ARTICLE 1

K-12 EDUCATION

120B.024 GRADUATION REQUIREMENTS; COURSE CREDITS.

new text begin [120B.299] DEFINITIONS.
new text end

120B.30 STATEWIDE TESTING AND REPORTING SYSTEM.

120B.31 SYSTEM ACCOUNTABILITY AND STATISTICAL
ADJUSTMENTS.

120B.35 STUDENT ACADEMIC ACHIEVEMENT AND deleted text begin PROGRESSdeleted text end new text begin
GROWTHnew text end .

120B.36 SCHOOL ACCOUNTABILITY; APPEALS PROCESS.

120B.362 new text begin GROWTH-BASED new text end VALUE-ADDED ASSESSMENT PROGRAM.

122A.21 TEACHERS' AND ADMINISTRATORS' LICENSES; FEES.

new text begin [121A.215] LOCAL SCHOOL DISTRICT WELLNESS POLICIES;
WEB SITE.
new text end

123B.62 BONDS FOR CERTAIN CAPITAL FACILITIES.

new text begin [124D.041] RECIPROCITY WITH ADJOINING STATES.
new text end

124D.55 GENERAL EDUCATION DEVELOPMENT (GED) TEST FEES.

126C.44 SAFE SCHOOLS LEVY.

126C.51 APPLICATION OF LIMITING TAX LEGISLATION.

126C.53 ENABLING RESOLUTION; FORM OF CERTIFICATES OF
INDEBTEDNESS.

126C.55 STATE PAYMENT OF DEBT OBLIGATION UPON POTENTIAL
DEFAULT; REPAYMENT; STATE OBLIGATION NOT DEBT.

new text begin [127A.331] SCHOOL ENDOWMENT FUND; USE OF REVENUE.
new text end

ARTICLE 2

FORECAST ADJUSTMENTS

B. EDUCATION EXCELLENCE

C. SPECIAL PROGRAMS

D. FACILITIES AND TECHNOLOGY

E. NUTRITION AND ACCOUNTING

F. EARLY CHILDHOOD AND ADULT PROGRAMS

ARTICLE 3

EARLY CHILDHOOD EDUCATION

new text begin [124D.141] STATE ADVISORY COUNCIL ON EARLY CHILDHOOD
EDUCATION AND CARE.
new text end

ARTICLE 4

HIGHER EDUCATION

new text begin [127A.70] MINNESOTA P-20 EDUCATION PARTNERSHIP.
new text end

136A.126 INDIAN SCHOLARSHIPS.

136A.127 ACHIEVE SCHOLARSHIP PROGRAM.

136A.66 LIST.

136A.67 UNAUTHORIZED REPRESENTATIONS.

136A.69 FEES.

new text begin [136F.045] LABOR ORGANIZATION BOARD MEMBER SELECTION
PROCESS.
new text end

new text begin [136F.19] POWER OF YOU PROGRAM.
new text end

141.35 EXEMPTIONS.

ARTICLE 5

JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS

new text begin [116J.996] MILITARY RESERVIST ECONOMIC INJURY LOANS.
new text end

new text begin [268.232] UNEMPLOYMENT INSURANCE WORKER INITIATIVE.
new text end

298.227 TACONITE ECONOMIC DEVELOPMENT FUND.

341.21 DEFINITIONS.

341.22 deleted text begin BOXINGdeleted text end new text begin COMBATIVE SPORTSnew text end COMMISSION.

341.23 LIMITATIONS.

341.25 RULES.

341.26 MEETINGS.

341.27 COMMISSION DUTIES.

new text begin [341.271] GIFT AUTHORITY.
new text end

341.28 REGULATION OF deleted text begin BOXINGdeleted text end new text begin COMBATIVE SPORTnew text end CONTESTS.

341.29 JURISDICTION OF COMMISSION.

341.30 LICENSURE REQUIREMENTS.

341.32 LICENSE FEES; EXPIRATION; RENEWAL.

341.321 FEE SCHEDULE.

341.33 PHYSICAL EXAMINATION REQUIRED; FEES.

341.35 deleted text begin PENALTIES FORdeleted text end NONLICENSED deleted text begin EXHIBITIONSdeleted text end new text begin CONTESTSnew text end .

new text begin [341.355] PENALTIES.
new text end

341.37 APPROPRIATION.

446A.086 STATE MAY GUARANTEE deleted text begin COUNTYdeleted text end new text begin GOVERNMENTAL UNITnew text end
BUILDING DEBT; REPAYMENT.

new text begin [446A.087] CREDIT ENHANCED BOND PROGRAM.
new text end

ARTICLE 6

ENVIRONMENT AND NATURAL RESOURCES

ARTICLE 7

ENVIRONMENT AND NATURAL RESOURCES POLICY

85.011 CONFIRMATION OF CREATION AND ESTABLISHMENT OF
STATE PARKS, deleted text begin MONUMENTS,deleted text end new text begin STATEnew text end RECREATION deleted text begin RESERVESdeleted text end new text begin AREAS,new text end
AND WAYSIDES.

89.715 ALTERNATIVE RECORDING FOR STATE FOREST ROAD.

103A.204 GROUNDWATER POLICY.

103A.43 WATER ASSESSMENTS AND REPORTS.

new text begin [115A.9175] LANDFILL; SITING.
new text end

ARTICLE 8

ENERGY, COMMERCE, UTILITIES

new text begin [116J.437] COORDINATING ECONOMIC DEVELOPMENT AND
ENVIRONMENTAL POLICY.
new text end

ARTICLE 9

DEPARTMENT OF AGRICULTURE, BOARD OF ANIMAL HEALTH,
DEPARTMENT OF VETERANS AFFAIRS, DEPARTMENT OF
EMPLOYMENT AND ECONOMIC DEVELOPMENT

ARTICLE 10

RELATED PROVISIONS FOR AGRICULTURE AND VETERANS AFFAIRS

ARTICLE 11

TRANSPORTATION FINANCE

ARTICLE 12

PUBLIC SAFETY

ARTICLE 13

STATE GOVERNMENT FINANCE

new text begin [5.33] RETURNING COMBAT VETERANS.
new text end

new text begin [13B.07] TAX DEBTOR DATA MATCHES.
new text end

new text begin [16A.1395] USE OF STATE FUNDS TO MISIDENTIFY AN AGENCY
PROHIBITED.
new text end

16B.282 SURVEYS, APPRAISALS, AND SALE.

16B.283 TERMS OF PAYMENT.

16B.284 deleted text begin CONTRACT FOR DEED ANDdeleted text end QUITCLAIM DEED.

new text begin [43A.1816] LEAVE TO CARE FOR OTHERS.
new text end

new text begin [43A.187] BLOOD DONATION LEAVE.
new text end

ARTICLE 14

MILITARY AFFAIRS

new text begin [192.341] STATE ENHANCED EMPLOYER SUPPORT OF GUARD
AND RESERVE (ESGR) PROGRAM.
new text end

ARTICLE 15

EXECUTIVE BRANCH COMPENSATION

15A.0815 SALARY LIMITS FOR CERTAIN EMPLOYEES.

ARTICLE 16

MINNESOTA HERITAGE

116U.26 FILM JOBS PRODUCTION PROGRAM.

ARTICLE 17

HOUSING

ARTICLE 18

PUBLIC HEALTH

new text begin [144.058] INTERPRETER SERVICES QUALITY INITIATIVE.
new text end

157.16 LICENSES REQUIRED; FEES.

new text begin [325F.172] DEFINITIONS.
new text end

new text begin [325F.173] BISPHENOL-A IN CHILDREN'S PRODUCTS; BAN.
new text end

new text begin [325F.174] PHTHALATES IN CHILDREN'S PRODUCTS; BAN.
new text end

new text begin [325F.175] REPLACEMENT CHEMICALS.
new text end

new text begin [325F.176] PARTICIPATION IN INTERSTATE CLEARINGHOUSE.
new text end

ARTICLE 19

FUNDING FOR SEX-SELECTION ABORTIONS

ARTICLE 20

ADOPTION

144.2252 ACCESS TO ORIGINAL BIRTH RECORD AFTER ADOPTION.

new text begin [144.2253] ACCESS TO ORIGINAL BIRTH RECORDS BY ADOPTED
PERSON; DEPARTMENT DUTIES.
new text end

ARTICLE 21

DEPARTMENT OF HUMAN SERVICES

ARTICLE 22

CONTINUING CARE

new text begin [256B.0658] HOUSING ACCESS GRANTS.
new text end

ARTICLE 23

AGENCY MANAGEMENT

ARTICLE 24

CHILDREN AND FAMILY SERVICES

256J.621 WORK PARTICIPATION deleted text begin BONUSdeleted text end new text begin FOOD BENEFITSnew text end .

518A.50 PAYMENT TO PUBLIC AGENCY.

ARTICLE 25

HEALTH CARE

new text begin [256B.194] FEDERAL PAYMENTS.
new text end

256B.199 PAYMENTS REPORTED BY GOVERNMENTAL ENTITIES.

ARTICLE 26

HEALTH AND HUMAN SERVICES APPROPRIATIONS

ARTICLE 27

HEALTH AND HUMAN SERVICES FORECAST CHANGES

ARTICLE 28

TAXES

ARTICLE 29

RESERVE ACCOUNTS AND MISCELLANEOUS

ARTICLE 30

SEVERABLE PROVISIONS

HF 1812

ARTICLE 1

K-12 EDUCATION

120B.024 GRADUATION REQUIREMENTS; COURSE CREDITS.

new text begin [120B.299] DEFINITIONS. new text end

120B.30 STATEWIDE TESTING AND REPORTING SYSTEM.

120B.31 SYSTEM ACCOUNTABILITY AND STATISTICAL ADJUSTMENTS.

120B.35 STUDENT ACADEMIC ACHIEVEMENT AND deleted text begin PROGRESSdeleted text end new text begin GROWTHnew text end .

120B.36 SCHOOL ACCOUNTABILITY; APPEALS PROCESS.

120B.362 new text begin GROWTH-BASED new text end VALUE-ADDED ASSESSMENT PROGRAM.

122A.21 TEACHERS' AND ADMINISTRATORS' LICENSES; FEES.

new text begin [120B.299] DEFINITIONS.
new text end

120B.31 SYSTEM ACCOUNTABILITY AND STATISTICAL
ADJUSTMENTS.

120B.35 STUDENT ACADEMIC ACHIEVEMENT AND deleted text begin PROGRESSdeleted text end new text begin
GROWTHnew text end .

new text begin [121A.215] LOCAL SCHOOL DISTRICT WELLNESS POLICIES;
WEB SITE.
new text end

new text begin [124D.041] RECIPROCITY WITH ADJOINING STATES.
new text end

Section 1.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 3.

Subd. 2.

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Sec. 4.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 5.

Subdivision 1.

Subd. 1a.

Subd. 2.

Subd. 3.

Subd. 4.

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Sec. 6.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

new text begin EFFECTIVE DATE. new text end

Sec. 7.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

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Sec. 8.

Subdivision 1.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 9.

new text begin EFFECTIVE DATE. new text end

Sec. 10.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 11.

new text begin EFFECTIVE DATE. new text end

Sec. 12.

Subd. 21.

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Sec. 13.

Subdivision 1.

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Sec. 14.

Subdivision 1.

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Sec. 15.

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Sec. 16.

Subd. 3.

Sec. 17.

Subd. 6.

Sec. 18.

Subd. 8.

Sec. 19.

Subd. 9.

Sec. 20.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Sec. 21.

new text begin Subd. 2a. new text end

Sec. 22.

Subd. 20.

new text begin EFFECTIVE DATE. new text end

Sec. 23.

Subdivision 1.

Sec. 24.

Sec. 25.

new text begin Subd. 11. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 26.

new text begin Subd. 4a. new text end

Sec. 27.

Subd. 31.

Sec. 28.

new text begin Subd. 31c. new text end

Sec. 29.

Subd. 9.

new text begin EFFECTIVE DATE. new text end

Sec. 30.

Subdivision 1.

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Sec. 31.

Subd. 3.

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Sec. 32.

new text begin EFFECTIVE DATE. new text end

Sec. 33.

new text begin EFFECTIVE DATE. new text end

Sec. 34.

Subd. 2.

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Sec. 35.

new text begin Subd. 3. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 36.

new text begin EFFECTIVE DATE. new text end

Sec. 37.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

new text begin Subd. 4a. new text end

Subd. 6.

Subd. 7.

Subd. 8.

Subd. 9.

Subd. 10.

new text begin EFFECTIVE DATE. new text end

Sec. 38.

new text begin EFFECTIVE DATE. new text end

Sec. 39.

Subd. 16.

Sec. 40.

Subd. 13.

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Sec. 41.

Subd. 2.

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Sec. 42.

Subd. 9.

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Sec. 43.

Subd. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 44.

Sec. 4. APPROPRIATIONS; DEPARTMENT OF EDUCATION.

Subdivision 1.

Subd. 2.

Sec. 45.

Subdivision 1.

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Sec. 46.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 47.

Subd. 6.

new text begin EFFECTIVE DATE. new text end

Sec. 48. new text begin FUND TRANSFERS.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 49. new text begin ONETIME GENERAL EDUCATION REVENUE INCREASE; FISCAL
YEAR 2009 ONLY.
new text end

Sec. 50. new text begin ALTERNATIVE TEACHER COMPENSATION AID.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 51. new text begin IMPLEMENTING A STUDENT GROWTH-BASED VALUE-ADDED
SYSTEM.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 52. new text begin IMPLEMENTING RIGOROUS COURSEWORK MEASURES
RELATED TO STUDENT PERFORMANCE.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 53. new text begin IMPLEMENTING MEASURES FOR ASSESSING STUDENTS'
SELF-REPORTED SENSE OF SCHOOL SAFETY, ENGAGEMENT IN
SCHOOL, AND THE QUALITY OF RELATIONSHIPS WITH TEACHERS,
ADMINISTRATORS, AND OTHER STUDENTS.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 54. new text begin GROWTH-BASED VALUE-ADDED SYSTEM.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 55. new text begin EXPEDITED PROCESS; SPECIFIC LEARNING DISABILITIES
RULE.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 56. new text begin ENDING PARTICIPATION IN NO CHILD LEFT BEHIND.
new text end

Sec. 57. new text begin SCHOOL DISTRICT PLANS TO IMPROVE STUDENTS' ACADEMIC
ACHIEVEMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 58. new text begin ADVISORY TASK FORCE ON IMPROVING STUDENTS'
ACADEMIC ACHIEVEMENT.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 59. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Section 1.

Subd. 2.

Sec. 2.

Subd. 3.

Sec. 3.

Subd. 4.

Sec. 4.

Subd. 5.

Sec. 5.

Subd. 6.

Sec. 6.

Subd. 7.

Sec. 7.

Subd. 8.

Sec. 8.

Subd. 2.

Sec. 9.

Subd. 3.

Sec. 10.

Subd. 4.

Sec. 11.

Subd. 6.

Sec. 12.

Subd. 9.

Sec. 13.

Subd. 3.

Sec. 14.

Subd. 4.

Sec. 15.

Subd. 2.

Sec. 16.

Subd. 3.

Sec. 17.

Subd. 6.

Sec. 18.

Subd. 8.

Sec. 19.

Subd. 2.

Sec. 20.

Subd. 3.

Sec. 21.

Subd. 4.

Sec. 22.

Subd. 2.

Sec. 23.

Subd. 3.

Sec. 24.

Subd. 4.

Sec. 25.

Subd. 8.

Sec. 26.

Subd. 9.

Sec. 27.

Subd. 13.

Section 1.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS
new text end

Sec. 2. new text begin MINNESOTA OFFICE OF HIGHER
EDUCATION
new text end

Sec. 3. new text begin BOARD OF TRUSTEES OF THE
MINNESOTA STATE COLLEGES AND
UNIVERSITIES
new text end

Sec. 4. new text begin BOARD OF REGENTS OF THE
UNIVERSITY OF MINNESOTA
new text end

Sec. 5.

Subd. 3.

Sec. 6.

new text begin Subd. 11. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 7.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 8.

Subd. 8.

Sec. 9.

Subd. 5.

Sec. 10.

Subd. 7a.

Sec. 11.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 12.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

Subd. 6.

Subd. 7.

Subd. 8.

Subd. 9.

Subd. 10.

Subd. 11.

Subd. 12.

Subd. 13.

Subd. 14.

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Sec. 13.

new text begin Subd. 4. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 14.

Subdivision 1.

Sec. 15.

Subd. 3.

Sec. 16.

Subd. 5.

Sec. 17.

Subd. 6.

Sec. 18.

Subd. 7.

Sec. 19.

Sec. 20.

Sec. 21.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

Sec. 22.

Subdivision 1.

Sec. 23.

Subd. 4.

Sec. 24.

Sec. 25.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 26.

Subdivision 1.

Sec. 27.

Subd. 5.

Sec. 28.

new text begin Subd. 13. new text end

Sec. 29.

Subdivision 1.

Sec. 30.

Sec. 31.

Subd. 2.

Sec. 32.

Subd. 2.

Sec. 33.

Subd. 18.

Sec. 34.

Subd. 2.

Sec. 35.

Subd. 5.

Sec. 36. new text begin POWER OF YOU PILOT PROGRAMS.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Sec. 37. new text begin TEACHERS OF COLOR FINANCIAL AID PILOT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

Sec. 38. new text begin REPORT TO LEGISLATURE.
new text end

Sec. 39. new text begin 2008 APPOINTMENTS TO THE BOARD OF TRUSTEES.
new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS AND
REDUCTIONS.
new text end

Sec. 3. new text begin EMPLOYMENT AND ECONOMIC
DEVELOPMENT
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

Sec. 4. new text begin LABOR AND INDUSTRY
new text end

new text begin Subdivision 1. new text end

Sec. 7.

new text begin Subd. 2a. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 8.

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new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

Sec. 9.

Subdivision 1.

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Sec. 10.

new text begin Subd. 11. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 11.

Subd. 3.

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Sec. 12.

Subdivision 1.

Sec. 13.

Subd. 2.

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Sec. 14.

Subd. 3.

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Sec. 15.

Subd. 9.

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Sec. 16.

Subd. 16.

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Sec. 17.

Subdivision 1.

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Sec. 18.

Subd. 2.

Sec. 19.

Subd. 3.

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Sec. 20.

new text begin Subd. 6. new text end

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Sec. 21.

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new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

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Sec. 22.

Subdivision 1.

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Sec. 23.

Subd. 2.

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Sec. 24.

Subd. 2.

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Sec. 25.

Sec. 26.

Subd. 9b.

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Sec. 27.

Subd. 9d.

Sec. 28.

Subd. 2.

Sec. 29.

Subd. 2.

Sec. 30.

Subdivision 1.

Subd. 2.

new text begin Subd. 2a. new text end

new text begin Subd. 2b. new text end

Subd. 3.

Subd. 4.

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new text begin Subd. 4b. new text end

new text begin Subd. 4c. new text end

new text begin Subd. 4d. new text end

new text begin Subd. 4e. new text end

new text begin Subd. 4f. new text end

new text begin Subd. 4g. new text end

Subd. 5.

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Subd. 7.

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Sec. 31.

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Sec. 32.

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Sec. 33.

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Sec. 34.

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Sec. 35.

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Sec. 36.

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Sec. 37.

Subdivision 1.

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Subd. 2.

Subd. 3.

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Sec. 38.

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Sec. 39.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

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Sec. 40.

Subdivision 1.

Subd. 2.

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Sec. 41.

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Sec. 42.

Subdivision 1.

Subd. 2.

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Sec. 43.

Subdivision 1.

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Sec. 44.

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Sec. 45.

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Sec. 46.

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Sec. 47.

Subd. 3.

Sec. 48.

Subd. 5a.

Sec. 49.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

Subd. 6.

Subd. 7.

Subd. 8.

Subd. 9.

Subd. 10.

Sec. 50.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin Subd. 12. new text end

Sec. 51.

Subdivision 1.

Sec. 52.

Sec. 72. UPPER RED LAKE BUSINESS LOAN PROGRAM.

Sec. 53.

Subd. 2.

Sec. 54.

Subd. 3.

Sec. 55. new text begin BIOMASS HEATING GRANTS AND LOANS PILOT PROJECT.
new text end

Sec. 56. new text begin HARDSHIP PAYMENTS.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 57. new text begin LUMBER COMPANY EXTRA BENEFITS.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 58. new text begin UNEMPLOYMENT BENEFITS; CONTINUED REQUEST TIME
PERIOD WAIVER.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 59. new text begin OFFICE OF SCIENCE AND TECHNOLOGY.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

Sec. 60. new text begin BIOSCIENCE SUBSIDY.
new text end

Sec. 61. new text begin 2009 DISTRIBUTIONS ONLY; TACONITE PRODUCTION TAX.
new text end

Sec. 62. new text begin REPEALER.
new text end

new text begin EFFECTIVE DATE. new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin POLLUTION CONTROL AGENCY
new text end

Sec. 3. new text begin NATURAL RESOURCES
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

Sec. 4. new text begin BOARD OF WATER AND SOIL
RESOURCES
new text end

Sec. 5. new text begin METROPOLITAN COUNCIL
new text end

Sec. 6.

Subd. 3.

Sec. 7.

Subd. 4.

Sec. 8.

Subd. 6.

Section 1.

Subd. 2.

Sec. 2.

Subd. 3.

Sec. 3.

Subd. 3.

Sec. 4.

Subd. 2.

Sec. 5.

new text begin Subd. 3a. new text end

Sec. 6.

Subdivision 1.

Sec. 7.

Subd. 2.

Sec. 8.

Subdivision 1.

Sec. 9.

Sec. 10.

Subd. 28.

Sec. 11.

Subd. 49a.

Sec. 12.

Subdivision 1.

Sec. 13.

Subd. 3.

Sec. 14.

new text begin Subd. 14. new text end

Sec. 15.

Subd. 2.

Sec. 16.

Subd. 2.

Sec. 17.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

Subd. 6.

Sec. 18.

new text begin Subd. 7. new text end

Sec. 19.

Subd. 4b.

Sec. 20.

Subdivision 1.

Sec. 21.

Sec. 22.

Sec. 23.

Subdivision 1.

Sec. 24.

Subd. 3.

Sec. 25.

new text begin Subd. 4. new text end

Sec. 26.

Subd. 2.

Sec. 27.

new text begin EFFECTIVE DATE. new text end

Sec. 28. new text begin INDUSTRIAL AND CONSTRUCTION AND DEMOLITION
LANDFILL WORKING GROUP.
new text end

Sec. 29.

Subd. 3.

Sec. 30. new text begin FERROUS METALS MINING ADMINISTRATIVE FEE.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 31. new text begin RULES.
new text end

Sec. 32. new text begin REPEALER.
new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin COMMERCE AND PUBLIC UTILITIES COMMISSION
APPROPRIATIONS AND REDUCTIONS.
new text end

Sec. 3. new text begin DEPARTMENT OF COMMERCE
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

Sec. 4. new text begin PUBLIC UTILITIES COMMISSION
new text end

Sec. 5.

new text begin Subd. 3. new text end

Sec. 6.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 7.

Subd. 1a.

Sec. 8.

Subd. 4.

Sec. 9.

Subd. 3.

Sec. 10.

Subd. 4.

Sec. 11.

Subdivision 1.

Sec. 12. new text begin STATE VIDEO FRANCHISING STUDY.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 13. new text begin BROADBAND MAPPING PROJECT.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 14. new text begin REPORT.
new text end

Sec. 15. new text begin GREEN ECONOMY TRANSFORMATION TASK FORCE.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin DEPARTMENT OF AGRICULTURE
new text end

Sec. 3. new text begin BOARD OF ANIMAL HEALTH
new text end

Sec. 4. new text begin DEPARTMENT OF VETERANS
AFFAIRS
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 5. new text begin DEPARTMENT OF EMPLOYMENT
AND ECONOMIC DEVELOPMENT
new text end

Section 1.

Subdivision 1.

Sec. 2.

new text begin Subd. 6. new text end

Sec. 3.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 4.

new text begin Subd. 2a. new text end

Sec. 5.

Section 1. VETERANS AFFAIRS

Sec. 6. new text begin DISCONTINUATION OF ETHANOL PRODUCER PAYMENTS.
new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin APPROPRIATIONS.
new text end

Sec. 3. new text begin TRANSPORTATION
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

Sec. 4. new text begin METROPOLITAN COUNCIL
new text end

Sec. 5. new text begin PUBLIC SAFETY
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

Sec. 6.

Subdivision 1.

Sec. 7.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 8. new text begin REPEALER.
new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin PUBLIC SAFETY APPROPRIATIONS.
new text end

Sec. 3. new text begin SUPREME COURT
new text end

Sec. 4. new text begin COURT OF APPEALS
new text end

Sec. 5. new text begin DISTRICT COURTS
new text end

Sec. 6. new text begin BOARD OF PUBLIC DEFENSE
new text end

Sec. 7. new text begin PUBLIC SAFETY
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Sec. 10.

new text begin Subd. 9. new text end

Sec. 11.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 12.

new text begin Subd. 1a. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 13.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 14.

Subd. 1b.

new text begin EFFECTIVE DATE. new text end

Sec. 15.

Subd. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 16.

Sec. 11. PEACE OFFICER STANDARDS
AND TRAINING (POST) BOARD

Sec. 17. new text begin WORKING GROUP ON CONTROLLED SUBSTANCE LAWS;
REPORT TO LEGISLATURE.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin EFFECTIVE DATE. new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin LEGISLATURE
new text end

Sec. 8. new text begin ADMINISTRATION
new text end

Sec. 9. new text begin FINANCE
new text end

new text begin Subdivision 1. new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 12. new text begin APPROPRIATION TO THE
COMMISSIONER OF FINANCE; 2008
BUDGET RESERVE ESCROW ACCOUNT
new text end

Sec. 13.

Subd. 3.

new text begin EFFECTIVE DATE. new text end

Sec. 14.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 15.

new text begin EFFECTIVE DATE. new text end

Sec. 16.

Subd. 3.

Sec. 17.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 18.

Subdivision 1.

Sec. 19.

Sec. 20.

Subd. 3.

Sec. 21.

Subdivision 1.

Subd. 2.

Sec. 22.

Sec. 23.

Sec. 24.

Subd. 2.

Sec. 25.

Subd. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 26.

Subd. 3.

Sec. 27.

Subdivision 1.

Sec. 28.

Subd. 2.

Sec. 29.

Sec. 30.

Sec. 31.

Subd. 4.

Sec. 32.

Sec. 7. SECRETARY OF STATE

new text begin EFFECTIVE DATE. new text end

Sec. 33.

Subd. 4.

Sec. 34. new text begin MANAGERIAL POSITION REDUCTIONS.
new text end

Sec. 35. new text begin MINNEAPOLIS PARK AND RECREATION BOARD;
CONDEMNATION PROCEEDS.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 36. new text begin LEGISLATORS' FORUM.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 37. new text begin LCC STUDY.
new text end

Sec. 38. new text begin STUDY OF VETERANS EMPLOYMENT IN STATE GOVERNMENT.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 39. new text begin REPEALER.
new text end

Sec. 40. new text begin EFFECTIVE DATE.
new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin MILITARY AFFAIRS
new text end

Sec. 3.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 4.

Subd. 2.

Sec. 5.

Sec. 6.

new text begin Subd. 1c. new text end

Sec. 7.

new text begin Subd. 2a. new text end

Sec. 8.

Subd. 5.

Sec. 9. new text begin STARBASE STUDY.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 10. new text begin NATIONAL GUARD YOUTH CHALLENGE PROGRAM STUDY.
new text end

Section 1.

Subd. 8.

Sec. 2.

Subdivision 1.

Subd. 2.

deleted text begin Subd. 3. deleted text end

deleted text begin Subd. 4. deleted text end

Subd. 5.

Sec. 3.

Subd. 3.

Sec. 4.

Subd. 9.

Sec. 5.

Subdivision 1.

Sec. 6.

Subd. 4.

Sec. 7.

Subd. 2.

Sec. 8.

Subdivision 1.

Section 1. new text begin SUMMARY OF HERITAGE FINANCE APPROPRIATIONS.
new text end

Sec. 2. new text begin HERITAGE FINANCE APPROPRIATIONS AND REDUCTIONS.
new text end

Sec. 3. new text begin EXPLORE MINNESOTA TOURISM
new text end

Sec. 4. new text begin MINNESOTA HISTORICAL
SOCIETY
new text end

Sec. 5.

new text begin Subd. 4a. new text end

Sec. 6.

Subd. 35.

Sec. 7.

new text begin EFFECTIVE DATE. new text end

Sec. 8. new text begin MINNESOTA VACATION RENTAL LODGING STUDY.
new text end

new text begin EFFECTIVE DATE. new text end

Section 1.

Subdivision 1.

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin HEALTH APPROPRIATION.
new text end

Sec. 3. new text begin COMMISSIONER OF HEALTH
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Sec. 4. new text begin HEALTH-RELATED BOARDS.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Sec. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 6.

Subd. 1a.

Sec. 7.

new text begin Subd. 1b. new text end

Sec. 8.

new text begin Subd. 1c. new text end

Sec. 9.

new text begin Subd. 1d. new text end

Sec. 10.

new text begin Subd. 4. new text end

Sec. 11.

new text begin Subd. 5. new text end

Sec. 12.

new text begin Subd. 10. new text end

Sec. 13.

Subdivision 1.

Subd. 2.

Subd. 2a.

Subd. 3.

Subd. 3a.

Subd. 4.

Sec. 14.

new text begin EFFECTIVE DATE. new text end

Sec. 15.

new text begin EFFECTIVE DATE. new text end

Sec. 16.

new text begin EFFECTIVE DATE. new text end

Sec. 17.

new text begin EFFECTIVE DATE. new text end

Sec. 18.

new text begin EFFECTIVE DATE. new text end

Sec. 19. new text begin DEPARTMENT OF HEALTH.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 20. new text begin REVISOR'S INSTRUCTION.
new text end

Section 1. new text begin [256B.0625] SEX-SELECTION ABORTION FUNDING BAN.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Section 1.

Subd. 8.

Sec. 2.

Subdivision 1.

Sec. 3.

Subd. 2.

Sec. 4.

Sec. 5.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

Sec. 6.

Subdivision 1.

Sec. 7.

Subdivision 1.

Sec. 8.

Subd. 4.

Sec. 9. new text begin ADOPTION AGENCIES; FEE.
new text end

Sec. 10. new text begin REPEALER.
new text end

Sec. 11. new text begin EFFECTIVE DATE.
new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

Sec. 2. new text begin HEALTH AND HUMAN SERVICES APPROPRIATION.
new text end

Sec. 3. new text begin APPROPRIATION FOR
FOODSHELF PROGRAMS.
new text end

Sec. 4. new text begin APPROPRIATION FOR
LONG-TERM HOMELESS SUPPORTIVE
SERVICES.
new text end

Sec. 5.

Subd. 4.

Section 1.

Subd. 2.

Sec. 2.

Subd. 6.

Sec. 3.

Subd. 10.

Sec. 4.

Subd. 20.

Sec. 5.

Sec. 6.

Subd. 4.

Sec. 7.

Subd. 6.

Sec. 8.

Subd. 1d.

new text begin EFFECTIVE DATE. new text end

Sec. 9.

Subd. 23.

new text begin EFFECTIVE DATE. new text end

Sec. 10.

Subd. 19.

Sec. 11.

Subdivision 1.

Sec. 12.

Subd. 55.

Sec. 13.

Subd. 56.

Sec. 14.

Subd. 6.

Sec. 15.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 16.

Subd. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 17. new text begin NURSING FACILITY PENSION COSTS.
new text end

Sec. 18. new text begin MORATORIUM EXCEPTION PROPOSAL; WAIVER.
new text end

Section 1.

new text begin Subd. 24a. new text end

Sec. 2.

new text begin Subd. 27. new text end

Sec. 3.

Subd. 5a.

Sec. 4.

new text begin Subd. 5i. new text end

Sec. 5.

new text begin Subd. 5j. new text end

Sec. 6.

new text begin Subd. 9a. new text end

Sec. 7.

new text begin Subd. 9b. new text end

Sec. 8.

new text begin Subd. 4a. new text end

Sec. 9.

Subd. 9.

Sec. 10. new text begin REPORT ON FINANCIAL MANAGEMENT OF HEALTH CARE
PROGRAMS.
new text end

Sec. 11. new text begin HEALTH PLAN AND COUNTY-BASED PURCHASING PLAN
REQUIREMENTS.
new text end

Sec. 12. new text begin OMBUDSMAN FOR MANAGED CARE STUDY.
new text end

Sec. 13. new text begin REPORTING MANAGED CARE PERFORMANCE DATA.
new text end

Sec. 14. new text begin PUBLIC DENTAL COVERAGE PROGRAM STUDY.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 15. new text begin EVELETH COMMUNITY BEHAVIORAL HEALTH HOSPITAL.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 16. new text begin WORK GROUP; TARGETED CASE MANAGEMENT.
new text end

Section 1.

Subdivision 1.

Sec. 2.

Subd. 2.

Sec. 3.

Subd. 2a.

Sec. 4.

Subd. 3.

new text begin EFFECTIVE DATE. new text end

Sec. 5.

Sec. 6.

new text begin EFFECTIVE DATE. new text end

Sec. 7.

Subd. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 8.

EFFECTIVE DATE.

Sec. 9.

Subdivision 1.

Sec. 10. new text begin REPEALER.
new text end

Section 1.

Subd. 2b.

Sec. 2.

Subd. 20.

Sec. 3.

Subd. 8.

Sec. 4.

Subd. 9.

Sec. 5.

Subdivision 1.

Sec. 6.

Subd. 3.

Sec. 7.

Subd. 8.

Sec. 8.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 9.

new text begin EFFECTIVE DATE. new text end

Sec. 10.

Subd. 5a.

Sec. 11.

Subd. 9.

Sec. 12. new text begin FEDERAL APPROVAL FOR INCREASED DISPROPORTIONATE
SHARE HOSPITAL PAYMENTS.
new text end

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

Section 1. new text begin HEALTH AND HUMAN SERVICES APPROPRIATION.
new text end

Sec. 2. new text begin HUMAN SERVICES
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 4a. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

Sec. 3. new text begin Health Department
new text end

Section 1. new text begin SUMMARY OF APPROPRIATIONS; DEPARTMENT OF HUMAN
SERVICES FORECAST ADJUSTMENT.
new text end

Sec. 2. new text begin COMMISSIONER OF HUMAN
SERVICES
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

Section 1.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 2.

Subd. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 3.

new text begin Subd. 5c. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 4.

Subd. 19c.

new text begin EFFECTIVE DATE. new text end

Sec. 5.

Subd. 19d.

new text begin EFFECTIVE DATE. new text end

Sec. 6.

Subd. 4.

new text begin EFFECTIVE DATE. new text end

Sec. 7. new text begin REPEALER.
new text end

new text begin EFFECTIVE DATE. new text end

Section 1. new text begin BUDGET RESERVE REDUCTION.
new text end

Sec. 2. new text begin CASH FLOW ACCOUNT REDUCTION.
new text end

Sec. 3. new text begin MINNESOTA FUTURE RESOURCES FUND.
new text end

Sec. 4. new text begin DUPLICATE APPROPRIATIONS.
new text end

Section 1. new text begin SEVERABLE PROVISIONS.
new text end

Bill Text Versions

Section 1.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 3.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 4.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 5.

Subdivision 1.

Subd. 1a.

Subd. 2.

Subd. 3.

Subd. 4.

new text begin EFFECTIVE DATE. new text end

Sec. 6.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

new text begin EFFECTIVE DATE. new text end

Sec. 7.

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

new text begin EFFECTIVE DATE. new text end

Sec. 8.

Subdivision 1.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 9.

new text begin EFFECTIVE DATE. new text end

Sec. 10.

new text begin Subdivision 1. new text end

Required academic standards.

Reimbursement for examination fees.

new text begin Definitions. new text end

new text begin Growth. new text end

new text begin Value-added. new text end

new text begin Growth-based value-added. new text end

new text begin Adequate yearly progress. new text end

new text begin State growth norm. new text end

Statewide testing.

Statewide and local assessments; results.

Department of Education assistance.

Reporting.

Access to tests.

Educational accountability and public reporting.

Statewide testing.

Educational accountability.

Statistical adjustmentsnew text begin ; student performance datanew text end .

deleted text begin Adequate yearly progress of schools and studentsdeleted text end new text begin School and
student indicators of growth and achievementnew text end .

new text begin Expectations for federally mandated new text end student academic achievement.

Student deleted text begin progress assessmentdeleted text end new text begin growth; other state measuresnew text end .

Improving schools.

Improving graduation rates for students with emotional or behavioral
disorders.

School performance report cards.

Adequate yearly progress data.

new text begin Licensure applications. new text end

new text begin Licensure via portfolio. new text end

Wind energy conversion system.

Contract; duties.

To qualify.

Pupils in adjoining states.

Tuition payments.

Effective if reciprocal.

Appeal to the commissioner.

new text begin Agreements. new text end

new text begin Pupil accounting. new text end

new text begin Procedures. new text end

new text begin Exception. new text end

Leave to teach in a charter school.

State total adult basic education aid.

new text begin Third-party reimbursement. new text end

new text begin Adjustments for tuition reciprocity with adjoining states. new text end

Transition revenue.

new text begin Transition for tuition reciprocity revenue. new text end

Referendum revenue.

Permanent school fund.

County apportionment deduction.

Limitations.

new text begin Intermediate school districts. new text end

Definitions.

Notifications; payment; appropriation.

School district bound; interest rate on state paid amount.

Pledge of district's full faith and credit.

new text begin Aid reduction for repayment. new text end

Tax levy for repayment.

Election as to mandatory application.

Mandatory plan; technical assistance.

State bond rating.

Continuing disclosure agreements.

Payments to third parties.

Preadvanced placement, advanced placement, international
baccalaureate, and concurrent enrollment programs.

Report.

Special Education Task Force.

Plainview-Elgin-Millville fund balance replacement aid.

Department of Education.

Department.

Total Appropriation

Independent School District No. 239,
Rushford-Peterson

Flood Enrollment Impact Aid

Disaster Relief Facilities Grant

Pupil Transportation Aid

Disaster Relief Facilities Grants to
Other Districts

new text begin Capital account transfers. new text end

new text begin Reserved for operating capital account transfer; Balaton school
district. new text end

new text begin Reserved for operating capital account transfer; East Central school
district. new text end

new text begin District academic achievement plan; priorities. new text end

new text begin Plan. new text end

new text begin Department of Education. new text end

new text begin Additional general education revenue. new text end

General education aid.

Referendum tax base replacement aid.

Enrollment options transportation.

Abatement revenue.

Consolidation transition.

Nonpublic pupil education aid.

Nonpublic pupil transportation.

Charter school building lease aid.

Charter school startup cost aid.

Integration aid.

Interdistrict desegregation or integration transportation grants.

Tribal contract schools.

Aid for children with disabilities.

Travel for home-based services.

Health and safety revenue.

Debt service equalization.

Deferred maintenance aid.

School technology and operating capital aid grants.

School lunch.

Traditional school breakfast; kindergarten milk.

Summer food service replacement aid.

Early childhood family education aid.

School readiness.

Health and developmental screening aid.

Community education aid.

Adults with disabilities program aid.

Adult basic education aid.

new text begin Membership. new text end

new text begin Additional duties. new text end

new text begin Administration. new text end

Private data; when disclosure is permitted.

new text begin Data to improve instruction. new text end

new text begin Establishment; membership. new text end

new text begin Powers and duties; report. new text end

new text begin Expiration. new text end

Resident student.

Grant stipends.

Surplus appropriation.

new text begin Student eligibility. new text end

new text begin Eligible programs. new text end

new text begin Cost of attendance. new text end

new text begin Award amount. new text end

Establishment.

Definition; qualifying program.

Documentation of qualifying programs.

Student eligibility.

Administration.

Application.

Deadline.

Documentation of qualifying household income.

Scholarship awards.

Qualifying expenses.

Eligible institutions.

Availability of scholarship funds.

Disbursement of scholarships.

Evaluation report.

new text begin Administration. new text end

Prohibition.

Application.

Requirements for degree new text begin and nondegree program new text end approval.

Name.

Conditional approval.

Registration fees.

Degree level addition fee.

new text begin Degree or nondegree new text end program addition fee.

Visit or consulting fee.

Modification fee.

Membership.

Recommendations.

new text begin Establishment. new text end

new text begin Allocations. new text end

Duties.

Bond.

new text begin Schools licensed by another state agency or board. new text end

Disclosure requirednew text begin ; advertisement restrictednew text end .

Creation of account.

State Grants

Transfers

Operations and Maintenance

University of Minnesota and Mayo
Foundation Partnership

new text begin Power of you pilot programs. new text end

new text begin Suburban pilot selection. new text end

new text begin Rural pilot selection. new text end

new text begin Establishment. new text end

new text begin Definitions. new text end

new text begin Grants. new text end

new text begin Student eligibility. new text end

new text begin Pilot partnerships. new text end

new text begin Teachers of color program promotion. new text end

new text begin Report. new text end

new text begin Total Appropriation
new text end

new text begin Employment and Economic
Development
new text end

new text begin Business and Community
Development
new text end

new text begin Cancellations
new text end

new text begin Transfers
new text end

new text begin Minnesota Minerals 21st Century
Fund
new text end

new text begin Base Reduction
new text end

new text begin Grants authorized. new text end

new text begin Definitions. new text end

new text begin Loan program. new text end

new text begin Transfer. new text end

new text begin Rules. new text end

Definitions.

new text begin Transfer from department of veterans affairs. new text end

Officers; staff.

General rule.

Exceptions for all employers.

Payments that delay unemployment benefits.

Business owners.

Actively seeking suitable employment defined.

Additional unemployment benefits; when available.

Payment deleted text begin of unemployment benefitsdeleted text end new text begin from trust fund; effect on
employernew text end .

Eligibility conditions.

new text begin Notice. new text end

new text begin Purpose; set aside. new text end

new text begin Tax reduction. new text end

new text begin Fee suspension. new text end

new text begin Workforce enhancement fee. new text end

new text begin Use of funds. new text end

new text begin Account. new text end

new text begin Report. new text end

new text begin Sunset. new text end

Creation of committee; purpose.

Iron Range Higher Education Committee; membership.

Administration.

Taconite environmental fund.

Iron Range higher education account.

Use of money.

Projects; approval.

Applicability.

Boxing.

new text begin Combatant. new text end

new text begin Combative sport. new text end

Commission.

new text begin Combative sports new text end contest.

new text begin Director. new text end

new text begin HBV. new text end

new text begin HCV. new text end

new text begin HIV. new text end

new text begin Individual. new text end

new text begin Mixed martial arts contest. new text end

new text begin Person. new text end

Professional.

deleted text begin Director. deleted text end

Tough person contest.

deleted text begin Mixed martial arts. deleted text end

Regulatory authority; deleted text begin boxingdeleted text end new text begin combative sportsnew text end .

new text begin Regulatory authority; boxing contests. new text end

Regulatory authority; tough person contests.

Regulatory authority; new text begin mixed martial arts contests; new text end similar sporting
events.

Licensure; individuals.

Entity licensure.

Background investigation.

Prelicensure requirements.

Annual licensure.

Expiration and renewal.

Examination by physician.

Attendance of physician.

Required insurance.

Program administration.

Type and amount of assistance.

Definitions.

Application.

Agreement.

Notifications; payment; appropriation.

Interest on state paid amount.

Pledge of deleted text begin county'sdeleted text end new text begin governmental unit'snew text end full faith and credit.

Aid reduction for repayment.

Tax levy for repayment.

Mandatory plan; technical assistance.

Continuing disclosure agreements.

new text begin Establishment of program. new text end

new text begin Purpose. new text end

new text begin Definitions. new text end

new text begin Establishment of fund and accounts. new text end

new text begin Management of fund and accounts. new text end

new text begin Applications. new text end

new text begin Loan terms and conditions. new text end

new text begin Interest rate determination. new text end

new text begin Market considerations. new text end

new text begin Fees. new text end

new text begin Authority revenue bonds. new text end

new text begin Reports, disclosure, audits. new text end

Bonding authority.

Business and Community
Development

Workforce Development

new text begin Payments; availability. new text end

new text begin Economic hardship. new text end

new text begin Payment from administration account. new text end

new text begin Eligibility conditions. new text end

new text begin Amount of hardship payments. new text end

new text begin Notice. new text end

new text begin Extra benefits; availability. new text end

new text begin Payment from fund; effect on employer. new text end

new text begin Eligibility conditions. new text end

new text begin Weekly amount of extra benefits. new text end

new text begin Maximum amount of extra unemployment benefits. new text end

new text begin Program expiration. new text end

new text begin Findings. new text end

new text begin Establishment. new text end

new text begin Technology partnering with a prime contractor. new text end

new text begin Collaborate to commercialize. new text end

new text begin Technology matchmaking. new text end

new text begin Commercialization assistance. new text end

new text begin Report. new text end

new text begin Total Appropriation
new text end

new text begin Lands and Minerals
new text end

new text begin Water Resource Management
new text end

new text begin Forest Management
new text end

new text begin Parks and Recreation Management
new text end

new text begin Trails and Waterways Management
new text end

new text begin Fish and Wildlife Management
new text end

new text begin Ecological Services
new text end

new text begin Enforcement
new text end

new text begin Operations Support
new text end

Water Resources Management

Forest Management

Trails and Waterways Management

Aquatic farming license.

Inspection fees.

Application; issuance; reports.

Application, issuance, reports, additional fee.

new text begin Expiration. new text end

Sticker required; fee.

Application, issuance, reports.

Prohibitions on youthful operators.

Names, acquisition; administration.

Interstate new text begin State new text end Park.

new text begin Grand Portage State Park. new text end

Temporary certificate.

Not to be left burning.

Authorization.

Map requirements.

Procedure to adopt map.

Appeal.

Unrecorded road or trail not affected.

Exemption.

new text begin Mining administration account. new text end

Citizen oversight subcommittees.

Acquisition; generally.

Water planning.

Water supply plans; demand reduction.

new text begin Conservation rate structure required. new text end

Fees.

Reports to legislature.

new text begin Total Appropriation
new text end

new text begin Administration
new text end

new text begin Market Assurance
new text end

new text begin Energy and Telecommunications
new text end

new text begin Cancellation
new text end

new text begin Transfers
new text end

new text begin Standards for state-funded outdoor lighting fixtures. new text end

new text begin Definitions. new text end

new text begin Coordinating economic development and environmental policy. new text end

Priorities.

Eligible projects.

Eligibility window.

Payment period.

Definitions.

new text begin Study contents. new text end

new text begin Report. new text end

new text begin Project. new text end

new text begin Mapping. new text end

new text begin Task force. new text end

new text begin Duties. new text end

new text begin Total Appropriation
new text end

new text begin Appropriations by Purpose
new text end

Appropriation; transfers.

new text begin World War II memorial donation match account. new text end

Establishment.

new text begin Uses; veterans. new text end

new text begin Total Appropriation
new text end

new text begin Transit
new text end

new text begin Freight
new text end

new text begin State Roads
new text end

new text begin Total Appropriation
new text end

new text begin Public Safety Support
new text end

new text begin Capitol Security
new text end

new text begin Driver and Vehicle Services
new text end

Examination required.

Appropriation; study.

new text begin Total Appropriation
new text end

new text begin Emergency Management
new text end

new text begin Criminal Apprehension
new text end

new text begin Fire Marshal
new text end

new text begin Community Services
new text end

new text begin Short-Term Offenders
new text end

new text begin Sentencing to Service
new text end

new text begin Operations Support
new text end

new text begin Civil commitment of sexual offenders. new text end

Restriction.

new text begin Exception. new text end

Facilities.

County attorney access to data.

Financial responsibility.

new text begin Establishment; membership; staff. new text end

new text begin Subject matter. new text end

new text begin Report to legislature. new text end

new text begin State Financial Management
new text end

new text begin Tax Compliance; Appropriation
new text end

new text begin Appropriation to the Commissioner
of Revenue; Financial Institution Data Match
and Payment of Fees and Administrative Costs
new text end

Other salaries and compensation plans.

Staff; compensation.

Exceptions.

new text begin Definitions. new text end

new text begin Data match system established. new text end

new text begin Duty to provide data. new text end

new text begin Method to provide data. new text end

new text begin Means to provide data. new text end

new text begin Access to data. new text end

new text begin Fees. new text end

new text begin Failure to respond to request for information. new text end

new text begin Confidentiality. new text end

new text begin Immunity. new text end

new text begin Civil action for unauthorized disclosure by financial institution. new text end

Payroll direct deposit and deductions.

Notice to agencies; determination of surplus.

Appraisal; notice and offer to public bodies.

Public sale requirements.

Payment of expenses.

Designation of targeted groups.

Duties.

Definitions.

Responsibilities.

Expiration.

Administrative Management Services

Establishment.

Uses.

new text begin Medic recertification bonus program. new text end

new text begin Usage of tuition and textbook reimbursement grant program by
spouse permitted. new text end

Expiration.

Expense allowance.

Salary limits.

deleted text begin Group I salary limitsdeleted text end new text begin Positionsnew text end .

deleted text begin Group II salary limits. deleted text end

deleted text begin Group III salary limits. deleted text end

Appointing authorities to recommend certain salaries.

Equitable compensation relationships.

deleted text begin Political subdivisiondeleted text end Compensation limit.

General.

Delegation to nonprofit.

Administrative issues.

Director.

new text begin Meetings by electronic means. new text end

Public official.

Debt ceiling.

new text begin Total Appropriation
new text end

new text begin Health Protection
new text end

new text begin Administrative Support Services
new text end

new text begin Total Appropriation
new text end

new text begin Board of Nursing Home
Administrators
new text end

new text begin Board of Marriage and Family
Therapy
new text end

Fees.

new text begin Public pool construction. new text end

new text begin Public pools; required equipment. new text end

new text begin Safety inspections. new text end

new text begin Definitions. new text end

new text begin Swimming pond exemption. new text end

new text begin Smoking shelters. new text end

License required annually.

License renewal.

Food manager certification.

Establishment fees; definitions.

Statewide hospitality fee.

Posting requirements.

new text begin Funding restriction. new text end

new text begin Severability. new text end

new text begin Supreme Court jurisdiction. new text end

Adoption records.

Adoption.

Data about births.

new text begin Affidavits. new text end

new text begin Disclosure. new text end

new text begin Recission of affidavit. new text end

new text begin Affidavit of nondisclosure; access to birth record. new text end

new text begin Information provided. new text end

Which services are for fee.

Request.

Rights of terminated parent.

Children and Economic Assistance
Grants

Targeted case management; definitions.

Eligible services.

Payment rates.

Mental health case management.

Targeted case management service activities.

Payment for targeted case management.

Portion of nonfederal share to be paid by certain counties.

County nursing home payment adjustments.

Nursing facility rate increases beginning October 1, 2007new text begin , and
October 1, 2008new text end .

Rebasing of nursing facility operating deleted text begin costdeleted text end payment rates.

Phase-in of rebased operating deleted text begin costdeleted text end payment rates.

Hold harmless.

Service delivery.

Standard of assistance for persons eligible for medical assistance
waivers or at risk of placement in a group residential housing facility.

Special needs.

new text begin Managed care plans. new text end

new text begin Automation and coordination for state health care programs. new text end

Managed care contracts.

new text begin Administrative expenses. new text end

new text begin Treatment of investment earnings. new text end

new text begin Administrative expense reporting. new text end

new text begin Reporting of subcontracts and provider payment rates. new text end

new text begin Expenditure of revenues. new text end

Rate setting; performance withholds.

deleted text begin Public assistancedeleted text end new text begin Definitionsnew text end .

Assignment of support and maintenance rights.

deleted text begin Families-firstdeleted text end Distribution of child support deleted text begin arrearagesdeleted text end .

Existing assignments.

Payor of funds responsibilities.

Total Appropriation

Operating payment rates.

Increases in medical assistance inpatient payments; conditions.

Program established.

Medical assistance eligibility.

Co-payments.

Collection.

Living-at-home/block nurse program grant.

new text begin Payments at actual cost. new text end

new text begin Loss of federal financial participation. new text end

Managed care contracts.

Rate setting; performance withholds.

new text begin Total Appropriation
new text end

new text begin Agency Management
new text end

new text begin Revenue and Pass-Through Revenue
Expenditures
new text end

new text begin Children and Economic Assistance
Grants
new text end

new text begin Children and Economic Assistance
Management
new text end

new text begin Basic Health Care Grants
new text end

new text begin Health Care Management
new text end

new text begin Continuing Care Grants
new text end

new text begin State-Operated Services
new text end

new text begin Total Appropriation
new text end

new text begin Revenue and Pass-Through
new text end

new text begin Children and Economic Assistance
Grants
new text end

new text begin Basic Health Care Grants
new text end

new text begin Continuing Care Grants
new text end

Registration or notice filing fee.

Domestic corporation.

new text begin Tax haven. new text end

Corporations; additions to federal taxable income.

Corporations; modifications decreasing federal taxable income.

Unitary business principle.

Required academic standards.

Reimbursement for examination fees.

new text begin Definitions. new text end

new text begin Growth. new text end

new text begin Value-added. new text end

new text begin Growth-based value-added. new text end

new text begin Adequate yearly progress. new text end

new text begin State growth norm. new text end

Statewide testing.

Statewide and local assessments; results.

Department of Education assistance.

Reporting.

Access to tests.

Educational accountability and public reporting.

Statewide testing.

Educational accountability.

Statistical adjustmentsnew text begin ; student performance datanew text end .

deleted text begin Adequate yearly progress of schools and studentsdeleted text end new text begin School and student indicators of growth and achievementnew text end .

new text begin Expectations for federally mandated new text end student academic achievement.

Student deleted text begin progress assessmentdeleted text end new text begin growth; other state measuresnew text end .

Improving schools.

Improving graduation rates for students with emotional or behavioral disorders.

School performance report cards.

Adequate yearly progress data.

deleted text begin Adequate yearly progress of schools and studentsdeleted text end new text begin School and
student indicators of growth and achievementnew text end .

Improving graduation rates for students with emotional or behavioral
disorders.

Engrossments
Introduction		Posted on 03/07/2007
1st Engrossment		Posted on 03/31/2008
2nd Engrossment		Posted on 04/01/2008
3rd Engrossment		Posted on 04/02/2008
4th Engrossment		Posted on 04/04/2008
5th Engrossment		Posted on 05/20/2008

Conference Committee Reports
CCR-HF1812C		Posted on 05/18/2008

A bill for an act
relating to the financing, organization, and operation of state government;
providing for programs in education, early childhood education, higher
education, environment and natural resources, energy, agriculture, veterans
affairs, military affairs, jobs and economic development activities or programs,
transportation, public safety, courts, human rights, judiciary, housing, public
health, health department, and human services; modifying certain statutory
provisions and laws; providing for certain programs for economic and state
affairs; regulating certain activities and practices; regulating abortion funding;
fixing and limiting fees; providing for the taxation of certain corporations;
authorizing rulemaking, requiring studies and reports; providing civil penalties;
making technical corrections; providing for fund transfers; appropriating money
or reducing appropriations; amending Minnesota Statutes 2006, sections 3.30,
subdivision 1; 3.855, subdivision 3; 3.971, subdivision 2; 10A.071, subdivision
3; 13.32, subdivision 3, by adding a subdivision; 13.461, by adding a subdivision;
13.465, subdivision 8; 13.851, by adding a subdivision; 15A.081, subdivision 8;
15A.0815; 16A.133, subdivision 1; 16B.281, subdivision 3; 16B.282; 16B.283;
16B.284; 16B.287, subdivision 2; 16C.16, subdivision 5; 16E.01, subdivision 3;
16E.03, subdivision 1; 16E.04, subdivision 2; 17.4988, subdivisions 2, 3; 43A.01,
subdivision 3; 43A.17, subdivision 9; 84.788, subdivision 3; 84.82, subdivision
2, by adding a subdivision; 84.922, subdivision 2; 84.9256, subdivision 1;
85.011; 85.012, subdivisions 28, 49a; 85.013, subdivision 1; 85.054, subdivision
3, by adding a subdivision; 86B.401, subdivision 2; 88.15, subdivision 2; 89.715;
93.481, by adding a subdivision; 97A.055, subdivision 4b; 97A.141, subdivision
1; 103A.204; 103A.43; 103B.151, subdivision 1; 103G.291, by adding a
subdivision; 103G.615, subdivision 2; 116J.423, by adding a subdivision;
116J.8731, subdivision 4; 116L.17, by adding a subdivision; 116U.26; 119A.03,
subdivision 1; 120B.131, subdivision 2; 120B.31, as amended; 120B.35, as
amended; 120B.36, as amended; 120B.362; 122A.21; 123B.02, subdivision 21;
123B.59, subdivision 1; 123B.62; 124D.04, subdivisions 3, 6, 8, 9; 124D.05,
by adding a subdivision; 124D.10, subdivision 20; 124D.385, subdivision 4;
124D.55; 125A.65, by adding a subdivision; 125A.76, by adding a subdivision;
126C.10, subdivision 31, by adding a subdivision; 126C.17, subdivision
9; 126C.21, subdivision 1; 126C.51; 126C.52, subdivision 2, by adding a
subdivision; 126C.53; 126C.55; 127A.45, subdivision 16; 136A.101, subdivision
8; 136A.121, subdivision 5; 136F.90, subdivision 1; 141.25, by adding a
subdivision; 144.1222, subdivision 1a, by adding subdivisions; 144.1501,
subdivision 2; 144.218, subdivision 1; 144.225, subdivision 2; 144.2252;
144.226, subdivision 1; 157.16, as amended; 168.1255, by adding a subdivision;
171.29, subdivision 1; 190.19, subdivision 1, by adding a subdivision; 192.501,
by adding subdivisions; 197.585, subdivision 5; 216C.41, subdivision 4;
253B.045, subdivisions 1, 2, by adding a subdivision; 253B.185, subdivision
5; 256.01, by adding a subdivision; 256.741, subdivisions 2, 2a, 3; 256.969,
subdivisions 2b, 20; 256B.0571, subdivisions 8, 9; 256B.0621, subdivisions
2, 6, 10; 256B.0917, subdivision 8; 256B.0924, subdivisions 4, 6; 256B.19,
subdivision 1d; 256B.431, subdivision 23; 256B.69, subdivisions 5a, 6, by
adding subdivisions; 256B.692, by adding a subdivision; 256D.44, subdivisions
2, 5; 256L.12, subdivision 9; 259.89, subdivision 1; 260C.317, subdivision 4;
268.125, subdivisions 1, 2, by adding a subdivision; 290.01, subdivisions 5, 19c,
as amended, 19d, as amended, by adding a subdivision; 290.17, subdivision
4; 298.2214, subdivisions 1, 2, as amended; 298.223, subdivision 2; 298.28,
subdivisions 9b, 9d, as added; 298.292, subdivision 2, as amended; 298.2961,
subdivision 2; 341.21, as amended; 341.23; 341.26; 341.28, as amended; 341.29;
341.30; 341.32, as amended; 341.33; 341.34, subdivision 1; 341.35; 341.37;
349A.02, subdivision 1; 446A.12, subdivision 1; 462A.22, subdivision 1;
473.1565, subdivision 3; 518A.50; 518A.53, subdivision 5; 609.531, subdivision
1; Minnesota Statutes 2007 Supplement, sections 3.922, by adding a subdivision;
10A.01, subdivision 35; 16B.328, by adding a subdivision; 80A.28, subdivision
1; 84.8205, subdivision 1; 103G.291, subdivision 3; 116J.575, subdivision
1a; 116L.17, subdivision 1; 120B.021, subdivision 1; 120B.024; 120B.30;
123B.143, subdivision 1; 124D.531, subdivision 1; 126C.21, subdivision 3;
126C.44; 136A.121, subdivision 7a; 136A.126; 136A.127; 136A.128, by adding
a subdivision; 136A.65, subdivisions 1, 3, 5, 6, 7; 136A.66; 136A.67; 136A.69;
136F.02, subdivision 1; 136F.03, subdivision 4; 141.25, subdivision 5; 141.28,
subdivision 1; 141.35; 144.4167, by adding a subdivision; 190.19, subdivision
2; 214.04, subdivision 3; 216C.052, subdivision 2; 216C.41, subdivision 3;
253B.185, subdivision 1b; 256.741, subdivision 1; 256B.0625, subdivision
20; 256B.0631, subdivisions 1, 3; 256B.199; 256B.434, subdivision 19;
256B.441, subdivisions 1, 55, 56; 256J.621; 268.047, subdivisions 1, 2; 268.085,
subdivisions 3, 9, 16; 268.125, subdivision 3; 298.227; 341.22; 341.25; 341.27;
341.321; 446A.072, subdivisions 3, 5a; 446A.086; Laws 1999, chapter 223,
article 2, section 72; Laws 2006, chapter 282, article 2, section 27, subdivision
4; Laws 2007, chapter 45, article 2, section 1; Laws 2007, chapter 54, article
1, section 11; Laws 2007, chapter 57, article 1, section 4, subdivisions 3, 4,
6; Laws 2007, chapter 135, article 1, section 3, subdivisions 2, 3; Laws 2007,
chapter 144, article 1, sections 3, subdivisions 2, 18; 5, subdivisions 2, 5; Laws
2007, chapter 146, article 1, section 24, subdivisions 2, 3, 4, 5, 6, 7, 8; article
2, section 46, subdivisions 2, 3, 4, 6, 9, 13; article 3, sections 23, subdivision
2; 24, subdivisions 3, 4, 9; article 4, section 16, subdivisions 2, 3, 6, 8; article
5, section 13, subdivisions 2, 3, 4, 5; article 7, section 4; article 9, section 17,
subdivisions 2, 3, 4, 8, 9, 13; Laws 2007, chapter 147, article 2, section 21; article
19, section 3, subdivisions 1, 4; Laws 2007, chapter 148, article 1, sections 7; 12,
subdivision 4; Laws 2007, First Special Session chapter 2, article 1, section 11,
subdivisions 1, 2, 6; Laws 2008, chapter 152, article 1, section 6, subdivision 2;
proposing coding for new law in Minnesota Statutes, chapters 5; 13B; 16A; 43A;
115A; 116J; 120B; 121A; 124D; 127A; 136F; 144; 192; 256B; 268; 325F; 341;
446A; repealing Minnesota Statutes 2006, sections 16B.281, subdivisions 2, 4, 5;
16B.285; 84.961, subdivision 4; 85.013, subdivision 21b; 97A.141, subdivision
2; 121A.67; 125A.16; 125A.19; 125A.20; 125A.57; 168.123, subdivision 2a;
256.741, subdivision 15; 256J.24, subdivision 6; 259.83, subdivision 3; 259.89,
subdivisions 2, 3, 4, 5; 290.01, subdivision 6b; 298.28, subdivision 9a; 341.31;
645.44, subdivision 19; Minnesota Statutes 2007 Supplement, section 256.969,
subdivision 27; Laws 1989, chapter 335, article 1, section 21, subdivision 8, as
amended; Laws 2004, chapter 188, section 2; Laws 2006, chapter 263, article
3, section 16; Laws 2007, First Special Session chapter 2, article 1, section 11,
subdivisions 3, 4.

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

Minnesota Statutes 2007 Supplement, section 120B.021, subdivision 1,
is amended to read:

new text begin (a) new text end The following subject areas
are required for statewide accountability:

(1) language arts;

(2) mathematics;

(3) science;

(4) social studies, including history, geography, economics, and government and
citizenship;

(5) new text begin physical education;
new text end

new text begin (6) new text end health deleted text begin and physical education,deleted text end for which locally developed academic standards
apply; and

deleted text begin (6)deleted text end new text begin (7)new text end the arts, for which statewide or locally developed academic standards apply,
as determined by the school district. Public elementary and middle schools must offer at
least three and require at least two of the following four arts areas: dance; music; theater;
and visual arts. Public high schools must offer at least three and require at least one of the
following five arts areas: media arts; dance; music; theater; and visual arts.

new text begin (b) To satisfy the one-half credit physical education requirement under section
120B.024, paragraph (a), clause (5), the state physical education standard under paragraph
(a) must be consistent with either the six physical education standards developed by the
department's quality teaching network or the six National Physical Education Standards
developed by the National Association for Sport and Physical Education. Minnesota
Statutes, chapter 14, and section 14.386, specifically, do not apply. To satisfy federal
reporting requirements for continued funding under Title VII of the Physical Education
for Progress Act, a school district must notify the department, if applicable, of its intent
to comply with the National Physical Education Standards. School districts and charter
schools also must use either the department's physical education standards or the national
physical education standards under this paragraph to comply with paragraph (a), clause
(5), in providing physical education instruction and programs to students in kindergarten
through grade 8.
new text end

new text begin (c) new text end The commissioner must submit proposed standards in science and social studies
to the legislature by February 1, 2004.

new text begin (d) new text end For purposes of applicable federal law, the academic standards for language arts,
mathematics, and science apply to all public school students, except the very few students
with extreme cognitive or physical impairments for whom an individualized education
plan team has determined that the required academic standards are inappropriate.
An individualized education plan team that makes this determination must establish
alternative standards.

new text begin (e) new text end A school district, no later than the 2007-2008 school year, must adopt graduation
requirements that meet or exceed state graduation requirements established in law or
rule. A school district that incorporates these state graduation requirements before the
2007-2008 school year must provide students who enter the 9th grade in or before
the 2003-2004 school year the opportunity to earn a diploma based on existing locally
established graduation requirements in effect when the students entered the 9th grade.
District efforts to develop, implement, or improve instruction or curriculum as a result
of the provisions of this section must be consistent with sections 120B.10, 120B.11,
and 120B.20.

new text begin (f) new text end The commissioner must include the contributions of Minnesota American Indian
tribes and communities as they relate to the academic standards during the review and
revision of the required academic standards.

new text begin This section is effective the day following final enactment
except that paragraph (a), clause (5), applies to students entering the ninth grade in the
2010-2011 school year and later.
new text end

Minnesota Statutes 2007 Supplement, section 120B.024, is amended to read:

(a) Students beginning 9th grade in the 2004-2005 school year and later must
successfully complete the following high school level course credits for graduation:

(1) four credits of language arts;

(2) three credits of mathematics, encompassing at least algebra, geometry, statistics,
and probability sufficient to satisfy the academic standard;

(3) three credits of science, including at least one credit in biology;

(4) three and one-half credits of social studies, encompassing at least United
States history, geography, government and citizenship, world history, and economics or
three credits of social studies encompassing at least United States history, geography,
government and citizenship, and world history, and one-half credit of economics taught in
a school's social studies, agriculture education, or business department;

(5) one credit in the arts; deleted text begin and
deleted text end

(6) new text begin one-half credit of physical education; and
new text end

new text begin (7) new text end a minimum of deleted text begin sevendeleted text end new text begin 6-1/2new text end elective course credits.

A course credit is equivalent to a student successfully completing an academic
year of study or a student mastering the applicable subject matter, as determined by the
local school district.

(b) An agriculture science course may fulfill a science credit requirement in addition
to the specified science credits in biology and chemistry or physics under paragraph (a),
clause (3).

(c) A career and technical education course may fulfill a science, mathematics, or
arts credit requirement in addition to the specified science, mathematics, or arts credits
under paragraph (a), clause (2), (3), or (5).

new text begin This section is effective the day following final enactment
and applies to students entering ninth grade in the 2010-2011 school year and later.
new text end

Minnesota Statutes 2006, section 120B.131, subdivision 2, is amended to read:

The state may reimburse
college-level examination program (CLEP) fees for a Minnesota public or nonpublic high
school student who has successfully completed one or more college-level courses in high
school in the subject matter of each examination in the following subjects: composition
and literature, mathematics and science, social sciences and history, foreign languages, and
business and humanities. deleted text begin The state may reimburse each student for up to six examination
fees.deleted text end The commissioner shall establish application procedures and a process and schedule
for fee reimbursements. The commissioner must give priority to reimburse the CLEP
examination fees of students of low-income families.

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

new text begin The definitions in this section apply to this chapter.
new text end

new text begin "Growth" compares the difference between a student's
achievement score at two distinct points in time.
new text end

new text begin "Value-added" is the amount of achievement a student
demonstrates above an established baseline.
new text end

new text begin "Growth-based value-added" is a
value-added system of assessments that measures the difference between an established
baseline of growth and a student's growth over time.
new text end

new text begin "Adequate yearly progress" compares the
average achievement of two different groups of students at two different points in time.
new text end

new text begin "State growth norm" is an established statewide
percentile or standard applicable to all students in a particular grade benchmarked to an
established school year. Beginning in the 2008-2009 school year, the state growth norm
is benchmarked to 2006-2007 school year data until the commissioner next changes the
vertically linked scale score. Each time the commissioner changes the vertically linked
scale score, a recognized Minnesota assessment group composed of assessment and
evaluation directors and staff and researchers, in collaboration with the Independent Office
of Educational Accountability under section 120B.31, subdivision 3, must recommend
a new state growth norm that the commissioner must consider when revising standards
under section 120B.023, subdivision 2. For each newly established state growth norm, the
commissioner also must establish criteria for identifying schools and school districts that
demonstrate accelerated growth in order to advance educators' professional development
and to replicate programs that succeed in meeting students' diverse learning needs.
new text end

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

Minnesota Statutes 2007 Supplement, section 120B.30, is amended to read:

(a) The commissioner, with advice from experts
with appropriate technical qualifications and experience and stakeholders, consistent with
subdivision 1a, shall include in the comprehensive assessment system, for each grade
level to be tested, state-constructed tests developed from and aligned with the state's
required academic standards under section 120B.021 and administered annually to all
students in grades 3 through 8 and at the high school level. A state-developed test in a
subject other than writingdeleted text begin , developed after the 2002-2003 school year,deleted text end must include both
machine-scoreable and constructed response questions. The commissioner shall establish
one or more months during which schools shall administer the tests to students each
school year. For students enrolled in grade 8 before the 2005-2006 school year, only
Minnesota basic skills tests in reading, mathematics, and writing shall fulfill students'
basic skills testing requirements for a passing state notation. The passing scores of basic
skills tests in reading and mathematics are the equivalent of 75 percent correct for students
entering grade 9 deleted text begin in 1997 and thereafter, asdeleted text end based on the first uniform test deleted text begin administration ofdeleted text end new text begin
administered innew text end February 1998.

(b) For students enrolled in grade 8 in the 2005-2006 school year and later, only the
following options shall fulfill students' state graduation test requirements:

(1) for reading and mathematics:

(i) obtaining an achievement level equivalent to or greater than proficient as
determined through a standard setting process on the Minnesota comprehensive
assessments in grade 10 for reading and grade 11 for mathematics or achieving a passing
score as determined through a standard setting process on the graduation-required
assessment for diploma in grade 10 for reading and grade 11 for mathematics or
subsequent retests;

(ii) achieving a passing score as determined through a standard setting process on the
state-identified language proficiency test in reading and the mathematics test for English
language learners or the graduation-required assessment for diploma equivalent of those
assessments for students designated as English language learners;

(iii) achieving an individual passing score on the graduation-required assessment
for diploma as determined by appropriate state guidelines for students with an individual
education plan or 504 plan;

(iv) obtaining achievement level equivalent to or greater than proficient as
determined through a standard setting process on the state-identified alternate assessment
or assessments in grade 10 for reading and grade 11 for mathematics for students with
an individual education plan; or

(v) achieving an individual passing score on the state-identified alternate assessment
or assessments as determined by appropriate state guidelines for students with an
individual education plan; and

(2) for writing:

(i) achieving a passing score on the graduation-required assessment for diploma;

(ii) achieving a passing score as determined through a standard setting process on
the state-identified language proficiency test in writing for students designated as English
language learners;

(iii) achieving an individual passing score on the graduation-required assessment
for diploma as determined by appropriate state guidelines for students with an individual
education plan or 504 plan; or

(iv) achieving an individual passing score on the state-identified alternate assessment
or assessments as determined by appropriate state guidelines for students with an
individual education plan.

(c) The 3rd through 8th grade and high school level test results shall be available
to districts for diagnostic purposes affecting student learning and district instruction and
curriculum, and for establishing educational accountability. The commissioner must
disseminate to the public the test results upon receiving those results.

(d) State tests must be constructed and aligned with state academic standards. Thenew text begin
commissioner shall determine thenew text end testing process and the order of administration deleted text begin shall be
determined by the commissionerdeleted text end . The statewide results shall be aggregated at the site and
district level, consistent with subdivision 1a.

(e) In addition to the testing and reporting requirements under this section, the
commissioner shall include the following components in the statewide public reporting
system:

(1) uniform statewide testing of all students in grades 3 through 8 and at the high
school level that provides appropriate, technically sound accommodations, alternate
assessments, or exemptions consistent with applicable federal law, only with parent or
guardian approval, for those very few students for whom the student's individual education
plan team under sections 125A.05 and 125A.06 determines that the general statewide test
is inappropriate for a student, or for a limited English proficiency student under section
124D.59, subdivision 2;

(2) educational indicators that can be aggregated and compared across school
districts and across time on a statewide basis, including average daily attendance, high
school graduation rates, and high school drop-out rates by age and grade level;

(3) state results on the American College Test; and

(4) state results from participation in the National Assessment of Educational
Progress so that the state can benchmark its performance against the nation and other
states, and, where possible, against other countries, and contribute to the national effort
to monitor achievement.

(a) The commissioner must
develop reading, mathematics, and science assessments aligned with state academic
standards that districts and sites must use to monitor student growth toward achieving
those standards. The commissioner must not develop statewide assessments for academic
standards in social studies, health and physical education, and the arts. The commissioner
must require:

(1) annual reading and mathematics assessments in grades 3 through 8 and at the
high school level for the 2005-2006 school year and later; and

(2) annual science assessments in one grade in the grades 3 through 5 span, the
grades 6 through deleted text begin 9deleted text end new text begin 8 new text end span, and a life sciences assessment in the grades deleted text begin 10deleted text end new text begin 9 new text end through 12
span for the 2007-2008 school year and later.

(b) The commissioner must ensure that all statewide tests administered to elementary
and secondary students measure students' academic knowledge and skills and not students'
values, attitudes, and beliefs.

(1) provide timely, useful, and understandable information on the performance of
individual students, schools, school districts, and the state;

(2) include, by no later than the 2008-2009 school year, anew text begin growth-basednew text end value-added
deleted text begin component that is in addition to a measure for student achievement growth over timedeleted text end new text begin
indicator of student achievement under section 120B.35, subdivision 3, paragraph (b)new text end ; and

(3)(i) for students enrolled in grade 8 before the 2005-2006 school year, determine
whether students have met the state's basic skills requirements; and

(ii) for students enrolled in grade 8 in the 2005-2006 school year and later, determine
whether students have met the state's academic standards.

(d) Consistent with applicable federal law and subdivision 1, paragraph (d), clause
(1), the commissioner must include appropriate, technically sound accommodations or
alternative assessments for the very few students with disabilities for whom statewide
assessments are inappropriate and for students with limited English proficiency.

(e) A school, school district, and charter school must administer statewide
assessments under this section, as the assessments become available, to evaluate student
deleted text begin progress in achieving thedeleted text end new text begin proficiency in the context of the state's grade levelnew text end academic
standards. If a state assessment is not available, a school, school district, and charter
school must determine locally if a student has met the required academic standards. A
school, school district, or charter school may use a student's performance on a statewide
assessment as one of multiple criteria to determine grade promotion or retention. A
school, school district, or charter school may use a high school student's performance on a
statewide assessment as a percentage of the student's final grade in a course, or place a
student's assessment score on the student's transcript.

The Department of Education
shall contract for professional and technical services according to competitive bidding
procedures under chapter 16C for purposes of this section.

The commissioner shall report test data publicly and to
stakeholders, including the performance achievement levels developed from students'
unweighted test scores in each tested subject and a listing of demographic factors that
strongly correlate with student performance. The commissioner shall also report data that
compares performance results among school sites, school districts, Minnesota and other
states, and Minnesota and other nations. The commissioner shall disseminate to schools
and school districts a more comprehensive report containing testing information that
meets local needs for evaluating instruction and curriculum.

The commissioner must adopt and publish a policy
to provide public and parental access for review of basic skills tests, Minnesota
Comprehensive Assessments, or any other such statewide test and assessment. Upon
receiving a written request, the commissioner must make available to parents or guardians
a copy of their student's actual responses to the test questions deleted text begin to be reviewed by the
parentdeleted text end new text begin for their reviewnew text end .

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

Minnesota Statutes 2006, section 120B.31, as amended by Laws 2007, chapter
146, article 2, section 10, is amended to read:

Consistent
with the deleted text begin processdeleted text end new text begin directionnew text end to adopt deleted text begin a results-oriented graduation ruledeleted text end new text begin statewide academic
standardsnew text end under section 120B.02, the department, in consultation with education and other
system stakeholders, must deleted text begin establishdeleted text end new text begin maintainnew text end a coordinated and comprehensive system of
educational accountability and public reporting that promotes deleted text begin higherdeleted text end new text begin greaternew text end academic
achievementnew text begin , preparation for higher academic education, preparation for the world of
work, citizenship as outlined under sections 120B.021, subdivision 1, clause (4), and
120B.024, paragraph (a), clause (4), and the artsnew text end .

Each school year, all school districts shall give a
uniform statewide test to students at specified grades to provide information on the status,
needs and performance of Minnesota students.

(a) The Independent Office of Educational
Accountability, as authorized by Laws 1997, First Special Session chapter 4, article 5,
section 28, subdivision 2, is established, and shall be funded through the Board of Regents
of the University of Minnesota. The office shall advise the education committees of
the legislature and the commissioner of education, at least on a biennial basis, on the
degree to which the statewide educational accountability and reporting system includes a
comprehensive assessment framework that measures school accountability for students
achieving the goals described in the state's deleted text begin results-orienteddeleted text end new text begin high schoolnew text end graduation
rule. The office shall determine and annually report to the legislature whether and how
effectively:

(1) the statewide system of educational accountability deleted text begin utilizesdeleted text end new text begin usesnew text end multiple
indicators to provide valid and reliable comparative and contextual data on students,
schools, districts, and the state, and if not, recommend ways to improve the accountability
reporting system;

(2) the commissioner makes statistical adjustments when reporting student data over
time, consistent with clause (4);

(3) the commissioner uses deleted text begin indicators of student achievement growthdeleted text end new text begin a growth-based
value-added indicator of student achievementnew text end over time deleted text begin and a value-added assessment
modeldeleted text end that estimates the effects of the school and school district on student achievement to
measure school performance, consistent with section deleted text begin 120B.36, subdivision 1deleted text end new text begin 120B.35,
subdivision 3, paragraph (b)new text end ;

(4) the commissioner makes data available on students who do not pass one or more
of the state's required GRAD tests and do not receive a diploma as a consequence, and
categorizes these data according to gender, race, eligibility for free or reduced lunch, and
English language proficiency; and

(5) the commissioner fulfills the requirements under section 127A.095, subdivision 2.

(b) When the office reviews the statewide educational accountability and reporting
system, it shall also consider:

(1) the objectivity and neutrality of the state's educational accountability system; and

(2) the impact of a testing program on school curriculum and student learning.

In deleted text begin developingdeleted text end
new text begin managingnew text end policies and assessment processes to hold schools and districts accountable
for high levels of academic standards under section 120B.021, the commissioner shall
aggregate student data over time to report student performancenew text begin and growthnew text end levels
measured at the new text begin school, new text end school district, deleted text begin regional, ordeleted text end new text begin andnew text end statewide level. When collecting
and reporting thenew text begin performancenew text end data, the commissioner shall: (1) acknowledge the impact
of significant demographic factors such as residential instability, the number of single
parent families, parents' level of education, and parents' income level on school outcomes;
and (2) organize and report the data so that state and local policy makers can understand
the educational implications of changes in districts' demographic profiles over time. Any
report the commissioner disseminates containing summary data on student performance
must integrate student performance and the demographic factors that strongly correlate
with that performance.

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

Minnesota Statutes 2006, section 120B.35, as amended by Laws 2007, chapter
147, article 8, section 38, is amended to read:

The commissioner must deleted text begin develop
and implementdeleted text end new text begin maintainnew text end a system for measuring and reporting academic achievement
and individual student deleted text begin progressdeleted text end new text begin growthnew text end , consistent with the statewide educational
accountability and reporting system. Thenew text begin systemnew text end components deleted text begin of the systemdeleted text end must measure
the adequate yearly progress of schools and new text begin the growth of new text end individual students: students'
current achievement in schools under subdivision 2; and individual students' educational
deleted text begin progressdeleted text end new text begin growthnew text end over time under subdivision 3. The system also must include statewide
measures of student academic deleted text begin achievementdeleted text end new text begin growthnew text end that identify schools with high levels
of deleted text begin achievementdeleted text end new text begin growthnew text end , and also schools with low levels of deleted text begin achievementdeleted text end new text begin growthnew text end that need
improvement. When determining a school's effect, the data must include both statewide
measures of student achievement anddeleted text begin , to the extent annual tests are administered,deleted text end
indicators of achievement growth that take into account a student's prior achievement.
Indicators of achievement and prior achievement must be based on highly reliable
statewide or districtwide assessments. Indicators that take into account a student's prior
achievement must not be used to disregard a school's low achievement or to exclude
a school from a program to improve low achievement levels. deleted text begin The commissioner by
January 15, 2002, must submit a plan for integrating these components to the chairs of
the legislative committees having policy and budgetary responsibilities for elementary
and secondary education.
deleted text end

(a) Each school year, a school district must determine if the student achievement levels
at each school site meet deleted text begin state and localdeleted text end new text begin federally mandatednew text end expectations. If student
achievement levels at a school site do not meet deleted text begin state and localdeleted text end new text begin federally mandatednew text end
expectations and the site has not made adequate yearly progress for two consecutive
school years, beginning with the 2001-2002 school year, the district must work with the
school site to adopt a plan to raise student achievement levels to meet deleted text begin state and localdeleted text end new text begin
federally mandatednew text end expectations. The commissioner of education shall establish student
academic achievement levelsnew text begin to comply with this paragraphnew text end .

(b) School sites identified as not meeting new text begin federally mandated new text end expectations must
develop continuous improvement plans in order to meet deleted text begin state and localdeleted text end new text begin federally mandatednew text end
expectations for student academic achievement. The department, at a district's request,
must assist the district and the school site in developing a plan to improve student
achievement. The plan must include parental involvement components.

(1) deleted text begin provide assistance todeleted text end new text begin assistnew text end school sites and districts identified as not meeting
new text begin federally mandated new text end expectations; and

(2) provide technical assistance to schools that integrate student deleted text begin progressdeleted text end measures
deleted text begin under subdivision 3deleted text end in the school continuous improvement plan.

(d) The commissioner shall establish and maintain a continuous improvement Web
site designed to make data on every school and district available to parents, teachers,
administrators, community members, and the general public.

(a)
Thenew text begin state'snew text end educational assessment system deleted text begin componentdeleted text end measuring individual students'
educational deleted text begin progress must bedeleted text end new text begin growth isnew text end baseddeleted text begin , to the extent annual tests are administered,deleted text end
on indicators of achievement growth that show an individual student's prior achievement.
Indicators of achievement and prior achievement deleted text begin must bedeleted text end new text begin arenew text end based on highly reliable
statewide or districtwide assessments.

(b) The commissioner must deleted text begin identify effective models for measuring individual
student progress that enable a school district or school site to perform gains-based
analysis, including evaluating the effects of the teacher, school, and school district on
student achievement over time. At least one model must be a "value-added" assessment
model that reliably estimates those effects for classroom settings where a single teacher
teaches multiple subjects to the same group of students, for team teaching arrangements,
and for other teaching circumstances.deleted text end new text begin use a growth-based value-added system. The
commissioner must apply the state growth norm to students in grades 4 through 8
beginning in the 2008-2009 school year, consistent with section 120B.299, subdivision
6, initially benchmarking the state growth norm to 2006-2007 school year data. The
model must allow the user to:
new text end

new text begin (1) report student growth at and above the state norm; and
new text end

new text begin (2) for all student categories with a cell size of at least 20, report and compare
aggregated and disaggregated state growth data using the nine student categories identified
under the federal 2001 No Child Left Behind Act and two student gender categories of
male and female, respectively. The model must measure the effects that teacher teams
within a grade, teacher teams across an entire grade, the school, and the school district
have on student growth. The model must not compile test results for teacher teams within
a grade or across a grade unless the test results encompass data on three or more teachers.
new text end

deleted text begin (c) If a district has an accountability plan that includes gains-based analysis or
"value-added" assessment, the commissioner shall, to the extent practicable, incorporate
those measures in determining whether the district or school site meets expectations. The
department must coordinate with the district in evaluating school sites and continuous
improvement plans, consistent with best practices. deleted text end new text begin If a district has an accountability
plan that includes other growth-based value-added analysis, the commissioner may, to
the extent practicable and consistent with this section, incorporate those measures in
determining whether the district or school site shows growth, including accelerated growth.
new text end

new text begin (d) When reporting student performance under section 120B.36, subdivision 1, the
commissioner annually, beginning July 1, 2011, must report two core measures indicating
the extent to which current high school graduates are being prepared for postsecondary
academic and career opportunities:
new text end

new text begin (1) a preparation measure indicating the number and percentage of high school
graduates in the most recent school year who completed course work important to
preparing them for postsecondary academic and career opportunities, consistent with the
core academic subjects required for admission to Minnesota's public four-year colleges
and universities as determined by the Office of Higher Education under chapter 136A; and
new text end

new text begin (2) a rigorous coursework measure indicating the number and percentage of high
school graduates in the most recent school year who successfully completed one or more
college-level advanced placement, international baccalaureate, postsecondary enrollment
options including concurrent enrollment, other rigorous courses of study under section
120B.021, subdivision 1a, or industry certification courses or programs.
new text end

new text begin When reporting the core measures under clauses (1) and (2), the commissioner must also
analyze and report separate categories of information using the nine student categories
identified under the federal 2001 No Child Left Behind Act and two student gender
categories of male and female, respectively.
new text end

new text begin (e) When reporting student performance under section 120B.36, subdivision 1, the
commissioner annually, beginning July 1, 2011, must include summary data showing
students' average self-reported sense of school safety, engagement in school, and the
quality of students' relationship with teachers, administrators, and other students. The
commissioner must gather these data consistently from students in grade 4 or 5, in one
grade level in grades 6 through 8, and in one grade level in high school, as determined by
the commissioner in consultation with recognized and qualified experts. All data received,
collected, or created that are used to generate the summary data under this paragraph are
nonpublic data under section 13.02, subdivision 9.
new text end

Consistent with the requirements of this section, the
commissioner of education must deleted text begin establish a second achievement benchmark to identify
improving schools. The commissioner must recommend todeleted text end new text begin annually report to the public
and new text end the legislature deleted text begin by February 15, 2002, indicators in addition to the achievement
benchmark for identifying improving schools, including an indicator requiring a school to
demonstrate ongoing successful use of best teaching practicesdeleted text end new text begin best practices learned from
those schools that demonstrate accelerated growth compared to the state growth normnew text end .

(a) A district must develop strategies in conjunction with parents of students
with emotional or behavioral disorders and the county board responsible for implementing
sections 245.487 to 245.4889 to keep students with emotional or behavioral disorders in
school, when the district has a drop-out rate for students with an emotional or behavioral
disorder in grades 9 through 12 exceeding 25 percent.

