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HF 3931

3rd Engrossment - 89th Legislature (2015 - 2016) Posted on 06/02/2016 09:34am

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Current Version - 3rd Engrossment

A bill for an act
relating to state government; appropriating money for certain agriculture-related
purposes; modifying various agriculture-related provisions; making clarifying,
technical, and policy changes; providing a tractor rollover pilot grant program;
establishing an agricultural emergency account; appropriating money for
environment and natural resources; modifying prior appropriations; modifying
provisions to harvest wild rice; establishing requirements for marine carbon
monoxide detection devices; modifying terms of certain committees, funds,
and accounts; providing for prescribed burns; modifying provisions for certain
land sales and exchanges; creating Aggregate Resources Task Force; providing
appointments; providing for certain water level control permit; appropriating
money for jobs, economic development, and energy affordability; appropriating
money to the Departments of Employment and Economic Development, Labor
and Industry, and Commerce, the Housing Finance Agency, Public Utilities
Commission, Public Facilities Authority, Explore Minnesota Tourism, Bureau of
Mediation Services, and Public Employment Relations Board; making policy
changes to jobs and economic development, labor and industry, housing, workers'
compensation, unemployment insurance, telephone regulation, broadband
development, and energy; requiring reports;amending Minnesota Statutes 2014,
sections 3.736, subdivision 4; 17.117, subdivisions 4, 11a; 17.4982, subdivision
18a; 18B.26, subdivision 3; 41A.12, subdivision 2; 84.027, subdivision 13;
84.089, subdivision 3; 84.091, subdivision 2; 84D.01, subdivision 2; 84D.05,
subdivision 1; 84D.09, subdivision 2; 84D.10, subdivision 4; 84D.108, by adding
a subdivision; 84D.13, subdivision 4; 86B.005, by adding subdivisions; 88.01,
by adding a subdivision; 88.22, subdivision 1; 93.0015, subdivision 3; 93.2236;
94.3495, subdivisions 2, 3, 7; 97A.075, subdivisions 1, 7; 115C.09, subdivisions
1, 3; 116C.779, subdivision 1, by adding a subdivision; 116J.395, subdivisions 4,
6, 7, by adding subdivisions; 116J.548, subdivisions 2, 3; 116J.8737, subdivision
3; 116J.8747, subdivisions 1, 2; 116M.15, subdivision 1; 176.011, subdivision 7a;
176.081, subdivisions 1, 3; 176.137, subdivisions 1, 4, by adding a subdivision;
176.331; 176.361, subdivisions 1, 2, 3, 4, 5, 6, by adding a subdivision; 176.471,
subdivisions 3, 5; 176.511, subdivisions 2, 3; 176.571, subdivision 1; 182.653,
subdivision 9; 216A.03, subdivision 1, by adding a subdivision; 216B.1641;
216B.241, subdivisions 1, 1a, 1c; 216B.243, subdivision 8; 216C.20, subdivision
3; 216E.03, subdivision 5; 216H.01, by adding a subdivision; 216H.03,
subdivision 1; 222.37, subdivision 1; 237.01, by adding subdivisions; 237.012,
subdivisions 1, 2; 268.035, subdivisions 12, 20, 23a, 29, by adding subdivisions;
268.051, subdivision 5; 268.085, subdivisions 4, 5; 268.0865, subdivisions
3, 4; 268.095, subdivisions 1, 2, 5; 268.101, subdivision 2; 268.18; 268.182,
subdivision 2; 383B.142; 462A.204, subdivisions 1, 3; Minnesota Statutes 2015
Supplement, sections 16A.967, subdivisions 2, 7; 41A.14; 41A.15, subdivisions
2, 10, by adding subdivisions; 41A.16, subdivision 1; 41A.17, subdivisions
1, 2; 41A.18, subdivision 1; 84.027, subdivision 13a; 84D.11, subdivision 1;
84D.13, subdivision 5; 116D.04, subdivision 2a; 116J.394; 176.135, subdivision
7a; 176.136, subdivision 1b; 268.07, subdivision 3b; 268.085, subdivision 2;
Laws 2001, chapter 130, section 3; Laws 2015, First Special Session chapter 1,
article 1, sections 2, subdivision 3; 3, subdivision 3; 8, subdivision 8; Laws
2015, First Special Session chapter 4, article 1, sections 2, subdivisions 2, 4;
5; article 3, section 3, subdivision 2; article 4, section 131; proposing coding
for new law in Minnesota Statutes, chapters 17; 84D; 86B; 116J; 216E; 237;
383B; repealing Minnesota Statutes 2014, sections 116P.13; 116U.26; 179A.50;
179A.51; 179A.52; 179A.53.

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

ARTICLE 1

AGRICULTURE APPROPRIATIONS

Section 1. APPROPRIATIONS.

The sums shown in the columns marked "Appropriations" are added to the
appropriations in Laws 2015, First Special Session chapter 4, or appropriated to the
agencies and for the purposes specified in this act. The appropriations are from the
general fund, or another named fund, and are available for the fiscal year indicated for
each purpose. The figures "2016" and "2017" used in this act mean that the appropriations
listed under them are available for the fiscal year ending June 30, 2016, or June 30, 2017,
respectively. "The first year" is fiscal year 2016. "The second year" is fiscal year 2017.
Appropriations for fiscal year 2016 are effective the day following final enactment.

APPROPRIATIONS
Available for the Year
Ending June 30
2016
2017

Sec. 2. DEPARTMENT OF AGRICULTURE

Subdivision 1.

Total Appropriation

$
-0-
$
7,883,000

The amounts that may be spent for each
purpose are specified in the following
subdivisions.

Subd. 2.

Animal Health

-0-
2,083,000

$1,800,000 the second year is for a grant
to the Board of Regents of the University
of Minnesota to develop, in consultation
with the commissioner of agriculture and
the Board of Animal Health, a software
tool or application through the Veterinary
Diagnostic Laboratory that empowers
veterinarians and producers to understand
the movement of unique pathogen strains in
livestock and poultry production systems,
monitor antibiotic resistance, and implement
effective biosecurity measures that promote
animal health and limit production losses.
This is a onetime appropriation available
until June 30, 2019.

$283,000 the second year is for a grant to
the Board of Regents of the University of
Minnesota to maintain and increase animal
disease testing capacity through the purchase
of Veterinary Diagnostic Laboratory
equipment. This is a onetime appropriation.

Subd. 3.

Farm Safety

-0-
250,000

$250,000 the second year is for the tractor
rollover protection pilot program. This is a
onetime appropriation.

Subd. 4.

Agriculture Laboratory and
Emergency Response

-0-
5,550,000

$2,218,000 the second year is for equipment
and instruments for the Department of
Agriculture laboratory. This is a onetime
appropriation available until June 30, 2022.

$3,332,000 the second year is for transfer
to the agricultural emergency account in the
agricultural fund. This is a onetime transfer.

Sec. 3.

[17.055] AGRICULTURAL EMERGENCY ACCOUNT;
APPROPRIATION.

Subdivision 1.

Establishment; appropriation.

An agricultural emergency account
is established in the agricultural fund. Money in the account, including interest, is
appropriated to the commissioner for emergency response and preparedness activities
for agricultural emergencies affecting producers of livestock, poultry, crops, or other
agricultural products. Eligible uses include, but are not limited to, purchasing necessary
equipment and reimbursing costs incurred by local units of government that are not
eligible for reimbursement from other sources.

Subd. 2.

Transfer authorized.

The commissioner may transfer money in the
account to the Board of Animal Health, other state agencies, or the University of
Minnesota for purposes of subdivision 1.

Subd. 3.

Annual report.

No later than February 1 each year, the commissioner
must report activities and expenditures under this section to the legislative committees
and divisions with jurisdiction over agriculture finance.

Sec. 4.

Minnesota Statutes 2014, section 17.117, subdivision 4, is amended to read:


Subd. 4.

Definitions.

(a) For the purposes of this section, the terms defined in this
subdivision have the meanings given them.

(b) "Agricultural and environmental revolving accounts" means accounts in the
agricultural fund, controlled by the commissioner, which hold funds available to the
program.

(c) "Agriculture supply business" means a person, partnership, joint venture,
corporation, limited liability company, association, firm, public service company,
or cooperative that provides materials, equipment, or services to farmers or
agriculture-related enterprises.

(d) "Allocation" means the funds awarded to an applicant for implementation of best
management practices through a competitive or noncompetitive application process.

(e) "Applicant" means a local unit of government eligible to participate in this
program that requests an allocation of funds as provided in subdivision 6b.

(f) "Best management practices" has the meaning given in sections 103F.711,
subdivision 3
, and 103H.151, subdivision 2, or. Best management practices also means
other practices, techniques, and measures that have been demonstrated to the satisfaction
of the commissioner: (1) to prevent or reduce adverse environmental impacts by using
the most effective and practicable means of achieving environmental goals; or (2) to
achieve drinking water quality standards under chapter 103H or under Code of Federal
Regulations, title 40, parts 141 and 143, as amended
.

(g) "Borrower" means a farmer, an agriculture supply business, or a rural landowner
applying for a low-interest loan.

(h) "Commissioner" means the commissioner of agriculture, including when the
commissioner is acting in the capacity of chair of the Rural Finance Authority, or the
designee of the commissioner.

(i) "Committed project" means an eligible project scheduled to be implemented at
a future date:

(1) that has been approved and certified by the local government unit; and

(2) for which a local lender has obligated itself to offer a loan.

(j) "Comprehensive water management plan" means a state approved and locally
adopted plan authorized under section 103B.231, 103B.255, 103B.311, 103C.331,
103D.401, or 103D.405.

(k) "Cost incurred" means expenses for implementation of a project accrued because
the borrower has agreed to purchase equipment or is obligated to pay for services or
materials already provided as a result of implementing an approved eligible project.

(l) "Farmer" means a person, partnership, joint venture, corporation, limited liability
company, association, firm, public service company, or cooperative that regularly
participates in physical labor or operations management of farming and files a Schedule F
as part of filing United States Internal Revenue Service Form 1040 or indicates farming as
the primary business activity under Schedule C, K, or S, or any other applicable report to
the United States Internal Revenue Service.

(m) "Lender agreement" means an agreement entered into between the commissioner
and a local lender which contains terms and conditions of participation in the program.

(n) "Local government unit" means a county, soil and water conservation district,
or an organization formed for the joint exercise of powers under section 471.59 with
the authority to participate in the program.

(o) "Local lender" means a local government unit as defined in paragraph (n), a state
or federally chartered bank, a savings association, a state or federal credit union, Agribank
and its affiliated organizations, or a nonprofit economic development organization or other
financial lending institution approved by the commissioner.

(p) "Local revolving loan account" means the account held by a local government unit
and a local lender into which principal repayments from borrowers are deposited and new
loans are issued in accordance with the requirements of the program and lender agreements.

(q) "Nonpoint source" has the meaning given in section 103F.711, subdivision 6.

(r) "Program" means the agriculture best management practices loan program
in this section.

(s) "Project" means one or more components or activities located within Minnesota
that are required by the local government unit to be implemented for satisfactory
completion of an eligible best management practice.

(t) "Rural landowner" means the owner of record of Minnesota real estate located
in an area determined by the local government unit to be rural after consideration of
local land use patterns, zoning regulations, jurisdictional boundaries, local community
definitions, historical uses, and other pertinent local factors.

(u) "Water-quality cooperative" has the meaning given in section 115.58, paragraph
(d), except as expressly limited in this section.

Sec. 5.

Minnesota Statutes 2014, section 17.117, subdivision 11a, is amended to read:


Subd. 11a.

Eligible projects.

(a) All projects that remediate or mitigate adverse
environmental impacts are eligible if:

(1) the project is eligible under the an allocation agreement and funding sources
designated by the local government unit to finance the project; and
.

(2) (b) A manure management projects remediate project is eligible if the project
remediates
or mitigate mitigates impacts from facilities with less than 1,000 animal units
as defined in Minnesota Rules, chapter 7020, and otherwise meets the requirements of
this section
.

(c) A drinking water project is eligible if the project:

(1) remediates the adverse environmental impacts or presence of contaminants in
private well water;

(2) implements best management practices to achieve drinking water standards; and

(3) otherwise meets the requirements of this section.

Sec. 6.

[17.119] TRACTOR ROLLOVER PROTECTION PILOT GRANT
PROGRAM.

Subdivision 1.

Grants; eligibility.

(a) The commissioner must award cost-share
grants to Minnesota farmers who retrofit eligible tractors with eligible rollover protective
structures. Grants are limited to 70 percent of the farmer's documented cost to purchase,
ship, and install an eligible rollover protective structure. The commissioner must increase
the grant award amount over the 70 percent grant limitation requirement if necessary to
limit a farmer's cost per tractor to no more than $500.

(b) A rollover protective structure is eligible if it meets or exceeds SAE International
standard J2194.

(c) A tractor is eligible if the tractor was built before 1987.

Subd. 2.

Promotion; administration.

The commissioner may spend up to 20
percent of total program dollars each fiscal year to promote the program to Minnesota
farmers. The commissioner must minimize administrative costs by cooperating with the
New York Center for Agricultural Medicine and Health to administer the grant program.

Subd. 3.

Nonstate funds; appropriation.

The commissioner must solicit
contributions from nonstate sources to supplement state appropriations for this program.
Funds received under this subdivision are appropriated to the commissioner for purposes
of this section.

Subd. 4.

Expiration.

This section expires June 30, 2019.

Sec. 7.

Minnesota Statutes 2014, section 18B.26, subdivision 3, is amended to read:


Subd. 3.

Registration application and gross sales fee.

(a) For an agricultural
pesticide, a registrant shall pay an annual registration application fee for each agricultural
pesticide of $350. The fee is due by December 31 preceding the year for which the
application for registration is made. The fee is nonrefundable.

(b) For a nonagricultural pesticide, a registrant shall pay a minimum annual
registration application fee for each nonagricultural pesticide of $350. The fee is due by
December 31 preceding the year for which the application for registration is made. The fee
is nonrefundable. The If the registrant's annual gross sales of the nonagricultural pesticide
exceeded $70,000 in the previous calendar year, the
registrant of a nonagricultural pesticide
shall pay, in addition to the $350 minimum fee, a fee of equal to 0.5 percent of that portion
of the
annual gross sales of the over $70,000. For purposes of this subdivision, gross sales
includes both
nonagricultural pesticide sold in the state and the annual gross sales of the
nonagricultural pesticide sold into the state for use in this state. No additional fee is
required if the fee due amount based on percent of annual gross sales of a nonagricultural
pesticide is less than $10. The registrant shall secure sufficient sales information of
nonagricultural pesticides distributed into this state from distributors and dealers,
regardless of distributor location, to make a determination. Sales of nonagricultural
pesticides in this state and sales of nonagricultural pesticides for use in this state by
out-of-state distributors are not exempt and must be included in the registrant's annual
report, as required under paragraph (g), and fees shall be paid by the registrant based upon
those reported sales. Sales of nonagricultural pesticides in the state for use outside of
the state are exempt from the gross sales fee in this paragraph if the registrant properly
documents the sale location and distributors. A registrant paying more than the minimum
fee shall pay the balance due by March 1 based on the gross sales of the nonagricultural
pesticide by the registrant for the preceding calendar year. A pesticide determined by the
commissioner to be a sanitizer or disinfectant is exempt from the gross sales fee.

(c) For agricultural pesticides, a licensed agricultural pesticide dealer or licensed
pesticide dealer shall pay a gross sales fee of 0.55 percent of annual gross sales of the
agricultural pesticide in the state and the annual gross sales of the agricultural pesticide
sold into the state for use in this state.

(d) In those cases where a registrant first sells an agricultural pesticide in or into the
state to a pesticide end user, the registrant must first obtain an agricultural pesticide dealer
license and is responsible for payment of the annual gross sales fee under paragraph (c),
record keeping under paragraph (i), and all other requirements of section 18B.316.

(e) If the total annual revenue from fees collected in fiscal year 2011, 2012, or 2013,
by the commissioner on the registration and sale of pesticides is less than $6,600,000, the
commissioner, after a public hearing, may increase proportionally the pesticide sales and
product registration fees under this chapter by the amount necessary to ensure this level
of revenue is achieved. The authority under this section expires on June 30, 2014. The
commissioner shall report any fee increases under this paragraph 60 days before the fee
change is effective to the senate and house of representatives agriculture budget divisions.

(f) An additional fee of 50 percent of the registration application fee must be paid by
the applicant for each pesticide to be registered if the application is a renewal application
that is submitted after December 31.

(g) A registrant must annually report to the commissioner the amount, type and
annual gross sales of each registered nonagricultural pesticide sold, offered for sale, or
otherwise distributed in the state. The report shall be filed by March 1 for the previous
year's registration. The commissioner shall specify the form of the report or approve
the method for submittal of the report and may require additional information deemed
necessary to determine the amount and type of nonagricultural pesticide annually
distributed in the state. The information required shall include the brand name, United
States Environmental Protection Agency registration number, and amount of each
nonagricultural pesticide sold, offered for sale, or otherwise distributed in the state, but
the information collected, if made public, shall be reported in a manner which does not
identify a specific brand name in the report.

(h) A licensed agricultural pesticide dealer or licensed pesticide dealer must annually
report to the commissioner the amount, type, and annual gross sales of each registered
agricultural pesticide sold, offered for sale, or otherwise distributed in the state or into the
state for use in the state. The report must be filed by January 31 for the previous year's
sales. The commissioner shall specify the form, contents, and approved electronic method
for submittal of the report and may require additional information deemed necessary to
determine the amount and type of agricultural pesticide annually distributed within the
state or into the state. The information required must include the brand name, United States
Environmental Protection Agency registration number, and amount of each agricultural
pesticide sold, offered for sale, or otherwise distributed in the state or into the state.

(i) A person who registers a pesticide with the commissioner under paragraph (b),
or a registrant under paragraph (d), shall keep accurate records for five years detailing
all distribution or sales transactions into the state or in the state and subject to a fee and
surcharge under this section.

(j) The records are subject to inspection, copying, and audit by the commissioner
and must clearly demonstrate proof of payment of all applicable fees and surcharges
for each registered pesticide product sold for use in this state. A person who is located
outside of this state must maintain and make available records required by this subdivision
in this state or pay all costs incurred by the commissioner in the inspecting, copying, or
auditing of the records.

(k) The commissioner may adopt by rule regulations that require persons subject
to audit under this section to provide information determined by the commissioner to be
necessary to enable the commissioner to perform the audit.

(l) A registrant who is required to pay more than the minimum fee for any pesticide
under paragraph (b) must pay a late fee penalty of $100 for each pesticide application fee
paid after March 1 in the year for which the license is to be issued.

Sec. 8.

Minnesota Statutes 2014, section 41A.12, subdivision 2, is amended to read:


Subd. 2.

Activities authorized.

For the purposes of this program, the commissioner
may issue grants, loans, or other forms of financial assistance. Eligible activities include,
but are not limited to, grants to livestock producers under the livestock investment grant
program under section 17.118, bioenergy awards made by the NextGen Energy Board
under section 41A.105,
cost-share grants for the installation of biofuel blender pumps, and
financial assistance to support other rural economic infrastructure activities.

Sec. 9.

Minnesota Statutes 2015 Supplement, section 41A.14, is amended to read:


41A.14 AGRICULTURE RESEARCH, EDUCATION, EXTENSION, AND
TECHNOLOGY TRANSFER GRANT PROGRAM.

Subdivision 1.

Duties; grants.

The agriculture research, education, extension, and
technology transfer grant program is created. The purpose of the grant program is to
provide investments that will most efficiently achieve long-term agricultural productivity
increases through improved infrastructure, vision, and accountability. The scope and
intent of the grants, to the extent possible, shall provide for a long-term base funding
that allows the research grantee to continue the functions of the research, education, and
extension, and technology transfer efforts to a practical conclusion. Priority for grants
shall be given to human infrastructure. The commissioner shall provide grants for:

(1) agricultural research, extension, and technology transfer needs and recipients
including agricultural research and extension
at the University of Minnesota, research and
outreach centers, the College of Food, Agricultural and Natural Resource Sciences, the
Minnesota Agricultural Experiment Station, University of Minnesota Extension Service,
the University of Minnesota Veterinary School, the Veterinary Diagnostic Laboratory,
the Stakman-Borlaug Center, and the Minnesota Agriculture Fertilizer Research and
Education Council;
for use by any of the following:

(i) the College of Food, Agricultural and Natural Resource Sciences;

(ii) the Minnesota Agricultural Experiment Station;

(iii) the University of Minnesota Extension Service;

(iv) the University of Minnesota Veterinary School;

(v) the Veterinary Diagnostic Laboratory; or

(vi) the Stakman-Borlaug Center;

(2) agriculture rapid response for plant and animal diseases and pests; and

(3) agricultural education including but not limited to the Minnesota Agriculture
Education Leadership Council, farm business management, mentoring programs, graduate
debt forgiveness, and high school programs.

Subd. 2.

Advisory panel.

(a) In awarding grants under this section, the
commissioner and a representative of the College of Food, Agricultural and Natural
Resource Sciences at the University of Minnesota
must consult with an advisory panel
consisting of the following stakeholders:

(1) a representative of the College of Food, Agricultural and Natural Resource
Sciences at the University of Minnesota;

(2) (1) a representative of the Minnesota State Colleges and Universities system;

(3) (2) a representative of the Minnesota Farm Bureau;

(4) (3) a representative of the Minnesota Farmers Union;

(5) (4) a person representing agriculture industry statewide;

(6) (5) a representative of each of the state commodity councils organized under
section 17.54 and the Minnesota Pork Board;

(7) (6) a person representing an association of primary manufacturers of forest
products;

(8) (7) a person representing organic or sustainable agriculture; and

(9) (8) a person representing statewide environment and natural resource
conservation organizations.

(b) Members under paragraph (a), clauses (1) to (3) and (5), shall be chosen by their
respective organizations.

Subd. 3.

Account.

An agriculture research, education, extension, and technology
transfer account is created in the agricultural fund in the state treasury. The account
consists of money received in the form of gifts, grants, reimbursement, or appropriations
from any source for any of the purposes provided in subdivision 1, and any interest or
earnings of the account. Money in the account is appropriated to the commissioner of
agriculture for the purposes under subdivision 1.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 10.

Minnesota Statutes 2015 Supplement, section 41A.15, subdivision 2, is
amended to read:


Subd. 2.

Advanced biofuel.

"Advanced biofuel" has the meaning given means
advanced biofuel as defined
in section 239.051, subdivision 1a, and biobutanol.

Sec. 11.

Minnesota Statutes 2015 Supplement, section 41A.15, is amended by adding a
subdivision to read:


Subd. 2a.

Biobased content.

"Biobased content" means a chemical, polymer,
monomer, or plastic that is not sold primarily for use as food, feed, or fuel and that has a
biobased percentage of at least 51 percent as determined by testing representative samples
using American Society for Testing and Materials specification D6866.

Sec. 12.

Minnesota Statutes 2015 Supplement, section 41A.15, is amended by adding a
subdivision to read:


Subd. 2b.

Biobased formulated product.

"Biobased formulated product" means
a product that is not sold primarily for use as food, feed, or fuel and that has a biobased
content percentage of at least ten percent as determined by testing representative samples
using American Society for Testing and Materials specification D6866, or that contains
a biobased chemical constituent that displaces a known hazardous or toxic constituent
previously used in the product formulation.

Sec. 13.

Minnesota Statutes 2015 Supplement, section 41A.15, is amended by adding a
subdivision to read:


Subd. 2c.

Biobutanol.

"Biobutanol" means fermentation isobutyl alcohol that is
derived from agricultural products, including potatoes, cereal grains, cheese whey, and
sugar beets; forest products; or other renewable resources, including residue and waste
generated from the production, processing, and marketing of agricultural products, forest
products, and other renewable resources.

Sec. 14.

Minnesota Statutes 2015 Supplement, section 41A.15, is amended by adding a
subdivision to read:


Subd. 2d.

Biobutanol facility.

"Biobutanol facility" means a facility at which
biobutanol is produced.

Sec. 15.

Minnesota Statutes 2015 Supplement, section 41A.15, is amended by adding a
subdivision to read:


Subd. 9a.

Quarterly.

"Quarterly" means any of the following three-month intervals
in a calendar year: January through March, April through June, July through September,
or October through December.

Sec. 16.

Minnesota Statutes 2015 Supplement, section 41A.15, subdivision 10, is
amended to read:


Subd. 10.

Renewable chemical.

"Renewable chemical" means a chemical with
biobased content as defined in section 41A.105, subdivision 1a.

Sec. 17.

Minnesota Statutes 2015 Supplement, section 41A.16, subdivision 1, is
amended to read:


Subdivision 1.

Eligibility.

(a) A facility eligible for payment under this section must
source at least 80 percent raw materials from Minnesota. If a facility is sited 50 miles or
less from the state border, raw materials may be sourced from within a 100-mile radius.
Raw materials must be from agricultural or forestry sources or from solid waste. The
facility must be located in Minnesota, must begin production at a specific location by June
30, 2025, and must not begin operating above 95,000 23,750 MMbtu of annual quarterly
biofuel production before July 1, 2015. Eligible facilities include existing companies and
facilities that are adding advanced biofuel production capacity, or retrofitting existing
capacity, as well as new companies and facilities. Production of conventional corn ethanol
and conventional biodiesel is not eligible. Eligible advanced biofuel facilities must
produce at least 95,000 23,750 MMbtu a year of biofuel quarterly.

(b) No payments shall be made for advanced biofuel production that occurs after
June 30, 2035, for those eligible biofuel producers under paragraph (a).

(c) An eligible producer of advanced biofuel shall not transfer the producer's
eligibility for payments under this section to an advanced biofuel facility at a different
location.

(d) A producer that ceases production for any reason is ineligible to receive
payments under this section until the producer resumes production.

(e) Renewable chemical production for which payment has been received under
section 41A.17, and biomass thermal production for which payment has been received
under section 41A.18, are not eligible for payment under this section.

Sec. 18.

Minnesota Statutes 2015 Supplement, section 41A.17, subdivision 1, is
amended to read:


Subdivision 1.

Eligibility.

(a) A facility eligible for payment under this program
must source at least 80 percent biobased content, as defined in section 41A.105,
subdivision 1a, clause (1),
from Minnesota. If a facility is sited 50 miles or less from the
state border, biobased content must be sourced from within a 100-mile radius. Biobased
content must be from agricultural or forestry sources or from solid waste. The facility must
be located in Minnesota, must begin production at a specific location by June 30, 2025, and
must not begin production of 3,000,000 750,000 pounds of chemicals annually quarterly
before January 1, 2015. Eligible facilities include existing companies and facilities that are
adding production capacity, or retrofitting existing capacity, as well as new companies and
facilities. Eligible renewable chemical facilities must produce at least 3,000,000 750,000
pounds per year of renewable chemicals quarterly. Renewable chemicals produced
through processes that are fully commercial before January 1, 2000, are not eligible.

(b) No payments shall be made for renewable chemical production that occurs after
June 30, 2035, for those eligible renewable chemical producers under paragraph (a).

(c) An eligible producer of renewable chemicals shall not transfer the producer's
eligibility for payments under this section to a renewable chemical facility at a different
location.

(d) A producer that ceases production for any reason is ineligible to receive
payments under this section until the producer resumes production.

(e) Advanced biofuel production for which payment has been received under section
41A.16, and biomass thermal production for which payment has been received under
section 41A.18, are not eligible for payment under this section.

Sec. 19.

Minnesota Statutes 2015 Supplement, section 41A.17, subdivision 2, is
amended to read:


Subd. 2.

Payment amounts; bonus; limits.

(a) The commissioner shall make
payments to eligible producers of renewable chemicals located in the state. The amount of
the payment for each producer's annual production is $0.03 per pound of sugar-derived
renewable chemical, $0.03 per pound of cellulosic sugar, and $0.06 per pound of
cellulosic-derived renewable chemical produced at a specific location for ten years after
the start of production.

(b) An eligible facility producing renewable chemicals using agricultural cellulosic
biomass is eligible for a 20 percent bonus payment for each MMbtu pound produced from
agricultural biomass that is derived from perennial crop or cover crop biomass.

(c) Total payments under this section to an eligible renewable chemical producer in
a fiscal year may not exceed the amount necessary for 99,999,999 pounds of renewable
chemical production. Total payments under this section to all eligible renewable chemical
producers in a fiscal year may not exceed the amount necessary for 599,999,999 pounds of
renewable chemical production. The commissioner shall award payments on a first-come,
first-served basis within the limits of available funding.

(d) For purposes of this section, an entity that holds a controlling interest in more
than one renewable chemical production facility is considered a single eligible producer.

Sec. 20.

Minnesota Statutes 2015 Supplement, section 41A.18, subdivision 1, is
amended to read:


Subdivision 1.

Eligibility.

(a) A facility eligible for payment under this section must
source at least 80 percent raw materials from Minnesota. If a facility is sited 50 miles or
less from the state border, raw materials should be sourced from within a 100-mile radius.
Raw materials must be from agricultural or forestry sources. The facility must be located
in Minnesota, must have begun production at a specific location by June 30, 2025, and
must not begin before July 1, 2015. Eligible facilities include existing companies and
facilities that are adding production capacity, or retrofitting existing capacity, as well as
new companies and facilities. Eligible biomass thermal production facilities must produce
at least 1,000 250 MMbtu per year of biomass thermal quarterly.

(b) No payments shall be made for biomass thermal production that occurs after June
30, 2035, for those eligible biomass thermal producers under paragraph (a).

(c) An eligible producer of biomass thermal production shall not transfer the
producer's eligibility for payments under this section to a biomass thermal production
facility at a different location.

(d) A producer that ceases production for any reason is ineligible to receive
payments under this section until the producer resumes production.

(e) Biofuel production for which payment has been received under section 41A.16,
and renewable chemical production for which payment has been received under section
41A.17, are not eligible for payment under this section.

Sec. 21.

Minnesota Statutes 2015 Supplement, section 116D.04, subdivision 2a,
is amended to read:


Subd. 2a.

When prepared.

Where there is potential for significant environmental
effects resulting from any major governmental action, the action shall be preceded by a
detailed environmental impact statement prepared by the responsible governmental unit.
The environmental impact statement shall be an analytical rather than an encyclopedic
document which describes the proposed action in detail, analyzes its significant
environmental impacts, discusses appropriate alternatives to the proposed action and
their impacts, and explores methods by which adverse environmental impacts of an
action could be mitigated. The environmental impact statement shall also analyze those
economic, employment, and sociological effects that cannot be avoided should the action
be implemented. To ensure its use in the decision-making process, the environmental
impact statement shall be prepared as early as practical in the formulation of an action.

(a) The board shall by rule establish categories of actions for which environmental
impact statements and for which environmental assessment worksheets shall be prepared
as well as categories of actions for which no environmental review is required under this
section. A mandatory environmental assessment worksheet shall not be required for the
expansion of an ethanol plant, as defined in section 41A.09, subdivision 2a, paragraph
(b), or the conversion of an ethanol plant to a biobutanol facility or the expansion of a
biobutanol facility as defined in section 41A.105 41A.15, subdivision 1a 2d, based on
the capacity of the expanded or converted facility to produce alcohol fuel, but must be
required if the ethanol plant or biobutanol facility meets or exceeds thresholds of other
categories of actions for which environmental assessment worksheets must be prepared.
The responsible governmental unit for an ethanol plant or biobutanol facility project for
which an environmental assessment worksheet is prepared shall be the state agency with
the greatest responsibility for supervising or approving the project as a whole.

A mandatory environmental impact statement shall not be required for a facility
or plant located outside the seven-county metropolitan area that produces less than
125,000,000 gallons of ethanol, biobutanol, or cellulosic biofuel annually, or produces less
than 400,000 tons of chemicals annually, if the facility or plant is: an ethanol plant, as
defined in section 41A.09, subdivision 2a, paragraph (b); a biobutanol facility, as defined
in section 41A.105 41A.15, subdivision 1a, clause (1) 2d; or a cellulosic biofuel facility.
A facility or plant that only uses a cellulosic feedstock to produce chemical products for
use by another facility as a feedstock shall not be considered a fuel conversion facility as
used in rules adopted under this chapter.

(b) The responsible governmental unit shall promptly publish notice of the
completion of an environmental assessment worksheet by publishing the notice in at least
one newspaper of general circulation in the geographic area where the project is proposed,
by posting the notice on a Web site that has been designated as the official publication site
for publication of proceedings, public notices, and summaries of a political subdivision in
which the project is proposed, or in any other manner determined by the board and shall
provide copies of the environmental assessment worksheet to the board and its member
agencies. Comments on the need for an environmental impact statement may be submitted
to the responsible governmental unit during a 30-day period following publication of the
notice that an environmental assessment worksheet has been completed. The responsible
governmental unit's decision on the need for an environmental impact statement shall be
based on the environmental assessment worksheet and the comments received during the
comment period, and shall be made within 15 days after the close of the comment period.
The board's chair may extend the 15-day period by not more than 15 additional days upon
the request of the responsible governmental unit.

(c) An environmental assessment worksheet shall also be prepared for a proposed
action whenever material evidence accompanying a petition by not less than 100
individuals who reside or own property in the state, submitted before the proposed
project has received final approval by the appropriate governmental units, demonstrates
that, because of the nature or location of a proposed action, there may be potential for
significant environmental effects. Petitions requesting the preparation of an environmental
assessment worksheet shall be submitted to the board. The chair of the board shall
determine the appropriate responsible governmental unit and forward the petition to it.
A decision on the need for an environmental assessment worksheet shall be made by
the responsible governmental unit within 15 days after the petition is received by the
responsible governmental unit. The board's chair may extend the 15-day period by not
more than 15 additional days upon request of the responsible governmental unit.

(d) Except in an environmentally sensitive location where Minnesota Rules, part
4410.4300, subpart 29, item B, applies, the proposed action is exempt from environmental
review under this chapter and rules of the board, if:

(1) the proposed action is:

(i) an animal feedlot facility with a capacity of less than 1,000 animal units; or

(ii) an expansion of an existing animal feedlot facility with a total cumulative
capacity of less than 1,000 animal units;

(2) the application for the animal feedlot facility includes a written commitment by
the proposer to design, construct, and operate the facility in full compliance with Pollution
Control Agency feedlot rules; and

(3) the county board holds a public meeting for citizen input at least ten business
days prior to the Pollution Control Agency or county issuing a feedlot permit for the
animal feedlot facility unless another public meeting for citizen input has been held with
regard to the feedlot facility to be permitted. The exemption in this paragraph is in
addition to other exemptions provided under other law and rules of the board.

(e) The board may, prior to final approval of a proposed project, require preparation
of an environmental assessment worksheet by a responsible governmental unit selected
by the board for any action where environmental review under this section has not been
specifically provided for by rule or otherwise initiated.

(f) An early and open process shall be utilized to limit the scope of the environmental
impact statement to a discussion of those impacts, which, because of the nature or location
of the project, have the potential for significant environmental effects. The same process
shall be utilized to determine the form, content and level of detail of the statement as well
as the alternatives which are appropriate for consideration in the statement. In addition,
the permits which will be required for the proposed action shall be identified during the
scoping process. Further, the process shall identify those permits for which information
will be developed concurrently with the environmental impact statement. The board
shall provide in its rules for the expeditious completion of the scoping process. The
determinations reached in the process shall be incorporated into the order requiring the
preparation of an environmental impact statement.

(g) The responsible governmental unit shall, to the extent practicable, avoid
duplication and ensure coordination between state and federal environmental review
and between environmental review and environmental permitting. Whenever practical,
information needed by a governmental unit for making final decisions on permits
or other actions required for a proposed project shall be developed in conjunction
with the preparation of an environmental impact statement. When an environmental
impact statement is prepared for a project requiring multiple permits for which two or
more agencies' decision processes include either mandatory or discretionary hearings
before a hearing officer prior to the agencies' decision on the permit, the agencies
may, notwithstanding any law or rule to the contrary, conduct the hearings in a single
consolidated hearing process if requested by the proposer. All agencies having jurisdiction
over a permit that is included in the consolidated hearing shall participate. The responsible
governmental unit shall establish appropriate procedures for the consolidated hearing
process, including procedures to ensure that the consolidated hearing process is consistent
with the applicable requirements for each permit regarding the rights and duties of parties to
the hearing, and shall utilize the earliest applicable hearing procedure to initiate the hearing.

