SF 4563

2nd Engrossment - 91st Legislature (2019 - 2020) Posted on 05/13/2020 08:11am

A bill for an act
relating to state finances; changing the source of COVID-19 appropriations and
transfers to federal funds; canceling general fund appropriations and transfers;
appropriating money; amending Laws 2020, chapter 70, article 2, section 2; Laws
2020, chapter 71, article 1, sections 2, subdivision 9; 3; 4; 5; 10; repealing Laws
2020, chapter 66, section 1; Laws 2020, chapter 70, article 1, section 3; Laws 2020,
chapter 74, article 1, section 3.

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

Section 1.

Laws 2020, chapter 70, article 2, section 2, is amended to read:

Sec. 2. TRANSFER; HEALTH CARE RESPONSE FUND.

The commissioner of management and budget shall make a onetime transfer in fiscal
year 2020 of $150,000,000 from the deleted text begin general deleted text end new text begin coronavirus relief federal new text end fund to the health
care response fund under section 1, for the uses specified in section 1. deleted text begin Any unobligated and
unexpended amount in the fund on February 1, 2021, shall transfer to the general fund.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to March 18, 2020.
new text end

Sec. 2.

Laws 2020, chapter 71, article 1, section 2, subdivision 9, is amended to read:

Subd. 9.

Appropriation.

(a) $29,964,000 in fiscal year 2020 is appropriated from the
deleted text begin general deleted text end new text begin coronavirus relief federal new text end fund to the commissioner of human services for grants
under this section. Of this amount, up to $450,000 is for Child Care Aware to administer
the grants in accordance with subdivision 1.

(b) This is a onetime appropriation and is available until December deleted text begin 31 deleted text end new text begin 30 new text end , 2020.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to March 29, 2020.
new text end

Sec. 3.

Laws 2020, chapter 71, article 1, section 3, is amended to read:

Sec. 3. MILITARY VETERANS COVID-19 RESPONSE ASSISTANCE.

(a) $6,200,000 in fiscal year 2020 is appropriated from the deleted text begin general deleted text end new text begin coronavirus relief
federal new text end fund to the commissioner of veterans affairs. The commissioner of veterans affairs
must use the amount appropriated under this section to provide financial assistance to any
veteran or a surviving spouse of a veteran in need of assistance as a result of COVID-19.
The COVID-19-related assistance authorized under this section may be used for emergency
financial relief, hospitalization assistance, medical care or treatment, or any other
COVID-19-related assistance as determined by the commissioner.

(b) For purposes of this section, "veteran" means an individual who qualifies as a veteran
under Minnesota Statutes, section 197.447, and who meets the residency requirements in
Minnesota Statutes, section 197.05, paragraph (b).

(c) An individual's eligibility or level of assistance under this section shall not be limited
because the individual has previously received assistance under the State Soldiers' Assistance
Fund program.

(d) The amount appropriated under this section is available until deleted text begin June 30, 2021 deleted text end new text begin December
30, 2020 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to March 29, 2020.
new text end

Sec. 4.

Laws 2020, chapter 71, article 1, section 4, is amended to read:

Sec. 4. APPROPRIATION; FOOD SHELF PROGRAMS.

(a) $9,000,000 in fiscal year 2020 is appropriated from the deleted text begin general deleted text end new text begin coronavirus relief
federal new text end fund to the commissioner of human services for food shelf programs under Minnesota
Statutes, section 256E.34, to address food bank, food shelf, and transportation needs in
responding to the COVID-19 pandemic. Hunger Solutions shall allocate funds to food banks,
food shelves, and transportation organizations in accordance with this section and report to
the commissioner regarding distribution and use of funds. Grant funds shall be used as
follows:

(1) to support regional food banks to enable specialized responses to community needs;

(2) to allow food shelves to purchase food, diapers, toilet paper, and other necessary
supplies and to enable specialized responses to community needs; and

(3) to support a network of transportation organizations to assist in the distribution of
food and supplies from food banks and food shelves to persons affected by the COVID-19
pandemic.

(b) At least $3,000,000 of this appropriation must be used for activities described in
paragraph (a), clause (1).