(b) A district must develop a plan in conjunction with parents of students with
emotional or behavioral disorders and the local mental health authority to increase the
graduation rates of students with emotional or behavioral disorders. A district with a
drop-out rate for children with an emotional or behavioral disturbance in grades 9 through
12 that is in the top 25 percent of all districts shall submit a plan for review and oversight
to the commissioner.

new text begin Subdivision 3, paragraph (b), applies to students in the
2008-2009 school year and later. Subdivision 3, paragraph (d), applies to students in the
2010-2011 school year and later. Subdivision 3, paragraph (e), applies to high school
students in the 2009-2010 school year and later, and to students in any grades 4 through 8
in the 2010-2011 school year and later, consistent with the commissioner's grade level
determinations. Subdivision 4 applies in the 2011-2012 school year and later.
new text end

Minnesota Statutes 2006, section 120B.36, as amended by Laws 2007, chapter
146, article 2, section 11, is amended to read:

(a) The commissioner shall
deleted text begin use objective criteria based on levels of student performance todeleted text end report deleted text begin at leastdeleted text end student
academic performancenew text begin under section 120B.35, subdivision 2, the percentages of students
at and above the state growth norm under section 120B.35, subdivision 3, paragraph (b)new text end ,
school safetynew text begin and student engagement under section 120B.35, subdivision 3, paragraph
(e), rigorous coursework under section 120B.35, subdivision 3, paragraph (d)new text end , two
separate student-to-teacher ratios that clearly indicate the definition of teacher consistent
with sections 122A.06 and 122A.15 for purposes of determining these ratios, deleted text begin anddeleted text end staff
characteristicsnew text begin excluding salariesnew text end , deleted text begin with a value-added component added no later than
the 2008-2009 school yeardeleted text end new text begin student enrollment demographics, district mobility, and
extracurricular activitiesnew text end . deleted text begin The report must indicate a school's adequate yearly progress
status, and must not set any designations applicable to high- and low-performing schools
due solely to adequate yearly progress status.
deleted text end

(b) The commissioner shall develop, annually update, and post on the department
Web site school performance report cards.

(c) The commissioner must make available deleted text begin the firstdeleted text end performance report cards by
deleted text begin November 2003, and duringdeleted text end the beginning of each school year deleted text begin thereafterdeleted text end .

(d) A school or district may appeal its adequate yearly progress status in writing to
the commissioner within 30 days of receiving the notice of its status. The commissioner's
decision to uphold or deny an appeal is final.

(e) School performance report deleted text begin cardsdeleted text end new text begin cardnew text end data are nonpublic data under section
13.02, subdivision 9, until not later than ten days after the appeal procedure described in
paragraph (d) concludes. The department shall annually post school performance report
cards to its public Web site no later than September 1.

All data the department receives,
collects, or creates deleted text begin for purposes of determiningdeleted text end new text begin to determinenew text end adequate yearly progress
deleted text begin designationsdeleted text end new text begin statusnew text end under Public Law 107-110, section 1116,new text begin set state growth norms, and
determine student growthnew text end are nonpublic data under section 13.02, subdivision 9, until not
later than ten days after the appeal procedure described in subdivision 1, paragraph (d),
concludes. Districts must provide parents sufficiently detailed summary data to permit
parents to appeal under Public Law 107-110, section 1116(b)(2). The department shall
annually postnew text begin federally mandatednew text end adequate yearly progress datanew text begin and state student growth
datanew text end to its public Web site no later than September 1.

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

Minnesota Statutes 2006, section 120B.362, is amended to read:

deleted text begin (a)deleted text end The commissioner of education must implement a new text begin growth-based new text end value-added
assessment program to assist school districts, public schools, and charter schools in
assessing and reporting individual students' growth in academic achievement under section
120B.30, subdivision 1a. The program must use assessments of individual students'
academic achievement to make longitudinal comparisons of each student's academic
growth over time. deleted text begin School districts, public schools, and charter schools may apply to the
commissioner to participate in the initial trial program using a form and in the manner the
commissioner prescribes. The commissioner must select program participants from urban,
suburban, and rural areas throughout the state.
deleted text end

deleted text begin (b) The commissioner may issue a request for proposals to contract with an
organization that provides a value-added assessment model that reliably estimates school
and school district effects on students' academic achievement over time. The model the
commissioner selects must accommodate diverse data and must use each student's test
data across grades. Data on individual teachers generated under the model are personnel
data under section 13.43.
deleted text end

deleted text begin (c) The contract under paragraph (b) must be consistent with the definition of "best
value" under section 16C.02, subdivision 4.
deleted text end

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

Minnesota Statutes 2006, section 122A.21, is amended to read:

Each application for the issuance, renewal,
or extension of a license to teachnew text begin , including applications for licensure via portfolio under
subdivision 2,new text end must be accompanied by a processing fee of $57. Each application for
issuing, renewing, or extending the license of a school administrator or supervisor must
be accompanied by a processing fee in the amount set by the Board of Teaching. The
processing fee for a teacher's license and for the licenses of supervisory personnel must
be paid to the executive secretary of the appropriate board. The executive secretary of
the board shall deposit the fees with the commissioner of finance. The fees as set by the
board are nonrefundable for applicants not qualifying for a license. However, a fee must
be refunded by the commissioner of finance in any case in which the applicant already
holds a valid unexpired license. The board may waive or reduce fees for applicants who
apply at the same time for more than one license.

new text begin (a) A candidate seeking licensure via portfolio
must submit a $75 fee to the Educator Licensing Division at the department to determine
the candidate's eligibility for licensure via portfolio. An eligible candidate may use
licensure via portfolio to obtain an initial licensure or to add a licensure field, consistent
with the applicable Board of Teaching licensure rules.
new text end

new text begin (b) A candidate for initial licensure must submit to the Educator Licensing Division
at the department one portfolio demonstrating pedagogical competence and one portfolio
demonstrating content competence.
new text end

new text begin (c) A candidate seeking to add a licensure field must submit to the Educator
Licensing Division at the department one portfolio demonstrating content competence.
new text end

new text begin (d) A candidate must pay to the executive secretary of the Board of Teaching a
$300 fee for the first portfolio submitted for review and a $200 fee for any portfolio
submitted subsequently. The fees must be paid to the executive secretary of the Board of
Teaching. The revenue generated from the fee must be deposited in an education licensure
portfolio account in the special revenue fund. The fees set by the Board of Teaching are
nonrefundable for applicants not qualifying for a license. The Board of Teaching may
waive or reduce fees for candidates based on financial need.
new text end

new text begin When available, a school district must post its current local school wellness policy
on its Web site.
new text end

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

Minnesota Statutes 2006, section 123B.02, subdivision 21, is amended to read:

The boardnew text begin , or more than one board
acting jointly under the authority granted by section 471.59,new text end may construct, acquire, own
in whole or in part, operate, and sell and retain and spend the payment received from
selling energy from a wind energy conversion system, as defined in section 216C.06,
subdivision 19. The board's share of the installed capacity of the wind energy conversion
systems authorized by this subdivision must not exceed 3.3 megawatts of nameplate
capacity. A board owning, operating, or selling energy from a wind energy conversion
system must integrate information about wind energy conversion systems in its educational
programming.new text begin The board, or more than one board acting jointly under the authority
granted by section 471.59, may be a limited partner in a partnership, a member of a limited
liability company, or a shareholder in a corporation, established for the sole purpose of
constructing, acquiring, owning in whole or in part, financing, or operating a wind energy
conversion system for the benefit of the district or districts in accordance with this section.new text end

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

Minnesota Statutes 2007 Supplement, section 123B.143, subdivision 1,
is amended to read:

All districts maintaining a classified secondary
school must employ a superintendent who shall be an ex officio nonvoting member of the
school board. The authority for selection and employment of a superintendent must be
vested in the board in all cases. An individual employed by a board as a superintendent
shall have an initial employment contract for a period of time no longer than three years
from the date of employment. Any subsequent employment contract must not exceed a
period of three years. A board, at its discretion, may or may not renew an employment
contract. A board must not, by action or inaction, extend the duration of an existing
employment contract. Beginning 365 days prior to the expiration date of an existing
employment contract, a board may negotiate and enter into a subsequent employment
contract to take effect upon the expiration of the existing contract. A subsequent contract
must be contingent upon the employee completing the terms of an existing contract. If a
contract between a board and a superintendent is terminated prior to the date specified in
the contract, the board may not enter into another superintendent contract with that same
individual that has a term that extends beyond the date specified in the terminated contract.
A board may terminate a superintendent during the term of an employment contract for any
of the grounds specified in section 122A.40, subdivision 9 or 13. A superintendent shall
not rely upon an employment contract with a board to assert any other continuing contract
rights in the position of superintendent under section 122A.40. Notwithstanding the
provisions of sections 122A.40, subdivision 10 or 11, 123A.32, 123A.75, or any other law
to the contrary, no individual shall have a right to employment as a superintendent based
on order of employment in any district. If two or more districts enter into an agreement for
the purchase or sharing of the services of a superintendent, the contracting districts have
the absolute right to select one of the individuals employed to serve as superintendent
in one of the contracting districts and no individual has a right to employment as the
superintendent to provide all or part of the services based on order of employment in a
contracting district. The superintendent of a district shall perform the following:

(1) visit and supervise the schools in the district, report and make recommendations
about their condition when advisable or on request by the board;

(2) recommend to the board employment and dismissal of teachers;

(3) superintend school grading practices and examinations for promotions;

(4) make reports required by the commissioner;new text begin and
new text end

(5) deleted text begin by January 10, submit an annual report to the commissioner in a manner
prescribed by the commissioner, in consultation with school districts, identifying the
expenditures that the district requires to ensure an 80 percent student passage rate on
the MCA-IIs taken in the eighth grade, identifying the highest student passage rate the
district expects it will be able to attain on the MCA-IIs by grade 12, and the amount of
expenditures that the district requires to attain the targeted student passage rate; and
deleted text end

deleted text begin (6)deleted text end perform other duties prescribed by the board.

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

Minnesota Statutes 2006, section 123B.59, subdivision 1, is amended to read:

(a) An independent or special school district qualifies to
participate in the alternative facilities bonding and levy program if the district has:

(1) more than 66 students per grade;

(2) over 1,850,000 square feet of space and the average age of building space is 15
years or older or over 1,500,000 square feet and the average age of building space is
35 years or older;

(3) insufficient funds from projected health and safety revenue and capital facilities
revenue to meet the requirements for deferred maintenance, to make accessibility
improvements, or to make fire, safety, or health repairs; and

(4) a ten-year facility plan approved by the commissioner according to subdivision 2.

(b) An independent or special school district not eligible to participate in the
alternative facilities bonding and levy program under paragraph (a) qualifies for limited
participation in the program if the district has:

(1) one or more health and safety projects with an estimated cost of $500,000 or
more per site that would qualify for health and safety revenue except for the project size
limitation in section 123B.57, subdivision 1, paragraph (b); and

(2) insufficient funds from capital facilities revenue to fund those projects.

new text begin (c) Notwithstanding the square footage limitation in paragraph (a), clause (2),
a school district that qualified for eligibility under paragraph (a) as of July 1, 2007,
remains eligible for funding under this section as long as the district continues to meet
the requirements of paragraph (a), clauses (1), (3), and (4).
new text end

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

Minnesota Statutes 2006, section 123B.62, is amended to read:

(a) In addition to other bonding authority, with approval of the commissioner, a
district may issue general obligation bonds for certain capital projects under this section.
The bonds must be used only to make capital improvements including:

(1) under section 126C.10, subdivision 14, total operating capital revenue uses
specified in clauses (4), (6), (7), (8), (9), and (10);

(2) the cost of energy modifications;

(3) improving disability accessibility to school buildings; and

(4) bringing school buildings into compliance with life and safety codes and fire
codes.

(b) Before a district issues bonds under this subdivision, it must publish notice
of the intended projects, the amount of the bond issue, and the total amount of district
indebtedness.

(c) A bond issue tentatively authorized by the board under this subdivision becomes
finally authorized unless a petition signed by more than 15 percent of the registered voters
of the district is filed with the school board within 30 days of the board's adoption of a
resolution stating the board's intention to issue bonds. The percentage is to be determined
with reference to the number of registered voters in the district on the last day before the
petition is filed with the board. The petition must call for a referendum on the question of
whether to issue the bonds for the projects under this section. The approval of 50 percent
plus one of those voting on the question is required to pass a referendum authorized
by this section.

(d) The bonds must be paid off within deleted text begin tendeleted text end new text begin 15 new text end years of issuance. The bonds must be
issued in compliance with chapter 475, except as otherwise provided in this section. A tax
levy must be made for the payment of principal and interest on the bonds in accordance
with section 475.61. The sum of the tax levies under this section and section 123B.61 for
each year must not exceed the limit specified in section 123B.61. The levy for each year
must be reduced as provided in section 123B.61. A district using an excess amount in the
debt redemption fund to retire the bonds shall report the amount used for this purpose to
the commissioner by July 15 of the following fiscal year. A district having an outstanding
capital loan under section 126C.69 or an outstanding debt service loan under section
126C.68 must not use an excess amount in the debt redemption fund to retire the bonds.

(e) Notwithstanding paragraph (d), bonds issued by a district within the first
five years following voter approval of a combination according to section 123A.37,
subdivision 2, must be paid off within 20 years of issuance. All the other provisions and
limitation of paragraph (d) apply.

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

Minnesota Statutes 2006, section 124D.04, subdivision 3, is amended to read:

new text begin Except as provided under an agreement with
an adjoining state under section 124D.041, new text end a non-Minnesota pupil who resides in an
adjoining state in a district that borders Minnesota may enroll in a Minnesota district if
either the board of the district in which the pupil resides or state in which the pupil resides
pays tuition to the district in which the pupil is enrolled.

Minnesota Statutes 2006, section 124D.04, subdivision 6, is amended to read:

new text begin (a) new text end In each odd-numbered year, before March 1, the
commissioner must agree to rates of tuition for Minnesota elementary and secondary
pupils attending in other states for the next two fiscal years when the other state agrees to
negotiate tuition rates. The commissioner must negotiate equal, reciprocal rates with the
designated authority in each state for pupils who reside in an adjoining state and enroll in
a Minnesota district. The rates must be at least equal to the tuition specified in section
124D.05, subdivision 1. If the other state does not agree to negotiate a general tuition rate,
a Minnesota school district may negotiate a tuition rate with the school district in the other
state that sends a pupil to or receives a pupil from the Minnesota school district. The
tuition rate for a pupil with a disability must be equal to the actual cost of instruction and
services provided. The resident district of a Minnesota pupil attending in another state
under this section must pay the amount of tuition agreed upon in this section to the district
of attendance, prorated on the basis of the proportion of the school year attended.

new text begin (b) Notwithstanding paragraph (a) and subdivision 9, if an agreement is reached
between the state of Minnesota and an adjoining state pursuant to section 124D.041,
the provisions of section 124D.041 and the agreement shall apply to all enrollment
transfers between Minnesota and the adjoining state, and provisions of paragraph (a)
and subdivision 9 shall not apply.
new text end

Minnesota Statutes 2006, section 124D.04, subdivision 8, is amended to read:

This section is effective with respect to deleted text begin South
Dakota upon enactment of provisions by South Dakota that the commissioner determines
are essentially similar to the provisions for Minnesota pupils in this section. This section
is effective with respect todeleted text end any deleted text begin otherdeleted text end bordering state upon enactment of provisions by the
bordering state that the commissioner determines are essentially similar to the provisions
for Minnesota pupils in this section.

Minnesota Statutes 2006, section 124D.04, subdivision 9, is amended to read:

If a Minnesota school district cannot agree
with an adjoining state on a tuition rate for a Minnesota student attending school in that
state and that state has met the requirements in subdivision 8, then the student's parent or
guardian may request that the commissioner deleted text begin agree ondeleted text end new text begin setnew text end a tuition rate for the student. The
Minnesota district must pay the amount of tuition the commissioner deleted text begin agrees upondeleted text end new text begin setsnew text end .

new text begin (a) The commissioner may enter into an agreement
with the designated authority from an adjoining state to establish an enrollment options
program between Minnesota and the adjoining state. Any agreement entered into pursuant
to this section must specify the following:
new text end

new text begin (1) for students who are not residents of Minnesota, the enrollment options program
applies only to a student whose resident school district borders Minnesota;
new text end

new text begin (2) the commissioner must negotiate equal, reciprocal rates with the designated
authority from the adjoining state;
new text end

new text begin (3) if the adjoining state sends more students to Minnesota than Minnesota sends to
the adjoining state, the adjoining state must pay the state of Minnesota the rate agreed
upon under clause (2) for the excess number of students sent to Minnesota;
new text end

new text begin (4) if Minnesota sends more students to the adjoining state than the adjoining state
sends to Minnesota, the state of Minnesota will pay the adjoining state the rate agreed
upon under clause (2) for the excess number of students sent to the adjoining state;
new text end

new text begin (5) the application procedures for the enrollment options program between
Minnesota and the adjoining state;
new text end

new text begin (6) the reasons for which an application for the enrollment options program between
Minnesota and the adjoining may be denied; and
new text end

new text begin (7) that a Minnesota school district is not responsible for transportation for any
resident student attending school in an adjoining state under the provisions of this section.
A Minnesota school district may, at its discretion, provide transportation services for
such a student.
new text end

new text begin (b) Any agreement entered into pursuant to this section may specify additional terms
relating to any student in need of special education and related services pursuant to chapter
125A. Any additional terms must apply equally to both states.
new text end

new text begin (a) Any student from an adjoining state enrolled in
Minnesota pursuant to this section is included in the receiving school district's average
daily membership and pupil units according to section 126C.05 as if the student were
a resident of another Minnesota school district attending the receiving school district
under section 124D.03.
new text end

new text begin (b) Any Minnesota resident student enrolled in an adjoining state pursuant to this
section is included in the resident school district's average daily membership and pupil
units according to section 126C.05 as if the student were a resident of the district attending
another Minnesota school district under section 124D.03.
new text end

new text begin (a) The Department of Education must establish procedures
relating to the application process, the collection or payment of funds under the provisions
of any agreement established pursuant to this section, and the collection of data necessary
to implement any agreement established pursuant to this section.
new text end

new text begin (b) Notwithstanding sections 124D.04 and 124D.05, if an agreement is established
between Minnesota and an adjoining state pursuant to this section, the provisions of this
section and the agreement shall apply to all enrollment transfers between Minnesota and
the adjoining state, and provisions of sections 124D.04 and 124D.05 to the contrary,
including provisions relating to tuition payments, shall not apply.
new text end

new text begin (c) Notwithstanding paragraph (a), any payments to adjoining states under this
section shall be made according to section 127A.45, subdivision 16.
new text end

new text begin (d) Notwithstanding paragraph (b), sections 124D.04, subdivision 6, paragraph (b),
and 124D.05, subdivision 2a, the provisions of this section and the agreement shall not
apply to: (i) enrollment transfers between Minnesota and a school district in an adjoining
state enrolling fewer than 150 pupils that is exempted from participation in the program
under the laws of the adjoining state; or (ii) enrollment transfers between Minnesota and a
school district in an adjoining state under a board agreement initiated in fiscal year 2009 to
serve students in grade levels discontinued by the resident district.
new text end

Minnesota Statutes 2006, section 124D.05, is amended by adding a
subdivision to read:

new text begin Notwithstanding subdivisions 1 and 2, if an agreement
is reached between the state of Minnesota and an adjoining state pursuant to section
124D.041, the provisions of section 124D.041 and the agreement shall apply to all
enrollment transfers between Minnesota and the adjoining state, and provisions of
subdivisions 1 and 2 to the contrary, including provisions relating to tuition payments,
shall not apply.
new text end

Minnesota Statutes 2006, section 124D.10, subdivision 20, is amended to read:

If a teacher employed by a district
makes a written request for an extended leave of absence to teach at a charter school,
the district must grant the leave. The district must grant a leave not to exceed a total of
five years. Any request to extend the leave shall be granted only at the discretion of the
school board. The district may require that the request for a leave or extension of leave
be made deleted text begin up to 90 days before the teacher would otherwise have to report for dutydeleted text end new text begin before
February 1 in the school year preceding the school year in which the teacher wishes to
return, or before February 1 of the calendar year in which the teacher's leave is scheduled
to terminatenew text end . Except as otherwise provided in this subdivision and except for section
122A.46, subdivision 7, the leave is governed by section 122A.46, including, but not
limited to, reinstatement, notice of intention to return, seniority, salary, and insurance.

During a leave, the teacher may continue to aggregate benefits and credits in the
Teachers' Retirement Association account by paying both the employer and employee
contributions based upon the annual salary of the teacher for the last full pay period before
the leave began. The retirement association may impose reasonable requirements to
efficiently administer this subdivision.

new text begin This section is effective for the 2008-2009 school year and
later.
new text end

Minnesota Statutes 2007 Supplement, section 124D.531, subdivision 1,
is amended to read:

(a) The state total adult basic
education aid for fiscal year 2005 is $36,509,000. The state total adult basic education
aid for fiscal year 2006 equals $36,587,000 plus any amount that is not paid for during
the previous fiscal year, as a result of adjustments under subdivision 4, paragraph (a), or
section 124D.52, subdivision 3. The state total adult basic education aid for fiscal year
2007 equals $37,673,000 plus any amount that is not paid for during the previous fiscal
year, as a result of adjustments under subdivision 4, paragraph (a), or section 124D.52,
subdivision 3. The state total adult basic education aid for fiscal year 2008 equals
$40,650,000, plus any amount that is not paid during the previous fiscal year as a result of
adjustments under subdivision 4, paragraph (a), or section 124D.52, subdivision 3. The
state total adult basic education aid for later fiscal years equals:

(1) the state total adult basic education aid for the preceding fiscal year plus any
amount that is not paid for during the previous fiscal year, as a result of adjustments under
subdivision 4, paragraph (a), or section 124D.52, subdivision 3; times

(2) the lesser of:

(i) 1.03; or

(ii) deleted text begin the greater of 1.00 or the ratio of the state total contact hours in the first prior
program year to the state total contact hours in the second prior program yeardeleted text end new text begin the average
growth in state total contact hours over the prior ten program yearsnew text end .

Beginning in fiscal year 2002, two percent of the state total adult basic education
aid must be set aside for adult basic education supplemental service grants under section
124D.522.

(b) The state total adult basic education aid, excluding basic population aid, equals
the difference between the amount computed in paragraph (a), and the state total basic
population aid under subdivision 2.

Minnesota Statutes 2006, section 124D.55, is amended to read:

The commissioner shall pay 60 percent of the fee that is charged to an eligible
individual for the full battery of a general education development (GED) test, but not
more than deleted text begin $20deleted text end new text begin $40 new text end for an eligible individual.

Minnesota Statutes 2006, section 125A.65, is amended by adding a
subdivision to read:

new text begin The Minnesota State Academies must seek
reimbursement under section 125A.21 from third parties for the cost of services provided
by the Minnesota State Academies whenever the services provided are otherwise covered
by a child's public or private health plan.
new text end

new text begin This section is effective the day following final enactment
for revenue in fiscal years 2008 and later.
new text end

Minnesota Statutes 2006, section 125A.76, is amended by adding a
subdivision to read:

new text begin (a) If an
agreement is reached between the state of Minnesota and an adjoining state pursuant to
section 124D.041 that requires a special education tuition payment from the state of
Minnesota to the adjoining state, the tuition payment shall be made from the special
education aid appropriation for that year, and the state total special education aid under
subdivision 4 shall be reduced by the amount of the payment.
new text end

new text begin (b) If an agreement is reached between the state of Minnesota and an adjoining state
pursuant to section 124D.041 that requires a special education tuition payment from
an adjoining state to the state of Minnesota, the special education aid appropriation for
that year and the state total special education aid under subdivision 4 shall be increased
by the amount of the payment.
new text end

new text begin (c) If an agreement is reached between the state of Minnesota and an adjoining state
pursuant to section 124D.041 that requires special education tuition payments to be made
between the two states and not between districts in the two states, the special education aid
for a Minnesota school district serving a student with a disability from the adjoining state
shall be calculated according to section 127A.47, subdivision 7, except that no reduction
shall be made in the special education aid paid to the resident district.
new text end

Minnesota Statutes 2006, section 126C.10, subdivision 31, is amended to read:

(a) A district's transition allowance equals the
greater of zero or the product of the ratio of the number of adjusted marginal cost pupil
units the district would have counted for fiscal year 2004 under Minnesota Statutes 2002
to the district's adjusted marginal cost pupil units for fiscal year 2004, times the difference
between: (1) the lesser of the district's general education revenue per adjusted marginal
cost pupil unit for fiscal year 2003 or the amount of general education revenue the district
would have received per adjusted marginal cost pupil unit for fiscal year 2004 according
to Minnesota Statutes 2002, and (2) the district's general education revenue for fiscal year
2004 excluding transition revenue divided by the number of adjusted marginal cost pupil
units the district would have counted for fiscal year 2004 under Minnesota Statutes 2002.

(b) A district's transition revenue for fiscal deleted text begin yeardeleted text end new text begin yearsnew text end 2006 deleted text begin and laterdeleted text end new text begin through 2009new text end
equals the sum of the product of the district's transition allowance times the district's
adjusted marginal cost pupil units plus the district's transition for prekindergarten revenue
under subdivision 31a.

new text begin (c) A district's transition revenue for fiscal year 2010 and later equals the sum of
the product of the district's transition allowance times the district's adjusted marginal cost
pupil units plus the district's transition for prekindergarten revenue under subdivision 31a
plus the district's transition for tuition reciprocity revenue under subdivision 31c.
new text end

Minnesota Statutes 2006, section 126C.10, is amended by adding a
subdivision to read:

new text begin For the first year that a
tuition reciprocity agreement with an adjoining state is in effect under section 124D.041
and later, a school district's transition for tuition reciprocity revenue equals the greater of
zero or the difference between the sum of the general education revenue and net tuition
revenue the district would have received for pupils enrolled under section 124D.041 for
the first year the agreement is in effect if the agreement had not been in effect, and the
sum of the district's general education revenue and net tuition revenue for the first year
the agreement is in effect.
new text end

Minnesota Statutes 2006, section 126C.17, subdivision 9, is amended to read:

(a) The revenue authorized by section 126C.10,
subdivision 1, may be increased in the amount approved by the voters of the district at a
referendum called for the purpose. The referendum may be called by the board or shall be
called by the board upon written petition of qualified voters of the district. The referendum
must be conducted one or two calendar years before the increased levy authority, if
approved, first becomes payable. Only one election to approve an increase may be held
in a calendar year. Unless the referendum is conducted by mail under paragraph (g), the
referendum must be held on the first Tuesday after the first Monday in November. The
ballot must state the maximum amount of the increased revenue per resident marginal cost
pupil unit. The ballot may state a schedule, determined by the board, of increased revenue
per resident marginal cost pupil unit that differs from year to year over the number of
years for which the increased revenue is authorized or may state that the amount shall
increase annually by the rate of inflation. For this purpose, the rate of inflation shall be
the annual inflationary increase calculated under subdivision 2, paragraph (b). The ballot
may state that existing referendum levy authority is expiring. In this case, the ballot may
also compare the proposed levy authority to the existing expiring levy authority, and
express the proposed increase as the amount, if any, over the expiring referendum levy
authority. The ballot must designate the specific number of years, not to exceed ten, for
which the referendum authorization applies. The ballot, including a ballot on the question
to revoke or reduce the increased revenue amount under paragraph (c), must abbreviate
the term "per resident marginal cost pupil unit" as "per pupil." The notice required under
section 275.60 may be modified to read, in cases of renewing existing levies new text begin at the same
amount per pupil as in the previous yearnew text end :

"BY VOTING "YES" ON THIS BALLOT QUESTION, YOU deleted text begin MAY BE VOTING
FOR A PROPERTY TAX INCREASEdeleted text end new text begin ARE RENEWING AN EXISTING
PROPERTY TAX REFERENDUM. YOU ARE NOT CHANGING YOUR
OPERATING REFERENDUM AMOUNT PER PUPIL FROM ITS LEVEL IN
THE PREVIOUS YEARnew text end ."

The ballot may contain a textual portion with the information required in this
subdivision and a question stating substantially the following:

"Shall the increase in the revenue proposed by (petition to) the board of .........,
School District No. .., be approved?"

If approved, an amount equal to the approved revenue per resident marginal cost
pupil unit times the resident marginal cost pupil units for the school year beginning in
the year after the levy is certified shall be authorized for certification for the number of
years approved, if applicable, or until revoked or reduced by the voters of the district at a
subsequent referendum.

(b) The board must prepare and deliver by first class mail at least 15 days but no more
than 30 days before the day of the referendum to each taxpayer a notice of the referendum
and the proposed revenue increase. The board need not mail more than one notice to any
taxpayer. For the purpose of giving mailed notice under this subdivision, owners must be
those shown to be owners on the records of the county auditor or, in any county where
tax statements are mailed by the county treasurer, on the records of the county treasurer.
Every property owner whose name does not appear on the records of the county auditor
or the county treasurer is deemed to have waived this mailed notice unless the owner
has requested in writing that the county auditor or county treasurer, as the case may be,
include the name on the records for this purpose. The notice must project the anticipated
amount of tax increase in annual dollars for typical residential homesteads, agricultural
homesteads, apartments, and commercial-industrial property within the school district.

The notice for a referendum may state that an existing referendum levy is expiring
and project the anticipated amount of increase over the existing referendum levy in
the first year, if any, in annual dollars for typical residential homesteads, agricultural
homesteads, apartments, and commercial-industrial property within the district.

The notice must include the following statement: "Passage of this referendum will
result in an increase in your property taxes." However, in cases of renewing existing
levies, the notice may include the following statement: "Passage of this referendum deleted text begin maydeleted text end
deleted text begin result in deleted text end deleted text begin an increasedeleted text end deleted text begin in your property taxes."deleted text end new text begin renews an existing operating referendum at
the same amount per pupil as in the previous year."new text end

(c) A referendum on the question of revoking or reducing the increased revenue
amount authorized pursuant to paragraph (a) may be called by the board and shall be called
by the board upon the written petition of qualified voters of the district. A referendum to
revoke or reduce the revenue amount must state the amount per resident marginal cost
pupil unit by which the authority is to be reduced. Revenue authority approved by the
voters of the district pursuant to paragraph (a) must be available to the school district at
least once before it is subject to a referendum on its revocation or reduction for subsequent
years. Only one revocation or reduction referendum may be held to revoke or reduce
referendum revenue for any specific year and for years thereafter.

(d) A petition authorized by paragraph (a) or (c) is effective if signed by a number of
qualified voters in excess of 15 percent of the registered voters of the district on the day
the petition is filed with the board. A referendum invoked by petition must be held on the
date specified in paragraph (a).

(e) The approval of 50 percent plus one of those voting on the question is required to
pass a referendum authorized by this subdivision.

(f) At least 15 days before the day of the referendum, the district must submit a
copy of the notice required under paragraph (b) to the commissioner and to the county
auditor of each county in which the district is located. Within 15 days after the results
of the referendum have been certified by the board, or in the case of a recount, the
certification of the results of the recount by the canvassing board, the district must notify
the commissioner of the results of the referendum.

new text begin This section is effective for elections conducted on or after
July 1, 2008.
new text end

Minnesota Statutes 2006, section 126C.21, subdivision 1, is amended to read:

deleted text begin Thedeleted text end new text begin Annew text end amount of money new text begin equal to $36
times the district's pupils in average daily membership new text end received by a district as income
from the permanent school fund for any year must be deducted from the general education
aid earned by the district for the same year or from aid earned from other state sources.

new text begin This section is effective for revenue for fiscal year 2010.
new text end

Minnesota Statutes 2007 Supplement, section 126C.21, subdivision 3, is
amended to read:

Each year the amount of money
apportioned to a district for that year pursuant to deleted text begin sectionsdeleted text end new text begin section new text end 127A.34, subdivision 2,
deleted text begin and 272.029, subdivision 6,deleted text end must be deducted from the general education aid earned by
that district for the same year or from aid earned from other state sources.

new text begin This section is effective for revenue for fiscal year 2009.
new text end

Minnesota Statutes 2007 Supplement, section 126C.44, is amended to read:

(a) Each district may make a levy on all taxable property located within the district
for the purposes specified in this section. The maximum amount which may be levied
for all costs under this section shall be equal to $30 multiplied by the district's adjusted
marginal cost pupil units for the school year. The proceeds of the levy must be reserved and
used for directly funding the following purposes or for reimbursing the cities and counties
who contract with the district for the following purposes: (1) to pay the costs incurred for
the salaries, benefits, and transportation costs of peace officers and sheriffs for liaison in
services in the district's schools; (2) to pay the costs for a drug abuse prevention program
as defined in section 609.101, subdivision 3, paragraph (e), in the elementary schools;
(3) to pay the costs for a gang resistance education training curriculum in the district's
schools; (4) to pay the costs for security in the district's schools and on school property; (5)
to pay the costs for other crime prevention, drug abuse, student and staff safety, voluntary
opt-in suicide prevention tools, and violence prevention measures taken by the school
district; or (6) to pay costs for licensed school counselors, licensed school nurses, licensed
school social workers, licensed school psychologists, and licensed alcohol and chemical
dependency counselors to help provide early responses to problems. For expenditures
under clause (1), the district must initially attempt to contract for services to be provided
by peace officers or sheriffs with the police department of each city or the sheriff's
department of the county within the district containing the school receiving the services. If
a local police department or a county sheriff's department does not wish to provide the
necessary services, the district may contract for these services with any other police or
sheriff's department located entirely or partially within the school district's boundaries.

(b) A school district that is a member of an intermediate school district may
include in its authority under this section the costs associated with safe schools activities
authorized under paragraph (a) for intermediate school district programs. This authority
must not exceed $10 times the adjusted marginal cost pupil units of the member districts.
This authority is in addition to any other authority authorized under this section. Revenue
raised under this paragraph must be transferred to the intermediate school district.

(c) deleted text begin Ifdeleted text end A school district deleted text begin spendsdeleted text end new text begin must set aside at least $3 per adjusted marginal cost
pupil unit of the new text end safe schools levy proceeds new text begin for the purposes authorized new text end under paragraph
(a), clause (6)deleted text begin ,deleted text end new text begin .new text end The district must annually certify that its total spending on services
provided by the employees listed in paragraph (a), clause (6), is not less than the sum of
its expenditures for these purposes, excluding amounts spent under this section, in the
previous year plus the amount spent under this section.

new text begin This section is effective for revenue for fiscal year 2010.
new text end

Minnesota Statutes 2006, section 126C.51, is amended to read:

Notwithstanding the provisions of section 471.69 or 471.75, or of any other
provision of law which by per capita limitation, local tax rate limitation, or otherwise,
limits the power of a district to incur any debt or to issue any warrant or order, a new text begin school
new text end district new text begin or intermediate school district new text end has the powers in sections 126C.50 to 126C.56
specifically conferred upon it and all powers incident and necessary to carrying out the
purposes of sections 126C.50 to 126C.56.

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

Minnesota Statutes 2006, section 126C.52, subdivision 2, is amended to read:

The board new text begin of any school district new text end may also borrow money
in the manner and subject to the limitations set forth in sections 126C.50 to 126C.56 in
anticipation of receipt of state aids for schools as defined in Minnesota Statutes and of
federal school aids to be distributed by or through the department. The aggregate of such
borrowings under this subdivision shall never exceed 75 percent of such aids which are
receivable by said school district in the deleted text begin schooldeleted text end new text begin fiscal new text end year deleted text begin (from July 1 to June 30)deleted text end in which
the money is borrowed, as estimated and certified by the commissioner.

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

Minnesota Statutes 2006, section 126C.52, is amended by adding a
subdivision to read:

new text begin (a) The board of an intermediate school
district may borrow money in the manner and subject to the limitations set forth in
sections 126C.50 to 126C.56 in anticipation of the receipt of:
new text end

new text begin (1) state aids for schools as defined in Minnesota Statutes;
new text end

new text begin (2) federal school aids to be distributed by or through the department; and
new text end

new text begin (3) membership fees and tuition payments from its member school districts.
new text end

new text begin The aggregate of such borrowings under this subdivision shall never exceed 75
percent of such aids, fees, and tuition payments which are receivable by the intermediate
school district in the fiscal year in which the money is borrowed, as estimated and certified
by the commissioner.
new text end

new text begin (b) The board of an intermediate school district may, upon receipt of a written
resolution by each of its member school districts, pledge the member district's full faith
and credit and unlimited taxing powers to repay its pro rata share of any certificates issued
or the amount paid by the state under section 126C.55, subdivision 2, plus interest, if the
revenues specified in paragraph (a) and any other revenues of the intermediate school
district are insufficient to do so.
new text end

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

Minnesota Statutes 2006, section 126C.53, is amended to read:

The board new text begin of a school district or intermediate school district new text end may authorize and
effect such borrowing, and may issue such certificates of indebtedness upon passage of
a resolution specifying the amount and purposes for which it deems such borrowing is
necessary. The resolution must be adopted by a vote of at least two-thirds of its members.
The board must fix the amount, date, maturity, form, denomination, and other details of
the certificates of indebtedness, not inconsistent with this chapter. The board must fix the
date and place for receipt of bids for the purchase of the certificates when bids are required
and direct the clerk to give notice of the date and place for bidding.

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

Minnesota Statutes 2006, section 126C.55, is amended to read:

For the purposes of this section, the term "debt
obligation" means:

(1) a deleted text begin tax or aid anticipationdeleted text end certificate of indebtednessnew text begin issued under section 126C.52new text end ;

(2) a certificate of participation issued under section 126C.40, subdivision 6; or

(3) a general obligation bond.

(a) If a new text begin school new text end district new text begin or
intermediate school district new text end 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 thenew text begin
schoolnew text end districtnew text begin or intermediate school districtnew text end , 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 thenew text begin schoolnew text end districtnew text begin or intermediate
school districtnew text end 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 thenew text begin schoolnew text end districtnew text begin or intermediate school districtnew text end
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 thenew text begin schoolnew text end districtnew text begin or intermediate school districtnew text end and
the paying agent, and after verification of the accuracy of the information provided, the
commissioner shall notify the commissioner of finance of the potential default. The notice
must include a final figure as to the amount due that thenew text begin schoolnew text end districtnew text begin or intermediate
school districtnew text end 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 finance shall issue a warrant 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 Finance must jointly develop detailed
procedures for new text begin school new text end districts new text begin and intermediate school districts new text end to notify the state that
they have obligated themselves to be bound by the provisions of this section, procedures
fornew text begin schoolnew text end districtsnew text begin or intermediate school districtsnew text end 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.

If, at the
request of a new text begin school new text end districtnew text begin or intermediate school districtnew text end , the state has paid part or all of
the principal or interest due on a district's debt obligation on a specific date, thenew text begin schoolnew text end
district new text begin or the intermediate school district new text end is bound by all provisions of this section and the
amount paid shall bear taxable interest from the date paid until the date of repayment at
the invested cash rate as it is certified by the commissioner of finance. Interest shall only
accrue on the amounts paid and outstanding less the reduction in aid under subdivision 4
and other payments received from thenew text begin schoolnew text end districtnew text begin or intermediate school districtnew text end .

If, at the request of a new text begin school
new text end districtnew text begin or intermediate school districtnew text end , the state has paid part or all of the principal or
interest due on a district's debt obligation on a specific date, the pledge of the full faith
and credit and unlimited taxing powers of thenew text begin schoolnew text end district new text begin or the intermediate school
district new text end to repay the principal and interest due on those debt obligations shall also, without
an election or the requirement of a further authorization, become a pledge of the full faith
and credit and unlimited taxing powers of thenew text begin schoolnew text end district new text begin or the intermediate school
district new text end to repay to the state the amount paid, with interest. Amounts paid by the state must
be repaid in the order in which the state payments were made.

new text begin (a) Except as provided in this subdivision,
the state must reduce the state aid payable to the school district or intermediate school
district under this chapter and chapters 122A, 123A, 123B, 124D, 125A, 126C, and 273
by the amount paid by the state under this section on behalf of the district, plus the interest
due on it, and the amount reduced must revert from the appropriate account to the state
general fund. Payments from the school district endowment fund or any federal aid
payments shall not be reduced.
new text end

new text begin (b) For an intermediate school district, the state aid payable to the intermediate
school district must first be reduced, before any reduction is made to the state aids payable
to the member districts. If the state aid payable to the intermediate school district is
not sufficient to repay the state, state aid payable to member districts may be reduced
proportionately based on the ratio of each member district's adjusted net tax capacity to
the total adjusted net tax capacity of all member districts.
new text end

new text begin (c) If, after review of the financial situation of the school district or intermediate
school district, the commissioner advises the commissioner of finance that a total reduction
of aids would cause an undue hardship on or an undue disruption of the educational
program of the district, the commissioner, with the approval of the commissioner of
finance, may establish a different schedule for reduction of aids to repay the state. The
amount of aids to be reduced is decreased by any amounts repaid to the state by the district
from other revenue sources.
new text end

(a) With the approval of the commissioner, a
district may levy in the year the state makes a payment under this section an amount up to
the amount necessary to provide funds for the repayment of the amount paid by the state
plus interest through the date of estimated repayment by the district. The proceeds of this
levy may be used only for this purpose unless they are in excess of the amount actually
due, in which case the excess shall be used to repay other state payments made under this
section or shall be deposited in the debt redemption fund of the school district. This levy
shall be an increase in the levy limits of the district for purposes of section 275.065,
subdivision 6. The amount of aids to be reduced to repay the state shall be decreased by
the amount levied. This levy by the district is not eligible for debt service equalization
under section 123B.53.

(b) If the state is not repaid in full for a payment made under this section by
November 30 of the calendar year following the year in which the state makes the
payment, the commissioner shall require the district to certify a property tax levy in an
amount up to the amount necessary to provide funds for repayment of the amount paid by
the state plus interest through the date of estimated repayment by the school district. To
prevent undue hardship, the commissioner may allow the district to certify the levy over a
five-year period. The proceeds of the levy may be used only for this purpose unless they
are in excess of the amount actually due, in which case the excess shall be used to repay
other state payments made under this section or shall be deposited in the debt redemption
fund of the district. This levy shall be an increase in the levy limits of the school district
for purposes of section 275.065, subdivision 6. If the commissioner orders the district
to levy, the amount of aids reduced to repay the state shall be decreased by the amount
levied. This levy by the district is not eligible for debt service equalization under section
123B.53 or any successor provision. A levy under this subdivision must be explained as a
specific increase at the meeting required under section 275.065, subdivision 6.

new text begin (c) For an intermediate school district, a levy made by a member school district
under paragraph (a) or (b) to repay its pro rata share must be spread by the commissioner
as a tax rate based on the total adjusted net tax capacity of the member school districts. The
proceeds of the levy must be remitted by the member school district to the intermediate
school district and must be used by the intermediate school district only to repay the state
amounts owed. Any amount in excess of the amount owed to the state must be repaid
to the member school districts and the commissioner shall adjust each member school
district's property tax levy in the next year.
new text end

A new text begin school new text end district new text begin or intermediate
school district new text end may covenant and obligate itself, prior to the issuance of an issue of debt
obligations, to notify the commissioner of a potential default and to use the provisions of
this section to guarantee payment of the principal and interest on those debt obligations
when due. If thenew text begin schoolnew text end districtnew text begin or intermediate school districtnew text end obligates itself to be bound
by this section, it must covenant in the resolution that authorizes the issuance of the debt
obligations to deposit with the paying agent three business days prior to the date on which
a payment is due an amount sufficient to make that payment or to notify the commissioner
under subdivision 1 that it will be unable to make all or a portion of that payment. Anew text begin schoolnew text end
districtnew text begin or intermediate school districtnew text end that has obligated itself must include a provision in
its agreement with the paying agent for that issue that requires the paying agent to inform
the commissioner if it becomes aware of a potential default in the payment of principal or
interest on that issue or if, on the day two business days prior to the date a payment is due
on that issue, there are insufficient funds to make the payment on deposit with the paying
agent. Funds invested in a refunding escrow account established under section 475.67 that
are to become available to the paying agent on a principal or interest payment date are
deemed to be on deposit with the paying agent three business days before the payment
date. If anew text begin schoolnew text end districtnew text begin or intermediate school districtnew text end either covenants to be bound by
this section or accepts state payments under this section to prevent a default of a particular
issue of debt obligations, the provisions of this section shall be binding as to that issue
as long as any debt obligation of that issue remain outstanding. If the provisions of this
section are or become binding for more than one issue of debt obligations and anew text begin schoolnew text end
districtnew text begin or intermediate school districtnew text end is unable to make payments on one or more of those
issues, the district must continue to make payments on the remaining issues.

If the state makes payments
on behalf of a new text begin school new text end district new text begin or intermediate school district new text end under this section or the
district defaults in the payment of principal or interest on an outstanding debt obligation, it
must submit a plan to the commissioner for approval specifying the measures it intends
to implement to resolve the issues which led to its inability to make the payment and
to prevent further defaults. The department must provide technical assistance to thenew text begin
schoolnew text end districtnew text begin or intermediate school districtnew text end in preparing its plan. If the commissioner
determines that a district's plan is not adequate, the commissioner shall notify thenew text begin schoolnew text end
districtnew text begin or intermediate school districtnew text end that the plan has been disapproved, the reasons for
the disapproval, and that the state shall not make future payments under this section for
debt obligations issued after the date specified in that notice until its plan is approved.
The commissioner may also notify thenew text begin schoolnew text end districtnew text begin or intermediate school districtnew text end that
until its plan is approved, other aids due the district will be withheld after a date specified
in the notice.

If the commissioner of finance determines that the
credit rating of the state would be adversely affected thereby, the commissioner of finance
shall not issue warrants 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.

The commissioner of finance
may enter into written agreements or contracts relating to the continuing disclosure of
information needed to facilitate the ability of school districtsnew text begin or intermediate school
districtsnew text end to issue debt obligations according to federal securities laws, rules, and
regulations, including securities and exchange commission rules and regulations, section
240.15c2-12. Such agreements or contracts may be in any form the commissioner of
finance deems reasonable and in the state's best interests.

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

new text begin A school that receives school endowment fund revenue under section 127A.33
in excess of $36 per pupil in average daily membership may use that revenue only for
the following purposes:
new text end

new text begin (1) to purchase or lease computers and related materials, copying machines,
telecommunications equipment, and other noninstructional equipment;
new text end

new text begin (2) to purchase or lease assistive technology or equipment for instructional programs;
new text end

new text begin (3) to purchase new and replacement library media resources or technology;
new text end

new text begin (4) to pay for ongoing or recurring telecommunications/Internet access costs
associated with Internet access, data lines, and video links; and
new text end

new text begin (5) to pay for service provider installation fees for installation of new
telecommunications lines or increased bandwidth.
new text end

new text begin This section is effective for revenue for fiscal year 2010.
new text end

Minnesota Statutes 2006, section 127A.45, subdivision 16, is amended to read:

Notwithstanding subdivision 3, the current
year aid payment percentage of the amounts under section 123A.26, subdivision 3new text begin and
section 124D.041new text end , shall be paid in equal installments on August 30, December 30, and
March 30, with a final adjustment payment on October 30 of the next fiscal year of the
remaining amount.

Laws 2007, chapter 146, article 2, section 46, subdivision 13, is amended to
read:

For preadvanced placement,
advanced placement, international baccalaureate, and concurrent enrollment programs
under Minnesota Statutes, sections 120B.132 and 124D.091:

	$	6,500,000	.....	2008
	$	6,500,000	.....	2009

Of this amount, $2,500,000 each year is for concurrent enrollment program aid
under Minnesota Statutes, section 124D.091. If the appropriation is insufficient, the
commissioner must proportionately reduce the aid payment to each district. new text begin Any balance
in the first year does not cancel but is available in the second year.
new text end

The base appropriation for fiscal year 2010 and later is $2,000,000.

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

Laws 2007, chapter 146, article 3, section 23, subdivision 2, is amended to
read:

new text begin (a)new text end The task force must submit to the education policy and finance
committees of the legislature by February 15, deleted text begin 2008deleted text end new text begin 2009new text end , a report that identifies and
clearly and concisely explains each provision in state law or rule that exceeds deleted text begin or expands
upondeleted text end a minimum federal requirement contained in law or regulation for providing special
education programs and services to eligible students. The report also must recommend
which state deleted text begin provisionsdeleted text end new text begin statutes and rulesnew text end that exceed deleted text begin or expand upondeleted text end a minimum federal
requirement may be amended to conform with minimum federal requirementsnew text begin or made
more effective as determined by a majority of the task force membersnew text end . new text begin The task force must
recommend rules governing the use of aversive and deprivation procedures by school
district employees or persons under contract with a school district.new text end The task force expires
when it submits its report to the legislature.

new text begin (b) Consistent with subdivision 1, the Department of Education member of the
task force representing regulators shall be replaced with a parent advocate selected by a
statewide organization that advocates on behalf of families with children with disabilities.
new text end

new text begin (c) The Department of Education must provide technical assistance at the request of
the task force.
new text end

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

Laws 2007, chapter 146, article 3, section 24, subdivision 9, is amended to
read:

For the task force to compare federal
and state special education requirements:

20,000 40,000

.....

2008

new text begin Any balance in the first year does not cancel but is available in the second year.
new text end

This is a onetime appropriation.

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

Laws 2007, chapter 146, article 5, section 13, subdivision 5, is amended to
read:

For fund balance replacement aid for Independent School District No. 2899,
Plainview-Elgin-Millville:

17,000 24,000

.....

2008

This is a onetime appropriation.

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

Laws 2007, chapter 146, article 7, section 4, is amended to read:

Unless otherwise indicated, the sums
indicated in this section are appropriated from the general fund to the Department of
Education for the fiscal years designated.

(a) For the Department of Education:

	$	22,169,000	.....	2008
	$	deleted text begin 22,653,000 deleted text end new text begin 21,791,000 new text end	.....	2009

Any balance in the first year does not cancel but is available in the second year.

(b) $7,000 in fiscal year 2008 is for GRAD test rulemaking.

(d) $40,000 each year is for an early hearing loss intervention coordinator under
Minnesota Statutes, section 125A.63, subdivision 5. If the department expends federal
funds to employ a hearing loss coordinator under Minnesota Statutes, section 125.63,
subdivision 5, then the appropriation under this paragraph is reallocated for purposes of
employing a world languages coordinator.

(e) $260,000 each year is for the Minnesota Children's Museum.

(f) $41,000 each year is for the Minnesota Academy of Science.

(g) $619,000 in fiscal year 2008 and $632,000 in fiscal year 2009 are for the Board
of Teaching.

(h) $163,000 in fiscal year 2008 and $171,000 in fiscal year 2009 are for the Board
of School Administrators.

(i) $50,000 each year is for the Duluth Children's Museum.

(j) The expenditures of federal grants and aids as shown in the biennial budget
document and its supplements are approved and appropriated and shall be spent as
indicated.

(k) None of the amounts appropriated under this subdivision may be used for
Minnesota's Washington, D.C., office.

new text begin (1) $30,000 in fiscal year 2009 is for determining how the educational achievement
of low-income students and students of color is impacted by education issues related
to rigorous preparation and coursework, educators' professional development, English
language learners, special education, GRAD tests, and the use of valid and reliable data on
student preparation for postsecondary academic and career opportunities under sections 57
and 58. This amount is not added to the base appropriation for fiscal year 2010 and later.
new text end

Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision
1, is amended to read:

deleted text begin 584,000 deleted text end new text begin 268,000
new text end

The appropriations in this section are from
the general fund. The amounts that may be
spent for each purpose are specified in the
following subdivisions.

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

Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision
2, is amended to read:

(a)

89,000

The commissioner of education shall pay to
the school district flood enrollment impact
aid equal to $5,394 times the number of
pupils lost as a result of the floods of August
2007. The district must provide to the
commissioner of education documentation
of the number of pupils in average daily
membership lost as a result of the flood.

(b)

250,000 120,000

For facilities cleanup, repair, and replacement
costs related to the floods of August 2007 not
covered by the district's insurance settlement
or through Federal Emergency Management
Agency payments. The commissioner of
education may request the school district
to provide necessary information before
awarding a grant.

(c)

40,000

For increased costs associated with
transporting students as a result of the floods
of August 2007.

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

Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision
6, is amended to read:

90,00014,000

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

new text begin Notwithstanding any law to the contrary,
on June 30, 2008, a school district may transfer money from its reserved for operating
capital account to its undesignated balance in the general fund. The amount transferred
by any school district must not exceed $51 times the district's adjusted marginal cost
pupil units for fiscal year 2007. This transfer may occur only after the school board has
adopted a written resolution stating the amount of the transfer and declaring that the
school district's operating capital needs are being met.
new text end

new text begin Notwithstanding Minnesota Statutes, section 123B.79 or 123B.80, or subdivision
1, on June 30, 2008, Independent School District No. 411, Balaton, may transfer up to
$70,000 from its reserved for operating capital account to its undesignated general fund
balance.
new text end

new text begin Notwithstanding Minnesota Statutes, section 123B.79 or 123B.80, or subdivision
1, on June 30, 2008, Independent School District No. 2580, East Central, may transfer up
to $300,000 from its reserved for operating capital account to its undesignated general
fund balance.
new text end

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

new text begin A school district's general education revenue under Minnesota Statutes, section
126C.10, is increased for fiscal year 2009 only by an amount equal to $51 times the
district's adjusted marginal cost pupil units for that year.
new text end

new text begin A school district that has not applied for alternative teacher compensation aid under
Minnesota Statutes, section 126C.10, subdivision 34, by March 20, 2008, is not eligible
for aid under that subdivision for fiscal year 2009. Nothing in this section limits a district's
eligibility for alternative teacher compensation aid in subsequent fiscal years.
new text end

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

new text begin (a) To implement the requirements of Minnesota Statutes, section 120B.35,
subdivision 3, paragraph (b), and to help parents and members of the public compare the
reported data, the commissioner must convene a group of expert school district assessment
and evaluation staff, including a recognized Minnesota assessment group composed
of assessment and evaluation directors and staff and researchers under Minnesota
Statutes, section 120B.299, subdivision 6, and interested stakeholders, including school
superintendents, school principals, school teachers, and parents to examine the actual
statewide performance of students using Minnesota's growth-based value-added system
and establish criteria for identifying schools and school districts that demonstrate
accelerated growth in order to advance educators' professional development and replicate
programs that succeed in meeting students' diverse learning needs.
new text end

new text begin (b) The commissioner must submit a written report to the education committees of
the house of representatives and senate by February 15, 2009, describing the criteria for
identifying schools and school districts that demonstrate accelerated growth. The group
convened under this section expires on June 30, 2009.
new text end

new text begin This section is effective the day following final enactment
and applies to school report cards in the 2008-2009 school year and later.
new text end

new text begin (a) To implement the requirements of Minnesota Statutes, section 120B.35,
subdivision 3, paragraph(d), clauses (1) and (2), and to help parents and members of the
public compare the reported data, the commissioner of education must convene a group of
recognized and qualified experts and interested stakeholders, including parents among
other stakeholders, to develop a model projecting anticipated performance of each high
school on preparation and rigorous coursework measures that compares the school with
similar schools. The model must use information about entering high school students
based on particular background characteristics that are predictive of differing rates of
college readiness. These characteristics include grade 8 achievement levels, high school
student mobility, high school student attendance, and the size of each entering ninth grade
class. The group of experts and stakeholders may examine other characteristics not part
of the prediction model including the nine student categories identified under the federal
2001 No Child Left Behind Act, and two student gender categories of male and female,
respectively. The commissioner annually must use the predicted level of entering students'
performance to provide a context for interpreting graduating students' actual performance.
The group convened under this section expires June 30, 2011.
new text end

new text begin (b) Consistent with paragraph (a), the commissioner also must propose an expanded
high school student data system to report preparation and rigorous coursework measures
and facilitate additional research on college readiness. This proposed data system must
expect school districts and charter schools to report data to the state education department
on each course a high school student takes and completes. The commissioner must link
the course data file to the department's existing student reporting system. The proposed
data system must enable the commissioner to prepare detailed reports, consistent with the
requirements in Minnesota Statutes, section 120B.35, subdivision 3, paragraph (d), clauses
(1) and (2), and support the development of a state P-16 longitudinal data system.
new text end

new text begin This section is effective the day following final enactment
and applies to school report cards beginning July 1, 2011.
new text end

new text begin (a) To implement the requirements of Minnesota Statutes, section 120B.35,
subdivision 3, paragraph(e), and to help parents and members of the public compare the
reported data, the commissioner of education, in consultation with interested stakeholders,
including parents among other stakeholders, must convene a group of recognized and
qualified experts to:
new text end

new text begin (1) analyze the University of Minnesota student safety and engagement survey
instrument and other commonly recognized survey instruments to select the survey
instrument that best meets state accountability requirements;
new text end

new text begin (2) ensure that the selected survey instrument has sound psychometric properties and
is useful for intervention planning;
new text end

new text begin (3) determine at what grade levels to administer the survey instrument and ensure
that the survey instrument can be used at those grade levels; and
new text end

new text begin (4) determine through disaggregated use of survey indicators or other means how to
report "safety" in order to comply with federal law.
new text end

new text begin (b) The commissioner must submit a written report to the education committees of
the house of representatives and senate by February 15, 2009, presenting the experts'
responses to paragraph (a), clauses (1) to (4). The group convened under this section
expires June 30, 2009.
new text end

new text begin This section is effective the day following final enactment
and applies to school report cards beginning July 1, 2011.
new text end

new text begin The growth-based value-added system used by the commissioner of education to
comply with Minnesota Statutes, section 120B.35, subdivision 3, paragraph (b), must
be consistent with the growth-based value-added model contained in the document
labeled "Educational Report Card Growth Model" developed in partnership with the
Minnesota Department of Education. The document must be deposited with the
Office of the Revisor of Statutes, the Legislative Reference Library, and the State Law
Library, where the document shall be maintained until the commissioner implements the
growth-based value-added system under Minnesota Statutes, section 120B.35, subdivision
3, paragraph (b). The recognized Minnesota assessment group composed of assessment
and evaluation directors and staff and researchers under Minnesota Statutes, section
120B.299, subdivision 6, must determine whether the growth-based value-added model
the commissioner uses to comply with Minnesota Statutes, section 120B.35, subdivision
3, paragraph (b), is consistent with the deposited document and report its determination to
the education committees of the house of representatives and senate by February 15, 2009.
new text end

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

new text begin The commissioner of education may use the expedited process under Minnesota
Statutes, section 14.389, to conform Minnesota Rules, part 3525.1341, to new federal
requirements on specific learning disabilities under Public Law 108-446, sections 602(30)
and 614(b)(6), the Individuals with Disabilities Education Improvement Act of 2004,
and its implementing regulations.
new text end

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

new text begin The commissioner of education must nullify and revoke by August 1, 2009, the
consolidated state plan that the state of Minnesota submitted to the federal Department
of Education on implementing the No Child Left Behind Act of 2001, and any other
Minnesota state contract or agreement entered into under the provisions of the No Child
Left Behind Act of 2001 if: (1) the commissioners of education and finance jointly
certify that by not implementing the provisions of the No Child Left Behind Act, the
state's schools will realize a net financial benefit; and (2) the commissioner of education
implements the state assessment and accountability provisions in article 1, sections 5 to 9
and 51 to 54 of this act.
new text end

new text begin (a) A school
district experiencing disparities in academic achievement is encouraged to develop a
short and long-term plan encompassing one through four years to significantly improve
students' academic achievement that uses concrete measures to eliminate differences in
academic performance among groups of students defined by race, ethnicity, and income.
The plan must:
new text end

new text begin (1) reflect a research-based understanding of high-performing educational systems
and best educational practices;
new text end

new text begin (2) include innovative and practical strategies and programs, whether existing or
new, that supplement district initiatives to increase students' academic achievement under
state and federal educational accountability requirements; and
new text end

new text begin (3) contain valid and reliable measures of student achievement that the district uses
to demonstrate the efficacy of the district plan to the commissioner of education.
new text end

new text begin (b) A district must address the elements under section 58, paragraph (a), to the
extent those elements are implicated in the district's plan.
new text end

new text begin (c) A district must identify in its plan the strategies and programs the district has
implemented and found effective in improving students' academic achievement.
new text end

new text begin (d) The district must include with the plan the amount of expenditures necessary
to implement the plan. The district must indicate how current resources are used to
implement the plan, including, but not limited to, state-limited English proficiency aid
under Minnesota Statutes, section 124D.65; integration revenue under Minnesota Statutes,
section 124D.86; early childhood family education revenue under Minnesota Statutes,
section 124D.135; school readiness aid under Minnesota Statutes, section 124D.16; basic
skills revenue under Minnesota Statutes, section 126C.10, subdivision 4; extended time
revenue under Minnesota Statutes, section 126C.10, subdivision 2a; and alternative
compensation revenue under Minnesota Statutes, section 122A.415.
new text end

new text begin (a) A school district by October 1, 2008, must submit its plan in
electronic format to the commissioner of education, consistent with subdivision 1.
new text end

new text begin (b) The commissioner of education must analyze the commonalities and differences
of the district plans and the effective strategies and programs districts have implemented
to improve students' academic achievement, and submit the analysis and underlying data
to the advisory task force on improving students' academic achievement under section
58 by November 1, 2008, and also report the substance of the analyses to the education
policy and finance committees of the legislature by January 1, 2009.
new text end

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

new text begin (a) An advisory task force on improving students' academic achievement is
established to review the plans submitted to the commissioner of education under section
57 and recommend to the education committees of the legislature a proposal for improving
students' academic achievement and eliminating differences in academic performance
among groups of students defined by race, ethnicity, and income. The task force members
must at least consider how the following education-related issues impact the educational
achievement of low-income students and students of color:
new text end

new text begin (1) rigorous preparation and coursework and how to (i) effectively invest in early
childhood and parent education, (ii) increase academic rigor and high expectations on
elementary and secondary students in schools serving a majority of low-income students
and students of color, and (iii) provide parents, educators, and community members with
meaningful opportunities to collaborate in educating students in schools serving a majority
of low-income students and students of color;
new text end

new text begin (2) professional development for educators and how to (i) provide stronger financial
and professional incentives to attract and retain experienced, bilingual, and culturally
competent teachers and administrators in schools serving a majority of low-income
students and students of color, (ii) recruit and retain teachers of color, and (iii) develop and
include cultural sensitivity and interpersonal and pedagogical skills training that teachers
need for effective intercultural teaching;
new text end

new text begin (3) English language learners and how to (i) use well-designed tests, curricula,
and English as a second language programs and services as diagnostic tools to develop
effective student interventions, (ii) monitor students' language capabilities, (iii) provide
academic instruction in English that supports students' learning and is appropriate
for students' level of language proficiency, and (iv) incorporate the perspectives and
contributions of ethnic and racial groups, consistent with Minnesota Statutes, section
120B.022, subdivision 1, paragraph (b);
new text end

new text begin (4) special education and how to (i) incorporate linguistic and cultural sensitivity
into special education diagnosis and referral, (ii) increase the frequency and quality of
prereferral interventions, and (iii) decrease the number of minority and nonnative English
speaking students inappropriately placed in special education;
new text end

new text begin (5) GRAD tests and how to (i) incorporate linguistic and cultural sensitivity into the
reading and math GRAD tests, and (ii) develop interventions to meet students' learning
needs; and
new text end

new text begin (6) valid and reliable data and how to use data on student on-time graduation rates,
student dropout rates, documented disciplinary actions, and completed and rigorous course
work indicators to determine how well-prepared, low-income students and students of
color are for postsecondary academic and career opportunities.
new text end

new text begin The task force also must examine the findings of a 2008 report by Minnesota
superintendents on strategies for creating a world-class educational system to establish
priorities for improving students' academic achievement. The task force may consider
other related matters at its discretion.
new text end

new text begin (b) The commissioner of education must convene the first meeting of the advisory
task force on improving students' academic achievement by July 1, 2008. The task force
members must adopt internal procedures and standards for subsequent meetings. The task
force is composed of the following members:
new text end

new text begin (1) a representative from a Twin Cities metropolitan area school district, a suburban
school district, a school district located in a regional center, and a rural school district, all
four representatives appointed by the state demographer based on identified concentrations
of low-performing, low-income students and students of color;
new text end

new text begin (2) a faculty member of a teacher preparation program at the University of
Minnesota's College of Education and Human Development, appointed by the college
dean or the dean's designee;
new text end

new text begin (3) a faculty member from the urban teachers program at Metropolitan State
University appointed by the university president or the president's designee;
new text end

new text begin (4) a faculty member from a Minnesota State Colleges and Universities teacher
preparation program located outside the Twin Cities metropolitan area, appointed by
the chancellor or the chancellor's designee;
new text end

new text begin (5) a classroom teacher appointed by Education Minnesota;
new text end

new text begin (6) an expert in early childhood care and education appointed by a state early
childhood organization;
new text end

new text begin (7) a member from each state council representing a community of color, appointed
by the respective council;
new text end

new text begin (8) a curriculum specialist with expertise in providing language instruction for
nonnative English speakers, appointed by a state curriculum organization;
new text end

new text begin (9) a special education teacher, appointed by a state organization of special education
educators;
new text end

new text begin (10) a parent of color, appointed by a state parent-teacher organization;
new text end

new text begin (11) a district testing director appointed by a recognized Minnesota assessment
group composed of assessment and evaluation directors and staff and researchers; and
new text end

new text begin (12) a Department of Education staff person with expertise in school desegregation
matters appointed by the commissioner of education or the commissioner's designee.
new text end

new text begin A majority of task force members, at their discretion, may invite other representatives
of interested public or nonpublic organizations, Minnesota's communities of color, and
stakeholders in local and state educational equity to become task force members. A
majority of task force members must be persons of color.
new text end

new text begin (c) Members of the task force serve without compensation. By February 15,
2009, the task force must submit a written proposal to the education policy and finance
committees of the legislature on how to significantly improve students' academic
achievement.
new text end

new text begin (d) The advisory task force expires on February 16, 2009.
new text end

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

new text begin The sums indicated in this section are
appropriated from the general fund, unless otherwise indicated, to the Department of
Education for the fiscal years designated.
new text end

new text begin For additional general education
aid according to section 49:
new text end

new text begin (b) new text end new text begin Laws 2006, chapter 263, article 3, section 16; and Laws 2007, First Special
Session chapter 2, article 1, section 11, subdivisions 3, and 4, new text end new text begin are repealed.
new text end

Laws 2007, chapter 146, article 1, section 24, subdivision 2, is amended to
read:

For general education aid under Minnesota
Statutes, section 126C.13, subdivision 4:

	$	deleted text begin 5,618,342,000 deleted text end new text begin 5,600,647,000 new text end	.....	2008
	$	deleted text begin 5,618,342,000 deleted text end new text begin 5,649,098,000 new text end	.....	2009

The 2008 appropriation includes deleted text begin $531,733,000deleted text end new text begin $536,251,000new text end for 2007 and
deleted text begin $5,073,250,000deleted text end new text begin $5,064,396,000new text end for 2008.

The 2009 appropriation includes deleted text begin $546,314,000deleted text end new text begin $543,752,000new text end for 2008 and
deleted text begin $5,072,028,000deleted text end new text begin $5,105,346,000 new text end for 2009.

Laws 2007, chapter 146, article 1, section 24, subdivision 3, is amended to read:

For referendum tax base
replacement aid under Minnesota Statutes, section 126C.17, subdivision 7a:

870,000 861,000

.....

2008

The 2008 appropriation includes deleted text begin $870,000deleted text end new text begin $861,000new text end for 2007 and $0 for 2008.

Laws 2007, chapter 146, article 1, section 24, subdivision 4, is amended to read:

For transportation of pupils attending
postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

	$	deleted text begin 95,000 deleted text end new text begin 48,000 new text end	.....	2008
	$	deleted text begin 97,000 deleted text end new text begin 50,000 new text end	.....	2009

Laws 2007, chapter 146, article 1, section 24, subdivision 5, is amended to read:

For abatement aid under Minnesota Statutes, section
127A.49:

	$	deleted text begin 1,343,000 deleted text end new text begin 1,333,000 new text end	.....	2008
	$	deleted text begin 1,347,000 deleted text end new text begin 1,629,000 new text end	.....	2009

The 2008 appropriation includes $76,000 for 2007 and deleted text begin $1,267,000deleted text end new text begin $1,257,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $140,000deleted text end new text begin $139,000new text end for 2008 and deleted text begin $1,207,000deleted text end new text begin
$1,490,000new text end for 2009.

Laws 2007, chapter 146, article 1, section 24, subdivision 6, is amended to read:

For districts consolidating under Minnesota
Statutes, section 123A.485:

	$	deleted text begin 565,000 deleted text end new text begin 240,000 new text end	.....	2008
	$	deleted text begin 212,000 deleted text end new text begin 339,000 new text end	.....	2009

The 2008 appropriation includes $43,000 for 2007 and deleted text begin $522,000deleted text end new text begin $197,000new text end for 2008.

The 2009 appropriation includes deleted text begin $57,000deleted text end new text begin $21,000new text end for 2008 and deleted text begin $155,000deleted text end new text begin $318,000new text end
for 2009.

Laws 2007, chapter 146, article 1, section 24, subdivision 7, is amended to read:

For nonpublic pupil education aid under
Minnesota Statutes, sections 123B.40 to 123B.43, and 123B.87:

	$	deleted text begin 16,290,000 deleted text end new text begin 15,601,000 new text end	.....	2008
	$	deleted text begin 16,620,000 deleted text end new text begin 16,608,000 new text end	.....	2009

The 2008 appropriation includes deleted text begin $1,606,000deleted text end new text begin $1,214,000new text end for 2007 and deleted text begin $14,684,000deleted text end new text begin
$14,387,000new text end for 2008.

The 2009 appropriation includes deleted text begin $1,631,000deleted text end new text begin $1,598,000new text end for 2008 and deleted text begin $14,989,000deleted text end new text begin
$15,010,000new text end for 2009.

Laws 2007, chapter 146, article 1, section 24, subdivision 8, is amended to read:

For nonpublic pupil transportation aid
under Minnesota Statutes, section 123B.92, subdivision 9:

	$	deleted text begin 21,551,000 deleted text end new text begin 20,755,000 new text end	.....	2008
	$	deleted text begin 21,392,000 deleted text end new text begin 21,007,000 new text end	.....	2009

The 2008 appropriation includes $2,124,000 for 2007 and deleted text begin $19,427,000deleted text end new text begin $18,631,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $2,158,000deleted text end new text begin $2,070,000new text end for 2008 and deleted text begin $19,234,000deleted text end new text begin
$18,937,000new text end for 2009.

Laws 2007, chapter 146, article 2, section 46, subdivision 2, is amended to read:

For building lease aid under Minnesota
Statutes, section 124D.11, subdivision 4:

	$	deleted text begin 31,875,000 deleted text end new text begin 32,817,000 new text end	.....	2008
	$	deleted text begin 36,193,000 deleted text end new text begin 37,527,000 new text end	.....	2009

The 2008 appropriation includes $2,814,000 for 2007 and deleted text begin $29,061,000deleted text end new text begin $30,003,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $3,229,000deleted text end new text begin $3,333,000new text end for 2008 and deleted text begin $32,964,000deleted text end new text begin
$34,194,000new text end for 2009.

Laws 2007, chapter 146, article 2, section 46, subdivision 3, is amended to read:

For charter school startup cost aid
under Minnesota Statutes, section 124D.11:

	$	deleted text begin 1,896,000 deleted text end new text begin 1,801,000 new text end	.....	2008
	$	deleted text begin 2,161,000 deleted text end new text begin 1,987,000 new text end	.....	2009

The 2008 appropriation includes deleted text begin $241,000deleted text end new text begin $239,000 new text end for 2007 and deleted text begin $1,655,000deleted text end new text begin
$1,562,000new text end for 2008.

The 2009 appropriation includes deleted text begin $183,000deleted text end new text begin $173,000new text end for 2008 and deleted text begin $1,978,000deleted text end new text begin
$1,814,000new text end for 2009.

Laws 2007, chapter 146, article 2, section 46, subdivision 4, is amended to
read:

For integration aid under Minnesota Statutes, section
124D.86, subdivision 5:

	$	deleted text begin 61,769,000 deleted text end new text begin 59,036,000 new text end	.....	2008
	$	deleted text begin 61,000,000 deleted text end new text begin 62,448,000 new text end	.....	2009

The 2008 appropriation includes $5,824,000 for 2007 and deleted text begin $55,945,000deleted text end new text begin $53,212,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $6,216,000deleted text end new text begin $5,912,000new text end for 2008 and deleted text begin $54,784,000deleted text end new text begin
$56,536,000new text end for 2009.

Laws 2007, chapter 146, article 2, section 46, subdivision 6, is amended to
read:

For
interdistrict desegregation or integration transportation grants under Minnesota Statutes,
section 124D.87:

	$	deleted text begin 9,639,000 deleted text end new text begin 9,901,000 new text end	.....	2008
	$	deleted text begin 11,567,000 deleted text end new text begin 11,881,000 new text end	.....	2009

Laws 2007, chapter 146, article 2, section 46, subdivision 9, is amended to
read:

For tribal contract school aid under Minnesota
Statutes, section 124D.83:

	$	deleted text begin 2,238,000 deleted text end new text begin 2,207,000 new text end	.....	2008
	$	deleted text begin 2,422,000 deleted text end new text begin 2,392,000 new text end	.....	2009

The 2008 appropriation includes $204,000 for 2007 and deleted text begin $2,034,000deleted text end new text begin $2,003,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $226,000deleted text end new text begin $222,000new text end for 2008 and deleted text begin $2,196,000deleted text end new text begin
$2,170,000new text end for 2009.

Laws 2007, chapter 146, article 3, section 24, subdivision 3, is amended to
read:

For aid under Minnesota Statutes,
section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
within the district boundaries for whom no district of residence can be determined:

	$	deleted text begin 1,538,000 deleted text end new text begin 2,086,000 new text end	.....	2008
	$	deleted text begin 1,729,000 deleted text end new text begin 2,282,000 new text end	.....	2009

If the appropriation for either year is insufficient, the appropriation for the other
year is available.

Laws 2007, chapter 146, article 3, section 24, subdivision 4, is amended to
read:

For aid for teacher travel for home-based
services under Minnesota Statutes, section 125A.75, subdivision 1:

	$	deleted text begin 254,000 deleted text end new text begin 207,000 new text end	.....	2008
	$	deleted text begin 284,000 deleted text end new text begin 227,000 new text end	.....	2009

The 2008 appropriation includes $22,000 for 2007 and deleted text begin $232,000deleted text end new text begin $185,000new text end for 2008.

The 2009 appropriation includes deleted text begin $25,000deleted text end new text begin $20,000new text end for 2008 and deleted text begin $259,000deleted text end new text begin $207,000new text end
for 2009.

Laws 2007, chapter 146, article 4, section 16, subdivision 2, is amended to
read:

For health and safety aid according to
Minnesota Statutes, section 123B.57, subdivision 5:

	$	deleted text begin 190,000 deleted text end new text begin 254,000 new text end	.....	2008
	$	deleted text begin 179,000 deleted text end new text begin 103,000 new text end	.....	2009

The 2008 appropriation includes $20,000 for 2007 and deleted text begin $170,000deleted text end new text begin $234,000new text end for 2008.

The 2009 appropriation includes deleted text begin $18,000deleted text end new text begin $26,000new text end for 2008 and deleted text begin $161,000deleted text end new text begin $77,000new text end
for 2009.

Laws 2007, chapter 146, article 4, section 16, subdivision 3, is amended to
read:

For debt service aid according to Minnesota
Statutes, section 123B.53, subdivision 6:

	$	deleted text begin 14,813,000 deleted text end new text begin 14,814,000 new text end	.....	2008
	$	deleted text begin 11,124,000 deleted text end new text begin 9,109,000 new text end	.....	2009

The 2008 appropriation includes deleted text begin $1,767,000deleted text end new text begin $1,766,000new text end for 2007 and deleted text begin $13,046,000deleted text end new text begin
$13,048,000new text end for 2008.

The 2009 appropriation includes deleted text begin $1,450,000deleted text end new text begin $1,449,000new text end for 2008 and deleted text begin $9,674,000deleted text end new text begin
$7,660,000new text end for 2009.

Laws 2007, chapter 146, article 4, section 16, subdivision 6, is amended to
read:

For deferred maintenance aid, according to
Minnesota Statutes, section 123B.591, subdivision 4:

	$	deleted text begin 3,290,000 deleted text end new text begin 3,232,000 new text end	.....	2008
	$	deleted text begin 2,667,000 deleted text end new text begin 2,627,000 new text end	.....	2009

The 2008 appropriation includes $0 for 2007 and deleted text begin $3,290,000deleted text end new text begin $3,232,000new text end for 2008.

The 2009 appropriation includes deleted text begin $365,000deleted text end new text begin $359,000new text end for 2008 and deleted text begin $2,302,000deleted text end new text begin
$2,268,000new text end for 2009.

Laws 2007, chapter 146, article 4, section 16, subdivision 8, is amended to
read:

For school
technology and operating capital grants under section 11:

	$	deleted text begin 38,145,000 deleted text end new text begin 38,236,000 new text end	.....	2008
	$	deleted text begin 52,676,000 deleted text end new text begin 52,454,000 new text end	.....	2009

This is a onetime appropriation.

Laws 2007, chapter 146, article 5, section 13, subdivision 2, is amended to
read:

For school lunch aid according to Minnesota Statutes,
section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

	$	deleted text begin 12,022,000 deleted text end new text begin 12,094,000 new text end	.....	2008
	$	deleted text begin 12,166,000 deleted text end new text begin 12,394,000 new text end	.....	2009

Laws 2007, chapter 146, article 5, section 13, subdivision 3, is amended to
read:

For traditional school
breakfast aid and kindergarten milk under Minnesota Statutes, sections 124D.1158 and
124D.118:

	$	deleted text begin 5,460,000 deleted text end new text begin 5,583,000 new text end	.....	2008
	$	deleted text begin 5,695,000 deleted text end new text begin 5,994,000 new text end	.....	2009

Laws 2007, chapter 146, article 5, section 13, subdivision 4, is amended to
read:

For summer food service
replacement aid under Minnesota Statutes, section 124D.119:

	$	deleted text begin 150,000 deleted text end new text begin 127,000 new text end	.....	2008
	$	150,000	.....	2009

Laws 2007, chapter 146, article 9, section 17, subdivision 2, is amended to
read:

For early childhood family
education aid under Minnesota Statutes, section 124D.135:

	$	deleted text begin 21,106,000 deleted text end new text begin 21,092,000 new text end	.....	2008
	$	deleted text begin 29,601,000 deleted text end new text begin 29,324,000 new text end	.....	2009

The 2008 appropriation includes $1,796,000 for 2007 and deleted text begin $19,310,000deleted text end new text begin $19,296,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $2,145,000deleted text end new text begin $2,144,000new text end for 2008 and deleted text begin $27,456,000deleted text end new text begin
$27,180,000new text end for 2009.

Laws 2007, chapter 146, article 9, section 17, subdivision 3, is amended to
read:

For revenue for school readiness programs under
Minnesota Statutes, sections 124D.15 and 124D.16:

	$	deleted text begin 9,995,000 deleted text end new text begin 9,987,000 new text end	.....	2008
	$	10,095,000	.....	2009

The 2008 appropriation includes deleted text begin $909,000deleted text end new text begin $901,000new text end for 2007 and $9,086,000 for
2008.

The 2009 appropriation includes $1,009,000 for 2008 and $9,086,000 for 2009.

Laws 2007, chapter 146, article 9, section 17, subdivision 4, is amended to
read:

For health and developmental
screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:

	$	deleted text begin 3,159,000 deleted text end new text begin 2,624,000 new text end	.....	2008
	$	deleted text begin 3,330,000 deleted text end new text begin 2,656,000 new text end	.....	2009

The 2008 appropriation includes $288,000 for 2007 and deleted text begin $2,871,000deleted text end new text begin $2,336,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $319,000deleted text end new text begin $259,000new text end for 2008 and deleted text begin $3,011,000deleted text end new text begin
$2,397,000new text end for 2009.

Laws 2007, chapter 146, article 9, section 17, subdivision 8, is amended to
read:

For community education aid under
Minnesota Statutes, section 124D.20:

	$	deleted text begin 1,307,000 deleted text end new text begin 1,299,000 new text end	.....	2008
	$	deleted text begin 816,000 deleted text end new text begin 796,000 new text end	.....	2009

The 2008 appropriation includes $195,000 for 2007 and deleted text begin $1,112,000deleted text end new text begin $1,104,000new text end
for 2008.

The 2009 appropriation includes deleted text begin $123,000deleted text end new text begin $122,000new text end for 2008 and deleted text begin $693,000deleted text end new text begin
$674,000new text end for 2009.

Laws 2007, chapter 146, article 9, section 17, subdivision 9, is amended to
read:

For adults with disabilities
programs under Minnesota Statutes, section 124D.56:

	$	deleted text begin 710,000 deleted text end new text begin 709,000 new text end	.....	2008
	$	710,000	.....	2009

The 2008 appropriation includes deleted text begin $71,000deleted text end new text begin $70,000new text end for 2007 and $639,000 for 2008.

The 2009 appropriation includes $71,000 for 2008 and $639,000 for 2009.

School districts operating existing adults with disabilities programs that are not fully
funded shall receive full funding for the program beginning in fiscal year 2008 before the
commissioner awards grants to other districts.

Laws 2007, chapter 146, article 9, section 17, subdivision 13, is amended to
read:

For adult basic education aid under
Minnesota Statutes, section 124D.531:

	$	deleted text begin 40,347,000 deleted text end new text begin 40,344,000 new text end	.....	2008
	$	deleted text begin 41,745,000 deleted text end new text begin 41,712,000 new text end	.....	2009

The 2008 appropriation includes $3,759,000 for 2007 and deleted text begin $36,588,000deleted text end new text begin $36,585,000new text end
for 2008.

The 2009 appropriation includes $4,065,000 for 2008 and deleted text begin $37,680,000deleted text end new text begin $37,647,000new text end
for 2009.

new text begin Two members of the house of representatives, one
appointed by the speaker and one appointed by the minority leader; and two members of
the senate, one appointed by the majority leader and one by the minority leader; and two
parents with a child under age six, shall be added to the membership of the State Advisory
Council on Early Education and Care required under the federal Improving Head Start for
School Readiness Act of 2007.
new text end

new text begin The following duties are added to those assigned
to the Council under federal law:
new text end

new text begin (1) make recommendations on the most efficient and effective way to leverage state
and federal funding streams for early childhood and child care programs;
new text end

new text begin (2) make recommendations on how to coordinate or colocate early childhood and
child care programs in one state Office of Early Learning; and
new text end

new text begin (3) make recommendations to the governor and legislature, including proposed
legislation on how to most effectively create a high quality early childhood system in
Minnesota in order to improve the educational outcomes of children so that all children
are school-ready by 2020.
new text end

new text begin An amount up to $12,500 of federal child care and
development fund administrative funds and up to $12,500 of prekindergarten exploratory
project funds appropriated under Laws 2007, chapter 147, article 19, section 3, may be
used to reimburse the parents on the Council and for the administration of the State
Advisory Council on Early Childhood Education and Care. This funding stream is for
fiscal year 2009. The Council may pursue additional operational funds from state, federal,
and private sources.
new text end

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 144, article 1, 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 "2008" and "2009" used in this article mean that the addition
to or subtraction from the appropriation listed under them is available for the fiscal year
ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and
reductions to appropriations for the fiscal year ending June 30, 2008, are effective the
day following final enactment.
new text end

new text begin The amounts shown in this section summarize direct appropriations, by fund, made
in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin 0 new text end	new text begin $ new text end	new text begin (19,456,000) new text end	new text begin $ new text end	new text begin (19,456,000) new text end
new text begin Total new text end	new text begin $ new text end	new text begin 0 new text end	new text begin $ new text end	new text begin (19,456,000) new text end	new text begin $ new text end	new text begin (19,456,000) new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (7,111,000)
new text end

new text begin $111,000 in the second year is an operating
base reduction.
new text end

new text begin $7,000,000 in the second year is a reduction
to the Achieve scholarship program under
Minnesota Statutes, section 136A.127.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (6,173,000)
new text end

new text begin Of this reduction, $5,000,000 is from the
appropriations for technology. The remainder
is from the Office of the Chancellor budget.
new text end

new text begin The reductions in this subdivision must not
result in reductions to any of the campuses
of the Minnesota State Colleges and
Universities, must not reduce the technology
expenditures or grants to the campuses, and
must not increase any assessments to the
campuses from the Office of the Chancellor.
new text end

new text begin The Board of Trustees of the Minnesota State
Colleges and Universities must reallocate
$9,000,000 of state appropriations for fiscal
year 2009 to reduce student tuition increases
to two percent at state colleges and three
percent at state universities and must not
increase student fees beyond the amount that
is currently planned for the next academic
year.
new text end

new text begin The legislature intends that by reducing
tuition increases, the student's share of
educational costs are decreased and the
state's share of educational costs are
increased, consistent with the funding policy
in Minnesota Statutes, section 135A.01. The
legislature's goal is to begin progress over the
next eight years to achieve a two-thirds state
share of educational costs and a one-third
student share as specified in Minnesota
Statutes, section 135A.01.
new text end

new text begin The system base is reduced by $8,664,000
in fiscal year 2010 and $8,665,000 in fiscal
year 2011.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (6,172,000)
new text end

new text begin The Board of Regents must not increase
student tuition or fees beyond the amount
currently planned for the next academic year.
new text end

new text begin The system base is reduced by $8,666,000
in fiscal year 2010 and $8,665,000 in fiscal
year 2011.
new text end

Minnesota Statutes 2006, section 13.32, subdivision 3, is amended to read:

Except as provided in
subdivision 5, educational data is private data on individuals and shall not be disclosed
except as follows:

(a) pursuant to section 13.05;

(b) pursuant to a valid court order;

(d) to disclose information in health and safety emergencies pursuant to the
provisions of United States Code, title 20, section 1232g(b)(1)(I) and Code of Federal
Regulations, title 34, section 99.36;

(e) pursuant to the provisions of United States Code, title 20, sections 1232g(b)(1),
(b)(4)(A), (b)(4)(B), (b)(1)(B), (b)(3)new text begin , (b)(6), (b)(7), and (i),new text end and Code of Federal
Regulations, title 34, sections 99.31, 99.32, 99.33, 99.34, deleted text begin anddeleted text end 99.35new text begin , and 99.39new text end ;

(f) to appropriate health authorities to the extent necessary to administer
immunization programs and for bona fide epidemiologic investigations which the
commissioner of health determines are necessary to prevent disease or disability to
individuals in the public educational agency or institution in which the investigation
is being conducted;

(g) when disclosure is required for institutions that participate in a program under
title IV of the Higher Education Act, United States Code, title 20, section 1092;

(h) to the appropriate school district officials to the extent necessary under
subdivision 6, annually to indicate the extent and content of remedial instruction, including
the results of assessment testing and academic performance at a postsecondary institution
during the previous academic year by a student who graduated from a Minnesota school
district within two years before receiving the remedial instruction;

(i) to appropriate authorities as provided in United States Code, title 20, section
1232g(b)(1)(E)(ii), if the data concern the juvenile justice system and the ability of the
system to effectively serve, prior to adjudication, the student whose records are released;
provided that the authorities to whom the data are released submit a written request for
the data that certifies that the data will not be disclosed to any other person except as
authorized by law without the written consent of the parent of the student and the request
and a record of the release are maintained in the student's file;

(j) to volunteers who are determined to have a legitimate educational interest in
the data and who are conducting activities and events sponsored by or endorsed by the
educational agency or institution for students or former students;

(k) to provide student recruiting information, from educational data held by colleges
and universities, as required by and subject to Code of Federal Regulations, title 32,
section 216;

(l) to the juvenile justice system if information about the behavior of a student who
poses a risk of harm is reasonably necessary to protect the health or safety of the student
or other individuals;

(m) with respect to Social Security numbers of students in the adult basic education
system, to Minnesota State Colleges and Universities and the Department of Employment
and Economic Development for the purpose and in the manner described in section
124D.52, subdivision 7; deleted text begin or
deleted text end

(n) to the commissioner of education for purposes of an assessment or investigation
of a report of alleged maltreatment of a student as mandated by section 626.556. Upon
request by the commissioner of education, data that are relevant to a report of maltreatment
and are from charter school and school district investigations of alleged maltreatment of a
student must be disclosed to the commissioner, including, but not limited to, the following:

(1) information regarding the student alleged to have been maltreated;

(2) information regarding student and employee witnesses;

(3) information regarding the alleged perpetrator; and

(4) what corrective or protective action was taken, if any, by the school facility in
response to a report of maltreatment by an employee or agent of the school or school
districtnew text begin ;
new text end

new text begin (o) when the disclosure is of the final results of a disciplinary proceeding on a charge
of a crime of violence or nonforcible sex offense to the extent authorized under United
States Code, title 20, section 1232g(b)(6)(A) and (B) and Code of Federal Regulations,
title 34, sections 99.31(a)(13) and (14);
new text end

new text begin (p) when the disclosure is information provided to the institution under United States
Code, title 42, section 14071, concerning registered sex offenders to the extent authorized
under United States Code, title 20, section 1232g(b)(7); or
new text end

new text begin (q) when the disclosure is to a parent of a student at an institution of postsecondary
education regarding the student's violation of any federal, state, or local law or of any
rule or policy of the institution, governing the use or possession of alcohol or of a
controlled substance, to the extent authorized under United States Code, title 20, section
1232g(i), and Code of Federal Regulations, title 34, section 99.31(a)(15), and provided the
institution has an information release form signed by the student authorizing disclosure
to a parent. The institution must notify parents about the purpose and availability of the
information release forms. At a minimum, the institution must distribute the information
release forms at parent orientation meetingsnew text end .

