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Capital IconMinnesota Legislature

HF 691

1st Engrossment - 90th Legislature (2017 - 2018) Posted on 03/29/2017 10:41am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 1st Engrossment

Line numbers 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37 1.38 1.39 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28 2.29
2.30 2.31
2.32 2.33 2.34 2.35 2.36 2.37 2.38 2.39 2.40 2.41 2.42 2.43
2.44 2.45 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 3.33 3.34 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 4.32 4.33 4.34 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8
5.9 5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23 5.24 5.25 5.26 5.27 5.28 5.29 5.30 5.31 5.32 5.33 5.34 6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8 6.9 6.10 6.11 6.12 6.13 6.14 6.15
6.16 6.17 6.18 6.19 6.20 6.21 6.22 6.23 6.24 6.25 6.26
6.27 6.28 6.29 6.30 6.31 6.32 6.33 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 7.13 7.14 7.15 7.16 7.17 7.18 7.19 7.20 7.21
7.22 7.23 7.24 7.25 7.26 7.27 7.28 7.29 7.30
7.31 7.32 8.1 8.2 8.3 8.4
8.5
8.6 8.7 8.8 8.9 8.10 8.11 8.12 8.13 8.14 8.15 8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27
8.28 8.29 8.30 8.31 8.32 9.1 9.2 9.3 9.4 9.5 9.6 9.7 9.8 9.9 9.10 9.11 9.12 9.13 9.14 9.15 9.16 9.17 9.18 9.19 9.20 9.21 9.22 9.23 9.24 9.25 9.26 9.27 9.28 9.29
9.30 9.31 9.32 9.33 9.34 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13 10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25 10.26 10.27 10.28 10.29 10.30 10.31 11.1 11.2 11.3 11.4 11.5 11.6 11.7 11.8 11.9 11.10 11.11 11.12 11.13 11.14 11.15 11.16 11.17 11.18 11.19 11.20 11.21 11.22 11.23 11.24 11.25 11.26 11.27 11.28 11.29 11.30 11.31 11.32 11.33 12.1 12.2 12.3 12.4 12.5 12.6 12.7 12.8 12.9 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 12.32 12.33 12.34 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 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 15.36 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
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 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 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
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 20.34 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 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 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 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
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
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 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 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 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 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 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 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 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 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 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 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 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 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 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
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 44.34 44.35 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 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
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 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 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 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 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 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 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 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
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 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
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 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 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 60.33 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
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 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 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 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 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
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
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
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 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 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 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 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
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 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
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 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 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 80.1 80.2 80.3 80.4
80.5 80.6 80.7 80.8 80.9 80.10 80.11 80.12 80.13 80.14 80.15 80.16 80.17 80.18 80.19 80.20 80.21 80.22 80.23 80.24 80.25 80.26 80.27 80.28 80.29 80.30 80.31 80.32 80.33 80.34 80.35 81.1 81.2
81.3 81.4 81.5 81.6 81.7 81.8 81.9 81.10 81.11 81.12 81.13 81.14 81.15 81.16 81.17 81.18 81.19 81.20 81.21 81.22 81.23 81.24 81.25 81.26 81.27 81.28 81.29 81.30 81.31 81.32 81.33 82.1 82.2
82.3 82.4 82.5 82.6 82.7 82.8 82.9 82.10 82.11 82.12 82.13 82.14 82.15 82.16
82.17 82.18 82.19 82.20 82.21 82.22 82.23 82.24 82.25 82.26
82.27 82.28 82.29 82.30 82.31 83.1 83.2 83.3 83.4 83.5 83.6 83.7 83.8 83.9 83.10 83.11 83.12 83.13 83.14 83.15 83.16 83.17 83.18 83.19 83.20 83.21 83.22 83.23 83.24 83.25 83.26 83.27 83.28 83.29 83.30 83.31
84.1 84.2 84.3 84.4 84.5 84.6 84.7 84.8 84.9 84.10 84.11 84.12 84.13 84.14 84.15 84.16 84.17 84.18 84.19 84.20 84.21 84.22 84.23 84.24 84.25 84.26 84.27 84.28 84.29 84.30 84.31 84.32 84.33 85.1 85.2 85.3 85.4 85.5 85.6 85.7
85.8 85.9 85.10 85.11 85.12 85.13 85.14 85.15 85.16 85.17 85.18 85.19 85.20 85.21 85.22 85.23 85.24 85.25 85.26 85.27 85.28 85.29 85.30 85.31 85.32 85.33 85.34 86.1 86.2 86.3 86.4 86.5 86.6 86.7 86.8 86.9
86.10 86.11 86.12 86.13 86.14 86.15 86.16 86.17 86.18 86.19 86.20 86.21 86.22 86.23 86.24 86.25 86.26 86.27 86.28 86.29
86.30 86.31 86.32 86.33 87.1 87.2 87.3 87.4 87.5 87.6 87.7 87.8 87.9 87.10 87.11 87.12 87.13 87.14 87.15
87.16 87.17 87.18 87.19 87.20 87.21 87.22 87.23 87.24
87.25 87.26 87.27 87.28 87.29 87.30 87.31 87.32 87.33 88.1 88.2 88.3 88.4 88.5
88.6 88.7 88.8 88.9 88.10 88.11 88.12 88.13 88.14 88.15 88.16 88.17 88.18 88.19 88.20 88.21 88.22 88.23 88.24 88.25 88.26 88.27 88.28 88.29 88.30 88.31 88.32
89.1 89.2 89.3 89.4 89.5 89.6 89.7 89.8 89.9 89.10 89.11 89.12 89.13 89.14 89.15 89.16 89.17 89.18 89.19 89.20 89.21 89.22 89.23 89.24 89.25 89.26 89.27 89.28 89.29 89.30 89.31
89.32 89.33 89.34 90.1 90.2 90.3
90.4 90.5 90.6 90.7 90.8 90.9 90.10 90.11 90.12 90.13
90.14 90.15 90.16 90.17 90.18 90.19 90.20 90.21 90.22 90.23 90.24 90.25
90.26 90.27 90.28 90.29 90.30 90.31 90.32
91.1 91.2 91.3 91.4 91.5 91.6 91.7 91.8 91.9
91.10 91.11 91.12 91.13 91.14 91.15 91.16 91.17 91.18
91.19 91.20 91.21 91.22 91.23 91.24
91.25 91.26 91.27 91.28 91.29 91.30 91.31 91.32 92.1 92.2 92.3 92.4 92.5 92.6
92.7 92.8 92.9 92.10
92.11 92.12 92.13 92.14 92.15 92.16 92.17 92.18 92.19 92.20 92.21 92.22 92.23
92.24 92.25 92.26 92.27
92.28 92.29 92.30 92.31 93.1 93.2 93.3 93.4 93.5 93.6 93.7
93.8 93.9 93.10 93.11 93.12 93.13 93.14 93.15 93.16 93.17 93.18
93.19 93.20 93.21 93.22 93.23 93.24 93.25
93.26 93.27 93.28 93.29 93.30 93.31 93.32 93.33 94.1 94.2 94.3 94.4 94.5 94.6 94.7 94.8 94.9 94.10 94.11 94.12 94.13 94.14 94.15 94.16 94.17 94.18 94.19 94.20 94.21 94.22 94.23 94.24 94.25 94.26 94.27 94.28 94.29 94.30 94.31 94.32 94.33 94.34 94.35 95.1 95.2 95.3 95.4 95.5 95.6 95.7 95.8 95.9 95.10 95.11 95.12 95.13 95.14 95.15 95.16 95.17 95.18 95.19 95.20 95.21 95.22 95.23 95.24 95.25 95.26 95.27 95.28
95.29 95.30 95.31 95.32 96.1 96.2
96.3 96.4 96.5 96.6
96.7 96.8 96.9 96.10 96.11 96.12 96.13 96.14 96.15 96.16 96.17 96.18 96.19 96.20 96.21 96.22
96.23 96.24 96.25 96.26 96.27 96.28 96.29 96.30 96.31 96.32 97.1 97.2 97.3
97.4 97.5 97.6 97.7 97.8 97.9 97.10 97.11 97.12 97.13 97.14 97.15 97.16 97.17 97.18 97.19 97.20 97.21 97.22 97.23 97.24 97.25
97.26 97.27 97.28 97.29 97.30 97.31 97.32 98.1 98.2 98.3 98.4 98.5 98.6 98.7
98.8 98.9 98.10 98.11 98.12 98.13 98.14 98.15 98.16 98.17 98.18 98.19
98.20 98.21 98.22 98.23 98.24 98.25 98.26 98.27 98.28 98.29
98.30 98.31 99.1 99.2 99.3 99.4 99.5 99.6 99.7 99.8 99.9 99.10 99.11 99.12 99.13 99.14 99.15 99.16 99.17 99.18 99.19 99.20 99.21 99.22 99.23 99.24 99.25 99.26 99.27 99.28 99.29 99.30 99.31 99.32 99.33 99.34 99.35
100.1 100.2 100.3 100.4 100.5 100.6 100.7 100.8 100.9 100.10 100.11 100.12 100.13 100.14 100.15
100.16 100.17 100.18 100.19 100.20 100.21 100.22 100.23 100.24 100.25 100.26 100.27 100.28 100.29 100.30
100.31 100.32 100.33 101.1 101.2 101.3 101.4 101.5 101.6 101.7 101.8 101.9 101.10 101.11 101.12 101.13 101.14 101.15 101.16 101.17 101.18 101.19 101.20 101.21 101.22 101.23 101.24 101.25 101.26 101.27 101.28
101.29 101.30 101.31 101.32 101.33 101.34 101.35 102.1 102.2 102.3 102.4 102.5 102.6 102.7 102.8 102.9 102.10 102.11 102.12 102.13 102.14 102.15 102.16 102.17 102.18 102.19 102.20 102.21 102.22 102.23 102.24 102.25 102.26 102.27 102.28 102.29 102.30 102.31 102.32 102.33 102.34 102.35 103.1 103.2 103.3 103.4 103.5 103.6 103.7 103.8 103.9 103.10 103.11 103.12 103.13 103.14 103.15 103.16
103.17 103.18 103.19 103.20 103.21 103.22 103.23 103.24 103.25 103.26 103.27 103.28 103.29
103.30 103.31 104.1 104.2 104.3 104.4 104.5 104.6 104.7 104.8 104.9
104.10 104.11 104.12 104.13 104.14 104.15 104.16 104.17 104.18
104.19 104.20 104.21 104.22 104.23 104.24 104.25 104.26 104.27 104.28 104.29 104.30 104.31 104.32 104.33 105.1 105.2 105.3 105.4 105.5
105.6 105.7 105.8 105.9 105.10 105.11 105.12 105.13 105.14 105.15 105.16 105.17 105.18 105.19 105.20 105.21
105.22 105.23 105.24 105.25 105.26 105.27 105.28 105.29 105.30
106.1 106.2 106.3 106.4 106.5 106.6 106.7 106.8 106.9
106.10 106.11 106.12 106.13 106.14 106.15 106.16 106.17 106.18 106.19 106.20 106.21 106.22
106.23 106.24 106.25 106.26 106.27 106.28 106.29 106.30 106.31 106.32 107.1 107.2 107.3 107.4 107.5 107.6 107.7 107.8 107.9 107.10 107.11 107.12 107.13 107.14 107.15 107.16 107.17 107.18 107.19 107.20 107.21 107.22 107.23 107.24 107.25 107.26 107.27 107.28 107.29 107.30 107.31 107.32 107.33 108.1 108.2 108.3 108.4 108.5 108.6 108.7 108.8 108.9 108.10 108.11 108.12 108.13 108.14 108.15 108.16 108.17 108.18 108.19 108.20 108.21 108.22 108.23 108.24 108.25 108.26 108.27 108.28 108.29 108.30 108.31 108.32 108.33 109.1 109.2 109.3
109.4 109.5 109.6 109.7 109.8 109.9 109.10 109.11 109.12 109.13 109.14 109.15 109.16 109.17 109.18 109.19 109.20 109.21 109.22 109.23 109.24 109.25 109.26 109.27 109.28 109.29 109.30 109.31 109.32 109.33 109.34 110.1 110.2 110.3 110.4 110.5 110.6 110.7 110.8 110.9 110.10 110.11
110.12 110.13 110.14 110.15 110.16 110.17 110.18 110.19 110.20 110.21
110.22 110.23 110.24 110.25 110.26 110.27 110.28 110.29 110.30 111.1 111.2 111.3 111.4 111.5 111.6 111.7 111.8 111.9 111.10
111.11 111.12 111.13 111.14 111.15 111.16 111.17 111.18 111.19 111.20 111.21 111.22 111.23 111.24 111.25 111.26 111.27
111.28 111.29 111.30 111.31 111.32 112.1 112.2 112.3 112.4 112.5 112.6 112.7 112.8
112.9 112.10 112.11 112.12 112.13 112.14 112.15 112.16 112.17 112.18 112.19
112.20 112.21 112.22 112.23 112.24 112.25 112.26 112.27 112.28 112.29 112.30
113.1 113.2 113.3 113.4 113.5 113.6 113.7 113.8 113.9 113.10 113.11 113.12 113.13 113.14 113.15 113.16 113.17 113.18 113.19 113.20 113.21 113.22
113.23 113.24 113.25 113.26 113.27 113.28 113.29 113.30 113.31 113.32 113.33 113.34
114.1 114.2
114.3 114.4 114.5 114.6 114.7 114.8 114.9 114.10 114.11 114.12 114.13 114.14 114.15 114.16 114.17 114.18 114.19 114.20 114.21 114.22 114.23 114.24 114.25 114.26 114.27 114.28 114.29 114.30 114.31 114.32 115.1 115.2 115.3 115.4 115.5 115.6 115.7 115.8 115.9 115.10 115.11 115.12 115.13 115.14 115.15 115.16 115.17 115.18 115.19 115.20 115.21 115.22 115.23 115.24 115.25 115.26 115.27 115.28 115.29
115.30 115.31 115.32 115.33 116.1 116.2 116.3 116.4 116.5 116.6 116.7 116.8 116.9 116.10 116.11 116.12 116.13 116.14
116.15 116.16 116.17 116.18 116.19 116.20
116.21 116.22 116.23 116.24 116.25
116.26 116.27 116.28 116.29 116.30 117.1 117.2 117.3 117.4 117.5
117.6 117.7 117.8 117.9 117.10 117.11 117.12 117.13 117.14 117.15 117.16 117.17 117.18 117.19 117.20
117.21 117.22 117.23 117.24 117.25 117.26 117.27 117.28 117.29 118.1 118.2 118.3
118.4 118.5 118.6 118.7 118.8 118.9 118.10 118.11 118.12 118.13 118.14
118.15 118.16 118.17 118.18 118.19 118.20 118.21 118.22 118.23 118.24 118.25 118.26 118.27 118.28 118.29 118.30 118.31 119.1 119.2 119.3 119.4 119.5 119.6 119.7 119.8
119.9 119.10 119.11 119.12 119.13 119.14 119.15 119.16 119.17 119.18 119.19 119.20 119.21 119.22 119.23 119.24
119.25 119.26 119.27 119.28 119.29 119.30 119.31 119.32 119.33 120.1 120.2 120.3 120.4 120.5 120.6 120.7 120.8 120.9 120.10
120.11 120.12 120.13 120.14 120.15 120.16 120.17 120.18 120.19 120.20
120.21 120.22 120.23 120.24 120.25 120.26 120.27 120.28 120.29 120.30
121.1 121.2 121.3 121.4 121.5 121.6 121.7 121.8 121.9 121.10 121.11 121.12 121.13 121.14
121.15 121.16 121.17 121.18 121.19 121.20 121.21 121.22 121.23 121.24 121.25 121.26 121.27 121.28 121.29 121.30 121.31 121.32 122.1 122.2 122.3
122.4 122.5 122.6 122.7 122.8 122.9 122.10 122.11 122.12 122.13 122.14 122.15 122.16 122.17 122.18 122.19 122.20 122.21 122.22 122.23 122.24 122.25
122.26 122.27 122.28 122.29 122.30 122.31 122.32 123.1 123.2 123.3 123.4 123.5 123.6 123.7 123.8
123.9 123.10 123.11 123.12 123.13 123.14 123.15 123.16 123.17 123.18 123.19 123.20 123.21 123.22 123.23 123.24 123.25 123.26 123.27 123.28 123.29 123.30 123.31 123.32 123.33 123.34 124.1 124.2 124.3 124.4 124.5 124.6 124.7 124.8 124.9 124.10 124.11 124.12 124.13 124.14 124.15 124.16 124.17 124.18 124.19 124.20 124.21 124.22 124.23 124.24 124.25 124.26 124.27 124.28 124.29 124.30 124.31 124.32 124.33 125.1 125.2 125.3 125.4 125.5 125.6 125.7 125.8 125.9 125.10 125.11 125.12 125.13 125.14 125.15 125.16 125.17 125.18 125.19 125.20
125.21 125.22 125.23 125.24 125.25 125.26 125.27 125.28 125.29 125.30 125.31 125.32 125.33 126.1 126.2 126.3 126.4 126.5 126.6 126.7 126.8 126.9 126.10 126.11 126.12 126.13 126.14 126.15 126.16 126.17
126.18 126.19 126.20 126.21 126.22 126.23 126.24 126.25 126.26 126.27 126.28 126.29 126.30 126.31 126.32 127.1 127.2 127.3 127.4 127.5 127.6 127.7 127.8 127.9 127.10 127.11 127.12 127.13 127.14 127.15 127.16 127.17 127.18 127.19 127.20 127.21 127.22 127.23 127.24 127.25 127.26 127.27 127.28 127.29 127.30 127.31 127.32 127.33 128.1 128.2 128.3 128.4 128.5 128.6 128.7 128.8 128.9 128.10 128.11 128.12 128.13 128.14
128.15 128.16 128.17 128.18 128.19 128.20 128.21 128.22 128.23 128.24 128.25 128.26 128.27 128.28 128.29 128.30 128.31 128.32 128.33 129.1 129.2 129.3 129.4 129.5 129.6 129.7 129.8 129.9 129.10 129.11 129.12 129.13 129.14 129.15 129.16 129.17 129.18 129.19 129.20 129.21 129.22
129.23 129.24 129.25 129.26 129.27 129.28 129.29 129.30 129.31 129.32 129.33 130.1 130.2
130.3 130.4 130.5 130.6 130.7 130.8 130.9 130.10 130.11 130.12 130.13 130.14 130.15 130.16 130.17 130.18 130.19 130.20
130.21 130.22 130.23 130.24 130.25 130.26 130.27 130.28 130.29 130.30 130.31 130.32 131.1 131.2 131.3 131.4 131.5 131.6 131.7 131.8 131.9 131.10 131.11 131.12 131.13 131.14 131.15 131.16 131.17 131.18 131.19 131.20 131.21 131.22 131.23 131.24 131.25 131.26 131.27 131.28 131.29 131.30 131.31 131.32 131.33 132.1 132.2 132.3 132.4 132.5 132.6 132.7 132.8 132.9 132.10 132.11 132.12
132.13 132.14 132.15 132.16 132.17 132.18 132.19 132.20 132.21 132.22 132.23 132.24
132.25 132.26 132.27 132.28 132.29 132.30 133.1 133.2 133.3 133.4 133.5 133.6 133.7 133.8 133.9 133.10 133.11 133.12
133.13 133.14 133.15 133.16 133.17 133.18 133.19 133.20 133.21 133.22 133.23 133.24 133.25 133.26 133.27 133.28 133.29 133.30 133.31 133.32 133.33 133.34 134.1 134.2 134.3 134.4 134.5 134.6 134.7 134.8 134.9 134.10 134.11 134.12 134.13 134.14 134.15 134.16 134.17 134.18 134.19 134.20 134.21 134.22 134.23 134.24 134.25 134.26 134.27 134.28 134.29 134.30 134.31 134.32 134.33 134.34 135.1 135.2 135.3 135.4 135.5 135.6 135.7 135.8 135.9 135.10 135.11 135.12 135.13 135.14 135.15 135.16 135.17 135.18 135.19 135.20 135.21 135.22 135.23 135.24 135.25 135.26 135.27 135.28 135.29 135.30 135.31 135.32 135.33 135.34 136.1 136.2 136.3 136.4 136.5 136.6 136.7 136.8
136.9 136.10 136.11 136.12 136.13 136.14 136.15 136.16 136.17 136.18 136.19 136.20 136.21 136.22 136.23 136.24 136.25 136.26 136.27 136.28 136.29 136.30 136.31 137.1 137.2 137.3
137.4 137.5 137.6 137.7 137.8 137.9 137.10 137.11 137.12 137.13 137.14 137.15
137.16 137.17 137.18 137.19 137.20 137.21 137.22 137.23 137.24 137.25 137.26 137.27 137.28 137.29 138.1 138.2 138.3 138.4 138.5 138.6 138.7
138.8 138.9 138.10 138.11 138.12 138.13 138.14 138.15 138.16 138.17 138.18 138.19 138.20 138.21 138.22
138.23 138.24 138.25 138.26 138.27 138.28 138.29 138.30 138.31 138.32 139.1 139.2 139.3 139.4 139.5 139.6 139.7 139.8 139.9 139.10 139.11
139.12 139.13 139.14 139.15 139.16 139.17 139.18 139.19 139.20 139.21
139.22 139.23 139.24 139.25 139.26 139.27 139.28 139.29 139.30 139.31 139.32 139.33 140.1 140.2 140.3 140.4 140.5 140.6 140.7 140.8 140.9 140.10 140.11 140.12 140.13 140.14 140.15
140.16 140.17
140.18 140.19 140.20 140.21 140.22
140.23 140.24
140.25 140.26 140.27 140.28 140.29 140.30 140.31 141.1 141.2 141.3 141.4 141.5
141.6 141.7 141.8 141.9 141.10 141.11 141.12 141.13 141.14
141.15 141.16 141.17 141.18 141.19 141.20 141.21 141.22 141.23 141.24 141.25 141.26 141.27 141.28 141.29 141.30 141.31 141.32 141.33 142.1 142.2 142.3 142.4 142.5 142.6 142.7 142.8 142.9 142.10 142.11 142.12 142.13 142.14 142.15 142.16 142.17 142.18 142.19 142.20 142.21 142.22 142.23 142.24 142.25 142.26 142.27 142.28 142.29 142.30 142.31 142.32 142.33 142.34 143.1 143.2 143.3
143.4 143.5 143.6 143.7 143.8 143.9 143.10 143.11 143.12 143.13 143.14 143.15 143.16 143.17 143.18 143.19 143.20 143.21 143.22 143.23 143.24 143.25 143.26 143.27 143.28
143.29 143.30 143.31 144.1 144.2 144.3
144.4 144.5 144.6 144.7 144.8 144.9
144.10 144.11 144.12 144.13 144.14 144.15 144.16 144.17 144.18 144.19 144.20 144.21 144.22 144.23
144.24 144.25 144.26 144.27 144.28 144.29 144.30
145.1 145.2 145.3 145.4 145.5 145.6 145.7
145.8 145.9 145.10 145.11 145.12 145.13 145.14 145.15 145.16
145.17 145.18 145.19 145.20 145.21 145.22 145.23 145.24 145.25 145.26 145.27 145.28 145.29 145.30 146.1 146.2 146.3 146.4 146.5 146.6 146.7 146.8 146.9 146.10 146.11 146.12 146.13 146.14 146.15 146.16 146.17 146.18 146.19 146.20 146.21 146.22 146.23 146.24 146.25 146.26 146.27
146.28
147.1 147.2 147.3 147.4
147.5 147.6 147.7 147.8 147.9 147.10 147.11 147.12 147.13 147.14 147.15 147.16 147.17 147.18 147.19 147.20 147.21 147.22 147.23 147.24 147.25 147.26 147.27 147.28 147.29 147.30 147.31 147.32 148.1 148.2
148.3 148.4 148.5 148.6 148.7 148.8 148.9 148.10
148.11
148.12 148.13 148.14 148.15 148.16 148.17 148.18 148.19 148.20 148.21 148.22 148.23 148.24 148.25 148.26 148.27 148.28 148.29 148.30
149.1 149.2
149.3 149.4 149.5 149.6 149.7 149.8

A bill for an act
relating to the operation of state government; appropriating money for the
legislature, governor's office, state auditor, attorney general, secretary of state,
certain agencies, boards, councils, retirement funds, military affairs, and veterans
affairs; cancellation and reduction of certain appropriations; requiring a base budget
report; establishing districting principles; establishing the Legislative Budget
Office; requiring certain transit financial activity reporting; modifying state auditor
provisions; modifying campaign finance provisions; requiring a report on
interagency agreements and intra-agency transfers; providing for continuing
appropriations under certain circumstances; amending the employee gainsharing
system; requiring notice on capital improvement projects; specifying grant
agreements; limiting number of full-time employees in state agencies; modifying
compensation benefits for certain employees; establishing additional long-term
equity investment authority; expanding the Minnesota GI Bill program; requiring
a system for free electronic filing of state individual income tax returns and
establishing a pilot program; changing certain retirement fund provisions; changing
school districts group health insurance request for proposals; requiring review of
rules for valuation of pipeline companies assessed by the state; limiting expenditures
for advertising; setting certain salary limits; changing certain state budgeting
provisions; making changes to the administrative rulemaking process; changing
Minnesota Sports Facilities Authority provisions; requiring a code of conduct for
the Minnesota Sports Facilities Authority; requiring recovery of fair market value
of certain benefits from access to stadium suites; requiring the legislative auditor
to review operations of major sports events facilities; requiring reports; amending
Minnesota Statutes 2016, sections 3.305, subdivision 1; 3.842, subdivision 4a;
3.855, subdivision 2; 3.8843, subdivision 7; 3.971, subdivisions 2, 6; 3.972, by
adding a subdivision; 3.98, subdivisions 1, 4; 3.987, subdivision 1; 6.481,
subdivision 6; 6.56, subdivision 2; 6.581, subdivision 4; 10A.01, subdivision 26;
10A.02, subdivision 13; 10A.025, subdivision 1a; 10A.105, subdivision 1; 10A.15,
subdivision 1; 10A.245, subdivision 2; 10A.25, subdivisions 1, 10; 10A.257,
subdivision 1; 10A.27, subdivision 10, by adding a subdivision; 10A.322,
subdivision 1; 10A.38; 13.55, subdivision 2; 14.002; 14.02, by adding a subdivision;
14.05, subdivisions 1, 2, 6, 7, by adding subdivisions; 14.101, subdivision 1;
14.116; 14.125; 14.127; 14.131; 14.14, subdivisions 1a, 2a; 14.19; 14.22,
subdivision 1; 14.23; 14.25, subdivision 1; 14.26; 14.365; 14.381, subdivision 3;
14.388, subdivisions 1, 2; 14.44; 14.45; 14.51; 15.0596; 15.191, subdivisions 1,
3; 16A.065; 16A.13, subdivision 2a; 16A.134; 16A.15, subdivision 3; 16A.17,
subdivision 5; 16A.272, subdivision 3; 16A.40; 16A.42, subdivisions 2, 4, by
adding a subdivision; 16A.56; 16A.671, subdivision 1; 16A.90; 16A.965, by adding
a subdivision; 16B.335, subdivision 1; 16B.37, subdivision 4; 16B.4805,
subdivision 4; 16B.97, by adding a subdivision; 16D.03, subdivision 2; 16D.09,
subdivision 1; 16E.016; 16E.0466; 21.116; 43A.17, subdivision 11; 43A.24, by
adding a subdivision; 43A.30, subdivision 2; 43A.49; 49.24, subdivisions 13, 16;
69.031, subdivision 1; 80A.65, subdivision 9; 84A.23, subdivision 4; 84A.33,
subdivision 4; 84A.40; 84A.52; 88.12, subdivision 1; 94.522; 94.53; 116J.64,
subdivision 7; 126C.55, subdivisions 2, 9; 126C.68, subdivision 3; 126C.69,
subdivision 14; 127A.34, subdivision 1; 127A.40; 136F.46, subdivision 1; 136F.70,
subdivision 3; 162.08, subdivisions 10, 11; 162.14, subdivisions 4, 5; 162.18,
subdivision 4; 162.181, subdivision 4; 163.051, subdivision 3; 176.181, subdivision
2; 176.581; 176.591, subdivision 3; 190.19, subdivisions 2, 2a; 192.55; 196.05,
subdivision 1; 196.052; 197.236, subdivision 9; 197.791, subdivisions 2, 3, 4, 5,
5a; 198.16; 237.30; 241.13, subdivision 1; 244.19, subdivision 7; 256B.20;
260B.331, subdivision 2; 260C.331, subdivision 2; 270C.13, subdivision 1; 273.121,
subdivision 1; 287.08; 297A.994, subdivision 4; 297I.10, subdivision 1; 299C.21;
348.05; 352.04, subdivision 9; 352.05; 352.115, subdivision 12; 352.12, subdivision
13; 353.05; 353.27, subdivisions 3c, 7; 353.505; 354.42, subdivision 7; 354.52,
subdivisions 4, 4b; 401.15, subdivision 1; 446A.086, subdivision 4; 446A.16,
subdivision 1; 462A.18, subdivision 1; 471.6161, subdivision 8; 471.617,
subdivision 2; 473J.07, subdivisions 2, 3, 4, 8, by adding a subdivision; 473J.09,
subdivisions 6, 13, by adding subdivisions; 473J.13, subdivision 2; 475A.04,
subdivision 1; 508.12, subdivision 1; 518A.79, by adding a subdivision; 525.841;
proposing coding for new law in Minnesota Statutes, chapters 2; 3; 14; 15; 16A;
16B; 43A; 118A; 197; 270C; repealing Minnesota Statutes 2016, sections 3.886;
6.581, subdivision 1; 10A.30; 10A.31, subdivisions 1, 3, 3a, 4, 5, 5a, 6, 6a, 7, 7a,
10, 10a, 10b, 11; 10A.315; 10A.321; 10A.322, subdivisions 2, 4; 10A.323; 10A.324,
subdivisions 1, 3; 14.05, subdivision 5; 161.1419; 473J.09, subdivision 14;
Minnesota Rules, parts 4503.1400, subparts 2, 3, 4, 5, 6, 7, 8, 9; 4503.1450.

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

ARTICLE 1

STATE GOVERNMENT APPROPRIATIONS

Section 1. new text begin APPROPRIATIONS.
new text end

new text begin The sums shown in the columns marked "Appropriations" are 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 years indicated for each purpose.
The figures "2018" and "2019" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2018, or June 30, 2019, respectively.
"The first year" is fiscal year 2018. "The second year" is fiscal year 2019. "The biennium"
is fiscal years 2018 and 2019.
new text end

new text begin APPROPRIATIONS
new text end
new text begin Available for the Year
new text end
new text begin Ending June 30
new text end
new text begin 2018
new text end
new text begin 2019
new text end

Sec. 2. new text begin LEGISLATURE
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 79,858,000
new text end
new text begin $
new text end
new text begin 79,488,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2018
new text end
new text begin 2019
new text end
new text begin General
new text end
new text begin 79,730,000
new text end
new text begin 79,360,000
new text end
new text begin Health Care Access
new text end
new text begin 128,000
new text end
new text begin 128,000
new text end

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

new text begin Subd. 2. new text end

new text begin Senate
new text end

new text begin 29,849,000
new text end
new text begin 29,655,000
new text end

new text begin $3,124,000 of the senate carryforward balance
is canceled to the general fund on July 1, 2017.
new text end

new text begin Subd. 3. new text end

new text begin House of Representatives
new text end

new text begin 32,383,000
new text end
new text begin 32,383,000
new text end

new text begin During the biennium ending June 30, 2019,
any revenue received by the house of
representatives from voluntary donations to
support broadcast or print media are
appropriated to the house of representatives.
new text end

new text begin $4,092,000 of the house of representatives
carryforward balance is canceled to the general
fund on July 1, 2017.
new text end

new text begin Subd. 4. new text end

new text begin Legislative Coordinating Commission
new text end

new text begin 17,626,000
new text end
new text begin 17,450,000
new text end
new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 17,498,000
new text end
new text begin 17,322,000
new text end
new text begin Health Care Access
new text end
new text begin 128,000
new text end
new text begin 128,000
new text end

new text begin Appropriations provided by this subdivision
may be used for designated staff to support
the following offices and commissions: Office
of the Legislative Auditor; Office of the
Revisor of Statutes; Legislative Reference
Library; Legislative-Citizen Commission on
Minnesota Resources; Legislative Commission
on Pensions and Retirement; Legislative
Energy Commission; and the Lessard-Sams
Outdoor Heritage Council. The operation of
all other joint offices and commissions must
be supported by the central administrative staff
of the Legislative Coordinating Commission.
new text end

new text begin From its funds, $10,000 each year is for
purposes of the legislators' forum, through
which Minnesota legislators meet with
counterparts from South Dakota, North
Dakota, and Manitoba to discuss issues of
mutual concern.
new text end

new text begin $1,418,000 of the Legislative Coordinating
Commission carryforward balance is canceled
to the general fund on July 1, 2017.
new text end

new text begin Legislative Auditor. $6,694,000 the first year
and $6,564,000 the second year are for the
Office of the Legislative Auditor.
new text end

new text begin Of these amounts, $130,000 the first year is
for the transit financial activity reviews
required by Minnesota Statutes, section 3.972,
subdivision 4.
new text end

new text begin No later than January 15, 2018, the legislative
auditor must complete a review of the small
business investment tax credit incentive
established in Minnesota Statutes, section
116J.8737. The review must follow the
evaluation plan established for review of a
general incentive program under Minnesota
Statutes, section 3.9735, subdivision 4.
new text end

new text begin Revisor of Statutes. $6,090,000 the first year
and $6,090,000 the second year are for the
Office of the Revisor of Statutes.
new text end

new text begin As soon as practicable and consistent with the
terms of the lease agreement, the revisor of
statutes must terminate its lease of office space
located at 525 Park Street in St. Paul. The
revisor must consult with the Legislative
Coordinating Commission to identify other
suitable space within the State Capitol
complex to which existing staff and equipment
at that location may be relocated.
new text end

new text begin Legislative Budget Office. $864,000 the first
year and $818,000 the second year are for the
Legislative Budget Office established in
section 3.8853.
new text end

Sec. 3. new text begin GOVERNOR AND LIEUTENANT
GOVERNOR
new text end

new text begin $
new text end
new text begin 3,195,000
new text end
new text begin $
new text end
new text begin 3,195,000
new text end

new text begin (a) This appropriation is to fund the Office of
the Governor and Lieutenant Governor.
new text end

new text begin (b) Up to $19,000 the first year and up to
$19,000 the second year are for necessary
expenses in the normal performance of the
Governor's and Lieutenant Governor's duties
for which no other reimbursement is provided.
new text end

new text begin (c) The Office of the Governor may receive
payments of no more than $720,000 each
fiscal year from executive agencies under
Minnesota Statutes, section 15.53, to support
office costs, not including the residence
groundskeeper, incurred by the office.
Payments received under this paragraph must
be deposited in a special revenue account.
Money in the account is appropriated to the
Office of the Governor.
new text end

new text begin By September 1 of each year, the
commissioner of management and budget shall
report to the chairs and ranking minority
members of the senate State Departments and
Veterans Affairs Budget Division and the
house of representatives State Government
Finance Committee any personnel costs
incurred by the Offices of the Governor and
Lieutenant Governor that were supported by
appropriations to other agencies during the
previous fiscal year. The Office of the
Governor shall inform the chairs and ranking
minority members of the committees before
initiating any interagency agreements.
new text end

new text begin (d) Appropriations provided by this section
may not be used to support the hiring of
additional personnel in the Office of the
Governor, to support current personnel in the
office assigned to oversee federal policy or
federal government relations, or to maintain
office space located in the District of
Columbia.
new text end

Sec. 4. new text begin STATE AUDITOR
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 9,243,000
new text end
new text begin $
new text end
new text begin 9,488,000
new text end

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

new text begin Subd. 2. new text end

new text begin Audit Practice
new text end

new text begin 7,449,000
new text end
new text begin 7,694,000
new text end

new text begin Subd. 3. new text end

new text begin Legal and Special Investigations
new text end

new text begin 272,000
new text end
new text begin 272,000
new text end

new text begin Subd. 4. new text end

new text begin Government Information
new text end

new text begin 511,000
new text end
new text begin 511,000
new text end

new text begin Subd. 5. new text end

new text begin Pension Oversight
new text end

new text begin 485,000
new text end
new text begin 485,000
new text end

new text begin Subd. 6. new text end

new text begin Operations Management
new text end

new text begin 305,000
new text end
new text begin 305,000
new text end

new text begin Subd. 7. new text end

new text begin Constitutional Office
new text end

new text begin 221,000
new text end
new text begin 221,000
new text end

Sec. 5. new text begin ATTORNEY GENERAL
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 23,894,000
new text end
new text begin $
new text end
new text begin 23,894,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2018
new text end
new text begin 2019
new text end
new text begin General
new text end
new text begin 21,094,000
new text end
new text begin 21,094,000
new text end
new text begin State Government
Special Revenue
new text end
new text begin 2,405,000
new text end
new text begin 2,405,000
new text end
new text begin Remediation
new text end
new text begin 250,000
new text end
new text begin 250,000
new text end
new text begin Environmental
new text end
new text begin 145,000
new text end
new text begin 145,000
new text end

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

new text begin Subd. 2. new text end

new text begin Government Legal Services
new text end

new text begin 3,764,000
new text end
new text begin 3,764,000
new text end

new text begin Subd. 3. new text end

new text begin Regulatory Law and Professions
new text end

new text begin 5,070,000
new text end
new text begin 5,070,000
new text end
new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 2,291,000
new text end
new text begin 2,291,000
new text end
new text begin State Government
Special Revenue
new text end
new text begin 2,384,000
new text end
new text begin 2,384,000
new text end
new text begin Remediation
new text end
new text begin 250,000
new text end
new text begin 250,000
new text end
new text begin Environmental
new text end
new text begin 145,000
new text end
new text begin 145,000
new text end

new text begin Subd. 4. new text end

new text begin State Government Services
new text end

new text begin 6,345,000
new text end
new text begin 6,345,000
new text end
new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 6,324,000
new text end
new text begin 6,324,000
new text end
new text begin State Government
Special Revenue
new text end
new text begin 21,000
new text end
new text begin 21,000
new text end

new text begin Subd. 5. new text end

new text begin Civil Law Section
new text end

new text begin 3,102,000
new text end
new text begin 3,102,000
new text end

new text begin Subd. 6. new text end

new text begin Civil Litigation
new text end

new text begin 1,542,000
new text end
new text begin 1,542,000
new text end

new text begin Subd. 7. new text end

new text begin Administrative Operations
new text end

new text begin 4,071,000
new text end
new text begin 4,071,000
new text end

Sec. 6. new text begin SECRETARY OF STATE
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 5,419,000
new text end
new text begin $
new text end
new text begin 5,530,000
new text end

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

new text begin Subd. 2. new text end

new text begin Administration
new text end

new text begin 512,000
new text end
new text begin 525,000
new text end

new text begin Subd. 3. new text end

new text begin Safe at Home
new text end

new text begin 659,000
new text end
new text begin 676,000
new text end

new text begin Subd. 4. new text end

new text begin Business Services
new text end

new text begin 1,422,000
new text end
new text begin 1,174,000
new text end

new text begin Subd. 5. new text end

new text begin Elections
new text end

new text begin 2,826,000
new text end
new text begin 3,155,000
new text end

Sec. 7. new text begin CAMPAIGN FINANCE AND PUBLIC
DISCLOSURE BOARD
new text end

new text begin $
new text end
new text begin 689,000
new text end
new text begin $
new text end
new text begin 689,000
new text end

new text begin This appropriation includes administrative
savings to the board resulting from the repeal
of the campaign subsidy program provided in
article 2.
new text end

Sec. 8. new text begin STATE BOARD OF INVESTMENT
new text end

new text begin $
new text end
new text begin 139,000
new text end
new text begin $
new text end
new text begin 139,000
new text end

Sec. 9. new text begin ADMINISTRATIVE HEARINGS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 8,170,000
new text end
new text begin $
new text end
new text begin 8,170,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2018
new text end
new text begin 2019
new text end
new text begin General
new text end
new text begin 383,000
new text end
new text begin 383,000
new text end
new text begin Workers'
Compensation
new text end
new text begin 7,787,000
new text end
new text begin 7,787,000
new text end

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

new text begin Subd. 2. new text end

new text begin Campaign Violations
new text end

new text begin 115,000
new text end
new text begin 115,000
new text end

new text begin These amounts are for the cost of considering
complaints filed under Minnesota Statutes,
section 211B.32. These amounts may be used
in either year of the biennium.
new text end

new text begin Subd. 3. new text end

new text begin Data Practices
new text end

new text begin 6,000
new text end
new text begin 6,000
new text end

new text begin These amounts are for the cost of considering
data practices complaints filed under
Minnesota Statutes, section 13.085. These
amounts may be used in either year of the
biennium.
new text end

new text begin Subd. 4. new text end

new text begin Municipal Boundary Adjustments
new text end

new text begin 262,000
new text end
new text begin 262,000
new text end

Sec. 10. new text begin OFFICE OF MN.IT SERVICES
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 2,622,000
new text end
new text begin $
new text end
new text begin 2,622,000
new text end

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

new text begin The state chief information officer must
prioritize use of appropriations provided by
this section to enhance cybersecurity across
state government.
new text end

new text begin Subd. 2. new text end

new text begin State Chief Information Officer
new text end

new text begin 1,316,000
new text end
new text begin 1,316,000
new text end

new text begin The commissioner of management and budget
is authorized to provide cash flow assistance
of up to $110,000,000 from the special
revenue fund or other statutory general funds
as defined in Minnesota Statutes, section
16A.671, subdivision 3, paragraph (a), to the
Office of MN.IT Services for the purpose of
managing revenue and expenditure
differences. These funds shall be repaid with
interest by the end of the fiscal year 2019
closing period.
new text end

new text begin During the biennium ending June 30, 2019,
the Office of MN.IT Services must not charge
fees to a public noncommercial educational
television broadcast station eligible for funding
under Minnesota Statutes, chapter 129D, for
access to the state broadcast infrastructure. If
the access fees not charged to public
noncommercial educational television
broadcast stations total more than $400,000
for the biennium, the office may charge for
access fees in excess of these amounts.
new text end

new text begin Subd. 3. new text end

new text begin Geospatial Information Office
new text end

new text begin 871,000
new text end
new text begin 871,000
new text end

new text begin Subd. 4. new text end

new text begin Enterprise IT Security
new text end

new text begin 435,000
new text end
new text begin 435,000
new text end

Sec. 11. new text begin ADMINISTRATION
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 19,584,000
new text end
new text begin $
new text end
new text begin 19,584,000
new text end

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

new text begin Subd. 2. new text end

new text begin Government and Citizen Services
new text end

new text begin 7,101,000
new text end
new text begin 7,101,000
new text end

new text begin Appropriations provided by this section may
not be used to fund continuous improvement
initiatives, including the Office of Continuous
Improvement (LEAN).
new text end

new text begin Council on Developmental Disabilities.
$74,000 the first year and $74,000 the second
year are for the Council on Developmental
Disabilities.
new text end

new text begin Olmstead Plan. new text end new text begin $148,000 each year is for the
Olmstead plan.
new text end

new text begin Materials Management. new text end new text begin $2,033,000 each
year is for materials management.
new text end

new text begin Amounts allocated by the commissioner for
each fiscal year to the Office of Equity in
Procurement must be at least ten percent less
than the amounts allocated for that purpose in
fiscal year 2017.
new text end

new text begin Plant Management. new text end new text begin $371,000 each year is
for plant management.
new text end

new text begin $2,929,000 the first year of the balance in the
facility repair and replacement account in the
special revenue fund is canceled to the general
fund. These amounts are in addition to
amounts transferred under Minnesota Statutes,
section 16B.24, subdivision 5, paragraph (d).
new text end

new text begin Real Estate and Construction Services. new text end new text begin
$2,088,000 each year is for real estate and
construction services.
new text end

new text begin Enterprise Real Property. new text end new text begin $571,000 each
year is for enterprise real property.
new text end

new text begin Small Agency Resource Team (SmART). new text end new text begin
$416,000 each year is for the small agency
resource team.
new text end

new text begin State Agency Accommodation
Reimbursement.
$200,000 the first year and
$200,000 the second year are credited to the
accommodation account established in
Minnesota Statutes, section 16B.4805.
new text end

new text begin new text begin Community Services.new text end $1,200,000 each year
is for community services.
new text end

new text begin Subd. 3. new text end

new text begin Strategic Management Services
new text end

new text begin 1,706,000
new text end
new text begin 1,706,000
new text end

new text begin new text begin Executive Leadership/Partnerships.new text end
$500,000 each year is for executive
leadership/partnerships.
new text end

new text begin new text begin School Trust Lands Director.new text end $185,000 each
year is for school trust lands director.
new text end

new text begin new text begin Financial Management and Reporting.new text end
$671,000 each year is for financial
management and reporting.
new text end

new text begin new text begin Human Resources.new text end $350,000 each year is for
human resources.
new text end

new text begin Subd. 4. new text end

new text begin Fiscal Agent
new text end

new text begin 10,777,000
new text end
new text begin 10,777,000
new text end

new text begin In-Lieu of Rent. new text end new text begin $8,158,000 the first year and
$8,158,000 the second year are for space costs
of the legislature and veterans organizations,
ceremonial space, and statutorily free space.
new text end

new text begin Public Television. new text end new text begin (a) $1,550,000 the first
year and $1,550,000 the second year are for
matching grants for public television.
new text end

new text begin (b) $250,000 the first year and $250,000 the
second year are for public television
equipment grants under Minnesota Statutes,
section 129D.13.
new text end

new text begin (c) The commissioner of administration must
consider the recommendations of the
Minnesota Public Television Association
before allocating the amounts appropriated in
paragraphs (a) and (b) for equipment or
matching grants.
new text end

new text begin (d) Public Radio. $392,000 the first year and
$392,000 the second year are for community
service grants to public educational radio
stations. This appropriation may be used to
disseminate emergency information in foreign
languages.
new text end

new text begin (e) $117,000 the first year and $117,000 the
second year are for equipment grants to public
educational radio stations. This appropriation
may be used for the repair, rental, and
purchase of equipment including equipment
under $500.
new text end

new text begin (f) $310,000 the first year and $310,000 the
second year are for equipment grants to
Minnesota Public Radio, Inc., including
upgrades to Minnesota's Emergency Alert and
AMBER Alert Systems.
new text end

new text begin (g) The appropriations in paragraphs (d) to (f)
may not be used for indirect costs claimed by
an institution or governing body.
new text end

new text begin (h) The commissioner of administration must
consider the recommendations of the
Minnesota Public Educational Radio Stations
before awarding grants under Minnesota
Statutes, section 129D.14, using the
appropriations in paragraphs (d) and (e). No
grantee is eligible for a grant unless they are
a member of the Association of Minnesota
Public Educational Radio Stations on or before
July 1, 2015.
new text end

new text begin (i) Any unencumbered balance remaining the
first year for grants to public television or
public radio stations does not cancel and is
available for the second year.
new text end

