Minnesota Legislature
SF 9
1st Engrossment - 82nd Legislature, 2001 1st Special Session (2001 - 2002) 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 state government; appropriating money for 1.3 the general legislative and administrative expenses of 1.4 state government; modifying provisions relating to 1.5 state and local government operations; modifying 1.6 election, retirement, and pension provisions; amending 1.7 Minnesota Statutes 2000, sections 3.3005, subdivisions 1.8 2, 3, 3a, 4, 5, by adding subdivisions; 3.85, 1.9 subdivision 3; 3.855, subdivision 3; 3.97, subdivision 1.10 3a; 3.979, by adding a subdivision; 3.98, subdivision 1.11 2; 3A.03, subdivision 2; 7.09, subdivision 1; 10A.31, 1.12 subdivision 3a, 7; 11A.18, subdivision 7; 13D.01, 1.13 subdivision 1; 15.0575, subdivision 3, as amended; 1.14 15.059, subdivision 3, as amended; 15A.0815, 1.15 subdivision 1, by adding a subdivision; 16A.06, by 1.16 adding a subdivision; 16A.10, by adding a subdivision; 1.17 16A.152, subdivision 7; 16B.25, subdivision 2; 16B.60, 1.18 subdivision 3, by adding subdivisions; 16B.61, 1.19 subdivision 1, as amended; 16B.65; 16B.70, by adding a 1.20 subdivision; 16B.88, subdivision 1; 16C.02, by adding 1.21 a subdivision; 16C.03, subdivision 2, by adding a 1.22 subdivision; 16C.04, by adding a subdivision; 16C.05, 1.23 subdivision 2; 16C.06, subdivisions 2, 3; 16C.081; 1.24 16C.22; 16E.04, subdivision 2, as amended; 43A.04, by 1.25 adding subdivisions; 43A.047; 69.011, subdivision 1; 1.26 79.34, subdivision 1; 103C.311, subdivision 1; 1.27 136F.07; 136F.40, subdivision 2; 179A.15; 190.06, 1.28 subdivision 1; 190.07; 192.501, subdivision 2; 1.29 193.144, subdivision 6; 193.145, subdivision 4; 1.30 193.148; 197.75, subdivisions 1, 2; 200.02, 1.31 subdivisions 7, 23; 201.016, subdivision 1a; 201.022; 1.32 202A.19, subdivision 1; 203B.04, subdivisions 1, 5; 1.33 203B.06, by adding a subdivision; 203B.07, subdivision 1.34 1; 203B.16, subdivision 1; 203B.17, subdivision 1; 1.35 204B.06, subdivision 1; 204B.07, subdivision 2; 1.36 204B.09, subdivisions 1, 3; 204B.20; 204B.22, 1.37 subdivisions 1, 3; 204B.23; 204B.27, by adding a 1.38 subdivision; 204B.28, subdivision 1; 204C.03, 1.39 subdivision 1; 204C.35; 204C.36, subdivisions 1, 3; 1.40 204D.04, subdivision 2; 204D.09; 204D.11, subdivision 1.41 4; 204D.24, subdivision 2; 205.13, subdivision 1a; 1.42 205.17, by adding a subdivision; 205.185, subdivision 1.43 3; 206.81; 211A.02, subdivision 4; 214.09, subdivision 1.44 3, as amended; 270A.07, subdivision 1; 317A.123, 1.45 subdivision 1; 317A.827, subdivision 2; 349.165, 1.46 subdivisions 1, 3; 352.01, subdivisions 2a, 2b, 11; 2.1 352.113, subdivisions 4, 6; 352.22, subdivision 8; 2.2 352.87, subdivisions 4, 5; 352.95, subdivisions 4, 5, 2.3 7; 352B.01, subdivisions 2, 3, 11; 352B.10, 2.4 subdivision 3; 352B.101; 353.01, subdivisions 1, 2, 2.5 2a, 2b, 6, 7, 11b, 12a, 16, by adding subdivisions; 2.6 353.27, subdivisions 2, 3, 4, 11; 353.86, subdivision 2.7 1; 354.05, subdivisions 2, 13; 354.41, subdivision 4; 2.8 354.52, subdivision 4; 354.534, subdivision 1; 2.9 354.536, subdivision 1; 354.539; 354A.011, 2.10 subdivisions 4, 24; 354A.098, subdivision 1; 354A.101, 2.11 subdivision 1; 354A.106; 354A.12, subdivision 5; 2.12 354A.31, subdivision 3; 354A.35, subdivision 4; 2.13 356.215, subdivision 4g; 356.24, subdivision 1; 2.14 356.55, subdivision 7; 356A.06, subdivision 5; 2.15 356A.08, subdivision 1; 357.18, subdivision 3; 358.10; 2.16 367.03, subdivision 6; 403.11, subdivision 1; 2.17 422A.155; 423B.01, by adding a subdivision; 423B.05, 2.18 by adding subdivisions; 424A.04, by adding a 2.19 subdivision; 473.13, by adding a subdivision; 490.121, 2.20 subdivision 4; 517.08, subdivisions 1b, 1c, as 2.21 amended; 574.26, subdivision 2; 645.44, by adding a 2.22 subdivision; Laws 1997, chapter 202, article 2, 2.23 section 61, as amended; Laws 1998, chapter 366, 2.24 section 80; Laws 1999, chapter 250, article 1, section 2.25 12, subdivision 3, as amended; Laws 2000, chapter 461, 2.26 article 10, section 3; proposing coding for new law in 2.27 Minnesota Statutes, chapters 3; 4A; 13; 16A; 16C; 16E; 2.28 200; 204B; 211B; 240A; 352; 352F; 353F; 354; 354A; 2.29 354B; 356; 383D; 473; proposing coding for new law as 2.30 Minnesota Statutes, chapters 116T; 423C; repealing 2.31 Minnesota Statutes 2000, sections 16A.67; 16A.6701; 2.32 16E.08; 43A.18, subdivision 5; 129D.06; 179A.07, 2.33 subdivision 7; 204B.06, subdivision 1a; 204C.15, 2.34 subdivision 2a; 246.18, subdivision 7; 354.41, 2.35 subdivision 9; 354A.026; Laws 1907, chapter 24; Laws 2.36 1913, chapters 318, 419; Laws 1917, chapter 196; Laws 2.37 1919, chapters 515, 523; Laws 1921, chapter 404; Laws 2.38 1923, chapter 61; Laws 1945, chapter 322; Laws 1959, 2.39 chapter 491; Laws 1959, chapter 568, as amended; Laws 2.40 1961, chapter 109; Extra Session Laws 1961, chapter 3; 2.41 Laws 1963, chapter 318, as amended; Laws 1965, chapter 2.42 519, as amended; Laws 1965, chapter 578, as amended; 2.43 Laws 1967, chapter 819, as amended; Laws 1967, chapter 2.44 824, as amended; Laws 1969, chapter 123, as amended; 2.45 Laws 1969, chapter 287; Laws 1971, chapter 542, as 2.46 amended; Laws 1975, chapter 57, as amended; Laws 1977, 2.47 chapter 164, section 2, as amended; Laws 1980, chapter 2.48 607, article XV, sections 8, as amended, 9, as 2.49 amended, 10, as amended; Laws 1988, chapter 572, 2.50 section 4; Laws 1988, chapter 574, section 3; Laws 2.51 1989, chapter 319, article 19, sections 6, as amended, 2.52 7, as amended; Laws 1990, chapter 589, article 1, 2.53 sections 5, as amended, 6, as amended; Laws 1992, 2.54 chapter 429; Laws 1992, chapter 454, section 2, as 2.55 amended; Laws 1992, chapter 471, article 2, as 2.56 amended; Laws 1993, chapter 125, as amended; Laws 2.57 1993, chapter 192, section 32; Laws 1994, chapter 591, 2.58 as amended; Laws 1994, chapter 632, article 3, section 2.59 14; Laws 1996, chapter 448, article 2, section 3; Laws 2.60 1996, chapter 448, article 3, section 1; Laws 1997, 2.61 chapter 233, article 4, sections 12, 13, 14, 15, 16, 2.62 17, 18, 19, 20, 21, 22; Laws 1998, chapter 390, 2.63 article 7, section 2; Laws 2000, chapter 461, article 2.64 17, sections 6, 7, 8, 9, 10, 11, 12, 13; Minnesota 2.65 Rules, part 8250.1400. 2.66 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 2.67 ARTICLE 1 2.68 APPROPRIATIONS 3.1 Section 1. [STATE GOVERNMENT APPROPRIATIONS.] 3.2 The sums shown in the columns marked "APPROPRIATIONS" are 3.3 appropriated from the general fund, or another fund named, to 3.4 the agencies and for the purposes specified in this act, to be 3.5 available for the fiscal years indicated for each purpose. The 3.6 figures "2001," "2002," and "2003," where used in this act, mean 3.7 that the appropriation or appropriations listed under them are 3.8 available for the year ending June 30, 2001, June 30, 2002, or 3.9 June 30, 2003, respectively. 3.10 APPROPRIATIONS 3.11 Available for the Year 3.12 Ending June 30 3.13 2002 2003 3.14 Sec. 2. LEGISLATURE 3.15 Subdivision 1. Total 3.16 Appropriation 67,776,000 68,773,000 3.17 Summary by Fund 3.18 General 67,626,000 68,623,000 3.19 Health Care Access 150,000 150,000 3.20 The amounts that may be spent from this 3.21 appropriation for each program are 3.22 specified in the following subdivisions. 3.23 Subd. 2. Senate 24,021,000 22,918,000 3.24 Subd. 3. House of Representatives 28,035,000 30,318,000 3.25 Subd. 4. Legislative 3.26 Coordinating Commission 10,215,000 10,068,000 3.27 Summary by Fund 3.28 General 10,065,000 9,918,000 3.29 Health Care Access 150,000 150,000 3.30 Effective January 6, 2003, the salaries 3.31 of other constitutional officers are 3.32 set at the following percentages of the 3.33 salary of the governor: 3.34 attorney general - 95 percent; 3.35 state auditor - 85 percent; 3.36 secretary of state - 75 percent; 3.37 lieutenant governor - 65 percent. 3.38 The compensation council recommendation 3.39 of 2001 for legislators and 3.40 constitutional officers may not take 3.41 effect. 3.42 $6,420,000 the first year and 3.43 $6,535,000 the second year are for the 4.1 office of the revisor of statutes. 4.2 $1,242,000 the first year and 4.3 $1,273,000 the second year are for the 4.4 legislative reference library. 4.5 $5,505,000 the first year and 4.6 $5,469,000 the second year are for the 4.7 office of the legislative auditor and 4.8 legislative audit commission. 4.9 The legislative work group on 4.10 television coverage consists of two 4.11 members of the senate appointed by the 4.12 subcommittee on committees of the 4.13 committee on rules and administration, 4.14 two members of the house of 4.15 representatives appointed by the 4.16 speaker, and two members representing 4.17 the Minnesota public television 4.18 association appointed by the 4.19 association. In an effort to take full 4.20 advantage of the new digital technology 4.21 and interconnection system to be 4.22 constructed by public television, the 4.23 work group must examine the best 4.24 management structure and distribution 4.25 format to provide gavel-to-gavel 4.26 coverage of house and senate sessions 4.27 and other legislative hearings of 4.28 public importance. The group must make 4.29 specific recommendations regarding the 4.30 consolidation of television services 4.31 now being provided by the house and 4.32 senate, including the advisability and 4.33 practicality of having that coverage 4.34 provided by public television. The 4.35 group must provide an interim report to 4.36 the legislature by February 1, 2002, 4.37 and submit a final report, including 4.38 budget recommendations, by January 10, 4.39 2003. 4.40 The legislative coordinating 4.41 commission, or a joint subcommittee 4.42 appointed by the commission for that 4.43 purpose, must investigate ways in which 4.44 the public information offices of the 4.45 senate and the house of representatives 4.46 might reduce costs and increase public 4.47 awareness by consolidating some or all 4.48 of their services, including, at a 4.49 minimum, the publication of a single 4.50 schedule for house and senate committee 4.51 meetings. The commission must report 4.52 its findings and recommendations to the 4.53 legislature by February 1, 2002. 4.54 During the interim between the 2001 and 4.55 2002 legislative sessions, legislative 4.56 appointing authorities may work with 4.57 the department of employee relations to 4.58 place legislative staff on temporary 4.59 assignments in state agencies. The 4.60 legislature is responsible for salary 4.61 and benefits of employees who choose 4.62 these temporary assignments. Work 4.63 assignments and hours must be 4.64 negotiated by legislative appointing 4.65 authorities and the state agencies 4.66 getting interim use of legislative 5.1 staff. Refusal of a commissioner to 5.2 find a suitable work assignment for 5.3 interested and qualified legislative 5.4 staff must be reported to the budget 5.5 committee chairs of the house and 5.6 senate that have jurisdiction over that 5.7 agency's budget. 5.8 Sec. 3. GOVERNOR AND 5.9 LIEUTENANT GOVERNOR 4,601,000 4,714,000 5.10 This appropriation is to fund the 5.11 offices of the governor and lieutenant 5.12 governor. 5.13 $19,000 the first year and $19,000 the 5.14 second year are for necessary expenses 5.15 in the normal performance of the 5.16 governor's and lieutenant governor's 5.17 duties for which no other reimbursement 5.18 is provided. 5.19 By September 1 of each year, the 5.20 commissioner of finance shall report to 5.21 the chairs of the senate governmental 5.22 operations budget division and the 5.23 house state government finance division 5.24 any personnel costs incurred by the 5.25 office of the governor and lieutenant 5.26 governor that were supported by 5.27 appropriations to other agencies during 5.28 the previous fiscal year. The office 5.29 of the governor shall inform the chairs 5.30 of the divisions before initiating any 5.31 interagency agreements. 5.32 The funds appropriated to the 5.33 governor's office for maintenance of 5.34 the governor's residence are 5.35 transferred to the department of 5.36 administration for the same purpose. 5.37 Sec. 4. STATE AUDITOR 10,051,000 10,297,000 5.38 Sec. 5. STATE TREASURER 2,351,000 2,331,000 5.39 $1,093,000 the first year and 5.40 $1,125,000 the second year are for the 5.41 treasurer to pay for banking services 5.42 by fees rather than by compensating 5.43 balances. 5.44 Sec. 6. ATTORNEY GENERAL 29,278,000 29,911,000 5.45 Summary by Fund 5.46 General 26,825,000 27,406,000 5.47 State Government 5.48 Special Revenue 1,834,000 1,876,000 5.49 Environmental 142,000 145,000 5.50 Solid Waste 477,000 484,000 5.51 Sec. 7. SECRETARY OF STATE 7,410,000 7,465,000 5.52 $1,306,000 the first year and 5.53 $1,054,000 the second year are for 5.54 uniform commercial code operating costs. 6.1 The base funding for this activity is 6.2 $914,000 for fiscal year 2004 and 6.3 $861,000 for fiscal year 2005. 6.4 Sec. 8. CAMPAIGN FINANCE AND 6.5 PUBLIC DISCLOSURE BOARD 674,000 702,000 6.6 For 2001 - $35,000 6.7 $35,000 in fiscal year 2001 is for the 6.8 campaign finance and public disclosure 6.9 board for operating budget deficiencies. 6.10 Sec. 9. INVESTMENT BOARD 2,477,000 2,535,000 6.11 Sec. 10. ADMINISTRATIVE HEARINGS 7,444,000 7,941,000 6.12 This appropriation is from the workers' 6.13 compensation fund. 6.14 Fee increases proposed for the Office 6.15 of Administrative Hearings by the 6.16 governor in the 2002-2003 state 6.17 government biennial budget document are 6.18 approved, as well as fee increases 6.19 necessary as a result of judicial 6.20 salary increases. 6.21 Sec. 11. OFFICE OF STRATEGIC 6.22 AND LONG-RANGE PLANNING 5,621,000 4,988,000 6.23 $170,000 the first year is to continue 6.24 the generic environmental impact 6.25 statement on animal agriculture. Funds 6.26 not spent in the first year are 6.27 available in the second year. 6.28 $500,000 the first year is for one-time 6.29 grants of $50,000 each to regional 6.30 development commissions or, in regions 6.31 not served by regional development 6.32 commissions, to regional organizations 6.33 selected by the director, to support 6.34 planning work on behalf of local units 6.35 of government. The planning work must 6.36 take into consideration any impacts on 6.37 private property rights and must 6.38 include at least one of the following: 6.39 (1) development of local zoning 6.40 ordinances; (2) land use plans; (3) 6.41 community or economic development 6.42 plans; (4) transportation and transit 6.43 plans; (5) solid waste management 6.44 plans; (6) wastewater management plans; 6.45 (7) workforce development plans; (8) 6.46 housing development plans and market 6.47 analyses; (9) rural health service and 6.48 senior nutrition plans; (10) natural 6.49 resources management plans; or (11) 6.50 development of a geographical 6.51 information systems database to serve a 6.52 region's needs, including hardware and 6.53 software purchases and related labor 6.54 costs. State grant funds must be 6.55 matched on a dollar-for-dollar basis by 6.56 nonstate funds. 6.57 The office of strategic and long-range 6.58 planning, in consultation with the 6.59 department of natural resources and 6.60 appropriate and affected parties, must 7.1 prepare urban rivers sustainable 7.2 development draft guidelines along the 7.3 central business districts of rivers in 7.4 urban areas of the state. The office 7.5 must: 7.6 (1) evaluate existing state and 7.7 municipal laws; 7.8 (2) evaluate the need for the 7.9 department of natural resources to have 7.10 authority to adopt rules to implement 7.11 the Mississippi river critical area 7.12 order (executive order 79-19); 7.13 (3) review federal legislation 7.14 affecting urban rivers; and 7.15 (4) identify the technical and 7.16 administrative procedures to guide 7.17 urban river development. The draft 7.18 guidelines must be made available to 7.19 the environmental and economic 7.20 development policy committees of the 7.21 legislature, and to interested parties, 7.22 by January 15, 2002. 7.23 $100,000 the first year is for a grant 7.24 to support subregional comprehensive 7.25 planning by the N.M. I-35W Corridor 7.26 Coalition. The appropriation is 7.27 available until June 30, 2003. The 7.28 subregional work must include the 7.29 following components leading to a 7.30 coordinated subregional comprehensive 7.31 plan submission to the metropolitan 7.32 council in 2003: (1) coordinated land 7.33 use plans; (2) coordinated economic 7.34 development and redevelopment 7.35 strategies focused on redefining 7.36 metropolitan competitiveness with 7.37 linkage to creating local job 7.38 opportunities and integrated housing, 7.39 transportation, and transit systems; 7.40 (3) coordinated transportation and 7.41 transit plans; (4) coordinated 7.42 workforce development plans; (5) 7.43 coordinated subregional housing 7.44 development plans and market analyses 7.45 ensuring healthy neighborhoods and 7.46 increased choice in lifecycle housing; 7.47 (6) coordinated natural resources 7.48 management plans; (7) expanded GIS 7.49 database management system focused on 7.50 improving subregional decision making 7.51 through access to better data and tools 7.52 for analysis as well as being 7.53 exportable to other regional and 7.54 subregional collaborative efforts; and 7.55 (8) establishment of a coalition 7.56 institute structured to utilize livable 7.57 community principles to address issues 7.58 of growth and infill, to support 7.59 standards for quality development, and 7.60 to create direct benefit for learning 7.61 experience and sharing with other 7.62 regional and subregional organizations 7.63 and agencies. State grant funds must 7.64 be matched on a dollar-for-dollar basis 7.65 from nonstate funds. Local planning 7.66 work supported by this appropriation 8.1 must adhere to the goals of sustainable 8.2 land use planning under Minnesota 8.3 Statutes, section 4A.08. 8.4 The director must create a competition 8.5 council. The competition council must 8.6 make recommendations to the executive 8.7 and legislative branches on 8.8 opportunities, strategies, and best 8.9 practices for competitive delivery of 8.10 services or goods currently delivered 8.11 by government. 8.12 Sec. 12. ADMINISTRATION 8.13 Subdivision 1. Total 8.14 Appropriation 67,557,000 46,971,000 8.15 For 2001 - $75,000 8.16 Summary by Fund 8.17 General 45,230,000 26,602,000 8.18 For 2001 - $75,000 8.19 State Government 8.20 Special Revenue 22,027,000 20,369,000 8.21 Special Revenue 300,000 -0- 8.22 The amounts that may be spent from this 8.23 appropriation for each program are 8.24 specified in the following subdivisions. 8.25 Subd. 2. Operations Management 8.26 3,632,000 3,745,000 8.27 Subd. 3. Office of Technology 8.28 13,173,000 3,435,000 8.29 Summary by Fund 8.30 General 12,299,000 2,830,000 8.31 State Government 8.32 Special Revenue 574,000 605,000 8.33 Special Revenue 300,000 -0- 8.34 $300,000 in fiscal year 2002 is from 8.35 the unemployment insurance technology 8.36 initiative account in the special 8.37 revenue fund for a study of the 8.38 unemployment insurance technology 8.39 initiative project. The study should 8.40 include an analysis of current business 8.41 processes, identification of 8.42 re-engineering opportunities, and 8.43 development of a project plan, and 8.44 should ensure integration with the 8.45 state's enterprise architecture. The 8.46 study is the joint responsibility of 8.47 the office of technology and the 8.48 department of economic security 8.49 unemployment branch. The study must be 8.50 completed no later than June 30, 2002. 8.51 Upon completion of the study, the 8.52 department of economic security may 9.1 begin immediate and independent 9.2 implementation of the full project plan. 9.3 $9,400,000 is for deposit in the 9.4 technology enterprise fund. From this 9.5 amount, the commissioner may spend up 9.6 to $864,000 for technology analysts in 9.7 the office of technology, up to 9.8 $1,489,000 for small agency 9.9 infrastructure, up to $5,400,000 for 9.10 completion of the income tax 9.11 re-engineering project in the 9.12 department of revenue, up to $1,200,000 9.13 for new income tax re-engineering 9.14 costs, and up to $40,000 for the local 9.15 area network at the capitol area 9.16 architectural and planning board. 9.17 For the fiscal year 2004-2005 biennium, 9.18 up to $540,000 each year may be added 9.19 to the base level funding for 9.20 technology analyst positions. 9.21 For the fiscal year 2004-2005 biennium, 9.22 up to a total of $500,000 may be added 9.23 to the base level funding for the 9.24 Capitol Area Architectural and Planning 9.25 Board, the Architecture and Engineering 9.26 Board, the Campaign Finance and Public 9.27 Disclosure Board, the Mediation 9.28 Services Bureau, the Minnesota Racing 9.29 Commission, the Sentencing Guidelines 9.30 Commission, the Department of Veterans 9.31 Affairs, and the Lawful Gambling 9.32 Control Board. 9.33 For the fiscal year 2004-2005 biennium, 9.34 up to $300,000 each year may be added 9.35 to the base level funding of the 9.36 Department of Revenue for the 9.37 operational costs related to the income 9.38 tax re-engineering project. 9.39 $1,179,000 from the state government 9.40 special revenue fund is for a transfer 9.41 to the board of chiropractic examiners, 9.42 the board of medical practice, the 9.43 board of nursing, and the board of 9.44 social work for the small agency 9.45 infrastructure project. This 9.46 appropriation is available until June 9.47 30, 2003. The commissioner shall 9.48 report on the progress of the small 9.49 agency infrastructure project to the 9.50 chairs of the legislative committees 9.51 responsible for this budget item by 9.52 January 15, 2002. 9.53 (a) The commissioner of administration 9.54 must contract with an entity outside of 9.55 state government to prepare a 9.56 supplemental evaluation, risk 9.57 assessment, and risk mitigation plan 9.58 for the CriMNet system. The entity 9.59 performing this work must not have any 9.60 other direct or indirect financial 9.61 interest in the project. 9.62 (b) Before January 1, 2002, each 9.63 recipient of an appropriation for the 9.64 CriMNet system must, in consultation 10.1 with the commissioner of 10.2 administration, submit to the entity 10.3 selected under paragraph (a): 10.4 (1) a list of objectives the entity 10.5 expects to achieve with the money 10.6 appropriated to it; and 10.7 (2) a list of performance measures that 10.8 can be used to determine the extent to 10.9 which these objectives are being met. 10.10 (c) The evaluation, risk assessment, 10.11 and risk mitigation plan must 10.12 separately consider each component of 10.13 the project, including: suspense 10.14 files, the integration backbone, the 10.15 Minnesota court information system, 10.16 photo imaging, livescan cardhandler, 10.17 predatory offender registration, CJDN 10.18 upgrade, statewide supervision, and 10.19 county planning and implementation 10.20 grants. For each component, the 10.21 evaluation may also consider: 10.22 (1) the likelihood that each entity 10.23 will achieve its objectives within the 10.24 limits of the money appropriated; and 10.25 (2) the appropriateness of the 10.26 performance measures suggested by each 10.27 entity receiving an appropriation. 10.28 (d) Work on the evaluation, risk 10.29 assessment, and risk mitigation plan 10.30 must begin as soon as practicable but 10.31 no later than November 15, 2001. The 10.32 results of the evaluation, risk 10.33 assessment, and risk mitigation plan 10.34 must be reported to the legislature, 10.35 the commissioner of administration, and 10.36 the chief justice of the supreme court 10.37 by March 15, 2002. The final report 10.38 must include recommendations on changes 10.39 or improvements needed for each 10.40 component of the program and whether or 10.41 not a component should proceed. A 10.42 recommendation not to proceed with a 10.43 component of the project is only 10.44 advisory. Decisions regarding 10.45 proceeding with project components will 10.46 be made by the commissioner of public 10.47 safety in consultation with the policy 10.48 group. 10.49 (e) During the biennium ending June 30, 10.50 2003, Minnesota Statutes, section 10.51 16E.0465 does not apply to the CriMNet 10.52 system. 10.53 $468,000 the first year and $468,000 10.54 the second year are for ongoing costs 10.55 of the North Star II project under 10.56 Minnesota Statutes, section 16E.07. 10.57 $120,000 from the general fund is for 10.58 the Minnesota high technology 10.59 foundation for the Minnesota computers 10.60 for schools program. The foundation 10.61 must provide a match of $1 of private 10.62 funds for every $1 of state funds 11.1 appropriated for the Minnesota 11.2 computers for schools program. 11.3 The office must establish the state 11.4 information architecture under 11.5 Minnesota Statutes, section 16E.04, 11.6 subdivision 2, by March 1, 2002. 11.7 Subd. 4. Intertechnologies Group 11.8 22,312,000 20,623,000 11.9 Summary by Fund 11.10 General 859,000 859,000 11.11 State Government 11.12 Special Revenue 21,453,000 19,764,000 11.13 $3,988,000 in fiscal year 2002 is from 11.14 the 911 fund under Minnesota Statutes, 11.15 section 403.11, for increased costs 11.16 associated with wireless-enhanced 911 11.17 and for reimbursements to providers for 11.18 prior period services not yet certified 11.19 by the public utilities commission. 11.20 The appropriation from the special 11.21 revenue fund is for recurring costs of 11.22 911 emergency telephone service. 11.23 Subd. 5. Facilities Management 11.24 11,689,000 11,929,000 11.25 For 2001 - $75,000 11.26 $7,584,000 the first year and 11.27 $7,844,000 the second year are for 11.28 office space costs of the legislature 11.29 and veterans organizations, for 11.30 ceremonial space, and for statutorily 11.31 free space. 11.32 $2,000,000 of the balance in the state 11.33 building code account in the state 11.34 government special revenue fund as of 11.35 July 1, 2001, is canceled to the 11.36 general fund. 11.37 The unexpended balance in the parking 11.38 surcharge account in the state 11.39 government special revenue fund as of 11.40 July 1, 2001, is canceled to the 11.41 general fund. 11.42 A joint house-senate task force must be 11.43 appointed to study the allocation of 11.44 spaces in the State Office Building 11.45 parking ramp. Members of the task 11.46 force must include a representative of 11.47 the house majority, the house minority, 11.48 the senate majority, the senate 11.49 minority, the legislative coordinating 11.50 commission, the legislative reference 11.51 library, the revisor's office, and the 11.52 secretary of state. A report must be 11.53 presented to the chairs and lead 11.54 minority members of the house and 11.55 senate state government operations 11.56 committees, by October 15, 2001. In 12.1 developing the report, the task force 12.2 must examine the issues of proportional 12.3 representation based on full-time staff 12.4 housed in the State Office Building, 12.5 safety, fringe benefits, recruitment 12.6 needs, and staff seniority, and may 12.7 consider other appropriate issues. The 12.8 report must include a transition plan 12.9 for any recommended changes, and may 12.10 include recommendations regarding the 12.11 creation of additional secure parking 12.12 spaces. 12.13 The commissioner of administration and 12.14 the capitol area architectural and 12.15 planning board must investigate the 12.16 possibility and advisability of 12.17 locating a bookshop or giftshop in the 12.18 capitol and must report their findings 12.19 and recommendations to the legislature 12.20 by February 1, 2002. 12.21 $75,000 in fiscal year 2001 and 12.22 $125,000 in fiscal year 2002 are for 12.23 pursuing litigation to recover costs 12.24 associated with indoor air quality 12.25 issues at the Luverne veterans home. 12.26 Subd. 6. Management Services 12.27 3,684,000 3,907,000 12.28 $196,000 the first year and $196,000 12.29 the second year are for the office of 12.30 the state archaeologist. 12.31 $74,000 the first year and $74,000 the 12.32 second year are for the developmental 12.33 disabilities council. 12.34 The management analysis division, in 12.35 consultation with the Minnesota Amateur 12.36 Sports Commission, must report to the 12.37 legislature by January 15, 2002, a plan 12.38 for the commission to operate without a 12.39 state subsidy, beginning July 1, 2003. 12.40 The plan must describe: (1) new 12.41 revenues the commission would obtain to 12.42 replace state subsidies; or (2) plans 12.43 for cost reductions so that anticipated 12.44 revenues would equal expenditures, 12.45 without state subsidies. 12.46 The management analysis division shall 12.47 conduct a study to assess the 12.48 feasibility of collecting fees for 12.49 services provided by the office of the 12.50 state archaeologist. The management 12.51 analysis division shall submit a report 12.52 to the chair of the senate state 12.53 government, economic development and 12.54 the judiciary budget division and the 12.55 chair of the house of representatives 12.56 state government finance committees by 12.57 July 15, 2002. 12.58 $200,000 the first year and $100,000 12.59 the second year are for the STAR 12.60 program. This is a one-time 12.61 appropriation. 13.1 Subd. 7. Fiscal Agent 13.2 1,937,000 2,000 13.3 $35,000 the first year is for a grant 13.4 to the Longville city hall district to 13.5 complete construction of the Longville 13.6 city hall ambulance building. 13.7 $2,000 the first year and $2,000 the 13.8 second year are for the state 13.9 employees' band. 13.10 $1,900,000 the first year is for 13.11 deposit in the voting equipment grant 13.12 account. 13.13 Subd. 8. Public Broadcasting 13.14 11,130,000 3,330,000 13.15 $1,450,000 the first year and 13.16 $1,450,000 the second year are for 13.17 matching grants for public television. 13.18 $600,000 the first year and $600,000 13.19 the second year are for public 13.20 television equipment grants. 13.21 $7,800,000 the first year is for grants 13.22 to noncommercial television stations to 13.23 assist with conversion to a digital 13.24 broadcast signal as mandated by the 13.25 federal government. In order to 13.26 qualify for a grant, a station must 13.27 meet the criteria established for 13.28 grants in Minnesota Statutes, section 13.29 129D.12, subdivision 2. 13.30 Grants for the conversion to digital 13.31 television must not be distributed 13.32 except as agreed to in writing by the 13.33 commissioner of administration and the 13.34 Minnesota Public Television 13.35 Association. The agreement must 13.36 include provisions specifying uses of 13.37 digital broadcast capability to serve 13.38 needs of state and local units of 13.39 government in a manner consistent with 13.40 project management analyses of the 13.41 Minnesota office of technology and, to 13.42 the greatest extent feasible, 13.43 integrating digital broadcast 13.44 infrastructure and use of spectrum with 13.45 existing and prospective statewide 13.46 information and communications 13.47 networks. The agreement must be made 13.48 by January 15, 2002, or this 13.49 appropriation cancels. 13.50 To avoid duplication, a station using 13.51 money from this appropriation to 13.52 construct a tower must consult with 13.53 public radio stations in its area to 13.54 determine if they have a similar need. 13.55 If a public radio station has a similar 13.56 need, a cost benefit analysis must be 13.57 completed to determine if it is more 13.58 economically feasible to jointly 13.59 construct the new tower. All parties 13.60 must share in the cost of construction 14.1 and maintenance of the tower. 14.2 Equipment or digital conversion grant 14.3 allocations shall be made after 14.4 considering the recommendations of the 14.5 Minnesota public television association. 14.6 $441,000 the first year and $441,000 14.7 the second year are for grants and for 14.8 contracts with the senate and house of 14.9 representatives for public information 14.10 television, Internet, Intranet, and 14.11 other transmission of legislative 14.12 activities. At least one-half must go 14.13 for programming to be broadcast and 14.14 transmitted to rural Minnesota. 14.15 $25,000 the first year and $25,000 the 14.16 second year are for grants to the Twin 14.17 Cities regional cable channel. 14.18 $320,000 the first year and $320,000 14.19 the second year are for community 14.20 service grants to public educational 14.21 radio stations. 14.22 $87,000 the first year and $87,000 the 14.23 second year are for equipment grants to 14.24 public educational radio stations. The 14.25 grants must be allocated after 14.26 considering the recommendations of the 14.27 association of Minnesota public 14.28 educational radio stations under 14.29 Minnesota Statutes, section 129D.14. 14.30 $407,000 the first year and $407,000 14.31 the second year are for equipment 14.32 grants to Minnesota Public Radio, Inc. 14.33 If an appropriation for either year for 14.34 grants to public television or radio 14.35 stations is not sufficient, the 14.36 appropriation for the other year is 14.37 available for it. 14.38 Subd. 9. Minneapolis-Guthrie 14.39 Theater 14.40 The appropriation in Laws 2000, chapter 14.41 492, article 1, section 14, subdivision 14.42 3, may be used to predesign and begin 14.43 design of a new Guthrie Theater and 14.44 need not be used to acquire and prepare 14.45 a site for the theater nor to 14.46 construct, furnish, and equip it. 14.47 Sec. 13. CAPITOL AREA ARCHITECTURAL 14.48 AND PLANNING BOARD 315,000 323,000 14.49 During the biennium ending June 30, 14.50 2003, money received by the board from 14.51 public agencies, as provided by 14.52 Minnesota Statutes, section 15.50, 14.53 subdivision 3, is appropriated to the 14.54 board. 14.55 Sec. 14. FINANCE 14.56 Subdivision 1. Total 14.57 Appropriation 18,250,000 18,639,000 15.1 The amounts that may be spent from this 15.2 appropriation for each program are 15.3 specified in the following subdivisions. 15.4 Subd. 2. State Financial Management 15.5 8,443,000 8,548,000 15.6 Subd. 3. Information and 15.7 Management Services 15.8 9,807,000 10,091,000 15.9 The commissioners of finance and 15.10 administration shall study building 15.11 projects authorized for state 15.12 agencies. The study shall include an 15.13 estimate of any change in operating 15.14 costs to agencies related to the 15.15 construction or major renovation of 15.16 facilities that have been authorized 15.17 since 1996. The analysis may consider 15.18 a representative sample of projects and 15.19 must measure actual cost increases due 15.20 solely to building operations. The 15.21 study shall also contain a comparison 15.22 of the cash flows of the projects 15.23 estimated by agencies at the time 15.24 projects were proposed to the 15.25 legislature and the actual cash flows 15.26 of the projects. The commissioners 15.27 shall consult with the finance chair in 15.28 the senate and the ways and means chair 15.29 in the house on the methodology used in 15.30 the analysis and submit a final report 15.31 to the chairs by January 15, 2002. The 15.32 commissioner of finance shall use the 15.33 results of the analysis of increased 15.34 operating costs in any planning budget 15.35 included under Minnesota Statutes, 15.36 section 16A.103. 15.37 Sec. 15. EMPLOYEE RELATIONS 15.38 Subdivision 1. Total 15.39 Appropriation 8,245,000 8,470,000 15.40 The amounts that may be spent from this 15.41 appropriation for each program are 15.42 specified in the following subdivisions. 15.43 Subd. 2. Employee Insurance 15.44 70,000 70,000 15.45 Subd. 3. Human Resources Management 15.46 8,175,000 8,400,000 15.47 $25,000 the first year and $25,000 the 15.48 second year are for a grant to the 15.49 government training service. 15.50 $50,000 each year is for the training 15.51 and development resource center. 15.52 Sec. 16. REVENUE 15.53 Subdivision 1. Total 15.54 Appropriation 95,259,000 96,549,000 16.1 Summary by Fund 16.2 General 91,030,000 92,238,000 16.3 Health Care Access 1,731,000 1,764,000 16.4 Highway User 16.5 Tax Distribution 2,191,000 2,237,000 16.6 Environmental 107,000 110,000 16.7 Solid Waste 200,000 200,000 16.8 The amounts that may be spent from this 16.9 appropriation for each program are 16.10 specified in the following subdivisions. 16.11 Subd. 2. Tax System Management 16.12 84,420,000 85,728,000 16.13 Summary by Fund 16.14 General 80,244,000 81,470,000 16.15 Health Care Access 1,678,000 1,711,000 16.16 Highway User 16.17 Tax Distribution 2,191,000 2,237,000 16.18 Environmental 107,000 110,000 16.19 Solid Waste 200,000 200,000 16.20 (a) $1,037,000 the first year and 16.21 $624,000 the second year is for an 16.22 initiative to identify and collect tax 16.23 liabilities from individuals and 16.24 businesses that currently do not pay 16.25 all taxes owed. This initiative is 16.26 expected to result in new general fund 16.27 revenues of $20,000,000 for the 16.28 biennium ending June 30, 2003. 16.29 (b) $1,783,000 the first year and 16.30 $1,570,000 the second year is for an 16.31 initiative to increase audit and 16.32 collection activity in the income tax, 16.33 sales tax, and corporate tax areas. 16.34 This initiative is expected to result 16.35 in new general fund revenues of 16.36 $32,000,000 for the biennium ending 16.37 June 30, 2003. 16.38 (c) The department must report to the 16.39 chairs of the House Ways and Means and 16.40 Senate Finance Committees by January 16.41 15, 2002, and January 15, 2003, on the 16.42 following performance indicators: 16.43 (1) The number of debt cases referred 16.44 each year to the Internal Revenue 16.45 Service for recapture of Minnesota 16.46 state taxes from federal tax refunds 16.47 and the associated dollar amounts. 16.48 (2) The number of nonfiling 16.49 corporations brought into the corporate 16.50 tax system each year and the percentage 16.51 and dollar amounts of valid tax 16.52 liabilities collected. 17.1 (3) The number of nonfiling businesses 17.2 brought into the sales and use tax 17.3 system and the percentage and dollar 17.4 amounts of the valid tax liabilities 17.5 collected. 17.6 (4) The number of individual nonfiler 17.7 cases resolved and the percentage and 17.8 dollar amounts of valid tax liabilities 17.9 collected. 17.10 The reports must also identify base 17.11 level expenditures and staff positions 17.12 related to compliance and audit 17.13 activities, including baseline 17.14 information as of January 1, 2001. The 17.15 information must be provided at the 17.16 budget activity level. 17.17 (d) Of the amounts appropriated in 17.18 paragraphs (a) and (b), the necessary 17.19 amount is transferred from the 17.20 commissioner of revenue to the 17.21 legislative auditor, not to exceed 17.22 $50,000, for an audit of the tax 17.23 collection activities. The purpose of 17.24 this audit is to compare actual revenue 17.25 collections with the estimates of new 17.26 revenue collections submitted by the 17.27 department to the 2001 legislature. 17.28 The legislative auditor shall report 17.29 the findings of the audit to the 17.30 legislature by February 1, 2003. 17.31 Subd. 3. Accounts Receivable Management 17.32 10,839,000 10,821,000 17.33 Summary by Fund 17.34 General 10,786,000 10,768,000 17.35 Health Care Access 53,000 53,000 17.36 (a) $275,000 the first year and 17.37 $257,000 the second year are for an 17.38 initiative to identify and collect tax 17.39 liabilities from individuals and 17.40 businesses that currently do not pay 17.41 all taxes owed. 17.42 (b) $1,100,000 the first year and 17.43 $1,026,000 the second year are for an 17.44 initiative to increase audit and 17.45 collection activity in the income tax, 17.46 sales tax, and corporate tax areas. 17.47 Sec. 17. MILITARY AFFAIRS 17.48 Subdivision 1. Total 17.49 Appropriation 14,121,000 14,021,000 17.50 The amounts that may be spent from this 17.51 appropriation for each program are 17.52 specified in the following subdivisions. 17.53 In fiscal year 2001, $186,000 in 17.54 general funds is transferred from Laws 17.55 1999, chapter 250, article 1, section 17.56 28, to the department of military 17.57 affairs to pay for higher than 18.1 anticipated fuel costs of the 18.2 department's training and community 18.3 center facilities. These funds are 18.4 available until December 21, 2001. 18.5 Subd. 2. Maintenance of Training 18.6 Facilities 18.7 7,141,000 7,244,000 18.8 Subd. 3. General Support 18.9 2,049,000 1,845,000 18.10 $75,000 the first year is to assist in 18.11 the operation and staffing of the 18.12 Minnesota national guard youth camp at 18.13 Camp Ripley. This appropriation is 18.14 available until June 30, 2003, and is 18.15 contingent on its being matched by 18.16 money from other sources. 18.17 The department may not sell or lease 18.18 land in Ramsey county to the department 18.19 of transportation, nor may the 18.20 department locate a joint or shared 18.21 facility with the department of 18.22 transportation within the county. 18.23 Subd. 4. Enlistment Incentives 18.24 4,856,000 4,857,000 18.25 $4,856,000 the first year and 18.26 $4,857,000 the second is for enlistment 18.27 incentives. 18.28 If appropriations for either year of 18.29 the biennium are insufficient, the 18.30 appropriation from the other year is 18.31 available. The appropriations for 18.32 enlistment incentives are available 18.33 until expended. 18.34 Subd. 5. Emergency Services 18.35 75,000 75,000 18.36 These appropriations are for expenses 18.37 of military forces ordered to active 18.38 duty under Minnesota Statutes, chapter 18.39 192. If the appropriation for either 18.40 year is insufficient, the appropriation 18.41 for the other year is available for it. 18.42 Sec. 18. VETERANS AFFAIRS 4,419,000 4,484,000 18.43 Sec. 19. VETERANS OF FOREIGN 18.44 WARS 55,000 55,000 18.45 For carrying out the provisions of Laws 18.46 1945, chapter 455. 18.47 Sec. 20. MILITARY ORDER OF 18.48 THE PURPLE HEART 20,000 20,000 18.49 Sec. 21. DISABLED AMERICAN VETERANS 13,000 13,000 18.50 For carrying out the provisions of Laws 18.51 1941, chapter 425. 19.1 Sec. 22. GAMBLING CONTROL 2,419,000 2,522,000 19.2 Sec. 23. RACING COMMISSION 414,000 426,000 19.3 Sec. 24. BOARD OF THE ARTS 19.4 Subdivision 1. Total 19.5 Appropriation 13,118,000 13,142,000 19.6 Any unencumbered balance remaining in 19.7 this section the first year does not 19.8 cancel but is available for the second 19.9 year of the biennium. 19.10 Subd. 2. Operations and Services 19.11 1,043,000 1,067,000 19.12 By January 15, 2002, the board must 19.13 report to the legislature the following 19.14 information for each group funded by 19.15 the board in fiscal year 2001 which had 19.16 annual operating expenses of $500,000 19.17 or more: 19.18 (1) the number of audience members 19.19 attending events produced or sponsored 19.20 by each arts organization and the type 19.21 of services provided; 19.22 (2) services that the group would not 19.23 have provided but for the state 19.24 funding; 19.25 (3) the effect of the state funding on 19.26 the quality of the service or artistic 19.27 experience provided to the public; and 19.28 (4) the amount of funding the group has 19.29 received from the board each year since 19.30 creation of the board. 19.31 Subd. 3. Grants Program 19.32 8,540,000 8,540,000 19.33 Subd. 4. Regional Arts Councils 19.34 3,535,000 3,535,000 19.35 Sec. 25. MINNESOTA HUMANITIES 19.36 COMMISSION 1,022,000 1,036,000 19.37 Any unencumbered balance remaining in 19.38 the first year does not cancel but is 19.39 available for the second year of the 19.40 biennium. 19.41 The humanities commission must develop 19.42 a plan for the selection of a Minnesota 19.43 poet laureate. The commission must 19.44 report the plan to the legislature by 19.45 February 1, 2002. 19.46 Sec. 26. TORT CLAIMS 275,000 275,000 19.47 To be spent by the commissioner of 19.48 finance. 19.49 If the appropriation for either year is 19.50 insufficient, the appropriation for the 20.1 other year is available for it. 20.2 Sec. 27. MINNESOTA STATE 20.3 RETIREMENT SYSTEM 9,299,000 9,856,000 20.4 The amounts estimated to be needed for 20.5 each program are as follows: 20.6 (a) Legislators 20.7 6,821,000 7,230,000 20.8 Under Minnesota Statutes, sections 20.9 3A.03, subdivision 2; 3A.04, 20.10 subdivisions 3 and 4; and 3A.11. 20.11 (b) Constitutional Officers 20.12 355,000 376,000 20.13 Under Minnesota Statutes, sections 20.14 352C.031, subdivision 5; 352C.04, 20.15 subdivision 3; and 352C.09, subdivision 20.16 2. 20.17 (c) Judges 20.18 2,123,000 2,250,000 20.19 If an appropriation in this section for 20.20 either year is insufficient, the 20.21 appropriation for the other year is 20.22 available for it. 20.23 Sec. 28. MINNEAPOLIS EMPLOYEES 20.24 RETIREMENT FUND 3,232,000 3,232,000 20.25 Sec. 29. POLICE AND FIRE 20.26 AMORTIZATION AID 6,345,000 6,345,000 20.27 $4,925,000 the first year and 20.28 $4,925,000 the second year are to the 20.29 commissioner of revenue for state aid 20.30 to amortize the unfunded liability of 20.31 local police and salaried firefighters 20.32 relief associations under Minnesota 20.33 Statutes, section 423A.02. 20.34 $1,000,000 the first year and 20.35 $1,000,000 the second year are to the 20.36 commissioner of revenue for 20.37 supplemental state aid to amortize the 20.38 unfunded liability of local police and 20.39 salaried firefighters relief 20.40 associations under Minnesota Statutes, 20.41 section 423A.02, subdivision 1a. 20.42 $420,000 the first year and $420,000 20.43 the second year are to the commissioner 20.44 of revenue to pay reimbursements to 20.45 relief associations for firefighter 20.46 supplemental benefits paid under 20.47 Minnesota Statutes, section 424A.10. 20.48 Sec. 30. BOARD OF GOVERNMENT 20.49 INNOVATION AND COOPERATION 512,000 518,000 20.50 Sec. 31. STATE LOTTERY 750,000 -0- 20.51 $750,000 is from the lottery prize fund 20.52 to the commissioner of human services 21.1 for a grant to reconstruct Project 21.2 Turnabout in Granite Falls destroyed by 21.3 the Granite Falls tornado. This 21.4 appropriation is available until June 21.5 30, 2003, and does not become part of 21.6 the base. 21.7 Sec. 32. AMATEUR SPORTS 21.8 COMMISSION 1,257,000 677,000 21.9 $475,000 the first year is for making 21.10 matching grants for after school 21.11 enrichment grants as provided under 21.12 Minnesota Statutes, section 240A.12. 21.13 $25,000 is for a grant to the Range 21.14 Recreation Civic Center for bleacher 21.15 purchase. 21.16 $100,000 in fiscal year 2002 is for a 21.17 one-time grant to a nonprofit 21.18 corporation for operation of a shooting 21.19 sports program at a state-owned 21.20 facility. The program funded through 21.21 this grant must be designed to train 21.22 participants and coaches in shooting 21.23 sports that are Olympic events. This 21.24 appropriation is available until June 21.25 30, 2003. 21.26 Sec. 33. GENERAL CONTINGENT 21.27 ACCOUNTS 3,500,000 3,500,000 21.28 Summary by Fund 21.29 General 3,000,000 3,000,000 21.30 State Government 21.31 Special Revenue 400,000 400,000 21.32 Workers' 21.33 Compensation 100,000 100,000 21.34 The appropriations in this section may 21.35 only be spent with the approval of the 21.36 governor after consultation with the 21.37 legislative advisory commission 21.38 pursuant to Minnesota Statutes, section 21.39 3.30. 21.40 If an appropriation in this section for 21.41 either year is insufficient, the 21.42 appropriation for the other year is 21.43 available for it. 21.44 The special revenue appropriation is 21.45 available to be transferred to the 21.46 attorney general when the costs to 21.47 provide legal services to the health 21.48 boards exceed the biennial 21.49 appropriation to the attorney general 21.50 from the special revenue fund and for 21.51 transfer to the health boards if 21.52 required for unforeseen expenditures of 21.53 an emergency nature. The boards 21.54 receiving the additional services or 21.55 supplemental appropriations shall set 21.56 their fees to cover the costs. 21.57 Sec. 34. [EFFECTIVE DATE.] 22.1 The appropriations for fiscal year 2001 are effective the 22.2 day following final enactment and are available until December 22.3 31, 2001. All other appropriations are effective July 1, 2001. 22.4 ARTICLE 2 22.5 STATE GOVERNMENT OPERATIONS 22.6 Section 1. Minnesota Statutes 2000, section 3.3005, 22.7 subdivision 2, is amended to read: 22.8 Subd. 2. [GOVERNOR'S REQUEST TO LEGISLATURE.] A state 22.9 agency shall not expend money received by it under federal law 22.10 for any purpose unless a request to spend federal money from 22.11 that source for that purpose in that fiscal year has been 22.12 submitted by the governor to the legislature as a part of a 22.13 budget request submitted during or within ten days before the 22.14 start of a regular legislative session, or unless specifically 22.15 authorized by law or as provided by this section. A budget 22.16 request submitted to the legislature according to this 22.17 subdivision must be submitted at least 20 days before the 22.18 deadline set by the legislature for legislative budget 22.19 committees to act on finance bills. 22.20 Sec. 2. Minnesota Statutes 2000, section 3.3005, 22.21 subdivision 3, is amended to read: 22.22 Subd. 3. [STATE MATCH.] If a request to spend federal 22.23 money is included in the governor's budget or spending the money 22.24 is authorized by law but the amount of federal money received 22.25 requires a state match greater than that included in the budget 22.26 request or authorized by law, the amount that requires an 22.27 additional state match may be allotted for expenditure after the 22.28 requirements of subdivision 5 or 6 are met. 22.29 Sec. 3. Minnesota Statutes 2000, section 3.3005, 22.30 subdivision 3a, is amended to read: 22.31 Subd. 3a. [CHANGE IN PURPOSE.] If a request to spend 22.32 federal money is included in a governor's budget request and 22.33 approved according to subdivision 2a, but the purpose for which 22.34 the money is to be used changes from the time of the request and 22.35 approval, the amount may be allotted for expenditure after a 22.36 revised request is submitted according to subdivision 2 or the 23.1 requirements of subdivision 5 or 6 are met. 23.2 Sec. 4. Minnesota Statutes 2000, section 3.3005, is 23.3 amended by adding a subdivision to read: 23.4 Subd. 3b. [INCREASE IN AMOUNT.] If a request to spend 23.5 federal money is included in a governor's budget request and 23.6 approved according to subdivision 2 or 5 and the amount of money 23.7 available increases after the request is made and authorized, 23.8 the additional amount may be allotted for expenditure after a 23.9 revised request is submitted according to subdivision 2, or the 23.10 requirements of subdivision 5 or 6 are met. 23.11 Sec. 5. Minnesota Statutes 2000, section 3.3005, 23.12 subdivision 4, is amended to read: 23.13 Subd. 4. [INTERIM PROCEDURES; URGENCIES.] If federal money 23.14 becomes available to the state for expenditure after the 23.15 deadline in subdivision 2 or while the legislature is not in 23.16 session, and the availability of money from that source or for 23.17 that purpose or in that fiscal year could not reasonably have 23.18 been anticipated and included in the governor's budget request, 23.19 and an urgency requires that all or part of the money be 23.20 allotted before the legislature reconvenes or prior to the end 23.21 of the 20-day period specified in subdivision 2, it may be 23.22 allotted to a state agency after the requirements of subdivision 23.23 5 are met. 23.24 Sec. 6. Minnesota Statutes 2000, section 3.3005, 23.25 subdivision 5, is amended to read: 23.26 Subd. 5. [LEGISLATIVE ADVISORY COMMISSION REVIEW.] Federal 23.27 money that becomes available undersubdivisionssubdivision 3 23.28and, 3a, 3b, or 4 may be allotted after the commissioner of 23.29 finance has submitted the request to the members of the 23.30 legislative advisory commission for their review and 23.31 recommendation for further review. If a recommendation is not 23.32 made within ten days, no further review by the legislative 23.33 advisory commission is required, and the commissioner shall 23.34 approve or disapprove the request. If a recommendation by any 23.35 member is for further review the governor shall submit the 23.36 request to the legislative advisory commission for its review 24.1 and recommendation. Failure or refusal of the commission to 24.2 make a recommendation promptly is a negative recommendation. 24.3 Sec. 7. Minnesota Statutes 2000, section 3.3005, is 24.4 amended by adding a subdivision to read: 24.5 Subd. 6. [INTERIM PROCEDURES; NONURGENCIES.] If federal 24.6 money becomes available to the state for expenditure after the 24.7 deadline in subdivision 2 or while the legislature is not in 24.8 session, and subdivision 4 does not apply, a request to expend 24.9 the federal money may be submitted by the commissioner of 24.10 finance to members of the legislative advisory commission for 24.11 their review and recommendation. This request must be submitted 24.12 by October 1 of any year. If any member of the commission makes 24.13 a negative recommendation or a recommendation for further review 24.14 on a request by October 20 of the same year, the commissioner 24.15 shall not approve expenditure of that federal money. If a 24.16 request to expend federal money submitted under this subdivision 24.17 receives a negative recommendation or a recommendation for 24.18 further review, the request may be submitted again under 24.19 subdivision 2. If the members of the commission make a positive 24.20 recommendation or no recommendation, the commissioner shall 24.21 approve or disapprove the request and the federal money may be 24.22 allotted for expenditure. 24.23 Sec. 8. Minnesota Statutes 2000, section 3.85, subdivision 24.24 3, is amended to read: 24.25 Subd. 3. [MEMBERSHIP.] The commission consists of five 24.26 members of the senate appointed by the subcommittee on 24.27 committees of the committee on rules and administration and five 24.28 members of the house of representatives appointed by the 24.29 speaker. Members shall be appointed at the commencement of each 24.30 regular session of the legislature for a two-year term beginning 24.31 January 16 of the first year of the regular session. Members 24.32 continue to serve until their successors are appointed. 24.33 Vacancies that occur while the legislature is in session shall 24.34 be filled like regular appointments. If the legislature is not 24.35 in session, senate vacancies shall be filled by the last 24.36 subcommittee on committees of the senate committee on rules and 25.1 administration or other appointing authority designated by the 25.2 senate rules, and house vacancies shall be filled by the last 25.3 speaker of the house, or if the speaker is not available, by the 25.4 last chair of the house rules committee. 25.5 Sec. 9. Minnesota Statutes 2000, section 3.855, 25.6 subdivision 3, is amended to read: 25.7 Subd. 3. [OTHER SALARIES AND COMPENSATION PLANS.] The 25.8 commission shall also: 25.9 (1) review and approve, reject, or modify a plan for 25.10 compensation and terms and conditions of employment prepared and 25.11 submitted by the commissioner of employee relations under 25.12 section 43A.18, subdivision 2, covering all state employees who 25.13 are not represented by an exclusive bargaining representative 25.14 and whose compensation is not provided for by chapter 43A or 25.15 other law; 25.16 (2) review and approve, reject, or modify a plan for total 25.17 compensation and terms and conditions of employment for 25.18 employees in positions identified as being managerial under 25.19 section 43A.18, subdivision 3, whose salaries and benefits are 25.20 not otherwise provided for in law or other plans established 25.21 under chapter 43A; 25.22 (3) review and approve, reject, or modify recommendations 25.23 for salaries submitted by the governor or other appointing 25.24 authority under section43A.1815A.0815, subdivision 5, covering 25.25 agency head positions listed in section 15A.0815; 25.26 (4) review and approve, reject, or modify recommendations 25.27 for salaries of officials of higher education systems under 25.28 section 15A.081,subdivisionsubdivisions 7b and 7c; and 25.29 (5) review and approve, reject, or modify plans for 25.30 compensation, terms, and conditions of employment proposed under 25.31 section 43A.18, subdivisions 3a and 4. 25.32 [EFFECTIVE DATE.] This section is effective the day 25.33 following final enactment. 25.34 Sec. 10. Minnesota Statutes 2000, section 3.97, 25.35 subdivision 3a, is amended to read: 25.36 Subd. 3a. [EVALUATION TOPICS.] (a) The commission shall 26.1 periodically select topics for the legislative auditor to 26.2 evaluate. Topics may include any agency, program, or activity 26.3 established by law to achieve a state purpose, or any topic that 26.4 affects the operation of state government, but the commission 26.5 shall give primary consideration to topics that are likely, upon 26.6 examination, to produce recommendations for cost savings, 26.7 increased productivity, or the elimination of duplication among 26.8 public agencies. Legislators and legislative committees may 26.9 suggest topics for evaluation, but the legislative auditor shall 26.10 only conduct evaluations approved by the commission. 26.11 (b) The commission is requested to direct the auditor, in 26.12 response to a suggestion from an individual legislator of an 26.13 evaluation topic, to estimate the scope of the proposed 26.14 evaluation and the time required to complete it. The estimate 26.15 must be reported to the legislator who submitted the suggestion 26.16 and to the commission. The commission must determine within 60 26.17 days of receiving the estimate whether to proceed with the 26.18 suggested evaluation and must convey its decision to the 26.19 legislator along with the reasons for its decision. 26.20 Sec. 11. Minnesota Statutes 2000, section 3.979, is 26.21 amended by adding a subdivision to read: 26.22 Subd. 5. [COMMISSIONER'S OPINION; LEGISLATIVE AUDITOR 26.23 ACCESS TO DATA.] If, after the commissioner of administration 26.24 issues an opinion under section 13.072 that a person requesting 26.25 access to data held by a state agency is entitled to that 26.26 access, the state agency continues to refuse to provide the data 26.27 or the person making the request is told that the data sought 26.28 does not exist, the legislative audit commission may instruct 26.29 the legislative auditor to review all state agency data related 26.30 to the request. Following the review, the legislative auditor 26.31 shall provide all public data obtained, if any, to the 26.32 legislative audit commission. 26.33 [EFFECTIVE DATE.] This section is effective July 1, 2001, 26.34 and applies to commissioner's opinions issued after that date. 26.35 Sec. 12. Minnesota Statutes 2000, section 3.98, 26.36 subdivision 2, is amended to read: 27.1 Subd. 2. [CONTENTS.] (a) The fiscal note, where possible, 27.2 shall: 27.3 (1) cite the effect in dollar amounts; 27.4 (2) cite the statutory provisions affected; 27.5 (3) estimate the increase or decrease in revenues or 27.6 expenditures; 27.7 (4) include the costs which may be absorbed without 27.8 additional funds;and27.9 (5) include the assumptions used in determining the cost 27.10 estimates; and 27.11 (6) specify any long-range implication. 27.12 (b) The fiscal note may comment on technical or mechanical 27.13 defects in the bill but shall express no opinions concerning the 27.14 merits of the proposal. 27.15 Sec. 13. [3.99] [LEGISLATIVE COMMISSION ON METROPOLITAN 27.16 GOVERNMENT.] 27.17 Subdivision 1. [ESTABLISHED.] The legislative commission 27.18 on metropolitan government is established to oversee the 27.19 metropolitan council's operating and capital budgets, work 27.20 program, and capital improvement program. 27.21 Subd. 2. [MEMBERSHIP.] The commission consists of four 27.22 senators appointed by the senate subcommittee on committees of 27.23 the committee on rules and administration, three senators 27.24 appointed by the senate minority leader, four state 27.25 representatives appointed by the speaker of the house, and three 27.26 state representatives appointed by the house minority leader. 27.27 All members must reside in or represent a portion of the 27.28 seven-county metropolitan area. The appointing authorities must 27.29 ensure balanced geographic representation. Each appointing 27.30 authority must make appointments as soon as possible after the 27.31 opening of the next regular session of the legislature in each 27.32 odd-numbered year. 27.33 Subd. 3. [TERMS; VACANCIES.] Members of the commission 27.34 serve for a two-year term beginning upon appointment and 27.35 expiring upon appointment of a successor after the opening of 27.36 the next regular session of the legislature in the odd-numbered 28.1 year. A vacancy in the membership of the commission must be 28.2 filled for the unexpired term in a manner that will preserve the 28.3 representation established by this section. 28.4 Subd. 4. [CHAIR.] The commission must meet as soon as 28.5 practicable after members are appointed in each odd-numbered 28.6 year to elect its chair and other officers as it may determine 28.7 necessary. A chair serves a two-year term, expiring in the 28.8 odd-numbered year after a successor is elected. The chair must 28.9 alternate biennially between the senate and the house. 28.10 Subd. 5. [COMPENSATION.] Members serve without 28.11 compensation but may be reimbursed for their reasonable expenses 28.12 as members of the legislature. 28.13 Subd. 6. [STAFF.] Legislative staff must provide 28.14 administrative and research assistance to the commission. 28.15 Subd. 7. [MEETINGS; PROCEDURES.] The commission meets at 28.16 the call of the chair. If there is a quorum, the commission may 28.17 take action by a simple majority vote of commission members 28.18 present. 28.19 Subd. 8. [POWERS; DUTIES; METROPOLITAN COUNCIL LEVY, 28.20 BUDGET OVERSIGHT.] The commission must monitor, review, and make 28.21 recommendations to the metropolitan council and to the 28.22 legislature for the following calendar year on: 28.23 (1) the tax rate and dollar amount of the metropolitan 28.24 council's property tax levies and any proposed increases in the 28.25 rate or dollar amount of tax; 28.26 (2) any request for an increase in the debt of the 28.27 metropolitan council; 28.28 (3) the overall work and role of the metropolitan council; 28.29 (4) the metropolitan council's proposed operating and 28.30 capital budgets, work program, and capital improvement program; 28.31 and 28.32 (5) the metropolitan council's implementation of the 28.33 operating and capital budgets, work program, and capital 28.34 improvement program. 28.35 Subd. 9. [POWERS; DUTIES; METROPOLITAN COUNCIL 28.36 APPOINTMENTS OVERSIGHT.] The commission must monitor 29.1 appointments to the metropolitan council and may make 29.2 recommendations on appointments to the nominating committee 29.3 under section 473.123, subdivision 3, or to the governor before 29.4 the governor makes the appointments. The commission may also 29.5 make recommendations to the senate before appointments are 29.6 presented to the senate for its advice and consent. 29.7 Sec. 14. [4A.055] [COMMISSION ON THE ECONOMIC STATUS OF 29.8 WOMEN.] 29.9 The director must provide staff, office space, and 29.10 administrative support for the commission on the economic status 29.11 of women. 29.12 Sec. 15. Minnesota Statutes 2000, section 7.09, 29.13 subdivision 1, is amended to read: 29.14 Subdivision 1. [PROCEDURE.] The state treasurer is 29.15 authorized to receive and accept, on behalf of the state, any 29.16 gift, bequest, devise, or endowment which may be made by any 29.17 person, by will, deed, gift, or otherwise, to or for the benefit 29.18 of the state, or any of its departments or agencies, or to or in 29.19 aid, or for the benefit, support, or maintenance of any 29.20 educational, charitable, or other institution maintained in 29.21 whole or in part by the state, or for the benefit of students, 29.22 employees, or inmates thereof, or for any proper state purpose 29.23 or function, and the money, property, or funds constituting such 29.24 gift, bequest, devise, or endowment. No such gift, bequest, 29.25 devise, or endowmentwhose value is equal to or exceeds $10,00029.26 shall be so accepted unlessthe commissioner of finance andthe 29.27 state treasurerdeterminedetermines that it is for the interest 29.28 of the state to accept it, and approve of and direct the 29.29 acceptance.If the value is less than $10,000, only the state29.30treasurer need determine that it is for the interest of the29.31state to accept it, and approve of and direct the29.32acceptance.If a gift, bequest, devise, or endowment is money 29.33 or other negotiable instruments, then the deposit of it does not 29.34 constitute acceptance. In the event that the money or other 29.35 negotiable instruments are deposited but not approved, the 29.36 amount deposited must be refunded. When, in order to effect the 30.1 purpose for which any gift, bequest, devise, or endowment has 30.2 been accepted, it is necessary to sell property so received, the 30.3 state treasurer, upon request of the authority in charge of the 30.4 agency, department, or institution concerned, may sell it at a 30.5 price which shall be fixed by the state board of investment. 30.6 Sec. 16. Minnesota Statutes 2000, section 15.0575, 30.7 subdivision 3, as amended by Laws 2001, chapter 61, section 1, 30.8 is amended to read: 30.9 Subd. 3. [COMPENSATION.] (a) Members of the boards may be 30.10 compensated at the rate of $55 a day spent on board activities, 30.11 when authorized by the board, plus expenses in the same manner 30.12 and amount as authorized by the commissioner's plan adopted 30.13 under section 43A.18, subdivision 2. Members who, as a result 30.14 of time spent attending board meetings, incur child care 30.15 expenses that would not otherwise have been incurred, may be 30.16 reimbursed for those expenses upon board authorization. 30.17 (b) Members who are state employees or employees of the 30.18 political subdivisions of the state must not receive the daily 30.19 payment for activities that occur during working hours for which 30.20 they are compensated by the state or political subdivision. 30.21 However, a state or political subdivision employee may receive 30.22 the daily payment if the employee uses vacation time or 30.23 compensatory time accumulated in accordance with a collective 30.24 bargaining agreement or compensation plan for board activities. 30.25 Members who are state employees or employees of the political 30.26 subdivisions of the state may receive the expenses provided for 30.27 in this subdivision unless the expenses are reimbursed by 30.28 another source. Members who are state employees or employees of 30.29 political subdivisions of the state may be reimbursed for child 30.30 care expenses only for time spent on board activities that are 30.31 outside their working hours. 30.32 (c) Each board must adopt internal standards prescribing 30.33 what constitutes a day spent on board activities for purposes of 30.34 making daily payments under this subdivision. 30.35 [EFFECTIVE DATE.] This section is effective July 1, 2001, 30.36 and applies to service on or after that date. 31.1 Sec. 17. Minnesota Statutes 2000, section 15.059, 31.2 subdivision 3, as amended by Laws 2001, chapter 61, section 2, 31.3 is amended to read: 31.4 Subd. 3. [COMPENSATION.] (a) Members of the advisory 31.5 councils and committees may be compensated at the rate of $55 a 31.6 day spent on council or committee activities, when authorized by 31.7 the council or committee, plus expenses in the same manner and 31.8 amount as authorized by the commissioner's plan adopted under 31.9 section 43A.18, subdivision 2. Members who, as a result of time 31.10 spent attending council or committee meetings, incur child care 31.11 expenses that would not otherwise have been incurred, may be 31.12 reimbursed for those expenses upon council or committee 31.13 authorization. 