(c) This is a onetime appropriation and is available until deleted text begin June 30, 2021 deleted text end new text begin December 30,
2020 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to March 29, 2020.
new text end

Sec. 5.

Laws 2020, chapter 71, article 1, section 5, is amended to read:

Sec. 5. APPROPRIATION; HOUSING SUPPORT.

(a) $5,530,000 in fiscal year 2020 is appropriated from the deleted text begin general deleted text end new text begin coronavirus relief
federal new text end fund to the commissioner of human services to increase room and board limits and
rates and supplementary service limits and rates under Minnesota Statutes, section 256I.05,
subdivisions 1 and 1a, by 15 percent for three consecutive months for purposes of maintaining
access to room and board from March 1, 2020, through May 31, 2020, including activities
necessary to comply with federal and state health and safety guidance, in response to the
COVID-19 pandemic. This is a onetime appropriation.

(b) Prior to October 1, 2020, providers must submit documentation demonstrating
increased funding was used for needs related to COVID-19 for the time period from March
1, 2020, through May 31, 2020.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to March 29, 2020.
new text end

Sec. 6.

Laws 2020, chapter 71, article 1, section 10, is amended to read:

Sec. 10. TRIBAL NATIONS GRANTS.

(a) $11,000,000 in fiscal year 2020 is appropriated from the deleted text begin general deleted text end new text begin coronavirus relief
federal new text end fund to the commissioner of revenue for grants to fund emergency response activities
in response to the infectious disease known as COVID-19. The commissioner of revenue
may provide grants under this section of up to $1,000,000 to the governing body of the:

(1) Fond du Lac Band;

(2) Grand Portage Band;

(3) Mille Lacs Band;

(4) White Earth Band;

(5) Bois Fort Nett Lake Band;

(6) Leech Lake Band;

(7) Red Lake Nation;

(8) Upper Sioux Community;

(9) Lower Sioux Community;

(10) Shakopee-Mdewakanton Sioux Community; and

(11) Prairie Island Mdewakanton Dakota Community.

(b) Each tribal nation must use the grant received under paragraph (a) for activities that
mitigate the immediate health and economic impacts of COVID-19. These activities include
but are not limited to (1) reimbursable activities under the Robert T. Stafford Disaster Relief
and Emergency Assistance Act, as amended, and (2) securing basic needs, including but
not limited to food and shelter, for tribal members.

(c) To receive a grant a tribe must apply to the commissioner of revenue by April 1,
2020. The grant application must state the amount of the request up to a maximum of
$1,000,000. As part of the application the tribe must agree to spend the grant money for
activities that mitigate the immediate health and economic impacts of COVID-19.

(d) Any portion of the $11,000,000 appropriated under this section that is not applied
for by April 1, 2020, must be paid in equal share to all tribes that have timely applied for a
grant.

(e) The commissioner of revenue must distribute the grant payments on or before April
8, 2020.

(f) By April 14, 2020, a recipient of a grant under this section must provide a report to
the commissioner of revenue in the form prescribed by the commissioner of revenue. The
commissioner of revenue must compile and provide the reports to the chairs and ranking
minority members of the legislative committees with jurisdiction over taxes.

(g) The appropriation under this section is onetime.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to March 29, 2020.
new text end

Sec. 7. new text begin SECOND HARVEST FOOD BANK GRANTS.
new text end

new text begin (a) $1,250,000 is appropriated in fiscal year 2020 from the coronavirus relief federal
fund to the commissioner of agriculture for grants to Second Harvest Heartland on behalf
of Minnesota's six Feeding America food banks. This is a onetime appropriation.
new text end

new text begin (b) The appropriation under paragraph (a) must be used for the following:
new text end

new text begin (1) to purchase milk for distribution to Minnesota's food shelves and other charitable
organizations that are eligible to receive food from the food banks. Milk purchased under
the grants must be acquired from Minnesota milk processors and based on low-cost bids.
The milk must be allocated to each Feeding America food bank serving Minnesota according
to the formula used in the distribution of United States Department of Agriculture
commodities under the federal Emergency Food Assistance Program. Second Harvest
Heartland may enter into contracts or agreements with food banks for shared funding or
reimbursement of the direct purchase of milk. Each food bank that receives funding under
this clause may use up to two percent for administrative expenses; or
new text end