Sec. 12. new text begin CAPITOL AREA ARCHITECTURAL
AND PLANNING BOARD
new text end

new text begin $
new text end
new text begin 345,000
new text end
new text begin $
new text end
new text begin 345,000
new text end

Sec. 13. new text begin MINNESOTA MANAGEMENT AND
BUDGET
new text end

new text begin $
new text end
new text begin 18,320,000
new text end
new text begin $
new text end
new text begin 18,320,000
new text end

new text begin Subdivision 1. new text end

new text begin Appropriations
new text end

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

new text begin Subd. 2. new text end

new text begin Accounting Services
new text end

new text begin 3,751,000
new text end
new text begin 3,751,000
new text end

new text begin Subd. 3. new text end

new text begin Budget Services
new text end

new text begin 2,823,000
new text end
new text begin 2,823,000
new text end

new text begin Subd. 4. new text end

new text begin Economic Analysis
new text end

new text begin 424,000
new text end
new text begin 424,000
new text end

new text begin Subd. 5. new text end

new text begin Debt Management
new text end

new text begin 367,000
new text end
new text begin 367,000
new text end

new text begin Subd. 6. new text end

new text begin Enterprise Communications and
Planning
new text end

new text begin 830,000
new text end
new text begin 830,000
new text end

new text begin Subd. 7. new text end

new text begin Enterprise Human Resources
new text end

new text begin 2,681,000
new text end
new text begin 2,681,000
new text end

new text begin Appropriations provided by this section or
transferred to the commissioner from another
agency may not be used to support a statewide
executive recruiting program.
new text end

new text begin Subd. 8. new text end

new text begin Labor Relations
new text end

new text begin 868,000
new text end
new text begin 868,000
new text end

new text begin Subd. 9. new text end

new text begin Agency Administration
new text end

new text begin 6,576,000
new text end
new text begin 6,576,000
new text end

new text begin (a) No later than June 30, 2018, the
commissioner must credit at least $1,000,000
to the general fund based on savings realized
through implementation of the employee
gainsharing program required by Minnesota
Statutes, section 16A.90. If a credit of at least
this amount has not been made to the general
fund as of that date, the appropriation provided
in this subdivision for fiscal year 2019 is
reduced in an amount equal to the difference
between the amount actually credited to the
general fund and the total credit required by
this paragraph.
new text end

new text begin (b) Appropriations provided by this section
may not support the development or
implementation of the program evaluation
methodologies authorized by Laws 2015,
chapter 77, article 1, section 13.
new text end

Sec. 14. new text begin REVENUE
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 141,485,000
new text end
new text begin $
new text end
new text begin 141,310,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2018
new text end
new text begin 2019
new text end
new text begin General
new text end
new text begin 137,249,000
new text end
new text begin 137,074,000
new text end
new text begin Health Care Access
new text end
new text begin 1,749,000
new text end
new text begin 1,749,000
new text end
new text begin Highway User Tax
Distribution
new text end
new text begin 2,184,000
new text end
new text begin 2,184,000
new text end
new text begin Environmental
new text end
new text begin 303,000
new text end
new text begin 303,000
new text end

new text begin Notwithstanding the appropriations provided
by this section, the amounts allocated for tax
compliance activities of the department must
be no less than the amounts allocated for those
activities during fiscal year 2017.
new text end

new text begin Subd. 2. new text end

new text begin Tax System Management
new text end

new text begin 114,128,000
new text end
new text begin 113,953,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2018
new text end
new text begin 2019
new text end
new text begin General
new text end
new text begin 109,892,000
new text end
new text begin 109,717,000
new text end
new text begin Health Care Access
new text end
new text begin 1,749,000
new text end
new text begin 1,749,000
new text end
new text begin Highway User Tax
Distribution
new text end
new text begin 2,184,000
new text end
new text begin 2,184,000
new text end
new text begin Environmental
new text end
new text begin 303,000
new text end
new text begin 303,000
new text end
new text begin (a) Operations Support
new text end
new text begin General
new text end
new text begin 9,356,000
new text end
new text begin 9,356,000
new text end
new text begin Health Care Access
new text end
new text begin 126,000
new text end
new text begin 126,000
new text end
new text begin (b) Appeals, Legal Services, and Tax Research
new text end
new text begin General
new text end
new text begin 6,932,000
new text end
new text begin 6,932,000
new text end
new text begin Health Care Access
new text end
new text begin 113,000
new text end
new text begin 113,000
new text end
new text begin (c) Payment and Return Processing
new text end
new text begin General
new text end
new text begin 12,927,000
new text end
new text begin 12,927,000
new text end
new text begin Health Care Access
new text end
new text begin 51,000
new text end
new text begin 51,000
new text end
new text begin Highway User Tax
Distribution
new text end
new text begin 343,000
new text end
new text begin 343,000
new text end
new text begin (d) Administration of State Taxes
new text end
new text begin General
new text end
new text begin 54,904,000
new text end
new text begin 54,729,000
new text end
new text begin Health Care Access
new text end
new text begin 1,407,000
new text end
new text begin 1,407,000
new text end
new text begin Highway User Tax
Distribution
new text end
new text begin 1,621,000
new text end
new text begin 1,621,000
new text end
new text begin Environmental
new text end
new text begin 303,000
new text end
new text begin 303,000
new text end

new text begin (1) $15,000 from the general fund in the first
year is for preparing and submitting a
supplemental 2017 tax incidence report
meeting the requirements of Minnesota
Statutes, section 270C.13, subdivision 1, as
amended by this act. The supplemental report
must be completed and submitted no later than
January 2, 2018.
new text end

new text begin (2) $160,000 from the general fund in the first
year is for administration of a first-time home
buyer savings account program. This
appropriation is canceled to the general fund
if income tax provisions related to first-time
home buyer savings accounts are not enacted
by law at the 2017 regular or special
legislative session.
new text end

new text begin (e) Technology Development, Implementation,
and Support
new text end
new text begin General
new text end
new text begin 21,781,000
new text end
new text begin 21,781,000
new text end
new text begin Health Care Access
new text end
new text begin 52,000
new text end
new text begin 52,000
new text end
new text begin Highway User Tax
Distribution
new text end
new text begin 220,000
new text end
new text begin 220,000
new text end
new text begin (f) Property Tax Administration and State Aid
new text end
new text begin General
new text end
new text begin 3,992,000
new text end
new text begin 3,992,000
new text end

new text begin Subd. 3. new text end

new text begin Debt Collection Management
new text end

new text begin 27,357,000
new text end
new text begin 27,357,000
new text end

Sec. 15. new text begin HUMAN RIGHTS
new text end

new text begin $
new text end
new text begin 3,171,000
new text end
new text begin $
new text end
new text begin 3,171,000
new text end

Sec. 16. new text begin GAMBLING CONTROL
new text end

new text begin $
new text end
new text begin 3,422,000
new text end
new text begin $
new text end
new text begin 3,457,000
new text end

new text begin These appropriations are from the lawful
gambling regulation account in the special
revenue fund.
new text end

Sec. 17. new text begin RACING COMMISSION
new text end

new text begin $
new text end
new text begin 845,000
new text end
new text begin $
new text end
new text begin 908,000
new text end

new text begin These appropriations are from the racing and
card playing regulation accounts in the special
revenue fund.
new text end

Sec. 18. new text begin STATE LOTTERY
new text end

new text begin Notwithstanding Minnesota Statutes, section
349A.10, subdivision 3, the State Lottery's
operating budget must not exceed $32,500,000
in fiscal year 2018 and $33,000,000 in fiscal
year 2019.
new text end

Sec. 19. new text begin AMATEUR SPORTS COMMISSION
new text end

new text begin $
new text end
new text begin 300,000
new text end
new text begin $
new text end
new text begin 300,000
new text end

Sec. 20. new text begin COUNCIL ON MINNESOTANS OF
AFRICAN HERITAGE
new text end

new text begin $
new text end
new text begin 401,000
new text end
new text begin $
new text end
new text begin 401,000
new text end

Sec. 21. new text begin COUNCIL ON ASIAN-PACIFIC
MINNESOTANS
new text end

new text begin $
new text end
new text begin 364,000
new text end
new text begin $
new text end
new text begin 364,000
new text end

Sec. 22. new text begin COUNCIL ON LATINO AFFAIRS
new text end

new text begin $
new text end
new text begin 386,000
new text end
new text begin $
new text end
new text begin 386,000
new text end

Sec. 23. new text begin INDIAN AFFAIRS COUNCIL
new text end

new text begin $
new text end
new text begin 576,000
new text end
new text begin $
new text end
new text begin 576,000
new text end

Sec. 24. new text begin MINNESOTA HISTORICAL
SOCIETY
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 22,893,000
new text end
new text begin $
new text end
new text begin 22,893,000
new text end

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

new text begin Subd. 2. new text end

new text begin Operations and Programs
new text end

new text begin 22,572,000
new text end
new text begin 22,572,000
new text end

new text begin Notwithstanding Minnesota Statutes, section
138.668, the Minnesota Historical Society may
not charge a fee for its general tours at the
Capitol, but may charge fees for special
programs other than general tours.
new text end

new text begin $750,000 the first year and $750,000 the
second year are for digital preservation and
access, including planning and implementation
of a program to preserve and make available
resources related to Minnesota history. These
are onetime appropriations.
new text end

new text begin Subd. 3. new text end

new text begin Fiscal Agent
new text end

new text begin (a) Global Minnesota
new text end
new text begin 39,000
new text end
new text begin 39,000
new text end
new text begin (b) Minnesota Air National Guard Museum
new text end
new text begin 17,000
new text end
new text begin 17,000
new text end
new text begin (c) Minnesota Military Museum
new text end
new text begin 50,000
new text end
new text begin 50,000
new text end
new text begin (d) Farmamerica
new text end
new text begin 115,000
new text end
new text begin 115,000
new text end
new text begin (e) Hockey Hall of Fame
new text end
new text begin 100,000
new text end
new text begin 100,000
new text end

new text begin Any unencumbered balance remaining in this
subdivision the first year does not cancel but
is available for the second year of the
biennium.
new text end

Sec. 25. new text begin BOARD OF THE ARTS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 7,530,000
new text end
new text begin $
new text end
new text begin 7,530,000
new text end

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

new text begin Subd. 2. new text end

new text begin Operations and Services
new text end

new text begin 591,000
new text end
new text begin 591,000
new text end

new text begin Subd. 3. new text end

new text begin Grants Program
new text end

new text begin 4,800,000
new text end
new text begin 4,800,000
new text end

new text begin Subd. 4. new text end

new text begin Regional Arts Councils
new text end

new text begin 2,139,000
new text end
new text begin 2,139,000
new text end

new text begin Any unencumbered balance remaining in this
section the first year does not cancel, but is
available for the second year.
new text end

new text begin Money appropriated in this section and
distributed as grants may only be spent on
projects located in Minnesota. A recipient of
a grant funded by an appropriation in this
section must not use more than five percent
of the total grant for costs related to travel
outside the state of Minnesota.
new text end

Sec. 26. new text begin MINNESOTA HUMANITIES CENTER
new text end

new text begin $
new text end
new text begin 950,000
new text end
new text begin $
new text end
new text begin 950,000
new text end

new text begin (a) $325,000 each year is for the Healthy
Eating, Here at Home program under
Minnesota Statutes, section 138.912. No more
than three percent of the appropriation may
be used for the nonprofit administration of this
program.
new text end

new text begin (b) $250,000 each year is for grants to the
Veterans Defense Project. Grants must be used
to support, through education and outreach,
military veterans who are involved with the
criminal justice system. These are onetime
appropriations.
new text end

Sec. 27. new text begin BOARD OF ACCOUNTANCY
new text end

new text begin $
new text end
new text begin 641,000
new text end
new text begin $
new text end
new text begin 641,000
new text end

Sec. 28. new text begin BOARD OF ARCHITECTURE
ENGINEERING, LAND SURVEYING,
LANDSCAPE ARCHITECTURE,
GEOSCIENCE, AND INTERIOR DESIGN
new text end

new text begin $
new text end
new text begin 794,000
new text end
new text begin $
new text end
new text begin 794,000
new text end

Sec. 29. new text begin BOARD OF COSMETOLOGIST
EXAMINERS
new text end

new text begin $
new text end
new text begin 1,346,000
new text end
new text begin $
new text end
new text begin 1,346,000
new text end

Sec. 30. new text begin BOARD OF BARBER EXAMINERS
new text end

new text begin $
new text end
new text begin 325,000
new text end
new text begin $
new text end
new text begin 325,000
new text end

Sec. 31. new text begin GENERAL CONTINGENT
ACCOUNTS
new text end

new text begin $
new text end
new text begin 750,000
new text end
new text begin $
new text end
new text begin 500,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2018
new text end
new text begin 2019
new text end
new text begin General
new text end
new text begin 250,000
new text end
new text begin -0-
new text end
new text begin State Government
Special Revenue
new text end
new text begin 400,000
new text end
new text begin 400,000
new text end
new text begin Workers'
Compensation
new text end
new text begin 100,000
new text end
new text begin 100,000
new text end

new text begin (a) The appropriations in this section may only
be spent with the approval of the governor
after consultation with the Legislative
Advisory Commission pursuant to Minnesota
Statutes, section 3.30.
new text end

new text begin (b) If an appropriation in this section for either
year is insufficient, the appropriation for the
other year is available for it.
new text end

new text begin (c) If a contingent account appropriation is
made in one fiscal year, it should be
considered a biennial appropriation.
new text end

Sec. 32. new text begin TORT CLAIMS
new text end

new text begin $
new text end
new text begin 161,000
new text end
new text begin $
new text end
new text begin 161,000
new text end

new text begin These appropriations are to be spent by the
commissioner of management and budget
according to Minnesota Statutes, section
3.736, subdivision 7. If the appropriation for
either year is insufficient, the appropriation
for the other year is available for it.
new text end

Sec. 33. new text begin MINNESOTA STATE RETIREMENT
SYSTEM
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 14,893,000
new text end
new text begin $
new text end
new text begin 15,071,000
new text end

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

new text begin Subd. 2. new text end

new text begin Combined Legislators and
Constitutional Officers Retirement Plan
new text end

new text begin 8,893,000
new text end
new text begin 9,071,000
new text end

new text begin Under Minnesota Statutes, sections 3A.03,
subdivision 2; 3A.04, subdivisions 3 and 4;
and 3A.115.
new text end

new text begin Subd. 3. new text end

new text begin Judges Retirement Plan
new text end

new text begin 6,000,000
new text end
new text begin 6,000,000
new text end

new text begin For transfer to the judges retirement fund
under Minnesota Statutes, section 490.123.
$6,000,000 each fiscal year is included in the
base for fiscal years 2020 and 2021. This
transfer continues each fiscal year until the
judges retirement plan reaches 100 percent
funding as determined by an actuarial
valuation prepared according to Minnesota
Statutes, section 356.214.
new text end

new text begin If an appropriation in this section for either
year is insufficient, the appropriation for the
other year is available for it.
new text end

Sec. 34. new text begin PUBLIC EMPLOYEES RETIREMENT
ASSOCIATION
new text end

new text begin $
new text end
new text begin 6,000,000
new text end
new text begin $
new text end
new text begin 6,000,000
new text end

new text begin General employees retirement plan of the
Public Employees Retirement Association
relating to the merged former MERF division.
new text end

new text begin State payments from the general fund to the
Public Employees Retirement Association on
behalf of the former MERF division account
are $6,000,000 on September 15, 2017, and
$6,000,000 on September 15, 2018.
new text end

new text begin These amounts are estimated to be needed
under Minnesota Statutes, section 353.505.
new text end

Sec. 35. new text begin TEACHERS RETIREMENT
ASSOCIATION
new text end

new text begin $
new text end
new text begin 29,831,000
new text end
new text begin $
new text end
new text begin 29,831,000
new text end

new text begin The amounts estimated to be needed are as
follows:
new text end

new text begin Special Direct State Aid. $27,331,000 the
first year and $27,331,000 the second year are
for special direct state aid authorized under
Minnesota Statutes, section 354.436.
new text end

new text begin Special Direct State Matching Aid.
$2,500,000 the first year and $2,500,000 the
second year are for special direct state
matching aid authorized under Minnesota
Statutes, section 354.435.
new text end

Sec. 36. new text begin ST. PAUL TEACHERS RETIREMENT
FUND
new text end

new text begin $
new text end
new text begin 9,827,000
new text end
new text begin $
new text end
new text begin 9,827,000
new text end

new text begin The amounts estimated to be needed for
special direct state aid to the first class city
teachers retirement fund association authorized
under Minnesota Statutes, section 354A.12,
subdivisions 3a and 3c.
new text end

Sec. 37. new text begin MILITARY AFFAIRS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 19,616,000
new text end
new text begin $
new text end
new text begin 19,616,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions. If appropriations for either year
of the biennium are insufficient, the
appropriation from the other year is available.
new text end

new text begin Subd. 2. new text end

new text begin Maintenance of Training Facilities
new text end

new text begin 9,661,000
new text end
new text begin 9,661,000
new text end

new text begin Subd. 3. new text end

new text begin General Support
new text end

new text begin 3,067,000
new text end
new text begin 3,067,000
new text end

new text begin Subd. 4. new text end

new text begin Enlistment Incentives
new text end

new text begin 6,888,000
new text end
new text begin 6,888,000
new text end

new text begin The appropriations in this subdivision are
available until expended, except that any
unspent amounts allocated to a program
otherwise supported by this appropriation are
canceled to the general fund upon receipt of
federal funds in the same amount to support
administration of that program.
new text end

Sec. 38. new text begin VETERANS AFFAIRS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 74,029,000
new text end
new text begin $
new text end
new text begin 74,029,000
new text end

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

new text begin Subd. 2. new text end

new text begin Veterans Programs and Services
new text end

new text begin 16,811,000
new text end
new text begin 16,811,000
new text end

new text begin Veterans Service Organizations. new text end new text begin $353,000
each year is for grants to the following
congressionally chartered veterans service
organizations as designated by the
commissioner: Disabled American Veterans,
Military Order of the Purple Heart, the
American Legion, Veterans of Foreign Wars,
Vietnam Veterans of America, AMVETS, and
Paralyzed Veterans of America. This funding
must be allocated in direct proportion to the
funding currently being provided by the
commissioner to these organizations. These
are onetime appropriations.
new text end

new text begin Minnesota Assistance Council for Veterans.
$750,000 each year is for a grant to the
Minnesota Assistance Council for Veterans
to provide assistance throughout Minnesota
to veterans and their families who are
homeless or in danger of homelessness,
including assistance with the following:
new text end

new text begin (1) utilities;
new text end

new text begin (2) employment; and
new text end

new text begin (3) legal issues.
new text end

new text begin The assistance authorized under this paragraph
must be made only to veterans who have
resided in Minnesota for 30 days prior to
application for assistance and according to
other guidelines established by the
commissioner. In order to avoid duplication
of services, the commissioner must ensure that
this assistance is coordinated with all other
available programs for veterans.
new text end

new text begin new text begin Honor Guards.new text end $200,000 each year is for
compensation for honor guards at the funerals
of veterans under Minnesota Statutes, section
197.231.
new text end

new text begin new text begin Minnesota GI Bill.new text end $200,000 each year is for
the costs of administering the Minnesota GI
Bill postsecondary educational benefits,
on-the-job training, and apprenticeship
program under Minnesota Statutes, section
197.791.
new text end

new text begin new text begin Gold Star Program.new text end $100,000 each year is
for administering the Gold Star Program for
surviving family members of deceased
veterans.
new text end

new text begin new text begin County Veterans Service Office.new text end $1,100,000
each year is for funding the County Veterans
Service Office grant program under Minnesota
Statutes, section 197.608.
new text end

new text begin new text begin Veterans Journey Home.new text end $350,000 each year
is for grants to the veterans Journey Home
program. Grants must support the development
of new or rehabilitated affordable housing
dedicated for low-to-moderate income
veterans and their families. These are onetime
appropriations.
new text end

new text begin Subd. 3. new text end

new text begin Veterans Health Care
new text end

new text begin 57,218,000
new text end
new text begin 57,218,000
new text end

new text begin The general fund appropriations made to the
department may be transferred to a veterans
homes special revenue account in the special
revenue fund in the same manner as other
receipts are deposited according to Minnesota
Statutes, section 198.34, and are appropriated
to the department for the operation of veterans
homes facilities and programs.
new text end

new text begin No later than January 15, 2018, the
commissioner must submit a report to the
legislative committees with jurisdiction over
veterans affairs and state government finance
on reserve amounts maintained in the veterans
homes special revenue account. The report
must detail current and historical amounts
maintained as a reserve, and uses of those
amounts. The report must also include data on
the utilization of existing veterans homes,
including current and historical bed capacity
and usage, staffing levels and staff vacancy
rates, and staff-to-resident ratios.
new text end

Sec. 39. new text begin PRESERVATION OF PROGRAMS AND SERVICES.
new text end

new text begin To the extent that appropriations provided by this article are less than the amounts
appropriated for fiscal year 2017, the affected constitutional office, agency, board, or
commission must prioritize reductions to its central administration and general operations
in absorbing those reductions. Unless otherwise specified, reductions must not be made to
programs or services of the constitutional office, agency, board, or commission that are
provided directly to members of the public.
new text end

Sec. 40. new text begin APPROPRIATION CANCELLATIONS.
new text end

new text begin All unspent funds estimated to be $7,166,000 designated for grants under Minnesota
Statutes, sections 240A.085 to 240A.11, are canceled to the general fund on June 30, 2017.
new text end

Sec. 41. new text begin SAVINGS; APPROPRIATION REDUCTION FOR EXECUTIVE
AGENCIES.
new text end

new text begin (a) The commissioner of management and budget must reduce general fund appropriations
to executive agencies, including constitutional offices, for agency operations for the biennium
ending June 30, 2019, by $4,394,000 due to savings from permitting employees to opt out
of insurance coverage under the state employee group insurance coverage.
new text end

new text begin (b) If savings obtained through permitting employees to opt out of insurance coverage
under the state employee group insurance coverage yield savings in nongeneral funds other
than those established in the state constitution or protected by federal law, the commissioner
of management and budget may transfer the amount of savings to the general fund. The
amount transferred to the general fund from other funds reduces the required general fund
reduction in this section. Reductions made in 2019 must be reflected as reductions in agency
base budgets for fiscal years 2020 and 2021. The commissioner of management and budget
must report to the chairs and ranking minority members of the senate Finance Committee
and the house of representatives Ways and Means Committee regarding the amount of
reductions in spending by each agency under this subdivision.
new text end

Sec. 42. new text begin SAVINGS; APPROPRIATION REDUCTIONS FOR INFORMATION
TECHNOLOGY CONSOLIDATION.
new text end

new text begin (a) The commissioner of management and budget must reduce general fund appropriations
to agencies subject to the executive branch information technology consolidation required
by Laws 2011, First Special Session chapter 10, article 4, section 7, as amended by Laws
2013, chapter 134, section 29 by at least $3,000,000 for the biennium ending June 30, 2019,
to reflect savings on enterprise services personnel costs resulting from the consolidation.
new text end

new text begin (b) If savings obtained through the completion of information technology consolidation
yield savings in nongeneral funds other than those established in the state constitution or
protected by federal law, the commissioner may transfer the amount of savings to the general
fund. The amount transferred to the general fund from other funds reduces the required
general fund reduction in this section. Reductions made in 2019 must be reflected as
reductions in agency base budgets for fiscal years 2020 and 2021.
new text end

Sec. 43. new text begin BASE BUDGET REPORT.
new text end

new text begin No later than October 15, 2017, the commissioners of management and budget, revenue,
and veterans affairs must each submit a report to the chairs and ranking minority members
of the legislative committees with jurisdiction over state government finance that detail the
agency's base budget, by fiscal year. At a minimum, the report must include:
new text end

new text begin (1) a description of each appropriation rider enacted for the agency, and the year the
rider was first enacted in a substantially similar form;
new text end

new text begin (2) a description of the agency's use of appropriated funds that are not directed by a
rider, including an itemization of programs that appeared in a rider in a prior biennium and
continue to receive funding despite no longer appearing in a rider; and
new text end

new text begin (3) an itemization of any appropriations provided to the agency under a provision of
statute or the state constitution.
new text end

ARTICLE 2

STATE GOVERNMENT OPERATIONS

Section 1.

new text begin [2.92] DISTRICTING PRINCIPLES.
new text end

new text begin Subdivision 1. new text end

new text begin Applicability. new text end

new text begin The principles in this section apply to legislative and
congressional districts.
new text end

new text begin Subd. 2. new text end

new text begin Nesting. new text end

new text begin A representative district may not be divided in the formation of a
senate district.
new text end

new text begin Subd. 3. new text end

new text begin Equal population. new text end

new text begin (a) Legislative districts must be substantially equal in
population. The population of a legislative district must not deviate from the ideal by more
than 0.5 percent, plus or minus.
new text end

new text begin (b) Congressional districts must be as nearly equal in population as practicable.
new text end

new text begin Subd. 4. new text end

new text begin Contiguity; compactness. new text end

new text begin The districts must be composed of convenient
contiguous territory. To the extent consistent with the other principles in this section, districts
should be compact. Contiguity by water is sufficient if the water is not a serious obstacle
to travel within the district. Point contiguity is not sufficient.
new text end

new text begin Subd. 5. new text end

new text begin Numbering. new text end

new text begin (a) Legislative districts must be numbered in a regular series,
beginning with house district 1A in the northwest corner of the state and proceeding across
the state from west to east, north to south, but bypassing the 11-county metropolitan area
until the southeast corner has been reached; then to the 11-county metropolitan area. In a
county that includes more than one whole senate district, the districts must be numbered
consecutively.
new text end

new text begin (b) Congressional district numbers must begin with district one in the southeast corner
of the state and end with district eight in the northeast corner of the state.
new text end

new text begin Subd. 6. new text end

new text begin Minority representation. new text end

new text begin (a) The dilution of racial or ethnic minority voting
strength is contrary to the laws of the United States and the state of Minnesota. These
principles must not be construed to supersede any provision of the Voting Rights Act of
1965, as amended.
new text end

new text begin (b) A redistricting plan must not have the intent or effect of dispersing or concentrating
minority population in a manner that prevents minority communities from electing their
candidates of choice.
new text end

new text begin Subd. 7. new text end

new text begin Minor civil divisions. new text end

new text begin (a) A county, city, or town must not be unduly divided
unless required to meet equal population requirements or to form districts composed of
convenient, contiguous territory.
new text end

new text begin (b) A county, city, or town is not unduly divided in the formation of a legislative or
congressional district if:
new text end

new text begin (1) the division occurs because a portion of a city or town is noncontiguous with another
portion of the same city or town; or
new text end

new text begin (2) despite the division, the known population of any affected county, city, or town
remains wholly located within a single district.
new text end

new text begin Subd. 8. new text end

new text begin Preserving communities of interest. new text end

new text begin (a) Districts should attempt to preserve
identifiable communities of interest where that can be done in compliance with the principles
under this section.
new text end

new text begin (b) For purposes of this subdivision, "communities of interest" means recognizable areas
with similarities of interests including but not limited to racial, ethnic, geographic, social,
or cultural interests.
new text end

new text begin Subd. 9. new text end

new text begin Incumbents. new text end

new text begin The districts must not be drawn for the purpose of protecting or
defeating an incumbent.
new text end

new text begin Subd. 10. new text end

new text begin Data to be used. new text end

new text begin (a) The geographic areas and population counts used in
maps, tables, and legal descriptions of the districts must be those used by the Geographic
Information Systems Office of the Legislative Coordinating Commission. The population
counts shall be the block population counts provided to the state under Public Law 94-171
after each decennial census, subject to correction of any errors acknowledged by the United
States Census Bureau.
new text end

new text begin (b) Nothing in this subdivision prohibits the use of additional data, as determined by the
legislature.
new text end

new text begin Subd. 11. new text end

new text begin Consideration of plans. new text end

new text begin A redistricting plan must not be considered for
adoption by the senate or house of representatives until a block equivalency file showing
the district to which each census block has been assigned, in a form prescribed by the director
of the Geographic Information Systems Office, has been filed with the director.
new text end

new text begin Subd. 12. new text end

new text begin Priority of principles. new text end

new text begin Where it is not possible to fully comply with the
principles contained in subdivisions 2 to 9, a redistricting plan must give priority to those
principles in the order in which they are listed, except to the extent that doing so would
violate federal or state law.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
applies to any plan for districts enacted or established for use on or after that date.
new text end

Sec. 2.

Minnesota Statutes 2016, section 3.305, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) "Legislative commission" means a joint commission,
committee, or other entity in the legislative branch composed exclusively of members of
the senate and the house of representatives.

(b) "Joint offices" means the Revisor of Statutes, Legislative Reference Library, the
Office of Legislative Auditor, new text begin the Legislative Budget Office, new text end and any other joint legislative
service office.

Sec. 3.

Minnesota Statutes 2016, section 3.855, subdivision 2, is amended to read:


Subd. 2.

State employee negotiations.

(a) The commissioner of management and budget
shall regularly advise the commission on the progress of collective bargaining activities
with state employees under the state Public Employment Labor Relations Act. During
negotiations, the commission may make recommendations to the commissioner as it deems
appropriate but no recommendation shall impose any obligation or grant any right or privilege
to the parties.

(b) The commissioner shall submit to the chair of the commission any negotiated
collective bargaining agreements, arbitration awards, compensation plans, or salaries for
legislative approval or disapproval. Negotiated agreements shall be submitted within five
days of the date of approval by the commissioner or the date of approval by the affected
state employees, whichever occurs later. Arbitration awards shall be submitted within five
days of their receipt by the commissioner. If the commission disapproves a collective
bargaining agreement, award, compensation plan, or salary, the commission shall specify
in writing to the parties those portions with which it disagrees and its reasons. If the
commission approves a collective bargaining agreement, award, compensation plan, or
salary, it shall submit the matter to the legislature to be accepted or rejected under this
section.

(c) When the legislature is not in session, the commission may give interim approval to
a negotiated collective bargaining agreement, salary, compensation plan, or arbitration
award. deleted text begin When the legislature is not in session, failure of the commission to disapprove a
collective bargaining agreement or arbitration award within 30 days constitutes approval.
deleted text end
The commission shall submit the negotiated collective bargaining agreements, salaries,
compensation plans, or arbitration awards for which it has provided approval to the entire
legislature for ratification at a special legislative session called to consider them or at its
next regular legislative session as provided in this section. Approval or disapproval by the
commission is not binding on the legislature.

(d) When the legislature is not in session, the proposed collective bargaining agreement,
arbitration decision, salary, or compensation plan must be implemented upon its approval
by the commission, and state employees covered by the proposed agreement or arbitration
decision do not have the right to strike while the interim approval is in effect. Wages and
economic fringe benefit increases provided for in the agreement or arbitration decision paid
in accordance with the interim approval by the commission are not affected, but the wages
or benefit increases must cease to be paid or provided effective upon the rejection of the
agreement, arbitration decision, salary, or compensation plan, or upon adjournment of the
legislature without acting on it.

new text begin EFFECTIVE DATE. new text end

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

Sec. 4.

Minnesota Statutes 2016, section 3.8843, subdivision 7, is amended to read:


Subd. 7.

Expiration.

This section expires June 30, deleted text begin 2017deleted text end new text begin 2019new text end .

new text begin EFFECTIVE DATE. new text end

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

Sec. 5.

new text begin [3.8853] LEGISLATIVE BUDGET OFFICE.
new text end

new text begin The Legislative Budget Office is established under control of the Legislative Coordinating
Commission to provide the house of representatives and the senate with nonpartisan, accurate,
and timely information on the fiscal impact of proposed legislation, without regard to political
factors. The Legislative Coordinating Commission shall appoint a director who may hire
staff necessary to do the work of the office. The director serves a term of six years and may
not be removed during a term except for cause after a public hearing.
new text end

Sec. 6.

Minnesota Statutes 2016, section 3.971, subdivision 2, is amended to read:


Subd. 2.

Staff; compensation.

new text begin (a) new text end The legislative auditor shall establish a Financial
Audits Division and a Program Evaluation Division to fulfill the duties prescribed in this
section.

new text begin (b)new text end Each division may be supervised by a deputy auditor, appointed by the legislative
auditor, with the approval of the commission, for a term coterminous with the legislative
auditor's term. The deputy auditors may be removed before the expiration of their terms
only for cause. The legislative auditor and deputy auditors may each appoint a confidential
secretary to serve at pleasure. The salaries and benefits of the legislative auditor, deputy
auditors and confidential secretaries shall be determined by the compensation plan approved
by the Legislative Coordinating Commission. The deputy auditors may perform and exercise
the powers, duties and responsibilities imposed by law on the legislative auditor when
authorized by the legislative auditor.

new text begin (c) The legislative auditor must appoint a fiscal oversight officer with duties that include
performing the review under section 3.972, subdivision 4.
new text end

new text begin (d)new text end The deputy auditors and the confidential secretaries serve in the unclassified civil
service, butnew text begin the fiscal oversight officer andnew text end all other employees of the legislative auditor are
in the classified civil service. Compensation for employees of the legislative auditor in the
classified service shall be governed by a plan prepared by the legislative auditor and approved
by the Legislative Coordinating Commission and the legislature under section 3.855,
subdivision 3
.

new text begin (e)new text end While in office, a person appointed deputy for the Financial Audit Division must
hold an active license as a certified public accountant.

new text begin EFFECTIVE DATE. new text end

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

Sec. 7.

Minnesota Statutes 2016, section 3.971, subdivision 6, is amended to read:


Subd. 6.

Financial audits.

The legislative auditor shall audit the financial statements
of the state of Minnesota required by section 16A.50 and, as resources permit, Minnesota
State Colleges and Universities, the University of Minnesota, state agencies, departments,
boards, commissions, offices, courts, and other organizations subject to audit by the
legislative auditor, including, but not limited to, the State Agricultural Society, Agricultural
Utilization Research Institute, Enterprise Minnesota, Inc., Minnesota Historical Society,
ClearWay Minnesota, Minnesota Sports Facilities Authority,new text begin Metropolitan Council,new text end
Metropolitan Airports Commission, and Metropolitan Mosquito Control District. Financial
audits must be conducted according to generally accepted government auditing standards.
The legislative auditor shall see that all provisions of law respecting the appropriate and
economic use of public funds and other public resources are complied with and may, as
part of a financial audit or separately, investigate allegations of noncompliance.

new text begin EFFECTIVE DATE. new text end

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

Sec. 8.

Minnesota Statutes 2016, section 3.972, is amended by adding a subdivision to
read:


new text begin Subd. 4. new text end

new text begin Certain transit financial activity reporting. new text end

new text begin (a) The legislative auditor must
perform a transit financial activity review of financial information for the Metropolitan
Council's Transportation Division and the joint powers board under section 297A.992.
Within 14 days of the end of each fiscal quarter, the legislative auditor must submit the
review to the Legislative Audit Commission and the chairs and ranking minority members
of the legislative committees with jurisdiction over transportation policy and finance, finance,
and ways and means.
new text end

new text begin (b) At a minimum, each transit financial activity review must include:
new text end

new text begin (1) a summary of monthly financial statements, including balance sheets and operating
statements, that shows income, expenditures, and fund balance;
new text end

new text begin (2) a list of any obligations and agreements entered into related to transit purposes,
whether for capital or operating, including but not limited to bonds, notes, grants, and future
funding commitments;
new text end

new text begin (3) the amount of funds in clause (2) that has been committed;
new text end

new text begin (4) independent analysis by the fiscal oversight officer of the fiscal viability of revenues
and fund balance compared to expenditures, taking into account:
new text end

new text begin (i) all expenditure commitments;
new text end

new text begin (ii) cash flow;
new text end

new text begin (iii) sufficiency of estimated funds; and
new text end

new text begin (iv) financial solvency of anticipated transit projects; and
new text end

new text begin (5) a notification concerning whether the requirements under paragraph (c) have been
met.
new text end

new text begin (c) The Metropolitan Council and the joint powers board under section 297A.992 must
produce monthly financial statements as necessary for the review under paragraph (b),
clause (1), and provide timely information as requested by the legislative auditor.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 9.

Minnesota Statutes 2016, section 3.98, subdivision 1, is amended to read:


Subdivision 1.

Preparation.

new text begin (a) new text end The deleted text begin head or chief administrative officer of each
department or agency of the state government, including the Supreme Court,
deleted text end new text begin Legislative
Budget Office
new text end shall prepare a fiscal note at the request of the chair of the standing committee
to which a bill has been referred, or the chair of the house of representatives Ways and
Means Committee, or the chair of the senate Committee on Finance.

new text begin (b) The head or chief administrative officer of each department or agency of state
government, including the Supreme Court, shall supply information for fiscal notes upon
request of the director of the Legislative Budget Office. The Legislative Budget Office may
adopt standards and guidelines governing timing of responses to requests for information
and governing access to data, consistent with laws governing access to data. Agencies must
comply with these standards and guidelines.
new text end

new text begin (c) new text end For purposes of this subdivision, "Supreme Court" includes all agencies, committees,
and commissions supervised or appointed by the state Supreme Court or the state court
administrator.

Sec. 10.

Minnesota Statutes 2016, section 3.98, subdivision 4, is amended to read:


Subd. 4.

Uniform procedure.

The deleted text begin commissioner of management and budgetdeleted text end new text begin Legislative
Budget Office
new text end shall prescribe a uniform procedure to govern the departments and agencies
of the state in complying with the requirements of this section.

Sec. 11.

Minnesota Statutes 2016, section 3.987, subdivision 1, is amended to read:


Subdivision 1.

Local impact notes.

The deleted text begin commissioner of management and budgetdeleted text end new text begin
Legislative Budget Office
new text end shall coordinate the development of a local impact note for any
proposed legislation deleted text begin introduced after June 30, 1997,deleted text end upon request of the chair or the ranking
minority member of either legislative Tax, Finance, or Ways and Means Committee. Upon
receipt of a request to prepare a local impact note, the deleted text begin commissionerdeleted text end new text begin officenew text end must notify the
authors of the proposed legislation that the request has been made. The local impact note
must be made available to the public upon request. If the action is among the exceptions
listed in section 3.988, a local impact note need not be requested nor prepared. The
deleted text begin commissionerdeleted text end new text begin officenew text end shall make a reasonable and timely estimate of the local fiscal impact
on each type of political subdivision that would result from the proposed legislation. The
deleted text begin commissioner of management and budgetdeleted text end new text begin officenew text end may require any political subdivision or
the commissioner of an administrative agency of the state to supply in a timely manner any
information determined to be necessary to determine local fiscal impact. The political
subdivision, its representative association, or commissioner shall convey the requested
information to the deleted text begin commissioner of management and budgetdeleted text end new text begin officenew text end with a signed statement
to the effect that the information is accurate and complete to the best of its ability. The
political subdivision, its representative association, or commissioner, when requested, shall
update its determination of local fiscal impact based on actual cost or revenue figures,
improved estimates, or both. Upon completion of the note, the deleted text begin commissionerdeleted text end new text begin officenew text end must
provide a copy to the authors of the proposed legislation and to the chair and ranking minority
member of each committee to which the proposed legislation is referred.

Sec. 12.

Minnesota Statutes 2016, section 6.481, subdivision 6, is amended to read:


Subd. 6.

Payments to state auditor.

A county audited by the state auditor must pay the
state auditor for the costs and expenses of the audit. If the state auditor makes additional
examinations of a county whose audit is performed by a CPA firm, the county must pay the
auditor for the cost of these examinations. Payments must be deposited in the deleted text begin state auditor
enterprise
deleted text end new text begin general new text end fund.

Sec. 13.

Minnesota Statutes 2016, section 6.56, subdivision 2, is amended to read:


Subd. 2.

Billings by state auditor.

Upon the examination of the books, records, accounts,
and affairs of any political subdivision, as provided by law, such political subdivision shall
be liable to the state for the total cost and expenses of such examination, including the
salaries paid to the examiners while actually engaged in making such examination. The
state auditor may bill such political subdivision periodically for service rendered and the
officials responsible for approving and paying claims are authorized to pay said bill promptly.
Said payments shall be without prejudice to any defense against said claims that may exist
or be asserted. The deleted text begin state auditor enterprisedeleted text end new text begin general new text end fund shall be credited with all collections
made for any such examinations, including interest payments made pursuant to subdivision
3.

Sec. 14.

Minnesota Statutes 2016, section 6.581, subdivision 4, is amended to read:


Subd. 4.

Reports to legislature.

At least 30 days before implementing increased charges
for examinations, the state auditor must report the proposed increases to the chairs and
ranking minority members of the committees in the house of representatives and the senate
with jurisdiction over the budget of the state auditor. By January 15 of each odd-numbered
year, the state auditor must report to the chairs and ranking minority members of the
legislative committees and divisions with primary jurisdiction over the budget of the state
auditor a summary of deleted text begin the state auditor enterprise funddeleted text end anticipated revenues, and expenditures
new text begin related to examinations new text end for the biennium ending June 30 of that year. The report must also
include for the biennium the number of full-time equivalents deleted text begin paid by the funddeleted text end new text begin employed by
the Office of the State Auditor
new text end , any audit rate changes stated as a percentage, the number
of audit reports issued, and the number of counties audited.

Sec. 15.

Minnesota Statutes 2016, section 10A.01, subdivision 26, is amended to read:


Subd. 26.

Noncampaign disbursement.

"Noncampaign disbursement" means a purchase
or payment of money or anything of value made, or an advance of credit incurred, or a
donation in kind received, by a principal campaign committee for any of the following
purposes:

(1) payment for accounting and legal services;

(2) return of a contribution to the source;

(3) repayment of a loan made to the principal campaign committee by that committee;

deleted text begin (4) return of a public subsidy;
deleted text end

deleted text begin (5)deleted text end new text begin (4)new text end payment for food, beverages, and necessary utensils and supplies, entertainment,
and facility rental for a fund-raising event;

deleted text begin (6)deleted text end new text begin (5)new text end services for a constituent by a member of the legislature or a constitutional officer
in the executive branch, including the costs of preparing and distributing a suggestion or
idea solicitation to constituents, performed from the beginning of the term of office to
adjournment sine die of the legislature in the election year for the office held, and half the
cost of services for a constituent by a member of the legislature or a constitutional officer
in the executive branch performed from adjournment sine die to 60 days after adjournment
sine die;

deleted text begin (7)deleted text end new text begin (6)new text end payment for food and beverages consumed by a candidate or volunteers while
they are engaged in campaign activities;

deleted text begin (8)deleted text end new text begin (7)new text end payment for food or a beverage consumed while attending a reception or meeting
directly related to legislative duties;

deleted text begin (9)deleted text end new text begin (8)new text end payment of expenses incurred by elected or appointed leaders of a legislative
caucus in carrying out their leadership responsibilities;

deleted text begin (10)deleted text end new text begin (9)new text end payment by a principal campaign committee of the candidate's expenses for
serving in public office, other than for personal uses;

deleted text begin (11)deleted text end new text begin (10)new text end costs of child care for the candidate's children when campaigning;

deleted text begin (12)deleted text end new text begin (11)new text end fees paid to attend a campaign school;

deleted text begin (13)deleted text end new text begin (12)new text end costs of a postelection party during the election year when a candidate's name
will no longer appear on a ballot or the general election is concluded, whichever occurs
first;

deleted text begin (14)deleted text end new text begin (13)new text end interest on loans paid by a principal campaign committee on outstanding loans;

deleted text begin (15)deleted text end new text begin (14)new text end filing fees;

deleted text begin (16)deleted text end new text begin (15)new text end post-general election holiday or seasonal cards, thank-you notes, or
advertisements in the news media mailed or published prior to the end of the election cycle;

deleted text begin (17)deleted text end new text begin (16)new text end the cost of campaign material purchased to replace defective campaign material,
if the defective material is destroyed without being used;

deleted text begin (18)deleted text end new text begin (17)new text end contributions to a party unit;

deleted text begin (19)deleted text end new text begin (18)new text end payments for funeral gifts or memorials;

deleted text begin (20)deleted text end new text begin (19)new text end the cost of a magnet less than six inches in diameter containing legislator
contact information and distributed to constituents;

deleted text begin (21)deleted text end new text begin (20)new text end costs associated with a candidate attending a political party state or national
convention in this state;

deleted text begin (22)deleted text end new text begin (21)new text end other purchases or payments specified in board rules or advisory opinions as
being for any purpose other than to influence the nomination or election of a candidate or
to promote or defeat a ballot question; and

deleted text begin (23)deleted text end new text begin (22)new text end costs paid to a third party for processing contributions made by a credit card,
debit card, or electronic check.