31.14 (b) Members who are state employees or employees of 31.15 political subdivisions must not receive the daily compensation 31.16 for activities that occur during working hours for which they 31.17 are compensated by the state or political subdivision. However, 31.18 a state or political subdivision employee may receive the daily 31.19 payment if the employee uses vacation time or compensatory time 31.20 accumulated in accordance with a collective bargaining agreement 31.21 or compensation plan for council or committee activity. Members 31.22 who are state employees or employees of the political 31.23 subdivisions of the state may receive the expenses provided for 31.24 in this section unless the expenses are reimbursed by another 31.25 source. Members who are state employees or employees of 31.26 political subdivisions of the state may be reimbursed for child 31.27 care expenses only for time spent on board activities that are 31.28 outside their working hours. 31.29 (c) Each council and committee must adopt internal 31.30 standards prescribing what constitutes a day spent on council or 31.31 committee activities for purposes of making daily payments under 31.32 this subdivision. 31.33 [EFFECTIVE DATE.] This section is effective July 1, 2001, 31.34 and applies to service on or after that date. 31.35 Sec. 18. Minnesota Statutes 2000, section 15A.0815, 31.36 subdivision 1, is amended to read: 32.1 Subdivision 1. [SALARY LIMITS.] The governor or other 32.2 appropriate appointing authority shall set the salary rates for 32.3 positions listed in this section within the salary limits listed 32.4 in subdivisions 2 to 4, subject to approval of the legislative 32.5 coordinating commission and the legislature as provided 32.6 by subdivision 5 and sections 3.855,and 15A.081, subdivision 7b 32.7, and 43A.18, subdivision 5. 32.8 [EFFECTIVE DATE.] This section is effective the day 32.9 following final enactment. 32.10 Sec. 19. Minnesota Statutes 2000, section 15A.0815, is 32.11 amended by adding a subdivision to read: 32.12 Subd. 5. [APPOINTING AUTHORITIES TO RECOMMEND CERTAIN 32.13 SALARIES.] (a) The governor, or other appropriate appointing 32.14 authority, may submit to the legislative coordinating commission 32.15 recommendations for salaries within the salary limits for the 32.16 positions listed in subdivisions 2 to 4. An appointing 32.17 authority may also propose additions or deletions of positions 32.18 from those listed. 32.19 (b) Before submitting the recommendations, the appointing 32.20 authority shall consult with the commissioner of employee 32.21 relations concerning the recommendations. 32.22 (c) In making recommendations, the appointing authority 32.23 shall consider the criteria established in section 43A.18, 32.24 subdivision 8, and the performance of individual incumbents. 32.25 The performance evaluation must include a review of an 32.26 incumbent's progress toward attainment of affirmative action 32.27 goals. The appointing authority shall establish an objective 32.28 system for quantifying knowledge, abilities, duties, 32.29 responsibilities, and accountabilities, and in determining 32.30 recommendations, rate each position by this system. 32.31 (d) Before the appointing authority's recommended salaries 32.32 take effect, the recommendations must be reviewed and approved, 32.33 rejected, or modified by the legislative coordinating commission 32.34 and the legislature under section 3.855, subdivisions 2 and 3. 32.35 If, when the legislature is not in session, the commission fails 32.36 to reject or modify salary recommendations of the governor 33.1 within 30 calendar days of their receipt, the recommendations 33.2 are deemed to be approved. 33.3 (e) The appointing authority shall set the initial salary 33.4 of a head of a new agency or a chair of a new metropolitan board 33.5 or commission whose salary is not specifically prescribed by law 33.6 after consultation with the commissioner, whose recommendation 33.7 is advisory only. The amount of the new salary must be 33.8 comparable to the salary of an agency head or commission chair 33.9 having similar duties and responsibilities. 33.10 (f) The salary of a newly appointed head of an agency or 33.11 chair of a metropolitan agency listed in subdivisions 2 to 4, 33.12 may be increased or decreased by the appointing authority from 33.13 the salary previously set for that position within 30 days of 33.14 the new appointment after consultation with the commissioner. 33.15 If the appointing authority increases a salary under this 33.16 paragraph, the appointing authority shall submit the new salary 33.17 to the legislative coordinating commission and the full 33.18 legislature for approval, modification, or rejection under 33.19 section 3.855, subdivisions 2 and 3. If, when the legislature 33.20 is not in session, the commission fails to reject or modify 33.21 salary recommendations of the governor within 30 calendar days 33.22 of their receipt, the recommendations are deemed to be approved. 33.23 [EFFECTIVE DATE.] This section is effective the day 33.24 following final enactment. 33.25 Sec. 20. Minnesota Statutes 2000, section 16A.06, is 33.26 amended by adding a subdivision to read: 33.27 Subd. 10. [TECHNOLOGY BUDGET BOOK.] The department must 33.28 prepare a separate budget book containing all of the 33.29 administration's technology initiatives. The book must be in 33.30 the same format as other biennial budget books. 33.31 Sec. 21. Minnesota Statutes 2000, section 16A.10, is 33.32 amended by adding a subdivision to read: 33.33 Subd. 1c. [PERFORMANCE MEASURES FOR CHANGE ITEMS.] For 33.34 each change item in the budget proposal requesting new or 33.35 increased funding, the budget document must present proposed 33.36 performance measures that can be used to determine if the new or 34.1 increased funding is accomplishing its goals. 34.2 Sec. 22. [16A.1286] [STATEWIDE SYSTEMS ACCOUNT.] 34.3 Subdivision 1. [CONTINUATION.] The statewide systems 34.4 account is a separate account in the special revenue fund. All 34.5 money resulting from billings for statewide systems services 34.6 must be deposited in the account. For the purposes of this 34.7 section, statewide systems includes the state accounting system, 34.8 payroll system, human resources systems, procurement system, and 34.9 related information access systems. 34.10 Subd. 2. [BILLING PROCEDURES.] The commissioner may bill 34.11 up to $7,520,000 in each fiscal year for statewide systems 34.12 services provided to state agencies, judicial branch agencies, 34.13 the University of Minnesota, the Minnesota state colleges and 34.14 universities, and other entities. Billing must be based only on 34.15 usage of services relating to statewide systems provided by the 34.16 intertechnologies division. Each agency shall transfer from 34.17 agency operating appropriations to the statewide systems account 34.18 the amount billed by the commissioner. Billing policies and 34.19 procedures related to statewide systems services must be 34.20 developed by the commissioner in consultation with the 34.21 commissioners of employee relations and administration, the 34.22 University of Minnesota, and the Minnesota state colleges and 34.23 universities. 34.24 Subd. 3. [APPROPRIATION.] Money transferred into the 34.25 account is appropriated to the commissioner to pay for statewide 34.26 systems services during the biennium in which it is appropriated. 34.27 Subd. 4. [SUPERSEDE.] This section supersedes section 34.28 8.31, subdivision 2c. 34.29 Subd. 5. [EXPIRATION.] This section expires June 30, 2003. 34.30 Sec. 23. [16A.151] [PROCEEDS OF LITIGATION OR SETTLEMENT.] 34.31 Subdivision 1. [STATE FUNDS; GENERAL FUND.] (a) This 34.32 subdivision applies, notwithstanding any law to the contrary, 34.33 except as provided in subdivision 2. 34.34 (b) A state official may not commence, pursue, or settle 34.35 litigation, or settle a matter that could have resulted in 34.36 litigation, in a manner that would result in money being 35.1 distributed to a person or entity other than the state. 35.2 (c) Money recovered by a state official in litigation or in 35.3 settlement of a matter that could have resulted in litigation is 35.4 state money and must be deposited in the general fund. 35.5 Subd. 2. [EXCEPTIONS.] (a) If a state official litigates 35.6 or settles a matter on behalf of specific injured persons or 35.7 entities, this section does not prohibit distribution of money 35.8 to the specific injured persons or entities on whose behalf the 35.9 litigation or settlement efforts were initiated. If money 35.10 recovered on behalf of injured persons or entities cannot 35.11 reasonably be distributed to those persons or entities because 35.12 they cannot readily be located or identified or because the cost 35.13 of distributing the money would outweigh the benefit to the 35.14 persons or entities, the money must be paid into the general 35.15 fund. 35.16 (b) Money recovered on behalf of a fund in the state 35.17 treasury other than the general fund may be deposited in that 35.18 fund. 35.19 (c) This section does not prohibit a state official from 35.20 distributing money to a person or entity other than the state in 35.21 litigation or potential litigation in which the state is a 35.22 defendant or potential defendant. 35.23 Subd. 3. [DEFINITIONS.] For purposes of this section: 35.24 (1) "litigation" includes civil, criminal, and 35.25 administrative actions; 35.26 (2) "money recovered" includes actual damages, punitive or 35.27 exemplary damages, statutory damages, and civil and criminal 35.28 penalties; and 35.29 (3) "state official" means the attorney general, another 35.30 constitutional officer, an agency, or an agency employee, acting 35.31 in official capacity. 35.32 Sec. 24. Minnesota Statutes 2000, section 16A.152, 35.33 subdivision 7, is amended to read: 35.34 Subd. 7. [DELAY; REDUCTION.] The commissioner may delay 35.35 paying up to 15 percent of an appropriation to a special taxing 35.36 district or a system of higher education in that entity's fiscal 36.1 year for up to 60 days after the start of its next fiscal year. 36.2 The delayed amount is subject to allotment reduction under 36.3 subdivision14. 36.4 Sec. 25. Minnesota Statutes 2000, section 16B.25, 36.5 subdivision 2, is amended to read: 36.6 Subd. 2. [NOTICE.] Lost or abandoned property found on 36.7 state lands is placed in the custody of the commissioner. If 36.8 the rightful owner is known, the owner must be notified by 36.9 certified mail and may reclaim the property on paying the 36.10 expenses of the search.If the owner is unknown, the36.11commissioner must give two weeks' published notice in the county36.12where the property was found. Within six months following36.13publication, the rightful owner may receive the property on36.14paying the search expenses.36.15 [EFFECTIVE DATE.] This section is effective the day 36.16 following final enactment. 36.17 Sec. 26. Minnesota Statutes 2000, section 16B.60, 36.18 subdivision 3, is amended to read: 36.19 Subd. 3. [MUNICIPALITY.] "Municipality" means a city, 36.20 county, or townmeeting the requirements of section 368.01,36.21subdivision 1, the University of Minnesota, or the state for 36.22 public buildings and state licensed facilities. 36.23 Sec. 27. Minnesota Statutes 2000, section 16B.60, is 36.24 amended by adding a subdivision to read: 36.25 Subd. 12. [DESIGNATE.] "Designate" means the formal 36.26 designation by a municipality's administrative authority of a 36.27 certified building official accepting responsibility for code 36.28 administration. 36.29 Sec. 28. Minnesota Statutes 2000, section 16B.60, is 36.30 amended by adding a subdivision to read: 36.31 Subd. 13. [ADMINISTRATIVE AUTHORITY.] "Administrative 36.32 authority" means a municipality's governing body or their 36.33 assigned administrative authority. 36.34 Sec. 29. Minnesota Statutes 2000, section 16B.61, 36.35 subdivision 1, as amended by Laws 2001, chapter 207, section 1, 36.36 is amended to read: 37.1 Subdivision 1. [ADOPTION OF CODE.] Subject to sections 37.2 16B.59 to 16B.75, the commissioner shall by rule establish a 37.3 code of standards for the construction, reconstruction, 37.4 alteration, and repair of buildings, governing matters of 37.5 structural materials, design and construction, fire protection, 37.6 health, sanitation, and safety, including design and 37.7 construction standards regarding heat loss control, 37.8 illumination, and climate control. The code must also include 37.9 duties and responsibilities for code administration, including 37.10 procedures for administrative action, penalties, and suspension 37.11 and revocation of certification. The code must conform insofar 37.12 as practicable to model building codes generally accepted and in 37.13 use throughout the United States, including a code for building 37.14 conservation. In the preparation of the code, consideration 37.15 must be given to the existing statewide specialty codes 37.16 presently in use in the state. Model codes with necessary 37.17 modifications and statewide specialty codes may be adopted by 37.18 reference. The code must be based on the application of 37.19 scientific principles, approved tests, and professional 37.20 judgment. To the extent possible, the code must be adopted in 37.21 terms of desired results instead of the means of achieving those 37.22 results, avoiding wherever possible the incorporation of 37.23 specifications of particular methods or materials. To that end 37.24 the code must encourage the use of new methods and new 37.25 materials. Except as otherwise provided in sections 16B.59 to 37.26 16B.75, the commissioner shall administer and enforce the 37.27 provisions of those sections. 37.28 The commissioner shall develop rules addressing the plan 37.29 review fee assessed to similar buildings without significant 37.30 modifications including provisions for use of building systems 37.31 as specified in the industrial/modular program specified in 37.32 section 16B.75. Additional plan review fees associated with 37.33 similar plans must be based on costs commensurate with the 37.34 direct and indirect costs of the service. 37.35 Sec. 30. Minnesota Statutes 2000, section 16B.65, is 37.36 amended to read: 38.1 16B.65 [BUILDING OFFICIALS.] 38.2 Subdivision 1. [APPOINTMENTSDESIGNATION.]The governing38.3body ofBy January 1, 2002, each municipality shall, unless38.4other means are already provided, appointdesignate a building 38.5 official to administer the code. A municipality may designate 38.6 no more than one building official responsible for code 38.7 administration defined by each certification category 38.8 established in rule. Two or more municipalities may combine in 38.9 theappointmentdesignation of asinglebuilding official for 38.10 the purpose of administering the provisions of the code within 38.11 their communities. In those municipalities for which no 38.12 building officials have beenappointeddesignated, the state 38.13 building official, with the approval of the commissioner, may38.14appoint building officials to serve until the municipalities38.15have made an appointment. If unable to make an appointment, the38.16state building officialmay use whichever state employeesor38.17state agenciesare necessary to perform the duties of the 38.18 building official until the municipality makes a temporary or 38.19 permanent designation. All costs incurred by virtue ofan38.20appointment by the state building official orthese services 38.21 rendered by state employees must be borne by the involved 38.22 municipality.and receipts arising fromthe appointmentthese 38.23 services must be paid into the state treasury and credited to 38.24 thespecial revenuegeneral fund. 38.25 Subd. 2. [QUALIFICATIONS.] A building official, to be 38.26 eligible forappointmentdesignation, must be certified and have 38.27 the experience in design, construction, and supervision which 38.28 the commissioner deems necessary and must be generally informed 38.29 on the quality and strength of building materials, accepted 38.30 building construction requirements, and the nature of equipment 38.31 and needs conducive to the safety, comfort, and convenience of 38.32 building occupants.Each building official must be certified38.33under this section, except that the qualifications outlined in38.34this section are not mandatory regarding any building official38.35in any municipality engaged in the administration of a building38.36code on May 27, 1971, and continuing that function through July39.11, 1972No person may be designated as a building official for a 39.2 municipality unless the commissioner determines that the 39.3 official is qualified as provided in subdivision 3. 39.4 Subd. 3. [CERTIFICATION.] The commissioner shall: 39.5 (1) prepare and conduct written and practical examinations 39.6 to determine if a person is qualified pursuant to subdivision 2 39.7 to be a building official; 39.8 (2) accept documentation of successful completion of 39.9 testing programs developed by nationally recognized testing 39.10 agencies, as proof of qualification pursuant to subdivision 2; 39.11 or 39.12 (3) determine qualifications by both clauses (1) and (2). 39.13 Upon a determination of qualification under clause (1), 39.14 (2), or both of them, the commissioner shall issue a certificate 39.15 to the building official stating that the official is 39.16 certified. Each person applying for examination and 39.17 certification pursuant to this section shall pay a nonrefundable 39.18 fee of $70. The commissioner or a designee may establish 39.19classescategories of certification that will recognize the 39.20 varying complexities of code enforcement in the municipalities 39.21 within the state.Except as provided by subdivision 2, no39.22person may act as a building official for a municipality unless39.23the commissioner determines that the official is qualified.The 39.24 commissioner shall provide educational programs designed to 39.25 train and assist building officials in carrying out their 39.26 responsibilities. 39.27 The department of employee relations may, at the request of 39.28 the commissioner, provide statewide testing services. 39.29 Subd. 4. [DUTIES.] Building officials shall, in the 39.30 municipality for which they areappointeddesignated,attend to39.31 be responsible for all aspects of code administration for which 39.32 they are certified, including the issuance of all building 39.33 permits and the inspection of all manufactured home 39.34 installations. The commissioner may direct a municipality with 39.35 a building official to perform services for another 39.36 municipality, and in that event the municipality being served 40.1 shall pay the municipality rendering the services the reasonable 40.2 costs of the services. The costs may be subject to approval by 40.3 the commissioner. 40.4 Subd. 5. [REMOVAL FROM OFFICEOVERSIGHT COMMITTEE.]Except40.5as otherwise provided for by law the commissioner may, upon40.6notice and hearing, direct the dismissal of a building official40.7when it appears to the commissioner by competent evidence that40.8the building official has consistently failed to act in the40.9public interest in the performance of duties. Notice must be40.10provided and the hearing conducted in accordance with the40.11provisions of chapter 14 governing contested case proceedings.40.12Nothing in this subdivision limits or otherwise affects the40.13authority of a municipality to dismiss or suspend a building40.14official at its discretion, except as otherwise provided for by40.15law.(a) The commissioner shall establish a code administration 40.16 oversight committee to evaluate, mediate, and recommend to the 40.17 commissioner any administrative action, penalty, suspension, or 40.18 revocation with respect to complaints filed with or information 40.19 received by the commissioner alleging or indicating the 40.20 unauthorized performance of official duties or unauthorized use 40.21 of the title certified building official, or a violation of 40.22 statute, rule, or order that the commissioner has issued or is 40.23 empowered to enforce. The committee consists of five certified 40.24 building officials, at least two of whom must be from 40.25 nonmetropolitan counties. Committee members must be compensated 40.26 according to section 15.059, subdivision 3. The commissioner's 40.27 designee shall act as an ex-officio member of the oversight 40.28 committee. 40.29 (b) If the commissioner has a reasonable basis to believe 40.30 that a person has engaged in an act or practice constituting the 40.31 unauthorized performance of official duties, the unauthorized 40.32 use of the title certified building official, or a violation of 40.33 a statute, rule, or order that the commissioner has issued or is 40.34 empowered to enforce, the commissioner may proceed with 40.35 administrative actions or penalties as described in subdivision 40.36 5a or suspension or revocation as described in subdivision 5b. 41.1 Subd. 5a. [ADMINISTRATIVE ACTION AND PENALTIES.] The 41.2 commissioner shall, by rule, establish a graduated schedule of 41.3 administrative actions for violations of sections 16B.59 to 41.4 16B.75 and rules adopted under those sections. The schedule 41.5 must be based on and reflect the culpability, frequency, and 41.6 severity of the violator's actions. The commissioner may impose 41.7 a penalty from the schedule on a certification holder for a 41.8 violation of sections 16B.59 to 16B.75 and rules adopted under 41.9 those sections. The penalty is in addition to any criminal 41.10 penalty imposed for the same violation. Administrative monetary 41.11 penalties imposed by the commissioner must be paid to the 41.12 general fund. 41.13 Subd. 5b. [SUSPENSION; REVOCATION.] Except as otherwise 41.14 provided for by law, the commissioner may, upon notice and 41.15 hearing, revoke or suspend or refuse to issue or reissue a 41.16 building official certification if the applicant, building 41.17 official, or certification holder: 41.18 (1) violates a provision of sections 16B.59 to 16B.75 or a 41.19 rule adopted under those sections; 41.20 (2) engages in fraud, deceit, or misrepresentation while 41.21 performing the duties of a certified building official; 41.22 (3) makes a false statement in an application submitted to 41.23 the commissioner or in a document required to be submitted to 41.24 the commissioner; or 41.25 (4) violates an order of the commissioner. 41.26 Notice must be provided and the hearing conducted in 41.27 accordance with the provisions of chapter 14 governing contested 41.28 case proceedings. Nothing in this subdivision limits or 41.29 otherwise affects the authority of a municipality to dismiss or 41.30 suspend a building official at its discretion, except as 41.31 otherwise provided for by law. 41.32 Subd. 6. [VACANCIES.] In the event that acertified41.33 designated building officialvacates thatposition is vacant 41.34 within a municipality, that municipality shallappointdesignate 41.35 a certified building official to fill the vacancy as soon as 41.36 possible. The commissioner must be notified of any vacancy or 42.1 designation in writing within 15 days. If the municipality 42.2 fails toappointdesignate a certified building official within 42.39015 days of the occurrence of the vacancy, the state building 42.4 official maymake the appointment orprovide state employees to 42.5 serve that function as provided in subdivision 1 until the 42.6 municipality makes a temporary or permanent designation. 42.7 Municipalities must not issue permits without a designated 42.8 certified building official. 42.9 Subd. 7. [CONTINUING EDUCATION.] Subject to sections 42.10 16B.59 to 16B.75, the commissioner may by rule establish or 42.11 approve continuing education programs for municipal building 42.12 officials dealing with matters of building code administration, 42.13 inspection, and enforcement. 42.14Effective January 1, 1985,Each person certified as a 42.15 building official for the state must satisfactorily complete 42.16 applicable educational programs established or approved by the 42.17 commissioner every three calendar years to retain certification. 42.18 Each person certified as a building official must submit in 42.19 writing to the commissioner an application for renewal of 42.20 certification within 60 days of the last day of the third 42.21 calendar year following the last certificate issued. Each 42.22 application for renewal must be accompanied by proof of 42.23 satisfactory completion of minimum continuing education 42.24 requirements and the certification renewal fee established by 42.25 the commissioner. 42.26For persons certified prior to January 1, 1985, the first42.27three-year period commences January 1, 1985.42.28 Sec. 31. Minnesota Statutes 2000, section 16B.70, is 42.29 amended by adding a subdivision to read: 42.30 Subd. 3. [REVENUE TO EQUAL COSTS.] Revenue received from 42.31 the surcharge imposed in subdivision 1 should approximately 42.32 equal the cost, including the overhead cost, of administering 42.33 sections 16B.59 to 16B.75. By November 30 each year, the 42.34 commissioner must report to the commissioner of finance and to 42.35 the legislature on changes in the surcharge imposed in 42.36 subdivision 1 needed to comply with this policy. In making this 43.1 report, the commissioner must assume that the services 43.2 associated with administering sections 16B.59 to 16B.75 will 43.3 continue to be provided at the same level provided during the 43.4 fiscal year in which the report is made. 43.5 Sec. 32. Minnesota Statutes 2000, section 16B.88, 43.6 subdivision 1, is amended to read: 43.7 Subdivision 1. [INFORMATION CENTER FOR VOLUNTEER 43.8 PROGRAMS.] (a) The office of citizenship and volunteer services 43.9 is under the supervision and administration of a director 43.10 appointed by thecommissionergovernor. The office shall: (1) 43.11 operate as a state information, technical assistance, and 43.12 promotion center for volunteer programs; and (2) promote and 43.13 facilitate citizen participation in local governance and public 43.14 problem solving. 43.15 (b) In furtherance of the mission in paragraph (a), clause 43.16 (2), the office shall: 43.17 (1) engage in education and other activities designed to 43.18 enhance the capacity of citizens to solve problems affecting 43.19 their communities; 43.20 (2) promote and support efforts by citizens, 43.21 community-based organizations, nonprofits, churches, and local 43.22 governments to collaborate in solving community problems; 43.23 (3) encourage local governments to provide increased 43.24 opportunities for citizen involvement in public decision making 43.25 and public problem solving; 43.26 (4) refer innovative approaches to encourage greater public 43.27 access to and involvement in state and local government 43.28 decisions to appropriate state and local government officials; 43.29 (5) encourage units of state and local government to 43.30 respond to citizen initiatives and ideas; 43.31 (6) promote processes for involving citizens in government 43.32 decisions; and 43.33 (7) recognize and publicize models of effective public 43.34 problem solving by citizens. 43.35 Sec. 33. Minnesota Statutes 2000, section 16C.02, is 43.36 amended by adding a subdivision to read: 44.1 Subd. 10a. [ORGANIZATIONAL CONFLICT OF 44.2 INTEREST.] "Organizational conflict of interest" means that 44.3 because of existing or planned activities or because of 44.4 relationships with other persons: 44.5 (1) the vendor is unable or potentially unable to render 44.6 impartial assistance or advice to the state; 44.7 (2) the vendor's objectivity in performing the contract 44.8 work is or might be otherwise impaired; or 44.9 (3) the vendor has an unfair advantage. 44.10 Sec. 34. Minnesota Statutes 2000, section 16C.03, 44.11 subdivision 2, is amended to read: 44.12 Subd. 2. [RULEMAKING AUTHORITY.] Subject to chapter 14, 44.13 the commissioner may adopt rules, consistent with this chapter 44.14 and chapter 16B, relating to the following topics: 44.15 (1) solicitations and responses to solicitations, bid 44.16 security, vendor errors, opening of responses, award of 44.17 contracts, tied bids, and award protest process; 44.18 (2) contract performance and failure to perform; 44.19 (3) authority to debar or suspend vendors, and 44.20 reinstatement of vendors; 44.21 (4) contract cancellation;and44.22 (5) procurement from rehabilitation facilities; and 44.23 (6) organizational conflicts of interest. 44.24 Sec. 35. Minnesota Statutes 2000, section 16C.03, is 44.25 amended by adding a subdivision to read: 44.26 Subd. 4a. [COMMISSIONER APPROVAL.] Notwithstanding any law 44.27 to the contrary, after January 1, 2002, any contract entered 44.28 into by the department of transportation must be approved by the 44.29 commissioner, unless the commissioner has delegated approval 44.30 authority to the department of transportation under subdivision 44.31 16. 44.32 Sec. 36. Minnesota Statutes 2000, section 16C.04, is 44.33 amended by adding a subdivision to read: 44.34 Subd. 3. [ORGANIZATIONAL CONFLICTS OF INTEREST.] (a) The 44.35 commissioner shall make reasonable efforts to avoid, mitigate, 44.36 or neutralize organizational conflicts of interest. To avoid an 45.1 organizational conflict of interest, the commissioner may 45.2 utilize methods including disqualifying a vendor from 45.3 eligibility for a contract award or canceling the contract if 45.4 the conflict is discovered after a contract has been issued. To 45.5 mitigate or neutralize a conflict, the commissioner may use 45.6 methods such as revising the scope of work to be conducted, 45.7 allowing vendors to propose the exclusion of task areas that 45.8 create a conflict, or providing information to all vendors to 45.9 assure that all facts are known to all vendors. 45.10 (b) In instances where a conflict or potential conflict has 45.11 been identified and the commissioner determines that vital 45.12 operations of the state will be jeopardized if a contract with 45.13 the vendor is not established, the commissioner may waive the 45.14 requirements in paragraph (a). 45.15 Sec. 37. Minnesota Statutes 2000, section 16C.05, 45.16 subdivision 2, is amended to read: 45.17 Subd. 2. [CREATION AND VALIDITY OF CONTRACTS.] (a) A 45.18 contract is not valid and the state is not bound by it unless: 45.19 (1) it has first been executed by the head of the agency or 45.20 a delegate who is a party to the contract; 45.21 (2) it has been approved by the commissioner; 45.22 (3) it has been approved by the attorney general or a 45.23 delegate as to form and execution; 45.24 (4) the accounting system shows an obligation in an expense 45.25 budget or encumbrance for the amount of the contract liability; 45.26 and 45.27 (5) the combined contract and amendments shall not exceed 45.28 five years without specific, written approval by the 45.29 commissioner according to established policy, procedures, and 45.30 standards, or unless otherwise provided for by law. The term of 45.31 the original contract must not exceed two years unless the 45.32 commissioner determines that a longer duration is in the best 45.33 interest of the state. 45.34 (b) Grants, interagency agreements, purchase orders, work 45.35 orders, and annual plans need not, in the discretion of the 45.36 commissioner and attorney general, require the signature of the 46.1 commissioner and/or the attorney general. Bond purchase 46.2 agreements by the Minnesota public facilities authority do not 46.3 require the approval of the commissioner. 46.4 (c) A fully executed copy of every contract must be kept on 46.5 file at the contracting agency. 46.6 Sec. 38. [16C.055] [BARTER ARRANGEMENTS LIMITED.] 46.7 Subdivision 1. [REPORT.] By January 15, 2002, the 46.8 legislative auditor shall report to the legislature and governor 46.9 on agency use of barter agreements in furtherance of an agency's 46.10 mission. The report shall list the type and approximate value 46.11 of each agency's agreement or agreements. 46.12 Subd. 2. [RESTRICTION.] After July 1, 2002, an agency may 46.13 not contract or otherwise agree with a nongovernmental entity to 46.14 receive total nonmonetary consideration valued at more than 46.15 $100,000 in exchange for the agency providing nonmonetary 46.16 consideration, unless such an agreement is specifically 46.17 authorized by law. This subdivision does not apply to the state 46.18 lottery. 46.19 Sec. 39. Minnesota Statutes 2000, section 16C.06, 46.20 subdivision 2, is amended to read: 46.21 Subd. 2. [SOLICITATION PROCESS.] (a) A formal solicitation 46.22 must be used to acquire all goods, service contracts, and 46.23 utilities estimated at or more than$25,000$50,000 unless 46.24 otherwise provided for. All formal responses must be sealed 46.25 when they are received and must be opened in public at the hour 46.26 stated in the solicitation. Formal responses must be 46.27 authenticated by the responder in a manner specified by the 46.28 commissioner. 46.29 (b) An informal solicitation may be used to acquire all 46.30 goods, service contracts, and utilities that are estimated at 46.31 less than$25,000$50,000. The number of vendors required to 46.32 receive solicitations may be determined by the commissioner. 46.33 Informal responses must be authenticated by the responder in a 46.34 manner specified by the commissioner. 46.35 Sec. 40. Minnesota Statutes 2000, section 16C.06, 46.36 subdivision 3, is amended to read: 47.1 Subd. 3. [INFORMATION IN BIDS AND PROPOSALS.] (a) Only the 47.2 name of the vendor and dollar amounts specified in a response to 47.3 a request for bids shall be read at the time of opening. Only 47.4 the name of the responding vendors to all requests for proposals 47.5 shall be read at the time of opening. All other information 47.6 contained in a vendor's response to a bid is classified as 47.7 nonpublic data, as defined in section 13.02, and remains 47.8 nonpublic data until completion of the selection process. All 47.9 other information contained in a vendor's response to a request 47.10 for proposal, other than the name of the vendor, is classified 47.11 as nonpublic data, as defined in section 13.02, and remains 47.12 nonpublic data until the completion of the evaluation process. 47.13 (b) All responses are public information at the time of the 47.14 award unless otherwise provided for. All responses and 47.15 documents pertaining to the final award of an acquisition must 47.16 be retained and made a part of a permanent file or record and 47.17 remain open to public inspection, after award, unless otherwise 47.18 provided for by law. 47.19 (c) If the commissioner rejects all responses to a 47.20 solicitation, information in the responses, other than the 47.21 information made public pursuant to paragraph (a), remains 47.22 nonpublic data, as defined in section 13.02, until a selection 47.23 is made based on responses to a resolicitation of bids, the 47.24 evaluation process is completed based on responses to a 47.25 resolicitation of a request for proposals, or a determination is 47.26 made to abandon the purchase. 47.27 Sec. 41. [16C.066] [COST-BENEFIT ANALYSIS.] 47.28 (a) The commissioner or an agency official to whom the 47.29 commissioner has delegated duties under section 16C.03, 47.30 subdivision 16, may not approve a contract or purchase of goods 47.31 or services for transit or other transportation purposes in an 47.32 amount greater than $10,000,000 unless a cost-benefit analysis 47.33 has been completed and shows a positive benefit to the public. 47.34 The management analysis division must perform or direct the 47.35 performance of the analysis. A cost-benefit analysis must be 47.36 performed for a project if an aggregation of contracts or 48.1 purchases for a project exceeds $10,000,000. 48.2 (b) All cost-benefit analysis documents under this section, 48.3 including preliminary drafts and notes, are public data. 48.4 (c) This section applies to contracts for goods or services 48.5 that are expected to have a useful life of more than three 48.6 years. This section does not apply for purchase of goods or 48.7 services for response to a natural disaster if an emergency has 48.8 been declared by the governor. 48.9 (d) This section expires June 30, 2003. 48.10 Sec. 42. Minnesota Statutes 2000, section 16C.081, is 48.11 amended to read: 48.12 16C.081 [EXCEPTION FOR FEDERAL CONTRACTS.] 48.13 Notwithstanding any law to the contrary,the commissioner48.14of transportation, commissioner of the pollution control agency,48.15or commissioner of natural resourcesan agency may, when 48.16 required by a federal agency entering into an intergovernmental 48.17 contract, negotiate contract terms providing for full or partial 48.18 prepayment to the federal agency before work is performed or 48.19 services are provided. 48.20 Sec. 43. Minnesota Statutes 2000, section 16C.22, is 48.21 amended to read: 48.22 16C.22 [DISTRICT HEATING.] 48.23 Notwithstanding any other law, general or special, the 48.24 commissioner is authorized to enter into or approve a written 48.25 agreement not to exceed 31 years with a district heating or 48.26 cooling utility that will specify, but not be limited to, the 48.27 appropriate terms and conditions for the interchange of district 48.28 heating or cooling services. 48.29 Sec. 44. [16E.035] [TECHNOLOGY INVENTORY.] 48.30 The commissioner of administration must prepare an 48.31 inventory of technology owned or leased by state agencies. The 48.32 inventory must include: (1) information on how the technology 48.33 fits into the state's information technology architecture; and 48.34 (2) a projected replacement schedule. The commissioner must 48.35 report the inventory to the legislative committees with primary 48.36 jurisdiction over state technology issues by July 1 of each 49.1 even-numbered year. 49.2 Sec. 45. Minnesota Statutes 2000, section 16E.04, 49.3 subdivision 2, as amended by Laws 2001, chapter 7, section 11, 49.4 is amended to read: 49.5 Subd. 2. [RESPONSIBILITIES.] (a) In addition to other 49.6 activities prescribed by law, the office shall carry out the 49.7 duties set out in this subdivision. 49.8 (b) The office shall develop and establish a state 49.9 information architecture to ensure that further state agency 49.10 development and purchase of information and communications 49.11 systems, equipment, and services is designed to ensure that 49.12 individual agency information systems complement and do not 49.13 needlessly duplicate or conflict with the systems of other 49.14 agencies. When state agencies have need for the same or similar 49.15 public data, the commissioner, in coordination with the affected 49.16 agencies, shall promote the most efficient and cost-effective 49.17 method of producing and storing data for or sharing data between 49.18 those agencies. The development of this information 49.19 architecture must include the establishment of standards and 49.20 guidelines to be followed by state agencies. 49.21 (c) The office shall assist state agencies in the planning 49.22 and management of information systems so that an individual 49.23 information system reflects and supports the state agency's 49.24 mission and the state's requirements and functions. 49.25 (d) The office shall review agency requests for legislative 49.26 appropriations for the development or purchase of information 49.27 systems equipment or software. 49.28 (e) The office shall review major purchases of information 49.29 systems equipment to: 49.30 (1) ensure that the equipment follows the standards and 49.31 guidelines of the state information architecture; 49.32 (2) ensure that the equipment is consistent with the 49.33 information management principles adopted by the information 49.34 policy council; 49.35 (3) evaluate whether the agency's proposed purchase 49.36 reflects a cost-effective policy regarding volume purchasing; 50.1 and 50.2 (4) ensure that the equipment is consistent with other 50.3 systems in other state agencies so that data can be shared among 50.4 agencies, unless the office determines that the agency 50.5 purchasing the equipment has special needs justifying the 50.6 inconsistency. 50.7 (f) The office shall review the operation of information 50.8 systems by state agencies and provide advice and assistance to 50.9 ensure that these systems are operated efficiently and 50.10 continually meet the standards and guidelines established by the 50.11 office. The standards and guidelines must emphasize uniformity 50.12 that encourages information interchange, open systems 50.13 environments, and portability of information whenever 50.14 practicable and consistent with an agency's authority and 50.15 chapter 13.The office, in consultation with the legislative50.16reference library, shall recommend specific standards and50.17guidelines for each state agency within a time period fixed by50.18the office in regard to the following:50.19(1) establishing methods and systems directed at reducing50.20and ultimately eliminating redundant storage of data; and50.21(2) establishing information sales systems that utilize50.22licensing and royalty agreements to the greatest extent50.23possible, together with procedures for agency denial of requests50.24for licenses or royalty agreements by commercial users or50.25resellers of the information. Section 3.751 does not apply to50.26those licensing and royalty agreements, and the agreements must50.27include provisions that section 3.751 does not apply and that50.28the state is immune from liability under the agreement.50.29 (g) The office shall conduct a comprehensive review at 50.30 least every three years of the information systems investments 50.31 that have been made by state agencies and higher education 50.32 institutions. The review must include recommendations on any 50.33 information systems applications that could be provided in a 50.34 more cost-beneficial manner by an outside source. The office 50.35 must report the results of its review to the legislature and the 50.36 governor. 51.1(h) The office shall report to the legislature by January51.215 of each year on progress in implementing paragraph (f),51.3clauses (1) and (2).51.4 [EFFECTIVE DATE.] This section is effective the day 51.5 following final enactment. 51.6 Sec. 46. [16E.0465] [TECHNOLOGY APPROVAL.] 51.7 Subdivision 1. [APPLICATION.] This section applies to an 51.8 appropriation of more than $1,000,000 of state or federal funds 51.9 to a state agency for any information and communications 51.10 technology project or data processing device or system or for 51.11 any phase of such a project, device, or system. For purposes of 51.12 this section, an appropriation of state or federal funds to a 51.13 state agency includes an appropriation: 51.14 (1) to the Minnesota state colleges and universities; 51.15 (2) to a constitutional officer; 51.16 (3) for a project that includes both a state agency and 51.17 units of local government; and 51.18 (4) to a state agency for grants to be made to other 51.19 entities. 51.20 Subd. 2. [REQUIRED REVIEW AND APPROVAL.] (a) A state 51.21 agency receiving an appropriation for an information and 51.22 communications technology project or data processing device or 51.23 system subject to this section must divide the project into 51.24 phases. 51.25 (b) The commissioner of finance may not authorize the 51.26 encumbrance or expenditure of an appropriation of state funds to 51.27 a state agency for any phase of a project, device, or system 51.28 subject to this section unless the office of technology has 51.29 reviewed each phase of the project, device, or system, and based 51.30 on this review, the commissioner of administration has 51.31 determined for each phase that: 51.32 (1) the project is compatible with the state information 51.33 architecture and other policies and standards established by the 51.34 commissioner of administration; and 51.35 (2) the agency is able to accomplish the goals of the phase 51.36 of the project with the funds appropriated. 52.1 Subd. 3. [ROLE OF COMMISSIONER.] Unless money is 52.2 appropriated directly to the commissioner of administration, the 52.3 role of the commissioner and the office of technology is to 52.4 review and approve projects under this section, and not to 52.5 design or implement the projects. 52.6 Sec. 47. [16E.055] [COMMON WEB FORMAT.] 52.7 A state agency that implements electronic government 52.8 services for fees, licenses, sales, or other purposes must use a 52.9 common Web page format approved by the commissioner of 52.10 administration for those electronic government services. The 52.11 commissioner may create a single entry site for all agencies to 52.12 use for electronic government services. 52.13 Sec. 48. [16E.09] [TECHNOLOGY ENTERPRISE FUND.] 52.14 Subdivision 1. [FUND ESTABLISHED.] A technology enterprise 52.15 fund is established. Money deposited in the fund is 52.16 appropriated to the commissioner of administration for the 52.17 purpose of funding technology projects among government entities 52.18 that promote cooperation, innovation, and shared use of 52.19 technology and technology standards, and electronic government 52.20 services. Savings generated by information technology and 52.21 communications projects may be deposited in the fund upon 52.22 agreement by the commissioner of administration and the 52.23 executive of the government entity generating the funds. The 52.24 transfer of funds between state agencies is subject to the 52.25 approval of the commissioner of finance. The commissioner of 52.26 finance shall notify the chairs of the committees funding the 52.27 affected state agencies of the transfers. Funds are available 52.28 until June 30, 2005. 52.29 Subd. 2. [TECHNOLOGY ENTERPRISE BOARD.] A technology 52.30 enterprise board is established to advise the state chief 52.31 information officer, the office of technology, the governor, the 52.32 executive branch, and the legislature regarding information 52.33 technology funding and expenditures from the technology 52.34 enterprise fund. The board shall consist of up to 18 members 52.35 representing public and private entities with general expertise 52.36 in information technology and telecommunications initiatives and 53.1 planning. The state chief information officer shall act as 53.2 chair and the office of technology shall provide necessary staff 53.3 support. Nonlegislator members shall be appointed by the 53.4 governor, including one nominee representing the state executive 53.5 council, one nominee representing the supreme court, and one 53.6 nominee representing the higher education advisory council; and 53.7 seven at-large members representing the private sector with 53.8 experience in business. The speaker of the house of 53.9 representatives and the senate subcommittee on committees shall 53.10 each appoint two legislators to the board. Legislator members 53.11 serve at the pleasure of the appointing authority. Membership 53.12 terms, compensation, and removal of nonlegislator board members 53.13 are governed by section 15.059, except that terms are three 53.14 years and the board expires on June 30, 2005. 53.15 Subd. 3. [REPORT TO LEGISLATURE.] By February 1 each year, 53.16 the commissioner of administration shall report to the chairs of 53.17 the finance committees in the senate and house of 53.18 representatives with jurisdiction over governmental operations 53.19 on expenditures and activities under this section. 53.20 Subd. 4. [EXPIRATION.] This section expires June 30, 2005. 53.21 Sec. 49. Minnesota Statutes 2000, section 43A.04, is 53.22 amended by adding a subdivision to read: 53.23 Subd. 12. [TOTAL COMPENSATION REPORTING.] (a) The 53.24 commissioner, in consultation with the commissioner of finance, 53.25 shall report to the governor and the legislature by January 15 53.26 each year on executive branch employee salary and benefits. The 53.27 purpose of the report is to assist in effective long-range 53.28 planning and to provide data necessary to compute annual and 53.29 biennial costs related to the state workforce. The report must 53.30 use data available in the biennial budget system and other 53.31 necessary sources. The report also must be made available to 53.32 the public in an electronic format. 53.33 (b) The report must be organized by agency. The report 53.34 must list the salary or hourly rate of pay for each agency 53.35 employee. The report may list the employee by name or by an 53.36 identification number. 54.1 (c) The report must also include an estimate of the average 54.2 cost to the state of providing insurance and other benefits to a 54.3 state employee. 54.4 Sec. 50. Minnesota Statutes 2000, section 43A.04, is 54.5 amended by adding a subdivision to read: 54.6 Subd. 13. [COMBINED CHARITIES CAMPAIGN.] (a) The 54.7 commissioner shall administer the state employee combined 54.8 charities campaign. This duty includes registration of combined 54.9 charitable organizations under section 309.501, and coordination 54.10 and administration of the process under which state employees 54.11 contribute to combined charitable organizations. 54.12 (b) The commissioner, in consultation with other 54.13 commissioners, shall appoint a voluntary board of state 54.14 employees to oversee the conduct of an annual combined charities 54.15 campaign. The board must, to the extent possible, represent a 54.16 cross-section of state employee groups and geographic areas 54.17 where state employees are located. The board shall provide 54.18 direction to the commissioner's employee assigned to administer 54.19 the annual campaign and shall approve any expenditure of state 54.20 funds appropriated for purposes of this subdivision. 54.21 Sec. 51. Minnesota Statutes 2000, section 43A.047, is 54.22 amended to read: 54.23 43A.047 [CONTRACTED SERVICES.] 54.24 (a) Executive agencies, including the Minnesota state 54.25 colleges and universities system, must demonstrate that they 54.26 cannot use available staff before hiring outside consultants or 54.27 services. If use of consultants is necessary, agencies are 54.28 encouraged to negotiate contracts that will involve permanent 54.29 staff, so as to upgrade and maximize training of state employees. 54.30 (b) If agencies reduce operating budgets, agencies must 54.31 give priority to reducing spending on professional and technical 54.32 service contracts before laying off permanent employees. 54.33(c) Agencies must report to the commissioner of54.34administration by November 1 each year on implementation of this54.35section during the previous fiscal year. The reports must54.36include amounts spent on professional and technical service55.1contracts during the previous fiscal year. The commissioner55.2shall compile the reports into a uniform format and forward them55.3to the chairs of the senate finance and house ways and means55.4committees by November 15.55.5 Sec. 52. Minnesota Statutes 2000, section 79.34, 55.6 subdivision 1, is amended to read: 55.7 Subdivision 1. [CONDITIONS REQUIRING MEMBERSHIP.] The 55.8 nonprofit association known as the workers' compensation 55.9 reinsurance association may be incorporated under chapter 317A 55.10 with all the powers of a corporation formed under that chapter, 55.11 except that if the provisions of that chapter are inconsistent 55.12 with sections 79.34 to 79.40, sections 79.34 to 79.40 govern. 55.13 Each insurer as defined by section 79.01, subdivision 2, shall, 55.14 as a condition of its authority to transact workers' 55.15 compensation insurance in this state, be a member of the 55.16 reinsurance association and is bound by the plan of operation of 55.17 the reinsurance association; provided, that all affiliated 55.18 insurers within a holding company system as defined in chapter 55.19 60D are considered a single entity for purposes of the exercise 55.20 of all rights and duties of membership in the reinsurance 55.21 association. Each self-insurer approved under section 176.181 55.22 and each political subdivision that self-insures shall, as a 55.23 condition of its authority to self-insure workers' compensation 55.24 liability in this state, be a member of the reinsurance 55.25 association and is bound by its plan of operation; provided that: 55.26 (1) all affiliated companies within a holding company 55.27 system, as determined by the commissioner of labor and industry 55.28 in a manner consistent with the standards and definitions in 55.29 chapter 60D, are considered a single entity for purposes of the 55.30 exercise of all rights and duties of membership in the 55.31 reinsurance association; and 55.32 (2) all group self-insurers granted authority to 55.33 self-insure pursuant to section 176.181 are considered single 55.34 entities for purposes of the exercise of all the rights and 55.35 duties of membership in the reinsurance association. As a 55.36 condition of its authority to self-insure workers' compensation 56.1 liability, and for losses incurred after December 31, 1983, the 56.2 state is a member of the reinsurance association and is bound by 56.3 its plan of operation. The commissioner of employee relations 56.4 represents the state in the exercise of all the rights and 56.5 duties of membership in the reinsurance association.The state56.6treasurer shall pay the premium to the reinsurance association56.7from the state compensation revolving fund upon warrants of the56.8commissioner of employee relations, except thatThe amounts 56.9 necessary to pay the state's premiums required for coverage by 56.10 the workers' compensation reinsurance association are 56.11 appropriated from the general fund to the commissioner of 56.12 employee relations. The University of Minnesota shall pay its 56.13 portion of workers' compensation reinsurance premiums directly 56.14 to the workers' compensation reinsurance association. For the 56.15 purposes of this section, "state" means the administrative 56.16 branch of state government, the legislative branch, the judicial 56.17 branch, the University of Minnesota, and any other entity whose 56.18 workers' compensation liability is paid from the state revolving 56.19 fund. The commissioner of finance may calculate, prorate, and 56.20 charge a department or agency the portion of premiums paid to 56.21 the reinsurance association for employees who are paid wholly or 56.22 in part by federal funds, dedicated funds, or special revenue 56.23 funds. The reinsurance association is not a state agency. 56.24 Actions of the reinsurance association and its board of 56.25 directors and actions of the commissioner of labor and industry 56.26 with respect to the reinsurance association are not subject to 56.27 chapters 13 and 15. All property owned by the association is 56.28 exempt from taxation. The reinsurance association is not 56.29 obligated to make any payments or pay any assessments to any 56.30 funds or pools established pursuant to this chapter or chapter 56.31 176 or any other law. 56.32 Sec. 53. [116T.01] [DEFINITIONS.] 56.33 For purposes of this chapter: 56.34 (1) "board" means the board of directors of Northern 56.35 Technology Initiative, Inc.; and 56.36 (2) "corporation" means Northern Technology Initiative, Inc. 57.1 Sec. 54. [116T.02] [CORPORATION; MEMBERS; BOARD OF 57.2 DIRECTORS; POWERS.] 57.3 Subdivision 1. [PUBLIC CORPORATION.] Northern Technology 57.4 Initiative, Inc. is a public corporation of the state and is not 57.5 subject to the laws governing a state agency except as provided 57.6 in this chapter. The business of the corporation must be 57.7 conducted under the name "Northern Technology Initiative, Inc." 57.8 Subd. 2. [PURPOSE.] Northern Technology Initiative, Inc. 57.9 is a regional economic initiative of Minnesota counties, 57.10 townships, home rule charter or statutory cities within 57.11 participating counties, economic development groups, state and 57.12 federal agencies, public and private post-secondary 57.13 institutions, and businesses. The project area includes, at a 57.14 minimum, the counties of Carlton, Chisago, Isanti, Kanabec, and 57.15 Pine, but may be expanded as other contiguous counties elect to 57.16 participate. The purpose of the corporation is to engage in an 57.17 integrated, jointly planned economic development effort with a 57.18 focus on encouraging growth among existing businesses and 57.19 attracting technology companies to the region served by the 57.20 corporation. A home rule charter city, statutory city, county, 57.21 township, or other public entity participating in the initiative 57.22 may budget public funds for the initiative. 57.23 Subd. 3. [BOARD OF DIRECTORS.] The corporation is governed 57.24 by a board of directors consisting of: 57.25 (1) a member of the governing body of each participating 57.26 county, appointed by the governing body; 57.27 (2) a member of the governing body of each participating 57.28 home rule charter or statutory city, appointed by the governing 57.29 body; 57.30 (3) the president of each participating post-secondary 57.31 institution; 57.32 (4) the commissioner of the department of trade and 57.33 economic development or an employee of the department designated 57.34 by the commissioner; and 57.35 (5) other members as may be provided by the bylaws adopted 57.36 and amended in accordance with subdivision 4. 58.1 The membership terms, compensation, removal, and filling of 58.2 vacancies of members of the board are governed by the bylaws of 58.3 the corporation. 58.4 Subd. 4. [BYLAWS.] The board of directors shall adopt 58.5 bylaws and publish the bylaws and amendments to the bylaws in 58.6 the State Register. The bylaws must provide for financial and 58.7 other contributions by participating entities to cover the 58.8 operation of the corporation. 58.9 Subd. 5. [PLACES OF BUSINESS.] The board shall locate and 58.10 maintain the corporation's places of business within Carlton, 58.11 Chisago, Isanti, Kanabec, or Pine county. 58.12 Subd. 6. [MEETINGS AND ACTIONS OF BOARD.] (a) The board 58.13 must meet at least twice a year and may hold additional meetings 58.14 upon giving notice in accordance with the bylaws of the 58.15 corporation. Except as provided in subdivision 7, board 58.16 meetings are subject to chapter 13D. 58.17 (b) A conference among directors by any means of 58.18 communication through which the directors may simultaneously 58.19 hear each other during the conference constitutes a board 58.20 meeting if the number of directors participating in the 58.21 conference is sufficient to constitute a quorum for the 58.22 meeting. Participation in a meeting by that means constitutes 58.23 presence in person at the meeting. 58.24 Subd. 7. [CLOSED MEETINGS; RECORDING.] The board of 58.25 directors may, by a majority vote in a public meeting, decide to 58.26 hold a closed meeting for purposes of discussing data described 58.27 in subdivision 8 or security information, trade secret 58.28 information, or labor relations information, as defined in 58.29 section 13.37, subdivision 1. The time and place of the closed 58.30 meeting must be announced at the public meeting. A written roll 58.31 of members present at the closed meeting must be made available 58.32 to the public after the closed meeting. The proceedings of a 58.33 closed meeting must be tape recorded. The data on the tape are 58.34 nonpublic data or private data on individuals as defined in 58.35 section 13.02, subdivision 9 or 12, whichever is applicable. 58.36 Subd. 8. [APPLICATION AND INVESTIGATIVE DATA.] Financial 59.1 data, statistics, and information furnished to the corporation 59.2 in connection with assistance or proposed assistance, including 59.3 credit reports; financial statements; statements of net worth; 59.4 income tax returns, either personal or corporate; and any other 59.5 business and personal financial records, are private data with 59.6 regard to data on individuals under section 13.02, subdivision 59.7 12, or nonpublic data with regard to data not on individuals 59.8 under section 13.02, subdivision 9. 59.9 Subd. 9. [CONFLICT OF INTEREST.] A director, employee, or 59.10 officer of the corporation may not participate in or vote on a 59.11 decision of the board relating to an organization in which the 59.12 director has either a direct or indirect financial interest or a 59.13 conflict of interest as described in section 10A.07. 59.14 Subd. 10. [TORT CLAIMS.] The corporation is a state agency 59.15 for purposes of section 3.736, except the corporation, not the 59.16 state, is responsible for paying for any tort liability. 59.17 Subd. 11. [DATA PRACTICES AND RECORDS MANAGEMENT.] The 59.18 corporation is subject to chapter 13 and sections 15.17 and 59.19 138.163 to 138.226. 59.20 Sec. 55. [116T.03] [CORPORATE PERSONNEL.] 59.21 Subdivision 1. [GENERALLY.] The board shall appoint and 59.22 set the compensation for the executive director who serves as 59.23 chief executive officer of the corporation. The compensation of 59.24 the executive director may not exceed 85 percent of the 59.25 governor's salary. The board may designate the executive 59.26 director as its general agent. Subject to the approval of the 59.27 board, the executive director shall employ staff consultants and 59.28 other agents necessary to carry out the mission of the 59.29 corporation. 59.30 Subd. 2. [STATUS OF EMPLOYEES.] Employees, officers, and 59.31 directors of the corporation are not state employees, but are 59.32 covered by section 3.736 and, at the option of the board, 59.33 employees may participate in the state retirement plan for 59.34 employees in the unclassified service, the state deferred 59.35 compensation plan, and an insurance plan administered by the 59.36 commissioner of employee relations. 60.1 Sec. 56. [116T.04] [POWERS AND DUTIES OF CORPORATION.] 60.2 Subdivision 1. [GENERAL POWERS AND DUTIES.] (a) The 60.3 corporation has the powers granted to a nonprofit corporation by 60.4 section 317A.161, except as otherwise provided in this chapter. 60.5 (b) Except as specified in section 116T.02, subdivision 10, 60.6 the state is not liable for the obligations of the corporation. 60.7 (c) Section 317A.161 applies to this chapter and the 60.8 corporation in the same manner that it applies to business 60.9 corporations established under chapter 317A. 60.10 Subd. 2. [RULES.] The corporation must publish in the 60.11 State Register any guidelines, policies, or eligibility criteria 60.12 prepared or adopted by the corporation for its programs. 60.13 Sec. 57. [116T.05] [AUDITS.] 60.14 The corporation is subject to the auditing requirements of 60.15 sections 3.971 and 3.972. 60.16 Sec. 58. [116T.06] [DISSOLUTION.] 60.17 In the event of dissolution of the corporation for any 60.18 reason, the bylaws must provide for return of the proceeds of 60.19 that liquidation and any wholly owned assets of the corporation 60.20 to the entities participating in Northern Technology Initiative, 60.21 Inc. in exchange for the assumption of all outstanding 60.22 obligations of the corporation. 60.23 Sec. 59. Minnesota Statutes 2000, section 136F.07, is 60.24 amended to read: 60.25 136F.07 [CHANCELLOR.] 60.26 The board shall appoint a chancellor who shall serve in the 60.27 unclassified service. The chancellor shall possess powers and 60.28 perform duties as delegated by the board. The board shall set 60.29 the salary of the chancellor according to section15A.081560.30 15A.081, subdivision 7c. 60.31 [EFFECTIVE DATE.] This section is effective the day 60.32 following final enactment. 60.33 Sec. 60. Minnesota Statutes 2000, section 136F.40, 60.34 subdivision 2, is amended to read: 60.35 Subd. 2. [COMPENSATIONCONTRACTS.]Notwithstanding any60.36other provision to the contrary, when establishing compensation61.1the board may provide, through a contract, a liquidated salary61.2amount or other compensation if a contract with a chancellor or61.3president is terminated by the board prior to its expiration.61.4Any benefits shall be excluded in computation of61.5retirement, insurance, and other benefits available through or61.6from the state. Any benefits or additional compensation must be61.7as provided under the plan approved under section 43A.18,61.8subdivision 3a.(a) The board may enter into a contract with the 61.9 chancellor, a vice-chancellor, or a president, containing terms 61.10 and conditions of employment. The terms of the contract must be 61.11 authorized under a plan approved under section 43A.18, 61.12 subdivision 3a. 61.13 (b) Notwithstanding section 43A.17, subdivision 11, or 61.14 other law to the contrary, a contract under this section may 61.15 provide a liquidated salary amount or other compensation if a 61.16 contract is terminated by the board prior to its expiration. 61.17 [EFFECTIVE DATE.] This section is effective the day 61.18 following final enactment. 61.19 Sec. 61. Minnesota Statutes 2000, section 179A.15, is 61.20 amended to read: 61.21 179A.15 [MEDIATION.] 61.22 Once notice has been given under section 179A.14, the 61.23 employer or the exclusive representative may petition the 61.24 commissioner for mediation services. 61.25 A petition by an employer shall be signed by the employer 61.26 or an authorized officer or agent. A petition by an exclusive 61.27 representative shall be signed by its authorized officer. All 61.28 petitions shall bedelivered toserved on the commissioner in 61.29person or sent by certified mailwriting. The petition shall 61.30 state briefly the nature of the disagreement of the parties. 61.31 Upon receipt of a petition and upon concluding that mediation 61.32 would be useful, the commissioner shall fix a time and place for 61.33 a conference with the parties to negotiate the issues not agreed 61.34 upon, and shall then take the most expedient steps to bring 61.35 about a settlement, including assisting in negotiating and 61.36 drafting an agreement. 62.1 If the commissioner determines that mediation would be 62.2 useful in resolving a dispute, the commissioner may mediate the 62.3 dispute even if neither party has filed a petition for 62.4 mediation. In these cases, the commissioner shall proceed as if 62.5 a petition had been filed. 62.6 The commissioner shall not furnish mediation services to 62.7 any employee or employee representative who is not certified as 62.8 an exclusive representative. 62.9 All parties shall respond to the summons of the 62.10 commissioner for conferences and shall continue in conference 62.11 until excused by the commissioner. 62.12 [EFFECTIVE DATE.] This section is effective the day 62.13 following final enactment. 62.14 Sec. 62. Minnesota Statutes 2000, section 190.06, 62.15 subdivision 1, is amended to read: 62.16 Subdivision 1. [COMPOSITION.] The militia shall consist of: 62.17 (1) all able-bodied citizens of the state and other 62.18 able-bodied persons,residing in the state who have or shall 62.19 have declared their intention to become citizens of the United 62.20 States, when so authorized by federal law, who comply with the 62.21 minimum age requirements for federal regular military service 62.22 under United States Code, title 10, section 505, and who are not 62.23 more than 45 years of age; provided, that the governor may, when 62.24 the governor deems it necessary for the defense of the state, 62.25 extend the maximum age for militia service to not more than 64 62.26 years; and 62.27 (2) persons who enlist in, are commissioned in, or are 62.28 otherwise appointed to the Minnesota national guard in 62.29 accordance with applicable federal law and regulation, including 62.30 enlisted members, warrant officers, and commissioned officers. 