Minnesota Statutes 2006, section 13.32, is amended by adding a subdivision to
read:

new text begin The Department of Education and the
Office of Higher Education may each share educational data with the other agency for the
purpose of analyzing and improving school district instruction, consistent with Code of
Federal Regulations, title 34, section 99.31, paragraph (a)(6). The educational data that
may be shared between the two agencies under this subdivision must be limited to:
new text end

new text begin (1) student attendance data that include the name of the school or institution, school
district, the year or term of attendance, and term type;
new text end

new text begin (2) student demographic and enrollment data;
new text end

new text begin (3) student academic performance and testing data; and
new text end

new text begin (4) any special academic services provided to a student.
new text end

new text begin Any analysis of or report on these data must contain only summary data.
new text end

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

new text begin (a) A P-20 education partnership
is established to create a seamless education system that maximizes achievements of
all students, from early childhood through elementary, secondary, and postsecondary
education, while promoting the effective and efficient use of financial and human
resources. The partnership shall consist of major statewide educational groups or
constituencies or noneducational statewide organizations with a stated interest in P-20
education. Upon enactment of this legislation, the partnership members shall be those
currently serving on the Minnesota P-16 Education Partnership plus four legislators as
follows:
new text end

new text begin (1) one senator from the majority party and one senator from the minority party,
appointed by the Subcommittee on Committees of the Committee on Rules and
Administration; and
new text end

new text begin (2) one member of the house of representatives appointed by the speaker of the
house and one member of the house of representatives appointed by the minority leader
of the house.
new text end

new text begin Prospective members may be nominated by any partnership member and new
members must be added with the approval of a two-thirds majority of the partnership
members.
new text end

new text begin The partnership must seek input from nonmember organizations having expertise to
help inform the partnership's work.
new text end

new text begin (b) Each partnership member must be represented by its formally designated leader
or the leader's designee. The partnership must meet at least three times each calendar year.
new text end

new text begin (a) The partnership must develop and submit
to the governor and the legislative committees with jurisdiction over education policy and
finance recommendations for maximizing the achievement of all P-20 students while
promoting the effective and efficient use of state resources, and maximizing the value of
the state's educational investment. Partnership recommendations must at least include a
focus on strategies, policies, and actions that:
new text end

new text begin (1) improve the quality of and access to education for all students from preschool
through graduate education;
new text end

new text begin (2) improve preparation for and transitions to postsecondary education and work; and
new text end

new text begin (3) ensure educator quality by creating rigorous standards for teacher recruitment,
teacher preparation, induction and mentoring of beginning teachers, and continuous
professional development for career teachers.
new text end

new text begin (b) Annually, by January 15, the partnership must submit a report to the governor
and the legislative committees with jurisdiction over education policy and finance
summarizing the partnership's progress in meeting its goals and recommending any
legislation needed to further partnership goals related to maximizing student achievement
and promoting effective and efficient use of resources.
new text end

new text begin The partnership expires on June 30, 2019.
new text end

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

Minnesota Statutes 2006, section 136A.101, subdivision 8, is amended to read:

"Resident student" means a student who meets one of
the following conditions:

(1) a student who has resided in Minnesota for purposes other than postsecondary
education for at least 12 months without being enrolled at a postsecondary educational
institution for more than five credits in any term;

(2) a dependent student whose parent or legal guardian resides in Minnesota at the
time the student applies;

(3) a student who graduated from a Minnesota high school, if the student was a
resident of Minnesota during the student's period of attendance at the Minnesota high
school and the student is physically attending a Minnesota postsecondary educational
institution;

(4) a student who, after residing in the state for a minimum of one year, earned a
high school equivalency certificate in Minnesota;

(5) a member, spouse, or dependent of a member of the armed forces of the United
States stationed in Minnesota on active federal military service as defined in section
190.05, subdivision 5c;

(6) new text begin a spouse or dependent of a veteran, as defined in section 197.447, if the veteran
is a Minnesota resident;
new text end

new text begin (7) new text end a person or spouse of a person who relocated to Minnesota from an area that
is declared a presidential disaster area within the preceding 12 months if the disaster
interrupted the person's postsecondary education; or

deleted text begin (7)deleted text end new text begin (8)new text end a person defined as a refugee under United States Code, title 8, section
1101(a)(42), who, upon arrival in the United States, moved to Minnesota and has
continued to reside in Minnesota.

Minnesota Statutes 2006, section 136A.121, subdivision 5, is amended to read:

The grant stipend shall be based on a sharing of
responsibility for covering the recognized cost of attendance by the applicant, the
applicant's family, and the government. The amount of a financial stipend must not
exceed a grant applicant's recognized cost of attendance, as defined in subdivision 6, after
deducting the following:

(1) the assigned student responsibility of at least deleted text begin 46deleted text end new text begin 44.5 new text end percent of the cost of
attending the institution of the applicant's choosing;

(2) the assigned family responsibility as defined in section 136A.101; and

(3) the amount of a federal Pell grant award for which the grant applicant is eligible.

The minimum financial stipend is $100 per academic year.

Minnesota Statutes 2007 Supplement, section 136A.121, subdivision 7a,
is amended to read:

If the amount appropriated is determined by the
office to be more than sufficient to fund projected grant demand in the second year of the
biennium, the office may increase the living and miscellaneous expense allowance in the
second year of the biennium by up to an amount that retains sufficient appropriations
to fund the projected grant demand. The adjustment may be made one or more times.
In making the determination that there are more than sufficient funds, the office shall
balance the need for sufficient resources to meet the projected demand for grants with the
goal of fully allocating the appropriation for state grants. An increase in the living and
miscellaneous expense allowance under this subdivision does not carry forward into a
subsequent biennium. deleted text begin This subdivision expires June 30, 2009.
deleted text end

Minnesota Statutes 2007 Supplement, section 136A.126, is amended to read:

The director of the Office of Higher Education
shall establish procedures for the distribution of scholarships to deleted text begin anydeleted text end new text begin anew text end Minnesota resident
student whonew text begin :
new text end

new text begin (1)new text end is of one-fourth or more Indian ancestrydeleted text begin , whodeleted text end new text begin ;
new text end

new text begin (2)new text end has applied for other existing state and federal scholarship and grant programsdeleted text begin ,
and who,deleted text end new text begin ;
new text end

new text begin (3) if enrolled in an undergraduate program, is eligible or would be eligible to
receive a federal Pell Grant or a state grant based on the federal needs analysis;
new text end

new text begin (4) is an undergraduate enrolled for nine semester credits per term or more, or the
equivalent, or a graduate student enrolled on a half-time basis or more according to the
postsecondary institution; and
new text end

new text begin (5)new text end in the opinion of the director of the Office of Higher Education, based upon
postsecondary institution recommendations, has the capabilities to benefit from further
education.

Scholarships must be for accredited degree programs
in accredited Minnesota colleges or universities or for courses in accredited Minnesota
business, technical, or vocational schools. Scholarships may also be given to students
attending Minnesota colleges that are in candidacy status for obtaining full accreditation,
and are eligible for and receiving federal financial aid programs. Students are also eligible
for scholarships when enrolled as students in Minnesota higher education institutions that
have joint programs with other accredited higher education institutions. deleted text begin Scholarships shall
be used to defray the total cost of education including tuition, incidental fees, books,
supplies, transportation, other related school costs and the cost of board and room and
shall be paid directly to the college or school concerned where the student receives federal
financial aid.
deleted text end

The total cost of deleted text begin education includes alldeleted text end new text begin attendance
shall include new text end tuition and new text begin required new text end fees deleted text begin for each student enrolling in a public institution
and the portion of tuition and fees for each student enrolling in a private institution that
does not exceed the tuition and fees at a comparable public institution. Each student shall
be awarded a scholarship based on a federal standardized need analysis. Applicants are
encouraged to apply for all other sources of financial aiddeleted text end new text begin charged by the institution and the
campus-based budget used for federal financial aid for food and shelter, books, supplies,
transportation, and miscellaneous expensesnew text end .

deleted text begin When an Indian student satisfactorily completes the work required by a certain
college or school in a school year the student is eligible for additional scholarships, if
additional training is necessary to reach the student's educational and vocational objective.
deleted text end

new text begin (a) Each student shall be awarded a scholarship based
on the federal need analysis. Applicants are encouraged to apply for all other sources of
financial aid. The amount of the award must not exceed the applicant's cost of attendance,
as defined in subdivision 3, after deducting:
new text end

new text begin (1) the expected family contribution as calculated by the federal need analysis;
new text end

new text begin (2) the amount of a federal Pell Grant award for which the applicant is eligible;
new text end

new text begin (3) the amount of the state grant;
new text end

new text begin (4) the sum of all federal Supplemental Educational Opportunity Grant, federal
Academic Competitiveness Grant, and federal Science and Mathematics Access to Retain
Talent Grant (SMART Grant) awards;
new text end

new text begin (5) the sum of all institutional grants, scholarships, tuition waivers, and tuition
remission amounts;
new text end

new text begin (6) the sum of all tribal scholarships;
new text end

new text begin (7) the amount of any other state and federal gift aid; and
new text end

new text begin (8) the amount of any private grants or scholarships.
new text end

new text begin (b) The award shall be paid directly to the postsecondary institution where the
student receives federal financial aid.
new text end

new text begin (c) Awards are limited as follows:
new text end

new text begin (1) the maximum award for an undergraduate is $4,000 per academic year;
new text end

new text begin (2) the maximum award for a graduate student is $6,000 per academic year; and
new text end

new text begin (3) the minimum award for all students is $100 per academic year.
new text end

new text begin (d) new text end Scholarships may not be given to any Indian student for more than deleted text begin fivedeleted text end new text begin threenew text end
years of study new text begin for a two-year degree, certificate, or diploma program or five years of study
for a four-year degree program new text end at the undergraduate level and new text begin for more than new text end five years
at the graduate level. Students may acquire only one degree per level and one terminal
new text begin graduate new text end degree.new text begin Scholarships may not be given to any student for more than ten years
including five years of undergraduate study and five years of graduate study.
new text end

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

Minnesota Statutes 2007 Supplement, section 136A.127, is amended to read:

The Achieve Scholarship Program is establishednew text begin
to provide scholarships to eligible students within the limits of appropriations for the
programnew text end .

For the purposes of this section, a
"qualifying program" means a rigorous secondary school program of study defined by
the Department of Education under agreement with the Secretary of Education for the
purposes of determining eligibility for the federal Academic Competitiveness Grant
Program under Title IV of the Higher Education Act of 1965, as amended.

The student shall request a
transcript from the high school. The high school shall provide a transcript to the Office
of Higher Education or to the eligible institution in which the student is enrolling,
documenting the qualifying program.new text begin The student may be required to provide additional
documentation such as:
new text end

new text begin (1) official postsecondary transcript; and
new text end

new text begin (2) official IB/AP test scores.
new text end

To be eligible to receive a scholarship under this
section, in addition to the requirements listed under section 136A.121, a student must:

(1) submit a Free Application for Federal Student Aid (FAFSA);

(2) take and receive at least a grade of C for courses that comprise a rigorous
secondary school program of study in a high school or in a home-school setting under
section 120A.22, and graduate from new text begin a Minnesota new text end high school;

(3) have a family adjusted gross income new text begin of less than $75,000 new text end in the last complete
calendar year prior to the academic year of postsecondary attendance deleted text begin of less than $75,000deleted text end new text begin
in which the scholarship is usednew text end ;

(4) be a United States citizen or eligible noncitizen, as defined in section 484 of the
Higher Education Act, United States Code, title 20, sections 1091 et seq., as amended, and
Code of Federal Regulations, title 34, section 668.33; deleted text begin and
deleted text end

(5) be a Minnesota resident, as defined in section 136A.101, subdivision 8new text begin ; and
new text end

new text begin (6) be enrolled for at least three credits per quarter or semester or the equivalent at
an eligible institution as defined under section 136A.101, subdivision 4new text end .

The Achieve Scholarship Program shall be administered
by the Minnesota Office of Higher Education. The director shall develop forms and
procedures necessary to administer the program.

A student must complete and submit an application for
the Achieve scholarship.

The deadline for the office to accept applications for Achieve
scholarships is deleted text begin 30 days after the beginning of the academic term for which the application
is submitteddeleted text end new text begin the same as that used for the state grant in section 136A.121, subdivision 13new text end .

Achieve Scholarship
Program applicants must certify on the application that they meet the income eligibility
requirement in subdivision deleted text begin 5deleted text end new text begin 4new text end , clause deleted text begin (2)deleted text end new text begin (3)new text end . The Office of Higher Education or the
postsecondary institution may request documentation needed to confirm income eligibility.

Minnesota Achieve scholarships shall consist of
$1,200 for a student who takes and receives at least a grade of C for courses required
under a qualifying program. The scholarships may be used to pay for qualifying expenses
at eligible institutions.

Qualifying expenses are components included
under the cost of attendance used for federal student financial aid programs, as defined in
section 472 of the Higher Education Act, United States Code, title 20, sections 1091 et
seq., as amended.

The Achieve scholarship may only be used to
pay qualifying expenses at an eligible institution as defined under section 136A.101,
subdivision 4.

A scholarship earned by a student
is available for four years immediately following high school graduation. The office
must certify to the commissioner of finance by October 1 of each year the amounts to be
canceled from scholarship eligibility that have expired.

The office shall make two equal
payments to a postsecondary institution on behalf of the student. deleted text begin The second payment
must be madedeleted text end After the student successfully completes the first term of enrollmentnew text begin , the
second payment must be made during the student's next term of enrollment at an eligible
institution. If the second disbursement is not within the same academic year as the first
disbursement, the student must request the second disbursementnew text end .

By January 15 of each odd-numbered year, the
Office of Higher Education shall submit a report, to the committees of the legislature with
jurisdiction over higher education finance and policy, regarding the success of the program
in increasing the enrollment of students in rigorous high school courses, including, at a
minimum, the following information:

(1) the demographics of individuals participating in the program;

(2) the grades scholarship recipients received for courses in the qualifying program
under subdivision 2;

(3) the number of scholarship recipients who persisted at a postsecondary institution
for a second year;

(4) the high schools attended by the program participants;

(5) the postsecondary institutions attended by the program participants;

(6) the academic performance of the students after enrolling in a postsecondary
institution; and

(7) other information as identified by the director.

new text begin This section is effective the day following final enactment
and within the limits of appropriations applies to students who graduate from high school
after January 1, 2008.
new text end

Minnesota Statutes 2007 Supplement, section 136A.128, is amended by
adding a subdivision to read:

new text begin A nonprofit organization that receives a grant under this
section may use five percent of the grant amount to administer the program.
new text end

new text begin This section is effective the day following final enactment for
grants under Minnesota Statutes, section 136A.128, beginning in fiscal year 2008.
new text end

Minnesota Statutes 2007 Supplement, section 136A.65, subdivision 1, is
amended to read:

No school subject to registration shall grant a degree
unless such degree and its underlying curriculum are approved by the office, nor shall
any school subject to registration use the name "collegedeleted text begin ,deleted text end " deleted text begin "academy," "institute"deleted text end or
"university" in its name without approval by the office.

Minnesota Statutes 2007 Supplement, section 136A.65, subdivision 3, is
amended to read:

A school subject to registration shall be granted approval
to use the term "collegedeleted text begin ,deleted text end " deleted text begin "academy," "institute,"deleted text end or "university" in its name if it was
organized, operating, and using such term in its name on or before August 1, 2007, and if
it meets the other policies and standards for approval established by the office.

Minnesota Statutes 2007 Supplement, section 136A.65, subdivision 5, is
amended to read:

For each
degree new text begin and nondegree program new text end a school offers to a student, where the student does not
leave Minnesota for the major portion of the program or course leading to the degreenew text begin or
nondegree awardnew text end , the school must have:

(1) new text begin for degree programs:
new text end

new text begin (i) new text end qualified teaching personnel to provide the educational programs for each degree
for which approval is sought;

deleted text begin (2)deleted text end new text begin (ii) new text end appropriate educational programs leading to each degree for which approval
is sought;

deleted text begin (3)deleted text end new text begin (iii) new text end appropriate and accessible library, laboratory, and other physical facilities to
support the educational program for each degree for which approval is sought; and

deleted text begin (4)deleted text end new text begin (iv) new text end a rationale showing that degree programs are consistent with the school's
mission and goalsdeleted text begin .deleted text end new text begin ; and
new text end

new text begin (2) for nondegree programs:
new text end

new text begin (i) qualified teaching personnel to provide the educational programs for which
approval is sought;
new text end

new text begin (ii) appropriate educational programs leading to each award for which approval
is sought;
new text end

new text begin (iii) appropriate and accessible library, laboratory, and other physical facilities to
support the educational program for which approval is sought; and
new text end

new text begin (iv) a rationale showing that programs are consistent with the school's mission
and goals.
new text end

new text begin Nondegree programs that are a part of an approved degree shall not require
additional review or approval; they shall be considered approved as a part of the degree
approval. Any nondegree program offered by a degree-granting school that is not a part of
an approved degree shall be subject to clause (2), items (i) to (iv).
new text end

Minnesota Statutes 2007 Supplement, section 136A.65, subdivision 6, is
amended to read:

A new text begin degree-granting new text end school may use the term "academy" or "institute"
in its name without meeting any additional requirements. A school may use the term
"college" in its name if it offers at least one program leading to an associate degree. A
school may use the term "university" in its name if it offers at least one program leading
to a master's or doctorate degree.

Minnesota Statutes 2007 Supplement, section 136A.65, subdivision 7, is
amended to read:

The office may grant conditional approval for a
degree or use of a term in its name for a period of less than one year if doing so would be
in the best interests of currently enrolled students or prospective students.new text begin New schools
may be granted conditional approval for degrees or names annually for a period not to
exceed five years to allow them the opportunity to apply for and receive accreditation as
required in subdivision 1a.
new text end

Minnesota Statutes 2007 Supplement, section 136A.66, is amended to read:

The office shall maintain a list of registered institutions authorized to grant degrees
and schools authorized to use the name "collegedeleted text begin ,deleted text end " deleted text begin "academy," "institute"deleted text end or "university,"
and shall make such list available to the public.

Minnesota Statutes 2007 Supplement, section 136A.67, is amended to read:

new text begin No school and none of its officials or employees shall advertise or represent in
any manner that such school is approved or accredited by the office or the state of
Minnesota, except new text end a school which is duly registered with the office, or any of its officials
or employees, may represent in advertising and shall disclose in catalogues, applications,
and enrollment materials that the school is registered with the office by prominently
displaying the following statement: "(Name of school) is registered as a private institution
with the Minnesota Office of Higher Education pursuant to sections 136A.61 to 136A.71.
Registration is not an endorsement of the institution. Credits earned at the institution
may not transfer to all other institutions."

Minnesota Statutes 2007 Supplement, section 136A.69, is amended to read:

The office shall collect reasonable registration
fees that are sufficient to recover, but do not exceed, its costs of administering the
registration program. The office shall charge $1,100 for initial registration fees and $950
for annual renewal fees.

The office processing fee for adding a degree
level to an existing program is $2,000 per deleted text begin programdeleted text end new text begin degreenew text end .

The office processing fee
for adding a new text begin degree or nondegree new text end program that represents a significant departure in the
objectives, content, or method of delivery of new text begin degree or nondegree new text end programs that are
currently offered by the school is $500 per new text begin degree or nondegree new text end program.

If the office determines that a fact-finding visit
or outside consultant is necessary to review or evaluate any new or revised new text begin degree or
nondegree new text end program, the office shall be reimbursed for the expenses incurred related to the
review as follows:

(1) $300 for the team base fee or for a paper review conducted by a consultant if the
office determines that a fact-finding visit is not required;

(2) $300 for each day or part thereof on site per team member; and

(3) the actual cost of customary meals, lodging, and related travel expenses incurred
by team members.

The fee for modification of any existing new text begin degree or
nondegree new text end program is $100 and is due if there is:

(1) an increase or decrease of 25 percent or more from the original date of program
approval, in clock hours, credit hours, or calendar length of an existing new text begin degree or
nondegree new text end program;

(2) a change in academic measurement from clock hours to credit hours or vice
versa; or

(3) an addition or alteration of courses that represent a 25 percent change or more in
the objectives, content, or methods of delivery.

Minnesota Statutes 2007 Supplement, section 136F.02, subdivision 1, is
amended to read:

The board consists of 15 members appointed
new text begin according to this subdivision. Eleven members are appointed new text end by the governor new text begin including
three members who are students who have attended an institution for at least one year
and are currently enrolled at least half time in a degree, diploma, or certificate program
or have graduated from an institution governed by the board within one year of the date
of appointment. The student members shall include: one member from a community
college, one member from a state university, and one member from a technical college.
The remaining four members are appointed by labor organizations. The Inter Faculty
Organization (IFO), the Minnesota State College Faculty (MSCF), the Minnesota
Association of Professional Employees (MAPE), and the American Federation of
State, County and Municipal Employees (AFSCME) shall each appoint one member.
Appointments by the governor and the labor organizations are made new text end with the advice
and consent of the senate. At least one member of the board must be a resident of each
congressional district. new text begin The remaining members must be appointed to represent the state at
large. new text end In selecting appointees, the governor new text begin and each appointing authority new text end must consider
the needs of the board of trustees and the balance of the board membership with respect to
labor and business representation and racial, gender, geographic, and ethnic composition.
deleted text begin Three members must be students who are enrolled at least half time in a degree, diploma,
or certificate program or have graduated from an institution governed by the board within
one year of the date of appointment. The student members shall include: one member
from a community college, one member from a state university, and one member from a
technical college. deleted text end deleted text begin The remaining members must be appointed to represent the state at large.
deleted text end

Minnesota Statutes 2007 Supplement, section 136F.03, subdivision 4, is
amended to read:

Except for seats filled under deleted text begin sectiondeleted text end new text begin sections new text end 136F.04new text begin
and 136F.045new text end , the advisory council shall recommend at least two and not more than four
candidates for each seat. By April 15 of each even-numbered yearnew text begin in which the governor
makes appointments to the boardnew text end , the advisory council shall submit its recommendations
to the governor. The governor is not bound by these recommendations.

new text begin The labor organizations under section 136F.02, subdivision 1, are responsible
for recruiting, screening, and selecting qualified candidates for their appointments to
the board. The organizations must develop a statement of selection criteria for board
membership and a process for selecting candidates to meet the board needs and balance
required under section 136F.02, subdivision 1.
new text end

new text begin The power of you program is established at
Metropolitan State University, Minneapolis Community and Technical College, and St.
Paul College to promote the preparation and enrollment of students in postsecondary
education through partnerships with high schools and school districts.
new text end

new text begin (a) Minnesota State Colleges and Universities shall allocate
the power of you funds at Metropolitan State University, Minneapolis Community and
Technical College, and St. Paul College.
new text end

new text begin (b) The funds must be used to increase student financial aid to fill the gap between
costs and federal and state grants to students who:
new text end

new text begin (1) graduate from a public Minneapolis or St. Paul high school;
new text end

new text begin (2) enroll full time immediately after graduation; and
new text end

new text begin (3) are participants in the power of you.
new text end

Minnesota Statutes 2006, section 136F.90, subdivision 1, is amended to read:

For deleted text begin thedeleted text end state new text begin colleges and new text end universities, the Board of Trustees
of the Minnesota State Colleges and Universities may:

(1) acquire by purchase or otherwise, construct, complete, remodel, equip, operate,
control, and manage residence halls, dormitories, dining halls, student union buildings,
parking facilities, and any other similar revenue-producing buildings of such type and
character as the board finds necessary for the good and benefit of deleted text begin thedeleted text end state new text begin colleges and
new text end universities, and may acquire property whether real, personal, or mixed, by gift, purchase,
or otherwise; provided that no contract for the construction of any building shall be
entered into until financing has been approved by the legislature;

(2) maintain and operate any buildings or structures and charge for their use, and
conduct any activities that are commonly conducted in connection with the buildings
or structures;

(3) enter into contracts for the purposes of sections 136F.90 to 136F.98;

(4) acquire building sites and buildings or structures by gift, purchase, or otherwise
and pledge the revenues from them for the payment of any bonds issued for that purpose
as provided in sections 136F.90 to 136F.98;

(5) borrow money and issue and sell bonds in an amount or amounts the legislature
authorizes for the purpose of acquiring, constructing, completing, remodeling, or
equipping any buildings or structures, and acquiring sites, and refund and refinance the
bonds by the issuance and sale of refunding bonds when the board finds that it is in
the public interest. The bonds shall be sold and issued by the board in the manner and
upon the terms and conditions provided by chapter 475, except as otherwise provided in
this section. The bonds are payable only from and secured by an irrevocable pledge of
the revenues to be derived from the operation of any buildings or structures acquired,
constructed, completed, remodeled, or equipped in whole or in part with the proceeds of
the bonds and from other income and revenues described in section 136F.92, clause (1),
the board by resolution specifies, and notwithstanding this limitation all bonds issued
under sections 136F.90 to 136F.98 shall have the qualities of negotiable instruments under
the laws of this state. The legislature shall not appropriate money from the general fund to
pay for these bonds.

Minnesota Statutes 2007 Supplement, section 141.25, subdivision 5, is
amended to read:

(a) No license shall be issued to any school which maintains,
conducts, solicits for, or advertises within the state of Minnesota any program, unless the
applicant files with the office a continuous corporate surety bond written by a company
authorized to do business in Minnesota conditioned upon the faithful performance of all
contracts and agreements with students made by the applicant.

(b)new text begin (1)new text end The amount of the surety bond shall be ten percent of the preceding year's
gross income from student tuition, fees, and other required institutional charges, but in
no event less than $10,000 nor greater than $250,000, except that a school may deposit a
greater amount at its own discretion. A school in each annual application for licensure
must compute the amount of the surety bond and verify that the amount of the surety bond
complies with this subdivision, unless the school maintains a surety bond equal to at least
$250,000. A school that operates at two or more locations may combine gross income
from student tuition, fees, and other required institutional charges for all locations for the
purpose of determining the annual surety bond requirement. The gross tuition and fees
used to determine the amount of the surety bond required for a school having a license for
the sole purpose of recruiting students in Minnesota shall be only that paid to the school
by the students recruited from Minnesota.

new text begin (2) A school required to obtain a private career school license due to the use of
"academy," "institute," "college," or "university" in its name and which is also licensed by
another state agency or board shall be required to provide a school bond of $10,000.
new text end

(c) The bond shall run to the state of Minnesota and to any person who may have a
cause of action against the applicant arising at any time after the bond is filed and before it
is canceled for breach of any contract or agreement made by the applicant with any student.
The aggregate liability of the surety for all breaches of the conditions of the bond shall not
exceed the principal sum deposited by the school under paragraph (b). The surety of any
bond may cancel it upon giving 60 days' notice in writing to the office and shall be relieved
of liability for any breach of condition occurring after the effective date of cancellation.

(d) In lieu of bond, the applicant may deposit with the commissioner of finance a
sum equal to the amount of the required surety bond in cash, or securities as may be
legally purchased by savings banks or for trust funds in an aggregate market value equal
to the amount of the required surety bond.

(e) Failure of a school to post and maintain the required surety bond or deposit under
paragraph (d) shall result in denial, suspension, or revocation of the school's license.

Minnesota Statutes 2006, section 141.25, is amended by adding a subdivision
to read:

new text begin A school required to
obtain a private career school license due to the use of "academy," "institute," "college," or
"university" in its name and which is also licensed by another state agency or board shall
be required to satisfy only the requirements of subdivisions 3, clauses (1), (2), (3), (5), (7),
and (10); 4; 5, paragraph (b), clause (2); 7, clauses (1) and (10); 8; 9, clause (13); and 12.
new text end

Minnesota Statutes 2007 Supplement, section 141.28, subdivision 1, is
amended to read:

deleted text begin Adeleted text end new text begin Schools, agents
of schools, and solicitors may not advertise or represent in writing or orally that such
school is approved or accredited by the state of Minnesota, except that anynew text end school, agent,
or solicitor may represent in advertisements and shall disclose in catalogues, applications,
and enrollment materials that the school is duly licensed by the state by prominently
displaying the following statement:

"(Name of school) is licensed as a private career school with the Minnesota Office of
Higher Education pursuant to Minnesota Statutes, sections 141.21 to 141.32. Licensure is
not an endorsement of the institution. Credits earned at the institution may not transfer
to all other institutions."

Minnesota Statutes 2007 Supplement, section 141.35, is amended to read:

Sections 141.21 to 141.32 shall not apply to the following:

(1) public postsecondary institutions;

(2) postsecondary institutions registered under sections deleted text begin 136A.615deleted text end new text begin 136A.61new text end to
136A.71;

(3) schools of nursing accredited by the state Board of Nursing or an equivalent
public board of another state or foreign country;

(4) private schools complying with the requirements of section 120A.22, subdivision
4;

(5) courses taught to students in a valid apprenticeship program taught by or
required by a trade union;

(6) schools exclusively engaged in training physically or mentally disabled persons
for the state of Minnesota;

(7) schools licensed by boards authorized under Minnesota law to issue licensesnew text begin
except schools required to obtain a private career school license due to the use of
"academy," "institute," "college," or "university" in their namesnew text end ;

(8) schools and educational programs, or training programs, contracted for by
persons, firms, corporations, government agencies, or associations, for the training of their
own employees, for which no fee is charged the employee;

(9) schools engaged exclusively in the teaching of purely avocational, recreational,
or remedial subjects as determined by the officenew text begin except schools required to obtain a private
career school license due to the use of "academy," "institute," "college," or "university"
in their namesnew text end ;

(10) classes, courses, or programs conducted by a bona fide trade, professional, or
fraternal organization, solely for that organization's membership;

(11) programs in the fine arts provided by organizations exempt from taxation
under section 290.05 and registered with the attorney general under chapter 309. For
the purposes of this clause, "fine arts" means activities resulting in artistic creation or
artistic performance of works of the imagination which are engaged in for the primary
purpose of creative expression rather than commercial sale or employment. In making
this determination the office may seek the advice and recommendation of the Minnesota
Board of the Arts;

(12) classes, courses, or programs intended to fulfill the continuing education
requirements for licensure or certification in a profession, that have been approved by
a legislatively or judicially established board or agency responsible for regulating the
practice of the profession, and that are offered exclusively to an individual practicing
the profession;

(13) classes, courses, or programs intended to prepare students to sit for
undergraduate, graduate, postgraduate, or occupational licensing and occupational
entrance examinations;

(14) classes, courses, or programs providing 16 or fewer clock hours of instruction
that are not part of the curriculum for an occupation or entry level employmentnew text begin except
schools required to obtain a private career school license due to the use of "academy,"
"institute," "college," or "university" in their namesnew text end ;

(15) classes, courses, or programs providing instruction in personal development,
modeling, or acting;

(16) training or instructional programs, in which one instructor teaches an individual
student, that are not part of the curriculum for an occupation or are not intended to prepare
a person for entry level employment; and

(17) schools with no physical presence in Minnesota, as determined by the office,
engaged exclusively in offering distance instruction that are located in and regulated
by other states or jurisdictions.

Minnesota Statutes 2006, section 144.1501, subdivision 2, is amended to read:

(a) A health professional education loan forgiveness
program account is established. The commissioner of health shall use money from the
account to establish a loan forgiveness program:

(1) for medical residents agreeing to practice in designated rural areas or underserved
urban communities or specializing in the area of pediatric psychiatry;

(2) for midlevel practitioners agreeing to practice in designated rural areas or to teach
deleted text begin fordeleted text end at least deleted text begin 20 hoursdeleted text end new text begin 12 credit hours, or 720 hoursnew text end per deleted text begin weekdeleted text end new text begin yearnew text end in the nursing field in a
postsecondary programnew text begin at the undergraduate level or the equivalent at the graduate levelnew text end ;

(3) for nurses who agree to practice in a Minnesota nursing home or intermediate
care facility for persons with developmental disability or to teach deleted text begin fordeleted text end at least deleted text begin 20 hoursdeleted text end new text begin 12
credit hours, or 720 hours new text end per deleted text begin weekdeleted text end new text begin yearnew text end in the nursing field in a postsecondary programnew text begin at
the undergraduate level or the equivalent at the graduate levelnew text end ;

(4) for other health care technicians agreeing to teach deleted text begin fordeleted text end at least deleted text begin 20 hoursdeleted text end new text begin 12 credit
hours, or 720 hoursnew text end per deleted text begin weekdeleted text end new text begin yearnew text end in their designated field in a postsecondary programnew text begin
at the undergraduate level or the equivalent at the graduate levelnew text end . The commissioner, in
consultation with the Healthcare Education-Industry Partnership, shall determine the
health care fields where the need is the greatest, including, but not limited to, respiratory
therapy, clinical laboratory technology, radiologic technology, and surgical technology;

(5) for pharmacists who agree to practice in designated rural areas; and

(6) for dentists agreeing to deliver at least 25 percent of the dentist's yearly patient
encounters to state public program enrollees or patients receiving sliding fee schedule
discounts through a formal sliding fee schedule meeting the standards established by
the United States Department of Health and Human Services under Code of Federal
Regulations, title 42, section 51, chapter 303.

(b) Appropriations made to the account do not cancel and are available until
expended, except that at the end of each biennium, any remaining balance in the account
that is not committed by contract and not needed to fulfill existing commitments shall
cancel to the fund.

Laws 2007, chapter 144, article 1, section 3, subdivision 2, is amended to read:

147,400,000

144,138,000

If the appropriation in this subdivision for
either year is insufficient, the appropriation
for the other year is available for it.

For the biennium, the tuition maximum for
students in four-year programs is $9,838 in
each year for students in four-year programs,
and for students in two-year programs, is
$6,114 in the first year and $5,808 in the
second year.

This appropriation sets the living and
miscellaneous expense allowance at $5,900
each year.

new text begin Of the appropriation in the second year,
$3,800,000 must be transferred to the Board
of Trustees of the Minnesota State Colleges
and Universities for the power of you
program under section 136F.19. Up to half
this amount must be used for pilot programs
under section 36.
new text end

new text begin Of the appropriation in the second year,
$200,000 is for the teachers of color financial
aid pilot program under section 37.
new text end

Laws 2007, chapter 144, article 1, section 3, subdivision 18, is amended to
read:

The Minnesota Office of Higher Education
may transfer unencumbered balances from
the appropriations in this section to the
state grant appropriation, the interstate
tuition reciprocity appropriation, the
child care grant appropriation,new text begin the Indian
scholarship appropriation,new text end the state work
study appropriation, the public safety officers'
survivors appropriation, and the Minnesota
college savings plan appropriation. Transfers
from the child care or state work study
appropriations may only be made to the
extent there is a projected surplus in the
appropriation. A transfer may be made
only with the prior written approval of the
commissioner of finance and prior written
notice to the chairs of the senate and house
committees with jurisdiction over higher
education finance.

Laws 2007, chapter 144, article 1, section 5, subdivision 2, is amended to read:

621,184,000

637,824,000

This appropriation includes funding for
operation and maintenance of the system
including amounts to advance the University
of Minnesota's efforts to sustain quality
and competitiveness; and funding for the
"Advancing Education" initiatives including
an Ojibwe Indian language program on the
Duluth campus.

This appropriation includes funding to
establish banded tuition at the Morris,
Crookston, and Duluth campuses to reduce
tuition costs for students.

This appropriation includes funding for
scholarships for undergraduate Minnesota
resident students with family income under
$150,000 per year. This appropriation must
be matched with $1.50 of nonstate money for
each $1 of state money.

This appropriation includes funding for the
Center for Transportation Studies to complete
a study to assess public policy options for
reducing the volume of greenhouse gases
emitted from the transportation sector in
Minnesota. The Center for Transportation
Studies must report its preliminary findings
to the legislature by February 1, 2008, and
must issue its full report by June 1, 2008.
This is a onetime appropriation.

This appropriation includes funding to
establish an India Center to improve and
promote relations with India and Southeast
Asia. The center must partner with public
and private organizations in Minnesota to:

(1) foster an understanding of the history,
culture, and values of India;

(2) serve as a resource and catalyst to
promote economic, governmental, and
academic pursuits involving India; and

(3) facilitate educational and business
exchanges and partnerships, collaborative
research, and teaching and training activities
for Minnesota students and teachers.

The Board of Regents may establish an
advisory council to facilitate the mission
and objectives of the India Center and must
report on the progress of the India Center
by February 15, 2008, to the governor
and chairs of the legislative committees
responsible for higher education finance.
This appropriation must be matched by an
equal amount of nonstate money. This is a
onetime appropriation.

This appropriation includes funding to assist
in the formation of the neighborhood alliance
and for projects identified in section 10. The
alliance, the Board of Regents, and the city of
Minneapolis may cooperate on the projects
and may use public services of other entities
to complete all or a portion of a project. This
is a onetime appropriation.

This appropriation includes funding to
establish a Dakota language teacher training
immersion program on the Twin Cities
campus to prepare teachers to teach in
Dakota language immersion programs.

deleted text begin Onedeleted text end new text begin Two new text end percent of the appropriation in
this subdivisionnew text begin for the second yearnew text end is
available when the Board of Regents of the
University of Minnesota demonstrates to
the commissioner of finance that the board
has met at least three of the five following
performance goals:

(1) increase financial support to pay the cost
of attendance for students demonstrating
financial need;

(2) maintain or improve the University of
Minnesota's rank in its national share of
total research and development expenditures
reported to the National Science Foundation
over the 2007 ranking;

(3) increase by at least five percent, compared
to fiscal year 2007, the number of degrees
awarded in science, technology, engineering,
mathematics, and health sciences disciplines;

(4) increase by at least five percent, compared
to fiscal year 2007, the amount of financial
support from key funding sources for
renewable energy research; and

(5) increase and improve interaction and
research activity beneficial to business and
industry.

By October 1, 2007, the Board of Regents
and the Office of Higher Education must
agree on specific numerical indicators and
definitions for each of the five goals that will
be used to demonstrate the University of
Minnesota's attainment of each goal.

On or before April 1, 2008, the Board
of Regents must report to the legislative
committees with primary jurisdiction over
higher education finance and policy the
progress of the University of Minnesota
toward attaining the goals.

Laws 2007, chapter 144, article 1, section 5, subdivision 5, is amended to read:

25,000,000

-0-

For the direct and indirect expenses of the
collaborative research partnership between
the University of Minnesota and the Mayo
Foundation for research in biotechnology
and medical genomics. For fiscal years 2010
and 2011, the base shall be $8,000,000 in
each year. This appropriation is available
until expended. An annual report on the
expenditure of these funds must be submitted
to the governornew text begin , the chair of the house
bioscience and emerging technologies
committee,new text end and the chairs of the senate and
house committees responsible for higher
education and economic development by
June 30 of each fiscal year. new text begin At a minimum,
the report must include information on
the number of patents, disclosures, and
licensing agreements; the amount generated
in royalties and how the royalty money is
spent; and the number of companies created,
where they are located, how many jobs are
created, and the amount of venture capital
raised.
new text end

new text begin Pilots shall be established in suburban
and rural sites to test the expansion of power of you. In addition to the requirements
under Minnesota Statutes, section 136F.19, the power of you pilot programs must follow
the model set forth by the power of you at Metropolitan State University, Minneapolis
Community and Technical College, and St. Paul College, increasing financial aid to
students enrolled in the program.
new text end

new text begin By June 1, 2008, Metropolitan State University
shall select one technical college and one community college or community-technical
college to each partner with a high school in developing a power of you pilot program,
to test expansion of the program established under Minnesota Statutes, section 136F.19,
to students in Twin Cities' suburban areas. Metropolitan State University shall choose
the colleges' high school partners.
new text end

new text begin By June 1, 2008, the chancellor of Minnesota
State Colleges and Universities shall select two rural colleges, one being a multicampus
institution in an agricultural part of the state and the other a multicampus institution in a
nonagricultural part of the state dependent on natural resources, for power of you pilot
programs. Each of the campus sites of the colleges shall work with a high school to test
the application of the power of you pilot program established under Minnesota Statutes,
section 136F.19, to nonmetropolitan students and colleges. The chancellor shall choose
the campus' high school partners.
new text end

new text begin The teachers of color financial aid pilot program
is established under the supervision of the Minnesota Office of Higher Education to
encourage academically talented postsecondary students of color to become teachers
of early childhood, elementary, or secondary education; to increase the academic
achievement of diverse student populations; to help close the existing student achievement
gaps by creating a cadre of qualified new teachers; and to encourage students of color
attending four-year institutions to enroll in a teacher preparation program and students
attending two-year colleges to transfer to and enroll in a teacher preparation program at
eligible institutions. Financial aid under this pilot program is to provide incentives for
postsecondary students of color to enter teacher preparation programs and to teach in
Minnesota school districts.
new text end

new text begin For the purposes of this section, the following terms have
the meanings given them:
new text end

new text begin (1) "student of color" means a student who is African American, African immigrant,
American Indian, Alaskan native, Asian American or Pacific Islander, or Hispanic;
new text end

new text begin (2) "director" means the director of the Minnesota Office of Higher Education;
new text end

new text begin (3) "eligible institution" means a public four-year postsecondary institution with an
approved teacher preparation program that is participating in a pilot partnership under
subdivision 5; and
new text end

new text begin (4) "teacher preparation program" means a program at an institution that prepares
students to be teachers.
new text end

new text begin (a) The director shall award grants under this section to eligible
students as an incentive to enter teacher preparation programs. An eligible student must
submit an application for a grant under this section for the student's junior and senior years
in a teacher preparation program. Applications must be submitted to the director in the
form and manner and with the information required by the director.
new text end

new text begin (b) An eligible student who is enrolled as a junior or senior in a teacher preparation
program at an eligible institution may receive a grant under this section of up to $5,000
each year for a maximum of two academic years or the equivalent at an eligible institution
if the student continues to make satisfactory progress toward a baccalaureate degree
in education.
new text end

new text begin (c) Grants under this section are made within the limits of appropriations for the
pilot program. The director may prorate the grant awards and the length of time of the
award for students who attend part-time. The director must give priority for grants
under this section to students who are eligible for the Pell grant or for a state grant under
Minnesota Statutes, section 136A.121.
new text end

new text begin A student is eligible to receive a grant under this
section if the student:
new text end

new text begin (1) is an American citizen or eligible noncitizen residing in Minnesota;
new text end

new text begin (2) certifies that the student is a student of color;
new text end

new text begin (3) is enrolled in an eligible institution and making satisfactory academic progress;
and
new text end

new text begin (4) is admitted to an approved teacher preparation program at an eligible institution.
new text end

new text begin Up to four partnerships between a public four-year
institution in Minnesota with an approved teacher preparation program and at least one
Minnesota school district may participate in the teachers of color financial aid pilot
program. Of the four partnerships, one must be a partnership between Winona State
University and the Rochester school district and one must be a partnership between St.
Cloud State University and Robbinsdale public schools. The director must select the
other partnerships for the pilot program based on applications submitted according to the
timeline established and with information required by the director. Each partnership
must agree to devise a plan to recruit students of color for teacher preparation programs
and assistance under this section. Recruitment of students must include recruiting and
encouraging talented students of color who attend two-year colleges to transfer to teacher
preparation programs at participating pilot institutions.
new text end

new text begin The director may use up to
$25,000 of the appropriation for the program under this section for the administration and
promotion of the pilot program and to assist with the recruitment of students of color
for teacher preparation programs. The director must consult with the commissioner of
education, the University of Minnesota, Minnesota State Colleges and Universities, and
private colleges to develop strategies to recruit, retain, and mentor students in pilot
programs while the students attend a teacher preparation program. To the extent possible,
existing state or private programs must be used to provide recruitment, retention, and
mentoring services under this subdivision.
new text end

new text begin The director must report to the committees of the legislature with
responsibility for higher education finance by February 1, 2009, on the teachers of color
financial aid pilot project. The report must include an evaluation of participation with
recommendations on the program design, including the potential to expand the program to
graduate education programs. The report must also make recommendations on continued
funding for the program.
new text end

new text begin The staff of the Office of the Chancellor of Minnesota State Colleges and
Universities shall evaluate the performance of the power of you pilot programs established
at the locations chosen in section 36 and in Minnesota Statutes, section 136F.19, to
determine the effects on participation rates, retention, and potential enhancement of the
workforce, and shall evaluate the costs and benefits of the pilot programs. The Office of
the Chancellor shall report the results of the evaluation to the committees in the senate and
house of representatives with jurisdiction over higher education by January 15, 2010.
new text end

new text begin Notwithstanding Minnesota Statutes, section 136F.02, the governor shall make no
appointments to the Board of Trustees of the Minnesota State Colleges and Universities
for board terms expiring in 2008 and all appointments for these seats must be made by the
labor organizations under Minnesota Statutes, section 136F.02, subdivision 1. Beginning
in 2008 and every six years thereafter, the IFO, MSCF, MAPE, and AFSCME must each
appoint one member to the board of trustees according to the requirements of Minnesota
Statutes, sections 136F.02, subdivision 1, and 136F.045.
new text end

new text begin The amounts shown in this section summarize direct appropriations or reductions,
by fund, made in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin (3,000,000) new text end	new text begin $ new text end	new text begin 2,218,000 new text end	new text begin $ new text end	new text begin (782,000) new text end
new text begin Cancellations new text end		new text begin -0- new text end		new text begin 2,758,000 new text end		new text begin 2,758,000 new text end
new text begin Transfers From Other Funds new text end		new text begin -0- new text end		new text begin 22,000,000 new text end		new text begin 22,000,000 new text end
new text begin Total new text end	new text begin $ new text end	new text begin (3,000,000) new text end	new text begin $ new text end	new text begin (22,540,000) new text end	new text begin $ new text end	new text begin (25,540,000) new text end

new text begin The dollar amounts in the columns under "Appropriations and Reductions" are added
to or, if shown in parentheses, subtracted from the appropriations in Laws 2007, chapter
135, or other law to the specified agencies. The appropriations are from the general fund,
or another named fund, and are available for the fiscal years indicated for each purpose.
The figures "2008" and "2009" used in this article mean that the appropriations listed
under them are available for the fiscal year ending June 30, 2008, or June 30, 2009,
respectively. "The first year" is fiscal year 2008. "The second year" is fiscal year 2009.
"The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal year ending
June 30, 2008, are effective the day following final enactment.
new text end

new text begin $
new text end

new text begin (3,000,000)
new text end

new text begin $
new text end

new text begin 2,250,000
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end	new text begin (3,000,000) new text end	new text begin 2,250,000 new text end
new text begin Cancellations new text end	new text begin -0- new text end	new text begin 2,758,000 new text end
new text begin Transfers From Other Funds new text end	new text begin -0- new text end	new text begin 8,000,000 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 $550,000 in the second year is a base
reduction to the department's operating
budget.
new text end

(3,000,000)

2,800,000

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin (3,000,000) new text end	new text begin 2,800,000 new text end

new text begin $400,000 in the second year is for the
establishment and operation of the Office of
Science and Technology. This is a onetime
appropriation and is available until expended.
new text end

new text begin $2,000,000 in the second year is for grants
to the six Minnesota Initiative Foundations
to expand existing small business revolving
loans with a focus on lending to entrepreneurs
and new businesses. The commissioner of
employment and economic development
must make equal grants to each Minnesota
Initiative Foundation. This is a onetime
appropriation.
new text end

new text begin $200,000 in the second year is for a grant to
the Hennepin-Carver Workforce Investment
Board (WIB) to coordinate with the Partners
for Progress Regional Skills Consortium
to provide employment and training as
demonstrated by the Twin Cities regional
health care training partnership project. This
is a onetime appropriation.
new text end

new text begin $125,000 in the second year is for a grant to
HIRED to operate its industry sector training
initiatives, which provide employee training
developed in collaboration with employers in
specific, high-demand industries. This is a
onetime appropriation.
new text end

new text begin $75,000 in the second year is for a grant
to Lifetrack Resources for a onetime pilot
project in Rochester focusing on immigrant
and refugee collaborative programs,
including those related to job-seeking skills
and workplace orientation, intensive job
development, functional work English, and
on-site job coaching. This is a onetime
appropriation.
new text end

-0-

2,758,000

new text begin Prior to July 31, 2008, the unexpended
balances from the following appropriations
are canceled to the general fund:
new text end

new text begin (1) the appropriation made in Laws 2005,
First Special Session chapter 3, article
10, section 23, to the foreign trade zone
authority; and
new text end

new text begin (2) the appropriation made in Laws
2005, First Special Session chapter 1,
article 3, section 2, subdivision 2, for
the methamphetamine laboratory cleanup
revolving loan fund.
new text end

new text begin Prior to July 31, 2008, of the unexpended
balance in the job skills partnership account,
$2,000,000 is canceled to the general fund.
new text end

-0-

8,000,000

new text begin Prior to July 31, 2008, the amount specified
from the unexpended balance of the
workforce development fund must be
transferred to the general fund.
new text end

new text begin Notwithstanding Minnesota Statutes,
section 116J.423, by June 30, 2009, the
commissioner shall make a $1,000,000 grant
and a $1,000,000 loan from the Minnesota
Minerals 21st Century Fund to Magnetation,
Inc. for reclamation of iron ore.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin 80,000
new text end

new text begin This amount is added to the commission's
base budget.
new text end

Minnesota Statutes 2006, section 116J.423, is amended by adding a subdivision
to read:

new text begin Notwithstanding subdivision 2, the commissioner
may use money in the fund to make grants to a city, county, or to a county regional rail
authority as appropriate, for public infrastructure needed to support an eligible project
under this section. Grant money may be used by the city, county, or regional rail authority
to acquire right-of-way and mitigate loss of wetlands and runoff of storm water; to
predesign, design, construct, and equip roads and rail lines; and, in cooperation with
municipal utilities, to predesign, design, construct, and equip natural gas pipelines, electric
infrastructure, water supply systems, and wastewater collection and treatment systems.
Grants made under this subdivision are available until expended.
new text end

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

new text begin (a) The definitions in this subdivision apply to this
section.
new text end

new text begin (b) "Active service" has the meaning given in section 190.05.
new text end

new text begin (c) "Commissioner" means the commissioner of employment and economic
development.
new text end

new text begin (d) "Eligible business" means a small business, as defined in section 645.445, that
was operating in Minnesota on the date a military reservist received orders for active
service.
new text end

new text begin (e) "Essential employee" means a military reservist who is an owner or employee
of an eligible business and whose managerial or technical expertise is critical to the
day-to-day operation of the eligible business.
new text end

new text begin (f) "Military reservist" means a member of the reserve component of the armed
forces.
new text end

new text begin (g) "Reserve component of the armed forces" has the meaning given it in United
States Code, title 10, section 101(c).
new text end

new text begin (h) "Substantial economic injury" means an economic harm to an eligible business
that results in the inability of the eligible business to:
new text end

new text begin (1) meet its obligations as they mature;
new text end

new text begin (2) pay its ordinary and necessary operating expenses; or
new text end

new text begin (3) manufacture, produce, market, or provide a product or service ordinarily
manufactured, produced, marketed, or provided by the eligible business.
new text end

new text begin The commissioner may make onetime, interest-free loans
of up to $20,000 per borrower to eligible businesses that have sustained or are likely to
sustain substantial economic injury as a result of the call to active service for 180 days
or more of an essential employee. Loans must be made for the purpose of preventing,
remedying, or ameliorating the substantial economic injury.
new text end

new text begin The commissioner of veterans affairs shall transfer funds
as requested by the commissioner of employment and economic development for the
purposes of the loan program created in this section, including costs incurred by the
commissioner to establish and administer the program.
new text end

new text begin Using the expedited rulemaking procedures of section 14.389, the
commissioner shall develop and publish expedited rules for loan applications, use of
funds, needed collateral, terms of loans, and other details of military reservist economic
injury loans.
new text end

Minnesota Statutes 2007 Supplement, section 116L.17, subdivision 1, is
amended to read:

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

(b) "Commissioner" means the commissioner of employment and economic
development.

(c) "Dislocated worker" means an individual who is a resident of Minnesota at the
time employment ceased or was working in the state at the time employment ceased and:

(1) has been permanently separated or has received a notice of permanent separation
from public or private sector employment and is eligible for or has exhausted entitlement
to unemployment benefits, and is unlikely to return to the previous industry or occupation;

(2) has been long-term unemployed and has limited opportunities for employment
or reemployment in the same or a similar occupation in the area in which the individual
resides, including older individuals who may have substantial barriers to employment by
reason of age;

(3) has been terminated or has received a notice of termination of employment as a
result of a plant closing or a substantial layoff at a plant, facility, or enterprise;

(4) has been self-employed, including farmers and ranchers, and is unemployed as a
result of general economic conditions in the community in which the individual resides
or because of natural disasters;

(5) has been permanently separated from employment in a restaurant, bar, or
lawful gambling organization from October 1, 2007, to October 1, 2009, due to the
implementation of any state law prohibiting smoking; deleted text begin ordeleted text end

new text begin (6) is a veteran as defined by section 197.447, has been discharged or released from
active duty under honorable conditions within the last 36 months, and (i) is unemployed or
(ii) is employed in a job which pays less than what the veteran could verifiably earn; or
new text end

deleted text begin (6)deleted text end new text begin (7) new text end is a displaced homemaker. A "displaced homemaker" is an individual who
has spent a substantial number of years in the home providing homemaking service and
(i) has been dependent upon the financial support of another; and now due to divorce,
separation, death, or disability of that person, must find employment to self support; or (ii)
derived the substantial share of support from public assistance on account of dependents
in the home and no longer receives such support.

To be eligible under this clause, the support must have ceased while the worker
resided in Minnesota.

(d) "Eligible organization" means a state or local government unit, nonprofit
organization, community action agency, business organization or association, or labor
organization.

(e) "Plant closing" means the announced or actual permanent shutdown of a single
site of employment, or one or more facilities or operating units within a single site of
employment.

(f) "Substantial layoff" means a permanent reduction in the workforce, which is
not a result of a plant closing, and which results in an employment loss at a single site
of employment during any 30-day period for at least 50 employees excluding those
employees that work less than 20 hours per week.

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

Minnesota Statutes 2006, section 116L.17, is amended by adding a subdivision
to read:

new text begin The commissioner of
veterans affairs shall transfer funds as requested by the commissioner of employment and
economic development to reimburse the workforce development fund for costs incurred
under section 116L.17, subdivision 1, paragraph (c), clause (6).
new text end

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

Minnesota Statutes 2007 Supplement, section 214.04, subdivision 3, is
amended to read:

The executive director of each health-related board and
the executive secretary of each non-health-related board shall be the chief administrative
officer for the board but shall not be a member of the board. The executive director or
executive secretary shall maintain the records of the board, account for all fees received
by it, supervise and direct employees servicing the board, and perform other services as
directed by the board. The executive directors, executive secretaries, and other employees
of the following boards shall be hired by the board, and the executive directors or executive
secretaries shall be in the unclassified civil service, except as provided in this subdivision:

(1) Dentistry;

(2) Medical Practice;

(3) Nursing;

(4) Pharmacy;

(5) Accountancy;

(6) Architecture, Engineering, Land Surveying, Landscape Architecture,
Geoscience, and Interior Design;

(7) Barber Examiners;

(8) Cosmetology;

(9) Teaching;

(10) Peace Officer Standards and Training;

(11) Social Work;

(12) Marriage and Family Therapy;

(13) Dietetics and Nutrition Practice; deleted text begin and
deleted text end

(14) Licensed Professional Counselingdeleted text begin .deleted text end new text begin ; and
new text end

new text begin (15) Combative Sports Commission.
new text end

The executive directors or executive secretaries serving the boards are hired by those
boards and are in the unclassified civil service, except for part-time executive directors
or executive secretaries, who are not required to be in the unclassified service. Boards
not requiring full-time executive directors or executive secretaries may employ them on
a part-time basis. To the extent practicable, the sharing of part-time executive directors
or executive secretaries by boards being serviced by the same department is encouraged.
Persons providing services to those boards not listed in this subdivision, except executive
directors or executive secretaries of the boards and employees of the attorney general, are
classified civil service employees of the department servicing the board. To the extent
practicable, the commissioner shall ensure that staff services are shared by the boards
being serviced by the department. If necessary, a board may hire part-time, temporary
employees to administer and grade examinations.

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

Minnesota Statutes 2007 Supplement, section 268.047, subdivision 1, is
amended to read:

Unemployment benefits paid to an applicant,
including extendeddeleted text begin , additional,deleted text end and shared work benefits, will be used in computing
the future tax rate of a taxpaying base period employer or charged to the reimbursable
account of a base period nonprofit or government employer that has elected to be liable for
reimbursements except as provided in subdivisions 2 and 3. The amount of unemployment
benefits used in computing the future tax rate of taxpaying employers or charged to the
reimbursable account of a nonprofit or government employer that has elected to be liable
for reimbursements is the same percentage of the total amount of unemployment benefits
paid as the percentage of wage credits from the employer is of the total amount of wage
credits from all the applicant's base period employers.

In making computations under this subdivision, the amount of wage credits, if not a
whole dollar, must be computed to the nearest whole dollar.

Minnesota Statutes 2007 Supplement, section 268.047, subdivision 2, is
amended to read:

Unemployment benefits paid will not be
used in computing the future tax rate of a taxpaying base period employer or charged to
the reimbursable account of a base period nonprofit or government employer that has
elected to be liable for reimbursements when:

(1) the applicant was discharged from the employment because of aggravated
employment misconduct as determined under section 268.095. This exception applies
only to unemployment benefits paid for periods after the applicant's discharge from
employment;

(2) an applicant's discharge from that employment occurred because a law required
removal of the applicant from the position the applicant held;

(3) the employer is in the tourist or recreation industry and is in active operation of
business less than 15 calendar weeks each year and the applicant's wage credits from the
employer are less than 600 times the applicable state or federal minimum wage;

(4) the employer provided regularly scheduled part-time employment to the
applicant during the applicant's base period and continues to provide the applicant with
regularly scheduled part-time employment during the benefit year of at least 90 percent
of the part-time employment provided in the base period, and is an involved employer
because of the applicant's loss of other employment. This exception terminates effective
the first week that the employer fails to meet the benefit year employment requirements.
This exception applies to educational institutions without consideration of the period
between academic years or terms;

(5) the employer is a fire department or firefighting corporation or operator of
a life-support transportation service, and continues to provide employment for the
applicant as a volunteer firefighter or a volunteer ambulance service personnel during the
benefit year on the same basis that employment was provided in the base period. This
exception terminates effective the first week that the employer fails to meet the benefit
year employment requirements;

(6) the applicant's unemployment from this employer was a direct result of the
condemnation of property by a governmental agency, a fire, flood, or act of nature,
where 25 percent or more of the employees employed at the affected location, including
the applicant, became unemployed as a result. This exception does not apply where the
unemployment was a direct result of the intentional act of the employer or a person acting
on behalf of the employer;

(7) the unemployment benefits were paid by another state as a result of the
transferring of wage credits under a combined wage arrangement provided for in section
268.131;

(8) the applicant stopped working because of a labor dispute at the applicant's
primary place of employment if the employer was not a party to the labor dispute;

(9) the unemployment benefits were determined overpaid unemployment benefits
under section 268.18; deleted text begin ordeleted text end

(10) new text begin the applicant was employed as a replacement worker, for a period of six months
or longer, for an employee who is in the military reserve and was called for active duty
during the time the applicant worked as a replacement, and the applicant was laid off
because the employee returned to employment after active duty; or
new text end

new text begin (11) new text end the trust fund was reimbursed for the unemployment benefits by the federal
government.

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

Minnesota Statutes 2007 Supplement, section 268.085, subdivision 3, is
amended to read:

(a) An applicant is not
eligible to receive unemployment benefits for any week with respect to which the applicant
is receiving, has received, or has filed for payment, equal to or in excess of the applicant's
weekly unemployment benefit amount, in the form of:

(1) vacation pay paid upon temporary, indefinite, or seasonal separation. This clause
does not apply to new text begin (i) new text end vacation pay paid upon a permanent separation from employmentdeleted text begin ;deleted text end new text begin , or
(ii) vacation pay paid from a vacation fund administered by a union or a third party not
under the control of the employer;
new text end

(2) severance pay, bonus pay, sick pay, and any other payments, except earnings
under subdivision 5, and back pay under subdivision 6, paid by an employer because
of, upon, or after separation from employment, but only if the payment is considered
wages at the time of payment under section 268.035, subdivision 29new text begin . This clause does
not apply to the first $5,000 of any amount of severance pay, bonus pay, sick pay, or any
other payments paid to an employeenew text end ; or

(3) pension, retirement, or annuity payments from any plan contributed to by a base
period employer including the United States government, except Social Security benefits
that are provided for in subdivision 4. The base period employer is considered to have
contributed to the plan if the contribution is excluded from the definition of wages under
section 268.035, subdivision 29, clause (1).

An applicant is not considered to have received the lump sum payment if the
applicant immediately deposits that payment in a qualified pension plan or account.

(b) This subdivision applies to all the weeks of payment. Payments under paragraph
(a), clauses (1) and (2), are applied to the period immediately following the last day
of employmentnew text begin .new text end deleted text begin anddeleted text end The number of weeks of paymentdeleted text begin , for purposes of those clauses,deleted text end
is determined as follows:

(1) if the payments are made periodically, the total of the payments to be received is
divided by the applicant's last level of regular weekly pay from the employer; or

(2) if the payment is made in a lump sum, that sum is divided by the applicant's last
level of regular weekly pay from the employer.

(c) If the payment is less than the applicant's weekly unemployment benefit amount,
unemployment benefits are reduced by the amount of the payment. If the computation
of reduced unemployment benefits is not a whole dollar, it is rounded down to the next
lower whole dollar.

new text begin This section, except for subdivision 3, paragraph (a), clause
(2), is effective the day following final enactment. Subdivision 3, paragraph (a), clause (2),
is effective for unemployment benefits paid on or after January 1, 2006, regardless of when
the continued request was filed or the week for which the unemployment benefits are paid.
new text end

Minnesota Statutes 2007 Supplement, section 268.085, subdivision 9, is
amended to read:

Wage credits from an employer may not be used for
unemployment benefit purposes by any applicant who:

(1) individually, jointly, or in combination with the applicant's spouse, parent, or
child owns or controls directly or indirectly 25 percent or more interest in the employerdeleted text begin ,deleted text end new text begin ;new text end or

new text begin (2)new text end is the spouse, parent, or minor child of any individual who owns or controls
directly or indirectly 25 percent or more interest in the employerdeleted text begin ; anddeleted text end new text begin .
new text end

deleted text begin (2) is temporarily, seasonally, or indefinitely unemployed and not permanently
separated from the employment.
deleted text end

This subdivisionnew text begin only applies if the applicant has been paid unemployment benefits
based upon wage credits from this employer within the prior four years andnew text end is effective
when the applicant has been paid deleted text begin fourdeleted text end new text begin fivenew text end times the applicant's weekly unemployment
benefit amount in the current benefit year.

new text begin This section is effective July 6, 2008, and applies to
applications for unemployment benefits filed on or after that date.
new text end

Minnesota Statutes 2007 Supplement, section 268.085, subdivision 16,
is amended to read:

(a) "Actively seeking
suitable employment" means those reasonable, diligent efforts an individual in similar
circumstances would make if genuinely interested in obtaining suitable employment under
the existing conditions in the labor market area. Limiting the search to positions that are
not available or are above the applicant's training, experience, and qualifications is not
"actively seeking suitable employment."

(b) To be considered "actively seeking suitable employment" an applicant must,
when reasonable, contact those employers from whom the applicant was laid off because
of lack of work and request suitable employment.

(c) If reasonable prospects of suitable employment in the applicant's usual or
customary occupation do not exist, the applicant must actively seek other suitable
employment to be considered "actively seeking suitable employment." This applies to an
applicant who is seasonally unemployed.

(d) An applicant who is seeking employment only through a union is deleted text begin notdeleted text end new text begin considerednew text end
actively seeking suitable employment deleted text begin unlessdeleted text end new text begin ifnew text end the applicant is in an occupation where
deleted text begin it is required by union rule that all thedeleted text end hiring in that locality is done through the
unionnew text begin .new text end deleted text begin or that all members aredeleted text end new text begin If the applicant is a union member who is new text end restricted
to obtaining employment among signatory contractors in the construction industrynew text begin ,
seeking employment only with those signatory contractors is considered actively seeking
employmentnew text end . The applicant must be a union member in good standing, registered with
the union for employment, and in compliance with other union rules to be considered
"actively seeking suitable employment."

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

Minnesota Statutes 2006, section 268.125, subdivision 1, is amended to read:

Additional
unemployment benefits are available if:

new text begin (1) a county had a total unemployment rate for the prior 12-calendar month period of
at least 1.8 times the state average unemployment rate for the prior 12-calendar month
period and the state average unemployment rate for the same 12-calendar month period
was at least 4.6 percent. The commissioner must calculate the applicable unemployment
rates within 30 calendar days following the end of the month. Once it has been calculated
that the total unemployment rate in a county equals or exceeds 1.8 times the state average
unemployment rate for the prior 12-calendar month period, the additional benefits are
available beginning the Sunday following the date of calculation and continuing for a
minimum of 13 calendar weeks; or
new text end

deleted text begin (1)deleted text end new text begin (2) (i) new text end at a facility that had 100 or more employees, the employer reduced
operations, resulting within a one-month period in the layoff of 50 percent or more of the
facility's work force, including reductions caused as a result of a major natural disaster
declared by the president;

deleted text begin (2)deleted text end new text begin (ii) new text end the employer has no expressed plan to resume operations that would lead to
the reemployment of those employees in the immediate future; and

deleted text begin (3)deleted text end new text begin (iii) new text end the seasonally adjusted unemployment rate in the county that the facility
is located was ten percent or more during the month of the reduction or any of the three
months before or after the month of the reduction.

new text begin This section is effective the day following final enactment
and applies retroactively from January 1, 2008.
new text end

Minnesota Statutes 2006, section 268.125, subdivision 2, is amended to read:

Additional unemployment benefits are payable from the trust fund.new text begin Additional
unemployment benefits paid will not be used in computing the experience rating of a
taxpaying employer nor charged to the reimbursing account of a nonprofit or government
employer.
new text end

Minnesota Statutes 2007 Supplement, section 268.125, subdivision 3, is
amended to read:

An applicant is eligible to receive additional
unemployment benefits for any week during the applicant's benefit year if:

new text begin (1) for any week during which benefits are available under subdivision 1, clause (1):
new text end

new text begin (i) the applicant resides in a county that meets the requirements of subdivision 1,
clause (1), and resided in that county each week that regular unemployment benefits
were paid;
new text end

new text begin (ii) the applicant meets the same eligibility requirements that are required for regular
unemployment benefits under section 268.069; and
new text end

new text begin (iii) the applicant has exhausted regular unemployment benefits under section
268.07, is not entitled to receive extended unemployment benefits under section 268.115,
and is not entitled to receive unemployment benefits under any other state or federal
law for that week; or
new text end

deleted text begin (1)deleted text end new text begin (2) new text end the applicant was laid off from employment as a result of a reduction under
subdivision 1new text begin , clause (2),new text end or was laid off because of lack of work from that employer
during the three-month period before, or the three-month period after, the month of the
reduction under subdivision 1new text begin , clause (2)new text end ;

deleted text begin (2)deleted text end new text begin (3) new text end the applicant meets the new text begin same new text end eligibility requirements new text begin that are required for
regular unemployment benefits new text end under section ;

deleted text begin (3) deleted text end deleted text begin the applicant is not ineligible under section 268.095 because of a quit or a
discharge;
deleted text end

(4) the applicant has exhausted regular unemployment benefits under section 268.07,
is not entitled to receive extended unemployment benefits under section 268.115, and
is not entitled to receive unemployment benefits under any other state or federal law
for that week; and

(5) a majority of the applicant's wage credits were from the employer that had a
reduction in operations under subdivision 1new text begin , clause (2)new text end .

new text begin This section is effective the day following final enactment
and applies retroactively from January 1, 2008.
new text end

Minnesota Statutes 2006, section 268.125, is amended by adding a subdivision
to read:

new text begin The commissioner must notify applicants of the availability
of additional unemployment benefits by contacting applicants by mail or electronic
transmission, by posting a notice on the department's official Web site, and by appropriate
announcement.
new text end

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

new text begin The unemployment insurance workers initiative
is created to increase the number of staff at each workforce development center who are
available to provide services to unemployed workers seeking information, assistance, and
advice on applying for unemployment insurance benefits.
new text end

new text begin Beginning January 1, 2009, the base unemployment tax
calculated under section 268.051, subdivision 2, paragraph (b), is reduced by .01 percent.
new text end

new text begin Notwithstanding Minnesota Statutes, section 116L.20, the
special assessment under that section of .10 percent is suspended until December 31, 2011.
new text end

new text begin A workforce enhancement fee of .11
percent on taxable wages as defined in section 268.035 subdivision 24, is assessed in
addition to unemployment taxes under section 268.051. The workforce enhancement fee
shall be paid on the same schedule and in the same manner as unemployment taxes under
section 268.051. Late payment of fees under this section is subject to the same interest and
penalty provisions as those that apply to unemployment taxes.
new text end

new text begin (a) Of the funds collected under this section an amount equal
to .01 percent on taxable wages must be deposited in the unemployment insurance worker
initiative account created under subdivision 6.
new text end

new text begin (b) The remaining funds collected under this section must be deposited in the
workforce development fund under section 116L.20 minus reimbursement for costs under
section 116L.20, subdivision 2, paragraph (c).
new text end

new text begin The unemployment insurance worker initiative account is
created as a special account in the special revenue fund in the state treasury. All funds
deposited under subdivision 5, paragraph (a), and any interest earnings on those funds
are appropriated to the commissioner to increase the amount of staff in the workforce
centers to provide assistance and support to applicants for unemployment insurance.
The commissioner shall give priority to providing sufficient staff in workforce centers
located outside of the seven county metropolitan area. Any funds that remain unexpended
in the first year are available for expenditure until December 31, 2011. Any unexpended
funds in this account after December 31, 2011 shall be transferred to the unemployment
insurance trust fund.
new text end

new text begin Beginning in 2010 and every two years thereafter, the
commissioner shall report by January 15 to the standing committees of the senate and
house of representatives having jurisdiction over unemployment insurance on the number
of staff providing unemployment insurance assistance to applicants at each workforce
center, the salaries paid to staff, and the amount of unemployment benefits paid to
applicants who received unemployment insurance assistance at the workforce centers.
new text end

new text begin Except for the reporting requirements under subdivision 7, this
section sunsets on December 31, 2011.
new text end

new text begin This section is effective January 1, 2009.
new text end

Minnesota Statutes 2006, section 298.2214, subdivision 1, is amended to read:

A committee is created to advise
the deleted text begin commissioner ofdeleted text end Iron Range resources and rehabilitation new text begin board new text end on providing higher
education programs new text begin in cooperation with the University of Minnesota, the Minnesota State
Colleges and Universities, and private colleges new text end in the taconite assistance area defined in
section 273.1341. The committee is subject to section 15.059.

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

Minnesota Statutes 2006, section 298.2214, subdivision 2, as amended by
Laws 2008, chapter 154, article 8, section 4, is amended to read:

The members
of the committee shall consist of:

(1) one member appointed by the governor;

(2) one member appointed by the president of the University of Minnesota;

(3) four members of the Iron Range Resources and Rehabilitation Board appointed
by the chair;

(4) deleted text begin the commissioner of Iron Range resources and rehabilitationdeleted text end new text begin one member
appointed by the chancellor of the Minnesota State Colleges and Universitiesnew text end ; and

(5) the president of the Northeast Higher Education District or its successor.

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

Minnesota Statutes 2006, section 298.223, subdivision 2, is amended to read:

new text begin (a) new text end The taconite area environmental protection fund shall
be administered by the commissioner of the Iron Range Resources and Rehabilitation
Board. The commissioner shall by September 1 of each year submit to the board a list
of projects to be funded from the taconite area environmental protection fund, with such
supporting information including description of the projects, plans, and cost estimates as
may be necessary.

new text begin (b) Each year no less than one-half of the amounts deposited into the taconite
environmental protection fund must be used for public works projects, including
construction of sewer and water systems, as specified under subdivision 1, paragraph (c).
The Iron Range Resources and Rehabilitation Board with a majority vote of the members,
may waive the requirements of this paragraph.
new text end

new text begin (c) new text end Upon approval by a majority of the members of the Iron Range Resources and
Rehabilitation Board, deleted text begin thisdeleted text end new text begin the new text end listnew text begin of projects approved under this subdivisionnew text end shall be
submitted to the governor by November 1 of each year. By December 1 of each year, the
governor shall approve or disapprove, or return for further consideration, each project.
Funds for a project may be expended only upon approval of the project by the board and
governor. The commissioner may submit supplemental projects to the board and governor
for approval at any time.

new text begin This section is effective for distributions beginning in 2009.
new text end

Minnesota Statutes 2007 Supplement, section 298.227, is amended to read:

new text begin For distributions prior to January 1, 2009, new text end an amount equal to that distributed
pursuant to each taconite producer's taxable production and qualifying sales under section
298.28, subdivision 9a, shall be held by the Iron Range Resources and Rehabilitation
Board in a separate taconite economic development fund for each taconite and direct
reduced ore producer. Money from the fund for each producer shall be released by
the commissioner after review by a joint committee consisting of an equal number of
representatives of the salaried employees and the nonsalaried production and maintenance
employees of that producer. The District 11 director of the United States Steelworkers of
America, on advice of each local employee president, shall select the employee members.
In nonorganized operations, the employee committee shall be elected by the nonsalaried
production and maintenance employees. The review must be completed no later than
six months after the producer presents a proposal for expenditure of the funds to the
committee. The funds held pursuant to this section may be released only for acquisition
of plant and stationary mining equipment and facilities for the producer or for research
and development in Minnesota on new mining, or taconite, iron, or steel production
technology, but only if the producer provides a matching expenditure to be used for
the same purpose of at least 50 percent of the distribution based on 14.7 cents per ton
beginning with distributions in 2002. Effective for proposals for expenditures of money
from the fund beginning May 26, 2007, the commissioner may not release the funds before
the next scheduled meeting of the board. If the board rejects a proposed expenditure, the
funds must be deposited in the Taconite Environmental Protection Fund under sections
298.222 to 298.225. If a producer uses money which has been released from the fund
prior to May 26, 2007 to procure haulage trucks, mobile equipment, or mining shovels,
and the producer removes the piece of equipment from the taconite tax relief area defined
in section 273.134 within ten years from the date of receipt of the money from the fund,
a portion of the money granted from the fund must be repaid to the taconite economic
development fund. The portion of the money to be repaid is 100 percent of the grant if the
equipment is removed from the taconite tax relief area within 12 months after receipt of
the money from the fund, declining by ten percent for each of the subsequent nine years
during which the equipment remains within the taconite tax relief area. If a taconite
production facility is sold after operations at the facility had ceased, any money remaining
in the fund for the former producer may be released to the purchaser of the facility on
the terms otherwise applicable to the former producer under this section. If a producer
fails to provide matching funds for a proposed expenditure within six months after the
commissioner approves release of the funds, the funds are available for release to another
producer in proportion to the distribution provided and under the conditions of this section.
Any portion of the fund which is not released by the commissioner within two years of its
deposit in the fund shall be divided between the taconite environmental protection fund
created in section 298.223 and the Douglas J. Johnson economic protection trust fund
created in section 298.292 for placement in their respective special accounts. Two-thirds
of the unreleased funds shall be distributed to the taconite environmental protection fund
and one-third to the Douglas J. Johnson economic protection trust fund.

Minnesota Statutes 2006, section 298.28, subdivision 9b, is amended to read:

deleted text begin Fivedeleted text end new text begin Eight new text end cents per ton must be paid to
the taconite environmental fund for use under section 298.2961, subdivision 4.

new text begin This section is effective for production in 2008, distributions
in 2009 and thereafter.
new text end

Minnesota Statutes 2006, section 298.28, subdivision 9d, as added by Laws
2008, chapter 154, article 8, section 9, is amended to read:

deleted text begin Twodeleted text end new text begin Five new text end cents per taxable ton
must be allocated to the Iron Range Resources and Rehabilitation Board to be deposited
in an Iron Range higher education account that is hereby created, to be used for higher
education programs conducted at educational institutions in the taconite assistance area
defined in section 273.1341. The Iron Range Higher Education committee under section
298.2214 and the Iron Range Resources and Rehabilitation Board must approve all
expenditures from the account.

Minnesota Statutes 2006, section 298.292, subdivision 2, as amended by Laws
2008, chapter 154, article 8, section 11, is amended to read:

Money in the Douglas J. Johnson economic protection trust
fund may be used for the following purposes:

(1) to provide loans, loan guarantees, interest buy-downs and other forms of
participation with private sources of financing, but a loan to a private enterprise shall be
for a principal amount not to exceed one-half of the cost of the project for which financing
is sought, and the rate of interest on a loan to a private enterprise shall be no less than the
lesser of eight percent or an interest rate three percentage points less than a full faith
and credit obligation of the United States government of comparable maturity, at the
time that the loan is approved;

(2) to fund reserve accounts established to secure the payment when due of the
principal of and interest on bonds issued pursuant to section 298.2211;

(3) to pay in periodic payments or in a lump sum payment any or all of the interest
on bonds issued pursuant to chapter 474 for the purpose of constructing, converting,
or retrofitting heating facilities in connection with district heating systems or systems
utilizing alternative energy sources;

(4) to invest in a venture capital fund or enterprise that will provide capital to other
entities that are engaging in, or that will engage in, projects or programs that have the
purposes set forth in subdivision 1. No investments may be made in a venture capital fund
or enterprise unless at least two other unrelated investors make investments of at least
$500,000 in the venture capital fund or enterprise, and the investment by the Douglas
J. Johnson economic protection trust fund may not exceed the amount of the largest
investment by an unrelated investor in the venture capital fund or enterprise. For purposes
of this subdivision, an "unrelated investor" is a person or entity that is not related to
the entity in which the investment is made or to any individual who owns more than 40
percent of the value of the entity, in any of the following relationships: spouse, parent,
child, sibling, employee, or owner of an interest in the entity that exceeds ten percent of
the value of all interests in it. For purposes of determining the limitations under this
clause, the amount of investments made by an investor other than the Douglas J. Johnson
economic protection trust fund is the sum of all investments made in the venture capital
fund or enterprise during the period beginning one year before the date of the investment
by the Douglas J. Johnson economic protection trust fund; and

(5) to purchase forest land in the taconite assistance area defined in section 273.1341
to be held and managed as a public trust for the benefit of the area for the purposes
authorized in section 298.22, subdivision 5a. new text begin Property purchased under this section may
be sold upon approval by a majority vote of the board. The net proceeds must be deposited
in the trust fund for the purposes and uses of this section.
new text end

Money from the trust fund shall be expended only in or for the benefit of the taconite
assistance area defined in section 273.1341.

Minnesota Statutes 2006, section 298.2961, subdivision 2, is amended to read:

(a) Projects funded must be for:

(1) environmentally unique reclamation projects;new text begin or
new text end

(2) pit or plant repairs, expansions, or modernizations other than for a value added
iron products plantdeleted text begin ; ordeleted text end new text begin .
new text end

deleted text begin (3) haulage trucks and equipment and mining shovels.
deleted text end

(b) To be proposed by the board, a project must be approved by at least eight Iron
Range Resources and Rehabilitation Board members. The money for a project may
be spent only upon approval of the project by the governor. The board may submit
supplemental projects for approval at any time.

(c) The board may require that it receive an equity percentage in any project to
which it contributes under this section.

Minnesota Statutes 2006, section 341.21, as amended by Laws 2007, chapter
135, article 3, section 30, is amended to read:

The definitions in this section apply to this chapter.

"Boxing" means the act of attack and defense with the fists, using
padded gloves, that is practiced as a sport under the rules of the Association of Boxing
Commissions, or equivalent. Where applicable, boxing includes tough person contests.

new text begin "Combatant" means an individual who employs the act of
attack and defense as a boxer, tough person, or mixed martial artist while engaged in
a combative sport.
new text end

new text begin "Combative sport" means a sport that employs the act
of attack and defense with the fists, with or without using padded gloves, or feet that is
practiced as a sport under the rules of the Association of Boxing Commissions, unified
rules for mixed martial arts, or their equivalent. Combative sports include professional
boxing and professional and amateur tough person and professional and amateur mixed
martial arts contests.
new text end

"Commission" means the deleted text begin Minnesota Boxingdeleted text end new text begin Combative
Sports new text end Commission.

"new text begin Combative sports new text end contest" means deleted text begin anydeleted text end new text begin a
professionalnew text end boxingnew text begin , a professional or amateur tough person, or a professional or amateur
mixed martial art bout, competitionnew text end deleted text begin contestdeleted text end , match, or exhibition.

new text begin "Director" means the executive director of the commission.
new text end

new text begin "HBV" means the hepatitis B virus with the e-antigen present in
the most recent blood test.
new text end

new text begin "HCV" means the hepatitis C virus.
new text end

new text begin "HIV" means the human immunodeficiency virus.
new text end

new text begin "Individual" means a living human being.
new text end

new text begin "Mixed martial arts contest" means a contest
between two or more individuals consisting of any combination of full contact martial art
including, but not limited to, Muay Thai and Karate, kickboxing, wrestling, grappling,
or other recognized martial art.
new text end

new text begin "Person" means an individual, corporation, partnership, limited
liability company, organization, or other business entity organized and existing under law,
its officers and directors, or a person holding 25 percent or more of the ownership of a
corporation that is authorized to do business under the laws of this state.
new text end

"Professional" means any person who competes for any
money prize or a prize that exceeds the value of $50 or teaches, pursues, or assists in the
practice of deleted text begin boxingdeleted text end new text begin a combative sportnew text end as a means of obtaining a livelihood or pecuniary
gain.

deleted text begin "Director" means the executive director of the commission.
deleted text end

"Tough person contest," including contests
marketed as tough man deleted text begin anddeleted text end new text begin ornew text end tough woman contests, means deleted text begin any boxing match consistingdeleted text end new text begin
a contestnew text end of deleted text begin one-minute roundsdeleted text end new text begin two-minute rounds consisting of not more than four roundsnew text end
between two or more deleted text begin personsdeleted text end new text begin individualsnew text end who use their hands, or their feet, or bothdeleted text begin ,deleted text end in any
manner. Tough person contest does not include deleted text begin kick boxingdeleted text end new text begin kickboxingnew text end or any recognized
martial arts deleted text begin competitiondeleted text end new text begin contestnew text end .

deleted text begin "Mixed martial arts" means any combination of
boxing, kick boxing, wrestling, grappling, or other recognized martial arts.
deleted text end

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

Minnesota Statutes 2007 Supplement, section 341.22, is amended to read:

There is hereby created the Minnesota deleted text begin Boxingdeleted text end new text begin Combative Sportsnew text end Commission
consisting of nine members who are citizens of this state. The members must be appointed
by the governor. One member of the commission must be a retired judge of the Minnesota
district court, Minnesota Court of Appeals, Minnesota Supreme Court, the United States
District Court for the District of Minnesota, or the Eighth Circuit Court of Appeals, and
at least deleted text begin threedeleted text end new text begin fournew text end members must have knowledge of the boxing industry. At least four
members must have knowledge of the mixed martial arts industry. The governor shall
make serious efforts to appoint qualified women to serve on the commission. Membership
terms, compensation of members, removal of members, the filling of membership
vacancies, and fiscal year and reporting requirements must be as provided in sections
214.07 to 214.09. new text begin Unless otherwise provided, new text end the provision of staff, administrative
services, and office space; the review and processing of complaints; the setting of fees; and
other provisions relating to commission operations deleted text begin must bedeleted text end new text begin arenew text end as provided in chapter 214.
The purpose of the commission is to protect health, promote safety, and ensure fair events.

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

Minnesota Statutes 2006, section 341.23, is amended to read:

No member of the deleted text begin Boxingdeleted text end commission may directly or indirectly promote a deleted text begin boxingdeleted text end
contest, directly or indirectly engage in the managing of a deleted text begin boxerdeleted text end new text begin combatantnew text end , or have an
interest in any manner in the proceeds from a deleted text begin boxingdeleted text end new text begin combative sportnew text end contest.