The board must determine whether an activity involves a noncampaign disbursement
within the meaning of this subdivision.

A noncampaign disbursement is considered to be made in the year in which the candidate
made the purchase of goods or services or incurred an obligation to pay for goods or services.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017, and applies to elections
held on or after that date.
new text end

Sec. 16.

Minnesota Statutes 2016, section 10A.105, subdivision 1, is amended to read:


Subdivision 1.

Single committee.

A candidate must not accept contributions from a
source, other than self, in aggregate in excess of $750 deleted text begin or accept a public subsidydeleted text end unless the
candidate designates and causes to be formed a single principal campaign committee for
each office sought. A candidate may not authorize, designate, or cause to be formed any
other political committee bearing the candidate's name or title or otherwise operating under
the direct or indirect control of the candidate. However, a candidate may be involved in the
direct or indirect control of a party unit.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017, and applies to elections
held on or after that date.
new text end

Sec. 17.

Minnesota Statutes 2016, section 10A.15, subdivision 1, is amended to read:


Subdivision 1.

Anonymous contributions.

A political committee, political fund, principal
campaign committee, or party unit may not retain an anonymous contribution in excess of
$20, but must forward it to the board for deposit in the general deleted text begin account of the state elections
campaign account
deleted text end new text begin fundnew text end .

Sec. 18.

Minnesota Statutes 2016, section 10A.245, subdivision 2, is amended to read:


Subd. 2.

Termination by board.

The board may terminate the registration of a principal
campaign committee, party unit, political committee, or political fund found to be inactive
under this section 60 days after sending written notice of inactivity by certified mail to the
affected association at the last address on record with the board for that association. Within
60 days after the board sends notice under this section, the affected association must dispose
of its assets as provided in this subdivision. The assets of the principal campaign committee,
party unit, or political committee must be used for the purposes authorized by this chapter
or section 211B.12 or must be liquidated and deposited in the general deleted text begin account of the state
elections campaign account
deleted text end new text begin fundnew text end . The assets of an association's political fund that were
derived from the association's general treasury money revert to the association's general
treasury. Assets of a political fund that resulted from contributions to the political fund must
be used for the purposes authorized by this chapter or section 211B.12 or must be liquidated
and deposited in the general deleted text begin account of the state elections campaign accountdeleted text end new text begin fundnew text end .

Sec. 19.

Minnesota Statutes 2016, section 10A.25, subdivision 1, is amended to read:


Subdivision 1.

Limits are voluntary.

The expenditure limits imposed by this section
apply only to a candidate who has signed deleted text begin an agreementdeleted text end new text begin a pledgenew text end under section 10A.322 deleted text begin to
be bound by them as a condition of receiving a public subsidy for the candidate's campaign
deleted text end .

Sec. 20.

Minnesota Statutes 2016, section 10A.25, subdivision 10, is amended to read:


Subd. 10.

Effect of opponent's conduct.

(a) After the deadline for filing a deleted text begin spending
limit agreement
deleted text end new text begin pledgenew text end under section 10A.322, a candidate who has deleted text begin agreeddeleted text end new text begin pledgednew text end to be
bound by the expenditure limits imposed by this section deleted text begin as a condition of receiving a public
subsidy
deleted text end for the candidate's campaign may choose to be released from the expenditure limits
deleted text begin but remain eligible to receive a public subsidydeleted text end if the candidate has an opponent who has
not deleted text begin agreeddeleted text end new text begin pledgednew text end to be bound by the limits and has received contributions or made or
become obligated to make expenditures during that election cycle in excess of the following
limits:

(1) up to the close of the reporting period before the primary election, receipts or
expenditures equal to 20 percent of the election segment expenditure limit for that office
as set forth in subdivision 2; or

(2) after the close of the reporting period before the primary election, cumulative receipts
or expenditures during that election cycle equal to 50 percent of the election cycle expenditure
limit for that office as set forth in subdivision 2.

Before the primary election, a candidate's "opponents" are only those who will appear
on the ballot of the same party in the primary election.

(b) A candidate who has not deleted text begin agreeddeleted text end new text begin pledgednew text end to be bound by expenditure limits, or the
candidate's principal campaign committee, must file written notice with the board and
provide written notice to any opponent of the candidate for the same office within 24 hours
of exceeding the limits in paragraph (a). The notice must state only that the candidate or
candidate's principal campaign committee has received contributions or made or become
obligated to make campaign expenditures in excess of the limits in paragraph (a).

(c) Upon receipt of the notice, a candidate who had deleted text begin agreeddeleted text end new text begin pledgednew text end to be bound by the
limits may file with the board a notice that the candidate chooses to be no longer bound by
the expenditure limits. A notice of a candidate's choice not to be bound by the expenditure
limits that is based on the conduct of an opponent in the state primary election may not be
filed more than one day after the State Canvassing Board has declared the results of the
state primary.

(d) A candidate who has deleted text begin agreeddeleted text end new text begin pledgednew text end to be bound by the expenditure limits imposed
by this section and whose opponent in the general election has chosen, as provided in
paragraph (c), not to be bound by the expenditure limits because of the conduct of an
opponent in the primary election is no longer bound by the limits deleted text begin but remains eligible to
receive a public subsidy
deleted text end .

Sec. 21.

Minnesota Statutes 2016, section 10A.257, subdivision 1, is amended to read:


Subdivision 1.

Unused funds.

new text begin For election cycles ending on or before December 31,
2018,
new text end after all campaign expenditures and noncampaign disbursements for an election cycle
have been made, an amount up to 25 percent of the new text begin 2016 new text end election cycle expenditure limit
for the office may be carried forward. Any remaining amount up to the total amount of the
new text begin 2016 new text end public subsidy from the state elections campaign fund must be returned to the state
treasury for credit to the general fund undernew text begin Minnesota Statutes 2016,new text end section 10A.324. Any
remaining amount in excess of the total new text begin 2016 new text end public subsidy must be contributed to the state
elections campaign account or a political party for multicandidate expenditures as defined
in section 10A.275.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017, and applies to elections
held on or after that date.
new text end

Sec. 22.

Minnesota Statutes 2016, section 10A.27, subdivision 10, is amended to read:


Subd. 10.

Limited personal contributions.

A candidate who signs deleted text begin an agreementdeleted text end new text begin a
pledge
new text end under section 10A.322 may not contribute to the candidate's own campaign during
a segment of an election cycle more than five times the candidate's contribution limit for
that segment under subdivision 1.

Sec. 23.

Minnesota Statutes 2016, section 10A.27, is amended by adding a subdivision to
read:


new text begin Subd. 11a. new text end

new text begin Contributions from the sale of goods or services. new text end

new text begin Proceeds from the sale
of goods or services by a political committee must be reported as a contribution to that
committee, as provided in section 10A.13. A political committee may not use proceeds from
the sale of goods or services to make a contribution to a principal campaign committee, a
party unit, or a political committee or political fund, unless the political committee or political
fund makes only independent expenditures and disbursements permitted under section
10A.121, subdivision 1. A political committee selling goods or services must disclose to
each purchaser, prior to a sale, that proceeds may be used to make a contribution to an
independent expenditure political committee or fund, or may be used by the committee for
other political purposes as authorized by law, and must offer the purchaser an opportunity
to review the committee's most recent report submitted to the board under section 10A.20.
A copy of the report must be clearly posted in a conspicuous location on at least 8.5-inch
by 11-inch sized paper and available for public inspection at the point of sale.
new text end

Sec. 24.

Minnesota Statutes 2016, section 10A.322, subdivision 1, is amended to read:


Subdivision 1.

deleted text begin Agreementdeleted text end new text begin Pledgenew text end by candidate.

(a) deleted text begin As a condition of receiving a public
subsidy,
deleted text end A candidate deleted text begin mustdeleted text end new text begin maynew text end sign and file with the board a written deleted text begin agreementdeleted text end new text begin pledgenew text end in
which the candidate agrees that the candidate will comply with sections 10A.25; 10A.27,
subdivision 10
; deleted text begin 10A.324;deleted text end and 10A.38new text begin until the dissolution of the principal campaign
committee of the candidate or the end of the first election cycle completed after the pledge
was filed, whichever occurs first
new text end .

(b) Before the first day of filing for office, the board must forward deleted text begin agreementdeleted text end new text begin pledgenew text end
forms to all filing officers. The board must also provide deleted text begin agreementdeleted text end new text begin pledgenew text end forms to candidates
on request at any time. The candidate must file the deleted text begin agreementdeleted text end new text begin pledgenew text end with the board at least
three weeks before the candidate's state primary. deleted text begin An agreementdeleted text end new text begin A pledgenew text end may not be filed
after that date. deleted text begin An agreementdeleted text end new text begin The board must post a copy of each pledge filed by a candidate
on the board's Web site. For purposes of public posting, a pledge
new text end once filed may not be
rescinded.

deleted text begin (c) The board must notify the commissioner of revenue of any agreement signed under
this subdivision.
deleted text end

deleted text begin (d) Notwithstanding paragraph (b), if a vacancy occurs that will be filled by means of
a special election and the filing period does not coincide with the filing period for the general
election, a candidate may sign and submit a spending limit agreement not later than the day
after the close of the filing period for the special election for which the candidate filed.
deleted text end

new text begin (c) A pledge filed by a candidate under this subdivision is a voluntary agreement by the
candidate to comply with the sections listed in paragraph (a). Compliance with the terms
of a pledge, or any provisions of law cited within the pledge, may not be the subject of an
advisory opinion issued under section 10A.02, subdivision 12, and is not subject to an audit,
investigation, or enforcement action by the board under section 10A.02, 10A.022, or any
other applicable law.
new text end

Sec. 25.

Minnesota Statutes 2016, section 10A.38, is amended to read:


10A.38 CAPTIONING OF CAMPAIGN ADVERTISEMENTS.

(a) This section applies to a campaign advertisement by a candidate who deleted text begin is governed
by an agreement
deleted text end new text begin has filed a pledgenew text end under section 10A.322.

(b) "Campaign advertisement" means a professionally produced visual or audio recording
of two minutes or less produced by the candidate for the purpose of influencing the
nomination or election of a candidate.

(c) A campaign advertisement that is disseminated as an advertisement by broadcast or
cable television must include closed captioning for deaf and hard-of-hearing viewers, unless
the candidate has filed with the board before the advertisement is disseminated a statement
setting forth the reasons for not doing so. A campaign advertisement that is disseminated
as an advertisement to the public on the candidate's Web site must include closed captioning
for deaf and hard-of-hearing viewers, unless the candidate has posted on the Web site a
transcript of the spoken content of the advertisement or the candidate has filed with the
board before the advertisement is disseminated a statement setting forth the reasons for not
doing so. A campaign advertisement must not be disseminated as an advertisement by radio
unless the candidate has posted on the candidate's Web site a transcript of the spoken content
of the advertisement or the candidate has filed with the board before the advertisement is
disseminated a statement setting forth the reasons for not doing so.

Sec. 26.

new text begin [15.0395] INTERAGENCY AGREEMENTS AND INTRA-AGENCY
TRANSFERS.
new text end

new text begin (a) The head of each agency must provide quarterly reports to the chairs and ranking
minority members of the legislative committees with jurisdiction over the department or
agency's budget on:
new text end

new text begin (1) interagency agreements or service-level agreements and any renewals or extensions
of existing interagency or service-level agreements with another agency if the cumulative
value of those agreements is more than $50,000 in a single fiscal year; and
new text end

new text begin (2) transfers of appropriations between accounts within or between agencies, if the
cumulative value of the transfers is more than $50,000 in a single fiscal year.
new text end

new text begin The report must include the statutory citation authorizing the agreement, transfer or dollar
amount, purpose, and effective date of the agreement, the duration of the agreement, and a
copy of the agreement.
new text end

new text begin (b) As used in this section, "agency" includes the departments of the state listed in section
15.01, a multimember state agency in the executive branch described in section 15.012,
paragraph (a), the Office of MN.IT Services, and the Office of Higher Education.
new text end

Sec. 27.

new text begin [16A.117] CONTINUING APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Appropriations continue for one year. new text end

new text begin If a major appropriation bill is
not enacted before July 1 of an odd-numbered year, the existing appropriation amounts
pertaining to that bill for the fiscal year ending that June 30 are in effect again at 95 percent
of the base level through the fiscal year beginning July 1 of that odd-numbered year. The
base level is the amount appropriated for the fiscal year ending that June 30, except as
otherwise provided by subdivision 2 or by other law. The amounts needed to implement
this section are appropriated from each fund covered by this section.
new text end

new text begin Subd. 2. new text end

new text begin Exceptions and adjustments. new text end

new text begin (a) An appropriation remaining in effect under
authority of subdivision 1 must be adjusted or discontinued as required by other law and
according to paragraphs (b) to (e).
new text end

new text begin (b) In order to meet the fiscal obligations required under current law, the commissioner
must adjust the appropriation for each forecasted program according to the forecast adjusted
base spending level estimated by the commissioner in the preceding February forecast.
new text end

new text begin (c) An appropriation for the fiscal year ending June 30 of the odd-numbered year does
not remain in effect for the fiscal year starting on July 1 if the legislature specifically
designated the appropriation as a onetime appropriation, if the commissioner of management
and budget determines that the legislature clearly intended the appropriation to be onetime,
or if the program for which the appropriation was made expires on or before July 1.
new text end

new text begin (d) If an appropriation remains in effect under authority of subdivision 1, but the program
or activity that is the subject of the appropriation is scheduled to expire during a fiscal year,
the commissioner of management and budget must prorate the appropriation consistent with
the expiration date.
new text end

new text begin (e) The commissioner of management and budget may make technical adjustments to
the amount of an appropriation to the extent the commissioner determines the technical
adjustments are needed to accurately reflect the amount that constitutes the annual base
level of the appropriation. The commissioner may make an adjustment under this paragraph
only if one or more of the following conditions is met:
new text end

new text begin (1) the legislature previously appropriated money for a biennium, with the entire
appropriation being allocated to one year of the biennium, and the commissioner determines
an adjustment is necessary to accurately reflect the annual amount needed to maintain
program operations at the same level;
new text end

new text begin (2) laws or policies under which revenues and expenditures are accounted for have
changed to eliminate or consolidate certain funds or accounts or to create new funds or
accounts, and adjustments in appropriations are necessary to implement these changes;
new text end

new text begin (3) duties have been transferred between agency programs, or between agencies, and
adjustments in appropriations are necessary to reflect these transfers; or
new text end

new text begin (4) a program, or changes to a program, were not fully operational in one fiscal year,
but will be fully operational in the following year, and an adjustment to the appropriation
is needed to accurately reflect the annual cost of the new or changed program.
new text end

new text begin (f) The commissioner of management and budget must give the chairs and ranking
minority members of the senate finance and house ways and means committees written
notice of any adjustments made under this subdivision.
new text end

new text begin Subd. 3. new text end

new text begin Statutory appropriations. new text end

new text begin All statutory appropriations from the general fund
or another fund in the state treasury continue as required under current law and are not
limited by subdivision 1.
new text end

Sec. 28.

Minnesota Statutes 2016, section 16A.90, is amended to read:


16A.90 EMPLOYEE GAINSHARING SYSTEM.

new text begin Subdivision 1. new text end

new text begin Commissioner must establish program. new text end

new text begin (a) new text end The commissioner shall
establish a program to provide onetime bonus compensation to state employees for efforts
made to reduce the costs of operating state government or for ways of providing better or
more efficient state services. The commissioner may authorize an executive branch appointing
authority to make a onetime award to an employee or group of employees whose suggestion
or involvement in a project is determined by the commissioner to have resulted in documented
cost-savings to the state. Before authorizing awards under this section, the commissioner
shall establish guidelines for the program including but not limited to:

(1) the maximum award is ten percent of the documented savings in the first fiscal year
in which the savings are realized up to $50,000;

(2) the award must be paid from the appropriation to which the savings accrued; and

(3) employees whose primary job responsibility is to identify cost savings or ways of
providing better or more efficient state services are generally not eligible for bonus
compensation under this section except in extraordinary circumstances as defined by the
commissioner.

new text begin (b) The program required by this section must be in addition to any existing monetary
or nonmonetary performance-based recognition programs for state employees, including
achievement awards, continuous improvement awards, and general employee recognitions.
new text end

new text begin Subd. 2. new text end

new text begin Monthly legislative report. new text end

new text begin No later than August 1, 2017, and monthly
thereafter, the commissioner must report to the chairs and ranking minority members of the
house of representatives and senate committees with jurisdiction over Minnesota Management
and Budget on the status of the program required by this section. The report must detail:
new text end

new text begin (1) the specific program guidelines established by the commissioner as required by
subdivision 1, if the guidelines have not been described in a previous report;
new text end

new text begin (2) any proposed modifications to the established guidelines under consideration by the
commissioner, including the reason for the proposed modifications;
new text end

new text begin (3) the methods used by the commissioner to promote the program to state employees,
if the methods have not been described in a previous report;
new text end

new text begin (4) a summary of the results of the program that includes the following, categorized by
agency:
new text end

new text begin (i) the number of state employees whose suggestions or involvement in a project were
considered for possible bonus compensation, and a description of each suggestion or project
that was considered;
new text end

new text begin (ii) the total amount of bonus compensation actually awarded, itemized by each suggestion
or project that resulted in an award and the amount awarded for that suggestion or project;
and
new text end

new text begin (iii) the total amount of documented cost-savings that accrued to the agency as a result
of each suggestion or project for which bonus compensation was granted; and
new text end

new text begin (5) any recommendations for legislation that, in the judgment of the commissioner,
would improve the effectiveness of the bonus compensation program established by this
section or which would otherwise increase opportunities for state employees to actively
participate in the development and implementation of strategies for reducing the costs of
operating state government or for providing better or more efficient state services.
new text end

Sec. 29.

Minnesota Statutes 2016, section 16B.335, subdivision 1, is amended to read:


Subdivision 1.

Construction and major remodeling.

(a) The commissioner, or any
other recipient to whom an appropriation is made to acquire or better public lands or buildings
or other public improvements of a capital nature, must not prepare final plans and
specifications for any construction, major remodeling, or land acquisition in anticipation
of which the appropriation was made until the agency that will use the project has presented
the program plan and cost estimates for all elements necessary to complete the project to
the chair of the senate Finance Committee and the chair of the house of representatives
Ways and Means Committee and the chairs have made their recommendations, and the
chair and ranking minority member of the senate Capital Investment Committee and the
chair and ranking minority member of the house of representatives Capital Investment
Committee are notified. "Construction or major remodeling" means construction of a new
building, a substantial addition to an existing building, or a substantial change to the interior
configuration of an existing building. The presentation must note any significant changes
in the work that will be done, or in its cost, since the appropriation for the project was
enacted or from the predesign submittal. The program plans and estimates must be presented
for review at least two weeks before a recommendation is needed. The recommendations
are advisory only. Failure or refusal to make a recommendation is considered a negative
recommendation.

new text begin (b) new text end The chairs and ranking minority members of the senate Finance and Capital
Investment Committees deleted text begin anddeleted text end new text begin ,new text end the house of representatives Capital Investment and Ways and
Means Committeesnew text begin , and the house of representatives and senate budget committees or
divisions with jurisdiction over the agency that will use the project
new text end must also be notified
whenever there is a substantial change in a construction or major remodeling project, or in
its cost.new text begin This notice must include the nature and reason for the change and the anticipated
cost of the change. The notice must be given no later than ten days after signing a change
order or other document authorizing a change in the project, or if there is not a change order
or other document, no later than ten days after the project owner becomes aware of a
substantial change in the project or its cost.
new text end

deleted text begin (b)deleted text end new text begin (c)new text end Capital projects exempt from the requirements deleted text begin of this subdivisiondeleted text end new text begin in paragraph
(a) to seek recommendations before preparing final plans and specifications
new text end include
demolition or decommissioning of state assets, hazardous material projects, utility
infrastructure projects, environmental testing, parking lots, parking structures, park and ride
facilities, bus rapid transit stations, light rail lines, passenger rail projects, exterior lighting,
fencing, highway rest areas, truck stations, storage facilities not consisting primarily of
offices or heated work areas, roads, bridges, trails, pathways, campgrounds, athletic fields,
dams, floodwater retention systems, water access sites, harbors, sewer separation projects,
water and wastewater facilities, port development projects for which the commissioner of
transportation has entered into an assistance agreement under section 457A.04, ice centers,
a local government project with a construction cost of less than $1,500,000, or any other
capital project with a construction cost of less than $750,000. new text begin The requirements in paragraph
(b) to give notice of changes applies to these projects.
new text end

Sec. 30.

Minnesota Statutes 2016, section 16B.4805, subdivision 4, is amended to read:


Subd. 4.

Administration costs.

The commissioner may use up to deleted text begin 15deleted text end new text begin fivenew text end percent of the
biennial appropriation for administration of this section.

Sec. 31.

Minnesota Statutes 2016, section 16B.97, is amended by adding a subdivision to
read:


new text begin Subd. 6. new text end

new text begin Commerce grants. new text end

new text begin The office must monitor grants made by the Department
of Commerce.
new text end

Sec. 32.

new text begin [16B.991] TERMINATION OF GRANT.
new text end

new text begin Each grant agreement subject to sections 16B.97 and 16B.98 must provide that the
agreement will immediately be terminated if:
new text end

new text begin (1) the recipient is convicted of a criminal offense relating to a state grant agreement;
or
new text end

new text begin (2) the agency entering into the grant agreement or the commissioner of administration
determines that the grant recipient is under investigation by a federal agency, a state agency,
or a local law enforcement agency for matters relating to administration of a state grant.
new text end

Sec. 33.

Minnesota Statutes 2016, section 16E.016, is amended to read:


16E.016 RESPONSIBILITY FOR INFORMATION TECHNOLOGY SERVICES
AND EQUIPMENT.

(a) The chief information officer is responsible for providing or entering into managed
services contracts for the provision, improvement, and development of the following
information technology systems and services to state agencies:

(1) state data centers;

(2) mainframes including system software;

(3) servers including system software;

(4) desktops including system software;

(5) laptop computers including system software;

(6) a data network including system software;

(7) database, electronic mail, office systems, reporting, and other standard software
tools;

(8) business application software and related technical support services;

(9) help desk for the components listed in clauses (1) to (8);

(10) maintenance, problem resolution, and break-fix for the components listed in clauses
(1) to (8);

(11) regular upgrades and replacement for the components listed in clauses (1) to (8);
and

(12) network-connected output devices.

(b) All state agency employees whose work primarily involves functions specified in
paragraph (a) are employees of the Office of MN.IT Services. This includes employees who
directly perform the functions in paragraph (a), as well as employees whose work primarily
involves managing, supervising, or providing administrative services or support services
to employees who directly perform these functions. The chief information officer may assign
employees of the office to perform work exclusively for another state agency.

(c) Subject to sections 16C.08 and 16C.09, the chief information officer may allow a
state agency to obtain services specified in paragraph (a) through a contract with an outside
vendor when the chief information officer and the agency head agree that a contract would
provide best value, as defined in section 16C.02, under the service-level agreement. The
chief information officer must require that agency contracts with outside vendors ensure
that systems and services are compatible with standards established by the Office of MN.IT
Services.

deleted text begin (d) The Minnesota State Retirement System, the Public Employees Retirement
Association, the Teachers Retirement Association, the State Board of Investment, the
Campaign Finance and Public Disclosure Board, the State Lottery, and the Statewide Radio
Board are not state agencies for purposes of this section.
deleted text end

Sec. 34.

Minnesota Statutes 2016, section 16E.0466, is amended to read:


16E.0466 STATE AGENCY TECHNOLOGY PROJECTS.

new text begin Subdivision 1. new text end

new text begin Consultation required. new text end

(a) Every state agency with an information or
telecommunications project must consult with the Office of MN.IT Services to determine
the information technology cost of the project. Upon agreement between the commissioner
of a particular agency and the chief information officer, the agency must transfer the
information technology cost portion of the project to the Office of MN.IT Services. Service
level agreements must document all project-related transfers under this section. Those
agencies specified in section 16E.016, paragraph (d), are exempt from the requirements of
this section.

(b) Notwithstanding section 16A.28, subdivision 3, any unexpended operating balance
appropriated to a state agency may be transferred to the information and telecommunications
technology systems and services account for the information technology cost of a specific
project, subject to the review of the Legislative Advisory Commission, under section 16E.21,
subdivision 3
.

new text begin Subd. 2. new text end

new text begin Legislative report. new text end

new text begin No later than October 1, 2017, and quarterly thereafter, the
state chief information officer must submit a comprehensive project portfolio report to the
chairs and ranking minority members of the house of representatives and senate committees
with jurisdiction over state government finance on projects requiring consultation under
subdivision 1. The report must itemize:
new text end

new text begin (1) each project presented to the office for consultation in the time since the last report;
new text end

new text begin (2) the information technology cost associated with the project, including the information
technology cost as a percentage of the project's complete budget;
new text end

new text begin (3) the status of the information technology components of the project's development;
new text end

new text begin (4) the date the information technology components of the project are expected to be
complete; and
new text end

new text begin (5) the projected costs for ongoing support and maintenance of the information technology
components after the project is complete.
new text end

Sec. 35.

new text begin [43A.035] LIMIT ON NUMBER OF FULL-TIME EQUIVALENT
EMPLOYEES; USE OF AGENCY SAVINGS.
new text end

new text begin Subdivision 1. new text end

new text begin Number of full-time equivalent employees limited. new text end

new text begin The total number
of full-time equivalent employees employed in all executive branch agencies may not exceed
31,691. The commissioner of management and budget may forbid an executive agency from
hiring a new employee or from filling a vacancy as the commissioner determines necessary
to ensure compliance with this section. Any reductions in staff should prioritize protecting
client-facing health care workers, corrections officers, public safety workers, and mental
health workers. As a means of achieving compliance with this subdivision, the commissioner
may authorize an agency to provide an early retirement incentive to an executive branch
employee, under which the state will continue to make the employer contribution for health
insurance after the employee has terminated state service. The commissioner must prescribe
eligibility requirements and the maximum duration of the payments.
new text end

new text begin Subd. 2. new text end

new text begin Use of savings resulting from vacant positions. new text end

new text begin To the extent that an executive
branch agency accrues savings in personnel costs resulting from the departure of an agency
employee or the maintenance of a vacant position, those savings may only be used to support
a new employee in that position at an equal or lesser rate of compensation, and for an equal
or lesser full-time equivalent work status. Savings accrued from departed personnel or
maintenance of a vacant position may not be transferred or reallocated to another program
or activity within the executive branch agency, or used to increase the number of full-time
equivalent employees at the agency, unless expressly authorized by law.
new text end

new text begin Subd. 3. new text end

new text begin Definition. new text end

new text begin For purposes of this section, an "executive branch agency" does
not include the Minnesota State Colleges and Universities or statewide pension plans.
new text end

Sec. 36.

Minnesota Statutes 2016, section 43A.17, subdivision 11, is amended to read:


Subd. 11.

Severance pay for certain employees.

(a) For purposes of this subdivision,
"highly compensated employee" means an employee of the state whose estimated annual
compensation is greater than 60 percent of the governor's annual salary, and who is not
covered by a collective bargaining agreement negotiated under chapter 179A.

(b) Severance pay for a highly compensated employee includes benefits or compensation
with a quantifiable monetary value, that are provided for an employee upon termination of
employment and are not part of the employee's annual wages and benefits and are not
specifically excluded by this subdivision. Severance pay does not include payments for
accumulated vacation, accumulated sick leave, and accumulated sick leave liquidated to
cover the cost of group term insurance. Severance pay for a highly compensated employee
does not include payments of periodic contributions by an employer toward premiums for
group insurance policies. The severance pay for a highly compensated employee must be
excluded from retirement deductions and from any calculations of retirement benefits.
Severance pay for a highly compensated employee must be paid in a manner mutually
agreeable to the employee and the employee's appointing authority over a period not to
exceed five years from retirement or termination of employment. If a retired or terminated
employee dies before all or a portion of the severance pay has been disbursed, the balance
due must be paid to a named beneficiary or, lacking one, to the deceased's estate. Except
as provided in paragraph (c), severance pay provided for a highly compensated employee
leaving employment may not exceed deleted text begin an amount equivalent to six months of paydeleted text end new text begin the lesser
of:
new text end

new text begin (1) six months pay; or
new text end

new text begin (2) the highly compensated employee's regular rate of pay multiplied by 35 percent of
the highly compensated employee's accumulated but unused sick leave hours
new text end .

(c) Severance pay for a highly compensated employee may exceed deleted text begin an amount equivalent
to six months of pay
deleted text end new text begin the limit prescribed in paragraph (b)new text end if the severance pay is part of an
early retirement incentive offer approved by the state and the same early retirement incentive
offer is also made available to all other employees of the appointing authority who meet
generally defined criteria relative to age or length of service.

new text begin (d) An appointing authority may make severance payments to a highly compensated
employee, up to the limits prescribed in this subdivision, only if doing so is authorized by
a compensation plan under section 43A.18 that governs the employee, provided that the
following highly compensated employees are not eligible for severance pay:
new text end

new text begin (1) a commissioner, deputy commissioner, or assistant commissioner of any state
department or agency as listed in section 15.01 or 15.06, including the state chief information
officer; and
new text end

new text begin (2) any unclassified employee who is also a public official, as defined in section 10A.01,
subdivision 35.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 37.

Minnesota Statutes 2016, section 43A.24, is amended by adding a subdivision to
read:


new text begin Subd. 1a. new text end

new text begin Opt out. new text end

new text begin (a) An individual eligible for state-paid hospital, medical, and dental
benefits under this section has the right to decline those benefits, provided the individual
declining the benefits can prove health insurance coverage from another source. Any
individual declining benefits must do so in writing, signed and dated, on a form provided
by the commissioner.
new text end

new text begin (b) The commissioner must create and make available in hard copy and online a form
for individuals to use in declining state-paid hospital, medical, and dental benefits. The form
must, at a minimum, include notice to the declining individual of the next available
opportunity and procedure to re-enroll in the benefits.
new text end

Sec. 38.

new text begin [118A.09] ADDITIONAL LONG-TERM EQUITY INVESTMENT
AUTHORITY.
new text end

new text begin Subdivision 1. new text end

new text begin Definition; qualifying government. new text end

new text begin "Qualifying government" means:
new text end

new text begin (1) a county or statutory or home rule charter city with a population of more than 100,000;
new text end

new text begin (2) a county or statutory or home rule charter city which had its most recently issued
general obligation bonds rated in the highest category by a national bond rating agency; or
new text end

new text begin (3) a self-insurance pool listed in section 471.982, subdivision 3.
new text end

new text begin A county or statutory or home rule charter city with a population of 100,000 or less that is
a qualifying government, but is subsequently rated less than the highest category by a
national bond rating agency on a general obligation bond issue, may not invest additional
funds under this section but may continue to manage funds previously invested under
subdivision 2.
new text end

new text begin Subd. 2. new text end

new text begin Additional investment authority. new text end

new text begin Qualifying governments may invest the
amount described in subdivision 3:
new text end

new text begin (1) in index mutual funds based in the United States and indexed to a broad market
United States equity index; or
new text end

new text begin (2) with the Minnesota State Board of Investment subject to such terms and minimum
amounts as may be adopted by the board. Index mutual fund investments must be made
directly with the main sales office of the fund.
new text end

new text begin Subd. 3. new text end

new text begin Funds. new text end

new text begin (a) Qualifying governments may only invest under subdivision 2
according to the limitations in this subdivision. A qualifying government under subdivision
1, clause (1) or (2), may only invest its funds that are held for long-term capital plans
authorized by the city council or county board, or long-term obligations of the qualifying
government. Long-term obligations of the qualifying government include long-term capital
plan reserves, funds held to offset long-term environmental exposure, other postemployment
benefit liabilities, compensated absences, and other long-term obligations established by
applicable accounting standards.
new text end

new text begin (b) Qualifying governments under subdivision 1, clause (1) or (2), may invest up to 15
percent of the sum of:
new text end

new text begin (1) unassigned cash;
new text end

new text begin (2) cash equivalents;
new text end

new text begin (3) deposits; and
new text end

new text begin (4) investments.
new text end

new text begin This calculation must be based on the qualifying government's most recent audited statement
of net position, which must be compliant and audited pursuant to governmental accounting
and auditing standards. Once the amount invested reaches 15 percent of the sum of
unassigned cash, cash equivalents, deposits, and investments, no further funds may be
invested under this section; however, a qualifying government may continue to manage the
funds previously invested under this section even if the total amount subsequently exceeds
15 percent of the sum of unassigned cash, cash equivalents, deposits, and investments.
new text end

new text begin (c) A qualified government under subdivision 1, clause (3), may invest up to the lesser
of:
new text end

new text begin (1) 15 percent of the sum of its cash, cash equivalents, deposits, and investments; or
new text end

new text begin (2) 25 percent of its net assets as reported on the pool's most recent audited statement
of net position, which must be compliant and audited pursuant to governmental accounting
and auditing standards.
new text end

new text begin Subd. 4. new text end

new text begin Approval. new text end

new text begin Before investing pursuant to this section, the governing body of the
qualifying government must adopt a resolution that includes the following statements:
new text end

new text begin (1) the governing body understands that investments under subdivision 2 have a risk of
loss;
new text end

new text begin (2) the governing body understands the type of funds that are being invested and the
specific investment itself; and
new text end

new text begin (3) the governing body certifies that all funds designated for investment through the
State Board of Investment meet the requirements of this section and the policies and
procedures established by the State Board of Investment.
new text end

new text begin Subd. 5. new text end

new text begin Public Employees Retirement Association to act as account administrator.
new text end

new text begin A qualifying government exercising authority under this section to invest amounts with the
State Board of Investment shall establish an account with the Public Employees Retirement
Association (PERA), which shall act as the account administrator.
new text end

new text begin Subd. 6. new text end

new text begin Purpose of account. new text end

new text begin The account established under subdivision 5 may only
be used for the purposes provided under subdivision 3. PERA may rely on representations
made by the qualifying government in exercising its duties as account administrator and
has no duty to further verify qualifications, use, or intended use of the funds that are invested
or withdrawn.
new text end

new text begin Subd. 7. new text end

new text begin Account maintenance. new text end

new text begin (a) A qualifying government may establish an account
to be held under the supervision of PERA for the purposes of investing funds with the State
Board of Investment under subdivision 2. PERA shall establish a separate account for each
qualifying government. PERA may charge participating qualifying governments a fee for
reasonable administrative costs. The amount of any fee charged by PERA is annually
appropriated to the association from the account. PERA may establish other reasonable
terms and conditions for creation and maintenance of these accounts.
new text end

new text begin (b) PERA must report to the qualifying government on the investment returns of invested
funds and on all investment fees or costs incurred by the account.
new text end

new text begin Subd. 8. new text end

new text begin Investment. new text end

new text begin (a) The assets of an account shall be invested and held as required
by this subdivision.
new text end

new text begin (b) PERA must certify all money in the accounts for which it is account administrator
to the State Board of Investment for investment under section 11A.14, subject to the policies
and procedures established by the State Board of Investment. Investment earnings must be
credited to the account of the individual qualifying government.
new text end

new text begin (c) For accounts invested by the State Board of Investment, the investment restrictions
shall be the same as those generally applicable to the State Board of Investment.
new text end

new text begin (d) A qualifying government may provide investment direction to PERA, subject to the
policies and procedures established by the State Board of Investment.
new text end

new text begin Subd. 9. new text end

new text begin Withdrawal of funds and termination of account. new text end

new text begin (a) A government may
withdraw some or all of its money or terminate the account.
new text end

new text begin (b) A government requesting withdrawal of money from an account created under this
section must do so at a time and in the manner required by the executive director of PERA,
subject to the policies and procedures established by the State Board of Investment.
new text end

Sec. 39.

Minnesota Statutes 2016, section 190.19, subdivision 2, is amended to read:


Subd. 2.

Uses.

(a) Money appropriated from the Minnesota "Support Our Troops" account
to the Department of Military Affairs may be used for:

(1) grants directly to eligible individuals;

(2) grants to one or more eligible foundations for the purpose of making grants to eligible
individuals, as provided in this section;

(3) veterans' services; or

(4) grants to family readiness groups chartered by the adjutant general.

(b) As used in paragraph (a), the term "eligible individual" includes any person who is:

(1) a member new text begin in good standing new text end of the Minnesota National Guard or a reserve unit based
in Minnesota deleted text begin who has been called to active service as defined in section 190.05, subdivision
5
deleted text end ;

(2) a Minnesota resident who is a member of a military reserve unit not based in
Minnesota, if the member is called to active service as defined in section 190.05, subdivision
5
;

(3) any other Minnesota resident performing active service for any branch of the military
of the United States;

(4) a person who new text begin honorably new text end served in one of the capacities listed in clause (1), (2), or
(3) who has current financial needs deleted text begin directly related to that servicedeleted text end ; and

(5) a member of the immediate family of an individual identified in clause (1), (2), (3),
or (4). For purposes of this clause, "immediate family" means the individual's spouse and
minor children and, if they are dependents of the member of the military, the member's
parents, grandparents, siblings, stepchildren, and adult children.

(c) As used in paragraph (a), the term "eligible foundation" includes any organization
that:

(1) is a tax-exempt organization under section 501(c)(3) of the Internal Revenue Code;

(2) has articles of incorporation under chapter 317A specifying the purpose of the
organization as including the provision of financial assistance to members of the Minnesota
National Guard and other United States armed forces reserves and their families and
survivors; and

(3) agrees in writing to distribute any grant money received from the adjutant general
under this section to eligible individuals as defined in this section and in accordance with
any written policies and rules the adjutant general may impose as conditions of the grant to
the foundation.

(d) The maximum grant awarded to an eligible individual under paragraph (a) in a
calendar year with funds from the Minnesota "Support Our Troops" account, either through
an eligible institution or directly from the adjutant general, may not exceed deleted text begin $2,000deleted text end new text begin $4,000new text end .

Sec. 40.

Minnesota Statutes 2016, section 190.19, subdivision 2a, is amended to read:


Subd. 2a.

Uses; veterans.

(a) Money appropriated to the Department of Veterans Affairs
from the Minnesota "Support Our Troops" account may be used for:

(1) grants to veterans service organizations;

(2) outreach to underserved veterans;

(3) providing services and programs for veterans and their families;

(4) transfers to the vehicle services account for Gold Star license plates under section
168.1253;

(5) grants of up to $100,000 to any organization approved by the commissioner of
veterans affairs for the purpose of supporting and improving the lives of veterans and their
families; deleted text begin and
deleted text end

(6) grants to an eligible foundationdeleted text begin .deleted text end new text begin ; and
new text end

new text begin (7) the agency's uncompensated burial costs for eligible dependents to whom the
commissioner grants a no-fee or reduced-fee burial in the state's veteran cemeteries pursuant
to section 197.236, subdivision 9, paragraph (b).
new text end

(b) For purposes of this subdivision, "eligible foundation" includes any organization
that:

(1) is a tax-exempt organization under section 501(c) of the Internal Revenue Code; and

(2) is a nonprofit corporation under chapter 317A and the organization's articles of
incorporation specify that a purpose of the organization includes: (i) providing assistance
to veterans and their families; or (ii) enhancing the lives of veterans and their families.

Sec. 41.

Minnesota Statutes 2016, section 196.05, subdivision 1, is amended to read:


Subdivision 1.

General duties.

The commissioner shall:

(1) act as the agent of a resident of the state having a claim against the United States for
benefits arising out of or by reason of service in the armed forces and prosecute the claim
without charge;

(2) act as custodian of veterans' bonus records;

(3) administer the laws relating to the providing of bronze flag holders at veterans' graves
for memorial purposes;

(4) administer the laws relating to recreational or rest camps for veterans so far as
applicable to state agencies;

(5) administer the state soldiers' assistance fund and veterans' relief fund and other funds
appropriated for the payment of bonuses or other benefits to veterans or for the rehabilitation
of veterans;

(6) cooperate with national, state, county, municipal, and private social agencies in
securing to veterans and their dependents the benefits provided by national, state, and county
laws, municipal ordinances, or public and private social agencies;

(7) provide necessary assistance where other adequate aid is not available to the dependent
family of a veteran while the veteran is hospitalized and after the veteran is released for as
long a period as is necessary as determined by the commissioner;

(8) cooperate with United States governmental agencies providing compensation,
pensions, insurance, or other benefits provided by federal law, by supplementing the benefits
prescribed therein, when conditions in an individual case make it necessary;

(9) assist dependent family members of military personnel who are called from reserve
status to extended federal active duty during a time of war or national emergency through
the state soldiers' assistance fund provided by section 197.03;

(10) exercise other powers as may be authorized and necessary to carry out the provisions
of this chapter and chapter 197, consistent with that chapter; deleted text begin and
deleted text end

(11) provide information, referral, and counseling services to those veterans who may
have suffered adverse health conditions as a result of possible exposure to chemical agentsdeleted text begin .deleted text end new text begin ;
and
new text end

new text begin (12) in coordination with the Minnesota Association of County Veterans Service Officers,
develop a written disclosure statement for use by private providers of veterans benefits
services as required under section 197.6091. At a minimum, the written disclosure statement
shall include a signature line, contact information for the department, and a statement that
veterans benefits services are offered at no cost by federally chartered veterans service
organizations and by county veterans service officers.
new text end

Sec. 42.

Minnesota Statutes 2016, section 197.236, subdivision 9, is amended to read:


Subd. 9.

Burial fees.

new text begin (a) new text end The commissioner of veterans affairs shall establish a fee
schedule, which may be adjusted from time to time, for the interment of eligible spouses
and dependent children. The fees shall cover as nearly as practicable the actual costs of
interment, excluding the value of the plot.

new text begin (b) Upon application,new text end the commissioner may waive new text begin or reduce new text end the new text begin burial new text end fee deleted text begin in the case
of
deleted text end new text begin fornew text end an indigent eligible person.new text begin The commissioner shall develop a policy, eligibility
standards, and application form for requests to waive or reduce the burial fee to indigent
eligible applicants.
new text end

new text begin (c) new text end No plot or interment fees may be charged for the burial of service members who die
on active duty or eligible veterans, as defined in United States Code, title 38, section 101,
paragraph (2).

Sec. 43.

new text begin [197.6091] VETERANS BENEFITS SERVICES; DISCLOSURE
REQUIREMENTS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b)(1) "Advertising" or "advertisement" means any of the following:
new text end

new text begin (i) any written or printed communication made for the purpose of soliciting business for
veterans benefits appeal services, including but not limited to a brochure, letter, pamphlet,
newspaper, telephone listing, periodical, or other writing;
new text end

new text begin (ii) any directory listing caused or permitted by a person and made available by that
person indicating that veterans benefits appeal services are being offered; or
new text end

new text begin (iii) any radio, television, computer network, or similar airwave or electronic transmission
that solicits business for or promotes a person offering veterans benefits appeal services.
new text end

new text begin (2) "Advertising" or "advertisement" does not include any of the following:
new text end

new text begin (i) any printing or writing used on buildings, uniforms, or badges, where the purpose of
the writing is for identification; or
new text end

new text begin (ii) any printing or writing in a memorandum or other communication used in the ordinary
course of business where the sole purpose of the writing is other than soliciting business
for veterans benefits appeal services.
new text end

new text begin (c) "Veterans benefits appeal services" means services that a veteran might reasonably
require in order to appeal a denial of federal or state veterans benefits, including but not
limited to denials of disability, limited income, home loan, insurance, education and training,
burial and memorial, and dependent and survivor benefits.
new text end

new text begin (d) "Veterans benefits services" means services that a veteran or a family member of a
veteran might reasonably use in order to obtain federal, state, or county veterans benefits.
new text end

new text begin (e) "Written disclosure statement" means the written disclosure statement developed by
the commissioner of veterans affairs pursuant to section 196.05, subdivision 1.
new text end

new text begin Subd. 2. new text end

new text begin Advertising disclosure requirements. new text end

new text begin A person advertising veterans benefits
appeal services must conspicuously disclose in the advertisement, in similar type size or
voice-over, that veterans benefits appeal services are also offered at no cost by county
veterans service officers under sections 197.603 and 197.604.
new text end

new text begin Subd. 3. new text end

new text begin Veterans benefits services disclosure requirements. new text end

new text begin A person who provides
veterans benefits services in exchange for compensation shall provide a written disclosure
statement to each client or prospective client. Before a person enters into an agreement to
provide veterans benefits services or accepts money or any other thing of value for the
provision of veterans benefits services, the person must obtain the signature of the client
on a written disclosure statement containing an attestation by the client that the client has
read and understands the written disclosure statement.
new text end

new text begin Subd. 4. new text end

new text begin Violations; penalties. new text end

new text begin A person who fails to comply with this section is subject
to a civil penalty not to exceed $1,000 for each violation. Civil penalties shall be assessed
by the district court in an action initiated by the attorney general. For the purposes of
computing the amount of each civil penalty, each day of a continuing violation constitutes
a separate violation. Additionally, the attorney general may accept a civil penalty as
determined by the attorney general in settlement of an investigation of a violation of this
section regardless of whether an action has been filed under this section. Any civil penalty
recovered shall be deposited in the Support Our Troops account established under section
190.19.
new text end

new text begin Subd. 5. new text end

new text begin Nonapplicability. new text end

new text begin This section does not apply to the owner or personnel of any
medium in which an advertisement appears or through which an advertisement is
disseminated.
new text end

Sec. 44.