62.31 Sec. 63. Minnesota Statutes 2000, section 190.07, is 62.32 amended to read: 62.33 190.07 [APPOINTMENT; QUALIFICATIONS; RANK.] 62.34 There shall be an adjutant general of the state who shall 62.35 be appointed by the governor. The adjutant general shall be a 62.36 staff officer, who at the time of appointment shall be a 63.1 commissioned officer of the national guard of this state, with 63.2 not less than ten years military service in thearmed forces63.3 national guard of this state or the armed forces of the United 63.4 States, at least three of which shall have been commissioned and 63.5 who shall have reached the grade of a field officer. 63.6 The adjutant general shall hold at least the rank of major 63.7 general and may be promoted to and including the highest rank 63.8 authorized under federal law. However, the adjutant 63.9 generalshallmay not beappointedpromoted to the rank of major 63.10 general without having at least 20 years service in the 63.11 Minnesota national guard, at least one of whichone yearhas 63.12 been in the rank of brigadier general. 63.13 The term of the adjutant general is seven years from the 63.14 date of appointment. Section 15.06, subdivisions 3, 4, and 5, 63.15 governs filling of vacancies in the office of adjutant general. 63.16 The adjutant general shall not be removed from office during a 63.17 term except upon withdrawal of federal recognition or as 63.18 otherwise provided by the military laws of this state. 63.19 Sec. 64. Minnesota Statutes 2000, section 192.501, 63.20 subdivision 2, is amended to read: 63.21 Subd. 2. [TUITION AND TEXTBOOK REIMBURSEMENT GRANT 63.22 PROGRAM.] (a) The adjutant general shall establish a program to 63.23 provide tuition and textbook reimbursement grants to eligible 63.24 members of the Minnesota national guard within the limitations 63.25 of this subdivision. 63.26 (b) Eligibility is limited to a member of the national 63.27 guard who: 63.28 (1) is serving satisfactorily as defined by the adjutant 63.29 general; 63.30 (2) is attending a post-secondary educational institution, 63.31 as defined by section 136A.15, subdivision 6, including a 63.32 vocational or technical school operated or regulated by this 63.33 state or another state or province; and 63.34 (3) provides proof of satisfactory completion of 63.35 coursework, as defined by the adjutant general. 63.36 In addition, if a member of the Minnesota national guard is 64.1 killed in the line of state active service or federally funded 64.2 state active service, as defined in section 190.05, subdivisions 64.3 5a and 5b, the member's surviving spouse, and any surviving 64.4 dependent who has not yet reached 24 years of age, is eligible 64.5 for a tuition and textbook reimbursement grant. 64.6 The adjutant general may, within the limitations of this 64.7 paragraph and other applicable laws, determine additional 64.8 eligibility criteria for the grant, and must specify the 64.9 criteria in department regulations and publish changes as 64.10 necessary. 64.11 (c) The amount of a tuition and textbook reimbursement 64.12 grant must be specified on a schedule as determined and 64.13 published in department regulations by the adjutant general, but 64.14 is limited to a maximum of an amount equal to the greater of: 64.15 (1)7580 percent of the cost of tuition for lower division 64.16 programs in the college of liberal arts at the twin cities 64.17 campus of the University of Minnesota in the most recent 64.18 academic year; or 64.19 (2)5080 percent of the cost of tuition for the program in 64.20 which the person is enrolled at that Minnesota public 64.21 institution, or if that public institution is outside the state 64.22 of Minnesota, for the cost of a comparable program at the 64.23 University of Minnesota, except that in the case of a survivor 64.24 as defined in paragraph (b), the amount of the tuition and 64.25 textbook reimbursement grant for coursework satisfactorily 64.26 completed by the person is limited to 100 percent of the cost of 64.27 tuition for post-secondary courses at a Minnesota public 64.28 educational institution. 64.29 Paragraph (b) notwithstanding, a person is no longer 64.30 eligible for a grant under this subdivision once the person has 64.31 received grants under this subdivision for the equivalent of 208 64.32 quarter credits or 144 semester credits of coursework. 64.33 (d) Tuition and textbook reimbursement grants received 64.34 under this subdivision may not be considered by the Minnesota 64.35 higher education services office or by any other state board, 64.36 commission, or entity in determining a person's eligibility for 65.1 a scholarship or grant-in-aid under sections 136A.095 to 65.2 136A.1311. 65.3 (e) If a member fails to complete a term of enlistment 65.4 during which a tuition and textbook reimbursement grant was 65.5 paid, the adjutant general may seek to recoup a prorated amount 65.6 as determined by the adjutant general. 65.7 (f) The adjutant general shall maintain records and report 65.8 any findings to the legislature by March 1, 2003, on the impact 65.9 of increasing the reimbursement amounts under paragraph (c) 65.10 during the period July 1, 2001, through December 31, 2002. 65.11 (g) This paragraph, paragraph (f), and the amendments made 65.12 by this act to paragraph (c) expire June 30, 2003. 65.13 Sec. 65. Minnesota Statutes 2000, section 193.144, 65.14 subdivision 6, is amended to read: 65.15 Subd. 6. [DISPOSAL OF UNUSED SITE.] In case any land 65.16 acquired for armory site purposes hereunder has been donated to 65.17 such corporation or to the state of Minnesota by such county or 65.18 municipality or by other governmental agency except the state, 65.19 and in case such land or any part thereof shall thereafter not 65.20 be used for armory purposes for a continuous period of more than 65.21 ten years, not including the period of any war or other 65.22 emergency in which the armed forces of the state may be engaged, 65.23 the county or municipality may provide written notice to the 65.24 adjutant general and, if the property is not used for armory 65.25 purposes within one year from the notice, the adjutant general 65.26 shall reconvey the property to the donor county or 65.27 municipality. The adjutant general may reconvey the property in 65.28 less than ten years, if the adjutant general determines that the 65.29 corporation or the state has no further interest in the property. 65.30 Sec. 66. Minnesota Statutes 2000, section 193.145, 65.31 subdivision 4, is amended to read: 65.32 Subd. 4. [PAYMENTS BY ADJUTANT GENERAL.] Whether or not 65.33 bonds are issued, the adjutant general is hereby authorized to 65.34 pay to such corporation, out of any moneys which may from time 65.35 to time be appropriated to and for the military department and 65.36 not appropriated or set apart for any other specific purpose, 66.1 the sum of not less than $3,000 per year for each unit of the 66.2 national guard quartered in such armory when only one such unit 66.3 is so quartered, and the sum of not less than $2,000 per year 66.4 for each additional unit when more than one such unit is so 66.5 quartered, and may bind the office of the adjutant general, both 66.6 currently and in the future, by agreement to such corporation to 66.7 make such payments in a specific amount or amounts out of such 66.8 appropriations for a period of not more than 40 years. 66.9 Sec. 67. Minnesota Statutes 2000, section 193.148, is 66.10 amended to read: 66.11 193.148 [CONVEYANCE TO STATE.] 66.12 When payment has been made of all indebtedness incurred by 66.13 such corporation or of all funds spent by the corporation 66.14 incident to the procurement, erection, equipment, and operation 66.15 of any armory built under the provisions of sections 193.141 to 66.16 193.149, including the payment in full of the principal and 66.17 interest of all bonds issued by such corporation to cover the 66.18 cost of such armory or the full repayment of any commission 66.19 funds expended for the construction of such armory, such 66.20 corporation shall transfer and convey such armory building and 66.21 the site thereof to the state of Minnesota, for military 66.22 purposes, to be administered as are other state-owned armories. 66.23 Any unencumbered balance then held by the commission 66.24 accruing to such armory shall be retained to be applied to the 66.25 future maintenance, repair, and equipment of armories. 66.26 Sec. 68. Minnesota Statutes 2000, section 197.75, 66.27 subdivision 1, is amended to read: 66.28 Subdivision 1. [BENEFITS; ELIGIBILITY.] The commissioner 66.29 of veterans affairs shall spend a biennial appropriation for 66.30 tuition of veterans, and for tuition, fees, board, room, books 66.31 and supplies of the children of veterans who have died as a 66.32 result of their service in the armed forces of the United States 66.33 as determined by the United States Veterans Administration or 66.34 other instrumentality of the United States, in the University of 66.35 Minnesota, a state university, a community college, a technical 66.36 college, or any other university of higher learning within the 67.1 state accredited by the North Central Association of Colleges 67.2 and Secondary Schools, a law college approved by the supreme 67.3 court, a nursing school approved by the state board of nursing, 67.4 or in a trade, business, or vocational school in the state 67.5 approved by the state department of children, families, and 67.6 learning, or in a theological seminary, for any course which 67.7 such veteran or child may elect. Not more than$350$750 shall 67.8 be expended for the benefit of any individual veteran, and not 67.9 more than$350$750 in any fiscal year shall be expended for the 67.10 benefit of any child under this section, and the need for the 67.11 benefit shall be established and determined by the commissioner 67.12 of veterans affairs. No child of any veteran shall make 67.13 application for the benefits provided in this section unless the 67.14 child resided in Minnesota for at least two years immediately 67.15 prior to the date of the application. Children of veterans 67.16 eligible for benefits according to this section shall be 67.17 admitted to state institutions of university grade free of 67.18 tuition until they receive a bachelors or equivalent degree. 67.19 Payments of benefits shall be made directly to the institution 67.20 in which the course of instruction is given or to the individual 67.21 on forms prescribed by the commissioner. 67.22 Sec. 69. Minnesota Statutes 2000, section 197.75, 67.23 subdivision 2, is amended to read: 67.24 Subd. 2. [LIMITATIONS.] The benefits in subdivision 1 are 67.25 not available to a veteran who is entitled to the same or 67.26 similar benefits under a law or regulation of the United States, 67.27with the exceptions in paragraphs (a) and (b).67.28(a)except that a veteran who has been eligible for and has 67.29 used up the benefits the veteran is entitled to under the laws 67.30 of the United States is entitled to the benefits provided for by 67.31 subdivision 1. 67.32(b) A veteran who has had less than ten years of67.33eligibility for educational assistance under federal law because67.34of the December 31, 1989, delimiting date and who has lost more67.35than four months of that eligibility is entitled to the benefits67.36provided for by subdivision 1.68.1 Sec. 70. Minnesota Statutes 2000, section 214.09, 68.2 subdivision 3, as amended by Laws 2001, chapter 61, section 3, 68.3 is amended to read: 68.4 Subd. 3. [COMPENSATION.] (a) Members of the boards may be 68.5 compensated at the rate of $55 a day spent on board activities, 68.6 when authorized by the board, plus expenses in the same manner 68.7 and amount as authorized by the commissioner's plan adopted 68.8 under section 43A.18, subdivision 2. Members who, as a result 68.9 of time spent attending board meetings, incur child care 68.10 expenses that would not otherwise have been incurred, may be 68.11 reimbursed for those expenses upon board authorization. 68.12 (b) Members who are state employees or employees of the 68.13 political subdivisions of the state must not receive the daily 68.14 payment for activities that occur during working hours for which 68.15 they are also compensated by the state or political subdivision. 68.16 However, a state or political subdivision employee may receive 68.17 the daily payment if the employee uses vacation time or 68.18 compensatory time accumulated in accordance with a collective 68.19 bargaining agreement or compensation plan for board activity. 68.20 Members who are state employees or employees of the political 68.21 subdivisions of the state may receive the expenses provided for 68.22 in this subdivision unless the expenses are reimbursed by 68.23 another source. Members who are state employees or employees of 68.24 political subdivisions of the state may be reimbursed for child 68.25 care expenses only for time spent on board activities that are 68.26 outside their working hours. 68.27 (c) Each board must adopt internal standards prescribing 68.28 what constitutes a day spent on board activities for purposes of 68.29 making daily payments under this subdivision. 68.30 [EFFECTIVE DATE.] This section is effective July 1, 2001, 68.31 and applies to service on or after that date. 68.32 Sec. 71. [240A.13] [SOCCER FIELD DEVELOPMENT.] 68.33 Subdivision 1. [GRANTS.] The commission may make matching 68.34 grants to political subdivisions of the state to develop new 68.35 soccer fields for amateur athletics. In awarding grants, the 68.36 commission shall give priority to proposals from multiple 69.1 applicants. To the extent possible, over time, the commission 69.2 shall disperse grants equally among the state's congressional 69.3 districts. 69.4 Subd. 2. [MATCHING CRITERIA.] Each grant for soccer field 69.5 development under this section must be matched by recipient 69.6 communities or institutions in accordance with this 69.7 subdivision. A matching contribution may include an in-kind 69.8 contribution of land; access roadways and access roadway 69.9 improvements; and necessary utility services, landscaping, and 69.10 parking. The first $20,000 of a grant must be matched equally 69.11 by the recipient. The portion of a grant that is more than 69.12 $20,000 but not more than $75,000 must be matched by the 69.13 recipient at a rate double the amount of that portion of the 69.14 grant. The portion of a grant that is more than $75,000 must be 69.15 matched by the recipient at a rate of three times the amount of 69.16 that portion of the grant. 69.17 Sec. 72. Minnesota Statutes 2000, section 270A.07, 69.18 subdivision 1, is amended to read: 69.19 Subdivision 1. [NOTIFICATION REQUIREMENT.] Any claimant 69.20 agency, seeking collection of a debt through setoff against a 69.21 refund due, shall submit to the commissioner information 69.22 indicating the amount of each debt and information identifying 69.23 the debtor, as required by section 270A.04, subdivision 3. 69.24 For each setoff of a debt against a refund due, the 69.25 commissioner shall charge a fee of $10. The proceeds of fees 69.26 shall be allocated by depositing $2.55 of each $10 fee collected 69.27 into a department of revenue recapture revolving fund, and 69.28 depositing the remaining balance into the general fund. The 69.29 sums deposited into the revolving fund are appropriated to the 69.30 commissioner for the purpose of administering the Revenue 69.31 Recapture Act. 69.32 The claimant agency shall notify the commissioner when a 69.33 debt has been satisfied or reduced by at least $200 within 30 69.34 days after satisfaction or reduction. 69.35 [EFFECTIVE DATE.] This section is effective for revenue 69.36 recapture fees collected on or after July 1, 2001. 70.1 Sec. 73. Minnesota Statutes 2000, section 317A.123, 70.2 subdivision 1, is amended to read: 70.3 Subdivision 1. [STATEMENT.] A corporation may change its 70.4 registered office, designate or change its registered agent, or 70.5 state a change in the name of its registered agent, by filing 70.6 with the secretary of state a statement containing: 70.7 (1) the name of the corporation; 70.8 (2) if the address of its registered office is to be 70.9 changed, the new address of its registered office; 70.10 (3) if its registered agent is to be designated or changed, 70.11 the name of its new registered agent; 70.12 (4) if the name of its registered agent is to be changed, 70.13 the name of its registered agent as changed; 70.14 (5) a statement that the address of its registered office 70.15 and the address of the office of its registered agent, as 70.16 changed, will be identical; and 70.17 (6) a statement that the change of registered office or 70.18 registered agent was authorized by resolution approved by the 70.19 board. 70.20 The statement need not be accompanied by a filing fee if 70.21 the statement is being filed only to change the address of the 70.22 registered office. 70.23 [EFFECTIVE DATE.] This section is effective July 1, 2002. 70.24 Sec. 74. Minnesota Statutes 2000, section 317A.827, 70.25 subdivision 2, is amended to read: 70.26 Subd. 2. [REINSTATEMENT.] A corporation dissolved under 70.27 section 317A.823 may retroactively reinstate its corporate 70.28 existence by filing a single annual registrationand paying a70.29$25 fee. Filing the annual registration with the secretary of 70.30 state: 70.31 (1) returns the corporation to active status as of the date 70.32 of the dissolution; 70.33 (2) validates contracts or other acts within the authority 70.34 of the articles, and the corporation is liable for those 70.35 contracts or acts; and 70.36 (3) restores to the corporation all assets and rights of 71.1 the corporation and its members to the extent they were held by 71.2 the corporation and its members before the dissolution occurred, 71.3 except to the extent that assets or rights were affected by acts 71.4 occurring after the dissolution or sold or otherwise distributed 71.5 after that time. 71.6 [EFFECTIVE DATE.] This section is effective the day 71.7 following final enactment. 71.8 Sec. 75. Minnesota Statutes 2000, section 349.165, 71.9 subdivision 1, is amended to read: 71.10 Subdivision 1. [PREMISES PERMIT REQUIRED; APPLICATION.] A 71.11 licensed organization may not conduct lawful gambling at any 71.12 site unless it has first obtained from the board a premises 71.13 permit for the site. The board shall prescribe a form for 71.14 permit applications, and each application for a permit must be 71.15 submitted on a separate form.AThe premises permit issued by 71.16 the boardis valid for two yearsruns concurrently with the 71.17 license of the organization unless the premises permit is 71.18 suspended, revoked, or voluntarily terminated by the 71.19 organization. The board may by rule limit the number of 71.20 premises permits that may be issued to an organization. 71.21 Sec. 76. Minnesota Statutes 2000, section 349.165, 71.22 subdivision 3, is amended to read: 71.23 Subd. 3. [FEES.] (a) The board may issue four classes of 71.24 premises permits corresponding to the classes of licenses 71.25 authorized under section 349.16, subdivision 6. The fee for 71.26 each class of permit is: 71.27 (1) $400 for a class A permit; 71.28 (2) $250 for a class B permit; 71.29 (3) $200 for a class C permit; and 71.30 (4) $150 for a class D permit. 71.31 (b) If a premises permit is issued during the second year 71.32 of an organization's license, the fee for each class of permit 71.33 is: 71.34 (1) $200 for a class A permit; 71.35 (2) $125 for a class B permit; 71.36 (3) $100 for a class C permit; and 72.1 (4) $75 for a class D permit. 72.2 Sec. 77. Minnesota Statutes 2000, section 357.18, 72.3 subdivision 3, is amended to read: 72.4 Subd. 3. [SURCHARGE.] In addition to the fees imposed in 72.5 subdivision 1, a$4.50$5 surcharge shall be collected: on each 72.6 fee charged under subdivision 1, clauses (1) and (6), and for 72.7 each abstract certificate under subdivision 1, clause (4). 72.8 Fifty cents of each surcharge shall be retained by the county to 72.9 cover its administrative costs, 50 cents shall be appropriated 72.10 to the legislative coordinating commission for the task force on 72.11 electronic real estate recording created by Laws 2000, chapter 72.12 391, and $4 shall be paid to the state treasury and credited to 72.13 the general fund. 72.14 [EFFECTIVE DATE.] This section is effective only between 72.15 August 1, 2001, and June 30, 2003. 72.16 Sec. 78. Minnesota Statutes 2000, section 403.11, 72.17 subdivision 1, is amended to read: 72.18 Subdivision 1. [EMERGENCY TELEPHONE SERVICE FEE.] (a) Each 72.19 customer of a telephone company or communications carrier that 72.20 provides service capable of originating a 911 emergency 72.21 telephone call is assessed a fee to cover the costs of ongoing 72.22 maintenance and related improvements for trunking and central 72.23 office switching equipment for minimum 911 emergency telephone 72.24 service, plus administrative and staffing costs of the 72.25 department of administration related to managing the 911 72.26 emergency telephone service program. Recurring charges by a 72.27 public utility providing telephone service for updating the 72.28 information required by section 403.07, subdivision 3, must be 72.29 paid by the commissioner of administration if the utility is 72.30 included in an approved 911 plan and the charges have been 72.31 certified and approved under subdivision 3. The commissioner of 72.32 administration shall transfer an amount equal to two cents a 72.33 month from the fee assessed under this section on cellular and 72.34 other nonwire access services to the commissioner of public 72.35 safety for the purpose of offsetting the costs, including 72.36 administrative and staffing costs, incurred by the state patrol 73.1 division of the department of public safety in handling 911 73.2 emergency calls made from cellular phones. Money remaining in 73.3 the 911 emergency telephone service account after all other 73.4 obligations are paid must not cancel and is carried forward to 73.5 subsequent years and may be appropriated from time to time to 73.6 the commissioner of administration to provide financial 73.7 assistance to counties for the improvement of local emergency 73.8 telephone services. The improvements may include providing 73.9 access to minimum 911 service for telephone service subscribers 73.10 currently without access and upgrading existing 911 service to 73.11 include automatic number identification, local location 73.12 identification, automatic location identification, and other 73.13 improvements specified in revised county 911 plans approved by 73.14 the department. 73.15 (b) The feemay not be less than eight cents nor more than73.1630is 27 cents a month for each customer access line or other 73.17 basic access service, including trunk equivalents as designated 73.18 by the public utilities commission for access charge purposes 73.19 and including cellular and other nonwire access services. The 73.20 fee must be the same for all customers. 73.21 (c) The fee must be collected by each company or carrier 73.22 providing service subject to the fee. Fees are payable to and 73.23 must be submitted to the commissioner of administration monthly 73.24 before the 25th of each month following the month of collection, 73.25 except that fees may be submitted quarterly if less than $250 a 73.26 month is due, or annually if less than $25 a month is due. 73.27 Receipts must be deposited in the state treasury and credited to 73.28 a 911 emergency telephone service account in the special revenue 73.29 fund. The money in the account may only be used for 911 73.30 telephone services as provided in paragraph (a). 73.31 (d)The commissioner of administration, with the approval73.32of the commissioner of finance, shall establish the amount of73.33the fee within the limits specified and inform the companies and73.34carriers of the amount to be collected. Companies and carriers73.35must be given a minimum of 45 days' notice of fee changes.73.36(e)This subdivision does not apply to customers of a 74.1 telecommunications carrier as defined in section 237.01, 74.2 subdivision 6. 74.3 Sec. 79. Minnesota Statutes 2000, section 473.13, is 74.4 amended by adding a subdivision to read: 74.5 Subd. 1b. [REPORT ON CONSULTANTS.] The annual budget must 74.6 list by contract or project, expenditures for consultants and 74.7 professional, technical, and other similar services for the 74.8 preceding fiscal year and those proposed or anticipated in the 74.9 next year. The council shall consult with the state auditor and 74.10 the legislative auditor on how to coherently and effectively 74.11 communicate in the budget information on professional services 74.12 contracts, including a detailed description of the: 74.13 (1) methods the council used to obtain consultant services; 74.14 (2) criteria used by the council to award the contract; 74.15 (3) number of consultants who sought the contract; 74.16 (4) total cost of the contract; 74.17 (5) duration of the contract; and 74.18 (6) source of the funds used to pay for the contract. 74.19 Sec. 80. [473.246] [LEGISLATIVE COMMISSION ON METROPOLITAN 74.20 GOVERNMENT; REVIEW.] 74.21 The metropolitan council shall submit to the legislative 74.22 commission on metropolitan government information on the 74.23 council's tax rates and dollar amounts levied for the current 74.24 year, proposed property tax rates and levies, operating and 74.25 capital budgets, work program, capital improvement program, and 74.26 any other information requested by the commission, for review by 74.27 the legislative commission, as provided in section 3.99. 74.28 Sec. 81. Minnesota Statutes 2000, section 517.08, 74.29 subdivision 1b, is amended to read: 74.30 Subd. 1b. [TERM OF LICENSE; FEE; PREMARITAL EDUCATION.] 74.31 (a) The court administrator shall examine upon oath the party 74.32 applying for a license relative to the legality of the 74.33 contemplated marriage. If at the expiration of a five-day 74.34 period, on being satisfied that there is no legal impediment to 74.35 it, including the restriction contained in section 259.13, the 74.36 court administrator shall issue the license, containing the full 75.1 names of the parties before and after marriage, and county and 75.2 state of residence, with the district court seal attached, and 75.3 make a record of the date of issuance. The license shall be 75.4 valid for a period of six months. In case of emergency or 75.5 extraordinary circumstances, a judge of the district court of 75.6 the county in which the application is made, may authorize the 75.7 license to be issued at any time before the expiration of the 75.8 five days. Except as provided in paragraph (b), the court 75.9 administrator shall collect from the applicant a fee of $70 for 75.10 administering the oath, issuing, recording, and filing all 75.11 papers required, and preparing and transmitting to the state 75.12 registrar of vital statistics the reports of marriage required 75.13 by this section. If the license should not be used within the 75.14 period of six months due to illness or other extenuating 75.15 circumstances, it may be surrendered to the court administrator 75.16 for cancellation, and in that case a new license shall issue 75.17 upon request of the parties of the original license without 75.18 fee. A court administrator who knowingly issues or signs a 75.19 marriage license in any manner other than as provided in this 75.20 section shall pay to the parties aggrieved an amount not to 75.21 exceed $1,000. 75.22 (b) The marriage license fee for parties who have completed 75.23 at least 12 hours of premarital education is $20. In order to 75.24 qualify for the reduced fee, the parties must submit a signed 75.25 and dated statement from the person who provided the premarital 75.26 education confirming that it was received. The premarital 75.27 education must be provided by a licensed or ordained minister or 75.28 the minister's designee, a person authorized to solemnize 75.29 marriages under section 517.18, or a person authorized to 75.30 practice marriage and family therapy under section 148B.33. The 75.31 education must include the use of a premarital inventory and the 75.32 teaching of communication and conflict management skills. 75.33 (c) The statement from the person who provided the 75.34 premarital education under paragraph (b) must be in the 75.35 following form: 75.36 "I, (name of educator), confirm that (names of both 76.1 parties) received at least 12 hours of premarital education that 76.2 included the use of a premarital inventory and the teaching of 76.3 communication and conflict management skills. I am a licensed 76.4 or ordained minister, a person authorized to solemnize marriages 76.5 under Minnesota Statutes, section 517.18, or a person licensed 76.6 to practice marriage and family therapy under Minnesota 76.7 Statutes, section 148B.33." 76.8 The names of the parties in the educator's statement must 76.9 be identical to the legal names of the parties as they appear in 76.10 the marriage license application. Notwithstanding section 76.11 138.17, the educator's statement must be retained for seven 76.12 years, after which time it may be destroyed. 76.13(b)(d) If section 259.13 applies to the request for a 76.14 marriage license, the court administrator shall grant the 76.15 marriage license without the requested name change. 76.16 Alternatively, the court administrator may delay the granting of 76.17 the marriage license until the party with the conviction: 76.18 (1) certifies under oath that 30 days have passed since 76.19 service of the notice for a name change upon the prosecuting 76.20 authority and, if applicable, the attorney general and no 76.21 objection has been filed under section 259.13; or 76.22 (2) provides a certified copy of the court order granting 76.23 it. The parties seeking the marriage license shall have the 76.24 right to choose to have the license granted without the name 76.25 change or to delay its granting pending further action on the 76.26 name change request. 76.27 Sec. 82. Minnesota Statutes 2000, section 517.08, 76.28 subdivision 1c, as amended by Laws 2001, chapter 7, section 84, 76.29 is amended to read: 76.30 Subd. 1c. [DISPOSITION OF LICENSE FEE.] (a) Of the 76.31 marriage license fee collected pursuant to subdivision 76.32 1b, paragraph (a), $15 must be retained by the county. The 76.33 court administratorshallmust pay $55 to the state treasurer to 76.34 be deposited as follows: 76.35 (1) $50 in the general fund; 76.36 (2) $3 in the special revenue fund to be appropriated to 77.1 the commissioner of children, families, and learning for 77.2 parenting time centers under section 119A.37; and 77.3 (3) $2 in the special revenue fund to be appropriated to 77.4 the commissioner of health for developing and implementing the 77.5 MN ENABL program under section 145.9255. 77.6 (b) Of the $20 fee under subdivision 1b, paragraph (b), $15 77.7 must be retained by the county. The state court administrator 77.8 must pay $5 to the state treasurer to be distributed as provided 77.9 in paragraph (a), clauses (2) and (3). 77.10 Sec. 83. Minnesota Statutes 2000, section 574.26, 77.11 subdivision 2, is amended to read: 77.12 Subd. 2. [TERMS.] Except as provided in sections 574.263 77.13 and 574.264 or if the amount of the contract is$10,000$75,000 77.14 or less, a contract with a public body for the doing of any 77.15 public work is not valid unless the contractor gives (1) a 77.16 performance bond to the public body with whom the contractor 77.17 entered into the contract, for the use and benefit of the public 77.18 body to complete the contract according to its terms, and 77.19 conditioned on saving the public body harmless from all costs 77.20 and charges that may accrue on account of completing the 77.21 specified work, and (2) a payment bond for the use and benefit 77.22 of all persons furnishing labor and materials engaged under, or 77.23 to perform the contract, conditioned for the payment, as they 77.24 become due, of all just claims for the labor and materials. 77.25 Reasonable attorneys' fees, costs, and disbursements may be 77.26 awarded in an action to enforce claims under the act if the 77.27 action is successfully maintained or successfully appealed. 77.28 Sec. 84. Minnesota Statutes 2000, section 645.44, is 77.29 amended by adding a subdivision to read: 77.30 Subd. 15a. [MUST.] "Must" is mandatory. 77.31 Sec. 85. Laws 1997, chapter 202, article 2, section 61, as 77.32 amended by Laws 1999, chapter 250, article 1, section 106, is 77.33 amended to read: 77.34 Sec. 61. [VOLUNTARY UNPAID LEAVE OF ABSENCE.] 77.35 Appointing authorities in state government may allow each 77.36 employee to take an unpaid leave of absence for up to 160 hours 78.1 during the period ending June 30,20012005. Each appointing 78.2 authority approving such a leave shall allow the employee to 78.3 continue accruing vacation and sick leave, be eligible for paid 78.4 holidays and insurance benefits, accrue seniority, and accrue 78.5 service credit in state retirement plans permitting service 78.6 credits for authorized leaves of absence as if the employee had 78.7 actually been employed during the time of the leave. If the 78.8 leave of absence is for one full pay period or longer, any 78.9 holiday pay shall be included in the first payroll warrant after 78.10 return from the leave of absence. The appointing authority 78.11 shall attempt to grant requests for unpaid leaves of absence 78.12 consistent with the need to continue efficient operation of the 78.13 agency. However, each appointing authority shall retain 78.14 discretion to grant or refuse to grant requests for leaves of 78.15 absence and to schedule and cancel leaves, subject to applicable 78.16 provisions of collective bargaining agreements and compensation 78.17 plans. 78.18 Sec. 86. Laws 1998, chapter 366, section 80, is amended to 78.19 read: 78.20 Sec. 80. [SETTLEMENT DIVISION; TRANSFER OF JUDGES.] 78.21 The office of administrative hearings shall establish a 78.22 settlement division. The workers' compensation judges at the 78.23 department of labor and industry, together with their support 78.24 staff, offices, furnishings, equipment, and supplies, are 78.25 transferred to the settlement division of the office of 78.26 administrative hearings. Minnesota Statutes, section 15.039, 78.27 applies to the transfer of employees. The settlement division 78.28 of the office of administrative hearings shall maintain offices 78.29 in either Hennepin or Ramsey county and the cities ofSt. Paul,78.30 Duluth,and Detroit Lakes. The office of a judge in the 78.31 settlement division of the office of administrative hearings and 78.32 the support staff of the judge may be located in a building that 78.33 contains offices of the department of labor and industry. The 78.34 seniority of a workers' compensation judge at the office of 78.35 administrative hearings, after the transfer, shall be based on 78.36 the total length of service as a judge at either agency. For 79.1 purposes of the commissioner's plan under Minnesota Statutes, 79.2 section 43A.18, subdivision 2, all compensation judges at the 79.3 office of administrative hearings shall be considered to be in 79.4 the same employment condition, the same organizational unit and 79.5 qualified for work in either division. 79.6 Sec. 87. Laws 1999, chapter 250, article 1, section 12, 79.7 subdivision 3, as amended by Laws 2000, chapter 488, article 12, 79.8 section 1, subdivision 1, is amended to read: 79.9 Subd. 3. Office of Technology 79.10 5,499,000 2,707,000 79.11 The commissioner of administration 79.12 shall develop and submit to the chairs 79.13 of the senate governmental operations 79.14 budget division and the house state 79.15 government finance committee by January 79.16 15, 2000, a long-range plan identifying 79.17 the mission and goals of the office of 79.18 technology. The appropriation for the 79.19 second year is not available until the 79.20 plan has been approved by a law enacted 79.21 at the 2000 regular session. 79.22 Summary by Fund 79.23 General 5,071,000 2,707,000 79.24 State Government 79.25 Special Revenue 168,000 -0- 79.26 Workers' 79.27 Compensation 260,000 -0- 79.28 The amounts that may be spent from this 79.29 appropriation for each purpose are as 79.30 follows: 79.31 (a) Administrative Services 79.32 2,871,000 2,707,000 79.33 $468,000 the first year and $468,000 79.34 the second year are for ongoing costs 79.35 of the North Star II project under 79.36 Minnesota Statutes, section 16E.07. 79.37 (b) One-Stop Business Licensing 79.38 $500,000 the first year is a one-time 79.39 appropriation for the one-stop business 79.40 licensing system project under 79.41 Minnesota Statutes, section 16E.08. 79.42 The commissioner shall report on the 79.43 progress of this project to the chairs 79.44 of the legislative committees 79.45 responsible for this budget item by 79.46 January 15, 2000, and 2001. Before the 79.47 system is put into operation, the 79.48 security information technology project 79.49 of the commissioner of administration 79.50 shall perform a security audit of the 79.51 system and submit a report on the audit 80.1 to the chairs of the governmental 80.2 operations budget division of the 80.3 senate and the state government finance 80.4 committee of the house of 80.5 representatives. 80.6 (c) Small Agency Infrastructure 80.7 Summary by Fund 80.8 General 1,700,000 -0- 80.9 State Government 80.10 Special Revenue 168,000 -0- 80.11 Workers' 80.12 Compensation 260,000 -0- 80.13 This appropriation is for a one-time 80.14 transfer to eligible small agencies for 80.15 the small agency infrastructure 80.16 project. The commissioner of 80.17 administration shall determine 80.18 priorities for which projects should be 80.19 funded, except that $323,000 is for the 80.20 public utilities commission. An agency 80.21 whose strategic plan for information 80.22 technology was not approved before 80.23 April 1, 1999, may not receive money 80.24 from this appropriation. This 80.25 appropriation is available until June 80.26 30, 2003.The commissioner shall80.27report on the progress of this project80.28to the chairs of the legislative80.29committees responsible for this budget80.30item by January 15, 2000, 2001, and80.312002.80.32 [EFFECTIVE DATE.] This section is effective the day 80.33 following final enactment. 80.34 Sec. 88. [APPLICATION.] 80.35 Sections 79 and 80 apply in the counties of Anoka, Carver, 80.36 Dakota, Hennepin, Ramsey, Scott, and Washington. 80.37 Sec. 89. [INITIAL BOARD.] 80.38 The initial board of Northern Technology, Inc. consists of 80.39 the president of Pine Technical College and one member of each 80.40 of the governing bodies of Carlton, Chisago, Isanti, Kanabec, 80.41 and Pine counties, appointed by the governing bodies. Members 80.42 of the initial board must be appointed within 30 days of the 80.43 effective date of this act and must adopt bylaws within 30 days 80.44 of the appointment of the last board member appointed under this 80.45 section. Any additional board members required under the bylaws 80.46 or Minnesota Statutes, section 116T.02, subdivision 3, must take 80.47 office or be appointed within 30 days after the adoption of 80.48 bylaws under this section. 81.1 Sec. 90. [HIAWATHA AVENUE LIGHT RAIL TRANSIT COST 81.2 CALCULATION.] 81.3 (a) The office of the legislative auditor shall prepare a 81.4 complete accounting of all federal, state, and local costs 81.5 relating to the Hiawatha avenue light rail transit line. The 81.6 cost accounting must include: 81.7 (1) planning, environmental studies, and preliminary and 81.8 final design and engineering for the project; 81.9 (2) construction and other capital costs of the light rail 81.10 transit line when completed; 81.11 (3) improvements and repairs to and reconstruction of state 81.12 and local streets and highways incurred and anticipated as a 81.13 result of the project; 81.14 (4) all costs of utility relocation resulting from the 81.15 project; 81.16 (5) all costs incurred by the department of transportation 81.17 with respect to public information and communications about the 81.18 project; 81.19 (6) construction, acquisition, or lease of park-and-ride 81.20 facilities that would serve project riders, including costs of 81.21 relocating other public facilities to make room for those 81.22 park-and-ride facilities; 81.23 (7) projected costs of connecting the Hiawatha avenue light 81.24 rail transit line with commuter rail facilities; 81.25 (8) any costs necessitated by the project and included in 81.26 the project budget for the reconstruction of marked trunk 81.27 highway No. 55, to the extent not included under clause (3); and 81.28 (9) all public costs relating to the acquisition of real 81.29 property for the line and for the purchase and development of 81.30 real property adjacent to the project right-of-way. 81.31 (b) The legislative auditor shall submit an interim report 81.32 of the cost accounting to the legislature by March 1, 2002, and 81.33 shall submit a final report to the legislature by March 1, 2003. 81.34 Sec. 91. [JESSE JAMES DAYS BLEACHERS.] 81.35 Notwithstanding Minnesota Statutes, section 16B.616, 81.36 subdivisions 3 and 4, the defeat of Jesse James committee, a 82.1 nonprofit corporation located in Northfield, Minnesota, need not 82.2 provide a signed certificate of compliance with bleacher safety 82.3 standards before January 1, 2003, with respect to bleachers 82.4 erected by the committee before August 1, 1999, for use during 82.5 the defeat of Jesse James days celebration week. 82.6 Sec. 92. [PAY EQUITY STUDY.] 82.7 The commissioner of employee relations shall convene a work 82.8 group to examine the practices and progress of the local 82.9 government pay equity act. The commissioner must report the 82.10 findings of the group to the legislature by January 15, 2002. 82.11 Sec. 93. [SHALL/MUST.] 82.12 The revisor of statutes, in consultation with the directors 82.13 of house research and senate counsel and research, must report 82.14 to the house of representatives and senate rules committees and 82.15 the legislative coordinating commission by November 1, 2001, on 82.16 a proposal to change "shall" to "must" in Minnesota Statutes. 82.17 Sec. 94. [LOCATING STATE AGENCIES.] 82.18 It is the policy of the Minnesota legislature to ensure 82.19 that state government services are available to all people of 82.20 our state. 82.21 Therefore, the office of strategic and long-range planning, 82.22 in cooperation with the departments of administration and 82.23 finance, shall develop criteria for the proper location of state 82.24 agencies or parts of state agencies. The purpose of these 82.25 criteria will be to evaluate the advantages and disadvantages of 82.26 proposals to relocate and decentralize state services and 82.27 facilities. 82.28 The office shall report its recommendations to the senate 82.29 finance committee, senate capital investment committee, house 82.30 ways and means committee, and house capital investment committee 82.31 by January 15, 2002. 82.32 Sec. 95. [RATIFICATIONS.] 82.33 Subdivision 1. [UNREPRESENTED MANAGERS; MINNESOTA STATE 82.34 COLLEGES AND UNIVERSITIES.] The amendments to the plan for 82.35 administrators of the Minnesota state colleges and universities, 82.36 approved by the legislative coordinating commission subcommittee 83.1 on employee relations on July 21, 2000, are ratified. 83.2 Subd. 2. [SALARIES FOR HEADS OF STATE AGENCIES.] The 83.3 proposal to increase the salaries of certain heads of state 83.4 agencies, approved by the legislative coordinating commission 83.5 subcommittee on employee relations on July 21, 2000, is ratified. 83.6 Subd. 3. [ENGINEERS.] The arbitration award and labor 83.7 agreement between the state of Minnesota and the Minnesota 83.8 government engineers council, approved by the legislative 83.9 coordinating commission subcommittee on employee relations on 83.10 September 8, 2000, are ratified. 83.11 Subd. 4. [SALARIES FOR CERTAIN HEADS OF STATE 83.12 AGENCIES.] The proposals to increase the salaries of the 83.13 directors of the state board of investment and the teachers 83.14 retirement association, as approved by the legislative 83.15 coordinating commission subcommittee on employee relations on 83.16 September 8, 2000, are ratified. 83.17 [EFFECTIVE DATE.] This section is effective retroactively 83.18 to May 21, 2001. 83.19 Sec. 96. [REVISOR'S INSTRUCTION.] 83.20 The revisor of statutes shall renumber Minnesota Statutes, 83.21 section 16B.88, as Minnesota Statutes, section 4.50. 83.22 Sec. 97. [TRANSFERS.] 83.23 The office of citizenship and volunteer services is 83.24 transferred from the department of administration to the office 83.25 of the governor according to Minnesota Statutes, section 15.039. 83.26 Sec. 98. [WORK PLAN APPROPRIATIONS.] 83.27 (a) $650,000 is appropriated from the surcharge collected 83.28 under Minnesota Statutes, section 357.18, subdivision 3, to the 83.29 legislative coordinating commission, to be made available to the 83.30 real estate task force established in accordance with Laws 2000, 83.31 chapter 391, for the expenses of the task force in carrying out 83.32 the work plan as described in the January 15, 2001, task force 83.33 report to the legislature. This appropriation is available 83.34 until June 30, 2003, and is to be administered at the direction 83.35 of the chair of the task force, subject to the prior approval of 83.36 the task force. 84.1 (b) $500,000 is appropriated from the surcharge collected 84.2 under Minnesota Statutes, section 357.18, subdivision 3, to the 84.3 legislative coordinating commission, to be made available to the 84.4 task force for the development and implementation of pilot 84.5 electronic real estate projects in diverse counties as described 84.6 in the January 15, 2001, task force report to the legislature. 84.7 This appropriation is available until June 30, 2003. 84.8 Sec. 99. [LEGISLATIVE COORDINATING COMMISSION; DUTIES; 84.9 APPROPRIATION.] 84.10 (a) The real estate task force established under Laws 2000, 84.11 chapter 391, may contract with the legislative coordinating 84.12 commission for the provision of administrative services to, the 84.13 preparation of requests for proposal, or the disbursement of 84.14 funds for the payment of vendors, salaries, and other expenses 84.15 of the task force. 84.16 (b) $50,000 is appropriated from the surcharge collected 84.17 under Minnesota Statutes, section 357.18, subdivision 3, to the 84.18 legislative coordinating commission for the purpose of paragraph 84.19 (a). 84.20 Sec. 100. [DONATIONS.] 84.21 The real estate task force established under Laws 2000, 84.22 chapter 391, may accept donations of money or resources, 84.23 including loaned employees or other services. The donations 84.24 must be under the sole control of the task force. 84.25 Sec. 101. [LEGISLATIVE AND EXECUTIVE BRANCH ASSISTANCE.] 84.26 Whenever possible, legislative employees and agencies in 84.27 the executive branch shall assist the real estate task force 84.28 established under Laws 2000, chapter 391, in carrying out its 84.29 duties. 84.30 Sec. 102. [REPEALER.] 84.31 (a) Minnesota Statutes 2000, sections 16E.08; 129D.06; and 84.32 179A.07, subdivision 7, are repealed. 84.33 (b) Minnesota Statutes 2000, sections 16A.67; 16A.6701; and 84.34 246.18, subdivision 7, are repealed. 84.35 (c) Minnesota Statutes 2000, section 43A.18, subdivision 5, 84.36 is repealed. 85.1 [EFFECTIVE DATE.] Paragraph (b) of this section is 85.2 effective December 31, 2001. Paragraph (c) of this section is 85.3 effective the day following final enactment. 85.4 Sec. 103. [EFFECTIVE DATE.] 85.5 Unless otherwise specified, this article is effective July 85.6 1, 2001. 85.7 ARTICLE 3 85.8 VARIOUS ADMINISTRATIVE PROVISIONS 85.9 Section 1. Minnesota Statutes 2000, section 3A.03, 85.10 subdivision 2, is amended to read: 85.11 Subd. 2. [REFUND.](1)(a) Anypersonformer member who 85.12 has made contributionspursuant tounder subdivision 1 and who 85.13 is no longer a member of the legislature is entitled to receive, 85.14 upon application to the director, a refund of all contributions 85.15 credited to the member's account with interest at an annual rate 85.16 of six percent compounded annually. 85.17(2)(b) The refund of contributions as provided in clause 85.18 (1) terminates all rights of a former member of the legislature 85.19 or the survivors of the former member under this 85.20 chapter.ShouldIf the former member of the legislature 85.21 againbebecomes a member of the legislature after having taken 85.22 a refund as providedabovein paragraph (a), the membershall85.23 must be considered a new member. However, a new member may 85.24 reinstate the rights and credit for service forfeited,85.25providedif the new member repays all refunds taken plus 85.26 interest at an annual rate of 8.5 percent compounded annually. 85.27(3)(c) No personshallmay be required to apply for or 85.28 to accept a refund. 85.29 Sec. 2. Minnesota Statutes 2000, section 11A.18, 85.30 subdivision 7, is amended to read: 85.31 Subd. 7. [PARTICIPATION AND FINANCIAL REPORTING IN FUND.] 85.32 (a) Each participating public retirement fund or plan which has 85.33 transferred money to the state board for investment in the 85.34 postretirement investment fund shall have an undivided 85.35 participation in the fund. The participation on any valuation 85.36 dateshallmust be determined by adding to the participation on 86.1 the prior valuation date:(a)(1) funds transferred in 86.2 accordance with subdivision 6, (b); (2) the amount of required 86.3 investment income on its participation as defined in subdivision 86.4 9,clause (1)(c)paragraph (c), clause (1); and(c)(3) the 86.5 reserves for any benefit adjustment made as of the current 86.6 valuation date with the result adjusted for any mortality gains 86.7 or losses determinedpursuant tounder subdivision 11. 86.8 (b) The total fair market value of the postretirement fund 86.9 as of June 30 must be calculated in accordance with generally 86.10 accepted accounting principles. The fair market value share of 86.11 each fund participating in the postretirement investment fund 86.12 must be allocated by adding to the fair market value at the 86.13 beginning of the fiscal year: (1) 100 percent of the funds 86.14 transferred in accordance with subdivision 6; and (2) a pro rata 86.15 distribution of unrealized gains or losses, based on a weighted 86.16 percentage of participation at the end of each month of the 86.17 fiscal year. 86.18 Sec. 3. [13.632] [TEACHERS RETIREMENT FUND ASSOCIATION 86.19 DATA; CERTAIN CITIES.] 86.20 Subdivision 1. [BENEFICIARY AND SURVIVOR DATA.] The 86.21 following data on beneficiaries and survivors of the Minneapolis 86.22 teachers retirement fund association, the St. Paul teachers 86.23 retirement fund association, and the Duluth teachers retirement 86.24 fund association members are private data on individuals: home 86.25 address, date of birth, direct deposit number, and tax 86.26 withholding data. 86.27 Subd. 2. [LIMITS ON DISCLOSURE.] Required disclosure of 86.28 data about members, survivors, and beneficiaries is limited to 86.29 name, gross annuity or benefit amount, and type of annuity or 86.30 benefit awarded. 86.31 Sec. 4. Minnesota Statutes 2000, section 352.01, 86.32 subdivision 2a, is amended to read: 86.33 Subd. 2a. [INCLUDED EMPLOYEES.] (a) "State employee" 86.34 includes: 86.35 (1) employees of the Minnesota historical society; 86.36 (2) employees of the state horticultural society; 87.1 (3) employees of the Disabled American Veterans, Department 87.2 of Minnesota, Veterans of Foreign Wars, Department of Minnesota, 87.3 if employed before July 1, 1963; 87.4 (4) employees of the Minnesota crop improvement 87.5 association; 87.6 (5) employees of the adjutant general who are paid from 87.7 federal funds and who are not covered by any federal civilian 87.8 employees retirement system; 87.9 (6) employees of the Minnesota state colleges and 87.10 universities employed under the university or college activities 87.11 program; 87.12 (7) currently contributing employees covered by the system 87.13 who are temporarily employed by the legislature during a 87.14 legislative session or any currently contributing employee 87.15 employed for any special service as defined in subdivision 2b, 87.16 clause (8); 87.17 (8) employees of the armory building commission; 87.18 (9) employees of the legislature appointed without a limit 87.19 on the duration of their employment and persons employed or 87.20 designated by the legislature or by a legislative committee or 87.21 commission or other competent authority to conduct a special 87.22 inquiry, investigation, examination, or installation; 87.23 (10) trainees who are employed on a full-time established 87.24 training program performing the duties of the classified 87.25 position for which they will be eligible to receive immediate 87.26 appointment at the completion of the training period; 87.27 (11) employees of the Minnesota safety council; 87.28 (12) any employees on authorized leave of absence from the 87.29 transit operating division of the former metropolitan transit 87.30 commission who are employed by the labor organization which is 87.31 the exclusive bargaining agent representing employees of the 87.32 transit operating division; 87.33 (13) employees of the metropolitan council, metropolitan 87.34 parks and open space commission, metropolitan sports facilities 87.35 commission, metropolitan mosquito control commission, or 87.36 metropolitan radio board unless excluded or covered by another 88.1 public pension fund or plan under section 473.415, subdivision 88.2 3; 88.3 (14) judges of the tax court; 88.4 (15) personnel employed on June 30, 1992, by the University 88.5 of Minnesota in the management, operation, or maintenance of its 88.6 heating plant facilities, whose employment transfers to an 88.7 employer assuming operation of the heating plant facilities, so 88.8 long as the person is employed at the University of Minnesota 88.9 heating plant by that employer or by its successor organization; 88.10 and 88.11 (16) seasonal help in the classified service employed by 88.12 the department of revenue; and88.13(17) a person who renders teaching or other service for the88.14Minnesota state colleges and universities system and who also88.15renders service on a part-time basis for an employer with88.16employees covered by the general state employees retirement plan88.17of the Minnesota state retirement system, for all service with88.18the Minnesota state colleges and universities system, if the88.19person's nonteaching service comprises at least 50 percent of88.20the combined total salary received by the person as determined88.21by the chancellor of the Minnesota state colleges and88.22universities system or if the person is certified for general88.23state employees retirement plan coverage by the chancellor of88.24the Minnesota state colleges and universities system. 88.25 (b) Employees specified in paragraph (a), clause (15), are 88.26 included employees under paragraph (a) if employer and employee 88.27 contributions are made in a timely manner in the amounts 88.28 required by section 352.04. Employee contributions must be 88.29 deducted from salary. Employer contributions are the sole 88.30 obligation of the employer assuming operation of the University 88.31 of Minnesota heating plant facilities or any successor 88.32 organizations to that employer. 88.33 Sec. 5. Minnesota Statutes 2000, section 352.01, 88.34 subdivision 2b, is amended to read: 88.35 Subd. 2b. [EXCLUDED EMPLOYEES.] "State employee" does not 88.36 include: 89.1 (1)elective state officers;89.2(2)students employed by the University of Minnesota, or 89.3 the state colleges and universities,and community colleges89.4 unless approved for coverage by the board of regents or the 89.5 board of trustees of the Minnesota state colleges and 89.6 universities, as the case may be; 89.7(3)(2) employees who are eligible for membership in the 89.8 state teachers retirement association, except employees of the 89.9 department of children, families, and learning who have chosen 89.10 or may choose to be covered by the general state employees 89.11 retirement plan of the Minnesota state retirement system instead 89.12 of the teachers retirement association; 89.13(4)(3) employees of the University of Minnesota who are 89.14 excluded from coverage by action of the board of regents; 89.15(5)(4) officers and enlisted personnel in the national 89.16 guard and the naval militia who are assigned to permanent 89.17 peacetime duty and who under federal law are or are required to 89.18 be members of a federal retirement system; 89.19(6)(5) election officers; 89.20(7)(6) persons who are engaged in public work for the 89.21 state but who are employed by contractors when the performance 89.22 of the contract is authorized by the legislature or other 89.23 competent authority; 89.24(8)(7) officers and employees of the senateand, or of the 89.25 house of representatives, or of a legislative committee or 89.26 commission who are temporarily employed; 89.27(9)(8) receivers, jurors, notaries public, and court 89.28 employees who are not in the judicial branch as defined in 89.29 section 43A.02, subdivision 25, except referees and adjusters 89.30 employed by the department of labor and industry; 89.31(10)(9) patient and inmate help in state charitable, 89.32 penal, and correctional institutions including the Minnesota 89.33 veterans home; 89.34(11)(10) persons who are employed for professional 89.35 services where the service is incidental to their regular 89.36 professional duties and whose compensation is paid on a per diem 90.1 basis; 90.2(12)(11) employees of the Sibley House Association; 90.3(13)(12) the members of any state board or commission who 90.4 serve the state intermittently and are paid on a per diem basis; 90.5 the secretary, secretary-treasurer, and treasurer of those 90.6 boards if their compensation is $5,000 or less per year, or, if 90.7 they are legally prohibited from serving more than three years; 90.8 and the board of managers of the state agricultural society and 90.9 its treasurer unless the treasurer is also its full-time 90.10 secretary; 90.11(14)(13) state troopers; 90.12(15)(14) temporary employees of the Minnesota state fair 90.13 who are employed on or after July 1 for a period not to extend 90.14 beyond October 15 of that year; and persons who are employed at 90.15 any time by the state fair administration for special events 90.16 held on the fairgrounds; 90.17(16)(15) emergency employees who are in the classified 90.18 service; except that if an emergency employee, within the same 90.19 pay period, becomes a provisional or probationary employee on 90.20 other than a temporary basis, the employee shall be considered a 90.21 "state employee" retroactively to the beginning of the pay 90.22 period; 90.23(17)(16) persons who are described in section 352B.01, 90.24 subdivision 2, clauses (2) to (5); 90.25(18)(17) temporary employees in the classified service, 90.26 and temporary employees in the unclassified service who are 90.27 appointed for a definite period of not more than six months 90.28 and who are employed less than six months in any one-year 90.29 period; 90.30(19)(18) trainee employees, except those listed in 90.31 subdivision 2a, clause (10); 90.32(20)(19) persons whose compensation is paid on a fee 90.33 basis; 90.34(21)(20) state employees who are employed by the board of 90.35 trustees of the Minnesota state colleges and universities in 90.36 unclassified positions enumerated in section 43A.08, subdivision 91.1 1, clause (9); 91.2 (21) state employees who in any year have credit for 12 91.3 months service as teachers in the public schools of the state 91.4 and as teachers are members of the teachers retirement 91.5 association or a retirement system in St. Paul, Minneapolis, or 91.6 Duluth; 91.7 (22) employees of the adjutant general who are employed on 91.8 an unlimited intermittent or temporary basis in the 91.9 classifiedandor unclassified service for the support of army 91.10 and air national guard training facilities; 91.11 (23) chaplains and nuns who are excluded from coverage 91.12 under the federal Old Age, Survivors, Disability, and Health 91.13 Insurance Program for the performance of service as specified in 91.14 United States Code, title 42, section 410(a)(8)(A), as amended, 91.15 if no irrevocable election of coverage has been made under 91.16 section 3121(r) of the Internal Revenue Code of 1986, as amended 91.17 through December 31, 1992; 91.18 (24) examination monitors who are employed by departments, 91.19 agencies, commissions, and boards to conduct examinations 91.20 required by law; 91.21 (25) persons who are appointed to serve as members of 91.22 fact-finding commissions or adjustment panels, arbitrators, or 91.23 labor referees under chapter 179; 91.24 (26) temporary employees who are employed for limited 91.25 periods under any state or federal program for training or 91.26 rehabilitation, including persons who are employed for limited 91.27 periods from areas of economic distressexcept, but not 91.28 including skilled and supervisory personnel and persons having 91.29 civil service status covered by the system; 91.30 (27) full-time students who are employed by the Minnesota 91.31 historical society intermittently during part of the year and 91.32 full-time during the summer months; 91.33 (28) temporary employees,who are appointed for not more 91.34 than six months, of the metropolitan council and of any of its 91.35 statutory boards, if the board members are appointed by the 91.36 metropolitan council; 92.1 (29) persons who are employed in positions designated by 92.2 the department of employee relations as student workers; 92.3 (30) members of trades who are employed by the successor to 92.4 the metropolitan waste control commissionwith, who have trade 92.5 union pension plan coverage under a collective bargaining 92.6 agreement, and who are first employed after June 1, 1977; 92.7 (31) persons who are employed in subsidized on-the-job 92.8 training, work experience, or public service employment as 92.9 enrollees under the federal Comprehensive Employment and 92.10 Training Act after March 30, 1978, unless the person has as of 92.11 the later of March 30, 1978, or the date of employment 92.12 sufficient service credit in the retirement system to meet the 92.13 minimum vesting requirements for a deferred annuity, or the 92.14 employer agrees in writing on forms prescribed by the director 92.15 to make the required employer contributions, including any 92.16 employer additional contributions, on account of that person 92.17 from revenue sources other than funds provided under the federal 92.18 Comprehensive Employment and Training Act, or the person agrees 92.19 in writing on forms prescribed by the director to make the 92.20 required employer contribution in addition to the required 92.21 employee contribution; 92.22 (32) off-duty peace officers while employed by the 92.23 metropolitan council; 92.24 (33) persons who are employed as full-time police officers 92.25 by the metropolitan council and as police officers are members 92.26 of the public employees police and fire fund; 92.27 (34) persons who are employed as full-time firefighters by 92.28 the department of military affairs and as firefighters are 92.29 members of the public employees police and fire fund; 92.30 (35) foreign citizens with a work permit of less than three 92.31 years, or an H-1b/JV visa valid for less than three years of 92.32 employment, unless notice of extension is supplied which allows 92.33 them to work for three or more years as of the date the 92.34 extension is granted, in which case they are eligible for 92.35 coverage from the date extended; and 92.36 (36) persons who are employed by the board of trustees of 93.1 the Minnesota state colleges and universities and who elect to 93.2 remain members of the public employees retirement association or 93.3 the Minneapolis employees retirement fund, whichever applies, 93.4 under section 136C.75. 93.5 Sec. 6. Minnesota Statutes 2000, section 352.113, 93.6 subdivision 4, is amended to read: 93.7 Subd. 4. [MEDICAL OR PSYCHOLOGICAL EXAMINATIONS; 93.8 AUTHORIZATION FOR PAYMENT OF BENEFIT.] An applicant shall 93.9 provide medical or psychological evidence to support an 93.10 application for total and permanent disability. The director 93.11 shall have the employee examined by at least one additional 93.12 licensed chiropractor, physician, or psychologist designated by 93.13 the medical adviser. The chiropractors, physicians, or 93.14 psychologists shall make written reports to the director 93.15 concerning the employee's disability including medical opinions 93.16 as to whether the employee is permanently and totally disabled 93.17 within the meaning of section 352.01, subdivision 17. The 93.18 director shall also obtain written certification from the 93.19 employer stating whether the employment has ceased or whether 93.20 the employee is on sick leave of absence because of a disability 93.21 that will prevent further service to the employer and as a 93.22 consequence the employee is not entitled to compensation from 93.23 the employer. The medical adviser shall consider the reports of 93.24 the physicians, psychologists, and chiropractors and any other 93.25 evidence supplied by the employee or other interested parties. 93.26 If the medical adviser finds the employee totally and 93.27 permanently disabled, the adviser shall make appropriate 93.28 recommendation to the director in writing together with the date 93.29 from which the employee has been totally disabled. The director 93.30 shall then determine if the disability occurred within 180 days 93.31 of filing the application, while still in the employment of the 93.32 state, and the propriety of authorizing payment of a disability 93.33 benefit as provided in this section. A terminated employee may 93.34 apply for a disability benefit within 180 days of termination as 93.35 long as the disability occurred while in the employment of the 93.36 state. The fact that an employee is placed on leave of absence 94.1 without compensation because of disability does not bar that 94.2 employee from receiving a disability benefit. Unless payment of 94.3 a disability benefit has terminated because the employee is no 94.4 longer totally disabled, or because the employee has reached 94.5 normal retirement age as provided in this section, the 94.6 disability benefit shall cease with the last payment received by 94.7 the disabled employee or which had accrued during the lifetime 94.8 of the employee unless there is a spouse surviving; in that 94.9 event the surviving spouse is entitled to the disability benefit 94.10 for the calendar month in which the disabled employee died. 94.11 Sec. 7. Minnesota Statutes 2000, section 352.113, 94.12 subdivision 6, is amended to read: 94.13 Subd. 6. [REGULAR MEDICAL OR PSYCHOLOGICAL EXAMINATIONS.] 94.14 At least once each year during the first five years following 94.15 the allowance of a disability benefit to any employee, and at 94.16 least once in every three-year period thereafter, the director 94.17 may require any disabled employee to undergo a medical or 94.18 psychological examination. The examination must be made at the 94.19 place of residence of the employee, or at any place mutually 94.20 agreed upon, by a physician or physicians designated by the 94.21 medical adviser and engaged by the director. If any examination 94.22 indicates to the medical adviser that the employee is no longer 94.23 permanently and totally disabled, or is engaged in or can engage 94.24 in a gainful occupation, payments of the disability benefit by 94.25 the fund must be discontinued. The payments shall discontinue 94.26 as soon as the employee is reinstated to the payroll following 94.27 sick leave, but in no case shall payment be made for more than 94.28 60 days after the medical adviser finds that the employee is no 94.29 longer permanently and totally disabled. 