provided by the Friends of the 
 19.36  Communication Center, for support of 
 19.37  Services for the Blind's Communication 
 19.38  Center, which serves all blind and 
 20.1   visually handicapped Minnesotans.  The 
 20.2   commissioner shall report to the 
 20.3   legislature on a biennial basis the 
 20.4   funds provided by the Friends of the 
 20.5   Communication Center. 
 20.6   The commissioner may not require 
 20.7   employees to participate in intensive 
 20.8   blindness sensitivity training in which 
 20.9   the employees are blindfolded or 
 20.10  otherwise simulate blindness, unless 
 20.11  the employee is a manager or counselor; 
 20.12  except that the commissioner may 
 20.13  require the training for up to 14 
 20.14  employees who are not managers or 
 20.15  counselors but have direct contact with 
 20.16  blind clients seeking services, and up 
 20.17  to four employees at the store located 
 20.18  at the state services for the blind. 
 20.19  A person may not serve more than a 
 20.20  total of six consecutive years as a 
 20.21  member of the rehabilitation advisory 
 20.22  council for the blind or its 
 20.23  predecessor, the council for the 
 20.24  blind.  Service prior to the effective 
 20.25  date of this section is included in the 
 20.26  six-year limit, except that a person 
 20.27  currently serving on the rehabilitation 
 20.28  advisory council for the blind may 
 20.29  serve out the person's current term and 
 20.30  serve one additional term After six 
 20.31  consecutive years of service, a person 
 20.32  may not be reappointed to the council 
 20.33  until a period of one year has elapsed. 
 20.34     Sec. 27.  Laws 1999, chapter 223, article 2, section 81, as 
 20.35  amended by Laws 1999, chapter 249, section 12, is amended to 
 20.36  read: 
 20.37     Sec. 81.  [EFFECTIVE DATES.] 
 20.38     Section 48 is effective March 1, 2000. 
 20.39     Sections 59, 61, 62, 64, 65, and 79 are effective the day 
 20.40  following final enactment.  
 20.41     Section 67 is effective June 30, 1999. 
 20.42     Section 80, paragraph (a), is effective July 1, 1999. 
 20.43     Section 80, paragraphs paragraph (b) and (c), are is 
 20.44  effective July 1, 2000. 
 20.45     Section 80, paragraph (c), is effective July 1, 2001. 
 20.46     Sec. 28.  Laws 1999, chapter 223, article 3, section 8, is 
 20.47  amended to read: 
 20.48     Sec. 8.  [EFFECTIVE DATE.] 
 20.49     Sections 1, and 2, and 5 are effective July 1, 2000. 
 20.50     Section 5 is effective July 1, 2001. 
 20.51     Sec. 29.  [COMMISSIONER OF FINANCE TO CONSULT WITH 
 21.1   MINNESOTA HISTORICAL SOCIETY.] 
 21.2      The commissioner of finance shall consult with the 
 21.3   commissioner of employee relations and the Minnesota Historical 
 21.4   society to consider the causes of ongoing shortfalls in the 
 21.5   salary and benefit accounts at the Minnesota Historical Society, 
 21.6   and to compare the salaries and benefits at agencies in other 
 21.7   states that have comparable missions.  The commissioner shall 
 21.8   report findings, including recommendations, to the legislature 
 21.9   by December 31, 2000. 
 21.10     Sec. 30.  [ASSUMPTION OF RESPONSIBILITIES BY COMMISSIONER 
 21.11  OF HEALTH.] 
 21.12     The commissioner of health shall consult with appropriate 
 21.13  knowledgeable individuals on an ongoing basis regarding the 
 21.14  development and enforcement of boxing regulations.  
 21.15     Sec. 31.  [UPPER RED LAKE BUSINESS LOAN PROGRAM.] 
 21.16     The appropriation to the commissioner of trade and economic 
 21.17  development in Laws 1999, chapter 223, article 1, section 2, 
 21.18  subdivision 4, for the Upper Red Lake business loan program is 
 21.19  available until December 31, 2000, and applications for grants 
 21.20  under that program may be accepted until that date. 
 21.21     Sec. 32.  [WORKFORCE CENTER LOCATIONS.] 
 21.22     The commissioner of the department of administration shall 
 21.23  assist the commissioner of economic security and the board of 
 21.24  trustees of the Minnesota state colleges and universities system 
 21.25  to develop and report to the legislature by January 15, 2001, on 
 21.26  a ten-year plan for the possible location of workforce centers 
 21.27  or affiliate locations on Minnesota college and university 
 21.28  campuses where appropriate.  
 21.29     The plan must identify space requirements, current 
 21.30  workforce center lease expiration dates, and the campuses that 
 21.31  can immediately accommodate workforce centers, and recommend 
 21.32  timelines for colocating workforce centers with Minnesota state 
 21.33  colleges and universities system facilities.  
 21.34     If additional space would be required to accommodate the 
 21.35  workforce center, the plan must outline alternative capital 
 21.36  financing mechanisms, including private build-lease. 
 22.1      Sec. 33.  [WORKFORCE DEVELOPMENT TASK FORCE.] 
 22.2      Subdivision 1.  [ESTABLISHMENT.] The workforce development 
 22.3   task force is established to study workforce development 
 22.4   issues.  The purposes of the task force are to review the 
 22.5   recommendations of the governor's minicabinet on workforce 
 22.6   development, to develop and propose a cohesive workforce 
 22.7   development strategy for Minnesota, to communicate with 
 22.8   interested parties including state agencies, nonprofit providers 
 22.9   of job training services, members of the public, local workforce 
 22.10  investment boards, and organized labor, and to prepare 
 22.11  recommendations for the 2001 legislative session, including the 
 22.12  budget process.  
 22.13     Subd. 2.  [MEMBERSHIP.] (a) The task force consists of 15 
 22.14  members appointed as follows:  
 22.15     (1) three public members appointed by the governor, one of 
 22.16  which must be a representative of organized labor and one of 
 22.17  which must be a representative of the business community; 
 22.18     (2) the chair of the governor's workforce development 
 22.19  council; 
 22.20     (3) the director of the Minnesota office of strategic and 
 22.21  long-range planning, or a designee; 
 22.22     (4) four state representatives appointed by the speaker of 
 22.23  the house; two of which must be members of the minority caucus; 
 22.24  and 
 22.25     (5) four state senators appointed by the subcommittee on 
 22.26  committees of the senate committee on rules and administration, 
 22.27  two of which must be members of the minority caucus.  
 22.28     (b) Compensation and removal of members is as provided by 
 22.29  Minnesota Statutes, section 15.059.  
 22.30     Subd. 3.  [ADMINISTRATION.] The Minnesota office of 
 22.31  strategic and long-range planning shall provide staff support 
 22.32  and other assistance for this task force.  
 22.33     Subd. 4.  [REPORT.] The task force shall report its 
 22.34  findings to the legislature by February 1, 2001.  
 22.35     Subd. 5.  [EXPIRATION.] The task force expires on June 30, 
 22.36  2001. 
 23.1      Sec. 34.  [EFFECTIVE DATES.] 
 23.2      Section 17 is effective July 1, 2001.  Sections 22, 27, 28, 
 23.3   30, and 33 are effective the day following final enactment.