(h) An environmental impact statement shall be prepared and its adequacy
determined within 280 days after notice of its preparation unless the time is extended by
consent of the parties or by the governor for good cause. The responsible governmental
unit shall determine the adequacy of an environmental impact statement, unless within 60
days after notice is published that an environmental impact statement will be prepared,
the board chooses to determine the adequacy of an environmental impact statement. If an
environmental impact statement is found to be inadequate, the responsible governmental
unit shall have 60 days to prepare an adequate environmental impact statement.

(i) The proposer of a specific action may include in the information submitted to the
responsible governmental unit a preliminary draft environmental impact statement under
this section on that action for review, modification, and determination of completeness and
adequacy by the responsible governmental unit. A preliminary draft environmental impact
statement prepared by the project proposer and submitted to the responsible governmental
unit shall identify or include as an appendix all studies and other sources of information
used to substantiate the analysis contained in the preliminary draft environmental impact
statement. The responsible governmental unit shall require additional studies, if needed,
and obtain from the project proposer all additional studies and information necessary for
the responsible governmental unit to perform its responsibility to review, modify, and
determine the completeness and adequacy of the environmental impact statement.

Sec. 22.

Laws 2015, First Special Session chapter 4, article 1, section 2, subdivision 2,
is amended to read:


Subd. 2.

Protection Services

16,452,000
16,402,000
Appropriations by Fund
2016
2017
General
15,874,000
15,824,000
Agricultural
190,000
190,000
Remediation
388,000
388,000

$25,000 the first year and $25,000 the second
year are to develop and maintain cottage
food license exemption outreach and training
materials.

$75,000 the first year is for the commissioner,
in consultation with the Northeast Regional
Corrections Center and the United Food
and Commercial Workers, to study and
provide recommendations for upgrading the
existing processing facility on the campus of
the Northeast Regional Corrections Center
into a USDA-certified food processing
facility. The commissioner shall report these
recommendations to the chairs of the house
of representatives and senate committees
with jurisdiction over agriculture finance by
March 15, 2016.

$75,000 the second year is for a coordinator
for
to coordinate the correctional facility
vocational training pilot program and to assist
entities that have explored the feasibility of
establishing a USDA-certified or state "equal
to" food processing facility within 30 miles of
the Northeast Regional Corrections Center
.

$388,000 the first year and $388,000 the
second year are from the remediation fund
for administrative funding for the voluntary
cleanup program.

$225,000 the first year and $175,000
the second year are for compensation
for destroyed or crippled animals under
Minnesota Statutes, section 3.737. This
appropriation may be spent to compensate
for animals that were destroyed or crippled
during fiscal years 2014 and 2015. If the
amount in the first year is insufficient, the
amount in the second year is available in the
first year.

$125,000 the first year and $125,000 the
second year are for compensation for crop
damage under Minnesota Statutes, section
3.7371. If the amount in the first year is
insufficient, the amount in the second year is
available in the first year.

If the commissioner determines that claims
made under Minnesota Statutes, section
3.737 or 3.7371, are unusually high, amounts
appropriated for either program may be
transferred to the appropriation for the other
program.

$70,000 the first year and $70,000 the second
year are for additional cannery inspections.

$100,000 the first year and $100,000 the
second year are for increased oversight of
delegated local health boards.

$100,000 the first year and $100,000 the
second year are to decrease the turnaround
time for retail food handler plan reviews.

$1,024,000 the first year and $1,024,000 the
second year are to streamline the retail food
safety regulatory and licensing experience
for regulated businesses and to decrease the
inspection delinquency rate.

$1,350,000 the first year and $1,350,000 the
second year are for additional inspections of
food manufacturers and wholesalers.

$150,000 the first year and $150,000 the
second year are for additional funding for
dairy inspection services.

$150,000 the first year and $150,000 the
second year are for additional funding for
laboratory services operations.

$250,000 the first year and $250,000
the second year are for additional meat
inspection services, including inspections
provided under the correctional facility
vocational training pilot program.

Notwithstanding Minnesota Statutes, section
18B.05, $90,000 the first year and $90,000
the second year are from the pesticide
regulatory account in the agricultural fund
for an increase in the operating budget for
the Laboratory Services Division.

$100,000 the first year and $100,000 the
second year are from the pesticide regulatory
account in the agricultural fund to update
and modify applicator education and training
materials.

Sec. 23.

Laws 2015, First Special Session chapter 4, article 1, section 2, subdivision 4,
is amended to read:


Subd. 4.

Agriculture, Bioenergy, and
Bioproduct Advancement

14,993,000
19,010,000

$4,483,000 the first year and $8,500,000 the
second year are for transfer to the agriculture
research, education, extension, and
technology transfer account under Minnesota
Statutes, section 41A.14, subdivision 3.
The transfer in this paragraph includes
money for plant breeders at the University
of Minnesota for wild rice, potatoes, and
grapes. Of these amounts, at least $600,000
each year is for agriculture rapid response
the Minnesota Agricultural Experiment
Station's Agriculture Rapid Response Fund
under Minnesota Statutes, section 41A.14,
subdivision 1
, clause (2). Of the amount
appropriated in this paragraph, $1,000,000
each year is for transfer to the Board of
Regents of the University of Minnesota for
research to determine (1) what is causing
avian influenza, (2) why some fowl are more
susceptible, and (3) prevention measures that
can be taken. Of the amount appropriated
in this paragraph, $2,000,000 each year
is for grants to the Minnesota Agriculture
Education Leadership Council to enhance
agricultural education with priority given
to Farm Business Management challenge
grants. The commissioner shall transfer the
remaining grant funds in this appropriation
each year to the Board of Regents of the
University of Minnesota for purposes of
Minnesota Statutes, section 41A.14.

To the extent practicable, funds expended
under Minnesota Statutes, section 41A.14,
subdivision 1
, clauses (1) and (2), must
supplement and not supplant existing sources
and levels of funding. The commissioner may
use up to 4.5 percent of this appropriation
for costs incurred to administer the program.
Any unencumbered balance does not cancel
at the end of the first year and is available for
the second year.

$10,235,000 the first year and $10,235,000
the second year are for the agricultural
growth, research, and innovation program
in Minnesota Statutes, section 41A.12. No
later than February 1, 2016, and February
1, 2017, the commissioner must report to
the legislative committees with jurisdiction
over agriculture policy and finance regarding
the commissioner's accomplishments
and anticipated accomplishments in
the following areas: facilitating the
start-up, modernization, or expansion of
livestock operations including beginning
and transitioning livestock operations;
developing new markets for Minnesota
farmers by providing more fruits, vegetables,
meat, grain, and dairy for Minnesota school
children; assisting value-added agricultural
businesses to begin or expand, access new
markets, or diversify products; developing
urban agriculture; facilitating the start-up,
modernization, or expansion of other
beginning and transitioning farms including
loans under Minnesota Statutes, section
41B.056; sustainable agriculture on farm
research and demonstration; development or
expansion of food hubs and other alternative
community-based food distribution systems;
and research on bioenergy, biobased content,
or biobased formulated products and other
renewable energy development. The
commissioner may use up to 4.5 percent
of this appropriation for costs incurred to
administer the program. Any unencumbered
balance does not cancel at the end of the first
year and is available for the second year.
Notwithstanding Minnesota Statutes, section
16A.28, the appropriations encumbered
under contract on or before June 30, 2017, for
agricultural growth, research, and innovation
grants are available until June 30, 2019 2021.

The commissioner may use funds
appropriated for the agricultural growth,
research, and innovation program as provided
in this paragraph. The commissioner may
award grants to owners of Minnesota
facilities producing bioenergy, biobased
content, or a biobased formulated product;
to organizations that provide for on-station,
on-farm field scale research and outreach to
develop and test the agronomic and economic
requirements of diverse strands of prairie
plants and other perennials for bioenergy
systems; or to certain nongovernmental
entities. For the purposes of this paragraph,
"bioenergy" includes transportation fuels
derived from cellulosic material, as well as
the generation of energy for commercial heat,
industrial process heat, or electrical power
from cellulosic materials via gasification or
other processes. Grants are limited to 50
percent of the cost of research, technical
assistance, or equipment related to bioenergy,
biobased content, or biobased formulated
product production or $500,000, whichever
is less. Grants to nongovernmental entities
for the development of business plans and
structures related to community ownership
of eligible bioenergy facilities together may
not exceed $150,000. The commissioner
shall make a good-faith effort to select
projects that have merit and, when taken
together, represent a variety of bioenergy
technologies, biomass feedstocks, and
geographic regions of the state. Projects
must have a qualified engineer provide
certification on the technology and fuel
source. Grantees must provide reports at the
request of the commissioner.

Of the amount appropriated for the
agricultural growth, research, and innovation
program in this subdivision, $1,000,000 the
first year and $1,000,000 the second year
are for distribution in equal amounts to each
of the state's county fairs to preserve and
promote Minnesota agriculture.

Of the amount appropriated for the
agricultural growth, research, and innovation
program in this subdivision, $500,000 in
fiscal year 2016 and $1,500,000 in fiscal
year 2017 are for incentive payments
under Minnesota Statutes, sections 41A.16,
41A.17, and 41A.18. If the appropriation
exceeds the total amount for which all
producers are eligible in a fiscal year, the
balance of the appropriation is available
to the commissioner for the agricultural
growth, research, and innovation program.
Notwithstanding Minnesota Statutes,
section 16A.28, the first year appropriation
is available until June 30, 2017, and the
second year appropriation is available until
June 30, 2018. The commissioner may use
up to 4.5 percent of the appropriation for
administration of the incentive payment
programs.

Of the amount appropriated for the
agricultural growth, research, and innovation
program in this subdivision, $250,000
the first year is for grants to communities
to develop or expand food hubs and
other alternative community-based food
distribution systems. Of this amount,
$50,000 is for the commissioner to consult
with existing food hubs, alternative
community-based food distribution systems,
and University of Minnesota Extension
to identify best practices for use by other
Minnesota communities. No later than
December 15, 2015, the commissioner must
report to the legislative committees with
jurisdiction over agriculture and health
regarding the status of emerging alternative
community-based food distribution systems
in the state along with recommendations
to eliminate any barriers to success. Any
unencumbered balance does not cancel at the
end of the first year and is available for the
second year.
This is a onetime appropriation.

$250,000 the first year and $250,000 the
second year are for grants that enable
retail petroleum dispensers to dispense
biofuels to the public in accordance with the
biofuel replacement goals established under
Minnesota Statutes, section 239.7911. A
retail petroleum dispenser selling petroleum
for use in spark ignition engines for vehicle
model years after 2000 is eligible for grant
money under this paragraph if the retail
petroleum dispenser has no more than 15
retail petroleum dispensing sites and each
site is located in Minnesota. The grant
money received under this paragraph must
be used for the installation of appropriate
technology that uses fuel dispensing
equipment appropriate for at least one fuel
dispensing site to dispense gasoline that is
blended with 15 percent of agriculturally
derived, denatured ethanol, by volume, and
appropriate technical assistance related to
the installation. A grant award must not
exceed 85 percent of the cost of the technical
assistance and appropriate technology,
including remetering of and retrofits for
retail petroleum dispensers and replacement
of petroleum dispenser projects. The
commissioner may use up to $35,000 of this
appropriation for administrative expenses.
The commissioner shall cooperate with
biofuel stakeholders in the implementation
of the grant program. The commissioner
must report to the legislative committees
with jurisdiction over agriculture policy and
finance by February 1 each year, detailing
the number of grants awarded under this
paragraph and the projected effect of the grant
program on meeting the biofuel replacement
goals under Minnesota Statutes, section
239.7911. These are onetime appropriations.

$25,000 the first year and $25,000 the second
year are for grants to the Southern Minnesota
Initiative Foundation to promote local foods
through an annual event that raises public
awareness of local foods and connects local
food producers and processors with potential
buyers.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 24.

Laws 2015, First Special Session chapter 4, article 1, section 5, is amended to
read:


Sec. 5. AVIAN INFLUENZA RESPONSE ACTIVITIES; EMERGENCY
PREPAREDNESS;
APPROPRIATIONS AND TRANSFERS.

(a) $3,619,000 $519,000 is appropriated from the general fund in fiscal year 2016 to
the commissioner of agriculture for avian influenza emergency response activities. The
commissioner may use money appropriated under this paragraph to purchase necessary
euthanasia and composting equipment and to reimburse costs incurred by local units of
government directly related to avian influenza emergency response activities that are not
eligible for federal reimbursement. This appropriation is available the day following final
enactment until June 30, 2017.

(b) $1,853,000 is appropriated from the general fund in fiscal year 2016 to the
Board of Animal Health for avian influenza emergency response activities. The Board
may use money appropriated under this paragraph to purchase necessary euthanasia and
composting equipment.
any animal disease emergency response or planning activity,
including but not limited to:

(1) the retention of staff trained in disease response;

(2) costs associated with the relocation and expansion of the Minnesota Poultry
Testing Laboratory;

(3) the identification of risk factors for disease transmission; and

(4) the implementation of strategies to prevent or reduce the risk of disease
introduction and transmission.

This appropriation is available the day following final enactment until June 30, 2017 2019.

(c) $103,000 is appropriated from the general fund in fiscal year 2016 to the
commissioner of health for avian influenza emergency response activities. This
appropriation is available the day following final enactment until June 30, 2017.

(d) $350,000 is appropriated from the general fund in fiscal year 2016 to the
commissioner of natural resources for sampling wild animals to detect and monitor the
avian influenza virus. This appropriation may also be used to conduct serology sampling,
in consultation with the Board of Animal Health and the University of Minnesota Pomeroy
Chair in Avian Health, from birds within a control zone and outside of a control zone.
This appropriation is available the day following final enactment until June 30, 2017.

(e) $544,000 is appropriated from the general fund in fiscal year 2016 to the
commissioner of public safety to operate the State Emergency Operation Center in
coordination with the statewide avian influenza response activities. Appropriations
under this paragraph may also be used to support a staff person at the state's agricultural
incident command post in Willmar. This appropriation is available the day following final
enactment until June 30, 2017.

(f) The commissioner of management and budget may transfer unexpended balances
from the appropriations in this section to any state agency for operating expenses related
to avian influenza emergency response activities. The commissioner of management and
budget must report each transfer to the chairs and ranking minority members of the senate
Committee on Finance and the house of representatives Committee on Ways and Means.

(g) In addition to the transfers required under Laws 2015, chapter 65, article 1,
section 17, no later than September 30, 2015, the commissioner of management and
budget must transfer $4,400,000 from the fiscal year 2015 closing balance in the general
fund to the disaster assistance contingency account in Minnesota Statutes, section 12.221,
subdivision 6
. This amount is available for avian influenza emergency response eligible
activities as provided in Laws 2015, chapter 65, article 1, section 18, as amended.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 25. TRANSFER REQUIRED.

Of the amount appropriated from the general fund to the commissioner of agriculture
for transfer to the rural finance authority revolving loan account in Laws 2015, First Special
Session chapter 4, article 2, section 6, the commissioner of management and budget must
transfer $6,713,000 back to the general fund in fiscal year 2016. This is a onetime transfer.

ARTICLE 2

ENVIRONMENT AND NATURAL RESOURCES APPROPRIATIONS

Section 1. APPROPRIATIONS.

The sums shown in the columns marked "Appropriations" are added to the
appropriations in Laws 2015, First Special Session chapter 4, or appropriated to the
agencies and for the purposes specified in this article. The appropriations are from the
general fund, or another named fund, and are available for the fiscal year indicated for
each purpose. The figures "2016" and "2017" used in this article mean that the addition
to the appropriations listed under them are available for the fiscal year ending June 30,
2016, or June 30, 2017, respectively. "The first year" is fiscal year 2016. "The second
year" is fiscal year 2017. Appropriations for fiscal year 2016 are effective the day
following final enactment.

APPROPRIATIONS
Available for the Year
Ending June 30
2016
2017

Sec. 2. NATURAL RESOURCES

Subdivision 1.

Total Appropriation

$
2,462,000
$
6,183,000
Appropriations by Fund
2016
2017
General
1,742,000
2,158,000
Natural Resources
50,000
4,025,000
Game and Fish
670,000
-0-

The amounts that may be spent for each
purpose are specified in the following
subdivisions.

Subd. 2.

Ecological and Water Resources

-0-
225,000

$225,000 the second year is from the water
management account in the natural resources
fund for water appropriation monitoring,
modeling, and reporting for the Cold Spring
Creek area as required under this act. This
is a onetime appropriation and is available
until June 30, 2022.

Subd. 3.

Forest Management

-0-
-0-
Appropriations by Fund
2016
2017
General
-0-
(1,500,000)
Natural Resources
-0-
1,500,000

$1,500,000 the second year is a reduction
from the general fund. This is a onetime
reduction.

$1,500,000 the second year is from the
forest management investment account in the
natural resources fund. Of this amount, up to
$3,000 is for purposes of the report required
on public engagement regarding Sand Dunes
State Forest required under this act. This is a
onetime appropriation.

Of the amount appropriated in Laws 2015,
First Special Session chapter 4, article 3,
section 3, subdivision 4, from the general
fund in fiscal year 2016, up to $3,000 may
be used for the report on prescribed burning
required under this act.

Subd. 4.

Parks and Trails Management

50,000
2,300,000

$2,300,000 the second year is from the state
parks account in the natural resources fund.
This is a onetime appropriation.

$50,000 the first year is from the water
recreation account in the natural resources
fund for implementation of Minnesota
Statutes, section 86B.532, established in this
act. This is a onetime appropriation.

Subd. 5.

Enforcement

670,000
-0-

$670,000 the first year is from the game and
fish fund for aviation services. This is a
onetime appropriation.

Subd. 6.

Operations Support

1,742,000
3,658,000

$1,742,000 the first year and $3,658,000
the second year are for legal costs related
to the NorthMet mining project. Of this
amount, up to $143,000 the first year and
up to $1,289,000 the second year may be
transferred to other agencies for legal costs
associated with the NorthMet mining project.
This is a onetime appropriation and is
available until June 30, 2019.

Sec. 3. LEGISLATURE

$
25,000
$
-0-

$25,000 the first year is from the Minnesota
future resources fund to the Legislative
Coordinating Commission for the Aggregate
Resources Task Force established in this
act. This is a onetime appropriation and is
available until June 30, 2018.

Sec. 4. ADMINISTRATION

$
250,000
$
-0-

$250,000 the first year is from the state forest
suspense account in the permanent school
fund for the school trust lands director to
initiate real estate development projects
on school trust lands as determined by the
school trust lands director. This is a onetime
appropriation.

Sec. 5.

Laws 2015, First Special Session chapter 4, article 3, section 3, subdivision 2,
is amended to read:


Subd. 2.

Land and Mineral Resources
Management

6,461,000
5,521,000
Appropriations by Fund
2016
2017
General
1,585,000
1,585,000
Natural Resources
3,332,000
3,392,000
Game and Fish
344,000
344,000
Remediation
1,000,000
-0-
Permanent School
200,000
200,000

$68,000 the first year and $68,000 the
second year are for minerals cooperative
environmental research, of which $34,000
the first year and $34,000 the second year are
available only as matched by $1 of nonstate
money for each $1 of state money. The
match may be cash or in-kind
.

$251,000 the first year and $251,000 the
second year are for iron ore cooperative
research. Of this amount, $200,000 each year
is from the minerals management account
in the natural resources fund. $175,000 the
first year and $175,000 the second year are
available only as matched by $1 of nonstate
money for each $1 of state money. The match
may be cash or in-kind.
Any unencumbered
balance from the first year does not cancel
and is available in the second year.

$2,755,000 the first year and $2,815,000
the second year are from the minerals
management account in the natural resources
fund for use as provided in Minnesota
Statutes, section 93.2236, paragraph (c),
for mineral resource management, projects
to enhance future mineral income, and
projects to promote new mineral resource
opportunities.

$200,000 the first year and $200,000 the
second year are from the state forest suspense
account in the permanent school fund to
accelerate land exchanges, land sales, and
commercial leasing of school trust lands and
to identify, evaluate, and lease construction
aggregate located on school trust lands. This
appropriation is to be used for securing
long-term economic return from the
school trust lands consistent with fiduciary
responsibilities and sound natural resources
conservation and management principles.

Notwithstanding Minnesota Statutes, section
115B.20, $1,000,000 the first year is from
the dedicated account within the remediation
fund for the purposes of Minnesota Statutes,
section 115B.20, subdivision 2, clause (4),
to acquire salt lands as described under
Minnesota Statutes, section 92.05, within
Bear Head Lake State Park. This is a onetime
appropriation and is available until June 30,
2018.

ARTICLE 3

ENVIRONMENT AND NATURAL RESOURCES STATUTORY CHANGES

Section 1.

Minnesota Statutes 2014, section 3.736, subdivision 4, is amended to read:


Subd. 4.

Limits.

The total liability of the state and its employees acting within the
scope of their employment on any tort claim shall not exceed:

(a) $300,000 when the claim is one for death by wrongful act or omission and
$300,000 to any claimant in any other case, for claims arising before August 1, 2007;

(b) $400,000 when the claim is one for death by wrongful act or omission and
$400,000 to any claimant in any other case, for claims arising on or after August 1, 2007,
and before July 1, 2009;

(c) $500,000 when the claim is one for death by wrongful act or omission and
$500,000 to any claimant in any other case, for claims arising on or after July 1, 2009;

(d) $750,000 for any number of claims arising out of a single occurrence, for claims
arising on or after January 1, 1998, and before January 1, 2000;

(e) $1,000,000 for any number of claims arising out of a single occurrence, for
claims arising on or after January 1, 2000, and before January 1, 2008;

(f) $1,200,000 for any number of claims arising out of a single occurrence, for
claims arising on or after January 1, 2008, and before July 1, 2009;

(g) $1,500,000 for any number of claims arising out of a single occurrence, for
claims arising on or after July 1, 2009; or

(h) $1,000,000 $500,000 for any number of claims arising out of a single occurrence,
if the claim involves a nonprofit organization engaged in or administering outdoor
recreational activities funded in whole or in part by the state or operating under the
authorization of a permit issued by an agency or department of the state.

If the amount awarded to or settled upon multiple claimants exceeds the applicable
limit under clause (d), (e), (f), (g), or (h), any party may apply to the district court to
apportion to each claimant a proper share of the amount available under the applicable
limit under clause (d), (e), (f), or (g). The share apportioned to each claimant shall be in
the proportion that the ratio of the award or settlement bears to the aggregate awards and
settlements for all claims arising out of the occurrence.

The limitation imposed by this subdivision on individual claimants includes damages
claimed for loss of services or loss of support arising out of the same tort.

Sec. 2.

Minnesota Statutes 2014, section 17.4982, subdivision 18a, is amended to read:


Subd. 18a.

Nonindigenous species.

"Nonindigenous species" means a species of
fish or other aquatic life that is:

(1) not known to have been historically present in the state;

(2) not known to be naturally occurring in a particular part of the state; or

(3) listed designated by rule as a prohibited or regulated invasive species.

Sec. 3.

Minnesota Statutes 2014, section 84.027, subdivision 13, is amended to read:


Subd. 13.

Game and fish rules.

(a) The commissioner of natural resources may
adopt rules under sections 97A.0451 to 97A.0459 and this subdivision that are authorized
under:

(1) chapters 97A, 97B, and 97C to set open seasons and areas, to close seasons and
areas, to select hunters for areas, to provide for tagging and registration of game and fish, to
prohibit or allow taking of wild animals to protect a species, to prevent or control wildlife
disease, to open or close bodies of water or portions of bodies of water for night bow
fishing, and to prohibit or allow importation, transportation, or possession of a wild animal;

(2) sections 84.093, 84.15, and 84.152 to set seasons for harvesting wild ginseng
roots and wild rice and to restrict or prohibit harvesting in designated areas; and

(3) section 84D.12 to list designate prohibited invasive species, regulated invasive
species, and unregulated nonnative species, and to list infested waters.

(b) If conditions exist that do not allow the commissioner to comply with sections
97A.0451 to 97A.0459, including the need to adjust season variables on an annual basis
based upon current biological and harvest data, the commissioner may adopt a rule
under this subdivision by submitting the rule to the attorney general for review under
section 97A.0455, publishing a notice in the State Register and filing the rule with the
secretary of state and the Legislative Coordinating Commission, and complying with
section 97A.0459, and including a statement of the conditions and a copy of the rule in the
notice. The conditions for opening a water body or portion of a water body for night bow
fishing under this section may include the need to temporarily open the area to evaluate
compatibility of the activity on that body of water prior to permanent rulemaking. The
notice may be published after it is received from the attorney general or five business days
after it is submitted to the attorney general, whichever is earlier.

(c) Rules adopted under paragraph (b) are effective upon publishing in the State
Register and may be effective up to seven days before publishing and filing under
paragraph (b), if:

(1) the commissioner of natural resources determines that an emergency exists;

(2) the attorney general approves the rule; and

(3) for a rule that affects more than three counties the commissioner publishes the
rule once in a legal newspaper published in Minneapolis, St. Paul, and Duluth, or for a
rule that affects three or fewer counties the commissioner publishes the rule once in a legal
newspaper in each of the affected counties.

(d) Except as provided in paragraph (e), a rule published under paragraph (c), clause
(3), may not be effective earlier than seven days after publication.

(e) A rule published under paragraph (c), clause (3), may be effective the day the
rule is published if the commissioner gives notice and holds a public hearing on the rule
within 15 days before publication.

(f) The commissioner shall attempt to notify persons or groups of persons affected
by rules adopted under paragraphs (b) and (c) by public announcements, posting, and
other appropriate means as determined by the commissioner.

(g) Notwithstanding section 97A.0458, a rule adopted under this subdivision is
effective for the period stated in the notice but not longer than 18 months after the rule is
effective.

Sec. 4.

Minnesota Statutes 2015 Supplement, section 84.027, subdivision 13a, is
amended to read:


Subd. 13a.

Game and fish expedited permanent rules.

(a) In addition to the
authority granted in subdivision 13, the commissioner of natural resources may adopt rules
under section 14.389 that are authorized under:

(1) chapters 97A, 97B, and 97C to describe zone or permit area boundaries, to
designate fish spawning beds or fish preserves, to select hunters or anglers for areas,
to provide for registration of game or fish, to prevent or control wildlife disease, or to
correct errors or omissions in rules that do not have a substantive effect on the intent or
application of the original rule; or

(2) section 84D.12 to list designate prohibited invasive species, regulated invasive
species, and unregulated nonnative species.

(b) The commissioner of natural resources may adopt rules under section 14.389
that are authorized under chapters 97A, 97B, and 97C, for purposes in addition to those
listed in paragraph (a), clause (1), subject to the notice and public hearing provisions
of section 14.389, subdivision 5.

Sec. 5.

Minnesota Statutes 2014, section 84.089, subdivision 3, is amended to read:


Subd. 3.

Application of law.

Except as otherwise provided in this section, a
volunteer is not a state employee and is not subject to the provisions of law relating to
state employment, including but not limited to those relating to hours of work, rates of
compensation, leave, unemployment benefits, and state employee benefits. A volunteer
accepted under this section, except for a volunteer of a nonprofit organization with
permission from the commissioner of natural resources to assist in maintenance in state
parks, state forests, wildlife management areas, or on state trails,
is a state employee for
the purposes of section 176.011, subdivision 9, and the provisions of chapter 176, relating
to workers' compensation apply to the volunteer.

Sec. 6.

Minnesota Statutes 2014, section 84.091, subdivision 2, is amended to read:


Subd. 2.

License required; exception exemptions.

(a) Except as provided in
paragraph (b) this subdivision, a person may not harvest, buy, sell, transport, or possess
aquatic plants without a license required under this chapter. A license shall be issued in
the same manner as provided under the game and fish laws.

(b) A resident under the age of 18 years may harvest wild rice without a license, if
accompanied by a person with a wild rice license.

(c) Tribal band members who possess a valid tribal identification card from a
federally recognized tribe located in Minnesota are deemed to have a license to harvest
wild rice under this section.

Sec. 7.

Minnesota Statutes 2014, section 84D.01, subdivision 2, is amended to read:


Subd. 2.

Aquatic macrophyte.

"Aquatic macrophyte" means macro algae or a
macroscopic nonwoody plant, either a submerged, floating leafed, floating, or emergent
plant that naturally grows in water.

Sec. 8.

Minnesota Statutes 2014, section 84D.05, subdivision 1, is amended to read:


Subdivision 1.

Prohibited activities.

A person may not possess, import, purchase,
sell, propagate, transport, or introduce a prohibited invasive species, except:

(1) under a permit issued by the commissioner under section 84D.11;

(2) in the case of purple loosestrife, as provided by sections 18.75 to 18.88;

(3) under a restricted species permit issued under section 17.457;

(4) when being transported to the department, or another destination as the
commissioner may direct, in a sealed container for purposes of identifying the species
or reporting the presence of the species;

(5) when being transported for disposal as part of a harvest or control activity
when specifically authorized under a permit issued by the commissioner according to
section 103G.615, when being transported for disposal as specified under a commercial
fishing license issued by the commissioner according to section 97A.418, 97C.801,
97C.811, 97C.825, 97C.831, or 97C.835, or when being transported as specified by the
commissioner;

(6) when the specimen has been lawfully acquired dead and, in the case of plant
species, all seeds are removed or are otherwise secured in a sealed container;

(7) in the form of herbaria or other preserved specimens;

(8) (6) when being removed from watercraft and equipment, or caught while angling,
and immediately returned to the water from which they came; or

(9) (7) as the commissioner may otherwise prescribe by rule.

Sec. 9.

[84D.075] NONNATIVE SPECIES, AQUATIC PLANTS, AND AQUATIC
MACROPHYTES; PARTS AND LIFE STAGE.

A law relating to a nonnative species, aquatic plant, or aquatic macrophyte applies in
the same manner to a part of a nonnative species, aquatic plant, or aquatic macrophyte,
whether alive or dead, and to any life stage or form.

Sec. 10.

Minnesota Statutes 2014, section 84D.09, subdivision 2, is amended to read:


Subd. 2.

Exceptions.

Unless otherwise prohibited by law, a person may transport
aquatic macrophytes:

(1) that are duckweeds in the family Lemnaceae;

(2) for purposes of constructing shooting or observation blinds in amounts sufficient
for that purpose, provided that the aquatic macrophytes are emergent and cut above the
waterline;

(3) when legally purchased or traded by or from commercial or hobbyist sources for
aquarium, wetland or lakeshore restoration, or ornamental purposes;

(4) when harvested for personal or commercial use if in a motor vehicle;

(5) to the department, or another destination as the commissioner may direct, in a
sealed container for purposes of identifying a species or reporting the presence of a species;

(6) that are wild rice harvested under section 84.091;

(7) in the form of fragments of emergent aquatic macrophytes incidentally transported
in or on watercraft or decoys used for waterfowl hunting during the waterfowl season; or

(8) when removing water-related equipment from waters of the state for purposes of
cleaning off aquatic macrophytes before leaving a water access site.; or

(9) when being transported from riparian property to a legal disposal site that is at
least 100 feet from any surface water, ditch, or seasonally flooded land, provided the
aquatic macrophytes are in a covered commercial vehicle specifically designed and used
for hauling trash.

Sec. 11.

Minnesota Statutes 2014, section 84D.10, subdivision 4, is amended to read:


Subd. 4.

Persons transporting water-related equipment.

(a) When leaving
waters a water of the state, a person must drain water-related equipment holding water
and live wells and bilges by removing the drain plug before transporting the water-related
equipment off the water access site or riparian property. For the purposes of this
paragraph, "transporting" includes moving water-related equipment over land between
connected or unconnected water bodies, but does not include moving water-related
equipment within the immediate area required for loading and preparing the water-related
equipment for transport over land.

(b) Drain plugs, bailers, valves, or other devices used to control the draining of water
from ballast tanks, bilges, and live wells must be removed or opened while transporting
water-related equipment.

(c) Emergency response vehicles and equipment may be transported on a public road
with the drain plug or other similar device replaced only after all water has been drained
from the equipment upon leaving the water body.

(d) Portable bait containers used by licensed aquatic farms, portable bait containers
when fishing through the ice except on waters listed infested for viral hemorrhagic
septicemia, and marine sanitary systems are exempt from this subdivision.

(e) A person must not dispose of bait in waters of the state.

(f) A boat lift, dock, swim raft, or associated equipment that has been removed
from any water body may not be placed in another water body until a minimum of 21
days have passed.

(g) A person who transports water that is appropriated from noninfested surface
water bodies and that is transported by a commercial vehicle, excluding watercraft, or
commercial trailer, which vehicle or trailer is specifically designed and used for water
hauling, is exempt from paragraphs (a) and (b), provided that the person does not discharge
the transported water to other surface waters or within 100 feet of a surface water body.

(h) A person transporting water from noninfested surface water bodies for
firefighting or emergencies that threaten human safety or property is exempt from
paragraphs (a) and (b).

Sec. 12.

Minnesota Statutes 2014, section 84D.108, is amended by adding a
subdivision to read:


Subd. 2a.

Lake Minnetonka pilot study.

(a) The commissioner may issue an
additional permit to service providers to return to Lake Minnetonka water-related
equipment with zebra mussels attached after the equipment has been seasonally
stored, serviced, or repaired. The permit must include verification and documentation
requirements and any other conditions the commissioner deems necessary.

(b) Water-related equipment with zebra mussels attached may be returned only
to Lake Minnetonka (DNR Division of Waters number 27-0133) by service providers
permitted under subdivision 1.

(c) The service provider's place of business must be within the Lake Minnetonka
Conservation District as established according to sections 103B.601 to 103B.645.

(d) A service provider applying for a permit under this subdivision must, if approved
for a permit and before the permit is valid, furnish a corporate surety bond in favor of the
state for $50,000 payable upon violation of this chapter.

(e) This subdivision expires December 1, 2018.

Sec. 13.

Minnesota Statutes 2015 Supplement, section 84D.11, subdivision 1, is
amended to read:


Subdivision 1.

Prohibited invasive species.

(a) The commissioner may issue a
permit for the propagation, possession, importation, purchase, or transport of a prohibited
invasive species for the purposes of disposal, decontamination, control, research, or
education.

(b) The commissioner may issue a permit as provided under section 84D.108,
subdivision 2a, to a service provider to allow water-related equipment to be placed back
into the same body of water after being seasonally stored, serviced, or repaired by the
service provider. This paragraph expires December 1, 2018.

Sec. 14.

Minnesota Statutes 2014, section 84D.13, subdivision 4, is amended to read:


Subd. 4.

Warnings; civil citations.

After appropriate training, conservation
officers, other licensed peace officers, and other department personnel designated by the
commissioner may issue warnings or citations to a person who:

(1) unlawfully transports prohibited invasive species or aquatic macrophytes;

(2) unlawfully places or attempts to place into waters of the state water-related
equipment that has aquatic macrophytes or prohibited invasive species attached;

(3) intentionally damages, moves, removes, or sinks a buoy marking, as prescribed
by rule, Eurasian watermilfoil;

(4) fails to remove plugs, open valves, and drain water from water-related equipment
before leaving waters of the state or when transporting water-related equipment as
provided in section 84D.10, subdivision 4; or

(5) transports infested water, in violation of rule, off riparian property.;

(6) fails to comply with a decontamination order when a decontamination unit
is available on site;

(7) fails to complete decontamination of water-related equipment or to remove
invasive species from water-related equipment by the date specified on a tagging notice
and order; or

(8) fails to complete the aquatic invasive species offender training course required
under section 86B.13.

Sec. 15.

Minnesota Statutes 2015 Supplement, section 84D.13, subdivision 5, is
amended to read:


Subd. 5.

Civil penalties.