94.30 Sec. 8. Minnesota Statutes 2000, section 352.22, 94.31 subdivision 8, is amended to read: 94.32 Subd. 8. [REFUND SPECIFICALLY LIMITED.] If a former 94.33 employee covered by the system does not apply for refund within 94.34 five years after the last deduction was taken from salary for 94.35 the retirement fund, and does not have enough service to qualify 94.36 for a deferred annuity, accumulated contributions must be 95.1 credited to and become a part of the retirement fund. If the 95.2 former employee returns to state service and becomes a state 95.3 employee covered by the system, the amount credited to the 95.4 retirement fund, if more than$2$25,shallmust be restored to 95.5 the individual account. If the amount credited to the fund is 95.6 over$2$25 and the former employee applies for refund or an 95.7 annuity under section 352.72, the amount must be restored to the 95.8 former employee's individual account and a refund made or an 95.9 annuity paid, whichever applies. 95.10 Sec. 9. Minnesota Statutes 2000, section 352.87, 95.11 subdivision 4, is amended to read: 95.12 Subd. 4. [NON-JOB-RELATED DISABILITY BENEFITS.] An 95.13 eligible member described in subdivision 1, who is less than 5595.14years of age andwho becomes disabled and physically or mentally 95.15 unfit to perform the duties of the position because of sickness 95.16 or injury while not engaged in covered employment,is entitled 95.17 to a disability benefit amount equivalent to an annuity computed 95.18 under subdivision 3 assuming the member has 15 years of service 95.19 qualifying under this section and waiving the minimum age 95.20 requirement. If the eligible member becomes disabled under this 95.21 subdivision with more than 15 years of service covered under 95.22 this section, the eligible member is entitled to a disability 95.23 benefit amount equivalent to an annuity computed under 95.24 subdivision 3 based on all years of service credited under this 95.25 section and waiving the minimum age requirement. 95.26 Sec. 10. Minnesota Statutes 2000, section 352.87, 95.27 subdivision 5, is amended to read: 95.28 Subd. 5. [JOB-RELATED DISABILITY BENEFITS.] An eligible 95.29 member defined in subdivision 1, who is less than 55 years of95.30age andwho becomes disabled and physically or mentally unfit to 95.31 perform the duties of the position because of sickness or injury 95.32 while engaged in covered employment,is entitled to a disability 95.33 benefit amount equivalent to an annuity computed under 95.34 subdivision 3 assuming the member has 20 years of service 95.35 qualifying under this section and waiving the minimum age 95.36 requirement. An eligible member who becomes disabled under this 96.1 subdivision with more than 20 years of service credited under 96.2 this section is entitled to a disability benefit amount 96.3 equivalent to an annuity computed under subdivision 3 based on 96.4 all years of service credited under this section and waiving the 96.5 age requirement. 96.6 Sec. 11. Minnesota Statutes 2000, section 352.95, 96.7 subdivision 4, is amended to read: 96.8 Subd. 4. [MEDICAL OR PSYCHOLOGICAL EVIDENCE.] (a) An 96.9 applicant shall provide medical or psychological evidence to 96.10 support an application for disability benefits. The director 96.11 shall have the employee examined by at least one additional 96.12 licensed physician or psychologist designated by the medical 96.13 adviser. The physicians shall make written reports to the 96.14 director concerning the employee's disability, including medical 96.15 opinions as to whether the employee is disabled within the 96.16 meaning of this section. The director shall also obtain written 96.17 certification from the employer stating whether the employee is 96.18 on sick leave of absence because of a disability that will 96.19 prevent further service to the employer, and as a consequence 96.20 the employee is not entitled to compensation from the employer. 96.21 (b) If on considering the physicians' reports and any other 96.22 evidence supplied by the employee or others, the medical adviser 96.23 finds the employee disabled within the meaning of this section, 96.24 the advisor shall make appropriate recommendation to the 96.25 director in writing, together with the date from which the 96.26 employee has been disabled. The director shall then determine 96.27 the propriety of authorizing payment of a disability benefit as 96.28 provided in this section. 96.29 (c) Unless payment of a disability benefit has terminated 96.30 because the employee is no longer disabled, or because the 96.31 employee has reached age6265 or the five-year anniversary of 96.32 the effective date of the disability benefit, whichever is 96.33 later, the disability benefit shall cease with the last payment 96.34 received by the disabled employee or which had accrued during 96.35 the employee's lifetime. While disability benefits are paid, 96.36 the director has the right at reasonable times to require the 97.1 disabled employee to submit proof of the continuance of the 97.2 disability claimed. If any examination indicates to the medical 97.3 adviser that the employee is no longer disabled, the disability 97.4 payment must be discontinued upon reinstatement to state service 97.5 or within 60 days of the finding, whichever is sooner. 97.6 Sec. 12. Minnesota Statutes 2000, section 352.95, 97.7 subdivision 5, is amended to read: 97.8 Subd. 5. [RETIREMENT STATUS AT NORMAL RETIREMENT AGE.] The 97.9 disability benefit paid to a disabled correctional employee 97.10 under this section shall terminate at the end of the month in 97.11 which the employee reaches age6265, or the five-year 97.12 anniversary of the effective date of the disability benefit, 97.13 whichever is later. If the disabled correctional employee is 97.14 still disabled when the employee reaches age6265, or the 97.15 five-year anniversary of the effective date of the disability 97.16 benefit, whichever is later, the employee shall be deemed to be 97.17 a retired employee. If the employee had elected an optional 97.18 annuity under subdivision 1a, the employee shall receive an 97.19 annuity in accordance with the terms of the optional annuity 97.20 previously elected. If the employee had not elected an optional 97.21 annuity under subdivision 1a, the employee may within 90 days of 97.22 attaining age 65 or reaching the five-year anniversary of the 97.23 effective date of the disability benefit, whichever is later, 97.24 either elect to receive a normal retirement annuity computed in 97.25 the manner provided in section 352.93 or elect to receive an 97.26 optional annuity as provided in section 352.116, subdivision 3, 97.27 based on the same length of service as used in the calculation 97.28 of the disability benefit. Election of an optional annuity must 97.29 be made within 90 days before attaining age 65 or reaching the 97.30 five-year anniversary of the effective date of the disability 97.31 benefit, whichever is later. If an optional annuity is elected, 97.32 the optional annuity shall begin to accrue on the first of the 97.33 month following the month in which the employee reaches age 65 97.34 or the five-year anniversary of the effective date of the 97.35 disability benefit, whichever is later. 97.36 Sec. 13. Minnesota Statutes 2000, section 352.95, 98.1 subdivision 7, is amended to read: 98.2 Subd. 7. [RESUMPTION OF EMPLOYMENT.] If the disabled 98.3 employee resumesagainfuloccupation from which earnings are98.4less than the salary received at the date of disability or the98.5salary currently paid for similar positions, or if the employee98.6is entitled to receive workers' compensation benefitswork, the 98.7 disability benefit must be continued in an amount which when 98.8 added to current earnings and workers' compensation benefits 98.9 does not exceed the salaryreceived at the date of disability or98.10the salary currently paid for similar positions, whichever is98.11higher, if the disability benefit in that case does not exceed98.12the disability benefit originally authorized and in effectrate 98.13 of the disabled employee at the date of disability as adjusted 98.14 by the same percentage increase in United States average wages 98.15 used by social security in calculating average indexed monthly 98.16 earnings for the same period. 98.17 Sec. 14. Minnesota Statutes 2000, section 352B.01, 98.18 subdivision 11, is amended to read: 98.19 Subd. 11. [AVERAGE MONTHLY SALARY.] "Average monthly 98.20 salary" means the average of the highest monthly salaries for 98.21 five years of service as a member. Average monthly salary must 98.22 be based upon all allowable service if this service is less than 98.23 five years. It does not include any lump-sum annual leave 98.24 payments and overtime payments made at the time of separation 98.25 from state service, any amounts of severance pay, or any reduced 98.26 salary paid during the period the person is entitled to workers' 98.27 compensation benefit payments for temporary disability. A 98.28 member on leave of absence receiving temporary workers' 98.29 compensation payments and a reduced salary or no salary from the 98.30 employer who is entitled to allowable service credit for the 98.31 period of absence may make payment to the fund for the 98.32 difference between salary received, if any, and the salary the 98.33 member would normally receive if not on leave of absence during 98.34 the period. The member shall pay an amount equal to the member 98.35 and employer contribution rate under section 352B.02, 98.36 subdivisions 1b and 1c, on the differential salary amount for 99.1 the period of the leave of absence. The employing department, 99.2 at its option, may pay the employer amount on behalf of the 99.3 member. Payment made under this subdivision must include 99.4 interest at the rate of 8.5 percent per year, and must be 99.5 completed within one year of the return from the leave of 99.6 absence. 99.7 Sec. 15. Minnesota Statutes 2000, section 352B.10, 99.8 subdivision 3, is amended to read: 99.9 Subd. 3. [ANNUAL AND SICK LEAVE; WORK AT LOWER PAY.] No 99.10 member shall receive any disability benefit payment when the 99.11 member has unused annual leave or sick leave or under any other 99.12 circumstances, when during the period of disability there has 99.13 been no impairment of salary. Should the member or former 99.14 member resume gainful workand earn less than the salary99.15received at the date of disability or the salary currently paid99.16for similar positions, the disability benefit must be continued 99.17 in an amount which when added to current earnings does not 99.18 exceed the salary rate received of the person at the date of 99.19 disabilityor the salary currently paid for similar positions,99.20whichever is higher. The disability benefit must not exceed the99.21disability benefit originally allowedas adjusted by the same 99.22 percentage increase in United States average wages used by 99.23 social security in calculating average indexed monthly earnings 99.24 for the same period. 99.25 Sec. 16. Minnesota Statutes 2000, section 352B.101, is 99.26 amended to read: 99.27 352B.101 [APPLICATION FOR DISABILITY BENEFIT.] 99.28 A member claiming a disability benefit must file a written 99.29 application for benefits in the office of the system in a form 99.30 and manner prescribed by the executive director. The member 99.31 shall provide medical or psychological evidence to support the 99.32 application. The benefit begins to accrue the day following the 99.33 start of disability or the day following the last day for which 99.34 the member was paid, whichever is later, but not earlier than 99.35 180 days before the date the application is filed with the 99.36 executive director. 100.1 Sec. 17. Minnesota Statutes 2000, section 354.05, 100.2 subdivision 2, is amended to read: 100.3 Subd. 2. [TEACHER.] (a) "Teacher" means: 100.4 (1) a person who renders service as a teacher, supervisor, 100.5 principal, superintendent, librarian, nurse, counselor, social 100.6 worker, therapist, or psychologist in the public schools of the 100.7 state located outside of the corporate limits of the cities of 100.8 the first classor in the Minnesota state colleges and100.9universities system,or in any charitable, penal, or 100.10 correctional institutions of a governmental subdivision, or who 100.11 is engaged in educational administration in connection with the 100.12 state public school system,including the Minnesota state100.13colleges and universities system,but excluding the University 100.14 of Minnesota, whether the position be a public office or an 100.15 employment, not including members or officers of any general 100.16 governing or managing board or body; 100.17 (2) an employee of the teachers retirement association 100.18unless the employee is covered by the Minnesota state retirement100.19system due to prior employment by that system; 100.20 (3) a person who renders teaching service on a part-time 100.21 basis and who also renders other services for a single employing 100.22 unit. A person whose teaching service comprises at least 50 100.23 percent of the combined employment salary is a member of the 100.24 association for all services with the single employing unit. If 100.25 the person's teaching service comprises less than 50 percent of 100.26 the combined employment salary, the executive director must 100.27 determine whether all or none of the combined service is covered 100.28 by the association.; or 100.29 (4) a person who is not covered by the plans established 100.30 under chapter 352D, 354A, or 354B and who is employed by the 100.31 board of trustees of the Minnesota state colleges and 100.32 universities system in an unclassified position as: 100.33 (i) a president, vice-president, or dean; 100.34 (ii) a manager or a professional in an academic or an 100.35 academic support program other than specified in item (i); 100.36 (iii) an administrative or a service support faculty 101.1 position; or 101.2 (iv) a teacher or a research assistant. 101.3 (b) Teacher does not mean: 101.4 (1) a person who works for a school or institution as an 101.5 independent contractor as defined by the Internal Revenue 101.6 Service; 101.7 (2) a person employed in subsidized on-the-job training, 101.8 work experience or public service employment as an enrollee 101.9 under the federal Comprehensive Employment and Training Act from 101.10 and after March 30, 1978, unless the person has, as of the later 101.11 of March 30, 1978, or the date of employment, sufficient service 101.12 credit in the retirement association to meet the minimum vesting 101.13 requirements for a deferred retirement annuity, or the employer 101.14 agrees in writing on forms prescribed by the executive director 101.15 to make the required employer contributions, including any 101.16 employer additional contributions, on account of that person 101.17 from revenue sources other than funds provided under the federal 101.18 Comprehensive Training and Employment Act, or the person agrees 101.19 in writing on forms prescribed by the executive director to make 101.20 the required employer contribution in addition to the required 101.21 employee contribution; 101.22 (3) a person holding a part-time adult supplementary 101.23 technical college license who renders part-time teaching service 101.24 or a customized trainer as defined by the Minnesota state 101.25 colleges and universities system in a technical college if (i) 101.26 the service is incidental to the regular nonteaching occupation 101.27 of the person; and (ii) the applicable technical college 101.28 stipulates annually in advance that the part-time teaching 101.29 service or customized training service will not exceed 300 hours 101.30 in a fiscal year and retains the stipulation in its records; and 101.31 (iii) the part-time teaching service or customized training 101.32 service actually does not exceed 300 hours in a fiscal year; or 101.33 (4) a person exempt from licensure under section 122A.30. 101.34 Sec. 18. Minnesota Statutes 2000, section 354.52, 101.35 subdivision 4, is amended to read: 101.36 Subd. 4. [REPORTING AND REMITTANCE REQUIREMENTS.] An 102.1 employer shall remit all amounts due to the association and 102.2 furnish a statement indicating the amount due and transmitted 102.3 with any other information required by the executive director. 102.4 If an amount due is not received by the association withinseven102.5 14 calendar days of the payroll warrant, the amount accrues 102.6 interest at an annual rate of 8.5 percent compounded annually 102.7 from the due date until the amount is received by the 102.8 association. All amounts due and other employer obligations not 102.9 remitted within 60 days of notification by the association must 102.10 be certified to the commissioner of finance who shall deduct the 102.11 amount from any state aid or appropriation amount applicable to 102.12 the employing unit. 102.13 Sec. 19. Minnesota Statutes 2000, section 354A.011, 102.14 subdivision 24, is amended to read: 102.15 Subd. 24. [SALARY; COVERED SALARY.] (a) "Salary" or 102.16 "covered salary" means the entire compensation, upon which 102.17 member contributions are required and made, that is paid to a 102.18 teacher beforeany allowable reductions permitted under the102.19federal Internal Revenue Code of 1986, as amended, for employee102.20selected fringe benefits, tax sheltered annuities, deferred102.21compensation, or any combination of these itemsdeductions for 102.22 deferred compensation, supplemental retirement plans, or other 102.23 voluntary salary reduction programs. 102.24 (b) "Salary" does not mean: 102.25 (1) lump sum annual leave payments; 102.26 (2) lump sum wellness and sick leave payments; 102.27 (3)payments in lieu of any employer-paid group insurance102.28coverageemployer-paid amounts used by an employee toward the 102.29 cost of insurance coverage, employer-paid fringe benefits, 102.30 flexible spending accounts, cafeteria plans, health care expense 102.31 accounts, day care expenses, or any payments in lieu of any 102.32 employer-paid group insurance coverage, including the difference 102.33 between single and family rates that may be paid to a member 102.34 with single coverage, and certain amounts determined by the 102.35 executive secretary or director to be ineligible; 102.36 (4)payments for the difference between single and family103.1premium rates that may be paid to a member with single103.2coverageany form of payment made in lieu of any other 103.3 employer-paid fringe benefit or expense; 103.4 (5)employer-paid fringe benefits including, but not103.5limited to, flexible spending accounts, cafeteria plans, health103.6care expense accounts, day care expenses, or automobile103.7allowances and expensesany form of severance payments; 103.8 (6) workers' compensation payments; 103.9 (7) disability insurance payments, including self-insured 103.10 disability payments; 103.11(6)(8) payments to school principals and all other 103.12 administrators for services in addition to the normal work year 103.13 contract if these additional services are performed on an 103.14 extended duty day, Saturday, Sunday, holiday, annual leave day, 103.15 sick leave day, or any other nonduty day; 103.16(7)(9) payments under section 356.24, subdivision 1, 103.17 clause (4)(ii); and 103.18(8)(10) payments made under section 122A.40, subdivision 103.19 12, except for payments for sick leave accumulated under the 103.20 provisions of a uniform school district policy that applies 103.21 equally to all similarly situated persons in the district. 103.22 Sec. 20. [354A.107] [PAYMENT ACCEPTANCE ALLOWED.] 103.23 The payment for the purchase of allowable service credit, 103.24 or the repayment of a prior refund, or the payment of equivalent 103.25 contributions for an eligible leave of absence, as permitted by 103.26 law, by a member of the Minneapolis teachers retirement fund 103.27 association, the St. Paul teachers retirement fund association, 103.28 or the Duluth teachers retirement fund association, may be made 103.29 with amounts transferred from a plan qualified under section 103.30 401(a), 401(k), 403(a), 403(b), or 457(b) of the federal 103.31 Internal Revenue Code of 1986, as amended from time to time, or 103.32 amounts transferred from an individual retirement account if 103.33 done solely in a manner that is eligible for treatment as a 103.34 nontaxable rollover under the applicable federal law. The 103.35 rollover must be separately accounted for as member 103.36 contributions that were not previously taxed. Before accepting 104.1 any transfers to which this section applies, the executive 104.2 secretary or director must require the member to provide written 104.3 documentation that the amounts to be transferred are eligible 104.4 for tax-free rollover and qualify for that treatment under the 104.5 federal Internal Revenue Code of 1986, as amended. 104.6 Sec. 21. [354A.108] [PAYMENT BY TEACHERS COLLECTING 104.7 WORKERS' COMPENSATION.] 104.8 (a) A member of the Duluth teachers retirement fund 104.9 association who is receiving temporary workers' compensation 104.10 payments related to the member's teaching service and who either 104.11 is receiving a reduced salary from the employer or is receiving 104.12 no salary from the employer is entitled to receive allowable 104.13 service credit for the period of time that the member is 104.14 receiving the workers' compensation payments upon making the 104.15 required payment amount. 104.16 (b) The required amount payable by the member must be 104.17 calculated first by determining the differential salary amount, 104.18 which is the difference between the salary received, if any, 104.19 during the period of time that the member is collecting workers' 104.20 compensation payments, and the salary that the member received 104.21 for an identical length period immediately before collecting the 104.22 workers' compensation payments. The member shall pay an amount 104.23 equal to the employee contribution rate under section 354A.12, 104.24 subdivision 1, multiplied by the differential salary amount. 104.25 (c) If the member makes the employee payment under this 104.26 section, the employing unit shall make an employer payment to 104.27 the Duluth teachers retirement fund association equal to the 104.28 employer contribution rate under section 354A.12, subdivision 104.29 2a, multiplied by the differential salary amount. 104.30 (d) Payments made under this subdivision are payable 104.31 without interest if paid by June 30 of the year during which the 104.32 workers' compensation payments are received by the member. If 104.33 paid after June 30, payments made under this subdivision must 104.34 include interest at the rate of 8.5 percent per year. Payment 104.35 under this section must be completed within one year of the 104.36 termination of the workers' compensation payments to the member. 105.1 Sec. 22. Minnesota Statutes 2000, section 354A.12, 105.2 subdivision 5, is amended to read: 105.3 Subd. 5. [EMPLOYEEREPORTING AND REMITTANCE REQUIREMENTS.] 105.4 (a) Eachschool districtemploying unit shall provide to the 105.5 appropriate teachers retirement fund associationinformationthe 105.6 following member data regarding all new or returning 105.7 employeeson a form provided by the executive secretary or105.8directorbefore the employee's first payroll date.in a format 105.9 approved by the executive secretary or director. Data changes 105.10 and the dates of those changes must be reported to the 105.11 association on an ongoing basis for the payroll cycle in which 105.12 they occur. Data on the member includes: 105.13 (1) legal name, address, date of birth, association member 105.14 number, employer-assigned employee number, and social security 105.15 number; 105.16 (2) association status, including, but not limited to, 105.17 basic, coordinated, exempt annuitant, exempt technical college 105.18 teacher, or exempt independent contractor or consultant; 105.19 (3) employment status, including, but not limited to, full 105.20 time, part time, intermittent, substitute, or part-time 105.21 mobility; 105.22 (4) employment position, including, but not limited to, 105.23 teacher, superintendent, principal, administrator, or other; 105.24 (5) employment activity, including, but not limited to, 105.25 hire, termination, resumption of employment, disability, or 105.26 death; 105.27 (6) leaves of absence; and 105.28 (7) other information as may be required by the association. 105.29 (b) Each employing unit shall provide the following data to 105.30 the appropriate association for each payroll cycle in a format 105.31 approved by the executive secretary or director: 105.32 (1) an association member number; 105.33 (2) employer-assigned employee number; 105.34 (3) social security number; 105.35 (4) amount of each salary deduction; 105.36 (5) amount of salary as defined in section 354A.011, 106.1 subdivision 24, from which each deduction was made; 106.2 (6) reason for payment; 106.3 (7) service credit; 106.4 (8) the beginning and ending dates of the payroll period 106.5 covered and the date of actual payment; 106.6 (9) fiscal year of salary earnings; 106.7 (10) total remittance amount including employee, employer, 106.8 and employer additional contributions; and 106.9 (11) other information as may be required by the 106.10 association. 106.11 (c) On or before August 1 each year, each employing unit 106.12 must report to the appropriate association giving an itemized 106.13 summary for the preceding 12 months of the total amount that was 106.14 withheld from the salaries of teachers for deductions and all 106.15 other information required by the association. 106.16 (d) An employing unit that does not comply with the 106.17 reporting requirements under this section shall pay a fine of $5 106.18 per calendar day until the association receives the required 106.19 member data. 106.20 (e) An employing unit shall remit all amounts that are due 106.21 to the association and shall furnish for each pay period an 106.22 itemized statement indicating the total amount that is due and 106.23 is transmitted with any other information required by the 106.24 association. All amounts due and other employer obligations 106.25 that are not remitted within 30 days of notification by the 106.26 association must be certified by the director or secretary to 106.27 the commissioner of finance, who shall deduct the amount from 106.28 any state aid or appropriation amount applicable to the 106.29 employing unit and shall transmit the deducted amount to the 106.30 applicable association. 106.31 Sec. 23. Minnesota Statutes 2000, section 354A.31, 106.32 subdivision 3, is amended to read: 106.33 Subd. 3. [RESUMPTION OF TEACHING AFTER COMMENCEMENT OF A 106.34 RETIREMENT ANNUITY.] (a) Any person who retired and is receiving 106.35 a coordinated program retirement annuity under the provisions of 106.36 sections 354A.31 to 354A.41 or any person receiving a basic 107.1 program retirement annuity under the governing sections in the 107.2 articles of incorporation or bylaws and who has resumed teaching 107.3 service for the school district in which the teachers retirement 107.4 fund association exists is entitled to continue to receive 107.5 retirement annuity payments, except that annuity payments must 107.6 be reduced during the calendar year immediately following the 107.7 calendar year in which the person's income from the teaching 107.8 service is in an amount greater than the annual maximum earnings 107.9 allowable for that age for the continued receipt of full benefit 107.10 amounts monthly under the federal old age, survivors, and 107.11 disability insurance program as set by the secretary of health 107.12 and human services under United States Code, title 42, section 107.13 403. The amount of the reduction must be one-third the amount 107.14 in excess of the applicable reemployment income maximum 107.15 specified in this subdivision and must be deducted from the 107.16 annuity payable for the calendar year immediately following the 107.17 calendar year in which the excess amount was earned. If the 107.18 person has not yet reached the minimum age for the receipt of 107.19 social security benefits, the maximum earnings for the person 107.20 must be equal to the annual maximum earnings allowable for the 107.21 minimum age for the receipt of social security benefits. 107.22 (b) If the person is retired for only a fractional part of 107.23 the calendar year during the initial year of retirement, the 107.24 maximum reemployment income specified in this subdivision must 107.25 be prorated for that calendar year. 107.26 (c) After a person has reached the age of 70, no 107.27 reemployment income maximum is applicable regardless of the 107.28 amount of any compensation received for teaching service for the 107.29 school district in which the teachers retirement fund 107.30 association exists. 107.31 (d) The amount of the retirement annuity reduction must be 107.32 handled or disposed of as provided in section 356.58. 107.33 (e) For the purpose of this subdivision, income from 107.34 teaching service includes: (i) all income for services 107.35 performed as a consultant or independent contractor; or income 107.36 resulting from working with the school district in any capacity; 108.1 and (ii) the greater of either the income received or an amount 108.2 based on the rate paid with respect to an administrative 108.3 position, consultant, or independent contractor in the school 108.4 district in which the teachers retirement fund association 108.5 exists and at the same level as the position occupied by the 108.6 person who resumes teaching service. 108.7 (f) On or before February 15 of each year, each applicable 108.8 employing unit shall report to the teachers retirement fund 108.9 association the amount of postretirement income as defined in 108.10 this subdivision, earned as a teacher, consultant, or 108.11 independent contractor during the previous calendar year by each 108.12 retiree of the teachers retirement fund association for teaching 108.13 service performed after retirement. The report must be in a 108.14 format approved by the executive secretary or director. 108.15 Sec. 24. Minnesota Statutes 2000, section 354A.35, 108.16 subdivision 4, is amended to read: 108.17 Subd. 4. [PAYMENT OF MINIMAL REFUND AND BENEFIT AMOUNTS.] 108.18 If a coordinated member or former coordinated member dies 108.19 without having designated a beneficiary or if the designated 108.20 beneficiary dies without there existing any other designated 108.21 beneficiary and prior to making application for the refund 108.22 credited to the deceased coordinated member or coordinated 108.23 former member, and if the amount of the refund does not 108.24 exceed$500$1,500, the board in its discretion may, in absence 108.25 of probate proceedings, make payment 90 days after the date of 108.26 death of the coordinated member or former coordinated member to 108.27 the surviving spouse of the deceased coordinated member or 108.28 former coordinated member, or if none, to the next of kin as 108.29 determined under the laws of descent of the state. A payment 108.30 under this subdivision shall be a bar to recovery by any other 108.31 person or persons. Any retirement annuity in any amount which 108.32 has accrued at the time of the death of a coordinated retiree 108.33 may be paid by the board in its discretion using the procedure 108.34 set forth in this subdivision. 108.35 Sec. 25. [356.866] [CONVERSION OF LUMP-SUM POSTRETIREMENT 108.36 AND SUPPLEMENTAL PAYMENT TO AN INCREASED MONTHLY ANNUITY.] 109.1 Subdivision 1. [LUMP-SUM POSTRETIREMENT PAYMENT 109.2 CONVERSION.] For benefits paid after December 31, 2001, to 109.3 eligible persons under sections 356.86 and 356.865, the amount 109.4 of the most recent lump-sum benefit payable to an eligible 109.5 recipient under sections 356.86 and 356.865, must be divided by 109.6 12. The result must be added to the monthly annuity or benefit 109.7 otherwise payable to an eligible recipient, must become a 109.8 permanent part of the benefit recipient's pension, and must be 109.9 included in any pension benefit subject to future increases. 109.10 Subd. 2. [TRANSFER OF REQUIRED RESERVES TO MINNESOTA 109.11 POSTRETIREMENT INVESTMENT FUND.] Public employee retirement 109.12 funds participating in the state board of investment 109.13 postretirement investment fund shall transfer the required 109.14 reserves for the postretirement conversion under subdivision 1 109.15 to the postretirement investment fund by January 31, 2002. 109.16 Sec. 26. Minnesota Statutes 2000, section 356A.06, 109.17 subdivision 5, is amended to read: 109.18 Subd. 5. [INVESTMENT BUSINESS RECIPIENT DISCLOSURE.] The 109.19 chief administrative officer of a covered pension plan, with 109.20 respect to investments made by the plan, and the executive 109.21 director of the state board of investment, with respect to 109.22 investments of plan assets made by the board, shall annually 109.23 disclose in writing the recipients of investment business placed 109.24 with or investment commissions allocated among commercial banks, 109.25 investment bankers, brokerage organizations, or other investment 109.26 managers. The disclosure document must be prepared within 60 109.27 days after the close of the fiscal year of the plan and must be 109.28 available for public inspection during regular office hours at 109.29 the office of the plan. The disclosure document must also be 109.30 filed with the executive director of the legislative commission 109.31 on pensions and retirement within 90 days after the close of the 109.32 fiscal year of the plan. For the state board of investment and 109.33 a first class city teacher retirement fund association, a 109.34 disclosure document included as part of a regular annual report 109.35 of the board or of the first class city teacher retirement fund 109.36 association when filed with the executive director of the 110.1 legislative commission on pensions and retirement is considered 110.2 to have been filed on a timely basis. 110.3 Sec. 27. Minnesota Statutes 2000, section 490.121, 110.4 subdivision 4, is amended to read: 110.5 Subd. 4. [ALLOWABLE SERVICE.] "Allowable service" meansa110.6whole year, or any fraction thereofany calendar month, subject 110.7 to the service credit limit in subdivision 22, served as a judge 110.8 at any time, or served as a referee in probate for all referees 110.9 in probate who were in office prior to January 1, 1974. 110.10 Sec. 28. Laws 2000, chapter 461, article 10, section 3, is 110.11 amended to read: 110.12 Sec. 3. [EFFECTIVE DATE.] 110.13 Section 1 is effective on the day following final enactment. 110.14 Section 2 is effective on the first day of the first full pay 110.15 period beginning after January 1,20022003. 110.16 Sec. 29. [REPEALER.] 110.17 Minnesota Statutes 2000, section 354A.026, is repealed. 110.18 Sec. 30. [EFFECTIVE DATE.] 110.19 (a) Sections 1 to 20, and 22 to 29 are effective on July 1, 110.20 2001. 110.21 (b) Section 21 is effective on May 1, 2001. 110.22 ARTICLE 4 110.23 OPEN MEETING REQUIREMENT FOR LOCAL PUBLIC PENSION PLANS 110.24 Section 1. Minnesota Statutes 2000, section 13D.01, 110.25 subdivision 1, is amended to read: 110.26 Subdivision 1. [IN EXECUTIVE BRANCH, LOCAL GOVERNMENT.] 110.27 All meetings, including executive sessions, must be open to the 110.28 public 110.29 (a) of a state 110.30 (1) agency, 110.31 (2) board, 110.32 (3) commission, or 110.33 (4) department, 110.34 when required or permitted by law to transact public business in 110.35 a meeting;and110.36 (b) of the governing body of a 111.1 (1) school district however organized, 111.2 (2) unorganized territory, 111.3 (3) county, 111.4 (4) statutory or home rule charter city, 111.5 (5) town, or 111.6 (6) other public body;and111.7 (c) of any 111.8 (1) committee, 111.9 (2) subcommittee, 111.10 (3) board, 111.11 (4) department, or 111.12 (5) commission, 111.13 of a public body; and 111.14 (d) of the governing body or a committee of: 111.15 (1) a statewide public pension plan defined in section 111.16 356A.01, subdivision 24; or 111.17 (2) a local public pension plan governed by section 69.77, 111.18 sections 69.771 to 69.775, or chapter 354A, 422A, or 423B. 111.19 Sec. 2. Minnesota Statutes 2000, section 356A.08, 111.20 subdivision 1, is amended to read: 111.21 Subdivision 1. [PUBLIC MEETINGS.] A meeting of the 111.22 governing board of a coveredstatewidepension plan or of a 111.23 committee of the governing board of thestatewidecovered 111.24 pension plan is governed by chapter 13D. 111.25 Sec. 3. [EFFECTIVE DATE.] 111.26 Sections 1 and 2 are effective the day following final 111.27 enactment. 111.28 ARTICLE 5 111.29 POLICE STATE AID AMENDMENTS 111.30 Section 1. Minnesota Statutes 2000, section 69.011, 111.31 subdivision 1, is amended to read: 111.32 Subdivision 1. [DEFINITIONS.] Unless the language or 111.33 context clearly indicates that a different meaning is intended, 111.34 the following words and terms shall for the purposes of this 111.35 chapter and chapters 423, 423A, 424 and 424A have the meanings 111.36 ascribed to them: 112.1 (a) "Commissioner" means the commissioner of revenue. 112.2 (b) "Municipality" meansany: 112.3 (1) a home rule charter or statutory city,; 112.4 (2) an organized townor; 112.5 (3) a park district subject to chapter 398,; 112.6 (4) the University of Minnesota, and,; 112.7 (5) for purposes of the fire state aid program only, an 112.8 American Indian tribal government entity located within a 112.9 federally recognized American Indian reservation, and,; 112.10 (6) for purposes of the police state aid program only, an 112.11 American Indian tribal government with a tribal police 112.12 department which exercises state arrest powers under section 112.13 626.90, 626.91, 626.92, or 626.93; 112.14 (7) for purposes of the police state aid program only, the 112.15 metropolitan airports commission,with respect to peace officers 112.16 covered under chapter 422A, or; and 112.17 (8) for purposes of the police state aid program only, the 112.18 department of natural resources and the department of public 112.19 safety with respect to peace officers covered under chapter 352B. 112.20 (c) "Minnesota Firetown Premium Report" means a form 112.21 prescribed by the commissioner containing space for reporting by 112.22 insurers of fire, lightning, sprinkler leakage and extended 112.23 coverage premiums received upon risks located or to be performed 112.24 in this state less return premiums and dividends. 112.25 (d) "Firetown" means the area serviced by any municipality 112.26 having a qualified fire department or a qualified incorporated 112.27 fire department having a subsidiary volunteer firefighters' 112.28 relief association. 112.29 (e) "Market value" means latest available market value of 112.30 all property in a taxing jurisdiction, whether the property is 112.31 subject to taxation, or exempt from ad valorem taxation obtained 112.32 from information which appears on abstracts filed with the 112.33 commissioner of revenue or equalized by the state board of 112.34 equalization. 112.35 (f) "Minnesota Aid to Police Premium Report" means a form 112.36 prescribed by the commissioner for reporting by each fire and 113.1 casualty insurer of all premiums received upon direct business 113.2 received by it in this state, or by its agents for it, in cash 113.3 or otherwise, during the preceding calendar year, with reference 113.4 to insurance written for insuring against the perils contained 113.5 in auto insurance coverages as reported in the Minnesota 113.6 business schedule of the annual financial statement which each 113.7 insurer is required to file with the commissioner in accordance 113.8 with the governing laws or rules less return premiums and 113.9 dividends. 113.10 (g) "Peace officer" means any person: 113.11 (1) whose primary source of income derived from wages is 113.12 from direct employment by a municipality or county as a law 113.13 enforcement officer on a full-time basis of not less than 30 113.14 hours per week; 113.15 (2) who has been employed for a minimum of six months prior 113.16 to December 31 preceding the date of the current year's 113.17 certification under subdivision 2, clause (b); 113.18 (3) who is sworn to enforce the general criminal laws of 113.19 the state and local ordinances; 113.20 (4) who is licensed by the peace officers standards and 113.21 training board and is authorized to arrest with a warrant; and 113.22 (5) who is a member of a local police relief association to 113.23 which section 69.77 applies, the state patrol retirement plan, 113.24 the public employees police and fire fund, or the Minneapolis 113.25 employees retirement fund. 113.26 (h) "Full-time equivalent number of peace officers 113.27 providing contract service" means the integral or fractional 113.28 number of peace officers which would be necessary to provide the 113.29 contract service if all peace officers providing service were 113.30 employed on a full-time basis as defined by the employing unit 113.31 and the municipality receiving the contract service. 113.32 (i) "Retirement benefits other than a service pension" 113.33 means any disbursement authorized under section 424A.05, 113.34 subdivision 3, clauses (2), (3), and (4). 113.35 (j) "Municipal clerk, municipal clerk-treasurer, or county 113.36 auditor" means the person who was elected or appointed to the 114.1 specified position or, in the absence of the person, another 114.2 person who is designated by the applicable governing body. In a 114.3 park district, the clerk is the secretary of the board of park 114.4 district commissioners. In the case of the University of 114.5 Minnesota, the clerk is that official designated by the board of 114.6 regents. For the metropolitan airports commission, the clerk is 114.7 the person designated by the commission. For the department of 114.8 natural resources or the department of public safety, the clerk 114.9 is the respective commissioner. For a tribal police department 114.10 which exercises state arrest powers under section 626.90, 114.11 626.91, 626.92, or 626.93, the clerk is the person designated by 114.12 the applicable American Indian tribal government. 114.13 Sec. 2. [EFFECTIVE DATE.] 114.14 Section 1 is effective the day following final enactment. 114.15 ARTICLE 6 114.16 GENERALIZED SERVICE CREDIT PURCHASES 114.17 Section 1. Minnesota Statutes 2000, section 352.01, 114.18 subdivision 11, is amended to read: 114.19 Subd. 11. [ALLOWABLE SERVICE.] "Allowable service" means: 114.20 (1) Service by an employee for which on or before July 1, 114.21 1957, the employee was entitled to allowable service credit on 114.22 the records of the system by reason of employee contributions in 114.23 the form of salary deductions, payments in lieu of salary 114.24 deductions, or in any other manner authorized by Minnesota 114.25 Statutes 1953, chapter 352, as amended by Laws 1955, chapter 239. 114.26 (2) Service by an employee for which on or before July 1, 114.27 1961, the employee chose to obtain credit for service by making 114.28 payments to the fund under Minnesota Statutes 1961, section 114.29 352.24. 114.30 (3) Except as provided in clauses (8) and (9), service by 114.31 an employee after July 1, 1957, for any calendar month in which 114.32 the employee is paid salary from which deductions are made, 114.33 deposited, and credited in the fund, including deductions made, 114.34 deposited, and credited as provided in section 352.041. 114.35 (4) Except as provided in clauses (8) and (9), service by 114.36 an employee after July 1, 1957, for any calendar month for which 115.1 payments in lieu of salary deductions are made, deposited, and 115.2 credited in the fund, as provided in section 352.27 and 115.3 Minnesota Statutes 1957, section 352.021, subdivision 4. 115.4 For purposes of clauses (3) and (4), except as provided in 115.5 clauses (8) and (9), any salary paid for a fractional part of 115.6 any calendar month, including the month of separation from state 115.7 service, is deemed the compensation for the entire calendar 115.8 month. 115.9 (5) The period of absence from their duties by employees 115.10 who are temporarily disabled because of injuries incurred in the 115.11 performance of duties and for which disability the state is 115.12 liable under the workers' compensation law until the date 115.13 authorized by the director for the commencement of payments of a 115.14 total and permanent disability benefit from the retirement fund. 115.15 (6) Service covered by a refund repaid as provided in 115.16 section 352.23 or 352D.05, subdivision 4, except service 115.17 rendered as an employee of the adjutant general for which the 115.18 person has credit with the federal civil service retirement 115.19 system. 115.20 (7) Service before July 1, 1978, by an employee of the 115.21 transit operating division of the metropolitan transit 115.22 commission or by an employee on an authorized leave of absence 115.23 from the transit operating division of the metropolitan transit 115.24 commission who is employed by the labor organization which is 115.25 the exclusive bargaining agent representing employees of the 115.26 transit operating division, which was credited by the 115.27 metropolitan transit commission-transit operating division 115.28 employees retirement fund or any of its predecessor plans or 115.29 funds as past, intermediate, future, continuous, or allowable 115.30 service as defined in the metropolitan transit 115.31 commission-transit operating division employees retirement fund 115.32 plan document in effect on December 31, 1977. 115.33 (8) Service after July 1, 1983, by an employee who is 115.34 employed on a part-time basis for less than 50 percent of full 115.35 time, for which the employee is paid salary from which 115.36 deductions are made, deposited, and credited in the fund, 116.1 including deductions made, deposited, and credited as provided 116.2 in section 352.041 or for which payments in lieu of salary 116.3 deductions are made, deposited, and credited in the fund as 116.4 provided in section 352.27 shall be credited on a fractional 116.5 basis either by pay period, monthly, or annually based on the 116.6 relationship that the percentage of salary earned bears to a 116.7 full-time salary, with any salary paid for the fractional 116.8 service credited on the basis of the rate of salary applicable 116.9 for a full-time pay period, month, or a full-time year. For 116.10 periods of part-time service that is duplicated service credit, 116.11 section 356.30, subdivision 1, clauses (i) and (j), govern. 116.12 Allowable service determined and credited on a fractional 116.13 basis shall be used in calculating the amount of benefits 116.14 payable, but service as determined on a fractional basis must 116.15 not be used in determining the length of service required for 116.16 eligibility for benefits. 116.17 (9) Any period of authorized leave of absence without pay 116.18 that does not exceed one year and for which the employee 116.19 obtained credit by payment to the fund in lieu of salary 116.20 deductions. To obtain credit, the employee shall pay an amount 116.21 equal to the employee and employer contribution rate in section 116.22 352.04, subdivisions 2 and 3, multiplied by the employee's 116.23 hourly rate of salary on the date of return from leave of 116.24 absence and by the days and months of the leave of absence 116.25 without pay for which the employee wants allowable service 116.26 credit. The employing department, at its option, may pay the 116.27 employer amount on behalf of its employees. Payments made under 116.28 this clause must include interest at an annual rate of 8.5 116.29 percent compounded annually from the date of termination of the 116.30 leave of absence to the date payment is made unless payment is 116.31 completed within one year of the return from leave of absence. 116.32 (10) A period purchased under section 356.555. 116.33 Sec. 2. Minnesota Statutes 2000, section 352B.01, 116.34 subdivision 3, is amended to read: 116.35 Subd. 3. [ALLOWABLE SERVICE.] (a) "Allowable service" 116.36 means: 117.1 (1) for members defined in subdivision 2, clause (a), 117.2 monthly service is granted for any month for which payments have 117.3 been made to the state patrol retirement fund, and 117.4 (2) for members defined in subdivision 2, clauses (b) and 117.5 (c), service for which payments have been made to the state 117.6 patrol retirement fund, service for which payments were made to 117.7 the state police officers retirement fund after June 30, 1961, 117.8 and all prior service which was credited to a member for service 117.9 on or before June 30, 1961. 117.10 (b) Allowable service also includes any period of absence 117.11 from duty by a member who, by reason of injury incurred in the 117.12 performance of duty, is temporarily disabled and for which 117.13 disability the state is liable under the workers' compensation 117.14 law, until the date authorized by the executive director for 117.15 commencement of payment of a disability benefit or return to 117.16 employment. 117.17 (c) Allowable service also includes a period purchased 117.18 under section 356.555. 117.19 Sec. 3. Minnesota Statutes 2000, section 353.01, 117.20 subdivision 16, is amended to read: 117.21 Subd. 16. [ALLOWABLE SERVICE.] (a) "Allowable service" 117.22 means service during years of actual membership in the course of 117.23 which employee contributions were made, periods covered by 117.24 payments in lieu of salary deductions under section 353.35, and 117.25 service in years during which the public employee was not a 117.26 member but for which the member later elected, while a member, 117.27 to obtain credit by making payments to the fund as permitted by 117.28 any law then in effect. 117.29 (b) "Allowable service" also means a period of authorized 117.30 leave of absence with pay from which deductions for employee 117.31 contributions are made, deposited, and credited to the fund. 117.32 (c) "Allowable service" also means a period of authorized 117.33 leave of absence without pay that does not exceed one year, and 117.34 during or for which a member obtained credit by payments to the 117.35 fund made in place of salary deductions, provided that the 117.36 payments are made in an amount or amounts based on the member's 118.1 average salary on which deductions were paid for the last six 118.2 months of public service, or for that portion of the last six 118.3 months while the member was in public service, to apply to the 118.4 period in either case immediately preceding commencement of the 118.5 leave of absence. If the employee elects to pay employee 118.6 contributions for the period of any leave of absence without 118.7 pay, or for any portion of the leave, the employee shall also, 118.8 as a condition to the exercise of the election, pay to the fund 118.9 an amount equivalent to both the required employer and 118.10 additional employer contributions for the employee. The payment 118.11 must be made within one year from the expiration of the leave of 118.12 absence or within 20 days after termination of public service 118.13 under subdivision 11a. The employer by appropriate action of 118.14 its governing body, made a part of its official records, before 118.15 the date of the first payment of the employee contribution, may 118.16 certify to the association in writing its commitment to pay the 118.17 employer and additional employer contributions from the proceeds 118.18 of a tax levy made under section 353.28. Payments under this 118.19 paragraph must include interest at an annual rate of 8.5 percent 118.20 compounded annually from the date of the termination of the 118.21 leave of absence to the date payment is made. An employee shall 118.22 return to public service and receive a minimum of three months 118.23 of allowable service to be eligible to pay employee and employer 118.24 contributions for a subsequent authorized leave of absence 118.25 without pay. 118.26 (d) "Allowable service" also means a periodic, repetitive 118.27 leave that is offered to all employees of a governmental 118.28 subdivision. The leave program may not exceed 208 hours per 118.29 annual normal work cycle as certified to the association by the 118.30 employer. A participating member obtains service credit by 118.31 making employee contributions in an amount or amounts based on 118.32 the member's average salary that would have been paid if the 118.33 leave had not been taken. The employer shall pay the employer 118.34 and additional employer contributions on behalf of the 118.35 participating member. The employee and the employer are 118.36 responsible to pay interest on their respective shares at the 119.1 rate of 8.5 percent a year, compounded annually, from the end of 119.2 the normal cycle until full payment is made. An employer shall 119.3 also make the employer and additional employer contributions, 119.4 plus 8.5 percent interest, compounded annually, on behalf of an 119.5 employee who makes employee contributions but terminates public 119.6 service. The employee contributions must be made within one 119.7 year after the end of the annual normal working cycle or within 119.8 20 days after termination of public service, whichever is 119.9 sooner. The association shall prescribe the manner and forms to 119.10 be used by a governmental subdivision in administering a 119.11 periodic, repetitive leave. 119.12 (e) "Allowable service" also means a period during which a 119.13 member is on an authorized sick leave of absence, without pay, 119.14 limited to one year. An employee who has received one year of 119.15 allowable service shall return to public service and receive a 119.16 minimum of three months of allowable service to receive 119.17 allowable service for a subsequent authorized sick leave of 119.18 absence. 119.19 (f) "Allowable service" also means an authorized temporary 119.20 layoff under subdivision 12, limited to three months allowable 119.21 service per authorized temporary layoff in one calendar year. 119.22 An employee who has received the maximum service allowed for an 119.23 authorized temporary layoff shall return to public service and 119.24 receive a minimum of three months of allowable service to 119.25 receive allowable service for a subsequent authorized temporary 119.26 layoff. 119.27 (g) Notwithstanding any law to the contrary, "allowable 119.28 service" also means a parental leave. The association shall 119.29 grant a maximum of two months service credit for a parental 119.30 leave, within six months after the birth or adoption, upon 119.31 documentation from the member's governmental subdivision or 119.32 presentation of a birth certificate or other evidence of birth 119.33 or adoption to the association. 119.34 (h) "Allowable service" also means a period during which a 119.35 member is on an authorized leave of absence to enter military 119.36 service, provided that the member returns to public service upon 120.1 discharge from military service under section 192.262 and pays 120.2 into the fund employee contributions based upon the employee's 120.3 salary at the date of return from military service. Payment 120.4 must be made within five years of the date of discharge from the 120.5 military service. The amount of these contributions must be in 120.6 accord with the contribution rates and salary limitations, if 120.7 any, in effect during the leave, plus interest at an annual rate 120.8 of 8.5 percent compounded annually from the date of return to 120.9 public service to the date payment is made. The matching 120.10 employer contribution and additional employer contribution under 120.11 section 353.27, subdivisions 3 and 3a, must be paid by the 120.12 governmental subdivision employing the member upon return to 120.13 public service if the member makes the employee contributions. 120.14 The governmental subdivision involved may appropriate money for 120.15 those payments. A member may not receive credit for a voluntary 120.16 extension of military service at the instance of the member 120.17 beyond the initial period of enlistment, induction, or call to 120.18 active duty. 120.19 (i) For calculating benefits under sections 353.30, 353.31, 120.20 353.32, and 353.33 for state officers and employees displaced by 120.21 the Community Corrections Act, chapter 401, and transferred into 120.22 county service under section 401.04, "allowable service" means 120.23 combined years of allowable service as defined in paragraphs (a) 120.24 to (i) and section 352.01, subdivision 11. 120.25 (j) For a public employee who has prior service covered by 120.26 a local police or firefighters relief association that has 120.27 consolidated with the public employees retirement association or 120.28 to which section 353.665 applies, and who has elected the type 120.29 of benefit coverage provided by the public employees police and 120.30 fire fund either under section 353A.08 following the 120.31 consolidation or under section 353.665, subdivision 4, 120.32 "applicable service" is a period of service credited by the 120.33 local police or firefighters relief association as of the 120.34 effective date of the consolidation based on law and on bylaw 120.35 provisions governing the relief association on the date of the 120.36 initiation of the consolidation procedure. 121.1 (k) "Allowable service" also means a period purchased under 121.2 section 356.555. 121.3 Sec. 4. Minnesota Statutes 2000, section 354.05, 121.4 subdivision 13, is amended to read: 121.5 Subd. 13. [ALLOWABLE SERVICE.] "Allowable service" means: 121.6 (1) Any service rendered by a teacher for which on or 121.7 before July 1, 1957, the teacher's account in the retirement 121.8 fund was credited by reason of employee contributions in the 121.9 form of salary deductions, payments in lieu of salary 121.10 deductions, or in any other manner authorized by Minnesota 121.11 Statutes 1953, sections 135.01 to 135.13, as amended by Laws 121.12 1955, chapters 361, 549, 550, 611 or 121.13 (2) Any service rendered by a teacher for which on or 121.14 before July 1, 1961, the teacher elected to obtain credit for 121.15 service by making payments to the fund pursuant to Minnesota 121.16 Statutes 1980, section 354.09 and section 354.51 or 121.17 (3) Any service rendered by a teacher after July 1, 1957, 121.18 for any calendar month when the member receives salary from 121.19 which deductions are made, deposited and credited in the fund, 121.20 or 121.21 (4) Any service rendered by a person after July 1, 1957, 121.22 for any calendar month where payments in lieu of salary 121.23 deductions are made, deposited and credited into the fund as 121.24 provided in Minnesota Statutes 1980, section 354.09, subdivision 121.25 4, and section 354.53, or 121.26 (5) Any service rendered by a teacher for which the teacher 121.27 elected to obtain credit for service by making payments to the 121.28 fund pursuant to Minnesota Statutes 1980, section 354.09, 121.29 subdivisions 1 and 4, sections 354.50, 354.51, Minnesota 121.30 Statutes 1957, section 135.41, subdivision 4, Minnesota Statutes 121.31 1971, section 354.09, subdivision 2, or Minnesota Statutes, 1973 121.32 Supplement, section 354.09, subdivision 3, or 121.33 (6) Both service during years of actual membership in the 121.34 course of which contributions were currently made and service in 121.35 years during which the teacher was not a member but for which 121.36 the teacher later elected to obtain credit by making payments to 122.1 the fund as permitted by any law then in effect, or 122.2 (7) Any service rendered where contributions were made and 122.3 no allowable service credit was established because of the 122.4 limitations contained in Minnesota Statutes 1957, section 122.5 135.09, subdivision 2, as determined by the ratio between the 122.6 amounts of money credited to the teacher's account in a fiscal 122.7 year and the maximum retirement contribution allowable for that 122.8 year, or 122.9 (8) a period purchased under section 356.555. 122.10 Sec. 5. Minnesota Statutes 2000, section 354.534, 122.11 subdivision 1, is amended to read: 122.12 Subdivision 1. [SERVICE CREDIT PURCHASE AUTHORIZED.] (a) A 122.13 teacher who has at least three years of allowable service credit 122.14 with the teachers retirement association is entitled to purchase 122.15 up to ten years of allowable and formula service credit for 122.16 out-of-state teaching service by making payment under section 122.17 356.55, provided the out-of-state teaching service was performed 122.18 for an educational institution established and operated by 122.19 anotherstate, governmental subdivision of another state, or the122.20federal governmentgovernmental jurisdiction and the teacher is 122.21 not entitled to receive a current or deferred age and service 122.22 retirement annuity or disability benefit and has not purchased 122.23 service credit from another defined benefit public employee 122.24 pension plan for that out-of-state teaching service. 122.25 (b) For purposes of paragraph (a), "another governmental 122.26 jurisdiction" means: 122.27 (1) another state of the United States; 122.28 (2) a governmental subdivision of another state of the 122.29 United States; 122.30 (3) the federal government; 122.31 (4) a federally recognized American Indian tribe; or 122.32 (5) a country other than the United States. 122.33 Sec. 6. Minnesota Statutes 2000, section 354.536, 122.34 subdivision 1, is amended to read: 122.35 Subdivision 1. [SERVICE CREDIT PURCHASE AUTHORIZED.] A 122.36 teacher who has at least three years of allowable service credit 123.1 with the teachers retirement association is entitled to purchase 123.2 up to ten years of allowable and formula service credit for 123.3 developmental achievement center, nonprofit community-based 123.4 corporation, private, or parochial school teaching service by 123.5 making payment under section 356.55, provided that the teacher 123.6 is not entitled to receive a current or deferred age and service 123.7 retirement annuity or disability benefit from the applicable 123.8 employer-sponsored pension plan and has not purchased service 123.9 credit from the applicable defined benefit employer-sponsored 123.10 pension plan for that service. 123.11 Sec. 7. Minnesota Statutes 2000, section 354.539, is 123.12 amended to read: 123.13 354.539 [USE OF COLLEGE SUPPLEMENTAL RETIREMENT FUNDS TO 123.14 PURCHASE SERVICE CREDIT.] 123.15 (a) Unless prohibited by or subject to a penalty under 123.16 federal law, a teacher who is a participant in the college 123.17 supplemental retirement plan established under chapter 354C may 123.18 utilize the teacher's supplemental plan account to purchase 123.19 service credit under sections 354.53, 354.533, 354.534, 354.535, 123.20 354.536, 354.537,and354.538, 354.541, and 354.542 or to repay 123.21 a refund under section 354.50. 123.22 (b) At the request of a member, if determined by the 123.23 executive director to be eligible to purchase service credit, 123.24 the executive director shall notify the board of the Minnesota 123.25 state colleges and universities system of the cost of the 123.26 purchase and shall request the transfer of funds from the 123.27 member's college supplemental retirement account to the teachers 123.28 retirement association. Upon receipt of the full prior service 123.29 credit purchase payment amount, the teachers retirement 123.30 association shall grant the requested allowable and formula 123.31 service credit. 123.32 Sec. 8. [354.541] [PRIOR UNIVERSITY OF MINNESOTA TEACHING 123.33 SERVICE CREDIT PURCHASE.] 123.34 Subdivision 1. [SERVICE CREDIT PURCHASE AUTHORIZED.] A 123.35 teacher who has at least three years of allowable service credit 123.36 with the teachers retirement association is entitled to purchase 124.1 up to ten years of allowable and formula service credit for 124.2 University of Minnesota teaching service by making payment under 124.3 section 356.55, provided the teacher is not entitled to receive 124.4 a current or deferred age and service retirement annuity or 124.5 disability benefit and has not purchased service credit from 124.6 another defined benefit public employee pension plan for that 124.7 University of Minnesota teaching service. 124.8 Subd. 2. [APPLICATION AND DOCUMENTATION.] A teacher who 124.9 desires to purchase service credit under subdivision 1 must 124.10 apply with the executive director to make the purchase. The 124.11 application must include all necessary documentation of the 124.12 teacher's qualifications to make the purchase, signed written 124.13 permission to allow the executive director to request and 124.14 receive necessary verification of applicable facts and 124.15 eligibility requirements, and any other relevant information 124.16 that the executive director may require. Payment must be made 124.17 before the teacher's effective date of retirement. 124.18 Subd. 3. [SERVICE CREDIT GRANT.] Allowable and formula 124.19 service credit for the purchase period must be granted by the 124.20 teachers retirement association to the purchasing teacher on 124.21 receipt of the purchase payment amount. 124.22 Sec. 9. [354.542] [PRIOR TEACHING SERVICE CREDIT PURCHASE 124.23 BY IRAP MEMBERS WITH DEFERRED TEACHERS RETIREMENT ASSOCIATION 124.24 CREDIT.] 124.25 A person in covered employment under section 354B.20, 124.26 subdivision 4, who is a participant in the individual retirement 124.27 account plan authorized by chapter 354B and who has at least 124.28 three years of allowable service credit with the teachers 124.29 retirement association may purchase service credit as provided 124.30 in sections 354.533 to 354.538 and 354.541. 124.31 Sec. 10. Minnesota Statutes 2000, section 354A.011, 124.32 subdivision 4, is amended to read: 124.33 Subd. 4. [ALLOWABLE SERVICE.] "Allowable service" means 124.34 any service rendered by a teacher during a period in which the 124.35 teacher receives salary from which employee contribution salary 124.36 deductions are made to and credited by the teachers retirement 125.1 fund associationor, any service rendered by a person during any 125.2 period where assessments or payments in lieu of salary 125.3 deductions were made if authorized by any law or provision of 125.4 the association's articles of incorporation or bylaws then in 125.5 effect or pursuant to section 354A.091, 354A.092, 354A.093, or 125.6 354A.094, or service credit purchased under section 356.555. 125.7 Sec. 11. Minnesota Statutes 2000, section 354A.098, 125.8 subdivision 1, is amended to read: 125.9 Subdivision 1. [SERVICE CREDIT PURCHASE AUTHORIZED.] (a) A 125.10 teacher who has at least three years of allowable service credit 125.11 with one of the retirement fund associations under this chapter 125.12 and who rendered out-of-state teaching service for an 125.13 educational institution established and operated by another 125.14state, governmental subdivision of another state, or the federal125.15governmentgovernmental entity specified in paragraph (b) is 125.16 entitled to purchase up to ten years of allowable service credit 125.17 for that out-of-state service by making payment under section 125.18 356.55, provided the teacher is not entitled to receive a 125.19 current or deferred age and service retirement annuity or 125.20 disability benefit and has not purchased service credit from 125.21 another defined benefit public employee pension plan for that 125.22 out-of-state teaching service. Payment must be made before the 125.23 teacher's effective date of retirement. 