Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language


                         Laws of Minnesota 1984 

                        CHAPTER 627-S.F.No. 1441 
           An act relating to the operation of the department of 
          economic security; funding sheltered workshop and work 
          activity programs based on evaluated effectiveness; 
          defining sheltered employee; requiring rulemaking and 
          a report to the legislature; appropriating money; 
          amending Minnesota Statutes 1982, sections 129A.01 and 
    Section 1.  Minnesota Statutes 1982, section 129A.01, is 
amended to read: 
    129A.01 [DEFINITIONS.] 
    For the purposes of this chapter, the following terms shall 
have the meanings given them: 
    (a) "Department" means the department of economic security; 
    (b) "Commissioner" means the commissioner of economic 
    (c) "Vocational rehabilitation services" means those 
services and goods so defined in the federal Rehabilitation Act 
of 1973 and section 3, clause (b); 
    (d) "Handicapped person" means a person who because of a 
substantial physical, mental or emotional disability or 
dysfunction requires special services in order to enjoy the 
benefits of society; 
    (e) "Long-term sheltered workshop" means a facility where 
any manufacture or handiwork is carried on and which is operated 
for the primary purpose of providing remunerative employment to 
those handicapped persons who, as a result of physical or mental 
disability, are unable to participate in competitive 
employment.  A long-term sheltered workshop shall supply such 
employment (1) as a step in the rehabilitation process for those 
who cannot be readily absorbed in the competitive labor market, 
or (2) during such time as employment opportunities for them in 
the competitive labor market do not exist; 
    (f) "Work activity program" means a program which utilizes 
manufacturing activities and other production work for the 
primary purpose of providing basic vocational skills development 
for the handicapped;  
    (g) "Sheltered employee" means a handicapped person working 
for pay while participating in a long-term sheltered workshop 
    Sec. 2.  Minnesota Statutes 1982, section 129A.08, is 
amended to read: 
    Subdivision 1.  [GRANTS.] The commissioner may make grants 
to assist cities, towns, counties, nonprofit corporations, or 
any combination thereof in the establishment, operation and 
expansion of long-term sheltered workshops or work activity 
programs.  The commissioner may accept federal grants or aids 
and shall cooperate with federal agencies in any reasonable 
manner necessary to qualify for federal grants or aids for 
long-term sheltered workshops or work activity programs. 
    Subd. 2.  [EVALUATION; STATE FUNDING.] At the beginning of 
each fiscal year, the commissioner shall allocate available 
funds to long-term sheltered workshops and work activity 
programs for disbursement during the fiscal year in accordance 
with approved plans or budgets.  The commissioner shall study 
and recommend to the legislature by March 1, 1985, new 
allocation formulas which take into consideration effectiveness 
of the workshop.  In its recommendation the commissioner shall 
calculate the fiscal impact of the various formulas on each 
workshop and the extent to which a workshop can utilize new 
allocation formulas.  The commissioner shall develop forms to 
assist the workshops in collecting data necessary to complete 
the evaluation. Information needed to conduct the evaluations 
must be submitted by the workshops along with the annual 
requests for funding. Failure to submit documentation requested 
by the commissioner shall result in the withdrawal of all state 
funding for the workshop.  
     The commissioner shall from time to time during the fiscal 
year review the budgets and expenditures of the various 
workshops and programs and.  If funds are not needed for the 
workshop or program to which they were allocated, he the 
commissioner may, after reasonable notice and opportunity for 
hearing, withdraw such funds as are unencumbered and reallocate 
them to other workshops or programs.  He The commissioner may 
withdraw funds from any workshop or program which is not being 
administered in accordance with its approved plan and budget and 
with relevant department rules unless a modified plan and budget 
is submitted to and approved by the commissioner, and 
implemented within a reasonable time. 
    The commissioner shall also withdraw funds from a workshop 
or program not being administered according to department rules, 
or not meeting mandatory standards for certification, unless a 
plan bringing the workshop or program into compliance with the 
rules and standards is submitted to and approved by the 
commissioner and implemented within a reasonable time.  
    Subd. 3.  [OPERATING COSTS FUNDED.] The grant may not 
exceed an amount equal to 75 percent of the normal operating 
expenses of the long-term sheltered workshop or work activity 
program.  Wages paid clients sheltered employees or long-term 
workers work activity program participants are to be excluded in 
determining operating cost.  In the event that there are 
inadequate funds appropriated to meet the foregoing provisions 
in full, they shall be prorated proportionately.  
    Subd. 4.  [EVALUATION OF WORKSHOPS.] The workshop 
evaluation must include, but not be limited to, the following 
    (a) Wages and benefits paid to sheltered employees and 
number of hours worked;  
    (b) Rate of placement in competitive employment;  
    (c) Opportunities for sheltered employees to participate in 
decisions affecting their employment;  
    (d) Workshop responsiveness to sheltered employees 
    (e) Increases in individual sheltered employee productivity;
    (f) Implementing innovative ways to increase placement and 
retention of sheltered employees in competitive employment, or 
in sheltered positions with competitive employers, or innovative 
ways that increase sheltered employee wages;  
    (g) Efficiency of the workshops; and 
    (h) Types and levels of disability of the sheltered 
employees and willingness of the workshop to accept and assist 
persons with serious behavioral, mental, sensory or physical 
    The evaluation must take into account the disability levels 
of the sheltered employees, the geographic location and size of 
the workshop and the economic conditions of the surrounding 
    Subd. 4 5.  [RULE AUTHORITY.] In addition to the powers 
already conferred on him by law, the commissioner shall 
promulgate rules in regard to the following matters on: 
    (a) state certification of all long-term sheltered 
workshops and work activity programs; 
    (b) eligibility of community long-term sheltered workshops 
and work activity programs to receive state grants; 
    (c) standards for qualification of personnel and quality of 
professional service and for in-service training and education 
leave programs for personnel; 
    (d) eligibility for service so that no person will be 
denied service on the basis of race, creed or color; 
    (e) regulatory fees for consultation services; and 
    (f) standards and criteria by which handicapped persons are 
to be judged eligible for the services;  
    (g) evaluation criteria for long-term sheltered workshops; 
    (h) program evaluation criteria for work activity programs 
in order to determine the extent to which these programs meet 
the goals and objectives established in state and federal law 
relating to work activity programs.  
    The rules on evaluation criteria for long-term sheltered 
workshops must be in effect by July 1, 1985.  The rules must be 
used in making allocations for fiscal years beginning after June 
30, 1986.  
    Subd. 6.  [TECHNICAL ASSISTANCE.] The commissioner shall 
provide technical assistance within available resources to 
workshops and programs based on the need reflected in an 
    The commissioner shall report to the legislature by March 
1, 1985, on the progress in implementing section 2, subdivision 
5.  The report shall include a draft of the proposed rule and 
current information on the status of rule development. 
    Sec. 4.  [APPROPRIATION.] 
    The sum of $51,000 is appropriated from the general fund to 
the commissioner of economic security for purposes of this act. 
    Approved May 2, 1984

Official Publication of the State of Minnesota
Revisor of Statutes