(a) A civil citation issued under this section must impose
the following penalty amounts:

(1) for transporting aquatic macrophytes in violation of section 84D.09, $100;

(2) for placing or attempting to place into waters of the state water-related equipment
that has aquatic macrophytes attached, $200;

(3) for unlawfully possessing or transporting a prohibited invasive species other
than an aquatic macrophyte, $500;

(4) for placing or attempting to place into waters of the state water-related equipment
that has prohibited invasive species attached when the waters are not listed by the
commissioner as being infested with that invasive species, $500;

(5) for intentionally damaging, moving, removing, or sinking a buoy marking, as
prescribed by rule, Eurasian watermilfoil, $100;

(6) for failing to have drain plugs or similar devices removed or opened while
transporting water-related equipment or for failing to remove plugs, open valves, and
drain water from water-related equipment, other than marine sanitary systems, before
leaving waters of the state, $100;

(7) for transporting infested water off riparian property without a permit as required
by rule, $200; and

(8) for failing to have aquatic invasive species affirmation displayed or available for
inspection as provided in sections 86B.401 and 97C.301, subdivision 2a, $25.;

(9) for failing to comply with a decontamination order when a decontamination unit
is available on site, $250;

(10) for failing to complete decontamination of water-related equipment or to
remove invasive species from water-related equipment by the date specified on a tagging
notice and order, $250; and

(11) for failing to complete the aquatic invasive species offender training course
required under section 86B.13, $25.

(b) A civil citation that is issued to a person who has one or more prior convictions
or final orders for violations of this chapter is subject to twice the penalty amounts listed
in paragraph (a).

Sec. 16.

Minnesota Statutes 2014, section 86B.005, is amended by adding a
subdivision to read:


Subd. 4a.

Enclosed accommodation compartment.

"Enclosed accommodation
compartment" means one contiguous space, surrounded by boat structure, that contains
all of the following:

(1) designated sleeping accommodations;

(2) a galley area with sink; and

(3) a head compartment.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 17.

Minnesota Statutes 2014, section 86B.005, is amended by adding a
subdivision to read:


Subd. 4b.

Enclosed occupancy compartment.

"Enclosed occupancy compartment"
means one contiguous enclosed space surrounded by boat structure that may be occupied
by a person.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 18.

Minnesota Statutes 2014, section 86B.005, is amended by adding a
subdivision to read:


Subd. 8a.

Marine carbon monoxide detection system.

"Marine carbon monoxide
detection system" means a device or system that meets the requirements of the American
Boat and Yacht Council Standard A-24, July 2015, for carbon monoxide detection systems.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 19.

[86B.532] CARBON MONOXIDE DETECTION DEVICE
REQUIREMENTS.

Subdivision 1.

Requirements.

(a) After May 1, 2017, no motorboat that has an
enclosed accommodation compartment may be operated on any waters of the state unless
the motorboat is equipped with a functioning marine carbon monoxide detection system
installed according to the manufacturer's instructions.

(b) After May 1, 2017, no new motorboat that has an enclosed accommodation
compartment may be sold or offered for sale in Minnesota unless the motorboat is
equipped with a new functioning marine carbon monoxide detection system installed
according to the manufacturer's instructions.

Subd. 2.

Boating safety courses.

All state-sponsored boating safety courses and all
boating safety courses that require state approval by the commissioner must incorporate
information about the dangers of being overcome by carbon monoxide poisoning while on
or behind a motorboat and how to prevent that poisoning.

Subd. 3.

Carbon monoxide poisoning warning labels.

(a) After May 1, 2017,
no gasoline-powered motorboat that has an enclosed occupancy compartment may be
operated on any waters of the state unless labels warning of carbon monoxide dangers are
affixed in the vicinity of the aft reboarding/stern area and the steering station and in or
at the entrance to any enclosed occupancy compartment.

(b) For a motorboat sold by a dealer, the dealer must ensure that specified warning
labels have been affixed before completion of the transaction.

(c) Warning labels approved by the American Boat and Yacht Council, National
Marine Manufacturers Association, or the commissioner satisfy the requirements of this
section when installed as specified.

Subd. 4.

License agents; distribution.

The commissioner shall mail the information
and labels to all motorboat owners of watercraft that are 21 feet and greater in length no later
than May 1, 2017. The commissioner must also provide license agents with informational
brochures and warning labels about the dangers of carbon monoxide poisoning while
boating. A license agent must make the brochure and labels available to motorboat owners
and make efforts to inform new owners of the requirement. The commissioner shall
highlight the new requirements on the watercraft renewal reminder postcard for three
consecutive three-year license cycles and in the Minnesota Boating Guide. The brochure
must instruct motorboat owners to place the labels according to subdivision 3 and inform
motorboat owners of carbon monoxide dangers of gasoline-powered generators.

Subd. 5.

Safety warning.

A first violation of this section does not result in a
penalty, but is punishable only by a safety warning. A second or subsequent violation
is a petty misdemeanor.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 20.

Minnesota Statutes 2014, section 88.01, is amended by adding a subdivision
to read:


Subd. 28.

Prescribed burn.

"Prescribed burn" means a fire that is intentionally
ignited, managed, and controlled by an entity meeting certification requirements established
by the commissioner for the purpose of managing vegetation. A prescribed burn that has
exceeded its prescribed boundaries and requires suppression action is considered a wildfire.

Sec. 21.

Minnesota Statutes 2014, section 88.22, subdivision 1, is amended to read:


Subdivision 1.

Imposition of restrictions.

(a) Road closure. When the
commissioner of natural resources shall determine that conditions conducive to wildfire
hazards exist in the wildfire areas of the state and that the presence of persons in the
wildlife areas tends to aggravate wildfire hazards, render forest trails impassable by
driving thereon during wet seasons and hampers the effective enforcement of state timber
trespass and game laws, the commissioner may by written order, close any road or trail
leading into any land used for any conservation purposes, to all modes of travel except
that considered essential such as residents traveling to and from their homes or in other
cases to be determined by the authorized forest officers assigned to guard the area.

(b) Burning ban. The commissioner may also, upon such determination, by written
order, suspend the issuance of permits for open fires or prescribed burns, revoke or suspend
the operation of a permit previously issued and, to the extent the commissioner deems
necessary, prohibit the building of all or some kinds of open fires or prescribed burns in all
or any part of a wildfire area regardless of whether a permit is otherwise required; and the
commissioner also may, by written order, prohibit smoking except at places of habitation
or automobiles or other enclosed vehicles properly equipped with an efficient ash tray.

Sec. 22.

Minnesota Statutes 2014, section 93.0015, subdivision 3, is amended to read:


Subd. 3.

Expiration.

The committee expires June 30, 2016 2026.

Sec. 23.

Minnesota Statutes 2014, section 93.2236, is amended to read:


93.2236 MINERALS MANAGEMENT ACCOUNT.

(a) The minerals management account is created as an account in the natural
resources fund. Interest earned on money in the account accrues to the account. Money in
the account may be spent or distributed only as provided in paragraphs (b) and (c).

(b) If the balance in the minerals management account exceeds $3,000,000 on March
31,
June 30, September 30, or December 31, the amount exceeding $3,000,000 must
be distributed to the permanent school fund, the permanent university fund, and taxing
districts as provided in section 93.22, subdivision 1, paragraph (c). The amount distributed
to each fund must be in the same proportion as the total mineral lease revenue received
in the previous biennium from school trust lands, university lands, and lands held by the
state in trust for taxing districts.

(c) Subject to appropriation by the legislature, money in the minerals management
account may be spent by the commissioner of natural resources for mineral resource
management and projects to enhance future mineral income and promote new mineral
resource opportunities.

Sec. 24.

Minnesota Statutes 2014, section 94.3495, subdivision 2, is amended to read:


Subd. 2.

Classes of land; definitions.

(a) The classes of public land that may be
involved in an expedited exchange under this section are:

(1) Class 1 land, which for the purpose of this section is Class A land as defined in
section 94.342, subdivision 1, except for:;

(i) school trust land as defined in section 92.025; and

(ii) university land granted to the state by acts of Congress;

(2) Class 2 land, which for the purpose of this section is Class B land as defined in
section 94.342, subdivision 2; and

(3) Class 3 land, which for the purpose of this section is all land owned in fee by
a governmental subdivision of the state.

(b) "School trust land" has the meaning given in section 92.025.

(c) "University land" means land granted to the state by acts of Congress for
university purposes.

Sec. 25.

Minnesota Statutes 2014, section 94.3495, subdivision 3, is amended to read:


Subd. 3.

Valuation of land.

(a) In an exchange of Class 1 land for Class 2 or 3 land,
the value of all the land shall be determined by the commissioner of natural resources,
but the county board must approve the value determined for the Class 2 land, and the
governmental subdivision of the state must approve the value determined for the Class 3
land
. In an exchange of Class 2 land for Class 3 land, the value of all the land shall be
determined by the county board of the county in which the land lies, but the governmental
subdivision of the state must approve the value determined for the Class 3 land
.

(b) To determine the value of the land, the parties to the exchange may either (1)
cause the land to be appraised, utilize the valuation process provided under section
84.0272, subdivision 3, or obtain a market analysis from a qualified real estate broker
or
(2) determine the value for each 40-acre tract or lot, or a portion thereof, using the most
current township or county assessment schedules for similar land types from the county
assessor of the county in which the lands are located
. Merchantable timber value must
should be determined and considered in finalizing valuation of the lands.

(b) All (c) Except for school trust lands and university lands, the lands exchanged
under this section shall be exchanged only for lands of at least substantially equal value.
For the purposes of this subdivision, "substantially equal value" has the meaning given
under section 94.343, subdivision 3, paragraph (b). No payment is due either party if the
lands, other than school trust lands or university lands, are of substantially equal value but
are not of the same value.

(d) School trust lands and university lands exchanged under this section must be
exchanged only for lands of equal or greater value.

Sec. 26.

Minnesota Statutes 2014, section 94.3495, subdivision 7, is amended to read:


Subd. 7.

Reversionary interest; Mineral and water power rights and other
reservations.

(a) All deeds conveying land given in an expedited land exchange under
this section shall include a reverter that provides that title to the land automatically reverts
to the conveying governmental unit if:

(1) the receiving governmental unit sells, exchanges, or otherwise transfers title of
the land within 40 years of the date of the deed conveying ownership; and

(2) there is no prior written approval for the transfer from the conveying
governmental unit. The authority for granting approval is the commissioner of natural
resources for former Class 1 land, the county board for former Class 2 land, and the
governing body for former Class 3 land.

(b) Class 1 land given in exchange is subject to the reservation provisions of section
94.343, subdivision 4. Class 2 land given in exchange is subject to the reservation
provisions of section 94.344, subdivision 4. County fee land given in exchange is subject
to the reservation provisions of section 373.01, subdivision 1, paragraph (g).

Sec. 27.

Minnesota Statutes 2014, section 97A.075, subdivision 1, is amended to read:


Subdivision 1.

Deer, bear, and lifetime licenses.

(a) For purposes of this
subdivision, "deer license" means a license issued under section 97A.475, subdivisions 2,
clauses
(5), (6), (7), (13), (14), and (15); 3, paragraph (a), clauses (2), (3), (4), (10), (11),
and (12); and 8, paragraph (b), and licenses issued under section 97B.301, subdivision 4.

(b) $2 from each annual deer license and $2 annually from the lifetime fish and
wildlife trust fund, established in section 97A.4742, for each license issued under
section 97A.473, subdivision 4, shall be credited to the deer management account and
is appropriated to the commissioner for deer habitat improvement or deer management
programs.

(c) $1 from each annual deer license and each bear license and $1 annually from
the lifetime fish and wildlife trust fund, established in section 97A.4742, for each
license issued under section 97A.473, subdivision 4, shall be credited to the deer and
bear management account and is appropriated to the commissioner for deer and bear
management programs, including a computerized licensing system.

(d) Fifty cents from each deer license is credited to the emergency deer feeding and
wild cervidae health management account and is appropriated for emergency deer feeding
and wild cervidae health management. Money appropriated for emergency deer feeding
and wild cervidae health management is available until expended.

When the unencumbered balance in the appropriation for emergency deer feeding
and wild cervidae health management exceeds $2,500,000 at the end of a fiscal year, the
unencumbered balance in excess of $2,500,000 is canceled and available for deer and bear
management programs and computerized licensing.

(e) Fifty cents from each annual deer license and 50 cents annually from the lifetime
fish and wildlife trust fund established in section 97A.4742, for each license issued under
section 97A.473, subdivision 4, shall be credited to the wolf management and monitoring
account under subdivision 7.

Sec. 28.

Minnesota Statutes 2014, section 97A.075, subdivision 7, is amended to read:


Subd. 7.

Wolf licenses; account established.

(a) For purposes of this subdivision,
"wolf license" means a license or permit issued under section 97A.475, subdivision 2,
clause (20); 3, paragraph (a), clause (16); or 20, paragraph (b).

(b) A wolf management and monitoring account is created in the game and fish fund.
Revenue from wolf licenses must be credited to the wolf management and monitoring
account and is appropriated to the commissioner only for wolf management, research,
damage control, enforcement, and education. Notwithstanding any other law to the
contrary, money credited to the account may not be used to pay indirect costs or agency
shared services.

Sec. 29.

Laws 2015, First Special Session chapter 4, article 4, section 131, is amended
to read:


Sec. 131. SURPLUS STATE LAND SALES.

The school trust lands director shall identify, in consultation with the commissioner
of natural resources, at least $5,000,000 in state-owned lands suitable for sale or exchange
with school trust lands
. The lands identified shall not be within a unit of the outdoor
recreation system under Minnesota Statutes, section 86A.05, an administrative site, or
trust land. The commissioner shall sell or exchange at least $3,000,000 worth of lands
identified under this section by June 30, 2017. Land exchanged under this section may
be exchanged in accordance with Minnesota Statutes, section 94.3495. The value of
the surplus land exchanged shall serve as compensation to the permanent school fund
as provided under Minnesota Statutes, section 84.027, subdivision 18, paragraph (b).
Notwithstanding the restrictions on sale of riparian land and the public sale provisions
under Minnesota Statutes, sections 92.45, 94.09, and 94.10, the commissioner may
offer the surplus land, including land bordering public water, for public or private sale.
Notwithstanding Minnesota Statutes, section 94.16, subdivision 3, or any other law to the
contrary, the amount an amount equal to 90 percent of the proceeds from the sale of lands
that exceeds the actual expenses of selling the lands must be deposited in the school trust
lands account and used to extinguish the school trust interest as provided under Minnesota
Statutes, section 92.83, on school trust lands that have public water access sites or old
growth forests located on them. Notwithstanding Minnesota Statutes, section 92.83, the
remaining ten percent of the proceeds must be used to fund transactional and legal work
associated with the Boundary Waters Canoe Area Wilderness land exchange and sale
projects under Minnesota Statutes, sections 92.80 and 92.82.

Sec. 30. AGGREGATE RESOURCES TASK FORCE.

Subdivision 1.

Creation; membership.

(a) The Aggregate Resources Task Force
consists of eight members appointed as follows:

(1) the speaker of the house shall appoint four members of the house of representatives
to include two members of the majority party and two members of the minority party, with
one member being the chair of the committee with jurisdiction over aggregate mining; and

(2) the senate Subcommittee on Committees of the Committee on Rules and
Administration shall appoint four members of the senate to include two members of the
majority party and two members of the minority party, with one member being the chair
of the committee with jurisdiction over aggregate mining.

(b) The appointing authorities must make their respective appointments no later
than July 15, 2016.

(c) The first meeting of the task force must be convened by the chairs of the house of
representatives and senate committees with jurisdiction over aggregate mining who will
serve as cochairs of the task force.

Subd. 2.

Duties.

The task force must study and provide recommendations on:

(1) the Department of Natural Resources' and Metropolitan Council's aggregate
mapping progress and needs;

(2) the effectiveness of recent aggregate tax legislation and the use of the revenues
collected by counties;

(3) the use of state funds to preserve aggregate reserves; and

(4) local land use and permitting issues, environmental review requirements, and the
impacts of other state regulations on aggregate reserves.

Subd. 3.

Report.

No later than January 15, 2018, the task force shall submit a
report to the chairs of the house of representatives and senate committees and divisions
with jurisdiction over aggregate mining and environment and natural resources finance
containing the findings of the study.

Subd. 4.

Expiration.

The Aggregate Resources Task Force expires 45 days after
the report and recommendations are delivered to the legislature or on June 30, 2018,
whichever date is earlier.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 31. MARINE CARBON MONOXIDE DETECTORS; REPORT.

The commissioner of natural resources shall submit a report to the legislature
by November 1, 2018. The report must outline any issues encountered relating
to implementation of Minnesota Statutes, section 86B.532, any changes to marine
manufacturing industry standards relating to carbon monoxide, the availability of plug-in
or battery-powered marine certified carbon monoxide detectors, and best practices in
preventing carbon monoxide poisoning relating to motorboat operation, including the
feasibility of requiring carbon monoxide detectors that are more sensitive in measuring
carbon monoxide than required in this act.

Sec. 32. PRESCRIBED BURN REQUIREMENTS; REPORT.

The commissioner of natural resources, in cooperation with prescribed burning
professionals, nongovernmental organizations, and local and federal governments, must
develop criteria for certifying an entity to conduct a prescribed burn under a general
permit. The certification requirements must include training, equipment, and experience
requirements and include an apprentice program to allow entities without experience to
become certified. The commissioner must establish provisions for decertifying entities.
The commissioner must not require additional certification or requirements for burns
conducted as part of normal agricultural practices not currently subject to prescribed burn
specifications. The commissioner must submit a report with recommendations and any
legislative changes needed to the chairs and ranking minority members of the house of
representatives and senate committees and divisions with jurisdiction over environment
and natural resources by January 15, 2017.

Sec. 33. SAND DUNES STATE FOREST; REPORT.

(a) Until July 1, 2017, the commissioner of natural resources shall not log, enter into
a logging contract, or otherwise remove trees for purposes of creating oak savanna in the
Sand Dunes State Forest. This paragraph does not prohibit work done under contracts
entered into before the effective date of this section or work on school trust lands.

(b) By January 15, 2017, the commissioner must submit a report, prepared by
the Division of Forestry, to the chairs and ranking minority members of the house of
representatives and senate committees and divisions with jurisdiction over environment
and natural resources with the Division of Forestry's progress on collaborating with local
citizens and other stakeholders over the past year when making decisions that impact
the landscape, including forest conversions and other clear-cutting activities, and the
division's progress on other citizen engagement activities.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 34. COLD SPRING WATER APPROPRIATION PERMITS; REPORT.

(a) The commissioner of natural resources shall amend the city of Cold Spring's
water appropriation permit to allow an increase in the city's water withdrawal of 100
million gallons per year from city wells 4, 5, and 6, provided a combined reduction of
ten million gallons per year is made from city well 3 or water appropriations under any
permits held by brewing companies in the Cold Spring Creek area. The city and any other
permit holder with permit modifications made under this section must comply with all
existing reporting requirements and demonstrate that increased pumping does not result in
violations of the Safe Drinking Water Act. The increases under this section are available
on an interim basis, not to exceed five years, to allow the city to establish a new well field
and long-term water supply solution for the city and area businesses.

(b) The commissioner must conduct necessary monitoring of stream flow and water
levels and develop a groundwater model to determine the amount of water that can be
sustainably pumped in the area of Cold Spring Creek for area businesses, agriculture, and
city needs. Beginning July 1, 2017, the commissioner must submit an annual progress
report to the chairs and ranking minority members of the house of representatives and
senate committees and divisions with jurisdiction over environment and natural resources.
The commissioner must submit a final report by January 15, 2022.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 35. WATER LEVEL CONTROL PERMIT FOR BIG LAKE; GRANT
COUNTY.

Notwithstanding Minnesota Statutes, sections 103G.407 and 103G.408, the
commissioner of natural resources must issue a permit to the Bois de Sioux Watershed
District to allow Big Lake in Grant County to be maintained at an elevation of 1,073 feet
from May 1 to October 1, and to be drawn down to an elevation of 1,072 feet prior to the
lake freezing. Prior to issuing the permit required under this section, the commissioner
of natural resources must receive a report from the Bois de Sioux Watershed District
that provides a description and budget for the watershed district's Big Lake project,
including the anticipated funding sources and any planned land acquisitions. The
commissioner must submit the report to the chairs and ranking minority members of the
house of representatives and senate committees and divisions with jurisdiction over the
environment and natural resources. Land acquired for purposes of the Big Lake project
may not be acquired by eminent domain.

Sec. 36. LAKE SERVICE PROVIDER FEASIBILITY REPORT.

The commissioner of natural resources shall report to the chairs of the house of
representatives and senate committees with jurisdiction over natural resources by January
15, 2019, regarding the feasibility of expanding permitting to service providers as
described in Minnesota Statutes, section 84D.108, subdivision 2a, to other water bodies in
the state. The report must:

(1) include recommendations for state and local resources needed to implement the
program;

(2) assess local government inspection roles under Minnesota Statutes, section
84D.105, subdivision 2, paragraph (g); and

(3) assess whether mechanisms to ensure that water-related equipment placed back
into the same body of water from which it was removed can adequately protect other
water bodies.

Sec. 37. CITATION.

Sections 16, 17, 18, 19, and 31 may be known and cited as "Sophia's Law."

Sec. 38. REPEALER.

Minnesota Statutes 2014, section 116P.13, is repealed.

EFFECTIVE DATE.

This section is effective July 1, 2018, and any funds remaining
in the Minnesota future resources fund on July 1, 2018, are transferred to the general fund.

ARTICLE 4

JOBS APPROPRIATIONS

Section 1. APPROPRIATIONS

The sums shown in the columns under "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2015, First Special Session,
chapter 1, or other law to the specified agencies. The appropriations are from the general
fund, or another named fund, and are available for the fiscal years indicated for each
purpose. The figures "2016" and "2017" used in this article mean that the appropriations
listed under them are available for the fiscal year ending June 30, 2016, or June 30, 2017,
respectively. Appropriations for the fiscal year ending June 30, 2016, are effective the day
following final enactment. Reductions may be taken in either fiscal year.

APPROPRIATIONS
Available for the Year
Ending June 30
2016
2017

Sec. 2. DEPARTMENT OF EMPLOYMENT
AND ECONOMIC DEVELOPMENT

Subdivision 1.

Total Appropriation

$
-0-
$
3,253,000

Subd. 2.

Business and Community
Development

(16,347,000)

(a) $12,000,000 in fiscal year 2017 is a
onetime reduction in the general fund
appropriation for the Minnesota investment
fund under Minnesota Statutes, section
116J.8731. The base funding for this purpose
is $5,000,000 in fiscal year 2018 and each
fiscal year thereafter.

(b) $8,500,000 in fiscal year 2017 is a
onetime reduction in the general fund
appropriation for the Minnesota job creation
fund under Minnesota Statutes, section
116J.8748. The base funding for this
program is $7,500,000 in fiscal year 2018
and each fiscal year thereafter.

(c) $1,000,000 in fiscal year 2017 is from the
general fund for the redevelopment program
under Minnesota Statutes, section 116J.571.
This is a onetime appropriation.

(d) $1,000,000 in fiscal year 2017 is from the
workforce development fund for a grant to
the Neighborhood Development Center for
developing and supporting entrepreneurial
skills and job creation in communities served
by the Neighborhood Development Center.
Funds may be used for activities including but
not limited to business plan training, business
workshops, technical assistance to small
business owners, development and support
of business incubators, entrepreneurial
network development, and the expansion
of entrepreneurial capacity in communities.
This is a onetime appropriation.

(e) $100,000 in fiscal year 2017 is from
the general fund for an easy-to-understand
manual to instruct aspiring business owners
in how to start a child care business. The
commissioner shall work in consultation
with relevant state and local agencies
and affected stakeholders to produce the
manual. The manual must be made available
electronically to interested persons. This is a
onetime appropriation and is available until
June 30, 2019.

(f) $500,000 in fiscal year 2017 is from the
workforce development fund for a grant to
Enterprise Minnesota, Inc. Of this amount,
$250,000 is for the small business growth
acceleration program under Minnesota
Statutes, section 116O.115, and $250,000
is for operations under Minnesota Statutes,
sections 116O.01 to 116O.061. This is a
onetime appropriation.

(g) $12,000 in fiscal year 2017 is a reduction
in the general fund appropriation for the
Upper Minnesota Film Office.

(h) $1,825,000 in fiscal year 2017 is a
reduction in the general fund appropriation
for the Minnesota Film and TV Board.

(i) $500,000 in fiscal year 2017 is from
the general fund for the workforce housing
grant program in Minnesota Statutes, section
116J.549. This is a onetime appropriation.

(j) $2,290,000 in fiscal year 2017 is from the
general fund for a grant to Mille Lacs County
to develop and operate the Lake Mille Lacs
area economic relief program established
in article 5, section 11. This is a onetime
appropriation.

(k) $500,000 in fiscal year 2017 is from the
general fund for grants to local communities
outside of the metropolitan area as defined
under Minnesota Statutes, section 473.121,
subdivision 2, to increase the supply of
quality child care providers in order to
support regional economic development.
Grant recipients must match state funds on a
dollar-for-dollar basis. Grant funds available
under this section must be used to implement
solutions to reduce the child care shortage
in the state, including but not limited to
funding for child care business start-up or
expansion, training, facility modifications
or improvements required for licensing,
and assistance with licensing and other
regulatory requirements. In awarding grants,
the commissioner must give priority to
communities in greater Minnesota that have
documented a shortage of child care providers
in the area. This is a onetime appropriation
and is available until June 30, 2019.

By September 30, 2017, grant recipients must
report to the commissioner on the outcomes
of the grant program, including but not
limited to the number of new providers, the
number of additional child care provider jobs
created, the number of additional child care
slots, and the amount of local funds invested.

By January 1, 2018, the commissioner must
report to the standing committees of the
legislature having jurisdiction over child care
and economic development on the outcomes
of the program to date.

(l) $100,000 in fiscal year 2017 is from
the general fund for a grant to the city of
Madelia to provide match funding for a
federal Economic Development Agency
technical assistance grant. This is a onetime
appropriation.

Subd. 3.

Workforce Development

3,900,000

(a) $600,000 in fiscal year 2017 is from the
workforce development fund for a grant to
Ujamaa Place for job training, employment
preparation, internships, education, training
in the construction trades, housing, and
organizational capacity building. This is a
onetime appropriation.

(b) $800,000 in fiscal year 2017 is from the
workforce development fund for a grant
to Latino Communities United in Service
(CLUES) to expand culturally tailored
programs that address employment and
education skill gaps for working parents
and underserved youth. Funds must be
used to provide new job skills training to
stimulate higher wages for low-income
people, family support systems designed
to reduce generational poverty, and youth
programming to promote educational
advancement and career pathways. At
least 50 percent of the total grant funds
must be used for programming in greater
Minnesota. CLUES shall submit a report to
the chairs and ranking minority members of
the legislative committees and divisions of
the senate and house of representatives with
primary jurisdiction over jobs with findings
of program outcomes by March 1, 2018. The
report must include the type, duration, and
attendance of each program and quantifiable
measures of success. This is a onetime
appropriation and is available until June 30,
2019.

(c) $600,000 in fiscal year 2017 is from the
workforce development fund for performance
grants under Minnesota Statutes, section
116J.8747, to Twin Cities RISE! to provide
training to hard-to-train individuals. This is
onetime appropriation.

(d) $1,000,000 in fiscal year 2017 is from the
general fund for a grant to the Construction
Careers Foundation for the construction
career pathway initiative to provide
year-round educational and experiential
learning opportunities for teens and young
adults under the age of 21 that lead to careers
in the construction industry. This is a onetime
appropriation and is available until June 30,
2019. Grant funds must be used to:

(1) increase construction industry exposure
activities for middle school and high school
youth, parents, and counselors to reach a more
diverse demographic and broader statewide
audience. This requirement includes, but
is not limited to, an expansion of programs
to provide experience in different crafts to
youth and young adults throughout the state;

(2) increase the number of high schools
in Minnesota offering construction classes
during the academic year that utilize a
multicraft curriculum;

(3) increase the number of summer internship
opportunities;

(4) enhance activities to support graduating
seniors in their efforts to obtain employment
in the construction industry;

(5) increase the number of young adults
employed in the construction industry and
ensure that they reflect Minnesota's diverse
workforce; and

(6) enhance an industrywide marketing
campaign targeted to youth and young adults
about the depth and breadth of careers within
the construction industry.

Programs and services supported by grant
funds must give priority to individuals and
groups that are economically disadvantaged
or historically underrepresented in the
construction industry, including but not
limited to women, veterans, and members of
minority and immigrant groups.

(e) $400,000 in fiscal year 2017 is from the
general fund for the Youth at Work youth
workforce development competitive grant
program. Of this amount, up to five percent
is for administration and monitoring of the
program. This is a onetime appropriation and
is available until June 30, 2018.

(f) $500,000 in fiscal year 2017 is
appropriated from the workforce
development fund for a grant to the YWCA
of Minneapolis to provide economically
challenged individuals the jobs skills
training, career counseling, and job
placement assistance necessary to secure
a child development associate credential
and to have a career path in early childhood
education. This is a onetime appropriation.

Subd. 4.

Vocational Rehabilitation

500,000

$500,000 in fiscal year 2017 is from
the general fund for grants to centers
for independent living under Minnesota
Statutes, section 268A.11. This is a onetime
appropriation.

Subd. 5.

State Services for the Blind

200,000

$200,000 in fiscal year 2017 is from the
general fund for State Services for the
Blind. Funds appropriated must be used to
provide services for senior citizens who are
becoming blind. At least half of the funds
appropriated must be used to provide training
services for seniors who are becoming blind.
Training services must provide independent
living skills to seniors who are becoming
blind to allow them to continue to live
independently in their homes. This is a
onetime appropriation.

Subd. 6.

Broadband Development

15,000,000

(a) $15,000,000 in fiscal year 2017 is
from the general fund for deposit in the
border-to-border broadband fund account
under Minnesota Statutes, section 116J.396,
for the purpose of awarding grants under that
section. The base funding for this program is
$25,000,000 in fiscal year 2018. These are
onetime appropriations.

(b) $500,000 must be awarded to projects
that propose to expand the availability and
adoption of broadband service to areas
that contain a significant proportion of
low-income households. For the purposes of
this subdivision, "low-income households"
means households whose household income
is less than or equal to 200 percent of the
most recent calculation of the United States
federal poverty guidelines published by the
federal Department of Health and Human
Services, adjusted for family size.

(c) Minnesota Statutes, section 116J.395,
subdivision 5a, does not apply to applications
for grants under paragraph (b) and does
not apply to applications for grants under
paragraph (a) in underserved areas.

(d) If grant awards in any area are insufficient
to fully expend the funds available for
that area, the commissioner may reallocate
unexpended funds to other areas.

Sec. 3. HOUSING FINANCE AGENCY

Subdivision 1.

Total Appropriation

$
-0-
$
(250,000)

Subd. 2.

Challenge Program

(500,000)

(a) This is a onetime general fund
appropriation reduction in fiscal year 2017.

(b) The base funding for this program in fiscal
year 2018 and thereafter is $12,925,000.

Subd. 3.

Family Homeless Prevention

250,000

$250,000 in fiscal year 2017 is from the
general fund for grants to eligible applicants
to create or expand risk mitigation programs
to reduce landlord financial risks for renting
to persons eligible under Minnesota Statutes,
section 462A.204. Eligible programs may
reimburse landlords for costs including but
not limited to nonpayment of rent, or damage
costs above those costs covered by security
deposits. The agency may give higher
priority to applicants that can demonstrate
a matching amount of money by a local
unit of government, business, or nonprofit
organization. Grantees must establish a
procedure to review and validate claims and
reimbursements under this grant program.
This is a onetime appropriation.

Sec. 4. EXPLORE MINNESOTA TOURISM

$
-0-
$
800,000

(a) $300,000 in fiscal year 2017 is from
the general fund for a grant to the Mille
Lacs Tourism Council to enhance marketing
activities related to tourism promotion in
the Mille Lacs Lake area. This is a onetime
appropriation.

(b) $500,000 in fiscal year 2017 is from the
general fund for a pilot project to assist in
funding and securing major events benefiting
communities throughout the state. The pilot
project must measure the economic impact
of visitors on state and local economies,
increased lodging and nonlodging sales taxes
in addition to visitor spending, and increased
media awareness of the state as an event
destination. This is a onetime appropriation.

Sec. 5. DEPARTMENT OF LABOR AND
INDUSTRY

Subdivision 1.

Total Appropriation

$
-0-
$
250,000

Subd. 2.

Labor Standards and Apprenticeship

$
250,000
Appropriations by Fund
2016
2017
General
-0-
$150,000
Workforce
Development
-0-
$100,000

$150,000 in fiscal year 2017 is from the
general fund and $100,000 in fiscal year
2017 is from the workforce development
fund for the apprenticeship program under
Minnesota Statutes, chapter 178.

Sec. 6. BUREAU OF MEDIATION
SERVICES

$
-0-
$
(125,000)

This is a reduction in the general fund
appropriation in fiscal year 2017 for the
Public Employment Relations Board.

Sec. 7. DEPARTMENT OF COMMERCE

Subdivision 1.

Total Appropriation

$
-0-
$
(151,000)

Subd. 2.

Telecommunications

(376,000)

The base amount for this purpose is $558,000
in fiscal year 2018 and $482,000 in fiscal
year 2019.

Subd. 3.

Energy Resources

-0-
100,000

$100,000 in fiscal year 2017 is from the
general fund for energy regulation and
planning unit staff. This appropriation is
not subject to assessment under Minnesota
Statutes, section 216B.62.

Subd. 4.

Insurance

125,000

$125,000 in fiscal year 2017 is from the
general fund for insurance fraud enforcement
under Minnesota Statutes, section 45.0135,
subdivision 9.

Sec. 8. PUBLIC UTILITIES COMMISSION

$
-0-
$
(56,000)

(a) Of the amount appropriated, $112,000
in fiscal year 2017 is from the general
fund for costs related to implementation
of solar energy standards and community
solar garden requirements under Laws
2013, chapter 85, and Laws 2015, First
Special Session chapter 1, article 3. This
appropriation is not subject to assessment
under Minnesota Statutes, section 216B.62.

(b) Of the amount in fiscal year 2017,
$375,000 is a onetime reduction in the general
fund appropriation for telecommunications
regulation.

(c) Of the amount appropriated in fiscal year
2017, $207,000 is from the general fund for
expenses related to additional Public Utilities
Commission members.

(d) The base funding for the Public Utilities
Commission is $7,155,000 in fiscal year
2018 and $7,160,000 in fiscal year 2019.

Sec. 9. PUBLIC FACILITIES AUTHORITY

$
-0-
$
11,500,000

$11,500,000 in fiscal year 2017 is from the
general fund for a grant to the Lewis and
Clark Joint Powers Board to acquire land,
design, engineer, and construct facilities
and infrastructure necessary to complete
Phase 3 of the Lewis and Clark Regional
Water System project, including extension
of the project from the Lincoln-Pipestone
Rural Water System connection near
Adrian to Worthington, construction of a
reservoir in Nobles County and a meter
building in Worthington, and acquiring and
installing a supervisory control and data
acquisition (SCADA) system. This is a
onetime appropriation and is not available
until the commissioner of management and
budget determines that at least $9,000,000
is committed to the Phase 3 of the project
from nonstate sources. This appropriation
is available until the project is completed or
abandoned, subject to Minnesota Statutes,
section 16A.642.

Sec. 10.

Laws 2015, First Special Session chapter 1, article 1, section 2, subdivision 3,
is amended to read:


Subd. 3.

Workforce Development

Appropriations by Fund
General
2,189,000
1,789,000
Workforce
Development
17,567,000
16,767,000

(a) $1,039,000 each year from the general
fund and $3,104,000 each year from the
workforce development fund are for the adult
workforce development competitive grant
program. Of this amount, up to five percent
is for administration and monitoring of the
adult workforce development competitive
grant program. All grant awards shall be
for two consecutive years. Grants shall be
awarded in the first year.

(b) $4,050,000 each year is from the
workforce development fund for the
Minnesota youth program under Minnesota
Statutes, sections 116L.56 and 116L.561, to
provide employment and career advising to
youth, including career guidance in secondary
schools, to address the youth career advising
deficiency, to carry out activities outlined
in Minnesota Statutes, section 116L.561,
to provide support services, and to provide
work experience to youth in the workforce
service areas. The funds in this paragraph
may be used for expansion of the pilot
program combining career and higher
education advising in Laws 2013, chapter 85,
article 3, section 27. Activities in workforce
services areas under this paragraph may
serve all youth up to age 24.