125.24 (b) An eligible governmental entity for purposes of 125.25 paragraph (a) is: 125.26 (1) another state of the United States; 125.27 (2) a governmental subdivision of another state of the 125.28 United States; 125.29 (3) the federal government; 125.30 (4) a federally recognized American Indian tribe; or 125.31 (5) a public education institution in a foreign country. 125.32 Sec. 12. Minnesota Statutes 2000, section 354A.101, 125.33 subdivision 1, is amended to read: 125.34 Subdivision 1. [SERVICE CREDIT PURCHASE AUTHORIZED.] A 125.35 teacher who has at least three years of allowable service credit 125.36 with the teachers retirement fund association is entitled to 126.1 purchase up to ten years of allowable service credit 126.2 for developmental achievement center or nonprofit 126.3 community-based corporation, private, or parochial school 126.4 teaching service by making payment under section 356.55, 126.5 provided that the teacher is not entitled to receive a current 126.6 or deferred age and service retirement annuity or disability 126.7 benefit from the applicable employer-sponsored pension plan and 126.8 has not purchased service credit from the applicable defined 126.9 benefit employer-sponsored pension plan for that service. 126.10 Sec. 13. Minnesota Statutes 2000, section 354A.106, is 126.11 amended to read: 126.12 354A.106 [USE OF COLLEGE SUPPLEMENTAL RETIREMENT FUNDS TO 126.13 PURCHASE SERVICE CREDIT.] 126.14 (a) Unless prohibited by or subject to a penalty under 126.15 federal law, a teacher who is a participant in the college 126.16 supplemental retirement plan established under chapter 354C may 126.17 utilize the teacher's supplemental plan account to purchase 126.18 service credit under sections 354A.097, 354A.098, 354A.099, 126.19 354A.101, 354A.102, 354A.103,and354A.104, 354A.107, and 126.20 354A.108, or to repay a refund under section 354A.38. 126.21 (b) At the request of a member, if determined by the 126.22 executive director of the applicable teachers retirement fund 126.23 association to be eligible to purchase service credit, the 126.24 executive director shall notify the board of the Minnesota state 126.25 colleges and universities system of the cost of the purchase and 126.26 shall request the transfer of funds from the member's college 126.27 supplemental retirement account to the applicable teachers 126.28 retirement fund association. Upon receipt of the full prior 126.29 service credit purchase payment amount, the applicable teachers 126.30 retirement fund association shall grant the requested allowable 126.31 and formula service credit. 126.32 Sec. 14. [354A.107] [PRIOR UNIVERSITY OF MINNESOTA 126.33 TEACHING SERVICE CREDIT PURCHASE.] 126.34 Subdivision 1. [SERVICE CREDIT PURCHASE AUTHORIZED.] A 126.35 teacher who has at least three years of allowable service credit 126.36 with the teachers retirement fund association is entitled to 127.1 purchase up to ten years of allowable service credit for 127.2 University of Minnesota teaching service by making payment under 127.3 section 356.55, provided the teacher is not entitled to receive 127.4 a current or deferred age and service retirement annuity or 127.5 disability benefit and has not purchased service credit from 127.6 another defined benefit public employee pension plan for that 127.7 University of Minnesota teaching service. 127.8 Subd. 2. [APPLICATION AND DOCUMENTATION.] A teacher who 127.9 desires to purchase service credit under subdivision 1 must 127.10 apply with the executive director to make the purchase. The 127.11 application must include all necessary documentation of the 127.12 teacher's qualifications to make the purchase, signed written 127.13 permission to allow the executive director to request and 127.14 receive necessary verification of applicable facts and 127.15 eligibility requirements, and any other relevant information 127.16 that the executive director may require. Payment must be made 127.17 before the teacher's effective date of retirement. 127.18 Subd. 3. [SERVICE CREDIT GRANT.] Allowable service credit 127.19 for the purchase period must be granted by the teachers 127.20 retirement association to the purchasing teacher on receipt of 127.21 the purchase payment amount. 127.22 Sec. 15. [354A.108] [PRIOR TEACHING SERVICE CREDIT 127.23 PURCHASE BY IRAP MEMBERS WITH DEFERRED TEACHERS RETIREMENT 127.24 ASSOCIATION CREDIT.] 127.25 A teacher who is a participant in the individual retirement 127.26 account plan authorized by chapter 354B and who has at least 127.27 three years of allowable service credit with a teachers 127.28 retirement fund association may purchase service credit as 127.29 provided in sections 354A.091 to 354A.099 and 354A.101 to 127.30 354A.107. 127.31 Sec. 16. Minnesota Statutes 2000, section 356.55, 127.32 subdivision 7, is amended to read: 127.33 Subd. 7. [EXPIRATION OF PURCHASE PAYMENT DETERMINATION 127.34 PROCEDURE.] (a) This section expires and is repealed on July 127.35 1,20012003. 127.36 (b) Authority for any public pension plan to accept a prior 128.1 service credit payment calculated in a timely fashion under this 128.2 section expires on October 1,20012003. 128.3 Sec. 17. [356.555] [PARENTAL OR FAMILY LEAVE SERVICE 128.4 CREDIT PURCHASE.] 128.5 Subdivision 1. [SERVICE CREDIT PURCHASE AUTHORIZATION.] (a) 128.6 Notwithstanding any provision to the contrary of the laws 128.7 governing a plan enumerated in subdivision 4, a member of the 128.8 pension plan who has at least three years of allowable service 128.9 covered by the applicable pension plan and who was granted by 128.10 the employer a parental leave of absence as defined in paragraph 128.11 (b), or who was granted by the employer a family leave of 128.12 absence as defined in paragraph (c), or who had a parental or 128.13 family-related break in employment, as defined in paragraph (d), 128.14 for which the person did not previously receive service credit 128.15 or for which the person did not receive or purchase service 128.16 credit from another defined benefit public employee pension 128.17 plan, is entitled to purchase the actual period of the leave or 128.18 of the break in service, up to five years, of allowable service 128.19 credit in the applicable retirement plan. The purchase payment 128.20 amount is governed by section 356.55. 128.21 (b) For purposes of this section, a parental leave of 128.22 absence is a temporary period of interruption of or separation 128.23 from active employment for the purposes of handling maternity or 128.24 paternity duties that has been approved by the employing unit 128.25 and that includes the right of reinstatement to employment. 128.26 (c) For purposes of this section, a family leave of absence 128.27 is a family leave under United States Code, title 42, section 128.28 12631, as amended. 128.29 (d) For purposes of this section, a parental or 128.30 family-related break in employment is a period following a 128.31 termination of active employment primarily for the purpose of 128.32 the birth of a child, the adoption of a child, or the provision 128.33 of care to a near relative or in-law, after which the person 128.34 returned to the prior employing unit or to an employing unit 128.35 covered by the same pension plan that provided retirement 128.36 coverage immediately prior to the termination of employment. 129.1 Subd. 2. [APPLICATION AND DOCUMENTATION.] A person who 129.2 desires to purchase service credit under subdivision 1 must 129.3 apply for the service credit purchase with the chief 129.4 administrative officer of the enumerated pension plan. The 129.5 application must include all necessary documentation of the 129.6 qualifications of the person to make the purchase, signed 129.7 written permission to allow the chief administrative officer to 129.8 request and receive necessary verification of all applicable 129.9 facts and eligibility requirements, and any other relevant 129.10 information that the chief administrative officer may require. 129.11 Subd. 3. [SERVICE CREDIT GRANT.] Allowable service credit 129.12 in the applicable enumerated pension plan for the purchase 129.13 period must be granted to the purchaser upon receipt of the 129.14 purchase payment amount calculated under section 356.55. 129.15 Payment of the purchase amount must be made before the person 129.16 retires. 129.17 Subd. 4. [COVERED PENSION PLANS.] This section applies to 129.18 the following pension plans: 129.19 (1) general state employees retirement plan governed by 129.20 chapter 352; 129.21 (2) correctional state employees retirement plan governed 129.22 by chapter 352; 129.23 (3) general public employees retirement plan governed by 129.24 chapter 353; 129.25 (4) public employees police and fire plan governed by 129.26 chapter 353; 129.27 (5) teachers retirement plan governed by chapter 354; 129.28 (6) Minneapolis teachers retirement fund association 129.29 governed by chapter 354A; 129.30 (7) Saint Paul teachers retirement fund association 129.31 governed by chapter 354A; 129.32 (8) Duluth teachers retirement fund association governed by 129.33 chapter 354A; 129.34 (9) Minneapolis employees retirement plan governed by 129.35 chapter 422A; 129.36 (10) Minneapolis police relief association governed by 130.1 chapter 423B; and 130.2 (11) Minneapolis fire department relief association 130.3 governed by sections 69.25 to 69.53 and augmented by Laws 1959, 130.4 chapters 213, 491, and 568, and other special local legislation. 130.5 Sec. 18. Minnesota Statutes 2000, section 422A.155, is 130.6 amended to read: 130.7 422A.155 [DETERMINATION OF SERVICE CREDIT.] 130.8 (a) Notwithstanding the provisions of section 422A.15, 130.9 subdivision 1, no employee of the contributing class of the 130.10 Minneapolis employees retirement fund shall be entitled to 130.11 receive a year of service credit during the employee's final 130.12 year of service unless the employee is employed and has received 130.13 compensation from the city of Minneapolis or other applicable 130.14 employing unit during each of the calendar months making up the 130.15 year for which the employee would usually be employed. Any 130.16 employee of the contributing class who is employed and receives 130.17 compensation in fewer than the usual number of calendar months 130.18 during the final year of service shall receive credit for that 130.19 portion of a year that the employee's completed months of 130.20 employment and receipt of compensation bears to the usual number 130.21 of months which the employee would usually be employed. 130.22 (b) Notwithstanding any provision of this chapter to the 130.23 contrary, service credit also means a period purchased under 130.24 section 356.555. 130.25 Sec. 19. Minnesota Statutes 2000, section 423B.01, is 130.26 amended by adding a subdivision to read: 130.27 Subd. 3a. [ALLOWABLE SERVICE CREDIT.] "Allowable service 130.28 credit" means: 130.29 (1) service rendered as an active member; 130.30 (2) service as an elected public official under section 130.31 423B.03; 130.32 (3) military service credited under section 423B.09, 130.33 subdivision 3; and 130.34 (4) a period of service purchased under section 356.555. 130.35 Sec. 20. [MINNEAPOLIS FIRE DEPARTMENT RELIEF ASSOCIATION; 130.36 PARENTAL LEAVE PURCHASE.] 131.1 Notwithstanding any provision of Minnesota Statutes, 131.2 sections 69.25 to 69.53; Laws 1959, chapters 213, 491, and 568; 131.3 or any other special local law governing the Minneapolis fire 131.4 department relief association to the contrary, service credit 131.5 for the purposes of calculating service pensions, disability 131.6 benefits, or survivor benefits includes a period purchased under 131.7 Minnesota Statutes, section 356.555. 131.8 Sec. 21. [EXPIRATION DATE.] 131.9 (a) The amendments in sections 1, 2, 3, 4, 10, 12, 16, 17, 131.10 18, 19, and 20 expire May 16, 2003. 131.11 (b) Sections 9 and 15 expire May 16, 2002. 131.12 Sec. 22. [EFFECTIVE DATE.] 131.13 (a) Sections 6 and 9 are effective the day following final 131.14 enactment. 131.15 (b) Sections 1 to 5, 7, 8, and 10 to 21 are effective July 131.16 1, 2001. 131.17 ARTICLE 7 131.18 POSTRETIREMENT HEALTH CARE INSURANCE COVERAGE 131.19 Section 1. [352.98] [POSTRETIREMENT HEALTH CARE SAVINGS 131.20 PLAN.] 131.21 Subdivision 1. [PLAN CREATED.] The Minnesota state 131.22 retirement system shall establish a plan or plans, known as 131.23 postretirement health care savings plans, through which public 131.24 employers and employees may save to cover postretirement health 131.25 care costs. The Minnesota state retirement system shall make 131.26 available one or more trusts, including a governmental trust or 131.27 governmental trusts, authorized under the Internal Revenue Code 131.28 to be eligible for tax-preferred or tax-free treatment through 131.29 which employers and employees can save to cover postretirement 131.30 health care costs. 131.31 Subd. 2. [CONTRACTING AUTHORIZED.] The Minnesota state 131.32 retirement system is authorized to administer the plan and to 131.33 contract with public and private entities to provide investment 131.34 services, recordkeeping, benefit payments, and other functions 131.35 necessary for the administration of the plan. If allowed by the 131.36 Minnesota state board of investment, the Minnesota state board 132.1 of investment supplemental investment funds may be offered as 132.2 investment options under the postretirement savings plan or 132.3 plans. 132.4 Subd. 3. [CONTRIBUTIONS.] (a) Contributions to the plan 132.5 shall be determined through a personnel policy or in a 132.6 collective bargaining agreement of a public employer with the 132.7 exclusive representative of the covered employees in an 132.8 appropriate unit. The Minnesota state retirement system may 132.9 offer different types of trusts permitted under the Internal 132.10 Revenue Code to best meet the needs of different employee units. 132.11 (b) Contributions to the plan by or on behalf of the 132.12 employee shall be held in trust for reimbursement of employee 132.13 and dependent health-related expenses following retirement from 132.14 public employment. The Minnesota state retirement system shall 132.15 maintain a separate account of the contributions made by or on 132.16 behalf of each participant and the earnings thereon. The 132.17 Minnesota state retirement system shall make available a limited 132.18 range of investment options, and each employee may direct the 132.19 investment of the accumulations in the employee's account among 132.20 the investment options made available by the Minnesota state 132.21 retirement system. At the request of a participating employer 132.22 and employee group, the Minnesota state retirement system may 132.23 determine how the assets of the affected employer and employee 132.24 group should be invested. 132.25 (c) This section does not obligate a public employer to 132.26 meet and negotiate in good faith with the exclusive bargaining 132.27 representative of any public employee group regarding an 132.28 employer contribution to a postretirement health care savings 132.29 plan authorized by this section and section 356.24, subdivision 132.30 1, clause (7). It is not the intent of the legislature to 132.31 authorize the state to incur new funding obligations for the 132.32 costs of retiree health care or the costs of administering 132.33 retiree health care plans or accounts. 132.34 Subd. 4. [REIMBURSEMENT FOR HEALTH-RELATED 132.35 EXPENSES.] Following termination of public service, the 132.36 Minnesota state retirement system shall reimburse employees at 133.1 least quarterly for submitted health-related expenses, until the 133.2 employee exhausts the accumulation in the employee's account. 133.3 If an employee dies prior to exhausting the employee's account 133.4 balance, the employee's spouse or dependents shall be eligible 133.5 to be reimbursed for health care expenses from the account until 133.6 the account balance is exhausted. If an account balance remains 133.7 after the death of a participant and all of the participant's 133.8 legal dependents, the remainder of the account shall be paid to 133.9 the employee's beneficiaries or, if none, to the employee's 133.10 estate. 133.11 Subd. 5. [FEES.] The Minnesota state retirement plan is 133.12 authorized to charge uniform fees to participants to cover the 133.13 ongoing cost of operating the plan. Any fees not needed shall 133.14 revert to participant accounts or be used to reduce plan fees 133.15 the following year. The Minnesota state retirement system is 133.16 authorized to charge participating employers a fee, not to 133.17 exceed one-sixth of the federal insurance contribution act 133.18 savings realized by the employer as a result of participating in 133.19 the plan, until the initial costs of establishing the plan or 133.20 plans authorized by this section are recovered, or $75,000, 133.21 whichever is less. 133.22 Subd. 6. [ADVISORY COMMITTEE.] (a) The Minnesota state 133.23 retirement system shall establish a participant advisory 133.24 committee for the plan, made up of one representative appointed 133.25 by each employee unit participating in the plan. Each 133.26 participating unit shall be responsible for the expenses of its 133.27 own representative. 133.28 (b) The advisory committee shall meet at least twice per 133.29 year and shall be consulted on plan offerings and vendor 133.30 selection. By October 1 of each year, the Minnesota state 133.31 retirement system shall give the advisory committee a statement 133.32 of fees collected and the use of the fees. 133.33 Subd. 7. [CONTRACTING WITH PRIVATE ENTITIES.] Nothing in 133.34 this section shall prohibit employers from contracting with 133.35 private entities to provide for postretirement health care 133.36 reimbursement plans. 134.1 Sec. 2. Minnesota Statutes 2000, section 356.24, 134.2 subdivision 1, is amended to read: 134.3 Subdivision 1. [RESTRICTION; EXCEPTIONS.] It is unlawful 134.4 for a school district or other governmental subdivision or state 134.5 agency to levy taxes for, or contribute public funds to a 134.6 supplemental pension or deferred compensation plan that is 134.7 established, maintained, and operated in addition to a primary 134.8 pension program for the benefit of the governmental subdivision 134.9 employees other than: 134.10 (1) to a supplemental pension plan that was established, 134.11 maintained, and operated before May 6, 1971; 134.12 (2) to a plan that provides solely for group health, 134.13 hospital, disability, or death benefits; 134.14 (3) to the individual retirement account plan established 134.15 by chapter 354B; 134.16 (4) to a plan that provides solely for severance pay under 134.17 section 465.72 to a retiring or terminating employee; 134.18 (5) for employees other than personnel employed by the 134.19 state university board or the community college board and 134.20 covered by the board of trustees of the Minnesota state colleges 134.21 and universities supplemental retirement plan under chapter 134.22 354C, if provided for in a personnel policy of the public 134.23 employer or in the collective bargaining agreement between the 134.24 public employer and the exclusive representative of public 134.25 employees in an appropriate unit, in an amount matching employee 134.26 contributions on a dollar for dollar basis, but not to exceed an 134.27 employer contribution of $2,000 a year per employee; 134.28 (i) to the state of Minnesota deferred compensation plan 134.29 under section 352.96; or 134.30 (ii) in payment of the applicable portion of the 134.31 contribution made to any investment eligible under section 134.32 403(b) of the Internal Revenue Code, if the employing unit has 134.33 complied with any applicable pension plan provisions of the 134.34 Internal Revenue Code with respect to the tax-sheltered annuity 134.35 program during the preceding calendar year;or134.36 (6) for personnel employed by the state university board or 135.1 the community college board and not covered by clause (5), to 135.2 the supplemental retirement plan under chapter 354C, if provided 135.3 for in a personnel policy or in the collective bargaining 135.4 agreement of the public employer with the exclusive 135.5 representative of the covered employees in an appropriate unit, 135.6 in an amount matching employee contributions on a dollar for 135.7 dollar basis, but not to exceed an employer contribution of 135.8 $2,700 a year for each employee; 135.9 (7) to a supplemental plan or to a governmental trust to 135.10 save for postretirement health care expenses qualified for 135.11 tax-preferred treatment under the Internal Revenue Code, if 135.12 provided for in a personnel policy or in the collective 135.13 bargaining agreement of a public employer with the exclusive 135.14 representative of the covered employees in an appropriate unit; 135.15 or 135.16 (8) to the laborer's national industrial pension fund for 135.17 the employees of a governmental subdivision who are covered by a 135.18 collective bargaining agreement that provides for coverage by 135.19 that fund and that sets forth a fund contribution rate, but not 135.20 to exceed an employer contribution of $2,000 per year per 135.21 employee. 135.22 Sec. 3. [EFFECTIVE DATE.] 135.23 Sections 1 and 2 are effective July 1, 2001. 135.24 ARTICLE 8 135.25 STATE PATROL RETIREMENT PLAN MEMBERSHIP EXPANSION 135.26 Section 1. Minnesota Statutes 2000, section 352.01, 135.27 subdivision 2b, is amended to read: 135.28 Subd. 2b. [EXCLUDED EMPLOYEES.] "State employee" does not 135.29 include: 135.30 (1) elective state officers; 135.31 (2) students employed by the University of Minnesota, the 135.32 state universities, and community colleges unless approved for 135.33 coverage by the board of regents or the board of trustees of the 135.34 Minnesota state colleges and universities, as the case may be; 135.35 (3) employees who are eligible for membership in the state 135.36 teachers retirement association except employees of the 136.1 department of children, families, and learning who have chosen 136.2 or may choose to be covered by the Minnesota state retirement 136.3 system instead of the teachers retirement association; 136.4 (4) employees of the University of Minnesota who are 136.5 excluded from coverage by action of the board of regents; 136.6 (5) officers and enlisted personnel in the national guard 136.7 and the naval militia who are assigned to permanent peacetime 136.8 duty and who under federal law are or are required to be members 136.9 of a federal retirement system; 136.10 (6) election officers; 136.11 (7) persons engaged in public work for the state but 136.12 employed by contractors when the performance of the contract is 136.13 authorized by the legislature or other competent authority; 136.14 (8) officers and employees of the senate and house of 136.15 representatives or a legislative committee or commission who are 136.16 temporarily employed; 136.17 (9) receivers, jurors, notaries public, and court employees 136.18 who are not in the judicial branch as defined in section 43A.02, 136.19 subdivision 25, except referees and adjusters employed by the 136.20 department of labor and industry; 136.21 (10) patient and inmate help in state charitable, penal, 136.22 and correctional institutions including the Minnesota veterans 136.23 home; 136.24 (11) persons employed for professional services where the 136.25 service is incidental to regular professional duties and whose 136.26 compensation is paid on a per diem basis; 136.27 (12) employees of the Sibley House Association; 136.28 (13) the members of any state board or commission who serve 136.29 the state intermittently and are paid on a per diem basis; the 136.30 secretary, secretary-treasurer, and treasurer of those boards if 136.31 their compensation is $5,000 or less per year, or, if they are 136.32 legally prohibited from serving more than three years; and the 136.33 board of managers of the state agricultural society and its 136.34 treasurer unless the treasurer is also its full-time secretary; 136.35 (14) state troopers; 136.36 (15) temporary employees of the Minnesota state fair 137.1 employed on or after July 1 for a period not to extend beyond 137.2 October 15 of that year; and persons employed at any time by the 137.3 state fair administration for special events held on the 137.4 fairgrounds; 137.5 (16) emergency employees in the classified service; except 137.6 that if an emergency employee, within the same pay period, 137.7 becomes a provisional or probationary employee on other than a 137.8 temporary basis, the employee shall be considered a "state 137.9 employee" retroactively to the beginning of the pay period; 137.10 (17) persons described in section 352B.01, subdivision 2, 137.11 clauses (2) to(5)(6); 137.12 (18) temporary employees in the classified service, and 137.13 temporary employees in the unclassified service appointed for a 137.14 definite period of not more than six months and employed less 137.15 than six months in any one-year period; 137.16 (19) trainee employees, except those listed in subdivision 137.17 2a, clause (10); 137.18 (20) persons whose compensation is paid on a fee basis; 137.19 (21) state employees who in any year have credit for 12 137.20 months service as teachers in the public schools of the state 137.21 and as teachers are members of the teachers retirement 137.22 association or a retirement system in St. Paul, Minneapolis, or 137.23 Duluth; 137.24 (22) employees of the adjutant general employed on an 137.25 unlimited intermittent or temporary basis in the classified and 137.26 unclassified service for the support of army and air national 137.27 guard training facilities; 137.28 (23) chaplains and nuns who are excluded from coverage 137.29 under the federal Old Age, Survivors, Disability, and Health 137.30 Insurance Program for the performance of service as specified in 137.31 United States Code, title 42, section 410(a)(8)(A), as amended, 137.32 if no irrevocable election of coverage has been made under 137.33 section 3121(r) of the Internal Revenue Code of 1986, as amended 137.34 through December 31, 1992; 137.35 (24) examination monitors employed by departments, 137.36 agencies, commissions, and boards to conduct examinations 138.1 required by law; 138.2 (25) persons appointed to serve as members of fact-finding 138.3 commissions or adjustment panels, arbitrators, or labor referees 138.4 under chapter 179; 138.5 (26) temporary employees employed for limited periods under 138.6 any state or federal program for training or rehabilitation 138.7 including persons employed for limited periods from areas of 138.8 economic distress except skilled and supervisory personnel and 138.9 persons having civil service status covered by the system; 138.10 (27) full-time students employed by the Minnesota 138.11 historical society intermittently during part of the year and 138.12 full-time during the summer months; 138.13 (28) temporary employees, appointed for not more than six 138.14 months, of the metropolitan council and of any of its statutory 138.15 boards, if the board members are appointed by the metropolitan 138.16 council; 138.17 (29) persons employed in positions designated by the 138.18 department of employee relations as student workers; 138.19 (30) members of trades employed by the successor to the 138.20 metropolitan waste control commission with trade union pension 138.21 plan coverage under a collective bargaining agreement first 138.22 employed after June 1, 1977; 138.23 (31) persons employed in subsidized on-the-job training, 138.24 work experience, or public service employment as enrollees under 138.25 the federal Comprehensive Employment and Training Act after 138.26 March 30, 1978, unless the person has as of the later of March 138.27 30, 1978, or the date of employment sufficient service credit in 138.28 the retirement system to meet the minimum vesting requirements 138.29 for a deferred annuity, or the employer agrees in writing on 138.30 forms prescribed by the director to make the required employer 138.31 contributions, including any employer additional contributions, 138.32 on account of that person from revenue sources other than funds 138.33 provided under the federal Comprehensive Employment and Training 138.34 Act, or the person agrees in writing on forms prescribed by the 138.35 director to make the required employer contribution in addition 138.36 to the required employee contribution; 139.1 (32) off-duty peace officers while employed by the 139.2 metropolitan council; 139.3 (33) persons who are employed as full-time police officers 139.4 by the metropolitan council and as police officers are members 139.5 of the public employees police and fire fund; 139.6 (34) persons who are employed as full-time firefighters by 139.7 the department of military affairs and as firefighters are 139.8 members of the public employees police and fire fund; 139.9 (35) foreign citizens with a work permit of less than three 139.10 years, or an H-1b/JV visa valid for less than three years of 139.11 employment, unless notice of extension is supplied which allows 139.12 them to work for three or more years as of the date the 139.13 extension is granted, in which case they are eligible for 139.14 coverage from the date extended; and 139.15 (36) persons who are employed by the board of trustees of 139.16 the Minnesota state colleges and universities and who elect to 139.17 remain members of the public employees retirement association or 139.18 the Minneapolis employees retirement fund, whichever applies, 139.19 under section 136C.75. 139.20 Sec. 2. Minnesota Statutes 2000, section 352B.01, 139.21 subdivision 2, is amended to read: 139.22 Subd. 2. [MEMBER.] "Member" means: 139.23(a) persons referred to and(1) a state patrol member 139.24 currently employed after June 30, 1943, underLaws 1929, chapter139.25355, as amended or supplemented, currently employedsection 139.26 299D.03 by the state, who is a peace officer under section 139.27 626.84, and whosesalariessalary or compensation is paid out of 139.28 state funds; 139.29(b)(2) a conservation officer employed under section 139.30 97A.201, currently employed by the state, whose salary or 139.31 compensation is paid out of state funds; 139.32(c)(3) a crime bureau officer who was employed by the 139.33 crime bureau and was a member of the highway patrolmen's 139.34 retirement fund on July 1, 1978, whether or not that person has 139.35 the power of arrest by warrant after that date, or who is 139.36 employed as police personnel, with powers of arrest by warrant 140.1 under section 299C.04, and who is currently employed by the 140.2 state, and whose salary or compensation is paid out of state 140.3 funds; 140.4(d)(4) a person who is employed by the state in the 140.5 department of public safety in a data processing management 140.6 position with salary or compensation paid from state funds, who 140.7 was a crime bureau officer covered by the state patrol 140.8 retirement plan on August 15, 1987, and who was initially hired 140.9 in the data processing management position within the department 140.10 during September 1987, or January 1988, with membership 140.11 continuing for the duration of the person's employment in that 140.12 position, whether or not the person has the power of arrest by 140.13 warrant after August 15, 1987;and140.14(e)(5) a public safetyemployeesemployee defined as a 140.15 peaceofficersofficer in section 626.84, subdivision 1, 140.16 paragraph (c), and employed with the division of alcohol and 140.17 gambling enforcement under section 299L.01; and 140.18 (6) a fugitive apprehension unit officer after October 31, 140.19 2000, employed by the office of special investigations of the 140.20 department of corrections who is a peace officer under section 140.21 626.84. 140.22 Sec. 3. [DISPOSITION OF CERTAIN CONTRIBUTIONS.] 140.23 (a) The employee contributions for the period November 1, 140.24 2000, to the effective date of this section for a person 140.25 described in Minnesota Statutes, section 352B.01, subdivision 2, 140.26 clause (6), must be transferred, with 8.5 percent per annum 140.27 interest for the period from the date of the contribution to the 140.28 date of transfer, from the general state employees retirement 140.29 plan of the Minnesota state retirement system to the state 140.30 patrol retirement fund. 140.31 (b) The employer contributions associated with the employee 140.32 contributions governed by paragraph (a) also must be transferred 140.33 for the period from the date of the contribution to the date of 140.34 transfer, with 8.5 percent per annum interest, from the general 140.35 state employees retirement plan of the Minnesota state 140.36 retirement system to the state patrol retirement fund. 141.1 (c) A person described in Minnesota Statutes, section 141.2 352B.01, subdivision 2, clause (6), must pay, by additional 141.3 payroll deduction, to the state patrol retirement fund an amount 141.4 equal to the difference between the transferred employee 141.5 contributions and interest and the full member contribution 141.6 under Minnesota Statutes, section 352B.02, subdivision 1a, plus 141.7 8.5 percent per annum interest on the balance from March 1, 141.8 2001, to the date the additional payment is complete. The 141.9 additional payment must be completed by December 31, 2001, or by 141.10 the date of retirement, whichever is earlier. 141.11 (d) The department of corrections, for each person 141.12 described in Minnesota Statutes, section 352B.01, subdivision 2, 141.13 clause (6), must pay, in a lump sum on July 1, 2001, to the 141.14 state patrol retirement fund an amount equal to the difference 141.15 between the transferred employer contributions and interest and 141.16 the full employer contribution under Minnesota Statutes, section 141.17 352B.02, subdivision 1c, plus 8.5 percent per annum interest on 141.18 the amount from March 1, 2001, to July 1, 2001. 141.19 Sec. 4. [EFFECTIVE DATE.] 141.20 Sections 1 and 2 are effective retroactively to November 1, 141.21 2000. Section 3 is effective the day following final enactment. 141.22 ARTICLE 9 141.23 PRIVATIZED PUBLIC EMPLOYEE DISABILITY COVERAGE 141.24 Section 1. [352F.051] [CONTINUATION OF DISABILITY 141.25 COVERAGE.] 141.26 Subdivision 1. [ELIGIBILITY.] A terminated hospital 141.27 employee who is totally and permanently disabled under section 141.28 352.01, subdivision 17, and who had a medically documented 141.29 preexisting condition of the disability before January 1, 1997, 141.30 may apply under Minnesota Statutes 1996, section 352.113, 141.31 subdivision 1, for a disability benefit. 141.32 Subd. 2. [CALCULATION OF BENEFITS.] A person qualifying 141.33 under subdivision 1 is entitled to receive a disability benefit 141.34 calculated under Minnesota Statutes 1996, section 352.113, 141.35 subdivision 3. The disability benefit must be augmented under 141.36 section 352.72, subdivision 2, from January 1, 1997, to the date 142.1 on which the disability benefit begins to accrue. 142.2 Subd. 3. [APPLICABILITY OF GENERAL LAW.] Except as 142.3 otherwise provided, section 352.113 applies to a person who 142.4 qualifies for disability under subdivision 1. 142.5 Sec. 2. [353F.051] [CONTINUATION OF DISABILITY COVERAGE.] 142.6 Subdivision 1. [ELIGIBILITY.] A terminated medical 142.7 facility or other public employing unit employee who is totally 142.8 and permanently disabled under Minnesota Statutes 1998, section 142.9 353.01, subdivision 19, and who had a medically documented 142.10 preexisting condition of the disability before the termination 142.11 of coverage, may apply for a disability benefit. 142.12 Subd. 2. [CALCULATION OF BENEFITS.] A person qualifying 142.13 under subdivision 1 is entitled to receive a disability benefit 142.14 calculated under Minnesota Statutes 1998, section 353.33, 142.15 subdivision 3. The disability benefit must be augmented under 142.16 Minnesota Statutes 1998, section 353.71, subdivision 2, from the 142.17 date of termination to the date the disability benefit begins to 142.18 accrue. 142.19 Subd. 3. [APPLICABILITY OF GENERAL LAW.] Except as 142.20 otherwise provided, Minnesota Statutes 1998, section 353.33, 142.21 applies to a person who qualifies for disability under 142.22 subdivision 1. 142.23 Sec. 3. [EFFECTIVE DATE.] 142.24 (a) Sections 1 and 2 are effective the day following final 142.25 enactment. 142.26 (b) A disability benefit under section 1 is payable 142.27 retroactively to March 1, 2000, or to the first of the month 142.28 next following the date on which the eligible person attempted 142.29 to apply for a disability benefit from the general state 142.30 employees retirement plan of the Minnesota state retirement 142.31 system, whichever is later. 142.32 ARTICLE 10 142.33 PERA-GENERAL MEMBERSHIP INCLUSIONS 142.34 Section 1. Minnesota Statutes 2000, section 353.01, 142.35 subdivision 2a, is amended to read: 142.36 Subd. 2a. [INCLUDED EMPLOYEES.] Public employees whose 143.1 salary from one governmental subdivision exceeds $425 in any 143.2 month shall participate as members of the association. If the 143.3 salary of an employee is less than $425 in a subsequent month, 143.4 the employee retains membership eligibility. The following 143.5 persons are considered public employees: 143.6 (1) employees whose annual salary from one governmental 143.7 subdivision exceeds a stipulation prepared in advance, in 143.8 writing, to be not more than $5,100 per calendar year or per 143.9 school year for school employees for employment expected to be 143.10 of a full year's duration or more than the prorated portion of 143.11 $5,100 per employment period expected to be of less than a full 143.12 year's duration. If compensation from one governmental 143.13 subdivision to an employee under this clause exceeds $5,100 per 143.14 calendar year or school year after being stipulated in advance 143.15 not to exceed that amount, the stipulation is no longer valid 143.16 and contributions must be made on behalf of the employee under 143.17 section 353.27, subdivision 12, from the month in which the 143.18 employee's salary first exceeded $425; 143.19 (2) employees whose total salary from concurrent 143.20 nontemporary positions in one governmental subdivision exceeds 143.21 $425 in any month; 143.22 (3) elected officers for service to which they were elected 143.23 by the public-at-large, or persons appointed to fill a vacancy 143.24 in an elective office, who elect to participate by filing an 143.25 application for membership, but not for service on a joint or 143.26 regional board that is a governmental subdivision under 143.27 subdivision 6, paragraph (a), unless the salary earned for that 143.28 service exceeds $425 in any month. The option to become a 143.29 member, once exercised, may not be withdrawn during the 143.30 incumbency of the person in office; 143.31 (4) members who are appointed by the governor to be a state 143.32 department head and elect not to be covered by the Minnesota 143.33 state retirement system under section 352.021; 143.34 (5) employees of elected officers; 143.35 (6) persons who elect to remain members under section 143.36 480.181, subdivision 2; 144.1 (7) employees of a school district who receive separate 144.2 salaries for driving their own buses; 144.3 (8) employees of the Minnesota association of townships 144.4 when the board of the association, at its option, certifies to 144.5 the executive director that its employees are to be included for 144.6 purposes of retirement coverage, in which case coverage of all 144.7 employees of the association is permanent; 144.8 (9) employees of a county historical society who are county 144.9 employees; 144.10 (10) employees of a county historical society located in 144.11 the county whom the county, at its option, certifies to the 144.12 executive director to be county employees for purposes of 144.13 retirement coverage under this chapter, which status must be 144.14 accorded to all similarly situated county historical society 144.15 employees and, once established, must continue as long as a 144.16 person is an employee of the county historical society and is 144.17 not excluded under subdivision 2b;and144.18 (11) employees who became members before July 1, 1988, 144.19 based on the total salary of positions held in more than one 144.20 governmental subdivision; and 144.21 (12) full-time employees of the Dakota county agricultural 144.22 society. 144.23 Sec. 2. Minnesota Statutes 2000, section 353.01, 144.24 subdivision 2b, is amended to read: 144.25 Subd. 2b. [EXCLUDED EMPLOYEES.] The following public 144.26 employees shall not participate as members of the association 144.27 with retirement coverage by the public employees retirement plan 144.28 or the public employees police and fire retirement plan: 144.29 (1) elected public officers, or persons appointed to fill a 144.30 vacancy in an elective office, who do not elect to participate 144.31 in the association by filing an application for membership; 144.32 (2) election officers; 144.33 (3) patient and inmate personnel who perform services in 144.34 charitable, penal, or correctional institutions of a 144.35 governmental subdivision; 144.36 (4) employees who are hired for a temporary position under 145.1 subdivision 12a, and employees who resign from a nontemporary 145.2 position and accept a temporary position within 30 days in the 145.3 same governmental subdivision, but not those employees who are 145.4 hired for an unlimited period but are serving a probationary 145.5 period. If the period of employment extends beyond six 145.6 consecutive months and the employee earns more than $425 from 145.7 one governmental subdivision in any one calendar month, the 145.8 department head shall report the employee for membership and 145.9 require employee deductions be made on behalf of the employee 145.10 under section 353.27, subdivision 4. 145.11 Membership eligibility of an employee who resigns or is 145.12 dismissed from a temporary position and within 30 days accepts 145.13 another temporary position in the same governmental subdivision 145.14 is determined on the total length of employment rather than on 145.15 each separate position. Membership eligibility of an employee 145.16 who holds concurrent temporary and nontemporary positions in one 145.17 governmental subdivision is determined by the length of 145.18 employment and salary of each separate position; 145.19 (5) employees whose actual salary from one governmental 145.20 subdivision does not exceed $425 per month, or whose annual 145.21 salary from one governmental subdivision does not exceed a 145.22 stipulation prepared in advance, in writing, that the salary 145.23 must not exceed $5,100 per calendar year or per school year for 145.24 school employees for employment expected to be of a full year's 145.25 duration or more than the prorated portion of $5,100 per 145.26 employment period for employment expected to be of less than a 145.27 full year's duration; 145.28 (6) employees who are employed by reason of work emergency 145.29 caused by fire, flood, storm, or similar disaster; 145.30 (7) employees who by virtue of their employment in one 145.31 governmental subdivision are required by law to be a member of 145.32 and to contribute to any of the plans or funds administered by 145.33 the Minnesota state retirement system, the teachers retirement 145.34 association, the Duluth teachers retirement fund association, 145.35 the Minneapolis teachers retirement association, the St. Paul 145.36 teachers retirement fund association, the Minneapolis employees 146.1 retirement fund, or any police or firefighters relief 146.2 association governed by section 69.77 that has not consolidated 146.3 with the public employees retirement association, or any local 146.4 police or firefighters consolidation account but who have not 146.5 elected the type of benefit coverage provided by the public 146.6 employees police and fire fund under sections 353A.01 to 146.7 353A.10, or any persons covered by section 353.665, subdivision 146.8 4, 5, or 6, who have not elected public employees police and 146.9 fire plan benefit coverage. This clause must not be construed 146.10 to prevent a person from being a member of and contributing to 146.11 the public employees retirement association and also belonging 146.12 to and contributing to another public pension fund for other 146.13 service occurring during the same period of time. A person who 146.14 meets the definition of "public employee" in subdivision 2 by 146.15 virtue of other service occurring during the same period of time 146.16 becomes a member of the association unless contributions are 146.17 made to another public retirement fund on the salary based on 146.18 the other service or to the teachers retirement association by a 146.19 teacher as defined in section 354.05, subdivision 2; 146.20 (8) persons who are excluded from coverage under the 146.21 federal Old Age, Survivors, Disability, and Health Insurance 146.22 Program for the performance of service as specified in United 146.23 States Code, title 42, section 410(a)(8)(A), as amended through 146.24 January 1, 1987, if no irrevocable election of coverage has been 146.25 made under section 3121(r) of the Internal Revenue Code of 1954, 146.26 as amended; 146.27 (9) full-time students who are enrolled and are regularly 146.28 attending classes at an accredited school, college, or 146.29 university and who are part-time employees as defined by a 146.30 governmental subdivision; 146.31 (10) resident physicians, medical interns, and pharmacist 146.32 residents and pharmacist interns who are serving in a degree or 146.33 residency program in public hospitals; 146.34 (11) students who are serving in an internship or residency 146.35 program sponsored by an accredited educational institution; 146.36 (12) persons who hold a part-time adult supplementary 147.1 technical college license who render part-time teaching service 147.2 in a technical college; 147.3 (13) foreign citizens working for a governmental 147.4 subdivision with a work permit of less than three years, or an 147.5 H-1b visa valid for less than three years of employment. Upon 147.6 notice to the association that the work permit or visa extends 147.7 beyond the three-year period, the foreign citizens are eligible 147.8 for membership from the date of the extension; 147.9 (14) public hospital employees who elected not to 147.10 participate as members of the association before 1972 and who 147.11 did not elect to participate from July 1, 1988, to October 1, 147.12 1988; 147.13 (15) except as provided in section 353.86, volunteer 147.14 ambulance service personnel, as defined in subdivision 35, but 147.15 persons who serve as volunteer ambulance service personnel may 147.16 still qualify as public employees under subdivision 2 and may be 147.17 members of the public employees retirement association and 147.18 participants in the public employees retirement fund or the 147.19 public employees police and fire fund on the basis of 147.20 compensation received from public employment service other than 147.21 service as volunteer ambulance service personnel; 147.22 (16) except as provided in section 353.87, volunteer 147.23 firefighters, as defined in subdivision 36, engaging in 147.24 activities undertaken as part of volunteer firefighter duties; 147.25 provided that a person who is a volunteer firefighter may still 147.26 qualify as a public employee under subdivision 2 and may be a 147.27 member of the public employees retirement association and a 147.28 participant in the public employees retirement fund or the 147.29 public employees police and fire fund on the basis of 147.30 compensation received from public employment activities other 147.31 than those as a volunteer firefighter; 147.32 (17) pipefitters and associated trades personnel employed 147.33 by independent school district No. 625, St. Paul, with 147.34 coverage under a collective bargaining agreement by the 147.35 pipefitters local 455 pension planunder a collective bargaining147.36agreementwho were either first employed after May 1, 1997, or, 148.1 if first employed before May 2, 1997, elected to be excluded 148.2 under Laws 1997, chapter 241, article 2, section 12;and148.3 (18) electrical workers, plumbers, carpenters, and 148.4 associated trades personnel employed by independent school 148.5 district No. 625, St. Paul, or the city of St. Paul, with 148.6 coverage under a collective bargaining agreement by the 148.7 electrical workers local 110 pension plan, the united 148.8 association plumbers local 34 pension plan, or the carpenters 148.9 local 87 pension planunder a collective bargaining agreement148.10 who were either first employed after May 1, 2000, or, if first 148.11 employed before May 2, 2000, elected to be excluded under Laws 148.12 2000, chapter 461, article 7, section 5.; 148.13 (19) bricklayers, allied craftworkers, cement masons, 148.14 glaziers, glassworkers, painters, allied tradesworkers, and 148.15 plasterers employed by the city of St. Paul or independent 148.16 school district No. 625, St. Paul, with coverage under a 148.17 collective bargaining agreement by the bricklayers and allied 148.18 craftworkers local 1 pension plan, the cement masons local 633 148.19 pension plan, the glaziers and glassworkers local L-1324 pension 148.20 plan, the painters and allied trades local 61 pension plan, or 148.21 the Twin Cities plasterers local 265 pension plan who were 148.22 either first employed after May 1, 2001, or if first employed 148.23 before May 2, 2001, elected to be excluded under section 6; and 148.24 (20) plumbers employed by the metropolitan airports 148.25 commission, with coverage under a collective bargaining 148.26 agreement by the plumbers local 34 pension plan, who either were 148.27 first employed after May 1, 2001, or if first employed before 148.28 May 2, 2001, elected to be excluded under section 6. 148.29 Sec. 3. Minnesota Statutes 2000, section 353.01, 148.30 subdivision 6, is amended to read: 148.31 Subd. 6. [GOVERNMENTAL SUBDIVISION.] (a) "Governmental 148.32 subdivision" means a county, city, town, school district within 148.33 this state, or a department or unit of state government, or any 148.34 public body whose revenues are derived from taxation, fees, 148.35 assessments or from other sources. 148.36 (b) Governmental subdivision also means the public 149.1 employees retirement association, the league of Minnesota 149.2 cities, the association of metropolitan municipalities, public 149.3 hospitals owned or operated by, or an integral part of, a 149.4 governmental subdivision or governmental subdivisions, the 149.5 association of Minnesota counties, the metropolitan intercounty 149.6 association, the Minnesota municipal utilities association, the 149.7 metropolitan airports commission, the Minneapolis employees 149.8 retirement fund for employment initially commenced after June 149.9 30, 1979, the range association of municipalities and schools, 149.10 soil and water conservation districts,andeconomic development 149.11 authorities created or operating under sections 469.090 to 149.12 469.108, the Spring Lake Park fire department, incorporated, and 149.13 the Dakota county agricultural society. 149.14 (c) Governmental subdivision does not mean any municipal 149.15 housing and redevelopment authority organized under the 149.16 provisions of sections 469.001 to 469.047; or any port authority 149.17 organized under sections 469.048 to 469.089; or any hospital 149.18 district organized or reorganized prior to July 1, 1975, under 149.19 sections 447.31 to 447.37 or the successor of the district, nor 149.20 the Minneapolis community development agency. 149.21 Sec. 4. [383D.48] [METROPOLITAN INTER-COUNTY ASSOCIATION.] 149.22 Notwithstanding any other law to the contrary, Dakota 149.23 county may provide financial and accounting services, including 149.24 payroll management and records, to the Metropolitan Inter-county 149.25 Association. Notwithstanding this section, Metropolitan 149.26 Inter-county Association employees are not county employees for 149.27 any purpose. 149.28 Sec. 5. [383D.49] [AGRICULTURAL SOCIETY.] 149.29 Notwithstanding any other law to the contrary, Dakota 149.30 county may provide financial and accounting services, including 149.31 payroll management and records, to the Dakota county 149.32 agricultural society and may determine that employees of the 149.33 society are county employees for the purposes of section 471.61. 149.34 Dakota county agricultural society employees are not county 149.35 employees for any other purpose. 149.36 Sec. 6. [PUBLIC PENSION COVERAGE EXCLUSION FOR CERTAIN 150.1 TRADES PERSONNEL.] 150.2 Subdivision 1. [EXCLUSION ELECTION.] (a) A bricklayer, 150.3 allied craftworker, cement mason, glazier, glassworker, painter, 150.4 allied tradesworker, or plasterer who is employed by the city of 150.5 St. Paul or independent school district No. 625, St. Paul, on 150.6 the effective date of this section and who has pension coverage 150.7 under a collective bargaining agreement by the bricklayers and 150.8 allied craftworkers local 1 pension plan, the cement masons 150.9 local 633 pension plan, the glaziers and glassworkers local 150.10 L-1324 pension plan, the painters and allied trades local 61 150.11 pension plan, or the Twin Cities plasterers local 265 pension 150.12 plan may elect to be excluded from pension coverage by the 150.13 public employees retirement association. 150.14 (b) A plumber who is employed by the metropolitan airports 150.15 commission on the effective date of this section and who has 150.16 pension coverage under a collective bargaining agreement by the 150.17 plumbers local 34 pension plan may elect to be excluded from 150.18 pension coverage by the public employees retirement association. 150.19 (c) The exclusion election under this section must be made 150.20 in writing on a form prescribed by the executive director of the 150.21 public employees retirement association and must be filed with 150.22 the executive director. The exclusion election is irrevocable. 150.23 Authority to make the coverage exclusion expires on January 1, 150.24 2002. 150.25 Subd. 2. [ELIGIBILITY FOR MEMBER CONTRIBUTION REFUND.] A 150.26 person who has less than three years of allowable service in the 150.27 public employees retirement association and who elects the 150.28 pension coverage exclusion under subdivision 1 is entitled to 150.29 immediately apply for a refund under Minnesota Statutes, section 150.30 353.34, subdivisions 1 and 2, following the effective date of 150.31 the exclusion election. 150.32 Subd. 3. [DEFERRED ANNUITY ELIGIBILITY.] In lieu of the 150.33 refund under subdivision 2, a person who elects the pension 150.34 coverage exclusion under subdivision 1 is entitled to a deferred 150.35 retirement annuity under Minnesota Statutes, sections 353.34, 150.36 subdivision 3; and 353.71, subdivision 2, based on any length of 151.1 allowable service credit under Minnesota Statutes, section 151.2 353.01, subdivision 16, to the credit of the person as of the 151.3 date of the coverage exclusion election. 151.4 Sec. 7. [DAKOTA COUNTY AGRICULTURAL SOCIETY EMPLOYEE 151.5 PENSION CERTIFICATION.] 151.6 Notwithstanding Minnesota Statutes, section 383D.49, the 151.7 Dakota county board of commissioners may certify to the 151.8 executive director of the public employees retirement 151.9 association that full-time employees of the Dakota county 151.10 agricultural society are county employees for purposes of 151.11 retirement coverage under Minnesota Statutes, chapter 353, which 151.12 status must be accorded to all similarly situated Dakota county 151.13 agricultural society employees. 151.14 Sec. 8. [EFFECTIVE DATE; LOCAL APPROVAL.] 151.15 (a) Sections 1, 3, 4, and 5 are effective the day after the 151.16 governing body of Dakota county and its chief clerical officer 151.17 timely complete their compliance with Minnesota Statutes, 151.18 section 645.021, subdivisions 2 and 3. 151.19 (b) Section 7 is effective the day after the governing 151.20 board of Dakota county and its chief clerical officer timely 151.21 complete their compliance with Minnesota Statutes, section 151.22 645.021, subdivisions 2 and 3, and certification to the 151.23 executive director of the public employees retirement 151.24 association. 151.25 (c) Sections 2 and 6 are effective for bricklayers, allied 151.26 craftworkers, cement masons, glaziers, glassworkers, painters, 151.27 allied tradesworkers, and plasterers employed by the city of St. 151.28 Paul or independent school district No. 625, St. Paul, as 151.29 applicable, on the day following approval by majority vote of 151.30 the St. Paul city council or governing board of independent 151.31 school district No. 625, St. Paul, as applicable, and compliance 151.32 with Minnesota Statutes, section 645.021. 151.33 (d) Sections 2 and 6 are effective for plumbers employed by 151.34 the metropolitan airports commission on the day following 151.35 approval by majority vote of the metropolitan airports 151.36 commission and compliance with Minnesota Statutes, section 152.1 645.021. 152.2 ARTICLE 11 152.3 REMEDIAL MEASURES FOR THE PERA-GENERAL FUNDING DEFICIENCY 152.4 Section 1. Minnesota Statutes 2000, section 353.01, 152.5 subdivision 1, is amended to read: 152.6 Subdivision 1. [TERMS.] Unless the language or context 152.7 clearly indicates that a different meaning is intended, each of 152.8 the following terms, for the purposes of this chapter,shall152.9behas the meaning giventhe meanings subjoined to themit. 152.10 Sec. 2. Minnesota Statutes 2000, section 353.01, 152.11 subdivision 2, is amended to read: 152.12 Subd. 2. [PUBLIC EMPLOYEE.] "Public employee" meansana 152.13 governmental employee performing personal services for a 152.14 governmental subdivisionunderdefined in subdivision 6, whose 152.15 salary is paid, in whole or in part, from revenue derived from 152.16 taxation, fees, assessments, or from other sources. The 152.17 termalsoincludesspecialthe classes of persons described or 152.18 listed in subdivision 2a, but. The term also includes persons 152.19 who elect association membership under subdivision 2d, paragraph 152.20 (a), and persons for whom the applicable governmental 152.21 subdivision had elected association membership under subdivision 152.22 2d, paragraph (b). The term excludesspecialthe classes of 152.23 persons listed in subdivision 2b for purposes of membership in 152.24 the association.Public employee does not include independent152.25contractors and their employees. A reemployed annuitant under152.26section 353.37 must not be considered to be a public employee152.27for purposes of that reemployment.152.28 Sec. 3. Minnesota Statutes 2000, section 353.01, 152.29 subdivision 2a, is amended to read: 152.30 Subd. 2a. [INCLUDED EMPLOYEES.] (a) Public employeeswhose152.31salary from one governmental subdivision exceeds $425 in any152.32month shall participate as members of the association. If the152.33salary of an employee is less than $425 in a subsequent month,152.34the employee retains membership eligibility. The following152.35persons are considered public employees:152.36(1) employees whose annual salary from one governmental153.1subdivision exceeds a stipulation prepared in advance, in153.2writing, to be not more than $5,100 per calendar year or per153.3school year for school employees for employment expected to be153.4of a full year's duration or more than the prorated portion of153.5$5,100 per employment period expected to be of less than a full153.6year's duration. If compensation from one governmental153.7subdivision to an employee under this clause exceeds $5,100 per153.8calendar year or school year after being stipulated in advance153.9not to exceed that amount, the stipulation is no longer valid153.10and contributions must be made on behalf of the employee under153.11section 353.27, subdivision 12, from the month in which the153.12employee's salary first exceeded $425;153.13(2) employees whose total salary from concurrent153.14nontemporary positions in one governmental subdivision exceeds153.15$425 in any month;153.16(3) elected officers for service to which they were elected153.17by the public-at-large, or persons appointed to fill a vacancy153.18in an elective office, who elect to participate by filing an153.19application for membership, but not for service on a joint or153.20regional board that is a governmental subdivision under153.21subdivision 6, paragraph (a), unless the salary earned for that153.22service exceeds $425 in any month. The option to become a153.23member, once exercised, may not be withdrawn during the153.24incumbency of the person in office;153.25(4) members who are appointed by the governor to be a state153.26department head and elect not to be covered by the Minnesota153.27state retirement system under section 352.021;153.28(5) employees of elected officers;153.29(6) persons who elect to remain members under section153.30480.181, subdivision 2;153.31(7) employees of a school district who receive separate153.32salaries for driving their own buses;153.33(8) employees of the Minnesota association of townships153.34when the board of the association, at its option, certifies to153.35the executive director that its employees are to be included for153.36purposes of retirement coverage, in which case coverage of all154.1employees of the association is permanent;154.2(9) employees of a county historical society who are county154.3employees;154.4(10) employees of a county historical society located in154.5the county whom the county, at its option, certifies to the154.6executive director to be county employees for purposes of154.7retirement coverage under this chapter, which status must be154.8accorded to all similarly situated county historical society154.9employees and, once established, must continue as long as a154.10person is an employee of the county historical society and is154.11not excluded under subdivision 2b; and154.12(11) employees who became members before July 1, 1988,154.13based on the total salary of positions held in more than one154.14governmental subdivision.shall participate as members of the 154.15 association with retirement coverage by the public employees 154.16 retirement plan or the public employees police and fire 154.17 retirement plan under this chapter, or the local government 154.18 correctional employees retirement plan under chapter 353E, 154.19 whichever applies, as a condition of their employment on the 154.20 first day of employment unless they: 154.21 (1) are specifically excluded under subdivision 2b; 154.22 (2) do not exercise their option to elect retirement 154.23 coverage in the association as provided in subdivision 2d, 154.24 paragraph (a); or 154.25 (3) are employees of the governmental subdivisions listed 154.26 in subdivision 2d, paragraph (b), where the governmental 154.27 subdivision has not elected to participate as a governmental 154.28 subdivision covered by the association. 154.29 (b) A public employee who was a member of the association 154.30 on June 30, 2002, based on employment that qualified for 154.31 membership coverage by the public employees retirement plan or 154.32 the public employees police and fire plan under this chapter, or 154.33 the local government correctional employees retirement plan 154.34 under chapter 353E as of June 30, 2002, retains that membership 154.35 until the employee terminates public employment under 154.36 subdivision 11a or terminates membership under subdivision 11b. 155.1 Sec. 4. Minnesota Statutes 2000, section 353.01, 155.2 subdivision 2b, is amended to read: 155.3 Subd. 2b. [EXCLUDED EMPLOYEES.] The following public 155.4 employeesshallare not eligible to participate as members of 155.5 the association with retirement coverage by the public employees 155.6 retirement plan, the local government correctional employees 155.7 retirement plan under chapter 353E, or the public employees 155.8 police and fire retirement plan: 155.9 (1)electedpublic officers, other than county sheriffs, 155.10 who are elected to a governing body, or persons who are 155.11 appointed to fill a vacancy in an elective office, who do not155.12elect to participate in the association by filing an application155.13for membershipof a governing body, whose term of office first 155.14 commences on or after July 1, 2002, for the service to be 155.15 rendered in that elective position. Elected governing body 155.16 officials who were active members of the association's 155.17 coordinated or basic retirement plans as of June 30, 2002, 155.18 continue participation throughout incumbency in office until 155.19 termination of public service occurs as defined in subdivision 155.20 11a; 155.21 (2) election officers or election judges; 155.22 (3) patient and inmate personnel who perform servicesin155.23charitable, penal, or correctional institutions offor a 155.24 governmental subdivision; 155.25 (4) employees who are hired for a temporary position under 155.26 subdivision 12a, and employees who resign from a nontemporary 155.27 position and accept a temporary position within 30 days in the 155.28 same governmental subdivision, but not those. An employer must 155.29 not apply the definition of temporary position so as to exclude 155.30 employees who are hiredfor an unlimited periodto fill 155.31 positions that are permanent or that are for an unspecified 155.32 period but who are serving a probationary period at the start of 155.33 the employment. If the period of employment extends beyond six 155.34 consecutive monthsand the employee earns more than $425 from155.35one governmental subdivision in any one calendar month, the 155.36 department head shall report the employee for membership and 156.1 require employee deductions be made on behalf of the employee 156.2 under section 353.27, subdivision 4. 