Minnesota Statutes 2016, section 197.791, subdivision 2, is amended to read:


Subd. 2.

Program established.

The Minnesota GI Bill program is established to provide
postsecondary educational assistancenew text begin , apprenticeship and on-the-job training benefits, and
other professional and educational benefits
new text end to eligible Minnesota veterans and to the children
and spouses of deceased and severely disabled Minnesota veterans.

The commissioner, in cooperation with eligible postsecondary educational institutions,
shall administer the program for the purpose of providing postsecondary educational
assistance to eligible persons in accordance with this section. Each public postsecondary
educational institution in the state must participate in the program and each private
postsecondary educational institution in the state is encouraged to participate in the program.
Any participating private institution may suspend or terminate its participation in the program
at the end of any semester or other academic term.

Sec. 45.

Minnesota Statutes 2016, section 197.791, subdivision 3, is amended to read:


Subd. 3.

Duties; responsibilities.

(a) The commissioner shall establish policies and
procedures including, but not limited to, procedures for student application record keeping,
information sharing, payment of educational assistance benefitsnew text begin under subdivision 5, payment
of apprenticeship or on-the-job training benefits under subdivision 5a, payment of other
educational or professional benefits under subdivision 5
new text end , and other procedures the
commissioner considers appropriate and necessary for effective and efficient administration
of the program established in this section.

(b) The commissioner may delegate part or all of the administrative procedures for the
program to responsible representatives of participating eligible institutions. The commissioner
may execute an interagency agreement with the Minnesota Office of Higher Education for
services the commissioner determines necessary to administer the program.

Sec. 46.

Minnesota Statutes 2016, section 197.791, subdivision 4, is amended to read:


Subd. 4.

Eligibility.

(a) A person is eligible for educational assistance under deleted text begin this sectiondeleted text end new text begin
subdivisions 5 and 5a
new text end if:

(1) the person is:

(i) a veteran who is serving or has served honorably in any branch or unit of the United
States armed forces at any time;

(ii) a nonveteran who has served honorably for a total of five years or more cumulatively
as a member of the Minnesota National Guard or any other active or reserve component of
the United States armed forces, and any part of that service occurred on or after September
11, 2001;

(iii) the surviving spouse or child of a person who has served in the military and who
has died as a direct result of that military service, only if the surviving spouse or child is
eligible to receive federal education benefits under United States Code, title 38, chapter 33,
as amended, or United States Code, title 38, chapter 35, as amended; or

(iv) the spouse or child of a person who has served in the military at any time and who
has a total and permanent service-connected disability as rated by the United States Veterans
Administration, only if the spouse or child is eligible to receive federal education benefits
under United States Code, title 38, chapter 33, as amended, or United States Code, title 38,
chapter 35, as amended; and

(2) the person receiving the educational assistance is a Minnesota resident, as defined
in section 136A.101, subdivision 8; and

(3) the person receiving the educational assistance:

(i) is an undergraduate or graduate student at an eligible institution;

(ii) is maintaining satisfactory academic progress as defined by the institution for students
participating in federal Title IV programs;

(iii) is enrolled in an education program leading to a certificate, diploma, or degree at
an eligible institution;

(iv) has applied for educational assistance under this section prior to the end of the
academic term for which the assistance is being requested;

(v) is in compliance with child support payment requirements under section 136A.121,
subdivision 2
, clause (5); and

(vi) has completed the Free Application for Federal Student Aid (FAFSA).

(b) A person's eligibility terminates when the person becomes eligible for benefits under
section 135A.52.

(c) To determine eligibility, the commissioner may require official documentation,
including the person's federal form DD-214 or other official military discharge papers;
correspondence from the United States Veterans Administration; birth certificate; marriage
certificate; proof of enrollment at an eligible institution; signed affidavits; proof of residency;
proof of identity; or any other official documentation the commissioner considers necessary
to determine eligibility.

(d) The commissioner may deny eligibility or terminate benefits under this section to
any person who has not provided sufficient documentation to determine eligibility for the
program. An applicant may appeal the commissioner's eligibility determination or termination
of benefits in writing to the commissioner at any time. The commissioner must rule on any
application or appeal within 30 days of receipt of all documentation that the commissioner
requires. The decision of the commissioner regarding an appeal is final. However, an
applicant whose appeal of an eligibility determination has been rejected by the commissioner
may submit an additional appeal of that determination in writing to the commissioner at
any time that the applicant is able to provide substantively significant additional information
regarding the applicant's eligibility for the program. An approval of an applicant's eligibility
by the commissioner following an appeal by the applicant is not retroactively effective for
more than one year or the semester of the person's original application, whichever is later.

(e) Upon receiving an application with insufficient documentation to determine eligibility,
the commissioner must notify the applicant within 30 days of receipt of the application that
the application is being suspended pending receipt by the commissioner of sufficient
documentation from the applicant to determine eligibility.

Sec. 47.

Minnesota Statutes 2016, section 197.791, subdivision 5, is amended to read:


Subd. 5.

deleted text begin Benefitdeleted text end new text begin Educational assistancenew text end amount.

(a) On approval by the commissioner
of eligibility for the program, the applicant shall be awarded, on a funds-available basis,
the educational assistance under the program for use at any time according to program rules
at any eligible institution.

(b) The amount of educational assistance in any semester or term for an eligible person
must be determined by subtracting from the eligible person's cost of attendance the amount
the person received or was eligible to receive in that semester or term from:

(1) the federal Pell Grant;

(2) the state grant program under section 136A.121; and

(3) any federal military or veterans educational benefits including but not limited to the
Montgomery GI Bill, GI Bill Kicker, the federal tuition assistance program, vocational
rehabilitation benefits, and any other federal benefits associated with the person's status as
a veteran, except veterans disability payments from the United States Veterans Administration
and payments made under the Veterans Retraining Assistance Program (VRAP).

(c) The amount of educational assistance for any eligible person who is a full-time
student must not exceed the following:

deleted text begin (1) $1,000 per semester or term of enrollment;
deleted text end

deleted text begin (2)deleted text end new text begin (1)new text end $3,000 per state fiscal year; and

deleted text begin (3)deleted text end new text begin (2)new text end $10,000 in a lifetime.

new text begin (d) A person eligible under this subdivision may use the benefit amounts for the following
purposes:
new text end

new text begin (1) licensing or certification tests, the successful completion of which demonstrates an
individual's possession of the knowledge or skill required to enter into, maintain, or advance
in employment in a predetermined and identified vocation or profession, provided that the
tests and the licensing or credentialing organizations or entities that offer the tests are
approved by the commissioner;
new text end

new text begin (2) tests for admission to institutions of higher learning or graduate schools;
new text end

new text begin (3) national tests providing an opportunity for course credit at institutions of higher
learning;
new text end

new text begin (4) a preparatory course for a test that is required or used for admission to an institution
of higher education or a graduate program; and
new text end

new text begin (5) any fee associated with the pursuit of a professional or educational objective specified
in clauses (1) to (4).
new text end

new text begin (e) If an eligible person receives benefits under subdivision 5, the eligible person's
aggregate benefits under this subdivision and subdivision 5 must not exceed $10,000 in the
eligible person's lifetime.
new text end

new text begin (f) If an eligible person receives benefits under subdivision 5a, the eligible person's
aggregate benefits under this subdivision and subdivision 5a must not exceed $10,000 in
the eligible person's lifetime.
new text end

For a part-time student, the amount of educational assistance must not exceed $500 per
semester or term of enrollment. For the purpose of this paragraph, a part-time undergraduate
student is a student taking fewer than 12 credits or the equivalent for a semester or term of
enrollment and a part-time graduate student is a student considered part time by the eligible
institution the graduate student is attending. The minimum award for undergraduate and
graduate students is $50 per term.

Sec. 48.

Minnesota Statutes 2016, section 197.791, subdivision 5a, is amended to read:


Subd. 5a.

Apprenticeship and on-the-job training.

(a) The commissioner, in
consultation with the commissioners of employment and economic development and labor
and industry, shall develop and implement an apprenticeship and on-the-job training program
to administer a portion of the Minnesota GI Bill program to pay benefit amounts to eligible
deleted text begin applicantsdeleted text end new text begin personsnew text end , as provided in this subdivision.

(b) An "eligible employer" means an employer operating a qualifying apprenticeship or
on-the-job training program that has been approved by the commissioner.

(c) A person is eligible for apprenticeship and on-the-job training assistance under this
subdivision if the person meets the criteria established under subdivision 4, deleted text begin paragraphsdeleted text end new text begin
paragraph
new text end (a)deleted text begin , clause (1), and (c) to (e)deleted text end . new text begin The commissioner may determine eligibility as
provided in subdivision 4, paragraph (c), and may deny or terminate benefits as prescribed
under subdivision 4, paragraphs (d) and (e).
new text end The amount of assistance paid to or on behalf
of an eligible individual under this subdivision must not exceed the following:

(1) deleted text begin $2,000deleted text end new text begin $3,000new text end per fiscal year for apprenticeship expenses;

(2) deleted text begin $2,000deleted text end new text begin $3,000new text end per fiscal year for on-the-job training;

(3) $1,000 for a job placement credit payable to an eligible employer upon hiring new text begin and
completion of six consecutive months' employment of
new text end a person receiving assistance under
this subdivision; and

(4) $1,000 for a job placement credit payable to an eligible employer after a person
receiving assistance under this subdivision has been employed by the eligible employer for
at least 12 consecutive months as a full-time employee.

No more than deleted text begin $3,000deleted text end new text begin $5,000new text end in aggregate benefits under this paragraph may be paid to or
on behalf of an individual in one fiscal year, and not more than deleted text begin $9,000deleted text end new text begin $10,000new text end in aggregate
benefits under this paragraph may be paid to or on behalf of an individual over any period
of time.

(d) Assistance for apprenticeship expenses and on-the-job training is available for
qualifying programs, which must, at a minimum, meet the following criteria:

(1) the training must be with an eligible employer;

(2) the training must be documented and reported;

(3) the training must reasonably be expected to lead to an entry-level position; and

(4) the position must require at least six months of training to become fully trained.

Sec. 49.

Minnesota Statutes 2016, section 270C.13, subdivision 1, is amended to read:


Subdivision 1.

Biennial report.

The commissioner shall report to the legislature by
March 1 of each odd-numbered year on the overall incidence of the income tax, sales and
excise taxes, and property tax. The report shall present information on the distribution of
the tax burden as follows: (1) for the overall income distribution, using a systemwide
incidence measure such as the Suits index or other appropriate measures of equality and
inequality; (2) by income classes, including at a minimum deciles of the income distribution;
and (3) by other appropriate taxpayer characteristics.new text begin The report must also include information
on the distribution of the burden of federal taxes borne by Minnesota residents.
new text end

Sec. 50.

new text begin [270C.303] FREE ELECTRONIC FILING OF INDIVIDUAL INCOME
TAX RETURNS.
new text end

new text begin (a) The commissioner must develop and implement a system for the secure electronic
filing of individual income tax returns and payment of individual income tax liabilities on
the department's Web site at no cost. The system must allow for filing of individual returns
by individuals and also by tax preparers.
new text end

new text begin (b) The system must automatically populate returns with taxpayer data available to the
commissioner including but not limited to wage data received from one or more employers,
state income tax withheld by one or more employers, and additional taxes owed to the state
or refund owed to the taxpayer.
new text end

new text begin (c) The system must be available:
new text end

new text begin (1) by January 15, 2019, for the filing and payment of tax year 2018 individual income
taxes of filers with income only from wages, fewer than five dependents, and federal adjusted
gross income less than $200,000 for married couples filing joint returns, and less than
$100,000 for all other filers; and
new text end

new text begin (2) by January 15, 2020, for the filing and payment of tax year 2019 individual income
taxes of filers with income only from wages, Social Security benefits, interest, dividends,
individual retirement account distributions and pensions, fewer than five dependents, and
federal adjusted gross income less than $200,000 for married couples filing joint returns,
and less than $100,000 for all other filers.
new text end

new text begin (d) For purposes of this section, "federal adjusted gross income" has the meaning given
in section 62 of the Internal Revenue Code. Other terms have the meanings given in chapter
290.
new text end

new text begin (e) By September 15 of each year, beginning in 2019, the commissioner must provide
a report to the chairs and ranking minority members of the house of representatives and
senate committees with jurisdiction over taxes, in compliance with sections 3.195 and 3.197.
The report must include statistics on usage of the free electronic filing system required in
this section; ways in which the commissioner could expand the system, including draft
legislation if needed for system expansion; and any other information the commissioner
considers relevant.
new text end

Sec. 51.

Minnesota Statutes 2016, section 353.27, subdivision 3c, is amended to read:


Subd. 3c.

Former MERF members; member and employer contributions.

(a) For
the period July 1, 2015, through December 31, 2031, the member contributions for former
members of the Minneapolis Employees Retirement Fund and by the former Minneapolis
Employees Retirement Fund-covered employing units are governed by this subdivision.

(b) The member contribution for a public employee who was a member of the former
Minneapolis Employees Retirement Fund on June 29, 2010, is 9.75 percent of the salary of
the employee.

(c) The employer regular contribution with respect to a public employee who was a
member of the former Minneapolis Employees Retirement Fund on June 29, 2010, is 9.75
percent of the salary of the employee.

(d) deleted text begin For calendar years 2015 and 2016,deleted text end The new text begin annual new text end employer supplemental contribution
is the employing unit's share of $31,000,000. deleted text begin For calendar years 2017 through 2031, the
employer supplemental contribution is the employing unit's share of $21,000,000.
deleted text end

(e) Each employing unit's share under paragraph (d) is the amount determined from an
allocation between each employing unit in the portion equal to the unit's employer
supplemental contribution paid or payable under Minnesota Statutes 2012, section 353.50,
during calendar year 2014.

(f) The employer supplemental contribution amount under paragraph (d) for calendar
year 2015 must be invoiced by the executive director of the Public Employees Retirement
Association by July 1, 2015. The calendar year 2015 payment is payable in a single amount
on or before September 30, 2015. For subsequent calendar years, the employer supplemental
contribution under paragraph (d) must be invoiced on January 31 of each year and is payable
in two parts, with the first half payable on or before July 31 and with the second half payable
on or before December 15. Late payments are payable with compound interest at the rate
of 0.71 percent per month for each month or portion of a month that has elapsed after the
due date.

(g) The employer supplemental contribution under paragraph (d) terminates on December
31, 2031.

Sec. 52.

Minnesota Statutes 2016, section 353.505, is amended to read:


353.505 STATE CONTRIBUTIONS; FORMER MERF DIVISION.

(a) On September 15, 2015, deleted text begin anddeleted text end September 15, 2016,new text begin and annually thereafter,new text end the state
shall pay to the general employees retirement plan of the Public Employees Retirement
Association, with respect to the former MERF division, $6,000,000. deleted text begin By September 15 of
each year after 2016, the state shall pay to the general employees retirement plan of the
Public Employees Retirement Association, with respect to the former MERF division,
$16,000,000.
deleted text end

(b) State contributions under this section end on September 15, 2031.

Sec. 53.

Minnesota Statutes 2016, section 471.6161, subdivision 8, is amended to read:


Subd. 8.

School districts; group health insurance coverage.

(a) Any entity providing
group health insurance coverage to a school district must provide the school district with
school district-specific nonidentifiable aggregate claims records for the most recent 24
months within 30 days of the request.

(b) School districts shall request proposals for group health insurance coverage as
provided in subdivision 2 from a minimum of three potential sources of coverage. deleted text begin One of
these requests must go to an administrator governed by chapter 43A.
deleted text end Entities referenced in
subdivision 1 must respond to requests for proposals received directly from a school district.
School districts that are self-insured must also follow these provisions, except as provided
in paragraph (f). School districts must make requests for proposals at least 150 days prior
to the expiration of the existing contract but not more frequently than once every 24 months.
The request for proposals must include the most recently available 24 months of
nonidentifiable aggregate claims data. The request for proposals must be publicly released
at or prior to its release to potential sources of coverage.

(c) School district contracts for group health insurance must not be longer than deleted text begin twodeleted text end new text begin fournew text end
years deleted text begin unless the exclusive representative of the largest employment group and the school
district agree otherwise
deleted text end .

(d) All initial proposals shall be sealed upon receipt until they are all opened no less
than 90 days prior to the plan's renewal date in the presence of up to three representatives
selected by the exclusive representative of the largest group of employees. Section 13.591,
subdivision 3
, paragraph (b), applies to data in the proposals. The representatives of the
exclusive representative must maintain the data according to this classification and are
subject to the remedies and penalties under sections 13.08 and 13.09 for a violation of this
requirement.

(e) A school district, in consultation with the same representatives referenced in paragraph
(d), may continue to negotiate with any entity that submitted a proposal under paragraph
(d) in order to reduce costs or improve services under the proposal. Following the negotiations
any entity that submitted an initial proposal may submit a final proposal incorporating the
negotiations, which is due no less than 75 days prior to the plan's renewal date. All the final
proposals submitted must be opened at the same time in the presence of up to three
representatives selected by the exclusive representative of the largest group of employees.
Notwithstanding section 13.591, subdivision 3, paragraph (b), following the opening of the
final proposals, all the proposals, including any made under paragraph (d), and other data
submitted in connection with the proposals are public data. The school district may choose
from any of the initial or final proposals without further negotiations and in accordance
with subdivision 5, but not sooner than 15 days after the proposals become public data.

(f) School districts that are self-insured shall follow all of the requirements of this section,
except that:

(1) their requests for proposals may be for third-party administrator services, where
applicable;

(2) these requests for proposals must be from a minimum of three different sources,
which may include both entities referenced in subdivision 1 and providers of third-party
administrator services;

deleted text begin (3) for purposes of fulfilling the requirement to request a proposal for group insurance
coverage from an administrator governed by chapter 43A, self-insured districts are not
required to include in the request for proposal the coverage to be provided;
deleted text end

deleted text begin (4) a district that is self-insured on or before the date of enactment, or that is self-insured
with more than 1,000 insured lives, or a district in which the school board adopted a motion
on or before May 14, 2014, to approve a self-insured health care plan to be effective July
1, 2014, may, but need not, request a proposal from an administrator governed by chapter
43A;
deleted text end

deleted text begin (5)deleted text end new text begin (3)new text end requests for proposals must be sent to providers no less than 90 days prior to the
expiration of the existing contract; and

deleted text begin (6)deleted text end new text begin (4)new text end proposals must be submitted at least 60 days prior to the plan's renewal date and
all proposals shall be opened at the same time and in the presence of the exclusive
representative, where applicable.

(g) Nothing in this section shall restrict the authority granted to school district boards
of education by section 471.59deleted text begin , except that districts will not be considered self-insured for
purposes of this subdivision solely through participation in a joint powers arrangement
deleted text end .

(h) An entity providing group health insurance to a school district under a multiyear
contract must give notice of any rate or plan design changes applicable under the contract
at least 90 days before the effective date of any change. The notice must be given to the
school district and to the exclusive representatives of employees.

new text begin (i) The exclusive representative of the largest group of employees shall comply with
this subdivision and must not exercise any of their abilities under section 43A.316,
subdivision 5, notwithstanding anything contained in that section, or any other law to the
contrary.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 54.

Minnesota Statutes 2016, section 471.617, subdivision 2, is amended to read:


Subd. 2.

Jointly.

Any two or more statutory or home rule charter cities, counties, school
districts, or instrumentalities thereof which together have more than 100 employees may
jointly self-insure for any employee health benefits including long-term disability, but not
for employee life benefits, subject to the same requirements as an individual self-insurer
under subdivision 1. Self-insurance pools under this section are subject to section 62L.045.
A self-insurance pool established and operated by one or more service cooperatives governed
by section 123A.21 to provide coverage described in this subdivision qualifies under this
subdivisiondeleted text begin , but the individual school district members of such a pool shall not be considered
to be self-insured for purposes of section 471.6161, subdivision 8, paragraph (f)
deleted text end . The
commissioner of commerce may adopt rules pursuant to chapter 14, providing standards or
guidelines for the operation and administration of self-insurance pools.

new text begin EFFECTIVE DATE. new text end

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

Sec. 55.

Minnesota Statutes 2016, section 508.12, subdivision 1, is amended to read:


Subdivision 1.

Examiner and deputy examiner.

The judges of the district court shall
appoint a competent attorney in each county within their respective districts to be an examiner
of titles and legal adviser to the registrar in said county, to which examiner all applications
to register title to land are referred without further order, and may appoint attorneys to serve
as deputy examiners who shall act in the name of the examiner and under the examiner's
supervision and control, and the deputy's acts shall be the acts of the examiners. The examiner
of titles and deputy examiners shall hold office subject to the will and discretion of the
district court by whom appointed. The examiner's compensation and that of the examiner's
deputies shall be fixed and determined by the court and paid in the same manner as the
compensation of other county employees is paid except that in all counties having fewer
than 75,000 inhabitants, and in Stearns, Dakota, Scott, Wright,new text begin Sherburne,new text end and Olmsted
Counties the fees and compensation of the examiners for services as legal adviser to the
registrar shall be determined by the judges of the district court and paid in the same manner
as the compensation of other county employees is paid, but in every other instance shall be
paid by the person applying to have the person's title registered or for other action or relief
which requires the services, certification or approval of the examiner.

Sec. 56.

Minnesota Statutes 2016, section 518A.79, is amended by adding a subdivision
to read:


new text begin Subd. 3a. new text end

new text begin Open meetings. new text end

new text begin Except as otherwise provided in this section, the task force
is subject to chapter 13D. A meeting of the task force occurs when a quorum is present and
the members receive information, discuss, or take action on any matter relating to the duties
of the task force. The task force may conduct meetings as provided in section 13D.015 or
13D.02. The task force may conduct meetings at any location in the state that is appropriate
for the purposes of the task force as long as the location is open and accessible to the public.
For legislative members of the task force, enforcement of this subdivision is governed by
section 3.055, subdivision 2. For nonlegislative members of the task force, enforcement of
this subdivision is governed by section 13D.06, subdivisions 1 and 2.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2018.
new text end

Sec. 57. new text begin COMMISSIONER OF REVENUE TO DETERMINE ADEQUACY OF
CURRENT RULES AND VALUATION PRACTICES FOR STATE-ASSESSED
PIPELINES.
new text end

new text begin The commissioner of revenue must review all current rules and practices relating to the
valuation of pipeline companies that are assessed by the state. The commissioner must
determine whether current rules and practices provide accurate estimates of market value.
By February 1, 2018, the commissioner must prepare testimony for the house of
representatives and senate committees having jurisdiction over property taxes recommending
changes to the rules and practices to provide more accurate assessments and reduce the
number and amount of judgments against the state and counties for state-assessed pipeline
property.
new text end

Sec. 58. new text begin FREE ELECTRONIC FILING OF INDIVIDUAL INCOME TAX
RETURNS; PILOT PROGRAM.
new text end

new text begin (a) The commissioner must conduct a pilot program to test the free electronic filing
requirement in Minnesota Statutes, section 270C.303. The pilot program must operate at
no fewer than three taxpayer assistance sites that receive grants under Minnesota Statutes,
section 270C.21. At least one of the pilot program sites must be in the seven-county
metropolitan area, and at least one must be in greater Minnesota. The pilot program system
must be available by January 15, 2018, for the filing and payment of tax year 2017 individual
income taxes of filers with income only from wages, fewer than five dependents, and federal
adjusted gross income less than $200,000 for married couples filing joint returns, and less
than $100,000 for all other filers.
new text end

new text begin (b) The system must automatically populate returns with taxpayer data available to the
commissioner including but not limited to W-2 data on wages and state income tax
withholding.
new text end

new text begin (c) For purposes of this section, "federal adjusted gross income" has the meaning given
in section 62 of the Internal Revenue Code. Other terms have the meanings given in
Minnesota Statutes, chapter 290.
new text end

new text begin (d) By August 15, 2018, the commissioner must report final statistics on usage of the
pilot program and on plans to implement tax year 2018 electronic filing as required in
Minnesota Statutes, section 270C.303. The report must comply with the requirements of
Minnesota Statutes, sections 3.195 and 3.197.
new text end

Sec. 59. new text begin INITIAL TRANSIT FINANCIAL ACTIVITY REPORTING.
new text end

new text begin (a) The first transit financial activity review and report submitted under Minnesota
Statutes, section 3.972, subdivision 4, must include financial information from the period
beginning on January 1, 2016, and through the end of the fiscal quarter immediately preceding
the date of the report.
new text end

new text begin (b) The legislative auditor must provide a copy of the review under paragraph (a) to
each county that is party to the joint powers agreement under Minnesota Statutes, section
297A.992.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 60. new text begin LIMIT ON EXPENDITURES FOR ADVERTISING.
new text end

new text begin During the fiscal years ending June 30, 2018, and June 30, 2019, an executive branch
agency's spending on advertising and promotions may not exceed 90 percent of the amount
the agency spent on advertising and promotions during the fiscal year ending June 30, 2016.
The commissioner of management and budget must ensure compliance with this limit and
may issue guidelines and policies to executive agencies. The commissioner may forbid an
agency from engaging in advertising as the commissioner determines necessary to ensure
compliance with this section. This section does not apply to the Minnesota Lottery, Explore
Minnesota Tourism, or the Minnesota State Colleges and Universities. Spending during the
biennium ending June 30, 2019, on advertising relating to a declared emergency, an
emergency, or a disaster, as those terms are defined in Minnesota Statutes, section 12.03,
is excluded for purposes of this section.
new text end

Sec. 61. new text begin OFFICE OF MN.IT SERVICES; PERFORMANCE OUTCOMES
REQUIRED.
new text end

new text begin Subdivision 1. new text end

new text begin Completion of agency consolidation. new text end

new text begin No later than December 31, 2018,
the state chief information officer must complete the executive branch information technology
consolidation required by Laws 2011, First Special Session chapter 10, article 4. The head
of any state agency subject to consolidation must assist the state chief information officer
as necessary to implement the requirements of this subdivision.
new text end

new text begin Subd. 2. new text end

new text begin Information technology efficiencies and solutions. new text end

new text begin No later than December
31, 2018, the state chief information officer shall:
new text end

new text begin (1) host at least 25 percent of all state agency servers on a public cloud solution;
new text end

new text begin (2) store at least 35 percent of all state agency data on a public cloud solution; and
new text end

new text begin (3) operate no more than six data centers statewide.
new text end

new text begin Subd. 3. new text end

new text begin Enterprise services; personnel efficiencies. new text end

new text begin No later than June 30, 2019, the
state chief information officer shall reduce the Office of MN.IT Services' total cost for
enterprise services personnel by at least $3,000,000.
new text end

new text begin Subd. 4. new text end

new text begin Legislative report; application consolidation. new text end

new text begin No later than January 1, 2018,
the state chief information officer must submit a report to the chairs and ranking minority
members of the house of representatives and senate committees with jurisdiction over state
government finance on the status of business application software consolidation across state
agencies. At a minimum, the report must describe the outcomes achieved to date, a plan
and timeline for continued consolidation of business application software with measurable
outcome goals, and recommendations, if any, on legislation necessary to facilitate
achievement of these goals.
new text end

Sec. 62. new text begin STATE AUDITOR LITIGATION EXPENSES; SCHEDULE OF CHARGES.
new text end

new text begin Subdivision 1. new text end

new text begin Litigation expenses; core functions of the state auditor. new text end

new text begin (a) Unless
funds are otherwise expressly provided by law for this purpose, all costs incurred by the
state auditor in preparing and asserting a civil claim or appeal, or in defending against a
civil claim or appeal, related to the proper exercise of the auditor's constitutionally authorized
core functions must be paid by the auditor's constitutional office division. Only allocations
made to the constitutional office division on or before January 1, 2017, may be used to pay
these costs.
new text end

new text begin (b) In complying with paragraph (a), the state auditor may not, directly or indirectly,
decrease allocations previously made to, transfer funds from, or otherwise reduce services
provided by any other division of the office.
new text end

new text begin Subd. 2. new text end

new text begin Schedule of charges. new text end

new text begin Notwithstanding Minnesota Statutes, section 6.581,
subdivision 3, or any other law to the contrary, the rates included in the state auditor's
schedule of charges for examinations conducted after June 30, 2017, must be no greater
than the rates included in the schedule of charges established for examinations conducted
in calendar year 2016.
new text end

Sec. 63. new text begin TRANSITION; STATE AUDITOR ENTERPRISE FUND.
new text end

new text begin Notwithstanding any law to the contrary, receipts received by the state auditor on or
after July 1, 2017, from examinations conducted by the state auditor under Minnesota
Statutes, chapter 6, must be credited to the general fund. Amounts in the state auditor
enterprise fund at the end of fiscal year 2017 are transferred to the general fund.
new text end

Sec. 64. new text begin LIMIT ON INCREASE IN MANAGERIAL COMPENSATION.
new text end

new text begin During the biennium ending June 30, 2019, an employee covered by the managerial
plan in Minnesota Statutes, section 43A.18, subdivision 3, may not be granted a percentage
increase in annual salary that exceeds the lesser of:
new text end

new text begin (1) the percentage increase in Minnesota median household income, as determined by
the American Community Survey compiled by the United States Bureau of the Census, for
the most recent 12-month period for which data is available; or
new text end

new text begin (2) the percentage increase in the Consumer Price Index, as determined by the United
States Bureau of Economic Analysis, for the most recent 12-month period for which data
is available.
new text end

Sec. 65. new text begin SALARY LIMIT.
new text end

new text begin Subdivision 1. new text end

new text begin Executive branch. new text end

new text begin (a) During the fiscal year ending June 30, 2018, the
aggregate amount spent by all executive branch agencies on employee salaries may not
exceed 101 percent of the aggregate amount these agencies spent on employee salaries in
the fiscal year ending June 30, 2017.
new text end

new text begin (b) During the fiscal year ending June 30, 2019, the aggregate amount spent by all
executive branch agencies on employee salaries may not exceed 103 percent of the aggregate
amount these agencies spent on employee salaries in the fiscal year ending June 30, 2017.
new text end

new text begin (c) For purposes of this section, "executive branch" has the meaning given in Minnesota
Statutes, section 43A.02, subdivision 22, and includes the Minnesota State Colleges and
Universities but not constitutional offices.
new text end

new text begin Subd. 2. new text end

new text begin Legislative branch. new text end

new text begin (a) During the fiscal year ending June 30, 2018, the amount
spent on employee salaries may not exceed 101 percent of the amount spent on these salaries
during the fiscal year ending June 30, 2017, for:
new text end

new text begin (1) the house of representatives;
new text end

new text begin (2) the senate; and
new text end

new text begin (3) the Legislative Coordinating Commission and all groups under its jurisdiction.
new text end

new text begin (b) During the fiscal year ending June 30, 2019, the amount spent on employee salaries
may not exceed 103 percent of the amount spent on these salaries during the fiscal year
ending June 30, 2017, for:
new text end

new text begin (1) the house of representatives;
new text end

new text begin (2) the senate; and
new text end

new text begin (3) the Legislative Coordinating Commission and all groups under its jurisdiction.
new text end

new text begin Each entity listed in this subdivision must be treated separately for purposes of
determining compliance, except that the Legislative Coordinating Commission and all
groups under its jurisdiction must be treated as one unit.
new text end

Sec. 66. new text begin REPEALER.
new text end

new text begin Subdivision 1. new text end

new text begin Campaign subsidy. new text end

new text begin Minnesota Statutes 2016, sections 10A.30; 10A.31,
subdivisions 1, 3, 3a, 4, 5, 5a, 6, 6a, 7, 7a, 10, 10a, 10b, and 11; 10A.315; 10A.321; 10A.322,
subdivisions 2 and 4; 10A.323; and 10A.324, subdivisions 1 and 3,
new text end new text begin and new text end new text begin Minnesota Rules,
parts 4503.1400, subparts 2, 3, 4, 5, 6, 7, 8, and 9; and 4503.1450,
new text end new text begin are repealed effective
July 1, 2017, and apply to elections held on or after that date. Money in the account under
Minnesota Statutes, section 10A.30, on June 30, 2017, cancels to the general fund, and
amounts designated under Minnesota Statutes, section 10A.31, on income tax and property
tax refund returns filed after June 30, 2017, are not effective and remain in the general fund.
new text end

new text begin Subd. 2. new text end

new text begin State auditor enterprise fund. new text end

new text begin Minnesota Statutes 2016, section 6.581,
subdivision 1,
new text end new text begin is repealed.
new text end

new text begin Subd. 3. new text end

new text begin Legislative commissions. new text end

new text begin Minnesota Statutes 2016, sections 3.886; and
161.1419,
new text end new text begin are repealed.
new text end

ARTICLE 3

STATE BUDGETING TECHNICAL

Section 1.

Minnesota Statutes 2016, section 15.0596, is amended to read:


15.0596 ADDITIONAL COMPENSATION FROM CONTINGENT FUND
PROHIBITED.

In all cases where the compensation of an officer of the state is fixed by law at a specified
sum, it shall be unlawful for any such officer or employee to receive additional compensation
for the performance of official services out of the contingent fund of the officer or the
department, and it shall be unlawful for the head of any department of the state government
to direct the payment of such additional compensation out of the contingent fund; and the
commissioner of management and budget is hereby prohibited from issuing a deleted text begin warrantdeleted text end new text begin
payment
new text end upon such contingent fund in payment of such additional compensation.

Every person offending against the provisions of this section shall be guilty of a
misdemeanor.

Sec. 2.

Minnesota Statutes 2016, section 15.191, subdivision 1, is amended to read:


Subdivision 1.

Emergency disbursements.

Imprest cash funds for the purpose of making
minor disbursements, providing for change, and providing employees with travel advances
or a portion or all of their payroll deleted text begin warrantdeleted text end where the deleted text begin warrantdeleted text end new text begin paymentnew text end has not been received
through the payroll system, may be established by state departments or agencies from
existing appropriations in the manner prescribed by this section.

Sec. 3.

Minnesota Statutes 2016, section 15.191, subdivision 3, is amended to read:


Subd. 3.

deleted text begin Warrantdeleted text end new text begin Paymentnew text end against designated appropriation.

Imprest cash funds
established under this section shall be created by deleted text begin warrant drawndeleted text end new text begin payment issuednew text end against the
appropriation designated by the commissioner of management and budget.

Sec. 4.

Minnesota Statutes 2016, section 16A.065, is amended to read:


16A.065 PREPAY SOFTWARE, SUBSCRIPTIONS, UNITED STATES
DOCUMENTS.

Notwithstanding section 16A.41, subdivision 1, the commissioner may allow an agency
to make advance deposits or payments for software or software maintenance services for
state-owned or leased electronic data processing equipment, for information technology
hosting services, for sole source maintenance agreements where it is not cost-effective to
pay in arrears, for exhibit booth space or boat slip rental when required by the renter to
guarantee the availability of space, for registration fees where advance payment is required
or advance payment discount is provided, deleted text begin anddeleted text end for newspaper, magazine, and other
subscription feesnew text begin , and other costs where advance payment discount is provided or arenew text end
customarily paid for in advance. The commissioner may also allow advance deposits by
any department with the Library of Congress and federal Supervisor of Documents for items
to be purchased from those federal agencies.

Sec. 5.

Minnesota Statutes 2016, section 16A.13, subdivision 2a, is amended to read:


Subd. 2a.

Procedure.

The commissioner shall see that the deduction for the withheld
tax is made from an employee's pay on the payroll abstract. The commissioner shall approve
one deleted text begin warrant payabledeleted text end new text begin paymentnew text end to the commissioner for the total amount deducted on the
abstract. Deductions from the pay of an employee paid direct by an agency shall be made
by the employee's payroll authority. A later deduction must correct an error made on an
earlier deduction. The paying authority shall see that a deleted text begin warrant or checkdeleted text end new text begin paymentnew text end for the
deductions is promptly sent to the commissioner. The commissioner shall deposit the amount
of the deleted text begin warrant or checkdeleted text end new text begin paymentnew text end to the credit of the proper federal authority or other person
authorized by federal law to receive it.

Sec. 6.

Minnesota Statutes 2016, section 16A.134, is amended to read:


16A.134 CHARITABLE ORGANIZATIONS PAYROLL DEDUCTIONS.

An employee's contribution to a registered combined charitable organization defined in
section 43A.50 may be deducted from the employee's pay. On the employee's written request,
the commissioner shall deduct a requested amount from the pay of the employee for each
pay period. The commissioner shall issue a deleted text begin warrantdeleted text end new text begin paymentnew text end in that amount to the specified
organization.

Sec. 7.

Minnesota Statutes 2016, section 16A.15, subdivision 3, is amended to read:


Subd. 3.

Allotment and encumbrance.

(a) A payment may not be made without prior
obligation. An obligation may not be incurred against any fund, allotment, or appropriation
unless the commissioner has certified a sufficient unencumbered balance or the accounting
system shows sufficient allotment or encumbrance balance in the fund, allotment, or
appropriation to meet it. The commissioner shall determine when the accounting system
may be used to incur obligations without the commissioner's certification of a sufficient
unencumbered balance. An expenditure or obligation authorized or incurred in violation of
this chapter is invalid and ineligible for payment until made valid. A payment made in
violation of this chapter is illegal. An employee authorizing or making the payment, or
taking part in it, and a person receiving any part of the payment, are jointly and severally
liable to the state for the amount paid or received. If an employee knowingly incurs an
obligation or authorizes or makes an expenditure in violation of this chapter or takes part
in the violation, the violation is just cause for the employee's removal by the appointing
authority or by the governor if an appointing authority other than the governor fails to do
so. In the latter case, the governor shall give notice of the violation and an opportunity to
be heard on it to the employee and to the appointing authority. A claim presented against
an appropriation without prior allotment or encumbrance may be made valid on investigation,
review, and approval by the agency head in accordance with the commissioner's policy, if
the services, materials, or supplies to be paid for were actually furnished in good faith
without collusion and without intent to defraud. The commissioner may then deleted text begin draw a warrant
to
deleted text end pay the claim just as properly allotted and encumbered claims are paid.

(b) The commissioner may approve payment for materials and supplies in excess of the
obligation amount when increases are authorized by section 16C.03, subdivision 3.

(c) To minimize potential construction delay claims, an agency with a project funded
by a building appropriation may allow a contractor to proceed with supplemental work
within the limits of the appropriation before money is encumbered. Under this circumstance,
the agency may requisition funds and allow contractors to expeditiously proceed with a
construction sequence. While the contractor is proceeding, the agency shall immediately
act to encumber the required funds.

Sec. 8.

Minnesota Statutes 2016, section 16A.17, subdivision 5, is amended to read:


Subd. 5.

Payroll duties.

When the department prepares the payroll for an agency, the
commissioner assumes the agency head's duties to make authorized or required deductions
from, or employer contributions on, the pay of the agency's employees and to prepare and
issue the necessary deleted text begin warrantsdeleted text end new text begin paymentsnew text end .

Sec. 9.

Minnesota Statutes 2016, section 16A.272, subdivision 3, is amended to read:


Subd. 3.

Section deleted text begin 7.19deleted text end new text begin 16A.271new text end to apply.

The provisions of Minnesota Statutes deleted text begin 1941deleted text end ,
section deleted text begin 7.19deleted text end new text begin 16A.271new text end , shall apply to deposits of securities made pursuant to this section.

Sec. 10.

Minnesota Statutes 2016, section 16A.40, is amended to read:


16A.40 WARRANTS AND ELECTRONIC FUND TRANSFERS.

Money must not be paid out of the state treasury except upon the warrant of the
commissioner or an electronic fund transfer approved by the commissioner. Warrants must
be drawn on printed blanks that are in numerical order. The commissioner shall enter, in
numerical order in a deleted text begin warrantdeleted text end new text begin paymentnew text end register, the number, amount, date, and payee for
every deleted text begin warrantdeleted text end new text begin paymentnew text end issued.

The commissioner may require payees to supply their bank routing information to enable
the payments to be made through an electronic fund transfer.

Sec. 11.

Minnesota Statutes 2016, section 16A.42, subdivision 2, is amended to read:


Subd. 2.

Approval.

If the claim is approved, the commissioner shall deleted text begin complete and sign
a warrant
deleted text end new text begin issue a paymentnew text end in the amount of the claim.

Sec. 12.

Minnesota Statutes 2016, section 16A.42, subdivision 4, is amended to read:


Subd. 4.

Register.

The commissioner shall enter a deleted text begin warrantdeleted text end new text begin paymentnew text end in the deleted text begin warrant
deleted text end new text begin paymentnew text end register as if it were a cash payment.

Sec. 13.

Minnesota Statutes 2016, section 16A.42, is amended by adding a subdivision to
read:


new text begin Subd. 5. new text end

new text begin Invalid claims. new text end

new text begin If the commissioner determines that a claim is invalid after
issuing a warrant, the commissioner may void an unpaid warrant. The commissioner is not
liable to any holder who took the void warrant for value.
new text end

Sec. 14.

Minnesota Statutes 2016, section 16A.56, is amended to read:


16A.56 COMMISSIONER'S RECEIPT AND CLAIM DUTIES.

The commissioner or a designee shall examine every receipt and claim, and if proper,
approve them, name the account to be charged or credited, and issue deleted text begin warrantsdeleted text end new text begin paymentsnew text end to
pay claims.

Sec. 15.

Minnesota Statutes 2016, section 16A.671, subdivision 1, is amended to read:


Subdivision 1.

Authority; advisory recommendation.

To ensure that cash is available
when needed to deleted text begin pay warrantsdeleted text end new text begin make paymentsnew text end drawn on the general fund under appropriations
and allotments, the commissioner may (1) issue certificates of indebtedness in anticipation
of the collection of taxes levied for and other revenues appropriated to the general fund for
expenditure during each biennium; and (2) issue additional certificates to refund outstanding
certificates and interest on them, under the Constitution, article XI, section 6.

Sec. 16.

Minnesota Statutes 2016, section 16B.37, subdivision 4, is amended to read:


Subd. 4.

Work of department for another.

To avoid duplication and improve efficiency,
the commissioner may direct an agency to do work for another agency or may direct a
division or section of an agency to do work for another division or section within the same
agency and shall require reimbursement for the work. Reimbursements received by an
agency are reappropriated to the account making the original expenditure in accordance
with the transfer deleted text begin warrantdeleted text end procedure established by the commissioner of management and
budget.

Sec. 17.

Minnesota Statutes 2016, section 16D.03, subdivision 2, is amended to read:


Subd. 2.

State agency reports.

State agencies shall report quarterly to the commissioner
of management and budget the debts owed to them. The commissioner of management and
budgetdeleted text begin , in consultation with the commissioners of revenue and human services, and the
attorney general,
deleted text end shall establish internal guidelines for the recognition, tracking, new text begin and
new text end reportingdeleted text begin , and collectiondeleted text end of debts owed the state. The internal guidelines must include
accounting standards, performance measurements, and uniform reporting requirements
applicable to all state agencies. The commissioner of management and budget shall require
a state agency to recognize, track, report, and attempt to collect debts according to the
internal guidelines.new text begin The commissioner, in consultation with the commissioner of management
and budget and the attorney general, shall establish internal guidelines for the collection of
debt owed to the state.
new text end

Sec. 18.

Minnesota Statutes 2016, section 16D.09, subdivision 1, is amended to read:


Subdivision 1.

Generally.

When a debt is determined by a state agency to be
uncollectible, the debt may be written off by the state agency from the state agency's financial
accounting records and no longer recognized as an account receivable for financial reporting
purposes. A debt is considered to be uncollectible when (1) all reasonable collection efforts
have been exhausted, (2) the cost of further collection action will exceed the amount
recoverable, (3) the debt is legally without merit or cannot be substantiated by evidence,
(4) the debtor cannot be located, (5) the available assets or income, current or anticipated,
that may be available for payment of the debt are insufficient, (6) the debt has been
discharged in bankruptcy, (7) the applicable statute of limitations for collection of the debt
has expired, or (8) it is not in the public interest to pursue collection of the debt. deleted text begin The
determination of the uncollectibility of a
deleted text end new text begin Uncollectiblenew text end debt must be reported by the state
agency deleted text begin along with the basis for that decisiondeleted text end as part of its quarterly reports to the
commissioner of management and budget. new text begin The basis for the determination of the
uncollectibility of the debt must be maintained by the state agency.
new text end Determining that the
debt is uncollectible does not cancel the legal obligation of the debtor to pay the debt.

Sec. 19.

Minnesota Statutes 2016, section 21.116, is amended to read:


21.116 EXPENSES.

All necessary expenses incurred in carrying out the provisions of sections 21.111 to
21.122 and the compensation of officers, inspectors, and employees appointed, designated,
or employed by the commissioner, as provided in such sections, together with their necessary
traveling expenses, together with the traveling expenses of the members of the advisory
seed potato certification committee, and other expenses necessary in attending committee
meetings, shall be paid from, and only from, the seed potato inspection account, on order
of the commissioner and commissioner of management and deleted text begin budget's voucher warrantdeleted text end new text begin budgetnew text end .