new text begin (2) to purchase and distribute protein products, which must be surplus products when
practicable, including but not limited to pork, poultry, beef, dry legumes, cheese, and eggs
to Minnesota's food shelves and other charitable organizations that are eligible to receive
food from the food banks. Second Harvest Heartland may use up to two percent of each
grant awarded under this clause for administrative expenses. To the extent practicable,
protein products purchased under the grants must be acquired from Minnesota processors
and producers and based on low-cost bids.
new text end

new text begin (c) This appropriation is available until December 30, 2020.
new text end

new text begin (d) Second Harvest Heartland must submit quarterly reports required under Laws 2019,
First Special Session chapter 1, article 1, subdivision 5, to the chairs and ranking minority
members of the legislative committees with jurisdiction over agriculture finance.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to April 16, 2020.
new text end

Sec. 8. new text begin CANCELLATION; GENERAL FUND.
new text end

new text begin All appropriations and transfers in Laws 2020, chapters 66, 70, 71, and 74, from the
general fund that are amended in this act to be appropriations and transfers from the
coronavirus relief federal fund are canceled to the general fund.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 9. new text begin COVID-19 MINNESOTA FUND CANCELLATION; COVID-19
MINNESOTA FEDERAL ACCOUNT USE.
new text end

new text begin (a) The commissioner of management and budget shall cancel expenditures authorized
from the COVID-19 Minnesota fund identified as Legislative COVID-19 Response
Commission Action Order No. 7, Legislative COVID-19 Response Commission Action
Order No. 9, and Legislative COVID-19 Response Commission Action Order No. 11.
new text end

new text begin (b) The commissioner of management and budget shall pay for the costs of the action
orders canceled in paragraph (a) from the coronavirus relief federal fund.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 10. new text begin TRANSFERS.
new text end

new text begin $49,207,000 in fiscal year 2020 is transferred from the COVID-19 Minnesota fund to
the general fund. This is a onetime transfer.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 11. new text begin PUBLIC HEALTH CONTINGENCY RESPONSE; FEDERAL FUNDS
APPROPRIATION.
new text end

new text begin (a) $70,889,000 is appropriated from the coronavirus relief federal fund in fiscal year
2020 to the commissioner of health to be used for the public health response related to the
outbreak of the SARS-CoV-2 virus and coronavirus disease. Expenditures shall be subject
to the same uses, determination criteria, and reporting provisions as are required under
Minnesota Statutes, section 144.4199, unless otherwise specified. The appropriation shall
be allocated according to paragraphs (b) and (c). This is a onetime appropriation and is
available until December 30, 2020.
new text end

new text begin (b) $20,889,000 shall be allocated for any pandemic influenza or outbreak of a
communicable or infectious disease that requires a public health response, consistent with
the use of the funds under Minnesota Statutes, section 144.4199. For the purposes of this
appropriation for the SARS-CoV-2 virus and coronavirus disease 2019 (COVID-19), the
determination criteria in Minnesota Statutes, section 144.4199, subdivision 3, and the
requirements of Minnesota Statutes, section 144.4199, subdivision 5, paragraph (a), and
subdivision 7, paragraph (a), do not apply.
new text end

new text begin (c) $50,000,000 shall be allocated for the uses specified in Minnesota Statutes, section
144.4199, subdivision 4a, to plan for, prepare for, or respond to an outbreak of SARS-CoV-2
virus and coronavirus disease 2019 (COVID-19). For the purposes of this appropriation,
the determination criteria in Minnesota Statutes, section 144.4199, subdivision 3, and the
requirements in Minnesota Statutes, section 144.4199, subdivision 5, paragraph (a), and
subdivision 7, do not apply. This appropriation is available until December 30, 2020.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
is retroactive to March 11, 2020.
new text end