(c) $1,000,000 each year is from the
workforce development fund for the
youthbuild program under Minnesota
Statutes, sections 116L.361 to 116L.366.

(d) $450,000 each year is from the workforce
development fund for a grant to Minnesota
Diversified Industries, Inc., to provide
progressive development and employment
opportunities for people with disabilities.

(e) $3,348,000 each year is from the
workforce development fund for the "Youth
at Work" youth workforce development
competitive grant program. Of this amount,
up to five percent is for administration
and monitoring of the youth workforce
development competitive grant program. All
grant awards shall be for two consecutive
years. Grants shall be awarded in the first
year.

(f) $500,000 each year is from the workforce
development fund for the Opportunities
Industrialization Center programs.

(g) $750,000 each year is from the workforce
development fund for a grant to the
Minnesota Alliance of Boys and Girls
Clubs to administer a statewide project
of youth jobs skills development. This
project, which may have career guidance
components, including health and life skills,
is to encourage, train, and assist youth in
job-seeking skills, workplace orientation,
and job-site knowledge through coaching.
This grant requires a 25 percent match from
nonstate resources.

(h) $250,000 the first year and $250,000 the
second year are for pilot programs in the
workforce service areas to combine career
and higher education advising.

(i) $215,000 each year is from the workforce
development fund for a grant to Big
Brothers, Big Sisters of the Greater Twin
Cities for workforce readiness, employment
exploration, and skills development for
youth ages 12 to 21. The grant must serve
youth in the Twin Cities, Central Minnesota
and Southern Minnesota Big Brothers, Big
Sisters chapters.

(j) $900,000 in fiscal year 2016 and
$1,100,000 in fiscal year 2017 are from the
workforce development fund for a grant to the
Minnesota High Tech Association to support
SciTechsperience, a program that supports
science, technology, engineering, and math
(STEM) internship opportunities for two-
and four-year college students in their field
of study. The internship opportunities
must match students with paid internships
within STEM disciplines at small, for-profit
companies located in the seven-county
metropolitan area, having fewer than 150
total employees; or at small or medium,
for-profit companies located outside of the
seven-county metropolitan area, having
fewer than 250 total employees. At least 200
students must be matched in the first year
and at least 250 students must be matched in
the second year. Selected hiring companies
shall receive from the grant 50 percent of the
wages paid to the intern, capped at $2,500
per intern. The program must work toward
increasing the participation among women or
other underserved populations.

(k) $50,000 each year is from the workforce
development fund for a grant to the St. Cloud
Area Somali Salvation Youth Organization
for youth development and crime prevention
activities. Grant funds may be used to
train and place mentors in elementary and
secondary schools; for athletic, social,
and other activities to foster leadership
development; to provide a safe place for
participating youth to gather after school, on
weekends, and on holidays; and activities to
improve the organizational and job readiness
skills of participating youth. This is a
onetime appropriation and is available until
June 30, 2019. Funds appropriated the first
year are available for use in the second year
of the biennium.

(l) $500,000 each year is for rural career
counseling coordinator positions in the
workforce service areas and for the purposes
specified in Minnesota Statutes, section
116L.667. The commissioner, in consultation
with local workforce investment boards and
local elected officials in each of the service
areas receiving funds, shall develop a method
of distributing funds to provide equitable
services across workforce service areas.

(m) $400,000 in fiscal year 2016 is for a grant
to YWCA Saint Paul for training and job
placement assistance, including commercial
driver's license training, through the job
placement and retention program. This is a
onetime appropriation.

(n) $800,000 in fiscal year 2016 is from
the workforce development fund for
the customized training program for
manufacturing industries under article 2,
section 24. This is a onetime appropriation
and is available in either year of the
biennium. Of this amount:

(1) $350,000 is for a grant to Central Lakes
College for the purposes of this paragraph;

(2) $250,000 is for Minnesota West
Community and Technical College for the
purposes of this paragraph; and

(3) $200,000 is for South Central College for
the purposes of this paragraph.

(o) $500,000 each year is from the workforce
development fund for a grant to Resource,
Inc. to provide low-income individuals
career education and job skills training that
are fully integrated with chemical and mental
health services.

(p) $200,000 in fiscal year 2016 and $200,000
in fiscal year 2017 are from the workforce
development fund for performance grants
under Minnesota Statutes, section 116J.8747,
to Twin Cities RISE! to provide training to
hard-to-train individuals. This is a onetime
appropriation.

(q) $200,000 in fiscal year 2016 is from
the workforce development fund for the
foreign-trained health care professionals
grant program modeled after the pilot
program conducted under Laws 2006,
chapter 282, article 11, section 2, subdivision
12, to encourage state licensure of
foreign-trained health care professionals,
including: physicians, with preference given
to primary care physicians who commit
to practicing for at least five years after
licensure in underserved areas of the state;
nurses; dentists; pharmacists; mental health
professionals; and other allied health care
professionals. The commissioner must
collaborate with health-related licensing
boards and Minnesota workforce centers to
award grants to foreign-trained health care
professionals sufficient to cover the actual
costs of taking a course to prepare health
care professionals for required licensing
examinations and the fee for the state
licensing examinations. When awarding
grants, the commissioner must consider the
following factors:

(1) whether the recipient's training involves
a medical specialty that is in high demand in
one or more communities in the state;

(2) whether the recipient commits to
practicing in a designated rural area or an
underserved urban community, as defined in
Minnesota Statutes, section 144.1501;

(3) whether the recipient's language skills
provide an opportunity for needed health care
access for underserved Minnesotans; and

(4) any additional criteria established by the
commissioner.

This is a onetime appropriation and is
available until June 30, 2019.

Sec. 11.

Laws 2015, First Special Session chapter 1, article 1, section 8, subdivision 8,
is amended to read:


Subd. 8.

Insurance

Appropriations by Fund
General
4,095,000
4,004,000
Workers'
Compensation
553,000
553,000

$642,000 each year is for health insurance
rate review staffing.

$91,000 in fiscal year 2016 is for the task
force on no-fault auto insurance issues.

$125,000 in fiscal year 2017 is for insurance
fraud enforcement under Minnesota Statutes,
section 45.0135, subdivision 9.

ARTICLE 5

JOBS AND ECONOMIC DEVELOPMENT

Section 1.

Minnesota Statutes 2015 Supplement, section 16A.967, subdivision 2,
is amended to read:


Subd. 2.

Authorization to issue appropriation bonds.

(a) Subject to the limitations
of this subdivision, the commissioner may sell and issue appropriation bonds of the state
under this section for public purposes as provided by law, including, in particular, the
financing of the land acquisition, design, engineering, and construction of facilities and
infrastructure necessary to complete the next phase of the Lewis and Clark Regional Water
System project, including completion of the pipeline to Magnolia, extension of the project
to the Lincoln-Pipestone Rural Water System connection near Adrian, and engineering,
design, and easement acquisition for the final phase of the project to Worthington. No
bonds shall be sold until the commissioner determines that a nonstate match of at least
$9,000,000 is committed to this project phase
. Grant agreements entered into under this
section must provide for reimbursement to the state from any federal money provided for
the project, consistent with the Lewis and Clark Regional Water System, Inc., agreement.

(b) The appropriation bonds may be issued and sold only after the commissioner
determines that the construction and administration for work done on the project will
comply with (1) all federal requirements and regulations associated with the Lewis and
Clark Rural Water System Act of 2000, and (2) the cooperative agreement between the
United States Department of the Interior and the Lewis and Clark Regional Water System,
Inc. Proceeds of the appropriation bonds must be credited to a special appropriation Lewis
and Clark bond proceeds fund in the state treasury. All income from investment of the
bond proceeds, as estimated by the commissioner, is appropriated to the commissioner for
the payment of principal and interest on the appropriation bonds.

(c) Appropriation bonds may be sold and issued in amounts that, in the opinion of the
commissioner, are necessary to provide sufficient money to the Public Facilities Authority
under subdivision 7
, not to exceed $19,000,000 net of costs of issuance, for the purposes as
provided under this paragraph (a), and pay debt service including capitalized interest, costs
of issuance, costs of credit enhancement, or make payments under other agreements entered
into under paragraph (e). The bonds authorized by this paragraph are for the purposes
of financing the land acquisition, design, engineering, and construction of facilities and
infrastructure necessary to complete Phase 2 of the Lewis and Clark Regional Water
System project, including completion of the pipeline to Magnolia; extension of the project
to the Lincoln-Pipestone Rural Water System connection near Adrian; and engineering,
design, and easement acquisition for the final phase of the project to Worthington. No
bonds shall be sold under this subdivision until the commissioner determines that a
nonstate match of at least $9,000,000 is committed to this project phase. Upon completion
of Phase 2, the unspent, unencumbered portion of the appropriation in this subdivision
is available for the purposes of Phase 3, which includes extension of the project from
the Lincoln-Pipestone Rural Water System connection near Adrian to Worthington,
construction of a reservoir in Nobles County and a meter building in Worthington, and
acquiring and installing a supervisory control and data acquisition (SCADA) system.

(d) Appropriation bonds may be issued in one or more issues or series on the terms and
conditions the commissioner determines to be in the best interests of the state, but the term
on any series of appropriation bonds may not exceed 25 years. The appropriation bonds of
each issue and series thereof shall be dated and bear interest, and may be includable in or
excludable from the gross income of the owners for federal income tax purposes.

(e) At the time of, or in anticipation of, issuing the appropriation bonds, and at any
time thereafter, so long as the appropriation bonds are outstanding, the commissioner may
enter into agreements and ancillary arrangements relating to the appropriation bonds,
including but not limited to trust indentures, grant agreements, lease or use agreements,
operating agreements, management agreements, liquidity facilities, remarketing or
dealer agreements, letter of credit agreements, insurance policies, guaranty agreements,
reimbursement agreements, indexing agreements, or interest exchange agreements. Any
payments made or received according to the agreement or ancillary arrangement shall be
made from or deposited as provided in the agreement or ancillary arrangement. The
determination of the commissioner included in an interest exchange agreement that the
agreement relates to an appropriation bond shall be conclusive.

(f) The commissioner may enter into written agreements or contracts relating to the
continuing disclosure of information necessary to comply with or facilitate the issuance
of appropriation bonds in accordance with federal securities laws, rules, and regulations,
including Securities and Exchange Commission rules and regulations in Code of Federal
Regulations, title 17, section 240.15c 2-12. An agreement may be in the form of covenants
with purchasers and holders of appropriation bonds set forth in the order or resolution
authorizing the issuance of the appropriation bonds, or a separate document authorized
by the order or resolution.

(g) The appropriation bonds are not subject to chapter 16C.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

Minnesota Statutes 2015 Supplement, section 16A.967, subdivision 7, is
amended to read:


Subd. 7.

Appropriation of proceeds.

The proceeds of appropriation bonds issued
under this section
and interest credited to the special appropriation Lewis and Clark bond
proceeds fund are appropriated to the commissioner:

(1) to the Public Facilities Authority for a grant to the Lewis and Clark Joint Powers
Board
for payment of capital expenses for the purposes provided by as specified in
subdivision 2, paragraph (a),; and

(2) to the commissioner for debt service on the bonds including capitalized interest,
nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds and
payments under any agreements entered into under subdivision 2, paragraph (e), each as
permitted by state and federal law, and such proceeds may be granted, loaned, or otherwise
provided for the public purposes provided by subdivision 2, paragraph (a)
.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3.

Minnesota Statutes 2014, section 116J.548, subdivision 2, is amended to read:


Subd. 2.

Definitions.

For purposes of this section:

(a) "Capital costs" means expenditures for the public acquisition and of land and
buildings,
betterment of public lands and buildings, and for other publicly owned capital
improvements. Capital costs also include expenditures for predesign, design, engineering,
and similar activities for specifically identified eligible projects.

(b) "Eligible project" means a development or redevelopment project that will
generate economic development within a time frame of five years or less or facilitate the
preparation of long-term economic development
within a host community.

(c) "Economic development" means assistance in preparation of a redevelopment or
development area contained in the application that results in at least one of the following:

(1) job creation, including jobs relating to construction and temporary jobs;

(2) an increase in the tax base,;

(3) the capacity ability of the eligible project to attract private investment, and;

(4) long-term economic development;

(5) needed public infrastructure or transportation-related improvements to facilitate
long-term redevelopment or development; or

(6) other objective criteria established by the commissioner that demonstrate a
public benefit to the host community.

(d) "Host community" means a city located within the seven-county metropolitan
area, as defined in section 473.121, subdivision 2, that is the site of a waste disposal
facility that meets the standards in section 473.849, that accepts unprocessed mixed
municipal solid waste generated in the metropolitan area.

(e) "Long-term economic development" means capital costs associated with
economic development projects identified by a host community comprehensive plan or
redevelopment plan that will generate eligible economic development.

Sec. 4.

Minnesota Statutes 2014, section 116J.548, subdivision 3, is amended to read:


Subd. 3.

Application.

Host communities may apply for a grant under this section
on a form and in a manner prescribed by the commissioner. In awarding grants under
this section, the commissioner shall give priority to eligible projects that, based on a
cost-benefit analysis, provide the highest return on public investment.
the commissioner
must allocate available money between host communities as evenly as practicable.

Sec. 5.

Minnesota Statutes 2014, section 116J.8737, subdivision 3, is amended to read:


Subd. 3.

Certification of qualified investors.

(a) Investors may apply to the
commissioner for certification as a qualified investor for a taxable year. The application
must be in the form and be made under the procedures specified by the commissioner,
accompanied by an application fee of $350. Application fees are deposited in the small
business investment tax credit administration account in the special revenue fund. The
application for certification for 2010 must be made available on the department's Web
site by August 1, 2010. Applications for subsequent years' certification must be made
available on the department's Web site by November 1 of the preceding year.

(b) Within 30 days of receiving an application for certification under this subdivision,
the commissioner must either certify the investor as satisfying the conditions required
of a qualified investor, request additional information from the investor, or reject the
application for certification. If the commissioner requests additional information from the
investor, the commissioner must either certify the investor or reject the application within
30 days of receiving the additional information. If the commissioner neither certifies the
investor nor rejects the application within 30 days of receiving the original application or
within 30 days of receiving the additional information requested, whichever is later, then
the application is deemed rejected, and the commissioner must refund the $350 application
fee. An investor who applies for certification and is rejected may reapply.

(c) To receive certification, an investor must (1) be a natural person; and (2) certify
to the commissioner that the investor will only invest in a transaction that is exempt under
section 80A.46, clause (13) or (14), in a security exempt under section 80A.461, or in a
security registered under section 80A.50, paragraph (b).

(d) In order for a qualified investment in a qualified small business to be eligible
for tax credits, a qualified investor who makes the investment must have applied for
and received certification for the calendar year prior to making the qualified investment,
except in the case of an investor who is not an accredited investor, within the meaning of
Regulation D of the Securities and Exchange Commission, Code of Federal Regulations,
title 17, section 230.501, paragraph (a), application for certification may be made within
30 days after making the qualified investment.

EFFECTIVE DATE.

This section is effective for taxable years beginning after
December 31, 2015.

Sec. 6.

Minnesota Statutes 2014, section 116J.8747, subdivision 1, is amended to read:


Subdivision 1.

Grant allowed.

The commissioner may provide a grant to a qualified
job training program from money appropriated for the purposes of this section as follows:

(1) a $9,000 an $11,000 placement grant paid to a job training program upon
placement in employment of a qualified graduate of the program; and

(2) a $9,000 an $11,000 retention grant paid to a job training program upon retention
in employment of a qualified graduate of the program for at least one year.

Sec. 7.

Minnesota Statutes 2014, section 116J.8747, subdivision 2, is amended to read:


Subd. 2.

Qualified job training program.

To qualify for grants under this section,
a job training program must satisfy the following requirements:

(1) the program must be operated by a nonprofit corporation that qualifies under
section 501(c)(3) of the Internal Revenue Code;

(2) the program must spend at least, on average, $15,000 or more per graduate
of the program;

(3) the program must provide education and training in:

(i) basic skills, such as reading, writing, mathematics, and communications;

(ii) thinking skills, such as reasoning, creative thinking, decision making, and
problem solving; and

(iii) personal qualities, such as responsibility, self-esteem, self-management,
honesty, and integrity;

(4) the program must may provide income supplements, when needed, to participants
for housing, counseling, tuition, and other basic needs;

(5) the program's education and training course must last for an average of at least
six months;

(6) individuals served by the program must:

(i) be 18 years of age or older;

(ii) have federal adjusted gross income of no more than $11,000 $12,000 per year in
the calendar year immediately before entering the program;

(iii) have assets of no more than $7,000 $10,000, excluding the value of a
homestead; and

(iv) not have been claimed as a dependent on the federal tax return of another person
in the previous taxable year; and

(7) the program must be certified by the commissioner of employment and economic
development as meeting the requirements of this subdivision.

Sec. 8.

Minnesota Statutes 2014, section 116M.15, subdivision 1, is amended to read:


Subdivision 1.

Creation; membership.

The Urban Initiative Board is created and
consists of the commissioner of employment and economic development, the commissioner
of human rights,
the chair of the Metropolitan Council, and eight members from the general
public appointed by the governor. Six of the public members must be representatives from
minority business enterprises. No more than four of the public members may be of one
gender. All public members must be experienced in business or economic development.

Sec. 9.

Minnesota Statutes 2014, section 383B.142, is amended to read:


383B.142 PROCEDURE.

Subdivision 1.

Delegation of authority.

The county board may by resolution
delegate the powers and duties enumerated in sections 383B.141 to 383B.151 383B.1511,
and those powers and duties necessary to the implementation of the purposes of central
purchasing specifying the nature, scope and extent of the delegation. The authority and
responsibility subject to delegation shall include, but not be limited to the following:

(a) purchasing and contracting for all goods, materials, supplies, equipment and
contracted services, as provided in section 383B.143;

(b) preparation, review, modification and approval of all plans and specifications for
goods, materials, supplies, equipment and contracted services;

(c) the transfer of any goods, materials, supplies, equipment or contracted services to
or between departments, boards, commissions and agencies;

(d) selling or otherwise disposing of goods, materials, supplies, equipment and
contracted services which are unusable or no longer required; and

(e) periodically reviewing and requiring department heads to supply necessary data
concerning inventories and surpluses and monitoring compliance by department heads
with purchasing laws, rules, regulations and procedures.

Subd. 2.

Administrator's duties.

Notwithstanding the provisions of section
373.02, the county board may delegate its purchasing powers and duties to the county
administrator. The county administrator, wherever referred to in sections 383B.141 to
383B.151 383B.1511, may designate and delegate a purchasing manager or other person
to perform the tasks empowered or assigned to the county administrator. Any purchase in
excess of $3,500 shall require the signature of the county administrator or designee.

Sec. 10.

[383B.1511] JOB ORDER CONTRACTING.

Subdivision 1.

Definitions.

(a) In this section, the definitions in this subdivision
apply.

(b) "Job order contracting" means a project delivery method that requests a limited
number of bids from a list of qualified contractors, selected from a registry of qualified
contractors who have been prescreened and who have entered into master contracts with
the county, as provided in this section.

(c) "Project" means an undertaking by the county to construct, alter, maintain, repair,
or enlarge a building, structure, road, or bridge, or make other improvements.

(d) "Request for qualifications" means the document or publication soliciting
qualifications for a job order contracting contract.

Subd. 2.

Authority.

Notwithstanding any law to the contrary, the county may utilize
job order contracting for projects that do not exceed a construction cost of $250,000.

Subd. 3.

Job order contracting request for qualifications.

(a) The county is
authorized to issue a request for qualifications that includes the criteria that will be
used for the projects, provided that these criteria (1) do not unduly restrict competition
or impose conditions beyond reasonable requirements, in order to ensure maximum
participation of all qualified contractors, and (2) do not relate to the collective bargaining
status of the contractor.

(b) The request for qualifications must be publicized in a manner designated by the
county that ensures open and unrestricted access for any potential responder. To the extent
practical, this must include posting on a county Web site.

Subd. 4.

Qualified contractors.

(a) The county shall review the responses to the
request for qualifications and determine each proposer's ability to enter into the master
contract that will be utilized for the projects. The county shall establish a list of qualified
contractors based on the proposers' ability to enter into a master contract as described
in the request for qualifications.

(b) The county may establish a reasonable limit to the number of contractors on the
registry of qualified contractors, based on the reasonable needs of the county. The county
may reserve up to 75 percent of the registry for certified small business enterprises that
may include minority-owned business enterprises, women-owned business enterprises,
and veteran-owned businesses. The remaining 25 percent of the registry may include
qualified businesses of any size or ownership.

(c) The county shall establish procedures to allow firms to submit qualifications at
least every 24 months to allow placement on the list of contractors qualified to enter
into a master contract. The county is not prohibited from accepting qualifications more
frequently or on an ongoing or rolling basis.

Subd. 5.

Construction services bidding.

The county shall request bids for
construction services for any project using job order contracting from qualified contractors
as follows:

(1) for projects up to a maximum cost of $50,000, the county shall request a
minimum of two bids;

(2) for projects with a cost greater than $50,000, but less than or equal to $100,000,
the county shall request a minimum of three bids; and

(3) for projects with a cost greater than $100,000, but less than or equal to $250,000,
the county shall request a minimum of four bids.

Subd. 6.

Qualified contractor selection.

The county shall select the contractor who
submits the lowest price bid for the construction services proposed. At the discretion of
the county, any or all bids may be rejected if it is determined to be in the best interest
of the county.

Subd. 7.

Reasonable distribution of bid requests among qualified contractors.

The county, in requesting bidding for projects using job order contracting as described in
this section, shall develop a system to ensure a reasonable opportunity for all qualified
contractors to periodically bid on construction services.

Subd. 8.

Expiration.

The authority to enter into new contracts under this section
expires on December 31, 2019.

Subd. 9.

Reporting.

Hennepin County must provide reports to the chairs of the
committees in the senate and the house of representatives that have jurisdiction over local
government operations, describing the uses of the authority provided in this section.
Uses of the authority described in the reports may include identifying the total number
of projects where this procurement method was used, the total number of contractors
qualified by the county, and the total annual expenditures for projects under this section.
The first report must be made by January 15, 2018, and subsequent reports must be made
on January 15 of each subsequent even-numbered year.

Sec. 11. LAKE MILLE LACS AREA ECONOMIC RELIEF PROGRAM.

Subdivision 1.

Relief program established.

Mille Lacs County must develop and
implement a Lake Mille Lacs area economic relief program to assist businesses adversely
affected by a decline in walleye fishing on Lake Mille Lacs.

Subd. 2.

Available relief.

(a) The economic relief program established under this
section may include grants or loans as provided in this section to the extent that funds are
available. Prior to awarding a grant to Mille Lacs County for the relief program under
this section:

(1) the county must develop criteria, procedures, and requirements for:

(i) determining eligibility for assistance;

(ii) the duration, terms, underwriting and security requirements, and repayment
requirements for loans;

(iii) evaluating applications for assistance;

(iv) awarding assistance; and

(v) administering the grant and loan program authorized under this section;

(2) the county must submit its criteria, procedures, and requirements developed
pursuant to clause (1) to the commissioner of employment and economic development
for review; and

(3) the commissioner must approve the criteria, procedures, and requirements as
developed pursuant to clause (1) to be used by the county in determining eligibility for
assistance, evaluating, awarding, and administering the grant and loan program.

(b) The relief authorized under this section includes:

(1) grants not to exceed $50,000 per business. Grants may be awarded to applicants
only when the county determines that a loan is not appropriate to address the needs of
the applicant; and

(2) loans, with or without interest, and deferred or forgivable loans. The maximum
loan amount under this subdivision is $100,000 per business. The lending criteria adopted
by the county for loans under this subdivision must:

(i) specify that an entity receiving a deferred or forgivable loan must remain in
the local community a minimum of five years after the date of the loan. The maximum
loan deferral period must not exceed five years from the date the loan is approved. The
maximum amount of a loan that may be forgiven must not exceed 50 percent of the
principle amount and may be forgiven only if the business has remained in operation in
the community for at least ten years after the loan is approved; and

(ii) require submission of a business plan for continued operation until the walleye
fishing resource recovers. The plan must document the probable success of the applicant's
business plan and probable success in repaying the loan according to the terms established
for the loan program; and

(3) tourism promotion grants to the Mille Lacs Tourism Council.

(c) All loan repayment funds under this subdivision must be paid to the commissioner
of employment and economic development for deposit in the Minnesota investment fund
disaster contingency account under Minnesota Statutes, section 116J.8731.

Subd. 3.

Qualification requirements.

To qualify for assistance under this section, a
business must:

(1) be located within one of the following municipalities surrounding Lake Mille
Lacs:

(i) in Crow Wing County, the city of Garrison, township of Garrison, or township
of Roosevelt;

(ii) in Aitkin County, the township of Hazelton, township of Wealthwood, township
of Malmo, or township of Lakeside; or

(iii) in Mille Lacs County, the city of Isle, city of Wahkon, city of Onamia, township
of East Side, township of Isle Harbor, township of South Harbor, or township of Kathio;

(2) document a reduction of at least ten percent in gross receipts in any two-year
period since 2010; and

(3) be a business in one of the following industries, as defined within the
North American Industry Classification System: accommodation, restaurants, bars,
amusement and recreation, food and beverages retail, sporting goods, miscellaneous retail,
general retail, museums, historical sites, health and personal care, gas station, general
merchandise, business and professional membership, movies, or nonstore retailer, as
determined by Mille Lacs County in consultation with the commissioner of employment
and economic development.

Subd. 4.

Monitoring.

(a) Mille Lacs County must establish performance measures
that include, but are not limited to, the following components:

(1) the number of loans approved and the amounts and terms of the loans;

(2) the number of grants awarded, award amounts, and the reason that a grant award
was made in lieu of a loan;

(3) the loan default rate;

(4) the number of jobs created or retained as a result of the assistance, including
information on the wages and benefit levels, the status of the jobs as full-time or part-time,
and the status of the jobs as temporary or permanent;

(5) the amount of business activity and changes in gross revenues of the grant or
loan recipient as a result of the assistance; and

(6) the new tax revenue generated as a result of the assistance.

(b) The commissioner of employment and economic development must monitor
Mille Lacs County's compliance with this section and the performance measures
developed under paragraph (a).

(c) Mille Lacs County must comply with all requests made by the commissioner
under this section.

Subd. 5.

Business subsidy requirements.

Sections 116J.993 to 116J.995 do not
apply to assistance under this section. Businesses in receipt of assistance under this section
must provide for job creation and retention goals, and wage and benefit goals.

Subd. 6.

Administrative costs.

The commissioner of employment and economic
development may use up to one percent of the appropriation made for this section for
administrative expenses of the department.

EFFECTIVE DATE.

This section, except for subdivision 4, is effective July 1,
2016, and expires June 30, 2017. Subdivision 4 is effective July 1, 2016, and expires on
the date the last loan is repaid or forgiven as provided under this section.

Sec. 12. REPEALER.

Minnesota Statutes 2014, section 116U.26, is repealed.

ARTICLE 6

LABOR AND INDUSTRY

Section 1.

Minnesota Statutes 2014, section 182.653, subdivision 9, is amended to read:


Subd. 9.

Standard industrial classification list.

The commissioner shall adopt,
in accordance with section 182.655, a rule specifying a list of either standard industrial
classifications of employers or North American industry classifications of employers who
must comply with subdivision 8. The commissioner shall demonstrate the need to include
each industrial classification on the basis of the safety record or workers' compensation
record of that industry segment. An employer must comply with subdivision 8 six months
following the date the standard industrial classification or North American industry
classification that applies to the employee is placed on the list. An employer having less
than 51 employees must comply with subdivision 8 six months following the date the
standard industrial classification or North American industry classification that applies
to the employee is placed on the list or by July 1, 1993, whichever is later.
The list shall
be updated every two five years.

Sec. 2. HANDS OFF CHILD CARE; REPEALER.

Minnesota Statutes 2014, sections 179A.50; 179A.51; 179A.52; and 179A.53, are
repealed.

ARTICLE 7

HOUSING

Section 1.

Minnesota Statutes 2014, section 462A.204, subdivision 1, is amended to
read:


Subdivision 1.

Establishment.

The agency may establish a family homeless
prevention and assistance program to assist families who are homeless or are at imminent
risk of homelessness. The term "family" may include single individuals. The agency may
make grants to develop and implement family homeless prevention and assistance projects
under the program. For purposes of this section, "families" means families and persons
under the age of 22 24 years of age or younger.

Sec. 2.

Minnesota Statutes 2014, section 462A.204, subdivision 3, is amended to read:


Subd. 3.

Set aside.

At least one grant must be awarded in an area located outside of
the metropolitan area. A county, a group of contiguous counties jointly acting together, a
tribe, a group of tribes,
or a community-based nonprofit organization with a sponsoring
resolution from each of the county boards of the counties located within its operating
jurisdiction may apply for and receive grants for areas located outside the metropolitan area.

Sec. 3.

Laws 2015, First Special Session chapter 1, article 1, section 3, subdivision 3,
is amended to read:


Subd. 3.

Housing Trust Fund

13,471,000
11,471,000

(a) This appropriation is for deposit in the
housing trust fund account created under
Minnesota Statutes, section 462A.201, and
may be used for the purposes provided in
that section. To the extent that these funds
are used for the acquisition of housing, the
agency shall give priority among comparable
projects to projects that focus on creating
safe and stable housing for homeless youth
or projects that provide housing to trafficked
women and children.

(b) $2,000,000 the first year is a onetime
appropriation for temporary rental assistance
for families with school-age children who
have changed their school or home at least
once in the last school year. The agency,
in consultation with the Department of
Education, may establish additional targeting
criteria.

(c) $250,000 in the second year is an
appropriation for grants for the Exploited
Families Rental Assistance Program.

Sec. 4. EXPLOITED FAMILIES RENTAL ASSISTANCE PROGRAM.

Subdivision 1.

Rental assistance program.

(a) The commissioner of housing
finance shall establish a grant program within the housing trust fund to serve families
from emerging communities at risk of being homeless and who have been victims of
gender-based violence, including but not limited to domestic violence, sexual assault,
trafficking, international abusive marriage, or forced marriage. For the purposes of this
section, the term "gender-based violence" is defined as violence that is directed against a
woman because she is a woman or that affects women disproportionately; and the term
"emerging communities" is defined as refugee and immigrant communities who are less
established, who are unfamiliar with mainstream government services, or who have
limited English proficiency. The commissioner shall award grants to organizations that
can provide linguistically and culturally appropriate services and that have the capacity to
serve families who have experienced gender-based violence from emerging communities.

(b) The program must:

(1) provide rental assistance to individuals with a minor child at risk of being
homeless and who have been victims of domestic violence, sexual assault, trafficking,
international abusive marriage, or forced marriage;

(2) require the participants to pay at least 30 percent of the participant's income
toward the rent;

(3) allow the families to choose their own housing, including single-family homes,
townhomes, and apartments;

(4) give priority to large families who experience barriers in accessing housing,
including having limited English proficiency, lack of positive rental history, employment
history, and financial history; and

(5) require the program participants to be employed, or actively seeking employment,
or be engaged in activities that will assist them in gaining employment.

Subd. 2.

Program evaluation.

All grant recipients must collect and make available
to the commissioner of the Housing Finance Agency aggregate data to assist the agency
in the evaluation of the program. The commissioner of housing finance shall evaluate
the program effectiveness and measure the number of families served from emerging
communities, the support services provided for families in seeking employment and
achieving economic stability, and the employment and housing status of the participants.

ARTICLE 8

WORKERS' COMPENSATION COURT OF APPEALS PROPOSALS

Section 1.

Minnesota Statutes 2014, section 176.081, subdivision 1, is amended to read:


Subdivision 1.

Limitation of fees.

(a) A fee for legal services of 20 percent of the
first $130,000 of compensation awarded to the employee is the maximum permissible fee
and does not require approval by the commissioner, compensation judge, or any other
party. All fees, including fees for obtaining medical or rehabilitation benefits, must be
calculated according to the formula under this subdivision, except as otherwise provided
in clause (1) or (2).

(1) The contingent attorney fee for recovery of monetary benefits according to the
formula in this section is presumed to be adequate to cover recovery of medical and
rehabilitation benefit or services concurrently in dispute. Attorney fees for recovery of
medical or rehabilitation benefits or services shall be assessed against the employer or
insurer only if the attorney establishes that the contingent fee is inadequate to reasonably
compensate the attorney for representing the employee in the medical or rehabilitation
dispute. In cases where the contingent fee is inadequate the employer or insurer is liable
for attorney fees based on the formula in this subdivision or in clause (2).

For the purposes of applying the formula where the employer or insurer is liable for
attorney fees, the amount of compensation awarded for obtaining disputed medical and
rehabilitation benefits under sections 176.102, 176.135, and 176.136 shall be the dollar
value of the medical or rehabilitation benefit awarded, where ascertainable.

(2) The maximum attorney fee for obtaining a change of doctor or qualified
rehabilitation consultant, or any other disputed medical or rehabilitation benefit for which
a dollar value is not reasonably ascertainable, is the amount charged in hourly fees for the
representation or $500, whichever is less, to be paid by the employer or insurer.

(3) The fees for obtaining disputed medical or rehabilitation benefits are included
in the $26,000 limit in paragraph (b). An attorney must concurrently file all outstanding
disputed issues. An attorney is not entitled to attorney fees for representation in any
issue which could reasonably have been addressed during the pendency of other issues
for the same injury.

(b) All fees for legal services related to the same injury are cumulative and may
not exceed $26,000. If multiple injuries are the subject of a dispute, the commissioner,
compensation judge, or court of appeals shall specify the attorney fee attributable to
each injury.

(c) If the employer or the insurer or the defendant is given written notice of claims
for legal services or disbursements, the claim shall be a lien against the amount paid
or payable as compensation. Subject to the foregoing maximum amount for attorney
fees, up to 20 percent of the first $130,000 of periodic compensation awarded to the
employee may be withheld from the periodic payments for attorney fees or disbursements
if the payor of the funds clearly indicates on the check or draft issued to the employee for
payment the purpose of the withholding, the name of the attorney, the amount withheld,
and the gross amount of the compensation payment before withholding. In no case
shall fees be calculated on the basis of any undisputed portion of compensation awards.
Allowable fees under this chapter shall be based solely upon genuinely disputed claims or
portions of claims, including disputes related to the payment of rehabilitation benefits or
to other aspects of a rehabilitation plan. The existence of a dispute is dependent upon a
disagreement after the employer or insurer has had adequate time and information to take
a position on liability. Neither the holding of a hearing nor the filing of an application for a
hearing alone may determine the existence of a dispute. Except where the employee is
represented by an attorney in other litigation pending at the department or at the Office
of Administrative Hearings, a fee may not be charged after June 1, 1996, for services
with respect to a medical or rehabilitation issue arising under section 176.102, 176.135,
or 176.136 performed before the employee has consulted with the department and the
department certifies that there is a dispute and that it has tried to resolve the dispute.

(d) An attorney who is claiming legal fees for representing an employee in a workers'
compensation matter shall file a statement of attorney fees with the commissioner, or
compensation judge before whom the matter was heard, or Workers' Compensation Court
of Appeals on cases before the court
. A copy of the signed retainer agreement shall also
be filed. The employee and insurer shall receive a copy of the statement. The statement
shall be on a form prescribed by the commissioner and shall report the number of hours
spent on the case.

(e) Employers and insurers may not pay attorney fees or wages for legal services
of more than $26,000 per case.

(f) An attorney must file a statement of attorney fees within 12 months of the date
the attorney has submitted the written notice specified in paragraph (c). If the attorney
has not filed a statement of attorney fees within the 12 months, the attorney must send a
renewed notice of lien to the insurer. If 12 months have elapsed since the last notice of
lien has been received by the insurer and no statement of attorney fees has been filed, the
insurer must release the withheld money to the employee, except that before releasing the
money to the employee, the insurer must give the attorney 30 days' written notice of the
pending release. The insurer must not release the money if the attorney files a statement of
attorney fees within the 30 days.