Sec. 20.

Minnesota Statutes 2016, section 43A.30, subdivision 2, is amended to read:


Subd. 2.

Payroll deduction.

If an eligible person who is on any payroll of the state or
an eligible person's dependents is enrolled for any of the optional coverages made available
by the commissioner pursuant to section 43A.26 the commissioner of management and
budget, upon the person's written order, shall deduct from the salary or wages of the person
those amounts required from time to time to maintain the optional coverages in force, and
issue a deleted text begin warrantdeleted text end new text begin paymentnew text end therefor to the appropriate carrier.

Sec. 21.

Minnesota Statutes 2016, section 43A.49, is amended to read:


43A.49 VOLUNTARY UNPAID LEAVE OF ABSENCE.

(a) Appointing authorities in state government may allow each employee to take unpaid
leaves of absence for up to 1,040 hours in each two-year period beginning July 1 of each
odd-numbered year. Each appointing authority approving such a leave shall allow the
employee to continue accruing vacation and sick leave, be eligible for paid holidays and
insurance benefits, accrue seniority, and accrue service credit and credited salary in retirement
plans as if the employee had actually been employed during the time of leave. An employee
covered by the unclassified plan may voluntarily make the employee contributions to the
unclassified plan during the leave of absence. If the employee makes these contributions,
the appointing authority must make the employer contribution. If the leave of absence is
for one full pay period or longer, any holiday pay shall be included in the first payroll deleted text begin warrantdeleted text end new text begin
payment
new text end after return from the leave of absence. The appointing authority shall attempt to
grant requests for the unpaid leaves of absence consistent with the need to continue efficient
operation of the agency. However, each appointing authority shall retain discretion to grant
or refuse to grant requests for leaves of absence and to schedule and cancel leaves, subject
to the applicable provisions of collective bargaining agreements and compensation plans.

(b) To receive eligible service credit and credited salary in a defined benefit plan, the
member shall pay an amount equal to the applicable employee contribution rates. If an
employee pays the employee contribution for the period of the leave under this section, the
appointing authority must pay the employer contribution. The appointing authority may, at
its discretion, pay the employee contributions. Contributions must be made in a time and
manner prescribed by the executive director of the applicable retirement system.

Sec. 22.

Minnesota Statutes 2016, section 49.24, subdivision 13, is amended to read:


Subd. 13.

Disposition of unclaimed dividends.

Upon the liquidation of any financial
institution liquidated by the commissioner as statutory liquidator, if any dividends or other
moneys set apart for the payment of claims remain unpaid, and the places of residence of
the owners thereof are unknown to the commissioner, the commissioner may pay same into
the state treasury as hereinafter provided. Whenever the commissioner shall be satisfied
that the process of liquidation should not be further continued the commissioner may make
and certify triplicate lists of any such unclaimed dividends or other moneys, specifying the
name of each owner, the amount due, and the last known address. Upon one of such lists,
to be retained by the commissioner shall be endorsed the commissioner's order that such
unclaimed moneys be forthwith deposited in the state treasury. When so deposited, one of
said lists shall be delivered to the commissioner of management and budget and the
commissioner shall retain in the commissioner's office such records and proofs concerning
said claims as the commissioner may have, which shall thereafter remain on file in the
office. The commissioner of management and budget shall execute upon the list retained
by the commissioner a receipt for such money, which shall operate as a full discharge of
the commissioner on account of such claims. At any time within six years after such receipt,
but not afterward, the claimant may apply to the commissioner for the amount so deposited
for the claimant's benefit, and upon proof satisfactory to the governor, the attorney general
and the commissioner, or to a majority of them, they shall give an order to the commissioner
of management and budget to issue a deleted text begin warrantdeleted text end new text begin paymentnew text end for such amount, and such deleted text begin warrantdeleted text end new text begin
payment
new text end shall thereupon be issued. If no such claim be presented within six years, the
commissioner shall so note upon the commissioner's copy of said list and certify the fact
to the commissioner of management and budget who shall make like entries upon the
commissioner of management and budget's corresponding lists; and all further claims to
said money shall be barred. Provided, that the commissioner of management and budget
shall transfer to the commissioner of commerce's liquidation fund created by this section
not to exceed 50 percent of the amount so turned over by the commissioner, to be used to
partially defray expenses in connection with the liquidation of closed banks and the conduct
of the liquidation division, in such amounts and at such times as the commissioner shall
request.

There is hereby appropriated to the persons entitled to such amounts, from such moneys
in the state treasury not otherwise appropriated, an amount sufficient to make such payment.

Sec. 23.

Minnesota Statutes 2016, section 49.24, subdivision 16, is amended to read:


Subd. 16.

Transfers to liquidation fund.

The following moneys shall be transferred to
and deposited in the commissioner of commerce's liquidation fund:

(1) All moneys paid to the commissioner of management and budget by the commissioner
out of funds of any financial institution in the commissioner's hands as reimbursement for
services and expenses pursuant to the provisions of subdivision 7.

(2) All moneys in the possession of the commissioner set aside for the purpose of meeting
unforeseen and contingent expenses incident to the liquidation of closed financial institutions,
which funds have been or shall be hereafter established by withholding portions of final
liquidating dividends in such cases.

(3) All moneys which the commissioner shall request the commissioner of management
and budget to transfer to such fund pursuant to the provisions of subdivision 13.

(4) All moneys in the possession of the commissioner now carried on the commissioner's
books in "stamp account," "suspense account," and "unclaimed deposit account."

(5) All moneys in the possession of the commissioner which the commissioner may be
authorized by order of any district court having jurisdiction of any liquidation proceedings
to transfer to such fund, or to use for any of the purposes for which the fund is established.

(6) All moneys in the possession of the commissioner carried on the commissioner's
books in the "unclaimed bonds account." At any time within six years after any bond the
proceeds of the sale of which constitute a portion of the moneys in this paragraph referred
to came into the possession of the commissioner as liquidator of any financial institution,
any claimant thereto may apply to the commissioner for the proceeds of the sale of such
bond, and, upon proof satisfactory to the governor, the attorney general, and the
commissioner, or a majority of them, they shall give an order to the commissioner of
management and budget to issue a deleted text begin warrantdeleted text end new text begin paymentnew text end for such amount, without interest, and
such deleted text begin warrantdeleted text end new text begin paymentnew text end shall thereupon be issued and the amount thereof paid out of the
commissioner of commerce's liquidation fund. If no such claim be presented within such
period, all further claims to the proceeds of any such bond shall be barred.

(7) All sums which the commissioner may receive from the sale of personal property of
liquidated financial institutions where the final dividend has been paid and no disposition
of said property made by any order of the court, and the proceeds of sales of any personal
property used by the liquidation division which have been purchased with funds of financial
institutions in liquidation.

Sec. 24.

Minnesota Statutes 2016, section 69.031, subdivision 1, is amended to read:


Subdivision 1.

Commissioner's deleted text begin warrantdeleted text end new text begin paymentnew text end .

(a) The commissioner of management
and budget shall issue to the Public Employees Retirement Association on behalf of a
municipality or independent nonprofit firefighting corporation that is a member of the
voluntary statewide lump-sum volunteer firefighter retirement plan under chapter 353G, to
the Department of Natural Resources, the Department of Public Safety, or the county,
municipality, or independent nonprofit firefighting corporation certified to the commissioner
of management and budget by the commissioner a deleted text begin warrantdeleted text end new text begin paymentnew text end for an amount equal
to the amount of fire state aid or police state aid, whichever applies, certified for the
applicable state aid recipient by the commissioner under section 69.021.

(b) Fire state aid and police state aid is payable on October 1 annually. The amount of
state aid due and not paid by October 1 accrues interest payable to the state aid recipient at
the rate of one percent for each month or part of a month that the amount remains unpaid
after October 1.

Sec. 25.

Minnesota Statutes 2016, section 80A.65, subdivision 9, is amended to read:


Subd. 9.

Generally.

No filing for which a fee is required shall be deemed to be filed or
given any effect until the proper fee is paid. All fees and charges collected by the
administrator shall be covered into the state treasury. When any person is entitled to a refund
under this section, the administrator shall certify to the commissioner of management and
budget the amount of the fee to be refunded to the applicant, and the commissioner of
management and budget shall issue a deleted text begin warrant indeleted text end payment thereof out of the fund to which
such fee was credited in the manner provided by law. There is hereby appropriated to the
person entitled to such refunds from the fund in the state treasury to which such fees were
credited an amount to make such refunds and payments.

Sec. 26.

Minnesota Statutes 2016, section 84A.23, subdivision 4, is amended to read:


Subd. 4.

Drainage ditch bonds; reports.

(a) Immediately after a project is approved
and accepted and then after each distribution of the tax collections on the June and November
tax settlements, the county auditor shall certify to the commissioner of management and
budget the following information relating to bonds issued to finance or refinance public
drainage ditches wholly or partly within the projects, and the collection of assessments
levied on account of the ditches:

(1) the amount of principal and interest to become due on the bonds before the next tax
settlement and distribution;

(2) the amount of money collected from the drainage assessments and credited to the
funds of the ditches; and

(3) the amount of the deficit in the ditch fund of the county chargeable to the ditches.

(b) On approving the certificate, the commissioner of management and budget shall
deleted text begin draw a warrantdeleted text end new text begin issue a paymentnew text end , payable out of the fund pertaining to the project, for the
amount of the deficit in favor of the county.

(c) As to public drainage ditches wholly within a project, the amount of money paid to
or for the benefit of the county under paragraph (b) must never exceed the principal and
interest of the bonds issued to finance or refinance the ditches outstanding at the time of
the passage and approval of sections 84A.20 to 84A.30, less money on hand in the county
ditch fund to the credit of the ditches. The liabilities must be reduced from time to time by
the amount of all payments of assessments after April 25, 1931, made by the owners of
lands assessed before that date for benefits on account of the ditches.

(d) As to public drainage ditches partly within and partly outside a project, the amount
paid from the fund pertaining to the project to or for the benefit of the county must never
exceed a certain percentage of bonds issued to finance and refinance the ditches so
outstanding, less money on hand in the county ditch fund to the credit of the ditches on
April 25, 1931. The percentage must bear the same proportion to the whole amount of these
bonds as the original benefits assessed against lands within the project bear to the original
total benefits assessed to the entire system of the ditches. This liability shall be reduced
from time to time by the payments of all assessments extended after April 25, 1931, made
by the owners of lands within the project of assessments for benefits assessed before that
date on account of a ditch.

(e) The commissioner of management and budget may provide and prescribe forms for
reports required by sections 84A.20 to 84A.30 and require any additional information from
county officials that the commissioner of management and budget considers necessary for
the proper administration of sections 84A.20 to 84A.30.

Sec. 27.

Minnesota Statutes 2016, section 84A.33, subdivision 4, is amended to read:


Subd. 4.

Ditch bonds; funds; payments to counties.

(a) Upon the approval and
acceptance of a project and after each distribution of the tax collections for the June and
November tax settlements, the county auditor shall certify to the commissioner of
management and budget the following information about bonds issued to finance or refinance
public drainage ditches wholly or partly within the projects, and the collection of assessments
levied for the ditches:

(1) the amount of principal and interest to become due on the bonds before the next tax
settlement and distribution;

(2) the amount of money collected from the drainage assessments and credited to the
funds of the ditches, not already sent to the commissioner of management and budget as
provided in sections 84A.31 to 84A.42; and

(3) the amount of the deficit in the ditch fund of the county chargeable to the ditches.

(b) On approving this certificate of the county auditor, the commissioner of management
and budget shall deleted text begin draw a warrantdeleted text end new text begin issue a paymentnew text end , payable out of the fund provided for in
sections 84A.31 to 84A.42, and send it to the county treasurer of the county. These funds
must be credited to the proper ditch of the county and placed in the ditch bond fund of the
county, which is created, and used only to pay the ditch bonded indebtedness of the county
assumed by the state under sections 84A.31 to 84A.42. The total amount of deleted text begin warrants drawndeleted text end new text begin
payments issued
new text end must not exceed in any one year the total amount of the deficit provided
for under this section.

(c) The state is subrogated to all title, right, interest, or lien of the county in or on the
lands so certified within these projects.

(d) As to public drainage ditches wholly within a project, the amount paid to, or for the
benefit of, the county under this subdivision must never exceed the principal and interest
of the bonds issued to finance or refinance a ditch outstanding on April 22, 1933, less money
on hand in the county ditch fund to the credit of a ditch. These liabilities must be reduced
from time to time by the amount of any payments of assessments extended after April 22,
1933, made by the owners of lands assessed before that date for benefits on account of the
ditches.

As to public drainage ditches partly within and partly outside a project the amount paid
from the fund pertaining to the project to or for the benefit of the county must never exceed
a certain percentage of bonds issued to finance and refinance a ditch so outstanding, less
money on hand in the county ditch fund to the credit of a ditch on April 22, 1932. The
percentage must bear the same proportion to the whole amount of the bonds as the original
benefits assessed against these lands within the project bear to the original total benefits
assessed to the entire system for a ditch. This liability must be reduced from time to time
by the payments of all assessments extended after April 22, 1933, made by the owners of
lands within the project of assessments for benefits assessed before that date on account of
a ditch.

Sec. 28.

Minnesota Statutes 2016, section 84A.40, is amended to read:


84A.40 COUNTY MAY ASSUME BONDS.

Any county where a project or portion of it is located may voluntarily assume, in the
manner specified in this section, the obligation to pay a portion of the principal and interest
of the bonds issued before the approval and acceptance of the project and remaining unpaid
at maturity, of any school district or town in the county and wholly or partly within the
project. The portion must bear the same proportion to the whole of the unpaid principal and
interest as the last net tax capacity, before the acceptance of the project, of lands then
acquired by the state under sections 84A.31 to 84A.42 in the school districts or towns bears
to the total net tax capacity for the same year of the school district or town. This assumption
must be evidenced by a resolution of the county board of the county. A copy of the resolution
must be certified to the commissioner of management and budget within one year after the
acceptance of the project.

Later, if any of the bonds remains unpaid at maturity, the county board shall, upon
demand of the governing body of the school district or town or of a bondholder, provide
for the payment of the portion assumed. The county shall levy general taxes on all the taxable
property of the county for that purpose, or issue its bonds to raise the sum needed, conforming
to law respecting the issuance of county refunding bonds. The proceeds of taxes or bonds
must be paid by the county treasurer to the treasurer of the school district or town. No
payments shall be made by the county to the school district or town until the money in the
treasury of the school district or town, together with the money to be paid by the county, is
sufficient to pay in full each of the bonds as it becomes due.

If a county fails to adopt and certify the resolution, the commissioner of management
and budget shall withhold from the payments to be made to the county under section 84A.32
a sum equal to that portion of the principal and interest of the outstanding bonds that bears
the same proportion to the whole of the bonds as the above determined net tax capacity of
lands acquired by the state within the project bears to the total net tax capacity for the same
year of the school district or town. Money withheld from the county must be set aside in
the state treasury and not paid to the county until the full principal and interest of the school
district and town bonds have been paid.

If any bonds remain unpaid at maturity, upon the demand of the governing body of the
school district or town, or a bondholder, the commissioner of management and budget shall
issue to the treasurer of the school district or town a deleted text begin warrantdeleted text end new text begin paymentnew text end for that portion of the
past due principal and interest computed as in the case of the county's liability authorized
in this section to be voluntarily assumed. Money received by a school district or town under
this section must be applied to the payment of past-due bonds and interest.

Sec. 29.

Minnesota Statutes 2016, section 84A.52, is amended to read:


84A.52 ACCOUNTS; EXAMINATION, APPROPRIATION, PAYMENT.

As a part of the examination provided for by section 6.481, of the accounts of the several
counties within a game preserve, area, or project established under section 84A.01, 84A.20,
or 84A.31, the state auditor shall segregate the audit of the accounts reflecting the receipt
and disbursement of money collected or disbursed under this chapter or from the sale of
tax-forfeited lands held by the state under section 84A.07, 84A.26, or 84A.36. The auditor
shall also include in the reports required by section 6.481 summary statements as of
December 31 before the examination that set forth the proportionate amount of principal
and interest due from the state to the individual county and any money due the state from
the county remaining unpaid under this chapter, or from the sale of any tax-forfeited lands
referred to in this section, and other information required by the commissioner of management
and budget. On receiving a report, the commissioner of management and budget shall
determine the net amount due to the county for the period covered by the report and shall
deleted text begin draw a warrantdeleted text end new text begin issue a paymentnew text end upon the state treasury payable out of the consolidated fund
for that amount. It must be paid to and received by the county as payment in full of all
amounts due for the period stated on the deleted text begin warrantsdeleted text end new text begin paymentsnew text end from the state under any
provision of this chapter.

Money to deleted text begin pay the warrantsdeleted text end new text begin make the paymentsnew text end is appropriated to the counties entitled
to payment from the consolidated fund in the state treasury.

Sec. 30.

Minnesota Statutes 2016, section 88.12, subdivision 1, is amended to read:


Subdivision 1.

Limitation.

The compensation and expenses of persons temporarily
employed in emergencies in suppression or control of wildfires shall be fixed by the
commissioner of natural resources or an authorized agent and paid as provided by law. Such
compensation shall not exceed the maximum rate for comparable labor established as
provided by law or rules, but shall not be subject to any minimum rate so established. The
commissioner is authorized to draw and expend from money appropriated for the purposes
of sections 88.03 to 88.22 a reasonable sum and through forest officers or other authorized
agent be used in paying emergency expenses, including just compensation for services
rendered by persons summoned and for private property used, damaged, or appropriated
under sections 88.03 to 88.22. The commissioner of management and budget is authorized
to deleted text begin draw a warrantdeleted text end new text begin issue a paymentnew text end for this sum when duly approved by the commissioner.
The commissioner or agent in charge shall take proper subvouchers or receipts from all
persons to whom these moneys are paid, and after these subvouchers have been approved
they shall be filed with the commissioner of management and budget. Authorized funds as
herein provided at any time shall be deposited, subject to withdrawal or disbursement by
check or otherwise for the purposes herein prescribed, in a bank authorized and bonded to
receive state deposits; and the bond of this bank to the state shall cover and include this
deposit.

Sec. 31.

Minnesota Statutes 2016, section 94.522, is amended to read:


94.522 TRANSMISSION OF deleted text begin WARRANTSdeleted text end new text begin PAYMENTSnew text end TO COUNTY
TREASURERS; USE OF PROCEEDS.

It shall be the duty of the commissioner of management and budget to transmit deleted text begin warrants
on
deleted text end new text begin payments fromnew text end the state treasury to the county treasurer of the respective counties for
the sums that may be due in accordance with section 94.521, which sums are hereby
appropriated out of the state treasury from the amounts received from the United States
government pursuant to the aforesaid acts of Congress, and such money shall be used by
the counties receiving the same for the purposes and in the proportions herein provided.

Sec. 32.

Minnesota Statutes 2016, section 94.53, is amended to read:


94.53 deleted text begin WARRANTdeleted text end new text begin PAYMENTnew text end TO COUNTY TREASURERS; FEDERAL LOANS
TO COUNTIES.

It shall be the duty of the commissioner of management and budget to transmit deleted text begin warrants
on
deleted text end new text begin payments fromnew text end the state treasury to the county treasurers of the respective counties for
the sum that may be due in accordance with sections 94.52 to 94.54, which sum or sums
are hereby appropriated out of the state treasury from the amounts received from the United
States government pursuant to the aforesaid act of Congress. The commissioner of
management and budget, upon being notified by the federal government or any agencies
thereof that a loan has been made to any such county the repayment of which is to be made
from such fund, is authorized to transmit a deleted text begin warrant or warrantsdeleted text end new text begin paymentnew text end to the federal
government or any agency thereof sufficient to repay such loan out of any money apportioned
or due to such county under the provisions of such act of Congress, approved May 23, 1908
(Statutes at Large, volume 35, page 260).

Sec. 33.

Minnesota Statutes 2016, section 116J.64, subdivision 7, is amended to read:


Subd. 7.

Processing.

(a) An Indian desiring a loan for the purpose of starting a business
enterprise or expanding an existing business shall make application to the appropriate tribal
government. The application shall be forwarded to the appropriate eligible organization, if
it is participating in the program, for consideration in conformity with the plans submitted
by said tribal governments. The tribal government may approve the application if it
determines that the loan would advance the goals of the Indian business loan program. If
the tribal government is not participating in the program, the agency may directly approve
or deny the loan application.

(b) If the application is approved, the tribal government shall forward the application,
together with all relevant documents pertinent thereto, to the commissioner of the agency,
who shall deleted text begin cause a warrantdeleted text end new text begin request a paymentnew text end to be deleted text begin drawn in favor ofdeleted text end new text begin issued to the applicant
or
new text end the applicable tribal government, deleted text begin or the agency,deleted text end if it is administering the loan, with
appropriate notations identifying the borrower.

(c) The tribal government, eligible organization, or the agency, if it is administering the
loan, shall maintain records of transactions for each borrower in a manner consistent with
good accounting practice. The interest rate on a loan shall be established by the tribal
government or the agency, but may be no less than two percent per annum nor more than
ten percent per annum. When any portion of a debt is repaid, the tribal government, eligible
organization, or the agency, if it is administering the loan, shall remit the amount so received
plus interest paid thereon to the commissioner of management and budget through the
agency. The amount so received shall be credited to the Indian business loan account.

(d) On the placing of a loan, additional money equal to ten percent of the total amount
made available to any tribal government, eligible organization, or the agency, if it is
administering the loan, for loans during the fiscal year shall be paid to the tribal government,
eligible organization, or the agency, prior to December 31 for the purpose of financing
administrative costs.

Sec. 34.

Minnesota Statutes 2016, section 126C.55, subdivision 2, is amended to read:


Subd. 2.

Notifications; payment; appropriation.

(a) If a school district or intermediate
school district believes that it may be unable to make a principal or interest payment on any
outstanding debt obligation on the date that payment is due, it must notify the commissioner
as soon as possible, but not less than 15 working days before the date that principal or
interest payment is due. The notice must include the name of the school district or
intermediate school district, an identification of the debt obligation issue in question, the
date the payment is due, the amount of principal and interest due on the payment date, the
amount of principal or interest that the school district or intermediate school district will be
unable to repay on that date, the paying agent for the debt obligation, the wire transfer
instructions to transfer funds to that paying agent, and an indication as to whether a payment
is being requested by the school district or intermediate school district under this section.
If a paying agent becomes aware of a potential default, it shall inform the commissioner of
that fact. After receipt of a notice which requests a payment under this section, after
consultation with the school district or intermediate school district and the paying agent,
and after verification of the accuracy of the information provided, the commissioner shall
notify the commissioner of management and budget of the potential default. The notice
must include a final figure as to the amount due that the school district or intermediate
school district will be unable to repay on the date due.

(b) Except as provided in subdivision 9, upon receipt of this notice from the
commissioner, the commissioner of management and budget shall issue a deleted text begin warrantdeleted text end new text begin paymentnew text end
and authorize the commissioner of education to pay to the paying agent for the debt obligation
the specified amount on or before the date due. The amounts needed for the purposes of
this subdivision are annually appropriated to the department from the state general fund.

(c) The Departments of Education and Management and Budget must jointly develop
detailed procedures for school districts and intermediate school districts to notify the state
that they have obligated themselves to be bound by the provisions of this section, procedures
for school districts or intermediate school districts and paying agents to notify the state of
potential defaults and to request state payment under this section, and procedures for the
state to expedite payments to prevent defaults. The procedures are not subject to chapter
14.

Sec. 35.

Minnesota Statutes 2016, section 126C.55, subdivision 9, is amended to read:


Subd. 9.

State bond rating.

If the commissioner of management and budget determines
that the credit rating of the state would be adversely affected thereby, the commissioner of
management and budget shall not issue deleted text begin warrantsdeleted text end new text begin paymentsnew text end under subdivision 2 for the
payment of principal or interest on any debt obligations for which a district did not, prior
to their issuance, obligate itself to be bound by the provisions of this section.

Sec. 36.

Minnesota Statutes 2016, section 126C.68, subdivision 3, is amended to read:


Subd. 3.

deleted text begin Warrantdeleted text end new text begin Paymentnew text end .

The commissioner shall issue to each district whose note
has been so received a deleted text begin warrantdeleted text end new text begin paymentnew text end on the debt service loan account of the maximum
effort school loan fund, payable on presentation to the commissioner of management and
budget out of any money in such account. The deleted text begin warrantdeleted text end new text begin paymentnew text end shall be issued by the
commissioner in sufficient time to coincide with the next date on which the district is
obligated to make principal or interest payments on its bonded debt in the ensuing year.
Interest must accrue from the date such deleted text begin warrantdeleted text end new text begin paymentnew text end is issued. The proceeds thereof
must be used by the district to pay principal or interest on its bonded debt falling due in the
ensuing year.

Sec. 37.

Minnesota Statutes 2016, section 126C.69, subdivision 14, is amended to read:


Subd. 14.

Participation by county auditor; record of contract; payment of loan.

The
district must file a copy of the capital loan contract with the county auditor of each county
in which any part of the district is situated. The county auditor shall enter the capital loan,
evidenced by the contract, in the auditor's bond register. The commissioner shall keep a
record of each capital loan and contract showing the name and address of the district, the
date of the contract, and the amount of the loan initially approved. On receipt of the resolution
required in subdivision 12, the commissioner shall issue deleted text begin warrantsdeleted text end new text begin paymentsnew text end , which may be
dispersed in accordance with the schedule in the contract, on the capital loan account for
the amount that may be disbursed under subdivision 1. Interest on each disbursement of the
capital loan amount accrues from the date on which the commissioner of management and
budget issues the deleted text begin warrantdeleted text end new text begin paymentnew text end .

Sec. 38.

Minnesota Statutes 2016, section 127A.34, subdivision 1, is amended to read:


Subdivision 1.

Copy to commissioner of management and budget; appropriation.

The commissioner shall furnish a copy of the apportionment of the school endowment fund
to the commissioner of management and budget, who thereupon shall deleted text begin draw warrants ondeleted text end new text begin
issue payments from
new text end the state treasury, payable to the several districts, for the amount due
each district. There is hereby annually appropriated from the school endowment fund the
amount of such apportionments.

Sec. 39.

Minnesota Statutes 2016, section 127A.40, is amended to read:


127A.40 MANNER OF PAYMENT OF STATE AIDS.

It shall be the duty of the commissioner to deliver to the commissioner of management
and budget a certificate for each district entitled to receive state aid under the provisions of
this chapter. Upon the receipt of such certificate, it shall be the duty of the commissioner
of management and budget to deleted text begin draw a warrant in favor ofdeleted text end new text begin issue a payment tonew text end the district for
the amount shown by each certificate to be due to the district. The commissioner of
management and budget shall transmit such deleted text begin warrantsdeleted text end new text begin paymentsnew text end to the district together with
a copy of the certificate prepared by the commissioner.

Sec. 40.

Minnesota Statutes 2016, section 136F.46, subdivision 1, is amended to read:


Subdivision 1.

Request; deleted text begin warrantdeleted text end new text begin paymentnew text end .

The commissioner of management and
budget, upon the written request of an employee of the board, may deduct from an employee's
salary or wages the amount requested for payment to a nonprofit state college or university
foundation meeting the requirements in subdivision 2. The commissioner shall issue a
deleted text begin warrantdeleted text end new text begin paymentnew text end for the deducted amount to the nonprofit foundation. The Penny Fellowship
and the Nellie Stone Johnson Scholarship Program of the Minnesota State University Student
Association shall be considered nonprofit state college and university foundations for
purposes of this section.

Sec. 41.

Minnesota Statutes 2016, section 136F.70, subdivision 3, is amended to read:


Subd. 3.

Refunds.

The board may make refunds to students for tuition, activity fees,
union fees, and any other fees from imprest cash funds. The imprest cash fund shall be
reimbursed periodically by deleted text begin checks or warrants drawn ondeleted text end new text begin payments issued fromnew text end the funds
and accounts to which the refund should ultimately be charged. The amounts necessary to
pay the refunds are appropriated from the funds and accounts to which they are charged.

Sec. 42.

Minnesota Statutes 2016, section 162.08, subdivision 10, is amended to read:


Subd. 10.

Project approval, reports.

When the county board of any county determines
to do any construction work on a county state-aid highway or other road eligible for the
expenditure of state aid funds within the county, and desires to expend on such work a
portion of the money apportioned or allocated to it out of the county state-aid highway fund,
the county shall first obtain approval of the project by the commissioner. Thereafter the
county engineer shall make such reports in such manner as the commissioner requires under
rules of the commissioner. Upon receipt of satisfactory reports, the commissioner shall
certify to the commissioner of management and budget the amount of money that is eligible
to be paid from the county's apportionment or allocation for the work under contract or
actually completed. The commissioner of management and budget shall thereupon issue a
deleted text begin warrantdeleted text end new text begin paymentnew text end in that amount payable to the county treasurer. In no event shall the deleted text begin warrantdeleted text end new text begin
payment
new text end with all other deleted text begin warrantsdeleted text end new text begin paymentsnew text end issued exceed the amount apportioned and
allocated to the county.

Sec. 43.

Minnesota Statutes 2016, section 162.08, subdivision 11, is amended to read:


Subd. 11.

Certification required to issue deleted text begin warrantsdeleted text end new text begin paymentnew text end .

The commissioner of
management and budget shall not issue any deleted text begin warrantsdeleted text end new text begin paymentsnew text end without the certification of
the commissioner.

Sec. 44.

Minnesota Statutes 2016, section 162.14, subdivision 4, is amended to read:


Subd. 4.

Project approval and reports.

When the governing body of any such city
determines to do any construction work on any municipal state-aid street or other streets
within the city upon which money apportioned out of the municipal state-aid street fund
may be used as provided in subdivision 2, the governing body shall first obtain the approval
of the commissioner. Thereafter, the engineer of the city shall make reports in such manner
as the commissioner requires in accordance with the commissioner's rules. Upon receipt of
satisfactory reports the commissioner shall certify to the commissioner of management and
budget the amount of money that is eligible to be paid from the city's apportionment for the
work under contract or actually completed. The commissioner of management and budget
shall thereupon issue a deleted text begin warrantdeleted text end new text begin paymentnew text end in that amount payable to the fiscal officers of the
city. In no event shall the deleted text begin warrantdeleted text end new text begin paymentnew text end with all other deleted text begin warrantsdeleted text end new text begin paymentsnew text end issued exceed
the amount apportioned to the city.

Sec. 45.

Minnesota Statutes 2016, section 162.14, subdivision 5, is amended to read:


Subd. 5.

Certification required to issue deleted text begin warrantdeleted text end new text begin paymentnew text end .

The commissioner of
management and budget shall not issue any deleted text begin warrantsdeleted text end new text begin paymentsnew text end as provided for in subdivision
4 without the prior certification of the commissioner.

Sec. 46.

Minnesota Statutes 2016, section 162.18, subdivision 4, is amended to read:


Subd. 4.

Certification to commissioner of money required.

Any municipality issuing
and selling bonds pursuant to this section shall certify to the commissioner the amount of
money required annually for the payment of principal and interest on the obligation. Upon
receipt thereof, the commissioner shall certify to the commissioner of management and
budget the sum of money needed annually by the municipality for the principal and interest,
provided that the amount certified by the commissioner shall not exceed the limit heretofore
specified. The commissioner of management and budget shall thereafter, until said bonds
are retired, issue a deleted text begin warrantdeleted text end new text begin paymentnew text end annually in the amount certified payable to the fiscal
officer of the municipality, and the amount thereof shall be deposited by the fiscal officer
in the sinking fund from which the obligations are payable.

Sec. 47.

Minnesota Statutes 2016, section 162.181, subdivision 4, is amended to read:


Subd. 4.

Certification to commissioner of money required.

Any county issuing and
selling bonds pursuant to this section shall certify to the commissioner the amount of money
required annually for the payment of principal and interest on the obligation. Upon receipt
thereof, the commissioner shall certify to the commissioner of management and budget the
sum of money needed annually by the county for the principal and interest, provided that
the amount certified by the commissioner shall not exceed the limit heretofore specified.
The commissioner of management and budget shall thereafter, until said bonds are retired,
issue a deleted text begin warrantdeleted text end new text begin paymentnew text end annually in the amount certified payable to the county treasurer of
the county, and the amount thereof shall be deposited by the county treasurer in the sinking
fund from which the obligations are payable.

Sec. 48.

Minnesota Statutes 2016, section 163.051, subdivision 3, is amended to read:


Subd. 3.

Distribution to county; appropriation.

On a monthly basis, the registrar of
motor vehicles shall issue a deleted text begin warrantdeleted text end new text begin paymentnew text end in favor of the treasurer of each county for
which the registrar has collected a wheelage tax in the amount of such tax then on hand in
the county wheelage tax account. There is hereby appropriated from the county wheelage
tax account each year, to each county entitled to payments authorized by this section,
sufficient moneys to make such payments.

Sec. 49.

Minnesota Statutes 2016, section 176.181, subdivision 2, is amended to read:


Subd. 2.

Compulsory insurance; self-insurers.

(a) Every employer, except the state
and its municipal subdivisions, liable under this chapter to pay compensation shall insure
payment of compensation with some insurance carrier authorized to insure workers'
compensation liability in this state, or obtain a written order from the commissioner of
commerce exempting the employer from insuring liability for compensation and permitting
self-insurance of the liability. The terms, conditions and requirements governing
self-insurance shall be established by the commissioner pursuant to chapter 14. The
commissioner of commerce shall also adopt, pursuant to paragraph (d), rules permitting
two or more employers, whether or not they are in the same industry, to enter into agreements
to pool their liabilities under this chapter for the purpose of qualifying as group self-insurers.
With the approval of the commissioner of commerce, any employer may exclude medical,
chiropractic and hospital benefits as required by this chapter. An employer conducting
distinct operations at different locations may either insure or self-insure the other portion
of operations as a distinct and separate risk. An employer desiring to be exempted from
insuring liability for compensation shall make application to the commissioner of commerce,
showing financial ability to pay the compensation, whereupon by written order the
commissioner of commerce, on deeming it proper, may make an exemption. An employer
may establish financial ability to pay compensation by providing financial statements of
the employer to the commissioner of commerce. Upon ten days' written notice the
commissioner of commerce may revoke the order granting an exemption, in which event
the employer shall immediately insure the liability. As a condition for the granting of an
exemption the commissioner of commerce may require the employer to furnish security the
commissioner of commerce considers sufficient to insure payment of all claims under this
chapter, consistent with subdivision 2b. If the required security is in the form of currency
or negotiable bonds, the commissioner of commerce shall deposit it with the commissioner
of management and budget. In the event of any default upon the part of a self-insurer to
abide by any final order or decision of the commissioner of labor and industry directing and
awarding payment of compensation and benefits to any employee or the dependents of any
deceased employee, then upon at least ten days' notice to the self-insurer, the commissioner
of commerce may by written order to the commissioner of management and budget require
the commissioner of management and budget to sell the pledged and assigned securities or
a part thereof necessary to pay the full amount of any such claim or award with interest
thereon. This authority to sell may be exercised from time to time to satisfy any order or
award of the commissioner of labor and industry or any judgment obtained thereon. When
securities are sold the money obtained shall be deposited in the state treasury to the credit
of the commissioner of commerce and awards made against any such self-insurer by the
commissioner of commerce shall be paid to the persons entitled thereto by the commissioner
of management and budget upon deleted text begin warrants prepareddeleted text end new text begin payments requestednew text end by the commissioner
of commerce out of the proceeds of the sale of securities. Where the security is in the form
of a surety bond or personal guaranty the commissioner of commerce, at any time, upon at
least ten days' notice and opportunity to be heard, may require the surety to pay the amount
of the award, the payments to be enforced in like manner as the award may be enforced.

(b) No association, corporation, partnership, sole proprietorship, trust or other business
entity shall provide services in the design, establishment or administration of a group
self-insurance plan under rules adopted pursuant to this subdivision unless it is licensed, or
exempt from licensure, pursuant to section 60A.23, subdivision 8, to do so by the
commissioner of commerce. An applicant for a license shall state in writing the type of
activities it seeks authorization to engage in and the type of services it seeks authorization
to provide. The license shall be granted only when the commissioner of commerce is satisfied
that the entity possesses the necessary organization, background, expertise, and financial
integrity to supply the services sought to be offered. The commissioner of commerce may
issue a license subject to restrictions or limitations, including restrictions or limitations on
the type of services which may be supplied or the activities which may be engaged in. The
license is for a two-year period.

(c) To assure that group self-insurance plans are financially solvent, administered in a
fair and capable fashion, and able to process claims and pay benefits in a prompt, fair and
equitable manner, entities licensed to engage in such business are subject to supervision
and examination by the commissioner of commerce.

(d) To carry out the purposes of this subdivision, the commissioner of commerce may
promulgate administrative rules pursuant to sections 14.001 to 14.69. These rules may:

(1) establish reporting requirements for administrators of group self-insurance plans;

(2) establish standards and guidelines consistent with subdivision 2b to assure the
adequacy of the financing and administration of group self-insurance plans;

(3) establish bonding requirements or other provisions assuring the financial integrity
of entities administering group self-insurance plans;

(4) establish standards, including but not limited to minimum terms of membership in
self-insurance plans, as necessary to provide stability for those plans;

(5) establish standards or guidelines governing the formation, operation, administration,
and dissolution of self-insurance plans; and

(6) establish other reasonable requirements to further the purposes of this subdivision.

Sec. 50.

Minnesota Statutes 2016, section 176.581, is amended to read:


176.581 PAYMENT TO STATE EMPLOYEES.

Upon a deleted text begin warrantdeleted text end new text begin requestnew text end prepared by the commissioner of administration, and in
accordance with the terms of the order awarding compensation, the commissioner of
management and budget shall pay compensation to the employee or the employee's
dependent. These payments shall be made from money appropriated for this purpose.

Sec. 51.

Minnesota Statutes 2016, section 176.591, subdivision 3, is amended to read:


Subd. 3.

Compensation payments upon deleted text begin warrantsdeleted text end new text begin requestnew text end .

The commissioner of
management and budget shall make compensation payments from the fund only as authorized
by this chapter upon deleted text begin warrantsdeleted text end new text begin requestnew text end of the commissioner of administration.

Sec. 52.

Minnesota Statutes 2016, section 192.55, is amended to read:


192.55 PAYMENTS TO BE MADE THROUGH ADJUTANT GENERAL.

All pay and allowances and necessary expenses for any of the military forces shall, when
approved by the adjutant general, be paid by new text begin the new text end commissioner of management and deleted text begin budget's
warrants issued
deleted text end new text begin budgetnew text end to the several officers and enlisted members entitled thereto; provided,
that upon the request of the adjutant general, approved by the governor, the sum required
for any such pay or allowances and necessary expenses shall be paid by new text begin the new text end commissioner
of management and deleted text begin budget's warrantdeleted text end new text begin budgetnew text end to the adjutant general, who shall immediately
pay and distribute the same to the several officers or enlisted members entitled thereto or
to their commanding officers or to a finance officer designated by the adjutant general. The
receipt of any such commanding officer or finance officer for any such payment shall
discharge the adjutant general from liability therefor. Every commanding officer or finance
officer receiving any such payment shall, as soon as practicable, pay and distribute the same
to the several officers or enlisted members entitled thereto. The officer making final payment
shall, as evidence thereof, secure the signature of the person receiving the same upon a
payroll or other proper voucher.

Sec. 53.

Minnesota Statutes 2016, section 196.052, is amended to read:


196.052 GIFT ACCEPTANCE AND INVESTMENT.

On the behalf of the state, the commissioner may accept any gift, grant, bequest, or
devise made for the purposes of this chapter and chapter 197. The commissioner must
administer the funds as directed by the donor. All funds must be deposited in the state
treasury and credited to the veterans affairs endowment, bequest, and devises fund. The
balance of the fund is annually appropriated to the commissioner of veterans affairs to
accomplish the purposes of this chapter and chapter 197. Funds received by the commissioner
under this section in excess of current needs must be invested by the State Board of
Investment in accordance with section 11A.24. Disbursements from this fund must be in
the manner provided for the issuance of other state deleted text begin warrantsdeleted text end new text begin paymentsnew text end . The commissioner
may refuse to accept any gift, grant, bequest, or devise if acceptance would not be in the
best interest of the state or Minnesota's veterans.

Sec. 54.

Minnesota Statutes 2016, section 198.16, is amended to read:


198.16 PLANNED GIVING.

The commissioner is authorized to accept on behalf of the state any gift, grant, bequest,
or devise made for the purposes of this chapter, and administer the same as directed by the
donor. All proceeds therefrom including money derived from the sale of any real or personal
property must be deposited in the state treasury, invested by the State Board of Investment
in accordance with sections 11A.24 and 11A.25, and credited to the Minnesota veterans
home endowment, bequest, and devises fund. That fund consists of separate accounts for
investing general and restricted gifts, money, and donations received and for any currently
expendable proceeds.

The commissioner shall maintain records of all gifts received, clearly showing the identity
of the donor, the purpose of the donation, and the ultimate disposition of the donation. Each
donation must be duly receipted and must be expended or used by the commissioner as
nearly in accordance with the condition of the gift or donation as is compatible with the
best interests of the residents of the homes. Money in the fund is appropriated to the
commissioner for the purposes for which it was received. Disbursements from this fund
shall be made in the manner provided for the issuance of other state deleted text begin warrantsdeleted text end new text begin paymentsnew text end .

Whenever the commissioner shall deem it advisable, in accordance with law, to sell or
otherwise dispose of any real or personal property thus acquired, the commissioner of
administration upon the request of the commissioner shall sell or otherwise dispose of said
property in the manner provided by law for the sale or disposition of other state property
by the commissioner of administration.

Sec. 55.

Minnesota Statutes 2016, section 237.30, is amended to read:


237.30 TELEPHONE INVESTIGATION FUND; APPROPRIATION.

A Minnesota Telephone Investigation Fund shall exist for the use of the Department of
Commerce and of the attorney general in investigations, valuations, and revaluations under
section 237.295. All sums paid by the telephone companies to reimburse the department
for its expenses pursuant to section 237.295 shall be credited to the revolving fund and shall
be deposited in a separate bank account and not commingled with any other state funds or
moneys, but any balance in excess of $25,000 in the revolving fund at the end of each fiscal
year shall be paid into the state treasury and credited to the general fund. All subsequent
credits to said revolving fund shall be paid deleted text begin upon the warrant ofdeleted text end new text begin bynew text end the commissioner of
management and budget upon application of the department or of the attorney general to
an aggregate amount of not more than one-half of such sums to each of them, which
proportion shall be constantly maintained in all credits and withdrawals from the revolving
fund.

Sec. 56.

Minnesota Statutes 2016, section 241.13, subdivision 1, is amended to read:


Subdivision 1.

Contingent account.

The commissioner of corrections may permit a
contingent account to remain in the hands of the accounting officer of any such institution
from which expenditures may be made in case of actual emergency requiring immediate
payment to prevent loss or danger to the institution or its inmates and for the purpose of
paying freight, purchasing produce, livestock and other commodities requiring a cash
settlement, and for the purpose of discounting bills incurred, but in all cases subject to
revision by the commissioner of corrections. An itemized statement of every expenditure
made during the month from such account shall be submitted to the commissioner under
rules established by the commissioner. If necessary, the commissioner shall make proper
requisition upon the commissioner of management and budget for a deleted text begin warrantdeleted text end new text begin paymentnew text end to
secure the contingent account for each institution.

Sec. 57.

Minnesota Statutes 2016, section 244.19, subdivision 7, is amended to read:


Subd. 7.

Certificate of counties entitled to state aid.

On or before January 1 of each
year, until 1970 and on or before April 1 thereafter, the commissioner of corrections shall
deliver to the commissioner of management and budget a certificate in duplicate for each
county of the state entitled to receive state aid under the provisions of this section. Upon
the receipt of such certificate, the commissioner of management and budget shall deleted text begin draw a
warrant in favor of
deleted text end new text begin issue a payment tonew text end the county treasurer for the amount shown by each
certificate to be due to the county specified. The commissioner of management and budget
shall transmit such deleted text begin warrantdeleted text end new text begin paymentnew text end to the county treasurer together with a copy of the
certificate prepared by the commissioner of corrections.

Sec. 58.

Minnesota Statutes 2016, section 256B.20, is amended to read:


256B.20 COUNTY APPROPRIATIONS.

The providing of funds necessary to carry out the provisions hereof on the part of the
counties and the manner of administering the funds of the counties and the state shall be as
follows:

(1) The board of county commissioners of each county shall annually set up in its budget
an item designated as the county medical assistance fund and levy taxes and fix a rate
therefor sufficient to produce the full amount of such item, in addition to all other tax levies
and tax rate, however fixed or determined, sufficient to carry out the provisions hereof and
sufficient to pay in full the county share of assistance and administrative expense for the
ensuing year; and annually on or before October 10 shall certify the same to the county
auditor to be entered by the auditor on the tax rolls. Such tax levy and tax rate shall make
proper allowance and provision for shortage in tax collections.

(2) Any county may transfer surplus funds from any county fund, except the sinking or
ditch fund, to the general fund or to the county medical assistance fund in order to provide
money necessary to pay medical assistance awarded hereunder. The money so transferred
shall be used for no other purpose, but any portion thereof no longer needed for such purpose
shall be transferred back to the fund from which taken.