Sec. 12. new text begin APPROPRIATION.
new text end

new text begin $49,207,000 in fiscal year 2020 is appropriated from the coronavirus relief federal fund
for expenses related to Legislative COVID-19 Response Commission Action Order No. 7,
Legislative COVID-19 Response Commission Action Order No. 9, and Legislative
COVID-19 Response Commission Action Order No. 11.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 13. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Laws 2020, chapter 66, section 1, new text end new text begin is repealed.
new text end

new text begin (b) new text end new text begin Laws 2020, chapter 70, article 1, section 3, new text end new text begin is repealed.
new text end

new text begin (c) new text end new text begin Laws 2020, chapter 74, article 1, section 3, new text end new text begin is repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Paragraph (a) is effective the day following final enactment and
is retroactive to March 11, 2020. Paragraph (b) is effective the day following final enactment
and is retroactive to March 18, 2020. Paragraph (c) is effective the day following final
enactment and is retroactive to April 16, 2020.
new text end

APPENDIX

Repealed Minnesota Session Laws: S4563-2

Laws 2020, chapter 66, section 1

Section 1. new text begin PUBLIC HEALTH RESPONSE; TRANSFER OF FUNDS. new text end

new text begin The commissioner of management and budget shall transfer $20,889,000 in fiscal year 2020 from the general fund to the public health response contingency account under Minnesota Statutes, section 144.4199, for a public health response related to a potential outbreak of the SARS-CoV-2 virus and coronavirus disease 2019 (COVID-19). This is a onetime transfer. Between the day of enactment of this act and February 1, 2021, up to $4,622,000 of the transfer in this section may be used by the commissioner of health for any pandemic influenza or outbreak of a communicable or infectious disease that requires a public health response, consistent with the use of funds under Minnesota Statutes, section 144.4199. For the purposes of this transfer for the SARS-CoV-2 virus and coronavirus disease 2019 (COVID-19), the determination criteria in Minnesota Statutes, section 144.4199, subdivision 3, and the requirements in Minnesota Statutes, section 144.4199, subdivision 5, paragraph (a), and subdivision 7, paragraph (a), do not apply. Notwithstanding Minnesota Statutes, section 144.4199, subdivision 1, any unobligated and unexpended amount in the contingency account over $5,000,000 on February 1, 2021, shall transfer to the general fund. Any amount remaining in the account after February 1, 2021, is not subject to the restrictions provided in this section, with the exception that, any amount received after February 1, 2021, under the requirement in Minnesota Statutes, section 144.4199, subdivision 5, paragraph (b), attributable to this section shall be transferred to the general fund. new text end

new text begin EFFECTIVE DATE. new text end

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

Laws 2020, chapter 70, article 1, section 3

Sec. 3. new text begin TRANSFER; PUBLIC HEALTH RESPONSE CONTINGENCY ACCOUNT. new text end

new text begin The commissioner of management and budget shall make a onetime transfer in fiscal year 2020 of $50,000,000 from the general fund to the public health response contingency account under Minnesota Statutes, section 144.4199, for the uses specified in Minnesota Statutes, section 144.4199, subdivision 4a, to plan for, prepare for, or respond to an outbreak of SARS-CoV-2 virus and coronavirus disease 2019 (COVID-19). For purposes of this transfer for the SARS-CoV-2 virus and coronavirus disease 2019 (COVID-19), the determination criteria in Minnesota Statutes, section 144.4199, subdivision 3, and the requirements in Minnesota Statutes, section 144.4199, subdivision 5, paragraph (a), and subdivision 7, do not apply. new text end

new text begin EFFECTIVE DATE. new text end

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

Laws 2020, chapter 74, article 1, section 3

Sec. 3.

Laws 2019, First Special Session chapter 1, article 1, section 2, subdivision 5, is amended to read:

Subd. 5. Administration and Financial Assistance

deleted text begin 7,510,000 deleted text end new text begin 8,760,000 new text end

7,508,000

(a) $474,000 the first year and $474,000 the second year are for payments to county and district agricultural societies and associations under Minnesota Statutes, section 38.02, subdivision 1. Aid payments to county and district agricultural societies and associations shall be disbursed no later than July 15 of each year. These payments are the amount of aid from the state for an annual fair held in the previous calendar year.