Sec. 2.

Minnesota Statutes 2014, section 176.081, subdivision 3, is amended to read:


Subd. 3.

Review.

A party that is dissatisfied with its attorney fees awarded by the
commissioner or a compensation judge
may file an application a petition for review by the
Workers' Compensation Court of Appeals. The application petition shall state the basis for
the need of review and whether or not a hearing is requested. A copy of the application
petition
shall be served by the court upon the party's attorney by the court administrator
and if a hearing is requested by either party, the matter shall be set for hearing
awarded
or denied attorney fees
. The notice of hearing shall be served upon known interested
parties.
The Workers' Compensation Court of Appeals shall have the authority to raise
the issue of the attorney fees at any time upon its own motion and shall have continuing
jurisdiction over attorney fees.

Sec. 3.

Minnesota Statutes 2014, section 176.471, subdivision 3, is amended to read:


Subd. 3.

Service of writ and bond; filing fee.

To effect a review upon certiorari,
the party shall serve a writ of certiorari and a bond upon the administrator of the Workers'
Compensation Court of Appeals within the 30-day period referred to in subdivision 1. The
party shall also at this time pay to the administrator clerk of the appellate courts the fee
prescribed by rule 103.01 116.03 of the Rules of Civil Appellate Procedure which shall be
disposed of in the manner provided by that rule
.

Sec. 4.

Minnesota Statutes 2014, section 176.471, subdivision 5, is amended to read:


Subd. 5.

Bond.

The bond required by subdivision 3 shall be executed in such
amount and with such sureties as the Workers' Compensation Court of Appeals directs
and approves. The bond shall be conditioned to pay the cost of the review.
The Workers'
Compensation Court of Appeals may, upon motion of any respondent and a showing that
extraordinary circumstances warrant the requirement of a cost bond, order that a bond be
provided as prescribed by rule 107.02 of the Rules of Civil Appellate Procedure.

Sec. 5.

Minnesota Statutes 2014, section 176.511, subdivision 2, is amended to read:


Subd. 2.

Disbursements, taxation.

The commissioner or compensation judge, or
on appeal the Workers' Compensation Court of Appeals on cases before the court, may
award the prevailing party reimbursement for actual and necessary disbursements. These
Disbursements shall be taxed upon five ten days' written notice to adverse parties.

Sec. 6.

Minnesota Statutes 2014, section 176.511, subdivision 3, is amended to read:


Subd. 3.

Attorney fee, allowance.

Where upon an appeal to the Workers'
Compensation Court of Appeals,
(1) an award of compensation is affirmed, or modified
and affirmed, or (2) an order disallowing compensation is reversed, or (3) a petition to
vacate an award is granted,
the Workers' Compensation Court of Appeals may include in
its award as an incident to its review on appeal an amount to cover a reasonable attorney
fee, or it may allow the an attorney fee in a proceeding to tax disbursements.

If the employer or insurer files a notice of discontinuance of an employee's benefits
and an administrative conference is held to resolve the dispute, but the employer or insurer
fails to attend the administrative conference, the commissioner or compensation judge
may order the employer or insurer to pay the employee's attorney fees as a cost under this
section if the employee's benefits are continued.

Sec. 7. EFFECTIVE DATE.

Sections 1 to 6 are effective the day following final enactment.

ARTICLE 9

WORKERS' COMPENSATION DEPARTMENT PROPOSALS

Section 1.

Minnesota Statutes 2015 Supplement, section 176.135, subdivision 7a,
is amended to read:


Subd. 7a.

Electronic transactions.

(a) For purposes of this subdivision, the
following terms have the meanings given:

(1) "workers' compensation payer" means a workers' compensation insurer and an
employer, or group of employers, that is self-insured for workers' compensation;

(2) "clearinghouse" has the meaning given in section 62J.51, subdivision 11a; and

(3) "electronic transactions" means the health care administrative transactions
described in section 62J.536.

(b) In addition to the requirements of section 62J.536, workers' compensation payers
and health care providers must comply with the requirements in paragraphs (c) to (e).

(c) No later than January 1, 2016, each workers' compensation payer must place
the following information in a prominent location on its Web site or otherwise provide
the information to health care providers:

(1) the name of each clearinghouse with which the workers' compensation payer has
an agreement to exchange or transmit electronic transactions, along with the identification
number each clearinghouse has assigned to the payer in order to route electronic
transactions through intermediaries or other clearinghouses to the payer;

(2) information about how a health care provider can obtain the claim number
assigned by the workers' compensation payer for an employee's claim and how the
provider should submit the claim number in the appropriate field on the electronic bill to
the payer; and

(3) the name, phone number, and e-mail address of contact persons who can answer
questions related to electronic transactions on behalf of the workers' compensation payer
and the clearinghouses with which the payer has agreements.

(d) No later than July 1, 2016 January 1, 2017:

(1) health care providers must electronically submit copies of medical records or
reports that substantiate the nature of the charge and its relationship to the work injury
using the most recently approved ASC X12N 5010 version of the ASC X12N 275
transaction ("Additional Information to Support Health Care Claim or Encounter"),
according to the requirements in the corresponding implementation guide. The ASC X12N
275 transaction is the only one that shall be used to electronically submit attachments
unless a national standard is adopted by federal law or rule. If a new version of the
attachment transaction is approved, it must be used one year after the approval date;

(2) workers' compensation payers and all clearinghouses receiving or transmitting
workers' compensation bills must accept attachments using the ASC X12N 275 transaction
and must respond with the most recently approved ASC X12N 5010 version of the ASC
X12 electronic acknowledgment for the attachment transaction. If a new version of the
acknowledgment transaction is approved, it must be used one year after the approval
date; and

(3) if a different national claims attachment or acknowledgment requirement is
adopted by federal law or rule, it will replace the ASC X12N 275 transaction, and the new
standard must be used on the date that it is required by the federal law or rule.

(e) No later than September 1, 2015, workers' compensation payers must provide
the patient's name and patient control number on or with all payments made to a provider
under this chapter, whether payment is made by check or electronic funds transfer. The
information provided on or with the payment must be sufficient to allow providers to
match the payment to specific bills. If a bulk payment is made to a provider for more than
one patient, the check or electronic funds transfer statement must also specify the amount
being paid for each patient. For purposes of this paragraph, the patient control number is
located on the electronic health care claim 837 transaction, loop 2300, segment CLM01,
and on the electronic health care claim payment/advice 835 transaction, loop 2100, CLP01.

(f) The commissioner may assess a monetary penalty of $500 for each violation of
this section, not to exceed $25,000 for identical violations during a calendar year. Before
issuing a penalty for a first violation of this section, the commissioner must provide written
notice to the noncompliant payer, clearinghouse, or provider that a penalty may be issued
if the violation is not corrected within 30 days. Penalties under this paragraph are payable
to the commissioner for deposit in the assigned risk safety account.

Sec. 2.

Minnesota Statutes 2015 Supplement, section 176.136, subdivision 1b, is
amended to read:


Subd. 1b.

Limitation of liability.

(a) The liability of the employer for treatment,
articles, and supplies provided to an employee while an inpatient or outpatient at a Critical
Access Hospital certified by the Centers for Medicare and Medicaid Services, or while an
outpatient at a hospital with 100 or fewer licensed beds,
shall be the hospital's usual and
customary charge, unless the charge is determined by the commissioner or a compensation
judge to be unreasonably excessive.

(b) The liability of the employer for the treatment, articles, and supplies that are not
limited by paragraph (a), subdivision 1a, 1c, or section 176.1362 shall be limited to 85
percent of the provider's usual and customary charge, or 85 percent of the prevailing
charges for similar treatment, articles, and supplies furnished to an injured person when
paid for by the injured person, whichever is lower. On this basis, the commissioner or
compensation judge may determine the reasonable value of all treatment, services, and
supplies, and the liability of the employer is limited to that amount. The commissioner
may by rule establish the reasonable value of a service, article, or supply in lieu of the
85 percent limitation in this paragraph. A prevailing charge established under Minnesota
Rules, part 5221.0500, subpart 2, must be based on no more than two years of billing data
immediately preceding the date of the service.

(c) The limitation of liability for charges provided by paragraph (b) does not apply
to a nursing home that participates in the medical assistance program and whose rates are
established by the commissioner of human services.

(d) An employer's liability for treatment, articles, and supplies provided under this
chapter by a health care provider located outside of Minnesota is limited to the payment that
the health care provider would receive if the treatment, article, or supply were paid under
the workers' compensation law of the jurisdiction in which the treatment was provided.

Sec. 3.

Minnesota Statutes 2014, section 176.571, subdivision 1, is amended to read:


Subdivision 1.

Preliminary investigation.

When the head of a department has filed
a report or the commissioner of administration has otherwise received information of
the occurrence of an injury to a state employee for which liability to pay compensation
may exist, the commissioner of administration shall make a preliminary investigation to
determine the question of probable liability.

In making this investigation, the commissioner of administration may require the
assistance of the head of any department or any employee of the state. The commissioner
of management and budget administration may require that all facts be furnished which
appear in the records of any state department bearing on the issue.

Sec. 4. EFFECTIVE DATE.

Sections 1 to 3 are effective the day following enactment.

ARTICLE 10

WORKERS' COMPENSATION LITIGATION-RELATED PROPOSALS

Section 1.

Minnesota Statutes 2014, section 176.011, subdivision 7a, is amended to read:


Subd. 7a.

(1) Compensation judge. "Compensation judge" means a workers'
compensation judge at the Office of Administrative Hearings.

(2) Calendar judge. "Calendar judge" means a workers' compensation judge at the
Office of Administrative Hearings.

(3) Compensation judge. "Compensation judge" means a compensation judge at
the Department of Labor and Industry.
Compensation judges may conduct settlement
conferences, issue summary decisions, approve settlements and issue awards thereon,
determine petitions for attorney fees and costs, and make other determinations,
decisions, orders, and awards as may be delegated to them by law or the commissioner.
Compensation judges must be learned in the law.

Sec. 2.

Minnesota Statutes 2014, section 176.137, subdivision 1, is amended to read:


Subdivision 1.

Requirement; determination.

The employer shall furnish to an
employee who is permanently disabled because of a personal injury suffered in the course
of employment with that employer such alteration or remodeling of the employee's
principal residence as is reasonably required to enable the employee to move freely into
and throughout the residence and to otherwise adequately accommodate the disability.
Any remodeling or alteration shall be furnished only when the division or Workers'
Compensation Court of Appeals
determines that the injury is to such a degree that the
employee is substantially prevented from functioning within the principal residence.

Sec. 3.

Minnesota Statutes 2014, section 176.137, subdivision 4, is amended to read:


Subd. 4.

Certification required; exceptions.

(a) Except as provided in paragraph
(b), no award may be made except upon the certification of a licensed architect to the
division or Workers' Compensation Court of Appeals that the proposed alteration or
remodeling of an existing residence or the building or purchase of a new or different
residence is reasonably required for the purposes specified in subdivision 1. The Council on
Disability shall advise the division or Workers' Compensation Court of Appeals as provided
in section 256.482, subdivision 5, clause (7). The alteration or remodeling of an existing
residence, or the building or purchase of a new home must be done under the supervision
of a licensed architect relative to the specific needs to accommodate the disability.

(b) Remodeling or alteration projects do not require an architect's certification and
supervision if the project is:

(1) approved by the Council on Disability;

(2) performed by a residential building contractor or residential remodeler licensed
under section 326B.805, subdivision 1; and

(3) approved by a certified building official or certified accessibility specialist under
section 326B.133, subdivision 3a, paragraphs (b) and (d), who states in writing that the
proposed remodeling or alterations are reasonably required to enable the employee to move
freely into and throughout the residence and to otherwise accommodate the disability.

Sec. 4.

Minnesota Statutes 2014, section 176.137, is amended by adding a subdivision
to read:


Subd. 6.

Disputes.

A proceeding to resolve a dispute under this section shall be
initiated by petition under sections 176.271 and 176.291 and decided by a compensation
judge at the office under section 176.305, 176.322, or 176.341. The decision of the
compensation judge is appealable to the Workers' Compensation Court of Appeals under
section 176.421.

Sec. 5.

Minnesota Statutes 2014, section 176.331, is amended to read:


176.331 PROCEEDINGS WHEN ANSWER NOT FILED.

Except in cases involving multiple employers or multiple insurers, if an adverse
party fails to file and serve an answer or obtain an extension from the commissioner or the
petitioner as required by section 176.321, subdivision 3, the commissioner shall refer the
matter to the chief administrative law judge for an immediate hearing and prompt award
or other order. The adverse party that failed to file an answer may appear at the hearing,
present evidence and question witnesses, but shall not be granted a continuance for any
reason
except upon a showing of good cause.

If an adverse party who fails to serve and file an answer is neither insured for
workers' compensation liability nor a licensed self-insured as required by section 176.181
and the special compensation fund is a party to the proceeding, the commissioner or
compensation judge may enter an order awarding benefits to the petitioning party without
a hearing if so requested by the special compensation fund.

Sec. 6.

Minnesota Statutes 2014, section 176.361, subdivision 1, is amended to read:


Subdivision 1.

Right to intervene.

A person who has an interest in any matter
before the Workers' Compensation Court of Appeals, or commissioner, or compensation
judge such that the person may either gain or lose by an order or decision may intervene in
the proceeding by filing an application or a motion in writing stating the facts which show
the interest. The commissioner is considered to have an interest and shall be permitted
to intervene at the appellate level when a party relies in its claim or defense upon any
statute or rule administered by the commissioner, or upon any rule, order, requirement, or
agreement issued or made under the statute or rule.

The commissioner may adopt rules, not inconsistent with this section to govern
intervention. The Workers' Compensation Court of Appeals shall adopt rules to govern the
procedure for intervention in matters before it.

If the Department of Human Services or the Department of Employment and
Economic Development seeks to intervene in any matter before the division, a
compensation judge or the Workers' Compensation Court of Appeals, a nonattorney
employee of the department, acting at the direction of the staff of the attorney general,
may prepare, sign, serve and file motions for intervention and related documents, appear
at
attend prehearing conferences, and participate in matters before a compensation judge
or the Workers' Compensation Court of Appeals. Any other interested party may intervene
using a nonattorney and may participate in any proceeding to the same extent an attorney
could. This activity shall not be considered to be the unauthorized practice of law. An
intervenor represented by a nonattorney shall be deemed to be represented by an attorney
for the purposes of the conclusive presumption of section 176.521, subdivision 2.

Subdivisions 3 to 6 do not apply to matters pending in the mediation or rehabilitation
and medical services sections
the following proceedings conducted by the Department
of Labor and Industry or the office: mediation proceedings; discontinuance conferences
under section 176.239; or administrative conferences under section 176.106
.

Sec. 7.

Minnesota Statutes 2014, section 176.361, subdivision 2, is amended to read:


Subd. 2.

Written application or motion.

A person desiring to intervene in a
workers' compensation case as a party, including but not limited to a health care provider
who has rendered services to an employee or an insurer who has paid benefits under
section 176.191, shall submit a timely written application or motion to intervene to the
commissioner, the office, or to the court of appeals, whichever is applicable.

(a) The application or motion must be served on all parties, except for other
intervenors,
either personally, by first class mail, or by registered mail, return receipt
requested. An application or A motion to intervene must be served and filed within 60
days after a potential intervenor has been served with notice of a right to intervene or
within 30 days of notice of an administrative conference. Upon the filing of a timely
application or motion to intervene, the potential intervenor shall be granted intervenor
status without the need for an order. Objections to the intervention may be subsequently
addressed by a compensation judge. Where a motion to intervene is not timely filed
under this section, the potential intervenor interest shall be extinguished and the potential
intervenor may not collect, or attempt to collect, the extinguished interest from the
employee, employer, insurer, or any government program.

(b) The application or motion must show how the applicant's legal rights, duties, or
privileges may be determined or affected by the case; state the grounds and purposes for
which intervention is sought; and indicate the statutory right to intervene. The application
or
motion must be accompanied by the following:

(1) an itemization of disability payments showing the period during which the
payments were or are being made; the weekly or monthly rate of the payments; and the
amount of reimbursement claimed;

(2) a summary of the medical or treatment payments, or rehabilitation services
provided by the Vocational Rehabilitation Unit, broken down by creditor, showing the
total bill submitted, the period of treatment or rehabilitation covered by that bill, the
amount of payment on that bill, and to whom the payment was made;

(3) copies of all medical or treatment bills on which some for which payment was
made
is sought;

(4) copies of the work sheets or other information stating how the payments on
medical or treatment bills were calculated;

(5) a copy of the relevant policy or contract provisions upon which the claim for
reimbursement is based;

(6) the name and telephone number of the person representing the intervenor who
has authority to represent the intervenor, including but not limited to the authority to
reach a settlement of the issues in dispute;

(7) proof of service or copy of the registered mail receipt evidencing service on all
parties except for other intervenors
;

(8) at the option of the intervenor, a proposed stipulation which states that all of the
payments for which reimbursement is claimed are related to the injury or condition in
dispute in the case and that, if the petitioner is successful in proving the compensability of
the claim, it is agreed that the sum be reimbursed to the intervenor; and

(9) if represented by an attorney, the name, address, telephone number, and
Minnesota Supreme Court license number of the attorney.

Sec. 8.

Minnesota Statutes 2014, section 176.361, subdivision 3, is amended to read:


Subd. 3.

Stipulation.

If the person submitting the application or motion for
intervention
to intervene has included a proposed stipulation, all parties shall either
execute and return the signed stipulation to the intervenor who must file it with the
division or judge or serve upon the intervenor and all other parties and file with the
division specific and detailed objections to any payments made by the intervenor which
are not conceded to be correct and related to the injury or condition the petitioner has
asserted is compensable. If a party has not returned the signed stipulation or filed specific
and detailed
objections within 30 days of service of the application or motion to intervene,
the intervenor's right to reimbursement for the amount sought is deemed established
provided that the petitioner's claim is determined to be compensable. The office may
establish procedures for filing objections if a timely motion to intervene is filed less than
30 days before a scheduled hearing.

Sec. 9.

Minnesota Statutes 2014, section 176.361, subdivision 4, is amended to read:


Subd. 4.

Attendance by intervenor.

Unless a stipulation has been signed and filed or
the intervenor's right to reimbursement has otherwise been established, the intervenor shall
attend all settlement or pretrial conferences, administrative conferences, and the hearing.
Failure
A person who has submitted a timely written motion to intervene, as required by
subdivision 2, is not required to attend settlement or pretrial conferences or the hearing,
unless attendance is ordered by the compensation judge assigned to the case, pursuant to a
motion to require the intervenor's attendance filed by a party or as a matter of the judge's
discretion. A motion to require attendance must be served and filed at least 20 days before
a scheduled hearing, and the compensation judge must serve and file an order granting or
denying the motion at least ten days before a scheduled hearing. If attendance is ordered,
failure of the intervenor
to appear attend a proceeding either in person or, if approved by
the compensation judge, by telephone or some other electronic medium,
shall result in the
denial of the claim for reimbursement. except upon a showing of good cause. If attendance
has not been ordered, this subdivision does not prohibit an intervenor from attending a
conference or hearing in person, or from requesting permission from the compensation
judge to attend a conference or hearing by telephone or other electronic medium.

Sec. 10.

Minnesota Statutes 2014, section 176.361, subdivision 5, is amended to read:


Subd. 5.

Order Objections.

If an a specific and detailed objection to intervention
remains following settlement or pretrial conferences, the issue shall be addressed at the
hearing. If the intervenor has not been ordered to attend the hearing pursuant to subdivision
4, or has received permission to attend the hearing by telephone or other electronic
medium, the intervenor may provide a written response to the objection before the hearing
according to subdivision 6 for consideration as a matter of discretion by the judge.

Sec. 11.

Minnesota Statutes 2014, section 176.361, subdivision 6, is amended to read:


Subd. 6.

Presentation of evidence by intervenor.

Unless a stipulation has been
signed and filed or the intervenor's right to reimbursement has otherwise been established,
the intervenor shall present evidence in support of the claim at or before the hearing unless
otherwise ordered by the compensation judge
. When the intervenor has not been ordered
to attend the hearing pursuant to subdivision 4, or has received permission to attend the
hearing by telephone or other electronic medium, the office may establish a procedure
for submission of the intervenor's evidence and response to outstanding objections to
intervention. If the intervenor does not submit a written response to the objection before
the hearing, the compensation judge's determination on the objection must be based on
the information and evidence submitted prior to or at the hearing, as a matter of judicial
discretion.

Sec. 12.

Minnesota Statutes 2014, section 176.361, is amended by adding a subdivision
to read:


Subd. 8.

Chief administrative law judge orders.

The chief administrative law
judge may issue standing orders to implement this section. The chief administrative law
judge has the authority to issue standing orders instead of, or in addition to, the authority
granted to the office or compensation judges under this section, provided that any standing
order issued by the chief administrative law judge must be consistent with this section.

Sec. 13. EFFECTIVE DATE.

This article is effective August 1, 2016.

ARTICLE 11

UNEMPLOYMENT INSURANCE ADVISORY COUNCIL POLICY

Section 1.

Minnesota Statutes 2014, section 268.051, subdivision 5, is amended to read:


Subd. 5.

Tax rate for new employers.

(a) Each new taxpaying employer that does
not qualify for an experience rating under subdivision 3, except new employers in a high
experience rating industry, must be assigned, for a calendar year, a tax rate the higher of
(1) one percent, or (2) the tax rate computed, to the nearest 1/100 of a percent, by dividing
the total amount of unemployment benefits paid all applicants during the 48 calendar
months ending on June 30 of the prior calendar year by the total taxable wages of all
taxpaying employers during the same period, plus the applicable base tax rate and any
additional assessments under subdivision 2, paragraph (c).

(b) Each new taxpaying employer in a high experience rating industry that does not
qualify for an experience rating under subdivision 3, must be assigned, for a calendar year,
a tax rate the higher of (1) that assigned under paragraph (a), or (2) the tax rate, computed
to the nearest 1/100 of a percent, by dividing the total amount of unemployment benefits
paid to all applicants from high experience rating industry employers during the 48
calendar months ending on June 30 of the prior calendar year by the total taxable wages
of all high experience rating industry employers during the same period, to a maximum
provided for under subdivision 3, paragraph (b), plus the applicable base tax rate and any
additional assessments under subdivision 2, paragraph (c).

(c) An employer is considered to be in a high experience rating industry if:

(1) the employer is engaged in residential, commercial, or industrial construction,
including general contractors;

(2) the employer is engaged in sand, gravel, or limestone mining;

(3) the employer is engaged in the manufacturing of concrete, concrete products,
or asphalt; or

(4) the employer is engaged in road building, repair, or resurfacing, including bridge
and tunnels and residential and commercial driveways and parking lots.

(a) Each new taxpaying employer that does not qualify for an experience rating
under subdivision 3 must be assigned, for the calendar year, a tax rate equal to the average
experience rating for the employer's industry, plus the applicable base tax rate and any
additional assessments under subdivision 2, paragraph (c). The tax rate assigned may not
be less than one percent.

(b) The employer's industry, except for construction, is determined by the first two
digits of the North American Industrial Classification System (NAICS). The construction
industry is determined to five digits. For each calendar year, the commissioner must
compute, in accordance with subdivision 3, the average industry experience rating for
the employer's industry.

(d) (c) Regardless of any law to the contrary, a taxpaying employer must be
assigned a tax rate under this subdivision if the employer had no taxable wages during the
experience rating period under subdivision 3.

(e) (d) The commissioner must send to the new employer, by mail or electronic
transmission, a determination of tax rate. An employer may appeal the determination of
tax rate in accordance with the procedures in subdivision 6, paragraph (c).

EFFECTIVE DATE.

This section is effective January 1, 2018, and applies to tax
rates assigned for the calendar year 2018 and thereafter.

Sec. 2.

Minnesota Statutes 2015 Supplement, section 268.07, subdivision 3b, is
amended to read:


Subd. 3b.

Limitations on applications and benefit accounts.

(a) An application for
unemployment benefits is effective the Sunday of the calendar week that the application
was filed. An application for unemployment benefits may be backdated one calendar week
before the Sunday of the week the application was actually filed if the applicant requests
the backdating at within seven calendar days of the time date the application is filed. An
application may be backdated only if the applicant was unemployed during the period of
the backdating. If an individual attempted to file an application for unemployment benefits,
but was prevented from filing an application by the department, the application is effective
the Sunday of the calendar week the individual first attempted to file an application.

(b) A benefit account established under subdivision 2 is effective the date the
application for unemployment benefits was effective.

(c) A benefit account, once established, may later be withdrawn only if:

(1) the applicant has not been paid any unemployment benefits on that benefit
account; and

(2) a new application for unemployment benefits is filed and a new benefit account is
established at the time of the withdrawal.

A determination or amended determination of eligibility or ineligibility issued under
section 268.101, that was sent before the withdrawal of the benefit account, remains in
effect and is not voided by the withdrawal of the benefit account.

(d) An application for unemployment benefits is not allowed before the Sunday
following the expiration of the benefit year on a prior benefit account. Except as allowed
under paragraph (c), an applicant may establish only one benefit account each 52 calendar
weeks. This paragraph applies to benefit accounts established under any federal law or
the law of any other state.

EFFECTIVE DATE.

This section is effective July 31, 2016, and applies to
applications for unemployment benefits filed after that date.

Sec. 3.

Minnesota Statutes 2014, section 268.095, subdivision 1, is amended to read:


Subdivision 1.

Quit.

An applicant who quit employment is ineligible for all
unemployment benefits according to subdivision 10 except when:

(1) the applicant quit the employment because of a good reason caused by the
employer as defined in subdivision 3;

(2) the applicant quit the employment to accept other covered employment
that provided substantially equal or better terms and conditions of employment, but
the applicant did not work long enough at the second employment to have sufficient
subsequent earnings wages paid to satisfy the period of ineligibility that would otherwise
be imposed under subdivision 10 for quitting the first employment;

(3) the applicant quit the employment within 30 calendar days of beginning the
employment because and the employment was unsuitable for the applicant;

(4) the employment was unsuitable for the applicant and the applicant quit to enter
reemployment assistance training;

(5) the employment was part time and the applicant also had full-time employment
in the base period, from which full-time employment the applicant separated because of
reasons for which the applicant was held is not to be ineligible, and the wage credits from
the full-time employment are sufficient to meet the minimum requirements to establish a
benefit account under section 268.07;

(6) the applicant quit because the employer notified the applicant that the applicant
was going to be laid off because of lack of work within 30 calendar days. An applicant
who quit employment within 30 calendar days of a notified date of layoff because of lack
of work is ineligible for unemployment benefits through the end of the week that includes
the scheduled date of layoff;

(7) the applicant quit the employment (i) because the applicant's serious illness or
injury made it medically necessary that the applicant quit; or (ii) in order to provide
necessary care because of the illness, injury, or disability of an immediate family member
of the applicant. This exception only applies if the applicant informs the employer of
the medical problem and requests accommodation and no reasonable accommodation
is made available.

If the applicant's serious illness is chemical dependency, this exception does not
apply if the applicant was previously diagnosed as chemically dependent or had treatment
for chemical dependency, and since that diagnosis or treatment has failed to make
consistent efforts to control the chemical dependency.

This exception raises an issue of the applicant's being available for suitable
employment under section 268.085, subdivision 1, that the commissioner must determine;

(8) the applicant's loss of child care for the applicant's minor child caused the
applicant to quit the employment, provided the applicant made reasonable effort to obtain
other child care and requested time off or other accommodation from the employer and no
reasonable accommodation is available.

This exception raises an issue of the applicant's being available for suitable
employment under section 268.085, subdivision 1, that the commissioner must determine;

(9) the applicant quit because domestic abuse, sexual assault, or stalking of the
applicant or an immediate family member of the applicant, necessitated the applicant's
quitting the employment.

For purposes of this subdivision:

(i) "domestic abuse" has the meaning given in section 518B.01;

(ii) "sexual assault" means an act that would constitute a violation of sections
609.342 to 609.3453 or 609.352; and

(iii) "stalking" means an act that would constitute a violation of section 609.749; or

(10) the applicant quit in order to relocate to accompany a spouse:

(1) who is in the military; or

(2) whose job was transferred by the spouse's employer to a new location changed
making it impractical for the applicant to commute.

EFFECTIVE DATE.

This section is effective July 31, 2016, and applies to all
matters pending a determination or a decision by an unemployment law judge.

Sec. 4.

Minnesota Statutes 2014, section 268.101, subdivision 2, is amended to read:


Subd. 2.

Determination.

(a) The commissioner must determine any issue of
ineligibility raised by information required from an applicant under subdivision 1,
paragraph (a) or (c), and send to the applicant and any involved employer, by mail or
electronic transmission, a document titled a determination of eligibility or a determination
of ineligibility, as is appropriate. The determination on an issue of ineligibility as a result
of a quit or a discharge of the applicant must state the effect on the employer under section
268.047. A determination must be made in accordance with this paragraph even if a
notified employer has not raised the issue of ineligibility.

(b) The commissioner must determine any issue of ineligibility raised by an
employer and send to the applicant and that employer, by mail or electronic transmission,
a document titled a determination of eligibility or a determination of ineligibility as is
appropriate. The determination on an issue of ineligibility as a result of a quit or discharge
of the applicant must state the effect on the employer under section 268.047.

If a base period employer:

(1) was not the applicant's most recent employer before the application for
unemployment benefits;

(2) did not employ the applicant during the six calendar months before the
application for unemployment benefits; and

(3) did not raise an issue of ineligibility as a result of a quit or discharge of the
applicant within ten calendar days of notification under subdivision 1, paragraph (b);

then any exception under section 268.047, subdivisions 2 and 3, begins the Sunday two
weeks following the week that the issue of ineligibility as a result of a quit or discharge of
the applicant was raised by the employer.

A communication from an employer must specifically set out why the applicant
should be determined ineligible for unemployment benefits for that communication to be
considered to have raised an issue of ineligibility for purposes of this section. A statement
of "protest" or a similar term without more information does not constitute raising an issue
of ineligibility for purposes of this section.

(c) Subject to section 268.031, an issue of ineligibility is determined based upon
that information required of an applicant, any information that may be obtained from an
applicant or employer, and information from any other source.

(d) Regardless of the requirements of this subdivision, the commissioner is not
required to send to an applicant a copy of the determination where the applicant has
satisfied a period of ineligibility because of a quit or a discharge under section 268.095,
subdivision 10
.

(e) The commissioner may issue a determination on an issue of ineligibility at any
time
within 24 months from the establishment of a benefit account based upon information
from any source, even if the issue of ineligibility was not raised by the applicant or an
employer. This paragraph does not prevent the imposition of a penalty on

If an applicant obtained unemployment benefits through fraud under section 268.18,
subdivision 2
, or 268.182 a determination of ineligibility may be issued within 48 months
of the establishment of the benefit account
.

(f) A determination of eligibility or determination of ineligibility is final unless an
appeal is filed by the applicant or notified employer within 20 calendar days after sending.
The determination must contain a prominent statement indicating the consequences of not
appealing. Proceedings on the appeal are conducted in accordance with section 268.105.

(g) An issue of ineligibility required to be determined under this section includes
any question regarding the denial or allowing of unemployment benefits under this chapter
except for issues under section 268.07. An issue of ineligibility for purposes of this section
includes any question of effect on an employer under section 268.047.

(h) Except for issues of ineligibility as a result of a quit or discharge of the applicant,
the employer will be (1) sent a copy of the determination of eligibility or a determination
of ineligibility, or (2) considered an involved employer for purposes of an appeal under
section 268.105, only if the employer raised the issue of ineligibility.

EFFECTIVE DATE.

This section is effective July 31, 2016, and applies to all
matters pending a determination.

Sec. 5.

Minnesota Statutes 2014, section 268.182, subdivision 2, is amended to read:


Subd. 2.

Administrative penalties.

(a) Any applicant who knowingly makes a false
statement or representation, who knowingly fails to disclose a material fact, or who makes
a false statement or representation without a good faith belief as to the correctness of the
statement or representation, in order to obtain or in an attempt to obtain unemployment
benefits may be assessed, in addition to any other penalties, an administrative penalty of
being ineligible for unemployment benefits for 13 to 104 weeks.

(b) A determination of ineligibility setting out the weeks the applicant is ineligible
must be sent to the applicant by mail or electronic transmission. A determination of
ineligibility under this subdivision may be issued within 48 months of the establishment of
the benefit account upon which the unemployment benefits were obtained or attempted to
be obtained.
Unless an appeal is filed within 20 calendar days of sending, the determination
is final. Proceedings on the appeal are conducted in accordance with section 268.105.

EFFECTIVE DATE.

This section is effective July 31, 2016, and applies to all
matters pending a determination.

ARTICLE 12

UNEMPLOYMENT INSURANCE ADVISORY COUNCIL HOUSEKEEPING

Section 1.

Minnesota Statutes 2014, section 268.035, subdivision 12, is amended to read:


Subd. 12.

Covered employment.

(a) "Covered employment" means the following
unless excluded as "noncovered employment" under subdivision 20:

(1) an employee's entire employment during the calendar quarter if:

(i) the employment during the quarter is performed primarily in Minnesota;

(ii) the employment during the quarter is not performed primarily in Minnesota or
any other state but some of the employment is performed in Minnesota and the base
of operations or the place from which the employment is directed or controlled is in
Minnesota; or

(iii) the employment during the quarter is not performed primarily in Minnesota
or any other state and the base of operations or place from which the employment is
directed or controlled is not in any state where part of the employment is performed, but
the employee's residence is in Minnesota;

(2) an employee's entire employment during the calendar quarter performed within
the United States or Canada, if:

(i) the employment is not considered covered employment under the unemployment
insurance program of any other state, federal law, or the law of Canada; and

(ii) the place from which the employment is directed or controlled is in Minnesota;

(3) the employment during the calendar quarter, performed entirely outside of the
United States and Canada, by an employee who is a United States citizen in the employ of
an American employer if the employer's principal place of business in the United States is
located in Minnesota. An "American employer," for the purposes of this clause, means a
corporation organized under the laws of any state, an individual who is a resident of the
United States, or a partnership if two-thirds or more of the partners are residents of the
United States, or a trust, if all of the trustees are residents of the United States; and

(4) all employment during the calendar quarter performed by an officer or member
of the crew of an American vessel on or in connection with the vessel, if the operating
office from which the operations of the vessel operating on navigable waters within, or
within and without, the United States are ordinarily and regularly supervised, managed,
directed, and controlled is in Minnesota.

(b) "Covered employment" includes covered agricultural employment under
subdivision 11.

(c) For the purposes of satisfying the period of ineligibility under section 268.095,
subdivision 10, "covered employment" includes covered employment covered under an
unemployment insurance program:

(1) of any other state; or

(2) established by an act of Congress.

EFFECTIVE DATE.

This section is effective July 31, 2016, and applies to all
matters pending a determination or a decision by an unemployment law judge

Sec. 2.

Minnesota Statutes 2014, section 268.035, subdivision 29, is amended to read:


Subd. 29.

Wages.