(3) Upon the order of the county agency the county auditor shall draw a warrant on the
proper fund in accordance with the order, and the county treasurer shall pay out the amounts
ordered to be paid out as medical assistance hereunder. When necessary by reason of failure
to levy sufficient taxes for the payment of the medical assistance in the county, the county
auditor shall carry any such payments as an overdraft on the medical assistance funds of
the county until sufficient tax funds shall be provided for such assistance payments. The
board of county commissioners shall include in the tax levy and tax rate in the year following
the year in which such overdraft occurred, an amount sufficient to liquidate such overdraft
in full.

(4) Claims for reimbursement and reports shall be presented to the state agency by the
respective counties as required under section 256.01, subdivision 2, paragraph (p). The state
agency shall audit such claims and certify to the commissioner of management and budget
the amounts due the respective counties without delay. The amounts so certified shall be
paid within ten days after such certification, from the state treasury upon deleted text begin warrantdeleted text end new text begin paymentnew text end
of the commissioner of management and budget from any money available therefor. The
money available to the state agency to carry out the provisions hereof, including all federal
funds available to the state, shall be kept and deposited by the commissioner of management
and budget in the revenue fund and disbursed deleted text begin upon warrantsdeleted text end in the same manner as other
state funds.

Sec. 59.

Minnesota Statutes 2016, section 260B.331, subdivision 2, is amended to read:


Subd. 2.

Cost of group foster care.

Whenever a child is placed in a group foster care
facility as provided in section 260B.198, subdivision 1, clause (2) or (3), item (v), the cost
of providing the care shall, upon certification by the juvenile court, be paid from the welfare
fund of the county in which the proceedings were held. To reimburse the counties for the
costs of providing group foster care for delinquent children and to promote the establishment
of suitable group foster homes, the state shall quarterly, from funds appropriated for that
purpose, reimburse counties 50 percent of the costs not paid by federal and other available
state aids and grants. Reimbursement shall be prorated if the appropriation is insufficient.

The commissioner of corrections shall establish procedures for reimbursement and certify
to the commissioner of management and budget each county entitled to receive state aid
under the provisions of this subdivision. Upon receipt of a certificate the commissioner of
management and budget shall issue a state deleted text begin warrantdeleted text end new text begin paymentnew text end to the county treasurer for the
amount due, together with a copy of the certificate prepared by the commissioner of
corrections.

Sec. 60.

Minnesota Statutes 2016, section 260C.331, subdivision 2, is amended to read:


Subd. 2.

Cost of group foster care.

Whenever a child is placed in a group foster care
facility as provided in section 260C.201, subdivision 1, paragraph (b), clause (2) or (3), the
cost of providing the care shall, upon certification by the juvenile court, be paid from the
welfare fund of the county in which the proceedings were held. To reimburse the counties
for the costs of promoting the establishment of suitable group foster homes, the state shall
quarterly, from funds appropriated for that purpose, reimburse counties 50 percent of the
costs not paid by federal and other available state aids and grants. Reimbursement shall be
prorated if the appropriation is insufficient.

The commissioner of corrections shall establish procedures for reimbursement and certify
to the commissioner of management and budget each county entitled to receive state aid
under the provisions of this subdivision. Upon receipt of a certificate the commissioner of
management and budget shall issue a state deleted text begin warrantdeleted text end new text begin paymentnew text end to the county treasurer for the
amount due, together with a copy of the certificate prepared by the commissioner of
corrections.

Sec. 61.

Minnesota Statutes 2016, section 273.121, subdivision 1, is amended to read:


Subdivision 1.

Notice.

Any county assessor or city assessor having the powers of a
county assessor, valuing or classifying taxable real property shall in each year notify those
persons whose property is to be included on the assessment roll that year if the person's
address is known to the assessor, otherwise the occupant of the property. The notice shall
be in writing and shall be sent by ordinary mail at least ten days before the meeting of the
local board of appeal and equalization under section 274.01 or the review process established
under section 274.13, subdivision 1c. Upon written request by the owner of the property,
the assessor may send the notice in electronic form or by electronic mail instead of on paper
or by ordinary mail. It shall contain: (1) the market value for the current and prior assessment,
(2) the qualifying amount of any improvements under section 273.11, subdivision 16, for
the current assessment, (3) the market value subject to taxation after subtracting the amount
of any qualifying improvements for the current assessment, (4) the classification of the
property for the current and prior assessment, (5) the assessor's office address, and (6) the
dates, places, and times set for the meetings of the local board of appeal and equalization,
the review process established under section 274.13, subdivision 1c, and the county board
of appeal and equalization. If the classification of the property has changed between the
current and prior assessments, a specific note to that effect shall be prominently listed on
the statement. The commissioner of revenue shall specify the form of the notice. The assessor
shall attach to the assessment roll a statement that the notices required by this section have
been mailed. Any assessor who is not provided sufficient funds from the assessor's governing
body to provide such notices, may make application to the commissioner of revenue to
finance such notices. The commissioner of revenue shall conduct an investigation and, if
satisfied that the assessor does not have the necessary funds, issue a certification to the
commissioner of management and budget of the amount necessary to provide such notices.
The commissioner of management and budget shall issue a deleted text begin warrantdeleted text end new text begin paymentnew text end for such amount
and shall deduct such amount from any state payment to such county or municipality. The
necessary funds to make such payments are hereby appropriated. Failure to receive the
notice shall in no way affect the validity of the assessment, the resulting tax, the procedures
of any board of review or equalization, or the enforcement of delinquent taxes by statutory
means.

Sec. 62.

Minnesota Statutes 2016, section 287.08, is amended to read:


287.08 TAX, HOW PAYABLE; RECEIPTS.

(a) The tax imposed by sections 287.01 to 287.12 must be paid to the treasurer of any
county in this state in which the real property or some part is located at or before the time
of filing the mortgage for record. The treasurer shall endorse receipt on the mortgage and
the receipt is conclusive proof that the tax has been paid in the amount stated and authorizes
any county recorder or registrar of titles to record the mortgage. Its form, in substance, shall
be "registration tax hereon of ..................... dollars paid." If the mortgage is exempt from
taxation the endorsement shall, in substance, be "exempt from registration tax." In either
case the receipt must be signed by the treasurer. In case the treasurer is unable to determine
whether a claim of exemption should be allowed, the tax must be paid as in the case of a
taxable mortgage. For documents submitted electronically, the endorsements and tax amount
shall be affixed electronically and no signature by the treasurer will be required. The actual
payment method must be arranged in advance between the submitter and the receiving
county.

(b) The county treasurer may refund in whole or in part any mortgage registry tax
overpayment if a written application by the taxpayer is submitted to the county treasurer
within 3-1/2 years from the date of the overpayment. If the county has not issued a denial
of the application, the taxpayer may bring an action in Tax Court in the county in which
the tax was paid at any time after the expiration of six months from the time that the
application was submitted. A denial of refund may be appealed within 60 days from the
date of the denial by bringing an action in Tax Court in the county in which the tax was
paid. The action is commenced by the serving of a petition for relief on the county treasurer,
and by filing a copy with the court. The county attorney shall defend the action. The county
treasurer shall notify the treasurer of each county that has or would receive a portion of the
tax as paid.

(c) If the county treasurer determines a refund should be paid, or if a refund is ordered
by the court, the county treasurer of each county that actually received a portion of the tax
shall immediately pay a proportionate share of three percent of the refund using any available
county funds. The county treasurer of each county that received, or would have received,
a portion of the tax shall also pay their county's proportionate share of the remaining 97
percent of the court-ordered refund on or before the 20th day of the following month using
solely the mortgage registry tax funds that would be paid to the commissioner of revenue
on that date under section 287.12. If the funds on hand under this procedure are insufficient
to fully fund 97 percent of the court-ordered refund, the county treasurer of the county in
which the action was brought shall file a claim with the commissioner of revenue under
section 16A.48 for the remaining portion of 97 percent of the refund, and shall pay over the
remaining portion upon receipt of a deleted text begin warrantdeleted text end new text begin paymentnew text end from the state issued pursuant to the
claim.

(d) When any mortgage covers real property located in more than one county in this
state the total tax must be paid to the treasurer of the county where the mortgage is first
presented for recording, and the payment must be receipted as provided in paragraph (a).
If the principal debt or obligation secured by such a multiple county mortgage exceeds
$10,000,000, the nonstate portion of the tax must be divided and paid over by the county
treasurer receiving it, on or before the 20th day of each month after receipt, to the county
or counties entitled in the ratio that the estimated market value of the real property covered
by the mortgage in each county bears to the estimated market value of all the real property
in this state described in the mortgage. In making the division and payment the county
treasurer shall send a statement giving the description of the real property described in the
mortgage and the estimated market value of the part located in each county. For this purpose,
the treasurer of any county may require the treasurer of any other county to certify to the
former the estimated market value of any tract of real property in any mortgage.

(e) The mortgagor must pay the tax imposed by sections 287.01 to 287.12. The mortgagee
may undertake to collect and remit the tax on behalf of the mortgagor. If the mortgagee
collects money from the mortgagor to remit the tax on behalf of the mortgagor, the mortgagee
has a fiduciary duty to remit the tax on behalf of the mortgagor as to the amount of the tax
collected for that purpose and the mortgagor is relieved of any further obligation to pay the
tax as to the amount collected by the mortgagee for this purpose.

Sec. 63.

Minnesota Statutes 2016, section 297I.10, subdivision 1, is amended to read:


Subdivision 1.

Cities of the first class.

(a) The commissioner shall order and direct a
surcharge to be collected of two percent of the fire, lightning, and sprinkler leakage gross
premiums, less return premiums, on all direct business received by any licensed foreign or
domestic fire insurance company on property in a city of the first class, or by its agents for
it, in cash or otherwise.

(b) By July 31 and December 31 of each year, the commissioner of management and
budget shall deleted text begin paydeleted text end new text begin issuenew text end to each city of the first class a deleted text begin warrantdeleted text end new text begin paymentnew text end for an amount equal
to the total amount of the surcharge on the premiums collected within that city since the
previous payment.

(c) The treasurer of the city shall place the money received under this subdivision in a
special account or fund to defray all or a portion of the employer contribution requirement
of public employees police and fire plan coverage for city firefighters.

Sec. 64.

Minnesota Statutes 2016, section 299C.21, is amended to read:


299C.21 PENALTY ON LOCAL OFFICER REFUSING INFORMATION.

If any public official charged with the duty of furnishing to the bureau fingerprint records,
biological specimens, reports, or other information required by sections 299C.06, 299C.10,
299C.105, 299C.11, 299C.17, shall neglect or refuse to comply with such requirement, the
bureau, in writing, shall notify the state, county, or city officer charged with the issuance
of deleted text begin a warrant fordeleted text end the payment of the salary of such official. Upon the receipt of the notice
the state, county, or city official shall withhold the issuance of deleted text begin a warrant fordeleted text end the payment
of the salary or other compensation accruing to such officer for the period of 30 days
thereafter until notified by the bureau that such suspension has been released by the
performance of the required duty.

Sec. 65.

Minnesota Statutes 2016, section 348.05, is amended to read:


348.05 COMMISSIONER OF MANAGEMENT AND BUDGET TO ISSUE
deleted text begin WARRANTdeleted text end new text begin PAYMENTnew text end .

The commissioner of management and budget shall audit all such claims, and, on the
first Monday of October, in each year, shall issue a deleted text begin warrantdeleted text end new text begin paymentnew text end to the several claimants
for the amount to which each is entitled; but, if the aggregate of compensation due to all
such claimants shall exceed the appropriation therefor, the commissioner shall distribute
the available amount amongst them pro rata, which distribution shall relieve the state from
further obligation to such claimants for the year.

Sec. 66.

Minnesota Statutes 2016, section 352.04, subdivision 9, is amended to read:


Subd. 9.

Erroneous deductions, canceled deleted text begin warrantsdeleted text end new text begin paymentsnew text end .

(a) Deductions taken
from the salary of an employee for the retirement fund in excess of required amounts must,
upon discovery and verification by the department making the deduction, be refunded to
the employee.

(b) If a deduction for the retirement fund is taken from a salary deleted text begin warrant or checkdeleted text end new text begin paymentnew text end ,
and the deleted text begin checkdeleted text end new text begin paymentnew text end is canceled or the amount of the deleted text begin warrant or checkdeleted text end new text begin paymentnew text end returned
to the funds of the department making the payment, the sum deducted, or the part of it
required to adjust the deductions, must be refunded to the department or institution if the
department applies for the refund on a form furnished by the director. The department's
payments must likewise be refunded to the department.

(c) If erroneous employee deductions and employer contributions are caused by an error
in plan coverage involving the plan and any other plans specified in section 356.99, that
section applies. If the employee should have been covered by the plan governed by chapter
352D, 353D, 354B, or 354D, the employee deductions and employer contributions taken
in error must be directly transferred to the applicable employee's account in the correct
retirement plan, with interest at the rate of 0.71 percent per month until June 30, 2015, and
0.667 percent per month thereafter, compounded annually, from the first day of the month
following the month in which coverage should have commenced in the correct defined
contribution plan until the end of the month in which the transfer occurs.

Sec. 67.

Minnesota Statutes 2016, section 352.05, is amended to read:


352.05 COMMISSIONER OF MANAGEMENT AND BUDGET TO BE
TREASURER OF SYSTEM.

The commissioner of management and budget is ex officio treasurer of the retirement
funds of the system. The general bond to the state shall cover all liability for actions as
treasurer of these funds. Funds of the system received by the commissioner of management
and budget must be set aside in the state treasury to the credit of the proper fund. The
commissioner of management and budget shall deliver to the director copies of all payroll
abstracts of the state together with the commissioner of management and budget's deleted text begin warrantsdeleted text end
new text begin paymentsnew text end covering the deductions made on these payroll abstracts for the retirement fund.
The director shall have a list made of the commissioner of management and budget's deleted text begin warrantsdeleted text end new text begin
payments
new text end . These deleted text begin warrantsdeleted text end new text begin paymentsnew text end must then be credited to the retirement fund. The
commissioner of management and budget shall pay out of this fund only upon abstracts
signed by the director, or by the finance officer designated by the director during the disability
or the absence of the director from the city of St. Paul, Minnesota. Abstracts for investments
may be signed by the executive director of the State Board of Investment.

Sec. 68.

Minnesota Statutes 2016, section 352.115, subdivision 12, is amended to read:


Subd. 12.

Death, return of deleted text begin warrantsdeleted text end new text begin paymentsnew text end .

If at the time of death a retired
employee, a disabled employee, or a survivor has in possession new text begin the new text end commissioner of
management and budget's deleted text begin warrantsdeleted text end new text begin paymentsnew text end covering a retirement annuity, disability
benefitnew text begin ,new text end or survivor benefit from the retirement fund, in the absence of probate proceedings,
and upon the return of the deleted text begin warrantsdeleted text end new text begin paymentsnew text end for cancellation, payment of the accrued
annuity or benefitdeleted text begin ,deleted text end shall be made as provided in subdivision 11, or 352.12, subdivision 4.
Payments made under this subdivision shall be a bar to recovery by any other person or
persons.

Sec. 69.

Minnesota Statutes 2016, section 352.12, subdivision 13, is amended to read:


Subd. 13.

Refund, beneficiary.

If upon death a former employee has in possession a
commissioner of management and budget's deleted text begin warrantdeleted text end new text begin paymentnew text end which does not exceed $1,000
covering a refund of accumulated contributions in the retirement fund, in the absence of
probate proceedings the commissioner of management and budget's deleted text begin warrantdeleted text end new text begin paymentnew text end may
be returned for cancellation, and then upon application made by the last designated
beneficiary of the deceased former employee, refund of the accumulated contributions must
be paid to the last designated beneficiary. Payments made under this subdivision are a bar
to recovery by any other person or persons.

Sec. 70.

Minnesota Statutes 2016, section 353.05, is amended to read:


353.05 CUSTODIAN OF FUNDS.

The commissioner of management and budget shall be ex officio treasurer of the
retirement funds of the association and the general bond of the commissioner of management
and budget to the state must be so conditioned as to cover all liability for acts as treasurer
of these funds. All money of the association received by the commissioner of management
and budget must be set aside in the state treasury to the credit of the proper fund or account.
The commissioner of management and budget shall transmit monthly to the executive
director a detailed statement of all amounts so received and credited to the funds. Payments
out of the funds may only be made deleted text begin on warrantsdeleted text end new text begin as paymentsnew text end issued by the commissioner of
management and budget, upon abstracts signed by the executive director; provided that
abstracts for investment may be signed by the executive director of the State Board of
Investment.

Sec. 71.

Minnesota Statutes 2016, section 353.27, subdivision 7, is amended to read:


Subd. 7.

Adjustment for erroneous receipts or disbursements.

(a) Except as provided
in paragraph (b), erroneous employee deductions and erroneous employer contributions and
additional employer contributions to the general employees retirement plan of the Public
Employees Retirement Association or to the public employees police and fire retirement
plan for a person who otherwise does not qualify for membership under this chapter, are
considered:

(1) valid if the initial erroneous deduction began before January 1, 1990. Upon
determination of the error by the association, the person may continue membership in the
association while employed in the same position for which erroneous deductions were taken,
or file a written election to terminate membership and apply for a refund upon termination
of public service or defer an annuity under section 353.34; or

(2) invalid, if the initial erroneous employee deduction began on or after January 1,
1990. Upon determination of the error, the association shall refund all erroneous employee
deductions and all erroneous employer contributions as specified in paragraph (e). No person
may claim a right to continued or past membership in the association based on erroneous
deductions which began on or after January 1, 1990.

(b) Erroneous deductions taken from the salary of a person who did not qualify for
membership in the general employees retirement plan of the Public Employees Retirement
Association or in the public employees police and fire retirement plan by virtue of concurrent
employment before July 1, 1978, which required contributions to another retirement fund
or relief association established for the benefit of officers and employees of a governmental
subdivision, are invalid. Upon discovery of the error, allowable service credit for all invalid
service if forfeited and, upon termination of public service, the association shall refund all
erroneous employee deductions to the person, with interest as determined under section
353.34, subdivision 2, and all erroneous employer contributions without interest to the
employer. This paragraph has both retroactive and prospective application.

(c) Adjustments to correct employer contributions and employee deductions taken in
error from amounts which are not salary under section 353.01, subdivision 10, must be
made as specified in paragraph (e). The period of adjustment must be limited to the fiscal
year in which the error is discovered by the association and the immediate two preceding
fiscal years.

(d) If there is evidence of fraud or other misconduct on the part of the employee or the
employer, the board of trustees may authorize adjustments to the account of a member or
former member to correct erroneous employee deductions and employer contributions on
invalid salary and the recovery of any overpayments for a period longer than provided for
under paragraph (c).

(e) Upon discovery of the receipt of erroneous employee deductions and employer
contributions under paragraph (a), clause (2), or paragraph (c), the association must require
the employer to discontinue the erroneous employee deductions and erroneous employer
contributions reported on behalf of a member. Upon discontinuation, the association must:

(1) for a member, provide a refund in the amount of the invalid employee deductions
with interest on the invalid employee deductions at the rate specified under section 353.34,
subdivision 2
, from the received date of each invalid salary transaction through the date the
credit or refund is made;

(2) for a former member who:

(i) is not receiving a retirement annuity or benefit, return the erroneous employee
deductions to the former member through a refund with interest at the rate specified under
section 353.34, subdivision 2, from the received date of each invalid salary transaction
through the date the credit or refund is made; or

(ii) is receiving a retirement annuity or disability benefit, or a person who is receiving
an optional annuity or survivor benefit, for whom it has been determined an overpayment
must be recovered, adjust the payment amount and recover the overpayments as provided
under this section; and

(3) return the invalid employer contributions reported on behalf of a member or former
member to the employer by providing a credit against future contributions payable by the
employer.

(f) In the event that a salary deleted text begin warrant or checkdeleted text end new text begin paymentnew text end from which a deduction for the
retirement fund was taken has been canceled or the amount of the deleted text begin warrant or checkdeleted text end new text begin paymentnew text end
returned to the funds of the department making the payment, a refund of the sum deducted,
or any portion of it that is required to adjust the deductions, must be made to the department
or institution.

(g) If the association discovers that a retirement annuity, survivor benefit, or disability
benefit has been incorrectly calculated by using invalid service or salary, or due to any
erroneous calculation procedure, the association must recalculate the annuity or benefit
payable and begin payment of the corrected annuity or benefit effective the first of the month
following discovery of the error. Any overpayment resulting from the incorrect calculation
must be recovered as provided under subdivision 7b, if the accrual date, or any adjustment
in the amount of the annuity or benefit calculated after the accrual date, except adjustments
required under section 353.656, subdivision 4, falls within the current fiscal year and the
two immediate previous fiscal years.

(h) Notwithstanding the provisions of this subdivision, the association may apply the
Revenue Procedures defined in the federal Internal Revenue Service Employee Plans
Compliance Resolution System and not issue a refund of erroneous employee deductions
and employer contributions or not recover a small overpayment of benefits if the cost to
correct the error would exceed the amount of the member refund or overpayment.

(i) Any fees or penalties assessed by the federal Internal Revenue Service for any failure
by an employer to follow the statutory requirements for reporting eligible members and
salary must be paid by the employer.

Sec. 72.

Minnesota Statutes 2016, section 354.42, subdivision 7, is amended to read:


Subd. 7.

Erroneous salary deductions or direct payments.

(a) Any deductions taken
from the salary of an employee for the retirement fund in excess of amounts required must
be refunded to the employee upon the discovery of the error and after the verification of
the error by the employing unit making the deduction. The corresponding excess employer
contribution and excess additional employer contribution amounts attributable to the
erroneous salary deduction must be refunded to the employing unit.

(b) If salary deductions and employer contributions were erroneously transmitted to the
retirement fund and should have been transmitted to the plan covered by chapter 352D,
353D, 354B, or 354D, the executive director must transfer these salary deductions and
employer contributions to the account of the appropriate person under the applicable plan.
The transfer to the applicable defined contribution plan account must include interest at the
rate of 0.71 percent per month, compounded annually, from the first day of the month
following the month in which coverage should have commenced in the defined contribution
plan until the end of the month in which the transfer occurs.

(c) A potential transfer under paragraph (b) that would cause the plan to fail to be a
qualified plan under section 401(a) of the Internal Revenue Code, as amended, must not be
made by the executive director. Within 30 days after being notified by the Teachers
Retirement Association of an unmade potential transfer under this paragraph, the employer
of the affected person must transmit an amount representing the applicable salary deductions
and employer contributions, without interest, to the account of the applicable person under
the appropriate plan. The retirement association must provide a credit for the amount of the
erroneous salary deductions and employer contributions against future contributions from
the employer.

(d) If a salary deleted text begin warrant or checkdeleted text end new text begin paymentnew text end from which a deduction for the retirement fund
was taken has been canceled or the amount of the deleted text begin warrant or if a checkdeleted text end new text begin paymentnew text end has been
returned to the funds of the employing unit making the payment, a refund of the amount
deducted, or any portion of it that is required to adjust the salary deductions, must be made
to the employing unit.

(e) Erroneous direct payments of member-paid contributions or erroneous salary
deductions that were not refunded during the regular payroll cycle processing must be
refunded to the member, plus interest computed using the rate and method specified in
section 354.49, subdivision 2.

(f) Any refund under this subdivision that would cause the plan to fail to be a qualified
plan under section 401(a) of the Internal Revenue Code, as amended, may not be refunded
and instead must be credited against future contributions payable by the employer. The
employer is responsible for refunding to the applicable employee any amount that was
erroneously deducted from the salary of the employee, with interest as specified in paragraph
(e).

(g) If erroneous employee deductions and employer contributions are caused by an error
in plan coverage involving the plan and any other plan specified in section 356.99, that
section applies.

Sec. 73.

Minnesota Statutes 2016, section 354.52, subdivision 4, is amended to read:


Subd. 4.

Reporting and remittance requirements.

An employer shall remit all amounts
due to the association and furnish a statement indicating the amount due and transmitted
with any other information required by the executive director. If an amount due is not
received by the association within 14 calendar days of the payroll deleted text begin warrantdeleted text end new text begin paymentnew text end , the
amount accrues interest at an annual rate of 8.5 percent compounded annually from the due
date until the amount is received by the association. All amounts due and other employer
obligations not remitted within 60 days of notification by the association must be certified
to the commissioner of management and budget who shall deduct the amount from any state
aid or appropriation amount applicable to the employing unit.

Sec. 74.

Minnesota Statutes 2016, section 354.52, subdivision 4b, is amended to read:


Subd. 4b.

Payroll cycle reporting requirements.

An employing unit shall provide the
following data to the association for payroll deleted text begin warrantsdeleted text end new text begin paymentsnew text end on an ongoing basis within
14 calendar days after the date of the payroll deleted text begin warrantdeleted text end new text begin paymentsnew text end in a format prescribed by
the executive director:

(1) association member number;

(2) employer-assigned employee number;

(3) Social Security number;

(4) amount of each salary deduction;

(5) amount of salary as defined in section 354.05, subdivision 35, from which each
deduction was made;

(6) reason for payment;

(7) the beginning and ending dates of the payroll period covered and the date of actual
payment;

(8) fiscal year of salary earnings;

(9) total remittance amount including employee, employer, and additional employer
contributions;

(10) reemployed annuitant salary under section 354.44, subdivision 5; and

(11) other information as may be required by the executive director.

Sec. 75.

Minnesota Statutes 2016, section 401.15, subdivision 1, is amended to read:


Subdivision 1.

Certified statements; determinations; adjustments.

Within 60 days
of the end of each calendar quarter, participating counties which have received the payments
authorized by section 401.14 shall submit to the commissioner certified statements detailing
the amounts expended and costs incurred in furnishing the correctional services provided
in sections 401.01 to 401.16. Upon receipt of certified statements, the commissioner shall,
in the manner provided in sections 401.10 and 401.12, determine the amount each
participating county is entitled to receive, making any adjustments necessary to rectify any
disparity between the amounts received pursuant to the estimate provided in section 401.14
and the amounts actually expended. If the amount received pursuant to the estimate is greater
than the amount actually expended during the quarter, the commissioner may withhold the
difference from any subsequent monthly payments made pursuant to section 401.14. Upon
certification by the commissioner of the amount a participating county is entitled to receive
under the provisions of section 401.14 or of this subdivision the commissioner of
management and budget shall thereupon issue a deleted text begin state warrantdeleted text end new text begin paymentnew text end to the chief fiscal
officer of each participating county for the amount due together with a copy of the certificate
prepared by the commissioner.

Sec. 76.

Minnesota Statutes 2016, section 446A.086, subdivision 4, is amended to read:


Subd. 4.

Notifications; payment; appropriation.

(a) After receipt of a notice of a
default or potential default in payment of principal or interest in debt obligations covered
by this section or an agreement under this section, and after consultation with the
governmental unit and the paying agent, and after verification of the accuracy of the
information provided, the authority shall notify the commissioner of the potential default.
The notice must include a final figure as to the amount due that the governmental unit will
be unable to repay on the date due.

(b) Upon receipt of this notice from the authority, the commissioner shall issue a deleted text begin warrantdeleted text end new text begin
payment
new text end and authorize the authority to pay to the bond holders or paying agent for the debt
obligation the specified amount on or before the date due. The amounts needed for the
purposes of this subdivision are annually appropriated to the authority from the general
fund.

Sec. 77.

Minnesota Statutes 2016, section 446A.16, subdivision 1, is amended to read:


Subdivision 1.

Functions of commissioner of management and budget.

Except as
otherwise provided in this section, money of the authority must be paid to the commissioner
of management and budget as agent of the authority and the commissioner shall not
commingle the money with other money. The money in the accounts of the authority must
be paid out only deleted text begin on warrants drawndeleted text end by the commissioner of management and budget on
requisition of the chair of the authority or of another officer or employee as the authority
authorizes. Deposits of the authority's money must, if required by the commissioner or the
authority, be secured by obligations of the United States or of the state of a market value
equal at all times to the amount of the deposit and all banks and trust companies are
authorized to give security for the deposits.

Sec. 78.

Minnesota Statutes 2016, section 462A.18, subdivision 1, is amended to read:


Subdivision 1.

Functions of commissioner of management and budget.

All moneys
of the agency, except as otherwise authorized or provided in this section, shall be paid to
the commissioner of management and budget as agent of the agency, who shall not
commingle such moneys with any other moneys. The moneys in such accounts shall be
paid out deleted text begin on warrants drawndeleted text end by the commissioner on requisition of the chair of the agency
or of such other officer or employee as the agency shall authorize to make such requisition.
All deposits of such moneys shall, if required by the commissioner or the agency, be secured
by obligations of the United States or of the state of a market value equal at all times to the
amount of the deposit and all banks and trust companies are authorized to give such security
for such deposits.

Sec. 79.

Minnesota Statutes 2016, section 475A.04, subdivision 1, is amended to read:


Subdivision 1.

Procedure.

In the event that funds sufficient to pay all of the principal
and interest due on any guaranteed bond are not in the hands of the municipal treasurer or
the paying agent at least 15 days before the due date, the treasurer or agent shall report the
amount of the deficiency to the paying agent and the auditor who shall grant a loan to the
issuer in this amount and shall certify to the issuer, the paying agent, and the auditor and
treasurer of each county in which property subject to taxation by the issuer is situated, the
amount of the loan and interest to accrue thereon to the due date of the loan, and the
commissioner of management and budget shall issue a deleted text begin warrantdeleted text end new text begin paymentnew text end for the principal
amount and shall remit it to the paying agent on or before the due date. If the municipal
treasurer fails to deposit funds with the paying agent sufficient to pay all principal and
interest due on any guaranteed bond on any date, without having previously given the notice
herein required, the paying agent may report the amount of the deficiency to the
commissioner of management and budget, who shall forthwith grant a loan to the issuer for
this amount plus interest to accrue thereon for one month at the rate represented by the
coupons then due, and the loan shall be certified and remitted as provided above. The paying
agent may advance its own funds for the payment of any guaranteed bonds and interest due
for which it has not received sufficient funds from the municipality, and may contract with
the municipality to make such advances, and shall be entitled to reimbursement therefor
from the proceeds of the loan, with interest at the rate represented by the coupons due. The
issuing municipality shall give a receipt to the commissioner of management and budget
for the amount of the loan and interest.

Sec. 80.

Minnesota Statutes 2016, section 525.841, is amended to read:


525.841 ESCHEAT RETURNED.

In all such cases the commissioner of management and budget shall be furnished with
a certified copy of the court's order assigning the escheated property to the persons entitled
thereto, and upon notification of payment of the estate tax, the commissioner of management
and budget shall deleted text begin draw a warrantdeleted text end new text begin issue a paymentnew text end or execute a proper conveyance to the
persons designated in such order. In the event any escheated property has been sold pursuant
to sections 11A.04, clause (9), and 11A.10, subdivision 2, or 16B.281 to 16B.287, then the
deleted text begin warrantdeleted text end new text begin paymentnew text end shall be for the appraised value as established during the administration
of the decedent's estate. There is hereby annually appropriated from any moneys in the state
treasury not otherwise appropriated an amount sufficient to make payment to all such
designated persons. No interest shall be allowed on any amount paid to such persons.

ARTICLE 4

ADMINISTRATIVE RULEMAKING

Section 1.

Minnesota Statutes 2016, section 3.842, subdivision 4a, is amended to read:


Subd. 4a.

Objections to rulesnew text begin or proposed rulesnew text end .

(a) For purposes of this subdivision,
"committee" means the house of representatives policy committee or senate policy committee
with primary jurisdiction over state governmental operations. The commission or a committee
may object to a rulenew text begin or proposed rulenew text end as provided in this subdivisiondeleted text begin . If the commission or
a committee objects to all or some portion of a rule because the commission or committee
considers it to be
deleted text end new text begin on the grounds that the rule or proposed rule:
new text end

new text begin (1) isnew text end beyond the procedural or substantive authority delegated to the agencydeleted text begin , including
a proposed rule submitted under section 14.15, subdivision 4, or 14.26, subdivision 3,
paragraph (c)
deleted text end new text begin ;
new text end

new text begin (2) is inconsistent with the enabling statute;
new text end

new text begin (3) is unnecessary or redundant;
new text end

new text begin (4) has a substantial economic impact as defined in section 14.02, subdivision 5;
new text end

new text begin (5) is not based on sound, reasonably available scientific, technical, economic, or other
information;
new text end

new text begin (6) is not cost-effective;
new text end

new text begin (7) is unduly burdensome; or
new text end

new text begin (8) is more restrictive than the standard, limitation, or requirement imposed by federal
law or rule pertaining to the same subject matter.
new text end

new text begin If the commission or committee objects to all or some portion of a rule or proposed rulenew text end ,
the commission or committee deleted text begin maydeleted text end new text begin shallnew text end file that objection in the Office of the Secretary of
State. The filed objection must contain a concise statement of the commission's or
committee's reasons for its action. deleted text begin An objection to a proposed rule submitted by the
commission or a committee under section 14.15, subdivision 4, or 14.26, subdivision 3,
paragraph (c), may not be filed before the rule is adopted
deleted text end new text begin For a proposed rule, the objection
must be filed within 30 days of receipt of the notice under section 14.14, 14.22, 14.386,
14.388, 14.389, or 14.3895
new text end .

(b) The secretary of state shall affix to each objection a certification of the date and time
of its filing and as soon after the objection is filed as practicable shallnew text begin electronicallynew text end transmit
a deleted text begin certifieddeleted text end copy of it to the agency issuing the rule in question and to the revisor of statutes.
The secretary of state shall also maintain a permanent register open to public inspection of
all objections by the commission or committee.

(c) The commission or committee shall publish and index an objection filed under this
section in the next issue of the State Register. The revisor of statutes shall indicate the
existence of the objection adjacent to the rule in question when that rule is published in
Minnesota Rules.

(d) Within 14 days after the filing of an objection by the commission or committee to a
rulenew text begin or proposed rulenew text end , the issuing agency shall respond in writing to the objecting entity.
After receipt of the response, the commission or committee may withdraw or modify its
objection.new text begin After the filing of an objection that is not subsequently withdrawn, the agency
may not adopt the rule until the legislature adjourns the annual legislative session that began
after the objection was filed. If the commission files an objection that is not subsequently
withdrawn, the commission must, as soon as practical, make a recommendation on a bill
that approves the proposed rule, prohibits adoption of the proposed rule, or amends or repeals
the law governing a previously adopted rule for which an objection was filed.
new text end

(e) After the filing of an objection by the commission or committee that is not
subsequently withdrawn, the burden is upon the agency in any proceeding for judicial review
or for enforcement of the rule to establish that the whole or portion of the rule objected to
is validnew text begin and demonstrates that the objection raised under paragraph (a) is not justified, based
on the criteria for objecting to a rule under paragraph (a)
new text end .

(f) The failure of the commission or a committee to object to a rule is not an implied
legislative authorization of its validity.

(g) In accordance with sections 14.44 and 14.45, the commission or a committee may
petition for a declaratory judgment to determine the validity of a rule objected to by the
commission or committee. The action must be started within two years after an objection
is filed in the Office of the Secretary of State.

(h) The commission or a committee may intervene in litigation arising from agency
action. For purposes of this paragraph, agency action means the whole or part of a rule, or
the failure to issue a rule.

Sec. 2.

Minnesota Statutes 2016, section 10A.02, subdivision 13, is amended to read:


Subd. 13.

Rules.

(a) Chapter 14 applies to the board. The board may adopt rules to carry
out the purposes of this chapternew text begin if, before June 1, 2017, the board has published a notice of
intent to adopt a rule without public hearing under section 14.22, subdivision 1, 14.389,
subdivision 2, or 14.3895, subdivision 3; a dual notice under section 14.22, subdivision 2;
or a notice of hearing on a proposed rule under section 14.14
new text end .

(b) new text begin After May 31, 2017, the board may only adopt rules that:
new text end

new text begin (1) incorporate specific changes set forth in applicable statutes when no interpretation
of law is required; or
new text end

new text begin (2) make changes to rules that do not alter the sense, meaning, or effect of a rule.
new text end

new text begin (c) new text end In addition to the notice required under chapter 14, the board shall notify the chairs
and ranking minority members of the committees or subcommittees in the senate and house
of representatives with primary jurisdiction over elections within seven calendar days of
taking the following actions:

(1) publication of a notice of intent to adopt rules or a notice of hearing;

(2) publication of proposed rules in the State Register;

(3) issuance of a statement of need and reasonableness; or

(4) adoption of final rules.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment for
rules for which a notice of intent to adopt a rule without public hearing under Minnesota
Statutes, section 14.22, subdivision 1, 14.389, subdivision 2, or 14.3895, subdivision 3; a
dual notice under Minnesota Statutes, section 14.22, subdivision 2; or a notice of hearing
on a proposed rule under Minnesota Statutes, section 14.14, was published before June 1,
2017.
new text end

Sec. 3.

Minnesota Statutes 2016, section 10A.025, subdivision 1a, is amended to read:


Subd. 1a.

Electronic filing.

A report or statement required to be filed under this chapter
may be filed electronically. The board shall adopt rules deleted text begin to regulatedeleted text end new text begin on the technical aspects
of regulating
new text end electronic filing and deleted text begin to ensuredeleted text end new text begin ensuring new text end that the electronic filing process is
secure.

Sec. 4.

Minnesota Statutes 2016, section 14.002, is amended to read:


14.002 STATE REGULATORY POLICY.

The legislature recognizes the important and sensitive role for administrative rules in
implementing policies and programs created by the legislature. However, the legislature
finds that some regulatory rules and programs have become overly prescriptive and inflexible,
thereby increasing costs to the state, local governments, and the regulated community and
decreasing the effectiveness of the regulatory program. Therefore, deleted text begin whenever feasible,deleted text end state
agencies must develop rules and regulatory programs that emphasize superior achievement
in meeting the agency's regulatory objectives and maximum flexibility for the regulated
party and the agency in meeting those goals.

Sec. 5.

Minnesota Statutes 2016, section 14.02, is amended by adding a subdivision to
read:


new text begin Subd. 5. new text end

new text begin Substantial economic impact. new text end

new text begin A rule has a "substantial economic impact" if
the rule would result in, or likely result in:
new text end

new text begin (1) an adverse effect or impact on the private-sector economy of the state of Minnesota
of $5,000,000 or more in a single year;
new text end

new text begin (2) a significant increase in costs or prices for consumers, individual private-sector
industries, state agencies, local governments, individuals, or private-sector enterprises within
certain geographic regions inside the state of Minnesota;
new text end

new text begin (3) significant adverse impacts on the competitiveness of private-sector Minnesota-based
enterprises, or on private-sector employment, investment, productivity, or innovation within
the state of Minnesota; or
new text end

new text begin (4) compliance costs, in the first year after the rule takes effect, of more than $25,000
for any one business that has fewer than 50 full-time employees, or for any one statutory
or home rule charter city that has fewer than ten full-time employees.
new text end

Sec. 6.

Minnesota Statutes 2016, section 14.05, subdivision 1, is amended to read:


Subdivision 1.

Authority to adopt original rules restricted.

new text begin (a) new text end Each agency shall
adopt, amend, suspend, or repeal its rulesnew text begin :
new text end

new text begin (1)new text end in accordance with the procedures specified in sections 14.001 to 14.69deleted text begin , anddeleted text end new text begin ;
new text end

new text begin (2)new text end only pursuant to authority delegated by lawnew text begin ;new text end and

new text begin (3) new text end in full compliance with its duties and obligations.

new text begin (b)new text end If a law authorizing rules is repealed, the rules adopted pursuant to that law are
automatically repealed on the effective date of the law's repeal unless there is another law
authorizing the rules.

new text begin (c)new text end Except as provided in deleted text begin sectiondeleted text end new text begin sections 14.055,new text end 14.06,new text begin 14.388, 14.389, and 14.3895,new text end
sections 14.001 to 14.69 shall not be authority for an agency to adopt, amend, suspend, or
repeal rules.

Sec. 7.

Minnesota Statutes 2016, section 14.05, is amended by adding a subdivision to
read:


new text begin Subd. 1a. new text end

new text begin Limitation regarding certain policies, guidelines, and other interpretive
statements.
new text end

new text begin An agency shall not seek to implement or enforce against any person a policy,
guideline, or other interpretive statement that meets the definition of a rule under this chapter
if the policy, guideline, or other interpretive statement has not been adopted as a rule in
accordance with this chapter including but not limited to solid waste policy plan revisions
authorized by other law. In any proceeding under chapter 14 challenging an agency action
prohibited by this subdivision, the reviewing authority must independently and without
deference to the agency determine if the agency has violated this subdivision. The agency
must overcome the presumption that its action may not be enforced as a rule.
new text end

Sec. 8.

Minnesota Statutes 2016, section 14.05, subdivision 2, is amended to read:


Subd. 2.

Authority to modify proposed rule.

(a) An agency may modify a proposed
rule in accordance with the procedures of the Administrative Procedure Act. However, an
agency may not modify a proposed rule so that it is substantially different from the proposed
rule in the notice of intent to adopt rules or notice of hearing.

(b) A modification does not make a proposed rule substantially different if:

(1) the differences are within the scope of the matter announced in the notice of intent
to adopt or notice of hearing and are in character with the issues raised in that notice;

(2) the differences are a logical outgrowth of the contents of the notice of intent to adopt
or notice of hearing and the comments submitted in response to the notice; and

(3) the notice of intent to adopt or notice of hearing provided fair warning that the
outcome of that rulemaking proceeding could be the rule in question.

(c) In determining whether the notice of intent to adopt or notice of hearing provided
fair warning that the outcome of that rulemaking proceeding could be the rule in question
the following factors must be considered:

(1) the extent to which persons who will be affected by the rule should have understood
that the rulemaking proceeding on which it is based could affect their interests;

(2) the extent to which the subject matter of the rule or issues determined by the rule are
different from the subject matter or issues contained in the notice of intent to adopt or notice
of hearing; and

(3) the extent to which the effects of the rule differ from the effects of the proposed rule
contained in the notice of intent to adopt or notice of hearing.

new text begin (d) A modification makes a proposed rule substantially different if the modification
causes a rule that did not previously have a substantial economic impact to have a substantial
economic impact.
new text end

Sec. 9.

Minnesota Statutes 2016, section 14.05, is amended by adding a subdivision to
read:


new text begin Subd. 5a. new text end

new text begin Review and repeal of rules. new text end

new text begin By December 1 of each odd-numbered year,
beginning December 1, 2017, an agency must submit to the governor, the Legislative
Coordinating Commission, the policy and funding committees and divisions with jurisdiction
over the agency, and the revisor of statutes, a list of any rules or portions of rules that are
obsolete, unnecessary, or duplicative of other state or federal statutes or rules. The list must
also include an explanation of why the rule or portion of the rule is obsolete, unnecessary,
or duplicative of other state or federal statutes or rules. The agency must either report a
timetable for repeal of the rule or portion of the rule, or must develop a bill for submission
to the appropriate policy committee to repeal the obsolete, unnecessary, or duplicative rule.
A report submitted under this subdivision must be signed by the person in the agency who
is responsible for identifying and initiating repeal of obsolete rules. The report also must
identify the status of any rules identified in the prior report as obsolete, unnecessary, or
duplicative. If none of an agency's rules are obsolete, unnecessary, or duplicative, an agency's
report must state that conclusion.
new text end

Sec. 10.

Minnesota Statutes 2016, section 14.05, is amended by adding a subdivision to
read:


new text begin Subd. 5b. new text end

new text begin Review and repeal of environmental assessment worksheets and impact
statements.
new text end

new text begin By December 1, 2017, and each odd-numbered year thereafter, the
Environmental Quality Board, Pollution Control Agency, Department of Natural Resources,
and Department of Transportation, after consultation with political subdivisions, shall submit
to the governor, the Legislative Coordinating Commission, the chairs and ranking minority
members of the house of representatives and senate committees having jurisdiction over
environment and natural resources, and the revisor of statutes a list of mandatory
environmental assessment worksheets or mandatory environmental impact statements for
which the agency or a political subdivision is designated as the responsible government
unit, and for each worksheet or statement, a document including:
new text end

new text begin (1) intended outcomes of the specific worksheet or statement;
new text end

new text begin (2) the cost to state and local government and the private sector;
new text end

new text begin (3) the relationship of the worksheet or statement to other local, state, and federal permits;
and
new text end

new text begin (4) a justification for why the mandatory worksheet or statement should not be eliminated
and its intended outcomes achieved through an existing permit or other federal, state, or
local law.
new text end

Sec. 11.

Minnesota Statutes 2016, section 14.05, subdivision 6, is amended to read:


Subd. 6.

Veto of adopted rules.

The governor may veto all or a severable portion of a
rule of an agency as defined in section 14.02, subdivisions 2 and 4, by submitting notice of
the veto to the State Register within 14 days of receiving a copy of the rule from the secretary
of state under section 14.16, subdivision 3, 14.26, subdivision deleted text begin 3deleted text end new text begin 5new text end , deleted text begin ordeleted text end 14.386new text begin ,new text end or the agency
under section 14.389, subdivision 3, or section 14.3895. The veto is effective when the veto
notice is submitted to the State Register. This authority applies only to the extent that the
agency itself would have authority, through rulemaking, to take such action. If the governor
vetoes a rule or portion of a rule under this section, the governor shall notify the chairs of
the legislative committees having jurisdiction over the agency whose rule was vetoed.

Sec. 12.

Minnesota Statutes 2016, section 14.05, subdivision 7, is amended to read:


Subd. 7.