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

Minnesota Statutes 2007 Supplement, section 341.25, is amended to read:

(a) The commission may adopt rules that include standards for the physical
examination and condition of deleted text begin boxersdeleted text end new text begin combatantsnew text end and referees.new text begin Notwithstanding section
14.125, the commission shall publish a notice of intent to adopt rules or a notice of hearing
on or before September 1, 2008.
new text end

(b) The commission may adopt other rules necessary to carry out the purposes
of this chapter, including, but not limited to, the conduct of deleted text begin boxing exhibitions, bouts,
and fights,deleted text end new text begin all combative sport contestsnew text end and their manner, supervision, time, and place.new text begin
Notwithstanding section 14.125, the commission shall publish a notice of intent to adopt
rules or a notice of hearing on or before September 1, 2008.
new text end

new text begin (d) The commission may adopt the rules of the Association of Boxing Commissions,
with amendments.
new text end

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

Minnesota Statutes 2006, section 341.26, is amended to read:

The commission shall hold a regular meeting quarterly and may hold special
meetings. Except as otherwise provided in law, all meetings of the commission must be
open to the public and reasonable notice of the meetings must be given under chapter
13D.new text begin If compliance with section 13D.02 is impractical, the commission may conduct a
meeting of its members by telephone or other electronic means so long as the following
conditions are met:
new text end

new text begin (1) all members of the commission participating in the meeting, wherever their
physical location, can hear one another and can hear all discussion and testimony;
new text end

new text begin (2) members of the public present at the regular meeting location of the commission
can hear clearly all discussion and testimony and all votes of members of the commission
and, if needed, receive those services required by sections 15.44 and 15.441;
new text end

new text begin (3) at least one member of the commission is physically present at the regular
meeting location; and
new text end

new text begin (4) all votes are conducted by roll call, so each member's vote on each issue can be
identified and recorded.
new text end

new text begin Each member of the commission participating in a meeting by telephone or other
electronic means is considered present at the meeting for purposes of determining a
quorum and participating in all proceedings.
new text end

new text begin If a telephone or other electronic means is used to conduct a regular, special, or
emergency meeting, the commission, to the extent practical, shall allow a person to
monitor the meeting electronically from a remote location. The commission may require
the person making such a connection to pay for documented costs that the commission
incurs as a result of the additional connection.
new text end

new text begin If a telephone or other electronic means is used to conduct a regular, special, or
emergency meeting, the commission shall provide notice of the regular meeting location,
of the fact that some members may participate by telephone or other electronic means, and
that a person may monitor the meeting electronically from a remote location. The timing
and method of providing notice is governed by section 13D.04.
new text end

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

Minnesota Statutes 2007 Supplement, section 341.27, is amended to read:

The commission shall:

(1) issue, deny, renew, suspend, or revoke licenses;

(2) make and maintain records of its acts and proceedings including the issuance,
denial, renewal, suspension, or revocation of licenses;

(3) keep public records of the commission open to inspection at all reasonable times;

(4) assist the director in the development of rules to be implemented under this
chapter;

(5) conform to the rules adopted under this chapter; deleted text begin and
deleted text end

(6) develop policies and procedures for regulating mixed martial artsdeleted text begin .deleted text end new text begin ;
new text end

new text begin (7) immediately suspend an individual license for a medical condition, including but
not limited to a medical condition resulting from an injury sustained during a match, bout,
or contest that has been confirmed by the ringside physician. The medical suspension must
be lifted after the commission receives written information from a physician licensed in
the home state of the licensee indicating that the combatant may resume competition, and
any other information that the commission may by rule require. Medical suspensions are
not subject to section 214.10; and
new text end

new text begin (8) evaluate the performance and compensation of the director, including eligibility
for salary increases, in keeping with state procedures.
new text end

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

new text begin The commission may apply for, receive, and expend in its own name grants and
gifts of money consistent with the powers and duties specified in section 341.27. The
commission may accept gifts, bequests, grants, payments for services, and other public
and private money to help finance the activities of the commission.
new text end

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

Minnesota Statutes 2006, section 341.28, as amended by Laws 2007, chapter
135, article 3, sections 34, 35, is amended to read:

All deleted text begin professional
boxingdeleted text end new text begin combative sportnew text end contests are subject to this chapter. deleted text begin Every contestant in a boxing
contest shall wear padded gloves that weigh at least eight ounces.deleted text end The commission shall,
for every deleted text begin boxingdeleted text end new text begin combative sportnew text end contest:

(1) direct a commission member to be present; and

(2) direct the attending commission member to make a written report of the contest.

All deleted text begin boxingdeleted text end new text begin combative sportnew text end contests within this state must be conducted according to
the requirements of this chapter.

new text begin All professional boxing contests
are subject to this chapter. Every combatant in a boxing contest shall wear padded gloves
that weigh at least eight ounces. Officials at all boxing contests must be licensed under
this chapter.
new text end

All new text begin professional and
amateur new text end tough person contestsdeleted text begin , including amateur tough person contests,deleted text end are subject to
this chapter. All tough person contests are subject to deleted text begin Americandeleted text end new text begin Association ofnew text end Boxing
deleted text begin Commission (ABC)deleted text end new text begin Commissionsnew text end rules. Every contestant in a tough person contest shall
have a physical examination prior to their bouts. Every contestant in a tough person
contest shall wear padded gloves that weigh at least 12 ounces. All tough person bouts are
limited to two-minute rounds and a maximum of four total rounds. Officials at new text begin all new text end tough
person deleted text begin boutsdeleted text end new text begin contestsnew text end shall be licensed under this chapter.

All new text begin professional and amateur new text end mixed martial arts, ultimate fight contests, and
similar sporting events are subject to this chapternew text begin and all officials at these events must be
licensed under this chapternew text end .

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

Minnesota Statutes 2006, section 341.29, is amended to read:

The commission shall:

(1) have sole direction, supervision, regulation, control, and jurisdiction over all
deleted text begin boxingdeleted text end new text begin combative sportsnew text end contests deleted text begin and tough person contestsdeleted text end new text begin that arenew text end held within this state
unless a contest is exempt from the application of this chapter under federal law;

(2) have sole control, authority, and jurisdiction over all licenses required by this
chapter; and

(3) grant a license to an applicant if, in the judgment of the commission, the financial
responsibility, experience, character, and general fitness of the applicant are consistent
with the public interest, convenience, or necessity and the best interests of deleted text begin boxingdeleted text end new text begin
combative sportsnew text end and conforms with this chapter and the commission's rules.

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

Minnesota Statutes 2006, section 341.30, is amended to read:

All referees, judges, matchmakers,
promoters, trainers, ring announcers, timekeepers, ringside physicians, deleted text begin boxersdeleted text end new text begin combatantsnew text end ,
deleted text begin boxers'deleted text end managers, and deleted text begin boxers'deleted text end seconds are required to be licensed by the commission. The
commission shall not permit any of these persons to participate in the holding or conduct
of any deleted text begin boxingdeleted text end new text begin combative sportnew text end contest unless the commission has first issued the person
a license.

Before participating in the holding or conduct of any
deleted text begin boxingdeleted text end new text begin combative sportnew text end contest, a corporation, partnership, limited liability company, or
other business entity organized and existing under law, its officers and directors, and
any person holding 25 percent or more of the ownership of the corporation shall obtain
a license from the commission and must be authorized to do business under the laws of
this state.

The commission may require referees, judges,
matchmakers, promoters, and deleted text begin boxersdeleted text end new text begin combatantsnew text end to furnish fingerprints and background
information under commission rules before licensure. The commission shall charge a fee
for receiving fingerprints and background information in an amount determined by the
commission. The commission may require referees, judges, matchmakers, promoters,
and deleted text begin boxersdeleted text end new text begin combatantsnew text end to furnish fingerprints and background information before
license renewal. The fee may include a reasonable charge for expenses incurred by the
commission or the Department of Public Safety. For this purpose, the commission and the
Department of Public Safety may enter into an interagency agreement.

(a) Before the commission issues a license to
a promoter, matchmaker, corporation, or other business entity, the applicant shall:

(1) provide the commission with a copy of any agreement between a deleted text begin contestantdeleted text end new text begin
combatantnew text end and the applicant that binds the applicant to pay the deleted text begin contestantdeleted text end new text begin combatantnew text end a
certain fixed fee or percentage of the gate receipts;

(2) show on the application the owner or owners of the applicant entity and the
percentage of interest held by each owner holding a 25 percent or more interest in the
applicant;

(3) provide the commission with a copy of the latest financial statement of the
entity; and

(4) provide the commission with a copy or other proof acceptable to the commission
of the insurance contract or policy required by this chapter.

(b) Before the commission issues a license to a promoter, the applicant shall deposit
with the commission a cash bond or surety bond in an amount set by the commission.
The bond shall be executed in favor of this state and shall be conditioned on the faithful
performance by the promoter of the promoter's obligations under this chapter and the rules
adopted under it.new text begin An applicant for a license as a promoter shall submit an application a
minimum of six weeks before the combative sport contest is scheduled to occur.
new text end

(c) Before the commission issues a license to a deleted text begin boxerdeleted text end new text begin combatantnew text end , the applicant
shall submit to the commission the results of a current medical examination on forms
furnished or approved by the commission. The medical examination must include an
ophthalmological and neurological examinationnew text begin , and documentation of test results for
HBV, HCV, and HIV, and any other blood test as the commission by rule may requirenew text end .
The ophthalmological examination must be designed to detect any retinal defects or other
damage or condition of the eye that could be aggravated by deleted text begin boxingdeleted text end new text begin combative sportsnew text end . The
neurological examination must include an electroencephalogram or medically superior
test if the deleted text begin boxerdeleted text end new text begin combatantnew text end has been knocked unconscious in a previous deleted text begin boxing or other
athletic competitiondeleted text end new text begin contestnew text end . The commission may also order an electroencephalogram
or other appropriate neurological or physical examination before any contestdeleted text begin , match, or
exhibitiondeleted text end if it determines that the examination is desirable to protect the health of the
deleted text begin boxer.deleted text end new text begin combatant. The commission shall not issue a license to an applicant submitting
positive test results for HBV, HCV, or HIV.
new text end

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

Minnesota Statutes 2006, section 341.32, as amended by Laws 2007, chapter
135, article 3, section 36, is amended to read:

The commission may establish and issue annual
licenses subject to the collection of advance fees by the commission for promoters,
deleted text begin matchmakers,deleted text end managers, judges, referees, ring announcers, ringside physicians,
timekeepers, deleted text begin boxersdeleted text end new text begin combatantsnew text end , deleted text begin boxers'deleted text end trainers, deleted text begin boxers'deleted text end seconds, business entities filing
for a license to participate in the holding of any deleted text begin boxingdeleted text end contest, and officers, directors, or
other persons affiliated with the business entity.

A license issued after July 1, 2007, is valid for
one year from the date it is issued and may be renewed by filing an application for renewal
with the commission and payment of the license deleted text begin feedeleted text end new text begin fees established in section 341.321new text end .
An application for a license and renewal of a license must be on a form provided by the
commission. There is a 30-day grace period during which a license may be renewed if a
late filing penalty fee equal to the license fee is submitted with the regular license fee.
A licensee that files late shall not conduct any activity regulated by this chapter until the
commission has renewed the license. If the licensee fails to apply to the commission within
the 30-day grace period, the licensee must apply for a new license under subdivision 1.

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

Minnesota Statutes 2007 Supplement, section 341.321, is amended to read:

(a) The fee schedule fornew text begin professionalnew text end licenses issued by the deleted text begin Minnesota Boxingdeleted text end
commission is as follows:

(1) referees, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal;

(2) promoters, $400 for each initial license and each renewal;

(3) judges and knockdown judges, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal;

(4) trainers, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal;

(5) ring announcers, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal;

(6) deleted text begin boxers'deleted text end seconds, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal;

(7) timekeepers, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal;

(8) deleted text begin boxersdeleted text end new text begin combatantnew text end , deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal;

(9) managers, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal; and

(10) ringside physicians, deleted text begin $45deleted text end new text begin $25new text end for each initial license and each renewal.

new text begin In addition to the license fee and the late filing penalty fee in section 341.32, subdivision
2, if applicable, an individual who applies for a combatant license on the same day the
combative sporting event is held shall pay a fee of $100 at the time the application is
submitted.
new text end

(b) new text begin The fee schedule for amateur licenses issued by the commission is as follows:
new text end

new text begin (1) referees, $10 for each initial license and each renewal;
new text end

new text begin (2) promoters, $100 for each initial license and each renewal;
new text end

new text begin (3) judges and knockdown judges, $10 for each initial license and each renewal;
new text end

new text begin (4) trainers, $10 for each initial license and each renewal;
new text end

new text begin (5) ring announcers, $10 for each initial license and each renewal;
new text end

new text begin (6) seconds, $10 for each initial license and each renewal;
new text end

new text begin (7) timekeepers, $10 for each initial license and each renewal;
new text end

new text begin (8) combatant, $10 for each initial license and each renewal;
new text end

new text begin (9) managers, $10 for each initial license and each renewal; and
new text end

new text begin (10) ringside physicians, $10 for each initial license and each renewal.
new text end

new text begin (c) new text end The commission shall establish deleted text begin and assess an eventdeleted text end new text begin a contestnew text end fee for each deleted text begin sporting
eventdeleted text end new text begin combative sport contestnew text end . The deleted text begin eventdeleted text end new text begin contestnew text end fee is deleted text begin set at a minimum ofdeleted text end $1,500 per
event or deleted text begin a percentagedeleted text end new text begin not more than four percentnew text end of the new text begin gross new text end ticket sales as determined by
the commission when the deleted text begin sporting eventdeleted text end new text begin combative sport contestnew text end is schedulednew text begin , except that
the amateur combative sport contest fee shall be $150new text end .new text begin The commission shall consider the
size and type of venue when establishing a contest fee. The commission may establish the
maximum number of complimentary tickets allowed for each event by rule. An amateur
combative sport contest fee is nonrefundable.
new text end

deleted text begin (c)deleted text end new text begin (d)new text end All fees collected by the deleted text begin Minnesota Boxingdeleted text end commission must be deposited in
the deleted text begin Boxingdeleted text end commission account in the special revenue fund.

new text begin This section is effective July 1, 2008.
new text end

Minnesota Statutes 2006, section 341.33, is amended to read:

All deleted text begin boxers and refereesdeleted text end new text begin combatantsnew text end
must be examined by a physician licensed by this state within deleted text begin threedeleted text end new text begin 36new text end hours before
entering the ring, and the examining physician shall immediately file with the commission
a written report of the examination. The physician's examination deleted text begin shalldeleted text end new text begin maynew text end report on the
condition of the deleted text begin boxer'sdeleted text end new text begin combatant'snew text end heart and general physical and new text begin general new text end neurological
condition. The physician's report may record the condition of the deleted text begin boxer'sdeleted text end new text begin combatant'snew text end
nervous system and brain as required by the commission. The physician may prohibit the
deleted text begin boxerdeleted text end new text begin combatantnew text end from entering the ring if, in the physician's professional opinion, it is in
the best interest of the deleted text begin boxer'sdeleted text end new text begin combatant'snew text end health. The cost of the examination is payable
by the person or entity conducting the contest or exhibition.

A person holding or sponsoring a deleted text begin boxing contestdeleted text end new text begin
combative sport contest,new text end shall have in attendance a physician licensed by this state. The
commission may establish a schedule of fees to be paid to each attending physician by the
person holding or sponsoring the contest.

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

Minnesota Statutes 2006, section 341.34, subdivision 1, is amended to read:

The commission shall:

(1) require insurance coverage for a deleted text begin boxerdeleted text end new text begin combatantnew text end to provide for medical,
surgical, and hospital care for injuries sustained in the ring in an amount of at least
deleted text begin $20,000deleted text end new text begin $10,000new text end and payable to the deleted text begin boxerdeleted text end new text begin combatantnew text end as beneficiary; and

(2) require life insurance for a deleted text begin boxerdeleted text end new text begin combatantnew text end in the amount of at least deleted text begin $20,000deleted text end new text begin
$10,000new text end payable in case of accidental death resulting from injuries sustained in the ring.

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

Minnesota Statutes 2006, section 341.35, is amended to read:

Any person or persons who send or cause to be sent, published, or otherwise made
known, any challenge to fight what is commonly known as a prize fight, or engage in any
public deleted text begin boxing or sparringdeleted text end new text begin combative sportnew text end match or contest, with or without gloves, for
any prize, reward, or compensation, or for which any admission fee is charged directly or
indirectly, or go into training preparatory for the fight, exhibition, or contest, or act as a
trainer, aider, abettor, backer, umpire, referee, second, surgeon, assistant, or attendant at
the fight, exhibition, or contest, or in any preparation for same, and any owner or lessee of
any ground, building, or structure of any kind permitting the same to be used for any fight,
exhibition, or contest, is guilty of a misdemeanor unless deleted text begin a licensedeleted text end new text begin the licenses requirednew text end for
the holding of the fight, exhibition, or contest deleted text begin hasdeleted text end new text begin havenew text end been issued by the commission in
compliance with the rules adopted by it.

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

new text begin When the commission finds that a person has violated one or more provisions of
any statute, rule, or order that the commission is empowered to regulate, enforce, or
issue, the commission may impose, for each violation, a civil penalty of up to $10,000
for each violation, or a civil penalty that deprives the person of any economic advantage
gained by the violation, or both.
new text end

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

Minnesota Statutes 2006, section 341.37, is amended to read:

A deleted text begin Boxingdeleted text end commission account is created in the special revenue fund. Money in the
account is annually appropriated to the deleted text begin Boxingdeleted text end commission for the purposes of conducting
its statutory responsibilities and obligations.

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

Minnesota Statutes 2007 Supplement, section 446A.072, subdivision 3,
is amended to read:

(a) The authority shall provide supplemental
assistance, as provided in subdivision 5a to governmental units:

(1) whose projects are listed on the Pollution Control Agency's project priority list;

(2) that demonstrate their projects are a cost-effective solution to an existing
environmental or public health problem; and

(3) whose projects are approved by the USDA/RECD or certified by the
commissioner of the Pollution Control Agency.

(b) For a governmental unit receiving grant funding from the USDA/RECD,
applications must be made to the USDA/RECD with additional information submitted to
the authority as required by the authority. Eligible project costs and affordability criteria
shall be determined by the USDA/RECD.

(c) For a governmental unit not receiving grant funding from the USDA/RECD,
application must be made to the authority on forms prescribed by the authority for the
clean water revolving fund program with additional information as required by the
authority. In accordance with section 116.182, the Pollution Control Agency shall:

(1) calculate the essential project component percentage which must be multiplied
by the total project cost to determine the eligible project cost; and

(2) review and certify approved projects to the authority.

(d) deleted text begin At the time funds are appropriated under this section,deleted text end new text begin Each fiscal year the
authority shall make funds available for projects based on their ranking on the Pollution
Control Agency's project priority list.new text end The authority shall reserve deleted text begin supplemental assistancedeleted text end
new text begin funds new text end for deleted text begin projects in order of their rankings on the Pollution Control Agency's project
priority list anddeleted text end new text begin a project when the applicant receives a funding commitment from the
United States Department of Agriculture Rural Development (USDA/RECD) or submits
plans and specifications to the Pollution Control Agency. Funds must be reservednew text end in an
amount based on deleted text begin their most recentdeleted text end new text begin the projectnew text end cost deleted text begin estimatesdeleted text end new text begin estimatenew text end submitted to the
authority deleted text begin ordeleted text end new text begin prior to the appropriation of the funds and awarded in the amount reserved
or an amount based on new text end the as-bid costs, whichever is less.

Minnesota Statutes 2007 Supplement, section 446A.072, subdivision 5a,
is amended to read:

(a) For a governmental unit receiving
grant funding from the USDA/RECD, the authority shall provide assistance in the form
of a grant of up to deleted text begin one-halfdeleted text end new text begin 65 percentnew text end of the eligible grant deleted text begin amountdeleted text end new text begin neednew text end determined by
USDA/RECD. A governmental unit may not receive a grant under this paragraph for more
than $4,000,000 or $15,000 per existing connection, whichever is less, unless specifically
approved by law. In the case of a sanitary district or other multijurisdictional project for
which the USDA/RECD is unable to fully fund deleted text begin up to one-halfdeleted text end new text begin its sharenew text end of the eligible grant
deleted text begin amountdeleted text end new text begin neednew text end , the authority may provide up to an additional $1,000,000 for each additional
governmental unit participating up to a maximum of $8,000,000 or $15,000 per existing
connection, whichever is less, but not to exceed the maximum grant level determined by
the USDA/RECD as needed to keep the project affordable.

(b) For a governmental unit not receiving grant funding from the USDA/RECD,
the authority shall provide assistance in the form of a loan for the eligible project costs
new text begin plus the outstanding balance on any existing wastewater system debt new text end that new text begin together new text end exceed
five percent of the market value of properties in the project service area, less the amount of
any other grant funding received by the governmental unit for the project. A governmental
unit may not receive a loan under this paragraph for more than $4,000,000 or $15,000 per
existing connection, whichever is less, unless specifically approved by law. In the case of
a sanitary district or other multijurisdictional project, the authority may provide a loan
under this paragraph for up to an additional $1,000,000 for each additional municipality
participating up to a maximum of $8,000,000 or $15,000 per existing connection,
whichever is less, unless specifically approved by law. A loan under this paragraph must
bear no interest, must be repaid as provided in subdivision 7, and must only be provided in
conjunction with a loan from the clean water revolving fund under section 446A.07.

(c) Notwithstanding the limits in paragraphs (a) and (b), for a governmental unit
receiving supplemental assistance under this section after January 1, 2002, if the authority
determines that the governmental unit's construction and installation costs are significantly
increased due to geological conditions of crystalline bedrock or karst areas and discharge
limits that are more stringent than secondary treatment, the authority shall provide
assistance in the form of half grant and half loan. Assistance from the authority may not
be more than $25,000 per existing connection. Any additional grant amount received for
the same project must be used to reduce the amount of the governmental unit's loan from
the new text begin clean new text end water deleted text begin pollution controldeleted text end revolving fund that exceeds five percent of the market
value of properties in the project service area.

Minnesota Statutes 2007 Supplement, section 446A.086, is amended to read:

(a) As used in this section, the following terms have
the meanings given.

(b) "Authority" means the Minnesota Public Facilities Authority.

(d) "Debt obligation" meansnew text begin :new text end

new text begin (1) new text end a general obligation bond issued by a county, a bond to which the general
obligation of a county is pledged under section 469.034, subdivision 2, or a bond payable
from a county lease obligation under section 641.24, to provide funds for the construction
of:

deleted text begin (1)deleted text end new text begin (i)new text end jails;

deleted text begin (2)deleted text end new text begin (ii)new text end correctional facilities;

deleted text begin (3)deleted text end new text begin (iii)new text end law enforcement facilities;

deleted text begin (4)deleted text end new text begin (iv)new text end social services and human services facilities;

deleted text begin (5)deleted text end new text begin (v)new text end solid waste facilities; or

deleted text begin (6)deleted text end new text begin (vi)new text end qualified housing development projects as defined in section 469.034,
subdivision 2new text begin ; or
new text end

new text begin (2) a general obligation bond issued by a governmental unit and acquired under the
credit enhanced bond program established under section 446A.087new text end .

(a) This section provides a state guarantee of the payment of
principal and interest on debt obligations if:

(1) the obligations are issued after June 30, 2000;

(2) application to the Public Facilities Authority is made before issuance; and

(3) the obligations are covered by an agreement meeting the requirements of
subdivision 3.

(b) Applications to be covered by the provisions of this section must be made in a
form and contain the information prescribed by the authority. Applications are subject to a
fee of $500 for deleted text begin the firstdeleted text end new text begin eachnew text end bond issue requested by the county deleted text begin and $250 for each bond
issue thereafterdeleted text end new text begin or applicable fees under section 446A.087new text end .

(c) Application fees paid under this section must be deposited in a separate deleted text begin countydeleted text end new text begin
credit enhancementnew text end bond guarantee account in the general fund. Money in the deleted text begin countydeleted text end new text begin
credit enhancementnew text end bond guarantee account is appropriated to the authority for purposes
of administering this section.

(d) Neither the authority nor the commissioner is required to promulgate
administrative rules under this section and the procedures and requirements established by
the authority or commissioner under this section are not subject to chapter 14.

(a) For specified debt obligations deleted text begin of a countydeleted text end to be covered
by this section, the deleted text begin countydeleted text end new text begin governmental unitnew text end must enter an agreement with the authority
obligating the deleted text begin countydeleted text end new text begin governmental unitnew text end to be bound by this section.

(b) This agreement must be in a form prescribed by the authority and contain any
provisions required by the authority, including, at least, an obligation to:

(1) deposit with the paying agent three days before the date on which the payment is
due an amount sufficient to make that paymentnew text begin or ten days prior to the date a payment is
due on revenue bonds issued by the authority under section 446A.087new text end ;

(2) notify the authority, if the deleted text begin countydeleted text end new text begin governmental unitnew text end will be unable to make all
or a portion of the payment; and

(3) include a provision in the bond resolution and county's agreement with the paying
agent for the debt obligation that requires the paying agent to inform the commissioner if
it becomes aware of a default or potential default in the payment of principal or interest
on that issue or if, on the day two business days before the date a payment is due on that
issue, there are insufficient funds to make the payment on deposit with the paying agent.

(c) Funds invested in a refunding escrow account established under section 475.67
that are to become available to the paying agent on a principal or interest payment date are
deemed to be on deposit with the paying agent three business days before the payment date.

(d) The provisions of an agreement under this subdivision are binding as to an issue
as long as any debt obligation of the issue remains outstanding.

(e) This section and the obligations of the state under this section are not a public debt
of the state under article XI, section 4, of the Minnesota Constitution, and the legislature
may, at any time, choose not to appropriate amounts under subdivision 4, paragraph (b).

(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 deleted text begin county,deleted text end new text begin
governmental unit andnew text end 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 deleted text begin countydeleted text end new text begin governmental
unitnew text end will be unable to repay on the date due.

(b) Upon receipt of this notice from the authority, the commissioner shall issue a
warrant and authorize the authority to pay to the new text begin bond holders or new text end 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.

If the state has paid part or all of the
principal or interest due on a deleted text begin county'sdeleted text end debt obligation, the amount paid bears interest
from the date paid by the state until the date of repayment. The interest rate is the
commissioner's invested cash rate as it is certified by the commissioner. Interest only
accrues on the amounts paid and outstanding less the reduction in aid under subdivision 7
and other payments received from the deleted text begin countydeleted text end new text begin governmental unitnew text end .

If the
state has paid part or all of the principal or interest due on a deleted text begin county'sdeleted text end debt obligation,
the deleted text begin county'sdeleted text end new text begin governmental unit'snew text end pledge of its full faith and credit and unlimited taxing
powers to repay the principal and interest due on those debt obligations becomes, without
an election or the requirement of a further authorization, a pledge of the full faith and
credit and unlimited taxing powers of the deleted text begin countydeleted text end new text begin governmental unitnew text end to repay to the state
the amount paid, with interest. Amounts paid by the state must be repaid in the order
in which the state payments were made.

(a) Except as provided in paragraph (b),
the commissioner may reduce, by the amount paid by the state under this section on behalf
of the deleted text begin countydeleted text end new text begin governmental unitnew text end , plus the interest due on the state payments, the deleted text begin county
programdeleted text end new text begin local governmentnew text end aid under deleted text begin section 477A.0124deleted text end new text begin chapter 477Anew text end . The amount of any
aid reduction reverts from the appropriate account to the state general fund.

(b) If, after review of the financial situation of the deleted text begin countydeleted text end new text begin governmental unitnew text end , the
authority advises the commissioner that a total reduction of the aids would cause an
undue hardship on the deleted text begin countydeleted text end new text begin governmental unitnew text end , the authority, with the approval of the
commissioner, may establish a different schedule for reduction of aids to repay the state.
The amount of aids to be reduced are decreased by any amounts repaid to the state by the
deleted text begin countydeleted text end new text begin governmental unitnew text end from other revenue sources.

(a) With the approval of the authority, a deleted text begin countydeleted text end new text begin
governmental unitnew text end may levy in the year the state makes a payment under this section an
amount up to the amount necessary to provide funds for the repayment of the amount
paid by the state plus interest through the date of estimated repayment by the deleted text begin countydeleted text end new text begin
governmental unitnew text end . The proceeds of this levy may be used only for this purpose unless
they exceed the amount actually due. Any excess must be used to repay other state
payments made under this section or must be deposited in the debt redemption fund of
the deleted text begin countydeleted text end new text begin governmental unitnew text end . The amount of aids to be reduced to repay the state are
decreased by the amount levied.

(b) If the state is not repaid in full for a payment made under this section by
November 30 of the calendar year following the year in which the state makes the
payment, the authority shall require the deleted text begin countydeleted text end new text begin governmental unitnew text end to certify a property
tax levy in an amount up to the amount necessary to provide funds for repayment of the
amount paid by the state plus interest through the date of estimated repayment by the
deleted text begin countydeleted text end new text begin governmental unitnew text end . To prevent undue hardship, the authority may allow the deleted text begin countydeleted text end new text begin
governmental unitnew text end to certify the levy over a five-year period. The proceeds of the levy
may be used only for this purpose unless they are in excess of the amount actually due, in
which case the excess must be used to repay other state payments made under this section
or must be deposited in the debt redemption fund of the deleted text begin countydeleted text end new text begin governmental unitnew text end . If the
authority orders the deleted text begin countydeleted text end new text begin governmental unitnew text end to levy, the amount of aids reduced to repay
the state are decreased by the amount levied.

(c) A levy under this subdivision is an increase in the levy limits of the deleted text begin countydeleted text end new text begin
governmental unitnew text end for purposes of section 275.065, subdivision 6, and must be explained
as a specific increase at the meeting required under that provision.

If the state makes payments on
behalf of a deleted text begin countydeleted text end new text begin governmental unitnew text end under this section or the deleted text begin countydeleted text end new text begin governmental unitnew text end
defaults in the payment of principal or interest on an outstanding debt obligation, it must
submit a plan to the authority for approval specifying the measures it intends to implement
to resolve the issues which led to its inability to make the payment and to prevent
further defaults. If the authority determines that a deleted text begin county'sdeleted text end new text begin governmental unit'snew text end plan is
not adequate, the authority shall notify the deleted text begin countydeleted text end new text begin governmental unitnew text end that the plan has
been disapproved, the reasons for the disapproval, and that the state will not make future
payments under this section for debt obligations of the affected deleted text begin countydeleted text end new text begin governmental unitnew text end
issued after the date specified in that notice until its plan is approved. The authority may
also notify the deleted text begin countydeleted text end new text begin governmental unitnew text end that until its plan is approved, aids due the deleted text begin countydeleted text end new text begin
governmental unitnew text end will be withheld after a date specified in the notice.

The authority may enter into written
agreements or contracts relating to the continuing disclosure of information needed to
facilitate the ability of deleted text begin countiesdeleted text end new text begin governmental unitsnew text end to issue debt obligations according
to federal securities laws, rules, and regulations, including securities and exchange
commission rules and regulations, section 240.15c2-12. The agreements or contracts may
be in any form the authority deems reasonable and in the state's best interests.

new text begin A credit enhanced bond program is
established for the purposes set forth in subdivision 2.
new text end

new text begin The purpose of the credit enhanced bond program is to
provide loans to governmental units through the purchase of general obligation bonds
of governmental units issued to finance all or a portion of the costs of a project. The
program shall include providing credit enhancement to the general obligation bonds of the
governmental unit through the guarantee program as provided in section 446A.086. The
authority shall obtain funds to make the loans authorized pursuant to this section through
the issuance of its revenue bonds payable from loan repayments pledged to the bonds, and
such other sources and security as are specifically pledged by the authority.
new text end

new text begin (a) Terms used in this section have the meanings given to
them in this subdivision.
new text end

new text begin (b) "Applicant" means any governmental unit applying to the authority for a loan
pursuant to this section.
new text end

new text begin (c) "Borrower" means any governmental unit that has entered into a commitment
for the sale of its general obligation bonds to the authority pursuant to this section and
subsequently sells its general obligation bonds to the authority and enters into a regulatory
agreement.
new text end

new text begin (d) "Commitment" means a written agreement between a governmental unit and the
authority obligating the governmental unit to deliver its general obligation bonds to the
authority on a date in the future evidencing a loan pursuant to this section and to enter
into a regulatory agreement with the authority, all upon the terms and conditions set
forth in the commitment.
new text end

new text begin (e) "Eligible cost" means any cost of a project authorized by law to be financed from
the proceeds of general obligation bonds of a governmental unit.
new text end

new text begin (f) "General obligation bonds" means bonds or notes secured by the full faith and
credit and unlimited taxing powers of a governmental unit.
new text end

new text begin (g) "Project" means the construction, improvement, or rehabilitation of:
new text end

new text begin (1) wastewater facilities;
new text end

new text begin (2) drinking water facilities;
new text end

new text begin (3) storm water facilities;
new text end

new text begin (4) streets, street lighting, curbs, gutters, and sidewalks;
new text end

new text begin (5) energy conservation or alternative energy sources for use in public buildings or
facilities;
new text end

new text begin (6) telecommunications facilities;
new text end

new text begin (7) public safety buildings including those providing police and fire protection; or
new text end

new text begin (8) any publicly owned building or infrastructure improvement that has received
partial funding from grants awarded by the commissioner of employment and economic
development related to redevelopment, contaminated site cleanup, bioscience, small cities
development programs, and rural business infrastructure programs.
new text end

new text begin (h) "Regulatory agreement" means a written agreement entered into by the authority
and a borrower in connection with the purchase of the borrower's general obligation bonds
by the authority pursuant to this section.
new text end

new text begin A credit enhancement bond
program fund is established for the purposes described in subdivision 2. Other accounts
may be established in the fund as necessary for its management and administration.
Money in the fund is annually appropriated to the authority and does not lapse. The fund
must be credited with investment income, and with repayments of principal and interest,
except for fees assessed under section 446A.04, subdivisions 5 and 15.
new text end

new text begin The authority shall manage and
administer the credit enhancement bond program fund and individual accounts in the fund.
For those purposes, the authority may exercise all powers provided in this chapter.
new text end

new text begin (a) Applicants for participation in the credit enhancement
bond program must submit an application to the authority on forms prescribed by the
authority. The applicant shall provide information customary to that needed for the
disclosure purposes in issuing general obligation bonds in the market, in addition to the
following information:
new text end

new text begin (1) the total estimated cost of the project and the amount of general obligation
bond proceeds sought;
new text end

new text begin (2) other sources of funding if the general obligation bond proceeds do not cover
the entire costs identified;
new text end

new text begin (3) the proposed sources of funds to be used for repayment of the general obligation
bonds;
new text end

new text begin (4) information showing the applicant's financial status and ability of the applicant
to repay loans;
new text end

new text begin (5) the proposed term and principal repayment schedule for the general obligation
bonds of the applicant; and
new text end

new text begin (6) the statutory authorization for the applicant to issue such general obligation
bonds, together with a statement that the statutory provision authorizes the use of proceeds
of such general obligation bonds to pay the costs of a project.
new text end

new text begin (b) The authority may establish deadlines or time periods for the submission of
applications to facilitate funding loans from the proceeds of a specific bond issue proposed
or previously issued by the authority, or the authority may accept applications from time
to time.
new text end

new text begin (c) Each application must be complete and accurate to be considered delivered to
and received by the authority or to be considered as having met any deadline established
by the authority with respect to an application period. If any application is determined by
the authority to be incomplete or inaccurate, the authority shall notify the applicant and
specify the missing or inaccurate information.
new text end

new text begin (d) The executive director and the staff of the authority shall evaluate the applications
to determine if the application should be accepted or rejected by the authority.
new text end

new text begin (e) The authority is not obligated to accept any application including those complete
and accurate and submitted by any specified deadline for submission if the authority
determines that it is not practicable to fund the loan for any reason including, but not
limited to, the creditworthiness of the applicant, the proposed loan amount, the term
and repayment schedule, the sources of funding available to the authority, and current
market conditions. Upon acceptance and approval of an application by the authority, the
authority may require that the applicant authorize, execute, and deliver a commitment to
the authority within such time period specified by the authority in its acceptance of the
application. The authority may reject an approved application for failure by the applicant
to authorize, execute, and deliver a commitment by the specified deadline.
new text end

new text begin (a) The terms and conditions of loans
provided by the authority pursuant to the credit enhanced bond program are as provided
by this section, any applicable bond resolution or series bond resolution of the authority,
any trust indenture pursuant to which any series of bonds of the authority are issued,
the regulatory agreement, the commitment and the general obligation bond, and the
authorizing resolution of the borrower.
new text end

new text begin (b) The loan must be made by the authority through its purchase of the general
obligation bond of the borrower. The borrower shall provide the authority with the
opinion of nationally recognized bond counsel as to the valid authorization, issuance, and
enforceability of the general obligation bond of the borrower, and the exclusion of interest
thereon from gross income for the purposes of federal taxation, subject to customary
qualifications. The general obligation bond of the borrower may pledge other specified
sources of revenues for repayment to the extent permitted or required by law, in addition
to the full faith and credit and unlimited taxing powers of the borrower.
new text end

new text begin (c) The authority may disburse the proceeds of the loan as a single payment for the
general obligation bond or from time to time pursuant to draw requests if the general
obligation bond of the borrower is structured as a periodic drawdown bond. In the event
the authority pays for the general obligation bond in a single payment, the borrower
shall establish a project account and disburse the proceeds of its general obligation bond
solely for costs of the project approved in its application pursuant to such additional
requirements specified in the regulatory agreement.
new text end

new text begin (d) In order to facilitate the issuance of the authority's revenue bonds to finance
a pool of loans to different borrowers, the authority may require the borrower in the
commitment to issue its general obligation bond on a date certain in the future, and
may require the borrower to pay the costs incurred by the authority as a result of the
borrower's failure to deliver its general obligation bond as required by the commitment.
The commitment may also require the borrower to provide to the authority full disclosure
of all material facts and financial information relating to the borrower that would be
required if the borrower issued its general obligation bond to the public, certified as to
completeness and accuracy by authorized officers of the borrower, and authorization for
the authority to use such information in connection with the sale of the authority's revenue
bonds or disclosure relating to the authority's revenue bonds.
new text end

new text begin (e) In addition to delivering its general obligation bond, each borrower shall enter
into a regulatory agreement with the authority providing additional terms of the loan
as the authority may specify, including providing to the authority periodic reports and
information relating to the acquisition or construction of the project and use of the
proceeds of the borrower's general obligation bond and periodic operating, financial, and
other information as to the creditworthiness of the borrower, and providing and filing
continuing secondary market disclosure to the extent required by the authority.
new text end

new text begin (f) The purchase or commitment to purchase general obligation bonds of borrowers
by the authority shall be subject to the availability of proceeds of revenue bonds of the
authority for such purpose and the authority is not liable to any borrower for the failure to
purchase its general obligation bond pursuant to a commitment or any other agreement if
proceeds of the authority's revenue bonds are not available for any reason.
new text end

new text begin The rate of interest on the general obligation
bonds of the borrower must be the true interest cost on the revenue bonds of the authority
issued to purchase such general obligation bonds of the borrower plus the ongoing
percentage fee charged by the authority under subdivision 10; provided that the interest
rate must not exceed any limit imposed by federal tax law with respect to the authority's
revenue bonds.
new text end

new text begin The authority may suspend offering loans if it is
determined by the executive director that there are extreme or unusual events impacting
the bond market and that to continue making loans would be detrimental to holders of the
authority's revenue bonds or the financial viability of the credit enhanced bond program,
or if the state is warned by one of its rating agencies that continuing to make loans will
result in lowering the state's bond rating. If the making of loans is suspended under this
section, the authority shall have the option to resume making loans once it has determined
that the conditions for suspending the program no longer exist.
new text end

new text begin The authority shall charge a nonrefundable application fee of
$1,000 payable by each applicant upon submission of an application to the authority. A
separate application fee must be payable for each application submitted, including a
resubmitted application for an application that was rejected by the authority or determined
to be incomplete or inaccurate by the authority. The authority shall charge an ongoing
periodic fee of ten basis points of the outstanding principal amount of the loan to be added
to, and be a component of, the interest rate on the general obligation bonds of the borrower.
new text end

new text begin (a) The authority is authorized to issue
revenue bonds as provided in this chapter to fund the credit enhanced bond program.
The revenue bonds may be issued in one or more series pursuant to a resolution of the
authority or a series resolution or pursuant to a trust indenture with a financial institution
with trust powers as trustee, authorized by resolution of the authority. Any issue of bonds
may be used to fund one or more loans, may be payable by the loans funded from such
issue of bonds and such additional loans as pledged by the authority, and may be payable
on a subordinated basis to other bonds. As permitted by the terms of any revenue bonds
issued by the authority, the authority may sell the general obligations pledged to the
payment of the revenue bonds and any proceeds of the sale in excess of those used to pay
the principal of the revenue bonds must be deposited to the credit enhanced bond program
fund and may be used to purchase additional general obligation bonds of borrowers, to
provide credit enhancement for the authority's revenue bonds, or to pay any other expense
of the credit enhanced bond program.
new text end

new text begin (b) The authority may issue short-term bonds in anticipation of issuing long-term
bonds for the purpose of acquiring general obligation bonds of borrowers.
new text end

new text begin (c) Bonds issued by the authority for the credit enhanced bond program must not
be general obligations of the authority to the payment of which the general assets of the
authority are pledged or available for payment. All bonds issued for the credit enhanced
bond programs by the authority must be revenue bonds payable solely from the sources
specified in the bond.
new text end

new text begin (a) During the term of the loan the borrower
shall provide written reports to the authority. The content and timing of these reports must
be as specified in the regulatory agreement.
new text end

new text begin (b) During the term of the loan the borrower shall disclose to the authority any
material information or events adversely affecting the creditworthiness of the borrower
as specified in the regulatory agreement. If required by the authority in a regulatory
agreement, the borrower shall enter into a continuing disclosure undertaking to provide
disclosure to the market.
new text end

new text begin (c) During the term of the loan, the borrower shall provide to the authority on an
annual basis financial statements of the borrower audited by an independent accounting
firm, as further specified in the regulatory agreement.
new text end

Minnesota Statutes 2006, section 446A.12, subdivision 1, is amended to read:

The authority may issue negotiable bonds in a
principal amount that the authority determines necessary to provide sufficient funds for
achieving its purposes, including the making of loans and purchase of securities, the
payment of interest on bonds of the authority, the establishment of reserves to secure
its bonds, the payment of fees to a third party providing credit enhancement, and the
payment of all other expenditures of the authority incident to and necessary or convenient
to carry out its corporate purposes and powers, but not including the making of grants.
Bonds of the authority may be issued as bonds or notes or in any other form authorized
by law. The principal amount of bonds issued and outstanding under this section at any
time may not exceed $1,500,000,000, excluding bonds for which refunding bonds or
crossover refunding bonds have been issueddeleted text begin .deleted text end new text begin , and excluding any bonds issued for the
credit enhanced bond program or refunding or crossover refunding bonds issued under the
program. The principal amount of bonds issued and outstanding under section 446A.087,
may not exceed $500,000,000, excluding bonds for which refunding bonds or crossover
refunding bonds have been issued.
new text end

Laws 1999, chapter 223, article 2, section 72, is amended to read:

The commissioner of trade and economic development must make loans to
businesses in the Upper Red Lake area that have been severely affected by the significant
decline of the walleye fishing resource in Upper Red Lake. The loans may only be
made to businesses that operated in 1998. A business must submit an application to the
commissioner on forms provided by the commissioner. The application must include a
business plan for continued operation, with the assistance of the loan, until the walleye
fishing resource recovers. The commissioner shall allocate available loan funds to a
business based on the commissioner's evaluation of the probable success of its business
plan. A loan shall be for a maximum amount of $75,000 and a duration of ten years from
the date of the loan and shall be interest free. Repayment of a loan in monthly payments
of 1/120 of the original principal amount must begin no later than one year after walleye
fishing on Upper Red Lake is deleted text begin allowed by the department of natural resourcesdeleted text end new text begin recovered to
a bag limit of six fishnew text end . Any principal balance remaining at the end of the ten-year period
shall be forgiven if the business continues in operation for the ten-year period. Loan
repayments shall be deposited in the general fund.

Laws 2007, chapter 135, article 1, section 3, subdivision 2, is amended to read:

40,667,000

8,639,000

Appropriations by Fund
General	39,967,000	7,939,000
Remediation	700,000	700,000

(a) (1) $250,000 the first year and $250,000
the second year are from the general fund
for a grant under Minnesota Statutes,
section 116J.421, to the Rural Policy and
Development Center at St. Peter, Minnesota.
The grant shall be used for research and
policy analysis on emerging economic and
social issues in rural Minnesota, to serve as
a policy resource center for rural Minnesota
communities, to encourage collaboration
across higher education institutions to
provide interdisciplinary team approaches
to research and problem-solving in rural
communities, and to administer overall
operations of the center.

(2) The grant shall be provided upon the
condition that each state-appropriated
dollar be matched with a nonstate dollar.
Acceptable matching funds are nonstate
contributions that the center has received and
have not been used to match previous state
grants. Any unencumbered balance in the
first year is available for the second year.

(b) $250,000 the first year and $250,000
the second year are from the general fund
for a grant to WomenVenture for women's
business development programs.

(c) $250,000 the first year is for a grant to
University Enterprise Laboratories (UEL)
for its direct and indirect expenses to support
efforts to encourage the growth of early-stage
and emerging bioscience companies. UEL
must provide a report by June 30 each year
to the commissioner on the expenditures
until the appropriation is expended. This is a
onetime appropriation and is available until
expended.

(d) $2,000,000 the first year is for grants
under Minnesota Statutes, section 116J.571,
for the redevelopment grant program. This is
a onetime appropriation.

new text begin Of this amount, $100,000 is for a grant to
the Neighborhood Development Corporation
for assistance necessary to retain business
enterprises at the Global Market and is
available until expended.
new text end

(e) $100,000 the first year and $100,000 the
second year are to help small businesses
access federal funds through the federal
Small Business Innovation Research Program
and the federal Small Business Technology
Transfer Program. Department services
must include maintaining connections to
11 federal programs, assessment of specific
funding opportunities, review of funding
proposals, referral to specific consulting
services, and training workshops throughout
the state. Unless prohibited by federal law,
the department must implement fees for
services that help companies seek federal
Phase II Small Business Innovation Research
grants. The recommended fee schedule
must be reported to the chairs of the house
of representatives finance committee and
senate budget division with jurisdiction over
economic development by February 1, 2008.

(f) $100,000 the first year and $100,000
the second year are appropriated to the
Public Facilities Authority for the small
community wastewater treatment program
under Minnesota Statutes, chapter 446A.

(g) $255,000 the first year and $155,000
the second year are from the general fund
for a grant to the Metropolitan Economic
Development Association for continuing
minority business development programs in
the metropolitan area.

(h) $85,000 the first year and $85,000 the
second year are for grants to the Minnesota
Inventors Congress. Of this amount, $10,000
each year is for the Student Inventors
Congress.

(i) $151,000 the first year is for a onetime
grant to the city of Faribault to design,
construct, furnish, and equip renovations to
accommodate handicapped accessibility at
the Paradise Center for the Arts.

(j) $750,000 the first year is to Minnesota
Technology, Inc. for the small business
growth acceleration program established
under Minnesota Statutes, section 116O.115.
This is a onetime appropriation. new text begin This
appropriation does not cancel, but is
available until June 30, 2011.
new text end

(k) $300,000 the first year is for a onetime
grant to the city of Northome for the
construction of a new municipal building to
replace the structures damaged by fire on
July 22, 2006. This appropriation is available
when the commissioner determines that a
sufficient match is available from nonstate
sources to complete the project.

(l) $300,000 the first year is for a grant to the
city of Worthington for an agricultural-based
bioscience training and testing center. Funds
appropriated under this section must be used
to provide a training and testing facility for
incubator firms developing new agricultural
processes and products. This is a onetime
appropriation and is available until expended.

(m) $1,750,000 the first year is for a onetime
grant to BioBusiness Alliance of Minnesota
for bioscience business development
programs to promote and position the state
as a global leader in bioscience business
activities. These funds may be used for:

(1) completion and periodic updating of
a statewide bioscience business industry
assessment of business technology
enterprises and Minnesota's competitive
position employing annual updates to federal
industry classification data;

(2) long-term strategic planning that includes
projections of market changes resulting
from developments in biotechnology and the
development of 20-year goals, strategies, and
identified objectives for renewable energy,
medical devices, biopharma, and biologics
business development in Minnesota;

(3) the design and construction of a
Minnesota focused bioscience business
model to test competing strategies and
scenarios, evaluate options, and forecast
outcomes; and

(4) creation of a bioscience business
resources network that includes development
of a statewide bioscience business economic
development framework to encourage
bioscience business development and
encourage spin-off activities, attract
bioscience business location or expansion in
Minnesota, and establish a local capability to
support strategic system level planning for
industry, government, and academia.

This appropriation is available until June 30,
2009.

(n) $125,000 the first year is to develop and
operate a bioscience business marketing
program to market Minnesota bioscience
businesses and business opportunities
to other states and other countries. The
bioscience business marketing program must
emphasize bioscience business location and
expansion opportunities in communities
outside of the seven-county metropolitan
area as defined in Minnesota Statutes,
section 473.121, subdivision 2, that have
established collaborative plans among two
or more municipal units for bioscience
business activities, and that are within 15
miles of a four-year, baccalaureate degree
granting institution or a two-year technical
or community college that offers bioscience
curricula. The commissioner must report
to the committees of the senate and house
of representatives having jurisdiction
over bioscience and technology issues by
February 1 of each year on the expenditures
of these funds and the promotional activities
undertaken to market the Minnesota
bioscience industry to persons outside of the
state. This is a onetime appropriation and is
available until expended.

(o) $325,000 is for a grant to the Walker
Area Community Center, Inc., to construct,
furnish, and equip the Walker Area
Community Center. This appropriation is
not available until the commissioner has
determined that an amount sufficient to
complete the project has been committed
from nonstate sources. This is a onetime
appropriation and is available until expended.

(p) $100,000 the first year is for a grant
to the Pine Island Economic Development
Authority for predesign to upgrade and
extend utilities to serve Elk Run Bioscience
Research Park and The Falls - Healthy
Living By Nature, an integrated medicine
facility. This is a onetime appropriation and
is available until expended.

(q) $350,000 the first year is for a grant
to Thomson Township for infrastructure
improvements for the industrial park. This
is a onetime appropriation and is available
until expended.

(r) $75,000 the first year is for a grant to
Le Sueur County for the cost of cleaning
up debris from lakes in Le Sueur County,
caused by the August 24, 2006, tornado in
southern Le Sueur County. This is a onetime
appropriation and is available until expended.

(s) $400,000 the first year is for a grant to
the city of Rogers to be used for relief from
damages caused by the September 16, 2006,
tornado.

(t) $75,000 the first year is for a grant to
the city of Warroad for new public facilities
to replace those damaged or destroyed
by the August 2006 tornado, including
approximately 28 new street lights and
underground electrical circuits and a new
fish cleaning house. This is a onetime
appropriation and is available until expended.
If an appropriation for this purpose is enacted
more than once in the 2007 session, the
appropriation is effective only once.

(u) $500,000 the first year is for a grant to
the Upper Sioux Community to improve the
current water system to ensure continuity
of service to the entire population of the
community and to meet the demands of the
community expansion over the next 20 years.
The is a onetime appropriation and is not
available until the Public Facilities Authority
has determined that at least $1,000,000 has
been committed from nonstate sources. This
appropriation is available until expended. *
(The preceding text beginning "(u) $500,000
the first year is for" was indicated as vetoed
by the governor.)

(v) $755,000 the first year is for the urban
challenge grant program under Minnesota
Statutes, section 116M.18. This is a onetime
appropriation.

(w) $1,100,000 is for a grant to the
Neighborhood Development Center for
assistance necessary to retain minority
business enterprises at the Global Market.
This is a onetime appropriation and is
available until expended.

(x) $350,000 the first year is for a onetime
grant to the city of Inver Grove Heights
to reduce debt on the Inver Grove Heights
Veterans Memorial Community Center. *
(The preceding text beginning "(x) $350,000
the first year is for" was indicated as vetoed
by the governor.)

(y) $14,900,000 the first year is for the
Minnesota minerals 21st century fund created
in Minnesota Statutes, section 116J.423, to
partially restore the money unallotted by the
commissioner of finance in 2003 pursuant
to Minnesota Statutes, section 16A.152.
This appropriation may be used as provided
in Minnesota Statutes, section 116J.423,
subdivision 2. This appropriation is available
until expended.

(z) $2,500,000 the first year is for a grant to
the city of St. Paul to be used to pay, redeem,
or refund debt service costs incurred for the
River Centre Campus. * (The preceding text
beginning "(z) $2,500,000 the first year is
for" was indicated as vetoed by the governor.)

(aa) $147,000 each year is appropriated from
the general fund to the commissioner of
employment and economic development for
grants of $49,000 to eligible organizations
each year and for the purposes of this
paragraph. Each state grant dollar must be
matched with $1 of nonstate funds. Any
balance in the first year does not cancel but
is available in the second year. The base for
these grants in fiscal years 2010 and 2011
is $189,000 each year, with each eligible
organization receiving a $63,000 grant each
year.

The commissioner of employment and
economic development must make grants to
organizations to assist in the development
of entrepreneurs and small businesses.
Three grants must be awarded to continue
or to develop a program. One grant must
be awarded to the Riverbend Center for
Entrepreneurial Facilitation in Blue Earth
County, and two to other organizations
serving Faribault and Martin Counties. Grant
recipients must report to the commissioner
by February 1 of each year that the
organization receives a grant with the
number of customers served; the number of
businesses started, stabilized, or expanded;
the number of jobs created and retained; and
business success rates. The commissioner
must report to the house of representatives
and senate committees with jurisdiction
over economic development finance on the
effectiveness of these programs for assisting
in the development of entrepreneurs and
small businesses.

(bb) deleted text begin $5,000,000deleted text end new text begin $2,000,000new text end the first year is
for grants under Minnesota Statutes, section
116J.8731, for the Minnesota investment
fund program. Of this amount, deleted text begin up to
$3,000,000 may be used for a legal reference
office and data center facility, provided that
the total capital investment in the facility
is at least $60,000,000. This grant is not
subject to grant limitations under Minnesota
Statutes, section 116J.8731, subdivision 5deleted text end new text begin
$1,000,000 must be used for biomass heating
grants and loans under section 55new text end . This is
a onetime appropriationnew text begin and is available in
either year of the bienniumnew text end .

Laws 2007, chapter 135, article 1, section 3, subdivision 3, is amended to read:

50,024,000

49,833,000

Appropriations by Fund
General	33,529,000	33,338,000
Workforce Development	16,495,000	16,495,000

(a) $6,785,000 the first year and $6,785,000
the second year are from the general fund
for the Minnesota job skills partnership
program under Minnesota Statutes, sections
116L.01 to 116L.17. If the appropriation for
either year is insufficient, the appropriation
for the other year is available for it. This
appropriation does not cancel.

(b) $455,000 the first year and $455,000 the
second year are from the general fund for
a grant under Minnesota Statutes, section
116J.8747, to Twin Cities RISE! to provide
training to hard-to-train individuals.

(d) $5,614,000 each year is from the general
fund and $6,920,000 each year is from the
workforce development fund for extended
employment services for persons with
severe disabilities or related conditions under
Minnesota Statutes, section 268A.15. Of this,
$125,000 each year and in the base for fiscal
years 2010 and 2011 is to supplement funds
paid for wage incentives for the community
support fund established in Minnesota Rules,
part 3300.2045. new text begin The commissioner shall
not reduce total expenditures from these
appropriations.
new text end

(e) $1,650,000 the first year and $1,650,000
the second year are from the general fund for
grants for programs that provide employment
support services to persons with mental
illness under Minnesota Statutes, sections
268A.13 and 268A.14. Up to $77,000 each
year may be used for administrative and
salary expenses.

(f) $2,440,000 the first year and $2,440,000
the second year are from the general
fund for grants under Minnesota Statutes,
section 268A.11, for the eight centers
for independent living. The base for this
program is $2,440,000 each year in fiscal
years 2010 and 2011. Money not expended
the first year is available the second year.

The commissioner must:

(1) transfer $115,000 of federal independent
living Part B rehabilitation services funds
to the Minnesota Centers for Independent
Living each year contingent upon the
availability of federal funds under Title VII,
Part B, of the Federal Rehabilitation Act of
1973 as amended under United States Code,
title 29, section 711(c), and approved by the
Statewide Independent Living Council;

(2) replace federal Part B funds in the
State Independent Living Council budget
transferred under clause (1) with $115,000
of Social Security Administration program
income funds each year; and

(3) provide an additional $185,000 each year
from the Social Security Administration
program income to the Minnesota Centers for
Independent Living to be allocated equally
among the eight centers.

Additional funding for centers for
independent living under clauses (1) and (3)
must be used for core independent living
services by the Centers for Independent
Living. The Statewide Independent Living
Council framework for statewide distribution
of state and federal funding to the Minnesota
Centers for Independent Living does not
apply to the funds under clauses (1) and
(3). The commissioner must report on the
transfers in clauses (1), (2), and (3), and any
other effort to pursue additional funding for
the Centers for Independent Living to the
standing committees of the senate and house
of representatives having jurisdiction over
Centers for Independent Living by March 15
each year.

(g) $5,940,000 the first year and $5,940,000
the second year are from the general fund for
state services for the blind activities.

(h) $150,000 the first year and $150,000
the second year are from the general fund
and $175,000 the first year and $175,000
the second year are from the workforce
development fund for grants under Minnesota
Statutes, section 268A.03, to Rise, Inc.
for the Minnesota Employment Center for
People Who are Deaf or Hard-of-Hearing.
Money not expended the first year is
available the second year.

(i) $9,021,000 the first year and $9,021,000
the second year are from the general fund for
the state's vocational rehabilitation program
for people with significant disabilities to
assist with employment, under Minnesota
Statutes, chapter 268A.

(j) $350,000 the first year and $350,000
the second year are from the workforce
development fund for grants to provide
interpreters for a regional transition program
that specializes in providing culturally
appropriate transition services leading to
employment for deaf, hard-of-hearing, and
deaf-blind students. This amount must be
added to the department's base.

(k) $150,000 the first year and $150,000 the
second year are for a grant to Advocating
Change Together for training, technical
assistance, and resources materials to persons
with developmental and mental illness
disabilities.

(l) $250,000 the first year and $250,000
the second year are from the workforce
development fund and $150,000 the first
year and $100,000 the second year are from
the general fund for a grant to Lifetrack
Resources for its immigrant and refugee
collaborative programs, including those
related to job-seeking skills and workplace
orientation, intensive job development,
functional work English, and on-site job
coaching. $50,000 of the first year general
fund appropriation is for a onetime pilot
Lifetrack project in Rochester.

(m) $75,000 the first year and $75,000 the
second year are from the general fund and
$1,000,000 the first year and $1,000,000
the second year are from the workforce
development fund for the youthbuild
program under Minnesota Statutes, sections
116L.361 to 116L.366. This appropriation
may be used for:

(1) restoring the three youthbuild programs
that were eliminated due to budget reductions
and adding seven more youthbuild programs
statewide;

(2) restoring funding levels for all youthbuild
programs plus an inflationary increase for
each program;

(3) increasing the number of at-risk youth
served by the youthbuild programs from 260
youth per year to 500 youth per year; and

(4) restoring the youthbuild focus on careers
in technology and adding a youthbuild focus
on careers in the medical field.

(n) $1,325,000 each year is from the
workforce development fund for grants
to fund summer youth employment in
Minneapolis. The grants shall be used to
fund up to 500 jobs for youth each summer.
Of this appropriation, $325,000 each year is
for a grant to the learn-to-earn summer youth
employment program. The commissioner
shall establish criteria for awarding the
grants. This appropriation is available in
either year of the biennium and is available
until spent.

(o) $600,000 the first year and $600,000
the second year are from the workforce
development fund for a grant to the city of
St. Paul for grants to fund summer youth
employment in St. Paul. The grants shall be
used to fund up to 500 jobs for youth each
summer. The commissioner shall establish
criteria for awarding the grants within the
city of St. Paul. This appropriation is
available in either year of the biennium and
is available until spent.

(p) $250,000 the first year and $250,000 the
second year are from the general fund for
grants to Northern Connections in Perham
to implement and operate a pilot workforce
program that provides one-stop supportive
services to individuals as they transition into
the workforce.

(q) $100,000 each year is for a grant to
Ramsey County Workforce Investment Board
for the development of the building lives
program. This is a onetime appropriation. *
(The preceding text beginning "(q) $100,000
each year is for" was indicated as vetoed by
the governor.)

(r) $150,000 each year is for a grant to the
Hennepin-Carver Workforce Investment
Board (WIB) to coordinate with the Partners
for Progress Regional Skills Consortium
to provide employment and training as
demonstrated by the Twin Cities regional
health care training partnership project. *
(The preceding text beginning "(r) $150,000
each year is for" was indicated as vetoed by
the governor.)

(s) $160,000 the first year is for a onetime
grant to Workforce Development, Inc., for
a pilot project to provide demand-driven
employment and training services to
welfare recipients and other economically
disadvantaged populations in Mower,
Freeborn, Dodge, and Steele Counties.

(t) $200,000 the first year and $200,000 the
second year are from the general fund for
a grant to HIRED to operate its industry
sector training initiatives, which provide
employee training developed in collaboration
with employers in specific, high-demand
industries. * (The preceding text beginning
"(t) $200,000 the first year" was indicated as
vetoed by the governor.)

(u) $100,000 the first year is for a onetime
grant to a nonprofit organization. The
nonprofit organization must work on behalf
of all licensed vendors to coordinate their
efforts to respond to solicitations or other
requests from private and governmental units
as defined in Minnesota Statutes, section
471.59, subdivision 1, in order to increase
employment opportunities for persons with
disabilities. new text begin This appropriation is available
until June 30, 2009.new text end

(v) $3,500,000 each year from the workforce
development fund is for the Minnesota youth
program under Minnesota Statutes, sections
116L.56 and 116L.561.

(w) $1,000,000 each year from the workforce
development fund is for a grant to the
Minnesota Alliance of Boys and Girls
Clubs to administer a statewide project
of youth job skills development. This
project, which may have career guidance
components, including health and life skills,
is to encourage, train, and assist youth in
job-seeking skills, workplace orientation,
and job site knowledge through coaching.
This grant requires a 25 percent match from
nonstate resources.

(x) $10,000 the first year is for a study on
ways to promote employment opportunities
for minorities, with a particular focus on
opportunities for African Americans, in
the state of Minnesota. The study should
focus on how to significantly expand the job
training available to minorities and promote
substantial increases in the wages paid to
minorities, at least to a rate well above living
wage, and within several years, to equality.
The commissioner must report on the study
to the governor and the chair of the finance
committee in each house of the legislature
that has jurisdiction over employment by
January 15, 2008, with recommendations for
implementing the findings.

(y) The commissioner must provide funding
for the Minnesota Conservation Corps to
provide learning stipends for deaf students
and wages for interpreters participating in
the MCC summer youth program.

new text begin Within the limits of appropriations, the commissioner of the Department of
Employment and Economic Development shall make grants and loans for costs related
to the installation of an approved biomass heating project in a publicly owned facility,
including K-12 public schools, higher education buildings, and buildings owned by a
local unit of government. The commissioner must approve biomass heating projects that
produce energy for heating air or water using organic matter available on a renewable
basis, including but not limited to agricultural crops, grasses and trees, or wood production
or other waste. Applications for a grant or loan under this section must be made to the
commissioner on the forms and according to the timeline prescribed by the commissioner.
At a minimum, the commissioner must require sufficient information on the applications
to determine that the physical condition of the publicly owned facility is sufficient to
support the efficient operation of the biomass heating project and that the projected
cumulative energy cost savings are adequate relative to the costs of the investment.
The grant and loan may each provide up to 50 percent of the total installed costs of the
biomass heating projects.
new text end

new text begin Hardship payments are available to
an applicant if the applicant suffered economic hardship due to delays in receiving
unemployment benefits resulting from the new unemployment insurance application
and filing system implemented by the Department of Employment and Economic
Development on October 15, 2007.
new text end

new text begin "Economic hardship" means financial losses to
an applicant resulting from: checks returned for insufficient funds; account overdraft
charges; installment credit penalties, interest, and other fees resulting from missed or
late payments; mortgage loan late fees, interest charges, or other penalties; charges for
force-placed automobile or homeowner's insurance; penalties for late payment of income
or property taxes; and any penalties or adverse consequences, including the suspension of
an applicant's driver's license due to nonpayment of child support.
new text end

new text begin Hardship payments are payable
from the unemployment insurance administration account under Minnesota Statutes,
section 268.196.
new text end

new text begin An applicant is eligible to receive hardship
payments under this section if the applicant's unemployment benefit payments due and
payable after October 15, 2007, were delayed at least four weeks.
new text end

new text begin The amount of hardship payments
available to an applicant is equal to the amount of economic hardship experienced by an
applicant due to the delay in receiving unemployment benefits. An applicant must provide
documentation of the amount of financial hardship claimed using financial institution
records, consumer or business credit records, child support records, or other commonly
recognized methods of documenting financial transactions.
new text end

new text begin The commissioner must notify applicants of the availability of
hardship payments by posting a notice on the department's official Web site, by notifying
applicants by individual mailing where department records show the applicant may be
eligible under subdivision 4, and by any other appropriate announcement.
new text end

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

new text begin Extra unemployment benefits are
available to an applicant if the applicant was laid off due to lack of work from the
Ainsworth Lumber Company plants in Cook.
new text end

new text begin Extra unemployment benefits
are payable from the unemployment insurance trust fund. Extra unemployment benefits
paid under this section will not be used in computing the experience rating of Ainsworth
Lumber Company under Minnesota Statutes, section 268.047.
new text end

new text begin An applicant is eligible to receive extra
unemployment benefits under this section for any week through December 31, 2008,
following the effective date of the applicant's benefit account of regular unemployment
benefits, as a result of a layoff described under subdivision 1, if:
new text end

new text begin (1) a majority of the applicant's wage credits were with Ainsworth Lumber Company
or Ainsworth Engineered;
new text end

new text begin (2) the applicant meets the eligibility requirements of Minnesota Statutes, section
268.085;
new text end

new text begin (3) the applicant is not subject to a disqualification under Minnesota Statutes, section
268.095;
new text end

new text begin (4) the applicant is not entitled to regular unemployment benefits and the applicant
is not entitled to receive unemployment benefits under any other state or federal law
for that week; and
new text end

new text begin (5) the applicant is enrolled in, or has within the last two weeks successfully
completed, a program that qualifies as reemployment assistance training under Minnesota
Statutes, section 268.035, subdivision 21a, except that an applicant whose training is
scheduled to begin in more than 30 days may be considered to be in training if: (i) the
applicant's chosen training program does not offer an available start date within 30 days;
(ii) the applicant is scheduled to begin training on the earliest available start date for
the chosen training program; and (iii) the applicant is scheduled to begin training in no
more than 60 days.
new text end

new text begin The weekly extra unemployment
benefits amount available to an applicant is the same as the applicant's weekly regular
unemployment benefit amount on the benefit account established as a result of a layoff
under subdivision 1.
new text end

new text begin (a) The maximum
amount of extra unemployment benefits available is equal to 13 weeks at the applicant's
weekly extra unemployment benefits amount.
new text end

new text begin (b) If an applicant qualifies for a new regular benefit account under Minnesota
Statutes, section 268.07, at any time after exhausting regular unemployment benefits
as a result of the layoff under subdivision 1, the applicant must apply for and exhaust
entitlement to those new regular unemployment benefits. The maximum amount of extra
unemployment benefits available is reduced by any new regular unemployment benefits
available if the majority of wage credits on that new regular benefit account were with
Ainsworth Lumber Company or Ainsworth Engineered.
new text end

new text begin This extra unemployment benefit program expires
on December 31, 2008. No extra unemployment benefits may be paid for any week after
the expiration of this program.
new text end

new text begin The legislature finds that providing extra unemployment
benefits to assist laid-off workers of Ainsworth Lumber Company, while in training, is
appropriate because:
new text end

new text begin (1) the unemployment rate in the applicant's county of employment is higher than
the statewide average rate of unemployment;
new text end

new text begin (2) the average weekly wages paid in the applicant's county of employment is below
the statewide average weekly wage;
new text end

new text begin (3) the applicant's weekly wage is higher than the statewide average weekly wage;
and
new text end

new text begin (4) the dislocated worker program has determined that the applicant does not
currently possess skills making reemployment in a comparable position likely.
new text end

new text begin This section is effective the day following final enactment
and applies retroactively from January 1, 2008.
new text end

new text begin Notwithstanding any other law to the contrary, the commissioner must accept initial
and continued requests for unemployment benefits and pay unemployment benefits to
an applicant who currently resides in Hubbard County and applied for unemployment
benefits on September 15, 2006, and had an account dated September 10, 2006:
new text end

new text begin (1) was employed as a technician or inspector for Northwest Airlines, Inc., prior
to August 20, 2005;
new text end

new text begin (2) stopped working on or about August 20, 2005, because of a labor dispute between
the Aircraft Mechanics Fraternal Association (AMFA) and Northwest Airlines, Inc.;
new text end

new text begin (3) did not file an initial or continued requests for unemployment benefits within the
time periods required under Minnesota Statutes, chapter 268; and
new text end

new text begin (4) meets all the other requirements for the payment of unemployment benefits
under Minnesota Statutes, section 268.069, subdivision 2.
new text end

new text begin Any unemployment benefits paid under the account established September 10, 2006,
shall be deducted from the total benefits authorized under this section.
new text end

new text begin This section is effective the day following final enactment
and applies retroactively from August 21, 2005.
new text end

new text begin An Office of Science and Technology is established
in the Department of Employment and Economic Development to do the following:
new text end

new text begin (1) coordinate public and private efforts to procure federal funding for collaborative
research and development projects of primary benefit to small and medium-sized
businesses;
new text end

new text begin (2) promote contractual relationships between Minnesota businesses that are
recipients of federal grants and prime contractors, and Minnesota-based subcontractors;
new text end

new text begin (3) work with Minnesota nonprofit institutions including the University of
Minnesota, Minnesota State Colleges and Universities, and the Mayo Clinic in promoting
collaborative efforts to respond to federal funding opportunities;
new text end

new text begin (4) develop a framework for Minnesota companies to establish sole-source
relationships with federal agencies; and
new text end

new text begin (5) coordinate workshops, assistance with business proposals, licensing, intellectual
property protection, commercialization, and government auditing with the University of
Minnesota and Minnesota State Colleges and Universities.
new text end

new text begin For the purposes of this section, "office" means the Office of Science and Technology
established in this subdivision.
new text end

new text begin The office must
develop a program to assist small businesses competing for a small business innovation
research award by matching the applicant with a larger company. Prime contractors are
matched to small businesses through a prescreening process that may result in a letter of
support for the applicant designed to increase the chance of receiving a Small Business
Innovation Research (SBIR) award.
new text end

new text begin The office must develop a program to use
the federal high-risk research and development investment program to encourage the
development of new technologies, products, and business development and to reduce
development risks by encouraging alliances between medium-sized companies and
innovative small businesses.
new text end

new text begin The office must assist businesses in
identifying qualified suppliers and vendors through a program to serve as a conduit for
Minnesota-based companies to network with firms able to support their success. Firms
outside Minnesota can participate in the technology matchmaking network if one of the
participating companies is located in Minnesota.
new text end

new text begin The office must provide
commercialization assistance to Minnesota firms that have received a Phase I Small
Business Innovation Research (SBIR) or a Phase I Small Business Technology Transfer
(STTR) award and are submitting a Phase II proposal. Local service providers must assist
the applicant with developing and reviewing the required commercialization plan prior to
Phase II submission. The office may provide SBIR Phase I proposal technical review.
new text end

new text begin The commissioner of employment and economic development
must report to the committees in the house of representatives and senate having
jurisdiction over bioscience and technology issues on the activities of the Office of Science
and Technology by June 30 of each year.
new text end

new text begin Any bioscience or biotechnology project financed in whole or in part by state
appropriations or other public subsidies must document how and to what it extent the
project will provide a benefit to consumers in the form of more affordable pricing of the
products or services being publicly subsidized. The documentation must be reported to
the committees of the legislature with responsibility for economic development and to
committees with responsibility for finance.
new text end

new text begin (a) For 2007 production, distribution in 2008 only, two cents per taxable ton of
the taconite production tax under Minnesota Statutes, chapter 298, must be paid to the
Hibbing Economic Development Authority to retire bonds and for economic development
purposes.
new text end

new text begin (b) For 2007 production, distribution in 2008 only, 0.25 cents per taxable ton of
the taconite production tax under Minnesota Statutes, chapter 298, must be paid to the
St. Louis County school board to study the potential for and impact of consolidation and
streamlining the operations of the St. Louis County school district No. 2142.
new text end

new text begin (c) For 2007 production, distribution in 2008 only, 0.25 cents per taxable ton of the
taconite production tax under Minnesota Statutes, chapter 298, must be paid to Grand
Rapids, for industrial park work.
new text end

new text begin (d) For 2007 production, distribution in 2008 only, 0.65 cents per taxable ton of the
taconite production tax under Minnesota Statutes, chapter 298, must be paid to the city of
Aitkin, for sewer and water for housing projects.
new text end

new text begin (e) For 2007 production, distribution in 2008 only, 0.5 cents per taxable ton of the
taconite production tax under Minnesota Statutes, chapter 298, must be paid to Crosby, for
well and water tower infrastructure.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2006, section 341.31, new text end new text begin and new text end new text begin Laws 2004, chapter 188, section
2, new text end new text begin are repealed.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2006, section 298.28, subdivision 9a, new text end new text begin is repealed for 2008
production, distributions in 2009 and thereafter.
new text end

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

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 57, article 1, 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 "2008" and "2009" used in this article mean that the addition
to or subtraction from the appropriation listed under them is available for the fiscal year
ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and
reductions to appropriations for the fiscal year ending June 30, 2008, are effective the
day following final enactment.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin -0- new text end	new text begin $ new text end	new text begin (3,348,000) new text end	new text begin $ new text end	new text begin (3,348,000) new text end
new text begin Environmental new text end		new text begin -0- new text end		new text begin 134,000 new text end		new text begin 134,000 new text end
new text begin Natural Resources new text end		new text begin -0- new text end		new text begin 1,682,000 new text end		new text begin 1,682,000 new text end
new text begin Game and Fish new text end		new text begin 144,000 new text end		new text begin 767,000 new text end		new text begin 911,000 new text end
new text begin Total new text end	new text begin $ new text end	new text begin 144,000 new text end	new text begin $ new text end	new text begin (765,000) new text end	new text begin $ new text end	new text begin (621,000) new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin (469,000)
new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin -0- new text end	new text begin (603,000) new text end
new text begin Environmental Fund new text end	new text begin -0- new text end	new text begin 134,000 new text end

new text begin $623,000 is a reduction in fiscal year 2009.
The commissioner shall make the reduction
to administrative activities in such a way to
minimize the effect to program operations.
new text end

new text begin $134,000 in fiscal year 2009 is appropriated
from the environmental fund for the
development and adoption of rules to
regulate emission standards of motor
vehicles sold in this state as authorized under
the federal Clean Air Act, United States
Code, title 42, section 7507. The base for
fiscal year 2010 is $114,000.
new text end

new text begin $20,000 in fiscal year 2009 is appropriated
from the general fund for the following
purposes:
new text end

new text begin (1) the development of recommendations
for establishing a comprehensive product
stewardship approach to reducing
environmental and health risks posed by
the use or disposal of products. These
recommendations shall be submitted to
the chairs and ranking minority members
of the senate and house committees with
jurisdiction over environmental policy
and environmental finance by January
15, 2009. The recommendations shall
include, at a minimum: a set of criteria to
be used to evaluate products proposed for
product stewardship solutions; a process for
designating products for product stewardship
solutions and the role the legislature would
play in that process; typical components
of product stewardship plans; options to
facilitate the creation of industry-managed
stewardship management organizations;
methods to identify and monitor progress
toward stewardship performance goals for
specific products; and strategies to implement
the use of standards, certifications, and
eco-labels to promote environmentally
preferable products. To the extent possible,
the recommendations must be consistent
with existing product stewardship programs
in North America. In developing the
recommendations, the commissioner must
consult with manufacturers, retailers,
recyclers, environmental advocacy
organizations, local units of government, and
other interested parties;
new text end

new text begin (2) a report to be submitted by December
1, 2008, to the chairs and ranking minority
members of the senate and house committees
with primary jurisdiction over solid waste
policy, analyzing the availability of collection
and processing capacity in the seven-county
metropolitan area for the recycling of
construction and demolition waste. The
report must recommend a percentage of the
total weight of construction and demolition
waste generated in the seven-county
metropolitan area that represents an
achievable but aggressive recycling goal that
can be reached in 2012 and must include an
analysis of the economic and environmental
costs and benefits of reaching that goal; and
new text end

new text begin (3) a report to be submitted by January 1,
2009, to the chairs and ranking minority
members of the senate and house committees
with primary jurisdiction over solid waste
policy, that recommends options for
achieving the following goals by 2020: an
increase in county recycling rates to 60
percent of the weight of total solid waste
generation; and the diversion, prior to
delivery to landfills and waste-to-energy
plants, and recycling and reuse of an amount
of source-separated compostable materials
equal to 15 percent of total solid waste
generation. The commissioner must obtain
input from counties inside and outside the
seven-county metropolitan area, recycling
and composting facilities, waste haulers,
environmental organizations, and other
interested parties in preparing the report.
The report must also contain estimates of
the economic costs of implementing the
strategies.
new text end

new text begin $
new text end

new text begin 144,000
new text end

new text begin $
new text end

new text begin 22,000
new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin -0- new text end	new text begin (2,265,000) new text end
new text begin Natural Resources new text end	new text begin -0- new text end	new text begin 1,520,000 new text end
new text begin Game and Fish new text end	new text begin 144,000 new text end	new text begin 767,000 new text end

new text begin The amounts reduced from the appropriations
in Laws 2007, chapter 57, article 1, section 4,
are specified in the following subdivisions.
new text end

-0-

(225,000)

new text begin $425,000 in fiscal year 2009 is a reduction in
the lands and minerals budget. This is a base
reduction.
new text end

new text begin $124,000 of this reduction is from the
appropriation for iron ore cooperative
agreements.
new text end

new text begin $200,000 in fiscal year 2009 is appropriated
from the natural resources fund for the
administration and monitoring of permits
to mine ferrous metals under Minnesota
Statutes, section 93.481. By January 15,
2009, the commissioner shall report to the
legislature and the chairs of the senate and
house committees with jurisdiction over
environment and natural resources finance
on the establishment of a permit to mine
application fee schedule that is based on
the actual costs of issuing and monitoring
individual permits and any necessary
legislation needed to cover the costs of
issuing and monitoring the permits for the
next biennium.
new text end

-0-

(253,000)

new text begin $38,000 is a reduction in fiscal year 2009
attributable to the modification of reporting
requirements under Minnesota Statutes,
section 103A.43.
new text end

-0-

250,000

new text begin $53,000 in fiscal year 2009 is for a grant to the
Forest Resources Council to conduct a study
of options and make recommendations to the
legislature for addressing the fragmentation
and parcelization of large blocks of private
forest land in the state. This is a onetime
appropriation.
new text end

new text begin $197,000 in fiscal year 2009 is for a grant
to the University of Minnesota for the
Interagency Information Cooperative to
develop a common forest inventory format
describing key attributes of Minnesota's
public forest land base, growth models for
managed forest stands, a forest wildlife
habitat model format, and an information
database on the state's family forest
ownership.
new text end

-0-

new text begin $220,000 is a reduction in fiscal year 2009 in
the parks and recreation management budget.
new text end

new text begin Beginning in 2009, $220,000 each year is
from the state park account in the natural
resources fund to fund state park operations,
maintenance, resource management,
educational services, and associated support
costs.
new text end

-0-

1,100,000

new text begin Beginning in 2009, $300,000 each year is
from the all-terrain vehicle account in the
natural resources fund for monitoring and
maintenance of newly designated trails.
new text end

new text begin $700,000 in fiscal year 2009 from the natural
resource fund to the commissioner of natural
resources for the development of the Virginia
site and connecting trails for the Iron Range
Off-Highway Vehicle Recreation Area. Of
this amount, $400,000 is from the all-terrain
vehicle account, $75,000 is from the
off-highway motorcycle account, $125,000
is from the off-road vehicle account, and
$100,000 is from the snowmobile trails
and enforcement account. $300,000 is
from federal money allocated for motorized
recreation. This is a onetime appropriation.
The appropriation is available until expended
for the design and development of an
underpass for off-highway vehicles on
Highway 135 in the city of Gilbert. None
of these funds may be expended until all
property as identified in the master plan has
been acquired.
new text end

new text begin $100,000 is appropriated in fiscal year 2009
from the all-terrain vehicle account in the
natural resource fund to the commissioner
of natural resources for a grant to the city
of Biwabik to convert the Moose Trail
snowmobile trail to a dual usage trail, so
that it may also be used as an Off-Highway
Vehicle trail connecting the city of Biwabik
to the Iron Range Off-Highway Vehicle
Recreation Area.
new text end

144,000

140,000

new text begin $427,000 is a reduction in fiscal year 2009 in
the fish and wildlife program. The base for
this appropriation in fiscal years 2010 and
2011 is reduced by $539,000 each year.
new text end

new text begin $200,000 is a reduction in fiscal year 2009
from the appropriation for prairie wetland
complexes. $200,000 is appropriated from
the game and fish fund in fiscal year 2009 for
prairie wetland complexes.
new text end

new text begin $123,000 in fiscal year 2008 and $246,000
each year thereafter is from the game and fish
fund to implement fish virus surveillance,
prepare infrastructure to handle possible
outbreaks, and implement control procedures
for highest risk waters and fish production
operations.
new text end

new text begin $21,000 in fiscal year 2009 is from the game
and fish fund and is added to the base for the
aquatic farm permitting program.
new text end

new text begin $300,000 in fiscal year 2009 is from the
game and fish fund to study, predesign,
and design shooting sports facilities at the
Vermillion Highlands Wildlife Management
Area authorized by Laws 2007, chapter 57,
article 1, section 168.
new text end

-0-

(230,000)

new text begin $230,000 in fiscal year 2009 is a reduction
from the appropriation for impaired waters.
new text end

new text begin The project wild program base is reduced for
fiscal years 2010 and 2011 by $20,000.
new text end

new text begin By June 30, 2008, $594,000 shall be
transferred from the water recreation account
in the natural resources fund to the invasive
species account in the natural resources fund
for invasive species-related expenses.
new text end

-0-

(160,000)

new text begin $160,000 is a reduction in fiscal year 2009 in
the enforcement budget.
new text end

-0-

(600,000)

new text begin $600,000 is a reduction to the department's
administration costs in fiscal year 2009. The
commissioner shall make these reductions
throughout the agency through reduction
in travel, administrative costs, and vacancy
management.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (318,000)
new text end

new text begin $550,000 is a reduction in fiscal year 2009
from the appropriation for cost-sharing
contracts to establish native buffers.
new text end

new text begin $100,000 is a reduction in fiscal year
2009 from the appropriation for county
cooperative weed management programs.
new text end

new text begin $68,000 is a reduction in fiscal year 2009
from the appropriation for the drainage
assistance program.
new text end

new text begin $100,000 is a reduction in fiscal year 2009
from the appropriation for grants to basin
management organizations.
new text end

new text begin $450,000 in fiscal year 2009 is for
implementing rehabilitation, erosion, and
sediment control projects in the area included
in DR-1717. Up to 20 percent of this
appropriation may be used by the board to
implement the program. The appropriation is
available until expended. The base for 2010
is $275,000. The base for 2011 is $0.
new text end

new text begin $50,000 in fiscal year 2009 is for the star lake
and river program. The base for fiscal year
2010 is $100,000.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $162,000 in fiscal year 2009 is reduced
from money appropriated from the general
fund for metropolitan area regional parks
maintenance and operations under Laws
2007, chapter 57, article 1, section 6. The
base for fiscal years 2010 and 2011 is reduced
by $162,000 each year.
new text end

new text begin $162,000 in fiscal year 2009 is appropriated
from the natural resources fund for
metropolitan area regional parks maintenance
and operations. This appropriation is from
the revenue deposited in the natural resources
fund under Minnesota Statutes, section
297A.94, paragraph (e), clause (3).
new text end

Laws 2007, chapter 57, article 1, section 4, subdivision 3, is amended to read:

15,051,000

12,522,000

Appropriations by Fund
General	14,771,000	12,242,000
Natural Resources	280,000	280,000

$310,000 the first year and deleted text begin $310,000deleted text end new text begin
$280,000new text end the second year are for grants
associated with the implementation of the
Red River mediation agreement.

$65,000 the first year deleted text begin and $65,000 the second
year aredeleted text end new text begin isnew text end for a grant to the Mississippi
Headwaters Board for up to 50 percent of
the cost of implementing the comprehensive
plan for the upper Mississippi within areas
under its jurisdiction. new text begin This is a onetime
appropriation.
new text end

$5,000 the first year and $5,000 the second
year are for payment to the Leech Lake Band
of Chippewa Indians to implement its portion
of the comprehensive plan for the upper
Mississippi.

$200,000 the first year and deleted text begin $200,000deleted text end new text begin
$178,000new text end the second year are for the
construction of ring dikes under Minnesota
Statutes, section 103F.161. The ring dikes
may be publicly or privately owned. If the
appropriation in either year is insufficient, the
appropriation in the other year is available
for it. The base appropriation for fiscal year
2010 and later is deleted text begin $125,000deleted text end new text begin $105,000new text end .

deleted text begin $2,250,000deleted text end new text begin $2,152,000new text end the first year is
to support the identification of impaired
waters and develop plans to address those
impairments, as required by the federal Clean
Water Act, in accordance with Minnesota
Statutes, chapter 114D. This is a onetime
appropriation.

By January 15, 2008, the commissioner shall
commence rulemaking under Minnesota
Statutes, chapter 14, to update the minimum
shoreland standards in Minnesota Rules,
chapter 6120.

$60,000 the first year is a onetime
appropriation to the commissioner of natural
resources to conduct a feasibility study
in conjunction with U.S. Army Corps of
Engineers on the foundation and hydraulics
of the Rapidan Dam in Blue Earth County.
This appropriation must be equally matched
by Blue Earth County, and is available until
expended.

$500,000 in fiscal year 2008 is for addressing
surface and groundwater issues related to
the development and expansion of ethanol
production.

Laws 2007, chapter 57, article 1, section 4, subdivision 4, is amended to read:

44,495,000

43,393,000

Appropriations by Fund
General	24,755,000	24,836,000
Natural Resources	19,483,000	18,293,000
Game and Fish	257,000	264,000

$7,217,000 the first year and $7,217,000
the second year are for prevention,
presuppression, and suppression costs of
emergency firefighting and other costs
incurred under Minnesota Statutes, section
88.12. If the appropriation for either
year is insufficient to cover all costs of
presuppression and suppression, the amount
necessary to pay for these costs during the
biennium is appropriated from the general
fund.

By November 15 of each year, the
commissioner of natural resources shall
submit a report to the chairs of the house
and senate committees and divisions having
jurisdiction over environment and natural
resources finance, identifying all firefighting
costs incurred and reimbursements received
in the prior fiscal year. These appropriations
may not be transferred. Any reimbursement
of firefighting expenditures made to the
commissioner from any source other than
federal mobilizations shall be deposited into
the general fund.

$17,983,000 the first year and $18,293,000
the second year are from the forest
management investment account in the
natural resources fund for only the purposes
specified in Minnesota Statutes, section
89.039, subdivision 2.

Of this amount:

(1) $750,000 each year is for additional staff
to enhance timber sales;

(2) $1,000,000 each year is for forest
improvements;

(3) $1,100,000 each year is for forest road
maintenance;

(4) $600,000 each year is for the ecological
classification system on state forest lands;

(5) $350,000 each year is for the prevention
of invasive species on state forest lands; and

(6) $400,000 each year is for the re-inventory
of state forest lands.