156.3 The membership eligibility of an employee who resigns or is 156.4 dismissed from a temporary position and within 30 days accepts 156.5 another temporary position in the same governmental subdivision 156.6 is determined on the total length of employment rather than on 156.7 each separate position. Membership eligibility of an employee 156.8 who holds concurrent temporary and nontemporary positions in one 156.9 governmental subdivision is determined by the length of 156.10 employment and salary of each separate position; 156.11 (5)employees whose actual salary from one governmental156.12subdivision does not exceed $425 per month, or whose annual156.13salary from one governmental subdivision does not exceed a156.14stipulation prepared in advance, in writing, that the salary156.15must not exceed $5,100 per calendar year or per school year for156.16school employees for employment expected to be of a full year's156.17duration or more than the prorated portion of $5,100 per156.18employment period for employment expected to be of less than a156.19full year's duration;156.20(6)employees who are employed by reason of work emergency 156.21 caused by fire, flood, storm, or similar disaster; 156.22(7)(6) employees who by virtue of their employment in one 156.23 governmental subdivision are required by law to be a member of 156.24 and to contribute to any of the plans or funds administered by 156.25 the Minnesota state retirement system, the teachers retirement 156.26 association, the Duluth teachers retirement fund association, 156.27 the Minneapolis teachers retirement association, the St. Paul 156.28 teachers retirement fund association, the Minneapolis employees 156.29 retirement fund, or any police or firefighters relief 156.30 association governed by section 69.77 that has not consolidated 156.31 with the public employees retirement association, or any local 156.32 police or firefighters consolidation account but who have not 156.33 elected the type of benefit coverage provided by the public 156.34 employees police and fire fund under sections 353A.01 to 156.35 353A.10, or any persons covered by section 353.665, subdivision 156.36 4, 5, or 6, who have not elected public employees police and 157.1 fire plan benefit coverage. This clause must not be construed 157.2 to prevent a person from being a member of and contributing to 157.3 the public employees retirement association and also belonging 157.4 to and contributing to another public pension fund for other 157.5 service occurring during the same period of time. A person who 157.6 meets the definition of "public employee" in subdivision 2 by 157.7 virtue of other service occurring during the same period of time 157.8 becomes a member of the association unless contributions are 157.9 made to another public retirement fund on the salary based on 157.10 the other service or to the teachers retirement association by a 157.11 teacher as defined in section 354.05, subdivision 2; 157.12(8)(7) persons who are members of a religious order and 157.13 are excluded from coverage under the federal Old Age, Survivors, 157.14 Disability, and Health Insurance Program for the performance of 157.15 service as specified in United States Code, title 42, section 157.16 410(a)(8)(A), as amended through January 1, 1987, if no 157.17 irrevocable election of coverage has been made under section 157.18 3121(r) of the Internal Revenue Code of 1954, as amended; 157.19(9) full-time students who(8) employees who at the time 157.20 they are hired by a governmental subdivision are enrolledandon 157.21 a full-time basis to attend or areregularlyattending classes 157.22 at an accredited school, college, or universityand who are157.23part-time employees as defined by a governmental subdivisionin 157.24 an undergraduate, graduate, or professional-technical program, 157.25 or a public or charter high school, if the employment is 157.26 predicated on the student status of the individual; 157.27(10)(9) resident physicians, medical interns, and 157.28 pharmacist residents and pharmacist interns who are serving in a 157.29 degree or residency program in public hospitals; 157.30(11)(10) students who are serving in an internship or 157.31 residency program sponsored by an accredited educational 157.32 institution; 157.33(12)(11) persons who hold a part-time adult supplementary 157.34 technical college license who render part-time teaching service 157.35 in a technical college; 157.36(13)(12) foreign citizens working for a governmental 158.1 subdivision with a work permit of less than three years, or an 158.2 H-1b visa valid for less than three years of employment. Upon 158.3 notice to the association that the work permit or visa extends 158.4 beyond the three-year period, the foreign citizens are eligible 158.5 for membership from the date of the extension; 158.6(14)(13) public hospital employees who elected not to 158.7 participate as members of the association before 1972 and who 158.8 did not elect to participate from July 1, 1988, to October 1, 158.9 1988; 158.10(15)(14) except as provided in section 353.86, volunteer 158.11 ambulance service personnel, as defined in subdivision 35, but 158.12 persons who serve as volunteer ambulance service personnel may 158.13 still qualify as public employees under subdivision 2 and may be 158.14 members of the public employees retirement association and 158.15 participants in the public employees retirement fund or the 158.16 public employees police and fire fund, whichever applies, on the 158.17 basis of compensation received from public employment service 158.18 other than service as volunteer ambulance service personnel; 158.19(16)(15) except as provided in section 353.87, volunteer 158.20 firefighters, as defined in subdivision 36, engaging in 158.21 activities undertaken as part of volunteer firefighter duties; 158.22 provided that a person who is a volunteer firefighter may still 158.23 qualify as a public employee under subdivision 2 and may be a 158.24 member of the public employees retirement association and a 158.25 participant in the public employees retirement fund or the 158.26 public employees police and fire fund, whichever applies, on the 158.27 basis of compensation received from public employment activities 158.28 other than those as a volunteer firefighter; 158.29(17)(16) pipefitters and associated trades personnel 158.30 employed by independent school district No. 625, St. Paul, with 158.31 coverage by the pipefitters local 455 pension plan under a 158.32 collective bargaining agreement who were either first employed 158.33 after May 1, 1997, or, if first employed before May 2, 1997, 158.34 elected to be excluded under Laws 1997, chapter 241, article 2, 158.35 section 12;and158.36(18)(17) electrical workers, plumbers, carpenters, and 159.1 associated trades personnel employed by independent school 159.2 district No. 625, St. Paul, or the city of St. Paul,withwho 159.3 have retirement coverage by the electrical workers local 110 159.4 pension plan, the united association plumbers local 34 pension 159.5 plan, or the carpenters local 87 pension plan under a collective 159.6 bargaining agreement who were either first employed after May 1, 159.7 2000, or, if first employed before May 2, 2000, elected to be 159.8 excluded under Laws 2000, chapter 461, article 7, section 5.; 159.9 (18) employees who are hired after June 30, 2002, to fill 159.10 seasonal positions under subdivision 12b which are limited in 159.11 duration by the employer to 185 consecutive calendar days or 159.12 less in each business year of the governmental subdivision; 159.13 (19) persons who are provided supported employment or 159.14 work-study positions by a governmental subdivision and who 159.15 participate in an employment or industries program maintained 159.16 for the benefit of these persons where the governmental 159.17 subdivision limits the position's duration to three years or 159.18 less, including persons participating in a federal or state 159.19 subsidized on-the-job training, work experience, senior citizen, 159.20 youth, or unemployment relief program where the training or work 159.21 experience is not provided as a part of, or for, future 159.22 permanent public employment; 159.23 (20) independent contractors and the employees of 159.24 independent contractors; and 159.25 (21) reemployed annuitants of the association during the 159.26 course of that reemployment. 159.27 Sec. 5. Minnesota Statutes 2000, section 353.01, is 159.28 amended by adding a subdivision to read: 159.29 Subd. 2d. [OPTIONAL MEMBERSHIP.] (a) Membership in the 159.30 association is optional by action of the individual employee for 159.31 the following public employees who meet the conditions set forth 159.32 in subdivision 2a: 159.33 (1) members of the coordinated plan who are also employees 159.34 of labor organizations as defined in section 353.017, 159.35 subdivision 1, for their employment by the labor organization 159.36 only if they elect to have membership under section 353.017, 160.1 subdivision 2; 160.2 (2) persons who are elected or persons who are appointed to 160.3 elected positions other than local governing body elected 160.4 positions who elect to participate by filing a written election 160.5 for membership; 160.6 (3) members of the association who are appointed by the 160.7 governor to be a state department head and who elect not to be 160.8 covered by the general state employees retirement plan of the 160.9 Minnesota state retirement system under section 352.021; and 160.10 (4) city managers as defined in section 353.028, 160.11 subdivision 1, who do not elect to be excluded from membership 160.12 in the association under section 353.028, subdivision 2. 160.13 (b) Membership in the association is optional by action of 160.14 the governmental subdivision for the employees of the following 160.15 governmental subdivisions under the conditions specified: 160.16 (1) the Minnesota association of townships if the board of 160.17 the association, at its option, certifies to the executive 160.18 director that its employees are to be included for purposes of 160.19 retirement coverage, in which case the status of the association 160.20 as a participating employer is permanent; and 160.21 (2) a county historical society if the county in which the 160.22 historical society is located, at its option, certifies to the 160.23 executive director that the employees of the historical society 160.24 are to be county employees for purposes of retirement coverage 160.25 under this chapter. The status as a county employee must be 160.26 accorded to all similarly situated county historical society 160.27 employees and, once established, must continue as long as a 160.28 person is an employee of the county historical society. 160.29 (c) For employees who are covered by paragraph (a), clause 160.30 (1), (2), or (3), or covered by paragraph (b), if the necessary 160.31 membership election is not made, the employee is excluded from 160.32 retirement coverage under this chapter. For employees who are 160.33 covered by paragraph (a), clause (4), if the necessary election 160.34 is not made, the employee must become a member and have 160.35 retirement coverage under this chapter. The option to become a 160.36 member, once exercised under this subdivision, may not be 161.1 withdrawn until termination of public service as defined under 161.2 subdivision 11a. 161.3 Sec. 6. Minnesota Statutes 2000, section 353.01, 161.4 subdivision 7, is amended to read: 161.5 Subd. 7. [MEMBER.] "Member" means a person who accepts 161.6 employment as a "public employee" under subdivision 2, who is an 161.7 employee who works in one or more positions that require or 161.8 allow membership in the association under subdivision 2a or 161.9 2d, for whom contributions have been withheld from salary and 161.10 who is not covered by the plan established in chapter 353D or 161.11 excluded under subdivision 2b. A person who is a member remains 161.12 a member while performing services as a public employee and 161.13 while on an authorized leave of absence or an authorized 161.14 temporary layoff. 161.15 Sec. 7. Minnesota Statutes 2000, section 353.01, 161.16 subdivision 11b, is amended to read: 161.17 Subd. 11b. [TERMINATION OF MEMBERSHIP.] (a) "Termination 161.18 of membership" means the conclusion of membership in the 161.19 association and occurs: 161.20 (1) upon termination of public service under subdivision 161.21 11a; 161.22 (2)when a member who is a part-time employee is excluded161.23from membership as a full-time student under subdivision 2b,161.24clause (9);161.25(3)when a member does not return to work within 30 days of 161.26 the expiration of an authorized temporary layoff under 161.27 subdivision 12 or an authorized leave of absence under 161.28 subdivision 31. If the employee subsequently returns to a161.29position in the same governmental subdivision, the employee161.30shall not again be required to earn a salary in excess of $425161.31per month, unless the employee has taken a refund of accumulated161.32employee deductions plus interest under section 353.34,161.33subdivision 1as evidenced by the appropriate record filed by 161.34 the governmental subdivision; or 161.35(4)(3) when a person files a written election to 161.36 discontinue employee deductions under section 353.27, 162.1 subdivision 7, paragraph (a), clause (1). 162.2 (b) The termination of membership must be reported to the 162.3 association by the governmental subdivision. 162.4 Sec. 8. Minnesota Statutes 2000, section 353.01, 162.5 subdivision 12a, is amended to read: 162.6 Subd. 12a. [TEMPORARY POSITION.] (1) "Temporary position" 162.7 means an employment position predetermined by the employer at 162.8 the time of hiring to be a period of six months or lessor. 162.9 Temporary position also means an employment position occupied by 162.10 a person hired by the employer as a temporary replacement who is 162.11 employed for a predetermined period of six months or less. 162.12 (2) "Temporary position" does not mean an employment 162.13 position foran unlimited perioda specified term in which a 162.14 person serves a probationary periodor works an irregular162.15scheduleas a requirement for subsequent employment on a 162.16 permanent or unlimited basis. 162.17 Sec. 9. Minnesota Statutes 2000, section 353.01, is 162.18 amended by adding a subdivision to read: 162.19 Subd. 12b. [SEASONAL POSITION.] "Seasonal position" means 162.20 a position where the nature of the work or its duration are 162.21 related to a specific season or seasons of the year, regardless 162.22 of whether or not the employing agency anticipates that the same 162.23 employee will return to the position each season in which it 162.24 becomes available. The entire period of employment in a 162.25 business year must be used to determine whether or not a 162.26 position may be excluded as seasonal when there is less than a 162.27 30-day break between one seasonal position and a subsequent 162.28 seasonal position for employment with the same governmental 162.29 employer. Seasonal positions include, but are not limited to, 162.30 coaching athletic activities or employment to plow snow or to 162.31 maintain roads or parks, or to operate skating rinks, ski 162.32 lodges, golf courses, or swimming pools. 162.33 Sec. 10. Minnesota Statutes 2000, section 353.01, 162.34 subdivision 16, is amended to read: 162.35 Subd. 16. [ALLOWABLE SERVICE; LIMITS AND COMPUTATION.] (a) 162.36 "Allowable service" means: 163.1 (1) service during years of actual membership in the course 163.2 of which employee contributions were made, periods covered by 163.3 payments in lieu of salary deductions under section 353.35, and; 163.4 (2) service in years during which the public employee was 163.5 not a member but for which the member later elected, while a 163.6 member, to obtain credit by making payments to the fund as 163.7 permitted by any law then in effect.; 163.8(b) "Allowable service" also means(3) a period of 163.9 authorized leave of absence with pay from which deductions for 163.10 employee contributions are made, deposited, and credited to the 163.11 fund.; 163.12(c) "Allowable service" also means(4) a period of 163.13 authorized personal, parental, or medical leave of absence 163.14 without pay, including a leave of absence covered under the 163.15 federal Family Medical Leave Act, that does not exceed one year, 163.16 and during or for which a member obtained full or fractional 163.17 service credit for each month in the leave period by payments to 163.18 the fund made in place of salary deductions, provided that. The 163.19 paymentsaremust be made in an amount or amounts based on the 163.20 member's average salary on which deductions were paid for the 163.21 last six months of public service, or for that portion of the 163.22 last six months while the member was in public service, to apply 163.23 to the period in either case that immediatelyprecedingprecedes 163.24 the commencement of the leave of absence. If the employee 163.25 elects to pay the employee contributions for the period of 163.26 any authorized personal, parental, or medical leave of absence 163.27 without pay, or for any portion of the leave, the employee shall 163.28 also, as a condition to the exercise of the election, pay to the 163.29 fund an amount equivalent toboththe required employer and the 163.30 additional employer contributions, if any, for the employee. 163.31 The payment must be made within one year from the expiration of 163.32 the leave of absence or within 20 days after termination of 163.33 public service under subdivision 11a. The employer, if by 163.34 appropriate action of its governing body, which is made a part 163.35 of its official records, and which is adopted before the date of 163.36 the first payment of the employee contribution, may certify to 164.1 the association in writing its commitment to pay the employer 164.2 and additional employer contributions from the proceeds of a tax 164.3 levy made under section 353.28. Payments under this paragraph 164.4 must include interest at an annual rate of 8.5 percent 164.5 compounded annually from the date of the termination of the 164.6 leave of absence to the date payment is made. An employee shall 164.7 return to public service andreceiverender a minimum of three 164.8 months of allowable service in order to be eligible to pay 164.9 employee and employer contributions for a subsequent authorized 164.10 leave of absence without pay. Upon payment, the employee must 164.11 be granted allowable service credit for full calendar months or 164.12 fractions of a month during the leave period as described in 164.13 paragraph (d), clauses (1) and (2), based on the salary or the 164.14 compensated hours used in computing the payment amount; 164.15(d) "Allowable service" also means(5) a periodic, 164.16 repetitive leave that is offered to all employees of a 164.17 governmental subdivision. The leave program may not exceed 208 164.18 hours per annual normal work cycle as certified to the 164.19 association by the employer. A participating member obtains 164.20 service credit by making employee contributions in an amount or 164.21 amounts based on the member's average salary that would have 164.22 been paid if the leave had not been taken. The employer shall 164.23 pay the employer and additional employer contributions on behalf 164.24 of the participating member. The employee and the employer are 164.25 responsible to pay interest on their respective shares at the 164.26 rate of 8.5 percent a year, compounded annually, from the end of 164.27 the normal cycle until full payment is made. An employer shall 164.28 also make the employer and additional employer contributions, 164.29 plus 8.5 percent interest, compounded annually, on behalf of an 164.30 employee who makes employee contributions but terminates public 164.31 service. The employee contributions must be made within one 164.32 year after the end of the annual normal working cycle or within 164.33 20 days after termination of public service, whichever is 164.34 sooner. The association shall prescribe the manner and forms to 164.35 be used by a governmental subdivision in administering a 164.36 periodic, repetitive leave. Upon payment, the member must be 165.1 granted allowable service credit for full calendar months or 165.2 fractions of a month during the leave period as described in 165.3 paragraph (d), clauses (1) and (2), based on the salary or the 165.4 compensated hours used in computing the payment amount; 165.5(e) "Allowable service" also means a period during which a165.6member is on an authorized sick leave of absence, without pay,165.7limited to one year. An employee who has received one year of165.8allowable service shall return to public service and receive a165.9minimum of three months of allowable service to receive165.10allowable service for a subsequent authorized sick leave of165.11absence.165.12(f) "Allowable service" also means(6) an authorized 165.13 temporary layoff under subdivision 12,. For temporary layoffs 165.14 that begin before January 1, 2002, allowable service credit is 165.15 limited to three months allowable service per authorized 165.16 temporary layoff in one calendar year.An employee who has165.17received the maximum service allowed for an authorized temporary165.18layoff shall return to public service and receive a minimum of165.19three months of allowable service to receive allowable service165.20for a subsequent authorized temporary layoff.For temporary 165.21 layoffs that begin on or after January 1, 2002, allowable 165.22 service credit for the calendar month in which the member does 165.23 not receive salary due to the layoff must be determined using 165.24 the following formula: 165.25 (i) members who earned one month of allowable service 165.26 credit for each of the nine calendar months of compensated 165.27 employment with the governmental subdivision authorizing the 165.28 layoff that immediately preceded the layoff shall receive one 165.29 month of allowable service credit, limited to three months of 165.30 allowable service credit per year, for each month of the 165.31 temporary layoff; or 165.32 (ii) members who earned less than nine months of allowable 165.33 service credit in the year of compensated employment with the 165.34 governmental subdivision authorizing the layoff that immediately 165.35 preceded the layoff shall receive allowable service credit on a 165.36 fractional basis for each month of the authorized layoff, 166.1 limited to three months of allowable service credit, determined 166.2 by dividing the total number of months of service credit earned 166.3 for the compensated employment by nine and multiplying the 166.4 resulting number by the total number of months in the layoff 166.5 period that are not compensated; or 166.6(g) Notwithstanding any law to the contrary, "allowable166.7service" also means a parental leave. The association shall166.8grant a maximum of two months service credit for a parental166.9leave, within six months after the birth or adoption, upon166.10documentation from the member's governmental subdivision or166.11presentation of a birth certificate or other evidence of birth166.12or adoption to the association.166.13(h) "Allowable service" also means(7) a period during 166.14 which a member is on an authorized leave of absence to enter 166.15 military service in the armed forces of the United States, 166.16 provided that the member returns to public service upon 166.17 discharge from military service under section 192.262 and pays 166.18 into the fund employee contributions based upon the employee's 166.19 salary at the date of return from military service. Payment 166.20 must be made within three times the length of the military leave 166.21 period, or five years of the date of discharge from the military 166.22 service, whichever is less. The amount of these contributions 166.23 must be in accord with the contribution rates and salary 166.24 limitations, if any, in effect during the leave, plus interest 166.25 at an annual rate of 8.5 percent compounded annually from the 166.26 date of return to public service to the date payment is made. 166.27 The matching employer contribution and additional employer 166.28 contribution under section 353.27, subdivisions 3 and 3a, must 166.29 be paid by the governmental subdivision employing the member 166.30 upon return to public service if the member makes the employee 166.31 contributions. The governmental subdivision involved may 166.32 appropriate money for those payments. A member may not receive 166.33 credit for a voluntary extension of military service at the 166.34 instance of the member beyond the initial period of enlistment, 166.35 induction, or call to active duty. Upon payment, the employee 166.36 must be granted allowable service credit for full calendar 167.1 months or fractions of a month during the leave period as 167.2 described in paragraph (d), clauses (1) and (2), based on the 167.3 salary or compensated hours used in computing the payment amount. 167.4(i)(b) For calculating benefits under sections 353.30, 167.5 353.31, 353.32, and 353.33 for state officers and employees 167.6 displaced by the Community Corrections Act, chapter 401, and 167.7 transferred into county service under section 401.04, "allowable 167.8 service" means combined years of allowable service as defined in 167.9paragraphsparagraph (a)to (i), clauses (1) to (6), and section 167.10 352.01, subdivision 11. 167.11(j)(c) For a public employee who has prior service covered 167.12 by a local police or firefighters relief association that has 167.13 consolidated with the public employees retirement association or 167.14 to which section 353.665 applies, and who has elected the type 167.15 of benefit coverage provided by the public employees police and 167.16 fire fund either under section 353A.08 following the 167.17 consolidation or under section 353.665, subdivision 4, 167.18 "applicable service" is a period of service credited by the 167.19 local police or firefighters relief association as of the 167.20 effective date of the consolidation based on law and on bylaw 167.21 provisions governing the relief association on the date of the 167.22 initiation of the consolidation procedure. 167.23 (d) For persons who, after January 1, 2002, either first 167.24 become members or terminated membership under subdivision 11b, 167.25 and again become members, of the public employees retirement 167.26 plan, the public employees police and fire plan under this 167.27 chapter, or the local government correctional employee 167.28 retirement plan under chapter 353E, whichever applies, 167.29 "allowable service" means credit for compensated hours from 167.30 which deductions are made, or for which payments are made in 167.31 lieu of salary deductions as provided under this subdivision, 167.32 and which are deposited and credited in the fund as provided in 167.33 section 353.27, determined as follows: 167.34 (1) one month of allowable service credit for each month 167.35 during which the employee has received salary for 80 or more 167.36 compensated hours; or 168.1 (2) a fraction of one month of allowable service for each 168.2 month for which the employee has received salary for less than 168.3 80 compensated hours equal to the percentage relationship that 168.4 the number of compensated hours bear to 80 hours. 168.5 (e) Elected officials and other public employees who are 168.6 compensated solely on an annual basis shall be granted a full 168.7 year of credit for each year for which compensation is earned. 168.8 (f) Allowable service that is determined and credited on a 168.9 fractional basis must be used only in calculating the amount of 168.10 benefits payable. In determining the length of service required 168.11 for vesting, a member shall be granted a month of service credit 168.12 for each month in which the member received compensation from 168.13 which employee contributions were deducted. For periods of 168.14 part-time service that are duplicated service credit, section 168.15 356.30, subdivision 1, paragraphs (g) and (h), govern. 168.16 (g) No member shall receive more than 12 months of 168.17 allowable service credit in a year either for vesting purposes 168.18 or for benefit calculation purposes. 168.19 Sec. 11. Minnesota Statutes 2000, section 353.01, is 168.20 amended by adding a subdivision to read: 168.21 Subd. 38. [BUSINESS YEAR.] "Business year" means the first 168.22 day of the first full pay period through the last day of the 168.23 last full pay period of the 12-month fiscal year applicable to 168.24 the respective governmental subdivision. 168.25 Sec. 12. Minnesota Statutes 2000, section 353.01, is 168.26 amended by adding a subdivision to read: 168.27 Subd. 39. [COMPENSATED HOURS.] "Compensated hours" means 168.28 the hours during which an employee performs services in one or 168.29 more positions for a single governmental subdivision for which 168.30 the employee receives compensation. The term also includes the 168.31 following: 168.32 (1) paid holiday hours for which the employee is not 168.33 required to work; 168.34 (2) paid used sick leave hours; 168.35 (3) paid used personal leave hours and vacation hours; and 168.36 (4) the paid hours drawn from accrued compensatory time. 169.1 Sec. 13. Minnesota Statutes 2000, section 353.27, 169.2 subdivision 2, is amended to read: 169.3 Subd. 2. [EMPLOYEE CONTRIBUTION.] (a) The employee 169.4 contribution isanthe following applicable percentage of total 169.5 salary amount(1)for a "basic member"equal to 8.75 percent of169.6total salary;and(2)for a "coordinated member"equal to 4.75169.7percent of total salary.: 169.8 Basic Program Coordinated Program 169.9 Before January 1, 2002 8.75 4.75 169.10 Effective January 1, 2002 9.10 5.10 169.11 (b) These contributions must be made by deduction from 169.12 salary in the manner provided in subdivision 4. Where any 169.13 portion of a member's salary is paid from other than public 169.14 funds, such member's employee contribution must be based on the 169.15 total salary received from all sources. 169.16 Sec. 14. Minnesota Statutes 2000, section 353.27, 169.17 subdivision 3, is amended to read: 169.18 Subd. 3. [EMPLOYER CONTRIBUTION.] (a) The employer 169.19 contribution isanthe following applicable percentage of total 169.20 salary amountequal to the employee contribution under169.21subdivision 2.: 169.22 Basic Program Coordinated Program 169.23 Before January 1, 2002 8.75 4.75 169.24 Effective January 1, 2002 9.10 5.10 169.25 (b) This contribution must be made from funds available to 169.26 the employing subdivision by the means and in the manner 169.27 provided in section 353.28. 169.28 Sec. 15. Minnesota Statutes 2000, section 353.27, 169.29 subdivision 4, is amended to read: 169.30 Subd. 4. [EMPLOYER REPORTING REQUIREMENTS; CONTRIBUTIONS; 169.31 MEMBER STATUS.] (a) A representative authorized by the head of 169.32 each department shall deduct employee contributions from the 169.33 salary of each employee who qualifies for membership under this 169.34 chapter and remit payment in a manner prescribed by the 169.35 executive director for the aggregate amount of the employee 169.36 contributions, the employer contributions and the additional 170.1 employer contributions to be received within 14 calendar days. 170.2 The head of each department or the person's designee shall for 170.3 each pay period submit to the association a salary deduction 170.4 report in the format prescribed by the executive director. Data 170.5 to be submitted as part of salary deduction reporting must 170.6 include, but are not limited to: 170.7 (1) the legal names and social security numbers of 170.8 employees who are members; 170.9 (2) the amount of each employee's salary deduction; 170.10 (3) the amount of salary from which each deduction was 170.11 made; 170.12 (4) the beginning and ending dates of the payroll period 170.13 covered and the date of actual payment;and170.14 (5) adjustments or corrections covering past pay periods; 170.15 and 170.16 (6) the number of compensated hours of each employee during 170.17 the payroll period. 170.18 (b) Employers must furnish the data required for enrollment 170.19 for each new employee who qualifies for membership in the format 170.20 prescribed by the executive director. The required enrollment 170.21 data on new employees must be submitted to the association prior 170.22 to or concurrent with the submission of the initial employee 170.23 salary deduction. The employer shall also report to the 170.24 association all member employment status changes, such as leaves 170.25 of absence, terminations, and death, and the effective dates of 170.26 those changes, on an ongoing basis for the payroll cycle in 170.27 which they occur. The employer shall furnish data, forms, and 170.28 reports as may be required by the executive director for proper 170.29 administration of the retirement system. Before implementing 170.30 new or different computerized reporting requirements, the 170.31 executive director shall give appropriate advance notice to 170.32 governmental subdivisions to allow time for system modifications. 170.33 (c) Notwithstanding paragraph (a), the association may 170.34 provide for less frequent reporting and payments for small 170.35 employers. 170.36 Sec. 16. Minnesota Statutes 2000, section 353.27, 171.1 subdivision 11, is amended to read: 171.2 Subd. 11. [EMPLOYERS; REQUIRED TO FURNISH REQUESTED 171.3 INFORMATION.] All governmental subdivisions shall furnish 171.4 promptly such other information relative to the employment 171.5 status of all employees or former employees, including but not 171.6 limited to payroll abstracts pertaining to all past and present 171.7 employees, as may be requested by the association or its 171.8 executive director, including schedules of salaries applicable 171.9 to various categories of employment, and the number of actual or 171.10 estimated compensated hours for employees. In the event payroll 171.11 abstract records have been lost or destroyed, for whatever 171.12 reason or in whatever manner, so that such schedules of salaries 171.13 cannot be furnished therefrom, the employing governmental 171.14 subdivision, in lieu thereof, shall furnish to the association 171.15 an estimate of the earnings of any employee or former employee 171.16 for any period as may be requested by the association or its 171.17 executive director. Should the association receive such 171.18 schedules of estimated earnings, the executive director is 171.19 hereby authorized to use the same as a basis for making whatever 171.20 computations might be necessary for determining obligations of 171.21 the employee and employer to the retirement fund. If estimates 171.22 are not furnished by the employer pursuant to the request of the 171.23 association or its executive director, the association may 171.24 estimate the obligations of the employee and employer to the 171.25 retirement fund based upon such records as are in its 171.26 possession. Where payroll abstracts have been lost or 171.27 destroyed, the governmental agency need not furnish any 171.28 information pertaining to employment prior to July 1, 1963. The 171.29 association shall make no estimate of any obligation of any 171.30 employee, former employee, or employer covering employment prior 171.31 to July 1, 1963. 171.32 Sec. 17. Minnesota Statutes 2000, section 353.86, 171.33 subdivision 1, is amended to read: 171.34 Subdivision 1. [PARTICIPATION.] Volunteer ambulance 171.35 service personnel, as defined in section 353.01, subdivision 35, 171.36 who are or become members of and participants in the public 172.1 employees retirement fund or the public employees police and 172.2 fire fund before July 1, 2002, and make contributions to either 172.3 of those funds based on compensation for service other than 172.4 volunteer ambulance service may elect to participate in that 172.5 same fund with respect to compensation received for volunteer 172.6 ambulance service, provided that the volunteer ambulance service 172.7 is not credited to another public or private pension plan 172.8 including the public employees retirement plan established by 172.9 chapter 353D and provided further that the volunteer ambulance 172.10 service is rendered for the same governmental unit for which the 172.11 nonvolunteer ambulance service is rendered. 172.12 Sec. 18. Minnesota Statutes 2000, section 356.215, 172.13 subdivision 4g, is amended to read: 172.14 Subd. 4g. [AMORTIZATION CONTRIBUTIONS.] (a) In addition to 172.15 the exhibit indicating the level normal cost, the actuarial 172.16 valuation must contain an exhibit indicating the additional 172.17 annual contribution sufficient to amortize the unfunded 172.18 actuarial accrued liability. For funds governed by chapters 3A, 172.19 352, 352B, 352C, 353, 354, 354A, and 490, the additional 172.20 contribution must be calculated on a level percentage of covered 172.21 payroll basis by the established date for full funding in effect 172.22 when the valuation is prepared. For funds governed by chapter 172.23 3A, sections 352.90 through 352.951, chapters 352B, 352C, 172.24 sections 353.63 through 353.68, and chapters 353C, 354A, and 172.25 490, the level percent additional contribution must be 172.26 calculated assuming annual payroll growth of 6.5 percent. For 172.27 funds governed by sections 352.01 through 352.86 and chapter 172.28 354, the level percent additional contribution must be 172.29 calculated assuming an annual payroll growth of five percent. 172.30 For the fund governed by sections 353.01 through 353.46, the 172.31 level percent additional contribution must be calculated 172.32 assuming an annual payroll growth of six percent. For all other 172.33 funds, the additional annual contribution must be calculated on 172.34 a level annual dollar amount basis. 172.35 (b) For any fund other than the Minneapolis employees 172.36 retirement fund and the public employees retirement association 173.1 general plan,after the first actuarial valuation date occurring173.2after June 1, 1989,if there has not been a change in the 173.3 actuarial assumptions used for calculating the actuarial accrued 173.4 liability of the fund, a change in the benefit plan governing 173.5 annuities and benefits payable from the fund, a change in the 173.6 actuarial cost method used in calculating the actuarial accrued 173.7 liability of all or a portion of the fund, or a combination of 173.8 the three, which change or changes by themselves without 173.9 inclusion of any other items of increase or decrease produce a 173.10 net increase in the unfunded actuarial accrued liability of the 173.11 fund, the established date for full fundingfor the first173.12actuarial valuation made after June 1, 1989, and each successive173.13actuarial valuationis the first actuarial valuation date 173.14 occurring after June 1, 2020. 173.15 (c) For any fund or plan other than the Minneapolis 173.16 employees retirement fund and the public employees retirement 173.17 association general plan,after the first actuarial valuation173.18date occurring after June 1, 1989,if there has been a change in 173.19 any or all of the actuarial assumptions used for calculating the 173.20 actuarial accrued liability of the fund, a change in the benefit 173.21 plan governing annuities and benefits payable from the fund, a 173.22 change in the actuarial cost method used in calculating the 173.23 actuarial accrued liability of all or a portion of the fund, or 173.24 a combination of the three, and the change or changes, by 173.25 themselves and without inclusion of any other items of increase 173.26 or decrease, produce a net increase in the unfunded actuarial 173.27 accrued liability in the fund, the established date for full 173.28 funding must be determined using the following procedure: 173.29 (i) the unfunded actuarial accrued liability of the fund 173.30 must be determined in accordance with the plan provisions 173.31 governing annuities and retirement benefits and the actuarial 173.32 assumptions in effect before an applicable change; 173.33 (ii) the level annual dollar contribution or level 173.34 percentage, whichever is applicable, needed to amortize the 173.35 unfunded actuarial accrued liability amount determined under 173.36 item (i) by the established date for full funding in effect 174.1 before the change must be calculated using the interest 174.2 assumption specified in subdivision 4d in effect before the 174.3 change; 174.4 (iii) the unfunded actuarial accrued liability of the fund 174.5 must be determined in accordance with any new plan provisions 174.6 governing annuities and benefits payable from the fund and any 174.7 new actuarial assumptions and the remaining plan provisions 174.8 governing annuities and benefits payable from the fund and 174.9 actuarial assumptions in effect before the change; 174.10 (iv) the level annual dollar contribution or level 174.11 percentage, whichever is applicable, needed to amortize the 174.12 difference between the unfunded actuarial accrued liability 174.13 amount calculated under item (i) and the unfunded actuarial 174.14 accrued liability amount calculated under item (iii) over a 174.15 period of 30 years from the end of the plan year in which the 174.16 applicable change is effective must be calculated using the 174.17 applicable interest assumption specified in subdivision 4d in 174.18 effect after any applicable change; 174.19 (v) the level annual dollar or level percentage 174.20 amortization contribution under item (iv) must be added to the 174.21 level annual dollar amortization contribution or level 174.22 percentage calculated under item (ii); 174.23 (vi) the period in which the unfunded actuarial accrued 174.24 liability amount determined in item (iii) is amortized by the 174.25 total level annual dollar or level percentage amortization 174.26 contribution computed under item (v) must be calculated using 174.27 the interest assumption specified in subdivision 4d in effect 174.28 after any applicable change, rounded to the nearest integral 174.29 number of years, but not to exceed 30 years from the end of the 174.30 plan year in which the determination of the established date for 174.31 full funding using the procedure set forth in this clause is 174.32 made and not to be less than the period of years beginning in 174.33 the plan year in which the determination of the established date 174.34 for full funding using the procedure set forth in this clause is 174.35 made and ending by the date for full funding in effect before 174.36 the change; and 175.1 (vii) the period determined under item (vi) must be added 175.2 to the date as of which the actuarial valuation was prepared and 175.3 the date obtained is the new established date for full funding. 175.4 (d) For the Minneapolis employees retirement fund, the 175.5 established date for full funding is June 30, 2020. 175.6 (e) For the public employees retirement association general 175.7 plan, the established date for full funding is June 30, 2031. 175.8 (f) For the retirement plans for which the annual actuarial 175.9 valuation indicates an excess of valuation assets over the 175.10 actuarial accrued liability, the valuation assets in excess of 175.11 the actuarial accrued liability must be recognized as a 175.12 reduction in the current contribution requirements by an amount 175.13 equal to the amortization of the excess expressed as a level 175.14 percentage of pay over a 30-year period beginning anew with each 175.15 annual actuarial valuation of the plan. 175.16 Sec. 19. [IMPLEMENTATION PLAN; MAJOR STATEWIDE RETIREMENT 175.17 SYSTEM ADMINISTRATIVE SERVICES CONSOLIDATION.] 175.18 (a) Based on the July 15, 2001, report required under Laws 175.19 1999, chapter 222, article 22, section 5, the executive 175.20 directors of the Minnesota state retirement system, the public 175.21 employees retirement association, and the teachers retirement 175.22 association jointly shall prepare a report detailing the 175.23 implementation steps that would be necessary to consolidate the 175.24 administrations of the three systems into a single 175.25 administrative structure if the legislature subsequently 175.26 determines that such a consolidation would be in the best 175.27 interests of the state, its taxpayers, and its public employees. 175.28 (b) The report must include the draft proposed legislation 175.29 that would be required to effect an administrative consolidation 175.30 as well as a detailed schedule and timetable of the completion 175.31 steps for a consolidation. 175.32 (c) The report must be filed by February 15, 2003, with the 175.33 chair of the legislative commission on pensions and retirement, 175.34 the chair of the senate committee on state and local government 175.35 operations, and the chair of the house committee on government 175.36 operations and veterans affairs policy. 176.1 Sec. 20. [IMPLEMENTATION PLAN; AGGREGATION OF TEACHER 176.2 RETIREMENT PLANS.] 176.3 (a) The executive director of the teachers retirement 176.4 association, the secretary of the Duluth teachers retirement 176.5 fund association, the executive director of the Minneapolis 176.6 teachers retirement fund association, and the secretary of the 176.7 St. Paul teachers retirement fund association jointly shall 176.8 prepare a report detailing the steps that would be necessary to 176.9 create a restructured teacher retirement plan if the legislature 176.10 subsequently determines that this restructuring would be in the 176.11 best interests of the state, its taxpayers, and the public 176.12 education community. 176.13 (b) In preparing the report, the pension plan 176.14 administrators must establish and consult with a task force. 176.15 The task force must consist of representatives of the affected 176.16 employing units and representatives of the collective bargaining 176.17 organizations representing members of the affected pension plans. 176.18 (c) The report must include the draft proposed legislation 176.19 that would be required to create a restructured teacher 176.20 retirement plan as well as a detailed schedule and timetable of 176.21 the completion steps for the creation of a restructured teacher 176.22 retirement plan. 176.23 (d) The report must be filed by February 15, 2002, with the 176.24 chair of the legislative commission on pensions and retirement, 176.25 the chair of the senate committee on state and local government 176.26 operations, and the chair of the house committee on government 176.27 operations and veterans affairs policy. 176.28 Sec. 21. [PERA-GENERAL FINANCING STUDY.] 176.29 The report prepared by the consulting actuary retained by 176.30 the legislative commission on pensions and retirement under 176.31 Minnesota Statutes, section 3.85, subdivision 11, paragraph (d), 176.32 following the completion of the July 1, 2001, actuarial 176.33 valuations must include a specific finding on the adequacy of 176.34 the financial support rates of the general employees retirement 176.35 plan of the public employees retirement association and a 176.36 specific recommendation on any needed increase in those 177.1 financial support rates. 177.2 Sec. 22. [EFFECTIVE DATE.] 177.3 (a) Section 4, as it relates to the exclusion of school 177.4 district employees, is effective June 30, 2001. 177.5 (b) Sections 1, 2, 3, 4, 5, 6, 7, 8, 9, 11, and 17 are 177.6 effective July 1, 2002. 177.7 (c) Section 18 is effective for actuarial valuations 177.8 prepared after June 1, 2001. 177.9 (d) Sections 12, 13, 14, 15, and 16 are effective July 1, 177.10 2001. 177.11 (e) Sections 19, 20, and 21 are effective the day following 177.12 final enactment. 177.13 ARTICLE 12 177.14 MINNESOTA STATE COLLEGES AND 177.15 UNIVERSITIES SYSTEM RETIREMENT PROVISIONS 177.16 Section 1. Minnesota Statutes 2000, section 354.41, 177.17 subdivision 4, is amended to read: 177.18 Subd. 4. [MEMBERSHIP ELIGIBILITY FOR LABOR ORGANIZATION 177.19 EMPLOYEES.] (a) A person who is a member on an authorized leave 177.20 of absence and is employed as an employee or officer bythe177.21Minnesota federation of teachers or its affiliated branches177.22within the state, the Minnesota education association, the177.23Minnesota association of school principals, the Minnesota177.24association of secondary school principals or the Minnesotaa 177.25 labor organization that is the exclusive bargaining agent or the 177.26 labor organization's state affiliate representing teachers 177.27 covered by this chapter or by an association of school 177.28 administrators may elect to be a coordinated member of the 177.29 association based on that employment, subject to the limitations 177.30 set forth in subdivisions 4a and 4b. However, no person is 177.31 entitled to membership under this section if the person also is 177.32 a member of a teachers retirement association in a city of the 177.33 first class organized under chapter 354A for the same period of 177.34 service. 177.35 (b) The election must be made within 90 days of commencing 177.36 employment by the labor organization. 178.1 Sec. 2. [354B.32] [TRANSFER OF FUNDS TO IRAP.] 178.2 A participant in the individual retirement account plan 178.3 established in this chapter who has less than ten years of 178.4 allowable service under the teachers retirement association or 178.5 the teachers retirement fund association may elect to transfer 178.6 an amount equal to the participant's accumulated member 178.7 contributions to the teachers retirement association or the 178.8 teachers retirement fund association, plus compound interest at 178.9 the rate of six percent per annum, to the individual retirement 178.10 account plan. The transfers are irrevocable fund to fund 178.11 transfers, and in no event may the participant receive direct 178.12 payment of the money transferred prior to retirement. If a 178.13 participant elects the contribution transfer, all of the 178.14 participant's allowable and formula service credit in the 178.15 teachers retirement association or the teachers retirement fund 178.16 association associated with the transferred amount is forfeited. 178.17 The executive director of the teachers retirement 178.18 association and the chief administrative officers of the 178.19 teachers retirement fund associations, in cooperation with the 178.20 chancellor of the Minnesota state colleges and universities 178.21 system, shall notify participants who are eligible to transfer 178.22 of their right to transfer and the amount that they are eligible 178.23 to transfer, and shall, upon request, provide forms to implement 178.24 the transfer. The chancellor of the Minnesota state colleges 178.25 and universities system shall assist the teachers retirement 178.26 association and the teachers retirement fund associations in 178.27 developing transfer forms and in implementing the transfers. 178.28 Authority to elect a transfer under this section expires on 178.29 July 1, 2004. 178.30 Sec. 3. [REPEALER.] 178.31 Minnesota Statutes 2000, section 354.41, subdivision 9, is 178.32 repealed. 178.33 Sec. 4. [EFFECTIVE DATE.] 178.34 (a) Sections 1 to 3 are effective the day following final 178.35 enactment. 178.36 (b) Coverage under section 1 applies to employment as an 179.1 officer of the interfaculty organization on or after July 1, 179.2 1996. 179.3 ARTICLE 13 179.4 CLOSED CHARTER SCHOOL RETIREMENT CONTRIBUTIONS 179.5 Section 1. [STUDY BY THE LEGISLATIVE COMMISSION ON 179.6 PENSIONS AND RETIREMENT.] 179.7 (a) The legislative commission on pensions and retirement 179.8 shall study and recommend the appropriate mechanism for 179.9 recovering unpaid member and employer retirement plan 179.10 contributions from charter schools that cease operations. 179.11 (b) The report must include the draft proposed legislation 179.12 that would be required to implement the mechanism recommended by 179.13 the commission. 179.14 (c) The report must be filed by February 15, 2002, with the 179.15 chairs of the senate committees on state and local government 179.16 operations and education and with the chairs of the house 179.17 committees on governmental operations and veterans affairs 179.18 policy and education. 179.19 Sec. 2. [EFFECTIVE DATE.] 179.20 Section 1 is effective the day following final enactment. 179.21 ARTICLE 14 179.22 LOCAL POLICE AND PAID FIRE PENSION PLANS 179.23 Section 1. Minnesota Statutes 2000, section 423B.05, is 179.24 amended by adding a subdivision to read: 179.25 Subd. 4. [RIGHT TO PARTICIPATE BY MAIL-IN BALLOT.] Active 179.26 members, retired members, and surviving spouse members of the 179.27 relief association have the right to participate in the election 179.28 of board members of the association by mail-in ballot. 179.29 Sec. 2. Minnesota Statutes 2000, section 423B.05, is 179.30 amended by adding a subdivision to read: 179.31 Subd. 5. [MAIL-IN REFERENDUM ON VOTING BY MAIL.] (a) The 179.32 board of the association is authorized to submit the following 179.33 question in a binding member referendum to be conducted by mail: 179.34 "Shall the bylaws of the Minneapolis police relief 179.35 association be amended to allow future proposed 179.36 amendments to the bylaws of the relief association 180.1 to be approved by a vote of relief association members 180.2 by mail? 180.3 Yes ........ 180.4 No ........" 180.5 (b) The board of the relief association shall conduct the 180.6 referendum by mailing a printed copy of the referendum question 180.7 and of the ballot to all active members, retired members, and 180.8 surviving spouse members in accordance with the voting 180.9 procedures that the board of the relief association used in the 180.10 most recent board election prior to March 1, 2001. 180.11 (c) Before submitting the referendum question to a vote by 180.12 the relief association membership, the relief association board 180.13 shall solicit the opinions of relief association members for the 180.14 question and against the question. The solicitation for member 180.15 comments must be included in the next regular relief association 180.16 communication to relief association members following the 180.17 proposal of the bylaw amendment and on the Web site of the 180.18 relief association. The comment period continues for 30 days. 180.19 The executive director of the relief association shall prepare a 180.20 summary of the comments of relief association members for and 180.21 against the question in a fair and impartial manner. A draft of 180.22 the summary document must be placed on the Web site of the 180.23 relief association for five days. If a relief association board 180.24 member challenges the objectivity of the draft summary, the 180.25 draft summary must be reviewed by a neutral third party. The 180.26 neutral third party must be an accredited professional 180.27 mediator. The relief association executive director shall 180.28 include the recommendations of the neutral third party in the 180.29 final summary document. The written summary prepared by the 180.30 relief association executive director must be included with the 180.31 question and the ballot mailed to relief association members. 180.32 (d) Balloting procedures must be designed to maintain 180.33 secrecy as to the identity of voting members. The receipt of 180.34 returned ballots and the counting of those ballots must be 180.35 conducted by an accounting firm designated by the relief 180.36 association board to perform those functions. 181.1 (e) For adoption, the question must receive favorable votes 181.2 from two-thirds of the relief association members who return 181.3 ballots on the question. 181.4 (f) If the question in paragraph (a) is approved in the 181.5 referendum, future bylaw amendments must be conducted in the 181.6 same manner as provided in this subdivision. 181.7 Sec. 3. [EVELETH RETIRED POLICE AND FIRE TRUST FUND; AD 181.8 HOC POSTRETIREMENT ADJUSTMENT.] 181.9 In addition to the current pensions and other retirement 181.10 benefits payable, the pensions and retirement benefits payable 181.11 to retired police officers and firefighters and their surviving 181.12 spouses by the Eveleth police and fire trust fund are increased 181.13 by $100 per month. Increases are retroactive to January 1, 2001. 181.14 Sec. 4. [EFFECTIVE DATE.] 181.15 (a) Sections 1 and 2 are effective on the day following 181.16 final enactment. 181.17 (b) If the referendum question in section 2 is approved, no 181.18 proposed bylaw amendment may be submitted for membership 181.19 approval by mail until January 1, 2002. 181.20 (c) Section 3 is effective on the day after the date on 181.21 which the Eveleth city council and the chief clerical officer of 181.22 the city of Eveleth complete in a timely manner their compliance 181.23 with Minnesota Statutes, section 645.021, subdivisions 2 and 3. 181.24 ARTICLE 15 181.25 MINNEAPOLIS FIREFIGHTERS RELIEF ASSOCIATION 181.26 BENEFIT PLAN CODIFICATION AND REVISION 181.27 Section 1. [423C.01] [MINNEAPOLIS FIREFIGHTERS RELIEF 181.28 ASSOCIATION; DEFINITIONS.] 181.29 Subdivision 1. [TERMS.] For purposes of this chapter, 181.30 unless the context clearly indicates otherwise, the terms 181.31 defined in this section have the meanings given them. 181.32 Subd. 2. [ACTIVE MEMBER.] "Active member" means a person 181.33 who was hired and duly appointed by the city of Minneapolis 181.34 before June 15, 1980, as a firefighter who is regularly entered 181.35 on the fire department payroll and who serves on active duty. 181.36 Subd. 3. [ACTIVE MEMBER PERCENTAGE.] "Active member 182.1 percentage" means the total number of units accrued by active 182.2 members divided by the sum of the total number of units to which 182.3 eligible members are entitled and active members have accrued. 182.4 Subd. 4. [ACTUARIAL EQUIVALENT OR ACTUARIALLY 182.5 EQUIVALENT.] "Actuarial equivalent" or "actuarially equivalent" 182.6 means the condition of one annuity or benefit having an equal 182.7 actuarial present value as another annuity or benefit determined 182.8 as of a given date at a specified age with each actuarial 182.9 present value based on the appropriate mortality table adopted 182.10 by the board based on the experience of the special fund and 182.11 approved by the actuary retained by the legislative commission 182.12 on pensions and retirement and using the applicable 182.13 preretirement or postretirement interest rate assumptions 182.14 specified in section 356.216. 182.15 Subd. 5. [AGE.] "Age" means a person's age at the person's 182.16 latest birthday. 182.17 Subd. 6. [ANNUAL POSTRETIREMENT ADJUSTMENT.] "Annual 182.18 postretirement adjustment" means the payment of a lump-sum, 182.19 postretirement benefit pursuant to section 423C.06, subdivision 182.20 1, to an eligible member on June 1 following the determination 182.21 date in any year. 182.22 Subd. 7. [ASSOCIATION.] "Association" means the 182.23 Minneapolis firefighters relief association. 182.24 Subd. 8. [BOARD.] "Board" means the board established in 182.25 section 423C.03 to govern the association. 182.26 Subd. 9. [CITY.] "City" means the city of Minneapolis. 182.27 Subd. 10. [DEFERRED MEMBER.] "Deferred member" means a 182.28 person who served on active duty and was regularly entered on 182.29 the fire department payroll and separated from active service 182.30 prior to attaining 50 years of age and is entitled to receive a 182.31 service pension upon reaching age 50 under the law existing at 182.32 the time the member separated from active service for at least 182.33 five years. 182.34 Subd. 11. [DEPENDENT.] "Dependent" means: 182.35 (1) a biological or adopted child of a deceased, active, or 182.36 retired member who is unmarried and under the age of 18; 183.1 (2) a biological or adopted child of a deceased, active, or 183.2 retired member who is between the ages of 18 and 22 and is 183.3 enrolled full time at an accredited educational institution 183.4 approved by the board; or 183.5 (3) a biological child of an active or retired member 183.6 conceived during the active or retired member's lifetime and 183.7 born after the active or retired member's death. 183.8 Subd. 12. [DETERMINATION DATE.] "Determination date" means 183.9 December 31 of each year. 183.10 Subd. 13. [DISABILITY.] "Disability" has the meaning 183.11 specified in the bylaws of the relief association on April 1, 183.12 2001. 183.13 Subd. 14. [DISCHARGE.] "Discharge" means a complete 183.14 separation from and termination of active service as a member of 183.15 the fire department. 183.16 Subd. 15. [ELIGIBLE MEMBER.] "Eligible member" means: 183.17 (1) for purposes of section 423C.06, subdivision 1, a 183.18 person, including a service pensioner, a disability pensioner, a 183.19 survivor, or dependent of a deceased active member, service 183.20 pensioner, or disability pensioner, who received a pension or 183.21 benefit from the relief association during the 12 months before 183.22 the determination date. A person who received a pension or 183.23 benefit for the entire 12 months before the determination date 183.24 is eligible for a full annual postretirement payment. A person 183.25 who received a pension or benefit for less than 12 months before 183.26 the determination date is eligible for a prorated annual 183.27 postretirement payment; and 183.28 (2) for purposes of section 423C.06, subdivision 4, a 183.29 person who receives a service, survivor, or disability pension 183.30 payable from the special fund of the association. 183.31 Subd. 16. [ENROLLED FULL TIME.] "Enrolled full time" means 183.32 the situation of an individual who is in full-time attendance as 183.33 a student at an educational institution, as determined by the 183.34 board of trustees of the relief association in light of the 183.35 standards and practices of the school involved. A person who is 183.36 paid by the person's employer while attending school at the 184.1 request of that employer may not be considered to be a full-time 184.2 student. A person may be considered a full-time student during 184.3 a period of up to four months of nonattendance during any 184.4 12-month period if the person shows to the satisfaction of the 184.5 board of trustees that the person intends to continue in 184.6 full-time school attendance immediately upon the conclusion of 184.7 the nonattendance period. 184.8 Subd. 17. [EXCESS INVESTMENT INCOME.] "Excess investment 184.9 income" means the amount, if any, by which the time-weighted 184.10 total rate of return earned by the special fund in the prior 184.11 five fiscal years has exceeded the actual percentage increase in 184.12 the current monthly salary of a first grade firefighter in the 184.13 most recent fiscal year plus two percent. The excess investment 184.14 income must be expressed as a dollar amount and may not exceed 184.15 one percent of the total assets of the special fund except when 184.16 the actuarial value of assets of the special fund, according to 184.17 the most recent annual actuarial valuation prepared in 184.18 accordance with sections 356.215 and 356.216, is greater than 184.19 102 percent of its actuarial accrued liabilities, in which case 184.20 the amount must not exceed 1.5 percent of the assets of the 184.21 special fund. 184.22 Subd. 18. [FIRE DEPARTMENT.] "Fire department" means the 184.23 Minneapolis fire department. 184.24 Subd. 19. [FUND.] "Fund" means the special fund of the 184.25 relief association. 184.26 Subd. 20. [NET EXCESS ASSET AMOUNT PAYMENT.] "Net excess 184.27 asset amount payment" means the payment of an additional 184.28 postretirement payment under section 423C.06, subdivision 4, to 184.29 an eligible member on June 1 following the determination date in 184.30 the given year. 184.31 Subd. 21. [NET TOTAL EXCESS ASSET AMOUNT.] "Net total 184.32 excess asset amount" means the total excess asset amount stated 184.33 in dollars and multiplied by one minus the active member 184.34 percentage. 184.35 Subd. 22. [PERIOD OF SERVICE.] "Period of service" means: 184.36 (1) any service rendered by a firefighter for any calendar 185.1 month when the member receives salary from which deductions are 185.2 made, deposited, and credited to the special fund. Leaves of 185.3 absence of more than 90 days, except those granted because of 185.4 disability due to sickness or accident or to enable a member to 185.5 accept an appointive position in the fire department, shall be 185.6 excluded in computing a member's period of service; 185.7 (2) any period in which the member, after entering the fire 185.8 department, leaves to enter the military forces of the United 185.9 States in a time of war or national emergency and subsequently 185.10 receives an honorable discharge from the military or leaves to 185.11 render fire prevention services to the United States government 185.12 in a time of war or national emergency, provided the member who 185.13 serves either applies for reinstatement in or resumes active 185.14 duty in the fire department within six months. During any 185.15 period of military or fire prevention service, the individual 185.16 shall not be considered an active member. Any period of service 185.17 a member qualifies for under this clause is limited as follows: 185.18 (i) credit shall be granted for service rendered subsequent 185.19 to July 1, 1961, but the credit shall not exceed six calendar 185.20 years; 185.21 (ii) no credit shall be granted for service rendered 185.22 subsequent to July 1, 1961, if the period of service rendered 185.23 prior to July 1, 1961, equals or exceeds six calendar years; and 185.24 (iii) if the period of service prior to July 1, 1961, is 185.25 less than six calendar years, credit for service subsequent to 185.26 July 1, 1961, shall be added to the prior service, but in no 185.27 case shall total service credit exceed six calendar years. 185.28 Subd. 23. [RETIRED MEMBER.] "Retired member" means a 185.29 former active member who has terminated active service with the 185.30 fire department and is entitled to receive a pension or benefit 185.31 under this chapter or any predecessor law. 185.32 Subd. 24. [RELIEF ASSOCIATION.] "Relief association" means 185.33 the Minneapolis firefighters relief association. 185.34 Subd. 25. [SURVIVING SPOUSE MEMBER.] "Surviving spouse 185.35 member" means a person who was: 185.36 (1) legally married to, and residing with, an active, 186.1 deferred, or retired member both during the time the member was 186.2 regularly entered on the payroll and serving on active duty in 186.3 the fire department and at the time of the member's death; 186.4 (2) not in a common law marriage; and 186.5 (3) in the event the person was married to a retired or 186.6 deferred member, married to that retired or deferred member for 186.7 at least two years prior to the member's discharge from the fire 186.8 department. 186.9 Subd. 26. [TIME-WEIGHTED TOTAL RATE OF 186.10 RETURN.] "Time-weighted total rate of return" means the 186.11 percentage amount determined by using the formula or formulas 186.12 established by the state board of investment under section 186.13 11A.04, clause (11), and in effect on January 1, 1987. 186.14 Subd. 27. [TOTAL EXCESS ASSET AMOUNT.] (a) "Total excess 186.15 asset amount" means the difference, if positive, expressed in 186.16 dollars, between the special fund's market value of assets after 186.17 any deductions required by section 423C.06, subdivision 3, and 186.18 110 percent of the actuarial accrued liabilities based on the 186.19 actuarial valuation indicated in paragraph (b). 186.20 (b) The total excess asset amount in paragraph (a) exists 186.21 if the actuarial liability funding ratio, according to the most 186.22 recent annual actuarial valuation of the special fund prepared 186.23 in accordance with sections 69.77, 356.215, and 356.216, with 186.24 adjustments required by section 423C.06, subdivision 3, equals 186.25 or exceeds 110 percent. 186.26 Subd. 28. [UNIT.] "Unit" means 1/80 of the maximum monthly 186.27 salary of a first grade firefighter on the first day of the 186.28 month in which the pension benefits provided by this chapter are 186.29 paid. 186.30 Sec. 2. [423C.02] [MINNEAPOLIS FIREFIGHTERS RELIEF 186.31 ASSOCIATION.] 186.32 Subdivision 1. [CREATION.] The active and retired members 186.33 of the fire department and their surviving spouses shall 186.34 maintain the association. The association shall be duly 186.35 incorporated under chapter 317A. The corporation shall have 186.36 perpetual corporate existence. The association shall create, 187.1 maintain, and administer those funds and accounts as set forth 187.2 in section 423C.04 for the benefit of its members, surviving 187.3 spouses, and dependents. The sources of revenue for each fund 187.4 and account are governed by section 423C.04. The authorized 187.5 disbursements from each fund and account are governed by 187.6 sections 423C.04, 423C.05, and 423C.06. 187.7 Subd. 2. [MEMBERSHIP.] Active members, deferred members, 187.8 retired members, and surviving spouse members as defined in 187.9 section 423C.01 are members of the association. 