(b) $2,000 the first year is for a grant to the Minnesota State Poultry Association. This is a onetime appropriation, and is available until June 30, 2021.

(c) $18,000 the first year and $18,000 the second year are for grants to the Minnesota Livestock Breeders Association. These are onetime appropriations.

(d) $47,000 the first year and $47,000 the second year are for the Northern Crops Institute. These appropriations may be spent to purchase equipment. These are onetime appropriations.

(e) $267,000 the first year and $267,000 the second year are for farm advocate services.

(f) $17,000 the first year and $17,000 the second year are for grants to the Minnesota Horticultural Society. These are onetime appropriations.

(g) $250,000 the first year and $250,000 the second year are for transfer to the Board of Trustees of the Minnesota State Colleges and Universities for statewide mental health counseling support to farm families and business operators through the Minnesota State Agricultural Centers of Excellence. South Central College and Central Lakes College shall serve as the fiscal agents. The base amount for this appropriation in fiscal year 2022 and later is $238,000.

(h) deleted text begin $1,700,000 deleted text end new text begin $2,950,000 new text end the first year and $1,700,000 the second year are for grants to Second Harvest Heartland on behalf of Minnesota's six Feeding America food banks for the following:

(1) to purchase milk for distribution to Minnesota's food shelves and other charitable organizations that are eligible to receive food from the food banks. Milk purchased under the grants must be acquired from Minnesota milk processors and based on low-cost bids. The milk must be allocated to each Feeding America food bank serving Minnesota according to the formula used in the distribution of United States Department of Agriculture commodities under The Emergency Food Assistance Program. Second Harvest Heartland may enter into contracts or agreements with food banks for shared funding or reimbursement of the direct purchase of milk. Each food bank that receives funding under this clause may use up to two percent for administrative expenses; deleted text begin and deleted text end

(2) to compensate agricultural producers and processors for costs incurred to harvest and package for transfer surplus fruits, vegetables, and other agricultural commodities that would otherwise go unharvested, be discarded, or sold in a secondary market. Surplus commodities must be distributed statewide to food shelves and other charitable organizations that are eligible to receive food from the food banks. Surplus food acquired under this clause must be from Minnesota producers and processors. Second Harvest Heartland may use up to 15 percent of each grant awarded under this clause for administrative and transportation expenses new text begin ; and new text end

new text begin (3) to purchase and distribute protein products, which must be surplus products when practicable, including but not limited to pork, poultry, beef, dry legumes, cheese, and eggs to Minnesota's food shelves and other charitable organizations that are eligible to receive food from the food banks. Second Harvest Heartland may use up to two percent of each grant awarded under this clause for administrative expenses. To the extent practicable, protein products purchased under the grants must be acquired from Minnesota processors and producers and based on low-cost bids new text end .

Of the amount appropriated under this paragraph, at least $600,000 each year must be allocated under clause (1) new text begin ; and $1,250,000 of the onetime money appropriated in the first year must be allocated under clause (1) or (3) new text end . Notwithstanding Minnesota Statutes, section 16A.28, any unencumbered balance the first year does not cancel and is available in the second year. Second Harvest Heartland must submit quarterly reports to the commissioner new text begin and the chairs and ranking minority members of the legislative committees with jurisdiction over agriculture finance new text end in the form prescribed by the commissioner. The reports must include but are not limited to information on the expenditure of funds, the amount of milk or other commodities purchased, and the organizations to which this food was distributed. The base for this appropriation is $1,650,000 in fiscal year 2022 and $1,650,000 in fiscal year 2023.

(i) $150,000 the first year and $150,000 the second year are for grants to the Center for Rural Policy and Development. These are onetime appropriations.

(j) $250,000 the first year and $250,000 the second year are for grants to the Minnesota Agricultural Education and Leadership Council for programs of the council under Minnesota Statutes, chapter 41D.

(k) The commissioner shall continue to increase connections with ethnic minority and immigrant farmers to farming opportunities and farming programs throughout the state.

new text begin EFFECTIVE DATE. new text end

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