Money for forest road maintenance is
onetime.

$780,000 the first year and $780,000 the
second year are for the Forest Resources
Council for implementation of the
Sustainable Forest Resources Act.

$40,000 the first year is for the Forest
Resources Council to provide a grant to
the University of Minnesota to prepare a
statewide plan to address the fragmentation
and parcelization of large blocks of forest
land in the state.

$200,000 in fiscal year 2008 is for a grant
to the Forest Resources Research Advisory
Committee to provide direction on research
topics recommended by the governor's task
force on the competitiveness of Minnesota's
primary forest products industry.

$350,000 the first year and $350,000 the
second year are for the FORIST timber
management information system, other
information systems, and for increased
forestry management. The amount in the
second year is also available in the first year.

$257,000 the first year and $264,000 the
second year are from the game and fish
fund to implement ecological classification
systems (ECS) standards on forested
landscapes. This appropriation is from
revenue deposited in the game and fish fund
under Minnesota Statutes, section 297A.94,
paragraph (e), clause (1).

$110,000 the first year is to develop and
implement a statewide information and
education campaign regarding the statewide
ban on the transport, storage, or use of
nonapproved firewood on state-administered
lands.

$1,500,000 the first year is from the forest
management investment account in the
natural resources fund for the purposes of
section 158. This is a onetime appropriation.

$75,000 the first year is to the Forest
Resources Council for a task force on
forest protection and $75,000 the second
year is appropriated to the commissioner
for grants to cities, counties, townships,
special recreation areas, and park and
recreation boards in cities of the first class
for the identification, removal, disposal, and
replacement of dead or dying shade trees
lost to forest pests or disease. For purposes
of this section, "shade tree" means a woody
perennial grown primarily for aesthetic or
environmental purposes with minimal to
residual timber value. The commissioner
shall consult with municipalities; park and
recreation boards in cities of the first class;
nonprofit organizations; and other interested
parties in developing eligibility criteria. *
(The preceding text beginning "$75,000 the
first year" was indicated as vetoed by the
governor.)

$200,000 in fiscal year 2008 is for a grant
to the Natural Resources Research Institute
for silvicultural research to improve the
quality and quantity of timber fiber. The
appropriation must be matched in the amount
of $200,000 in cash or in-kind contributions
from the forest products industry members of
the Minnesota Forest Productivity Research
Cooperative.

$1,000,000 the first year and $1,000,000
the second year are to support additional
deleted text begin technical and cost-share assistance to
nonindustrial private forest (NIPF)
landownersdeleted text end new text begin forest management activitiesnew text end .
The base appropriation in fiscal year 2010
and later is $500,000.

$200,000 the first year and $200,000 the
second year are to deleted text begin address escalating
land asset management demands, such as
boundary disputes, access easements, and
sale, exchange, and acquisition of forest
landsdeleted text end new text begin support additional forest management
activitiesnew text end .

Laws 2007, chapter 57, article 1, section 4, subdivision 6, is amended to read:

30,257,000

30,492,000

Appropriations by Fund
General	2,538,000	2,568,000
Natural Resources	25,600,000	25,730,000
Game and Fish	2,119,000	2,194,000

$8,424,000 the first year and $8,424,000
the second year are from the snowmobile
trails and enforcement account in the natural
resources fund for snowmobile grants-in-aid.
The additional money under this item may
be used for new grant-in-aid trails. Any
unencumbered balance does not cancel at the
end of the first year and is available for the
second year.

$1,175,000 the first year and $1,325,000 the
second year are from the natural resources
fund for off-highway vehicle grants-in-aid.
Of this amount, $825,000 the first year and
$1,075,000 the second year are from the
all-terrain vehicle account; $150,000 each
year is from the off-highway motorcycle
account; and $200,000 the first year and
$100,000 the second year are from the
off-road vehicle account. Any unencumbered
balance does not cancel at the end of the first
year and is available for the second year.

$261,000 the first year and $261,000 the
second year are from the water recreation
account in the natural resources fund for a
safe harbor program on Lake Superior.

$742,000 the first year and $760,000
the second year are from the natural
resources fund for state trail operations
and maintenance. The money may be used
for trail maintenance, signage, mapping,
interpretation, native prairie restoration
using best management practices, and
maintenance of nonmotorized forest trails.
This appropriation is from the revenue
deposited in the natural resources fund
under Minnesota Statutes, section 297A.94,
paragraph (e), clause (2).

$655,000 the first year and $655,000 the
second year are from the natural resources
fund for trail grants to local units of
government on land to be maintained for
at least 20 years for the purposes of the
grant. This appropriation is from the revenue
deposited in the natural resources fund
under Minnesota Statutes, section 297A.94,
paragraph (e), clause (4). new text begin Any unencumbered
balance does not cancel at the end of the
first year and is available for the second
year. In addition, if a project financed under
this program receives a federal grant award,
the availability of the financing from this
paragraph for that project is extended to
equal the period of the federal grant.
new text end

$150,000 the first year and $150,000 the
second year are from the all-terrain vehicle
account for two all-terrain vehicle trail
specialists to assist and consult with on
all-terrain vehicle grant-in-aid education and
training for sustainable trail development and
maintenance, as well as providing training
for public and private sector trail monitoring.
The specialists may assist in the evaluation
of grant-in-aid trail proposals, but not in the
promotion of new trails.

$1,965,000 the first year and $2,040,000
the second year are from the game and fish
fund for expenditures on water access sites
according to the requirements of the federal
sport and fish restoration program.

Money appropriated under Laws 2005, First
Special Session chapter 1, article 2, section
11, subdivision 6, paragraph (h), for the Paul
Bunyan State Trail connection is available
until June 30, 2008.

$400,000 each year is for operation and
maintenance of nonmotorized trails within
state forests. This is a onetime appropriation.

$75,000 each year is for additional wild and
scenic rivers program activities.

$120,000 the first year is from the
water recreation account in the natural
resources fund to cooperate with local
units of government in marking routes and
designating river accesses and campsites
under Minnesota Statutes, section 85.32.
This is a onetime appropriation and available
until spent.

The appropriation in Laws 2005, First
Special Session chapter 1, article 2, section
3, subdivision 6, from the lottery in lieu
account in the natural resources fund for
trail grants to local units of government, is
available until June 30, 2009.

Minnesota Statutes 2006, section 17.4988, subdivision 2, is amended to read:

(a) The annual fee for an aquatic farming license
is $210new text begin for the base licensenew text end .new text begin The commissioner must establish an additional fee based
on the acreage of the operation.
new text end

(b) The aquatic farming license may contain endorsements for the rights and
privileges of the following licenses under the game and fish laws. The endorsement must
be made upon payment of the license fee prescribed in section 97A.475 for the following
licenses:

(1) minnow dealer license;

(2) minnow retailer license for sale of minnows as bait;

(3) minnow exporting license;

(4) aquatic farm vehicle endorsement, which includes a minnow dealer vehicle
license, a minnow retailer vehicle license, an exporting minnow vehicle license, and a
fish vendor license;

(5) sucker egg taking license; and

(6) game fish packers license.

Minnesota Statutes 2006, section 17.4988, subdivision 3, is amended to read:

deleted text begin The fees for the following inspections are: deleted text end new text begin The
commissioner may, by written order published in the State Register, establish fees for
the services listed in clauses (1) to (3). The fees must be set in an amount that does not
recover significantly more or less than the cost of providing the service. The fees are not
subject to the rulemaking provisions of chapter 14 and section 14.386 does not apply. The
services covered under this provision include:
new text end

(1) initial inspection of each water to be licenseddeleted text begin , $50deleted text end ;

(2) fish health inspection and certification, deleted text begin $60 plus $150 per lot thereafterdeleted text end new text begin including
initial tissue sample collection, basic fish health assessment, viral pathogen testing, and
bacteriological testingnew text end ; and

(3) initial inspection for containment and quarantine facility inspectionsdeleted text begin , $100deleted text end .

Minnesota Statutes 2006, section 84.788, subdivision 3, is amended to read:

(a) Application for registration or
continued registration must be made to the commissioner or an authorized deputy registrar
of motor vehicles in a form prescribed by the commissioner. The form must state the name
and address of every owner of the off-highway motorcycle.

(b) A person who purchases from a retail dealer an off-highway motorcycle shall
make application for registration to the dealer at the point of sale. The dealer shall issue a
dealer temporary deleted text begin ten-daydeleted text end new text begin 21-daynew text end registration permit to each purchaser who applies to the
dealer for registration. The dealer shall submit the completed registration applications and
fees to the deputy registrar at least once each week. No fee may be charged by a dealer to
a purchaser for providing the temporary permit.

(c) Upon receipt of the application and the appropriate fee, the commissioner
or deputy registrar shall issue to the applicant, or provide to the dealer, an assigned
registration number or a commissioner or deputy registrar temporary deleted text begin ten-daydeleted text end new text begin 21-daynew text end
permit. Once issued, the registration number must be affixed to the motorcycle according
to paragraph (f). A dealer subject to paragraph (b) shall provide the registration materials
or temporary permit to the purchaser within the deleted text begin ten-daydeleted text end new text begin 21-daynew text end temporary permit period.

(d) The commissioner shall develop a registration system to register vehicles under
this section. A deputy registrar of motor vehicles acting under section 168.33, is also a
deputy registrar of off-highway motorcycles. The commissioner of natural resources
in agreement with the commissioner of public safety may prescribe the accounting
and procedural requirements necessary to ensure efficient handling of registrations
and registration fees. Deputy registrars shall strictly comply with the accounting and
procedural requirements.

(e) In addition to other fees prescribed by law, a filing fee of $4.50 is charged for
each off-highway motorcycle registration renewal, duplicate or replacement registration
card, and replacement decal and a filing fee of $7 is charged for each off-highway
motorcycle registration and registration transfer issued by:

(1) a deputy registrar and must be deposited in the treasury of the jurisdiction where
the deputy is appointed, or kept if the deputy is not a public official; or

(2) the commissioner and must be deposited in the state treasury and credited to the
off-highway motorcycle account.

(f) Unless exempted in paragraph (g), the owner of an off-highway motorcycle must
display a registration decal issued by the commissioner. If the motorcycle is licensed as
a motor vehicle, a registration decal must be affixed on the upper left corner of the rear
license plate. If the motorcycle is not licensed as a motor vehicle, the decal must be
attached on the side of the motorcycle and may be attached to the fork tube. The decal
must be attached in a manner so that it is visible while a rider is on the motorcycle. The
issued decals must be of a size to work within the constraints of the electronic licensing
system, not to exceed three inches high and three inches wide.

(g) Display of a registration decal is not required for an off-highway motorcycle:

(1) while being operated on private property; or

(2) while competing in a closed-course competition event.

Minnesota Statutes 2006, section 84.82, subdivision 2, is amended to read:

(a) Application for
registration or reregistration shall be made to the commissioner or an authorized deputy
registrar of motor vehicles in a format prescribed by the commissioner and shall state the
legal name and address of every owner of the snowmobile.

(b) A person who purchases a snowmobile from a retail dealer shall make
application for registration to the dealer at the point of sale. The dealer shall issue a dealer
temporary deleted text begin ten-daydeleted text end new text begin 21-daynew text end registration permit to each purchaser who applies to the dealer
for registration. new text begin The temporary permit must contain the dealer's identification number and
phone number. new text end Each retail dealer shall submit completed registration and fees to the
deputy registrar at least once a week. No fee may be charged by a dealer to a purchaser for
providing the temporary permit.

(c) Upon receipt of the application and the appropriate fee as hereinafter provided,
the commissioner or deputy registrar shall issue to the applicant, or provide to the dealer,
an assigned registration number or a commissioner or deputy registrar temporary deleted text begin ten-daydeleted text end new text begin
21-daynew text end permit. Once issued, the registration number must be affixed to the snowmobile in
a clearly visible and permanent manner for enforcement purposes as the commissioner
of natural resources shall prescribe. A dealer subject to paragraph (b) shall provide the
registration materials or temporary permit to the purchaser within the temporary deleted text begin ten-daydeleted text end new text begin
21-daynew text end permit period. The registration is not valid unless signed by at least one owner.new text begin
The temporary permit must indicate whether a snowmobile state trail sticker under section
84.8205 was purchased.
new text end

(d) Each deputy registrar of motor vehicles acting pursuant to section 168.33, shall
also be a deputy registrar of snowmobiles. The commissioner of natural resources in
agreement with the commissioner of public safety may prescribe the accounting and
procedural requirements necessary to assure efficient handling of registrations and
registration fees. Deputy registrars shall strictly comply with these accounting and
procedural requirements.

(e) A fee of $2 in addition to that otherwise prescribed by law shall be charged for:

(1) each snowmobile registered by the registrar or a deputy registrar and the
additional fee shall be disposed of in the manner provided in section 168.33, subdivision
2; or

(2) each snowmobile registered by the commissioner and the additional fee shall
be deposited in the state treasury and credited to the snowmobile trails and enforcement
account in the natural resources fund.

Minnesota Statutes 2006, section 84.82, is amended by adding a subdivision to
read:

new text begin All snowmobile registrations, excluding temporary
registration permits, required under this section expire June 30 of the year of expiration.
new text end

Minnesota Statutes 2007 Supplement, section 84.8205, subdivision 1, is
amended to read:

(a) Except as provided in paragraph (b), a
person may not operate a snowmobile on a state or grant-in-aid snowmobile trail unless a
snowmobile state trail sticker is affixed to the snowmobile. The commissioner of natural
resources shall issue a sticker upon application and payment of a $15 fee. The fee for a
three-year snowmobile state trail sticker that is purchased at the time of snowmobile
registration is $30. In addition to other penalties prescribed by law, a person in violation
of this subdivision must purchase an annual state trail sticker for a fee of $30. The sticker
is valid from November 1 through deleted text begin Aprildeleted text end new text begin Junenew text end 30. Fees collected under this section, except
for the issuing fee for licensing agents, shall be deposited in the state treasury and credited
to the snowmobile trails and enforcement account in the natural resources fund and,
except for the electronic licensing system commission established by the commissioner
under section 84.027, subdivision 15, must be used for grants-in-aid, trail maintenance,
grooming, and easement acquisition.

(b) A state trail sticker is not required under this section for:

(1) a snowmobile owned by the state or a political subdivision of the state that is
registered under section 84.82, subdivision 5;

(2) a snowmobile that is owned and used by the United States, another state, or
a political subdivision thereof that is exempt from registration under section 84.82,
subdivision 6;

(3) a collector snowmobile that is operated as provided in a special permit issued for
the collector snowmobile under section 84.82, subdivision 7a;

(4) a person operating a snowmobile only on the portion of a trail that is owned by
the person or the person's spouse, child, or parent; or

(5) a snowmobile while being used to groom a state or grant-in-aid trail.

new text begin (c) A temporary registration permit issued by a dealer under section 84.82,
subdivision 2, may include a snowmobile state trail sticker if the trail sticker fee is
included with the registration application fee.
new text end

Minnesota Statutes 2006, section 84.922, subdivision 2, is amended to read:

(a) Application for registration or
continued registration shall be made to the commissioner or an authorized deputy registrar
of motor vehicles in a form prescribed by the commissioner. The form must state the name
and address of every owner of the vehicle.

(b) A person who purchases an all-terrain vehicle from a retail dealer shall make
application for registration to the dealer at the point of sale. The dealer shall issue a dealer
temporary deleted text begin ten-daydeleted text end new text begin 21-daynew text end registration permit to each purchaser who applies to the dealer
for registration. The dealer shall submit the completed registration application and fees
to the deputy registrar at least once each week. No fee may be charged by a dealer to a
purchaser for providing the temporary permit.

(c) Upon receipt of the application and the appropriate fee, the commissioner
or deputy registrar shall issue to the applicant, or provide to the dealer, an assigned
registration number or a commissioner or deputy registrar temporary deleted text begin ten-daydeleted text end new text begin 21-daynew text end
permit. Once issued, the registration number must be affixed to the vehicle in a manner
prescribed by the commissioner. A dealer subject to paragraph (b) shall provide the
registration materials or temporary permit to the purchaser within the deleted text begin ten-daydeleted text end new text begin 21-daynew text end
temporary permit period. The commissioner shall use the snowmobile registration system
to register vehicles under this section.

(d) Each deputy registrar of motor vehicles acting under section 168.33, is also
a deputy registrar of all-terrain vehicles. The commissioner of natural resources in
agreement with the commissioner of public safety may prescribe the accounting and
procedural requirements necessary to assure efficient handling of registrations and
registration fees. Deputy registrars shall strictly comply with the accounting and
procedural requirements.

(e) In addition to other fees prescribed by law, a filing fee of $4.50 is charged
for each all-terrain vehicle registration renewal, duplicate or replacement registration
card, and replacement decal and a filing fee of $7 is charged for each all-terrain vehicle
registration and registration transfer issued by:

(1) a deputy registrar and shall be deposited in the treasury of the jurisdiction where
the deputy is appointed, or retained if the deputy is not a public official; or

(2) the commissioner and shall be deposited to the state treasury and credited to the
all-terrain vehicle account in the natural resources fund.

Minnesota Statutes 2006, section 84.9256, subdivision 1, is amended to read:

(a) Except for operation on
public road rights-of-way that is permitted under section 84.928, a driver's license issued
by the state or another state is required to operate an all-terrain vehicle along or on a
public road right-of-way.

(b) A person under 12 years of age shall not:

(1) make a direct crossing of a public road right-of-way;

(2) operate an all-terrain vehicle on a public road right-of-way in the state; or

(3) operate an all-terrain vehicle on public lands or waters, except as provided in
paragraph (f).

(c) Except for public road rights-of-way of interstate highways, a person 12 years
of age but less than 16 years may make a direct crossing of a public road right-of-way
of a trunk, county state-aid, or county highway or operate on public lands and watersnew text begin or
state or grant-in-aid trailsnew text end , only if that person possesses a valid all-terrain vehicle safety
certificate issued by the commissioner and is accompanied on another all-terrain vehicle
by a person 18 years of age or older who holds a valid driver's license.

(d) To be issued an all-terrain vehicle safety certificate, a person at least 12 years
old, but less than 16 years old, must:

(1) successfully complete the safety education and training program under section
84.925, subdivision 1, including a riding component; and

(2) be able to properly reach and control the handle bars and reach the foot pegs
while sitting upright on the seat of the all-terrain vehicle.

(e) A person at least 11 years of age may take the safety education and training
program and may receive an all-terrain vehicle safety certificate under paragraph (d), but
the certificate is not valid until the person reaches age 12.

(f) A person at least ten years of age but under 12 years of age may operate an
all-terrain vehicle with an engine capacity up to 90cc on public lands or waters if
accompanied by a parent or legal guardian.

(g) A person under 15 years of age shall not operate a class 2 all-terrain vehicle.

new text begin (h) A person under the age of 16 may not operate an all-terrain vehicle on public
lands or waters or on state or grant-in-aid trails if the person cannot properly reach and
control the handle bars and reach the foot pegs while sitting upright on the seat of the
all-terrain vehicle.
new text end

Minnesota Statutes 2006, section 85.011, is amended to read:

The legislature of this state has provided for the creation and establishment of
state parks, designated deleted text begin monuments,deleted text end new text begin statenew text end recreation deleted text begin reservesdeleted text end new text begin areas,new text end and waysides for the
purpose of conserving the scenery, natural and historic objects and wildlife and to provide
for the enjoyment of the same in such manner and by such means as will leave them
unimpaired for the enjoyment of future generations.

The establishment of such state parks, designated deleted text begin monuments,deleted text end new text begin statenew text end recreation
deleted text begin reservesdeleted text end new text begin areas,new text end and waysides is hereby confirmed as provided in this section and sections
85.012 and 85.013 and they shall remain perpetually dedicated for the use of the people of
the state for park purposes.

The enumerated state parks, deleted text begin state monuments,deleted text end state recreation areas, and state
waysides shall consist of the lands and other property authorized therefor before January
1, 1969, together with such other lands and properties as may be authorized therefor on
or after January 1, 1969.

Minnesota Statutes 2006, section 85.012, subdivision 28, is amended to read:

Interstatenew text begin Statenew text end Park, Chisago County, which is hereby renamed from
Dalles of Saint Croix State Park.

Minnesota Statutes 2006, section 85.012, subdivision 49a, is amended to read:

deleted text begin St. Croixdeleted text end Wild River State Park, Chisago County.

Minnesota Statutes 2006, section 85.013, subdivision 1, is amended to read:

(a) Designated deleted text begin monuments,deleted text end
recreation reservesdeleted text begin ,deleted text end and waysides heretofore established and hereby confirmed as deleted text begin state
monuments,deleted text end state recreation areas and state waysides together with the counties in which
they are situated are listed in this section and shall hereafter be named as indicated
in this section.

(b) Any land that now is or hereafter becomes tax-forfeited land and is located
within the described boundaries of a state recreation area as defined by session laws is
hereby withdrawn from sale and is transferred from the custody, control, and supervision
of the county board of the county to the commissioner of natural resources, free from
any trust in favor of the interested taxing districts. The commissioner shall execute a
certificate of acceptance of the lands on behalf of the state for such purposes and transmit
the same to the county auditor of the county for record as provided by law in the case
of tax-forfeited land transferred to the commissioner by resolution of the county board
for conservation purposes.

Minnesota Statutes 2006, section 85.054, subdivision 3, is amended to read:

A Minnesota state park permit is not required at
Interstate new text begin State new text end Park if a valid, current, Wisconsin state park permit or sticker authorizing
entry of a motor vehicle into Wisconsin state parks is appropriately displayed on the
vehicle and the commissioner has entered into an agreement with appropriate officials
of the state of Wisconsin that authorizes motor vehicles displaying Minnesota state park
permits free entry into Interstate State Park of Wisconsin on a reciprocal basis.

Minnesota Statutes 2006, section 85.054, is amended by adding a subdivision
to read:

new text begin A state park permit is not required and a fee
may not be charged for motor vehicle entry or parking at the Class 1 highway rest area
parking lot located adjacent to marked Trunk Highway 61 and Pigeon River at Grand
Portage State Park.
new text end

Minnesota Statutes 2006, section 86B.401, subdivision 2, is amended to read:

A person who applies for a watercraft license may
be issued a temporary license certificate to operate the watercraft. The temporary license
certificate is valid for deleted text begin the period of time specified by the commissionerdeleted text end new text begin 21 daysnew text end .

Minnesota Statutes 2006, section 88.15, subdivision 2, is amended to read:

Every person who startsnew text begin or maintainsnew text end a campfire
shallnew text begin :
new text end

new text begin (1)new text end exercise every reasonable precaution to prevent the campfire from spreading
deleted text begin and shalldeleted text end new text begin ;
new text end

new text begin (2)new text end before lighting the campfirenew text begin ,new text end clear the ground of all combustible material deleted text begin within
a radius ofdeleted text end five feet from the base of the campfiredeleted text begin . The person lighting the campfire shalldeleted text end new text begin ;
new text end

new text begin (3)new text end remain with the campfire at all timesnew text begin ;new text end and deleted text begin shall
deleted text end

new text begin (4)new text end before leaving the sitenew text begin ,new text end completely extinguish the campfire.

new text begin For the purposes of this section, "maintains" means tending or adding substantial
fuel to a campfire with the intention of extending the life of the campfire.
new text end

Minnesota Statutes 2006, section 89.715, is amended to read:

The commissioner may adopt a deleted text begin recordeddeleted text end state forest
road map under this section to record the department's state forest road prescriptive
easements. For purposes of this section, "deleted text begin recordeddeleted text end state forest road map" means the
official map of state forest roadsnew text begin adopted by the commissionernew text end .

The deleted text begin recordeddeleted text end state forest road map must:

(1) show state forest roads at the time the map is adopted;

(2) be prepared at a scale deleted text begin of at least four inches equals one miledeleted text end new text begin compliant with
county recorder standardsnew text end ;

(3) include section numbers;

(4) include a north point arrow;

(5) include the name of the county and state;

(6) include a blank and a description under the blank for the date of public hearing
and date of adoption;

(7) include blanks for signatures and dates of signatures for the commissioner; and

(8) include a list of legal descriptions of all parcels crossed by state forest road
prescriptive easements.

(a) The commissioner must prepare an official
map for each county or smaller geographic area as determined by the commissioner as
provided in subdivision 2, and set a time, place, and date for a public hearing on adopting
a deleted text begin recordeddeleted text end state forest road map to record roads.

(b) The hearing notice must state that the roads to be recorded will be to the width of
the actual use including ditches, backslopes, fills, and maintained rights-of-way, unless
otherwise specified in a prior easement of record. The hearing notice must be published
once a week for two successive weeks in a qualified newspaper of general circulation that
serves the county or smaller geographic areas as determined by the commissioner, the last
publication to be made at least ten days before the date of the public hearing. At least 30
days before the hearing, the hearing notice must be sent by certified mail to the property
owners directly affected in the county or smaller geographic areas as determined by the
commissioner at the addresses listed on the tax assessment notices at least seven days
before appearing in the qualified newspaper. The hearing notice may be sent with the tax
assessment, but all additional costs incurred shall be billed to the department.

(c) After the public hearing is held, the commissioner may amend and adopt the
deleted text begin recordeddeleted text end state forest road map. The deleted text begin recordeddeleted text end new text begin adoptednew text end state forest road map must be dated
and signed by the commissioner and must be deleted text begin recordeddeleted text end new text begin filed for recording new text end with the county
recorder within 90 days after the map is adopted.new text begin The map is effective when filed with
the county recorder.
new text end

(d) The deleted text begin recordeddeleted text end state forest road map that is recorded with the county recorder must
comply with the standards of the county recorder where the state forest roads are located.

(e) A deleted text begin recordeddeleted text end state forest road map that was prepared by using aerial photographs
to establish road centerlines and that has been duly recorded with the county recorder is an
adequate description for purposes of recording road easements and the map is the legally
constituted description and prevails when a deed for a parcel abutting a road contains
no reference to a road easement. Nothing prevents the commissioner from accepting a
more definitive metes and bounds or survey description of a road easement for a road of
record if the description of the easement is referenced to equal distance on both sides
of the existing road centerline.

(f) The commissioner shall consult with representatives of county land
commissioners, county auditors, county recorders, and Torrens examiners in implementing
this subdivision.

(a) deleted text begin Before filing an appeal under paragraph (b), a person may
seek resolution of concerns regarding a decision to record a road under this section by
contacting the commissioner in writing.
deleted text end

deleted text begin (b) A person may appeal a decision to record or exclude recording a road under this
section to the district court within 120 days after the date the commissioner adopts the
state forest road map. deleted text end new text begin Appeals may be filed only by property owners who are directly
affected by a proposed map designation and only for those portions of the map designation
that directly affect them.
new text end

new text begin (b) A property owner may appeal the map designation to the commissioner within 60
days of the map being recorded by filing a written request for review. The commissioner
shall review the request and any supporting evidence and render a decision within 45
days of receipt of the request for review.
new text end

new text begin (c) If a property owner wishes to appeal a decision of the commissioner after review
under paragraph (b), the property owner must file an appeal with the district court within
60 days of the commissioner's decision.
new text end

new text begin (d) If any portion of a map appealed under paragraph (b) is modified or found to be
invalid by a court of competent jurisdiction under paragraph (c), the remainder of the map
shall not be affected and its recording with the county recorder shall stand.
new text end

This section does not affect or
diminish the legal status or state obligations of roads and trails not shown on the deleted text begin recordeddeleted text end
state forest road map.

Adoption of a deleted text begin recordeddeleted text end state forest road map under this
section is exempt from the rulemaking requirements of chapter 14 and section 14.386
does not apply.

Minnesota Statutes 2006, section 93.481, is amended by adding a subdivision
to read:

new text begin The mining administration account is
established as an account in the natural resources fund. Ferrous mining administrative fees
charged to owners, operators, or managers of mines shall be credited to the account and
may be appropriated to the commissioner to cover the costs of providing and monitoring
permits to mine ferrous metals under this section.
new text end

Minnesota Statutes 2006, section 97A.055, subdivision 4b, is amended to read:

(a) The commissioner shall appoint
subcommittees of affected persons to review the reports prepared under subdivision 4;
review the proposed work plans and budgets for the coming year; propose changes
in policies, activities, and revenue enhancements or reductions; review other relevant
information; and make recommendations to the legislature and the commissioner for
improvements in the management and use of money in the game and fish fund.

(b) The commissioner shall appoint the following subcommittees, each comprised
of at least three affected persons:

(1) a Fisheries Operations Subcommittee to review fisheries funding, excluding
activities related to trout and salmon stamp funding;

(2) a Wildlife Operations Subcommittee to review wildlife funding, excluding
activities related to migratory waterfowl, pheasant, and turkey stamp funding and
excluding review of the amounts available under section 97A.075, subdivision 1,
paragraphs (b) and (c);

(3) a Big Game Subcommittee to review the report required in subdivision 4,
paragraph (a), clause (2);

(4) an Ecological deleted text begin Services Operationsdeleted text end new text begin Resourcesnew text end Subcommittee to review ecological
services funding;

(5) a subcommittee to review game and fish fund funding of enforcementdeleted text begin , support
services, and Department of Natural Resources administrationdeleted text end new text begin and operations supportnew text end ;

(6) a subcommittee to review the trout and salmon stamp report and address funding
issues related to trout and salmon;

(7) a subcommittee to review the report on the migratory waterfowl stamp and
address funding issues related to migratory waterfowl;

(8) a subcommittee to review the report on the pheasant stamp and address funding
issues related to pheasants; and

(9) a subcommittee to review the report on the turkey stamp and address funding
issues related to wild turkeys.

(c) The chairs of each of the subcommittees shall form a Budgetary Oversight
Committee to coordinate the integration of the subcommittee reports into an annual
report to the legislature; recommend changes on a broad level in policies, activities, and
revenue enhancements or reductions; provide a forum to address issues that transcend the
subcommittees; and submit a report for any subcommittee that fails to submit its report
in a timely manner.

(d) The Budgetary Oversight Committee shall develop recommendations for a
biennial budget plan and report for expenditures on game and fish activities. By August 15
of each even-numbered year, the committee shall submit the budget plan recommendations
to the commissioner and to the senate and house committees with jurisdiction over natural
resources finance.

(e) Each subcommittee shall choose its own chair, except that the chair of the
Budgetary Oversight Committee shall be appointed by the commissioner and may not
be the chair of any of the subcommittees.

(f) The Budgetary Oversight Committee must make recommendations to the
commissioner and to the senate and house committees with jurisdiction over natural
resources finance for outcome goals from expenditures.

(g) Notwithstanding section 15.059, subdivision 5, or other law to the contrary, the
Budgetary Oversight Committee and subcommittees do not expire until June 30, 2010.

Minnesota Statutes 2006, section 97A.141, subdivision 1, is amended to read:

The commissioner shall acquire access sites
adjacent to public waters and easements and rights-of-way necessary to connect the access
sites with public highways. The land may be acquired by gift, lease, or purchase, or by
condemnation with approval of the Executive Council. deleted text begin An access site may not exceed
seven acres and may only be acquired where access is inadequate.
deleted text end

Minnesota Statutes 2006, section 103A.204, is amended to read:

(a) The responsibility for the protection of groundwater in Minnesota is vested
in a multiagency approach to management. The following is a list of agencies and the
groundwater protection areas for which the agencies are primarily responsible; the list is
not intended to restrict the areas of responsibility to only those specified:

(1) Environmental Quality Board: deleted text begin creation of a water resources committee to
coordinatedeleted text end new text begin coordination ofnew text end state groundwater protection programs deleted text begin and a biennial
groundwater policy report beginning in 1994 that includes, for the 1994 report, the
findings in the groundwater protection report coordinated by the Pollution Control Agency
for the Environmental Protection Agencydeleted text end ;

(2) Pollution Control Agency: water quality monitoring and reporting and the
development of best management practices and regulatory mechanisms for protection of
groundwater from nonagricultural chemical contaminants;

(3) Department of Agriculture: sustainable agriculture, integrated pest management,
water quality monitoring, and the development of best management practices and
regulatory mechanisms for protection of groundwater from agricultural chemical
contaminants;

(4) Board of Water and Soil Resources: reporting on groundwater education and
outreach with local government officials, local water planning and management, and
local cost share programs;

(5) Department of Natural Resources: water quantity monitoring and regulation,
sensitivity mapping, and development of a plan for the use of integrated pest management
and sustainable agriculture on state-owned lands; and

(6) Department of Health: regulation of wells and borings, and the development of
health risk limits under section 103H.201.

(b) The Environmental Quality Board shall deleted text begin through its Water Resources Committee
coordinate with representatives of all agenciesdeleted text end new text begin prepare a report on policy issues related to
its responsibilitiesnew text end listed in paragraph (a), deleted text begin citizens, and other interested groups to prepare
a biennial report every even-numbered year as part of its duties described in sections
103A.43 and 103B.151deleted text end new text begin and include these reports with the assessments in section 103A.43
and the "Minnesota Water Plan" in section 103B.151new text end .

Minnesota Statutes 2006, section 103A.43, is amended to read:

(a) The Environmental Quality Board shall deleted text begin evaluate anddeleted text end new text begin consolidate the assessments
required in paragraphs (b) and (c) with the policy report in section 103A.204 and submit a
single new text end report to the house of representatives and senate committees with jurisdiction
over the environment, natural resources, and agriculture and the Legislative-Citizen
Commission on Minnesota Resources deleted text begin on statewide water research needs and
recommended priorities for addressing these needs. Local water research needs may also
be includeddeleted text end new text begin by September 15, 2010, and every five years thereafternew text end .

(b) The deleted text begin Environmental Quality Board shall work with thedeleted text end Pollution Control Agency
and the Department of Agriculture deleted text begin to coordinatedeleted text end new text begin shall providenew text end a biennial assessment and
analysis of water quality, groundwater degradation trends, and efforts to reduce, prevent,
minimize, and eliminate degradation of water. The assessment and analysis must include
an analysis of relevant monitoring data.

(c) The deleted text begin Environmental Quality Board shall work with thedeleted text end Department of Natural
Resources deleted text begin to coordinatedeleted text end new text begin shall providenew text end an assessment and analysis of the quantity of surface
and ground water in the state and the availability of water to meet the state's needs.

deleted text begin (d) The Environmental Quality Board shall coordinate and submit a report on water
policy including the analyses in paragraphs (a) to (c) to the house of representatives
and senate committees with jurisdiction over the environment, natural resources,
and agriculture and the Legislative-Citizen Commission on Minnesota Resources by
September 15 of each even-numbered year. The report may include the groundwater
policy report in section 103A.204.
deleted text end

Minnesota Statutes 2006, section 103B.151, subdivision 1, is amended to read:

The Environmental Quality Board shall:

(1) coordinate public water resource management and regulation activities among
the state agencies having jurisdiction in the area;

(2) deleted text begin initiate,deleted text end coordinatedeleted text begin , and continue to developdeleted text end comprehensive long-range water
resources planning in furtherance of deleted text begin the plan prepared bydeleted text end the Environmental Quality
Board's deleted text begin Water Resources Committee entitleddeleted text end "Minnesota Water Plan," published in
January 1991, by September 15, 2000, and each ten-year interval afterwards;

(3) coordinate water planning activities of local, regional, and federal bodies with
state water planning and integrate these plans with state strategies;

(4) coordinate development of state water policy recommendations and priorities,
and a recommended program for funding identified needs, including priorities for
implementing the state water resources monitoring plan;

(5) administer federal water resources planning with multiagency interests;

(6) ensure that groundwater quality monitoring and related data is provided and
integrated into the Minnesota land management information system according to
published data compatibility guidelines. Costs of integrating the data in accordance with
data compatibility standards must be borne by the agency generating the data;

(7) coordinate the development and evaluation of water information and education
materials and resources; and

(8) coordinate the dissemination of water information and education through
existing delivery systems.

Minnesota Statutes 2007 Supplement, section 103G.291, subdivision 3,
is amended to read:

(a) Every public water supplier
serving more than 1,000 people must submit a water supply plan to the commissioner
for approval by January 1, 1996. In accordance with guidelines developed by the
commissioner, the plan must address projected demands, adequacy of the water supply
system and planned improvements, existing and future water sources, natural resource
impacts or limitations, emergency preparedness, water conservation, supply and demand
reduction measures, and allocation priorities that are consistent with section 103G.261.
Public water suppliers must update their plan and, upon notification, submit it to the
commissioner for approval every ten years.

(b) The water supply plan in paragraph (a) is required for all communities in the
metropolitan area, as defined in section 473.121, with a municipal water supply system
and is a required element of the local comprehensive plan required under section 473.859.
Water supply plans or updates submitted after December 31, 2008, must be consistent
with the metropolitan area master water supply plan required under section 473.1565,
subdivision 1, paragraph (a), clause (2).

(c) Public water suppliers serving more than 1,000 people must employ water
use demand reduction measuresnew text begin , including a conservation rate structure, as defined in
subdivision 4, paragraph (a), unless exempted under subdivision 4, paragraph (c),new text end before
requesting approval from the commissioner of health under section 144.383, paragraph
(a), to construct a public water supply well or requesting an increase in the authorized
volume of appropriation. Demand reduction measures must include evaluation of
conservation rate structures and a public education program that may include a toilet
and showerhead retrofit program.

(d) Public water suppliers serving more than 1,000 people must submit records
that indicate the number of connections and amount of use by customer category and
volume of water unaccounted for with the annual report of water use required under
section 103G.281, subdivision 3.

(e) For the purposes of this deleted text begin subdivisiondeleted text end new text begin sectionnew text end , "public water supplier" means
an entity that owns, manages, or operates a public water supply, as defined in section
144.382, subdivision 4.

Minnesota Statutes 2006, section 103G.291, is amended by adding a
subdivision to read:

new text begin (a) For the purposes of this
section, "conservation rate structure" means a rate structure that encourages conservation
and may include increasing block rates, seasonal rates, time of use rates, individualized
goal rates, or excess use rates. The rate structure must consider each residential unit as an
individual user in multiple-family dwellings.
new text end

new text begin (b) To encourage conservation, a public water supplier serving more than 1,000
people in the metropolitan area, as defined in section 473.121, subdivision 2, shall use
a conservation rate structure by January 1, 2010. All remaining public water suppliers
serving more than 1,000 people shall use a conservation rate structure by January 1, 2013.
new text end

new text begin (c) A public water supplier without the proper measuring equipment to track the
amount of water used by its users, as of the effective date of this act, is exempt from
this subdivision and the conservation rate structure requirement under subdivision 3,
paragraph (c).
new text end

Minnesota Statutes 2006, section 103G.615, subdivision 2, is amended to read:

(a) The commissioner shall establish a fee schedule for permits to
control or harvest aquatic plants other than wild rice. The fees must be set by rule, and
section 16A.1283 does not apply. The fees deleted text begin may not exceed $750 per permitdeleted text end new text begin shall benew text end based
upon the cost of receiving, processing, analyzing, and issuing the permit, and additional
costs incurred after the application to inspect and monitor the activities authorized by the
permit, and enforce aquatic plant management rules and permit requirements.

(b) deleted text begin Thedeleted text end new text begin Anew text end fee for a permit for the control of rooted aquatic vegetation deleted text begin is $35deleted text end for each
contiguous parcel of shoreline owned by an ownernew text begin may be chargednew text end . This fee may not
be charged for permits issued in connection with purple loosestrife control or lakewide
Eurasian water milfoil control programs.

(d) The money received for the permits under this subdivision shall be deposited in
the treasury and credited to the water recreation account.

new text begin (a) To reduce potential future remediation costs and to protect groundwater, an
applicant for a permit for a disposal facility that was not in operation prior to March 1,
2008, and that accepts mixed municipal solid waste, ash, industrial waste, or construction
and demolition waste for disposal must submit as part of the application, except as
provided in paragraph (e), the results of an independent laboratory analysis for cations
and anions and for enriched tritium in water samples taken from an upgradient and
downgradient well finished in the uppermost unconsolidated aquifer encountered and an
upgradient and downgradient well finished in the uppermost bedrock aquifer at the site. If
150 feet of continuous nonaquifer material is encountered above the bedrock, testing of
bedrock wells is not required. If no unconsolidated or bedrock aquifers are found within
the first 150 feet at the site, no cation, anion, or tritium testing is required.
new text end

new text begin (b) The commissioner may not issue a disposal facility permit to an applicant whose
test results for tritium required in paragraph (a) report concentrations of five tritium units
or greater in any well tested, except as provided in paragraph (c).
new text end

new text begin (c) If test results report concentrations of five tritium units or greater for any well, an
applicant may present to the commissioner reasons and supporting documentation why
the tritium test results may not indicate that the site is highly sensitive to groundwater
contamination at the site. If the commissioner determines that the applicant's reasons
and supporting documentation are scientifically valid, the commissioner shall specify
additional testing of groundwater samples from the site that will allow a better estimate to
be made of the sensitivity of groundwater contamination at the site. If, after reviewing
the tritium test results, the additional testing data, and any other data pertaining to the
site's susceptibility to groundwater contamination, the commissioner determines that the
conclusion that the site is not highly sensitive to groundwater contamination is supported
by a preponderance of the scientifically valid evidence available, the commissioner may
issue the permit.
new text end

new text begin (d) Beginning July 1, 2010, and every two years thereafter, the commissioner must
review air sampling of the atmospheric concentration of tritium and adjust the tritium
concentration threshold in paragraph (b) to a level no greater than one-half the average
concentration of tritium in the atmosphere in this state.
new text end

new text begin (e) This section does not apply to an application for:
new text end

new text begin (1) reissuance of a permit for a land disposal facility operating as of March 1, 2008;
new text end

new text begin (2) a permit to expand a land disposal facility operating as of March 1, 2008 beyond
its permitted boundaries, including expansion on land that is not contiguous to, but is
located within 600 yards of, the land disposal facility's permitted boundaries;
new text end

new text begin (3) a permit to modify the type of waste accepted at a land disposal facility operating
as of March 1, 2008; or
new text end

new text begin (4) a permit to locate a Class I, II, or III land disposal facility that will accept
construction debris and demolition debris, as described in the Minnesota Pollution Control
Agency's "Demolition Landfill Guidance," published in August 2005, that is operating
as of July 1, 2010.
new text end

new text begin (f) Minnesota Rules, part 7035.2815, applies to a permit application for an industrial
solid waste land disposal facility, unless the commissioner determines that the proposed
facility is unlikely to pose a risk of groundwater contamination.
new text end

new text begin (g) By September 15, 2008, the commissioner shall submit a report to the chairs and
ranking minority members of the senate and house committees with primary jurisdiction
over environmental policy containing recommendations, including suggested legislation
or rules, for changes in the provisions governing the location of industrial solid waste land
disposal facilities and Class I, II, or III land disposal facilities that accept construction
debris and demolition debris, as described in the Minnesota Pollution Control Agency's
"Demolition Landfill Guidance," published in August 2005, in order to prevent the
contamination of ground water by those facilities.
new text end

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

new text begin The commissioner of the Pollution Control Agency shall, by July 15, 2008, convene
a working group to develop, evaluate and recommend policies and legislation regarding
the management of industrial solid waste and construction and demolition debris in land
disposal facilities. The commissioner shall appoint members of the working group,
including representatives from counties, state agencies, private landfill owners, waste
haulers, environmental organizations, and other interested parties to serve on the working
group. The Pollution Control Agency shall serve as staff to the working group. The
working group shall submit a report of its findings and recommendations to the chairs and
ranking minority members of the senate and house committees with primary jurisdiction
over environmental policy and environmental finance by January 15, 2009.
new text end

Minnesota Statutes 2006, section 473.1565, subdivision 3, is amended to read:

The council must submit reports to the legislature
regarding its findings, recommendations, and continuing planning activities under
subdivision 1. deleted text begin The first report must be submitted to the legislature by the date the
legislature convenes in 2007 and subsequent reports must be submitted by such date
every five years thereafter.deleted text end new text begin These reports shall be included in the "Minnesota Water Plan"
required in section 103B.151, and five-year interim reports may be provided as necessary.
new text end

new text begin (a) Until a new application fee schedule is adopted for permits to mine ferrous metals
according to the report submitted by the commissioner of natural resources under article
1, section 3, subdivision 2, the commissioner shall charge the following administrative
fees, payable to the commissioner by June 30 of each year, beginning in 2008 until a
new application fee schedule is adopted.
new text end

new text begin (b) The owner, operator, or manager of the following mines shall pay:
new text end

new text begin (1) Minntac and Keetac, $90,000;
new text end

new text begin (2) North Shore, Hibbing Taconite, and United Taconite, $90,000;
new text end

new text begin (3) the Minorca mine, $10,000;
new text end

new text begin (4) Minnesota Steel, $3,333;
new text end

new text begin (5) Mesaba Nugget, $3,333; and
new text end

new text begin (6) Cliffs Erie, formerly LTV, $3,333.
new text end

new text begin This section is effective the day following final enactment
and applies to owners, operators, and managers holding or applying for a permit to mine
under Minneota Statutes, section 93.481, during the 2007 calendar year.
new text end

new text begin The commissioner of natural resources shall adopt rules to implement the changes in
law made in sections 3 to 7 and 15. The initial rules required by this section are exempt
from the rulemaking provisions of Minnesota Statutes, chapter 14. The rules are subject
to Minnesota Statutes, section 14.386, except that notwithstanding Minnesota Statutes,
section 14.386, paragraph (b), the rules continue in effect until repealed or superseded
by other law or rule.
new text end

new text begin Minnesota Statutes 2006, sections 84.961, subdivision 4; 85.013, subdivision 21b;
and 97A.141, subdivision 2, new text end new text begin and new text end new text begin Laws 1989, chapter 335, article 1, section 21, subdivision
8, as amended by Laws 2002, chapter 323, section 19, new text end new text begin are repealed.
new text end

new text begin The amounts shown in this section summarize direct appropriations or reductions,
by fund, made in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin 30,000 new text end	new text begin $ new text end	new text begin (186,000) new text end	new text begin $ new text end	new text begin (156,000) new text end
new text begin Special Revenue new text end		new text begin -0- new text end		new text begin 260,000 new text end		new text begin 260,000 new text end
new text begin Cancellations new text end		new text begin -0- new text end		new text begin 2,600,000 new text end		new text begin 2,600,000 new text end
new text begin Transfers From Other Funds new text end		new text begin -0- new text end		new text begin 9,180,000 new text end		new text begin 9,180,000 new text end

new text begin The dollar amounts in the columns under "APPROPRIATIONS AND
REDUCTIONS" are added to or, if shown in parentheses, subtracted from the
appropriations in Laws 2007, chapter 57, or other law to the specified agencies. The
appropriations are from the general fund, or another named fund, and are available for the
fiscal years indicated for each purpose. The figures "2008" and "2009" used in this article
mean that the appropriations listed under them are available for the fiscal year ending June
30, 2008, or June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second
year" is fiscal year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations
for the fiscal year ending June 30, 2008, are effective the day following final enactment.
new text end

new text begin $
new text end

new text begin 30,000
new text end

new text begin $
new text end

new text begin 74,000
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end	new text begin 30,000 new text end	new text begin (186,000) new text end
new text begin Special Revenue new text end	new text begin -0- new text end	new text begin 260,000 new text end
new text begin Cancellations new text end	new text begin -0- new text end	new text begin 2,600,000 new text end
new text begin Transfers From Other Funds new text end	new text begin -0- new text end	new text begin 5,180,000 new text end

-0-

84,000

new text begin $46,000 in the second year is a base reduction
to the administration program and the Office
of Energy Security.
new text end

new text begin $130,000 in the second year is a base increase
for staffing to enhance unclaimed property
compliance.
new text end

(270,000)

new text begin This is a base reduction to the do not call
program.
new text end

300,000

260,000

new text begin Appropriations by Fund new text end
new text begin General Fund new text end	new text begin 300,000 new text end	new text begin -0- new text end
new text begin Special Revenue Fund new text end	new text begin -0- new text end	new text begin 260,000 new text end

new text begin $300,000 in the first year is for the
solar rebate program. This is a onetime
appropriation and is available until spent.
new text end

new text begin $175,000 in the second year is a onetime
appropriation for the broadband mapping
project initiated in this article. This
appropriation is from the telecommunications
access Minnesota fund account in the special
revenue fund.
new text end

new text begin $85,000 in the second year is a onetime
appropriation for transfer to the Board of
Regents of the University of Minnesota for
the state video franchising study initiated in
this article. This appropriation is from the
telecommunications access Minnesota fund
account in the special revenue fund.
new text end

new text begin Of the amounts appropriated from the
special revenue fund in the second year
to the commissioner of commerce for
renewable energy research under Laws
2007, chapter 57, article 2, section 3,
subdivision 6, clause (7), up to $250,000
may be used for cold weather biodiesel
blending infrastructure grants to facilities
that serve Minnesota, $500,000 must be used
to support the algae-to-biofuels research
project at the University of Minnesota
and the Metropolitan Council, and up to
$500,000 must be used for the cap-and-trade
governance and economic and emissions
studies required in 2008 House File 3195.
The appropriation for the cap-and-trade
studies is available only if 2008 House File
3195, or legislation requiring the studies, is
enacted.
new text end

new text begin Of the amounts appropriated from the
special revenue fund in the second year
to the commissioner of commerce for
automotive technology projects under Laws
2007, chapter 57, article 2, subdivision 6,
clause (4), up to $200,000 shall be used
for the required report and activities of the
Green Economy Transformation Task Force
established in this article. This is a onetime
appropriation.
new text end

new text begin Of the assessment amount authorized under
Minnesota Statutes, section 216B.241,
subdivision 1e, up to $200,000 in the
second year shall be used for the required
report and activities of the Green Economy
Transformation Task Force established in
this article. This is a onetime appropriation.
new text end

new text begin Prior to July 31, 2008, $2,600,000 from the
unexpended balance from the appropriation
made in Laws 2007, chapter 57, article
2, section 3, subdivision 6, for renewable
hydrogen initiative grants is canceled to the
general fund.
new text end

new text begin (a) new text end new text begin Insurance Fraud Prevention Account
new text end

new text begin Prior to July 31, 2008, the commissioner of
finance shall transfer $2,000,000 from the
unexpended balance of the insurance fraud
prevention account established in Minnesota
Statutes, section 45.0135, to the general fund.
new text end

new text begin After June 15, 2009, and prior to June 30,
2009, the commissioner of finance shall
transfer $1,500,000 from the unexpended
balance of the insurance fraud prevention
account established in Minnesota Statutes,
section 45.0135, to the general fund.
new text end

new text begin (b) Real Estate Education, Research and
Recovery Fund
new text end

new text begin Prior to July 31, 2008, the commissioner
of finance shall transfer $1,350,000 from
the unexpended balance of the real estate
education, research and recovery fund
established in Minnesota Statutes, section
82.43, to the general fund.
new text end

new text begin (c) new text end new text begin Consumer Education Account
new text end

new text begin Prior to July 31, 2008, the commissioner
of finance shall transfer $100,000 from
the unexpended balance of the consumer
education account established under
Minnesota Statutes, section 58.10, to the
general fund.
new text end

new text begin (d) new text end new text begin Automobile Theft Prevention Account
new text end

new text begin Prior to July 31, 2008, the commissioner
of finance shall transfer $230,000 from the
unexpended balance of the automobile theft
prevention account established in Minnesota
Statutes, section 168A.40, to the general
fund.
new text end

new text begin new text end

new text begin Prior to July 31, 2008, the commissioner
of finance shall transfer $4,000,000 from
the telephone assistance fund established in
Minnesota Statutes, section 237.701, to the
general fund.
new text end

Minnesota Statutes 2007 Supplement, section 16B.328, is amended by adding a
subdivision to read:

new text begin (a) An outdoor
lighting fixture may be installed or replaced using state funds only if:
new text end

new text begin (1) the new or replacement outdoor lighting fixture is a cutoff luminaire if the rated
output of the outdoor lighting fixture is greater than 1,800 lumens;
new text end

new text begin (2) the minimum illuminance adequate for the intended purpose is used with
consideration given to nationally recognized standards;
new text end

new text begin (3) for lighting of a designated highway of the state highway system, the Department
of Transportation determines that the purpose of the outdoor lighting fixture cannot be
achieved by the installation of reflective road markers, lines, warning or informational
signs, or other effective passive methods; and
new text end

new text begin (4) full consideration has been given to energy conservation and savings, reducing
glare, minimizing light pollution, and preserving the natural night environment.
new text end

new text begin (b) Paragraph (a) does not apply if:
new text end

new text begin (1) a federal law, rule, or regulation preempts state law;
new text end

new text begin (2) the outdoor lighting fixture is used on a temporary basis because emergency
personnel require additional illumination for emergency procedures;
new text end

new text begin (3) the outdoor lighting fixture is used on a temporary basis for nighttime work;
new text end

new text begin (4) special events or situations require additional illumination, provided that the
illumination installed shields the outdoor lighting fixtures from direct view and minimizes
upward lighting and light pollution;
new text end

new text begin (5) the outdoor lighting fixture is used solely to highlight the aesthetic aspects of
a single object or distinctive building; or
new text end

new text begin (6) a compelling safety interest exists that cannot be addressed by another method.
new text end

new text begin (c) This subdivision does not apply to the operation and maintenance of lights or
lighting systems purchased or installed, or for which design work is completed, before
August 1, 2008.
new text end

new text begin (d) This section does not apply if a state agency or local unit of government
determines that compliance with this section would:
new text end

new text begin (1) require an increased use of electricity;
new text end

new text begin (2) increase the construction cost of a lighting system more than 15 percent over the
construction cost of a lighting system that does not comply with this section;
new text end

new text begin (3) increase the cost of operation and maintenance of the lighting system more than
ten percent over the cost of operating and maintaining the existing lighting system over
the life of the lighting system; or
new text end

new text begin (4) result in a negative safety impact.
new text end

new text begin For the purpose of this section, "green economy" means
products, processes, methods, technologies, or services intended to do one or more of
the following:
new text end

new text begin (1) increase the use of energy from renewable sources, as defined in section
216B.1691;
new text end

new text begin (2) increase the energy efficiency of the electric utility infrastructure system or
increase energy conservation related to electricity use, as provided in sections 216B.2401
and 216B.241;
new text end

new text begin (3) reduce greenhouse gas emissions, as defined in section 216H.01, subdivision
2, or mitigate greenhouse gas emissions through, but not limited to, carbon capture,
storage, or sequestration;
new text end

new text begin (4) monitor, protect, restore, and preserve the quality of surface waters; or
new text end

new text begin (5) expand use of biofuels, including by expanding the feasibility or reducing the
cost of producing biofuels or the types of equipment, machinery, and vehicles that can use
biofuels.
new text end

new text begin The
commissioner shall cooperate to promote job training that complements green economy
business development.
new text end

Minnesota Statutes 2007 Supplement, section 116J.575, subdivision 1a, is
amended to read:

(a) If applications for grants exceed the available
appropriations, grants shall be made for sites that, in the commissioner's judgment, provide
the highest return in public benefits for the public costs incurred. "Public benefits" include
job creation, bioscience development, environmental benefits to the state and region,
efficient use of public transportation, efficient use of existing infrastructure, provision of
affordable housing, multiuse development that constitutes community rebuilding rather
than single-use development, crime reduction, blight reduction, community stabilization,
and property tax base maintenance or improvement. In making this judgment, the
commissioner shall give priority to redevelopment projects with one or more of the
following characteristics:

(1) the need for redevelopment in conjunction with contamination remediation needs;

(2) the redevelopment project meets current tax increment financing requirements
for a redevelopment district and tax increments will contribute to the project;

(3) the redevelopment potential within the municipality;

(4) proximity to public transit if located in the metropolitan area;

(5) redevelopment costs related to expansion of a bioscience business in Minnesota;
deleted text begin and
deleted text end

(6) multijurisdictional projects that take into account the need for affordable housing,
transportation, and environmental impactnew text begin ; or
new text end

new text begin (7) the project advances or promotes the green economy as defined in section
116J.437new text end .

(b) The factors in paragraph (a) are not listed in a rank order of priority; rather, the
commissioner may weigh each factor, depending upon the facts and circumstances, as
the commissioner considers appropriate. The commissioner may consider other factors
that affect the net return of public benefits for completion of the redevelopment plan. The
commissioner, notwithstanding the listing of priorities and the goal of maximizing the
return of public benefits, shall make grants that distribute available money to sites both
within and outside of the metropolitan area. Unless sufficient applications are not received
for qualifying sites outside of the metropolitan area, at least 50 percent of the money
provided as grants must be made for sites located outside of the metropolitan area.

Minnesota Statutes 2006, section 116J.8731, subdivision 4, is amended to read:

Assistance must be evaluated on the existence of the
following conditions:

(1) creation of new jobs, retention of existing jobs, or improvements in the quality of
existing jobs as measured by the wages, skills, or education associated with those jobs;

(2) increase in the tax base;

(3) the project can demonstrate that investment of public dollars induces private
funds;

(4) the project can demonstrate an excessive public infrastructure or improvement
cost beyond the means of the affected community and private participants in the project;

(5) the project provides higher wage levels to the community or will add value to
current workforce skills;

(6) whether assistance is necessary to retain existing business; deleted text begin and
deleted text end

(7) whether assistance is necessary to attract out-of-state businessnew text begin ; and
new text end

new text begin (8) the project promotes or advances the green economy as defined in section
116J.437new text end .

A grant or loan cannot be made based solely on a finding that the conditions in
clause (6) or (7) exist. A finding must be made that a condition in clause (1), (2), (3),
(4), or (5) also exists.

Applications recommended for funding shall be submitted to the commissioner.

Minnesota Statutes 2007 Supplement, section 216C.41, subdivision 3, is
amended to read:

Payments may be made under this section only for:

(a) electricity generated from:

(1) a qualified hydroelectric facility that is operational and generating electricity
before December 31, deleted text begin 2009deleted text end new text begin 2011new text end ;

(2) a qualified wind energy conversion facility that is operational and generating
electricity before January 1, 2008; or

(3) a qualified on-farm biogas recovery facility from July 1, 2001, through December
31, 2017; and

(b) gas generated from a qualified on-farm biogas recovery facility from July 1,
2007, through December 31, 2017.

Minnesota Statutes 2006, section 216C.41, subdivision 4, is amended to read:

(a) A facility may receive payments under this section for
a ten-year period. No payment under this section may be made for electricity generated:

(1) by a qualified hydroelectric facility after December 31, deleted text begin 2019deleted text end new text begin 2021new text end ;

(2) by a qualified wind energy conversion facility after December 31, 2018; or

(3) by a qualified on-farm biogas recovery facility after December 31, 2015.

(b) The payment period begins and runs consecutively from the date the facility
begins generating electricity or, in the case of refurbishment of a hydropower facility, after
substantial repairs to the hydropower facility dam funded by the incentive payments are
initiated.

Minnesota Statutes 2006, section 609.531, subdivision 1, is amended to read:

For the purpose of sections 609.531 to 609.5318, the
following terms have the meanings given them.

(a) "Conveyance device" means a device used for transportation and includes, but
is not limited to, a motor vehicle, trailer, snowmobile, airplane, and vessel and any
equipment attached to it. The term "conveyance device" does not include property which
is, in fact, itself stolen or taken in violation of the law.

(b) "Weapon used" means a dangerous weapon as defined under section 609.02,
subdivision 6, that the actor used or had in possession in furtherance of a crime.

(d) "Contraband" means property which is illegal to possess under Minnesota law.

(e) "Appropriate agency" means the Bureau of Criminal Apprehension, new text begin the
Department of Commerce Division of Insurance Fraud Prevention, new text end the Minnesota Division
of Driver and Vehicle Services, the Minnesota State Patrol, a county sheriff's department,
the Three Rivers Park District park rangers, the Department of Natural Resources Division
of Enforcement, the University of Minnesota Police Department, the Department of
Corrections' Fugitive Apprehension Unit, or a city or airport police department.

(f) "Designated offense" includes:

(1) for weapons used: any violation of this chapter, chapter 152, or chapter 624;

(2) for driver's license or identification card transactions: any violation of section
171.22; and

(3) for all other purposes: a felony violation of, or a felony-level attempt or
conspiracy to violate, section 325E.17; 325E.18; 609.185; 609.19; 609.195; 609.21;
609.221; 609.222; 609.223; 609.2231; 609.24; 609.245; 609.25; 609.255; 609.282;
609.283; 609.322; 609.342, subdivision 1, clauses (a) to (f); 609.343, subdivision 1,
clauses (a) to (f); 609.344, subdivision 1, clauses (a) to (e), and (h) to (j); 609.345,
subdivision 1, clauses (a) to (e), and (h) to (j); 609.352; 609.42; 609.425; 609.466;
609.485; 609.487; 609.52; 609.525; 609.527; 609.528; 609.53; 609.54; 609.551; 609.561;
609.562; 609.563; 609.582; 609.59; 609.595; new text begin 609.611; new text end 609.631; 609.66, subdivision 1e;
609.671, subdivisions 3, 4, 5, 8, and 12; 609.687; 609.821; 609.825; 609.86; 609.88;
609.89; 609.893; 609.895; 617.246; 617.247; or a gross misdemeanor or felony violation
of section 609.891 or 624.7181; or any violation of section 609.324.

(g) "Controlled substance" has the meaning given in section 152.01, subdivision 4.

new text begin The Department of Commerce shall contract for a
study of the impact of legislation enacted in at least three states that requires franchises
for video service to be issued by a state agency. The contractor conducting the study
shall, prior to its initiation, consult with associations representing municipalities and
communities of color. The study shall contain, at a minimum, the following information:
new text end

new text begin (1) the number of new video service providers that have applied for a state video
franchise;
new text end

new text begin (2) the number of incumbent video service providers that have elected to terminate
an existing franchise agreement and apply for a state video franchise;
new text end

new text begin (3) the amount of capital invested by new video service providers to furnish video
service;
new text end

new text begin (4) the number of communities in which new video service providers intend to offer
video services, as reflected in their application;
new text end

new text begin (5) the number of communities with an incumbent video provider in which new
providers intend to offer video services;
new text end

new text begin (6) the number of communities with no incumbent video service provider in which
new video service providers intend to offer video services;
new text end

new text begin (7) the effect on video service prices in communities with an incumbent video
provider in which new video service providers offer video services;
new text end

new text begin (8) the effect on franchise fee revenues received by municipalities from video
service providers;
new text end

new text begin (9) the effect on the number of PEG channels available to communities;
new text end

new text begin (10) the effect on the amount of revenues received by municipalities to support the
provision of PEG programming in communities;
new text end

new text begin (11) the effect on the amount of PEG programming available in communities;
new text end

new text begin (12) the progress of new video providers in meeting any build-out requirements
in the law; and
new text end

new text begin (13) the effect on municipal services provided to communities by video service
providers.
new text end

new text begin The department shall submit the report described in subdivision
1 to the chairs and ranking minority members of the senate and house committees with
primary jurisdiction over telecommunications policy by February 1, 2009.
new text end

new text begin The commissioner of commerce shall contract with a
nonprofit organization that has significant experience working with broadband providers to
develop geographical information system maps displaying levels of broadband service by
connection speed and type of technology used and integrating the maps with demographic
information to produce a comprehensive statewide inventory and mapping of existing
broadband service and capability.
new text end

new text begin Data must be collected from broadband providers and entered
into a geographic information system to produce maps that, for the state of Minnesota and
any defined geographical entity within it, clearly convey the following information:
new text end

new text begin (1) areas unserved by any broadband provider;
new text end

new text begin (2) areas served by a single broadband provider;
new text end

new text begin (3) the location of towers used to transmit and receive broadband signals;
new text end

new text begin (4) actual upstream and downstream transmission speeds at the county level of detail;
new text end

new text begin (5) areas served by multiple broadband providers; and
new text end

new text begin (6) the types of technology used to provide broadband service.
new text end

new text begin The data used to produce the maps must be capable of being integrated with demographic
data from other sources including, but not limited to, population density and household
income to allow for the production of maps that measure, down to the census block
level of detail, various characteristics of residents in areas receiving different levels of
broadband services and utilizing different technologies. Data provided by a broadband
provider to the contractor under this subdivision is nonpublic data under Minnesota
Statutes, section 13.02, subdivision 9. Maps produced under this subdivision are public
data under Minnesota Statutes, section 13.03.
new text end

new text begin For the purposes of this section, "technology" or "technologies" means different
methods of connecting to the Internet including, but not limited to, cable modem, DSL,
ADSL, VDSL, and fiber optics.
new text end

new text begin The commissioner of commerce, in consultation with the commissioner of
employment and economic development, must analyze all state grant and loan programs
administered by a state agency to develop a plan specific to each program to optimize the
growth of the green economy, as defined in section 6, through program activities. The
report, along with any necessary implementing legislation, must be submitted to the chairs
of the legislative committees with primary jurisdiction over energy, environmental, and
economic development finance or policy issues by January 15, 2009.
new text end

new text begin (a) A Green Economy Transformation Task Force is
created to advise and assist the governor and legislature regarding activities to transform
the state's economy, and to develop a statewide action plan as provided under subdivision
2. The task force shall consist of:
new text end

new text begin (1) three legislators from the house of representatives, including one minority
caucus member, appointed by the speaker, and three legislators from the senate, including
one minority caucus member, appointed by the Subcommittee on Committees of the
Committee on Rules and Administration;
new text end

new text begin (2) six representatives from state agencies and institutions appointed by the
governor, including one member from the Office of Energy Security, one member from
the Department of Employment and Economic Security, one member from the Job Skills
Partnership Board, one member from the University of Minnesota, one member from
Minnesota State Colleges and Universities, and one additional member; and
new text end

new text begin (3) six persons from the private sector appointed by the cochairs of the task force,
including one member representing the utility industry, one member representing labor,
one member representing manufacturing, one member representing financial institutions,
one member representing venture capital, and one additional member. A cochair shall
be named from among the legislative members by the appointing authority of each
legislative body.
new text end

new text begin The governor is exempt from the requirements of the open appointments process for
purposes of appointing task force members.
new text end

new text begin (b) The Department of Commerce shall provide staff support to the task force. The
task force may accept outside resources to help support its efforts.
new text end

new text begin (a) By January 15, 2009, the task force shall develop and present to
the legislature and the governor a statewide action plan, including necessary legislation
and budget requests, for transforming the economic system of the state to respond to and
benefit from the environmental and energy policies of the state contained in the:
new text end

new text begin (1) renewable energy standard in Minnesota Statutes, section 216B.1691,
subdivision 2a;
new text end

new text begin (2) energy conservation requirement in Minnesota Statutes, section 216B.241,
subdivision 1c;
new text end

new text begin (3) greenhouse gas emission reduction goals in Minnesota Statutes, section 216H.02,
subdivision 1;
new text end

new text begin (4) Clean Water Legacy Act in Minnesota Statutes, chapter 114D; and
new text end

new text begin (5) biofuels 25 by 2025 initiative in Minnesota Statutes, sections 41A.10, subdivision
2, and 41A.11.
new text end

new text begin (b) The plan may consist of legislative actions, administrative actions of
governmental entities, collaborative actions, and actions of individuals and individual
organizations. The plan must be developed following the analysis described in this
paragraph and must be based on the analysis. The analysis must include:
new text end

new text begin (1) a market analysis of the business opportunities and needs created by the laws
enumerated in paragraph (a), including local, state, national, and international markets;
new text end

new text begin (2) an analysis of the labor force needs related to the market analysis opportunities
identified in clause (1), including educational, training, and retraining needs; and
new text end

new text begin (3) an inventory of the current labor and business assets available to respond to the
opportunities identified in clause (1) and the labor needs identified in clause (2).
new text end

new text begin The task force shall contract for the analysis required by this paragraph.
new text end

new text begin (c) The task force expires June 30, 2009.
new text end

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 45, articles 1
to 3, 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 "2008" and "2009" used in this article mean
that the addition to or subtraction from the appropriation listed under them is available
for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. Supplemental
appropriations and reductions to appropriations for the fiscal year ending June 30, 2008,
are effective the day following final enactment.
new text end

new text begin $
new text end

new text begin (200,000)
new text end

new text begin $
new text end

new text begin 2,143,000
new text end

new text begin $302,000 is a reduction in fiscal year 2009.
The commissioner shall make a reduction
of $100,000 from agricultural marketing,
$100,000 shall come from efficiencies gained
by the merger of the Agriculture Resources
Management and Development Division and
the Agriculture Finance Division, and the
remainder shall come from a reduction in
administrative services.
new text end

new text begin $2,385,000 in fiscal year 2009 is for grants
to livestock producers via the livestock
investment grant program in Minnesota
Statutes, section 17.118, if enacted. This is a
onetime appropriation and is available until
spent.
new text end

new text begin The $200,000 appropriation in Laws 2007,
chapter 45, article 1, section 3, subdivision
4, for a grant to the Elk River Economic
Development Authority for a bioenergy
project is canceled to the general fund.
new text end

new text begin $60,000 in fiscal year 2009 is for a grant
to the Washington Center for Internships
and Academic Seminars. The center must
use the funds for an agricultural renewable
energy internship pilot program that awards
scholarships to students enrolling in a
Minnesota four-year college or university
beginning in the spring semester of 2009.
This appropriation must be matched
two-to-one by funding from the United
States Department of Agriculture. The center
must work with Minnesota colleges and
universities and the Minnesota Department
of Agriculture to achieve racial, ethnic,
and gender diversity, as well as rural-urban
balance among scholarship recipients,
and must award the scholarships to
Minnesota students who are economically
disadvantaged, who demonstrate need
of financial assistance, and who are
underrepresented in higher education. This
is a onetime appropriation.
new text end

new text begin $310,000 is a reduction in fiscal year 2009
of the appropriation for ethanol producer
payments in Laws 2007, chapter 45, article
1, section 3, subdivision 4. This reduction
becomes part of the base. In addition, the
appropriation for producer payments must be
reduced by an additional $247,000 in 2010
and $293,000 in 2011 to reflect the end of
deficiency payments to a bankrupt ethanol
entity as required in article 9, section 6.
These amounts must stay within the budget
for the Department of Agriculture.
new text end

new text begin $310,000 in fiscal year 2009 is for increased
ground water monitoring activities. This
appropriation is onetime only.
new text end

new text begin $
new text end

new text begin 472,000
new text end

new text begin $
new text end

new text begin 5,562,000
new text end

new text begin For monitoring, testing, eradication,
education, and outreach, and other activities
the board is required to undertake to
comply with federal regulations concerning
cattle, bison, goats, and farmed cervidae
under a USDA modified accredited status.
$2,252,000 is added to the base in each of
fiscal years 2010 and 2011.
new text end

new text begin Up to $12,000 in fiscal year 2009 is for
a onetime grant to a beef cattle producer
located outside of a bovine tuberculosis
containment area who purchased certified
tuberculosis-free cattle yet sustained financial
losses beyond the producer's control due to
restrictions imposed by the Board of Animal
Health that effectively denied the producer
the ability to sell the tuberculosis-free
cattle during favorable market conditions.
Notwithstanding Minnesota Statutes,
section 35.085, the board shall make this
grant from the $100,000 appropriation for
reimbursements in Laws 2007, chapter 45,
article 1, section 4.
new text end

new text begin $
new text end

new text begin (5,250,000)
new text end

new text begin $
new text end

new text begin 1,357,000
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end	new text begin (5,250,000) new text end	new text begin 1,695,000 new text end
new text begin Special Revenue new text end	new text begin -0- new text end	new text begin (338,000) 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 $500,000 in fiscal year 2009 is added to
the base for grants to counties for veterans
service offices as provided under Laws 2007,
chapter 45, article 2, section 1, paragraph (b).
new text end

new text begin By January 15, 2009, the commissioner shall
report to the chair and ranking minority
member of each committee in the senate and
house of representatives with jurisdiction
over the policy and finance of veterans affairs
regarding activities and expenditures under
this program during fiscal years 2008 and
2009, including an explanation of the role of
staff of the Department of Veterans Affairs in
administering this program.
new text end

new text begin $3,500,000 in fiscal year 2009 is for state
soldiers assistance under Minnesota Statutes,
section 197.05. Of this amount, $2,000,000
is added to the base for this activity. This
appropriation is available until spent.
new text end

new text begin $1,000,000 in fiscal year 2009 is for casework
services for veterans. The commissioner,
in consultation with the Department of
Administration, shall use the request for
proposal process in Minnesota Statutes,
chapter 16C, to solicit bids for the provision
of these services. The casework services
provided should be community-based,
available statewide, and include in-home
counseling.
new text end

new text begin $220,000 in fiscal year 2009 is added to
the base for operations of the LinkVET
telephone line service for veterans.
new text end

new text begin For purposes of efficiency, the commissioner
must combine the services available through
the toll-free higher education call center
for veterans with those available through
LinkVET.
new text end

new text begin $250,000 in fiscal year 2009 is added to
the base for the Veterans Claims Office for
outreach and training to improve services
and benefits to veterans. This appropriation
includes money to add a female veterans
service officer/coordinator position.
new text end

new text begin $50,000 in fiscal year 2009 is for designing
a treatment program for veterans with
traumatic brain injuries within the state
veterans homes. By January 15, 2009, the
commissioner must report to the chair and
ranking minority member of each committee
in the senate and house of representatives
with jurisdiction over the policy and finance
of veterans affairs regarding the requirements
and feasibility of implementing this program
within existing and future veterans homes.
This is a onetime appropriation.
new text end

new text begin $250,000 in fiscal year 2009 is added to the
base for a grant to the Minnesota Assistance
Council for Veterans for their work in
helping veterans and their families affected
by homelessness.
new text end

new text begin $200,000 in fiscal year 2009 is for:
new text end

new text begin (1) an intergovernmental and veterans
strategic planning study for the Minnesota
veterans homes, with special emphasis
on exploring alternative models for the
Minneapolis veterans home; and
new text end

new text begin (2) a study of the feasibility of partnering
for home-based services for veterans with
nongovernmental, nonprofit, or faith-based
social service and health care delivery
organizations, as a means of enabling
veterans to live more independently, as an
alternative to the projected sharply increasing
needs for domiciliary and skilled nursing
beds in state veterans homes. This is a
onetime appropriation.
new text end

new text begin No staff may be hired for or allocated to
any new veterans cemetery without explicit
legislative approval.
new text end

new text begin Notwithstanding Minnesota Statutes, section
16A.62, on June 30, 2008, all money in
the permanent trust account in the special
revenue fund of the state veterans cemetery
must be transferred to the permanent
development and maintenance account in
that fund.
new text end

new text begin $1,000,000 is a reduction in fiscal year 2009
for the Veterans Homes Board. The base
appropriation for fiscal years 2010 and 2011
is reduced by $1,320,000 in each year. This
reduction is made possible by the enhanced
efficiency in administration of the homes
associated with the transfer of governing
authority from the Veterans Homes Board to
the commissioner of veterans affairs.
new text end

new text begin $600,000 in fiscal year 2009 is for the state
GI bill program in Minnesota Statutes,
section 197.791. The base for this program is
increased by $800,000 in each of fiscal years
2010 and 2011.
new text end

new text begin $5,250,000 in fiscal year 2008 and
$5,000,000 in fiscal year 2009 are reductions
from the appropriation made in Laws 2007,
chapter 144, article 1, section 7. The base for
the program in fiscal year 2010 is reduced by
$4,500,000.
new text end

new text begin $100,000 in fiscal year 2009 is for a grant
to the Minnesota Ambulance Association
to implement a veterans paramedic
apprenticeship program for the purpose of
reintegrating qualified returning military
medics into Minnesota's workforce in the
field of paramedic and emergency services.
This is a onetime appropriation.
new text end

new text begin $25,000 in fiscal year 2009 is to develop a
pilot program for peer-to-peer counseling
among combat veterans. This is a onetime
appropriation.
new text end

new text begin $1,000,000 in fiscal year 2009 is for
improvements to the medication distribution
system in the Minnesota veterans homes.
This is a onetime appropriation.
new text end

new text begin By January 15, 2009, the commissioner shall
report to the chair and ranking minority
member of each committee in the senate and
house of representatives with jurisdiction
over the policy and finance of veterans affairs
regarding activities and expenditures under
this program, including an explanation of the
role of staff of the Department of Veterans
Affairs in administering this program.
new text end

new text begin $338,000 is a reduction in fiscal year
2009 from the special revenue fund
appropriation from the account established
in Minnesota Statutes, section 190.19. The
base appropriation in fiscal years 2010 and
2011 is $0.
new text end

new text begin $
new text end

new text begin 0
new text end

new text begin $
new text end

new text begin 1,000,000
new text end

new text begin $500,000 in fiscal year 2009 is for military
reservist economic injury loans under
Minnesota Statutes, section 116J.996, if
enacted.
new text end

new text begin $500,000 in fiscal year 2009 is for
expenditures related to dislocated workers
who are eligible veterans under Minnesota
Statutes, section 116L.17, subdivision 1,
paragraph (c), clause (6), if enacted.
new text end

Minnesota Statutes 2006, section 3.30, subdivision 1, is amended to read:

A general contingent appropriation for
each year of the biennium is authorized in the amount the legislature deems sufficient.
Additional special contingent appropriations as the legislature deems necessary are
authorized. Transfers from the appropriations to the appropriations of the various
departments and agencies may be made by the commissioner of finance subject to the
following provisions:

(a) Transfers may be authorized by the commissioner of finance not exceeding
$5,000 for the same purpose for any quarterly period.

(b) Transfers exceeding $5,000 but not exceeding $10,000 may be authorized by the
commissioner of finance with the approval of the governor.

(c) Transfers exceeding $10,000 may be authorized by the governor but no transfer
exceeding $10,000 may be made until the governor has consulted the Legislative Advisory
Commission and it has made its recommendation on the transfer. Its recommendation
is advisory only. Failure or refusal of the commission to make a recommendation is
a negative recommendation.new text begin Subject to the provisions in this paragraph, the governor
may request a transfer to the commissioner of agriculture to pay for activities to respond
promptly to an outbreak of an invasive tree pest. The commissioner of agriculture shall
report to the commissioner of finance all potential sources of reimbursement for costs
incurred including but not limited to federal funds.
new text end

The commissioner of finance shall return to the appropriate contingent account any
funds transferred under this subdivision that the commissioner determines are not needed.

Minnesota Statutes 2006, section 168.1255, is amended by adding a subdivision
to read:

new text begin Money remaining
in the World War II memorial donation match account after the state share of the
construction costs of the World War II memorial has been paid in full is appropriated to the
commissioner of veterans affairs for services and programs for veterans and their families.
new text end

Minnesota Statutes 2006, section 190.19, subdivision 1, is amended to read:

The Minnesota "Support Our Troops" account is
established in the special revenue fund. The account shall consist of contributions from
private sources and appropriations.new text begin Money in the account is appropriated in equal shares
to the Department of Military Affairs and the Department of Veterans Affairs.
new text end

new text begin Notwithstanding Laws 2007, chapter 45, articles 2, section 1,
and 3, section 2, subdivision 3, this section is effective for distribution of the Minnesota
"Support Our Troops" account the day following final enactment.
new text end

Minnesota Statutes 2006, section 190.19, is amended by adding a subdivision
to read:

new text begin Money appropriated to the Department of Veterans
Affairs from the Minnesota "Support Our Troops" account may be used for:
new text end

new text begin (1) grants to veterans service organizations; and
new text end

new text begin (2) outreach to underserved veterans.
new text end

Laws 2007, chapter 45, article 2, section 1, is amended to read:

12,855,000

12,571,000

Appropriations by Fund
	2008	2009
General	12,517,000	12,233,000
Special Revenue	338,000	338,000

(a) $1,000,000 each year is added to the
base for state soldier's assistance under
Minnesota Statutes, section 197.05.new text begin If the
appropriation for this purpose for either year
is insufficient, the appropriation for the other
year is available for it.
new text end

(b) $750,000 the first year and $750,000
the second year are added to the base for
grants to counties under the terms of this
section. The commissioner shall issue a
request for proposals for grants to enhance
the benefits, programs, and services provided
to veterans. The request must specify that
priority will be given to proposals that meet
the programmatic goals established by the
commissioner, including proposals that will:

(1) provide the most effective outreach to
veterans;

(2) reintegrate combat veterans into society;

(3) collaborate with other social service
agencies, educational institutions, and other
relevant community resources;

(4) reduce homelessness among veterans;
and

(5) provide measurable outcomes.

The commissioner may provide incentives
to encourage, and may give priority to
proposals that foster, regional collaboration
for service delivery. The grants may be for a
term of up to two years. The commissioner
shall ensure that grants are made throughout
all regions of the state and shall develop a
description of best practices for the use of
these grants. A county may not reduce its
county veterans service officer budget by any
amount received as a grant under this section.
Grants made under this section are in addition
to and not subject to the requirements for
grants made under Minnesota Statutes,
section 197.608. The Minnesota Association
of County Veterans Service Officers may
apply for grants under this section beginning
July 1, 2007. Any balance remaining after
the first year does not cancel and is available
in the second year. This appropriation must
be included in the appropriation base through
fiscal year 2011.

(d) $750,000 each year is for a grant to the
Minnesota Assistance Council for Veterans.
This is a onetime appropriation.

(e) $200,000 each year is for marketing
veterans outreach programs. This is a
onetime appropriation.

(f) $250,000 each year is added to the base
for grants to Disabled American Veterans,
Military Order of the Purple Heart, Veterans
of Foreign Wars, Vietnam Veterans of
America, and other congressionally chartered
veterans service organizations designated by
the commissioner.

(g) $450,000 the first year and $450,000
the second year are for the higher education
veterans assistance program under Minnesota
Statutes, section 197.585. This appropriation
must be included in the agency appropriation
base through fiscal year 2011.

(h) $100,000 each year is for information
technology.

(i) $75,000 each year is for operations at the
Minnesota State Veterans Cemetery in Little
Falls.

(j) $250,000 each year is for administration
of veterans programming. This appropriation
includes money for the biennium for
an ombudsman for residents and family
members of residents at the Minneapolis
Veterans' Home. The ombudsman must
attend all meetings of the Veterans Homes
Board and provide a report at each
meeting regarding the status of concerns
communicated to the ombudsman.

(k) $100,000 each year is for compensation
for honor guards at the funerals of veterans
in accordance with the program established
in Minnesota Statutes, section 197.231. This
is a onetime appropriation.

(l) $52,000 the first year is for spousal
education benefits in accordance with
Minnesota Statutes, section 197.75. This
appropriation is available until June 30, 2009.

(m) $100,000 each year is for information
and outreach regarding the availability of
depleted uranium testing. The commissioner
shall collaborate with the adjutant general
to identify service members and veterans
who may have been exposed to expended
depleted uranium and to provide them with
information regarding depleted uranium
screening services provided by the federal
government. This is a onetime appropriation.

(n) $250,000 the first year is for grants to
assist World War II veterans in attending the
dedication of the Minnesota World War II
Memorial in St. Paul on June 9, 2007, and for
other expenses of the dedication event. The
commissioner may spend only that portion
of this sum for which a matching amount,
whether in cash or in kind, is donated by
nongovernmental sources for this purpose.
This appropriation is available immediately.

(o) $80,000 the first year is for suicide
prevention and psychological support for
veterans. Of this amount, $50,000 is for a
study by the commissioner and the adjutant
general of the psychological status and
needs of returning Minnesota veterans,
and $30,000 is for a telephone hotline to
refer veterans to available psychological
counseling services. The commissioner
may use this appropriation to supplement
an existing informational hotline service
within the department, or may collaborate
with any other provider of compatible,
existing hotline services for this purpose.
The referral hotline must be available to
veterans statewide at all practicable hours.
The commissioner must broadly publicize
the availability of the telephone hotline
and any local, state, and federal counseling
services for Minnesota veterans using all
practicable means available, including but
not limited to: the agency Web site; local
media announcements; announcements in
service and trade publications; and any other
practical means of communication.

The commissioner may spend up to two
percent of this appropriation for development
of special informational materials, such
as refrigerator magnets, wallet cards, and
other devices on which hotline numbers
may be kept for immediate use. The
commissioner also may accept and spend
other contributions from nongovernmental
sources for this purpose. This is a onetime
appropriation.

(p) $338,000 each year is from the account
in the special revenue fund established in
Minnesota Statutes, section 190.19, for (1)
grants to veterans service organizations; and
(2) outreach to underserved veterans. Any
balance in the first year does not cancel and
is available in the second year.

new text begin Notwithstanding any law to the contrary, the commissioner of agriculture shall
discontinue payments under Minnesota Statutes, section 41A.09, including deficiency
payments, to any ethanol producer that ceased operations and declared bankruptcy in 2004.
new text end

new text begin The amounts shown in this section summarize direct appropriations, by fund, made
in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin 0 new text end	new text begin $ new text end	new text begin (200,000) new text end	new text begin $ new text end	new text begin (200,000) new text end
new text begin Trunk Highway new text end	new text begin $ new text end	new text begin 6,849,000 new text end	new text begin $ new text end	new text begin 12,000,000 new text end	new text begin $ new text end	new text begin 18,849,000 new text end
new text begin Total new text end	new text begin $ new text end	new text begin 6,849,000 new text end	new text begin $ new text end	new text begin 11,800,000 new text end	new text begin $ new text end	new text begin 18,649,000 new text end

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 143, article 1, 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 "2008" and "2009" used in this article mean that the addition
to or subtraction from the appropriation listed under them is available for the fiscal year
ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and
reductions to appropriations for the fiscal year ending June 30, 2008, are effective the
day following final enactment.
new text end

new text begin $
new text end

new text begin 6,849,000
new text end

new text begin $
new text end

new text begin (21,000)
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end	new text begin 0 new text end	new text begin (21,000) new text end
new text begin Trunk Highway new text end	new text begin 6,849,000 new text end	new text begin 0 new text end

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

-0-

(19,000)

new text begin This reduction is from the appropriation from
the general fund for transit in Laws 2007,
chapter 143, article 1, section 3, subdivision
2, paragraph (b). The base appropriation for
fiscal years 2010 and 2011 is $18,796,000
per year.
new text end

-0-

(2,000)

new text begin This reduction is from the appropriation from
the general fund for freight in Laws 2007,
chapter 143, article 1, section 3, subdivision
2, paragraph (c).
new text end

6,849,000

-0-

new text begin This appropriation is spending authority for
additional federal bridge funding authorized
and appropriated by Congress in 2008, and
is for the actual construction, reconstruction,
and improvement of trunk highways,
including design-build contracts and
consultant usage to support these activities.
This includes the cost of actual payments to
landowners for lands acquired for highway
rights-of-way, payments to lessees, interest
subsidies, and relocation expenses. This is a
onetime appropriation.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (94,000)
new text end

new text begin This reduction is from the appropriation from
the general fund for bus system operations in
Laws 2007, chapter 143, article 1, section 4,
subdivision 2, and Hiawatha light rail transit
in Laws 2007, chapter 143, article 1, section
4, subdivision 3. The base appropriation for
fiscal years 2010 and 2011 is $78,635,000
per year.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin 11,940,000
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end	new text begin 0 new text end	new text begin (60,000) new text end
new text begin Trunk Highway new text end	new text begin 0 new text end	new text begin 12,000,000 new text end

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

-0-

(45,000)

new text begin Of this reduction, $28,000 is from the
appropriation from the general fund
for a security coordinator to coordinate
planning efforts for the Republican National
Convention in Laws 2007, chapter 143,
article 1, section 5, subdivision 2, paragraph
(b).
new text end

new text begin Of this reduction, $17,000 is from the
appropriation from the general fund in
Laws 2007, chapter 143, article 1, section 5,
subdivision 2, paragraph (b).
new text end

new text begin The base appropriation for fiscal years 2010
and 2011 is $3,296,000 per year.
new text end

-0-

(15,000)

new text begin This reduction is from the appropriation from
the general fund in Laws 2007, chapter 143,
article 1, section 5, subdivision 3, paragraph
(c).
new text end

-0-

12,000,000

new text begin This appropriation is from the trunk
highway fund for research, development,
deployment, and maintenance of a driver and
vehicle services information system. This
appropriation is available until June 30, 2010.
new text end

Minnesota Statutes 2006, section 171.29, subdivision 1, is amended to read:

No person whose driver's license has been
revoked by reason of conviction, plea of guilty, or forfeiture of bail not vacated, under
section 169.791, 169.797, deleted text begin ordeleted text end 171.17, or new text begin 171.172, or new text end revoked under section 169.792
or 169A.52 shall be issued another license unless and until that person shall have
successfully passed an examination as required by the commissioner of public safety.
This subdivision does not apply to an applicant for early reinstatement under section
169.792, subdivision 7a.