Electronic documents permitted.

new text begin (a) If sections 14.05 to 14.3895 require an
agency to provide notice or documents to the public, the legislature, or other state agency,
the agency may send the notice or document, or a link to the notice or document, using any
reliable method of electronic transmission.
new text end

new text begin (b) The agency must also send a paper copy of the notice or document if requested to
do so by a member of the public, legislature, or other state agency.
new text end

new text begin (c) new text end An agency may file rule-related documents with the Office of Administrative Hearings
by electronic transmission in the manner approved by that office and the Office of the
Revisor of Statutes by electronic transmission in the manner approved by that office.

Sec. 13.

Minnesota Statutes 2016, section 14.101, subdivision 1, is amended to read:


Subdivision 1.

Required notice.

In addition to seeking information by other methods
designed to reach persons or deleted text begin classesdeleted text end new text begin categoriesnew text end of persons who might be affected by the
proposal, an agency, at least 60 days before publication of a notice of intent to adopt or a
notice of hearing, shall solicit comments from the public on the subject matter of a possible
rulemaking proposal under active consideration within the agency by causing notice to be
published in the State Register. The notice must include a description of the subject matter
of the proposal and the types of groups and individuals likely to be affected, and must
indicate where, when, and how persons may comment on the proposal and whether and
how drafts of any proposal may be obtained from the agency.

This notice must be published within 60 days of the effective date of any new or
amendatory law requiring rules to be adopted, amended, or repealed.

new text begin An agency intending to adopt an expedited rule under section 14.389 is exempt from
the requirements of this section.
new text end

Sec. 14.

new text begin [14.105] RULE NOTIFICATION.
new text end

new text begin Subdivision 1. new text end

new text begin Rule notification list. new text end

new text begin (a) Each agency shall maintain a list of all persons
who have registered with the agency for the purpose of receiving notice of rule proceedings.
A person may register to receive notice of rule proceedings by submitting to the agency:
new text end

new text begin (1) the person's electronic mail address; or
new text end

new text begin (2) the person's name and United States mail address, along with a request to receive
copies of the notices by mail.
new text end

new text begin (b) The agency shall post information on its Web site describing the registration process.
new text end

new text begin (c) The agency may inquire as to whether those persons on the list in paragraph (a) wish
to remain on it and may remove persons for whom there is a negative reply or no reply
within 60 days.
new text end

new text begin Subd. 2. new text end

new text begin Additional notice. new text end

new text begin (a) Each agency shall make reasonable efforts to notify
persons or categories of persons who may be significantly affected by the rule being proposed
by giving notice of its rule proceedings in newsletters, newspapers, or other publications,
or through other means of communication.
new text end

new text begin (b) For each rulemaking, the agency shall develop an additional notice plan describing
its efforts to provide additional notification to persons or categories of persons who may be
affected by the proposed rule or must explain why these efforts were not made. The additional
notice plan must be submitted to the administrative law judge with the other submissions
required by section 14.14, subdivision 2a, or 14.26. The agency also may seek prior approval
of the additional notice plan under the rules of the Office of Administrative Hearings.
new text end

Sec. 15.

Minnesota Statutes 2016, section 14.116, is amended to read:


14.116 NOTICE TO LEGISLATURE.

(a) By January 15 each year, each agency must submit its new text begin currentnew text end rulemaking docket
maintained under section 14.366deleted text begin , and the official rulemaking record required under section
14.365 for any rule adopted during the preceding calendar year,
deleted text end to the chairs and ranking
minority members of the legislative policy and budget committees with jurisdiction over
the subject matter of the proposed rulenew text begin and to the Legislative Coordinating Commission.
Each agency must post a link to its rulemaking docket on the agency Web site home page
new text end .

(b) When an agency deleted text begin mailsdeleted text end new text begin sends anew text end notice of deleted text begin intent to adopt rulesdeleted text end new text begin hearing new text end under section
14.14 or new text begin a notice of intent to adopt rules or dual notice under section new text end 14.22, the agency must
send a copy of the same notice deleted text begin and a copy of the statement of need and reasonablenessdeleted text end to
the chairs and ranking minority party members of the legislative policy and budget
committees with jurisdiction over the subject matter of the proposed rules and to the
Legislative Coordinating Commission.

deleted text begin (c) In addition, if the mailing of the notice is within two years of the effective date of
the law granting the agency authority to adopt the proposed rules, the agency shall make
reasonable efforts to send a copy of the notice and the statement to all sitting legislators
who were chief house of representatives and senate authors of the bill granting the rulemaking
authority. If the bill was amended to include this rulemaking authority, the agency shall
make reasonable efforts to send the notice and the statement to the chief house of
representatives and senate authors of the amendment granting rulemaking authority, rather
than to the chief authors of the bill.
deleted text end

Sec. 16.

Minnesota Statutes 2016, section 14.125, is amended to read:


14.125 TIME LIMIT ON AUTHORITY TO ADOPT, AMEND, OR REPEAL
RULES.

An agency shall publish a deleted text begin notice of intent to adopt rules or adeleted text end notice of hearingnew text begin under
section 14.14, or a notice of intent to adopt rules or dual notice under section 14.22,
new text end within
18 months of the effective date of the law authorizing or requiring rules to be adopted,
amended, or repealed. If the notice is not published within the time limit imposed by this
section, the deleted text begin authority for the rules expires. The agency shall not use other law in existence
at the time of the expiration of rulemaking authority under this section as authority to adopt,
amend, or repeal these rules
deleted text end new text begin agency shall report to the Legislative Coordinating Commission,
other appropriate committees of the legislature, and the governor its failure to publish a
notice and the reasons for that failure
new text end .

deleted text begin An agency that publishes a notice of intent to adopt rules or a notice of hearing within
the time limit specified in this section may subsequently amend or repeal the rules without
additional legislative authorization.
deleted text end

Sec. 17.

Minnesota Statutes 2016, section 14.127, is amended to read:


14.127 LEGISLATIVE APPROVAL REQUIRED.

Subdivision 1.

deleted text begin Cost thresholdsdeleted text end new text begin Substantial economic impactnew text end .

An agency must
determine if deleted text begin the cost of complying withdeleted text end a proposed rule deleted text begin in the first year after the rule takes
effect will exceed $25,000 for: (1) any one business that has less than 50 full-time employees;
or (2) any one statutory or home rule charter city that has less than ten full-time employees.
For purposes of this section, "business" means a business entity organized for profit or as
a nonprofit, and includes an individual, partnership, corporation, joint venture, association,
or cooperative
deleted text end new text begin has a substantial economic impact, as defined in section 14.02, subdivision
5
new text end .

Subd. 2.

Agency determination.

An agency must make the determination required by
subdivision 1 before the deleted text begin close of the hearing record, or before the agency submits the record
to the administrative law judge if there is no hearing. The administrative law judge must
review and approve or disapprove the agency determination under this section
deleted text end new text begin agency gives
notice under section 14.14, 14.22, 14.225, or 14.389
new text end .

Subd. 3.

Legislative approval required.

new text begin (a) If the agency determines that a proposed
rule has a substantial economic impact, the agency must request the legislative auditor to
convene a five-person peer review advisory panel to conduct an impact analysis of the
proposed rule. Within 30 days of receipt of the agency's request, the legislative auditor shall
convene a peer review advisory panel. The advisory panel must be made up of individuals
who have not directly or indirectly been involved in the work conducted or contracted by
the agency and who are not employed by the agency. The agency must pay each panel
member for the costs of the person's service on the panel, as determined by the legislative
auditor. The agency shall transfer an amount from the agency's operating budget to the
legislative auditor to pay for costs for convening the peer review advisory panel process.
The panel may receive written and oral comments from the public during its review. The
panel must submit its report within 60 days of being convened. The agency must receive a
final report from the panel before the agency conducts a public hearing on a proposed rule
or, if no hearing is held, before the rule is submitted to the administrative law judge. The
panel's report must include its conclusions on the extent to which the proposed rule:
new text end

new text begin (1) is based on sound, reasonably available scientific, technical, economic, or other
information or rationale; and
new text end

new text begin (2) is more restrictive than a standard, limitation, or requirement imposed by federal law
or rule pertaining to the same subject matter, and a justification based on sound, reasonably
available scientific, technical, economic, or other information and rationale that the more
stringent standard is necessary to protect the public's health, safety, or welfare.
new text end

new text begin (b) If the agency determines that a rule does not have a substantial economic impact,
the administrative law judge must review this determination. If the administrative law judge
determines that a rule may have a substantial economic impact, the agency must have the
legislative auditor arrange for the analysis required by paragraph (a), and the agency must
give new notice of intent to adopt the proposed rule after receiving this analysis. The
administrative law judge may make this determination as part of the administrative law
judge's report on the proposed rule, or at any earlier time after the administrative law judge
is assigned to the rule proceeding.
new text end

new text begin (c) new text end If the agency determines that the deleted text begin cost exceeds the threshold in subdivision 1deleted text end new text begin proposed
rule has a substantial economic impact
new text end , or if the administrative law judge disapproves the
agency's determination that the deleted text begin costdeleted text end new text begin rulenew text end does not deleted text begin exceed the threshold in subdivision 1,
any business that has less than 50 full-time employees or any statutory or home rule charter
city that has less than ten full-time employees may file a written statement with the agency
claiming a temporary exemption from the rules. Upon filing of such a statement with the
agency, the rules do not apply to that business or that city until the rules are
deleted text end new text begin have a substantial
economic impact, the agency or the administrative law judge shall deliver the determination
and peer review advisory panel report to the Legislative Coordinating Commission and to
the chairs and ranking minority members of the house of representatives and senate
committees and divisions with jurisdiction over the subject matter of the rule, and the
proposed rule does not take effect until the rule is
new text end approved by a law enacted after the agency
determination or administrative law judge disapproval.

Subd. 4.

Exceptions.

deleted text begin (a) Subdivision 3 does not apply if the administrative law judge
approves an agency's determination that the legislature has appropriated money to sufficiently
fund the expected cost of the rule upon the business or city proposed to be regulated by the
rule.
deleted text end

deleted text begin (b)deleted text end new text begin (a)new text end Subdivision 3 does not apply if the administrative law judge approves an agency's
determination that the rule has been proposed pursuant to a specific federal statutory or
regulatory mandate.

deleted text begin (c)deleted text end new text begin (b)new text end This section does not apply if the rule is adopted under section 14.388 or under
another law specifying that the rulemaking procedures of this chapter do not apply.

deleted text begin (d)deleted text end new text begin (c)new text end This section does not apply to a rule adopted by the Public Utilities Commission.

deleted text begin (e) Subdivision 3 does not apply if the governor waives application of subdivision 3.
The governor may issue a waiver at any time, either before or after the rule would take
effect, but for the requirement of legislative approval. As soon as possible after issuing a
waiver under this paragraph, the governor must send notice of the waiver to the speaker of
the house and the president of the senate and must publish notice of this determination in
the State Register.
deleted text end

Subd. 5.

Severability.

If an administrative law judge determines that part of a proposed
rule deleted text begin exceeds the threshold specified in subdivision 1deleted text end new text begin has a substantial economic impactnew text end , but
that a severable portion of a proposed rule does not deleted text begin exceed the threshold in subdivision 1deleted text end new text begin
have a substantial economic impact
new text end , the administrative law judge may provide that the
severable portion of the rule that does not deleted text begin exceed the thresholddeleted text end new text begin have a substantial economic
impact
new text end may take effect without legislative approval.

Sec. 18.

new text begin [14.129] IMPACT ANALYSIS OF PROPOSED RULE.
new text end

new text begin (a) Within 30 days of receipt of the notice required under section 14.116, paragraph (b),
a standing committee with jurisdiction over the subject matter of a proposed rule may request
the legislative auditor to conduct an impact analysis of the proposed rule. The request must
be sent in writing to the legislative auditor and the agency. Upon receipt of the request, the
agency may not proceed to adopt the proposed rule until it has received a positive declaration
from the requesting standing committee. Within 60 days of receipt of a request, the legislative
auditor shall convene a five-person peer review panel to review the proposed rule. The
advisory panel must be made up of individuals who have not directly or indirectly been
involved in work conducted or contracted by the agency and who are not employed by the
agency. The panel may receive written and oral comments from the public during its review
of the proposed rule. The panel must prepare a report that includes a conclusion on whether
the proposed rule:
new text end

new text begin (1) is based on sound, reasonably available scientific, technical, economic, and other
information and rationale; and
new text end

new text begin (2) if the proposed rule is more restrictive than a standard, limitation, or requirement
imposed by federal law or rule pertaining to the same subject matter, a justification based
on sound, reasonably available scientific, technical, economic, or other information and
rationale that the more stringent standard is necessary to protect the public's health, safety,
or welfare.
new text end

new text begin (b) Within 150 days of being convened, the panel must submit its report to the chairs
and ranking minority members of the requesting committee and the legislative auditor.
Within five days of receipt of the panel's report, the requesting standing committee shall
send the report to the agency along with either:
new text end

new text begin (1) a positive declaration that the agency may proceed with the proposed rule; or
new text end

new text begin (2) a negative declaration that the agency may not proceed with the proposed rule in its
current form.
new text end

new text begin (c) If the requesting standing committee issues a negative declaration to an agency under
paragraph (b), clause (2), the agency may not adopt the rule until the legislature adjourns
the annual legislative session that began after the issuance of the negative declaration.
new text end

Sec. 19.

Minnesota Statutes 2016, section 14.131, is amended to read:


14.131 STATEMENT OF NEED AND REASONABLENESS.

By the date of the section 14.14, subdivision 1a, notice, the agency must prepare, review,
and make available for public review a statement of the need for and reasonableness of the
rule. The statement of need and reasonableness must be prepared under rules adopted by
the chief administrative law judge and must includenew text begin a citation to the most specific statutory
authority for the rule and
new text end the following to the extent the agency, through reasonable effort,
can ascertain this information:

deleted text begin (1) a description of the classes of persons who probably will be affected by the proposed
rule, including classes that will bear the costs of the proposed rule and classes that will
benefit from the proposed rule;
deleted text end

deleted text begin (2) the probable costs to the agency and to any other agency of the implementation and
enforcement of the proposed rule and any anticipated effect on state revenues;
deleted text end

deleted text begin (3) a determination of whether there are less costly methods or less intrusive methods
for achieving the purpose of the proposed rule;
deleted text end

deleted text begin (4) a description of any alternative methods for achieving the purpose of the proposed
rule that were seriously considered by the agency and the reasons why they were rejected
in favor of the proposed rule;
deleted text end

deleted text begin (5) the probable costs of complying with the proposed rule, including the portion of the
total costs that will be borne by identifiable categories of affected parties, such as separate
classes of governmental units, businesses, or individuals;
deleted text end

deleted text begin (6) the probable costs or consequences of not adopting the proposed rule, including those
costs or consequences borne by identifiable categories of affected parties, such as separate
classes of government units, businesses, or individuals;
deleted text end

new text begin (1) a description of the persons or classifications of persons who will probably be affected
by the proposed rule;
new text end

new text begin (2) the probable costs of the rule to affected persons and the agency, including those
costs or consequences borne by identifiable categories of affected parties, such as separate
classes of government units, businesses, or individuals, and the probable benefits of adopting
the rule;
new text end

deleted text begin (7)deleted text end new text begin (3)new text end an assessment of any differences between the proposed rule and existing new text begin or
proposed
new text end federal deleted text begin regulationsdeleted text end new text begin standards and similar standards in relevant states bordering
Minnesota or within Environmental Protection Agency Region 5
new text end and a specific analysis of
the need for and reasonableness of each difference; deleted text begin and
deleted text end

deleted text begin (8)deleted text end new text begin (4)new text end an assessment of the cumulative effect of deleted text begin the rule with other federal and state
regulations related to the specific purpose of the rule.
deleted text end new text begin all rules adopted by the agency or any
other agency, and all federal regulations and local ordinances or regulations, related to the
specific purpose for which the rule is being adopted; and
new text end

new text begin (5) the agency's findings and conclusions that support its determination that the proposed
rule is based on sound, reasonably available scientific, technical, economic, or other
information and rationale; and if the proposed rule is more restrictive than a standard,
limitation, or requirement imposed by federal law or rule pertaining to the same subject
matter, a justification based on sound, reasonably available scientific, technical, economic,
or other information and rationale that the more stringent standard is necessary to protect
the public's health, safety, or welfare.
new text end

The statement must describe how the agency, in developing the rules, considered and
implemented the legislative policy supporting performance-based regulatory systems set
forth in section 14.002new text begin in a cost-effective and timely mannernew text end .

For purposes of clause deleted text begin (8)deleted text end new text begin (4)new text end , "cumulative effect" means the impact that results from
incremental impact of the proposed rule in addition to other rules, regardless of what state
or federal agency has adopted the other rules. Cumulative effects can result from individually
minor but collectively significant rules adopted over a period of time.

deleted text begin The statement must also describe the agency's efforts to provide additional notification
under section 14.14, subdivision 1a, to persons or classes of persons who may be affected
by the proposed rule or must explain why these efforts were not made.
deleted text end

new text begin The statement must describe, with reasonable particularity, the scientific, technical, and
economic information that supports the proposed rule.
new text end

The agency must consult with the commissioner of management and budget to help
evaluate the fiscal impact and fiscal benefits of the proposed rule on units of local
government. The agency must send a copy of the statement of need and reasonableness to
the Legislative Reference Librarynew text begin no later thannew text end when the notice of hearing is deleted text begin mailed under
section 14.14, subdivision 1a
deleted text end new text begin sentnew text end .

Sec. 20.

Minnesota Statutes 2016, section 14.14, subdivision 1a, is amended to read:


Subd. 1a.

Notice of rule hearing.

(a) deleted text begin Each agency shall maintain a list of all persons
who have registered with the agency for the purpose of receiving notice of rule proceedings.
Persons may register to receive notice of rule proceedings by submitting to the agency:
deleted text end

deleted text begin (1) their electronic mail address; or
deleted text end

deleted text begin (2) their name and United States mail address.
deleted text end

deleted text begin The agency may inquire as to whether those persons on the list wish to remain on it and
may remove persons for whom there is a negative reply or no reply within 60 days.
deleted text end The
agency shall, at least 30 days before the date set for the hearing, give notice of its intention
to deleted text begin adoptdeleted text end new text begin hold a hearing on the proposednew text end rules by United States mail or electronic mail to all
persons deleted text begin on its listdeleted text end new text begin who have registered with the agency under section 14.105new text end , and by
publication in the State Register.

deleted text begin The mailed notice must include either a copy of the proposed rule or an easily readable
and understandable description of its nature and effect and an announcement that a free
copy of the proposed rule is available on request from the agency. In addition, each agency
shall make reasonable efforts to notify persons or classes of persons who may be significantly
affected by the rule being proposed by giving notice of its intention in newsletters,
newspapers, or other publications, or through other means of communication.
deleted text end The notice
in the State Register must include the proposed rule or an amended rule in the form required
by the revisor under section 14.07, together with an easily readable and understandable
summary of the overall nature and effect of the proposed rule, a citation to the most specific
statutory authority for the proposed rule, a statement of the place, date, and time of the
public hearing, new text begin a statement that a free copy of the proposed rule and the statement of need
and reasonableness may be requested from the agency,
new text end a statement that persons may register
with the agency for the purpose of receiving notice of rule proceedings deleted text begin and notice that the
agency intends to adopt a rule
deleted text end new text begin ,new text end and other information required by law or rule. When an
entire rule is proposed to be repealed, the agency need only publish that fact, along with an
easily readable and understandable summary of the overall nature of the rules proposed for
repeal, and a citation to the rule to be repealed.

new text begin The mailed notice of hearing must be the same as the notice published in the State
Register, except that the mailed notice may omit the text of the proposed rule if it includes
an announcement of where a copy of the proposed rule may be obtained.
new text end

(b) The chief administrative law judge may authorize an agency to omit from the notice
of rule hearing the text of any proposed rule, the publication of which would be unduly
cumbersome, expensive, or otherwise inexpedient if:

(1) knowledge of the rule is likely to be important to only a small class of persons;

(2) the notice of rule hearing states that a free copy of the entire rule is available upon
request to the agency; and

(3) the notice of rule hearing states in detail the specific subject matter of the omitted
rule, cites the statutory authority for the proposed rule, and details the proposed rule's purpose
and motivation.

Sec. 21.

Minnesota Statutes 2016, section 14.14, subdivision 2a, is amended to read:


Subd. 2a.

Hearing procedure.

When a hearing is held on a proposed rule, it shall be
conducted by an administrative law judge assigned by the chief administrative law judge.
The administrative law judge shall ensure that all persons involved in the rule hearing are
treated fairly and impartially. The agency shall submit into the record the jurisdictional
documents, including the statement of need and reasonableness, new text begin comments and hearing
requests received,
new text end and any written exhibits in support of the proposed rule. The agency may
also present additional oral evidence. Interested persons may present written and oral
evidence. The administrative law judge shall allow questioning of agency representatives
or witnesses, or of interested persons making oral statements, in order to explain the purpose
or intended operation of a proposed rule, or a suggested modification, or for other purposes
if material to the evaluation or formulation of the proposed rule. The administrative law
judge may limit repetitive or immaterial oral statements and questioning.

Sec. 22.

Minnesota Statutes 2016, section 14.19, is amended to read:


14.19 DEADLINE TO COMPLETE RULEMAKING.

Within 180 days after issuance of the administrative law judge's report or that of the
chief administrative law judge, the agency shall submit its notice of adoption, amendment,
or repeal to the State Register for publication. If the agency has not submitted its notice to
the State Register within 180 days, the rule is automatically withdrawn. The agency may
not adopt the withdrawn rules without again following the procedures of sections 14.05 to
14.28, with the exception of section 14.101, if the noncompliance is approved by the chief
administrative law judge. The agency shall report to the Legislative Coordinating
Commission, other appropriate committees of the legislature, and the governor its failure
to adopt rules and the reasons for that failure. The 180-day time limit of this section does
not include:

(1) any days used for review by the chief administrative law judge or the commission
if the review is required by law;new text begin or
new text end

(2) days during which the rule cannot be adopted, because of votes by legislative
committees under section 14.126deleted text begin ; ordeleted text end new text begin .
new text end

deleted text begin (3) days during which the rule cannot be adopted because approval of the legislature is
required under section 14.127.
deleted text end

Sec. 23.

Minnesota Statutes 2016, section 14.22, subdivision 1, is amended to read:


Subdivision 1.

Contents.

(a) deleted text begin Unless an agency proceeds directly to a public hearing on
a proposed rule and gives the notice prescribed in section 14.14, subdivision 1a, the agency
shall give notice of its intention to adopt a rule without public hearing.
deleted text end new text begin The agency shall
give the notice required by this section, unless the agency gives notice of a hearing under
section 14.14 or a notice under section 14.389, subdivision 2.
new text end Thenew text begin agency shall givenew text end notice
deleted text begin must be givendeleted text end new text begin of its intention to adopt a rulenew text end by publication in the State Register and by
United States mail or electronic mail to persons who have registered their names with the
agency under section deleted text begin 14.14, subdivision 1adeleted text end new text begin 14.105new text end . deleted text begin The mailed notice must include either
a copy of the proposed rule or an easily readable and understandable description of its nature
and effect and an announcement that a free copy of the proposed rule is available on request
from the agency. In addition, each agency shall make reasonable efforts to notify persons
or classes of persons who may be significantly affected by the rule by giving notice of its
intention in newsletters, newspapers, or other publications, or through other means of
communication.
deleted text end The notice in the State Register must include the proposed rule or deleted text begin thedeleted text end
amended rule in the form required by the revisor under section 14.07deleted text begin ,deleted text end new text begin ;new text end an easily readable
and understandable summary of the overall nature and effect of the proposed ruledeleted text begin ,deleted text end new text begin ;new text end a citation
to the most specific statutory authority for the proposed ruledeleted text begin ,deleted text end new text begin ;new text end new text begin a statement that a free copy
of the statement of need and reasonableness may be requested from the agency;
new text end a statement
that persons may register with the agency deleted text begin for the purpose of receivingdeleted text end new text begin to receivenew text end notice of
rule proceedings deleted text begin and notice that a rule has been submitted to the chief administrative law
judge,
deleted text end new text begin ;new text end and other information required by law or rule. When an entire rule is proposed to
be repealed, the notice need only state that fact, along with an easily readable and
understandable summary of the overall nature of the deleted text begin rulesdeleted text end new text begin rulenew text end proposed for repeal, and a
citation to the rule to be repealed. The notice must include a statement advising the public:

(1) that the public has new text begin at leastnew text end 30 days in which to submit comment in support of or in
opposition to the proposed rule and that comment is encouraged;

(2) that each comment should identify the deleted text begin portiondeleted text end new text begin part and subpart, if any,new text end of the proposed
rule addressed, the reason for the comment, and any change proposed;

new text begin (3) that the requester is encouraged to propose any change desired;
new text end

deleted text begin (3)deleted text end new text begin (4)new text end that if 25 or more persons submit a written request for a public hearing within
the deleted text begin 30-daydeleted text end comment period, a public hearing will be heldnew text begin and the agency will use the process
under section 14.14
new text end ;

deleted text begin (4)deleted text end new text begin (5)new text end of the manner in which persons must request a public hearing on the proposed
rulenew text begin , including the requirements contained in section 14.25 relating to a written request for
a public hearing
new text end ;new text begin and
new text end

deleted text begin (5) of the requirements contained in section 14.25 relating to a written request for a
public hearing, and that the requester is encouraged to propose any change desired;
deleted text end

(6) that the new text begin agency may modify the new text end proposed rule deleted text begin may be modifieddeleted text end if the modifications
are supported by the data and views submitteddeleted text begin ; anddeleted text end new text begin .
new text end

deleted text begin (7) that if a hearing is not required, notice of the date of submission of the proposed rule
to the chief administrative law judge for review will be mailed to any person requesting to
receive the notice.
deleted text end

In connection with the statements required in clauses (1) and deleted text begin (3)deleted text end new text begin (4)new text end , the notice must
also include the date on which the deleted text begin 30-daydeleted text end comment period ends.new text begin The mailed notice of intent
to adopt a rule must be the same as the notice published in the State Register, except that
the mailed notice may omit the text of the proposed rule if it includes an announcement of
where a copy of the proposed rule may be obtained.
new text end

(b) The chief administrative law judge may authorize an agency to omit from the notice
of intent to adopt the text of any proposed rule, the publication of which would be unduly
cumbersome, expensive, or otherwise inexpedient if:

(1) knowledge of the rule is likely to be important to only a small class of persons;

(2) the notice of intent to adopt states that a free copy of the entire rule is available upon
request to the agency; and

(3) the notice of intent to adopt states in detail the specific subject matter of the omitted
rule, cites the statutory authority for the proposed rule, and details the proposed rule's purpose
and motivation.

Sec. 24.

Minnesota Statutes 2016, section 14.23, is amended to read:


14.23 STATEMENT OF NEED AND REASONABLENESS.

By the date of the section 14.22 notice, the agency shall prepare a statement of need and
reasonableness, which must be available to the public. The statement of need and
reasonableness must include the deleted text begin analysisdeleted text end new text begin informationnew text end required in section 14.131. deleted text begin The
statement must also describe the agency's efforts to provide additional notification under
section 14.22 to persons or classes of persons who may be affected by the proposed rules
or must explain why these efforts were not made. For at least 30 days following the notice,
the agency shall afford the public an opportunity to request a public hearing and to submit
data and views on the proposed rule in writing.
deleted text end

The agency shall send a copy of the statement of need and reasonableness to the
Legislative Reference Library new text begin no later than new text end when the notice of intent to adopt is deleted text begin maileddeleted text end new text begin sentnew text end .

Sec. 25.

Minnesota Statutes 2016, section 14.25, subdivision 1, is amended to read:


Subdivision 1.

Requests for hearing.

If, during the deleted text begin 30-daydeleted text end period allowed for commentnew text begin
under section 14.22
new text end , 25 or more persons submit to the agency a written request for a public
hearing of the proposed rule, the agency shall proceed under the provisions of sections 14.14
to 14.20. The written request must include:

(1) the name and address of the person requesting the public hearing; deleted text begin and
deleted text end

(2) the deleted text begin portion or portionsdeleted text end new text begin part or subpart, if any,new text end of the rule to which the person objects
deleted text begin or a statement that the person opposes the entire rule. If not previously published under
section 14.22, subdivision 2, a notice of the public hearing must be published in the State
Register and mailed to those persons who submitted a written request for the public hearing.
Unless the agency has modified the proposed rule, the notice need not include the text of
the proposed rule but only a citation to the State Register pages where the text appears
deleted text end new text begin ; and
new text end

new text begin (3) the reasons for the objection to each portion of the rule identifiednew text end .

A written request for a public hearing that does not comply with the requirements of this
section is invalid and may not be counted by the agency for purposes of determining whether
a public hearing must be held.new text begin A written request for a public hearing is not invalid due to
failure of the request to correctly identify the portion of the rule to which the person objects
if the agency reasonably can determine which portion of the rule is the basis for the objection.
new text end

Sec. 26.

Minnesota Statutes 2016, section 14.26, is amended to read:


14.26 ADOPTION OF PROPOSED RULE; SUBMISSION TO ADMINISTRATIVE
LAW JUDGE.

Subdivision 1.

Submission.

If no hearing is required, the agency shall submit to an
administrative law judge assigned by the chief administrative law judge the proposed rule
and notice as published, the rule as adopted, any written comments received by the agency,
and a statement of need and reasonableness for the rule. The agency shall give notice to all
persons who requested to be informed that these materials have been submitted to the
administrative law judge. This notice must be given on the same day that the record is
submitted. If the proposed rule has been modified, the notice must state that fact, and must
also state that a free copy of the proposed rule, as modified, is available upon request from
the agency. The rule and these materials must be submitted to the administrative law judge
within 180 days of the day that the comment period for the rule is over or the rule is
automatically withdrawn. The agency may not adopt the withdrawn rules without again
following the procedures of sections 14.05 to 14.28, with the exception of section 14.101,
if the noncompliance is approved by the chief administrative law judge. The agency shall
report its failure to adopt the rules and the reasons for that failure to the Legislative
Coordinating Commission, other appropriate legislative committees, and the governor.

deleted text begin Subd. 2. deleted text end

deleted text begin Resubmission. deleted text end

deleted text begin Even if the 180-day period expires while the administrative
law judge reviews the rule, if the administrative law judge rejects the rule, the agency may
resubmit it after taking corrective action. The resubmission must occur within 30 days of
when the agency receives written notice of the disapproval. If the rule is again disapproved,
the rule is withdrawn. An agency may resubmit at any time before the expiration of the
180-day period. If the agency withholds some of the proposed rule, it may not adopt the
withheld portion without again following the procedures of sections 14.14 to 14.28.
deleted text end

Subd. 3.

Review.

deleted text begin (a)deleted text end Within 14 daysnew text begin of receiving a submission under subdivision 1new text end , the
administrative law judge shall approve or disapprove the rule as to its legality and its form
to the extent that the form relates to legality, including the issues of whether the rule if
modified is substantially different, as determined under section 14.05, subdivision 2, from
the rule as originally proposed, whether the agency has the authority to adopt the rule, and
whether the record demonstrates a rational basis for the need for and reasonableness of the
proposed rule. deleted text begin If the rule is approved, the administrative law judge shall promptly file four
paper copies or an electronic copy of the adopted rule in the Office of the Secretary of State.
The secretary of state shall forward one copy of each rule to the revisor of statutes, to the
agency, and to the governor.
deleted text end If the rule is disapproved, the administrative law judge shall
state in writing the reasons for the disapproval and make recommendations to overcome
the defects.

new text begin Subd. 3b. new text end

new text begin Harmless error. new text end

new text begin The administrative law judge shall disregard any error or
defect in the proceeding due to the agency's failure to satisfy any procedural requirements
imposed by law or rule if the administrative law judge finds:
new text end

new text begin (1) that the failure did not deprive any person or entity of an opportunity to participate
meaningfully in the rulemaking process; or
new text end

new text begin (2) that the agency has taken corrective action to cure the error or defect so that the
failure did not deprive any person or entity of an opportunity to participate meaningfully
in the rulemaking process.
new text end

new text begin Subd. 3c. new text end

new text begin Correction of defects. new text end

deleted text begin (b)deleted text end new text begin (a)new text end The written disapproval must be submitted to
the chief administrative law judge for approval. If the chief administrative law judge approves
of the findings of the administrative law judge, the chief administrative law judge shall send
the statement of the reasons for disapproval of the rule to the agency, the Legislative
Coordinating Commission, the house of representatives and senate policy committees with
primary jurisdiction over state governmental operations, and the revisor of statutes and
advise the agency and the revisor of statutes of actions that will correct the defects. The rule
may not be filed in the Office of the Secretary of State, nor be published, until the chief
administrative law judge determines that the defects have been corrected or, if applicable,
that the agency has satisfied the rule requirements for the adoption of a substantially different
rule.

new text begin (b) The agency may resubmit the disapproved rule under paragraph (a) to the chief
administrative law judge after correcting the defects. If the 180-day period expires while
the chief administrative law judge is reviewing the rule, the agency may resubmit the rule
within 30 days of the date the agency received written notice of disapproval. In all other
cases, the agency may resubmit the rule at any time before the expiration of the 180-day
period in subdivision 1. If the resubmitted rule is disapproved by the chief administrative
law judge, the rule is withdrawn. If the agency does not resubmit a portion of the rule, it
may not adopt that portion of the rule without again following the procedures of sections
14.14 to 14.28.
new text end

new text begin Subd. 3d. new text end

new text begin Need or reasonableness not established. new text end

deleted text begin (c)deleted text end If the chief administrative law
judge determines that the need for or reasonableness of the rule has not been established,
and if the agency does not elect to follow the suggested actions of the chief administrative
law judge to correct that defect, then the agency shall submit the proposed rule to the
Legislative Coordinating Commission and to the house of representatives and senate policy
committees with primary jurisdiction over state governmental operations for advice and
comment. The agency may not adopt the rule until it has received and considered the advice
of the commission and committees. However, the agency need not wait for advice for more
than 60 days after the commission and committees have received the agency's submission.

deleted text begin (d) The administrative law judge shall disregard any error or defect in the proceeding
due to the agency's failure to satisfy any procedural requirements imposed by law or rule
if the administrative law judge finds:
deleted text end

deleted text begin (1) that the failure did not deprive any person or entity of an opportunity to participate
meaningfully in the rulemaking process; or
deleted text end

deleted text begin (2) that the agency has taken corrective action to cure the error or defect so that the
failure did not deprive any person or entity of an opportunity to participate meaningfully
in the rulemaking process.
deleted text end

deleted text begin Subd. 3a. deleted text end

deleted text begin Filing. deleted text end

deleted text begin If the rule is approved, the administrative law judge shall promptly
file four paper copies or an electronic copy of the adopted rule in the Office of the Secretary
of State. The secretary of state shall forward one copy of each rule to the revisor of statutes,
to the agency, and to the governor.
deleted text end

deleted text begin Subd. 4. deleted text end

deleted text begin Costs. deleted text end

deleted text begin The Office of Administrative Hearings shall assess an agency for the
actual cost of processing rules under this section. Each agency shall include in its budget
money to pay the assessment. Receipts from the assessment must be deposited in the
administrative hearings account created in section 14.54.
deleted text end

new text begin Subd. 5. new text end

new text begin Filing. new text end

new text begin If the rule is approved, the chief administrative law judge shall promptly
file four paper copies or an electronic copy of it in the Office of the Secretary of State. The
secretary of state shall forward one copy of the rule to the revisor of statutes, one copy to
the agency, and one copy to the governor.
new text end

new text begin Subd. 6. new text end

new text begin Costs. new text end

new text begin The Office of Administrative Hearings shall assess an agency for the
actual cost of processing rules under this section. Each agency shall include in its budget
money to pay the assessment. Receipts from the assessment must be deposited in the
administrative hearings account created in section 14.54.
new text end

Sec. 27.

Minnesota Statutes 2016, section 14.365, is amended to read:


14.365 OFFICIAL RULEMAKING RECORD.

The agency shall maintain the official rulemaking record for every rule adopted under
sections 14.05 to deleted text begin 14.389deleted text end new text begin 14.3895new text end . The record must be available for public inspection. The
record required by this section constitutes the official and exclusive agency rulemaking
record with respect to agency action on or judicial review of the rule. The record must
contain:

(1) copies of all publications in the State Register pertaining to the rule;

(2) all written petitions, and all requests, submissions, or comments received by the
agency or the administrative law judge after publication of the notice of intent to adopt or
the notice of hearing in the State Register pertaining to the rule;

(3) the statement of need and reasonableness for the rule;

new text begin (4) any report prepared by the peer review panel pursuant to section 14.129;
new text end

deleted text begin (4)deleted text end new text begin (5)new text end the official transcript of the hearing if one was held, or the tape recording of the
hearing if a transcript was not prepared;

deleted text begin (5)deleted text end new text begin (6)new text end the report of the administrative law judge, if any;

deleted text begin (6)deleted text end new text begin (7)new text end the rule in the form last submitted to the administrative law judge under sections
14.14 to 14.20 or first submitted to the administrative law judge under sections 14.22 to
14.28;

deleted text begin (7)deleted text end new text begin (8)new text end the administrative law judge's written statement of required modifications and
of approval or disapproval by the chief administrative law judge, if any;

deleted text begin (8)deleted text end new text begin (9)new text end any documents required by applicable rules of the Office of Administrative
Hearings;

deleted text begin (9)deleted text end new text begin (10)new text end the agency's order adopting the rule;

deleted text begin (10)deleted text end new text begin (11)new text end the revisor's certificate approving the form of the rule; and

deleted text begin (11)deleted text end new text begin (12)new text end a copy of the adopted rule as filed with the secretary of state.

Sec. 28.

Minnesota Statutes 2016, section 14.381, subdivision 3, is amended to read:


Subd. 3.

Costs.

The agency is liable for all Office of Administrative Hearings costs
associated with review of the petition. If the administrative law judge rules in favor of the
agency, the agency may recover all or a portion of the costs from the petitioner unless the
petitioner is entitled to proceed in forma pauperis under section 563.01 or the administrative
law judge determines that the petition was brought in good faith and that an assessment of
the costs would constitute an undue hardship for the petitioner. deleted text begin If an agency has reason to
believe it will prevail in the consideration of a petition, and that an effort to recover costs
from the petitioner will be unsuccessful, it may request the chief administrative law judge
to require the petitioner to provide bond or a deposit to the agency in an amount the chief
administrative law judge estimates will be the cost to the Office of Administrative Hearings
to review the petition.
deleted text end

Sec. 29.

Minnesota Statutes 2016, section 14.388, subdivision 1, is amended to read:


Subdivision 1.

Requirements.

If an agency for good cause finds that the rulemaking
provisions of this chapter are unnecessary, impracticable, or contrary to the public interest
when adopting, amending, or repealing a rule to:

(1) address a serious and immediate threat to the public health, safety, or welfare;

(2) comply with a court order or a requirement in federal law in a manner that does not
allow for compliance with sections 14.14 to 14.28;

(3) incorporate specific changes set forth in applicable statutes when no interpretation
of law is required; or

(4) make changes that do not alter the sense, meaning, or effect of a rule,

the agency may adopt, amend, or repeal the rule after satisfying the requirements of
subdivision 2 and section 14.386, paragraph (a), clauses (1) to (4). The agency shall
incorporate its findings and a brief statement of its supporting reasons in its order adopting,
amending, or repealing the rule.

After considering the agency's statement and any comments received, the Office of
Administrative Hearings shall determine whether the agency has provided adequate
justification for its use of this section.

Rules adopted, amended, or repealed under deleted text begin clausesdeleted text end new text begin clausenew text end (1) deleted text begin and (2)deleted text end are effective for
a period of two years from the date of publication of the rule in the State Register.

Rules adopted, amended, or repealed under clausenew text begin (2),new text end (3)new text begin ,new text end or (4) are effective upon
publication in the State Register.

Sec. 30.

Minnesota Statutes 2016, section 14.388, subdivision 2, is amended to read:


Subd. 2.

Notice.

An agency proposing to adopt, amend, or repeal a rule under this section
must givenew text begin notice to the chairs and ranking minority members of the legislative policy and
budget committees with jurisdiction over the subject matter of the proposed rules and to
the Legislative Coordinating Commission, must give
new text end electronic notice of its intent in
accordance with section 16E.07, subdivision 3, and new text begin must give new text end notice by United States mail
or electronic mail to persons who have registered their names with the agency under section
14.14, subdivision 1a. The notice must be given no later than the date the agency submits
the proposed rule to the Office of Administrative Hearings for review of its legality and
must include:

(1) the proposed rule, amendment, or repeal;

(2) an explanation of why the rule meets the requirements of the good cause exemption
under subdivision 1; and

(3) a statement that interested parties have five business days after the date of the notice
to submit comments to the Office of Administrative Hearings.

Sec. 31.

Minnesota Statutes 2016, section 14.44, is amended to read:


14.44 DETERMINATION OF VALIDITY OF RULE.

new text begin (a) new text end The validity of any rulenew text begin , or the validity of any agency policy, guideline, bulletin,
criterion, manual standard, or similar pronouncement that the petitioner believes is a rule
as defined in section 14.02, subdivision 4,
new text end may be determined upon the petition for a
declaratory judgment thereon, addressed to the Court of Appeals, when it appears that the
rulenew text begin or pronouncementnew text end , or its threatened application, interferes with or impairs, or threatens
to interfere with or impair the legal rights or privileges of the petitioner. The agency shall
be made a party to the proceeding. The declaratory judgment may be rendered whether or
not the petitioner has first requested the agency to pass upon the validity of the rule in
question,new text begin whether or not the petitioner has petitioned the Office of Administrative Hearings
under section 14.381,
new text end and whether or not the agency has commenced an action against the
petitioner to enforce the rule.

new text begin (b) If the subject of the petition is an agency policy, guideline, bulletin, criterion, manual
standard, or similar pronouncement, the agency must cease enforcement of the
pronouncement upon filing of the petition until the Court of Appeals rules on the matter.
The agency is liable for all costs associated with review of the petition. If the Court of
Appeals rules in favor of the agency, the agency may recover all or a portion of the cost
from the petitioner unless the petitioner is entitled to proceed in a forma pauperis under
section 563.01, or the court determines that the petition was brought in good faith or the
assessment of the costs would constitute an undue hardship for the petitioner.
new text end

Sec. 32.

Minnesota Statutes 2016, section 14.45, is amended to read:


14.45 RULE DECLARED INVALID.

In proceedings under section 14.44, the court shall declare the rulenew text begin or agency policy,
guideline, bulletin, criterion, manual standard, or similar pronouncement
new text end invalid if it finds
that it violates constitutional provisions or exceeds the statutory authority of the agency ornew text begin
if the rule
new text end was adoptednew text begin or the policy, guideline, bulletin, criterion, manual standard, or
similar pronouncement was improperly implemented
new text end without compliance with statutory
rulemaking procedures. Any party to proceedings under section 14.44, including the agency,
may appeal an adverse decision of the Court of Appeals to the Supreme Court as in other
civil cases.

Sec. 33.

Minnesota Statutes 2016, section 14.51, is amended to read:


14.51 PROCEDURAL RULES.

The chief administrative law judge shall adopt rules to govern: (1) the procedural conduct
of all hearings, relating to both rule adoption, amendment, suspension or repeal hearings,
contested case hearings, and workers' compensation hearings, and to govern the conduct of
voluntary mediation sessions for rulemaking and contested cases other than those within
the jurisdiction of the Bureau of Mediation Services; and (2) the review of rules adopted
without a public hearing. The chief administrative law judge may adopt rules to govern the
procedural conduct of other hearings conducted by the Office of Administrative Hearings.
The procedural rules shall be binding upon all agencies and shall supersede any other agency
procedural rules with which they may be in conflict. The procedural rules shall include in
addition to normal procedural matters provisions relating to the procedure to be followed
when the proposed final rule of an agency is substantially different, as determined under
section 14.05, subdivision 2, from that which was proposed. The procedural rules shall
establish a procedure whereby the proposed final rule of an agency shall be reviewed by
the chief administrative law judge on the issue of whether the proposed final rule of the
agency is substantially different than that which was proposed or failure of the agency to
meet the requirements of chapter 14. The rules must also provide: (1) an expedited procedure,
consistent with section 14.001, clauses (1) to (5), for the adoption of substantially different
rules by agencies; and (2) a procedure to allow an agency to receive prior binding approval
of its plan regarding the additional notice contemplated under sections 14.101, 14.131,
14.14, 14.22, deleted text begin anddeleted text end 14.23new text begin , and 14.389new text end . Upon the chief administrative law judge's own initiative
or upon written request of an interested party, the chief administrative law judge may issue
a subpoena for the attendance of a witness or the production of books, papers, records or
other documents as are material to any matter being heard by the Office of Administrative
Hearings. The subpoenas shall be enforceable through the district court in the district in
which the subpoena is issued.

Sec. 34. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2016, section 14.05, subdivision 5, new text end new text begin is repealed.
new text end

Sec. 35. new text begin EFFECTIVE DATE; APPLICATION.
new text end

new text begin Except where otherwise provided, this article is effective August 1, 2017, and applies
to rules for which a notice of hearing under Minnesota Statutes, section 14.14; a notice of
intent to adopt under Minnesota Statutes, section 14.22; or a dual notice under Minnesota
Statutes, section 14.225, is published in the State Register on or after that date.
new text end

ARTICLE 5

MINNESOTA SPORTS FACILITIES AUTHORITY

Section 1.

Minnesota Statutes 2016, section 13.55, subdivision 2, is amended to read:


Subd. 2.