(a) "Wages" means all compensation for employment, including
commissions; bonuses, awards, and prizes; severance payments; standby pay; vacation and
holiday pay; back pay as of the date of payment; tips and gratuities paid to an employee by
a customer of an employer and accounted for by the employee to the employer; sickness
and accident disability payments, except as otherwise provided in this subdivision; and
the cash value of housing, utilities, meals, exchanges of services, and any other goods
and services provided to compensate an employee, except:

(1) the amount of any payment made to, or on behalf of, an employee under a plan
established by an employer that makes provision for employees generally or for a class or
classes of employees, including any amount paid by an employer for insurance or annuities,
or into a plan, to provide for a payment, on account of (i) retirement or (ii) medical and
hospitalization expenses in connection with sickness or accident disability, or (iii) death;

(2) the payment by an employer of the tax imposed upon an employee under United
States Code, title 26, section 3101 of the Federal Insurance Contribution Act, with respect
to compensation paid to an employee for domestic employment in a private household of
the employer or for agricultural employment;

(3) any payment made to, or on behalf of, an employee or beneficiary (i) from or
to a trust described in United States Code, title 26, section 401(a) of the federal Internal
Revenue Code, that is exempt from tax under section 501(a) at the time of the payment
unless the payment is made to an employee of the trust as compensation for services as an
employee and not as a beneficiary of the trust, or (ii) under or to an annuity plan that, at
the time of the payment, is a plan described in section 403(a);

(4) the value of any special discount or markdown allowed to an employee on goods
purchased from or services supplied by the employer where the purchases are optional and
do not constitute regular or systematic payment for services;

(5) customary and reasonable directors' fees paid to individuals who are not
otherwise employed by the corporation of which they are directors;

(6) the payment to employees for reimbursement of meal expenses when employees
are required to perform work after their regular hours;

(7) the payment into a trust or plan for purposes of providing legal or dental services
if provided for all employees generally or for a class or classes of employees;

(8) the value of parking facilities provided or paid for by an employer, in whole or in
part, if provided for all employees generally or for a class or classes of employees;

(9) royalties to an owner of a franchise, license, copyright, patent, oil, mineral,
or other right;

(10) advances or reimbursements for traveling or other bona fide ordinary and
necessary expenses incurred or reasonably expected to be incurred in the business of the
employer. Traveling and other reimbursed expenses must be identified either by making
separate payments or by specifically indicating the separate amounts where both wages
and expense allowances are combined in a single payment;

(11) residual payments to radio, television, and similar artists that accrue after
the production of television commercials, musical jingles, spot announcements, radio
transcriptions, film sound tracks, and similar activities;

(12) the income to a former employee resulting from the exercise of a nonqualified
stock option;

(13) payments made to supplement supplemental unemployment benefits benefit
payments
under a plan established by an employer, that makes provisions for employees
generally or for a class or classes of employees under the written terms of an agreement,
contract, trust arrangement, or other instrument
if the payment is not wages under the
Federal Unemployment Tax Act
. The plan must provide supplemental payments are
wages unless made
solely for the supplementing of weekly state or federal unemployment
benefits. The plan must provide supplemental payments only for those weeks the applicant
has been paid regular, extended, or additional unemployment benefits. The supplemental
payments, when combined with the applicant's weekly unemployment benefits paid, may
not exceed the applicant's regular weekly pay. The plan must not allow the assignment
of
Supplemental unemployment benefit payments or provide for any type of additional
payment. The plan must not require
may not be assigned, nor may any consideration be
required
from the applicant, other than a release of claims, and must not be designed for
the purpose of avoiding the payment of Social Security obligations, or unemployment
taxes on money disbursed from the plan
in order to be excluded from wages;

(14) sickness or accident disability payments made by the employer after the
expiration of six calendar months following the last calendar month that the individual
worked for the employer;

(15) disability payments made under the provisions of any workers' compensation
law;

(16) sickness or accident disability payments made by a third-party payer such as
an insurance company; or

(17) payments made into a trust fund, or for the purchase of insurance or an annuity,
to provide for sickness or accident disability payments to employees under a plan or
system established by the employer that provides for the employer's employees generally
or for a class or classes of employees.

(b) Nothing in this subdivision excludes from the term "wages" any payment
made under any type of salary reduction agreement, including payments made under a
cash or deferred arrangement and cafeteria plan, as defined in United States Code, title
26, sections 401(k) and 125 of the federal Internal Revenue Code, to the extent that the
employee has the option to receive the payment in cash.

(c) Wages includes the total payment to the operator and supplier of a vehicle or
other equipment where the payment combines compensation for personal services as well
as compensation for the cost of operating and hiring the equipment in a single payment.
This paragraph does not apply if:

(1) there is a preexisting written agreement providing for allocation of specific
amounts; or

(2) at the time of each payment there is a written acknowledgement acknowledgment
indicating the separate allocated amounts.

(d) Wages includes payments made for services as a caretaker. Unless there is a
contract or other proof to the contrary, compensation is considered as being equally
received by a married couple where the employer makes payment to only one spouse, or
by all tenants of a household who perform services where two or more individuals share
the same dwelling and the employer makes payment to only one individual.

(e) Wages includes payments made for services by a migrant family. Where services
are performed by a married couple or a family and an employer makes payment to only
one individual, each worker is considered as having received an equal share of the
compensation unless there is a contract or other proof to the contrary.

(f) Wages includes advances or draws against future earnings, when paid, unless
the payments are designated as a loan or return of capital on the books of the employer
at the time of payment.

(g) Wages includes payments made by a subchapter "S" corporation, as organized
under the Internal Revenue Code, to or on behalf of officers and shareholders that are
reasonable compensation for services performed for the corporation.

For a subchapter "S" corporation, wages does not include:

(1) a loan for business purposes to an officer or shareholder evidenced by a
promissory note signed by an officer before the payment of the loan proceeds and recorded
on the books and records of the corporation as a loan to an officer or shareholder;

(2) a repayment of a loan or payment of interest on a loan made by an officer to the
corporation and recorded on the books and records of the corporation as a liability;

(3) a reimbursement of reasonable corporation expenses incurred by an officer and
documented by a written expense voucher and recorded on the books and records of
the corporation as corporate expenses; and

(4) a reasonable lease or rental payment to an officer who owns property that is
leased or rented to the corporation.

Sec. 3.

Minnesota Statutes 2015 Supplement, section 268.085, subdivision 2, is
amended to read:


Subd. 2.

Not eligible.

An applicant is ineligible for unemployment benefits for
any week:

(1) that occurs before the effective date of a benefit account;

(2) that the applicant, at the beginning of any time during the week, has an
outstanding fraud overpayment balance under section 268.18, subdivision 2, including
any penalties and interest;

(3) that occurs in a period when the applicant is a student in attendance at, or on
vacation from a secondary school including the period between academic years or terms;

(4) that the applicant is incarcerated or performing court-ordered community service.
The applicant's weekly unemployment benefit amount is reduced by one-fifth for each day
the applicant is incarcerated or performing court-ordered community service;

(5) that the applicant fails or refuses to provide information on an issue of
ineligibility required under section 268.101;

(6) that the applicant is performing services 32 hours or more, in employment,
covered employment, noncovered employment, volunteer work, or self-employment
regardless of the amount of any earnings; or

(7) with respect to which the applicant has filed an application for unemployment
benefits under any federal law or the law of any other state. If the appropriate agency
finally determines that the applicant is not entitled to establish a benefit account under
federal law or the law of any other state, this clause does not apply.

Sec. 4.

Minnesota Statutes 2014, section 268.0865, subdivision 3, is amended to read:


Subd. 3.

Continued request for unemployment benefits by electronic
transmission.

(a) A continued request for unemployment benefits by electronic
transmission must be filed to that electronic mail address, telephone number, or Internet
address prescribed by the commissioner for that applicant. In order to constitute a
continued request, all information asked for, including information authenticating that the
applicant is sending the transmission, must be provided in the format required. If all of the
information asked for is not provided, the communication does not constitute a continued
request for unemployment benefits.

(b) The continued request by electronic transmission communication must be filed
within four calendar weeks following the week for which payment is requested on the
date day of the week and during the time of day designated for the applicant for filing a
continued request by electronic transmission
.

(c) If the electronic transmission continued request is not filed as required under
paragraph (b), a continued request by electronic transmission must be accepted if the
applicant files the continued request by electronic transmission within three calendar
weeks following the week for which payment is requested.
If the continued request by
electronic transmission is not filed within three four calendar weeks following the week
for which payment is requested, the electronic continued request will not be accepted
and the applicant is ineligible for unemployment benefits for the period covered by the
continued request, unless the applicant shows good cause for failing to file the continued
request by electronic transmission within the time period required.

Sec. 5.

Minnesota Statutes 2014, section 268.0865, subdivision 4, is amended to read:


Subd. 4.

Continued request for unemployment benefits by mail.

(a) A
continued request for unemployment benefits by mail must be on a form prescribed by
the commissioner. The form, in order to constitute a continued request, must be totally
completed and signed by the applicant. The form must be filed by mail, in an envelope
with postage prepaid, and sent to the address designated during the week following the
week for which payment is requested.

(b) If the mail continued request for unemployment benefits is not filed as required
under paragraph (a), a continued request must be accepted if the form is filed by mail
within three four calendar weeks following the week for which payment is requested.

(b) If the continued request form is not filed within three four calendar weeks
following the week for which payment is requested, the form will not be accepted and the
applicant is ineligible for unemployment benefits for the period covered by the continued
request for unemployment benefits,
unless the applicant shows good cause for failing to
file the form by mail within the time period required.

(c) If the applicant has been designated to file a continued request for unemployment
benefits by mail, an applicant may submit the form by facsimile transmission within
three four calendar weeks following the week for which payment is requested. A form
submitted by facsimile transmission must be sent only to the telephone number assigned
for that purpose.

(d) An applicant who has been designated to file a continued request by mail may
personally deliver a continued request form only to the location to which the form was
otherwise designated to be mailed.

Sec. 6.

Minnesota Statutes 2014, section 268.095, subdivision 2, is amended to read:


Subd. 2.

Quit defined.

(a) A quit from employment occurs when the decision to end
the employment was, at the time the employment ended, the employee's.

(b) When determining if an applicant quit, the theory of a constructive quit does
not apply.

(b) (c) An employee who has been notified that the employee will be discharged in
the future, who chooses to end the employment while employment in any capacity is still
available, is considered to have has quit the employment.

(c) (d) An employee who seeks to withdraw a previously submitted notice of quitting
is considered to have has quit the employment, as of the intended date of quitting, if the
employer does not agree that the notice may be withdrawn.

(d) (e) An applicant who has quit employment with a staffing service if, within
five calendar days after completion of a suitable job assignment from a staffing service,
the applicant:

(1) fails without good cause to affirmatively request an additional suitable job
assignment,;

(2) refuses without good cause an additional suitable job assignment offered,; or

(3) accepts employment with the client of the staffing service, is considered to have
quit employment with the staffing service
. Accepting employment with the client of the
staffing service meets the requirements of the exception to ineligibility under subdivision
1, clause (2).

This paragraph applies only if, at the time of beginning of employment with the
staffing service, the applicant signed and was provided a copy of a separate document
written in clear and concise language that informed the applicant of this paragraph and
that unemployment benefits may be affected.

For purposes of this paragraph, "good cause" is a reason that is significant and would
compel an average, reasonable worker, who would otherwise want an additional suitable
job assignment with the staffing service (1) to fail to contact the staffing service, or (2)
to refuse an offered assignment.

Sec. 7.

Minnesota Statutes 2014, section 268.095, subdivision 5, is amended to read:


Subd. 5.

Discharge defined.

(a) A discharge from employment occurs when any
words or actions by an employer would lead a reasonable employee to believe that the
employer will no longer allow the employee to work for the employer in any capacity. A
layoff because of lack of work is considered a discharge. A suspension from employment
without pay of more than 30 calendar days is considered a discharge.

(b) When determining if an applicant was discharged, the theory of a constructive
discharge does not apply.

(b) (c) An employee who gives notice of intention to quit the employment and is not
allowed by the employer to work the entire notice period is considered discharged from
the employment as of the date the employer will no longer allow the employee to work. If
the discharge occurs within 30 calendar days before the intended date of quitting, then,
as of the intended date of quitting, the separation from employment is considered a quit
from employment subject to subdivision 1.

(c) (d) The end of a job assignment with the client of a staffing service is considered
a discharge from employment with the staffing service unless subdivision 2, paragraph
(d), applies.

Sec. 8.

Minnesota Statutes 2014, section 268.18, is amended to read:


268.18 UNEMPLOYMENT BENEFIT OVERPAYMENTS.

Subdivision 1.

Nonfraud Repaying an overpayment.

(a) Any applicant who (1)
because of a determination or amended determination issued under section 268.07 or
268.101, or any other section of this chapter, or (2) because of an unemployment law
judge's decision under section 268.105, has received any unemployment benefits that the
applicant was held not entitled to, is overpaid the benefits, and must promptly repay the
unemployment benefits to the trust fund.

(b) If the applicant fails to repay the unemployment benefits overpaid, the
commissioner may offset from any future unemployment benefits otherwise payable the
amount of the overpayment. Except when the overpayment resulted because the applicant
failed to report deductible earnings or deductible or benefit delaying payments, no single
offset may exceed 50 percent of the amount of the payment from which the offset is made.
The overpayment may also
including any penalty and interest assessed under subdivisions
2 and 2b, the total due may
be collected by the methods allowed under state and federal law.

(c) If an applicant has been overpaid unemployment benefits under the law of
another state, because of a reason other than fraud, and that state certifies that the applicant
is liable under its law to repay the unemployment benefits and requests the commissioner
to recover the overpayment, the commissioner may offset from future unemployment
benefits otherwise payable the amount of overpayment, except that no single offset may
exceed 50 percent of the amount of the payment from which the offset is made.

Subd. 2.

Overpayment because of fraud.

(a) Any An applicant who receives has
committed fraud if the applicant is overpaid
unemployment benefits by:

(1) knowingly misrepresenting, misstating, or failing to disclose any material fact,;
or who makes

(2) making a false statement or representation without a good faith belief as to the
correctness of the statement or representation, has committed fraud.

After the discovery of facts indicating fraud, the commissioner must make issue a
determination that the applicant obtained unemployment benefits by fraud and that the
applicant must promptly repay the unemployment benefits to the trust fund. In addition, the
commissioner must assess
of overpayment penalty, assessing a penalty equal to 40 percent
of the amount fraudulently obtained overpaid. This penalty is in addition to penalties under
section 268.182. The determination is effective the Sunday of the week that it was issued.

(b) Unless the applicant files an appeal within 20 calendar days after the sending of
the a determination of overpayment by fraud penalty to the applicant by mail or electronic
transmission, the determination is final. Proceedings on the appeal are conducted in
accordance with section 268.105.

(c) If the applicant fails to repay the unemployment benefits, penalty, and interest
assessed, the total due may be collected by the methods allowed under state and federal
law.
A determination of overpayment by fraud penalty must state the methods of collection
the commissioner may use to recover the overpayment, penalty, and interest assessed.
Money received in repayment of fraudulently obtained overpaid unemployment benefits,
penalties, and interest is first applied to the unemployment benefits overpaid, then to the
penalty amount due, then to any interest due. 62.5 percent of the payments made toward the
penalty are credited to the contingent account and 37.5 percent credited to the trust fund.

(d) If an applicant has been overpaid unemployment benefits under the law of
another state because of fraud and that state certifies that the applicant is liable to repay
the unemployment benefits and requests the commissioner to recover the overpayment,
the commissioner may offset from future unemployment benefits otherwise payable the
amount of overpayment.

(e) Regardless of the limitations in section 268.101, subdivision 2, paragraph (e),
unemployment benefits paid for weeks more than four years before the date of
(d) A
determination of overpayment by fraud issued penalty under this subdivision are not
considered overpaid unemployment benefits
may be issued within 48 months of the
establishment of the benefit account upon which the unemployment benefits were obtained
though fraud
.

Subd. 2b.

Interest.

On any unemployment benefits fraudulently obtained, and any
penalty amounts assessed under subdivision 2, the commissioner must assess interest at the
rate of one percent per month on any amount that remains unpaid beginning 30 calendar
days after the date of the a determination of overpayment by fraud penalty. A determination
of overpayment by fraud penalty must state that interest will be assessed. Interest is
assessed in the same manner as on employer debt under section 268.057, subdivision 5.
Interest payments collected under this subdivision are credited to the trust fund.

Subd. 3a.

Offset of federal unemployment benefits.

The commissioner is
authorized to enter into reciprocal agreements with the United States Secretary of Labor,
whereby,
(a) The commissioner may offset from any future unemployment benefits
otherwise payable the amount of a nonfraud overpayment. Except when the nonfraud
overpayment resulted because the applicant failed to report deductible earnings or
deductible or benefit delaying payments, no single offset may exceed 50 percent of the
amount of the payment from which the offset is made.

(b) Overpayments of unemployment benefits as determined under a federal law,
program
may be recovered by offset from unemployment future benefits otherwise
payable and.

(c) If an applicant has been overpaid unemployment benefits under the law of
another state, the commissioner may offset from future benefits otherwise payable the
amount of overpayment.

(d) Nonfraud unemployment benefit overpayments under subdivisions 1 and 2
may be recovered by offset from unemployment future benefits otherwise payable under
a federal program.

Subd. 4.

Cancellation of overpayments.

(a) If unemployment benefits overpaid
under subdivision 1 for reasons other than fraud are not repaid or offset from subsequent
unemployment benefits as provided for in subdivision 1 within six years after the date
of the determination or decision holding the applicant overpaid, the commissioner must
cancel the overpayment balance, and no administrative or legal proceedings may be used
to enforce collection of those amounts.

(b) If unemployment benefits determined overpaid under subdivision 2 because of
fraud
including penalties and interest are not repaid within ten years after the date of
the determination of overpayment by fraud penalty, the commissioner must cancel the
overpayment balance and any penalties and interest due, and no administrative or legal
proceeding may be used to enforce collection of those amounts.

(c) The commissioner may cancel at any time any overpayment, including penalties
and interest, that the commissioner determines is uncollectible because of death or
bankruptcy.

Subd. 4a.

Court fees; collection fees.

(a) If the commissioner department
is required to pay any court fees in an attempt to enforce collection of overpaid
unemployment benefits, penalties, or interest, the commissioner may add the amount of
the court fees may be added to the total amount due.

(b) If an applicant who has been determined overpaid unemployment benefits
because of fraud seeks to have any portion of the debt discharged under the federal
bankruptcy code, and the commissioner department files an objection in bankruptcy court
to the discharge, the commissioner may add the commissioner's cost of any court fees may
be added
to the debt if the bankruptcy court does not discharge the debt.

(c) If the Internal Revenue Service assesses the commissioner department a fee for
offsetting from a federal tax refund the amount of any overpayment, including penalties
and interest, the amount of the fee may be added to the total amount due. The offset
amount must be put in the trust fund and that amount credited to the total amount due
from the applicant.

Subd. 5.

Remedies.

(a) Any method undertaken to recover an overpayment of
unemployment benefits, including any penalties and interest, is not considered an election
of a method of recovery.

(b) Intervention or lack thereof, in whole or in part, in a workers' compensation
matter under section 176.361 is not considered an election of a remedy and does not
prevent the commissioner from determining any unemployment benefits overpaid under
subdivision 1 or 2 or taking action under section 268.182.

Subd. 6.

Collection of overpayments.

(a) The commissioner may not compromise
the amount that has been determined of any overpaid under this section unemployment
benefits
including penalties and interest.

(b) The commissioner has discretion regarding the recovery of any overpayment
under subdivision 1 for reasons other than fraud. Regardless of any law to the contrary, the
commissioner is not required to refer any amount determined overpaid under subdivision
1
overpayment for reasons other than fraud to a public or private collection agency,
including agencies of this state.

(c) Amounts determined overpaid under subdivision 1 for reasons other than fraud
are not considered a "debt" to the state of Minnesota for purposes of any reporting
requirements to the commissioner of management and budget.

(d) A pending appeal under section 268.105 does not suspend the assessment of
interest, penalties, or collection of an overpayment under this section.

(e) Section 16A.626 applies to the repayment by an applicant of any overpayment,
penalty, or interest under this section.

Sec. 9. EFFECTIVE DATE.

This article is effective July 31, 2016, unless indicated otherwise.

ARTICLE 13

UNEMPLOYMENT INSURANCE ADVISORY COUNCIL TECHNICAL

Section 1.

Minnesota Statutes 2014, section 268.035, is amended by adding a
subdivision to read:


Subd. 12e.

Earnings.

"Earnings" means all compensation to which the applicant has
a legal claim and is earned income under state and federal law for income tax purposes.

Sec. 2.

Minnesota Statutes 2014, section 268.035, subdivision 20, is amended to read:


Subd. 20.

Noncovered employment.

"Noncovered employment" means:

(1) employment for the United States government or an instrumentality thereof,
including military service;

(2) employment for a state, other than Minnesota, or a political subdivision or
instrumentality thereof;

(3) employment for a foreign government;

(4) employment for an instrumentality wholly owned by a foreign government,
if the employment is of a character similar to that performed in foreign countries by
employees of the United States government or an instrumentality thereof and the United
States Secretary of State has certified that the foreign government grants an equivalent
exemption to similar employment performed in the foreign country by employees of the
United States government and instrumentalities thereof;

(5) (4) employment covered under United States Code, title 45, section 351, the
federal Railroad Unemployment Insurance Act;

(6) employment covered by a reciprocal arrangement between the commissioner and
another state or the federal government that provides that all employment performed by an
individual for an employer during the period covered by the reciprocal arrangement is
considered performed entirely within another state;

(7) (5) employment for a church or convention or association of churches, or an
a nonprofit organization operated primarily for religious purposes that is operated,
supervised, controlled, or principally supported by a church or convention or association
of churches described in United States Code, title 26, section 501(c)(3) of the federal
Internal Revenue Code and exempt from income tax under section 501(a)
;

(8) (6) employment for Minnesota or a political subdivision, or a nonprofit
organization,
of a duly ordained or licensed minister of a church in the exercise of a
ministry or by a member of a religious order in the exercise of duties required by the order,
for Minnesota or a political subdivision or an organization described in United States
Code, title 26, section 501(c)(3) of the federal Internal Revenue Code and exempt from
income tax under section 501(a)
;

(9) (7) employment for Minnesota or a political subdivision, or a nonprofit
organization,
of an individual receiving rehabilitation of "sheltered" work in a facility
conducted for the purpose of carrying out a program of rehabilitation for individuals
whose earning capacity is impaired by age or physical or mental deficiency or injury or a
program providing "sheltered" work for individuals who because of an impaired physical
or mental capacity cannot be readily absorbed in the competitive labor market. This
clause applies only to services performed for Minnesota or a political subdivision or an
organization described in United States Code, title 26, section 501(c)(3) of the federal
Internal Revenue Code and exempt from income tax under section 501(a)
in a facility
certified by the Rehabilitation Services Branch of the department or in a day training or
habilitation program licensed by the Department of Human Services;

(10) (8) employment for Minnesota or a political subdivision, or a nonprofit
organization,
of an individual receiving work relief or work training as part of an
unemployment work relief or work training program assisted or financed in whole or
in part by any federal agency or an agency of a state or political subdivision thereof.
This clause applies only to employment for Minnesota or a political subdivision or an
organization described in United States Code, title 26, section 501(c)(3) of the federal
Internal Revenue Code and exempt from income tax under section 501(a).
This clause does
not apply to programs that require unemployment benefit coverage for the participants;

(11) (9) employment for Minnesota or a political subdivision, as an elected official, a
member of a legislative body, or a member of the judiciary;

(12) (10) employment as a member of the Minnesota National Guard or Air National
Guard;

(13) (11) employment for Minnesota, or a political subdivision, or instrumentality
thereof, as an employee of an individual serving only on a temporary basis in case of
fire, flood, tornado, or similar emergency;

(14) (12) employment as an election official or election worker for Minnesota or
a political subdivision, but only if the compensation for that employment was less than
$1,000 in a calendar year;

(15) (13) employment for Minnesota that is a major policy-making or advisory
position in the unclassified service;

(16) (14) employment for Minnesota in an unclassified position established under
section 43A.08, subdivision 1a;

(17) (15) employment for a political subdivision of Minnesota that is a nontenured
major policy making or advisory position;

(18) (16) domestic employment in a private household, local college club, or local
chapter of a college fraternity or sorority performed for a person, only, if the wages paid
in any calendar quarter in either the current or prior calendar year to all individuals in
domestic employment totaled less than $1,000.

"Domestic employment" includes all service in the operation and maintenance of a
private household, for a local college club, or local chapter of a college fraternity or
sorority as distinguished from service as an employee in the pursuit of an employer's
trade or business;

(19) (17) employment of an individual by a son, daughter, or spouse, and
employment of a child under the age of 18 by the child's father or mother;

(20) (18) employment of an inmate of a custodial or penal institution;

(21) (19) employment for a school, college, or university, by a student who is
enrolled and whose primary relation to the school, college, or university is as a student.
This does not include an individual whose primary relation to the school, college, or
university is as an employee who also takes courses;

(22) (20) employment of an individual who is enrolled as a student in a full-time
program at a nonprofit or public educational institution that maintains a regular faculty
and curriculum and has a regularly organized body of students in attendance at the place
where its educational activities are carried on, taken for credit at the institution, that
combines academic instruction with work experience, if the employment is an integral
part of the program, and the institution has so certified to the employer, except that this
clause does not apply to employment in a program established for or on behalf of an
employer or group of employers;

(23) (21) employment of university, college, or professional school students in an
internship or other training program with the city of St. Paul or the city of Minneapolis
under Laws 1990, chapter 570, article 6, section 3;

(24) (22) employment for a hospital by a patient of the hospital. "Hospital" means
an institution that has been licensed by the Department of Health as a hospital;

(25) (23) employment as a student nurse for a hospital or a nurses' training school by
an individual who is enrolled and is regularly attending classes in an accredited nurses'
training school;

(26) (24) employment as an intern for a hospital by an individual who has completed
a four-year course in an accredited medical school;

(27) (25) employment as an insurance salesperson, by other than a corporate
officer, if all the wages from the employment is solely by way of commission. The word
"insurance" includes an annuity and an optional annuity;

(28) (26) employment as an officer of a township mutual insurance company or
farmer's mutual insurance company operating under chapter 67A;

(29) (27) employment of a corporate officer, if the officer directly or indirectly,
including through a subsidiary or holding company, owns 25 percent or more of the
employer corporation, and employment of a member of a limited liability company, if the
member directly or indirectly, including through a subsidiary or holding company, owns
25 percent or more of the employer limited liability company;

(30) (28) employment as a real estate salesperson, by other than a corporate officer,
if all the wages from the employment is solely by way of commission;

(31) (29) employment as a direct seller as defined in United States Code, title 26,
section 3508;

(32) (30) employment of an individual under the age of 18 in the delivery or
distribution of newspapers or shopping news, not including delivery or distribution to any
point for subsequent delivery or distribution;

(33) (31) casual employment performed for an individual, other than domestic
employment under clause (18) (16), that does not promote or advance that employer's
trade or business;

(34) (32) employment in "agricultural employment" unless considered it is "covered
agricultural employment" under subdivision 11; or

(35) (33) if employment during one-half or more of any pay period was covered
employment, all the employment for the pay period is considered covered employment;
but if during more than one-half of any pay period the employment was noncovered
employment, then all of the employment for the pay period is considered noncovered
employment. "Pay period" means a period of not more than a calendar month for which a
payment or compensation is ordinarily made to the employee by the employer.

Sec. 3.

Minnesota Statutes 2014, section 268.035, is amended by adding a subdivision
to read:


Subd. 20b.

Nonprofit organization.

"Nonprofit organization" means an
organization described in United States Code, title 26, section 501(c)(3), and is exempt
from income tax under United States Code, title 26, section 501(a).

Sec. 4.

Minnesota Statutes 2014, section 268.035, subdivision 23a, is amended to read:


Subd. 23a.

Suitable employment.

(a) Suitable employment means employment in
the applicant's labor market area that is reasonably related to the applicant's qualifications.
In determining whether any employment is suitable for an applicant, the degree of risk
involved to the health and safety, physical fitness, prior training, experience, length
of unemployment, prospects for securing employment in the applicant's customary
occupation, and the distance of the employment from the applicant's residence is
considered.

(b) In determining what is suitable employment, primary consideration is given to the
temporary or permanent nature of the applicant's separation from employment and whether
the applicant has favorable prospects of finding employment in the applicant's usual or
customary occupation at the applicant's past wage level within a reasonable period of time.

If prospects are unfavorable, employment at lower skill or wage levels is suitable
if the applicant is reasonably suited for the employment considering the applicant's
education, training, work experience, and current physical and mental ability.

The total compensation must be considered, including the wage rate, hours of
employment, method of payment, overtime practices, bonuses, incentive payments, and
fringe benefits.

(c) When potential employment is at a rate of pay lower than the applicant's former
rate, consideration must be given to the length of the applicant's unemployment and the
proportion of difference in the rates. Employment that may not be suitable because of
lower wages during the early weeks of the applicant's unemployment may become suitable
as the duration of unemployment lengthens.

(d) For an applicant seasonally unemployed, suitable employment includes
temporary work in a lower skilled occupation that pays average gross weekly wages equal
to or more than 150 percent of the applicant's weekly unemployment benefit amount.

(e) If a majority of the applicant's weeks of employment in the base period includes
part-time employment, part-time employment in a position with comparable skills and
comparable hours that pays comparable wages is considered suitable employment.

Full-time employment is not considered suitable employment for an applicant if a
majority of the applicant's weeks of employment in the base period includes part-time
employment.

(f) To determine suitability of employment in terms of shifts, the arrangement of
hours in addition to the total number of hours is to be considered. Employment on a
second, third, rotating, or split shift is suitable employment if it is customary in the
occupation in the labor market area.

(g) Employment is not considered suitable if:

(1) the position offered is vacant because of a labor dispute;

(2) the wages, hours, or other conditions of employment are substantially less
favorable than those prevailing for similar employment in the labor market area; or

(3) as a condition of becoming employed, the applicant would be required to join a
company union or to resign from or refrain from joining any bona fide labor organization; or

(4) the employment is with a staffing service and less than 25 percent of the
applicant's wage credits are from a job assignment with the client of a staffing service
.

(h) A job assignment with a staffing service is considered suitable only if 25
percent or more of the applicant's wage credits are from job assignments with clients of
a staffing service and the job assignment meets the definition of suitable employment
under paragraph (a).

Sec. 5.

Minnesota Statutes 2014, section 268.085, subdivision 4, is amended to read:


Subd. 4.

Social Security old age insurance benefits.

(a) Any applicant aged 62 or
over is required to state when filing an application for unemployment benefits and when
filing continued requests for unemployment benefits if the applicant is receiving, has filed
for, or intends to file for, primary Social Security old age benefits.

(b) Unless paragraph (b) (c) applies, 50 percent of the weekly equivalent of the
primary Social Security old age benefit the applicant has received, has filed for, or
intends to file for, with respect to that week must be deducted from an applicant's weekly
unemployment benefit amount.

(b) (c) If all of the applicant's wage credits were earned while the applicant was
claiming Social Security old age benefits, there is no deduction of the Social Security
benefits
from the applicant's weekly unemployment benefit amount.

(c) (d) Information from the Social Security Administration is considered conclusive,
absent specific evidence showing that the information was erroneous.

(d) (e) This subdivision does not apply to Social Security survivor benefits.

Sec. 6.

Minnesota Statutes 2014, section 268.085, subdivision 5, is amended to read:


Subd. 5.

Deductible earnings.

(a) If the applicant has earnings, including holiday
pay, with respect to any week, from employment, covered employment, noncovered
employment, self-employment, or volunteer work, equal to or in excess of the applicant's
weekly unemployment benefit amount, the applicant is ineligible for unemployment
benefits for that week.

(b) If the applicant has earnings, including holiday pay, with respect to any week,
that is less than the applicant's weekly unemployment benefit amount, from employment,
covered employment, noncovered employment, self-employment, or volunteer work, 50
percent of the earnings are deducted from the weekly unemployment benefit amount.

(c) No deduction is made from an applicant's weekly unemployment benefit amount
for earnings from service in the National Guard or a United States military reserve unit or
from direct service as a volunteer firefighter or volunteer ambulance service personnel.
This exception to paragraphs (a) and (b) does not apply to on-call or standby pay provided
to a volunteer firefighter or volunteer ambulance service personnel. No deduction is made
for jury duty pay or for pay as an election judge.

(d) The applicant may report deductible earnings on continued requests for
unemployment benefits at the next lower whole dollar amount.

(e) Deductible earnings does not include any money considered that is a deductible
payment under subdivision 3, but includes all compensation considered wages under
section 268.035, subdivision 29, and any other compensation considered earned income
under state and federal law for income tax purposes
.

Sec. 7. REVISOR'S INSTRUCTION.

(a) The revisor of statutes shall change "liability" to "liability for damages" in
Minnesota Rules, part 3315.0555, subpart 1.

(b) The revisor of statutes shall change "entitled to" to "eligible for" in Minnesota
Statutes, section 268.085, subdivision 1, clause (6).

(c) The revisor of statutes shall change "shall calculate" to "must calculate" in
Minnesota Statutes, section 268.035, subdivision 23.

(d) The revisor of statutes shall renumber Minnesota Statutes, section 268.035,
subdivision 12d, to subdivision 12f.

(e) The revisor of statutes shall reletter the paragraphs in Minnesota Statutes, section
268.085, subdivision 4, as follows:

(1) paragraph (a) shall be relettered paragraph (c); and

(2) paragraph (c) shall be relettered paragraph (a).

(f) The revisor of statutes shall renumber the reference to "clause (29)" to "clause
(27)" in Minnesota Statutes, section 268.046, subdivision 1.

(g) The revisor of statutes shall renumber the reference to "clause (10)" to "clause
(8)" in Minnesota Statutes, section 383C.19.

Sec. 8. EFFECTIVE DATE.

This article is effective July 31, 2016, and applies to all matters pending a
determination or a decision by an unemployment law judge.

ARTICLE 14

TELEPHONE REGULATION

Section 1.

Minnesota Statutes 2014, section 222.37, subdivision 1, is amended to read:


Subdivision 1.

Use requirements.

Any water power, telegraph, telephone, wireless
telecommunications service provider,
pneumatic tube, pipeline, community antenna
television, cable communications or electric light, heat, power company, or fire department
may use public roads for the purpose of constructing, using, operating, and maintaining
lines, subways, canals, conduits, hydrants, or dry hydrants, for their business, but such
lines shall be so located as in no way to interfere with the safety and convenience of
ordinary travel along or over the same; and, in the construction and maintenance of such
line, subway, canal, conduit, hydrants, or dry hydrants, the company shall be subject to all
reasonable regulations imposed by the governing body of any county, town or city in which
such public road may be. If the governing body does not require the company to obtain a
permit, a company shall notify the governing body of any county, town, or city having
jurisdiction over a public road prior to the construction or major repair, involving extensive
excavation on the road right-of-way, of the company's equipment along, over, or under the
public road, unless the governing body waives the notice requirement. A waiver of the
notice requirement must be renewed on an annual basis. For emergency repair a company
shall notify the governing body as soon as practical after the repair is made. Nothing herein
shall be construed to grant to any person any rights for the maintenance of a telegraph,
telephone, pneumatic tube, community antenna television system, cable communications
system, or light, heat, power system, or hydrant system within the corporate limits of any
city until such person shall have obtained the right to maintain such system within such city
or for a period beyond that for which the right to operate such system is granted by such city.

Sec. 2.

Minnesota Statutes 2014, section 237.01, is amended by adding a subdivision
to read:


Subd. 9.

Voice-over-Internet protocol service.

"Voice-over-Internet protocol
service" or "VoIP service" means any service that (1) enables real-time two-way voice
communications that originate from or terminate at the user's location in Internet protocol
or any successor protocol, and (2) permits users generally to receive calls that originate
on the public switched telephone network and terminate calls to the public switched
telephone network.

Sec. 3.

Minnesota Statutes 2014, section 237.01, is amended by adding a subdivision
to read:


Subd. 10.

Internet protocol-enabled service.

"Internet protocol-enabled service"
or "IP-enabled service" means any service, capability, functionality, or application
provided using Internet protocol, or any successor protocol, that enables an end user to
send or receive a communication in Internet protocol format or any successor format,
regardless of whether that communication is voice, data, or video.

Sec. 4.

[237.037] VOICE-OVER-INTERNET PROTOCOL SERVICE AND
INTERNET PROTOCOL-ENABLED SERVICE.

Subdivision 1.

Regulation prohibited.

Except as provided in this section, no
state agency, including the commission and the Department of Commerce, or political
subdivision of this state shall by rule, order, or other means directly or indirectly regulate
the entry, rates, terms, quality of service, availability, classification, or any other aspect of
VoIP service or IP-enabled service.

Subd. 2.

VoIP regulation.