Laws 2008, chapter 152, article 1, section 6, subdivision 2, is amended to read:

deleted text begin $325,000deleted text end new text begin $300,000new text end is appropriated from the
general fund to the Board of Regents of the University of Minnesota for the Center for
Transportation Studies to complete a study to assess the public policy implications of
financing new and improved transportation infrastructure in Minnesota through capturing
the value of the benefits created, to prepare a report on its findings, and to conduct a
series of workshops. This is a onetime appropriation and is available in fiscal years 2008
and 2009.

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

new text begin Minnesota Statutes 2006, section 168.123, subdivision 2a, new text end new text begin is repealed.
new text end

new text begin The amounts shown in this section summarize the direct appropriations, by fund,
made in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin 360,000 new text end	new text begin $ new text end	new text begin (10,408,000) new text end	new text begin $ new text end	new text begin (10,048,000) new text end
new text begin Special Revenue Fund new text end		new text begin (25,000) new text end		new text begin 50,000 new text end		new text begin 25,000 new text end
new text begin Total new text end	new text begin $ new text end	new text begin 335,000 new text end	new text begin $ new text end	new text begin (10,358,000) new text end	new text begin $ new text end	new text begin (10,023,000) new text end

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 54, article 1, 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 "2008" and "2009" used in this article mean that the addition to
or subtraction from the appropriations listed under them are available for the fiscal year
ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and
reductions to appropriations for the fiscal year ending June 30, 2008, are effective the day
following final enactment. "The first year" is fiscal year 2008. "The second year" is fiscal
year 2009. "The biennium" is fiscal years 2008 and 2009.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (778,000)
new text end

new text begin $650,000 in the second year is to reduce
funding for Supreme Court operations.
new text end

new text begin $128,000 in the second year is to reduce
funding for civil legal services.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (141,000)
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (2,608,000)
new text end

new text begin The base is reduced by an additional
$1,000,000 in fiscal year 2010 and each year
after.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (1,690,000)
new text end

new text begin $
new text end

new text begin 360,000
new text end

new text begin $
new text end

new text begin (1,598,000)
new text end

360,000

(40,000)

new text begin $360,000 in the first year is to provide a
match for FEMA money received for natural
disaster assistance payments and is added
to appropriations in Laws 2007, chapter 54,
article 1, section 10, subdivision 2. This
appropriation is available until June 30,
2010. This is a onetime appropriation.
new text end

new text begin The appropriation from the general fund in
the second year to reimburse local chemical
assessment and hazardous materials teams
when they respond to incidents is reduced
by $40,000. Reimbursements up to $40,000
per year are to be made from revenues in
the special revenue fund from billings to
responsible companies.
new text end

-0-

(708,000)

new text begin $608,000 in the second year is to reduce the
funding for CriMNet justice information
integration. The base is reduced by an
additional $209,000 in fiscal year 2010 and
each year after.
new text end

new text begin The general fund appropriation includes
a reduction of $100,000 in fiscal year
2009. This reduction may be applied to
any program funded under Laws 2007,
chapter 54, article 1, section 10, with the
exception of Office of Justice Programs and
forensic lab scientists. All budget reductions
should be made with an emphasis on cutting
administration and overhead expenses, with
as little impact as possible on programs and
services.
new text end

new text begin $
new text end

new text begin (2,444,000)
new text end

-0-

(2,100,000)

-0-

(1,500,000)

new text begin This reduction is from Laws 2007, chapter
54, article 1, section 14, subdivision 3.
new text end

-0-

(600,000)

new text begin This reduction is from Laws 2007, chapter
54, article 1, section 14, subdivision 3.
new text end

-0-

(344,000)

new text begin This reduction is from Laws 2007, chapter
54, article 1, section 14, subdivision 4.
new text end

new text begin The base is reduced by an additional $56,000
in fiscal year 2010 and each year after.
new text end

Minnesota Statutes 2006, section 13.851, is amended by adding a subdivision
to read:

new text begin Data relating to the preparation
of a petition to commit an individual as a sexual psychopathic personality or sexually
dangerous person is governed by section 253B.185, subdivision 1b.
new text end

Minnesota Statutes 2006, section 253B.045, subdivision 1, is amended to read:

Except when ordered by the court pursuant to a finding
of necessity to protect the life of the proposed patient or othersnew text begin or as provided under
subdivision 1anew text end , no person subject to the provisions of this chapter shall be confined in a
jail or correctional institution, except pursuant to chapter 242 or 244.

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

Minnesota Statutes 2006, section 253B.045, is amended by adding a
subdivision to read:

new text begin A person who is being petitioned for commitment
under section 253B.185 and who is placed under a judicial hold order under section
253B.07, subdivision 2b or 7, may be confined at a Department of Corrections or a
county correctional or detention facility, rather than a secure treatment facility, until a
determination of the commitment petition as specified in this subdivision.
new text end

new text begin (a) A court may order that a person who is being petitioned for commitment under
section 253B.185 be confined in a Department of Corrections facility pursuant to the
judicial hold order under the following circumstances and conditions:
new text end

new text begin (1) The person is currently serving a sentence in a Department of Corrections
facility and the court determines that the person has made a knowing and voluntary (i)
waiver of the right to be held in a secure treatment facility and (ii) election to be held in a
Department of Corrections facility. The order confining the person in the Department of
Corrections facility shall remain in effect until the court vacates the order or the person's
criminal sentence and conditional release term expire.
new text end

new text begin In no case may the person be held in a Department of Corrections facility pursuant
only to this subdivision, and not pursuant to any separate correctional authority, for more
than 210 days.
new text end

new text begin (2) A person who has elected to be confined in a Department of Corrections facility
under this subdivision may revoke the election by filing a written notice of intent to revoke
the election with the court and serving the notice upon the Department of Corrections and
the county attorney. The court shall order the person transferred to a secure treatment
facility within 15 days of the date that the notice of revocation was filed with the court,
except that, if the person has additional time to serve in prison at the end of the 15-day
period, the person shall not be transferred to a secure treatment facility until the person's
prison term expires. After a person has revoked an election to remain in a Department of
Corrections facility under this subdivision, the court may not adopt another election to
remain in a Department of Corrections facility without the agreement of both parties and
the Department of Corrections.
new text end

new text begin (3) Upon petition by the commissioner of corrections, after notice to the parties
and opportunity for hearing and for good cause shown, the court may order that the
person's place of confinement be changed from the Department of Corrections to a secure
treatment facility.
new text end

new text begin (4) While at a Department of Corrections facility pursuant to this subdivision, the
person shall remain subject to all rules and practices applicable to correctional inmates in
the facility in which the person is placed, including, but not limited to, the powers and
duties of the commissioner of corrections under section 241.01, powers relating to use of
force under section 243.52, and the right of the commissioner of corrections to determine
the place of confinement in a prison, reformatory, or other facility.
new text end

new text begin (5) A person may not be confined in a Department of Corrections facility under this
provision beyond the end of the person's executed sentence or the end of any applicable
conditional release period, whichever is later. If a person confined in a Department of
Corrections facility pursuant to this provision reaches the person's supervised release
date and is subject to a period of conditional release, the period of conditional release
shall commence on the supervised release date even though the person remains in the
Department of Corrections facility pursuant to this provision. At the end of the later of
the executed sentence or any applicable conditional release period, the person shall be
transferred to a secure treatment facility.
new text end

new text begin (6) Nothing in this section may be construed to establish a right of an inmate in a
state correctional facility to participate in sex offender treatment. This section must be
construed in a manner consistent with the provisions of section 244.03.
new text end

new text begin (b) The committing county may offer a person who is being petitioned for
commitment under section 253B.185 and who is placed under a judicial hold order under
section 253B.07, subdivision 2b or 7, the option to be held in a county correctional or
detention facility rather than a secure treatment facility, under such terms as may be agreed
to by the county, the commitment petitioner, and the commitment respondent. If a person
makes such an election under this paragraph, the court hold order shall specify the terms
of the agreement, including the conditions for revoking the election.
new text end

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

Minnesota Statutes 2006, section 253B.045, subdivision 2, is amended to read:

Each county or a group of counties shall maintain or provide
by contract a facility for confinement of persons held temporarily for observation,
evaluation, diagnosis, treatment, and care. When the temporary confinement is provided
at a regional treatment center, the commissioner shall charge the county of financial
responsibility for the costs of confinement of persons hospitalized under section 253B.05,
subdivisions 1 and 2, and section 253B.07, subdivision 2b, except that the commissioner
shall bill the responsible health plan first. If the person has health plan coverage, but the
hospitalization does not meet the criteria in subdivision 6 or section 62M.07, 62Q.53,
or 62Q.535, the county is responsible.new text begin When a person is temporarily confined in a
Department of Corrections facility solely under subdivision 1a, and not based on any
separate correctional authority: (i) the commissioner of corrections may charge the county
of financial responsibility for the costs of confinement; and (ii) the Department of Human
Services shall use existing appropriations to fund all remaining nonconfinement costs.
The funds received by the commissioner for the confinement and nonconfinement costs
are appropriated to the department for these purposes.new text end "County of financial responsibility"
means the county in which the person resides at the time of confinement or, if the person
has no residence in this state, the county which initiated the confinement. The chargenew text begin
for confinement in a facility operated by the commissioner of human servicesnew text end shall be
based on the commissioner's determination of the cost of care pursuant to section 246.50,
subdivision 5. When there is a dispute as to which county is the county of financial
responsibility, the county charged for the costs of confinement shall pay for them pending
final determination of the dispute over financial responsibility. Disputes about the county
of financial responsibility shall be submitted to the commissioner to be settled in the
manner prescribed in section 256G.09.

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

Minnesota Statutes 2007 Supplement, section 253B.185, subdivision 1b,
is amended to read:

Notwithstanding sections 144.291
to 144.298; 245.467, subdivision 6; 245.4876, subdivision 7; 260B.171; 260B.235,
subdivision 8; 260C.171; and 609.749, subdivision 6, or any provision of chapter 13
or other state law, prior to filing a petition for commitment as a sexual psychopathic
personality or as a sexually dangerous person, and upon notice to the proposed patient,
the county attorney or the county attorney's designee may move the court for an order
granting access to any records or data, to the extent it relates to the proposed patient, for
the purpose of determining whether good cause exists to file a petition and, if a petition
is filed, to support the allegations set forth in the petition.

The court may grant the motion if: (1) the Department of Corrections refers the case
for commitment as a sexual psychopathic personality or a sexually dangerous person; or
(2) upon a showing that the requested category of data or records may be relevant to
the determination by the county attorney or designee. The court shall decide a motion
under this subdivision within 48 hours after a hearing on the motion. Notice to the
proposed patient need not be given upon a showing that such notice may result in harm or
harassment of interested persons or potential witnesses.new text begin Notwithstanding any provision
of chapter 13 or other state law, a county attorney considering the civil commitment of a
person under this section may obtain records and data from the Department of Corrections
or any probation or parole agency in this state upon request, without a court order, for the
purpose of determining whether good cause exists to file a petition and, if a petition is
filed, to support the allegations set forth in the petition. At the time of the request for
the records, the county attorney shall provide notice of the request to the person who is
the subject of the records.
new text end

Data collected pursuant to this subdivision shall retain their original status and, if not
public, are inadmissible in any court proceeding unrelated to civil commitment, unless
otherwise permitted.

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

Minnesota Statutes 2006, section 253B.185, subdivision 5, is amended to read:

(a) For purposes of this subdivision, "state
facility" has the meaning given in section 246.50new text begin and also includes a Department of
Corrections facility when the proposed patient is confined in such a facility pursuant to
section 253B.045, subdivision 1anew text end .

(b) Notwithstanding sections 246.54, 253B.045, and any other law to the contrary,
when a petition is filed for commitment under this section pursuant to the notice required
in section 244.05, subdivision 7, the state and county are each responsible for 50 percent of
the cost of the person's confinement at a state facility or county jail, prior to commitment.

(c) The county shall submit an invoice to the state court administrator for
reimbursement of the state's share of the cost of confinement.

(d) Notwithstanding paragraph (b), the state's responsibility for reimbursement is
limited to the amount appropriated for this purpose.

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

Laws 2007, chapter 54, article 1, section 11, is amended to read:

4,296,000
new text begin 4,271,000
new text end

deleted text begin 4,278,000deleted text end new text begin
4,328,000new text end

Excess Amounts Transferred. This
appropriation is from the peace officer
training account in the special revenue fund.
Any new receipts credited to that account
in the first year in excess of deleted text begin $4,296,000deleted text end new text begin
$4,271,000new text end must be transferred and credited
to the general fund. Any new receipts
credited to that account in the second year
in excess of deleted text begin $4,278,000deleted text end new text begin $4,328,000new text end must be
transferred and credited to the general fund.

Peace Officer Training Reimbursements.
$3,159,000 the first year and $ 3,159,000 the
second year are for reimbursements to local
governments for peace officer training costs.

No Contact Orders. The board shall: (1)
revise and update preservice courses and
develop in-service training courses related
to no contact orders in domestic violence
cases and domestic violence dynamics; and
(2) reimburse peace officers who have taken
training courses described in clause (1).
At a minimum, the training must include
instruction in the laws relating to no contact
orders and address how to best coordinate
law enforcement resources relating to no
contact orders. In addition, the training
must include a component to instruct peace
officers on doing risk assessments of the
escalating factors of lethality in domestic
violence cases. The board must consult with
a statewide domestic violence organization
in developing training courses. The board
shall utilize a request for proposal process in
awarding training contracts. The recipient
of the training contract must conduct these
trainings with advocates or instructors from
a statewide domestic violence organization.

Beginning on January 1, 2008, the board may
not approve an in-service training course
relating to domestic abuse that does not
comply with this section.

new text begin (a) By July 1, 2008, the chair
of the house Public Safety Finance Division and the chair of the senate Public Safety
Budget Division shall jointly appoint a working group on the state's controlled substance
laws. The working group shall include:
new text end

new text begin (1) two representatives of the Minnesota County Attorneys Association;
new text end

new text begin (2) two representatives of the Board of Public Defense;
new text end

new text begin (3) three representatives of state law enforcement associations, including one
sheriff, one chief of police, and one member of the Minnesota Police and Peace Officers
Association;
new text end

new text begin (4) two representatives of the Judicial Council;
new text end

new text begin (5) one representative from community corrections or probation;
new text end

new text begin (6) one expert in the fields of drug treatment and controlled substance laws;
new text end

new text begin (7) one individual who is not affiliated with any of the associations in clauses (1) to
(6) and who has relevant experience related to sentencing policy or the criminal justice
field; and
new text end

new text begin (8) four community members who reside in an area adversely affected by controlled
substance crimes and violent crimes, one of whom is a member of a community crime
prevention organization.
new text end

new text begin (b) Staff support for the working group shall be provided by the Sentencing
Guidelines Commission.
new text end

new text begin (a) The working group must review, assess, and make
specific recommendations regarding the following alternatives for modification and
application of Minnesota's controlled substance laws:
new text end

new text begin (1) revising the threshold amounts for Minnesota's controlled substance crimes;
new text end

new text begin (2) establishing a separate sentencing guidelines grid for drug offenses;
new text end

new text begin (3) establishing additional aggravating factors so as to target certain particularly
dangerous offenders;
new text end

new text begin (4) revising the criminal history point calculations for repeat drug offenders;
new text end

new text begin (5) maximizing the use of deferred prosecutions for low-level drug offenders under
Minnesota Statutes, section 152.18 throughout the state; and
new text end

new text begin (6) increasing the use of the early release program for nonviolent controlled
substance offenders who successfully complete drug treatment while incarcerated as
provided in Minnesota Statutes, section 244.055.
new text end

new text begin (b) As part of its review of the various possible reforms, the working group may
also study and consider:
new text end

new text begin (1) the significance, if any, of current rates of departure from presumptive guidelines
sentences for controlled substance crimes;
new text end

new text begin (2) the significance, if any, of current rates of departure from presumptive guidelines
sentences for controlled substance crimes for identifiable categories of offenders;
new text end

new text begin (3) the impact that recent United States Supreme Court criminal sentencing decisions
have on implementing further reform;
new text end

new text begin (4) the barriers to comparing Minnesota's sentencing data with data from other states;
new text end

new text begin (5) strategies for imposing probation and supervised release violations on drug
offenders;
new text end

new text begin (6) strategies for increasing the efficacy of programs that are now available to treat
drug offenders;
new text end

new text begin (7) the likely impact of any recommended change in policy upon victims of
drug-related crimes and the neighborhoods in which these crimes occur;
new text end

new text begin (8) the likely impact of any recommended change in policy upon the efficacy of law
enforcement, prosecution, public defender, or court personnel; or
new text end

new text begin (9) any other sentencing-related matter that the working group sees fit to consider.
new text end

new text begin The working group shall report its findings and
recommendations to the chair of the house Public Safety Finance Division and the chair of
the senate Public Safety Budget Division by January 16, 2009.
new text end

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

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 148, article 1, 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 "2008" and "2009" used in this article mean that the addition
to or subtraction from the appropriation listed under them is available for the fiscal year
ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and
reductions to appropriations for the fiscal year ending June 30, 2008, are effective the
day following final enactment.
new text end

new text begin $
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (157,000)
new text end

new text begin The base budget for the Office of Enterprise
Technology shall be $6,202,000 in fiscal year
2010 and $6,202,000 in fiscal year 2011.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (1,039,000)
new text end

new text begin (a) $885,000 of the reduction in this section
is from the appropriation for Department of
Public Safety relocation expenses.
new text end

new text begin (b) The reduction in this section must not be
applied to the Land Management Information
Center or the Environmental Quality Board.
new text end

new text begin (c) $2,000,000 of the balance in the facilities
repair and replacement account in the special
revenue fund is cancelled to the general
fund. This amount is in addition to amounts
transferred under Minnesota Statutes, section
16B.24, subdivision 5, paragraph (d).
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin (312,000)
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin 1,361,000
new text end

new text begin (a) The commissioner of revenue shall
undertake expanded tax compliance and
collection activities sufficient to collect
$6,723,000 in revenue for the general fund
for fiscal year 2009 in excess of the sum of:
new text end

new text begin (1) the amount forecast to be collected by the
commissioner of finance for that fiscal year
in the February 2008 forecast; and
new text end

new text begin (2) the appropriation under paragraph (c).
new text end

new text begin (b) The commissioner shall periodically
report to the chairs of committees of the
house of representative and senate with
jurisdiction over taxation or state government
operations on the measures undertaken
under this section. The commissioner
may make recommendations to the 2009
legislature for changes in the law to
improve compliance with the tax law,
such as expanded information reporting or
withholding requirements that would permit
the commissioner to satisfy the requirements
of this section in the most cost effective and
reasonable manner possible.
new text end

new text begin (c) $2,241,000 is appropriated from the
general fund for fiscal year 2009 to the
commissioner of revenue to finance the
activities authorized by this section.
new text end

new text begin (d) The commissioner must maximize the
use of telecommuting by employees when
implementing any tax compliance and
collection activities.
new text end

new text begin $250,000 is appropriated annually from the
general fund to the commissioner of revenue
to make payments to financial institutions
in exchange for performing data matches
between account information held by
financial institutions and the commissioner's
database of tax debtors as authorized
by Minnesota Statutes, section 13B.07,
subdivision 7. $110,000 is appropriated
annually from the general fund to the
commissioner of revenue for the costs of
administering the data match system under
Minnesota Statutes, section 13B.07.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin 14,000,000
new text end

new text begin $14,000,000 is appropriated from the budget
reserve to the commissioner of finance and
shall be placed in the budget reserve escrow
account. The commissioner of finance may
use this appropriation to support a guarantee
by the state of Minnesota that private money
will be raised to pay the Minneapolis-St. Paul
Host Committee's share of expenses for the
2008 Republican National Convention in St.
Paul. The terms of the state guarantee will be
negotiated by the commissioner of finance.
Any money advanced to the Host Committee
under the state guarantee must be repaid by
the Host Committee to the commissioner
of finance no later than June 30, 2009, and
deposited in the budget reserve fund. Any
unspent portion of the appropriation cancels
to the budget reserve on June 30, 2009.
new text end

Minnesota Statutes 2006, section 3.855, subdivision 3, is amended to read:

The commission shall also:

(1) review and approve, reject, or modify a plan for compensation and terms and
conditions of employment prepared and submitted by the commissioner of employee
relations under section 43A.18, subdivision 2, covering all state employees who are not
represented by an exclusive bargaining representative and whose compensation is not
provided for by chapter 43A or other law;

(2) review and approve, reject, or modify a plan for total compensation and terms
and conditions of employment for employees in positions identified as being managerial
under section 43A.18, subdivision 3, whose salaries and benefits are not otherwise
provided for in law or other plans established under chapter 43A;

(3) review and approve, reject, or modify recommendations for salaries submitted
by the governor or other appointing authority under section 15A.0815, subdivision 5,
covering agency head positions listed in section 15A.0815;

(4) review and approve, reject, or modify recommendations for salaries of officials
of higher education systems under section 15A.081, subdivisions 7b and 7c; deleted text begin anddeleted text end

(5) review and approve, reject, or modify plans for compensation, terms, and
conditions of employment proposed under section 43A.18, subdivisions 3a and 4new text begin ; and
new text end

new text begin (6) review and approve, reject, or modify the plan for compensation, terms, and
conditions of employment of classified employees in the office of the legislative auditor
under section 3.971, subdivision 2new text end .

new text begin This section is effective January 1, 2009.
new text end

Minnesota Statutes 2006, section 3.971, subdivision 2, is amended to read:

The legislative auditor shall establish a Financial
Audits Division and a Program Evaluation Division to fulfill the duties prescribed in this
section. 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. The deputy auditors and the
confidential secretaries serve in the unclassified civil service, but all other employees of
the legislative auditor are in the classified civil service. new text begin 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. 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 This section is effective January 1, 2009. Classified
employees of the legislative auditor retain compensation provided on December 31, 2008,
until a new compensation plan is adopted under section 13.
new text end

new text begin If any Minnesota business or nonprofit corporation, limited liability company,
cooperative, limited partnership, or limited liability partnership has been administratively
or statutorily dissolved, revoked, or terminated after December 31, 2006, for failure to file
an annual or periodic report with the Office of the Secretary of State during a calendar
year when an individual with substantial responsibility for the operation of the dissolved,
revoked, or terminated business or nonprofit corporation, limited liability company,
cooperative, limited partnership, or limited liability partnership was serving in active
military service in the armed forces of the United States, including the reserves or National
Guard, as defined in section 190.05, subdivision 5b or 5c, or was engaged in employment
outside of the United States essential to the prosecution of a war or to the national defense,
as designated by the United States Congress or the United States Department of Defense,
the secretary of state shall waive any reinstatement fee otherwise required by law.
new text end

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

Minnesota Statutes 2006, section 10A.071, subdivision 3, is amended to read:

(a) The prohibitions in this section do not apply if the gift is:

(1) a contribution as defined in section 10A.01, subdivision 11;

(2) services to assist an official in the performance of official duties, including
but not limited to providing advice, consultation, information, and communication in
connection with legislation, and services to constituents;

(3) services of insignificant monetary value;

(4) a plaque or similar memento deleted text begin recognizing individual services in a field of
specialty or to a charitable causedeleted text end ;

(5) a trinket or memento deleted text begin costingdeleted text end new text begin with a resale value ofnew text end $5 or less;

(6) informational material of unexceptional value; or

(7) food or a beverage given at a reception, meal, or meeting away from the
recipient's place of work by an organization before whom the recipient appears to make a
speech or answer questions as part of a program.

(b) The prohibitions in this section do not apply if the gift is given:

(1) because of the recipient's membership in a group, a majority of whose members
are not officials, and an equivalent gift is given to the other members of the group; or

(2) by a lobbyist or principal who is a member of the family of the recipient, unless
the gift is given on behalf of someone who is not a member of that family.

new text begin The definitions in this subdivision apply to this section.
new text end

new text begin (a) "Account" means demand deposit account, checking account, negotiable order of
withdrawal account, savings account, time deposit account, money market mutual fund
account, or certificate of deposit account, and any funds or property held by a financial
institution, as defined in paragraph (e).
new text end

new text begin (b) "Account information" means the type of account, the account number, whether
the account is singly or jointly owned, and in the case of jointly owned accounts the name
and address of the nondebtor account owner if available.
new text end

new text begin (c) "Commissioner" means the commissioner of revenue.
new text end

new text begin (d) "Debtor" means a person whose property is subject to a tax lien and a notice of
lien has been filed by the commissioner as provided by section 270C.63, subdivision 2.
new text end

new text begin (e) "Financial institution" means any of the following that do business in this state:
new text end

new text begin (1) federal or state commercial banks and federal or state savings banks, including
savings and loan associations and cooperative banks;
new text end

new text begin (2) federal and state chartered credit unions;
new text end

new text begin (3) benefit associations;
new text end

new text begin (4) life insurance companies;
new text end

new text begin (5) safe deposit companies;
new text end

new text begin (6) money market mutual funds; or
new text end

new text begin (7) a similar entity that holds property or maintains accounts reflecting property
belonging to others.
new text end

new text begin (f) "Person" means a person as defined in section 270C.01, subdivision 6.
new text end

new text begin The commissioner shall establish a
process for the comparison of account information data held by financial institutions with
the Department of Revenue's database of debtors. The commissioner shall inform the
financial industry of the requirements of this section and the means by which financial
institutions can comply.
new text end

new text begin Within 30 days of a request by the commissioner,
a financial institution shall provide to the commissioner the name, address, and account
information for each debtor who maintains an account at the financial institution. The
commissioner may request from a financial institution the data concerning any debtor
not more than four times a year.
new text end

new text begin The commissioner must provide an electronic
list of debtors to the financial institution that includes debtors' name, address, and if an
individual, the last four digits of the Social Security number. The financial institution must
compare that data to the data maintained at the financial institution to identify which of the
listed debtors maintains an account at the financial institution.
new text end

new text begin A financial institution must provide the required
data in encrypted form by secure electronic means authorized by the commissioner.
new text end

new text begin (a) With regard to data on debtors provided by the
commissioner to a financial institution under subdivision 4, the financial institution shall
retain the reported information only until the financial institution's database is compared
against the commissioner's database. Data that does not pertain to an account holder at
the financial institution must be immediately destroyed, and no retention or publication
of that data shall be made by the financial institution. None of the data provided by the
commissioner may be used for solicitation or other commercial purposes by the financial
institutions or other commercial entities.
new text end

new text begin (b) All account information provided by a financial institution that pertains to a
debtor listed in the commissioner's database must be incorporated into the commissioner's
database. Access to that data is governed by chapters 13 and 270B. Notwithstanding
section 16D.06, data collected pursuant to this section is available for the collection of
delinquent taxes only and is not available for other debt collection activities undertaken by
the state.
new text end

new text begin A financial institution may charge and collect a fee from the
commissioner for providing account information to the commissioner. The commissioner
may pay a financial institution up to $150 each quarter. The commissioner shall develop
procedures for the financial institutions to charge and collect the fee. Payment of the fee
is limited by the amount of the appropriation for this purpose. If the appropriation is
insufficient, or if fund availability in the fourth quarter would allow payments for actual
costs in excess of $150, the commissioner shall prorate the available funds among the
financial institutions that have submitted a claim for the fee. No financial institution shall
charge or collect a fee that exceeds its actual costs of complying with this section.
new text end

new text begin The commissioner shall
send a written notice of noncompliance to a financial institution that fails to respond to a
first written request for information under this section. The notice must be sent by certified
mail and must explain the requirements of this section and advise the financial institution
of the penalty for noncompliance. A financial institution that receives a second notice of
noncompliance is subject to a civil penalty of $1,000 for its failure to comply. A financial
institution that continues to fail to comply with this section is subject to a civil penalty of
$5,000 for the third and each subsequent failure to comply. These penalties are imposed
and collected under section 270C.33, subdivision 4, paragraph (a), clause (5).
new text end

new text begin A financial institution furnishing a report to the
commissioner under this section is prohibited from disclosing to a debtor that the name of
the debtor has been received from or furnished to the commissioner.
new text end

new text begin A financial institution that provides or reasonably attempts to
provide information to the commissioner in compliance with this section is not liable to
any person for disclosing the information or for taking any other action in good faith as
authorized by this section.
new text end

new text begin (a)
An account holder may bring a civil action in district court against a financial institution
for unauthorized disclosure of data received from the commissioner under subdivision 4.
A financial institution found to have violated this subdivision shall be liable as provided in
paragraph (b) or (c).
new text end

new text begin (b) Any financial institution that willfully and maliciously discloses data received
from the commissioner under subdivision 4 is liable to that account holder in an amount
equal to the sum of:
new text end

new text begin (1) any actual damages sustained by the account holder as a result of the disclosure;
and
new text end

new text begin (2) in the case of any successful action to enforce any liability under this subdivision,
the costs of the action taken plus reasonable attorney fees as determined by the court.
new text end

new text begin (c) Any financial institution that negligently discloses data received from the
commissioner under subdivision 4 is liable to that account holder in an amount equal to
any actual damages sustained by the account holder as a result of the disclosure.
new text end

new text begin (d) A financial institution shall not be held liable in any action brought under this
subdivision if the financial institution shows, by a preponderance of evidence, that the
disclosure was not intentional and resulted from a bona fide error notwithstanding the
maintenance of procedures reasonably adopted to avoid any error.
new text end

new text begin This section is effective July 1, 2008.
new text end

Minnesota Statutes 2006, section 16A.133, subdivision 1, is amended to read:

An agency head in the
executive, judicial, and legislative branch shall, upon written request signed by an
employee, directly deposit all or part of an employee's pay to those credit unions or
financial institutions, as defined in section 47.015, designated by the employee.

An agency headnew text begin in any branchnew text end may, upon written request of an employee, deduct
from the pay of the employee a requested amount to be paid to the Minnesota Benefit
Association, deleted text begin ordeleted text end to any organization contemplated by section 179A.06, of which the
employee is a membernew text begin , or to a political action committee covered under a collective
bargaining agreementnew text end . If an employee has more than one account with the Minnesota
Benefit Association or more than one organization under section 179A.06, only the
Minnesota Benefit Association deleted text begin anddeleted text end new text begin ,new text end one organization, as defined under section 179A.06,new text begin
and one political action committeenew text end may be paid money by payroll deduction from the
employee's pay.

new text begin A state appropriation may not be used to identify an executive branch state agency by
a name other than the name assigned to it by law. It is a misuse of state funds for the head
of an executive branch state agency to use state funds to print agency stationery or other
official materials that identify the agency with a name other than the name assigned by law.
new text end

Minnesota Statutes 2006, section 16B.281, subdivision 3, is amended to read:

deleted text begin On or before October 1 of
each year, the commissioner shall review the certifications of heads of each department or
agency provided for in this section.deleted text end The commissioner new text begin of administration new text end shall send written
notice to all state departments, agencies, and the University of Minnesota describing any
lands or tracts that may be declared surplus. If a department or agency or the University of
Minnesota desires custody of the lands or tracts, it shall submit a written request to the
commissioner, no later than four calendar weeks after mailing of the notice, setting forth
in detail its reasons for desiring to acquire and its intended use of the land or tract. The
commissioner shall then determine whether any of the lands described deleted text begin in the certifications
of the heads of the departments or agenciesdeleted text end should be declared surplus and offered for
sale or otherwise disposed of by transferring custodial control to other requesting state
departments or agencies or to the Board of Regents of the University of Minnesota for
educational purposes, provided however that transfer to the Board of Regents shall not be
determinative of tax exemption or immunity. If the commissioner determines that any of
the lands are no longer needed for state purposes, the commissioner shall make findings of
fact, describe the lands, declare the lands to be surplus state land, new text begin and new text end state the reasons for
the sale or disposition of the landsdeleted text begin , and notify the Executive Council of the determinationdeleted text end .

Minnesota Statutes 2006, section 16B.282, is amended to read:

(a) Before offering
any surplus state-owned lands for sale, the commissioner new text begin of administration new text end may survey the
lands and, if the value of the lands is estimated to be deleted text begin $40,000deleted text end new text begin $50,000new text end or less, may have
the lands appraised. The commissioner shall have the lands appraised if the estimated
value is in excess of deleted text begin $40,000deleted text end new text begin $50,000new text end .

(b) deleted text begin The appraiser shall, before entering upon the duties of the office, take and
subscribe an oath that the appraiser will faithfully and impartially discharge the duties
of appraiser according to the best of the appraiser's ability and that the appraiser is not
interested, directly or indirectly, in any of the lands to be appraised or the timber or
improvements on the lands or in the purchase of the lands, timber, or improvements
and has entered into no agreement or combination to purchase any of the lands, timber,
or improvements. The oath shall be attached to the appraisal report.deleted text end new text begin Appraisals must
be made by an appraiser that holds a state appraiser license issued by the Department
of Commerce. The appraisal must be in conformity with the Uniform Standards of
Professional Appraisal Practice of the Appraisal Foundation.
new text end

(c) Before offering surplus state-owned lands for public sale, the lands shall first be
offered to the city, county, town, school district, or other public body corporate or politic
in which the lands are situated for public purposes and the lands may be sold for public
purposes for not less than the appraised value of the lands. To determine whether a public
body desires to purchase the surplus land, the commissioner shall give a written notice to
the governing body of each political subdivision whose jurisdictional boundaries include
or are adjacent to the surplus land. If a public body desires to purchase the surplus land,
it shall submit a written offer to the commissioner no later than two weeks after receipt
of notice setting forth in detail its reasons for desiring to acquire and its intended use of
the land. In the event that more than one public body tenders an offer, the commissioner
shall determine which party shall receive the property and shall submit written findings
regarding the decision. If lands are offered for sale for public purposes and if a public
body notifies the commissioner of its desire to acquire the lands, the public body may have
up to two years from the date of the accepted offer to commence payment for the lands
in the manner provided by law.

(a) deleted text begin Lands certified as surplus by the head of
a department or agency under section 16B.281 shall be offered for public sale by the
commissioner as provided in this subdivision.deleted text end After complying with subdivision 1 and
before any public sale of surplus state-owned land is madenew text begin and at least 30 days before the
salenew text end , the commissioner new text begin of administration new text end shall publish a notice of the sale deleted text begin at least once each
week for four successive weeks in a legal newspaper and alsodeleted text end in a newspaper of general
distribution in the deleted text begin city ordeleted text end county in which the real property to be sold is situated. The notice
shall specify the time and place at which the sale will commence, a general description of
the lots or tracts to be offered, and a general statement of the terms of sale. deleted text begin Each tract or
lot shall be sold separately and shall be sold for no less than its appraised value.deleted text end

new text begin (b) Surplus state-owned land shall be sold for no less than the estimated or appraised
value. The minimum bid may include expenses incurred by the commissioner in rendering
the property saleable, including survey, appraisal, legal, advertising, and other expenses.
new text end

deleted text begin (b)deleted text end new text begin (c)new text end Parcels remaining unsold after the offering may be sold to anyone agreeing
to pay the appraised value. The sale shall continue until all parcels are sold or until the
commissioner orders a reappraisal or withdraws the remaining parcels from sale.

deleted text begin (c) Except as provided in section 16B.283, the cost of any survey or appraisal as
provided in subdivision 1 shall be added to and made a part of the appraised value of the
lands to be sold, whether to any political subdivision of the state or to a private purchaser
as provided in this subdivision.deleted text end

Minnesota Statutes 2006, section 16B.283, is amended to read:

deleted text begin No less than ten percent of the purchase price shall be paid at the time of sale with
the balance payable according to this section. If the purchase price of any lot or parcel is
$5,000 or less, the balance shall be paid within 90 days of the date of sale. If the purchase
price of any lot or parcel is in excess of $5,000, the balance shall be paid in equal annual
installments for no more than five years, at the option of the purchaser, with principal
and interest payable annually in advance at a rate equal to the rate in effect at the time
under section 549.09 on the unpaid balance, payable to the state treasury on or before
June 1 each year. Any installment of principal or interest may be prepaid.deleted text end new text begin The purchaser
must pay at the time of sale ten percent of the total amount bid and the remainder of the
payment is due within 90 days of the sale date. A person who fails to make final payment
within 90 days of the sale date is in default. On default, all right, title, and interest of
the purchaser or heirs, representatives, or assigns of the purchaser in the premises shall
terminate without the state doing any act or thing. A record of the default must be made in
the state land records of the commissioner.new text end

Minnesota Statutes 2006, section 16B.284, is amended to read:

deleted text begin In the event a purchaser elects to purchase surplus real property on an installment
basis, the commissioner shall enter into a contract for deed with the purchaser, in which
shall be set forth the description of the real property sold and the price of the property,
the consideration paid and to be paid for the property, the rate of interest, and time and
terms of payment. The contract for deed shall be made assignable and shall further set
forth that in case of the nonpayment of the annual principal or interest payment due by the
purchaser, or any person claiming under the purchaser, then the contract for deed, from the
time of the failure, is entirely void and of no effect and the state may be repossessed of the
lot or tract and may resell the lot or tract as provided in sections 16B.281 to 16B.287. In
the event the terms and conditions of a contract for deed are completely fulfilled or if a
purchaser makes a lump-sum payment for the subject property in lieu of entering into a
contract for deed,deleted text end The commissioner new text begin of administration new text end shall sign and cause to be issued a
quitclaim deed on behalf of the state. The quitclaim deed shall be in a form prescribed by
the attorney general and shall vest in the purchaser all of the state's interest in the subject
property except as provided in section .

Minnesota Statutes 2006, section 16B.287, subdivision 2, is amended to read:

A portion of the proceeds from the sale equal in
amount to the survey, appraisal, legal, advertising, and other expenses incurred by the
commissioner new text begin of administration new text end or other state official in rendering the property salable shall
be remitted to the account from which the expenses were paid and are appropriated and
immediately available for expenditure in the same manner as other money in the account.

Minnesota Statutes 2006, section 16C.16, subdivision 5, is amended to read:

(a) The commissioner of administration
shall periodically designate businesses that are majority owned and operated by women,
persons with a substantial physical disability, or specific minorities as targeted group
businesses within purchasing categories as determined by the commissioner. A group
may be targeted within a purchasing category if the commissioner determines there is a
statistical disparity between the percentage of purchasing from businesses owned by
group members and the representation of businesses owned by group members among all
businesses in the state in the purchasing category.

(b) In addition to designations under paragraph (a), an individual business may be
included as a targeted group business if the commissioner determines that inclusion is
necessary to remedy discrimination against the owner based on race, gender, or disability
in attempting to operate a business that would provide goods or services to public agencies.

new text begin (c) In addition to the designations under paragraphs (a) and (b), the commissioner of
administration shall designate businesses that are majority owned and operated by veterans
who have served in federal active service as defined in section 190.05, subdivision 5c, in
support of Operation Enduring Freedom or Operation Iraqi Freedom as targeted group
businesses within purchasing categories as determined by the commissioner. "Veteran"
has the meaning given in section 197.447, and also includes both currently serving and
honorably discharged members of the national guard and other military reserves.
new text end

deleted text begin (c)deleted text end new text begin (d) new text end The designations of purchasing categories and businesses under paragraphs
(a) deleted text begin anddeleted text end new text begin ,new text end (b)new text begin , and (c)new text end are not rules for purposes of chapter 14, and are not subject to
rulemaking procedures of that chapter.

new text begin This section is effective July 1, 2008, and applies to
procurement contract bid solicitations issued on and after that date.
new text end

Minnesota Statutes 2006, section 16E.01, subdivision 3, is amended to read:

(a) The office shall:

(1) manage the efficient and effective use of available federal, state, local, and
public-private resources to develop statewide information and telecommunications
technology systems and services and its infrastructure;

(2) approve state agency and intergovernmental information and telecommunications
technology systems and services development efforts involving state or intergovernmental
funding, including federal funding, provide information to the legislature regarding
projects reviewed, and recommend projects for inclusion in the governor's budget under
section 16A.11;

(3) ensure cooperation and collaboration among state and local governments in
developing intergovernmental information and telecommunications technology systems
and services, and define the structure and responsibilities of a representative governance
structure;

(4) cooperate and collaborate with the legislative and judicial branches in the
development of information and communications systems in those branches;

(5) continue the development of North Star, the state's official comprehensive online
service and information initiative;

(6) promote and collaborate with the state's agencies in the state's transition to an
effectively competitive telecommunications market;

(7) collaborate with entities carrying out education and lifelong learning initiatives
to assist Minnesotans in developing technical literacy and obtaining access to ongoing
learning resources;

(8) promote and coordinate public information access and network initiatives,
consistent with chapter 13, to connect Minnesota's citizens and communities to each
other, to their governments, and to the world;

(9) promote and coordinate electronic commerce initiatives to ensure that Minnesota
businesses and citizens can successfully compete in the global economy;

(10) manage and promote the regular and periodic reinvestment in the information
and telecommunications technology systems and services infrastructure so that state and
local government agencies can effectively and efficiently serve their customers;

(11) facilitate the cooperative development of and ensure compliance with standards
and policies for information and telecommunications technology systems and services,
electronic data practices and privacy, and electronic commerce among international,
national, state, and local public and private organizations;

(12) eliminate unnecessary duplication of existing information and
telecommunications technology systems and services provided by other public and private
organizations while building on the existing governmental, educational, business, health
care, and economic development infrastructures;

(13) identify, sponsor, develop, and execute shared information and
telecommunications technology projects and ongoing operations; and

(14) ensure overall security of the state's information and technology systems and
services.

(b) The chief information officer in consultation with the commissioner of finance
must determine when it is cost-effective for agencies to develop and use shared
information and telecommunications technology systems and services for the delivery of
electronic government services. The chief information officer may require agencies to
use shared information and telecommunications technology systems and services. The
chief information officer shall establish reimbursement rates in cooperation with the
commissioner of finance to be billed to agencies and other governmental entities sufficient
to cover the actual development, operating, maintenance, and administrative costs of
the shared systems. The methodology for billing may include the use of interagency
agreements, or other means as allowed by law.

new text begin (c) A state agency with any information and telecommunications technology project
that has a total expected project cost of more than $1,000,000, whether funded as part of
the biennial budget or by any other means, shall for the purpose of registration with the
office submit basic project startup documentation as specified by the office in both content
and format. Registration must occur prior to the date of commencement of the project
and before any project funding is requested or committed. Project leaders must: (1)
demonstrate that acceptable and sustainable project management methodology is being
followed for the project; (2) provide updates to the project documentation as changes
are proposed; and (3) regularly report on the current status of the project on a schedule
agreed to by the office.
new text end

new text begin (d) The office must monitor progress on any active information and
telecommunications technology project that has a total expected project cost of more than
$1,000,000 and report on performance against plan in terms of time, scope, and budget.
Based on the determination of the chief information officer, the office must conduct an
independent project audit of the project. The audit analysis and evaluation by the office
of the projects registered under paragraph (c) must be presented to agency executive
sponsors, the project governance bodies, and the chief information officer. All reports and
responses must become part of the project record.
new text end

new text begin (e) For any active information and telecommunications technology project that has a
total expected project cost of more than $5,000,000, an annual independent audit must be
performed that conforms to project audit principles published by the office.
new text end

new text begin (f) The chief information officer shall report to the legislative committees with
jurisdiction over the office by January 15 of each year regarding the review process
required under paragraph (a), clause (2). The report must include a description of the
current status of each project reviewed by the office. The report must include the rationale
used for the determination made for each project.
new text end

Minnesota Statutes 2006, section 16E.03, subdivision 1, is amended to read:

For the purposes of chapter 16E, the following terms
have the meanings given them.

(a) "Information and telecommunications technology systems and services" means
all computing and telecommunications hardware and software, the activities undertaken
to secure that hardware and software, and the activities undertaken to acquire, transport,
process, analyze, store, and disseminate information electronically. "Information and
telecommunications technology systems and services" includes all proposed expenditures
for computing and telecommunications hardware and software, security for that hardware
and software, and related consulting or other professional services.

(b) "Information and telecommunications technology project" means an effort to
acquire or produce information and telecommunications technology systems and services.

(c) "Telecommunications" means voice, video, and data electronic transmissions
transported by wire, wireless, fiber-optic, radio, or other available transport technology.

(d) "Cyber security" means the protection of data and systems in networks connected
to the Internet.

(e) "State agency" means an agency in the executive branch of state government and
includes the Minnesota Office of Higher Education, but does not include the Minnesota
State Colleges and Universities unless specifically provided elsewhere in this chapter.

new text begin (f) "Total expected project cost" includes direct staff costs, all supplemental contract
staff and vendor costs, and costs of hardware and software development or purchase.
Breaking a project into several phases does not affect the cost threshold which must be
computed on the full cost of all aspects of the related subprojects.
new text end

Minnesota Statutes 2006, section 16E.04, subdivision 2, is amended to read:

(a) In addition to other activities prescribed by law, the
office shall carry out the duties set out in this subdivision.

(b) The office shall develop and establish a state information architecture to ensure
that state agency development and purchase of information and communications systems,
equipment, and services is designed to ensure that individual agency information systems
complement and do not needlessly duplicate or conflict with the systems of other agencies.
When state agencies have need for the same or similar public data, the chief information
officer, in coordination with the affected agencies, shall manage the most efficient and
cost-effective method of producing and storing data for or sharing data between those
agencies. The development of this information architecture must include the establishment
of standards and guidelines to be followed by state agencies. The office shall ensure
compliance with the architecture.

(c) The office shall assist state agencies in the planning and management of
information systems so that an individual information system reflects and supports
the state agency's mission and the state's requirements and functions.new text begin Each agency
shall develop a strategic information technology plan.new text end The office shall review and
approve agency technology plans to ensure consistency with enterprise information and
telecommunications technology strategy.new text begin By December 1 of each year, the office must
report to the legislative committees with jurisdiction over the office regarding the plans
under this paragraph.
new text end

(d) The office shall review and approve agency requests for funding for the
development or purchase of information systems equipment or software before the
requests may be included in the governor's budget.

(e) The office shall review major purchases of information systems equipment to:

(1) ensure that the equipment follows the standards and guidelines of the state
information architecture;

(2) ensure the agency's proposed purchase reflects a cost-effective policy regarding
volume purchasing; and

(3) ensure that the equipment is consistent with other systems in other state agencies
so that data can be shared among agencies, unless the office determines that the agency
purchasing the equipment has special needs justifying the inconsistency.

(f) The office shall review the operation of information systems by state agencies
and ensure that these systems are operated efficiently and securely and continually meet
the standards and guidelines established by the office. The standards and guidelines must
emphasize uniformity that is cost-effective for the enterprise, that encourages information
interchange, open systems environments, and portability of information whenever
practicable and consistent with an agency's authority and chapter 13.

(g) The office shall conduct a comprehensive review at least every three years of
the information systems investments that have been made by state agencies and higher
education institutions. The review must include recommendations on any information
systems applications that could be provided in a more cost-beneficial manner by an outside
source. The office must report the results of its review to the legislature and the governor.

new text begin An employee must be granted leave to the extent the employee's attendance is
necessary to care for a member of the employee's immediate household, up to five days
within a 12-month period. The leave must be unpaid, unless otherwise provided in a
collective bargaining agreement or compensation plan.
new text end

new text begin A state employee must be granted leave from work with 100 percent of pay to donate
blood at a location away from the place of work. The total amount of leave used under this
paragraph may not exceed three hours in a 12-month period, and must be determined by
the employee. A state employee seeking leave from work under this section must provide
14 days notice to the appointing authority. This leave must not affect the employee's
vacation leave, pension, compensatory time, personal vacation days, sick leave, earned
overtime accumulation, or cause a loss of seniority. For the purposes of this section, "state
employee" does not include an employee of the Minnesota State Colleges and Universities.
new text end

Laws 2006, chapter 282, article 2, section 27, subdivision 4, is amended to
read:

The commission expires deleted text begin December 31, 2008deleted text end new text begin June 30, 2009new text end .

Laws 2007, chapter 148, article 1, section 7, is amended to read:

9,019,000

6,497,000

Appropriations by Fund
	2008	2009
General	6,175,000	6,497,000
Special Revenue	2,844,000

(a) $310,000 of this appropriation must be
transferred to the Help America Vote Act
account and is designated as a portion of the
match required by section 253(b)(5) of the
Help America Vote Act.

(b) $2,844,000 the first year is appropriated
from the Help America Vote Act account for
the purposes and uses authorized by federal
law. This appropriation is available until
June 30, 2009.

(c) Notwithstanding Laws 2005, chapter
162, section 34, subdivision 7, any balance
remaining in the Help America Vote Act
account after previous appropriations and the
appropriations in this section is appropriated
to the secretary of state for the purposes of
the account. This appropriation is available
until June 30, 2011.

new text begin (d) The amount necessary to meet federal
requirements for interest payments and the
additional match for the Help America Vote
Act account is transferred from the general
fund appropriation to the Help America Vote
Act account.
new text end

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

Laws 2007, chapter 148, article 1, section 12, subdivision 4, is amended to
read:

5,672,000

5,218,000

(a) $125,000 the first year is to create an
Office of Grants Management to standardize
state grants management policies and
procedures. For the fiscal year beginning
July 1, 2008, the commissioner must
deduct up to $125,000 from state grantsnew text begin
that are subject to Minnesota Statutes,
section 16B.97,new text end to deleted text begin nongovernmentaldeleted text end new text begin
nonstatenew text end entities, as necessary to fund the
commissioner's duties under new Minnesota
Statutes, sections 16B.97 and 16B.98.
The amount deducted from appropriations
for these grants is transferred to the
commissioner for purposes of administering
these sections.

(b) $250,000 the first year and $250,000
the second year are to establish a small
agency resource team to consolidate and
streamline the human resources and financial
management activities for small state
agencies, boards, and councils.

(c) $500,000 the first year is a onetime
appropriation for a targeted group business
disparity study. The commissioner
must cooperate with units of local
government conducting similar studies. The
commissioner shall ensure that the results of
the study are kept current and that any new or
upgraded accounting or procurement systems
properly record purchases from minority and
female-owned businesses through the use of
state contracts, and the availability of bids
from those businesses.

(d) $74,000 the first year and $74,000
the second year are for the Council on
Developmental Disabilities.

(e) $140,000 in fiscal year 2008 and $140,000
in fiscal year 2009 are for a grant to the
Council on Developmental Disabilities
for the purpose of establishing a statewide
self-advocacy network for persons with
intellectual and developmental disabilities
(ID/DD). The self-advocacy network shall:

(1) ensure that persons with ID/DD are
informed of their rights in employment,
housing, transportation, voting, government
policy, and other issues pertinent to the
ID/DD community;

(2) provide public education and awareness
of the civil and human rights issues persons
with ID/DD face;

(3) provide funds, technical assistance, and
other resources for self-advocacy groups
across the state; and

(4) organize systems of communications
to facilitate an exchange of information
between self-advocacy groups.

This appropriation is in addition to any other
appropriations and must be added to the base
appropriation beginning in fiscal year 2010.

new text begin The governor must reduce the total number of deputy commissioners, assistant
commissioners, positions designated as unclassified under authority of Minnesota Statutes,
section 43A.08, subdivision 1a, and governor's office personnel supported by interagency
agreements by 25 percent. This reduction must be achieved by June 30, 2009.
new text end

new text begin Notwithstanding the provisions of Minnesota Statutes, section 16A.695, or any
other law, the Minneapolis Park and Recreation Board may retain the proceeds from the
condemnation of park lands or its interest in land necessary for the reconstruction and
expansion of marked Interstate Highway 35W at the Mississippi River in Minneapolis.
Proceeds received by the park board from the condemnation proceeding must be deposited
into a park land acquisition account controlled by the Minneapolis Park and Recreation
Board. Money in the account must be invested pursuant to Minnesota Statutes, chapter
118A, and interest shall accrue to this account. The park land acquisition account must
be used solely to acquire land for public park purposes adjacent to the Mississippi River
in Minneapolis. Lands acquired from the account must be included in the metropolitan
regional recreation open space system and are subject to the provisions of Minnesota
Statutes, section 16A.695, and laws governing metropolitan regional park land. The park
board shall provide an annual report to the commissioner of finance and the Metropolitan
Council regional administrator outlining the use of the funds in the park land acquisition
account until such time as no funds remain in the account.
new text end

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

new text begin During the biennium ending June 30, 2009, the Legislative Coordinating
Commission must pay expenses associated with Minnesota legislators' participation in
a 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 This section is effective the day following final enactment.
new text end

new text begin The Legislative Coordinating Commission must report to the chairs of the house
and senate Finance Committees by January 15, 2009, on potential savings that could be
achieved by having the Legislative Coordinating Commission perform administrative
functions that currently are performed separately by the house of representatives and
the senate.
new text end

new text begin (a) By October 1, 2008, each hiring authority of the executive, legislative, and
judicial branches of state government must report to the commissioner of finance on
the incidence of employment, recruitment, retention, and retirement of veterans in their
nonelected workforce for fiscal year 2008. The report must be made in a manner approved
by the commissioner, and must include analysis by age category. Each hiring authority
must also report specific veteran employment data requested by the commissioner as of
June 30, 2008; June 30, 2001, and an earlier date if judged feasible by the commissioner.
new text end

new text begin (b) By January 15, 2009, the commissioner must submit a report on the employment
of veterans in state government to the chairs of the house and senate policy and finance
committees having jurisdiction over veterans affairs. The report must present and analyze
the data obtained in paragraph (a).
new text end

new text begin (c) For purposes of this section, "veteran" has the meaning given in section 197.447.
new text end

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

new text begin Minnesota Statutes 2006, sections 16B.281, subdivisions 2, 4, and 5; 16B.285;
and 645.44, subdivision 19, new text end new text begin are repealed.
new text end

new text begin Except for those sections with a different effective date, this article is effective the
day following final enactment.
new text end

new text begin $
new text end

new text begin 52,000
new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 390,000 new text end
new text begin Special Revenue new text end	new text begin (338,000) new text end

new text begin $75,000 in fiscal year 2009 is to establish a
state enhancement of the employer support of
the guard and reserve program. The funding
base for this activity is $35,000 each year in
fiscal years 2010 and 2011.
new text end

new text begin $135,000 in fiscal year 2009 is to make
$1,000 biannual bonus payments to National
Guard medics who meet recertification
requirements during the fiscal year.
new text end

new text begin $180,000 in fiscal year 2009 is to add "state
navigator" positions to coordinate state
agency programs and activities to support
and assist soldiers and their families during
and after the reintegration process.
new text end

Minnesota Statutes 2006, section 190.19, subdivision 1, is amended to read:

new text begin Notwithstanding Laws 2007, chapter 45, article 2, section
1, and article 3, section 2, subdivision 3, this section is effective for distribution of the
Minnesota "Support Our Troops" account the day following final enactment.
new text end

Minnesota Statutes 2007 Supplement, section 190.19, subdivision 2, is
amended to read:

(a) Money appropriated from the Minnesota "Support Our Troops"
account new text begin to the Department of Military Affairs new text end 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; deleted text begin or
deleted text end

(3) veterans' servicesdeleted text begin .deleted text end new text begin ; or
new text end

new text begin (4) grants to family readiness groups chartered by the adjutant general.
new text end

(b) new text begin As used in paragraph (a), new text end the termdeleted text begin ,deleted text end "eligible individual" includes any person
who is:

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

(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 served in one of the capacities listed in clause (1), (2), or (3) who
has current financial needs directly related to that service; 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.

(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 new text begin under paragraph (a) new text end 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 $2,000.

new text begin The adjutant general is authorized to establish and administer a state enhancement
to the federal Employer Support of Guard and Reserve (ESGR) Program. The adjutant
general shall develop policy and guidelines for the administration of the program
established under this section.
new text end

Minnesota Statutes 2006, section 192.501, is amended by adding a subdivision
to read:

new text begin (a) The adjutant general
may establish a program to provide a recertification bonus to eligible members of the
Minnesota National Guard who recertify as emergency medical technicians (EMTs) in
the National Guard within the limitations of this subdivision. The bonus payments are
intended to generally encourage a member's continuing certification as an EMT.
new text end

new text begin (b) Eligibility for the recertification bonus is limited to a member of the National
Guard who:
new text end

new text begin (1) is serving satisfactorily as determined by the adjutant general; and
new text end

new text begin (2) has successfully completed the training required for recertification and warrants
the payment of a bonus.
new text end

new text begin (c) The adjutant general may, within the limitations of this subdivision and other
applicable laws, determine additional eligibility criteria for the bonus, and must specify all
of the criteria in regulations and publish changes as necessary.
new text end

new text begin (d) Payments under this subdivision must be made on a schedule that is determined
and published in department regulations by the adjutant general.
new text end

Minnesota Statutes 2006, section 192.501, is amended by adding a subdivision
to read:

new text begin (a) Notwithstanding the eligibility limitations of subdivision 2,
paragraph (b), the spouse of a person eligible under subdivision 2, paragraph (b), is
eligible to use up to 12 semester hours per year, or the equivalent amount of quarter
credits, of that eligible person's unused tuition reimbursement benefit for each year of
service in the Minnesota National Guard after the eighth year of such service.
new text end

new text begin (b) Total benefits under this subdivision cannot exceed the total unused portion of
the service member's benefit. A service member's and spouse's eligibility for tuition
reimbursement under this subdivision is limited by the provisions of subdivision 2,
paragraph (g).
new text end

Minnesota Statutes 2006, section 197.585, subdivision 5, is amended to read:

This section expires at the end of the first fiscal year in which
the number of veterans enrolled in Minnesota public institutions of higher education is
fewer than 4,000deleted text begin , but no later than June 30, 2011deleted text end .

new text begin The appropriation in Laws 2007, chapter 45, article 3, section 2, subdivision 3, for
a longitudinal study measuring improvement in academic achievement as a result of
participation in the Starbase program is available until June 30, 2009. The Department of
Military Affairs must contract with the Wilder Foundation to conduct the study.
new text end

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

new text begin The adjutant general and the Department of Military Affairs shall study participation
by the Minnesota National Guard in the National Guard Youth Challenge Program
promoted by the National Guard Youth Foundation. The adjutant general shall report on
the study and make recommendations to the governor and the committees of the senate
and the house of representatives with jurisdiction over National Guard programs by
January 15, 2009. The study must include:
new text end

new text begin (1) possible locations for the Minnesota National Guard Youth Challenge Program;
new text end

new text begin (2) estimated start-up costs for the program;
new text end

new text begin (3) application and establishment procedures and resources required to apply for
and establish the program; and
new text end

new text begin (4) a survey of similar programs established in other states and how each state comes
up with the state match required to obtain federal funds.
new text end

Minnesota Statutes 2006, section 15A.081, subdivision 8, is amended to
read:

Notwithstanding any law to the contrary, positions
listed in section 15A.0815, deleted text begin subdivisions 2 and 3,deleted text end constitutional officers, the commissioner
of Iron Range resources and rehabilitation, and the director of the State Lottery are
authorized an annual expense allowance not to exceed $1,500 for necessary expenses in
the normal performance of their duties for which no other reimbursement is provided.
The expenditures under this subdivision are subject to any laws and rules relating to
budgeting, allotment and encumbrance, preaudit and postaudit. The commissioner of
finance may adopt rules to assure the proper expenditure of these funds and to provide
for reimbursement.

Minnesota Statutes 2006, section 15A.0815, is amended to read:

The governor or other appropriate appointing
authority shall set the salary rates for positions listed in deleted text begin this sectiondeleted text end new text begin subdivision 2 new text end within
the salary limits listed in deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 2 deleted text begin to 4deleted text end new text begin and section 43A.17, subdivision
9new text end , subject to approval of the Legislative Coordinating Commission and the legislature as
provided by subdivision 5 and sections 3.855 and 15A.081, subdivision 7b.

deleted text begin The salaries for positions in this
subdivision may not exceed 95 percent of the salary of the governor:
deleted text end

Commissioner of administration;

Commissioner of agriculture;

Commissioner of education;

Commissioner of commerce;

Commissioner of corrections;

Commissioner of employee relations;

new text begin Commissioner of employment and economic development;
new text end

Commissioner of finance;

new text begin Director, Gambling Control Board;
new text end

Commissioner of health;

Executive director, Minnesota Office of Higher Education;

Commissioner, Housing Finance Agency;

Commissioner of human rights;

Commissioner of human services;

new text begin Commissioner, Iron Range Resources and Rehabilitation Board;
new text end

Commissioner of labor and industry;

new text begin Commissioner, Bureau of Mediation Services;
new text end

new text begin Ombudsman for Mental Health and Developmental Disabilities;
new text end

new text begin Chair, Metropolitan Airports Commission;
new text end

new text begin Chair, Metropolitan Council;
new text end

new text begin Director, Minnesota State Lottery;
new text end

Commissioner of natural resources;

deleted text begin Director of Office of Strategic and Long-Range Planning;
deleted text end

Commissioner, Pollution Control Agency;

new text begin Executive director, Public Employees Retirement Association;
new text end

Commissioner of public safety;

new text begin Commissioner, Public Utilities Commission;
new text end

new text begin Director, Minnesota Racing Commission;
new text end

Commissioner of revenue;

deleted text begin Commissioner of employment and economic development;
deleted text end

new text begin Executive director, State Retirement System;
new text end

new text begin Executive director, Teachers Retirement Association;
new text end

Commissioner of transportation; and

Commissioner of veterans affairs.

deleted text begin The salaries for positions in this subdivision may
not exceed 85 percent of the salary of the governor:
deleted text end

deleted text begin Executive director of Gambling Control Board;
deleted text end

deleted text begin Commissioner, Iron Range Resources and Rehabilitation Board;
deleted text end

deleted text begin Commissioner, Bureau of Mediation Services;
deleted text end

deleted text begin Ombudsman for Mental Health and Developmental Disabilities;
deleted text end

deleted text begin Chair, Metropolitan Council;
deleted text end

deleted text begin Executive director of pari-mutuel racing;
deleted text end

deleted text begin Executive director, Public Employees Retirement Association;
deleted text end

deleted text begin Commissioner, Public Utilities Commission;
deleted text end

deleted text begin Executive director, State Retirement System; and
deleted text end

deleted text begin Executive director, Teachers Retirement Association.
deleted text end

deleted text begin The salary for a position in this subdivision may
not exceed 25 percent of the salary of the governor:
deleted text end

deleted text begin Chair, Metropolitan Airports Commission.
deleted text end

(a) The
governor, or other appropriate appointing authority, may submit to the Legislative
Coordinating Commission recommendations for salaries within the salary limits for the
positions listed in subdivisions 2 to 4. An appointing authority may also propose additions
or deletions of positions from those listed.

(b) Before submitting the recommendations, the appointing authority shall consult
with the commissioner of employee relations concerning the recommendations.

(c) In making recommendations, the appointing authority shall consider the
criteria established in section 43A.18, subdivision 8, and the performance of individual
incumbents. The performance evaluation must include a review of an incumbent's progress
toward attainment of affirmative action goals. The appointing authority shall establish
an objective system for quantifying knowledge, abilities, duties, responsibilities, and
accountabilities, and in determining recommendations, rate each position by this system.

(d) Before the appointing authority's recommended salaries take effect, the
recommendations must be reviewed and approved, rejected, or modified by the Legislative
Coordinating Commission and the legislature under section 3.855, subdivisions 2 and
3. If, when the legislature is not in session, the commission fails to reject or modify
salary recommendations of the governor within 30 calendar days of their receipt, the
recommendations are deemed to be approved.

(e) The appointing authority shall set the initial salary of a head of a new agency
or a chair of a new metropolitan board or commission whose salary is not specifically
prescribed by law after consultation with the commissioner, whose recommendation is
advisory only. The amount of the new salary must be comparable to the salary of an
agency head or commission chair having similar duties and responsibilities.

(f) The salary of a newly appointed head of an agency or chair of a metropolitan
agency listed in deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 2 deleted text begin to 4deleted text end , may be increased or decreased by the
appointing authority from the salary previously set for that position within 30 days
of the new appointment after consultation with the commissioner. If the appointing
authority increases a salary under this paragraph, the appointing authority shall submit
the new salary to the Legislative Coordinating Commission and the full legislature
for approval, modification, or rejection under section 3.855, subdivisions 2 and 3.
If, when the legislature is not in session, the commission fails to reject or modify
salary recommendations of the governor within 30 calendar days of their receipt, the
recommendations are deemed to be approved.

Minnesota Statutes 2006, section 43A.01, subdivision 3, is amended to read:

It is the policy of this state to
deleted text begin attempt todeleted text end establish equitable compensation relationships between female-dominated,
male-dominated, and balanced classes of employees in the executive branch.
Compensation relationships are equitable within the meaning of this subdivision when the
primary consideration in negotiating, establishing, recommending, and approving total
compensation is comparability of the value of the work in relationship to other positions in
the executive branch.new text begin A recognized system for classification analysis and its concurrent
point allocation system must be used in order to attain compensation equity. Classification
range maximums must fall within the system's point allocation window. Market-driven
forces are recognized as acceptable in order to maintain employee recruitment and
retention efforts whenever the compensation rates exceed the allocated points. No contract
executed under chapter 179A may modify, waive, or abridge this section and sections
43A.07 to 43A.121, 43A.15, and 43A.17 to 43A.21, except to the extent expressly
permitted in those sections. Any compensation equity adjustments must be made from
agency appropriations. Fifty percent of the compensation governed by this system must be
adjusted in fiscal year 2009 and the remaining compensation in fiscal year 2010.
new text end

Minnesota Statutes 2006, section 43A.17, subdivision 9, is amended to read:

(a) The salary and the value
of all other forms of compensation of new text begin the positions in section 15A.0815 and new text end a person
employed by a political subdivision of this state, excluding a school district, or employed
under section 422A.03 may not exceed 110 percent of the salary of the governor as set
under section 15A.082, except as provided in this subdivision. For purposes of this
subdivision, "political subdivision of this state" includes a statutory or home rule charter
city, county, town, metropolitan or regional agency, or other political subdivision, but
does not include a hospital, clinic, or health maintenance organization owned by such a
governmental unit.

(b) Beginning in 2006, the limit in paragraph (a) shall be adjusted annually in
January. The limit shall equal the limit for the prior year increased by the percentage
increase, if any, in the Consumer Price Index for all-urban consumers from October of the
second prior year to October of the immediately prior year.

(c) Deferred compensation and payroll allocations to purchase an individual annuity
contract for an employee are included in determining the employee's salary. Other forms
of compensation which shall be included to determine an employee's total compensation
are all other direct and indirect items of compensation which are not specifically excluded
by this subdivision. Other forms of compensation which shall not be included in a
determination of an employee's total compensation for the purposes of this subdivision are:

(1) employee benefits that are also provided for the majority of all other full-time
employees of the political subdivision, vacation and sick leave allowances, health and
dental insurance, disability insurance, term life insurance, and pension benefits or like
benefits the cost of which is borne by the employee or which is not subject to tax as
income under the Internal Revenue Code of 1986;

(2) dues paid to organizations that are of a civic, professional, educational, or
governmental nature; and

(3) reimbursement for actual expenses incurred by the employee which the
governing body determines to be directly related to the performance of job responsibilities,
including any relocation expenses paid during the initial year of employment.

The value of other forms of compensation shall be the annual cost to the political
subdivision for the provision of the compensation.

(d) The salary of a medical doctor or doctor of osteopathy occupying a position that
the governing body of the political subdivision has determined requires an M.D. or D.O.
degree is excluded from the limitation in this subdivision.

(e) The commissioner may increase the limitation in this subdivision for a position
that the commissioner has determined requires special expertise necessitating a higher
salary to attract or retain a qualified person. The commissioner shall review each
proposed increase giving due consideration to salary rates paid to other persons with
similar responsibilities in the state and nation. The commissioner may not increase the
limitation until the commissioner has presented the proposed increase to the Legislative
Coordinating Commission and received the commission's recommendation on it. The
recommendation is advisory only. If the commission does not give its recommendation
on a proposed increase within 30 days from its receipt of the proposal, the commission
is deemed to have made no recommendation. If the commissioner grants or granted an
increase under this paragraph, the new limitation shall be adjusted beginning in August
2005 and in each subsequent calendar year in January by the percentage increase equal to
the percentage increase, if any, in the Consumer Price Index for all-urban consumers from
October of the second prior year to October of the immediately prior year.

Minnesota Statutes 2006, section 119A.03, subdivision 1, is amended to read:

The department is under the administrative control of
the commissioner. The commissioner is appointed by the governor with the advice and
consent of the senate. The commissioner must possess broad knowledge and experience
in strengthening children and families. The commissioner has the general powers as
provided in section 15.06, subdivision 6.

The commissioner's salary must be established according to the procedure in section
15A.0815deleted text begin , in the same range as that specified for the commissioner of financedeleted text end .

Minnesota Statutes 2006, section 124D.385, subdivision 4, is amended to read:

The commission may create a private nonprofit
corporation that is exempt from taxation under section 501(c)(3) of the federal Internal
Revenue Code of 1986. If the commission creates a private nonprofit corporation, the
commission must serve as the corporation's board of directors. The private nonprofit
corporation is not subject to laws governing state agencies or political subdivisions,
except the provisions of chapter 13, the Open Meeting Law under chapter 13D, salary
limits under section 15A.0815, deleted text begin subdivision 2,deleted text end and audits by the legislative auditor under
chapter 3 apply. Further provided that the board of directors and the executive director
of the nonprofit corporation are each considered an "official" for purposes of section
10A.071. The commission may delegate any or all of its powers and duties under federal
law or under sections 124D.37 to 124D.45 to the corporation if the nonprofit corporation
is approved under federal law to administer the National and Community Service Trust
Act. The commission may revoke a delegation of powers and duties at any time, and must
revoke the delegation if the corporation is no longer approved under federal law as the
administrator in the state of Minnesota for the National and Community Service Trust Act.

Minnesota Statutes 2007 Supplement, section 216C.052, subdivision 2, is
amended to read:

(a) The commissioner may select the administrator.
The administrator must have at least five years of experience working as a power systems
engineer or transmission planner, or in a position dealing with power system reliability
issues, and may not have been a party or a participant in a commission energy proceeding
for at least one year prior to selection by the commissioner. The commissioner shall
oversee and direct the work of the administrator, annually review the expenses of the
administrator, and annually approve the budget of the administrator. The administrator
may hire staff and may contract for technical expertise in performing duties when existing
state resources are required for other state responsibilities or when special expertise is
required. The salary of the administrator is governed by section 15A.0815deleted text begin , subdivision 2deleted text end .

(b) Costs relating to a specific proceeding, analysis, or project are not general
administrative costs. For purposes of this section, "energy utility" means public utilities,
generation and transmission cooperative electric associations, and municipal power
agencies providing natural gas or electric service in the state.

(1) the general administrative costs of the administrator, not to exceed $1,000,000
in a fiscal year, and shall assess energy utilities for those administrative costs. These
costs must be consistent with the budget approved by the commissioner under paragraph
(a). The department shall apportion the costs among all energy utilities in proportion to
their respective gross operating revenues from sales of gas or electric service within
the state during the last calendar year, and shall then render a bill to each utility on a
regular basis; and

(2) costs relating to a specific proceeding analysis or project and shall render a bill to
the specific energy utility or utilities participating in the proceeding, analysis, or project
directly, either at the conclusion of a particular proceeding, analysis, or project, or from
time to time during the course of the proceeding, analysis, or project.

(d) For purposes of administrative efficiency, the department shall assess energy
utilities and issue bills in accordance with the billing and assessment procedures provided
in section 216B.62, to the extent that these procedures do not conflict with this subdivision.
The amount of the bills rendered by the department under paragraph (c) must be paid by
the energy utility into an account in the special revenue fund in the state treasury within
30 days from the date of billing and is appropriated to the department for the purposes
provided in this section. The commission shall approve or approve as modified a rate
schedule providing for the automatic adjustment of charges to recover amounts paid by
utilities under this section. All amounts assessed under this section are in addition to
amounts appropriated to the commission and the department by other law.

Minnesota Statutes 2006, section 349A.02, subdivision 1, is amended to read:

A State Lottery is established under the supervision and
control of a director. The director of the State Lottery shall be appointed by the governor
with the advice and consent of the senate. The director serves in the unclassified service at
the pleasure of the governor. deleted text begin The annual salary rate authorized for the director is equal to
95 percent of the salary rate prescribed for the governor.
deleted text end

new text begin The amounts shown in this section summarize direct appropriations or reductions,
by fund made in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin -0- 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 750,000 new text end

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 135, or other law
to the specified 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 "2008" and "2009" used in this article mean that
the appropriations listed under them are available for the fiscal year ending June 30, 2008,
or June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is
fiscal year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the
fiscal year ending June 30, 2008, are effective the day following final enactment.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin Of the unexpended balance in the special
marketing account established pursuant to
Laws 2005, First Special Session chapter 1,
article 3, section 6, $500,000 is appropriated
for a onetime grant to the Minnesota Film
and TV Board for the filming of a movie in
Minnesota in 2008 and 2009. The grant is
in addition to any payments made for the
same purpose from the film production jobs
program under Minnesota Statutes, section
116U.26. This appropriation is available
until expended.
new text end

new text begin $
new text end

new text begin -0-
new text end

new text begin $
new text end

new text begin 750,000
new text end

new text begin $750,000 in the second year is a
onetime appropriation for the Minnesota
Sesquicentennial Commission. The
Minnesota Historical Society, the State Arts
Board, and Explore Minnesota Tourism
may assist the commission in designing
and implementing the grants program.
The commission shall encourage private
contributions to match the state funds to the
greatest extent possible. Any gifts, pledges,
membership fees, or contributions received
by the commission are appropriated to the
commission. The commission is encouraged
to solicit and select a state song for the state
of Minnesota.
new text end

Minnesota Statutes 2007 Supplement, section 3.922, is amended by adding a
subdivision to read:

new text begin (a) Notwithstanding section 13D.01, the
Indian Affairs Council may conduct a meeting of its members by telephone or other
electronic means so long as the following conditions are met:
new text end

new text begin (1) all members of the council participating in the meeting, wherever their physical
location, can hear one another and can hear all discussion and testimony;
new text end

new text begin (2) members of the public present at the regular meeting location of the council can
hear all discussion and all votes of members of the council and participate in testimony;
new text end

new text begin (3) at least one member of the council is physically present at the regular meeting
location; and
new text end

new text begin (4) all votes are conducted by roll call, so each member's vote on each issue can be
identified and recorded.
new text end

new text begin (b) Each member of the council participating in a meeting by telephone or other
electronic means is considered present at the meeting for purposes of determining a
quorum and participating in all proceedings.
new text end

new text begin (c) If telephone or another electronic means is used to conduct a meeting, the council,
to the extent practical, shall allow a person to monitor the meeting electronically from a
remote location. The council may require the person making such a connection to pay for
documented marginal costs that the council incurs as a result of the additional connection.
new text end

new text begin (d) If telephone or another electronic means is used to conduct a regular, special, or
emergency meeting, the council shall provide notice of the regular meeting location, of
the fact that some members may participate by electronic means, and of the provisions of
paragraph (c). The timing and method of providing notice is governed by section 13D.04.
new text end

Minnesota Statutes 2007 Supplement, section 10A.01, subdivision 35, is
amended to read:

"Public official" means any:

(1) member of the legislature;

(2) individual employed by the legislature as secretary of the senate, legislative
auditor, chief clerk of the house, revisor of statutes, or researcher, legislative analyst, or
attorney in the Office of Senate Counsel and Research or House Research;

(3) constitutional officer in the executive branch and the officer's chief administrative
deputy;

(4) solicitor general or deputy, assistant, or special assistant attorney general;

(5) commissioner, deputy commissioner, or assistant commissioner of any state
department or agency as listed in section 15.01 or 15.06, or the state chief information
officer;

(6) member, chief administrative officer, or deputy chief administrative officer of a
state board or commission that has either the power to adopt, amend, or repeal rules under
chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;

(7) individual employed in the executive branch who is authorized to adopt, amend,
or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;

(8) executive director of the State Board of Investment;

(9) deputy of any official listed in clauses (7) and (8);

(10) judge of the Workers' Compensation Court of Appeals;

(11) administrative law judge or compensation judge in the State Office of
Administrative Hearings or referee in the Department of Employment and Economic
Development;

(12) member, regional administrator, division director, general counsel, or operations
manager of the Metropolitan Council;

(13) member or chief administrator of a metropolitan agency;

(14) director of the Division of Alcohol and Gambling Enforcement in the
Department of Public Safety;

(15) member or executive director of the Higher Education Facilities Authority;

(16) member of the board of directors or president of Minnesota Technology, Inc.;

(17) member of the board of directors or executive director of the Minnesota State
High School League;

(18) member of the Minnesota Ballpark Authority established in section 473.755;

(19) citizen member of the Legislative-Citizen Commission on Minnesota Resources;

(20) manager of a watershed district, or member of a watershed management
organization as defined under section 103B.205, subdivision 13; deleted text begin or
deleted text end

(21) supervisor of a soil and water conservation districtnew text begin ; or
new text end

new text begin (22) director of Explore Minnesota Tourismnew text end .

Minnesota Statutes 2006, section 116U.26, is amended to read:

(a) The film production jobs program is created. The program shall be operated
by the Minnesota Film and TV Board with administrative oversight and control by the
director of Explore Minnesota Tourism. The program shall make payment to producers of
feature films, national television programs, documentaries, music videos, and commercials
that directly create new film jobs in Minnesota. To be eligible for a payment, a producer
must submit documentation to the Minnesota Film and TV Board of expenditures for
production costs incurred in Minnesota that are directly attributable to the production
in Minnesota of a film product.

The Minnesota Film and TV Board shall make recommendations to the director of
Explore Minnesota Tourism about program payment, but the director has the authority to
make the final determination on payments. The director's determination must be based
on proper documentation of eligible production costs submitted for payments. No more
than five percent of the funds appropriated for the program in any year may be expended
for administration.

(b) For the purposes of this section:

(1) "production costs" means the cost of the following:

(i) a story and scenario to be used for a film;

(ii) salaries of talent, management, and labor, including payments to personal
services corporations for the services of a performing artist;

(iii) set construction and operations, wardrobe, accessories, and related services;

(iv) photography, sound synchronization, lighting, and related services;

(v) editing and related services;

(vi) rental of facilities and equipment; or

(vii) other direct costs of producing the film in accordance with generally accepted
entertainment industry practice; and

(2) "film" means a movie, television show, documentary, music video, or television
commercial, whether on film or video. Film does not include news, current events, public
programming, or a program that includes weather or market reports; a talk show; a
production with respect to a questionnaire or contest; a sports event or sports activity; a
gala presentation or awards show; a finished production that solicits funds; or a production
for which the production company is required under United States Code, title 18, section
2257, to maintain records with respect to a performer portrayed in a single-media or
multimedia program.

new text begin (c) Notwithstanding any other law to the contrary, the Minnesota Film and TV Board
may make reimbursements of up to 20 percent of film production costs for films that incur
production costs in excess of $5,000,000 in Minnesota within a 12-month period.
new text end

new text begin This section is effective for films that begin filming on or
after the day following final enactment.
new text end

new text begin Explore Minnesota Tourism shall conduct a study of vacation rental lodging in
Minnesota and report to the legislature any recommendations needed to protect consumers,
ensure tax compliance, promote safe rentals, and promote tourism in Minnesota.
new text end

new text begin Explore Minnesota Tourism shall consult with the Minnesota Department of
Revenue, Minnesota Department of Health, political subdivisions, and representatives of
the tourism industry including resorts, bed and breakfast establishments, cabin owner
associations, convention and visitor bureaus, and others to determine and recommend
regulations or legislation to define and promote the vacation rental lodging.
new text end

new text begin Explore Minnesota Tourism shall report by January 15, 2009, to the chairs
of the house of representatives and senate committees with jurisdiction over any
recommendations developed from the study, including any proposed legislation.
new text end

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

Minnesota Statutes 2006, section 462A.22, subdivision 1, is amended to
read:

The aggregate principal amount of bonds and notes
which are outstanding at any time, excluding the principal amount of any bonds and
notes refunded by the issuance of new bonds or notes, shall not exceed the sum of
deleted text begin $3,000,000,000deleted text end new text begin $5,000,000,000new text end .

new text begin The amounts shown in this section summarize direct appropriations by fund made
in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end		new text begin $ new text end	new text begin (1,650,000) new text end	new text begin $ new text end	new text begin (1,650,000) new text end
new text begin State Government Special new text end
new text begin Revenue new text end		new text begin 114,000 new text end		new text begin 932,000 new text end		new text begin 1,046,000 new text end
new text begin Total new text end	new text begin $ new text end	new text begin 114,000 new text end	new text begin $ new text end	new text begin (718,000) new text end	new text begin $ new text end	new text begin (604,000) new text end

new text begin The sums shown in the columns marked "Appropriations" are added to or, if shown
in parentheses, subtracted from the appropriations in Laws 2007, chapter 147, or other
law 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 "2008" and "2009" used in this article mean
that the addition or subtraction from appropriations listed under them are available for
the fiscal year ending June 30, 2008, or June 30, 2009, respectively. "The first year" is
fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" is fiscal years
2008 and 2009. Supplemental appropriations and reductions for the fiscal year ending
June 30, 2008, are effective the day following final enactment.
new text end

new text begin $
new text end

new text begin (918,000)
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end		new text begin (1,650,000) new text end
new text begin State Government Special Revenue new text end		new text begin 732,000 new text end

732,000

new text begin Base Adjustment. The state government
special revenue fund base is increased $
732,000 in fiscal year 2009 and $ 821,000 in
fiscal years 2010 and 2011.
new text end

(1,650,000)

new text begin Base Adjustment. new text end new text begin The general fund base is
reduced $1,650,000 in fiscal year 2009 and
$1,581,000 in fiscal years 2010 and 2011.
new text end

new text begin Operating Budget. new text end new text begin The Department of
Health must implement this reduction in
a manner that does not result in the loss
of federal funds. All budget reductions
must be made with an emphasis on cutting
administrative and overhead expenses,
including, but not limited to, outstate travel,
instate travel, compensation, and supplies
with as little impact as possible on programs
and services.
new text end

State Government Special
Revenue

114,000

200,000

State Government Special Revenue

100,000

200,000

new text begin Administrative Services Unit. new text end new text begin The amounts
appropriated are for the administrative
services unit to pay for costs of contested
case hearings and other unanticipated costs
of legal proceedings involving health-related
boards funded under Laws 2007, chapter
147, article 19, section 6. Upon certification
of a health-related board to the administrative
services unit that such costs will be
incurred and that there are insufficient
funds available to pay for such costs out of
funds currently available to that board, the
administrative services unit is authorized
to transfer funds from this appropriation
to the board for payment of those costs
with the approval of the commissioner of
finance. This appropriation shall not cancel.
Any unencumbered and unspent balances
remain available for these expenditures in
subsequent fiscal years.
new text end

State Government Special Revenue

14,000

new text begin (a) The commissioner of health shall establish a voluntary statewide roster, and
develop a plan for a registry and certification process for interpreters who provide
high quality, spoken language health care interpreter services. The roster, registry, and
certification process shall be based on the findings and recommendations set forth by the
Interpreter Services Work Group required under Laws 2007, chapter 147, article 12,
section 13. By January 1, 2009, the commissioner shall do the following:
new text end

new text begin (1) establish a roster of all available interpreters to address access concerns,
particularly in rural areas;
new text end

new text begin (2) develop a plan for a registry of spoken language health care interpreters,
including:
new text end

new text begin (i) development of standards for registration that set forth educational requirements,
training requirements, demonstration of language proficiency and interpreting skills,
agreement to abide by a code of ethics, and a criminal background check;
new text end

new text begin (ii) recommendations for appropriate alternate requirements in languages for which
testing and training programs do not exist;
new text end

new text begin (iii) recommendations for appropriate fees; and
new text end

new text begin (iv) recommendations for establishing and maintaining the standards for inclusion
in the registry; and
new text end

new text begin (3) develop a plan for implementing a certification process based on national
testing and certification processes for spoken language interpreters 12 months after the
establishment of a national certification process.
new text end

new text begin (b) The commissioner shall consult with the Interpreter Stakeholder Group of the
Upper Midwest Translators and Interpreters Association for advice on the standards
required to plan for the development of a registry and certification process.
new text end

new text begin (c) The commissioner shall charge an annual fee of $50 to include an interpreter in
the roster.
new text end

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

Minnesota Statutes 2006, section 144.1222, subdivision 1a, is amended to read:

All plans and specifications for public swimming pool and spa
construction, installation, or alteration or requests for a variance that are submitted to the
commissioner according to Minnesota Rules, part 4717.3975, shall be accompanied by the
appropriate fees.new text begin All public pool construction plans submitted for review after January 1,
2009, must be certified by a professional engineer registered in the state of Minnesota.new text end
If the commissioner determines, upon review of the plans, that inadequate fees were
paid, the necessary additional fees shall be paid before plan approval. For purposes of
determining fees, a project is defined as a proposal to construct or install a public pool,
spa, special purpose pool, or wading pool and all associated water treatment equipment
and drains, gutters, decks, water recreation features, spray pads, and those design and
safety features that are within five feet of any pool or spa. The commissioner shall charge
the following fees for plan review and inspection of public pools and spas and for requests
for variance from the public pool and spa rules:

(1) each deleted text begin spadeleted text end pool, deleted text begin $500deleted text end new text begin $800new text end ;

(2) deleted text begin projects valued at $250,000 or less, a minimum of $800 per pool plus:deleted text end new text begin each
spa pool, $500;
new text end

deleted text begin (i)deleted text end new text begin (3)new text end deleted text begin fordeleted text end each slide, deleted text begin an additionaldeleted text end $400; deleted text begin and
deleted text end

deleted text begin (ii) for each spa pool, an additional $500;
deleted text end

deleted text begin (3)deleted text end new text begin (4)new text end projects valued at $250,000 or more,new text begin the greater of the sum of the fees in
clauses (1), (2), and (3) ornew text end 0.5 percent of new text begin the new text end documented estimated project cost to a
maximum fee of $10,000;

deleted text begin (4)deleted text end new text begin (5)new text end alterations to an existing pool without changing the size or configuration
of the pool, $400;

deleted text begin (5)deleted text end new text begin (6)new text end removal or replacement of pool disinfection equipment only, $75; and

deleted text begin (6)deleted text end new text begin (7)new text end request for variance from the public pool and spa rules, $500.