187.10 Subd. 3. [MANAGEMENT OF ASSOCIATION.] The board created in 187.11 section 423C.03 shall manage, control, and operate the 187.12 association, including the funds and accounts set forth in 187.13 section 423C.04, according to this chapter, other applicable 187.14 law, and the association's articles of incorporation and its 187.15 bylaws. Notwithstanding section 423A.01, subdivision 2, or any 187.16 other law to the contrary, the board shall continue to govern 187.17 the association until there are fewer than 100 members receiving 187.18 benefits under this chapter. Thereafter, the special fund shall 187.19 become a trust fund according to section 423A.01, subdivision 2. 187.20 Subd. 4. [DISPOSITION OF ASSETS UPON CONCLUSION OF BENEFIT 187.21 PAYMENTS.] Upon the death of the last benefit recipient and the 187.22 certification by the chief administrative officer of the city to 187.23 the state auditor of the absence of any remaining person 187.24 entitled to a benefit under this chapter, all assets of the 187.25 association or trust fund, whichever applies, shall revert to 187.26 the city. The city shall only use these assets for firefighting 187.27 expenditure purposes. 187.28 Sec. 3. [423C.03] [BOARD MEMBERSHIP; ELECTIONS; DUTIES; 187.29 COMPENSATION; BOND; MEETINGS; POWERS.] 187.30 Subdivision 1. [BOARD COMPOSITION AND ELECTIONS.] The 187.31 board shall consist of two persons appointed by the city and ten 187.32 other members selected by the members. Elections for active and 187.33 retired positions on the board shall be conducted pursuant to 187.34 the association's bylaws. 187.35 Subd. 2. [BOARD OFFICERS.] The officers of the association 187.36 shall consist of a president, one or more vice-presidents, an 188.1 executive secretary, a treasurer, an assistant executive 188.2 secretary, and an assistant treasurer. Only elected members of 188.3 the board are eligible to be officers. Officers shall have 188.4 those duties and responsibilities as set forth in this chapter, 188.5 other applicable law, and the association's bylaws. Officers 188.6 shall be compensated as provided in subdivision 3. All officers 188.7 shall be elected in even years at the association's annual 188.8 meeting. Officers shall hold their office for a term of two 188.9 years unless they are removed from the board before their 188.10 two-year term expires. 188.11 Subd. 3. [COMPENSATION OF OFFICERS AND BOARD 188.12 MEMBERS.] Notwithstanding any other law to the contrary, the 188.13 association may provide for payment of the following salaries to 188.14 its officers and board members: 188.15 (1) the executive secretary may receive a salary not 188.16 exceeding 30 percent of the maximum salary of a first grade 188.17 firefighter; 188.18 (2) the president may receive a salary not exceeding ten 188.19 percent of the maximum salary of a first grade firefighter; and 188.20 (3) all other elected members of the board may receive a 188.21 salary not exceeding 2.5 percent of the maximum salary of a 188.22 first grade firefighter. 188.23 Subd. 4. [BOND FOR EXECUTIVE SECRETARY AND TREASURER.] (a) 188.24 The executive secretary and the treasurer must furnish to the 188.25 relief association a corporate bond for the faithful performance 188.26 of the duties of that office in an amount as the board of 188.27 trustees from time to time may determine, subject to the minimum 188.28 amount specified in section 69.051, subdivision 2. 188.29 (b) The relief association must pay the premiums on these 188.30 bonds from the general fund of the relief association. 188.31 Subd. 5. [MEETINGS.] Each December, the board shall hold 188.32 an annual meeting. All other meetings of the board shall be 188.33 held as provided in the association's articles or bylaws. Board 188.34 members may participate in a board meeting by any means of 188.35 communication through which the trustee, other board members 188.36 participating, and all other board members physically present at 189.1 the meeting may simultaneously hear each other during the 189.2 meeting. Participating in a meeting by these means is the same 189.3 thing as being physically present at the meeting. 189.4 Subd. 6. [ADDITIONAL BOARD POWERS.] In addition to the 189.5 powers granted the board by this chapter, chapter 317A, other 189.6 applicable state and federal law, and its articles and bylaws, 189.7 the board shall authorize and create a board of examiners. 189.8 The board of examiners shall investigate and report on all 189.9 applications for disability pensions and make recommendations as 189.10 to the amount to be paid to each applicant; investigate and 189.11 report on all disability pensioners and make recommendations as 189.12 to the amount of pension to be paid to them, from year to year; 189.13 and investigate and report on all applications for service 189.14 pensions and claims for relief. This board shall consist of a 189.15 competent physician selected by the association and at least 189.16 three members of the relief association on active duty with the 189.17 fire department. 189.18 Sec. 4. [423C.04] [ASSOCIATION FUNDS AND ACCOUNTS.] 189.19 Subdivision 1. [DUTIES.] The association shall create, 189.20 maintain, and administer the funds and accounts in this 189.21 section. The sources of revenue and authorized disbursements of 189.22 each fund and account are governed by this section. 189.23 Subd. 2. [SPECIAL FUND; PURPOSE AND SOURCES OF 189.24 REVENUE.] (a) The special fund may only be used to pay for 189.25 defined and contingent benefits as set forth in sections 423C.05 189.26 and 423C.06; compensation for officers and board members as set 189.27 forth in section 423C.03, subdivision 3; expenses of officers 189.28 and employees of the association in connection with the 189.29 protection of the special fund; and expenses of operating, 189.30 administering, and maintaining the association as authorized by 189.31 this chapter, section 69.80, or other applicable law. 189.32 (b) The special fund is derived from the following sources: 189.33 (1) receipts from the state, including, but not limited to, 189.34 any fire state aid, any fire insurance premium surcharge amount, 189.35 or any additional amortization state aid; 189.36 (2) all money derived from taxation by the city under 190.1 section 69.77 for the support of the association and for the 190.2 payment of benefits set forth in sections 423C.05 and 423C.06; 190.3 (3) an amount equal to the minimum percentage specified in 190.4 section 69.77, subdivision 2a, of the salary of a first grade 190.5 firefighter deducted from the monthly salary of each active 190.6 member; and 190.7 (4) the proceeds of the investment of special fund assets. 190.8 Subd. 3. [GENERAL FUND.] The general fund is separate and 190.9 distinct from the special fund. The general fund may, 190.10 consistent with applicable law, be expended for those purposes 190.11 deemed appropriate by the relief association. The city finance 190.12 officer shall deduct from each active member's biweekly payroll 190.13 check a sum equal to one-half of one percent of the maximum 190.14 biweekly salary of a first grade firefighter. This sum shall be 190.15 forwarded to the association's treasurer and deposited in the 190.16 general fund. The general fund shall also consist of receipts 190.17 from private sources, such as gifts, charges, fundraising 190.18 projects, and dues paid by members; investment of, earnings on, 190.19 and interest of the general fund; and all other sources. Money 190.20 received from other sources may also be deposited in the general 190.21 fund. 190.22 Subd. 4. [HEALTH INSURANCE ACCOUNTS.] Notwithstanding any 190.23 law to the contrary, contributions of active members of the 190.24 association with at least 25 years of service made after the 190.25 25th year of service must be deposited in a separate account and 190.26 used to pay health care costs of the individual member upon 190.27 retirement. The board shall adopt rules regarding the frequency 190.28 and amounts of distributions from these accounts. A member with 190.29 an account established pursuant to this section is entitled, 190.30 upon retirement or disability, to receive periodic distributions 190.31 from the account, in the amount and with the frequency specified 190.32 by the retiring member consistent with the board's rules. 190.33 Sec. 5. [423C.05] [DEFINED BENEFITS.] 190.34 Subdivision 1. [DUTIES.] The association is authorized to 190.35 and shall pay the benefits in this section to its members in 190.36 accordance with this section. All benefits authorized in this 191.1 section shall be paid from the association's special fund. 191.2 Subd. 2. [SERVICE PENSION.] (a) An active member who has 191.3 performed duty for the fire department for five years or more, 191.4 upon written application after retiring from duty and reaching 191.5 at least age 50, is entitled to be paid monthly for life a 191.6 service pension under paragraph (b). 191.7 (b) Based on the percentage that the actuarial value of 191.8 assets of the special fund equal to the actuarial accrued 191.9 liabilities of the special fund according to the most recent 191.10 annual actuarial valuation of the relief association prepared in 191.11 accordance with sections 356.215 and 356.216, the amount of the 191.12 service pension is as follows: 191.13 Length of Service Service Service 191.14 allowable pension pension pension 191.15 service payable if payable payable if 191.16 credit under 90 if greater greater 191.17 percent than 89.99 than 92.49 191.18 percent and percent 191.19 less than 191.20 92.5 percent 191.21 5 years - 8.0 units 8.0 units 191.22 6 years - 9.6 units 9.6 units 191.23 7 years - 11.2 units 11.2 units 191.24 8 years - 12.8 units 12.8 units 191.25 9 years - 14.4 units 14.4 units 191.26 10 years 16.0 units 16.0 units 16.0 units 191.27 11 years 17.6 units 17.6 units 17.6 units 191.28 12 years 19.2 units 19.2 units 19.2 units 191.29 13 years 20.8 units 20.8 units 20.8 units 191.30 14 years 22.4 units 22.4 units 22.4 units 191.31 15 years 24.0 units 24.0 units 24.0 units 191.32 16 years 25.6 units 25.6 units 25.6 units 191.33 17 years 27.2 units 27.2 units 27.2 units 191.34 18 years 28.8 units 28.8 units 28.8 units 191.35 19 years 30.4 units 30.4 units 30.4 units 191.36 20 years 33.0 units 33.5 units 34.0 units 192.1 21 years 34.6 units 35.1 units 35.6 units 192.2 22 years 36.2 units 37.7 units 37.2 units 192.3 23 years 37.8 units 38.3 units 38.8 units 192.4 24 years 39.4 units 39.9 units 40.4 units 192.5 25 years 192.6 or more 41.0 units 41.5 units 42.0 units 192.7 (c) A member entitled to a benefit under this subdivision 192.8 may elect to have it paid as an optional retirement annuity 192.9 pursuant to the conditions set forth in subdivision 8. A member 192.10 receiving a benefit pursuant to subdivision 5 or 6 shall not 192.11 simultaneously be entitled to a benefit under this subdivision. 192.12 Subd. 3. [CALCULATION OF SERVICE PENSION FOR DEFERRED 192.13 MEMBERS.] An association member who has performed services for 192.14 the fire department for five years or more but has not reached 192.15 the age of 50 years shall be eligible to retire from the 192.16 department, without forfeiting service pension rights. The 192.17 member shall, upon application, be placed on the association's 192.18 deferred pension roll. The association shall, upon board 192.19 approval, pay the pension of any member on the deferred pension 192.20 roll who has attained 50 years of age from the date the 192.21 application is approved. The pension shall be paid in 192.22 accordance with the schedule in subdivision 2. Any person 192.23 making this application waives all other rights, claims, or 192.24 demands against the association for any cause that may have 192.25 arisen from or that may be attributable to the person's service 192.26 in the fire department. A member entitled to a benefit under 192.27 this subdivision may elect to have the benefit paid as an 192.28 optional retirement annuity pursuant to the conditions set forth 192.29 in subdivision 7. 192.30 Subd. 4. [TEMPORARY DISABILITY PENSION.] An active member 192.31 who, by sickness or accident, becomes temporarily disabled from 192.32 performing firefighter duties for the fire department shall be 192.33 entitled to a temporary disability pension. No allowance for 192.34 disability shall be made unless notice of the disability and an 192.35 application for benefits is made by or on behalf of the disabled 192.36 member within 90 days after the beginning of the disability. 193.1 This application shall include a certificate from a qualified 193.2 medical professional setting forth the cause, nature, and extent 193.3 of the disability. This certificate must also conclude that the 193.4 disability was incurred or sustained while the member was in the 193.5 service of the fire department. The board shall utilize the 193.6 board of examiners established pursuant to section 423C.03, 193.7 subdivision 6, to investigate and report on an application for 193.8 benefits pursuant to this section and make recommendations as to 193.9 eligibility and the benefit amount to be paid. A member 193.10 entitled to a disability pension shall receive benefits in the 193.11 amount and manner determined by the board. 193.12 Subd. 5. [SERVICE-RELATED PERMANENT DISABILITY 193.13 PENSION.] An active member who becomes permanently disabled as 193.14 the result of a service-related disease or injury shall, upon 193.15 application and approval of the board, be entitled to a pension 193.16 of 42 units or in the amount determined under subdivision 8. 193.17 The application for service-related permanent disability shall 193.18 include a certificate from a qualified medical professional 193.19 setting forth the permanent nature of the disability or disease 193.20 and that it was service related. The board shall utilize the 193.21 board of examiners established pursuant to section 423C.03, 193.22 subdivision 6, to investigate and make recommendations on an 193.23 application for a pension pursuant to this subdivision. 193.24 Subd. 6. [NON-SERVICE-RELATED PERMANENT DISABILITY 193.25 PENSION.] An active member who, by sickness or accident, becomes 193.26 permanently disabled from performing firefighter duties for the 193.27 fire department shall be entitled to a permanent disability 193.28 pension. No allowance for disability shall be made unless 193.29 notice of the disability and an application for benefits is made 193.30 by or on behalf of the disabled member within 90 days after the 193.31 beginning of the disability. This application shall include a 193.32 certificate from a qualified medical professional setting forth 193.33 the cause, nature, and extent of the disability. The board 193.34 shall utilize the board of examiners established pursuant to 193.35 section 423C.03, subdivision 6, to investigate and report on an 193.36 application for benefits pursuant to this section and make 194.1 recommendations as to eligibility and the benefit amount to be 194.2 paid. A member entitled to a disability pension shall receive 194.3 benefits in the amount and manner determined by the board, not 194.4 to exceed 41 units. 194.5 Subd. 7. [SURVIVING SPOUSE AND DEPENDENT 194.6 PENSIONS.] Notwithstanding any other law to the contrary, when a 194.7 service pensioner, disability pensioner, deferred pensioner, or 194.8 active member of the association dies, recipient beneficiaries 194.9 are entitled to a pension or pensions, as follows: 194.10 (1) to a surviving spouse, a pension of 22 units per month; 194.11 (2) a surviving spouse of a deceased service pensioner, 194.12 disability pensioner, or deferred pensioner who is otherwise not 194.13 qualified for a pension may receive a benefit if the surviving 194.14 spouse was legally married to the decedent for a period of two 194.15 years and was residing with the decedent at the time of death. 194.16 The surviving spouse benefit provided in this clause is the same 194.17 as that provided to those who meet the definition of surviving 194.18 spouse under section 423C.01, subdivision 25, except that if the 194.19 surviving spouse is younger than the decedent, the surviving 194.20 spouse benefit must be actuarially equivalent to a surviving 194.21 spouse benefit that would have been paid to the member's spouse 194.22 had the member been married to a person of the same or greater 194.23 age than the member's age prior to retirement. A benefit paid 194.24 in this circumstance may be less than 17 units notwithstanding 194.25 the minimum set out in this clause; 194.26 (3) to each dependent, if the dependent's other parent is 194.27 living, a pension not to exceed eight units per month. 194.28 Dependents between the ages of 18 and 22 may continue to receive 194.29 a pension upon board determination that the dependent complies 194.30 with the requirements of section 423C.01, subdivision 11, and 194.31 applicable association bylaws, except that if the dependent 194.32 marries before the age of 22 years the pension shall cease as of 194.33 the date of the marriage. The board shall make the final 194.34 determination with respect to eligibility for benefits and 194.35 compliance with section 423C.01, subdivision 11; 194.36 (4) each dependent of a deceased member after the death of 195.1 the dependent's other parent, or in the event the other parent 195.2 predeceases the member, is entitled to receive a pension in the 195.3 amount the board deems necessary to properly support each 195.4 dependent until the dependent reaches the age of not less than 195.5 16 and not more than 18 years. Dependents between the ages of 195.6 18 and 22 may be entitled to continue receiving a pension upon 195.7 board determination that the dependent complies with the 195.8 requirements of section 423C.01, subdivision 11, and applicable 195.9 association bylaws, except that if the dependent marries before 195.10 the age of 22 years the pension shall cease as of the date of 195.11 the marriage. The board shall make the final determination with 195.12 respect to eligibility for benefits and compliance; and 195.13 (5) the total pension payable to a surviving spouse and all 195.14 dependents of a deceased member shall in no event exceed 41 195.15 units per month. 195.16 Subd. 8. [OPTIONAL RETIREMENT ANNUITY ELECTION.] A member 195.17 of the association who retires under subdivision 2 or becomes 195.18 disabled under subdivision 6 may elect an optional retirement 195.19 annuity prior to the receipt of any benefits. The optional 195.20 retirement annuity may be a 50 percent, 75 percent, or 100 195.21 percent joint survivor annuity without reinstatement in the 195.22 event the designated beneficiary predeceases the member or a 195.23 joint and survivor annuity with reinstatement in the event the 195.24 member predeceases the designated beneficiary. An optional 195.25 retirement annuity must be actuarially equivalent to the service 195.26 pension and automatic survivor coverage otherwise payable to the 195.27 retired member and the member's beneficiaries. Once selected, 195.28 the optional annuity is irrevocable. 195.29 Subd. 9. [ALTERNATIVE SERVICE PENSION FOR UNMARRIED 195.30 MEMBER.] A retired member who is not legally married on 195.31 September 1, 1997, and remains unmarried on the effective date 195.32 of this article may select a service pension of 42.3 units in 195.33 lieu of a service pension under subdivision 2. 195.34 Sec. 6. [423C.06] [INVESTMENT-RELATED POSTRETIREMENT 195.35 ADJUSTMENTS.] 195.36 Subdivision 1. [ANNUAL ADJUSTMENTS.] Notwithstanding the 196.1 provisions of chapter 69, or any other law to the contrary, the 196.2 association may provide annual postretirement payments to 196.3 eligible members under this section. No provision of or payment 196.4 made under this section may be interpreted or relied upon by any 196.5 member of the association to guarantee or entitle a member to 196.6 annual postretirement adjustments for any period when the 196.7 requirements in this section have not been met. 196.8 Subd. 2. [ACTUARIAL ASSETS OF SPECIAL FUND LESS THAN 102 196.9 PERCENT.] (a) When the actuarial assets of the special fund in 196.10 any year are less than 102 percent of its accrued liabilities 196.11 according to the most recent annual actuarial valuation of the 196.12 special fund prepared in accordance with sections 356.215 and 196.13 356.216, investment-related postretirement adjustments shall be 196.14 determined and paid pursuant to this subdivision. Payment of 196.15 the annual postretirement adjustment may be made only if there 196.16 is excess investment income. 196.17 (b) The board shall determine by May 1 of each year whether 196.18 or not the special fund has excess investment income. The 196.19 amount of excess investment income, if any, must be stated as a 196.20 dollar amount and reported by the executive secretary to the 196.21 mayor and governing body of the city, the state auditor, the 196.22 commissioner of finance, and the executive director of the 196.23 legislative commission on pensions and retirement. The dollar 196.24 amount of excess investment income up to one percent of the 196.25 assets of the special fund must be applied for the purpose 196.26 specified in paragraph (c). Excess investment income must not 196.27 be considered as income to or assets of the special fund for 196.28 actuarial valuations of the special fund for that year under 196.29 this section and sections 69.77, 356.215, and 356.216, except to 196.30 offset the annual postretirement adjustment. Additional 196.31 investment income is any realized or unrealized investment 196.32 income other than the excess investment income and must be 196.33 included in the actuarial valuations performed under this 196.34 section and sections 69.77, 356.215, and 356.216. 196.35 (c) The amount determined under paragraph (b) must be 196.36 applied as follows: the association shall apply the first 197.1 one-half of one percent of assets that constitute excess 197.2 investment income to the payment of an annual postretirement 197.3 adjustment to eligible members and the second one-half of one 197.4 percent of assets which constitute excess investment income 197.5 shall be applied to reduce the state amortization state aid or 197.6 supplementary amortization state aid payments otherwise due the 197.7 association under section 423A.02 for the current calendar 197.8 year. The amounts of all payments to eligible members shall not 197.9 exceed one-half of one percent of the assets of the fund. The 197.10 amount of each eligible member's postretirement adjustment shall 197.11 be calculated by dividing the total number of units to which 197.12 eligible members are entitled into the excess investment income 197.13 available for distribution to eligible members, and then 197.14 multiplying that result by the number of units to which each 197.15 eligible member is entitled. If this amount exceeds the total 197.16 monthly benefit that the eligible member was entitled to in the 197.17 prior year under the terms of this chapter, the association 197.18 shall pay the eligible member the lesser amount. Payment of the 197.19 annual postretirement adjustment must be in a lump-sum amount on 197.20 June 1 following the determination date in any year. In the 197.21 event an eligible member dies prior to the payment of the annual 197.22 postretirement adjustment, the executive secretary shall pay the 197.23 eligible member's estate the amount to which the member was 197.24 entitled. 197.25 Subd. 3. [ACTUARIAL ASSETS OF SPECIAL FUND 102 PERCENT OR 197.26 MORE.] (a) When the actuarial assets of the special fund in any 197.27 year are 102 percent or more of its accrued liabilities 197.28 according to the most recent annual actuarial valuation of the 197.29 special fund prepared in accordance with sections 356.215 and 197.30 356.216, an investment-related postretirement adjustment shall 197.31 be determined and paid pursuant to this subdivision. Payment of 197.32 the annual postretirement adjustment may only be made if there 197.33 is excess investment income. 197.34 (b) The board shall determine by May 1 of each year whether 197.35 or not the special fund has excess investment income. The 197.36 amount of excess investment income, if any, must be stated as a 198.1 dollar amount and reported by the executive secretary to the 198.2 mayor and governing body of the city, the state auditor, the 198.3 commissioner of finance, and the executive director of the 198.4 legislative commission on pensions and retirement. The dollar 198.5 amount of excess investment income up to 1-1/2 percent of the 198.6 assets of the fund must be applied for the purpose specified in 198.7 paragraph (c). Excess investment income must not be considered 198.8 as income to or assets of the special fund for actuarial 198.9 valuations of the special fund for that year under this section 198.10 and sections 69.77, 356.215, and 356.216, except to offset the 198.11 annual postretirement adjustment. Additional investment income 198.12 is any realized or unrealized investment income other than the 198.13 excess investment income and must be included in the actuarial 198.14 valuations performed under this section and sections 69.77, 198.15 356.215, and 356.216. 198.16 (c) The amount determined under paragraph (b) must be 198.17 applied as follows: the association shall apply the 1-1/2 198.18 percent of assets that constitute excess investment income to 198.19 the payment of an annual postretirement adjustment to eligible 198.20 members. The amount of each eligible member's postretirement 198.21 adjustment shall be calculated by dividing the total number of 198.22 units to which eligible members are entitled into the excess 198.23 investment income available for distribution to eligible 198.24 members, and then multiplying that result by the number of units 198.25 to which each eligible member is entitled. Payment of the 198.26 annual postretirement adjustment must be in a lump-sum amount on 198.27 June 1 following the determination date in any year. In the 198.28 event an eligible member dies prior to the payment of the annual 198.29 postretirement adjustment, the executive secretary shall pay the 198.30 eligible member's estate the amount to which the member was 198.31 entitled. 198.32 Subd. 4. [ACTUARIAL ASSETS OF SPECIAL FUND 110 PERCENT OR 198.33 MORE.] (a) When the actuarial assets of the special fund in any 198.34 year are 110 percent or more of its accrued liabilities 198.35 according to the most recent annual actuarial valuation of the 198.36 special fund prepared in accordance with sections 356.215 and 199.1 356.216, an investment-related postretirement adjustment shall 199.2 be determined and paid pursuant to this subdivision. Payment of 199.3 the annual postretirement adjustment may be made only if a total 199.4 excess asset amount exists. 199.5 (b) The board shall determine by May 1 of each year whether 199.6 the special fund has a total excess asset amount for that year. 199.7 If a total excess asset amount exists for the given year, the 199.8 net total asset amount shall be determined. The executive 199.9 secretary shall report the total excess asset amount and net 199.10 total excess asset amount to the mayor and governing body of the 199.11 city, the state auditor, the commissioner of finance, and the 199.12 executive director of the legislative commission on pensions and 199.13 retirement. The portion of the net excess asset amount which is 199.14 distributed under this subdivision shall not be considered 199.15 income to or assets of the special fund for actuarial valuations 199.16 of the special fund for that year under sections 69.77, 356.215, 199.17 and 356.216 and Laws 2000, chapter 461, except to offset the 199.18 amount distributed. 199.19 (c) Twenty percent of the net total excess asset amount 199.20 determined under paragraph (b) is available for excess asset 199.21 amount payments under paragraph (d). 199.22 (d) Except as limited under paragraph (e), the net excess 199.23 asset amount payment to an eligible member is equal to the 199.24 amount determined under paragraph (c) multiplied by the units 199.25 applicable to the eligible member and divided by the total units 199.26 of all eligible members. 199.27 (e) A member who is an eligible member for the entire 12 199.28 months before the determination date is eligible for a full 199.29 excess asset amount payment pursuant to paragraph (d). A member 199.30 who is an eligible member for less than 12 months before the 199.31 determination date is eligible for a prorated excess asset 199.32 amount payment. If an eligible member dies before the 199.33 determination date and before the excess asset amount payment 199.34 commences, the association shall pay the eligible member's 199.35 excess asset amount payment to the eligible member's surviving 199.36 spouse or, if no surviving spouse, to the eligible member's 200.1 estate. 200.2 (f) The excess asset amount payments determined under this 200.3 subdivision commence on June 1 following the determination 200.4 date. The board may disburse payments to eligible members in a 200.5 lump sum, 12 monthly installments, or any other manner that the 200.6 board determines. 200.7 Subd. 5. [REPORT ON ANNUAL POSTRETIREMENT 200.8 ADJUSTMENTS.] The executive secretary shall submit a report on 200.9 the amount of all postretirement adjustments made under this 200.10 section and the manner in which those payments were determined 200.11 to the state auditor, the executive director of the legislative 200.12 commission on pensions and retirement, and the city clerk. 200.13 Subd. 6. [CITY TAX LEVY.] If in any year after the 200.14 actuarial value of special fund assets, according to the most 200.15 recent annual actuarial valuation prepared in accordance with 200.16 sections 356.215 and 356.216, is greater than 102 percent of the 200.17 actuarial accrued liabilities of the special fund and 200.18 subsequently the actuarial value of assets is less than 100 200.19 percent of the actuarial accrued liabilities according to the 200.20 most recent annual actuarial valuation prepared according to 200.21 sections 356.215 and 356.216, the city of Minneapolis is not 200.22 required to levy a property tax to fund any deficit unless the 200.23 fund has two successive years when the actuarial value of assets 200.24 is less than 100 percent of the actuarial accrued liabilities 200.25 according to the most recent annual actuarial valuation prepared 200.26 according to sections 356.215 and 356.216. 200.27 Sec. 7. [423C.07] [ACTUARIAL VALUATION DATE.] 200.28 Notwithstanding section 69.77, subdivision 2h, 356.215, or 200.29 356.216, the annual actuarial valuation of the association must 200.30 be completed by May 1 of each year. 200.31 Sec. 8. [423C.08] [MEMBER CONTRIBUTION REFUND TO 200.32 BENEFICIARY UPON DEATH.] 200.33 If an active, deferred, or retired member of the 200.34 association dies and no survivor benefit is payable, the 200.35 designated beneficiary of the decedent or, if none, the legal 200.36 representative of the estate of the decedent is entitled, upon 201.1 application, to a refund. The refund shall be an amount equal 201.2 to the member contributions to the credit of the decedent, plus 201.3 interest on those contributions at an annual compounded rate of 201.4 five percent from the first day of the month following the date 201.5 of death of the decedent, reduced by the sum of any service 201.6 pension or disability benefit previously paid by the fund to the 201.7 decedent. 201.8 Sec. 9. [423C.09] [PAYMENTS EXEMPT FROM PROCESS.] 201.9 All payments made, or to be made, by the association under 201.10 this chapter shall be totally exempt from garnishment, 201.11 execution, or other legal process, except as provided in section 201.12 518.58, 518.581, or 518.6111. No person entitled to a payment 201.13 shall have the right to assign the name, nor shall the 201.14 association have authority to recognize any assignment or to pay 201.15 any sum on account thereof. Any attempt to transfer any right 201.16 or claim, or any part thereof, shall be void. 201.17 Sec. 10. [423C.10] [LAW GOVERNING PENSIONS AND BENEFITS.] 201.18 A service pension or other retirement benefit for or on 201.19 behalf of a member of the Minneapolis firefighters relief 201.20 association must be calculated under the laws, articles of 201.21 incorporation, or relief association bylaws in effect on the day 201.22 that the active member terminated active employment in the 201.23 Minneapolis fire department as a firefighter. 201.24 Sec. 11. [423C.11] [WORKERS' COMPENSATION ACT NOT 201.25 AFFECTED.] 201.26 This chapter shall not be construed as abridging, 201.27 repealing, or amending the laws of this state relating to the 201.28 provisions of the law commonly known as the Workers' 201.29 Compensation Act. 201.30 Sec. 12. [423C.12] [RIGHT TO REDUCE PENSIONS.] 201.31 The relief association has the right and retains the right 201.32 to reduce the amount of pensions and benefits paid from its 201.33 special fund and to reduce and otherwise adjust those pensions 201.34 and benefits. For any pension or benefit that was reduced, the 201.35 relief association has the right and retains the right to 201.36 increase or otherwise adjust these pensions or benefits within 202.1 the limits of this chapter. 202.2 Sec. 13. [423C.13] [FINANCE DIRECTOR TO FILE REPORT WITH 202.3 THE REVENUE COMMISSIONER.] 202.4 (a) On or before March 1 each year, the Minneapolis finance 202.5 director shall file with the county auditor and the commissioner 202.6 of revenue a certificate stating that the Minneapolis 202.7 firefighters relief association exists and including any other 202.8 information that the commissioner or auditor may require. 202.9 (b) The commissioner of revenue shall provide the 202.10 Minneapolis finance director with the necessary documents for 202.11 the city of Minneapolis and the Minneapolis firefighters relief 202.12 association to carry out its duties and to receive the benefits 202.13 of sections 69.011 to 69.051, 297I.05, and 297I.10. 202.14 Sec. 14. [423C.14] [STATE AUDITOR TO EXAMINE BOOKS.] 202.15 (a) The state auditor, annually, shall examine the books 202.16 and accounts of the secretary and of the treasurer of the 202.17 Minneapolis firefighters relief association. 202.18 (b) If the state auditor finds that any money in the 202.19 special fund of the relief association was expended for purposes 202.20 that were not authorized by this chapter, the state auditor 202.21 shall report that to the governor, who shall then direct the 202.22 commissioner of finance not to issue any further warrants to the 202.23 relief association until the state auditor reports that the 202.24 money which was unlawfully expended has been replaced. The 202.25 governor additionally may take such further action as the 202.26 emergency may demand. 202.27 Sec. 15. [423C.15] [ACTUARIAL PROVISIONS.] 202.28 Subdivision 1. [CITY NORMAL COST CONTRIBUTION ADJUSTMENT.] 202.29 Notwithstanding sections 69.77, 356.215, and 356.216, or other 202.30 law to the contrary, the required city contributions toward the 202.31 association's normal cost, as determined by the actuary, are 202.32 reduced below that otherwise payable by the full amount of 202.33 active member contributions required by law to be directed to 202.34 the association's health insurance escrow account rather than to 202.35 the special fund. 202.36 Subd. 2. [SUSPENSION OF NORMAL COST 203.1 CONTRIBUTIONS.] Notwithstanding the provisions of section 69.77, 203.2 or any other law to the contrary, if a total excess asset amount 203.3 exists, as defined in section 423C.01, subdivision 27, paragraph 203.4 (a), the city is not required to make a contribution to the fund 203.5 for the normal cost of active members. 203.6 Subd. 3. [AMORTIZATION TREATMENT.] Notwithstanding section 203.7 69.77, subdivision 2b, 356.215, 356.216, or any other law to the 203.8 contrary, if the actuarial report for the Minneapolis 203.9 firefighters relief association indicates an unfunded actuarial 203.10 accrued liability, the unfunded obligation is to be amortized on 203.11 a level dollar basis by December 31 of the year occurring 15 203.12 years later. If subsequent actuarial valuations determine a net 203.13 actuarial experience loss incurred during the year which ended 203.14 as of the day before the most recent actuarial valuation date, 203.15 any unfunded liability due to that loss is to be amortized on a 203.16 level dollar basis by December 31 of the year occurring 15 years 203.17 later. 203.18 Subd. 4. [LIMITATION.] Notwithstanding subdivision 3, the 203.19 amortization period may not exceed the average life expectancy 203.20 of the remaining members. 203.21 Sec. 16. [EFFECT ON ACCRUED BENEFITS AND BENEFITS 203.22 PAYABLE.] 203.23 (a) The legislature intends by this article to recodify the 203.24 prior local laws applicable to the Minneapolis firefighters 203.25 relief association. 203.26 (b) This article is not intended to increase or reduce the 203.27 pensions or benefits currently payable to pension and benefit 203.28 recipients of the Minneapolis firefighters relief association, 203.29 except as provided in Minnesota Statutes, section 423C.05, 203.30 subdivision 9. All pensions and benefits payable from the 203.31 Minneapolis firefighters relief association in force on the 203.32 effective date of this section as reflected in the records of 203.33 the relief association as of that date continue. 203.34 (c) This article is not intended to modify, impair, or 203.35 diminish the pension or benefit entitlements accrued or service 203.36 credited to active or deferred members of the Minneapolis 204.1 firefighters relief association on the effective date of this 204.2 article as reflected in the records of the relief association as 204.3 of that date. If the secretary of the relief association 204.4 determines that any provision of this article, except as 204.5 provided in Minnesota Statutes, section 423C.05, subdivision 9, 204.6 does function to modify, impair, or diminish the pension or 204.7 benefit entitlements that had been accrued or service that had 204.8 been credited to an active or deferred relief association 204.9 member, the secretary shall certify that determination and a 204.10 recommendation as to the required legislative correction, if 204.11 any, to the chairs of the legislative commission on pensions and 204.12 retirement, the house governmental operations committee, the 204.13 senate governmental operations committee, and the executive 204.14 director of the legislative commission on pensions and 204.15 retirement. 204.16 Sec. 17. [REPEALER.] 204.17 (a) Laws 1907, chapter 24; Laws 1913, chapters 318 and 419; 204.18 Laws 1917, chapter 196; Laws 1919, chapters 515 and 523; Laws 204.19 1921, chapter 404; Laws 1923, chapter 61; and Laws 1945, chapter 204.20 322, are repealed. 204.21 (b) Laws 1959, chapter 491, is repealed. Laws 1959, 204.22 chapter 568, as amended by Extra Session Laws 1961, chapter 3, 204.23 section 1; and Laws 1973, chapter 361, section 1, is repealed. 204.24 (c) Laws 1961, chapter 109, and Extra Session Laws 1961, 204.25 chapter 3, are repealed. Laws 1963, chapter 318, as amended by 204.26 Laws 1965, chapter 578, section 1; Laws 1967, chapter 824, 204.27 section 1; and Laws 1969, chapter 287, sections 1 and 2, is 204.28 repealed. Laws 1965, chapter 519, as amended by Laws 1967, 204.29 chapter 819, section 1; Laws 1969, chapter 123, sections 1 and 204.30 2; Laws 1975, chapter 57, section 1; Laws 1977, chapter 164, 204.31 section 2; Laws 1990, chapter 589, article 1, section 5; Laws 204.32 1992, chapter 454, sections 2 and 3; Laws 1994, chapter 591, 204.33 article 1, section 1; Laws 1996, chapter 448, article 3, section 204.34 1; and Laws 1997, chapter 233, article 4, section 12, is 204.35 repealed. Laws 1965, chapter 578, as amended by Laws 1967, 204.36 chapter 824, section 1; and Laws 1969, chapter 287, section 1, 205.1 is repealed. Laws 1967, chapter 819, as amended by Laws 1969, 205.2 chapter 123, section 1; Laws 1975, chapter 57, section 1; Laws 205.3 1977, chapter 164, section 2; Laws 1990, chapter 589, article 1, 205.4 section 5; Laws 1992, chapter 454, sections 2 and 3; Laws 1994, 205.5 chapter 591, article 1, section 1; Laws 1996, chapter 448, 205.6 article 3, section 1; and Laws 1997, chapter 233, article 4, 205.7 section 12, is repealed. Laws 1967, chapter 824, as amended by 205.8 Laws 1969, chapter 287, section 1, is repealed. Laws 1969, 205.9 chapter 123, as amended by Laws 1975, chapter 57, section 1; 205.10 Laws 1977, chapter 164, section 2; Laws 1990, chapter 589, 205.11 article 1, section 5; Laws 1992, chapter 454, sections 2 and 3; 205.12 Laws 1994, chapter 591, article 1, section 1; Laws 1996, chapter 205.13 448, article 3, section 1; and Laws 1997, chapter 233, article 205.14 4, section 12, is repealed. Laws 1969, chapter 287, is repealed. 205.15 (d) Laws 1971, chapter 542, as amended by Laws 1993, 205.16 chapter 125, article 1, section 1, is repealed. Laws 1975, 205.17 chapter 57, as amended by Laws 1977, chapter 164, section 2; 205.18 Laws 1990, chapter 589, article 1, section 5; Laws 1992, chapter 205.19 454, sections 2 and 3; Laws 1995, chapter 591, article 1, 205.20 section 1; Laws 1996, chapter 448, article 3, section 1; and 205.21 Laws 1997, chapter 233, article 4, section 12, is repealed. 205.22 Laws 1977, chapter 164, section 2, as amended by Laws 1990, 205.23 chapter 589, article 1, section 5; Laws 1992, chapter 454, 205.24 sections 2 and 3; Laws 1994, chapter 591, article 1, section 1; 205.25 Laws 1996, chapter 448, article 3, section 1; and Laws 1997, 205.26 chapter 233, article 4, section 12, is repealed. 205.27 (e) Laws 1980, chapter 607, article XV, sections 8, as 205.28 amended by Laws 1992, chapter 471, article 2, section 2; 9, as 205.29 amended by Laws 1987, chapter 322, section 6; Laws 1987, chapter 205.30 372, article 2, section 5; Laws 1992, chapter 471, article 2, 205.31 section 2; and Laws 1993, chapter 125, article 1, section 1; and 205.32 10, as amended by Laws 1992, chapter 471, article 2, section 3, 205.33 is repealed. Laws 1988, chapters 572, section 4; and 574, 205.34 section 3, are repealed. Laws 1989, chapter 319, article 19, 205.35 sections 6, as amended by Laws 1992, chapter 471, article 2, 205.36 section 4; and 7, as amended by Laws 1990, chapter 570, article 206.1 12, section 63; Laws 1992, chapter 471, article 2, sections 5 206.2 and 6; Laws 1996, chapter 438, article 4, sections 12 and 13; 206.3 and Laws 1997, chapter 233, article 4, sections 13 to 16, is 206.4 repealed. 206.5 (f) Laws 1990, chapter 589, article 1, sections 5, as 206.6 amended by Laws 1996, chapter 448, article 3, section 1; and 206.7 Laws 1997, chapter 233, article 4, section 12; and 6, as amended 206.8 by Laws 1992, chapter 471, article 2, section 7, is repealed. 206.9 Laws 1992, chapter 429, is repealed. Laws 1992, chapter 454, 206.10 section 2, as amended by Laws 1994, chapter 591, article 1, 206.11 section 1; Laws 1996, chapter 448, article 3, section 1; and 206.12 Laws 1997, chapter 233, article 4, section 12, is repealed. 206.13 Laws 1992, chapter 471, article 2, as amended by Laws 1996, 206.14 chapter 438, article 4, sections 12 and 13; and Laws 1997, 206.15 chapter 233, article 4, sections 13 and 15, is repealed. Laws 206.16 1993, chapter 125, as amended by Laws 1997, chapter 233, article 206.17 4, section 17, is repealed. Laws 1993, chapter 192, section 32, 206.18 is repealed. Laws 1994, chapter 591, as amended by Laws 1997, 206.19 chapter 233, article 4, section 12, is repealed. Laws 1994, 206.20 chapter 632, article 3, section 14; Laws 1996, chapter 448, 206.21 articles 2, section 3; and 3, section 1; Laws 1997, chapter 233, 206.22 article 4, sections 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, and 206.23 22; Laws 1998, chapter 390, article 7, section 2; and Laws 2000, 206.24 chapter 461, article 17, sections 6, 7, 8, 9, 10, 11, 12, and 206.25 13, are repealed. 206.26 Sec. 18. [EFFECTIVE DATE.] 206.27 Sections 1 to 16 are effective on July 1, 2001, or on the 206.28 day after the city council of the city of Minneapolis and its 206.29 chief clerical officer timely complete their compliance with 206.30 Minnesota Statutes, section 645.021, subdivisions 2 and 3, 206.31 whichever is later. 206.32 ARTICLE 16 206.33 VOLUNTEER FIREFIGHTER RELIEF ASSOCIATION PROVISIONS 206.34 Section 1. Minnesota Statutes 2000, section 424A.04, is 206.35 amended by adding a subdivision to read: 206.36 Subd. 3. [CONDITIONS ON RELIEF ASSOCIATION 207.1 CONSULTANTS.] (a) If a volunteer firefighter relief association 207.2 hires or contracts with a consultant to provide legal or 207.3 financial advice, the association shall obtain and the 207.4 consultant shall provide a copy of the consultant's certificate 207.5 of insurance. 207.6 (b) A consultant is any person who is employed under 207.7 contract to provide legal or financial advice and who is or who 207.8 represents to the volunteer firefighter relief association that 207.9 the person is: 207.10 (1) an actuary; 207.11 (2) a licensed public accountant or a certified public 207.12 accountant; 207.13 (3) an attorney; 207.14 (4) an investment advisor or manager, or an investment 207.15 counselor; 207.16 (5) an investment advisor or manager selection consultant; 207.17 (6) a pension benefit design advisor or consultant; or 207.18 (7) any other financial consultant. 207.19 Sec. 2. [EFFECTIVE DATE.] 207.20 Section 1 is effective July 1, 2001. 207.21 ARTICLE 17 207.22 ONE PERSON OR SMALL GROUP SERVICE CREDIT PURCHASES 207.23 Section 1. [TEACHERS RETIREMENT ASSOCIATION; SABBATICAL 207.24 LEAVE OF ABSENCE SERVICE CREDIT PURCHASE.] 207.25 (a) An eligible person described in paragraph (b) is 207.26 entitled to purchase 0.34 of a year of allowable and formula 207.27 service credit from the teachers retirement association. 207.28 (b) An eligible person is a person who: 207.29 (1) was born on August 7, 1942; 207.30 (2) was employed by independent school district No. 11, 207.31 Anoka-Hennepin, on August 28, 1970; 207.32 (3) was on a sabbatical leave of absence from July 1, 1977, 207.33 to June 30, 1978; and 207.34 (4) due to inadvertent clerical error by independent school 207.35 district No. 11, Anoka-Hennepin, did not have full contributions 207.36 for the sabbatical leave made in a timely fashion and 0.654 of a 208.1 year of service credit was credited rather than one year of 208.2 service for the sabbatical leave. 208.3 (c) To purchase the service credit under this section, the 208.4 eligible person must pay to the teachers retirement association 208.5 the amount of the shortage in member contributions for the 208.6 sabbatical leave period plus interest from June 30, 1978, to the 208.7 date on which payment is made at an annual compound rate of 8.5 208.8 percent. Authority to make this payment expires on July 1, 208.9 2002, or the date of termination of service, whichever is 208.10 earlier. 208.11 (d) If the eligible person makes the payment required in 208.12 paragraph (c) in a timely manner, independent school district 208.13 No. 11, Anoka-Hennepin, may pay the balance of the full prior 208.14 service credit purchase payment amount calculated under 208.15 Minnesota Statutes, section 356.55 or 356.551, whichever 208.16 applies. If independent school district No. 11, Anoka-Hennepin, 208.17 does not pay the balance within 30 days of notification by the 208.18 executive director of the teachers retirement association of the 208.19 payment of the member contribution payment by the eligible 208.20 person under paragraph (c), the executive director shall notify 208.21 the commissioner of finance of that fact and the commissioner 208.22 shall deduct from any state aid payable to independent school 208.23 district No. 11, Anoka-Hennepin, that amount, plus interest on 208.24 that amount of 1.5 percent per month for each month or portion 208.25 of a month that has elapsed from the effective date of this 208.26 section. 208.27 (e) The eligible person shall provide any relevant 208.28 documentation related to eligibility to make this service credit 208.29 purchase that is required by the executive director of the 208.30 teachers retirement association. 208.31 Sec. 2. [TEACHERS RETIREMENT ASSOCIATION; PURCHASE OF 208.32 EXTENDED LEAVE OF ABSENCE SERVICE CREDIT.] 208.33 (a) An eligible person, as described in paragraph (b), is 208.34 entitled to purchase allowable and formula service credit in the 208.35 teachers retirement association for the period specified in 208.36 paragraph (c) by making the payment specified in Minnesota 209.1 Statutes, section 356.55. 209.2 (b) An eligible person is a person who: 209.3 (1) was born on May 25, 1948; 209.4 (2) was employed by the Hutchinson public schools for 26 209.5 years; 209.6 (3) was granted an extended leave of absence on May 27, 209.7 1997; and 209.8 (4) due to a clerical error within the person's electrical 209.9 business, omitted payment of contributions under Minnesota 209.10 Statutes, section 354.094, for the 1997-1998 school year. 209.11 (c) The prior service credit purchase period is the 209.12 1997-1998, 1998-1999, and 1999-2000 school years. 209.13 (d) The service credit purchase authority expires on August 209.14 31, 2001, or the date of the person's retirement, whichever is 209.15 earlier. 209.16 Sec. 3. [PUBLIC EMPLOYEES RETIREMENT ASSOCIATION; PURCHASE 209.17 OF PREVIOUSLY UNCREDITED WHITE BEAR LAKE PUBLIC SCHOOL CLERICAL 209.18 SERVICE.] 209.19 (a) An eligible person described in paragraph (b) is 209.20 entitled to receive credit for one year of allowable service 209.21 from the public employees retirement association on August 31, 209.22 2001. 209.23 (b) An eligible person is a person who: 209.24 (1) was born on July 24, 1939; 209.25 (2) was initially employed by independent school district 209.26 No. 624, White Bear Lake, as a casual clerical employee on March 209.27 15, 1971; 209.28 (3) was subsequently employed as a full-time clerical 209.29 employee by independent school district No. 624, White Bear 209.30 Lake, from the 1973-1974 school year until the 1990-1991 school 209.31 year; 209.32 (4) was subsequently employed as a teacher by independent 209.33 school district No. 624, White Bear Lake, from August 26, 1991; 209.34 and 209.35 (5) was not included in coverage by the public employees 209.36 retirement association for full-time clerical employment during 210.1 the 1973-1974 school year. 210.2 (c) The prior service credit purchase payment must be 210.3 determined under Minnesota Statutes, section 356.55 or 356.551, 210.4 whichever provision is in effect, and must include the impact of 210.5 the purchase on the eligible person's prospective retirement 210.6 annuity from the teachers retirement association. 210.7 Notwithstanding any provision of Minnesota Statutes, section 210.8 356.55 or 356.551, to the contrary, independent school district 210.9 No. 624, White Bear Lake, is obligated to pay the full required 210.10 service credit payment, including any amount attributable to the 210.11 teachers retirement association. If the school district does 210.12 not make payment of the service credit purchase amount by August 210.13 31, 2001, the executive director of the public employees 210.14 retirement association and the executive director of the 210.15 teachers retirement association shall notify the commissioner of 210.16 finance of the school district's failure. Following 210.17 notification, the commissioner of finance shall deduct the 210.18 required amount from any state aid otherwise payable to 210.19 independent school district No. 624, White Bear Lake, and shall 210.20 transfer the appropriate amounts to the public employees 210.21 retirement fund and the teachers retirement fund. 210.22 (d) The eligible person must provide the executive director 210.23 of the public employees retirement association with necessary 210.24 documentation of the applicability of this section and with any 210.25 other relevant information that the executive director may 210.26 require. 210.27 Sec. 4. [MINNEAPOLIS TEACHERS RETIREMENT FUND ASSOCIATION; 210.28 SERVICE CREDIT PURCHASE AUTHORIZATION.] 210.29 (a) Notwithstanding any provision of law to the contrary, 210.30 an eligible person described in paragraph (b) is authorized to 210.31 purchase allowable service credit under procedures specified in 210.32 Minnesota Statutes, section 356.55 or 356.551, whichever is in 210.33 effect, from the Minneapolis teachers retirement fund 210.34 association for the period described in paragraph (c). 210.35 (b) An eligible person is a person who: 210.36 (1) was born on July 21, 1941; 211.1 (2) initially was employed as a teacher by independent 211.2 school district No. 281, Robbinsdale, in December 1962; 211.3 (3) began employment as a teacher in special school 211.4 district No. 1, Minneapolis, in August 1985; 211.5 (4) currently is a special education teacher at the Webster 211.6 open school; and 211.7 (5) had no retirement contributions or social security 211.8 contributions withheld from compensation by special school 211.9 district No. 1, Minneapolis, for the 1985-1986 school year. 211.10 (c) The allowable service credit purchase period is the 211.11 1985-1986 school year. 211.12 (d) The eligible person must provide all relevant 211.13 documentation of the applicability of the requirements set forth 211.14 in paragraph (b) and any other applicable information that the 211.15 executive director of the Minneapolis teachers retirement fund 211.16 association may request. 211.17 (e) Allowable service credit for the purchase period must 211.18 be granted by the Minneapolis teachers retirement fund 211.19 association to the eligible person upon the receipt of the 211.20 payment amounts. If the service credit purchase created 211.21 additional liabilities in the teachers retirement association, 211.22 the applicable portion of the full payment amounts must be 211.23 transferred to that association. 211.24 (f) The prior service credit purchase authority expires on 211.25 September 1, 2001, or on the date of the termination of active 211.26 teaching service with special school district No. 1, 211.27 Minneapolis, by the eligible person, whichever occurs earlier. 211.28 Sec. 5. [PUBLIC EMPLOYEES RETIREMENT ASSOCIATION; PAYMENT 211.29 OF OMITTED SALARY DEDUCTIONS.] 211.30 Subdivision 1. [APPLICATION.] A person who was born on 211.31 February 1, 1961, who was employed by Lac qui Parle county in 211.32 March 1989, June 1989, and July 1989, but who first had public 211.33 employees retirement association member contributions deducted 211.34 in August 1989, is entitled to purchase service credit from the 211.35 public employees retirement association for the service in 211.36 March, June, and July 1989. 212.1 Subd. 2. [PAYMENT.] (a) The purchase payment amount for 212.2 the service credit purchase authorized in subdivision 1 is 212.3 governed by Minnesota Statutes, section 356.55 or 356.551, 212.4 whichever is applicable. 212.5 (b) To purchase the allowable service credit, the eligible 212.6 person must pay an amount equal to the employee contribution 212.7 rate or rates in effect during the service credit purchase 212.8 period applied to the actual salary in effect during that 212.9 period, plus 8.5 percent compound annual interest from the date 212.10 the contributions should have been made until the date of actual 212.11 payment. 212.12 (c) Upon receipt of the payment by the eligible person as 212.13 specified under paragraph (b), the executive director of the 212.14 public employees retirement association shall notify the chief 212.15 administrative officer of Lac qui Parle county of that fact. 212.16 Within 30 days of that notification, Lac qui Parle county shall 212.17 pay to the public employees retirement association the balance 212.18 of the service credit purchase payment amount under Minnesota 212.19 Statutes, section 356.55 or 356.551, whichever is in effect, 212.20 that is not paid by the eligible person. 212.21 (d) If Lac qui Parle county does not make the payments 212.22 required by paragraph (c) in a timely fashion, the executive 212.23 director of the public employees retirement association shall 212.24 notify the commissioner of finance, who shall then deduct the 212.25 required amounts from any state aid payable to the county, plus 212.26 interest at the rate of one percent per month or part of a month 212.27 that has elapsed since the date on which the eligible person 212.28 made payment under paragraph (b). 212.29 Subd. 3. [APPLICATION; DOCUMENTATION.] A person described 212.30 in subdivision 1 must apply to the executive director of the 212.31 public employees retirement association to make the purchase. 212.32 The application must be on a form provided by the executive 212.33 director and must include all necessary documentation of the 212.34 applicability of this section and any other relevant information 212.35 that the executive director may require. 212.36 Subd. 4. [LIMITATION.] Authority under this section 213.1 expires on July 1, 2002, or upon termination of service, 213.2 whichever is earlier. 213.3 Sec. 6. [PUBLIC EMPLOYEES RETIREMENT ASSOCIATION; PAYMENT 213.4 OF OMITTED SALARY DEDUCTION.] 213.5 Subdivision 1. [APPLICATION.] (a) An eligible person 213.6 described in paragraph (b) and an eligible person described in 213.7 paragraph (c) are authorized to purchase service credit in the 213.8 public employees retirement association general plan for the 213.9 period specified in paragraph (d). 213.10 (b) An eligible person is a person who: 213.11 (1) was born on February 11, 1948; 213.12 (2) is currently a member of the public employees 213.13 retirement association general plan; and 213.14 (3) is currently employed by the Minneapolis park board and 213.15 was first employed by that board on March 8, 1983. 213.16 (c) An eligible person is a person who: 213.17 (1) was born on August 12, 1936; 213.18 (2) is currently a member of the public employees 213.19 retirement association general plan; and 213.20 (3) is currently employed by the Minneapolis park board and 213.21 was first employed by that board on April 4, 1983. 213.22 (d) The service credit purchase period is any period of 213.23 previously uncredited service, unless properly excluded under 213.24 law, during which the eligible person in paragraph (b) or (c), 213.25 as applicable, was employed by the Minneapolis park board 213.26 following the date on which, under applicable requirements of 213.27 public employees retirement association law, the applicable 213.28 eligible person should have been reported for plan membership. 213.29 Subd. 2. [PAYMENT.] The purchase payment for the service 213.30 credit purchases authorized in subdivision 1 is governed by 213.31 Minnesota Statutes, section 356.55 or 356.551, whichever is 213.32 applicable. 213.33 Subd. 3. [DOCUMENTATION.] A person described in 213.34 subdivision 1 must apply to the executive director of the public 213.35 employees retirement association to make the purchase. The 213.36 application must be in writing and must include all necessary 214.1 documentation of the applicability of this section and any other 214.2 relevant information required by the executive director. 214.3 Subd. 4. [APPLICATION DATE.] Authority to purchase service 214.4 credit under this section terminates on January 1, 2002, or upon 214.5 termination of the applicable person from service. 214.6 Sec. 7. [PERA-COORDINATED RETIREMENT PLAN; SERVICE CREDIT 214.7 PURCHASE AUTHORIZED.] 214.8 (a) Notwithstanding any provision of law to the contrary, 214.9 an eligible person described in paragraph (b) is authorized to 214.10 purchase allowable service credit from the coordinated plan of 214.11 the public employees retirement system for the period described 214.12 in paragraph (c) by making a prior service credit purchase 214.13 payment required under Minnesota Statutes, section 356.55 or 214.14 356.551, whichever is applicable. Notwithstanding the authority 214.15 in these sections, neither the Minneapolis employees retirement 214.16 fund nor the city of Minneapolis is authorized to pay any 214.17 portion of the purchase payment amount. 214.18 (b) An eligible person is a person who: 214.19 (1) is a current employee of the Minneapolis employees 214.20 retirement fund and is a current member of the coordinated plan 214.21 of the public employees retirement association and an inactive 214.22 member of the unclassified retirement plan of the Minnesota 214.23 state retirement system; 214.24 (2) was born on April 26, 1949; 214.25 (3) was employed as a full-time instructor temporary 214.26 classification on August 15, 1981, by the accounting department, 214.27 Carlson school of management, University of Minnesota; and 214.28 (4) was subsequently reappointed annually as a full-time 214.29 instructor temporary classification for an additional three 214.30 years and terminated employment on August 14, 1985. 214.31 (c) The allowable service credit purchase period is the 214.32 period described in paragraph (b), clauses (3) and (4). 214.33 (d) The eligible person must provide all relevant 214.34 documentation of the applicability of the requirements in 214.35 paragraph (b) and any other applicable information that the 214.36 executive director of the public employees retirement 215.1 association may request. 215.2 (e) Allowable service credit for the purchase period must 215.3 be granted by the coordinated plan of the public employees 215.4 retirement fund to the eligible person upon receipt of the prior 215.5 service credit purchase payment amount. 215.6 (f) The prior service credit purchase authority expires on 215.7 July 1, 2002, or on the date of termination of active service 215.8 covered by the public employees retirement association by the 215.9 eligible person, whichever occurs earlier. 215.10 Sec. 8. [PUBLIC EMPLOYEES POLICE AND FIRE PLAN; PURCHASE 215.11 OF PRIOR SERVICE CREDIT.] 215.12 Subdivision 1. [AUTHORIZATION.] A member of the public 215.13 employees retirement association police and fire plan who was 215.14 born on August 2, 1951, who was employed by the city of Brainerd 215.15 as a police officer before February 29, 1996, and who has at 215.16 least three years of allowable service credit with the public 215.17 employees retirement association police and fire fund is 215.18 entitled to purchase up to ten years of allowable service credit 215.19 for employment by the city of Brainerd as a full-time police 215.20 officer in a position that was not covered by the police and 215.21 fire fund but was covered by a local relief association governed 215.22 by Minnesota Statutes, section 69.77. This authorization 215.23 applies notwithstanding any contrary provision of Minnesota 215.24 Statutes, section 353A.10. To purchase service credit, an 215.25 eligible person must make payments required under Minnesota 215.26 Statutes, section 356.55 or 356.551, whichever is applicable. 215.27 This authorization applies only if the person is not entitled to 215.28 receive a current or deferred service pension or retirement 215.29 annuity or a current disability benefit from another Minnesota 215.30 public pension plan, including a local police relief 215.31 association, for that service. 215.32 Subd. 2. [APPLICATION AND DOCUMENTATION.] A person who 215.33 desires to purchase service credit under subdivision 1 must 215.34 apply in writing with the executive director of the public 215.35 employees retirement association to make the purchase. The 215.36 application must include all necessary documentation of the 216.1 person's qualifications to make the purchase, signed written 216.2 permission to allow the executive director to request and 216.3 receive necessary verification of applicable facts and 216.4 eligibility requirements, and any other relevant information 216.5 that the executive director may require. 216.6 Subd. 3. [SERVICE CREDIT GRANT.] Allowable service credit 216.7 for the purchase period must be granted by the public employees 216.8 retirement association to the purchasing person only upon 216.9 receipt of the purchase payment amount. Payment must be made 216.10 before the person's effective date of retirement. 216.11 Sec. 9. [PUBLIC EMPLOYEES RETIREMENT ASSOCIATION; PURCHASE 216.12 OF SERVICE FOR UNCREDITED SERVICE AS A MEMBER OF THE ST. PAUL 216.13 CITY COUNCIL.] 216.14 Subdivision 1. [APPLICABILITY.] This section applies to a 216.15 person: 216.16 (1) who was born September 10, 1938; 216.17 (2) who began service as a member of the St. Paul city 216.18 council in 1970; 216.19 (3) who was eligible for membership in the public employees 216.20 retirement association for the period from July 1, 1974, to 216.21 March 31, 1975; 216.22 (4) for whom no employer contributions were paid and no 216.23 employee contributions deducted by the city of St. Paul for the 216.24 period described in clause (3); and 216.25 (5) who retired September 1, 2000, and is currently 216.26 receiving retirement annuities from the St. Paul teachers 216.27 retirement fund association, the public employees retirement 216.28 association general plan, and the Minnesota state retirement 216.29 system general plan. 216.30 Subd. 2. [PURCHASE OF SERVICE.] (a) A person described in 216.31 subdivision 1 may purchase service credit under Minnesota 216.32 Statutes, section 356.55, in the public employees retirement 216.33 association general plan for the period described in subdivision 216.34 1, clause (3). 216.35 (b) To purchase the allowable service credit, the eligible 216.36 person must pay an amount equal to the employee contribution 217.1 rate or rates in effect during the service credit purchase 217.2 period applied to the actual salary in effect during that 217.3 period, plus 8.5 percent compound annual interest from the date 217.4 the contributions should have been made until the date of actual 217.5 payment. 217.6 (c) Upon receipt of the payment under paragraph (b) by the 217.7 eligible person, the executive director of the public employees 217.8 retirement association shall notify the chief administrative 217.9 officer of the city of St. Paul of that fact. Within 30 days of 217.10 that notification, the city of St. Paul shall pay to the public 217.11 employees retirement association the balance of the service 217.12 credit purchase payment amount under Minnesota Statutes, section 217.13 356.55, that is not paid by the eligible person. 217.14 (d) If the city of St. Paul does not make the payments 217.15 required by paragraph (c) in a timely fashion, the executive 217.16 director of the public employees retirement association shall 217.17 notify the commissioner of finance, who shall then deduct the 217.18 required amounts from any state aid payable to the city, plus 217.19 interest at the rate of one percent per month or part of a month 217.20 that has elapsed since the date on which the eligible person 217.21 made payment under paragraph (b). 217.22 Subd. 3. [APPLICATION; DOCUMENTATION.] A person described 217.23 in subdivision 1 must apply to the executive director of the 217.24 public employees retirement association to make the purchase. 217.25 The application must be on a form provided by the executive 217.26 director and must include all necessary documentation of the 217.27 applicability of this section and any other relevant information 217.28 that the executive director may require. 217.29 Subd. 4. [LIMITATION.] Authority under this section 217.30 expires on September 1, 2001. 217.31 Subd. 5. [BENEFIT REVISION DATE.] The annuity of the 217.32 eligible individual under subdivision 1 is to be revised on the 217.33 first day of the month following the month in which the full 217.34 purchase price determined under subdivision 2 is received by the 217.35 public employees retirement association. 217.36 Subd. 6. [LUMP-SUM PAYMENT.] The public employees 218.1 retirement association shall also pay the person described in 218.2 subdivision 1 a lump-sum amount equal to the difference between 218.3 the annuity received from the association from September 1, 218.4 2000, to the date of payment for the service credit and the 218.5 amount the person would have received with the additional 218.6 service credit purchased under this section. 