(a) To the extent permitted by federal law, VoIP service
is subject to the requirements of sections 237.49, 237.52, 237.70, and 403.11 with regard
to the collection and remittance of the surcharges governed by those sections.

(b) A provider of VoIP service must comply with the requirements of chapter 403
applicable to the provision of access to 911 service by service providers, except to the
extent those requirements conflict with federal requirements for the provision of 911
service by VoIP providers under Code of Federal Regulations, title 47, part 9. A VoIP
provider is entitled to the benefit of the limitation of liability provisions of section 403.07,
subdivision 5. Beginning June 1, 2016, and continuing each June 1 thereafter, each VoIP
provider shall file a plan with the commission describing how it will comply with the
requirements of this paragraph. After its initial filing under this paragraph, a VoIP provider
shall file with the commission either an update of the plan or a statement certifying that
the plan and personnel contact information previously filed is still current.

Subd. 3.

Relation to other law.

Nothing in this section restricts, creates, expands,
or otherwise affects or modifies:

(1) the commission's authority under the Federal Communications Act of 1934,
United States Code, title 47, sections 251 and 252;

(2) any applicable wholesale tariff or any commission authority related to wholesale
services;

(3) any commission jurisdiction over (i) intrastate switched access rates, terms,
and conditions, including the implementation of federal law with respect to intercarrier
compensation, or (ii) existing commission authority to address or affect the resolution of
disputes regarding intercarrier compensation;

(4) the rights of any entity, or the authority of the commission and local government
authorities, with respect to the use and regulation of public rights-of-way under sections
237.162 and 237.163; or

(5) the establishment or enforcement of standards, requirements or procedures in
procurement policies, internal operational policies, or work rules of any state agency or
political subdivision of the state relating to the protection of intellectual property.

Subd. 4.

Exemption.

The following services delivered by IP-enabled service are
not regulated under this chapter:

(1) video services provided by a cable communications system, as defined in section
238.02, subdivision 3; or

(2) cable service, as defined in United States Code, title 47, section 522, clause (6); or

(3) any other IP-enabled video service.

Sec. 5. TASK FORCE ON DEPLOYMENT OF SMALL WIRELESS
TELECOMMUNICATIONS FACILITIES.

Subdivision 1.

Purpose; task force established.

In order to promote statewide
access to wireless telecommunications and ensure orderly deployment of wireless
telecommunication facilities subject to consistent and fair local regulations and
appropriate fee structures, a task force is established to study the needs of the state and
make recommendations to the legislature.

Subd. 2.

Members.

The task force consists of 13 voting members, appointed as
follows:

(1) two members appointed by the League of Minnesota Cities, one member
appointed by the Association of Minnesota Counties, and one member appointed by
the Minnesota Association of Townships;

(2) two members of the public, one member appointed by the senate Subcommittee
on Committees of the Committee on Rules and Administration and one member appointed
by the speaker of the house. Appointments under this clause must be made as provided in
Minnesota Statutes, section 15.0597, to the extent applicable;

(3) four members representing wireless telecommunications service providers, two
members appointed by the senate Subcommittee on Committees of the Committee on
Rules and Administration and two members appointed by the speaker of the house;

(4) one member appointed by the commissioner of commerce to serve as chair; and

(5) two members of the wireless telecommunications infrastructure industry, one
member appointed by the senate Subcommittee on Committees of the Committee On
Rules and Administration and one member appointed by the speaker of the house.

Appointments must be made as soon as practicable after the effective date of this section.

Subd. 3.

Study.

The task force shall identify and analyze issues that increase
its understanding of the needs of local governments and wireless telecommunications
providers in order to develop a robust statewide wireless telecommunications network.
These issues include, but are not limited to:

(1) the concerns and needs of local governments, municipal utilities, and wireless
telecommunications providers;

(2) the goals of the state to ensure all areas of the state and all residents have access
to wireless telecommunications networks that meet residents' needs, and the obstacles
to achieving those goals;

(3) the best practices and protocols for local governments' timely consideration and
approval of applications by wireless telecommunications providers for equipment and
facilities placements; and

(4) what changes in law are necessary to implement the best practices and protocols
to achieve the goals while addressing the concerns and needs of local governments.

Subd. 4.

Open meetings; staff.

Meetings of the task force are subject to Minnesota
Statutes, chapter 13D. The commissioner of commerce shall provide meeting space and
administrative support to the task force as requested, including posting meeting notices
on the agency's Web site.

Subd. 5.

Report.

The task force shall submit a report containing the findings and
recommendations of its study under subdivision 3 to the chairs and ranking minority
members of the legislative committees with jurisdiction over local government and
telecommunications, and to the governor, by January 15, 2017. The report may be in
the form of proposed legislation.

Subd. 6.

No compensation.

Members of the task force shall not receive
compensation.

Subd. 7.

Expiration.

The task force expires January 15, 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

ARTICLE 15

BROADBAND DEVELOPMENT

Section 1.

Minnesota Statutes 2015 Supplement, section 116J.394, is amended to read:


116J.394 DEFINITIONS.

(a) For the purposes of sections 116J.394 to 116J.396 116J.398, the following terms
have the meanings given them.

(b) "Broadband" or "broadband service" has the meaning given in section 116J.39,
subdivision 1, paragraph (b).

(c) "Broadband infrastructure" means networks of deployed telecommunications
equipment and technologies necessary to provide high-speed Internet access and other
advanced telecommunications services for end users.

(d) "Commissioner" means the commissioner of employment and economic
development.

(e) "Last-mile infrastructure" means broadband infrastructure that serves as the
final leg connecting the broadband service provider's network to the end-use customer's
on-premises telecommunications equipment.

(f) "Middle-mile infrastructure" means broadband infrastructure that links a
broadband service provider's core network infrastructure to last-mile infrastructure.

(g) "Political subdivision" means any county, city, town, school district, special
district or other political subdivision, or public corporation.

(h) "Underserved areas" means areas of Minnesota in which households or
businesses lack access to wire-line broadband service at speeds that meet the state
broadband goals of
greater than ten to 20 megabits per second download and five to ten
three
megabits per second upload but less than 25 megabits per second download and
three megabits per second upload
.

(i) "Unserved areas" means areas of Minnesota in which households or businesses
lack access to wire-line broadband service, as defined in section 116J.39 at speeds equal to
or greater than ten megabits per second download and three megabits per second upload
.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

Minnesota Statutes 2014, section 116J.395, subdivision 4, is amended to read:


Subd. 4.

Application process.

(a) An eligible applicant must submit an application
to the commissioner on a form prescribed by the commissioner. The commissioner shall
develop administrative procedures governing the application and grant award process.
The commissioner shall act as fiscal agent for the grant program and shall be responsible
for receiving and reviewing grant applications and awarding grants under this section.

(b) At least 30 days prior to the first day applications may be submitted each fiscal
year, the commissioner must publish the specific criteria and any quantitative weighting
scheme or scoring system the commissioner will use to evaluate or rank applications and
award grants under subdivision 6 on the department's Web site.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3.

Minnesota Statutes 2014, section 116J.395, is amended by adding a subdivision
to read:


Subd. 5a.

Incumbent right of first refusal.

(a) An applicant shall submit a copy of
the application to all incumbent broadband service providers operating in the geographic
area in which the proposed project is to be located at the same time the application is
submitted to the commissioner.

(b) The commissioner may not continue to process or consider an application for a
grant award if the commissioner receives notice in writing from an incumbent broadband
service provider of the service provider's intention and commitment to begin construction,
within 12 months of the date on which grant awards are to be made under this section, and
to complete construction within 24 months of that date, of a project to extend or upgrade
broadband service to speeds equal to or greater than the state broadband speed goal
contained in section 237.012, subdivision 1, throughout the area in which the proposed
project that is the subject of the application is to be located.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4.

Minnesota Statutes 2014, section 116J.395, subdivision 6, is amended to read:


Subd. 6.

Awarding grants.

(a) In evaluating applications and awarding grants,
the commissioner shall give priority to applications that: (1) are constructed in areas
identified by the director of the Office of Broadband Development as unserved; and (2) the
commissioner determines will result in the creation or retention of jobs in underserved
areas located in counties that are not metropolitan counties, as defined in section 473.121,
subdivision 4
.

(b) In evaluating applications and awarding grants, the commissioner may give
priority to applications that:

(1) are constructed in areas identified by the director of the Office of Broadband
Development as underserved;

(2) offer new or substantially upgraded broadband service to important community
institutions including, but not limited to, libraries, educational institutions, public safety
facilities, and healthcare facilities;

(3) facilitate the use of telemedicine and electronic health records;

(4) serve economically distressed areas of the state, as measured by indices of
unemployment, poverty, or population loss that are significantly greater than the statewide
average;

(5) provide technical support and train residents, businesses, and institutions in the
community served by the project to utilize broadband service;

(6) include a component to actively promote the adoption of the newly available
broadband services in the community;

(7) provide evidence of strong support for the project from citizens, government,
businesses, and institutions in the community;

(8) provide access to broadband service to a greater number of unserved or
underserved households and businesses; or

(9) leverage greater amounts of funding for the project from other private and
public sources.

(c) The commissioner shall endeavor to award grants under this section to qualified
applicants in all regions of the state.

(d) Within 90 days after the first grant is awarded under this section in a fiscal year,
the commissioner shall notify in writing each applicant who did not receive a grant why
the specific application was unsuccessful.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 5.

Minnesota Statutes 2014, section 116J.395, subdivision 7, is amended to read:


Subd. 7.

Limitation.

(a) No grant awarded under this section in an unserved area
may fund more than 50 percent of the total cost of a project.

(b) Grants awarded to a single project under this section must not exceed $5,000,000
No grant awarded under this section in an underserved area may fund more than 25
percent of the total cost of a project
.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 6.

Minnesota Statutes 2014, section 116J.395, is amended by adding a subdivision
to read:


Subd. 8.

Application evaluation report.

By June 30 of each year, the Office of
Broadband Development shall place on the Department of Employment and Economic
Development's Web site and provide to the chairs and ranking minority members of the
senate and house of representatives committees with primary jurisdiction over broadband
a list of all applications for grants under this section received during the previous year
and, for each application:

(1) the results of any quantitative weighting scheme or scoring system the
commissioner used to award grants or rank the applications;

(2) the grant amount requested; and

(3) the grant amount awarded, if any.

EFFECTIVE DATE.

This section is effective the day following final enactment.
The initial report submission required under this section is due June 30, 2016.

Sec. 7.

[116J.397] UPDATED BROADBAND DEPLOYMENT DATA AND MAPS.

(a) Beginning in 2016 and continuing each year thereafter, the Office of Broadband
Development shall contract with one or more independent organizations that have
extensive experience working with Minnesota broadband providers to:

(1) collect broadband deployment data from Minnesota providers, verify its accuracy
through on-the-ground testing, and create state and county maps available to the public by
February 1, 2017, and each February 1 thereafter, showing the availability of broadband
service at various upload and download speeds throughout Minnesota;

(2) analyze the deployment data collected to help inform future investments in
broadband infrastructure; and

(3) conduct business and residential surveys that measure broadband adoption and
use in the state.

(b) Data provided by a broadband provider under this section is nonpublic data
under section 13.02, subdivision 9. Maps produced under this paragraph are public data
under section 13.03.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 8.

[116J.398] BROADBAND PREVAILING WAGE EXEMPTION.

Notwithstanding any other law to the contrary, sections 116J.871 and 177.41 to
177.44 do not apply to the construction, installation, remodeling, and repair of last-mile
infrastructure, as defined under section 116J.394, paragraph (e).

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 9.

Minnesota Statutes 2014, section 237.012, subdivision 1, is amended to read:


Subdivision 1.

Universal access and high-speed goal.

(a) It is a state goal that as
soon as possible, but no later than 2015 2022, all state residents and businesses have access
to high-speed broadband service that provides minimum download speeds of ten to 20 25
megabits per second and minimum upload speeds of five to ten three megabits per second.

(b) It is a state goal that no later than 2026 all households in the state have access to
at least one broadband service provider offering broadband service at minimum speeds of
100 megabits per second download and 20 megabits per second upload.

Sec. 10.

Minnesota Statutes 2014, section 237.012, subdivision 2, is amended to read:


Subd. 2.

State broadband leadership position.

It is a goal of the state that by
2015 2022 and thereafter, the state be in:

(1) the top five states of the United States for broadband speed universally accessible
to residents and businesses;

(2) the top five states for broadband access; and

(3) the top 15 when compared to countries globally for broadband penetration.

EFFECTIVE DATE.

This section is effective the day following final enactment.

ARTICLE 16

ENERGY

Section 1.

Minnesota Statutes 2014, section 115C.09, subdivision 1, is amended to read:


Subdivision 1.

Reimbursable costs.

(a) The board shall provide reimbursement to
eligible applicants for reimbursable costs.

(b) The following costs are reimbursable for purposes of this chapter:

(1) corrective action costs incurred by the applicant and documented in a form
prescribed by the board, except the costs related to the physical removal of a tank.
Corrective action costs incurred by the applicant include costs for physical removal of
a tank when the physical removal is part of a corrective action, regardless of whether
the tank is leaking at the time of removal, and the removal is directed or approved by
the commissioner
;

(2) costs that the responsible person is legally obligated to pay as damages to third
parties for bodily injury, property damage, or corrective action costs incurred by a third
party caused by a release where the responsible person's liability for the costs has been
established by a court order or court-approved settlement; and

(3) up to 180 days of interest costs associated with the financing of corrective action
and incurred by the applicant in a written extension of credit or loan that has been signed by
the applicant and executed after July 1, 2002, provided that the applicant documents that:

(i) the interest costs are incurred as a result of an extension of credit or loan from a
financial institution; and

(ii) the board has not considered the application within the applicable time frame
specified in subdivision 2a, paragraph (c).

Interest costs meeting the requirements of this clause are eligible only when they are
incurred between the date a complete initial application is received by the board, or the
date a complete supplemental application is received by the board, and the date that the
board first notifies the applicant of its reimbursement determination. An application is
complete when the information reasonably required or requested by the board's staff
from the applicant has been received by the board's staff. Interest costs are not eligible
for reimbursement to the extent they exceed two percentage points above the adjusted
prime rate charged by banks, as defined in section 270C.40, subdivision 5, at the time the
extension of credit or loan was executed.

(c) A cost for liability to a third party is incurred by the responsible person when an
order or court-approved settlement is entered that sets forth the specific costs attributed
to the liability. Except as provided in this paragraph, reimbursement may not be made
for costs of liability to third parties until all eligible corrective action costs have been
reimbursed. If a corrective action is expected to continue in operation for more than one
year after it has been fully constructed or installed, the board may estimate the future
expense of completing the corrective action and, after subtracting this estimate from the
total reimbursement available under subdivision 3, reimburse the costs for liability to third
parties. The total reimbursement may not exceed the limit set forth in subdivision 3.

Sec. 2.

Minnesota Statutes 2014, section 115C.09, subdivision 3, is amended to read:


Subd. 3.

Reimbursements; subrogation; appropriation.

(a) The board shall
reimburse an eligible applicant from the fund for 90 percent of the total reimbursable costs
incurred at the site, except that the board may reimburse an eligible applicant from the
fund for greater than 90 percent of the total reimbursable costs, if the applicant previously
qualified for a higher reimbursement rate. For costs associated with a release from a tank
in transport, the board may reimburse a maximum of $100,000.

Not more than $1,000,000 may be reimbursed for costs associated with a single
release, regardless of the number of persons eligible for reimbursement, and not more than

$2,000,000 may be reimbursed for costs associated with a single tank facility release.

(b) A reimbursement may not be made from the fund under this chapter until the
board has determined that the costs for which reimbursement is requested were actually
incurred and were reasonable.

(c) When an applicant has obtained responsible competitive bids or proposals
according to rules promulgated under this chapter prior to June 1, 1995, the eligible costs
for the tasks, procedures, services, materials, equipment, and tests of the low bid or proposal
are presumed to be reasonable by the board, unless the costs of the low bid or proposal are
substantially in excess of the average costs charged for similar tasks, procedures, services,
materials, equipment, and tests in the same geographical area during the same time period.

(d) When an applicant has obtained a minimum of two responsible competitive bids or
proposals on forms prescribed by the board and where the rules promulgated adopted under
this chapter after June 1, 1995, designate maximum costs for specific tasks, procedures,
services, materials, equipment and tests, the eligible costs of the low bid or proposal are
deemed reasonable if the costs are at or below the maximums set forth in the rules.

(e) Costs incurred for change orders executed as prescribed in rules promulgated
adopted
under this chapter after June 1, 1995, are presumed reasonable if the costs are
at or below the maximums set forth in the rules, unless the costs in the change order are
above those in the original bid or proposal or are unsubstantiated and inconsistent with the
process and standards required by the rules.

(f) A reimbursement may not be made from the fund in response to either an initial
or supplemental application for costs incurred after June 4, 1987, that are payable under
an applicable insurance policy, except that if the board finds that the applicant has made
reasonable efforts to collect from an insurer and failed, the board shall reimburse the
applicant.

(g) If the board reimburses an applicant for costs for which the applicant has
insurance coverage, the board is subrogated to the rights of the applicant with respect to
that insurance coverage, to the extent of the reimbursement by the board. The board may
request the attorney general to bring an action in district court against the insurer to enforce
the board's subrogation rights. Acceptance by an applicant of reimbursement constitutes
an assignment by the applicant to the board of any rights of the applicant with respect to
any insurance coverage applicable to the costs that are reimbursed. Notwithstanding this
paragraph, the board may instead request a return of the reimbursement under subdivision
5 and may employ against the applicant the remedies provided in that subdivision, except
where the board has knowingly provided reimbursement because the applicant was denied
coverage by the insurer.

(h) Money in the fund is appropriated to the board to make reimbursements under
this chapter. A reimbursement to a state agency must be credited to the appropriation
account or accounts from which the reimbursed costs were paid.

(i) The board may reduce the amount of reimbursement to be made under this
chapter if it finds that the applicant has not complied with a provision of this chapter, a
rule or order issued under this chapter, or one or more of the following requirements:

(1) the agency was given notice of the release as required by section 115.061;

(2) the applicant, to the extent possible, fully cooperated with the agency in
responding to the release;

(3) the state rules applicable after December 22, 1993, to operating an underground
storage tank and appurtenances without leak detection;

(4) the state rules applicable after December 22, 1998, to operating an underground
storage tank and appurtenances without corrosion protection or spill and overfill
protection; and

(5) the state rule applicable after November 1, 1998, to operating an aboveground
tank without a dike or other structure that would contain a spill at the aboveground tank site.

(j) The reimbursement may be reduced as much as 100 percent for failure by
the applicant to comply with the requirements in paragraph (i), clauses (1) to (5). In
determining the amount of the reimbursement reduction, the board shall consider:

(1) the reasonable determination by the agency that the noncompliance poses a
threat to the environment;

(2) whether the noncompliance was negligent, knowing, or willful;

(3) the deterrent effect of the award reduction on other tank owners and operators;

(4) the amount of reimbursement reduction recommended by the commissioner; and

(5) the documentation of noncompliance provided by the commissioner.

(k) An applicant may request that the board issue a multiparty check that includes each
lender who advanced funds to pay the costs of the corrective action or to each contractor
or consultant who provided corrective action services. This request must be made by filing
with the board a document, in a form prescribed by the board, indicating the identity of the
applicant, the identity of the lender, contractor, or consultant, the dollar amount, and the
location of the corrective action. The applicant must submit a request for the issuance
of a multiparty check for each application submitted to the board. Payment under this
paragraph does not constitute the assignment of the applicant's right to reimbursement
to the consultant, contractor, or lender. The board has no liability to an applicant for a
payment issued as a multiparty check that meets the requirements of this paragraph.

Sec. 3.

Minnesota Statutes 2014, section 116C.779, subdivision 1, is amended to read:


Subdivision 1.

Renewable development account.

(a) Except as provided in
subdivision 1a,
the public utility that owns the Prairie Island nuclear generating plant
must transfer to a renewable development account $500,000 each year for each dry cask
containing spent fuel that is located at the Prairie Island power plant for each year the plant
is in operation, and $7,500,000 each year the plant is not in operation if ordered by the
commission pursuant to paragraph (c). The fund transfer must be made if nuclear waste
is stored in a dry cask at the independent spent-fuel storage facility at Prairie Island for
any part of a year.

(b) Except as provided in subdivision 1a, the public utility that owns the Monticello
nuclear generating plant must transfer to the renewable development account $350,000
each year for each dry cask containing spent fuel that is located at the Monticello nuclear
power plant for each year the plant is in operation, and $5,250,000 each year the plant is
not in operation if ordered by the commission pursuant to paragraph (c). The fund transfer
must be made if nuclear waste is stored in a dry cask at the independent spent-fuel storage
facility at Monticello for any part of a year.

(c) After discontinuation of operation of the Prairie Island nuclear plant or the
Monticello nuclear plant and each year spent nuclear fuel is stored in dry cask at the
discontinued facility, the commission shall require the public utility to pay $7,500,000 for
the discontinued Prairie Island facility and $5,250,000 for the discontinued Monticello
facility for any year in which the commission finds, by the preponderance of the evidence,
that the public utility did not make a good faith effort to remove the spent nuclear
fuel stored at the facility to a permanent or interim storage site out of the state. This
determination shall be made at least every two years.

(d) Funds in the account may be expended only for any of the following purposes:

(1) to increase the market penetration within the state of renewable electric energy
resources at reasonable costs;

(2) to promote the start-up, expansion, and attraction of renewable electric energy
projects and companies within the state;

(3) to stimulate research and development within the state into renewable electric
energy technologies; and

(4) to develop near-commercial and demonstration scale renewable electric projects
or near-commercial and demonstration scale electric infrastructure delivery projects if
those delivery projects enhance the delivery of renewable electric energy.

The utility that owns a nuclear generating plant is eligible to apply for renewable
development account grants.

(e) Expenditures authorized by this subdivision from the account may be made only
after approval by order of the Public Utilities Commission upon a petition by the public
utility. The commission may approve proposed expenditures, may disapprove proposed
expenditures that it finds to be not in compliance with this subdivision or otherwise
not in the public interest, and may, if agreed to by the public utility, modify proposed
expenditures. The commission may approve reasonable and necessary expenditures
for administering the account in an amount not to exceed five percent of expenditures.
Commission approval is not required for expenditures required under subdivisions 2
and 3, section 116C.7791, or other law.

(f) The account shall be managed by the public utility but the public utility must
consult about account expenditures with an advisory group that includes, among others,
representatives of its ratepayers. The commission may require that other interests be
represented on the advisory group. The advisory group must be consulted with respect to
the general scope of expenditures in designing a request for proposal and in evaluating
projects submitted in response to a request for proposals. In addition to consulting with the
advisory group, the public utility must utilize an independent third-party expert to evaluate
proposals submitted in response to a request for proposal, including all proposals made by
the public utility. A request for proposal for research and development under paragraph (d),
clause (3), may be limited to or include a request to higher education institutions located in
Minnesota for multiple projects authorized under paragraph (d), clause (3). The request for
multiple projects may include a provision that exempts the projects from the third-party
expert review and instead provides for project evaluation and selection by a merit peer
review grant system. The utility should attempt to reach agreement with the advisory
group after consulting with it but the utility has full and sole authority to determine which
expenditures shall be submitted to the commission for commission approval. In the
process of determining request for proposal scope and subject and in evaluating responses
to request for proposals, the public utility must strongly consider, where reasonable,
potential benefit to Minnesota citizens and businesses and the utility's ratepayers.

(g) Funds in the account may not be directly appropriated by the legislature by a law
enacted after January 1, 2012, and unless appropriated by a law enacted prior to that date
may be expended only pursuant to an order of the commission according to this subdivision.

(h) A request for proposal for renewable energy generation projects must, when
feasible and reasonable, give preference to projects that are most cost-effective for a
particular energy source.

(i) The public utility must annually, by February 15, report to the chairs and ranking
minority members of the legislative committees with jurisdiction over energy policy on
projects funded by the account for the prior year and all previous years. The report must,
to the extent possible and reasonable, itemize the actual and projected financial benefit to
the public utility's ratepayers of each project.

(j) A project receiving funds from the account must produce a written final report
that includes sufficient detail for technical readers and a clearly written summary for
nontechnical readers. The report must include an evaluation of the project's financial,
environmental, and other benefits to the state and the public utility's ratepayers.

(k) Final reports, any mid-project status reports, and renewable development account
financial reports must be posted online on a public Web site designated by the commission.

(l) All final reports must acknowledge that the project was made possible in whole
or part by the Minnesota renewable development fund, noting that the fund is financed
by the public utility's ratepayers.

Sec. 4.

Minnesota Statutes 2014, section 116C.779, is amended by adding a subdivision
to read:


Subd. 1a.

Payment termination.

(a) The commissioner shall track the cumulative
transfers made to the account each year since 1999 for each dry cask containing spent fuel
that is stored at an independent spent-fuel storage facility at Prairie Island or Monticello.
During the time when state law required the public utility to transfer a specific amount of
funds to the account for all the casks stored, the per-cask allocation shall be calculated by
dividing the total amount transferred by the number of casks stored that year.

(b) When the commissioner determines that the cumulative transfers calculated
under paragraph (a) for a specific cask reach $10,000,000, the commissioner shall notify
the public utility that no additional transfers to the account for that cask shall be made.

(c) This subdivision does not affect any provisions of subdivision 1, paragraph (a) or
(b), with respect to transfers to the account made after a plant has ceased operation.

Sec. 5.

Minnesota Statutes 2014, section 216A.03, subdivision 1, is amended to read:


Subdivision 1.

Members.

The Public Utilities Commission shall consist of five nine
members, eight of whom shall each represent one of the state's congressional districts, and
one member appointed at large. At the time of appointment, each member, except for the
at-large appointee, must reside in the congressional district the member is to represent
.
The terms of members shall be six years and until their successors have been appointed
and qualified. Each commissioner shall be appointed by the governor by and with the
advice and consent of the senate. Not more than three five commissioners shall belong
to the same political party. At least one commissioner must have been domiciled at the
time of appointment outside the seven-county metropolitan area. If the membership of the
commission after July 31, 1986, does not consist of at least one member domiciled at the
time of appointment outside the seven-county metropolitan area, the membership shall
conform to this requirement following normal attrition of the present commissioners.
The
governor when selecting commissioners shall give consideration to persons learned in the
law or persons who have engaged in the profession of engineering, public accounting,
property and utility valuation, finance, physical or natural sciences, production agriculture,
or natural resources as well as being representative of the general public.

For purposes of this subdivision, "seven-county metropolitan area" means Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington Counties.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 6.

Minnesota Statutes 2014, section 216A.03, is amended by adding a subdivision
to read:


Subd. 2a.

Transition.

(a) Until the governor has appointed commissioners from
each congressional district and one at-large commissioner, this subdivision governs
membership of the commission.

(b) Members of the commission as of July 1, 2016, shall continue to serve until the
expiration of their terms.

(c) No later than October 1, 2016, the governor shall appoint commissioners from
the first, seventh, and eighth congressional districts for terms to begin January 2, 2017.

(d) No later than October 1, 2018, the governor shall appoint a commissioner from
the second congressional district for a term to begin January 7, 2019.

(e) No later than October 1, 2019, the governor shall appoint commissioners from
the third, fourth, and fifth congressional districts for terms to begin January 6, 2020.

(f) No later than October 1, 2020, the governor shall appoint a commissioner from
the sixth congressional district for a term to begin January 4, 2021.

(g) No later than October 1, 2021, the governor shall appoint an at-large
commissioner for a term to begin January 3, 2022.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 7.

Minnesota Statutes 2014, section 216B.1641, is amended to read:


216B.1641 COMMUNITY SOLAR GARDEN.

(a) The public utility subject to section 116C.779 shall file by September 30, 2013, a
plan with the commission to operate a community solar garden program which shall begin
operations within 90 days after commission approval of the plan. Other public utilities
may file an application at their election. The community solar garden program must be
designed to offset the energy use of not less than five subscribers in each community
solar garden facility of which no single subscriber has more than a 40 percent interest.
The owner of the community solar garden may be a public utility or any other entity or
organization that contracts to sell the output from the community solar garden to the
utility under section 216B.164. There shall be no limitation on the number or cumulative
generating capacity of community solar garden facilities other than the limitations imposed
under section 216B.164, subdivision 4c, or other limitations provided in law or regulations.

(b) A solar garden is a facility that generates electricity by means of a ground-mounted
or roof-mounted solar photovoltaic device whereby subscribers receive a bill credit for
the electricity generated in proportion to the size of their subscription. The solar garden
must have a nameplate capacity of no more than one megawatt. Each subscription shall be
sized to represent at least 200 watts of the community solar garden's generating capacity
and to supply, when combined with other distributed generation resources serving the
premises, no more than 120 percent of the average annual consumption of electricity by
each subscriber at the premises to which the subscription is attributed.

(c) The solar generation facility must be located in the service territory of the public
utility filing the plan. Subscribers must be retail customers of the public utility located in
the same county or a county contiguous to where the facility is located.

(d) The public utility must purchase from the community solar garden all energy
generated by the solar garden. The purchase shall be at the rate calculated under section
216B.164, subdivision 10, or, until that rate for the public utility has been approved by
the commission, the applicable retail rate. A solar garden is eligible for any incentive
programs offered under either section 116C.7792 or section 216C.415. A subscriber's
portion of the purchase shall be provided by a credit on the subscriber's bill.

(e) The commission may approve, disapprove, or modify a community solar garden
program. Any plan approved by the commission must:

(1) reasonably allow for the creation, financing, and accessibility of community
solar gardens;

(2) establish uniform standards, fees, and processes for the interconnection
of community solar garden facilities that allow the utility to recover reasonable
interconnection costs for each community solar garden;

(3) not apply different requirements to utility and nonutility community solar garden
facilities;

(4) be consistent with the public interest;

(5) identify the information that must be provided to potential subscribers to ensure
fair disclosure of future costs and benefits of subscriptions;

(6) include a program implementation schedule;

(7) identify all proposed rules, fees, and charges; and

(8) identify the means by which the program will be promoted.;

(9) certify that the utility and the owner of a solar garden will submit copies of all
marketing and promotional material and sample contracts to the commission, and that
the materials will be updated periodically;

(10) provide a mechanism for subscribers to transfer subscriptions to other new or
current subscribers;

(11) require an owner of a solar garden and the utility purchasing electricity
generated by the solar garden to forward customer complaints regarding the operation of
the solar garden to the commission; and

(12) reflect the commission's determination that:

(i) the plan is financially viable; and

(ii) the contract between a subscriber and the owner of a solar garden is fair,
reasonable, and not discriminatory.

(f) Notwithstanding any other law, neither the manager of nor the subscribers to a
community solar garden facility shall be considered a utility solely as a result of their
participation in the community solar garden facility.

(g) Within 180 days of commission approval of a plan under this section, a utility
shall begin crediting subscriber accounts for each community solar garden facility in
its service territory, and shall file with the commissioner of commerce a description of
its crediting system.

(h) For the purposes of this section, the following terms have the meanings given:

(1) "subscriber" means a retail customer of a utility who owns one or more
subscriptions of a community solar garden facility interconnected with that utility; and

(2) "subscription" means a contract between a subscriber and the owner of a solar
garden.

EFFECTIVE DATE.

This section is effective the day following final enactment
and applies to any plan submitted to the commission for approval on or after that date.

Sec. 8.

Minnesota Statutes 2014, section 216B.241, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

For purposes of this section and section 216B.16,
subdivision 6b
, the terms defined in this subdivision have the meanings given them.

(a) "Commission" means the Public Utilities Commission.

(b) "Commissioner" means the commissioner of commerce.

(c) "Department" means the Department of Commerce.

(d) "Energy conservation" means demand-side management of energy supplies
resulting in a net reduction in energy use. Load management that reduces overall energy
use is energy conservation.

(e) "Energy conservation improvement" means a project that results in energy
efficiency or energy conservation. Energy conservation improvement may include waste
heat that is recovered and converted into electricity, but does not include electric utility
infrastructure projects approved by the commission under section 216B.1636. Energy
conservation improvement also includes waste heat recovered and used as thermal energy.

(f) "Energy efficiency" means measures or programs, including energy conservation
measures or programs, that target consumer behavior, equipment, processes, or devices
designed to produce either an absolute decrease in consumption of electric energy or natural
gas or a decrease in consumption of electric energy or natural gas on a per unit of production
basis without a reduction in the quality or level of service provided to the energy consumer.

(g) "Gross annual retail energy sales" means annual electric sales to all retail
customers in a utility's or association's Minnesota service territory or natural gas
throughput to all retail customers, including natural gas transportation customers, on a
utility's distribution system in Minnesota. For purposes of this section, gross annual
retail energy sales exclude:

(1) gas sales to:

(i) a large energy facility;

(ii) a large customer facility whose natural gas utility has been exempted by the
commissioner under subdivision 1a, paragraph (b), with respect to natural gas sales made
to the large customer facility; and

(iii) a commercial gas customer facility whose natural gas utility has been exempted
by the commissioner under subdivision 1a, paragraph (c), with respect to natural gas sales
made to the commercial gas customer facility; and

(iv) a pipeline facility; and

(2) electric sales to:

(i) a large customer facility whose electric utility has been exempted by the
commissioner under subdivision 1a, paragraph (b), with respect to electric sales made to
the large customer facility; and

(ii) a pipeline facility.

(h) "Investments and expenses of a public utility" includes the investments
and expenses incurred by a public utility in connection with an energy conservation
improvement, including but not limited to:

(1) the differential in interest cost between the market rate and the rate charged on a
no-interest or below-market interest loan made by a public utility to a customer for the
purchase or installation of an energy conservation improvement;

(2) the difference between the utility's cost of purchase or installation of energy
conservation improvements and any price charged by a public utility to a customer for
such improvements.

(i) "Large customer facility" means all buildings, structures, equipment, and
installations at a single site that collectively (1) impose a peak electrical demand on an
electric utility's system of not less than 20,000 kilowatts, measured in the same way as the
utility that serves the customer facility measures electrical demand for billing purposes or
(2) consume not less than 500 million cubic feet of natural gas annually. In calculating
peak electrical demand, a large customer facility may include demand offset by on-site
cogeneration facilities and, if engaged in mineral extraction, may aggregate peak energy
demand from the large customer facility's mining and processing operations.

(j) "Large energy facility" has the meaning given it in section 216B.2421,
subdivision 2, clause (1).

(k) "Load management" means an activity, service, or technology to change the
timing or the efficiency of a customer's use of energy that allows a utility or a customer to
respond to wholesale market fluctuations or to reduce peak demand for energy or capacity.

(l) "Low-income programs" means energy conservation improvement programs that
directly serve the needs of low-income persons, including low-income renters.

(m) "Petroleum products" has the meaning given in section 296A.01, subdivision 42,
and includes propane, as defined in section 216B.02, subdivision 3a.

(n) "Pipeline facility" means a pipeline located within Minnesota with a diameter of
six inches or greater and through which natural gas, petroleum, or petroleum products are
transported under pressure to a utility, petroleum refinery, or other wholesale customer.
Pipeline facility includes natural gas compressor stations, petroleum pumping stations,
and other facilities necessary to physically transport fuel through a pipeline to a wholesale
customer, but does not include facilities used to transport natural gas, petroleum, or
petroleum products within a petroleum refinery, storage, or manufacturing facility.

(o) "Qualifying utility" means a utility that supplies the energy to a customer that
enables the customer to qualify as a large customer facility.

(n) (p) "Waste heat recovered and used as thermal energy" means capturing
heat energy that would otherwise be exhausted or dissipated to the environment from
machinery, buildings, or industrial processes and productively using such recovered
thermal energy where it was captured or distributing it as thermal energy to other locations
where it is used to reduce demand-side consumption of natural gas, electric energy, or both.

(o) (q) "Waste heat recovery converted into electricity" means an energy recovery
process that converts otherwise lost energy from the heat of exhaust stacks or pipes used
for engines or manufacturing or industrial processes, or the reduction of high pressure
in water or gas pipelines.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 9.

Minnesota Statutes 2014, section 216B.241, subdivision 1a, is amended to read:


Subd. 1a.

Investment, expenditure, and contribution; public utility.