Minnesota Statutes 2006, section 144.1222, is amended by adding a subdivision
to read:

new text begin For all public pools constructed after January
1, 2009, without a gravity outlet or drain, each pump must be connected to at least two
suction outlets, connected in parallel with suction outlet covers that meet ASME/ANSI
standards.
new text end

Minnesota Statutes 2006, section 144.1222, is amended by adding a subdivision
to read:

new text begin (a) Beginning January 1, 2010, all
public pools with the deepest water being less than four feet deep must have either:
new text end

new text begin (1) an unblockable suction outlet or drain;
new text end

new text begin (2) at least two suction outlets, connected in parallel with suction outlet covers that
meet ASME/ANSI standards; or
new text end

new text begin (3) a gravity outlet or drain.
new text end

new text begin (b) Beginning January 1, 2011, all other existing public pools must have either:
new text end

new text begin (1) an unblockable suction outlet or drain;
new text end

new text begin (2) at least two suction outlets, connected in parallel with suction outlet covers that
meet ASME/ANSI standards; or
new text end

new text begin (3) a gravity outlet or drain.
new text end

new text begin (c) By June 1, 2008, all drain covers and grates must be installed with screws that
meet the manufacturer's specifications.
new text end

new text begin (d) By July 1, 2008, and annually thereafter, all public pool owners must certify to
the commissioner on a form prescribed by the commissioner that:
new text end

new text begin (1) all outlets except for unblockable drains and gravity drains are equipped with
covers that have been stamped by the manufacturer that they are in compliance with
ASME/ANSI standards; and
new text end

new text begin (2) all covers and grates, including mounting rings, have been inspected to ensure
that they have been properly installed and are not broken or loose.
new text end

Minnesota Statutes 2006, section 144.1222, is amended by adding a subdivision
to read:

new text begin (a) The pool operator is required to conduct a
physical inspection of the drain covers and grates on a daily basis. The record required
under Minnesota Rules, part 4717.0750, must indicate that this inspection was completed
every day the pool is open for use.
new text end

new text begin (b) If at any time an outlet cover or grate is missing, broken, or loose, the pool must
be closed immediately. The pool may not open until the missing or broken cover or grate
has been replaced according to the manufacturer's specifications, or the loose cover or
grate has been reattached according to the manufacturer's specifications.
new text end

Minnesota Statutes 2006, section 144.1222, is amended by adding a
subdivision to read:

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

new text begin (b) "ASME/ANSI standard" means a safety standard accredited by the American
National Standards Institute and published by the American Society of Mechanical
Engineers.
new text end

new text begin (c) "ASTM standard" means a safety standard issued by ASTM International,
formerly known as the American Society for Testing and Materials.
new text end

new text begin (d) "Public pool" means any pool other than a private residential pool, that is open to
the public generally, whether for a fee or free of charge; open exclusively to members of
an organization and their guests; residents of a multiunit apartment building, apartment
complex, residential real estate development, or other multifamily residential area; or
patrons of a hotel or lodging or other public accommodation facility; or operated by
a person in a park, school, licensed child care facility, group home, motel, camp, resort,
club, condominium, manufactured home park, or political subdivision with the exception
of swimming pools at family day care homes licensed under section 245A.14, subdivision
11, paragraph (a).
new text end

new text begin (e) "Unblockable suction outlet or drain" means a drain of any size and shape that a
human body cannot sufficiently block to create a suction entrapment hazard and meets
ASME/ANSI standards.
new text end

Minnesota Statutes 2006, section 144.1222, is amended by adding a
subdivision to read:

new text begin (a) A public swimming pond in existence
before January 1, 2008, as defined in paragraph (b) is not a public pool for purposes of this
section and section 157.16, and is exempt from the requirements for public swimming
pools under Minnesota Rules, part 4717.
new text end

new text begin (b) For purposes of this subdivision, a public swimming pond means an artificial
body of water contained within a lined, sand-bottom basin, meant for public swimming,
relaxation, or recreational use that includes a water recirculation system for maintaining
water quality and does not include any portion of a naturally occurring lake or stream.
new text end

new text begin (c) Notwithstanding paragraph (a), a public swimming pond must meet the
requirements for public pools described in subdivisions 1d and 1e.
new text end

new text begin (d) This subdivision expires June 30, 2011.
new text end

Minnesota Statutes 2007 Supplement, section 144.4167, is amended by adding
a subdivision to read:

new text begin Sections 144.411 to 144.417 do not prohibit smoking
in a structure located outside of an establishment that provides shelter for persons smoking
outdoors. Employees of an establishment with a smoking shelter may not serve food or
beverages to persons in the smoking shelter.
new text end

Minnesota Statutes 2006, section 157.16, as amended by Laws 2007, chapter
147, article 9, section 34, is amended to read:

A license is required annually for
every person, firm, or corporation engaged in the business of conducting a food and
beverage service establishment, hotel, motel, lodging establishment, new text begin public pool, new text end or
resort. Any person wishing to operate a place of business licensed in this section shall
first make application, pay the required fee specified in this section, and receive approval
for operation, including plan review approval. Seasonal and temporary food stands and
special event food stands are not required to submit plans. Nonprofit organizations
operating a special event food stand with multiple locations at an annual one-day event
shall be issued only one license. Application shall be made on forms provided by the
commissioner and shall require the applicant to state the full name and address of the
owner of the building, structure, or enclosure, the lessee and manager of the food and
beverage service establishment, hotel, motel, lodging establishment, new text begin public pool, new text end or resort;
the name under which the business is to be conducted; and any other information as may
be required by the commissioner to complete the application for license.

Initial and renewal licenses for all food and beverage
service establishments, hotels, motels, lodging establishments,new text begin public pools,new text end and resorts
shall be issued for the calendar year for which application is made and shall expire
on December 31 of such year. Any person who operates a place of business after the
expiration date of a license or without having submitted an application and paid the fee
shall be deemed to have violated the provisions of this chapter and shall be subject to
enforcement action, as provided in the Health Enforcement Consolidation Act, sections
144.989 to 144.993. In addition, a penalty of $50 shall be added to the total of the license
fee for any food and beverage service establishment operating without a license as a
mobile food unit, a seasonal temporary or seasonal permanent food stand, or a special
event food stand, and a penalty of $100 shall be added to the total of the license fee for all
restaurants, food carts, hotels, motels, lodging establishments,new text begin public pools,new text end and resorts
operating without a license for a period of up to 30 days. A late fee of $300 shall be added
to the license fee for establishments operating more than 30 days without a license.

An applicant for certification or certification
renewal as a food manager must submit to the commissioner a $28 nonrefundable
certification fee payable to the Department of Health.

(a) The following fees are required for
food and beverage service establishments, hotels, motels, lodging establishments,new text begin public
pools,new text end and resorts licensed under this chapter. Food and beverage service establishments
must pay the highest applicable fee under paragraph (d), clause (1), (2), (3), or (4), and
establishments serving alcohol must pay the highest applicable fee under paragraph (d),
clause (6) or (7). The license fee for new operators previously licensed under this chapter
for the same calendar year is one-half of the appropriate annual license fee, plus any
penalty that may be required. The license fee for operators opening on or after October 1
is one-half of the appropriate annual license fee, plus any penalty that may be required.

(b) All food and beverage service establishments, except special event food stands,
and all hotels, motels, lodging establishments,new text begin public pools,new text end and resorts shall pay an
annual base fee of $150.

(c) A special event food stand shall pay a flat fee of $40 annually. "Special event
food stand" means a fee category where food is prepared or served in conjunction with
celebrations, county fairs, or special events from a special event food stand as defined
in section 157.15.

(d) In addition to the base fee in paragraph (b), each food and beverage service
establishment, other than a special event food stand, and each hotel, motel, lodging
establishment,new text begin public pool,new text end and resort shall pay an additional annual fee for each fee
category, additional food service, or required additional inspection specified in this
paragraph:

(1) Limited food menu selection, $50. "Limited food menu selection" means a fee
category that provides one or more of the following:

(i) prepackaged food that receives heat treatment and is served in the package;

(ii) frozen pizza that is heated and served;

(iii) a continental breakfast such as rolls, coffee, juice, milk, and cold cereal;

(iv) soft drinks, coffee, or nonalcoholic beverages; or

(v) cleaning for eating, drinking, or cooking utensils, when the only food served
is prepared off site.

(2) Small establishment, including boarding establishments, $100. "Small
establishment" means a fee category that has no salad bar and meets one or more of
the following:

(i) possesses food service equipment that consists of no more than a deep fat fryer, a
grill, two hot holding containers, and one or more microwave ovens;

(ii) serves dipped ice cream or soft serve frozen desserts;

(iii) serves breakfast in an owner-occupied bed and breakfast establishment;

(iv) is a boarding establishment; or

(v) meets the equipment criteria in clause (3), item (i) or (ii), and has a maximum
patron seating capacity of not more than 50.

(3) Medium establishment, $260. "Medium establishment" means a fee category
that meets one or more of the following:

(i) possesses food service equipment that includes a range, oven, steam table, salad
bar, or salad preparation area;

(ii) possesses food service equipment that includes more than one deep fat fryer,
one grill, or two hot holding containers; or

(iii) is an establishment where food is prepared at one location and served at one or
more separate locations.

Establishments meeting criteria in clause (2), item (v), are not included in this fee
category.

(4) Large establishment, $460. "Large establishment" means either:

(i) a fee category that (A) meets the criteria in clause (3), items (i) or (ii), for a
medium establishment, (B) seats more than 175 people, and (C) offers the full menu
selection an average of five or more days a week during the weeks of operation; or

(ii) a fee category that (A) meets the criteria in clause (3), item (iii), for a medium
establishment, and (B) prepares and serves 500 or more meals per day.

(5) Other food and beverage service, including food carts, mobile food units,
seasonal temporary food stands, and seasonal permanent food stands, $50.

(6) Beer or wine table service, $50. "Beer or wine table service" means a fee
category where the only alcoholic beverage service is beer or wine, served to customers
seated at tables.

(7) Alcoholic beverage service, other than beer or wine table service, $135.

"Alcohol beverage service, other than beer or wine table service" means a fee
category where alcoholic mixed drinks are served or where beer or wine are served from
a bar.

(8) Lodging per sleeping accommodation unit, $8, including hotels, motels,
lodging establishments, and resorts, up to a maximum of $800. "Lodging per sleeping
accommodation unit" means a fee category including the number of guest rooms, cottages,
or other rental units of a hotel, motel, lodging establishment, or resort; or the number of
beds in a dormitory.

(9) First public swimming pool, $180; each additional public swimming pool, $100.
"Public deleted text begin swimmingdeleted text end pool" means a fee category that has the meaning given in deleted text begin Minnesota
Rules, part 4717.0250, subpart 8deleted text end new text begin section 144.1222, subdivision 4new text end .

(10) First spa, $110; each additional spa, $50. "Spa pool" means a fee category that
has the meaning given in Minnesota Rules, part 4717.0250, subpart 9.

(11) Private sewer or water, $50. "Individual private water" means a fee category
with a water supply other than a community public water supply as defined in Minnesota
Rules, chapter 4720. "Individual private sewer" means a fee category with an individual
sewage treatment system which uses subsurface treatment and disposal.

(12) Additional food service, $130. "Additional food service" means a location at
a food service establishment, other than the primary food preparation and service area,
used to prepare or serve food to the public.

(13) Additional inspection fee, $300. "Additional inspection fee" means a fee to
conduct the second inspection each year for elementary and secondary education facility
school lunch programs when required by the Richard B. Russell National School Lunch
Act.

(e) A fee of $350 for review of the construction plans must accompany the initial
license application for restaurants, hotels, motels, lodging establishments, or resorts with
five or more sleeping units.

(f) When existing food and beverage service establishments, hotels, motels, lodging
establishments, or resorts are extensively remodeled, a fee of $250 must be submitted
with the remodeling plans. A fee of $250 must be submitted for new construction or
remodeling for a restaurant with a limited food menu selection, a seasonal permanent
food stand, a mobile food unit, or a food cart, or for a hotel, motel, resort, or lodging
establishment addition of less than five sleeping units.

(g) Seasonal temporary food stands and special event food stands are not required to
submit construction or remodeling plans for review.

Every person, firm, or corporation that
operates a licensed boarding establishment, food and beverage service establishment,
seasonal temporary or permanent food stand, special event food stand, mobile food unit,
food cart, resort, hotel, motel, or lodging establishment in Minnesota must submit to the
commissioner a $35 annual statewide hospitality fee for each licensed activity. The fee
for establishments licensed by the Department of Health is required at the same time the
licensure fee is due. For establishments licensed by local governments, the fee is due by
July 1 of each year.

Every food and beverage service establishment,
hotel, motel, lodging establishment,new text begin public pool,new text end or resort must have the license posted in
a conspicuous place at the establishment.

new text begin For the purposes of sections 325F.172 to 325F.175, the following terms have the
meanings given them.
new text end

new text begin (a) "BBP" means benzyl butyl phthalate, CAS # 85-68-7.
new text end

new text begin (b) "Child" means a person under three years of age.
new text end

new text begin (c) "Children's product" means a product, other than a food or beverage product
contained in a can, except in those used for infant formulas, designed or intended by a
manufacturer to be used by a child:
new text end

new text begin (1) as a toy or an article of clothing;
new text end

new text begin (2) to facilitate sleep, relaxation, or feeding; or
new text end

new text begin (3) to be rubbed, poured, sprinkled, sprayed on, introduced into, or otherwise
applied to the human body or any part thereof, including any article used as a component
of such a product.
new text end

new text begin (d) "DBP" means di-n-butyl phthalate, CAS # 84-74-2.
new text end

new text begin (e) "DEHP" means di (2-ethylhexyl) phthalate, CAS # 117-81-7.
new text end

new text begin (f) "DIDP" means di-isodecyl phthalate, CAS # 26761-40-0.
new text end

new text begin (g) "DINP" means di-iso-nonyl phthalate, CAS # 71549-78-5.
new text end

new text begin (h) "DNOP" means di-n-octyl phthalate, CAS # 117-84-6.
new text end

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

new text begin Beginning January 1, 2009, no manufacturer may sell or offer for initial sale at retail
in this state a children's product that contains bisphenol-A. For purposes of this section,
"bisphenol-A" means an estrogen-mimicking endocrine disrupting chemical used in the
production of epoxy resins and polycarbonate plastics.
new text end

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

new text begin (a) Beginning January 1, 2009, no manufacturer may sell or offer for initial sale at
retail in this state a children's product that contains one of the following phthalates: DEHP,
DBP, or BBP, in concentrations exceeding 0.1 percent, including plastic tubing used to
deliver a solution intravenously to a child under three years of age.
new text end

new text begin (b) Beginning January 1, 2009, no manufacturer may sell or offer for initial sale at
retail in this state any children's product that can be placed in a child's mouth and contains
one of the following phthalates: DINP, DIDP, or DNOP, in concentrations exceeding
0.1 percent.
new text end

new text begin (c) For purposes of this section, "phthalates" means a class of chemicals used to
provide flexibility to polyvinyl chloride (PVC) plastic.
new text end

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

new text begin A manufacturer shall not replace bisphenol-A or phthalates as a result of the
prohibitions in section 325F.173 or 325F.174 with a chemical that is:
new text end

new text begin (1) classified as "known to be a human carcinogen" or "reasonably anticipated to be
a human carcinogen" in the most recent Report on Carcinogens published by the National
Toxicology Program in the United States Department of Health and Human Services; or
new text end

new text begin (2) identified by the federal Environmental Protection Agency as causing birth
defects or reproductive or environmental harm.
new text end

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

new text begin The Pollution Control Agency may participate in the establishment and
implementation of a multistate clearinghouse to identify children's products containing
bisphenol-A and phthalates and to evaluate safer alternatives that may be substituted
for those chemicals.
new text end

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

new text begin The positions held by the most recently hired deputy commissioner of health and the
most recently hired assistant commissioner of health are abolished.
new text end

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

new text begin The revisor of statutes shall change the public pool definition in Minnesota Rules,
part 4717.0250, subpart 8, with the following language: "public pool" means any pool,
other than a residential pool, that is open to the public generally, whether for a fee or free
of charge; open exclusively to members of an organization and their guests; residents of
a multiunit apartment building, apartment complex, residential real estate development,
or other multifamily residential area; or patrons of a hotel or lodging or other public
accommodation facility; or operated by a person in a park, school, licensed child care
facility, group home, motel, camp, resort, club, condominium, manufactured home park,
or political subdivision with the exception of swimming pools at family day care homes
licensed under Minnesota Statutes, section 245A.14, subdivision 11, paragraph (a).
new text end

new text begin The following provisions apply to any section
in this act relating to sex-selection abortion:
new text end

new text begin (1) none of the funds appropriated under this act, nor in any trust fund to which
funds are appropriated under this act, shall be expended for any sex-selection abortion;
new text end

new text begin (2) none of the funds appropriated under this act, nor in any trust fund to which
funds are appropriated under this act, shall be expended for health benefits coverage that
includes coverage of sex-selection abortion; and
new text end

new text begin (3) the term "health benefits coverage" means the package of services covered by a
managed care provider or organization pursuant to a contract or other arrangement.
new text end

new text begin If any one or more provisions, subdivisions, paragraphs,
sentences, clauses, phrases, or words of this section or the application thereof to any
person or circumstance is found to be unconstitutional, the same is hereby declared to be
severable and the balance of this section shall remain effective notwithstanding such
unconstitutionality. The legislature hereby declares that it would have passed this section,
and each provision, subdivision, paragraph, sentence, clause, phrase, or word thereof,
irrespective of the fact that any one or more provision, subdivision, paragraph, sentence,
clause, phrase, or word be declared unconstitutional.
new text end

new text begin The Minnesota Supreme Court has original
jurisdiction over an action challenging the constitutionality of this section and shall
expedite the resolution of the action.
new text end

Minnesota Statutes 2006, section 13.465, subdivision 8, is amended to read:

Various adoption records are classified under section
259.53, subdivision 1. Access to the original birth record of a person who has been
adopted is governed by section deleted text begin 259.89deleted text end new text begin 144.2253new text end .

Minnesota Statutes 2006, section 144.218, subdivision 1, is amended to read:

new text begin (a) new text end Upon receipt of a certified copy of an order, decree,
or certificate of adoption, the state registrar shall register a replacement vital record in
the new name of the adopted person.new text begin Except as provided in paragraph (b),new text end the original
record of birth is deleted text begin confidential pursuant todeleted text end new text begin private data on individuals as defined innew text end section
13.02, subdivision deleted text begin 3deleted text end new text begin 12new text end , and shall not be disclosed except pursuant to court order or
section 144.2252new text begin or 144.2253new text end .

new text begin (b) new text end The information contained on the original birth record, except for the registration
number, shall be provided on request tonew text begin : (1)new text end a parent who is named on the original birth
recordnew text begin ; or (2) the adopted person who is subject of the record if the person is at least 19
years of age, unless there is an affidavit of nondisclosure on file with the state registrarnew text end .
Upon the receipt of a certified copy of a court order of annulment of adoption the state
registrar shall restore the original vital record to its original place in the file.

Minnesota Statutes 2006, section 144.225, subdivision 2, is amended to read:

(a) Except as otherwise provided in this subdivision,
data pertaining to the birth of a child to a woman who was not married to the child's father
when the child was conceived nor when the child was born, including the original record
of birth and the certified vital record, are confidential data. At the time of the birth of a
child to a woman who was not married to the child's father when the child was conceived
nor when the child was born, the mother may designate demographic data pertaining to
the birth as public. Notwithstanding the designation of the data as confidential, it may
be disclosed:

(1) to a parent or guardian of the child;

(2) to the child when the child is 16 years of age or older;

(3) under paragraph (b) or (e); or

(4) pursuant to a court order. For purposes of this section, a subpoena does not
constitute a court order.

(b) Unless the child is adopted, data pertaining to the birth of a child that are not
accessible to the public become public data if 100 years have elapsed since the birth of
the child who is the subject of the data, or as provided under section 13.10, whichever
occurs first.

(c) If a child is adopted, data pertaining to the child's birth are governed by the
provisions relating to adoption records, including sections 13.10, subdivision 5; 144.218,
subdivision 1; 144.2252;new text begin 144.2253;new text end and 259.89.

(d) The name and address of a mother under paragraph (a) and the child's date of
birth may be disclosed to the county social services or public health member of a family
services collaborative for purposes of providing services under section 124D.23.

(e) The commissioner of human services shall have access to birth records for:

(1) the purposes of administering medical assistance, general assistance medical
care, and the MinnesotaCare program;

(2) child support enforcement purposes; and

(3) other public health purposes as determined by the commissioner of health.

Minnesota Statutes 2006, section 144.2252, is amended to read:

(a) Whenever an adopted person requests the state registrar to disclose the
information on the adopted person's original birth record, the state registrar shall act
according to section deleted text begin 259.89deleted text end new text begin 144.2253new text end .

(b) The state registrar shall provide a transcript of an adopted person's original birth
record to an authorized representative of a federally recognized American Indian tribe
for the sole purpose of determining the adopted person's eligibility for enrollment or
membership. Information contained in the birth record may not be used to provide the
adopted person information about the person's birth parents, except as provided in this
section or section new text begin 144.2253new text end .

new text begin The department shall prepare affidavit of disclosure and
nondisclosure forms under which a birth parent may agree to or object to the release of the
original birth record to the adopted person. The department shall make the forms readily
accessible to birth parents on the department's Web site.
new text end

new text begin Upon request, the state registrar shall provide a noncertified
copy of the original birth record to an adopted person age 19 or older unless there is an
affidavit of nondisclosure on file. The state registrar must comply with the terms of the
affidavits of disclosure or affidavits of nondisclosure.
new text end

new text begin A birth parent may rescind an affidavit of disclosure
or an affidavit of nondisclosure at any time.
new text end

new text begin (a) If an affidavit
of nondisclosure is on file with the state registrar, an adopted person age 19 or older
may petition the appropriate court for disclosure of the original birth record according to
section 259.61. The court shall grant the petition, if, after consideration of the interests
of all known persons affected by the petition, the court determines that the benefits of
disclosure of the information are greater than the benefits of nondisclosure.
new text end

new text begin (b) An adopted person age 19 or older may request the state registrar to search the
state death records to determine if the birth parent is deceased. The state registrar may
impose a fee for the record search. If the birth parent is deceased, a noncertified copy of
the original birth record must be released only to the adopted person making the request.
new text end

new text begin (a) The department shall, in consultation with
adoption agencies and adoption advocates, provide information and educational materials
to adopted persons and birth parents about the changes in the law affecting accessibility
to birth records. For purposes of this subdivision, an adoption advocate is a nonprofit
organization that works with adoption issues in Minnesota.
new text end

new text begin (b) The department shall provide notice on the department Web site about the
change in the law under this article, and will direct individuals to private agencies and
advocates for postadoption resources.
new text end

Minnesota Statutes 2006, section 144.226, subdivision 1, is amended to read:

The fees for the following services shall
be the following or an amount prescribed by rule of the commissioner:

(a) The fee for the issuance of a certified vital record or a certification that the vital
record cannot be found is $9. No fee shall be charged for a certified birth, stillbirth, or
death record that is reissued within one year of the original issue, if an amendment is
made to the vital record and if the previously issued vital record is surrendered. The
fee is nonrefundable.

(b) The fee for processing a request for the replacement of a birth record for
all events, except when filing a recognition of parentage pursuant to section 257.73,
subdivision 1, is $40. The fee is payable at the time of application and is nonrefundable.

(c) The fee for processing a request for the filing of a delayed registration of
birth, stillbirth, or death is $40. The fee is payable at the time of application and is
nonrefundable. This fee includes one subsequent review of the request if the request
is not acceptable upon the initial receipt.

(d) The fee for processing a request for the amendment of any vital record when
requested more than 45 days after the filing of the vital record is $40. No fee shall be
charged for an amendment requested within 45 days after the filing of the vital record.
The fee is payable at the time of application and is nonrefundable. This fee includes one
subsequent review of the request if the request is not acceptable upon the initial receipt.

(e) The fee for processing a request for the verification of information from vital
records is $9 when the applicant furnishes the specific information to locate the vital
record. When the applicant does not furnish specific information, the fee is $20 per hour
for staff time expended. Specific information includes the correct date of the event and
the correct name of the registrant. Fees charged shall approximate the costs incurred in
searching and copying the vital records. The fee is payable at the time of application
and is nonrefundable.

(f) The fee for processing a request for the issuance of a copy of any document on
file pertaining to a vital record or statement that a related document cannot be found is $9.
The fee is payable at the time of application and is nonrefundable.

new text begin (g) The department shall charge a fee of $18 for noncertified copies of birth records
provided to adopted persons age 19 or older. The fee shall cover the costs of providing
the birth record and any costs associated with the distribution of information to adopted
persons and birth parents in subdivision 5.
new text end

Minnesota Statutes 2006, section 259.89, subdivision 1, is amended to read:

An adopted person who is 19 years of age or over may
request the commissioner of health to disclose the information on the adopted person's
original birth record. deleted text begin The commissioner of health shall, within five days of receipt of
the request, notify the commissioner of human services in writing of the request by the
adopted person.
deleted text end

Minnesota Statutes 2006, section 260C.317, subdivision 4, is amended to read:

Upon entry of an order terminating the
parental rights of any person who is identified as a parent on the original birth record of
the child as to whom the parental rights are terminated, the court shall cause written
notice to be made to that person setting forth:

(1) the right of the person to file at any time with the state registrar of vital statistics
a consent to disclosure, as defined in section 144.212, subdivision 11;

(2) the right of the person to file at any time with the state registrar of vital statistics
an affidavit stating that the information on the original birth record shall not be disclosed
as provided in section deleted text begin 144.2252deleted text end new text begin 144.2253new text end ; and

(3) the effect of a failure to file either a consent to disclosure, as defined in section
144.212, subdivision 11, or an affidavit stating that the information on the original birth
record shall not be disclosed.

new text begin Adoption agencies may charge a fee for counseling and support services provided to
adopted persons and birth parents.
new text end

new text begin Minnesota Statutes 2006, sections 259.83, subdivision 3; and 259.89, subdivisions 2,
3, 4, and 5, new text end new text begin are repealed.
new text end

new text begin This article is effective July 1, 2009.
new text end

new text begin The amounts shown in this section summarize direct appropriations by fund made
in this article.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end		new text begin $ new text end	new text begin 1,237,000 new text end	new text begin $ new text end	new text begin 1,237,000 new text end
new text begin Total new text end	new text begin $ new text end		new text begin $ new text end	new text begin 1,237,000 new text end	new text begin $ new text end	new text begin 1,237,000 new text end

619,000

new text begin $619,000 is appropriated in fiscal year 2009
from the general fund to the commissioner of
human services for foodshelf programs under
Minnesota Statutes, section 256E.34. This
is a onetime appropriation and is available
until expended.
new text end

618,000

new text begin $618,000 is appropriated from the general
fund to the commissioner of human services
in fiscal year 2009 for the long-term homeless
supportive services fund under Minnesota
Statutes, section 256K.26. This is a onetime
appropriation and is available until expended.
new text end

Laws 2007, chapter 147, article 19, section 3, subdivision 4, is amended to read:

The amounts that may be spent from this
appropriation for each purpose are as follows:

(a) MFIP/DWP Grants

Appropriations by Fund
General	62,069,000	62,405,000
Federal TANF	75,904,000	80,841,000

(b) Support Services Grants

Appropriations by Fund
General	8,715,000	8,715,000
Federal TANF	113,429,000	115,902,000

TANF Prior Appropriation Cancellation.
Notwithstanding Laws 2001, First Special
Session chapter 9, article 17, section
2, subdivision 11, paragraph (b), any
unexpended TANF funds appropriated to the
commissioner to contract with the Board of
Trustees of Minnesota State Colleges and
Universities, to provide tuition waivers to
employees of health care and human service
providers that are members of qualifying
consortia operating under Minnesota
Statutes, sections 116L.10 to 116L.15, must
cancel at the end of fiscal year 2007.

MFIP Pilot Program. Of the TANF
appropriation, $100,000 in fiscal year 2008
and $750,000 in fiscal year 2009 are for a
grant to the Stearns-Benton Employment and
Training Council for the Workforce U pilot
program. Base level funding for this program
shall be $750,000 in 2010 and $0 in 2011.

Supported Work. (1) Of the TANF
appropriation, $5,468,000 in fiscal year
2008 and $7,291,000 in fiscal year
2009 are for supported work for MFIP
participants, to be allocated to counties
and tribes based on the criteria under
clauses (2) and (3). Paid transitional work
experience and other supported employment
under this rider provides a continuum of
employment assistance, including outreach
and recruitment, program orientation
and intake, testing and assessment, job
development and marketing, preworksite
training, supported worksite experience, job
coaching, and postplacement follow-up, in
addition to extensive case management and
referral services. * (The preceding text "and
$7,291,000 in fiscal year 2009" was indicated
as vetoed by the governor.)

(2) A county or tribe is eligible to receive an
allocation under this rider if:

(i) the county or tribe is not meeting the
federal work participation rate;

(ii) the county or tribe has participants who
are required to perform work activities under
Minnesota Statutes, chapter 256J, but are not
meeting hourly work requirements; and

(iii) the county or tribe has assessed
participants who have completed six weeks
of job search or are required to perform
work activities and are not meeting the
hourly requirements, and the county or tribe
has determined that the participant would
benefit from working in a supported work
environment.

(3) A county or tribe may also be eligible for
funds in order to contract for supplemental
hours of paid work at the participant's child's
place of education, child care location, or the
child's physical or mental health treatment
facility or office. This grant to counties and
tribes is specifically for MFIP participants
who need to work up to five hours more
per week in order to meet the hourly work
requirement, and the participant's employer
cannot or will not offer more hours to the
participant.

Work Study. Of the TANF appropriation,
$750,000 each year are to the commissioner
to contract with the Minnesota Office of
Higher Education for the biennium beginning
July 1, 2007, for work study grants under
Minnesota Statutes, section 136A.233,
specifically for low-income individuals who
receive assistance under Minnesota Statutes,
chapter 256J, and for grants to opportunities
industrialization centers. * (The preceding
text beginning "Work Study. Of the TANF
appropriation," was indicated as vetoed by
the governor.)

Integrated Service Projects. $2,500,000
in fiscal year 2008 and $2,500,000 in fiscal
year 2009 are appropriated from the TANF
fund to the commissioner to continue to
fund the existing integrated services projects
for MFIP families, and if funding allows,
additional similar projects.

Base Adjustment. The TANF base for fiscal
year 2010 is $115,902,000 and for fiscal year
2011 is $115,152,000.

General

74,654,000

71,951,000

(d) Basic Sliding Fee Child Care Assistance
Grants

General

42,995,000

45,008,000

Base Adjustment. The general fund base
is $44,881,000 for fiscal year 2010 and
$44,852,000 for fiscal year 2011.

At-Home Infant Care Program. No
funding shall be allocated to or spent on
the at-home infant care program under
Minnesota Statutes, section 119B.035.

(e) Child Care Development Grants

General

4,390,000

6,390,000

Prekindergarten Exploratory Projects. Of
the general fund appropriation, $2,000,000
the first year and $4,000,000 the second
year are for grants to the city of St. Paul,
Hennepin County, and Blue Earth County to
establish scholarship demonstration projects
to be conducted in partnership with the
Minnesota Early Learning Foundation to
promote children's school readiness. This
appropriation is available until June 30, 2009.

Child Care Services Grants. Of this
appropriation, $500,000 each year are for
the purpose of providing child care services
grants under Minnesota Statutes, section
119B.21, subdivision 5. This appropriation
is for the 2008-2009 biennium only, and does
not increase the base funding.

Early Childhood Professional
Development System. Of this appropriation,
$500,000 each year are for purposes of the
early childhood professional development
system, which increases the quality and
continuum of professional development
opportunities for child care practitioners.
This appropriation is for the 2008-2009
biennium only, and does not increase the
base funding.

Base Adjustment. The general fund base
is $1,515,000 for each of fiscal years 2010
and 2011.

(f) Child Support Enforcement Grants

General

11,038,000

3,705,000

Child Support Enforcement. $7,333,000
for fiscal year 2008 is to make grants to
counties for child support enforcement
programs to make up for the loss under the
2005 federal Deficit Reduction Act of federal
matching funds for federal incentive funds
passed on to the counties by the state.

This appropriation is available until June 30,
2009.

(g) Children's Services Grants

Appropriations by Fund
General	63,647,000	71,147,000
Health Care Access	250,000	-0-
TANF	240,000	340,000

Grants for Programs Serving Young
Parents. Of the TANF fund appropriation,
$140,000 each year is for a grant to a program
or programs that provide comprehensive
services through a private, nonprofit agency
to young parents in Hennepin County who
have dropped out of school and are receiving
public assistance. The program administrator
shall report annually to the commissioner on
skills development, education, job training,
and job placement outcomes for program
participants.

County Allocations for Rate Increases.
County Children and Community Services
Act allocations shall be increased by
$197,000 effective October 1, 2007, and
$696,000 effective October 1, 2008, to help
counties pay for the rate adjustments to
day training and habilitation providers for
participants paid by county social service
funds. Notwithstanding the provisions of
Minnesota Statutes, section 256M.40, the
allocation to a county shall be based on
the county's proportion of social services
spending for day training and habilitation
services as determined in the most recent
social services expenditure and grant
reconciliation report.

Privatized Adoption Grants. Federal
reimbursement for privatized adoption grant
and foster care recruitment grant expenditures
is appropriated to the commissioner for
adoption grants and foster care and adoption
administrative purposes.

Adoption Assistance Incentive Grants.
Federal funds available during fiscal year
2008 and fiscal year 2009 for the adoption
incentive grants are appropriated to the
commissioner for these purposes.

Adoption Assistance and Relative Custody
Assistance. The commissioner may transfer
unencumbered appropriation balances for
adoption assistance and relative custody
assistance between fiscal years and between
programs.

Children's Mental Health Grants. Of the
general fund appropriation, $5,913,000 in
fiscal year 2008 and $6,825,000 in fiscal year
2009 are for children's mental health grants.
The purpose of these grants is to increase and
maintain the state's children's mental health
service capacity, especially for school-based
mental health services. The commissioner
shall require grantees to utilize all available
third party reimbursement sources as a
condition of using state grant funds. At
least 15 percent of these funds shall be
used to encourage efficiencies through early
intervention services. At least another 15
percent shall be used to provide respite care
services for children with severe emotional
disturbance at risk of out-of-home placement.

Mental Health Crisis Services. Of the
general fund appropriation, $2,528,000 in
fiscal year 2008 and $2,850,000 in fiscal year
2009 are for statewide funding of children's
mental health crisis services. Providers must
utilize all available funding streams.

Children's Mental Health Evidence-Based
and Best Practices. Of the general fund
appropriation, $375,000 in fiscal year 2008
and $750,000 in fiscal year 2009 are for
children's mental health evidence-based and
best practices including, but not limited
to: Adolescent Integrated Dual Diagnosis
Treatment services; school-based mental
health services; co-location of mental
health and physical health care, and; the
use of technological resources to better
inform diagnosis and development of
treatment plan development by mental
health professionals. The commissioner
shall require grantees to utilize all available
third-party reimbursement sources as a
condition of using state grant funds.

Culturally Specific Mental Health
Treatment Grants. Of the general fund
appropriation, $75,000 in fiscal year 2008
and $300,000 in fiscal year 2009 are for
children's mental health grants to support
increased availability of mental health
services for persons from cultural and
ethnic minorities within the state. The
commissioner shall use at least 20 percent
of these funds to help members of cultural
and ethnic minority communities to become
qualified mental health professionals and
practitioners. The commissioner shall assist
grantees to meet third-party credentialing
requirements and require them to utilize all
available third-party reimbursement sources
as a condition of using state grant funds.

Mental Health Services for Children with
Special Treatment Needs. Of the general
fund appropriation, $50,000 in fiscal year
2008 and $200,000 in fiscal year 2009 are
for children's mental health grants to support
increased availability of mental health
services for children with special treatment
needs. These shall include, but not be limited
to: victims of trauma, including children
subjected to abuse or neglect, veterans and
their families, and refugee populations;
persons with complex treatment needs, such
as eating disorders; and those with low
incidence disorders.

MFIP and Children's Mental Health
Pilot Project. Of the TANF appropriation,
$100,000 in fiscal year 2008 and $200,000
in fiscal year 2009 are to fund the MFIP
and children's mental health pilot project.
Of these amounts, up to $100,000 may be
expended on evaluation of this pilot.

Prenatal Alcohol or Drug Use. Of the
general fund appropriation, $75,000 each
year is to award grants beginning July 1,
2007, to programs that provide services
under Minnesota Statutes, section 254A.171,
in Pine, Kanabec, and Carlton Counties. This
appropriation shall become part of the base
appropriation.

Base Adjustment. The general fund base
is $62,572,000 in fiscal year 2010 and
$62,575,000 in fiscal year 2011.

(h) Children and Community Services Grants

General

101,369,000

69,208,000

Base Adjustment. The general fund base
is $69,274,000 in each of fiscal years 2010
and 2011.

Targeted Case Management Temporary
Funding. (a) Of the general fund
appropriation, $32,667,000 in fiscal year
2008 is transferred to the targeted case
management contingency reserve account in
the general fund to be allocated to counties
and tribes affected by reductions in targeted
case management federal Medicaid revenue
as a result of the provisions in the federal
Deficit Reduction Act of 2005, Public Law
109-171.

(b) Contingent upon (1) publication by the
federal Centers for Medicare and Medicaid
Services of final regulations implementing
the targeted case management provisions
of the federal Deficit Reduction Act of
2005, Public Law 109-171, or (2) the
issuance of a finding by the Centers for
Medicare and Medicaid Services of federal
Medicaid overpayments for targeted case
management expenditures, up to $32,667,000
is appropriated to the commissioner of human
services. Prior to distribution of funds, the
commissioner shall estimate and certify the
amount by which the federal regulations or
federal disallowance will reduce targeted
case management Medicaid revenue over the
2008-2009 biennium.

(c) Within 60 days of a contingency described
in paragraph (b), the commissioner shall
distribute the grants proportionate to each
affected county or tribe's targeted case
management federal earnings for calendar
year 2005, not to exceed the lower of (1) the
amount of the estimated reduction in federal
revenue or (2) $32,667,000.

(d) These funds are available in either year of
the biennium. Counties and tribes shall use
these funds to pay for social service-related
costs, but the funds are not subject to
provisions of the Children and Community
Services Act grant under Minnesota Statutes,
chapter 256M.

(e) This appropriation shall be available to
pay counties and tribes for expenses incurred
on or after July 1, 2007. The appropriation
shall be available until expended.

(i) General Assistance Grants

General

37,876,000

38,253,000

General Assistance Standard. The
commissioner shall set the monthly standard
of assistance for general assistance units
consisting of an adult recipient who is
childless and unmarried or living apart
from parents or a legal guardian at $203.
The commissioner may reduce this amount
according to Laws 1997, chapter 85, article
3, section 54.

Emergency General Assistance. The
amount appropriated for emergency general
assistance funds is limited to no more
than $7,889,812 in fiscal year 2008 and
$7,889,812 in fiscal year 2009. Funds
to counties must be allocated by the
commissioner using the allocation method
specified in Minnesota Statutes, section
256D.06.

(j) Minnesota Supplemental Aid Grants

General

30,505,000

30,812,000

Emergency Minnesota Supplemental
Aid Funds. The amount appropriated for
emergency Minnesota supplemental aid
funds is limited to no more than $1,100,000
in fiscal year 2008 and $1,100,000 in fiscal
year 2009. Funds to counties must be
allocated by the commissioner using the
allocation method specified in Minnesota
Statutes, section 256D.46.

(k) Group Residential Housing Grants

General

91,069,000

98,671,000

People Incorporated. Of the general fund
appropriation, $460,000 each year is to
augment community support and mental
health services provided to individuals
residing in facilities under Minnesota
Statutes, section 256I.05, subdivision 1m.

(l) Other Children and Economic Assistance
Grants

General	20,183,000	16,333,000
Federal TANF	1,500,000	1,500,000

Base Adjustment. The general fund base
shall be $16,033,000 in fiscal year 2010 and
$15,533,000 in fiscal year 2011. The TANF
base shall be $1,500,000 in fiscal year 2010
and $1,181,000 in fiscal year 2011.

Homeless and Runaway Youth. Of the
general fund appropriation, $500,000 each
year are for the Runaway and Homeless
Youth Act under Minnesota Statutes, section
256K.45. Funds shall be spent in each area
of the continuum of care to ensure that
programs are meeting the greatest need. This
is a onetime appropriation.

Long-Term Homelessness. Of the general
fund appropriation, deleted text begin $1,500,000 each year
aredeleted text end new text begin $2,000,000 in fiscal year 2008 is new text end for
implementation of programs to address
long-term homelessnessnew text begin and is available in
either year of the bienniumnew text end . This is a onetime
appropriation.

Minnesota Community Action Grants. (a)
Of the general fund appropriation, $250,000
each year is for the purposes of Minnesota
community action grants under Minnesota
Statutes, sections 256E.30 to 256E.32. This
is a onetime appropriation.

(b) Of the TANF appropriation, $1,500,000
each year is for community action agencies
for auto repairs, auto loans, and auto purchase
grants to individuals who are eligible to
receive benefits under Minnesota Statutes,
chapter 256J, or who have lost eligibility
for benefits under Minnesota Statutes,
chapter 256J, due to earnings in the prior 12
months. Base level funding for this activity
shall be $1,500,000 in fiscal year 2010
and $1,181,000 in fiscal year 2011. * (The
preceding text beginning "(b) Of the TANF
appropriation," was indicated as vetoed by
the governor.)

(c) Money appropriated under paragraphs (a)
and (b) that is not spent in the first year does
not cancel but is available for the second
year.

Minnesota Statutes 2006, section 256B.0621, subdivision 2, is amended to
read:

For purposes of subdivisions 3
to 10, the following terms have the meanings given them:

(1) "home care service recipients" means those individuals receiving the following
services under sections 256B.0651 to 256B.0656: skilled nursing visits, home health aide
visits, private duty nursing, personal care assistants, or therapies provided through a
home health agency;

(2) "home care targeted case management" means the provision of targeted case
management services for the purpose of assisting home care service recipients to gain
access to needed services and supports so that they may remain in the community;

(3) "institutions" means hospitals, consistent with Code of Federal Regulations, title
42, section 440.10; regional treatment center inpatient services, consistent with section
245.474; nursing facilities; and intermediate care facilities for persons with developmental
disabilities;

(4) "relocation targeted case management" includes the provision of both county
targeted case management and public or private vendor service coordination services
for the purpose of assisting recipients to gain access to needed services and supports if
they choose to move from an institution to the community. Relocation targeted case
management may be provided during new text begin the lesser of:
new text end

new text begin (i) new text end the last 180 consecutive days of an eligible recipient's institutional staynew text begin ; or
new text end

new text begin (ii) the limits and conditions which apply to federal Medicaid funding for this
servicenew text end ; and

(5) "targeted case management" means case management services provided to help
recipients gain access to needed medical, social, educational, and other services and
supports.

Minnesota Statutes 2006, section 256B.0621, subdivision 6, is amended to read:

(a) Services eligible for medical assistance
reimbursement as targeted case management include:

(1) assessment of the recipient's need for targeted case management services and
for persons choosing to relocate, the county must provide service coordination provider
options at the first contact and upon request;

(2) development, completion, and regular review of a written individual service
plan, which is based upon the assessment of the recipient's needs and choices, and which
will ensure access to medical, social, educational, and other related services and supports;

(3) routine contact or communication with the recipient, recipient's family, primary
caregiver, legal representative, substitute care provider, service providers, or other relevant
persons identified as necessary to the development or implementation of the goals of the
individual service plan;

(4) coordinating referrals for, and the provision of, case management services for
the recipient with appropriate service providers, consistent with section 1902(a)(23) of
the Social Security Act;

(5) coordinating and monitoring the overall service delivery and engaging in
advocacy as needed to ensure quality of services, appropriateness, and continued need;

(6) completing and maintaining necessary documentation that supports and verifies
the activities in this subdivision;

(7) assisting individuals in order to access needed services, including travel to
conduct a visit with the recipient or other relevant person necessary to develop or
implement the goals of the individual service plan; and

(8) coordinating with the institution discharge planner deleted text begin in the 180-day perioddeleted text end before
the recipient's discharge.

(b) Relocation targeted county case management includes services under paragraph
(a), clauses (1), (2), and (4). Relocation service coordination includes services under
paragraph (a), clauses (3) and (5) to (8). Home care targeted case management includes
services under paragraph (a), clauses (1) to (8).

Minnesota Statutes 2006, section 256B.0621, subdivision 10, is amended to
read:

The commissioner shall set payment rates for targeted
case management under this subdivision. Case managers may bill according to the
following criteria:

(1) for relocation targeted case management, case managers may bill for direct case
management activities, including face-to-face and telephone contacts, in the new text begin lesser of:
new text end

new text begin (i) new text end 180 days preceding an eligible recipient's discharge from an institutionnew text begin ; or
new text end

new text begin (ii) the limits and conditions which apply to federal Medicaid funding for this
servicenew text end ;

(2) for home care targeted case management, case managers may bill for direct case
management activities, including face-to-face and telephone contacts; and

(3) billings for targeted case management services under this subdivision shall not
duplicate payments made under other program authorities for the same purpose.

Minnesota Statutes 2007 Supplement, section 256B.0625, subdivision 20,
is amended to read:

(a) To the extent authorized by rule
of the state agency, medical assistance covers case management services to persons with
serious and persistent mental illness and children with severe emotional disturbance.
Services provided under this section must meet the relevant standards in sections 245.461
to 245.4887, the Comprehensive Adult and Children's Mental Health Acts, Minnesota
Rules, parts 9520.0900 to 9520.0926, and 9505.0322, excluding subpart 10.

(b) Entities meeting program standards set out in rules governing family community
support services as defined in section 245.4871, subdivision 17, are eligible for medical
assistance reimbursement for case management services for children with severe
emotional disturbance when these services meet the program standards in Minnesota
Rules, parts 9520.0900 to 9520.0926 and 9505.0322, excluding subparts 6 and 10.

(c) Medical assistance and MinnesotaCare payment for mental health case
management shall be made on a monthly basis. In order to receive payment for an eligible
child, the provider must document at least a face-to-face contact with the child, the child's
parents, or the child's legal representative. To receive payment for an eligible adult, the
provider must document:

(1) at least a face-to-face contact with the adult or the adult's legal representative; or

(2) at least a telephone contact with the adult or the adult's legal representative and
document a face-to-face contact with the adult or the adult's legal representative within
the preceding two months.

(d) Payment for mental health case management provided by county or state staff
shall be based on the monthly rate methodology under section 256B.094, subdivision 6,
paragraph (b), with separate rates calculated for child welfare and mental health, and
within mental health, separate rates for children and adults.

(e) Payment for mental health case management provided by Indian health services
or by agencies operated by Indian tribes may be made according to this section or other
relevant federally approved rate setting methodology.

(f) Payment for mental health case management provided by vendors who contract
with a county or Indian tribe shall be based on a monthly rate negotiated by the host county
or tribe. The negotiated rate must not exceed the rate charged by the vendor for the same
service to other payers. If the service is provided by a team of contracted vendors, the
county or tribe may negotiate a team rate with a vendor who is a member of the team. The
team shall determine how to distribute the rate among its members. No reimbursement
received by contracted vendors shall be returned to the county or tribe, except to reimburse
the county or tribe for advance funding provided by the county or tribe to the vendor.

(g) If the service is provided by a team which includes contracted vendors, tribal
staff, and county or state staff, the costs for county or state staff participation in the team
shall be included in the rate for county-provided services. In this case, the contracted
vendor, the tribal agency, and the county may each receive separate payment for services
provided by each entity in the same month. In order to prevent duplication of services,
each entity must document, in the recipient's file, the need for team case management and
a description of the roles of the team members.

(h) Notwithstanding section 256B.19, subdivision 1, the nonfederal share of costs
for mental health case management shall be provided by the recipient's county of
responsibility, as defined in sections 256G.01 to 256G.12, from sources other than federal
funds or funds used to match other federal funds. If the service is provided by a tribal
agency, the nonfederal share, if any, shall be provided by the recipient's tribe. When this
service is paid by the state without a federal share through fee-for-service, 50 percent of
the cost shall be provided by the recipient's county of responsibility.

(i) Notwithstanding any administrative rule to the contrary, prepaid medical
assistance, general assistance medical care, and MinnesotaCare include mental health case
management. When the service is provided through prepaid capitation, the nonfederal
share is paid by the state and the county pays no share.

(j) The commissioner may suspend, reduce, or terminate the reimbursement to a
provider that does not meet the reporting or other requirements of this section. The county
of responsibility, as defined in sections 256G.01 to 256G.12, or, if applicable, the tribal
agency, is responsible for any federal disallowances. The county or tribe may share this
responsibility with its contracted vendors.

(k) The commissioner shall set aside a portion of the federal funds earned for county
expenditures under this section to repay the special revenue maximization account under
section 256.01, subdivision 2, clause (15). The repayment is limited to:

(1) the costs of developing and implementing this section; and

(2) programming the information systems.

(l) Payments to counties and tribal agencies for case management expenditures
under this section shall only be made from federal earnings from services provided
under this section. When this service is paid by the state without a federal share through
fee-for-service, 50 percent of the cost shall be provided by the state. Payments to
county-contracted vendors shall include the federal earnings, the state share, and the
county share.

(m) Case management services under this subdivision do not include therapy,
treatment, legal, or outreach services.

(n) If the recipient is a resident of a nursing facility, intermediate care facility, or
hospital, and the recipient's institutional care is paid by medical assistance, payment for
case management services under this subdivision is limited to the new text begin lesser of:
new text end

new text begin (1) the new text end last 180 days of the recipient's residency in that facility and may not exceed
more than six months in a calendar yearnew text begin ; or
new text end

new text begin (2) the limits and conditions which apply to federal Medicaid funding for this servicenew text end .

(o) Payment for case management services under this subdivision shall not duplicate
payments made under other program authorities for the same purpose.

new text begin The commissioner of human services shall award through a competitive process
contracts for grants to public and private agencies to support and assist individuals eligible
for publicly funded home and community-based services, including state plan home care,
to access housing. Grants may be awarded to agencies that may include, but are not limited
to, the following supports: assessment to assure suitability of housing, accompanying an
individual to look at housing, filling out applications and rental agreements, meeting
with landlords, helping with Section 8 or other program applications, helping to develop
a budget, obtaining furniture and household goods, if necessary, and assisting with any
problems that may arise with housing.
new text end

Minnesota Statutes 2006, section 256B.0924, subdivision 4, is amended to read:

(a) For persons with
developmental disabilities, targeted case management services must meet the provisions
of section 256B.092.

(b) For persons not eligible as a person with a developmental disability, targeted
case management service activities include:

(1) an assessment of the person's need for targeted case management services;

(2) the development of a written personal service plan;

(3) a regular review and revision of the written personal service plan with the
recipient and the recipient's legal representative, and others as identified by the recipient,
to ensure access to necessary services and supports identified in the plan;

(4) effective communication with the recipient and the recipient's legal representative
and others identified by the recipient;

(5) coordination of referrals for needed services with qualified providers;

(6) coordination and monitoring of the overall service delivery to ensure the quality
and effectiveness of services;

(7) assistance to the recipient and the recipient's legal representative to help make
an informed choice of services;

(8) advocating on behalf of the recipient when service barriers are encountered or
referring the recipient and the recipient's legal representative to an independent advocate;

(9) monitoring and evaluating services identified in the personal service plan to
ensure personal outcomes are met and to ensure satisfaction with services and service
delivery;

(10) conducting face-to-face monitoring with the recipient at least twice a year;

(11) completing and maintaining necessary documentation that supports and verifies
the activities in this section;

(12) coordinating with the medical assistance facility discharge planner deleted text begin in the
180-day perioddeleted text end prior to the recipient's discharge into the community; and

(13) a personal service plan developed and reviewed at least annually with the
recipient and the recipient's legal representative. The personal service plan must be revised
when there is a change in the recipient's status. The personal service plan must identify:

(i) the desired personal short and long-term outcomes;

(ii) the recipient's preferences for services and supports, including development of
a person-centered plan if requested; and

(iii) formal and informal services and supports based on areas of assessment, such
as: social, health, mental health, residence, family, educational and vocational, safety,
legal, self-determination, financial, and chemical health as determined by the recipient and
the recipient's legal representative and the recipient's support network.

Minnesota Statutes 2006, section 256B.0924, subdivision 6, is amended to read:

(a) Medical assistance and
MinnesotaCare payment for targeted case management shall be made on a monthly basis.
In order to receive payment for an eligible adult, the provider must document at least one
contact per month and not more than two consecutive months without a face-to-face
contact with the adult or the adult's legal representative, family, primary caregiver, or
other relevant persons identified as necessary to the development or implementation
of the goals of the personal service plan.

(b) Payment for targeted case management provided by county staff under this
subdivision shall be based on the monthly rate methodology under section 256B.094,
subdivision 6, paragraph (b), calculated as one combined average rate together with
adult mental health case management under section 256B.0625, subdivision 20, except
for calendar year 2002. In calendar year 2002, the rate for case management under this
section shall be the same as the rate for adult mental health case management in effect
as of December 31, 2001. Billing and payment must identify the recipient's primary
population group to allow tracking of revenues.

(c) Payment for targeted case management provided by county-contracted vendors
shall be based on a monthly rate negotiated by the host county. The negotiated rate must
not exceed the rate charged by the vendor for the same service to other payers. If the
service is provided by a team of contracted vendors, the county may negotiate a team rate
with a vendor who is a member of the team. The team shall determine how to distribute
the rate among its members. No reimbursement received by contracted vendors shall be
returned to the county, except to reimburse the county for advance funding provided by
the county to the vendor.

(d) If the service is provided by a team that includes contracted vendors and county
staff, the costs for county staff participation on the team shall be included in the rate for
county-provided services. In this case, the contracted vendor and the county may each
receive separate payment for services provided by each entity in the same month. In
order to prevent duplication of services, the county must document, in the recipient's file,
the need for team targeted case management and a description of the different roles of
the team members.

(e) Notwithstanding section 256B.19, subdivision 1, the nonfederal share of costs
for targeted case management shall be provided by the recipient's county of responsibility,
as defined in sections 256G.01 to 256G.12, from sources other than federal funds or
funds used to match other federal funds.

(f) The commissioner may suspend, reduce, or terminate reimbursement to a
provider that does not meet the reporting or other requirements of this section. The county
of responsibility, as defined in sections 256G.01 to 256G.12, is responsible for any federal
disallowances. The county may share this responsibility with its contracted vendors.

(g) The commissioner shall set aside five percent of the federal funds received under
this section for use in reimbursing the state for costs of developing and implementing
this section.

(h) Payments to counties for targeted case management expenditures under this
section shall only be made from federal earnings from services provided under this
section. Payments to contracted vendors shall include both the federal earnings and the
county share.

(i) Notwithstanding section 256B.041, county payments for the cost of case
management services provided by county staff shall not be made to the commissioner of
finance. For the purposes of targeted case management services provided by county staff
under this section, the centralized disbursement of payments to counties under section
256B.041 consists only of federal earnings from services provided under this section.

(j) If the recipient is a resident of a nursing facility, intermediate care facility, or
hospital, and the recipient's institutional care is paid by medical assistance, payment for
targeted case management services under this subdivision is limited to new text begin the lesser of:
new text end

new text begin (1) new text end the last 180 days of the recipient's residency in that facility deleted text begin and may not exceed
more than six months in a calendar yeardeleted text end new text begin ; or
new text end

new text begin (2) the limits and conditions which apply to federal Medicaid funding for this servicenew text end .

(k) Payment for targeted case management services under this subdivision shall not
duplicate payments made under other program authorities for the same purpose.

(l) Any growth in targeted case management services and cost increases under this
section shall be the responsibility of the counties.

Minnesota Statutes 2006, section 256B.19, subdivision 1d, is amended to read:

(a)
In addition to the percentage contribution paid by a county under subdivision 1, the
governmental units designated in this subdivision shall be responsible for an additional
portion of the nonfederal share of medical assistance cost. For purposes of this
subdivision, "designated governmental unit" means the counties of Becker, Beltrami,
Clearwater, Cook, Dodge, Hubbard, Itasca, Lake, Pennington, Pipestone, Ramsey, St.
Louis, Steele, Todd, Traverse, and Wadena.

(b) Beginning in 1994, each of the governmental units designated in this subdivision
shall transfer before noon on May 31 to the state Medicaid agency an amount equal to the
number of licensed beds in any nursing home owned and operated by the county on that
date, with the county named as licensee, multiplied by $5,723. If two or more counties own
and operate a nursing home, the payment shall be prorated. These sums shall be part of the
designated governmental unit's portion of the nonfederal share of medical assistance costs.

(c) Beginning in 2002, in addition to any transfer under paragraph (b), each of the
governmental units designated in this subdivision shall transfer before noon on May 31
to the state Medicaid agency an amount equal to the number of licensed beds in any
nursing home owned and operated by the county on that date, with the county named as
licensee, multiplied by $10,784. The provisions of paragraph (b) apply to transfers under
this paragraph.

deleted text begin (d) Beginning in 2003, in addition to any transfer under paragraphs (b) and (c), each
of the governmental units designated in this subdivision shall transfer before noon on May
31 to the state Medicaid agency an amount equal to the number of licensed beds in any
nursing home owned and operated by the county on that date, with the county named as
licensee, multiplied by $2,230. The provisions of paragraph (b) apply to transfers under
this paragraph.
deleted text end

deleted text begin (e)deleted text end new text begin (d)new text end The commissioner may reduce the intergovernmental transfers under
deleted text begin paragraphsdeleted text end new text begin paragraphnew text end (c) deleted text begin and (d)deleted text end based on the commissioner's determination of the
payment rate in section 256B.431, subdivision 23, paragraphs (c)deleted text begin ,deleted text end new text begin andnew text end (d)deleted text begin , and (e)deleted text end . Any
adjustments must be made on a per-bed basis and must result in an amount equivalent to
the total amount resulting from the rate adjustment in section 256B.431, subdivision 23,
paragraphs (c)deleted text begin ,deleted text end new text begin andnew text end (d)deleted text begin , and (e)deleted text end .

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

Minnesota Statutes 2006, section 256B.431, subdivision 23, is amended to read:

(a) Beginning in 1994,
the commissioner shall pay a nursing home payment adjustment on May 31 after noon
to a county in which is located a nursing home that, on that date, was county-owned and
operated, with the county named as licensee by the commissioner of health, and had over
40 beds and medical assistance occupancy in excess of 50 percent during the reporting
year ending September 30, 1991. The adjustment shall be an amount equal to $16 per
calendar day multiplied by the number of beds licensed in the facility on that date.

(b) Payments under paragraph (a) are excluded from medical assistance per diem
rate calculations. These payments are required notwithstanding any rule prohibiting
medical assistance payments from exceeding payments from private pay residents. A
facility receiving a payment under paragraph (a) may not increase charges to private pay
residents by an amount equivalent to the per diem amount payments under paragraph (a)
would equal if converted to a per diem.

(c) Beginning in 2002, in addition to any payment under paragraph (a), the
commissioner shall pay to a nursing facility described in paragraph (a) an adjustment in
an amount equal to $29.55 per calendar day multiplied by the number of beds licensed
in the facility on that date. The provisions of paragraphs (a) and (b) apply to payments
under this paragraph.

deleted text begin (d) Beginning in 2003, in addition to any payment under paragraphs (a) and (c), the
commissioner shall pay to a nursing facility described in paragraph (a) an adjustment in
an amount equal to $6.11 per calendar day multiplied by the number of beds licensed in
the facility on that date. The provisions of paragraphs (a) and (b) apply to payments
under this paragraph.
deleted text end

deleted text begin (e)deleted text end new text begin (d)new text end The commissioner may reduce payments under deleted text begin paragraphsdeleted text end new text begin paragraphnew text end (c) deleted text begin and
(d)deleted text end based on the commissioner's determination of Medicare upper payment limits. Any
adjustments must be proportional to adjustments made under section 256B.19, subdivision
1d, paragraph deleted text begin (e)deleted text end new text begin (d)new text end .

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

Minnesota Statutes 2007 Supplement, section 256B.434, subdivision 19,
is amended to read:

(a) For the rate year beginning October 1, 2007, the commissioner
shall make available to each nursing facility reimbursed under this section operating
payment rate adjustments equal to 1.87 percent of the operating payment rates in effect on
September 30, 2007.new text begin For the rate year beginning October 1, 2008, after determining the
blending in section 256B.441, subdivision 55, paragraph (a), the commissioner shall make
available to each nursing facility reimbursed under this section, operating payment rate
adjustments equal to 2.0 percent of the operating payment rates in effect on September
30, 2008.
new text end

(b) Seventy-five percent of the money resulting from the rate adjustment under
paragraph (a) must be used for increases in compensation-related costs for employees
directly employed by the nursing facility on or after the effective date of the rate
adjustment, except:

(1) the administrator;

(2) persons employed in the central office of a corporation that has an ownership
interest in the nursing facility or exercises control over the nursing facility; and

(3) persons paid by the nursing facility under a management contract.

(c) Two-thirds of the money available under paragraph (b) must be used for wage
increases for all employees directly employed by the nursing facility on or after the
effective date of the rate adjustment, except those listed in paragraph (b), clauses (1) to
(3). The wage adjustment that employees receive under this paragraph must be paid as
an equal hourly percentage wage increase for all eligible employees. All wage increases
under this paragraph must be effective on the same date. Only costs associated with the
portion of the equal hourly percentage wage increase that goes to all employees shall
qualify under this paragraph. Costs associated with wage increases in excess of the
amount of the equal hourly percentage wage increase provided to all employees shall be
allowed only for meeting the requirements in paragraph (b). This paragraph shall not
apply to employees covered by a collective bargaining agreement.

(d) The commissioner shall allow as compensation-related costs all costs for:

(1) wages and salaries;

(2) FICA taxes, Medicare taxes, state and federal unemployment taxes, and workers'
compensation;

(3) the employer's share of health and dental insurance, life insurance, disability
insurance, long-term care insurance, uniform allowance, and pensions; and

(4) other benefits provided, subject to the approval of the commissioner.

(e) The portion of the rate adjustment under paragraph (a) that is not subject to the
requirements in paragraphs (b) and (c) shall be provided to nursing facilities effective
October 1, 2007new text begin , or October 1, 2008, as applicablenew text end .

(f) Nursing facilities may apply for the portion of the rate adjustment under
paragraph (a) that is subject to the requirements in paragraphs (b) and (c). The application
must be submitted to the commissioner within six months of the effective date of the
rate adjustment, and the nursing facility must provide additional information required
by the commissioner within nine months of the effective date of the rate adjustment.
The commissioner must respond to all applications within three weeks of receipt.
The commissioner may waive the deadlines in this paragraph under extraordinary
circumstances, to be determined at the sole discretion of the commissioner. The
application must contain:

(1) an estimate of the amounts of money that must be used as specified in paragraphs
(b) and (c);

(2) a detailed distribution plan specifying the allowable compensation-related and
wage increases the nursing facility will implement to use the funds available in clause (1);

(3) a description of how the nursing facility will notify eligible employees of
the contents of the approved application, which must provide for giving each eligible
employee a copy of the approved application, excluding the information required in clause
(1), or posting a copy of the approved application, excluding the information required in
clause (1), for a period of at least six weeks in an area of the nursing facility to which all
eligible employees have access; and

(4) instructions for employees who believe they have not received the
compensation-related or wage increases specified in clause (2), as approved by the
commissioner, and which must include a mailing address, e-mail address, and the
telephone number that may be used by the employee to contact the commissioner or the
commissioner's representative.

(g) The commissioner shall ensure that cost increases in distribution plans under
paragraph (f), clause (2), that may be included in approved applications, comply with the
following requirements:

(1) costs to be incurred during the applicable rate year resulting from wage and
salary increases effective after October 1, 2006, and prior to the first day of the nursing
facility's payroll period that includes October 1deleted text begin , 2007deleted text end new text begin of each yearnew text end , shall be allowed if they
were not used in the prior year's application;

(2) a portion of the costs resulting from tenure-related wage or salary increases
may be considered to be allowable wage increases, according to formulas that the
commissioner shall provide, where employee retention is above the average statewide
rate of retention of direct care employees;

(3) the annualized amount of increases in costs for the employer's share of health
and dental insurance, life insurance, disability insurance, and workers' compensation
shall be allowable compensation-related increases if they are effective on or after April
1deleted text begin , 2007,deleted text end new text begin of the year in which the rate adjustments are effectivenew text end and prior to April 1deleted text begin , 2008deleted text end new text begin
of the following yearnew text end ; and

(4) for nursing facilities in which employees are represented by an exclusive
bargaining representative, the commissioner shall approve the application only upon
receipt of a letter of acceptance of the distribution plan, in regard to members of the
bargaining unit, signed by the exclusive bargaining agent and dated after May 25, 2007.
Upon receipt of the letter of acceptance, the commissioner shall deem all requirements of
this section as having been met in regard to the members of the bargaining unit.

(h) The commissioner shall review applications received under paragraph (f) and
shall provide the portion of the rate adjustment under paragraphs (b) and (c) if the
requirements of this subdivision have been met. The rate adjustment shall be effective
October 1. Notwithstanding paragraph (a), if the approved application distributes less
money than is available, the amount of the rate adjustment shall be reduced so that the
amount of money made available is equal to the amount to be distributed.

Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 1,
is amended to read:

(a)
The commissioner shall rebase nursing facility operating deleted text begin costdeleted text end payment rates to align
payments to facilities with the cost of providing care. The rebased operating deleted text begin costdeleted text end payment
rates shall be calculated using the statistical and cost report filed by each nursing facility
for the report period ending one year prior to the rate year.

(b) The new operating deleted text begin costdeleted text end payment rates based on this section shall take effect
beginning with the rate year beginning October 1, 2008, and shall be phased in over eight
rate years through October 1, 2015.new text begin For each year of the phase-in, the operating payment
rates shall be calculated using the statistical and cost report filed by each nursing facility
for the report period ending one year prior to the rate year.
new text end

(c) Operating deleted text begin costdeleted text end payment rates shall be rebased on October 1, 2016, and every
two years after that date.

(d) Each cost reporting year shall begin on October 1 and end on the following
September 30. Beginning in 2006, a statistical and cost report shall be filed by each
nursing facility by January 15. Notice of rates shall be distributed by August 15 and the
rates shall go into effect on October 1 for one year.

(e) Effective October 1, 2014, property rates shall be rebased in accordance with
section 256B.431 and Minnesota Rules, chapter 9549. The commissioner shall determine
what the property payment rate for a nursing facility would be had the facility not had its
property rate determined under section 256B.434. The commissioner shall allow nursing
facilities to provide information affecting this rate determination that would have been
filed annually under Minnesota Rules, chapter 9549, and nursing facilities shall report
information necessary to determine allowable debt. The commissioner shall use this
information to determine the property payment rate.

Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 55,
is amended to read:

(a) For the rate
years beginning October 1, 2008, to October 1, deleted text begin 2012deleted text end new text begin 2015new text end , the operating deleted text begin costdeleted text end payment
rate calculated under this section shall be phased in by blending the operating deleted text begin costdeleted text end rate
with the operating deleted text begin costdeleted text end payment rate determined under section 256B.434.new text begin For purposes
of this subdivision, the rate to be used that is determined under section 256B.434 shall
not include the portion of the operating payment rate related to performance-based
incentive payments under section 256B.434, subdivision 4, paragraph (d).new text end For the rate
year beginning October 1, 2008, the operating deleted text begin costdeleted text end payment rate for each facility shall
be 13 percent of the operating deleted text begin costdeleted text end payment rate from this section, and 87 percent of the
operating deleted text begin costdeleted text end payment rate from section 256B.434. For the rate year beginning October 1,
2009, the operating deleted text begin costdeleted text end payment rate for each facility shall be 14 percent of the operating
deleted text begin costdeleted text end payment rate from this section, and 86 percent of the operating deleted text begin costdeleted text end payment rate from
section 256B.434. For the rate year beginning October 1, 2010, the operating deleted text begin costdeleted text end payment
rate for each facility shall be 14 percent of the operating deleted text begin costdeleted text end payment rate from this
section, and 86 percent of the operating deleted text begin costdeleted text end payment rate from section 256B.434. For the
rate year beginning October 1, 2011, the operating deleted text begin costdeleted text end payment rate for each facility shall
be 31 percent of the operating deleted text begin costdeleted text end payment rate from this section, and 69 percent of the
operating deleted text begin costdeleted text end payment rate from section 256B.434. For the rate year beginning October 1,
2012, the operating deleted text begin costdeleted text end payment rate for each facility shall be 48 percent of the operating
deleted text begin costdeleted text end payment rate from this section, and 52 percent of the operating deleted text begin costdeleted text end payment rate
from section 256B.434. For the rate year beginning October 1, 2013, the operating deleted text begin costdeleted text end
payment rate for each facility shall be 65 percent of the operating deleted text begin costdeleted text end payment rate from
this section, and 35 percent of the operating deleted text begin costdeleted text end payment rate from section 256B.434. For
the rate year beginning October 1, 2014, the operating deleted text begin costdeleted text end payment rate for each facility
shall be 82 percent of the operating deleted text begin costdeleted text end payment rate from this section, and 18 percent
of the operating deleted text begin costdeleted text end payment rate from section 256B.434. For the rate year beginning
October 1, 2015, the operating deleted text begin costdeleted text end payment rate for each facility shall be the operating
deleted text begin costdeleted text end payment rate determined under this section. The blending of operating deleted text begin costdeleted text end payment
rates under this section shall be performed separately for each RUG's class.

new text begin (b) For the rate year beginning October 1, 2008, the commissioner shall apply limits
to the operating payment rate increases under paragraph (a) by creating a minimum
percentage increase and a maximum percentage increase.
new text end

new text begin (1) Each nursing facility that receives a blended October 1, 2008, operating payment
rate increase under paragraph (a) of less than one percent, when compared to its operating
payment rate on September 30, 2008, computed using rates with RUG's weight of 1.00,
shall receive a rate adjustment of one percent.
new text end

new text begin (2) The commissioner shall determine a maximum percentage increase that will
result in savings equal to the cost of allowing the minimum increase in clause (1). Nursing
facilities with a blended October 1, 2008, operating payment rate increase under paragraph
(a) greater than the maximum percentage increase determined by the commissioner, when
compared to its operating payment rate on September 30, 2008, computed using rates with
a RUG's weight of 1.00, shall receive the maximum percentage increase.
new text end

new text begin (3) Nursing facilities with a blended October 1, 2008, operating payment rate
increase under paragraph (a) greater than one percent and less than the maximum
percentage increase determined by the commissioner, when compared to its operating
payment rate on September 30, 2008, computed using rates with a RUG's weight of 1.00,
shall receive the blended October 1, 2008, operating payment rate increase determined
under paragraph (a).
new text end

new text begin (4) The October 1, 2009, through October 1, 2015, operating payment rate for
facilities receiving the maximum percentage increase determined in clause (2) shall be
the amount determined under paragraph (a) less the difference between the amount
determined under paragraph (a) for October 1, 2008, and the amount allowed under clause
(2). This rate restriction does not apply to rate increases provided in any other section.
new text end

deleted text begin (b)deleted text end new text begin (c)new text end A portion of the funds received under this subdivision that are in excess of
operating deleted text begin costdeleted text end payment rates that a facility would have received under section 256B.434,
as determined in accordance with clauses (1) to (3), shall be subject to the requirements in
section 256B.434, subdivision 19, paragraphs (b) to (h).

(1) Determine the amount of additional funding available to a facility, which shall be
equal to total medical assistance resident days from the most recent reporting year times
the difference between the blended rate determined in paragraph (a) for the rate year being
computed and the blended rate for the prior year.

(2) Determine the portion of all operating costs, for the most recent reporting year,
that are compensation related. If this value exceeds 75 percent, use 75 percent.

(3) Subtract the amount determined in clause (2) from 75 percent.

(4) The portion of the fund received under this subdivision that shall be subject to
the requirements in section 256B.434, subdivision 19, paragraphs (b) to (h), shall equal
the amount determined in clause (1) times the amount determined in clause (3).

Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 56,
is amended to read:

For the rate years beginning October 1, 2008, to October
1, 2016, no nursing facility shall receive an operating cost payment rate less than its
operating cost payment rate under section 256B.434.new text begin For rate years beginning between
October 1, 2009, and October 1, 2015, no nursing facility shall receive an operating
payment rate less than its operating payment rate in effect on September 30, 2009.new text end The
comparison of operating deleted text begin costdeleted text end payment rates under this section shall be made for a RUG's
rate with a weight of 1.00.

Minnesota Statutes 2006, section 256B.69, subdivision 6, is amended to read:

(a) Each demonstration provider shall be responsible for
the health care coordination for eligible individuals. Demonstration providers:

(1) shall authorize and arrange for the provision of all needed health services
including but not limited to the full range of services listed in sections 256B.02,
subdivision 8, and 256B.0625 in order to ensure appropriate health care is delivered to
enrolleesnew text begin . Notwithstanding section 256B.0621, demonstration providers that provide
nursing home and community-based services under this section shall provide relocation
service coordination to enrolled persons age 65 and overnew text end ;

(2) shall accept the prospective, per capita payment from the commissioner in return
for the provision of comprehensive and coordinated health care services for eligible
individuals enrolled in the program;

(3) may contract with other health care and social service practitioners to provide
services to enrollees; and

(4) shall institute recipient grievance procedures according to the method established
by the project, utilizing applicable requirements of chapter 62D. Disputes not resolved
through this process shall be appealable to the commissioner as provided in subdivision 11.

(b) Demonstration providers must comply with the standards for claims settlement
under section 72A.201, subdivisions 4, 5, 7, and 8, when contracting with other health
care and social service practitioners to provide services to enrollees. A demonstration
provider must pay a clean claim, as defined in Code of Federal Regulations, title 42,
section 447.45(b), within 30 business days of the date of acceptance of the claim.

Minnesota Statutes 2006, section 256D.44, subdivision 2, is amended to read:

The state
standard of assistance for a person whonew text begin : (1)new text end is eligible for a medical assistance home and
community-based services waiver deleted text begin or a person whodeleted text end new text begin ; (2)new text end has been determined by the local
agency to meet the plan requirements for placement in a group residential housing facility
under section 256I.04, subdivision 1adeleted text begin ,deleted text end new text begin ; or (3) is eligible for a shelter needy payment
under subdivision 5, paragraph (f);new text end is the standard established in subdivision 3, paragraph
(a) or (b).

new text begin This section is effective January 1, 2009.
new text end

Minnesota Statutes 2006, section 256D.44, subdivision 5, is amended to read:

In addition to the state standards of assistance established in
subdivisions 1 to 4, payments are allowed for the following special needs of recipients of
Minnesota supplemental aid who are not residents of a nursing home, a regional treatment
center, or a group residential housing facility.

(a) The county agency shall pay a monthly allowance for medically prescribed
diets if the cost of those additional dietary needs cannot be met through some other
maintenance benefit. The need for special diets or dietary items must be prescribed by
a licensed physician. Costs for special diets shall be determined as percentages of the
allotment for a one-person household under the thrifty food plan as defined by the United
States Department of Agriculture. The types of diets and the percentages of the thrifty
food plan that are covered are as follows:

(1) high protein diet, at least 80 grams daily, 25 percent of thrifty food plan;

(2) controlled protein diet, 40 to 60 grams and requires special products, 100 percent
of thrifty food plan;

(3) controlled protein diet, less than 40 grams and requires special products, 125
percent of thrifty food plan;

(4) low cholesterol diet, 25 percent of thrifty food plan;

(5) high residue diet, 20 percent of thrifty food plan;

(6) pregnancy and lactation diet, 35 percent of thrifty food plan;

(7) gluten-free diet, 25 percent of thrifty food plan;

(8) lactose-free diet, 25 percent of thrifty food plan;

(9) antidumping diet, 15 percent of thrifty food plan;

(10) hypoglycemic diet, 15 percent of thrifty food plan; or

(11) ketogenic diet, 25 percent of thrifty food plan.

(b) Payment for nonrecurring special needs must be allowed for necessary home
repairs or necessary repairs or replacement of household furniture and appliances using
the payment standard of the AFDC program in effect on July 16, 1996, for these expenses,
as long as other funding sources are not available.

(c) A fee for guardian or conservator service is allowed at a reasonable rate
negotiated by the county or approved by the court. This rate shall not exceed five percent
of the assistance unit's gross monthly income up to a maximum of $100 per month. If the
guardian or conservator is a member of the county agency staff, no fee is allowed.

(d) The county agency shall continue to pay a monthly allowance of $68 for
restaurant meals for a person who was receiving a restaurant meal allowance on June 1,
1990, and who eats two or more meals in a restaurant daily. The allowance must continue
until the person has not received Minnesota supplemental aid for one full calendar month
or until the person's living arrangement changes and the person no longer meets the criteria
for the restaurant meal allowance, whichever occurs first.

(e) A fee of ten percent of the recipient's gross income or $25, whichever is less,
is allowed for representative payee services provided by an agency that meets the
requirements under SSI regulations to charge a fee for representative payee services. This
special need is available to all recipients of Minnesota supplemental aid regardless of
their living arrangement.

(f) new text begin (1) new text end Notwithstanding the language in this subdivision, an amount equal to the
maximum allotment authorized by the federal Food Stamp Program for a single individual
which is in effect on the first day of deleted text begin Januarydeleted text end new text begin Julynew text end of deleted text begin the previousdeleted text end new text begin eachnew text end year will be added to
the standards of assistance established in subdivisions 1 to 4 for deleted text begin individualsdeleted text end new text begin adultsnew text end under
the age of 65 who new text begin qualify as shelter needy and new text end arenew text begin : (i)new text end relocating from an institution, or an
adult mental health residential treatment program under section 256B.0622deleted text begin , and who are
shelter needydeleted text end new text begin ; (ii) eligible for the self-directed supports option as defined under section
256B.0657, subdivision 2; or (iii) home and community-based waiver recipients living in
their own home or rented or leased apartment which is not owned, operated, or controlled
by a provider of service not related by blood or marriagenew text end .

new text begin (2) Notwithstanding subdivision 3, paragraph (c), an individual eligible for the
shelter needy benefit under this paragraph is considered a household of one.new text end An eligible
individual who receives this benefit prior to age 65 may continue to receive the benefit
after the age of 65.

new text begin (3) new text end "Shelter needy" means that the assistance unit incurs monthly shelter costs that
exceed 40 percent of the assistance unit's gross income before the application of this
special needs standard. "Gross income" for the purposes of this section is the applicant's or
recipient's income as defined in section 256D.35, subdivision 10, or the standard specified
in subdivision 3, new text begin paragraph (a) or (b), new text end whichever is greater. A recipient of a federal or
state housing subsidy, that limits shelter costs to a percentage of gross income, shall not be
considered shelter needy for purposes of this paragraph.

new text begin This section is effective January 1, 2009.
new text end

new text begin The commissioner of human services shall evaluate the extent to which the
alternative payment system reimbursement methodology for pension costs leads to
funding shortfalls for nursing facilities that convert from public to private ownership. By
December 15, 2008, the commissioner shall report to the legislature on recommendations
for any changes to the alternative payment system reimbursement methodology for
pension costs necessary to ensure the financial viability of nursing facilities. The
commissioner shall pay for any costs related to this study using existing resources.
new text end

new text begin The commissioner of health may waive the six-mile limit in Minnesota Statutes,
section 144A.073, subdivision 5, paragraph (e), when considering a moratorium exception
proposal submitted under Minnesota Statutes, section 144A.073, to allow a nursing
facility providing specialty care in Minneapolis to close and relocate beds to a new facility
in Robbinsdale under common ownership.
new text end

Minnesota Statutes 2006, section 13.461, is amended by adding a
subdivision to read:

new text begin Data provided to the commissioner of human
services by managed care plans relating to contracts and provider payment rates are
classified under section 256B.69, subdivision 9b.
new text end

Minnesota Statutes 2006, section 256.01, is amended by adding a subdivision
to read:

new text begin (a) For
purposes of this subdivision, "state health care program" means the medical assistance,
MinnesotaCare, or general assistance medical care programs.
new text end

new text begin (b) By July 1, 2010, the commissioner shall improve coordination between state
health care programs and social service programs including but not limited to WIC, free
and reduced school lunch programs, and food stamps, and shall develop and use automated
systems to identify persons served by social service programs who may be eligible for, but
are not enrolled in, a state health care program. The system must also permit enrollees to
renew state health care program enrollment through these social services programs. By
January 15, 2010, the commissioner shall, as necessary, identify and recommend to the
legislature statutory changes to state health care and social service programs necessary
to improve coordination and automation of outreach and enrollment efforts, and report
estimated local and state costs of implementation and evaluate funding alternatives,
including possible federal reimbursement.
new text end

new text begin (c) By January 15, 2010, the commissioner shall establish and implement an
automated process to send out state health care program renewal forms in the most
common foreign languages to those state health care program enrollees who request
renewal forms in those foreign languages. The commissioner, as part of the initial
enrollment process, shall inform applicants of the availability of this option.
new text end

new text begin (d) Beginning July 1, 2010, the commissioner, county social service agencies, and
health care providers shall update state health care program enrollee addresses and related
contact information at the time of each enrollee contact. The commissioner shall report
the costs of automatically updating contact information across programs to health care
providers and county agencies.
new text end

Minnesota Statutes 2006, section 256B.69, subdivision 5a, is amended to read:

(a) Managed care contracts under this section
and sections 256L.12 and 256D.03, shall be entered into or renewed on a calendar year
basis beginning January 1, 1996. Managed care contracts which were in effect on June
30, 1995, and set to renew on July 1, 1995, shall be renewed for the period July 1, 1995
through December 31, 1995 at the same terms that were in effect on June 30, 1995. The
commissioner may issue separate contracts with requirements specific to services to
medical assistance recipients age 65 and older.

(b) A prepaid health plan providing covered health services for eligible persons
pursuant to chapters 256B, 256D, and 256L, is responsible for complying with the terms
of its contract with the commissioner. Requirements applicable to managed care programs
under chapters 256B, 256D, and 256L, established after the effective date of a contract
with the commissioner take effect when the contract is next issued or renewed.

(c) Effective for services rendered on or after January 1, 2003, the commissioner
shall withhold five percent of managed care plan payments under this section for the
prepaid medical assistance and general assistance medical care programs pending
completion of performance targets. Each performance target must be quantifiable,
objective, measurable, and reasonably attainable, except in the case of a performance
target based on a federal or state law or rule. Criteria for assessment of each performance
target must be outlined in writing prior to the contract effective date. new text begin The managed
care plan must demonstrate, to the commissioner's satisfaction, that the data submitted
regarding attainment of the performance target is accurate. The commissioner shall
periodically change the administrative measures used as performance targets in order
to improve plan performance across a broader range of administrative services. The
performance targets must include measurement of plan efforts to contain spending
on health care services and administrative activities. The commissioner may adopt
plan-specific performance targets that take into account factors affecting only one plan,
including characteristics of the plan's enrollee population. new text end The withheld funds must be
returned no sooner than July of the following year if performance targets in the contract
are achieved. The commissioner may exclude special demonstration projects under
subdivision 23. A managed care plan or a county-based purchasing plan under section
256B.692 may include as admitted assets under section 62D.044 any amount withheld
under this paragraph that is reasonably expected to be returned.

Minnesota Statutes 2006, section 256B.69, is amended by adding a subdivision
to read:

new text begin (a) Managed care plan and county-based
purchasing plan administrative costs for a prepaid health plan provided under this section
or section 256B.692 must not exceed by more than five percent that prepaid health plan's
or county-based purchasing plan's actual calculated administrative spending for the
previous calendar year as a percentage of total revenue. The penalty for exceeding this
limit must be the amount of administrative spending in excess of 105 percent of the actual
calculated amount. The commissioner may waive this penalty if the excess administrative
spending is the result of unexpected shifts in enrollment or member needs or new program
requirements.
new text end

new text begin (b) Capitated rate payments for administrative costs must be reduced to exclude
onetime or sporadic expenditures in the prior year unless the managed care plan certifies
that the expenditure will recur during the contract year. The commissioner shall verify
these certifications on an annual basis and recoup any payments made for onetime or
sporadic expenditures that did not occur in the prior year.
new text end

new text begin (c) Expenses listed under section 62D.12, subdivision 9a, clause (4), are not
allowable administrative expenses for rate-setting purposes under this section, unless
approved by the commissioner.
new text end

Minnesota Statutes 2006, section 256B.69, is amended by adding a subdivision
to read:

new text begin Capitation rates shall treat investment
income and interest earnings as income to the same extent that investment-related
expenses are treated as administrative expenditures.
new text end

Minnesota Statutes 2006, section 256B.69, is amended by adding a subdivision
to read:

new text begin Each managed care plan and
county-based purchasing plan must provide to the commissioner detailed information on
administrative spending, including:
new text end

new text begin (1) itemized lists of costs for claims processing and provider network management;
new text end

new text begin (2) detailed reports of costs for contracts with providers and third-party
administrators;
new text end

new text begin (3) a detailed analysis of administrative spending for each Minnesota health care
program;
new text end

new text begin (4) a detailed analysis of the provider's allocation of administrative expenses among
its public and commercial lines of business;
new text end

new text begin (5) a detailed analysis of administrative costs by service category; and
new text end

new text begin (6) a detailed analysis of onetime and sporadic expenditures included in the
administrative spending category.
new text end

Minnesota Statutes 2006, section 256B.69, is amended by adding a subdivision
to read:

new text begin (a) Each
managed care plan and county-based purchasing plan must provide to the commissioner:
new text end

new text begin (1) detailed information on contracts with health care providers; and
new text end

new text begin (2) detailed information on reimbursement rates paid by the managed care plan
to providers under contract with the plan.
new text end

new text begin (b) Data provided to the commissioner under this subdivision are nonpublic data as
defined in section 13.02.
new text end

Minnesota Statutes 2006, section 256B.692, is amended by adding a
subdivision to read:

new text begin (a) A county that has elected to participate
in a county-based purchasing plan under this section shall use any excess revenues over
expenses that are received by the county and are not needed for capital reserves under
subdivision 2, to increase payments to providers, or to repay county investments or
contributions to the county-based purchasing plan, for prevention, early intervention, and
health care programs, services, or activities.
new text end

new text begin (b) A county-based purchasing plan under this section is subject to the unreasonable
expense provisions of section 62D.19.
new text end

Minnesota Statutes 2006, section 256L.12, subdivision 9, is amended to read:

(a) Rates will be prospective,
per capita, where possible. The commissioner may allow health plans to arrange for
inpatient hospital services on a risk or nonrisk basis. The commissioner shall consult with
an independent actuary to determine appropriate rates.

(b) For services rendered on or after January 1, 2003, to December 31, 2003, the
commissioner shall withhold .5 percent of managed care plan payments under this section
pending completion of performance targets. The withheld funds must be returned no
sooner than July 1 and no later than July 31 of the following year if performance targets
in the contract are achieved. A managed care plan may include as admitted assets under
section 62D.044 any amount withheld under this paragraph that is reasonably expected
to be returned.