218.7 Sec. 10. [PUBLIC EMPLOYEES POLICE AND FIRE PLAN; PURCHASE 218.8 OF SERVICE CREDIT FOR EMPLOYEE ERRONEOUSLY ENROLLED IN 218.9 PERA-GENERAL.] 218.10 (a) Notwithstanding any provision of law to the contrary, 218.11 because the legislature determines that the township made a 218.12 mistake in 1983 concerning the retirement coverage of the 218.13 part-time town constable, an eligible person described in 218.14 paragraph (b) is authorized to elect to transfer past service 218.15 credit for the period May 5, 1983, to August 29, 1987, in the 218.16 general employee retirement plan of the public employees 218.17 retirement association to the public employees police and fire 218.18 retirement plan. The transfer includes the transfer of assets 218.19 provided for in paragraph (c). The transfer occurs following 218.20 the receipt by the executive director of the public employees 218.21 retirement association of the payment amounts specified in 218.22 paragraphs (d) and (e). 218.23 (b) An eligible person is a person who: 218.24 (1) was born on October 23, 1956; 218.25 (2) was hired as a part-time town constable by White Bear 218.26 township from May 5, 1983, to August 29, 1987; and 218.27 (3) was covered by the general employees retirement plan of 218.28 the public employees retirement association rather than the 218.29 public employees police and fire retirement plan for this public 218.30 safety employer service. 218.31 (c) Assets equal to 86.31 percent of the actuarial accrued 218.32 liability of the general employees retirement plan of the public 218.33 employees retirement association determined with respect to the 218.34 eligible person by the actuary retained by the legislative 218.35 commission on pensions and retirement in accordance with 218.36 Minnesota Statutes, section 356.215, must be transferred from 219.1 the general employees retirement fund to the public employees 219.2 police and fire retirement fund. The expense of the legislative 219.3 commission on pensions and retirement related to these 219.4 calculations must be reimbursed by the public employees police 219.5 and fire fund. The transfer of assets must be made within 30 219.6 days of the date on which the eligible employee elects to 219.7 transfer past service credit to the public employees police and 219.8 fire retirement plan. 219.9 (d) To obtain the service credit transfer under this 219.10 section, the eligible person must pay to the public employees 219.11 police and fire retirement plan the difference between the 219.12 member contribution rate of the general employees retirement 219.13 plan of the public employees retirement association and the 219.14 member contribution rate of the public employees police and fire 219.15 retirement plan for the period May 5, 1983, to August 29, 1987, 219.16 applied to the eligible person's average salary for that period, 219.17 plus 8.5 percent compound annual interest on the total from July 219.18 1, 1985, to the date of payment. Authority for the eligible 219.19 person to make the payment under this paragraph expires on July 219.20 1, 2002. 219.21 (e) If the eligible person makes the required payment under 219.22 paragraph (d) in a timely manner, the executive director of the 219.23 public employees retirement association shall notify the 219.24 clerk-treasurer of White Bear township of that fact. Within 30 219.25 days of that notification, White Bear township shall pay to the 219.26 public employees police and fire fund: (1) the balance of the 219.27 payment amount calculated under Minnesota Statutes, section 219.28 356.55 or 356.551, whichever is in effect, that exceeds the 219.29 total of the amount transferred under paragraph (c) and the 219.30 amount paid by the eligible person under paragraph (d); and (2) 219.31 the cost associated with the actuarial calculation under 219.32 paragraph (c). If White Bear township does not make the payment 219.33 required by this paragraph in a timely fashion, the executive 219.34 director of the public employees retirement association shall 219.35 notify the commissioner of finance of that fact, who shall then 219.36 deduct the required amount from any subsequent state aid or 220.1 other state payments to the township, plus interest at the rate 220.2 of one percent per month or a part of a month that has elapsed 220.3 since the date on which the eligible person made payment under 220.4 paragraph (d). 220.5 (f) The eligible person must elect to make the service 220.6 credit transfer on a form prescribed by the executive director 220.7 of the public employees retirement association. The eligible 220.8 person must supply all necessary documentation of the 220.9 applicability of this section and any other relevant information 220.10 that the executive director may require. 220.11 (g) Authority under this section expires on July 1, 2002, 220.12 or upon the retirement of the eligible person from the general 220.13 employees retirement plan of the public employees retirement 220.14 association or from the public employees police and fire 220.15 retirement plan, whichever is earlier. 220.16 Sec. 11. [REPEALER.] 220.17 Section 8 is repealed effective May 16, 2002. 220.18 Sec. 12. [EFFECTIVE DATE.] 220.19 Sections 1 to 10 are effective the day following final 220.20 enactment. 220.21 ARTICLE 18 220.22 ELECTIONS 220.23 Section 1. Minnesota Statutes 2000, section 10A.31, 220.24 subdivision 3a, is amended to read: 220.25 Subd. 3a. [QUALIFICATION OF POLITICAL PARTIES.] (a) A 220.26 major political party qualifies for inclusion on the income tax 220.27 form and property tax refund return as provided in subdivision 3 220.28 if it qualifies as a major political party by July 1 of the 220.29 taxable year. 220.30 (b) A minor political party qualifies for inclusion on the 220.31 income tax form and property tax refund return as provided in 220.32 subdivision 3 ifthe secretary of state certifies to the220.33commissioner of revenueit qualifies as a minor party statewide 220.34 by July 1 of the taxable yearthat the party satisfies the220.35following conditions:220.36(1) in the last general election, the party ran a candidate221.1for the office of governor and lieutenant governor, secretary of221.2state, state auditor, or attorney general, who received votes in221.3each county that in the aggregate total at least one percent of221.4the total number of individuals who voted in the election;221.5(2) it is a political party, not a principal campaign221.6committee; and221.7(3) it has held a state convention in the last two years221.8and an officer of the party has filed with the secretary of221.9state a certification to that effect. 221.10 (c) The secretary of state shall notify each major and 221.11 minor political party by the first Monday in January of each 221.12 odd-numbered year of the conditions necessary for the party to 221.13 participate in income tax form and property tax refund return 221.14 programs. 221.15 (d) The secretary of state shall notify each political 221.16 party, the commissioner of revenue, and the campaign finance and 221.17 public disclosure board by July 1 of each year and following 221.18 certification of the results of each general election of the 221.19 political parties that qualify for inclusion on the income tax 221.20 form and property tax refund return as provided in subdivision 3. 221.21 Sec. 2. Minnesota Statutes 2000, section 10A.31, 221.22 subdivision 7, is amended to read: 221.23 Subd. 7. [DISTRIBUTION OF GENERAL ACCOUNT.] (a)Within two221.24weeks after certification by the state canvassing board ofAs 221.25 soon as the board has obtained the results of thegeneral221.26 primary election from the secretary of state, but no later than 221.27 one week after certification of the primary results by the state 221.28 canvassing board, the board must distribute the available money 221.29 in the general account, as certified by the commissioner of 221.30 revenue onNovemberSeptember 1 and according to allocations set 221.31 forth in subdivision 5, in equal amounts to all candidates of a 221.32 major political party whose names are to appear on the ballot in 221.33 the general election and who: 221.34 (1) have signed a spending limit agreement under section 221.35 10A.322; 221.36 (2) have filed the affidavit of contributions required by 222.1 section 10A.323; 222.2 (3) have filed the agreement required under paragraph (c); 222.3 and 222.4(3)(4) were opposed in either the primary election or the 222.5 general election; and. 222.6(4) are either a candidate for statewide office who222.7received at least five percent of the votes cast in the general222.8election for that office or a candidate for legislative office222.9who received at least ten percent of the votes cast in the222.10general election for that seat.222.11 (b) The public subsidy under this subdivision may not be 222.12 paid in an amount that would cause the sum of the public subsidy 222.13 paid from the party account plus the public subsidy paid from 222.14 the general account to exceed 50 percent of the expenditure 222.15 limit for the candidate or 50 percent of the expenditure limit 222.16 that would have applied to the candidate if the candidate had 222.17 not been freed from expenditure limits under section 10A.25, 222.18 subdivision 10. Money from the general account not paid to a 222.19 candidate because of the 50 percent limit must be distributed 222.20 equally among all other qualifying candidates for the same 222.21 office until all have reached the 50 percent limit or the 222.22 balance in the general account is exhausted. 222.23 (c) No later than one week after the primary results have 222.24 been certified by the state canvassing board, a candidate 222.25 wishing to receive money distributed by the board under this 222.26 subdivision must execute and file an agreement with the board. 222.27 The agreement must provide that: 222.28 (1) if the candidate does not expend or promise to disburse 222.29 50 percent of the money distributed by the board under this 222.30 subdivision no later than the end of the final reporting period 222.31 preceding the general election, then the candidate agrees to 222.32 repay to the board the remainder of the money distributed to the 222.33 candidate under this subdivision no later than six months 222.34 following the date of the general election; and 222.35 (2) the candidate agrees to reimburse the board for all 222.36 reasonable costs, including litigation costs, incurred in 223.1 collecting any amount due following that date. 223.2 If the board determines that a candidate has failed to 223.3 repay money as required by an agreement under this subdivision, 223.4 the board may not distribute any additional money to the 223.5 candidate under this subdivision until the entirety of the 223.6 unexpended money is repaid or discharged. 223.7 Sec. 3. Minnesota Statutes 2000, section 103C.311, 223.8 subdivision 1, is amended to read: 223.9 Subdivision 1. [SUPERVISORS ELECTED AT LARGE.] (a) The 223.10 district board, after the initial election has been held, shall, 223.11 with the approval of the state board, divide a district into 223.12 five supervisor districts for purposes of nomination for 223.13 election. At each election after the division, one or more 223.14 supervisors shall be nominated from each supervisor district. A 223.15 supervisor must be a resident of the supervisor district to be 223.16 elected. 223.17 (b) If the boundary of a soil and water conservation 223.18 district has been substantially changed by a division of the 223.19 district, the district shall be divided into five supervisor 223.20 districts for nomination purposes. 223.21 (c) This subdivision does not disqualify a supervisor 223.22 during the term for which the supervisor was elected or 223.23 nominated for election. Supervisors nominated from the 223.24 supervisor districts shall be included on the ballot for 223.25 election from the entire area included in the soil and water 223.26 conservation district. 223.27 (d) A certified copy of the minutes or the resolution of 223.28 the supervisors establishing supervisor districts must be 223.29 promptly filed by the chair of the district board with the 223.30 county auditor of the counties where the district is located and 223.31 with the state board. 223.32 Sec. 4. Minnesota Statutes 2000, section 200.02, 223.33 subdivision 7, is amended to read: 223.34 Subd. 7. [MAJOR POLITICAL PARTY.] (a) "Major political 223.35 party" means a political party that maintains a party 223.36 organization in the state, political division or precinct in 224.1 question and: (a) whichthat has presented at least one 224.2 candidate for election toa partisan officethe office of: 224.3 (1) governor and lieutenant governor, secretary of state, 224.4 state auditor, or attorney general at the last preceding state 224.5 general election for those offices; or 224.6 (2) presidential elector or U.S. senator at the last 224.7 preceding state general election, whichfor presidential 224.8 electors; and 224.9 whose candidate received votes in each county in that 224.10 election and received votes from not less than five percent of 224.11 the total number of individuals who voted in that election; or. 224.12 (b) "Major political party" also means a political party 224.13 that maintains a party organization in the state, political 224.14 subdivision, or precinct in question and whose members present 224.15 to the secretary of state a petition for a place on the state 224.16 partisan primary ballot, which petition contains signatures of a 224.17 number of the party members equal to at least five percent of 224.18 the total number of individuals who voted in the preceding state 224.19 general election. 224.20 (c) A political party whose candidate receives a sufficient 224.21 number of votes at a state general election described in 224.22 paragraph (a) becomes a major political party as of January 1 224.23 following that election and retains its major party status 224.24 notwithstanding that the party fails to present a candidate who 224.25 receives the number and percentage of votes required under 224.26 paragraph (a) at the following state general election. 224.27 (d) A major political party whose candidates fail to 224.28 receive the number and percentage of votes required under 224.29 paragraph (a) at either state general election described by 224.30 paragraph (a) loses major party status as of December 31 224.31 following the most recent state general election. 224.32 Sec. 5. Minnesota Statutes 2000, section 200.02, 224.33 subdivision 23, is amended to read: 224.34 Subd. 23. [MINOR POLITICAL PARTY.] (a) "Minor political 224.35 party" means a political party that is not a major political 224.36 party as defined by subdivision 7 and that has adopted a state 225.1 constitution, designated a state party chair, held a state 225.2 convention in the last two years, filed with the secretary of 225.3 state no later than December 31 following the most recent state 225.4 general election a certification that the party has met the 225.5 foregoing requirements, and met the requirements of paragraph 225.6 (b) or(c)(e), as applicable. 225.7 (b) To be considered a minor party in all elections 225.8 statewide, the political party must have presented at least one 225.9 candidate fora partisan office voted on statewideelection to 225.10 the office of: 225.11 (1) governor and lieutenant governor, secretary of state, 225.12 state auditor, or attorney general, at the last preceding state 225.13 general election for those offices; or 225.14 (2) presidential elector or U.S. senator at the preceding 225.15 state general election for presidential electors; and 225.16 who received votes in each county that in the aggregate 225.17 equal at least one percent of the total number of individuals 225.18 who voted in the election, or its members must have presented to 225.19 the secretary of state a nominating petition in a form 225.20 prescribed by the secretary of state containing the signatures 225.21 of party members in a number equal to at least one percent of 225.22 the total number of individuals who voted in the preceding state 225.23 general election. 225.24 (c) A political party whose candidate receives a sufficient 225.25 number of votes at a state general election described in 225.26 paragraph (b) becomes a minor political party as of January 1 225.27 following that election and retains its minor party status 225.28 notwithstanding that the party fails to present a candidate who 225.29 receives the number and percentage of votes required under 225.30 paragraph (b) at the following state general election. 225.31 (d) A minor political party whose candidates fail to 225.32 receive the number and percentage of votes required under 225.33 paragraph (b) at either state general election described by 225.34 paragraph (b) loses minor party status as of December 31 225.35 following the most recent state general election. 225.36(c)(e) To be considered a minor party in an election in a 226.1 legislative district, the political party must have presented at 226.2 least one candidate for a legislative office in that district 226.3 who received votes from at least ten percent of the total number 226.4 of individuals who voted for that office, or its members must 226.5 have presented to the secretary of state a nominating petition 226.6 in a form prescribed by the secretary of state containing the 226.7 signatures of party members in a number equal to at least ten 226.8 percent of the total number of individuals who voted in the 226.9 preceding state general election for that legislative office. 226.10 Sec. 6. [200.039] [PETITION REQUIREMENTS FOR BALLOT 226.11 QUESTIONS.] 226.12 If a statute: 226.13 (1) provides that a ballot question may or must be placed 226.14 on the ballot when a specified number of individuals have signed 226.15 a petition; and 226.16 (2) specifies the number of individuals required under the 226.17 statute as a percentage of the individuals who voted in a 226.18 previous election, the statute must be construed to mean that 226.19 the petition must be signed by a number of current voters equal 226.20 to the required percentage specified in the statute. The 226.21 statute must not be construed to restrict the eligibility to 226.22 sign the petition to only those individuals who were eligible to 226.23 cast ballots or who did cast ballots in the previous election. 226.24 Sec. 7. Minnesota Statutes 2000, section 201.016, 226.25 subdivision 1a, is amended to read: 226.26 Subd. 1a. [VIOLATIONS; PENALTY.] (a) The county auditor 226.27 shall mail a violation notice to any voter who the county 226.28 auditor can determine has voted in a precinct other than the 226.29 precinct in which the voter maintains residence. The notice 226.30 must be in the form provided by the secretary of state. The 226.31 county auditor shall also change the status of the voter in the 226.32 statewide registration system to "challenged" and the voter 226.33 shall be required to provide proof of residence to either the 226.34 county auditor or to the election judges in the voter's precinct 226.35 before voting in the next election. Any of the forms authorized 226.36 by section 201.061 for registration at the polling place may be 227.1 used for this purpose. 227.2 (b) A voter who votes in a precinct other than the precinct 227.3 in which the voter maintains residence after receiving an 227.4 initial violation notice as provided in this subdivision is 227.5 guilty of a petty misdemeanor.Any subsequent violation227.6 (c) A voter who votes in a precinct other than the precinct 227.7 in which the voter maintains residence after having been found 227.8 to have committed a petty misdemeanor under paragraph (b) is 227.9 guilty of a misdemeanor. 227.10 (d) Reliance by the voter on inaccurate information 227.11 regarding the location of the voter's polling place provided by 227.12 the state, county, or municipality is an affirmative defense to 227.13 a prosecution under this subdivision. 227.14 Sec. 8. Minnesota Statutes 2000, section 201.022, is 227.15 amended to read: 227.16 201.022 [STATEWIDE REGISTRATION SYSTEM.] 227.17 Subdivision 1. [ESTABLISHMENT.] The secretary of state 227.18 shalldevelop and implementmaintain a statewide voter 227.19 registration system to facilitate voter registration and to 227.20 provide a central database containing voter registration 227.21 information from around the state. The system must be 227.22 accessible to the county auditor of each county in the state. 227.23 Subd. 2. [RULES.] The secretary of state shall make 227.24 permanent rules necessary to administer the system required in 227.25 subdivision 1. The rules must at least: 227.26 (1) provide for voters to submit their registration to any 227.27 county auditor, the secretary of state, or the department of 227.28 public safety; 227.29 (2) provide for the establishment and maintenance of a 227.30 central database for all voter registration information; 227.31 (3) provide procedures for entering data into the statewide 227.32 registration system; 227.33 (4) provide for interaction with the computerized driver's 227.34 license records of the department of public safety; 227.35 (5) allow the offices of all county auditors and the 227.36 secretary of state to add, modify, and delete information from 228.1 the system to provide for accurate and up-to-date records; 228.2 (6) allow the offices of all county auditors and the 228.3 secretary of state's office to have access to the statewide 228.4 registration system for review and search capabilities; 228.5 (7) provide security and protection of all information in 228.6 the statewide registration system and to ensure that 228.7 unauthorized entry is not allowed; 228.8 (8) provide a system for each county to identify the 228.9 precinct to which a voter should be assigned for voting 228.10 purposes; and 228.11 (9)prescribe a procedure for phasing in or converting228.12existing computerized records to the statewide registration228.13system;228.14(10)prescribe a procedure for the return of completed 228.15 voter registration forms from the department of public safety to 228.16 the secretary of state or the county auditor; and. 228.17(11) provide alternate procedures, effective until December228.1831, 1990, for updating voter records and producing polling place228.19rosters for counties. The secretary of state shall determine no228.20later than June 1, 1990, whether these alternate procedures will228.21be required.228.22 Sec. 9. Minnesota Statutes 2000, section 202A.19, 228.23 subdivision 1, is amended to read: 228.24 Subdivision 1. [LIMITS ON LOCAL GOVERNMENT MEETINGS.] 228.25 No special taxing district governing body, school board, county 228.26 board of commissioners, township board, or city council may 228.27 conduct a meeting after 6:00 p.m. on the day of a major 228.28 political party precinct caucus. As used in this subdivision, 228.29 "special taxing district" has the meaning given in section 228.30 275.066. 228.31 Sec. 10. Minnesota Statutes 2000, section 203B.04, 228.32 subdivision 1, is amended to read: 228.33 Subdivision 1. [APPLICATION PROCEDURES.] Except as 228.34 otherwise allowed by subdivision 2, an application for absentee 228.35 ballots for any election may be submitted at any time not less 228.36 than one day before the day of that election. The county 229.1 auditor shall prepare absentee ballot application forms in the 229.2 format provided in the rules of the secretary of state and shall 229.3 furnish them to any person on request. An application submitted 229.4 pursuant to this subdivision shall be in writing and shall be 229.5 submitted to: 229.6 (a) the county auditor of the county where the applicant 229.7 maintains residence; or 229.8 (b) the municipal clerk of the municipality, or school 229.9 district if applicable, where the applicant maintains residence. 229.10 An application shall be approved if it is timely received, 229.11 signed and dated by the applicant, contains the applicant's name 229.12 and residence and mailing addresses, and states that the 229.13 applicant is eligible to vote by absentee ballot for one of the 229.14 reasons specified in section 203B.02. The application may 229.15 contain a request for the voter's date of birth, which must not 229.16 be made available for public inspection. An application may be 229.17 submitted to the county auditor or municipal clerk by an 229.18 electronic facsimile device, at the discretion of the auditor or229.19clerk. An application mailed or returned in person to the 229.20 county auditor or municipal clerk on behalf of a voter by a 229.21 person other than the voter must be deposited in the mail or 229.22 returned in person to the county auditor or municipal clerk 229.23 within ten days after it has been dated by the voter and no 229.24 later than six days before the election. The absentee ballot 229.25 applications or a list of persons applying for an absentee 229.26 ballot may not be made available for public inspection until the 229.27 close of voting on election day. 229.28 An application under this subdivision may contain an 229.29 application under subdivision 5 to automatically receive an 229.30 absentee ballot application. 229.31 Sec. 11. Minnesota Statutes 2000, section 203B.04, 229.32 subdivision 5, is amended to read: 229.33 Subd. 5. [PERMANENT ILLNESS OR DISABILITY.] (a) An 229.34 eligible voter who reasonably expects to be permanently unable 229.35 to go to the polling place on election day because of illness or 229.36 disability may apply to a county auditor or municipal clerk 230.1 under this section to automatically receive an absentee ballot 230.2 application before each election, other than an election by mail 230.3 conducted under section 204B.45, and to have the status as a 230.4 permanent absentee voter indicated on the voter's registration 230.5 record. 230.6 (b) The secretary of state shall adopt rules governing 230.7 procedures under this subdivision. 230.8 Sec. 12. Minnesota Statutes 2000, section 203B.06, is 230.9 amended by adding a subdivision to read: 230.10 Subd. 3a. [UNOFFICIAL BALLOTS.] If no official ballots are 230.11 ready at the time absentee balloting is scheduled to begin or 230.12 the supply is exhausted before absentee balloting ends, the 230.13 county auditor or municipal clerk shall prepare unofficial 230.14 ballots, printed or written as nearly as practicable in the form 230.15 of the official ballots. These ballots may be used until the 230.16 official ballots are available. 230.17 Sec. 13. Minnesota Statutes 2000, section 203B.07, 230.18 subdivision 1, is amended to read: 230.19 Subdivision 1. [DELIVERY OF ENVELOPES, DIRECTIONS.] The 230.20 county auditor or the municipal clerk shall prepare, print, and 230.21 transmit a return envelope, a ballot envelope, and a copy of the 230.22 directions for casting an absentee ballot to each applicant 230.23 whose application for absentee ballots is accepted pursuant to 230.24 section 203B.04. The directions for casting an absentee ballot 230.25 shall be printed in at least 14-point bold type with heavy 230.26 leading and may be printed on the ballot envelope. When a 230.27 person requests the directions in Braille or on cassette tape, 230.28 the county auditor or municipal clerk shall provide them in the 230.29 form requested. The secretary of state shall prepare Braille 230.30 and cassette copies and make them available. 230.31 When a voter registration card is sent to the applicant as 230.32 provided in section 203B.06, subdivision 4, the directions or 230.33 registration card shall include instructions for registering to 230.34 vote. 230.35 Sec. 14. Minnesota Statutes 2000, section 203B.16, 230.36 subdivision 1, is amended to read: 231.1 Subdivision 1. [MILITARY SERVICE; TEMPORARY RESIDENCE 231.2 OUTSIDE UNITED STATES.] Sections 203B.16 to 203B.27 provide 231.3 alternative voting procedures for eligible voters who are absent 231.4 from the precinct where they maintain residence because they are: 231.5(a)(1) either in the military or the spouses or dependents 231.6 of individuals serving in the military; or 231.7(b)(2) temporarily outside the territorial limits of the 231.8 United States. 231.9 Sections 203B.16 to 203B.27 are intended to implement the 231.10 federal Uniformed and Overseas Citizens Absentee Voting Act, 231.11 United States Code, title 42, section 1973ff. 231.12 Sec. 15. Minnesota Statutes 2000, section 203B.17, 231.13 subdivision 1, is amended to read: 231.14 Subdivision 1. [SUBMISSION OF APPLICATION.] (a) An 231.15 application for absentee ballots for a voter described in 231.16 section 203B.16 may be submitted in writing or by electronic 231.17 facsimile device, or by electronic mail upon determination by 231.18 the secretary of state that security concerns have been 231.19 adequately addressed. An application for absentee ballots for a 231.20 voter described in section 203B.16 may be submitted by that 231.21 voter or by that voter's parent, spouse, sister, brother, or 231.22 child over the age of 18 years. For purposes of an application 231.23 under this subdivision, a person's social security number, no 231.24 matter how it is designated, qualifies as the person's military 231.25 identification number if the person is in the military. 231.26 (b) An application for a voter described in section 231.27 203B.16, subdivision 1, shall be submitted to the county auditor 231.28 of the county where the voter maintains residence. 231.29 (c) An application for a voter described in section 231.30 203B.16, subdivision 2, shall be submitted to the county auditor 231.31 of the county where the voter last maintained residence in 231.32 Minnesota. 231.33 (d) An application for absentee ballots for a primary shall 231.34 also constitute an application for absentee ballots fortheany 231.35 ensuing general or special election conducted during the same 231.36 calendar year in which the application is received. 232.1 (e) There shall be no limitation of time for filing and 232.2 receiving applications for ballots under sections 203B.16 to 232.3 203B.27. 232.4 Sec. 16. Minnesota Statutes 2000, section 204B.06, 232.5 subdivision 1, is amended to read: 232.6 Subdivision 1. [FORM OF AFFIDAVIT.] (a) An affidavit of 232.7 candidacy shall state the name of the office sought and shall 232.8 state that the candidate: 232.9(a)(1) is an eligible voter; 232.10(b)(2) has no other affidavit on file as a candidate for 232.11 any office at the same primary or next ensuing general election, 232.12 except that a candidate for soil and water conservation district 232.13 supervisor in a district not located in whole or in part in 232.14 Anoka, Hennepin, Ramsey, or Washington county, may also have on 232.15 file an affidavit of candidacy for mayor or council member of a 232.16 statutory or home rule charter city of not more than 2,500 232.17 population contained in whole or in part in the soil and water 232.18 conservation district or for town supervisor in a town of not 232.19 more than 2,500 population contained in whole or in part in the 232.20 soil and water conservation district; and 232.21(c)(3) is, or will be on assuming the office, 21 years of 232.22 age or more, and will have maintained residence in the district 232.23 from which the candidate seeks election for 30 days before the 232.24 general election. 232.25 An affidavit of candidacy must include a statement that the 232.26 candidate's name as written on the affidavit for ballot 232.27 designation is the candidate's true name or the name by which 232.28 the candidate is commonly and generally known in the community. 232.29 An affidavit of candidacy for partisan office shall also 232.30 state the name of the candidate's political party or political 232.31 principle, stated in three words or less. 232.32 (b) This subdivision does not apply to a candidate for 232.33 president or vice-president of the United States. 232.34 Sec. 17. Minnesota Statutes 2000, section 204B.07, 232.35 subdivision 2, is amended to read: 232.36 Subd. 2. [PETITIONS FOR PRESIDENTIAL ELECTORS.] On 233.1 petitions nominating presidential electors, the names of the 233.2 candidates for president and vice-president shall be added to 233.3 the political party or political principle stated on the 233.4 petition. One petition may be filed to nominate a slate of 233.5 presidential electors equal in number to the number of electors 233.6 to which the state is entitled. This subdivision does not apply 233.7 to candidates for presidential elector nominated by major 233.8 political parties. Major party candidates for presidential 233.9 elector are certified under section 208.03. 233.10 Sec. 18. Minnesota Statutes 2000, section 204B.09, 233.11 subdivision 1, is amended to read: 233.12 Subdivision 1. [CANDIDATES IN STATE AND COUNTY GENERAL 233.13 ELECTIONS.] (a) Except as otherwise provided by this 233.14 subdivision, affidavits of candidacy and nominating petitions 233.15 for county, state, and federal offices filled at the state 233.16 general election shall be filed not more than 70 days nor less 233.17 than 56 days before the state primary. The affidavit may be 233.18 prepared and signed at any time between 60 days before the 233.19 filing period opens and the last day of the filing period. 233.20 (b) Notwithstanding other law to the contrary, the 233.21 affidavit of candidacy must be signed in the presence of a 233.22 notarial officer or an individual authorized to administer oaths 233.23 under section 358.10. 233.24 (c) This provision does not apply to candidates for 233.25 presidential elector nominated by major political parties. 233.26 Major party candidates for presidential elector are certified 233.27 under section 208.03. Other candidates for presidential 233.28 electors may file petitions on or before the state primary day. 233.29 Nominating petitions to fill vacancies in nominations shall be 233.30 filed as provided in section 204B.13. No affidavit or petition 233.31 shall be accepted later than 5:00 p.m. on the last day for 233.32 filing. 233.33 (d) Affidavits and petitions for offices to be voted on in 233.34 only one county shall be filed with the county auditor of that 233.35 county. Affidavits and petitions for offices to be voted on in 233.36 more than one county shall be filed with the secretary of state. 234.1 Sec. 19. Minnesota Statutes 2000, section 204B.09, 234.2 subdivision 3, is amended to read: 234.3 Subd. 3. [WRITE-IN CANDIDATES.] (a) A candidate for state 234.4 or federal office who wants write-in votes for the candidate to 234.5 be counted must file a written request with the filing office 234.6 for the office sought no later than the day before the general 234.7 election. The filing officer shall provide copies of the form 234.8 to make the request. 234.9 (b) A candidate for president of the United States who 234.10 files a request under this subdivision must include the name of 234.11 a candidate for vice-president of the United States. The 234.12 request must also include the name of at least one candidate for 234.13 presidential elector. The total number of names of candidates 234.14 for presidential elector on the request may not exceed the total 234.15 number of electoral votes to be cast by Minnesota in the 234.16 presidential election. 234.17 (c) A candidate for governor who files a request under this 234.18 subdivision must include the name of a candidate for lieutenant 234.19 governor. 234.20 Sec. 20. Minnesota Statutes 2000, section 204B.20, is 234.21 amended to read: 234.22 204B.20 [ELECTION BOARD;CHAIRHEAD ELECTION JUDGE; 234.23 DUTIES.] 234.24 The election judges appointed to serve in an election 234.25 precinct shall constitute the election board for that precinct. 234.26 The appointing authority shall designate one of the election 234.27 judges in each precinct to serve as thechair of the election234.28boardhead election judge. Thechairhead election judge shall 234.29 assign specific duties to the election judges of that precinct 234.30 as necessary or convenient to complete forms, obtain signatures, 234.31 and perform all the other duties required of election judges. 234.32 Sec. 21. Minnesota Statutes 2000, section 204B.22, 234.33 subdivision 1, is amended to read: 234.34 Subdivision 1. [MINIMUM NUMBER REQUIRED.] (a) A minimum of 234.35 three election judges shall be appointed for each precinct. In 234.36 a combined polling place under section 204B.14, subdivision 2, 235.1 at least one judge must be appointed from each municipality in 235.2 the combined polling place, provided that not less than three 235.3 judges shall be appointed for each combined polling place. The 235.4 appointing authorities may appoint election judges for any 235.5 precinct in addition to the number required by this subdivision 235.6 including additional election judges to count ballots after 235.7 voting has ended. 235.8 (b) An election judge may serve for all or part of election 235.9 day, at the discretion of the appointing authority, as long as 235.10 the minimum number of judges required is always present. The 235.11 head election judge designated under section 204B.20 must serve 235.12 for all of election day and be present in the polling place 235.13 unless another election judge has been designated by the head 235.14 election judge to perform the functions of the head election 235.15 judge during any absence. 235.16 Sec. 22. Minnesota Statutes 2000, section 204B.22, 235.17 subdivision 3, is amended to read: 235.18 Subd. 3. [MINIMUM NUMBER REQUIRED IN CERTAIN PRECINCTS.] 235.19 At each state primary or state general election in precincts 235.20 usinglever voting machines oran electronic voting system with 235.21 marking devices and in which more than 400 votes were cast at 235.22 the last similar election, the minimum number of election judges 235.23 is three plus one judge to demonstrate the use of the voting 235.24 machine or device. 235.25 Sec. 23. Minnesota Statutes 2000, section 204B.23, is 235.26 amended to read: 235.27 204B.23 [VACANCIES AMONG ELECTION JUDGES.] 235.28 A vacancy on an election board occurs when any election 235.29 judge who is a member of that board: 235.30 (a) Fails to arrive at the polling place within 30 minutes 235.31 after the time when the polling place is scheduled to open; 235.32 (b) Becomes unable to perform the duties of the office 235.33 after assuming those duties; or 235.34 (c) For any reason fails or refuses to perform the duties 235.35 of the office as assigned by thechair of the election board235.36 head election judge. 236.1 When a vacancy occurs, the remaining election judges of the 236.2 precinct shall elect an individual to fill the vacancy subject 236.3 to the provisions of section 204B.19. When possible the 236.4 election judges shall elect individuals who have been trained as 236.5 election judges pursuant to section 204B.25. The oath signed by 236.6 the new election judge shall indicate that the new election 236.7 judge was elected to fill a vacancy. The municipal clerk may 236.8 assign election judges to fill vacancies as they occur. 236.9 Sec. 24. Minnesota Statutes 2000, section 204B.27, is 236.10 amended by adding a subdivision to read: 236.11 Subd. 11. [TRANSLATION OF VOTING INSTRUCTIONS.] The 236.12 secretary of state may develop voting instructions in languages 236.13 other than English, to be posted and made available in polling 236.14 places during elections. The state demographer shall determine 236.15 and report to the secretary of state the languages that are so 236.16 common in this state that there is a need for translated voting 236.17 instructions. 236.18 Sec. 25. Minnesota Statutes 2000, section 204B.28, 236.19 subdivision 1, is amended to read: 236.20 Subdivision 1. [MEETING WITH ELECTION OFFICIALS.] At least 236.21 12 weeks before each regularly scheduled general election, each 236.22 county auditor shall conduct a meeting with local election 236.23 officials to review the procedures for the election. The county 236.24 auditor may require thechairs of the election boardshead 236.25 election judges in the county to attend this meeting. 236.26 Sec. 26. [204B.48] [VOTING EQUIPMENT GRANT ACCOUNT.] 236.27 Subdivision 1. [ACCOUNT CREATED.] A voting equipment grant 236.28 account is created in the state treasury to provide grants to 236.29 political subdivisions to purchase precinct based optical scan 236.30 ballot tabulation equipment. The equipment must permit the 236.31 voter to verify and correct any errors on the ballot, including 236.32 both undervotes and overvotes. Any grants made by the federal 236.33 government to the state to improve election administration or 236.34 equipment must be credited to the account. 236.35 Subd. 2. [APPLICATION.] The commissioner of administration 236.36 may make a grant from the account to a political subdivision 237.1 only after receiving an application from the political 237.2 subdivision and a recommendation from the secretary of state 237.3 concerning the application. The application must contain the 237.4 following information: 237.5 (1) the date the application is submitted; 237.6 (2) the name of the political subdivision; 237.7 (3) the name and title of the individual who prepared the 237.8 application; 237.9 (4) the type of voting system currently used in each 237.10 precinct in the political subdivision; 237.11 (5) if the current system is an optical scan system, the 237.12 date the system was acquired and at what cost; 237.13 (6) the total number of registered voters, as of the date 237.14 of the application, in each precinct in the political 237.15 subdivision; 237.16 (7) the total amount of the grant requested; 237.17 (8) the total amount and source of the political 237.18 subdivision's money to be used to match a grant from the 237.19 account; 237.20 (9) the type of voting system to be acquired with the grant 237.21 money and whether the voting system will permit individuals with 237.22 disabilities to cast a secret ballot; 237.23 (10) the proposed schedule for purchasing and implementing 237.24 the new voting system and the precincts in which the new voting 237.25 system would be used; 237.26 (11) the proposed schedule for training election 237.27 administrators and election judges to operate the new voting 237.28 system; 237.29 (12) a proposed plan to educate voters, the media, and the 237.30 general public concerning the new voting system; 237.31 (13) the names and contact information for the individuals 237.32 and offices of the political subdivision responsible for 237.33 communications and reporting to the commissioner of 237.34 administration regarding the administration and implementation 237.35 of the grant by the political subdivision, authorizing the 237.36 purchase of voting systems, and implementing the training and 238.1 education plan for the voting system; 238.2 (14) whether the political subdivision has previously 238.3 applied for a grant from the account and the disposition of that 238.4 application; 238.5 (15) a certified statement by the political subdivision 238.6 that the grant will be used only to purchase precinct based 238.7 optical scan ballot tabulation equipment, that the political 238.8 subdivision will provide a dollar-for-dollar match that will not 238.9 come from state or federal money, and that the political 238.10 subdivision has insufficient resources to purchase the voting 238.11 system without obtaining a grant from the account. 238.12 The commissioner of administration must forward a copy of 238.13 the application to the secretary of state. 238.14 Subd. 3. [EVALUATION AND APPROVAL.] In evaluating the 238.15 application, the commissioner of administration may consider 238.16 only the information set forth in the application and is not 238.17 subject to chapter 14. If the commissioner of administration 238.18 determines that the application has been fully and properly 238.19 completed, and that there is a sufficient balance in the account 238.20 to fund the grant, either in whole or in part, the commissioner, 238.21 after receiving the recommendation of the secretary of state, 238.22 may approve the application. 238.23 Subd. 4. [PAYMENT.] The commissioner of administration may 238.24 then pay the grant to the political subdivision after certifying 238.25 that: 238.26 (1) the grant will be used only to purchase the kind of 238.27 ballot tabulation equipment prescribed by subdivision 1, which 238.28 may include equipment that makes it possible for individuals 238.29 with disabilities to cast a secret ballot; 238.30 (2) the political subdivision to receive the grant has 238.31 insufficient resources available to purchase the equipment; and 238.32 (3) the recipient of the grant will provide a 238.33 dollar-for-dollar match, which may not come from state or 238.34 federal money. 238.35 Sec. 27. Minnesota Statutes 2000, section 204C.03, 238.36 subdivision 1, is amended to read: 239.1 Subdivision 1. [SCHOOL DISTRICTS; COUNTIES; 239.2 MUNICIPALITIES; SPECIAL TAXING DISTRICTS.] No special taxing 239.3 district governing body, school board, county board of 239.4 commissioners, city council, or town board of supervisors shall 239.5 conduct a meeting between 6:00 p.m. and 8:00 p.m. on the day 239.6 that an election is held within the boundaries of the special 239.7 taxing district, school district, county, city, or town. As 239.8 used in this subdivision, "special taxing district" has the 239.9 meaning given in section 275.066. 239.10 Sec. 28. Minnesota Statutes 2000, section 204C.35, is 239.11 amended to read: 239.12 204C.35 [LEGISLATIVE ANDFEDERAL, STATE, AND JUDICIAL 239.13 RACES.] 239.14 Subdivision 1. [AUTOMATIC RECOUNTS.] (a) In a state 239.15 primary when the difference between the votes cast for the 239.16 candidates for nomination to a statewide federal office, state 239.17 constitutional office, statewide judicial office, congressional 239.18 office, state legislative office, orto adistrict judicial 239.19 officeis 100 or less, the difference: 239.20 (1) is less thantenone-half of one percent of the total 239.21 number of votes counted for that nomination; or 239.22 (2) is ten votes or less and the total number of votes cast 239.23 for the nomination is 400 votes or less; 239.24 and the difference determines the nomination, the canvassing 239.25 board with responsibility for declaring the results for that 239.26 office shall recount the vote. 239.27 (b) In a state general election when the difference between 239.28 the votes of a candidate who would otherwise be declared elected 239.29 to a statewide federal office, state constitutional office, 239.30 statewide judicial office, congressional office, state 239.31 legislative office, orto adistrict judicial office and the 239.32 votes of any other candidate for that office: 239.33 (1) is100 orless than one-half of one percent of the 239.34 total number of votes counted for that office; or 239.35 (2) is ten votes or less if the total number of votes cast 239.36 for the office is 400 votes or less, 240.1 the canvassing board shall recount the votes. 240.2 (c) A recountshallmust not delay any other part of the 240.3 canvass. The results of the recountshallmust be certified by 240.4 the canvassing board as soon as possible. 240.5 (d) Time for notice of a contest for an office which is 240.6 recounted pursuant to this section shall begin to run upon 240.7 certification of the results of the recount by the canvassing 240.8 board. 240.9 (e) A losing candidate may waive a recount required 240.10 pursuant to this section by filing a written notice of waiver 240.11 with the canvassing board. 240.12 Subd. 2. [OPTIONAL RECOUNT.] (a) A losing candidate for 240.13 nomination or election to a statewide federal office, state 240.14 constitutional office, statewide judicial office, congressional 240.15 office, state legislative office, orto adistrictcourt240.16 judicial office may request a recount in a manner provided in 240.17 this section at the candidate's own expense when the vote 240.18 difference is greater than the difference required by this 240.19 section. The votes shall be recounted as provided in this 240.20 section if the candidate files a request during the time for 240.21 filing notice of contest of the primary or election for which a 240.22 recount is sought. 240.23 (b) The requesting candidate shall file with the filing 240.24 officer a bond, cash, or surety in an amount set by the filing 240.25 officer for the payment of the recount expenses. The requesting 240.26 candidate is responsible for the following expenses: the 240.27 compensation of the secretary of state, or designees, and any 240.28 election judge, municipal clerk, county auditor, administrator, 240.29 or other personnel who participate in the recount; the costs of 240.30 computer operation, preparation of ballot counting equipment, 240.31 necessary supplies and travel related to the recount; the 240.32 compensation of the appropriate canvassing board and costs of 240.33 preparing for the canvass of recount results; and any attorney 240.34 fees incurred in connection with the recount by the governing 240.35 body responsible for the recount. 240.36 Sec. 29. Minnesota Statutes 2000, section 204C.36, 241.1 subdivision 1, is amended to read: 241.2 Subdivision 1. [REQUIRED RECOUNTS.] (a) Except as provided 241.3 in paragraph (b), a losing candidate for nomination or election 241.4 to a county, municipal, or school district office may request a 241.5 recount of the votes cast for the nomination or election to that 241.6 office if the difference between the vote cast for that 241.7 candidate and for a winning candidate for nomination or election 241.8 is:241.9(a) Five votes or less when the total vote cast for241.10nomination or election to that office is 100 votes or less;241.11(b) Ten votes or less when the total vote cast for241.12nomination or election to that office is more than 100 but not241.13more than 500 votes;241.14(c) Twenty votes or less when the total vote cast for241.15nomination or election to that office is more than 500 but not241.16more than 2,000 votes;241.17(d) One percent of the votes or less when the total vote241.18cast for nomination or election to that office is more than241.192,000 but less than 10,000 votes; or241.20(e) One hundred votes or less when the total vote cast for241.21nomination or election to that office is 10,000 votes or241.22more.less than one-half of one percent of the total votes 241.23 counted for that office. In case of offices where two or more 241.24 seats are being filled from among all the candidates for the 241.25 office, the one-half of one percent difference is between the 241.26 elected candidate with the fewest votes and the candidate with 241.27 the most votes from among the candidates who were not elected. 241.28 (b) A losing candidate for nomination or election to a 241.29 county, municipal, or school district office may request a 241.30 recount of the votes cast for nomination or election to that 241.31 office if the difference between the vote cast for that 241.32 candidate and for a winning candidate for nomination or election 241.33 is ten votes or less, and the total number of votes cast for the 241.34 nomination or election of all candidates is no more than 400. 241.35 In cases of offices where two or more seats are being filled 241.36 from among all the candidates for the office, the ten vote 242.1 difference is between the elected candidate with the fewest 242.2 votes and the candidate with the most votes from among the 242.3 candidates who were not elected. 242.4 (c) Candidates for county offices shall file a written 242.5 request for the recount with the county auditor. Candidates for 242.6 municipal or school district offices shall file a written 242.7 request with the municipal or school district clerk as 242.8 appropriate. All requests shall be filed during the time for 242.9 notice of contest of the primary or election for which a recount 242.10 is sought. 242.11 (d) Upon receipt of a request made pursuant to this 242.12 section, the county auditor shall recount the votes for a county 242.13 office at the expense of the county, the governing body of the 242.14 municipality shall recount the votes for a municipal office at 242.15 the expense of the municipality, and the school board of the 242.16 school district shall recount the votes for a school district 242.17 office at the expense of the school district. 242.18 Sec. 30. Minnesota Statutes 2000, section 204C.36, 242.19 subdivision 3, is amended to read: 242.20 Subd. 3. [DISCRETIONARY BALLOT QUESTION RECOUNTS.] A 242.21 recount may be conducted for a ballot question when the 242.22 difference between the votes for and the votes against the 242.23 question is less than or equal to the difference provided in 242.24 subdivision 1, clauses (a) to (e). A recount may be requested 242.25 by any person eligible to vote on the ballot question. A 242.26 written request for a recount must be filed with the filing 242.27 officer of the county, municipality, or school district placing 242.28 the question on the ballot and must be accompanied by a petition 242.29 containing the signatures of 25 voters eligible to vote on the 242.30 question. If the difference between the votes for and the votes 242.31 against the question is greater than the difference provided in 242.32 subdivision 1,clauses (a) to (e),the person requesting the 242.33 recount shall also file with the filing officer of the county, 242.34 municipality, or school district a bond, cash, or surety in an 242.35 amount set by the appropriate governing body for the payment of 242.36 recount expenses. The written request, petition, and any bond, 243.1 cash, or surety required must be filed during the time for 243.2 notice of contest for the election for which the recount is 243.3 requested. 243.4 Sec. 31. Minnesota Statutes 2000, section 204D.04, 243.5 subdivision 2, is amended to read: 243.6 Subd. 2. [INSTRUCTIONS TO PRINTER; PRINTER'S BOND.] (a) 243.7 The official charged with the preparation and distribution of 243.8 the ballots shall prepare instructions to the printer for 243.9 rotation of the names of candidates and for layout of the ballot. 243.10 (b) Except as provided in paragraph (c), the instructions 243.11 shall be approved by the legal advisor of the official before 243.12 delivery to the printer. 243.13 (c) The legal advisor of a town official is only required 243.14 to approve instructions regarding the rotation of the names of 243.15 candidates on the ballot. 243.16 (d) Before a contract exceeding $1,000 is awarded for 243.17 printing ballots, the printer shall furnish a sufficient bond, 243.18 letter of credit, or certified check, acceptable to the official 243.19 responsible for printing the ballots, conditioned on printing 243.20 the ballots in conformity with the Minnesota Election Law and 243.21 the instructions delivered. The official responsible for 243.22 printing the ballots shall set the amount of the bond, letter of 243.23 credit, or certified check in an amount equal to the value of 243.24 the purchase. 243.25 Sec. 32. Minnesota Statutes 2000, section 204D.09, is 243.26 amended to read: 243.27 204D.09 [EXAMPLE BALLOTS; SAMPLE PRIMARY BALLOTS.] 243.28 Subdivision 1. [EXAMPLE BALLOT.] (a) No later than June 1 243.29 of each year, the secretary of state shall supply each auditor 243.30 with a copy of an example ballot. The example ballot must 243.31 illustrate the format required for the ballots used in the 243.32 primary and general elections that year. 243.33 (b) The county auditor shall distribute copies of the 243.34 example ballot to municipal and school district clerks in 243.35 municipalities and school districts holding elections that 243.36 year. The official ballot must conform in all respects to the 244.1 example ballot. 244.2 Subd. 2. [SAMPLE BALLOT.] At least two weeks before the 244.3 state primary the county auditor shall prepare a sample state 244.4 partisan primary ballot and a sample state and county 244.5 nonpartisan primary ballot for public inspection. The names of 244.6 all of the candidates to be voted for in the county shall be 244.7 placed on the sample ballots, with the names of the candidates 244.8 for each office arranged alphabetically according to the 244.9 surname. Only one sample state partisan primary ballot and one 244.10 sample state and county nonpartisan ballot shall be prepared for 244.11 any county. The county auditor shall post the sample ballots in 244.12 a conspicuous place in the auditor's office and shall cause them 244.13 to be published at least one week before the state primary in at 244.14 least one newspaper of general circulation in the county. 244.15 Sec. 33. Minnesota Statutes 2000, section 204D.11, 244.16 subdivision 4, is amended to read: 244.17 Subd. 4. [SPECIAL FEDERAL WHITE BALLOT.] (a) The names of 244.18 all candidates for the offices of president and vice-president 244.19 of the United States and senator and representative in Congress 244.20 shall be placed on a ballot printed on white paper which shall 244.21 be known as the "special federal white ballot." 244.22 (b) This ballot shall be prepared by the county auditor in 244.23 the same manner as the white ballot and shall be subject to the 244.24 rules adopted by the secretary of state pursuant to subdivision 244.25 1. This ballot must be prepared and furnished in accordance 244.26 with the federal Uniformed and Overseas Citizens Absentee Voting 244.27 Act, United States Code, title 42, section 1973ff. 244.28 (c) The special federal white ballot shall be the only 244.29 ballot sent to citizens of the United States who are eligible to 244.30 vote by absentee ballot for federal candidates in Minnesota. 244.31 Sec. 34. Minnesota Statutes 2000, section 204D.24, 244.32 subdivision 2, is amended to read: 244.33 Subd. 2. [VOTER REGISTRATION.] An individual may register 244.34 to vote at a special primary or special election at any time 244.35 before the day that the polling place rosters for the special 244.36 primary or special election are prepared by the secretary of 245.1 state. The secretary of state shall provide the county auditors 245.2 with notice of this date at least seven days before the printing 245.3 of the rosters. This subdivision does not apply to a special 245.4 election held on the same day as thepresidential primary,state 245.5 primary, state general election, or the regularly scheduled 245.6 primary or general election of a municipality, school district, 245.7 or special district. 245.8 Sec. 35. Minnesota Statutes 2000, section 205.13, 245.9 subdivision 1a, is amended to read: 245.10 Subd. 1a. [FILING PERIOD.]An affidavit of candidacy for a245.11town office to be elected in March must be filed not more than245.12eight weeks nor less than six weeks before the town election.245.13 In municipalities nominating candidates at a municipal primary, 245.14 an affidavit of candidacy for a city office or town office voted 245.15 on in November must be filed not more than 70 days nor less than 245.16 56 days before the first Tuesday after the second Monday in 245.17 September preceding the municipal general election. In all 245.18 other municipalities, an affidavit of candidacy must be filed 245.19 not more than 70 days and not less than 56 days before the 245.20 municipal general election. 245.21 Sec. 36. Minnesota Statutes 2000, section 205.17, is 245.22 amended by adding a subdivision to read: 245.23 Subd. 7. [EXAMPLE BALLOT.] No later than 30 days before 245.24 absentee ballots must be prepared and delivered under section 245.25 204B.35 for use in a town general election conducted in March, 245.26 the secretary of state shall supply each town clerk in a town 245.27 conducting a March general election with a copy of an example 245.28 ballot. The example ballot must illustrate the format required 245.29 for the ballots used in the general election that year. 245.30 Sec. 37. Minnesota Statutes 2000, section 205.185, 245.31 subdivision 3, is amended to read: 245.32 Subd. 3. [CANVASS OF RETURNS, CERTIFICATE OF ELECTION, 245.33 BALLOTS, DISPOSITION.] (a) Within seven days after an election, 245.34 the governing body of a city conducting any election or the 245.35 governing body of a town conducting the general election in 245.36 November shall canvass the returns and declare the results of 246.1 the election. The governing body of a town conducting the 246.2 general election in March shall canvass the returns and declare 246.3 the results of the election within two days after an election. 246.4 (b) After the time for contesting elections has passed, the 246.5 municipal clerk shall issue a certificate of election to each 246.6 successful candidate. In case of a contest, the certificate 246.7 shall not be issued until the outcome of the contest has been 246.8 determined by the proper court. 246.9 (c) In case of a tie vote, the governing body shall 246.10 determine the result by lot. The clerk shall certify the results 246.11 of the election to the county auditor, and the clerk shall be 246.12 the final custodian of the ballots and the returns of the 246.13 election. 246.14 Sec. 38. Minnesota Statutes 2000, section 206.81, is 246.15 amended to read: 246.16 206.81 [ELECTRONIC VOTING SYSTEMS; EXPERIMENTAL USE.] 246.17 (a) The secretary of state may license an electronic voting 246.18 system for experimental use at an election prior to its approval 246.19 for general use. 246.20 (b) The secretary of state must license one or more 246.21 touch-sensitive direct recording electronic voting systems for 246.22 experimental use at an election before their approval for 246.23 general use and may impose restrictions on their use. At least 246.24 one voting system licensed under this paragraph must permit 246.25 sighted persons to vote and at least one system must permit a 246.26 blind or visually impaired voter to cast a ballot independently 246.27 and privately. 246.28 (c) Experimental use must be observed by the secretary of 246.29 state or the secretary's designee and the results observed must 246.30 be considered at any subsequent proceedings for approval for 246.31 general use. 246.32 (d) The secretary of state may adopt rules consistent with 246.33 sections 206.55 to 206.90 relating to experimental use. The 246.34 extent of experimental use must be determined by the secretary 246.35 of state. 246.36 Sec. 39. Minnesota Statutes 2000, section 211A.02, 247.1 subdivision 4, is amended to read: 247.2 Subd. 4. [CONGRESSIONAL CANDIDATES.] Candidates for 247.3 election to the United States House of Representatives or Senate 247.4 and any political committees raising money and making 247.5 disbursements exclusively on behalf of any one of those 247.6 candidates may file copies of their financial disclosures 247.7 required by federal law in lieu of the financial statement 247.8 required by this section. A candidate or committee whose report 247.9 is published on the Federal Election Commission Web site has 247.10 complied with the filing requirements of this section. 247.11 Sec. 40. [211B.205] [PARTICIPATION IN PUBLIC PARADES.] 247.12 If a public parade allows candidates, a candidate must be 247.13 allowed to participate for a fee that is not greater than the 247.14 amount that is charged to other units participating in the 247.15 parade. 247.16 Sec. 41. Minnesota Statutes 2000, section 358.10, is 247.17 amended to read: 247.18 358.10 [OFFICIALS MAY ADMINISTER, WHEN.] 247.19 (a) All persons holding office under any law of this state, 247.20 or under the charter or ordinances of any municipal corporation 247.21 thereof, including judges and clerks of election, and all 247.22 committee members, commissioners, trustees, referees, 247.23 appraisers, assessors, and all others authorized or required by 247.24 law to act or report upon any matter of fact,shallhave the 247.25 power to administersuchoathsastheymaydeem necessary to the 247.26 proper discharge of their respective duties. 247.27 (b) Any employee of the secretary of state designated by 247.28 the secretary of state has the power to administer oaths to an 247.29 individual who wishes to file with the secretary of state an 247.30 affidavit of candidacy, nominating petition, declaration of 247.31 intent to be a write-in candidate, or any other document 247.32 relating to the conduct of elections. 247.33 Sec. 42. Minnesota Statutes 2000, section 367.03, 247.34 subdivision 6, is amended to read: 247.35 Subd. 6. [VACANCIES.] (a) When a vacancy occurs in a town 247.36 office, the town board shall fill the vacancy by appointment. 248.1 Except as provided in paragraph (b), the person appointed shall 248.2 hold office until the next annual town election, when a 248.3 successor shall be elected for the unexpired term. 248.4 (b) When a vacancy occurs in a town office: 248.5 (1) with more than one year remaining in the term; and 248.6 (2) on or after the 14th day before the first day to file 248.7 an affidavit of candidacy for the town election; 248.8 the vacancy must be filled by appointment. The person appointed 248.9 serves until the next annual town election following the 248.10 election for which affidavits of candidacy are to be filed, when 248.11 a successor shall be elected for the unexpired term. 248.12 (c) A vacancy in the office of supervisorshallmust be 248.13 filled by an appointment committee comprised of the remaining 248.14 supervisors and the town clerkuntil the next annual town248.15election, when a successor shall be elected for the unexpired248.16term. 248.17 (d) Any person appointed to fill the vacancy in the office 248.18 of supervisor must, upon assuming the office, be an eligible 248.19 voter, be 21 years of age, and have resided in the town for at 248.20 least 30 days. 248.21 (e) When, because of a vacancy, more than one supervisor is 248.22 to be chosen at the same election, candidates for the offices of 248.23 supervisor shall file for one of the specific terms being filled. 248.24 (f) Law enforcement vacanciesshallmust be filled by 248.25 appointment by the town board. 248.26 Sec. 43. [APPLICATION OF NEW DEFINITIONS OF MAJOR AND 248.27 MINOR POLITICAL PARTY.] 248.28 Notwithstanding the amendments in this article to Minnesota 248.29 Statutes, section 200.02, subdivisions 7 and 23: 248.30 (1) a political party that qualified as a major political 248.31 party as a result of the votes cast for candidates of that party 248.32 on November 7, 2000, remains a major political party through 248.33 December 31, 2002, and may retain its status after that date by 248.34 complying with Minnesota Statutes, section 200.02, subdivision 248.35 7; 248.36 (2) a major political party that ceased to qualify as a 249.1 major political party as a result of votes cast for candidates 249.2 of that party on November 7, 2000, does not become a major 249.3 political party as a result of this article until it qualifies 249.4 at a subsequent state general election; 249.5 (3) a minor political party that ceased to qualify as a 249.6 minor political party under Minnesota Statutes, section 200.02, 249.7 subdivision 23, or as a political party under Minnesota 249.8 Statutes, section 200.02, subdivision 6, as a result of the 249.9 votes cast for candidates of that party on November 7, 2000, 249.10 does not become a minor political party or a political party as 249.11 a result of this article until it qualifies at a subsequent 249.12 state general election. 249.13 Sec. 44. [REPEALER.] 249.14 (a) Minnesota Statutes 2000, sections 204B.06, subdivision 249.15 1a, and 204C.15, subdivision 2a, are repealed. 249.16 (b) Minnesota Rules, part 8250.1400, is repealed. 249.17 Sec. 45. [EFFECTIVE DATE.] 249.18 Sections 1 to 25 and 27 to 44 are effective January 1, 2002. 249.19 Section 26 is effective July 1, 2001.