(a) For
purposes of this subdivision and subdivision 2, "public utility" has the meaning given it
in section 216B.02, subdivision 4. Each public utility shall spend and invest for energy
conservation improvements under this subdivision and subdivision 2 the following
amounts:

(1) for a utility that furnishes gas service, 0.5 percent of its gross operating revenues
from service provided in the state;

(2) for a utility that furnishes electric service, 1.5 percent of its gross operating
revenues from service provided in the state; and

(3) for a utility that furnishes electric service and that operates a nuclear-powered
electric generating plant within the state, two percent of its gross operating revenues
from service provided in the state.

For purposes of this paragraph (a), "gross operating revenues" do not include
revenues from large customer facilities exempted under paragraph (b), or from commercial
gas customers that are exempted under paragraph (c) or (e), or from a customer that is
a pipeline facility
.

(b) The owner of a large customer facility may petition the commissioner to exempt
both electric and gas utilities serving the large customer facility from the investment and
expenditure requirements of paragraph (a) with respect to retail revenues attributable to
the large customer facility. The filing must include a discussion of the competitive or
economic pressures facing the owner of the facility and the efforts taken by the owner
to identify, evaluate, and implement energy conservation and efficiency improvements.
A filing submitted on or before October 1 of any year must be approved within 90 days
and become effective January 1 of the year following the filing, unless the commissioner
finds that the owner of the large customer facility has failed to take reasonable measures
to identify, evaluate, and implement energy conservation and efficiency improvements.
If a facility qualifies as a large customer facility solely due to its peak electrical demand
or annual natural gas usage, the exemption may be limited to the qualifying utility if
the commissioner finds that the owner of the large customer facility has failed to take
reasonable measures to identify, evaluate, and implement energy conservation and
efficiency improvements with respect to the nonqualifying utility. Once an exemption is
approved, the commissioner may request the owner of a large customer facility to submit,
not more often than once every five years, a report demonstrating the large customer
facility's ongoing commitment to energy conservation and efficiency improvement after
the exemption filing. The commissioner may request such reports for up to ten years after
the effective date of the exemption, unless the majority ownership of the large customer
facility changes, in which case the commissioner may request additional reports for up to
ten years after the change in ownership occurs. The commissioner may, within 180 days
of receiving a report submitted under this paragraph, rescind any exemption granted under
this paragraph upon a determination that the large customer facility is not continuing
to make reasonable efforts to identify, evaluate, and implement energy conservation
improvements. A large customer facility that is, under an order from the commissioner,
exempt from the investment and expenditure requirements of paragraph (a) as of
December 31, 2010, is not required to submit a report to retain its exempt status, except as
otherwise provided in this paragraph with respect to ownership changes. No exempt large
customer facility may participate in a utility conservation improvement program unless the
owner of the facility submits a filing with the commissioner to withdraw its exemption.

(c) A commercial gas customer that is not a large customer facility and that
purchases or acquires natural gas from a public utility having fewer than 600,000 natural
gas customers in Minnesota may petition the commissioner to exempt gas utilities serving
the commercial gas customer from the investment and expenditure requirements of
paragraph (a) with respect to retail revenues attributable to the commercial gas customer.
The petition must be supported by evidence demonstrating that the commercial gas
customer has acquired or can reasonably acquire the capability to bypass use of the utility's
gas distribution system by obtaining natural gas directly from a supplier not regulated by
the commission. The commissioner shall grant the exemption if the commissioner finds
that the petitioner has made the demonstration required by this paragraph.

(d) The commissioner may require investments or spending greater than the amounts
required under this subdivision for a public utility whose most recent advance forecast
required under section 216B.2422 or 216C.17 projects a peak demand deficit of 100
megawatts or greater within five years under midrange forecast assumptions.

(e) A public utility or owner of a large customer facility may appeal a decision of the
commissioner under paragraph (b), (c), or (d) to the commission under subdivision 2. In
reviewing a decision of the commissioner under paragraph (b), (c), or (d), the commission
shall rescind the decision if it finds that the required investments or spending will:

(1) not result in cost-effective energy conservation improvements; or

(2) otherwise not be in the public interest.

(f) No pipeline facility may participate in a utility conservation improvement
program.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 10.

Minnesota Statutes 2014, section 216B.241, subdivision 1c, is amended to read:


Subd. 1c.

Energy-saving goals.

(a) The commissioner shall establish energy-saving
goals for energy conservation improvement expenditures and shall evaluate an energy
conservation improvement program on how well it meets the goals set.

(b) Each individual utility and association shall have an annual energy-savings
goal equivalent to 1.5 percent of gross annual retail energy sales unless modified by the
commissioner under paragraph (d). The savings goals must be calculated based on the
most recent three-year weather-normalized average. A utility or association may elect to
carry forward energy savings in excess of 1.5 percent for a year to the succeeding three
calendar years, except that savings from electric utility infrastructure projects allowed
under paragraph (d) may be carried forward for five years. A particular energy savings can
be used only for one year's goal.

(c) The commissioner must adopt a filing schedule that is designed to have all
utilities and associations operating under an energy-savings plan by calendar year 2010.

(d) In its energy conservation improvement plan filing, a utility or association may
request the commissioner to adjust its annual energy-savings percentage goal based on
its historical conservation investment experience, customer class makeup, load growth, a
conservation potential study, or other factors the commissioner determines warrants utility
or association asserts warrant
an adjustment. The commissioner:

(1) must approve a request by a municipal utility or cooperative electric association
to adjust the utility's or association's annual energy-savings goal;

(2) may approve a request from a public utility to adjust its annual energy-savings
goal; and

(3) may not approve is prohibited from approving a plan of a public utility that
provides for an annual energy-savings goal of less than one percent of gross annual retail
energy sales from energy conservation improvements.

A public utility or association may include in its energy conservation plan energy
savings from electric utility infrastructure projects approved by the commission under
section 216B.1636 or waste heat recovery converted into electricity projects that, each of
which
may count as energy savings only in addition to a minimum energy-savings goal of
at least one percent for energy conservation improvements. Energy savings from electric
utility infrastructure projects, as defined in section 216B.1636, may be included in the
energy conservation plan of a municipal utility or cooperative electric association.
Electric
utility infrastructure projects must result in increased energy efficiency greater than that
which would have occurred through normal maintenance activity.

(e) An energy-savings goal is not satisfied by attaining the revenue expenditure
requirements of subdivisions 1a and 1b, but can only be satisfied by meeting the
energy-savings goal established in this subdivision.

(f) An association or utility is not required to make energy conservation investments
to attain the energy-savings goals of this subdivision that are not cost-effective even
if the investment is necessary to attain the energy-savings goals. For the purpose of
this paragraph, in determining cost-effectiveness, the commissioner shall consider the
costs and benefits to ratepayers, the utility, participants, and society. In addition, the
commissioner shall consider the rate at which an association or municipal utility is
increasing its energy savings and its expenditures on energy conservation.

(g) On an annual basis, the commissioner shall produce and make publicly available
a report on the annual energy savings and estimated carbon dioxide reductions achieved
by the energy conservation improvement programs for the two most recent years for
which data is available. The commissioner shall report on program performance both in
the aggregate and for each entity filing an energy conservation improvement plan for
approval or review by the commissioner.

(h) By January 15, 2010, the commissioner shall report to the legislature whether
the spending requirements under subdivisions 1a and 1b are necessary to achieve the
energy-savings goals established in this subdivision.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 11.

Minnesota Statutes 2014, section 216B.243, subdivision 8, is amended to read:


Subd. 8.

Exemptions.

This section does not apply to:

(1) cogeneration or small power production facilities as defined in the Federal Power
Act, United States Code, title 16, section 796, paragraph (17), subparagraph (A), and
paragraph (18), subparagraph (A), and having a combined capacity at a single site of less
than 80,000 kilowatts; plants or facilities for the production of ethanol or fuel alcohol; or
any case where the commission has determined after being advised by the attorney general
that its application has been preempted by federal law;

(2) a high-voltage transmission line proposed primarily to distribute electricity to
serve the demand of a single customer at a single location, unless the applicant opts to
request that the commission determine need under this section or section 216B.2425;

(3) the upgrade to a higher voltage of an existing transmission line that serves the
demand of a single customer that primarily uses existing rights-of-way, unless the applicant
opts to request that the commission determine need under this section or section 216B.2425;

(4) a high-voltage transmission line of one mile or less required to connect a new or
upgraded substation to an existing, new, or upgraded high-voltage transmission line;

(5) conversion of the fuel source of an existing electric generating plant to using
natural gas;

(6) the modification of an existing electric generating plant to increase efficiency,
as long as the capacity of the plant is not increased more than ten percent or more than
100 megawatts, whichever is greater; or

(7) a wind energy conversion system or solar electric generation facility if the system
or facility is owned and operated by an independent power producer and the electric output
of the system or facility is not sold to an entity that provides retail service in Minnesota
or wholesale electric service to another entity in Minnesota other than an entity that is a
federally recognized regional transmission organization or independent system operator; or

(8) an interstate pipeline traversing Minnesota whose termini lie outside the state.

EFFECTIVE DATE.

This section is effective the day following final enactment
and applies to (1) a pipeline that has not filed a certificate of need application before the
effective date of this section, and (2) a pipeline that has a certificate of need application
pending before the commission on the effective date of this section.

Sec. 12.

Minnesota Statutes 2014, section 216C.20, subdivision 3, is amended to read:


Subd. 3.

Parking ramp.

No enclosed structure or portion of an enclosed structure
constructed after January 1, 1978, and used primarily as a commercial parking facility for
three or more motor vehicles shall be heated. Incidental heating resulting from building
exhaust air passing through a parking facility shall not be prohibited, provided that
substantially all useful heat has previously been removed from the air. The commissioner
of commerce may grant an exemption from this subdivision if the commercial parking is
integrated within a facility that has both public and private uses, the benefits to taxpayers
of the exemption exceed the costs, and all appropriate energy efficiency measures have
been considered.

Sec. 13.

[216E.023] PROHIBITION; SITING SOLAR SYSTEM; TREE
CUTTING.

No state or local site permit may be issued for a solar energy generating system that
would contribute to meeting the requirements of section 216B.1691, subdivision 2f, or
that is governed under section 216B.1641, if the solar energy generating system is to be
sited at a location where more than 75 percent of the trees standing in an area exceeding
three acres are proposed to be cut in order to accommodate construction of the solar
energy generating system.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 14.

Minnesota Statutes 2014, section 216E.03, subdivision 5, is amended to read:


Subd. 5.

Environmental review.

(a) The commissioner of the Department of
Commerce shall prepare for the commission an environmental impact statement on each
proposed large electric generating plant or high-voltage transmission line for which a
complete application has been submitted. The commissioner shall not consider whether
or not the project is needed. No other state environmental review documents shall be
required. The commissioner shall study and evaluate any site or route proposed by an
applicant and any other site or route the commission deems necessary that was proposed in
a manner consistent with rules concerning the form, content, and timeliness of proposals
for alternate sites or routes.

(b) For a cogeneration facility as defined in section 216H.01, subdivision 1a, that is
a large electric power generating plant and is not proposed by a utility, the commissioner
must make a finding in the environmental impact statement whether the project is likely to
result in a net reduction of carbon dioxide emissions, considering both the utility providing
electric service to the proposed cogeneration facility and any reduction in carbon dioxide
emissions as a result of increased efficiency from the production of thermal energy on the
part of the customer operating or owning the proposed cogeneration facility.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 15.

Minnesota Statutes 2014, section 216H.01, is amended by adding a
subdivision to read:


Subd. 1a.

Cogeneration facility or combined heat and power facility.

"Cogeneration facility" or "combined heat and power facility" means a facility that:

(1) has the meaning given in United States Code, title 16, section 796, clause (18),
paragraph (A); and

(2) meets the applicable operating and efficiency standards contained in Code of
Federal Regulations, title 18, part 292.205.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 16.

Minnesota Statutes 2014, section 216H.03, subdivision 1, is amended to read:


Subdivision 1.

Definition; new large energy facility.

For the purpose of this
section, "new large energy facility" means a large energy facility, as defined in section
216B.2421, subdivision 2, clause (1), that is not in operation as of January 1, 2007, but
does not include a facility that (1) uses natural gas as a primary fuel, (2) is a cogeneration
facility or combined heat and power facility located in the electric service area of a public
utility, as defined in section 216B.02, subdivision 4, or is
designed to provide peaking,
intermediate, emergency backup, or contingency services, (3) uses a simple cycle or
combined cycle turbine technology, and (4) is capable of achieving full load operations
within 45 minutes of startup for a simple cycle facility, or is capable of achieving
minimum load operations within 185 minutes of startup for a combined cycle facility.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 17.

Laws 2001, chapter 130, section 3, is amended to read:


Sec. 3. ASSESSMENT.

A propane education and research council, established and certified pursuant to
section 2, may assess propane producers and retail marketers an amount not to exceed one
mill
the maximum assessment authorized in United States Code, title 15, section 6405(a),
per gallon of odorized propane in a manner established by the council in compliance with
United States Code, title 15, section 6405, subsections (a) to (c). Propane producers and
retail marketers shall be responsible for the amounts assessed.

Sec. 18. PROHIBITION ON EXPENDITURE OF STATE FUNDS; CLEAN
POWER PLAN.

No state agency shall expend state funds to develop a state plan as required by the
federal Clean Power Plan unless and until a final decision in the case of West Virginia,
et. al., v. United States Environmental Protection Agency, et. al., determines that the
federal Environmental Protection Agency has legal authority to require the submission
of such state plans.

For the purposes of this section, "Clean Power Plan" means the final rule of the
federal Carbon Pollution Emission Guidelines for Existing Stationary Sources: Electric
Utility Generating Units, issued by the United States Environmental Protection Agency in
Docket No. EPA-HQ-OAR-2013-0602, and any subsequent amendments made to the plan.

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12.10 12.11 12.12 12.13 12.14
12.15 12.16 12.17 12.18
12.19 12.20 12.21 12.22 12.23 12.24 12.25 12.26 12.27 12.28 12.29 12.30 12.31 13.1 13.2 13.3 13.4 13.5 13.6 13.7 13.8 13.9 13.10
13.11 13.12 13.13 13.14 13.15 13.16 13.17 13.18 13.19 13.20 13.21 13.22 13.23 13.24 13.25 13.26 13.27 13.28 13.29 13.30 13.31 13.32 13.33 13.34
14.1 14.2 14.3 14.4 14.5 14.6 14.7 14.8 14.9 14.10 14.11 14.12 14.13 14.14 14.15 14.16 14.17 14.18 14.19
14.20 14.21 14.22 14.23 14.24 14.25 14.26 14.27 14.28 14.29 14.30 14.31 14.32 14.33 14.34 14.35 15.1 15.2 15.3 15.4 15.5
15.6 15.7 15.8 15.9 15.10 15.11 15.12 15.13 15.14 15.15 15.16 15.17 15.18 15.19 15.20 15.21 15.22 15.23 15.24 15.25 15.26 15.27 15.28 15.29 15.30 15.31 15.32 15.33 15.34 15.35 16.1 16.2 16.3 16.4 16.5 16.6 16.7 16.8 16.9 16.10 16.11 16.12 16.13 16.14 16.15 16.16 16.17 16.18 16.19 16.20 16.21 16.22 16.23 16.24 16.25 16.26 16.27 16.28 16.29 16.30 16.31 16.32 16.33 16.34 16.35 16.36 17.1 17.2 17.3 17.4 17.5 17.6 17.7 17.8 17.9 17.10 17.11 17.12 17.13 17.14 17.15 17.16 17.17 17.18 17.19 17.20 17.21 17.22 17.23 17.24 17.25 17.26 17.27 17.28 17.29 17.30 17.31 17.32 17.33 17.34 17.35 17.36 18.1 18.2 18.3 18.4 18.5 18.6 18.7 18.8 18.9 18.10 18.11 18.12 18.13 18.14 18.15 18.16 18.17 18.18 18.19 18.20 18.21 18.22 18.23 18.24 18.25
18.26 18.27 18.28 18.29 18.30 18.31 18.32 18.33 18.34 18.35 19.1 19.2 19.3 19.4 19.5 19.6 19.7 19.8 19.9 19.10 19.11 19.12 19.13 19.14 19.15 19.16 19.17 19.18 19.19 19.20 19.21 19.22 19.23 19.24 19.25 19.26 19.27 19.28 19.29 19.30 19.31 19.32 19.33 19.34 20.1 20.2 20.3 20.4 20.5 20.6 20.7 20.8 20.9 20.10 20.11 20.12 20.13 20.14 20.15 20.16 20.17 20.18 20.19 20.20 20.21 20.22 20.23 20.24 20.25 20.26 20.27 20.28 20.29 20.30 20.31 20.32 20.33 21.1 21.2 21.3 21.4 21.5 21.6 21.7 21.8 21.9 21.10 21.11 21.12 21.13 21.14 21.15 21.16 21.17 21.18 21.19
21.20 21.21 21.22 21.23 21.24 21.25 21.26 21.27 21.28 21.29 21.30 21.31 21.32 21.33 21.34 22.1 22.2 22.3 22.4 22.5 22.6 22.7 22.8 22.9 22.10 22.11 22.12 22.13 22.14 22.15 22.16 22.17 22.18 22.19 22.20 22.21 22.22 22.23 22.24 22.25 22.26 22.27 22.28 22.29 22.30 22.31 22.32 22.33 22.34 22.35 22.36 23.1 23.2 23.3 23.4 23.5 23.6 23.7 23.8 23.9 23.10 23.11 23.12 23.13 23.14 23.15 23.16 23.17 23.18 23.19 23.20 23.21 23.22 23.23 23.24 23.25 23.26 23.27 23.28 23.29 23.30 23.31 23.32 23.33 23.34 23.35 24.1 24.2 24.3 24.4 24.5 24.6 24.7 24.8 24.9 24.10 24.11 24.12 24.13 24.14 24.15 24.16 24.17 24.18 24.19 24.20 24.21 24.22 24.23 24.24 24.25 24.26 24.27 24.28 24.29 24.30 24.31 24.32 24.33 24.34 24.35 24.36 25.1 25.2 25.3 25.4 25.5 25.6 25.7 25.8 25.9 25.10 25.11 25.12 25.13 25.14 25.15 25.16 25.17 25.18 25.19 25.20 25.21 25.22 25.23 25.24 25.25 25.26 25.27 25.28 25.29 25.30 25.31 25.32 25.33 25.34 25.35 26.1 26.2 26.3 26.4 26.5 26.6 26.7 26.8 26.9 26.10 26.11 26.12 26.13 26.14 26.15 26.16 26.17 26.18 26.19 26.20 26.21 26.22 26.23 26.24 26.25 26.26 26.27 26.28 26.29 26.30 26.31 26.32 26.33 26.34 26.35 26.36 27.1 27.2 27.3 27.4 27.5 27.6 27.7 27.8 27.9 27.10 27.11 27.12 27.13 27.14 27.15 27.16 27.17 27.18 27.19 27.20 27.21 27.22 27.23 27.24 27.25 27.26 27.27 27.28
27.29
27.30 27.31 27.32 27.33 28.1 28.2 28.3 28.4 28.5 28.6 28.7 28.8 28.9 28.10 28.11 28.12 28.13 28.14 28.15 28.16 28.17 28.18 28.19 28.20 28.21 28.22 28.23 28.24 28.25 28.26 28.27 28.28 28.29 28.30 28.31 28.32 28.33 28.34 28.35 28.36 29.1 29.2 29.3 29.4 29.5 29.6 29.7 29.8 29.9
29.10
29.11 29.12 29.13 29.14 29.15
29.16 29.17
29.18 29.19 29.20 29.21 29.22 29.23 29.24 29.25 29.26 29.27 29.28 29.29 29.30 29.31
29.32 29.33 30.1 30.2 30.3 30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 30.13 30.14 30.15 30.16 30.17 30.18 30.19 30.20 30.21 30.22 30.23 30.24 30.25 30.26 30.27 30.28 30.29 30.30 30.31 30.32 30.33 30.34 30.35 31.1 31.2 31.3 31.4 31.5 31.6 31.7 31.8 31.9 31.10 31.11 31.12 31.13 31.14 31.15 31.16 31.17 31.18 31.19 31.20 31.21 31.22 31.23 31.24 31.25
31.26 31.27 31.28 31.29 31.30 31.31 31.32
32.1 32.2 32.3 32.4 32.5 32.6 32.7 32.8
32.9 32.10 32.11 32.12 32.13 32.14 32.15 32.16 32.17 32.18 32.19 32.20 32.21 32.22 32.23 32.24 32.25 32.26 32.27 32.28 32.29 32.30 32.31 32.32 32.33 32.34 32.35 33.1 33.2 33.3 33.4 33.5 33.6 33.7 33.8 33.9 33.10 33.11 33.12 33.13 33.14 33.15 33.16 33.17 33.18 33.19 33.20 33.21 33.22 33.23 33.24 33.25 33.26 33.27 33.28 33.29 33.30 33.31 33.32 33.33
34.1 34.2
34.3 34.4 34.5 34.6 34.7 34.8 34.9 34.10 34.11 34.12 34.13 34.14 34.15 34.16 34.17 34.18 34.19 34.20 34.21 34.22 34.23 34.24 34.25 34.26 34.27 34.28 34.29 34.30 34.31 34.32
34.33 35.1 35.2 35.3 35.4 35.5
35.6 35.7 35.8 35.9 35.10 35.11 35.12 35.13 35.14 35.15 35.16 35.17 35.18 35.19 35.20 35.21 35.22 35.23 35.24 35.25 35.26 35.27 35.28 35.29 35.30 35.31 35.32 35.33 35.34 35.35 36.1 36.2 36.3 36.4 36.5 36.6 36.7 36.8 36.9 36.10 36.11 36.12 36.13 36.14 36.15
36.16 36.17 36.18 36.19 36.20 36.21 36.22 36.23 36.24 36.25 36.26 36.27 36.28 36.29 36.30 36.31
36.32 36.33 36.34 37.1 37.2 37.3 37.4 37.5 37.6 37.7
37.8 37.9 37.10 37.11 37.12 37.13 37.14 37.15 37.16 37.17
37.18 37.19 37.20 37.21
37.22 37.23 37.24 37.25 37.26 37.27 37.28 37.29 37.30 37.31 37.32 37.33 38.1 38.2 38.3 38.4 38.5 38.6 38.7 38.8 38.9
38.10 38.11 38.12 38.13 38.14
38.15 38.16 38.17 38.18 38.19 38.20 38.21 38.22 38.23 38.24 38.25 38.26 38.27 38.28 38.29 38.30 38.31 38.32 38.33 39.1 39.2
39.3 39.4 39.5 39.6 39.7 39.8 39.9 39.10 39.11 39.12 39.13 39.14 39.15 39.16 39.17 39.18 39.19 39.20 39.21 39.22 39.23 39.24 39.25 39.26 39.27 39.28 39.29 39.30 39.31 39.32
39.33 39.34 40.1 40.2 40.3 40.4 40.5 40.6 40.7 40.8 40.9 40.10 40.11 40.12 40.13 40.14
40.15 40.16 40.17 40.18 40.19 40.20 40.21 40.22 40.23 40.24
40.25 40.26 40.27 40.28 40.29 40.30 40.31 40.32 40.33 41.1 41.2 41.3 41.4 41.5 41.6 41.7 41.8 41.9 41.10 41.11
41.12 41.13 41.14 41.15 41.16 41.17 41.18 41.19 41.20 41.21 41.22 41.23 41.24 41.25 41.26 41.27 41.28 41.29 41.30 41.31 41.32 41.33 41.34 41.35 42.1 42.2 42.3 42.4 42.5 42.6 42.7 42.8
42.9 42.10 42.11 42.12 42.13 42.14 42.15 42.16
42.17
42.18 42.19 42.20 42.21 42.22
42.23
42.24 42.25 42.26 42.27 42.28
42.29
42.30 42.31 43.1 43.2 43.3 43.4 43.5 43.6 43.7 43.8 43.9 43.10 43.11 43.12 43.13 43.14 43.15 43.16 43.17 43.18 43.19 43.20 43.21 43.22 43.23 43.24 43.25 43.26 43.27 43.28 43.29 43.30 43.31 43.32 43.33 43.34 43.35
43.36
44.1 44.2 44.3 44.4 44.5 44.6
44.7 44.8 44.9 44.10 44.11 44.12 44.13 44.14 44.15 44.16 44.17 44.18 44.19 44.20 44.21 44.22 44.23
44.24 44.25
44.26 44.27 44.28 44.29 44.30 44.31 44.32 44.33 45.1 45.2 45.3 45.4 45.5 45.6 45.7 45.8
45.9 45.10 45.11 45.12 45.13 45.14 45.15 45.16 45.17 45.18 45.19 45.20 45.21 45.22
45.23 45.24 45.25 45.26 45.27 45.28 45.29 45.30 45.31 45.32 45.33 45.34 46.1 46.2 46.3 46.4 46.5 46.6 46.7 46.8 46.9 46.10 46.11
46.12 46.13 46.14 46.15 46.16 46.17 46.18 46.19 46.20 46.21 46.22 46.23 46.24 46.25 46.26
46.27 46.28 46.29 46.30 46.31 46.32 46.33 46.34 47.1 47.2 47.3 47.4 47.5 47.6 47.7 47.8 47.9 47.10 47.11 47.12 47.13 47.14 47.15 47.16 47.17 47.18 47.19
47.20 47.21 47.22 47.23 47.24 47.25 47.26 47.27 47.28 47.29
47.30 47.31 47.32 47.33 47.34 48.1 48.2 48.3 48.4 48.5 48.6 48.7 48.8 48.9 48.10 48.11 48.12 48.13 48.14 48.15 48.16 48.17 48.18 48.19
48.20 48.21 48.22 48.23 48.24 48.25 48.26 48.27 48.28 48.29 48.30 48.31 48.32 48.33 48.34 48.35 49.1 49.2 49.3 49.4 49.5 49.6 49.7 49.8 49.9 49.10 49.11 49.12 49.13 49.14
49.15
49.16 49.17 49.18 49.19 49.20 49.21 49.22 49.23 49.24
49.25 49.26 49.27 49.28 49.29 49.30 49.31 49.32 49.33 49.34 50.1 50.2 50.3
50.4 50.5 50.6 50.7 50.8 50.9 50.10 50.11 50.12 50.13 50.14 50.15
50.16
50.17 50.18 50.19 50.20 50.21 50.22 50.23 50.24 50.25 50.26 50.27 50.28 50.29 50.30 50.31 50.32 50.33 50.34
51.1
51.2 51.3 51.4 51.5 51.6 51.7 51.8 51.9 51.10 51.11 51.12 51.13 51.14 51.15
51.16 51.17 51.18 51.19 51.20 51.21 51.22 51.23 51.24 51.25 51.26 51.27 51.28
51.29 51.30
51.31 51.32
52.1 52.2
52.3 52.4
52.5 52.6 52.7 52.8 52.9 52.10 52.11 52.12 52.13 52.14 52.15 52.16 52.17
52.18 52.19 52.20 52.21 52.22 52.23 52.24 52.25 52.26 52.27 52.28 52.29 52.30 52.31 52.32 52.33 52.34 53.1 53.2 53.3 53.4 53.5 53.6 53.7 53.8 53.9 53.10 53.11 53.12 53.13 53.14 53.15 53.16 53.17 53.18 53.19 53.20 53.21 53.22 53.23 53.24 53.25 53.26 53.27 53.28 53.29 53.30 53.31 53.32 53.33 53.34 53.35 54.1 54.2 54.3 54.4 54.5 54.6 54.7 54.8 54.9 54.10 54.11 54.12 54.13 54.14 54.15 54.16 54.17 54.18 54.19 54.20 54.21 54.22 54.23 54.24 54.25 54.26 54.27 54.28 54.29 54.30 54.31 54.32 54.33 54.34 54.35 55.1 55.2 55.3 55.4 55.5 55.6 55.7 55.8 55.9 55.10 55.11 55.12 55.13 55.14 55.15 55.16 55.17 55.18 55.19 55.20 55.21 55.22 55.23 55.24 55.25 55.26 55.27 55.28 55.29 55.30 55.31 55.32 55.33 55.34 56.1 56.2 56.3 56.4 56.5 56.6 56.7 56.8 56.9 56.10 56.11 56.12 56.13 56.14 56.15 56.16 56.17 56.18 56.19 56.20 56.21 56.22 56.23 56.24 56.25 56.26 56.27 56.28 56.29 56.30 56.31 56.32 56.33 56.34 56.35 56.36 57.1 57.2 57.3 57.4 57.5 57.6 57.7 57.8 57.9 57.10 57.11 57.12 57.13 57.14 57.15 57.16 57.17 57.18 57.19 57.20 57.21 57.22 57.23 57.24 57.25 57.26 57.27 57.28 57.29 57.30 57.31 57.32 57.33 57.34 58.1 58.2 58.3 58.4 58.5 58.6 58.7 58.8 58.9 58.10 58.11 58.12 58.13 58.14 58.15 58.16 58.17 58.18 58.19 58.20 58.21 58.22 58.23 58.24 58.25 58.26 58.27 58.28 58.29 58.30 58.31 58.32 58.33 58.34 58.35 59.1 59.2 59.3 59.4 59.5 59.6 59.7 59.8 59.9 59.10 59.11 59.12 59.13 59.14 59.15 59.16 59.17 59.18 59.19 59.20 59.21 59.22 59.23 59.24 59.25 59.26 59.27 59.28 59.29 59.30 59.31 59.32 59.33 59.34 59.35
60.1 60.2 60.3 60.4 60.5 60.6 60.7 60.8 60.9 60.10 60.11 60.12 60.13 60.14 60.15 60.16 60.17 60.18 60.19 60.20 60.21 60.22 60.23 60.24 60.25
60.26 60.27 60.28 60.29 60.30 60.31 60.32 61.1 61.2 61.3 61.4 61.5 61.6 61.7 61.8 61.9 61.10
61.11 61.12 61.13 61.14 61.15 61.16 61.17 61.18 61.19 61.20 61.21 61.22 61.23 61.24
61.25 61.26 61.27 61.28 61.29
61.30 61.31 61.32 62.1 62.2 62.3 62.4 62.5 62.6 62.7 62.8 62.9 62.10 62.11 62.12 62.13 62.14
62.15 62.16 62.17 62.18 62.19 62.20 62.21 62.22 62.23 62.24 62.25 62.26 62.27 62.28 62.29 62.30 62.31 62.32 63.1 63.2 63.3
63.4 63.5 63.6 63.7 63.8 63.9 63.10 63.11 63.12 63.13 63.14 63.15 63.16 63.17 63.18 63.19 63.20 63.21 63.22 63.23 63.24 63.25 63.26
63.27 63.28 63.29 63.30 63.31 63.32 63.33 64.1 64.2 64.3 64.4 64.5 64.6 64.7 64.8 64.9 64.10 64.11 64.12 64.13 64.14 64.15 64.16 64.17 64.18 64.19 64.20 64.21 64.22 64.23 64.24 64.25 64.26 64.27 64.28 64.29 64.30 64.31 64.32 64.33 64.34 64.35 65.1 65.2 65.3 65.4 65.5 65.6 65.7 65.8 65.9 65.10 65.11 65.12 65.13 65.14 65.15 65.16 65.17 65.18 65.19 65.20 65.21 65.22 65.23 65.24 65.25 65.26 65.27 65.28 65.29 65.30 65.31 65.32 65.33 65.34 65.35 66.1 66.2 66.3 66.4 66.5 66.6 66.7 66.8 66.9 66.10 66.11 66.12 66.13 66.14 66.15 66.16 66.17 66.18 66.19 66.20 66.21 66.22 66.23 66.24 66.25 66.26 66.27 66.28 66.29 66.30 66.31 66.32 66.33 66.34 66.35 66.36 67.1 67.2 67.3 67.4 67.5 67.6 67.7 67.8 67.9 67.10 67.11 67.12 67.13 67.14 67.15 67.16 67.17 67.18 67.19 67.20 67.21 67.22 67.23 67.24 67.25 67.26 67.27 67.28 67.29 67.30 67.31 67.32 67.33 67.34 68.1 68.2 68.3 68.4 68.5 68.6 68.7 68.8 68.9 68.10 68.11 68.12 68.13 68.14 68.15 68.16 68.17 68.18 68.19 68.20 68.21 68.22 68.23 68.24 68.25 68.26 68.27 68.28 68.29 68.30 68.31 68.32 68.33 68.34 68.35 69.1 69.2 69.3 69.4 69.5 69.6 69.7 69.8 69.9 69.10 69.11 69.12 69.13 69.14 69.15 69.16 69.17 69.18 69.19 69.20 69.21 69.22 69.23 69.24
69.25 69.26 69.27 69.28 69.29 69.30 69.31 69.32 69.33 70.1 70.2 70.3 70.4 70.5
70.6 70.7
70.8 70.9 70.10 70.11 70.12 70.13 70.14 70.15 70.16 70.17 70.18 70.19 70.20 70.21 70.22 70.23 70.24 70.25 70.26 70.27 70.28 70.29 70.30 70.31 70.32 70.33 70.34 71.1 71.2 71.3 71.4 71.5 71.6 71.7 71.8 71.9 71.10 71.11 71.12 71.13 71.14 71.15 71.16 71.17 71.18 71.19 71.20 71.21 71.22 71.23 71.24 71.25 71.26 71.27 71.28 71.29 71.30 71.31 71.32 71.33 71.34 71.35 71.36 72.1 72.2 72.3
72.4
72.5 72.6 72.7 72.8 72.9 72.10 72.11 72.12 72.13 72.14 72.15 72.16 72.17
72.18
72.19 72.20 72.21 72.22 72.23 72.24 72.25 72.26 72.27 72.28 72.29 72.30 72.31 72.32 72.33 73.1 73.2 73.3 73.4 73.5 73.6 73.7 73.8 73.9 73.10 73.11
73.12 73.13 73.14 73.15 73.16 73.17
73.18 73.19 73.20 73.21 73.22 73.23 73.24 73.25 73.26 73.27 73.28 73.29 73.30 73.31 73.32 73.33 73.34 74.1 74.2 74.3 74.4 74.5 74.6 74.7 74.8 74.9 74.10 74.11 74.12 74.13
74.14 74.15
74.16 74.17 74.18 74.19 74.20 74.21 74.22
74.23 74.24 74.25 74.26 74.27 74.28 74.29 74.30 74.31 74.32 74.33 75.1 75.2 75.3 75.4 75.5 75.6 75.7 75.8 75.9 75.10 75.11 75.12 75.13 75.14 75.15 75.16
75.17 75.18 75.19 75.20 75.21 75.22 75.23
75.24 75.25 75.26 75.27 75.28 75.29 75.30 75.31 75.32 75.33 75.34 76.1 76.2 76.3 76.4 76.5 76.6 76.7 76.8 76.9 76.10 76.11 76.12 76.13
76.14 76.15 76.16 76.17 76.18 76.19 76.20 76.21 76.22 76.23 76.24 76.25 76.26 76.27 76.28 76.29 76.30 76.31 76.32 76.33 76.34 76.35 77.1 77.2 77.3 77.4 77.5 77.6 77.7 77.8 77.9 77.10 77.11 77.12 77.13 77.14 77.15 77.16 77.17 77.18 77.19 77.20 77.21 77.22 77.23 77.24 77.25 77.26 77.27 77.28 77.29 77.30 77.31 77.32 77.33 77.34 77.35 77.36 78.1 78.2 78.3 78.4 78.5 78.6
78.7 78.8 78.9 78.10 78.11 78.12 78.13 78.14 78.15 78.16 78.17 78.18 78.19 78.20 78.21 78.22 78.23 78.24 78.25 78.26 78.27 78.28 78.29 78.30 78.31 78.32 78.33 78.34 79.1 79.2 79.3 79.4 79.5 79.6 79.7 79.8 79.9 79.10 79.11 79.12 79.13 79.14 79.15 79.16 79.17 79.18 79.19 79.20 79.21 79.22 79.23 79.24 79.25 79.26 79.27 79.28 79.29 79.30 79.31 79.32 79.33 79.34 79.35 79.36 80.1