(c) For services rendered on or after January 1, 2004, the commissioner shall
withhold five percent of managed care plan payments under this section pending
completion of performance targets. Each performance target must be quantifiable,
objective, measurable, and reasonably attainable, except in the case of a performance target
based on a federal or state law or rule. Criteria for assessment of each performance target
must be outlined in writing prior to the contract effective date. new text begin The managed care plan
must demonstrate, to the commissioner's satisfaction, that the data submitted regarding
attainment of the performance target is accurate. The commissioner shall periodically
change the administrative measures used as performance targets in order to improve plan
performance across a broader range of administrative services. The performance targets
must include measurement of plan efforts to contain spending on health care services and
administrative activities. The commissioner may adopt plan-specific performance targets
that take into account factors affecting only one plan, such as characteristics of the plan's
enrollee population. new text end The withheld funds must be returned no sooner than July 1 and no
later than July 31 of the following calendar year if performance targets in the contract are
achieved. A managed care plan or a county-based purchasing plan under section 256B.692
may include as admitted assets under section 62D.044 any amount withheld under this
paragraph that is reasonably expected to be returned.

new text begin By January 15, 2009, the commissioner of human services shall report to the
legislature under Minnesota Statutes, section 3.195, with the following information
regarding financial management of health care programs:
new text end

new text begin (1) a status report on implementation of the cost containment strategies identified in
the 2005 "Strategies for Savings" report. The report must include:
new text end

new text begin (i) information on progress made towards implementation of cost-saving strategies;
new text end

new text begin (ii) an explanation of why certain strategies were not implemented; and
new text end

new text begin (iii) where appropriate, alternative strategies to those recommended in 2005 for
containing public health care program costs;
new text end

new text begin (2) a description of and, to the extent possible, an explanation of recent differences
between the health plan net revenue targets established by the commissioner for health
plans participating in public health care programs and the actual net revenue realized by
the plans from public programs;
new text end

new text begin (3) the adequacy of public health care program for fee-for-service rates, including
an identification of service areas or geographical regions where enrollees have difficulty
accessing providers as the result of inadequate provider payments. This report must
include recommendations to increase rates as needed to eliminate identified access
problems; and
new text end

new text begin (4) a progress report on implementation of Minnesota Statutes, section 256B.76,
paragraph (e), requiring payments for physician and professional services to be based
on Medicare relative value units, and an estimated completion date for implementation
of this payment system.
new text end

new text begin (a) By January 15, 2009, the commissioner of health shall develop and report to the
legislature under Minnesota Statutes, section 3.195, guidelines to ensure that health plans,
and county-based purchasing plans where applicable, have consistent procedures for
allocating administrative expenses and investment income across their commercial and
public lines of business and across individual public programs. The guidelines must be
consistent with generally accepted accounting principles and principles from the National
Association of Insurance Commissioners. The guidelines must not have the effect of
changing allocation for Medicare-related programs as permitted by federal law and the
Centers for Medicare and Medicaid Services.
new text end

new text begin (b) By January 15, 2009, the commissioner of health, in cooperation with the
commissioners of commerce and human services, shall develop and report to the legislature
under Minnesota Statutes, section 3.195, detailed standards and procedures for examining
the reasonableness of health plan and county-based purchasing plan administrative
expenditures for publicly funded programs. These standards and procedures must include
a process for detailed examinations of individual programs and functional areas.
new text end

new text begin (c) By January 15, 2009, the commissioner of health shall develop and report
to the legislature under Minnesota Statutes, section 3.195, a more efficient method for
a health plan, and a county-based purchasing plan where appropriate, to demonstrate to
the commissioner that providers in the plan's network have appropriate credentials. The
commissioner shall review issues regarding:
new text end

new text begin (1) the duplicate review of credentials at a health care provider by multiple health
plans;
new text end

new text begin (2) the review of the credentials of all staff of a health care provider when only
limited staff will be in the plan network; and
new text end

new text begin (3) other duplicative credentialing issues.
new text end

new text begin By January 15, 2009, the commissioner of human services, in cooperation with the
ombudsman for managed care, shall study and report to the legislature under Minnesota
Statutes, section 3.195, with recommendations on whether the duties of the ombudsman
should be expanded to include advocating on behalf of public health care program
fee-for-service enrollees. The report must include:
new text end

new text begin (1) a comparison of the recourse available to managed care clients versus
fee-for-service clients when service problems occur; and
new text end

new text begin (2) an estimate of any net cost increase from this change in the ombudsman's duties,
taking into account any reduction in the commissioner's duties.
new text end

new text begin By January 15, 2009, the commissioner of human services, in cooperation with
the commissioner of health, shall report to the legislature under Minnesota Statutes,
section 3.195, with recommendations on the adoption of a single method to compute and
publicly report managed health care performance measures in order to avoid confusion
about the plans' performance levels. The study must include recommendations regarding
coordinated use by the two agencies of the following data sources:
new text end

new text begin (1) Healthcare Effectiveness Data and Information Set (HEDIS) from managed
care organizations;
new text end

new text begin (2) data that health plans submit to claim reimbursement for health care procedures;
and
new text end

new text begin (3) data collected from medical record reviews of randomly selected individuals.
new text end

new text begin (a) The commissioner of human services shall undertake a study to determine
whether alternative approaches to offering dental coverage to public programs enrollees
would result in:
new text end

new text begin (1) improved access to dental care;
new text end

new text begin (2) cost savings to providers and the department; and
new text end

new text begin (3) improved quality and outcomes of care.
new text end

new text begin Alternatives considered must include moving to a single dental plan administrator,
retaining the current model, and other innovative approaches. Issues relating to chronic
disease management, medical and dental interface, plan payment approaches, and provider
payment should also be addressed. The report must make a recommendation on whether
to alter the current approach to contracting for dental services, and include a detailed
plan on how to implement any changes. The commissioner shall consult with dentists,
safety net dental providers, dental plans, health plans and county-based purchasing
organizations, patients and advocates, and other interested parties in developing their
findings and recommendations.
new text end

new text begin (b) By December 15, 2008, the commissioner of human services shall report findings
and recommendations to the chairs of the house of representatives and senate committees
having jurisdiction over health and human services policy and finance.
new text end

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

new text begin The commissioner of human services shall not reduce the number of registered nurse
full-time equivalent positions at the Eveleth Community Behavior Health Hospital below
the level of funded positions that existed on January 1, 2008.
new text end

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

new text begin (a) The commissioner of human services shall convene a work group and seek
information from counties, juvenile court staff, guardians ad litem, and mental health and
child welfare advocates on the impact of federal regulations that cut funding for targeted
case management services and the child support administrative collection system. The
work group shall consider the impact these cuts will have on child protection, mental
health, and housing relocation services.
new text end

new text begin (b) The commissioner shall issue a report from the work group summarizing the
impact of the federal budget cuts on persons eligible for targeted case management
services and the impact on county budgets. This report shall include budget and policy
strategies to restore service levels to that of the year prior to the effective date of the
federal regulations. A preliminary report shall be issued on December 15, 2008.
new text end

Minnesota Statutes 2007 Supplement, section 256.741, subdivision 1,
is amended to read:

(a) The term "direct support" as used
in this chapter and chapters 257, 518, 518A, and 518C refers to an assigned support
payment from an obligor which is paid directly to a recipient of deleted text begin TANF or MFIPdeleted text end new text begin public
assistancenew text end .

(b) The term "public assistance" as used in this chapter and chapters 257, 518, 518A,
and 518C, includes any form of assistance provided under the AFDC program formerly
codified in sections 256.72 to 256.87, MFIP and MFIP-R formerly codified under chapter
256, MFIP under chapter 256J, work first program new text begin formerly codified new text end under chapter 256K;
child care assistance provided through the child care fund under chapter 119B; any form
of medical assistance under chapter 256B; MinnesotaCare under chapter 256L; and foster
care as provided under title IV-E of the Social Security Act.

(c) The term "child support agency" as used in this section refers to the public
authority responsible for child support enforcement.

(d) The term "public assistance agency" as used in this section refers to a public
authority providing public assistance to an individual.

new text begin (e) The terms "child support" and "arrears" as used in this section have the meanings
provided in section 518A.26.
new text end

new text begin (f) The term "maintenance" as used in this section has the meaning provided in
section 518.003.
new text end

Minnesota Statutes 2006, section 256.741, subdivision 2, is amended to read:

(a) An individual
receiving public assistance in the form of assistance under any of the following programs:
the AFDC program formerly codified in sections 256.72 to 256.87, MFIP under chapter
256J, MFIP-R and MFIP formerly codified under chapter 256, or work first new text begin program
formerly codified under chapter 256K new text end is considered to have assigned to the state at the
time of application all rights to child support and maintenance from any other person the
applicant or recipient may have in the individual's own behalf or in the behalf of any other
family member for whom application for public assistance is made. An assistance unit is
ineligible for the Minnesota family investment program unless the caregiver assigns all
rights to child support and deleted text begin spousaldeleted text end maintenance benefits according to this section.

(1) deleted text begin Andeleted text end new text begin The new text end assignment deleted text begin made according to this sectiondeleted text end is effective as todeleted text begin :
deleted text end

deleted text begin (i)deleted text end any current child support and current deleted text begin spousaldeleted text end maintenancedeleted text begin ; anddeleted text end new text begin .
new text end

deleted text begin (ii) any accrued child support and spousal maintenance arrears.
deleted text end

deleted text begin (2) An assignment made after September 30, 1997, is effective as to:
deleted text end

deleted text begin (i) any current child support and current spousal maintenance;
deleted text end

deleted text begin (ii) any accrued child support and spousal maintenance arrears collected before
October 1, 2000, or the date the individual terminates assistance, whichever is later; and
deleted text end

deleted text begin (iii) any accrued child support and spousal maintenance arrears collected under
federal tax intercept.
deleted text end

new text begin (2) Any child support or maintenance arrears that accrue while an individual is
receiving public assistance in the form of assistance under any of the programs listed in
this paragraph are permanently assigned to the state.
new text end

new text begin (3) The assignment of current child support and current maintenance ends on the
date the individual ceases to receive or is no longer eligible to receive public assistance
under any of the programs listed in this paragraph.
new text end

(b) An individual receiving public assistance in the form of medical assistance,
including MinnesotaCare, is considered to have assigned to the state at the time of
application all rights to medical support from any other person the individual may have
in the individual's own behalf or in the behalf of any other family member for whom
medical assistance is provided.

new text begin (1) new text end An assignment made after September 30, 1997, is effective as to any medical
support accruing after the date of medical assistance or MinnesotaCare eligibility.

new text begin (2) Any medical support arrears that accrue while an individual is receiving public
assistance in the form of medical assistance, including MinnesotaCare, are permanently
assigned to the state.
new text end

new text begin (3) The assignment of current medical support ends on the date the individual ceases
to receive or is no longer eligible to receive public assistance in the form of medical
assistance or MinnesotaCare.
new text end

(c) An individual receiving public assistance in the form of child care assistance
under the child care fund pursuant to chapter 119B is considered to have assigned to the
state at the time of application all rights to child care support from any other person the
individual may have in the individual's own behalf or in the behalf of any other family
member for whom child care assistance is provided.

deleted text begin Andeleted text end new text begin (1) The new text end assignment deleted text begin made according to this paragraphdeleted text end is effective as todeleted text begin :
deleted text end

deleted text begin (1)deleted text end any current child care support deleted text begin and any child care support arrears assigned and
accruing after July 1, 1997, that are collected before October 1, 2000; anddeleted text end new text begin .
new text end

(2) deleted text begin any accrued child care support arrears collected under federal tax intercept.deleted text end new text begin Any
child care support arrears that accrue while an individual is receiving public assistance in
the form of child care assistance under the child care fund in chapter 119B are permanently
assigned to the state.
new text end

new text begin (3) The assignment of current child care support ends on the date the individual
ceases to receive or is no longer eligible to receive public assistance in the form of child
care assistance under the child care fund under chapter 119B.
new text end

Minnesota Statutes 2006, section 256.741, subdivision 2a, is amended to read:

new text begin (a) The
state shall distribute current child support and maintenance received by the state to an
individual who assigns the right to that support under subdivision 2, paragraph (a).
new text end

new text begin (b) new text end When the public authority collects new text begin child new text end support arrearages on behalf of an
individual who is receiving new text begin public new text end assistance deleted text begin provided under MFIP or MFIP-R under
this chapter, MFIP under chapter 256J, or work first under chapter 256K, and the public
authority has the option of applying the collection to arrears permanently assigned to the
state or to arrears temporarily assigned to the statedeleted text end , the public authority shall first apply the
collection to satisfy those arrears that are permanently assigned to the state.

new text begin (c) When the public authority collects child support arrearages on behalf of an
individual who is not receiving public assistance, the public authority shall first apply the
collection to satisfy those arrears that are not permanently assigned to the state.
new text end

new text begin (d) When the public authority collects child support arrearages certified under the
federal tax offset, the public authority shall first apply the collection to satisfy those arrears
that are permanently assigned to the state.
new text end

Minnesota Statutes 2006, section 256.741, subdivision 3, is amended to read:

Assignments based on the receipt of public
assistance in existence prior to July 1, 1997, are permanently assigned to the state.new text begin Arrears
that accrued prior to the receipt of assistance that were assigned to the state between July
1, 1997, and October 1, 2009, must no longer be assigned as of October 1, 2009.
new text end

new text begin This section is effective October 1, 2009.
new text end

Minnesota Statutes 2007 Supplement, section 256J.621, is amended to read:

(a) new text begin Effective March 1, 2010, new text end upon exiting the diversionary work program (DWP) or
upon terminating new text begin the Minnesota family investment program (new text end MFIPnew text begin )new text end deleted text begin cash assistancedeleted text end with
earnings, a participant who is employed may be eligible for deleted text begin transitional assistancedeleted text end new text begin work
participation food benefitsnew text end of $75 per month to assist in meeting the family's basic needs
as the participant continues to move toward self-sufficiency.

(b) To be eligible for deleted text begin a transitional assistance paymentdeleted text end new text begin work participation food
benefitsnew text end , the participant shall not receive MFIP deleted text begin cash assistancedeleted text end or diversionary work
program assistance during the month and the participant or participants must meet the
following work requirements:

(1) if the participant is a single caregiver and has a child under six years of age, the
participant must be employed at least 87 hours per month;

(2) if the participant is a single caregiver and does not have a child under six years of
age, the participant must be employed at least 130 hours per month; or

(3) if the household is a two-parent family, at least one of the parents must be
employed an average of at least 130 hours per month.

Whenever a participant exits the diversionary work program or is terminated from
MFIP deleted text begin cash assistancedeleted text end and meets the other criteria in this section, deleted text begin transitional assistance isdeleted text end
new text begin work participation food benefits are new text end available for up to 24 consecutive months.

(c) Expenditures on the program are maintenance of effort state funds for participants
under paragraph (b), clauses (1) and (2). Expenditures for participants under paragraph
(b), clause (3), are nonmaintenance of effort funds. Months in which a participant receives
deleted text begin transitional assistancedeleted text end new text begin work participation food benefits new text end under this section do not count
toward the participant's MFIP 60-month time limit.

Minnesota Statutes 2006, section 518A.50, is amended to read:

(a) This section applies to all proceedings involving a support order, including, but
not limited to, a support order establishing an order for past support or reimbursement
of public assistance.

(b) The court shall direct that all payments ordered for maintenance or support
be made to the public authority responsible for child support enforcement so long as
the obligee is receiving or has applied for public assistance, or has applied for child
support or maintenance collection services. Public authorities responsible for child
support enforcement may act on behalf of other public authorities responsible for child
support enforcement, including the authority to represent the legal interests of or execute
documents on behalf of the other public authority in connection with the establishment,
enforcement, and collection of child support, maintenance, or medical support, and
collection on judgments.

(c) Payments made to the public authority deleted text begin other than payments under section
518A.53deleted text end must be credited as of the date the payment is received by the central collections
unitdeleted text begin .deleted text end new text begin , except that payments made under section 518A.53 may be considered to have been
paid as of the date the obligor received the remainder of the income.
new text end

(d) Monthly amounts received by the public agency responsible for child support
enforcement from the obligor that are greater than the monthly amount of public assistance
granted to the obligee must be remitted to the obligee.

new text begin This section is effective October 1, 2009.
new text end

Minnesota Statutes 2006, section 518A.53, subdivision 5, is amended to read:

(a) An order for or notice of withholding
is binding on a payor of funds upon receipt. Withholding must begin no later than the first
pay period that occurs after 14 days following the date of receipt of the order for or notice
of withholding. In the case of a financial institution, preauthorized transfers must occur in
accordance with a court-ordered payment schedule.

(b) A payor of funds shall withhold from the income payable to the obligor the
amount specified in the order or notice of withholding and amounts specified under
subdivisions 6 and 9 and shall remit the amounts withheld to the public authority within
seven business days of the date the obligor is paid the remainder of the income. The payor
of funds shall include with the remittance the Social Security number of the obligor, the
case type indicator as provided by the public authority and the date the obligor is paid
the remainder of the income. deleted text begin The obligor is considered to have paid the amount withheld
as of the date the obligor received the remainder of the income.deleted text end A payor of funds may
combine all amounts withheld from one pay period into one payment to each public
authority, but shall separately identify each obligor making payment.

(c) A payor of funds shall not discharge, or refuse to hire, or otherwise discipline an
employee as a result of wage or salary withholding authorized by this section. A payor of
funds shall be liable to the obligee for any amounts required to be withheld. A payor of
funds that fails to withhold or transfer funds in accordance with this section is also liable
to the obligee for interest on the funds at the rate applicable to judgments under section
549.09, computed from the date the funds were required to be withheld or transferred.
A payor of funds is liable for reasonable attorney fees of the obligee or public authority
incurred in enforcing the liability under this paragraph. A payor of funds that has failed
to comply with the requirements of this section is subject to contempt sanctions under
section 518A.73. If the payor of funds is an employer or independent contractor and
violates this subdivision, a court may award the obligor twice the wages lost as a result
of this violation. If a court finds a payor of funds violated this subdivision, the court
shall impose a civil fine of not less than $500. The liabilities in this paragraph apply to
intentional noncompliance with this section.

(d) If a single employee is subject to multiple withholding orders or multiple notices
of withholding for the support of more than one child, the payor of funds shall comply
with all of the orders or notices to the extent that the total amount withheld from the
obligor's income does not exceed the limits imposed under the Consumer Credit Protection
Act, United States Code, title 15, section 1673(b), giving priority to amounts designated in
each order or notice as current support as follows:

(1) if the total of the amounts designated in the orders for or notices of withholding
as current support exceeds the amount available for income withholding, the payor of
funds shall allocate to each order or notice an amount for current support equal to the
amount designated in that order or notice as current support, divided by the total of the
amounts designated in the orders or notices as current support, multiplied by the amount
of the income available for income withholding; and

(2) if the total of the amounts designated in the orders for or notices of withholding
as current support does not exceed the amount available for income withholding, the
payor of funds shall pay the amounts designated as current support, and shall allocate to
each order or notice an amount for past due support, equal to the amount designated in
that order or notice as past due support, divided by the total of the amounts designated in
the orders or notices as past due support, multiplied by the amount of income remaining
available for income withholding after the payment of current support.

(e) When an order for or notice of withholding is in effect and the obligor's
employment is terminated, the obligor and the payor of funds shall notify the public
authority of the termination within ten days of the termination date. The termination
notice shall include the obligor's home address and the name and address of the obligor's
new payor of funds, if known.

(f) A payor of funds may deduct one dollar from the obligor's remaining salary for
each payment made pursuant to an order for or notice of withholding under this section to
cover the expenses of withholding.

new text begin This section is effective October 1, 2009.
new text end

Laws 2007, chapter 147, article 2, section 21, the effective date, is amended to
read:

Subdivision 1 is effective February 1, 2008, and subdivision
2 is effective deleted text begin May 1, 2008deleted text end new text begin March 1, 2009new text end .

Laws 2007, chapter 147, article 19, section 3, subdivision 1, is amended to read:

5,294,627,000

5,695,458,000

Appropriations by Fund
	2008	2009
General	4,614,727,000	4,940,293,000
State Government Special Revenue	549,000	565,000
Health Care Access	426,628,000	492,759,000
Federal TANF	250,537,000	260,051,000
Lottery Prize Fund	2,185,000	1,790,000

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

Receipts for Systems Projects.
Appropriations and federal receipts for
information system projects for MAXIS,
PRISM, MMIS, and SSIS must be deposited
in the state system account authorized in
Minnesota Statutes, section 256.014. Money
appropriated for computer projects approved
by the Minnesota Office of Enterprise
Technology, funded by the legislature, and
approved by the commissioner of finance,
may be transferred from one project to
another and from development to operations
as the commissioner of human services
considers necessary. Any unexpended
balance in the appropriation for these
projects does not cancel but is available for
ongoing development and operations.

Pay for Performance. (a) Of the general
fund appropriation, $272,000 each year
is available to the commissioner of
human services only under the following
circumstances:

(1) $272,000 shall be made available by the
commissioner of finance on January 1, 2009,
only after notification by the commissioner
of human services to the commissioner of
finance and to the chairs of the relevant house
of representatives and senate finance and
policy committees that the average number
of days from the receipt of a MinnesotaCare
application at the state processing unit until
the initial eligibility determination of the
application was 30 days or less during the
period October 1, 2007, to September 30,
2008. Applications transferred from counties
to the state processing unit are excluded from
this calculation; and

(2) $272,000 shall be made available by the
commissioner of finance on January 1, 2009,
only after notification by the commissioner
of human services to the commissioner of
finance and to the chairs of the relevant
house of representatives and senate finance
and policy committees that the commissioner
initiated a separate treatment program for
persons in the Minnesota sex offenders
program who are between the ages of 18 and
25 by January 1, 2008.

(b) Regardless of whether these
appropriations are made available to
the commissioner of human services, they
shall be part of base level funding for the
biennium beginning July 1, 2009.

Purchasing Alliance Fund Transfer.
On September 1, 2007, any remaining
balance in the purchasing alliance stop-loss
fund account established under Minnesota
Statutes, section 256.956, shall transfer to
the general fund.

Nonfederal Share Transfers. The
nonfederal share of activities for which
federal administrative reimbursement is
appropriated to the commissioner may be
transferred to the special revenue fund.

TANF Maintenance of Effort. (a) In order
to meet the basic MOE requirements of the
TANF block grant specified under Code
of Federal Regulations, title 45, section
263.1, the commissioner may only report
nonfederal money expended for allowable
activities listed in the following clauses as
TANF/MOE expenditures:

(1) MFIP cash, diversionary work program,
and food assistance benefits under Minnesota
Statutes, chapter 256J;

(2) the child care assistance programs
under Minnesota Statutes, sections 119B.03
and 119B.05, and county child care
administrative costs under Minnesota
Statutes, section 119B.15;

(3) state and county MFIP administrative
costs under Minnesota Statutes, chapters
256J and 256K;

(4) state, county, and tribal MFIP
employment services under Minnesota
Statutes, chapters 256J and 256K;

(5) expenditures made on behalf of
noncitizen MFIP recipients who qualify
for the medical assistance without federal
financial participation program under
Minnesota Statutes, section 256B.06,
subdivision 4, paragraphs (d), (e), and (j);
and

(6) qualifying working family credit
expenditures under Minnesota Statutes,
section 290.0671.

(b) The commissioner shall ensure that
sufficient qualified nonfederal expenditures
are made each year to meet the state's
TANF/MOE requirements. For the activities
listed in paragraph (a), clauses (2) to
(6), the commissioner may only report
expenditures that are excluded from the
definition of assistance under Code of
Federal Regulations, title 45, section 260.31.

(c) The commissioner shall ensure that the
MOE used by the commissioner of finance
for the February and November forecasts
required under Minnesota Statutes, section
16A.103, contains expenditures under
paragraph (a), clause (1), equal to at least 16
percent of the total required under Code of
Federal Regulations, title 45, section 263.1.

(d) new text begin For the federal fiscal year beginning
October 1, 2007, the commissioner may not
claim an amount of TANF/MOE in excess of
the 75 percent standard in Code of Federal
Regulations, title 45, section 263.1(a)(2),
except:
new text end

new text begin (1) to the extent necessary to meet the 80
percent standard under Code of Federal
Regulations, title 45, section 263.1(a)(1),
if it is determined by the commissioner
that the state will not meet the TANF work
participation target rate for the current year;
new text end

new text begin (2) to provide any additional amounts under
Code of Federal Regulations, title 45, section
264.5, that relate to replacement of TANF
funds due to the operation of TANF penalties;
new text end

new text begin (3) to provide any additional amounts that
may contribute to avoiding or reducing
TANF work participation penalties through
the operation of the excess MOE provisions
of Code of Federal Regulations, title 45,
section 261.43(a)(2); and
new text end

new text begin (4) for the purposes of clauses (1) to (3),
the commissioner may supplement the
MOE claim with working family credit
expenditures to the extent such expenditures
or other qualified expenditures are otherwise
available after considering the expenditures
allowed in this section.
new text end

new text begin (e) If allowable by the federal Office of
Family Assistance, the commissioner may
claim excess MOE with respect to federal
fiscal years 2006 and 2007 to the extent
that working family credit expenditures are
otherwise available to supplement the state's
MOE claim for those years after considering
the expenditures allowed in this subdivision.
new text end

new text begin If other qualified expenditures are available,
the commissioner may use those expenditures
as excess MOE and by April 15, 2009,
shall report those expenditures to the chairs
of the senate and house of representatives
Finance Committees, the senate Health and
Human Services Budget Division, and house
of representatives Health Care and Human
Services Finance Division.
new text end

deleted text begin (d)deleted text end new text begin (f)new text end Minnesota Statutes, section 256.011,
subdivision 3, which requires that federal
grants or aids secured or obtained under that
subdivision be used to reduce any direct
appropriations provided by law, does not
apply if the grants or aids are federal TANF
funds.

deleted text begin (e)deleted text end new text begin (g)new text end Notwithstanding any contrary
provision in this article, this rider expires
June 30, 2011.

Working Family Credit Expenditures as
TANF/MOE. The commissioner may claim
as TANF/MOE up to $6,707,000 per year
for fiscal year 2008 through fiscal year 2011.
Notwithstanding any contrary provision in
this article, this rider expires June 30, 2011.

Additional Working Family Credit
Expenditures to be Claimed for
TANF/MOE. In addition to the amounts
provided in this section, the commissioner
may count the following amounts of working
family credit expenditure as TANF/MOE:

(1) fiscal year 2008, deleted text begin $11,097,000deleted text end new text begin
$28,222,000new text end ;

(2) fiscal year 2009, deleted text begin $25,401,000deleted text end new text begin
$42,905,000new text end ;

(3) fiscal year 2010, deleted text begin $20,398,000deleted text end
new text begin $29,026,000new text end ; and

(4) fiscal year 2011, deleted text begin $19,841,000deleted text end
new text begin $28,361,000new text end .

Notwithstanding any contrary provision in
this article, this rider expires June 30, 2011.

Capitation Rate Increase. Of the health care
access fund appropriations to the University
of Minnesota in the higher education
omnibus appropriation bill, $2,157,000 in
fiscal year 2008 and $2,157,000 in fiscal year
2009 are to be used to increase the capitation
payments under Minnesota Statutes, section
256B.69.

new text begin Minnesota Statutes 2006, sections 256.741, subdivision 15; and 256J.24, subdivision
6, new text end new text begin are repealed.
new text end

Minnesota Statutes 2006, section 256.969, subdivision 2b, is amended to
read:

In determining operating payment rates for
admissions occurring on or after the rate year beginning January 1, 1991, and every two
years after, or more frequently as determined by the commissioner, the commissioner
shall obtain operating data from an updated base year and establish operating payment
rates per admission for each hospital based on the cost-finding methods and allowable
costs of the Medicare program in effect during the base year. Rates under the general
assistance medical care, medical assistance, and MinnesotaCare programs shall not be
rebased to more current data on January 1, 1997, deleted text begin anddeleted text end January 1, 2005new text begin , and for the first
year of the rebased period beginning January 1, 2009new text end . The base year operating payment
rate per admission is standardized by the case mix index and adjusted by the hospital
cost index, relative values, and disproportionate population adjustment. The cost and
charge data used to establish operating rates shall only reflect inpatient services covered
by medical assistance and shall not include property cost information and costs recognized
in outlier payments.

Minnesota Statutes 2006, section 256.969, subdivision 20, is amended to read:

(a)
Medical assistance inpatient payments shall increase 20 percent for inpatient hospital
originally paid admissions, excluding Medicare crossovers, that occurred between July 1,
1988 and December 31, 1990, if: (i) the hospital had 100 or fewer Minnesota medical
assistance annualized paid admissions, excluding Medicare crossovers, that were paid by
March 1, 1988, for the period January 1, 1987 to June 30, 1987; (ii) the hospital had 100
or fewer licensed beds on March 1, 1988; (iii) the hospital is located in Minnesota; and
(iv) the hospital is not located in a city of the first class as defined in section 410.01.
For purposes of this paragraph, medical assistance does not include general assistance
medical care.

(b) Medical assistance inpatient payments shall increase 15 percent for inpatient
hospital originally paid admissions, excluding Medicare crossovers, that occurred between
July 1, 1988 and December 31, 1990, if: (i) the hospital had more than 100 but fewer
than 250 Minnesota medical assistance annualized paid admissions, excluding Medicare
crossovers, that were paid by March 1, 1988, for the period January 1, 1987 to June 30,
1987; (ii) the hospital had 100 or fewer licensed beds on March 1, 1988; (iii) the hospital
is located in Minnesota; and (iv) the hospital is not located in a city of the first class as
defined in section 410.01. For purposes of this paragraph, medical assistance does not
include general assistance medical care.

(c) Medical assistance inpatient payment rates shall increase 20 percent for inpatient
hospital originally paid admissions, excluding Medicare crossovers, that occur on or
after October 1, 1992, if: (i) the hospital had 100 or fewer Minnesota medical assistance
annualized paid admissions, excluding Medicare crossovers, that were paid by March
1, 1988, for the period January 1, 1987 to June 30, 1987; (ii) the hospital had 100 or
fewer licensed beds on March 1, 1988; (iii) the hospital is located in Minnesota; and (iv)
the hospital is not located in a city of the first class as defined in section 410.01. For a
hospital that qualifies for an adjustment under this paragraph and under subdivision 9 or
23, the hospital must be paid the adjustment under subdivisions 9 and 23, as applicable,
plus any amount by which the adjustment under this paragraph exceeds the adjustment
under those subdivisions. For this paragraph, medical assistance does not include general
assistance medical care.

(d) Medical assistance inpatient payment rates shall increase 15 percent for inpatient
hospital originally paid admissions, excluding Medicare crossovers, that occur after
September 30, 1992, if: (i) the hospital had more than 100 but fewer than 250 Minnesota
medical assistance annualized paid admissions, excluding Medicare crossovers, that
were paid by March 1, 1988, for the period January 1, 1987 to June 30, 1987; (ii) the
hospital had 100 or fewer licensed beds on March 1, 1988; (iii) the hospital is located in
Minnesota; and (iv) the hospital is not located in a city of the first class as defined in
section 410.01. For a hospital that qualifies for an adjustment under this paragraph and
under subdivision 9 or 23, the hospital must be paid the adjustment under subdivisions
9 and 23, as applicable, plus any amount by which the adjustment under this paragraph
exceeds the adjustment under those subdivisions. For purposes of this paragraph, medical
assistance does not include general assistance medical care.

new text begin (e) For admissions occurring on or after July 1, 2008, fee-for-service inpatient
payments must increase eight percent for a hospital with a medical assistance inpatient
utilization rate of 17.95 percent of total patient days as of the base year in effect on July 1,
2005, and nine percent for a hospital with a medical assistance inpatient utilization rate of
59.60 percent of total patient days as of the base year in effect on July 1, 2005. Payments
made to managed care plans must not be increased to reflect this increase. For purposes of
this paragraph, medical assistance does not include general assistance medical care.
new text end

Minnesota Statutes 2006, section 256B.0571, subdivision 8, is amended to read:

(a) The commissioner, in cooperation with the
commissioner of commerce, shall establish the Minnesota partnership for long-term care
program to provide for the financing of long-term care through a combination of private
insurance and medical assistance.

(b) An individual who meets the requirements in this paragraph is eligible to
participate in the partnership program. The individual must:

(1) be a Minnesota resident at the time coverage first became effective under the
partnership policy;new text begin and
new text end

(2) be a beneficiary of a partnership policy that (i) is issued on or after the effective
date of the state plan amendment implementing the partnership program in Minnesota, or
(ii) qualifies as a partnership policy under the provisions of subdivision 8adeleted text begin ; anddeleted text end new text begin .
new text end

deleted text begin (3) have exhausted all of the benefits under the partnership policy as described in this
section. Benefits received under a long-term care insurance policy before July 1, 2006, do
not count toward the exhaustion of benefits required in this subdivision.
deleted text end

Minnesota Statutes 2006, section 256B.0571, subdivision 9, is amended to read:

(a) Upon application for medical assistance
program payment of long-term care services by an individual who meets the requirements
described in subdivision 8, the commissioner shall determine the individual's eligibility
for medical assistance according to paragraphs (b) to (i).

(b) After determining assets subject to the asset limit under section 256B.056,
subdivision 3 or 3c, or 256B.057, subdivision 9 or 10, the commissioner shall allow the
individual to designate assets to be protected from recovery under subdivisions 13 and
15 up to the dollar amount of the benefits utilized under the partnership policynew text begin as of the
effective date of eligibility for medical assistance program payment of long-term care
services. Benefits utilized under a long-term care insurance policy before July 1, 2006,
do not count for the purpose of determining the amount of assets that can be designatednew text end .
Designated assets shall be disregarded for purposes of determining eligibility for payment
of long-term care services.new text begin The dollar amount of benefits utilized must be equal to the
amount of claims paid by the issuer under the policy as verified by the issuer.
new text end

(c) The individual shall identify the designated assets and the full fair market value
of those assets and designate them as assets to be protected at the time of deleted text begin initialdeleted text end application
for medical assistancenew text begin payment of long-term care servicesnew text end . The full fair market value of
real property or interests in real property shall be based on the most recent full assessed
value for property tax purposes for the real property, unless the individual provides a
complete professional appraisal by a licensed appraiser to establish the full fair market
value. The extent of a life estate in real property shall be determined using the life estate
table in the health care program's manual. Ownership of any asset in joint tenancy shall be
treated as ownership as tenants in common for purposes of its designation as a disregarded
asset. The unprotected value of any protected asset is subject to estate recovery according
to subdivisions 13 and 15.

(d) The right to designate assets to be protected is personal to the individual and
ends when the individual dies, except as otherwise provided in subdivisions 13 and
15. It does not include the increase in the value of the protected asset and the income,
dividends, or profits from the asset. It may be exercised by the individual or by anyone
with the legal authority to do so on the individual's behalf. It shall not be sold, assigned,
transferred, or given away.

(e) deleted text begin If the dollar amount of the benefits utilized under a partnership policy is greater
than the full fair market value of all assets protected at the time of the application for
medical assistance long-term care services,deleted text end new text begin As the individual continues to utilize benefits
under a partnership policy after eligibility for medical assistance payment of long-term
care services begins,new text end the individual may designatenew text begin , for additional protection, an increase
in the value of protected assets andnew text end additional assets that become available during the
individual's lifetime deleted text begin for protection under this sectiondeleted text end new text begin up to the amount of additional
benefits utilizednew text end . The individual must make the designation in writing to the county agency
no later than the last date on which the individual must report a change in circumstances to
the county agency, as provided for under the medical assistance program. deleted text begin Any excess used
for this purpose shall not be available to the individual's estate to protect assets in the estate
from recovery under section 256B.15 or 524.3-1202, or otherwise.deleted text end new text begin The amount used for
this purpose must reduce the unused amount of asset protection available to protect assets
in the individual's estate from recovery under section 256B.15 or 524.3-1202, or otherwise.
new text end

(f) This section applies only to estate recovery under United States Code, title 42,
section 1396p, subsections (a) and (b), and does not apply to recovery authorized by other
provisions of federal law, including, but not limited to, recovery from trusts under United
States Code, title 42, section 1396p, subsection (d)(4)(A) and (C), or to recovery from
annuities, or similar legal instruments, subject to section 6012, subsections (a) and (b), of
the Deficit Reduction Act of 2005, Public Law 109-171.

(g) An individual's protected assets owned by the individual's spouse who applies
for payment of medical assistance long-term care services shall not be protected assets or
disregarded for purposes of eligibility of the individual's spouse solely because they were
protected assets of the individual.

(h) Assets designated under this subdivision shall not be subject to penalty under
section 256B.0595.

(i) The commissioner shall otherwise determine the individual's eligibility
for payment of long-term care services according to medical assistance eligibility
requirements.

Minnesota Statutes 2007 Supplement, section 256B.0631, subdivision 1,
is amended to read:

(a) Except as provided in subdivision 2, the medical
assistance benefit plan shall include the following co-payments for all recipients, effective
for services provided on or after October 1, 2003, and before January 1, 2009:

(1) $3 per nonpreventive visit. For purposes of this subdivision, a visit means an
episode of service which is required because of a recipient's symptoms, diagnosis, or
established illness, and which is delivered in an ambulatory setting by a physician or
physician ancillary, chiropractor, podiatrist, nurse midwife, advanced practice nurse,
audiologist, optician, or optometrist;

(2) $3 for eyeglasses;

(3) $6 for nonemergency visits to a hospital-based emergency room; and

(4) $3 per brand-name drug prescription and $1 per generic drug prescription,
subject to a $12 per month maximum for prescription drug co-payments. No co-payments
shall apply to antipsychotic drugs when used for the treatment of mental illness.

(b) Except as provided in subdivision 2, the medical assistance benefit plan shall
include the following co-payments for all recipients, effective for services provided on
or after January 1, 2009:

(1) $6 for nonemergency visits to a hospital-based emergency room; deleted text begin and
deleted text end

(2) $3 per brand-name drug prescription and $1 per generic drug prescription,
subject to a $7 per month maximum for prescription drug co-payments. No co-payments
shall apply to antipsychotic drugs when used for the treatment of mental illnessdeleted text begin .deleted text end new text begin ; and
new text end

new text begin (3) for individuals identified by the commissioner with income at or below 100
percent of the federal poverty guidelines, total monthly co-payments must not exceed five
percent of family income. For purposes of this paragraph, family income is the total
earned and unearned income of the individual and the individual's spouse, if the spouse is
enrolled in medical assistance and also subject to the five percent limit on co-payments.
new text end

Minnesota Statutes 2007 Supplement, section 256B.0631, subdivision 3,
is amended to read:

(a) The medical assistance reimbursement to the provider shall
be reduced by the amount of the co-payment, except that deleted text begin reimbursement for prescription
drugsdeleted text end new text begin reimbursementsnew text end shall not be reducednew text begin :
new text end

new text begin (1)new text end once a recipient has reached the $12 per month maximum or the $7 per month
maximum effective January 1, 2009, for prescription drug co-paymentsnew text begin ; or
new text end

new text begin (2) for a recipient identified by the commissioner under 100 percent of the federal
poverty guidelines who has met their monthly five percent co-payment limitnew text end .

(b) The provider collects the co-payment from the recipient. Providers may not deny
services to recipients who are unable to pay the co-payment.

(c) Medical assistance reimbursement to fee-for-service providers and payments to
managed care plans shall not be increased as a result of the removal of the co-payments
effective January 1, 2009.

Minnesota Statutes 2006, section 256B.0917, subdivision 8, is amended to read:

(a) The organization
awarded the contract under subdivision 7, shall develop and administer a grant program
to establish or expand up to deleted text begin 33deleted text end new text begin 45new text end community-based organizations that will implement
living-at-home/block nurse programs that are designed to enable senior citizens to live as
independently as possible in their homes and in their communities. At least one-half of
the programs must be in counties outside the seven-county metropolitan area. Nonprofit
organizations and units of local government are eligible to apply for grants to establish
the community organizations that will implement living-at-home/block nurse programs.
In awarding grants, the organization awarded the contract under subdivision 7 shall give
preference to nonprofit organizations and units of local government from communities
that:

(1) have high nursing home occupancy rates;

(2) have a shortage of health care professionals;

(3) are located in counties adjacent to, or are located in, counties with existing
living-at-home/block nurse programs; and

(4) meet other criteria established by LAH/BN, Inc., in consultation with the
commissioner.

(b) Grant applicants must also meet the following criteria:

(1) the local community demonstrates a readiness to establish a community model
of care, including the formation of a board of directors, advisory committee, or similar
group, of which at least two-thirds is comprised of community citizens interested in
community-based care for older persons;

(2) the program has sponsorship by a credible, representative organization within
the community;

(3) the program has defined specific geographic boundaries and defined its
organization, staffing and coordination/delivery of services;

(4) the program demonstrates a team approach to coordination and care, ensuring
that the older adult participants, their families, the formal and informal providers are all
part of the effort to plan and provide services; and

(5) the program provides assurances that all community resources and funding will
be coordinated and that other funding sources will be maximized, including a person's
own resources.

(c) Grant applicants must provide a minimum of five percent of total estimated
development costs from local community funding. Grants shall be awarded for four-year
periods, and the base amount shall not exceed $80,000 per applicant for the grant period.
The organization under contract may increase the grant amount for applicants from
communities that have socioeconomic characteristics that indicate a higher level of need
for assistance. Subject to the availability of funding, grants and grant renewals awarded or
entered into on or after July 1, 1997, shall be renewed by LAH/BN, Inc. every four years,
unless LAH/BN, Inc. determines that the grant recipient has not satisfactorily operated the
living-at-home/block nurse program in compliance with the requirements of paragraphs
(b) and (d). Grants provided to living-at-home/block nurse programs under this paragraph
may be used for both program development and the delivery of services.

(d) Each living-at-home/block nurse program shall be designed by representatives of
the communities being served to ensure that the program addresses the specific needs of
the community residents. The programs must be designed to:

(1) incorporate the basic community, organizational, and service delivery principles
of the living-at-home/block nurse program model;

(2) provide senior citizens with registered nurse directed assessment, provision and
coordination of health and personal care services on a sliding fee basis as an alternative
to expensive nursing home care;

(3) provide information, support services, homemaking services, counseling, and
training for the client and family caregivers;

(4) encourage the development and use of respite care, caregiver support, and
in-home support programs, such as adult foster care and in-home adult day care;

(5) encourage neighborhood residents and local organizations to collaborate in
meeting the needs of senior citizens in their communities;

(6) recruit, train, and direct the use of volunteers to provide informal services and
other appropriate support to senior citizens and their caregivers; and

(7) provide coordination and management of formal and informal services to senior
citizens and their families using less expensive alternatives.

new text begin Notwithstanding any other statute or rule
to the contrary, for providers that are units of government, the commissioner may limit
medical assistance and MinnesotaCare payments to a provider's actual cost of providing
services, according to the Centers for Medicare and Medicaid Services (CMS) final rule
referenced in this subdivision. The commissioner may also require medical assistance
and MinnesotaCare providers to provide any information necessary to determine
Medicaid-related costs, and require the cooperation of providers in any audit or review
necessary to ensure payments are limited to cost. This section does not apply to providers
who are exempt from the provisions of the CMS final rule. This subdivision becomes
effective when the CMS final rule, published May 29, 2007, at Federal Register, Vol. 72,
No. 100, governing payments to providers that are units of government goes into effect at
the end of the moratorium imposed by Congress.
new text end

new text begin For all transfers, certified
expenditures, and medical assistance payments listed in this subdivision, if the
commissioner determines that federal financial participation is no longer available for the
medical assistance payments listed, then related obligations for the nonfederal share of
payments and the medical assistance payments must terminate. The commissioner shall
notify all affected parties of the loss of federal financial participation, and the resulting
payments and obligations that are terminated. If the commissioner determines that federal
financial participation is no longer available for any medical assistance payments or
contributions to the nonfederal share of medical assistance payments that have already
been made, the commissioner may collect the medical assistance payments from providers
and return contributions of the nonfederal share to its source. The transfers, certified
expenditures, and medical assistance payments subject to this section are those specified in
section 62J.692, subdivision 7, paragraphs (b) and (c); 256B.19, subdivisions 1c and 1d;
256B.195; 256B.431, subdivision 23; and 256B.69, subdivision 5c, paragraph (a), clauses
(2) to (4); Laws 2002, chapter 220, article 17, section 2, subdivision 3; and Laws 2005,
First Special Session chapter 4, article 9, section 2, subdivision 1.
new text end

Minnesota Statutes 2007 Supplement, section 256B.199, is amended to read:

(a) Effective July 1, 2007, the commissioner shall apply for federal matching funds
for the expenditures in paragraphs (b) and (c).

(b) The commissioner shall apply for federal matching funds for certified public
expenditures as follows:

(1) Hennepin Countydeleted text begin ,deleted text end new text begin andnew text end Hennepin County Medical Centerdeleted text begin , Ramsey County,
Regions Hospital, the University of Minnesota, and Fairview-University Medical Centerdeleted text end
shall report quarterly to the commissioner beginning June 1, 2007, payments made during
the second previous quarter that may qualify for reimbursement under federal law;

(2) based on these reports, the commissioner shall apply for federal matching funds.
These funds are appropriated to the commissioner deleted text begin for the payments under section 256.969,
subdivision 27deleted text end new text begin to offset medical assistance expendituresnew text end ; and

(3) by May 1 of each year, beginning May 1, 2007, the commissioner shall inform
the nonstate entities listed innew text begin thisnew text end paragraph deleted text begin (a)deleted text end of the amount of federal disproportionate
share hospital payment money expected to be available in the current federal fiscal year.

(1) for hospital services occurring on or after July 1, 2007, general assistance medical
care expenditures for fee-for-service inpatient and outpatient hospital payments made by
the department shall be used to apply for federal matching funds, except as limited below:

(i) only those general assistance medical care expenditures made to an individual
hospital that would not cause the hospital to exceed its individual hospital limits under
section 1923 of the Social Security Act may be considered; and

(ii) general assistance medical care expenditures may be considered only to the extent
of Minnesota's aggregate allotment under section 1923 of the Social Security Act; and

(2) all hospitals must provide any necessary expenditure, cost, and revenue
information required by the commissioner as necessary for purposes of obtaining federal
Medicaid matching funds for general assistance medical care expenditures.

new text begin This section is effective retroactively from July 1, 2007.
new text end

Minnesota Statutes 2006, section 256B.69, subdivision 5a, is amended to read:

new text begin (d)(1) Effective for services rendered on or after January 1, 2009, the commissioner
shall withhold two percent of managed care plan payments under this section for the
prepaid medical assistance and general assistance medical care programs. The withheld
funds must be returned no sooner than July 1 and no later than July 31 of the following
year. The commissioner may exclude special demonstration projects under subdivision 23.
new text end

new text begin (2) A managed care plan or a county-based purchasing plan under section 256B.692
may include as admitted assets under section 62D.044 any amount withheld under
this paragraph. The return of the withhold under this paragraph is not subject to the
requirements of paragraph (c).
new text end

Minnesota Statutes 2006, section 256L.12, subdivision 9, is amended to read:

new text begin (d) For services rendered on or after January 1, 2009, the commissioner shall
withhold two percent of managed care plan payments under this section. The withheld
funds must be returned no sooner than July 1 and no later than July 31 of the following
calendar year. A managed care plan or a county-based purchasing plan under section
256B.692 may include as admitted assets under section 62D.044 any amount withheld
under this paragraph. The return of the withhold under this paragraph is not subject to
the requirements of paragraph (c).
new text end

new text begin By January 1, 2009, the commissioner of human services, in cooperation with
hospitals with high rates of utilization by medical assistance enrollees, shall develop
and submit for federal approval a proposal to increase disproportionate share hospital
payments to Minnesota hospitals. In developing the proposal, the commissioner shall
consider, but is not required to adopt, disproportionate share hospital payment proposals
from other states that have received federal approval.
new text end

new text begin Minnesota Statutes 2007 Supplement, section 256.969, subdivision 27, new text end new text begin is repealed
retroactively from July 1, 2007.
new text end

new text begin $
new text end

new text begin (34,855,000)
new text end

new text begin $
new text end

new text begin (50,284,000)
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end	new text begin (51,980,000) new text end	new text begin (80,069,000) new text end
new text begin Health Care Access new text end	new text begin 0 new text end	new text begin (3,292,000) new text end
new text begin Federal TANF new text end	new text begin 17,125,000 new text end	new text begin 33,077,000 new text end

new text begin Financial Operations
new text end

(5,867,000)

new text begin The amounts that may be spent from the
appropriation for each purpose are as follows:
new text end

new text begin Base Adjustment. new text end new text begin The general fund base
is increased $23,000 in fiscal year 2010 and
$26,000 in fiscal year 2011.
new text end

Federal TANF

5,754,000

new text begin Additional TANF Transfer to Social
Services Block Grant. In addition to
transfers allowed under prior law, $5,754,000
in fiscal year 2009 is appropriated to the
commissioner for the purposes of providing
services for families with children whose
incomes are at or below 200 percent
of the federal poverty guidelines. The
commissioner shall authorize a sufficient
transfer of funds from the state's federal
social services block grant to meet this
appropriation. The funds must be distributed
to counties for the children and community
services grant according to the formula for
state appropriations in Minnesota Statutes,
chapter 256M.
new text end

new text begin The amounts that may be spent from this
appropriation for each purpose are as follows:
new text end

(a) new text begin MFIP/DWP Grants
new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin (17,125,000) new text end	new text begin (29,959,000) new text end
new text begin Federal TANF new text end	new text begin 17,125,000 new text end	new text begin 27,311,000 new text end

(b) new text begin MFIP Child Care Assistance Grants
new text end

(311,000)

(1,663,000)

new text begin Base Adjustment. The general fund base
shall be $1,742,000 in fiscal years 2010 and
2011 due to the onetime increase in adoption
assistance grants and the onetime decreases
in relative custody assistance grants, and
county shift for children's mental health
grants.
new text end

new text begin Funding Usage. Up to 75 percent of the
fiscal year 2010 appropriation for children's
mental health screening grants may be used
to fund calendar year 2009 allocations for
these programs, with the resulting calendar
year funding pattern continuing into the
future.
new text end

(d) Children and Community Services Grants

(5,754,000)

new text begin Base level adjustment. This reduction is
onetime.
new text end

(e) Minnesota Supplemental Aid Grants

201,000

12,000

new text begin Children and Economic Assistance Operations
new text end

12,000

new text begin new text begin MAXIS costs.new text end $12,000 is appropriated in
fiscal year 2009 for MAXIS systems costs.
This appropriation is onetime only.
new text end

new text begin The amounts that may be spent from this
appropriation for each purpose are as follows:
new text end

(a) new text begin MinnesotaCare Grants
new text end

Health Care Access

(3,292,000)

new text begin Incentive Program and Outreach Grants.
Of the appropriation for the Minnesota health
care outreach program in Laws 2007, chapter
147, article 19, section 3, subdivision 7,
paragraph (b):
new text end

new text begin (1) $400,000 in fiscal year 2009 from the
general fund and $200,000 in fiscal year 2009
from the health care access fund are for the
incentive program under Minnesota Statutes,
section 256.962, subdivision 5. For the
biennium beginning July 1, 2009, base level
funding for this activity shall be $360,000
from the general fund and $160,000 from the
health care access fund; and
new text end

new text begin (2) $100,000 in fiscal year 2009 from the
general fund and $50,000 in fiscal year 2009
from the health care access fund are for the
outreach grants under Minnesota Statutes,
section 256.962, subdivision 2. For the
biennium beginning July 1, 2009, base level
funding for this activity shall be $90,000
from the general fund and $40,000 from the
health care access fund.
new text end

(b) new text begin MA Basic Health Care Grants - Families
and Children
new text end

(17,985,000)

(24,848,000)

new text begin Hospital Payment Delay. Notwithstanding
Laws 2005, First Special Session chapter 4,
article 9, section 2, subdivision 6, payments
from the Medicaid Management Information
System that would otherwise have been made
for inpatient hospital services for medical
assistance enrollees are delayed as follows:
(1) for fiscal year 2008, the last payments for
the month of June must be included in the
first payments in fiscal year 2009; and (2)
for fiscal year 2009, the last payments in the
month of June must be included in the first
payment of fiscal year 2010. The provisions
of Minnesota Statutes, section 16A.124, shall
not apply to these delayed payments.
new text end

(14,028,000)

(2,292,000)

new text begin Minnesota Disability Health Options Rate
Setting Methodology. The commissioner
shall develop and implement a methodology
for risk adjusting payments for community
alternatives for disabled individuals (CADI)
and traumatic brain injury (TBI) home
and community-based waiver services
delivered under the Minnesota disability
health options program (MnDHO) effective
January 1, 2009. The commissioner shall
take into account the weighting system used
to determine county waiver allocations in
developing the new payment methodology.
Growth in the number of enrollees receiving
CADI or TBI waiver payments through
MnDHO is limited to an increase of 200
enrollees in each calendar year from January
2009 through December 2011. If those limits
are reached, additional members may be
enrolled in MnDHO for basic care services
only as defined under Minnesota Statutes,
section 256B.69, subdivision 28, and the
commissioner may establish a waiting list for
future access of MnDHO members to those
waiver services.
new text end

new text begin new text begin Critical Access Dental Reimbursement.new text end
Effective for fiscal years beginning on or after
July 1, 2009, funding for medical assistance
critical access dental reimbursement rates
must be paid from the health care access
fund.
new text end

(d) new text begin General Assistance Medical Care Grants
new text end

(3,729,000)

new text begin MinnesotaCare Outreach Grants Special
Revenue Account. The balance in the
MinnesotaCare outreach grants special
revenue account at the close of fiscal year
2008 must be transferred to the general fund.
new text end

new text begin The amounts that may be spent from the
appropriation for each purpose are as follows:
new text end

new text begin Health Care Administration
new text end

350,000

new text begin Base level adjustment. The general fund
base shall be reduced by $210,000 in fiscal
years 2010 and 2011 for this activity.
new text end

new text begin The amounts that may be spent from the
appropriation for each purpose are as follows:
new text end

(a) new text begin MA Long-Term Care Facilities Grants
new text end

(2,306,000)

3,463,000

(b) new text begin MA Long-Term Care Waivers and Home
Care Grants
new text end

(5,397,000)

new text begin Manage Growth in TBI and CADI Waiver.
During the fiscal years beginning on July
1, 2008, July 1, 2009, and July 1, 2010,
the commissioner shall allocate money
for home and community-based programs
covered under Minnesota Statutes, section
256B.49, to ensure a reduction in state
spending that is equivalent to limiting the
caseload growth of the traumatic brain injury
(TBI) waiver to 200 allocations in each
year of the biennium and the community
alternatives for disabled individuals (CADI)
waiver to 1,500 allocations each year of the
biennium. Priorities for the allocation of
funds must be for individuals anticipated to
be discharged from institutional settings or
who are at imminent risk of a placement in
an institutional setting. Notwithstanding any
contrary section in this article, this provision
expires June 30, 2011.
new text end

(4,540,000)

new text begin Base level adjustment. This reduction is
onetime.
new text end

new text begin Base Adjustment. The general fund base
is increased $5,270,000 in fiscal year 2010
and $5,450,000 in fiscal year 2011 due to the
county payment shift for adult mental health
grants.
new text end

new text begin Targeted case management work group.
$15,000 is appropriated from the general
fund for fiscal year 2009 to the commissioner
of human services for administrative costs
directly related to the operation of the
targeted case management work group.
new text end

new text begin Funding Usage. Up to 75 percent of the
fiscal year 2010 appropriation for adult
mental health grants may be used to fund
calendar year 2009 allocations for these
programs, with the resulting calendar year
funding pattern continuing into the future.
new text end

(d) new text begin Chemical Dependency Entitlement Grants
new text end

(1,503,000)

new text begin Payments for Substance Abuse Treatment.
For services provided in fiscal year 2009,
county-negotiated rates and provider claims
to the consolidated chemical dependency
fund must not exceed rates charged for
services in excess of those in effect on
May 31, 2008. If statutes authorize a
cost-of-living adjustment during fiscal year
2009, then notwithstanding any law to the
contrary, fiscal year 2009 rates may not
exceed those in effect on May 31, 2008, plus
any authorized cost-of-living adjustments.
new text end

new text begin Chemical Dependency Treatment Fund
Special Revenue Account.
new text end

new text begin The lesser of the balance of the consolidated
chemical dependency treatment fund at the
close of fiscal year 2008 or $2,650,000 must
be transferred and deposited into the general
fund.
new text end

(e) new text begin Chemical Dependency Nonentitlement
Grants
new text end

2,150,000

new text begin Base Level Adjustment. The general
fund base for chemical dependency
nonentitlement treatment grants shall be
increased by $150,000 for fiscal years
2010 and 2011 for increased grants for
methamphetamine treatment.
new text end

new text begin American Indian Youth Program. Of the
general fund appropriation, $2,000,000 in
fiscal year 2009 is for grants to be awarded
competitively to American Indian tribes to
purchase or develop one or more culturally
specific treatment programs designed to
serve youth from native cultures. This
appropriation is onetime and available until
spent.
new text end

(f) new text begin Other Continuing Care Grants
new text end

(4,381,000)

new text begin Base Level Adjustment. The general fund
base is increased $7,275,000 in fiscal year
2010 and $4,881,000 in fiscal year 2011, due
to the onetime reduction of HIV grants in
fiscal year 2009, an increase each year for
housing grants under Minnesota Statutes,
section 256B.0658, and the adjustment
for the county grant payment shift for
developmental disability semi-independent
services grants and developmental disability
family support grants.
new text end

new text begin Housing Access Grants. Of the general
fund appropriation, $250,000 is appropriated
in fiscal year 2009 for housing access
grants under Minnesota Statutes, section
256B.0658.
new text end

new text begin Funding Usage. Up to 75 percent of
the fiscal year 2010 appropriation for
developmental disability semi-independent
living services grants and developmental
disability family support grants may be used
to fund calendar year 2009 allocations for
these programs, with the resulting calendar
year funding pattern continuing into the
future.
new text end

new text begin new text begin Living-At-Home/Block Nurse Program
Funding.new text end For the fiscal year beginning
July 1, 2008, the commissioner of human
services shall transfer $240,000 from the
community service grant program under
Minnesota Statutes, section 256B.0917,
subdivision 13, to the living-at-home/block
nurse program under Minnesota Statutes,
section 256B.0917, subdivision 8, to provide
$20,000 each for 12 living-at-home/block
nurse programs currently operating without
base funding. This is onetime funding.
new text end

new text begin County Past Due Receivables. new text end new text begin The
commissioner is authorized to withhold
county federal administrative reimbursement
when the county of financial responsibility
for cost-of-care payments due to the state
under Minnesota Statutes, section 246.54
or 253B.045, is 90 days past due. The
commissioner shall deposit the federal
administrative withholding into the general
fund to settle the claims with the county
of financial responsibility. The process for
withholding funds is governed by Minnesota
Statutes, section 256.017.
new text end

new text begin Mental Health Services
new text end

(225,000)

(300,000)

new text begin new text begin Federally Qualified Health Centers.new text end
Effective for fiscal years beginning on
or after July 1, 2009, the general fund
appropriation of $1,500,000 each fiscal year
for federally qualified health centers under
Minnesota Statutes, section 145.9269, is
eliminated and is replaced by a $1,500,000
appropriation each fiscal year from the health
care access fund.
new text end

new text begin Interpreter services quality initiative.
$25,000 is appropriated from the state
government special revenue fund for fiscal
year 2009 to the commissioner of health to
establish a roster and develop a plan for the
registry of health care interpreter services.
new text end

new text begin new text begin MERC Federal Compliance.new text end Effective
for fiscal years beginning on or after July
1, 2009, the general fund appropriation of
$2,000,000 each fiscal year to the Mayo
Clinic for the purpose of providing transition
funding while federal compliance changes
are made to the medical education and
research cost funding distribution formula is
eliminated and is replaced by a $2,000,000
appropriation each fiscal year from the health
care access fund.
new text end

new text begin The dollar amounts shown are added to or, if shown in parentheses, are subtracted
from the appropriations in Laws 2007, chapter 147, from the general fund, or any other
fund named, to the Department of Human Services for the purposes specified in this
article, to be available for the fiscal year indicated for each purpose. The figure "2008"
used in this article means that the appropriation or appropriations listed are available for
the fiscal year ending June 30, 2008. The figure "2009" used in this article means that the
appropriation or appropriations listed are available for the fiscal year ending June 30, 2009.
new text end

		new text begin 2008 new text end		new text begin 2009 new text end
new text begin General new text end	new text begin $ new text end	new text begin 6,739,000 new text end	new text begin $ new text end	new text begin 52,350,000 new text end
new text begin Health Care Access new text end		new text begin (84,156,000) new text end		new text begin (96,019,000) new text end
new text begin Federal TANF new text end		new text begin (28,427,000) new text end		new text begin (7,441,000) new text end
new text begin Total new text end	new text begin $ new text end	new text begin (105,844,000) new text end	new text begin $ new text end	new text begin (51,110,000) new text end

new text begin $
new text end

new text begin (105,844,000)
new text end

new text begin $
new text end

new text begin (51,110,000)
new text end

new text begin Appropriations by Fund new text end
	new text begin 2008 new text end	new text begin 2009 new text end
new text begin General new text end	new text begin 6,739,000 new text end	new text begin 52,350,000 new text end
new text begin Health Care Access new text end	new text begin (84,156,000) new text end	new text begin (96,019,000) new text end
new text begin Federal TANF new text end	new text begin (28,427,000) new text end	new text begin (7,441,000) new text end

Federal TANF

1,187,000

1,507,000

new text begin General new text end	new text begin (4,960,000) new text end	new text begin 5,925,000 new text end
new text begin Federal TANF new text end	new text begin (29,614,000) new text end	new text begin (8,948,000) new text end

new text begin The amounts that may be spent from this
appropriation for each purpose are as follows:
new text end

(a) new text begin MFIP/DWP Grants
new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 25,139,000 new text end	new text begin 11,665,000 new text end
new text begin Federal TANF new text end	new text begin (29,614,000) new text end	new text begin (8,948,000) new text end

(b) new text begin MFIP Child Care Assistance Grants
new text end

(26,141,000)

(10,710,000)

2,529,000

6,033,000

(d) new text begin Minnesota Supplemental Aid Grants
new text end

299,000

500,000

(e) new text begin Group Residential Housing Grants
new text end

(6,786,000)

(1,563,000)

new text begin General new text end	new text begin 30,075,000 new text end	new text begin 48,389,000 new text end
new text begin Health Care Access new text end	new text begin (84,156,000) new text end	new text begin (96,019,000) new text end

new text begin The amounts that may be spent from this
appropriation for each purpose are as follows:
new text end

(a) new text begin MinnesotaCare
new text end

Health Care Access

(84,156,000)

(96,019,000)

(b) new text begin MA Basic Health Care - Families and
Children
new text end

13,525,000

7,005,000

(2,292,000)

5,479,000

(d) new text begin General Assistance Medical Care
new text end

18,842,000

35,905,000

(18,376,000)

(1,964,000)

new text begin The amounts that may be spent from this
appropriation for each purpose are as follows:
new text end

(a) new text begin MA Long-Term Care Facilities
new text end

(10,986,000)

(2,148,000)

(b) new text begin MA Long-Term Care Waivers
new text end

(18,484,000)

(13,598,000)

11,094,000

13,782,000

Minnesota Statutes 2007 Supplement, section 80A.28, subdivision 1,
is amended to read:

(a) There shall be a filing fee of
$100 for every application for registration or notice filing. There shall be an additional fee
of one-tenth of one percent of the maximum aggregate offering price at which the securities
are to be offered in this state, and the maximum combined fees shall not exceed $300.

(b) When an application for registration is withdrawn before the effective date or a
preeffective stop order is entered under section 80A.13, subdivision 1, all but the $100
filing fee shall be returned. If an application to register securities is denied, the total of all
fees received shall be retained.

(c) Where a filing is made in connection with a federal covered security under
section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing.
If the filing is made in connection with redeemable securities issued by an open end
management company or unit investment trust, as defined in the Investment Company
Act of 1940, there is an additional annual fee of 1/20 of one percent of the maximum
aggregate offering price at which the securities are to be offered in this state during the
notice filing period. The fee must be paid at the time of the initial filing and thereafter
in connection with each renewal no later than July 1 of each year and must be sufficient
to cover the shares the issuer expects to sell in this state over the next 12 months. If
during a current notice filing the issuer determines it is likely to sell shares in excess of
the shares for which fees have been paid to the commissioner, the issuer shall submit an
amended notice filing to the commissioner under section 80A.122, subdivision 1, clause
(3), together with a fee of 1/20 of one percent of the maximum aggregate offering price
of the additional shares. Shares for which a fee has been paid, but which have not been
sold at the time of expiration of the notice filing, may not be sold unless an additional fee
to cover the shares has been paid to the commissioner as provided in this section and
section 80A.122, subdivision 4a. If the filing is made in connection with redeemable
securities issued by such a company or trust, there is no maximum fee for securities filings
made according to this paragraph. If the filing is made in connection with any other
federal covered security under Section 18(b)(2) of the Securities Act of 1933, there is an
additional fee of one-tenth of one percent of the maximum aggregate offering price at
which the securities are to be offered in this state, and the combined fees shall not exceed
$300. Beginning with fiscal year 2001 and continuing each fiscal year thereafter, as of the
last day of each fiscal year, the commissioner shall determine the total amount of all fees
that were collected under this paragraph in connection with any filings made for that fiscal
year for securities of an open-end investment company on behalf of a security that is a
federal covered security pursuant to section 18(b)(2) of the Securities Act of 1933. To the
extent the total fees collected by the commissioner in connection with these filings exceed
deleted text begin $25,600,000deleted text end new text begin $31,385,000new text end in a fiscal year, the commissioner shall refund, on a pro rata
basis, to all persons who paid any fees for that fiscal year, the amount of fees collected by
the commissioner in excess of deleted text begin $25,600,000deleted text end new text begin $31,385,000new text end . No individual refund is required
of amounts of $100 or less for a fiscal year.

new text begin This section is effective beginning for refunds paid for fiscal
year 2008.
new text end

Minnesota Statutes 2006, section 290.01, subdivision 5, is amended to read:

The term "domestic" when applied to a corporation
means a corporation:

(1) created or organized in the United States, or under the laws of the United States
or of any state, the District of Columbia, or any political subdivision of any of the
foregoing but not including the Commonwealth of Puerto Rico, or any possession of
the United States;

(2) which qualifies as a DISC, as defined in section 992(a) of the Internal Revenue
Code; deleted text begin or
deleted text end

(3) which qualifies as a FSC, as defined in section 922 of the Internal Revenue Codenew text begin ;
new text end

new text begin (4) which is incorporated in a tax haven;
new text end

new text begin (5) which is engaged in activity in a tax haven sufficient for the tax haven to impose
a net income tax under United States constitutional standards and section 290.015; or
new text end

new text begin (6) which has the average of its property, payroll, and sales factors, as defined under
section 290.191, within the 50 states of the United States and the District of Columbia of
20 percent or morenew text end .

new text begin This section is effective for taxable years beginning after
December 31, 2007.
new text end

Minnesota Statutes 2006, section 290.01, is amended by adding a subdivision
to read:

new text begin (a) "Tax haven" means a foreign jurisdiction designated
under this subdivision.
new text end

new text begin (b) The commissioner may designate a foreign jurisdiction as a tax haven by revenue
notice if the jurisdiction has:
new text end

new text begin (1) no or a nominal effective tax on income of a corporation; and
new text end

new text begin (2) corporate, business, bank, or tax secrecy rules or practices that, in the judgment
of the commissioner, unreasonably restrict the ability of the United States, and thereby
the state of Minnesota, to obtain information relevant to the enforcement of taxes on
corporations based on net income. These rules or practices may be either formal laws,
regulations, or rules or be informal government and business practices that have the effect
of inhibiting access by law enforcement and tax administration authorities.
new text end

new text begin (c) The following foreign jurisdictions are deemed to be tax havens, unless the
commissioner, by revenue notice, revokes the listing of a jurisdiction:
new text end

new text begin (1) Anguilla;
new text end

new text begin (2) Antigua and Barbuda;
new text end

new text begin (3) Aruba;
new text end

new text begin (4) Bahamas;
new text end

new text begin (5) Barbados;
new text end

new text begin (6) Belize;
new text end

new text begin (7) Bermuda;
new text end

new text begin (8) British Virgin Islands;
new text end

new text begin (9) Cayman Islands;
new text end

new text begin (10) Cook Islands;
new text end

new text begin (11) Dominica;
new text end

new text begin (12) Gibraltar;
new text end

new text begin (13) Grenada;
new text end

new text begin (14) Guernsey-Sark-Alderney;
new text end

new text begin (15) Isle of Man;
new text end

new text begin (16) Jersey;
new text end

new text begin (17) Latvia;
new text end

new text begin (18) Liechtenstein;
new text end

new text begin (19) Luxembourg;
new text end

new text begin (20) Nauru;
new text end

new text begin (21) Netherlands Antilles;
new text end

new text begin (22) Panama;
new text end

new text begin (23) Samoa;
new text end

new text begin (24) Saint Kitts and Nevis;
new text end

new text begin (25) Saint Lucia;
new text end

new text begin (26) Saint Vincent and Grenadines;
new text end

new text begin (27) Turks and Caicos; and
new text end

new text begin (28) Vanuatu.
new text end

new text begin (d) The commissioner shall revoke a foreign jurisdiction's listing under paragraph
(b) or (c), as applicable, if the United States enters into a tax treaty or other agreement
with the foreign jurisdiction that provides for prompt, obligatory, and automatic exchange
of information with the United States government relevant to enforcing the provisions of
federal tax laws and the treaty or other agreement was in effect for the taxable year.
new text end

new text begin This section is effective for taxable years beginning after
December 31, 2007.
new text end

Minnesota Statutes 2006, section 290.01, subdivision 19c, as amended by Laws
2008, chapter 154, article 4, section 4, is amended to read:

For corporations,
there shall be added to federal taxable income:

(1) the amount of any deduction taken for federal income tax purposes for income,
excise, or franchise taxes based on net income or related minimum taxes, including but not
limited to the tax imposed under section 290.0922, paid by the corporation to Minnesota,
another state, a political subdivision of another state, the District of Columbia, or any
foreign country or possession of the United States;

(2) interest not subject to federal tax upon obligations of: the United States, its
possessions, its agencies, or its instrumentalities; the state of Minnesota or any other
state, any of its political or governmental subdivisions, any of its municipalities, or any
of its governmental agencies or instrumentalities; the District of Columbia; or Indian
tribal governments;

(3) exempt-interest dividends received as defined in section 852(b)(5) of the Internal
Revenue Code;

(4) the amount of any net operating loss deduction taken for federal income tax
purposes under section 172 or 832(c)(10) of the Internal Revenue Code or operations loss
deduction under section 810 of the Internal Revenue Code;

(5) the amount of any special deductions taken for federal income tax purposes
under sections 241 to 247 and 965 of the Internal Revenue Code;

(6) losses from the business of mining, as defined in section 290.05, subdivision 1,
clause (a), that are not subject to Minnesota income tax;

(7) the amount of any capital losses deducted for federal income tax purposes under
sections 1211 and 1212 of the Internal Revenue Code;

(8) the exempt foreign trade income of a foreign sales corporation under sections
921(a) and 291 of the Internal Revenue Code;

(9) the amount of percentage depletion deducted under sections 611 through 614 and
291 of the Internal Revenue Code;

(10) for certified pollution control facilities placed in service in a taxable year
beginning before December 31, 1986, and for which amortization deductions were elected
under section 169 of the Internal Revenue Code of 1954, as amended through December
31, 1985, the amount of the amortization deduction allowed in computing federal taxable
income for those facilities;

(11) deleted text begin the amount of any deemed dividend from a foreign operating corporation
determined pursuant to section 290.17, subdivision 4, paragraph (g);deleted text end

deleted text begin (12)deleted text end the amount of a partner's pro rata share of net income which does not flow
through to the partner because the partnership elected to pay the tax on the income under
section 6242(a)(2) of the Internal Revenue Code;

deleted text begin (13)deleted text end new text begin (12)new text end the amount of net income excluded under section 114 of the Internal
Revenue Code;

deleted text begin (14)deleted text end new text begin (13)new text end any increase in subpart F income, as defined in section 952(a) of the
Internal Revenue Code, for the taxable year when subpart F income is calculated without
regard to the provisions of section 103 of Public Law 109-222;

deleted text begin (15)deleted text end new text begin (14)new text end 80 percent of the depreciation deduction allowed under section
168(k)(1)(A) and (k)(4)(A) of the Internal Revenue Code. For purposes of this clause, if
the taxpayer has an activity that in the taxable year generates a deduction for depreciation
under section 168(k)(1)(A) and (k)(4)(A) and the activity generates a loss for the taxable
year that the taxpayer is not allowed to claim for the taxable year, "the depreciation
allowed under section 168(k)(1)(A) and (k)(4)(A)" for the taxable year is limited to excess
of the depreciation claimed by the activity under section 168(k)(1)(A) and (k)(4)(A)
over the amount of the loss from the activity that is not allowed in the taxable year. In
succeeding taxable years when the losses not allowed in the taxable year are allowed, the
depreciation under section 168(k)(1)(A) and (k)(4)(A) is allowed;

deleted text begin (16)deleted text end new text begin (15)new text end 80 percent of the amount by which the deduction allowed by section 179 of
the Internal Revenue Code exceeds the deduction allowable by section 179 of the Internal
Revenue Code of 1986, as amended through December 31, 2003;

deleted text begin (17)deleted text end new text begin (16) new text end to the extent deducted in computing federal taxable income, the amount of
the deduction allowable under section 199 of the Internal Revenue Code;

deleted text begin (18)deleted text end new text begin (17) new text end the exclusion allowed under section 139A of the Internal Revenue Code
for federal subsidies for prescription drug plans; and

deleted text begin (19)deleted text end new text begin (18) new text end for taxable years beginning after December 31, 2006, and before January 1,
2008, the additional amount allowed as a deduction for donation of computer technology
and equipment under section 170(e)(6) of the Internal Revenue Code, to the extent
deducted from taxable income.

new text begin This section is effective for taxable years beginning after
December 31, 2007.
new text end

Minnesota Statutes 2006, section 290.01, subdivision 19d, as amended by Laws
2008, chapter 154, article 11, section 12, is amended to read:

For
corporations, there shall be subtracted from federal taxable income after the increases
provided in subdivision 19c:

(1) the amount of foreign dividend gross-up added to gross income for federal
income tax purposes under section 78 of the Internal Revenue Code;

(2) the amount of salary expense not allowed for federal income tax purposes due to
claiming the work opportunity credit under section 51 of the Internal Revenue Code;

(3) any dividend (not including any distribution in liquidation) paid within the
taxable year by a national or state bank to the United States, or to any instrumentality of
the United States exempt from federal income taxes, on the preferred stock of the bank
owned by the United States or the instrumentality;

(4) amounts disallowed for intangible drilling costs due to differences between
this chapter and the Internal Revenue Code in taxable years beginning before January
1, 1987, as follows:

(i) to the extent the disallowed costs are represented by physical property, an amount
equal to the allowance for depreciation under Minnesota Statutes 1986, section 290.09,
subdivision 7, subject to the modifications contained in subdivision 19e; and

(ii) to the extent the disallowed costs are not represented by physical property, an
amount equal to the allowance for cost depletion under Minnesota Statutes 1986, section
290.09, subdivision 8;

(5) the deduction for capital losses pursuant to sections 1211 and 1212 of the
Internal Revenue Code, except that:

(i) for capital losses incurred in taxable years beginning after December 31, 1986,
capital loss carrybacks shall not be allowed;

(ii) for capital losses incurred in taxable years beginning after December 31, 1986,
a capital loss carryover to each of the 15 taxable years succeeding the loss year shall be
allowed;

(iii) for capital losses incurred in taxable years beginning before January 1, 1987, a
capital loss carryback to each of the three taxable years preceding the loss year, subject to
the provisions of Minnesota Statutes 1986, section 290.16, shall be allowed; and

(iv) for capital losses incurred in taxable years beginning before January 1, 1987,
a capital loss carryover to each of the five taxable years succeeding the loss year to the
extent such loss was not used in a prior taxable year and subject to the provisions of
Minnesota Statutes 1986, section 290.16, shall be allowed;

(6) an amount for interest and expenses relating to income not taxable for federal
income tax purposes, if (i) the income is taxable under this chapter and (ii) the interest and
expenses were disallowed as deductions under the provisions of section 171(a)(2), 265 or
291 of the Internal Revenue Code in computing federal taxable income;

(7) in the case of mines, oil and gas wells, other natural deposits, and timber for
which percentage depletion was disallowed pursuant to subdivision 19c, clause (9), a
reasonable allowance for depletion based on actual cost. In the case of leases the deduction
must be apportioned between the lessor and lessee in accordance with rules prescribed
by the commissioner. In the case of property held in trust, the allowable deduction must
be apportioned between the income beneficiaries and the trustee in accordance with the
pertinent provisions of the trust, or if there is no provision in the instrument, on the basis
of the trust's income allocable to each;

(8) for certified pollution control facilities placed in service in a taxable year
beginning before December 31, 1986, and for which amortization deductions were elected
under section 169 of the Internal Revenue Code of 1954, as amended through December
31, 1985, an amount equal to the allowance for depreciation under Minnesota Statutes
1986, section 290.09, subdivision 7;

(9) amounts included in federal taxable income that are due to refunds of income,
excise, or franchise taxes based on net income or related minimum taxes paid by the
corporation to Minnesota, another state, a political subdivision of another state, the
District of Columbia, or a foreign country or possession of the United States to the extent
that the taxes were added to federal taxable income under section 290.01, subdivision 19c,
clause (1), in a prior taxable year;

(10) deleted text begin 80 percent of royalties, fees, or other like income accrued or received from a
foreign operating corporation or a foreign corporation which is part of the same unitary
business as the receiving corporation;
deleted text end

deleted text begin (11)deleted text end income or gains from the business of mining as defined in section 290.05,
subdivision 1, clause (a), that are not subject to Minnesota franchise tax;

deleted text begin (12)deleted text end new text begin (11)new text end the amount of disability access expenditures in the taxable year which are
not allowed to be deducted or capitalized under section 44(d)(7) of the Internal Revenue
Code;

deleted text begin (13)deleted text end new text begin (12) new text end the amount of qualified research expenses not allowed for federal income
tax purposes under section 280C(c) of the Internal Revenue Code, but only to the extent
that the amount exceeds the amount of the credit allowed under section 290.068;

deleted text begin (14)deleted text end new text begin (13)new text end the amount of salary expenses not allowed for federal income tax purposes
due to claiming the Indian employment credit under section 45A(a) of the Internal
Revenue Code;

deleted text begin (15)deleted text end new text begin (14)new text end for taxable years beginning before January 1, 2008, the amount of the
federal small ethanol producer credit allowed under section 40(a)(3) of the Internal
Revenue Code which is included in gross income under section 87 of the Internal Revenue
Code;

deleted text begin (16)deleted text end new text begin (15)new text end for a corporation whose foreign sales corporation, as defined in section
922 of the Internal Revenue Code, constituted a foreign operating corporation during any
taxable year ending before January 1, 1995, and a return was filed by August 15, 1996,
claiming the deduction under section 290.21, subdivision 4, for income received from
the foreign operating corporation, an amount equal to 1.23 multiplied by the amount of
income excluded under section 114 of the Internal Revenue Code, provided the income is
not income of a foreign operating company;

deleted text begin (17)deleted text end new text begin (16) new text end any decrease in subpart F income, as defined in section 952(a) of the
Internal Revenue Code, for the taxable year when subpart F income is calculated without
regard to the provisions of section 103 of Public Law 109-222;

deleted text begin (16)deleted text end new text begin (17)new text end in each of the five tax years immediately following the tax year in which an
addition is required under subdivision 19c, clause deleted text begin (15)deleted text end new text begin (14)new text end , an amount equal to one-fifth
of the delayed depreciation. For purposes of this clause, "delayed depreciation" means the
amount of the addition made by the taxpayer under subdivision 19c, clause deleted text begin (15)deleted text end new text begin (14)new text end . The
resulting delayed depreciation cannot be less than zero; and

deleted text begin (17)deleted text end new text begin (18)new text end in each of the five tax years immediately following the tax year in which an
addition is required under subdivision 19c, clause deleted text begin (16)deleted text end new text begin (15)new text end , an amount equal to one-fifth
of the amount of the addition.

new text begin This section is effective for taxable years beginning after
December 31, 2008, provided that for taxable years beginning after December 31,
2007, and before January 1, 2009, the subtraction under clause (10) is not allowed to
foreign operating corporations and is limited to income paid to the corporation by a
foreign corporation that is part of the unitary business for the use of or privilege of using
outside of the United States patents, copyrights, secret processes and formulas, good will,
know-how, trademarks, trade brands, franchises, and other like property and is further
limited to the extent those items are included in the corporation's federal taxable income
for the taxable year.
new text end

Minnesota Statutes 2006, section 290.17, subdivision 4, is amended to read:

(a) If a trade or business conducted wholly
within this state or partly within and partly without this state is part of a unitary business,
the entire income of the unitary business is subject to apportionment pursuant to section
290.191. Notwithstanding subdivision 2, paragraph (c), none of the income of a unitary
business is considered to be derived from any particular source and none may be allocated
to a particular place except as provided by the applicable apportionment formula. The
provisions of this subdivision do not apply to business income subject to subdivision 5,
income of an insurance company, or income of an investment company determined under
section 290.36.

(b) The term "unitary business" means business activities or operations which
result in a flow of value between them. The term may be applied within a single legal
entity or between multiple entities and without regard to whether each entity is a sole
proprietorship, a corporation, a partnership or a trust.

(c) Unity is presumed whenever there is unity of ownership, operation, and use,
evidenced by centralized management or executive force, centralized purchasing,
advertising, accounting, or other controlled interaction, but the absence of these
centralized activities will not necessarily evidence a nonunitary business. Unity is also
presumed when business activities or operations are of mutual benefit, dependent upon or
contributory to one another, either individually or as a group.

(d) Where a business operation conducted in Minnesota is owned by a business
entity that carries on business activity outside the state different in kind from that
conducted within this state, and the other business is conducted entirely outside the state, it
is presumed that the two business operations are unitary in nature, interrelated, connected,
and interdependent unless it can be shown to the contrary.

(e) Unity of ownership is not deemed to exist when a corporation is involved unless
that corporation is a member of a group of two or more business entities and more than 50
percent of the voting stock of each member of the group is directly or indirectly owned
by a common owner or by common owners, either corporate or noncorporate, or by one
or more of the member corporations of the group. For this purpose, the term "voting
stock" shall include membership interests of mutual insurance holding companies formed
under section 66A.40.

(f) The net income and apportionment factors under section 290.191 or 290.20 of
foreign corporations and other foreign entities which are part of a unitary business shall
not be included in the net income or the apportionment factors of the unitary business.
A foreign corporation or other foreign entity which is required to file a return under this
chapter shall file on a separate return basis. deleted text begin The net income and apportionment factors
under section 290.191 or 290.20 of foreign operating corporations shall not be included in
the net income or the apportionment factors of the unitary business except as provided in
paragraph (g).deleted text end

(g) deleted text begin The adjusted net income of a foreign operating corporation shall be deemed to
be paid as a dividend on the last day of its taxable year to each shareholder thereof, in
proportion to each shareholder's ownership, with which such corporation is engaged in
a unitary business. Such deemed dividend shall be treated as a dividend under section
290.21, subdivision 4.deleted text end

deleted text begin Dividends actually paid by a foreign operating corporation to a corporate shareholder
which is a member of the same unitary business as the foreign operating corporation shall
be eliminated from the net income of the unitary business in preparing a combined report
for the unitary business. The adjusted net income of a foreign operating corporation
shall be its net income adjusted as follows:
deleted text end

deleted text begin (1) any taxes paid or accrued to a foreign country, the commonwealth of Puerto
Rico, or a United States possession or political subdivision of any of the foregoing shall
be a deduction; and
deleted text end

deleted text begin (2) the subtraction from federal taxable income for payments received from foreign
corporations or foreign operating corporations under section deleted text begin 290.01, subdivision 19ddeleted text end ,
clause (10), shall not be allowed.
deleted text end

deleted text begin If a foreign operating corporation incurs a net loss, neither income nor deduction
from that corporation shall be included in determining the net income of the unitary
business.
deleted text end

deleted text begin (h)deleted text end For purposes of determining the net income of a unitary business and the factors
to be used in the apportionment of net income pursuant to section 290.191 or 290.20, there
must be included only the income and apportionment factors of domestic corporations or
other domestic entities deleted text begin other than foreign operating corporationsdeleted text end that are determined to
be part of the unitary business pursuant to this subdivision, notwithstanding that foreign
corporations or other foreign entities might be included in the unitary business.

deleted text begin (i)deleted text end new text begin (h)new text end Deductions for expenses, interest, or taxes otherwise allowable under
this chapter that are connected with or allocable against dividendsdeleted text begin , deemed dividends
described in paragraph (g), or royalties, fees, or other like income described in section
290.01, subdivision 19d, clause (10),deleted text end shall not be disallowed.

deleted text begin (j)deleted text end new text begin (i)new text end Each corporation or other entity, except a sole proprietorship, that is part of
a unitary business must file combined reports as the commissioner determines. On the
reports, all intercompany transactions between entities included pursuant to paragraph
deleted text begin (h)deleted text end new text begin (g)new text end must be eliminated and the entire net income of the unitary business determined in
accordance with this subdivision is apportioned among the entities by using each entity's
Minnesota factors for apportionment purposes in the numerators of the apportionment
formula and the total factors for apportionment purposes of all entities included pursuant
to paragraph deleted text begin (h)deleted text end new text begin (g)new text end in the denominators of the apportionment formula.

deleted text begin (k)deleted text end new text begin (j)new text end If a corporation has been divested from a unitary business and is included in a
combined report for a fractional part of the common accounting period of the combined
report:

(1) its income includable in the combined report is its income incurred for that part
of the year determined by proration or separate accounting; and

(2) its sales, property, and payroll included in the apportionment formula must
be prorated or accounted for separately.

new text begin This section is effective for taxable years beginning after
December 31, 2007, except the modifications to the new paragraph (h) are effective for
taxable years beginning after December 31, 2008.
new text end

new text begin Minnesota Statutes 2006, section 290.01, subdivision 6b, new text end new text begin is repealed.
new text end

new text begin This section is effective for taxable years beginning after
December 31, 2007.
new text end

new text begin On July 1, 2008, the commissioner of finance shall reduce the budget reserve
account in Minnesota Statutes, section 16A.152, to $403,000,000.
new text end

new text begin On July 1, 2008, the commissioner of finance shall reduce the cash flow account in
Minnesota Statutes, section 16A.152, to $0.
new text end

new text begin By June 30, 2008, the commissioner of finance shall transfer any remaining
unappropriated balance from the Minnesota future resources fund to the general fund.
new text end

new text begin Unless another act explicitly provides otherwise, appropriations and transfers made
in this act and other acts must be implemented only once even if the provision or a similar
provision with the same fiscal effect in the same fiscal year is included in another act. This
section applies to laws enacted in the 2008 regular session.
new text end

new text begin If any provision of this act is found to be unconstitutional, the remaining provisions
of this act remain valid.
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 2008
new text end

new text begin 2009
new text end