Public data.

new text begin (a) new text end The data made not public by the provisions of subdivision 1
shall become public upon the occurrence of any of the following:

deleted text begin (a)deleted text end new text begin (1)new text end five years elapse from the date on which the lease or contract is entered into
between the facility and the inquiring party or parties or the event which was the subject of
inquiry occurs at the facility, whichever occurs earlier;

deleted text begin (b)deleted text end new text begin (2)new text end the event which was the subject of inquiry does not occur; or

deleted text begin (c)deleted text end new text begin (3)new text end the event which was the subject of inquiry occurs elsewhere.

new text begin (b) Data regarding persons receiving free or discounted admission, tickets, or other gifts
from publicly owned and operated convention facilities, civic center authorities, or the
Minnesota Sports Facilities Authority is public data unless the data is subject to the provisions
of subdivision 1 or 4, paragraph (b).
new text end

Sec. 2.

Minnesota Statutes 2016, section 16A.965, is amended by adding a subdivision to
read:


new text begin Subd. 11. new text end

new text begin Prepayment of bonds. new text end

new text begin Each fiscal year in which there is a reduction in the
amount of the payment for stadium operating expenses as a result of the provisions of section
473J.09, subdivision 15, the commissioner shall set aside the amount of the savings in a
separate account in the general fund for that purpose. When a sufficient amount of savings
have been accumulated in that account to make it practicable, the commissioner must use
amounts in the account to prepay or defease bonds issued under this subdivision in a manner
that preserves the tax exempt status of the bonds.
new text end

Sec. 3.

Minnesota Statutes 2016, section 297A.994, subdivision 4, is amended to read:


Subd. 4.

General fund allocations.

The commissioner must retain and deposit to the
general fund the following amounts, as required by subdivision 3, clause (3):

(1) for state bond debt service support beginning in calendar year 2021, and for each
calendar year thereafter through calendar year 2046, periodic amounts so that not later than
December 31, 2046, an aggregate amount equal to a present value of $150,000,000 has been
deposited in the general fund. To determine aggregate present value, the commissioner must
consult with the commissioner of management and budget regarding the present value dates,
discount rate or rates, and schedules of annual amounts. The present value date or dates
must be based on the date or dates bonds are sold under section 16A.965, or the date or
dates other state funds, if any, are deposited into the construction fund. The discount rate
or rates must be based on the true interest cost of the bonds issued under section 16A.965,
or an equivalent 30-year bond index, as determined by the commissioner of management
and budget. The schedule of annual amounts must be certified to the commissioner by the
commissioner of management and budget and the finance officer of the city;

(2) for the capital improvement reserve appropriation to the Minnesota Sports Facilities
Authority beginning in calendar year 2021, and for each calendar year thereafter through
calendar year 2046, an aggregate annual amount equal to the amount paid by the state for
this purpose in that calendar year under section 473J.13, subdivision 4;

(3) for the operating expense appropriation to the Minnesota Sports Facilities Authority
beginning in calendar year 2021, and for each calendar year thereafter through calendar
year 2046, an aggregate annual amount equal to the amount paid by the state for this purpose
in that calendar year under section 473J.13, subdivision 2new text begin , determined without regard to the
reduction in that amount for any amounts reported under section 473J.09, subdivision 15,
paragraph (c)
new text end ;

(4) for recapture of state advances for capital improvements and operating expenses for
calendar years 2016 through 2020 beginning in calendar year 2021, and for each calendar
year thereafter until all amounts under this clause have been paid, proportionate amounts
periodically until an aggregate amount equal to the present value of all amounts paid by the
state have been deposited in the general fund. To determine the present value of the amounts
paid by the state to the authority and the present value of amounts deposited to the general
fund under this clause, the commissioner shall consult with the commissioner of management
and budget regarding the present value dates, discount rate or rates, and schedule of annual
amounts. The present value dates must be based on the dates state funds are paid to the
authority, or the dates the commissioner of revenue deposits taxes for purposes of this clause
to the general fund. The discount rates must be based on the reasonably equivalent cost of
state funds as determined by the commissioner of management and budget. The schedule
of annual amounts must be revised to reflect amounts paid under section 473J.13, subdivision
2
, paragraph (b), for 2016 to 2020, and subdivision 4, paragraph (c), for 2016 to 2020, and
taxes deposited to the general fund from time to time under this clause, and the schedule
and revised schedules must be certified to the commissioner by the commissioner of
management and budget and the finance officer of the city, and are transferred as accrued
from the general fund for repayment of advances made by the state to the authoritynew text begin .
Determination of the present value amounts must be made without regard to any reduction
in the state advances resulting from amounts reported under section 473J.09, subdivision
15, paragraph (c)
new text end ; and

(5) to capture increases in taxes imposed under the special law, for the benefit of the
Minnesota Sports Facilities Authority, beginning in calendar year 2013 and for each calendar
year thereafter through 2046, there shall be deposited to the general fund in proportionate
periodic payments in the following year, an amount equal to the following:

(i) 50 percent of the difference, if any, by which the amount of the net annual taxes for
the previous year exceeds the sum of the net actual taxes in calendar year 2011 plus
$1,000,000, inflated at two percent per year since 2011, minus

(ii) 25 percent of the difference, if any, by which the amount of the net annual taxes for
the preceding year exceeds the sum of the net actual taxes in calendar year 2011 plus
$3,000,000, inflated at two percent per year since 2011.

Sec. 4.

Minnesota Statutes 2016, section 473J.07, subdivision 2, is amended to read:


Subd. 2.

Membership.

(a) The authority shall consist of deleted text begin fivedeleted text end new text begin sevennew text end members.

(b) deleted text begin The chair and two membersdeleted text end new text begin One membernew text end shall be appointed by the governor. deleted text begin Onedeleted text end new text begin
This
new text end member deleted text begin appointed by the governordeleted text end shall serve until December 31 of the third year
following appointment deleted text begin and one member shall serve until December 31 of the fourth year
following appointment
deleted text end . Thereafter, members appointed by the governor shall serve four-year
terms, beginning January 1. Each member serves until a successor is appointed and takes
office. deleted text begin The chair serves at the pleasure of the governor.
deleted text end

(c) The mayor of the city shall appoint deleted text begin two membersdeleted text end new text begin one membernew text end to the authority. deleted text begin Onedeleted text end new text begin
This
new text end member deleted text begin appointed by the mayor of the citydeleted text end shall serve until December 31 of the deleted text begin thirddeleted text end
new text begin second new text end year following appointment deleted text begin and one member shall serve until December 31 of the
fourth year following appointment
deleted text end . Thereafter, members appointed under this paragraph
shall serve four-year terms beginning January 1. Each member serves until a successor is
appointed and takes office. Members appointed under this paragraph may reside within the
city and may be appointed officials of a political subdivision.

(d) deleted text begin The initial members of the authority must be appointed not later than June 13, 2012.deleted text end new text begin
The legislature shall appoint the remaining members of the authority, who may not be
members of the legislature, as follows:
new text end

new text begin (1) the speaker of the house shall appoint one member;
new text end

new text begin (2) the majority leader of the senate shall appoint one member;
new text end

new text begin (3) the minority leader of the house of representatives shall appoint one member; and
new text end

new text begin (4) the minority leader of the senate shall appoint one member.
new text end

new text begin (e) The chair of the Legislative Coordinating Commission shall appoint a voting member
of the board, who must be a certified public accountant. Members appointed by the legislature
shall serve for three-year terms.
new text end

Sec. 5.

Minnesota Statutes 2016, section 473J.07, subdivision 3, is amended to read:


Subd. 3.

Compensation.

The authority may compensate its membersdeleted text begin , other than the
chair,
deleted text end as provided in section 15.0575. The chair shall receivedeleted text begin , unless otherwise provided by
other law, a salary in an amount fixed by the authority,
deleted text end new text begin the same compensation as other
board members
new text end and shall be reimbursed for reasonable expenses to the same extent as a
member.

Sec. 6.

Minnesota Statutes 2016, section 473J.07, subdivision 4, is amended to read:


Subd. 4.

Chair.

The chair presides at all meetings of the authority, if present, and
performs all other assigned duties and functions. new text begin The members of the board shall biennially
elect a chair from among its members.
new text end The authority may appoint from among its members
a vice-chair to act for the chair during the temporary absence or disability of the chair, and
any other officers the authority determines are necessary or convenient.

Sec. 7.

Minnesota Statutes 2016, section 473J.07, subdivision 8, is amended to read:


Subd. 8.

Executive director; employees.

The authority may appoint an executive director
to serve as the chief executive officer of the authority. The executive director serves at the
pleasure of the authority and receives compensation as determined by the authoritynew text begin , but in
no instance may the compensation of the executive director exceed that of the governor
new text end .
The executive director may be responsible for the operation, management, and promotion
of activities of the authority, as prescribed by the authority. The executive director has the
powers necessarily incident to the performance of duties required and powers granted by
the authority, but does not have authority to incur liability or make expenditures on behalf
of the authority without general or specific directions by the authority, as shown by the
bylaws or minutes of a meeting of the authority. The executive director is responsible for
hiring, supervision, and dismissal of all other employees of the authority.new text begin The authority
must conduct an annual employee evaluation of the executive director, which must be
reviewed and approved by the entire board.
new text end

Sec. 8.

Minnesota Statutes 2016, section 473J.07, is amended by adding a subdivision to
read:


new text begin Subd. 8a. new text end

new text begin Budget; report. new text end

new text begin After adoption, the authority shall submit its annual budget
to the commissioner of management and budget and to the chairs and ranking minority
members of the senate finance and house of representatives ways and means committees.
All elements of the authority budget, meeting minutes, policies, and procedures must be
available on the authority Web site.
new text end

Sec. 9.

Minnesota Statutes 2016, section 473J.09, subdivision 6, is amended to read:


Subd. 6.

Employees; contracts for services.

The authority may employ persons and
contract for services necessary to carry out its functions, including the utilization of
employees and consultants retained by other governmental entities. new text begin As a condition of
employment, employees selected by the authority may not engage in partisan political
activities.
new text end The authority shall enter into an agreement with the city regarding traffic control
for the stadium.

Sec. 10.

Minnesota Statutes 2016, section 473J.09, subdivision 13, is amended to read:


Subd. 13.

Legislative report.

The authority must report to the chairs and ranking minority
members of the legislative committees with jurisdiction over state government finance by
January 15 of each year on the following:

(1) any recommended increases in the rate or dollar amount of tax;

(2) any recommended increases in the debt of the authority;

(3) the overall work and role of the authority;

(4) the authority's proposed new text begin and past new text end operating and capital budgets; and

(5) the authority's implementation of the operating and capital budgets.

Sec. 11.

Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
to read:


new text begin Subd. 15. new text end

new text begin Use of stadium suites. new text end

new text begin (a) The authority's marketing vendor may enter into
agreements for the use of game and event tickets, and stadium suites, for the purpose of
marketing the stadium to potential users. Use of stadium suites is subject to the following
requirements:
new text end

new text begin (1) stadium suites may not be used by board members, except when participating in a
marketing effort arranged by the authority's marketing vendor, or conducting oversight of
authority responsibilities. The executive director shall ensure that use of the suite does not
violate open meeting laws. A board member may not use a suite more than twice per year
for oversight duties, and must pay the fair market value for use of the suite;
new text end

new text begin (2) stadium suite use must be limited to only those persons and activities with a legitimate
business purpose. Family members and friends of board members and authority staff are
presumed not to have a legitimate business purpose for attendance in a suite unless the
attendance has been approved by public vote of the authority, and the stated business purpose
made a part of the public record;
new text end

new text begin (3) if the authority has contracted or contracts for stadium marketing services and access
to a suite is included in the existing or future contract, the contract terms must require that
the contractor determine when suites are needed for marketing purposes and transmits to
the authority all data regarding its suite use, including but not limited to:
new text end

new text begin (i) the costs of use;
new text end

new text begin (ii) the identity of each attendee and their legitimate business purpose for attendance;
new text end

new text begin (iii) the date, time, and a general description of the stadium event at which the suite was
used, if applicable; and
new text end

new text begin (iv) the value and a description of any food, parking, or other benefits provided to
attendees.
new text end

new text begin The data required by this clause must be transmitted to the authority within 30 days after
each event at which a suite was used;
new text end

new text begin (4) authority staff may not use a suite except with the express written assignment of
duties by the executive director, may not be provided free food, and may not be provided
free parking unless necessary to complete the assigned duties; and
new text end

new text begin (5) provision of tickets to events and use of suites for a purpose other than marketing or
oversight must be reported to the legislative auditor.
new text end

new text begin (b) The authority must negotiate a return of all stadium suites to the primary tenant, or
other interested parties, in return for fair market value. A provision may be negotiated
allowing limited access to suites for marketing purposes. Any revenues received pursuant
to this paragraph must be deposited in the authority's operating reserves, established under
section 473J.13, subdivision 2, paragraph (c).
new text end

new text begin (c) No later than 60 days after the close of each fiscal year, the authority must report to
the commissioner of management and budget the amount deposited in the authority's reserves
under the provisions of paragraph (b).
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 12.

Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
to read:


new text begin Subd. 16. new text end

new text begin Code of conduct. new text end

new text begin The authority shall adopt and comply with the latest version
of the state code of conduct promulgated by Minnesota Management and Budget.
new text end

Sec. 13.

Minnesota Statutes 2016, section 473J.13, subdivision 2, is amended to read:


Subd. 2.

Operating expenses.

(a) The authority must pay or cause to be paid all operating
expenses of the stadium. The authority must require in the lease or use agreement with the
NFL team that the NFL team pay the authority, beginning January 1, 2016, or other date as
mutually agreed upon by the parties, toward operating costs of the stadium, $8,500,000
each year, increased by a three percent annual inflation rate.

(b) Beginning January 1, 2016, or other date as mutually agreed upon by the parties,
and continuing through 2020, the state shall pay the authority operating expenses, $6,000,000
each year, increased by an annual adjustment factor. The payment of $6,000,000 per year
beginning in 2016 is a payment by the state, which shall be repaid to the state, using funds
as provided under section 297A.994, subdivision 4, clause (4). After 2020, the state shall
assume this payment, using funds generated in accordance with the city of Minneapolis as
specified under section 297A.994, subdivision 4, clause (3).new text begin The amount of the payment
obligation under this paragraph for any fiscal year is reduced by the dollar amount for the
prior fiscal year reported to the commissioner of management and budget under section
473J.09, subdivision 15, paragraph (c).
new text end

(c) The authority may establish an operating reserve to cover operating expense shortfalls
and may accept funds from any source for deposit in the operating reserve. The establishment
or funding of an authority operating reserve must not decrease the amounts required to be
paid to the authority toward operating costs under this subdivision unless agreed to by the
authority.

(d) The authority will be responsible for operating cost overruns.

(e) After the joint selection of the third-party manager or program manager, the authority
may agree with a program manager or other third-party manager of the stadium on a fixed
cost operating, management, or employment agreement with operating cost protections
under which the program manager or third-party manager assumes responsibility for stadium
operating costs and shortfalls. The agreement with the manager must require the manager
to prepare an initial and ongoing operating plan and operating budgets for approval by the
authority in consultation with the NFL team. The manager must agree to operate the stadium
in accordance with the approved operating plan and operating budget.

Sec. 14. new text begin RECOVERY.
new text end

new text begin The Minnesota Sports Facilities Authority must recover the fair market value of any
food, parking, tickets, and access to stadium suites provided to a person prior to January 1,
2017, if the provision of those benefits to the person was not in the public interest. The
authority shall report on recovery efforts to the commissioner of management and budget
and to the chairs and ranking minority members of the senate finance and house of
representatives ways and means committees on the second Monday of each month until a
full recovery is completed.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 15. new text begin LEGISLATIVE AUDITOR REVIEW.
new text end

new text begin (a) No later than January 15, 2018, the legislative auditor is requested to review the
operations and management structure of major sports event facilities in Minnesota that are
both publicly owned and publicly operated. Upon completion, the review must be submitted
to the chairs and ranking minority members of the legislative committees with jurisdiction
over state government finance, and to the Legislative Commission on Minnesota Sports
Facilities.
new text end

new text begin (b) At a minimum, the review must consider:
new text end

new text begin (1) the structure and oversight responsibilities of each facility's public governing body;
new text end

new text begin (2) whether the public governing bodies have access to tickets, suites, or other premium
amenities for events conducted in the facilities they oversee, including the terms under
which the access is provided; and
new text end

new text begin (3) whether the public governing bodies have adopted policies or procedures to ensure
their oversight activities, including those of individual members acting on behalf of the
governing body, are transparent and in furtherance of the public interest.
new text end

new text begin (c) The review must compare and contrast the practices of each public governing body
and may recommend best practices for improving the governance, operations, and public
accountability of each body. As necessary, the review may also propose any changes in law
necessary to implement these best practices.
new text end

Sec. 16. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2016, section 473J.09, subdivision 14, new text end new text begin is repealed.
new text end

Sec. 17. new text begin EFFECTIVE DATE.
new text end

new text begin Except where otherwise provided, this article is effective July 1, 2017, and,
notwithstanding any law to the contrary, the appointment of the current executive director
of the Minnesota Sports Facilities Authority and the terms of all current members of the
authority terminate on that date. New appointments as required by Minnesota Statutes,
section 473J.07, subdivision 2, must be made no later than July 15, 2017.
new text end

APPENDIX

Repealed Minnesota Statutes: H0691-1

3.886 LEGISLATIVE WATER COMMISSION.

Subdivision 1.

Establishment.

A Legislative Water Commission is established.

Subd. 2.

Membership.

(a) The Legislative Water Commission consists of 12 members appointed as follows:

(1) six members of the senate, including three majority party members appointed by the majority leader and three minority party members appointed by the minority leader; and

(2) six members of the house of representatives, including three majority party members appointed by the speaker of the house and three minority party members appointed by the minority leader.

(b) Members serve at the pleasure of the appointing authority and continue to serve until their successors are appointed or until a member is no longer a member of the legislative body that appointed the member to the commission. Vacancies shall be filled in the same manner as the original positions. Vacancies occurring on the commission do not affect the authority of the remaining members of the Legislative Water Commission to carry out the function of the commission.

(c) Members shall elect a chair, vice chair, and other officers as determined by the commission. The chair may convene meetings as necessary to conduct the duties prescribed by this section.

Subd. 3.

Commission staffing.

The Legislative Coordinating Commission must employ staff and contract with consultants as necessary to enable the Legislative Water Commission to carry out its duties and functions.

Subd. 4.

Powers and duties.

(a) The Legislative Water Commission shall review water policy reports and recommendations of the Environmental Quality Board, the Board of Water and Soil Resources, the Pollution Control Agency, the Department of Natural Resources, the Metropolitan Council, and other water-related reports as may be required by law or the legislature.

(b) The commission may conduct public hearings and otherwise secure data and comments.

(c) The commission shall make recommendations as it deems proper to assist the legislature in formulating legislation.

(d) Data or information compiled by the Legislative Water Commission or its subcommittees shall be made available to the Legislative-Citizen Commission on Minnesota Resources, the Clean Water Council, and standing and interim committees of the legislature on request of the chair of the respective commission, council, or committee.

(e) The commission shall coordinate with the Clean Water Council.

Subd. 5.

Compensation.

Members of the commission may receive per diem and expense reimbursement incurred doing the work of the commission in the manner and amount prescribed for per diem and expense payments by the senate Committee on Rules and Administration and the house of representatives Committee on Rules and Legislative Administration.

Subd. 6.

Expiration.

This section expires July 1, 2019.

6.581 STATE AUDITOR ENTERPRISE FUND.

Subdivision 1.

State auditor enterprise fund.

A state auditor enterprise fund is established in the state treasury. All amounts received for the costs and expenses of examinations performed under this chapter shall be credited to the fund. Amounts credited to the fund are annually appropriated to the state auditor to pay the costs and expenses related to the examinations performed, including, but not limited to, salaries, office overhead, equipment, authorized contracts, and other expenses.

10A.30 STATE ELECTIONS CAMPAIGN ACCOUNT.

Subdivision 1.

Establishment.

An account is established in the special revenue fund of the state known as the "state elections campaign account."

Subd. 2.

Separate account.

Within the state elections campaign account there must be maintained a separate political party account for the state committee and the candidates of each political party and a general account.

Subd. 3.

Special elections account.

An account is established in the special revenue fund of the state known as the "state special elections campaign account."

10A.31 DESIGNATION OF INCOME TAX PAYMENTS.

Subdivision 1.

Designation.

An individual resident of this state who files an income tax return or a renter and homeowner property tax refund return with the commissioner of revenue may designate on their original return that $5 be paid from the general fund of the state into the state elections campaign account. If a husband and wife file a joint return, each spouse may designate that $5 be paid. No individual is allowed to designate $5 more than once in any year. The taxpayer may designate that the amount be paid into the account of a political party or into the general account.

Subd. 3.

Form.

The commissioner of revenue must provide on the first page of the income tax form and the renter and homeowner property tax refund return a space for the individual to indicate a wish to pay $5 ($10 if filing a joint return) from the general fund of the state to finance election campaigns. The form must also contain language prepared by the commissioner that permits the individual to direct the state to pay the $5 (or $10 if filing a joint return) to: (1) one of the major political parties; (2) any minor political party that qualifies under subdivision 3a; or (3) all qualifying candidates as provided by subdivision 7. The renter and homeowner property tax refund return must include instructions that the individual filing the return may designate $5 on the return only if the individual has not designated $5 on the income tax return.

Subd. 3a.

Qualification of political parties.

(a) A major political party qualifies for inclusion on the income tax form and property tax refund return as provided in subdivision 3 if it qualifies as a major political party by July 1 of the taxable year.

(b) A minor political party qualifies for inclusion on the income tax form and property tax refund return as provided in subdivision 3 if it qualifies as a minor party statewide by July 1 of the taxable year.

(c) The secretary of state shall notify each major and minor political party by the first Monday in January of each odd-numbered year of the conditions necessary for the party to participate in income tax form and property tax refund return programs.

(d) The secretary of state shall notify each political party, the commissioner of revenue, and the Campaign Finance and Public Disclosure Board by July 1 of each year and following certification of the results of each general election of the political parties that qualify for inclusion on the income tax form and property tax refund return as provided in subdivision 3.

Subd. 4.

Appropriation.

(a) The amounts designated by individuals for the state elections campaign account, less three percent, are appropriated from the general fund, must be transferred and credited to the appropriate account in the state elections campaign account, and are annually appropriated for distribution as set forth in subdivisions 5, 5a, 6, and 7. The remaining three percent must be kept in the general fund for administrative costs.

(b) In addition to the amounts in paragraph (a), $1,020,000 for each general election is appropriated from the general fund for transfer to the general account of the state elections campaign account.

Subd. 5.

Allocation.

(a) General account. In each calendar year the money in the general account must be allocated to candidates as follows:

(1) 21 percent for the offices of governor and lieutenant governor together;

(2) 4.2 percent for the office of attorney general;

(3) 2.4 percent each for the offices of secretary of state and state auditor;

(4) in each calendar year during the period in which state senators serve a four-year term, 23-1/3 percent for the office of state senator, and 46-2/3 percent for the office of state representative; and

(5) in each calendar year during the period in which state senators serve a two-year term, 35 percent each for the offices of state senator and state representative.

(b) Party account. In each calendar year the money in each party account must be allocated as follows:

(1) 14 percent for the offices of governor and lieutenant governor together;

(2) 2.8 percent for the office of attorney general;

(3) 1.6 percent each for the offices of secretary of state and state auditor;

(4) in each calendar year during the period in which state senators serve a four-year term, 23-1/3 percent for the office of state senator, and 46-2/3 percent for the office of state representative;

(5) in each calendar year during the period in which state senators serve a two-year term, 35 percent each for the offices of state senator and state representative; and

(6) ten percent or $50,000, whichever is less, for the state committee of a political party; one-third of any amount in excess of that allocated to the state committee of a political party under this clause must be allocated to the office of state senator and two-thirds must be allocated to the office of state representative under clause (4).

Money allocated to each state committee under clause (6) must be deposited in a separate account and must be spent for only those items enumerated in section 10A.275. Money allocated to a state committee under clause (6) must be paid to the committee by the board as it is received in the account on a monthly basis, with payment on the 15th day of the calendar month following the month in which the returns were processed by the Department of Revenue, provided that these distributions would be equal to 90 percent of the amount of money indicated in the Department of Revenue's weekly unedited reports of income tax returns and property tax refund returns processed in the month, as notified by the Department of Revenue to the board. The amounts paid to each state committee are subject to biennial adjustment and settlement at the time of each certification required of the commissioner of revenue under subdivisions 7 and 10. If the total amount of payments received by a state committee for the period reflected on a certification by the Department of Revenue is different from the amount that should have been received during the period according to the certification, each subsequent monthly payment must be increased or decreased to the fullest extent possible until the amount of the overpayment is recovered or the underpayment is distributed.

Subd. 5a.

Party account for legislative candidates.

To ensure that money will be returned to the counties from which it was collected and to ensure that the distribution of money rationally relates to the support for particular parties or for particular candidates within legislative districts, money from the party accounts for legislative candidates must be distributed as provided in this subdivision.

Each candidate for the state senate and state house of representatives whose name is to appear on the ballot in the general election must receive money from the candidate's party account allocated to candidates for the state senate or state house of representatives, whichever applies, according to the following formula:

For each county within the candidate's district, the candidate's share of the dollars designated by taxpayers who resided in that county and credited to the candidate's party account and allocated to that office must be:

(1) the sum of the votes cast in the last general election in that part of the county in the candidate's district for all candidates of that candidate's party whose names appeared on the ballot statewide and for the state senate and state house of representatives, divided by

(2) the sum of the votes cast in the entire county in the last general election for all candidates of that candidate's party whose names appeared on the ballot statewide and for the state senate and state house of representatives, multiplied by

(3) the amount in the candidate's party account designated by taxpayers who resided in that county and allocated to that office.

The sum of all the county shares calculated in the formula above is the candidate's share of the candidate's party account.

In a year in which an election for the state senate occurs, with respect to votes for candidates for the state senate only, "last general election" means the last general election in which an election for the state senate occurred.

For a party under whose name no candidate's name appeared on the ballot statewide in the last general election, amounts in the party's account must be allocated based on (i) the number of people voting in the last general election in that part of the county in the candidate's district, divided by (ii) the number of the people voting in the entire county in the last general election, multiplied by (iii) the amount in the candidate's party account designated by taxpayers who resided in that county and allocated to that office.

In the first general election after the legislature is redistricted, "the candidate's district" means the newly drawn district and voting data from the last general election must be applied to the area encompassing the newly drawn district, notwithstanding that the area was in a different district in the last general election.

If in a district there was no candidate of a party for the state senate or state house of representatives in the last general election, or if a candidate for the state senate or state house of representatives was unopposed, the vote for that office for that party is the average vote of all the remaining candidates of that party in each county of that district whose votes are included in the sums in clauses (1) and (2). The average vote must be added to the sums in clauses (1) and (2) before the calculation is made for all districts in the county.

Subd. 6.

Distribution of party accounts.

As soon as the board has obtained from the secretary of state the results of the primary election, but no later than one week after certification by the State Canvassing Board of the results of the primary, the board must distribute the available money in each party account, as certified by the commissioner of revenue one week before the state primary, to the candidates of that party who have signed a spending limit agreement under section 10A.322 and filed the affidavit of contributions required by section 10A.323, who were opposed in either the primary election or the general election, and whose names are to appear on the ballot in the general election, according to the allocations set forth in subdivisions 5 and 5a. The public subsidy from the party account may not be paid in an amount greater than the expenditure limit of the candidate or the expenditure limit that would have applied to the candidate if the candidate had not been freed from expenditure limits under section 10A.25, subdivision 10.

Subd. 6a.

Party account money not distributed.

Money from a party account not distributed to candidates for state senator or representative in any election year must be returned to the general fund of the state, except that the subsidy from the party account an unopposed candidate would otherwise have been eligible to receive must be paid to the state committee of the candidate's political party to be deposited in a special account under subdivision 5, paragraph (b), clause (6), and used for only those items permitted under section 10A.275. Money from a party account not distributed to candidates for other offices in an election year must be returned to the party account for reallocation to candidates as provided in subdivision 5, paragraph (b), in the following year.

Subd. 7.

Distribution of general account.

(a) As soon as the board has obtained the results of the primary election from the secretary of state, but no later than one week after certification of the primary results by the State Canvassing Board, the board must distribute the available money in the general account, as certified by the commissioner of revenue one week before the state primary and according to allocations set forth in subdivision 5, in equal amounts to all candidates of a major political party whose names are to appear on the ballot in the general election and who:

(1) have signed a spending limit agreement under section 10A.322;

(2) have filed the affidavit of contributions required by section 10A.323; and

(3) were opposed in either the primary election or the general election.

(b) The public subsidy under this subdivision may not be paid in an amount that would cause the sum of the public subsidy paid from the party account plus the public subsidy paid from the general account to exceed 50 percent of the expenditure limit for the candidate or 50 percent of the expenditure limit that would have applied to the candidate if the candidate had not been freed from expenditure limits under section 10A.25, subdivision 10. Money from the general account not paid to a candidate because of the 50 percent limit must be distributed equally among all other qualifying candidates for the same office until all have reached the 50 percent limit or the balance in the general account is exhausted.

Subd. 7a.

Withholding of public subsidy.

If a candidate who is eligible for payment of public subsidy under this section has not filed the report of receipts and expenditures required under section 10A.20 before a primary election, any public subsidy for which that candidate is eligible must be withheld by the board until the candidate complies with the filing requirements of section 10A.20 and the board has sufficient time to review or audit the report. If a candidate who is eligible for public subsidy does not file the report due before the primary election under section 10A.20 by the date that the report of receipts and expenditures filed before the general election is due, that candidate shall not be paid public subsidy for that election.

Subd. 10.

December distribution.

In the event that on the date of either certification by the commissioner of revenue as provided in subdivision 6 or 7, less than 98 percent of the tax returns have been processed, the commissioner of revenue must certify to the board by December 1 the amount accumulated in each account since the previous certification. By December 15, the board must distribute to each candidate according to the allocations in subdivisions 5 and 5a the amounts to which the candidates are entitled.

Subd. 10a.

Form of distribution.

A distribution to a candidate must be in the form of a check made "payable to the campaign fund of ......(name of candidate)......."

Subd. 10b.

Remainder.

Money accumulated after the final certification must be kept in the respective accounts for distribution in the next general election year.

Subd. 11.

Write-in candidate.

For the purposes of this section, a write-in candidate is a candidate only upon complying with sections 10A.322 and 10A.323.

10A.315 SPECIAL ELECTION SUBSIDY.

(a) Each eligible candidate for a legislative office in a special election must be paid a public subsidy equal to the sum of:

(1) the party account money at the last general election for the candidate's party for the office the candidate is seeking; and

(2) the general account money paid to a candidate for the same office at the last general election.

(b) A candidate who wishes to receive this public subsidy must submit a signed agreement under section 10A.322 to the board and must meet the contribution requirements of section 10A.323. The special election subsidy must be distributed in the same manner as money in the party and general accounts is distributed to legislative candidates in a general election.

(c) The amount necessary to make the payments required by this section is appropriated from the general fund for transfer to the state special elections campaign account for distribution by the board as set forth in this section.

10A.321 ESTIMATES OF MINIMUM AMOUNTS TO BE RECEIVED.

Subdivision 1.

Calculation and certification of estimates.

The commissioner of revenue must calculate and certify to the board one week before the first day for filing for office in each election year an estimate of the total amount in the state general account of the state elections campaign account and the amount of money each candidate who qualifies, as provided in section 10A.31, subdivisions 6 and 7, may receive from the candidate's party account in the state elections campaign account. This estimate must be based upon the allocations and formulas in section 10A.31, subdivisions 5 and 5a, any necessary vote totals provided by the secretary of state to apply the formulas in section 10A.31, subdivisions 5 and 5a, and the amount of money expected to be available after 100 percent of the tax returns have been processed.

Subd. 2.

Publication, certification, and notification procedures.

Before the first day of filing for office, the board must publish and forward to all filing officers the estimates calculated and certified under subdivision 1 along with a copy of section 10A.25, subdivision 10. Within one week after the last day for filing for office, the secretary of state must certify to the board the name, address, office sought, and party affiliation of each candidate who has filed with that office an affidavit of candidacy or petition to appear on the ballot. The auditor of each county must certify to the board the same information for each candidate who has filed with that county an affidavit of candidacy or petition to appear on the ballot. Within two weeks after the last day for filing for office, the board must notify all candidates of their estimated minimum amount. The board must include with the notice a form for the agreement provided in section 10A.322 along with a copy of section 10A.25, subdivision 10.

10A.322 SPENDING LIMIT AGREEMENTS.

Subd. 2.

How long agreement is effective.

The agreement, insofar as it relates to the expenditure limits in section 10A.25, as adjusted by section 10A.255, and the contribution limit in section 10A.27, subdivision 10, remains effective for candidates until the dissolution of the principal campaign committee of the candidate or the end of the first election cycle completed after the agreement was filed, whichever occurs first.

Subd. 4.

Refund receipt forms; penalty.

(a) The board must make available to a political party on request and to any candidate for whom an agreement under this section is effective, a supply of official refund receipt forms that state in boldface type that:

(1) a contributor who is given a receipt form is eligible to claim a refund as provided in section 290.06, subdivision 23; and

(2) if the contribution is to a candidate, that the candidate has signed an agreement to limit campaign expenditures as provided in this section.

The forms must provide duplicate copies of the receipt to be attached to the contributor's claim.

(b) The willful issuance of an official refund receipt form or a facsimile of one to any of the candidate's contributors by a candidate or treasurer of a candidate who did not sign an agreement under this section is subject to a civil penalty of up to $3,000 imposed by the board.

(c) The willful issuance of an official refund receipt form or a facsimile to an individual not eligible to claim a refund under section 290.06, subdivision 23, is subject to a civil penalty of up to $3,000 imposed by the board.

(d) A violation of paragraph (b) or (c) is a misdemeanor.

10A.323 AFFIDAVIT OF CONTRIBUTIONS.

(a) In addition to the requirements of section 10A.322, to be eligible to receive a public subsidy under section 10A.31 a candidate or the candidate's treasurer must:

(1) between January 1 of the previous year and the cutoff date for transactions included in the report of receipts and expenditures due before the primary election, accumulate contributions from individuals eligible to vote in this state in at least the amount indicated for the office sought, counting only the first $50 received from each contributor, excluding in-kind contributions:

(i) candidates for governor and lieutenant governor running together, $35,000;

(ii) candidates for attorney general, $15,000;

(iii) candidates for secretary of state and state auditor, separately, $6,000;

(iv) candidates for the senate, $3,000; and

(v) candidates for the house of representatives, $1,500;

(2) file an affidavit with the board stating that the principal campaign committee has complied with this paragraph. The affidavit must state the total amount of contributions that have been received from individuals eligible to vote in this state, excluding:

(i) the portion of any contribution in excess of $50;

(ii) any in-kind contribution; and

(iii) any contribution for which the name and address of the contributor is not known and recorded; and

(3) submit the affidavit required by this section to the board in writing by the deadline for reporting of receipts and expenditures before a primary under section 10A.20, subdivision 4.

(b) A candidate for a vacancy to be filled at a special election for which the filing period does not coincide with the filing period for the general election must accumulate the contributions specified in paragraph (a) and must submit the affidavit required by this section to the board within five days after the close of the filing period for the special election for which the candidate filed.

10A.324 RETURN OF PUBLIC SUBSIDY.

Subdivision 1.

When return required.

A candidate must return all or a portion of the public subsidy received from the state elections campaign account or the public subsidy received under section 10A.315, under the circumstances in this section or section 10A.257, subdivision 1.

To the extent that the amount of public subsidy received exceeds the aggregate of: (1) actual expenditures made by the principal campaign committee of the candidate; and (2) approved expenditures made on behalf of the candidate, the treasurer of the candidate's principal campaign committee must return an amount equal to the difference to the board. The cost of postage that was not used during an election cycle and payments that created credit balances at vendors at the close of an election cycle are not considered expenditures for purposes of determining the amount to be returned. Expenditures in excess of the candidate's spending limit do not count in determining aggregate expenditures under this paragraph.

Subd. 3.

How return determined.

Whether or not a candidate is required under subdivision 1 to return all or a portion of the public subsidy must be determined from the report required to be filed with the board by that candidate by January 31 of the year following an election. An amount required to be returned must be submitted in the form of a check or money order and must accompany the report filed with the board. The board must deposit the check or money order in the state treasury for credit to the general fund. The amount returned must not exceed the amount of public subsidy received by the candidate.

14.05 GENERAL AUTHORITY.

Subd. 5.

Review and repeal of rules.

By December 1 of each year, an agency must submit to the governor, the Legislative Coordinating Commission, the policy and funding committees and divisions with jurisdiction over the agency, and the revisor of statutes, a list of any rules or portions of rules that are obsolete, unnecessary, or duplicative of other state or federal statutes or rules. The list must also include an explanation of why the rule or portion of the rule is obsolete, unnecessary, or duplicative of other state or federal statutes or rules. By December 1, the agency must either report a timetable for repeal of the rule or portion of the rule, or must develop a bill for submission to the appropriate policy committee to repeal the obsolete, unnecessary, or duplicative rule. Such a bill must include proposed authorization to use the expedited procedures of section 14.389 to repeal or amend the obsolete, unnecessary, or duplicative rule. A report submitted under this subdivision must be signed by the person in the agency who is responsible for identifying and initiating repeal of obsolete rules. The report also must identify the status of any rules identified in the prior year's report as obsolete, unnecessary, or duplicative. If none of an agency's rules are obsolete, unnecessary, or duplicative, an agency's December 1 report must state that conclusion.

161.1419 MISSISSIPPI RIVER PARKWAY COMMISSION.

Subdivision 1.

Policy.

It is declared to be the policy of the state and to be in the best public interest for the promotion of public safety, recreation, travel, trade, and the general welfare of the people to cooperate with the federal government and with the interstate Mississippi River Parkway Planning Commission. To carry out such policy and to aid in the promotion and securement of a scenic parkway and highway for the state of Minnesota and to aid in securing the location of federal parks within Minnesota a Mississippi River Parkway Commission is created. Such commission shall also work toward the planning, construction, maintenance, and improvement of the Great River Road or Mississippi River Parkway which is to follow generally the course of the Mississippi River and extend from Canada to the Gulf of Mexico.

Subd. 2.

Members.

(a) The commission shall be composed of 15 members of whom:

(1) one shall be appointed by the commissioner of transportation;

(2) one shall be appointed by the commissioner of natural resources;

(3) one shall be appointed by the director of Explore Minnesota Tourism;

(4) one shall be appointed by the commissioner of agriculture;

(5) one shall be appointed by the director of the Minnesota Historical Society;

(6) two shall be members of the senate to be appointed by the Committee on Committees;

(7) two shall be members of the house of representatives to be appointed by the speaker;

(8) one shall be the secretary appointed pursuant to subdivision 3; and

(9) five shall be citizen members appointed by five citizen committees established by the members appointed under clauses (1) to (8), with each citizen committee established within and representing each of the following geographic segments along the Mississippi River:

(i) Lake Itasca to but not including the city of Grand Rapids;

(ii) Grand Rapids to but not including the city of Brainerd;

(iii) Brainerd to but not including the city of Elk River;

(iv) Elk River to but not including the city of Hastings; and

(v) Hastings to the Iowa border.

Each citizen committee member shall be a resident of the geographic segment that the committee and member represents.

(b) The members of the commission shall serve for a term expiring at the close of each regular session of the legislature and until their successors are appointed. Successor members shall be appointed by the same appointing authorities. Members may be reappointed. Any vacancy shall be filled by the appointing authority. The commissioner of transportation, the commissioner of natural resources, and the director of the Minnesota Historical Society shall be ex officio members, and shall be in addition to the 15 members heretofore provided for. Immediately upon making the appointments to the commission the appointing authorities shall so notify the Mississippi River Parkway Commission, hereinafter called the National Commission, giving the names and addresses of the members so appointed.

Subd. 3.

Chair, vice-chair, and secretary.

The commission may hold meetings and hearings at such time and places as it may designate to accomplish the purposes set forth in this section. It shall select a chair, a vice-chair, and such other officers from its membership as it deems necessary. The commission shall appoint a secretary who shall also serve as a commission member.

Subd. 3a.

Gifts, grants, and endowments.

The commission may accept gifts of money, property, or services; may apply for and accept grants from the United States, the state, a subdivision of the state, or a person for any of its purposes; may enter into an agreement required in connection with it; and may hold, use, and dispose of the money, property, or services in accordance with the terms of the gift, grant, or agreement relating to it. The commission may also make grants, gifts, and bequests of money, property, or services and enter into contracts to carry out the same. The gift acceptance procedures of sections 16A.013 to 16A.016 do not apply to this section.

Subd. 4.

Compensation, supplies, staff.

Compensation of legislative members of the commission is as provided in section 3.101. Compensation of the remaining members is as provided in section 15.0575. The commission may purchase supplies, employ part-time or full-time employees, and do all things reasonably necessary and convenient in carrying out the purposes of this section.

Subd. 5.

Staff from other agencies.

The commissioner of transportation shall designate one employee of the Department of Transportation who is an engineer or who has engineering experience and the commissioner of natural resources shall appoint one staff member who shall advise with and assist the commission in carrying out its functions and duties.

Subd. 6.

National Commission.

The commission shall be an affiliate of the National Commission and as a member of the National Commission may pay an annual fee for its equal share of the planning program of the National Commission.

Subd. 7.

Program review.

The commission may review the programs of the various interstate compacts, studies, planning groups and commissions involved in water and land use activities along the Mississippi River in Minnesota.

Subd. 8.

Expiration.

The commission expires on June 30, 2020.

473J.09 POWERS, DUTIES OF THE AUTHORITY.

Subd. 14.

Study; raffle.

The authority shall study the feasibility of conducting a raffle for chances to win a pair or other limited numbers of prime seats (such as lower deck, 50 yard line seats) in the stadium for professional football games for the duration of the lease or use agreement. In conducting the study, the authority must consult with the NFL team. If the authority determines that conducting the raffle is financially feasible, the authority in cooperation with the director of the Gambling Control Board shall conduct the raffle. The proceeds of the raffle must be transmitted to the commissioner of revenue for deposit in the general fund and are appropriated to the commissioner of management and budget for prepayment of principal and interest on appropriation bonds under section 16A.965.

Repealed Minnesota Rule: H0691-1

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 2.

Period covered by agreement.

A public subsidy agreement is effective for the entire election cycle regardless of when the agreement is signed.

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 3.

Effect of signing public subsidy agreement after first year of election cycle.

By signing a public subsidy agreement after the first year of an election cycle, a candidate agrees to abide by spending and contribution limits for candidates with public subsidy agreements for the entire election cycle. The candidate is subject to the same remedies for prior violations of contribution and spending limits as a candidate who signed a public subsidy agreement during the first year of the election cycle.

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 4.

Effect on right to participate in political contribution refund program.

The right to issue receipts under the political contribution refund program established in Minnesota Statutes, section 290.06, subdivision 23, arises only when the public subsidy agreement is actually signed.

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 5.

Expiration at end of special election cycle.

Public subsidy agreements for all candidates in a district in which a special election is held expire at the end of the special election cycle regardless of whether the candidate actually ran in the special election.

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 6.

Return of public subsidy.

If a candidate who has received public subsidy money fails to file a year-end report of receipts and expenditures in an election year, the board may determine the amount of public subsidy which must be returned based on the last report filed by the candidate.

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 7.

Nonreceipt of public subsidy funds.

A public subsidy agreement is binding regardless of whether the candidate actually receives funds from the state elections campaign fund.

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 8.

Affidavit of contributions for special elections.

For a special election for which the filing period does not coincide with a general election, the candidate must submit the affidavit of contributions not later than five days after filing an affidavit of candidacy or nominating petition for the office sought.

4503.1400 PUBLIC SUBSIDY AGREEMENTS.

Subp. 9.

Increase for first-time candidates.

Candidates who qualify for first-time candidate status receive a ten percent increase in the campaign expenditure limit in all years of the applicable election cycle.

4503.1450 DISTRIBUTION OF GENERAL ACCOUNT PUBLIC SUBSIDY FUNDS.

Subpart 1.

Agreement.

The general account public subsidy agreement required in Minnesota Statutes, section 10A.31, subdivision 7, may be provided to candidates on a separate form, or incorporated into the public subsidy agreement. The agreement must require that the candidate spend or be legally obligated to spend at least 50 percent of the general account public subsidy payment by the end of the reporting period prior to the general election. The agreement must also provide that if the candidate does not meet this requirement, the candidate must repay the board the difference between the candidates general account public subsidy payment and the candidates total campaign expenditures as of the end of the reporting period prior to the general election. The agreement must further provide that the candidate must reimburse the board for any reasonable collection costs incurred in securing the repayment of the unused general account public subsidy payment.

Subp. 2.

Failure to repay.

A candidate who fails to repay money required by the agreement cannot be paid additional general account public subsidy funds during the current or future election cycles until the entirety of the unexpended general account funds, and any associated collection fees, are either repaid to the board or discharged by a court action.

Subp. 3.

Estimate of general account public subsidy payment.

For purposes of determining a candidate's fulfillment of the terms of the agreement, the board must use the September 1 certification of available funds from the commissioner of the Department of Revenue to estimate the general account public subsidy payment for the candidate's office. Using first class mail, the board must inform each candidate eligible for a general account payment of the minimum amount that must be spent to comply with the terms of the agreement.