Minnesota Session Laws - 1985, Regular Session

  

                         Laws of Minnesota 1985 

                        CHAPTER 254-H.F.No. 648 
           An act relating to state departments and agencies; 
          transferring authority for administration of the rural 
          rehabilitation corporation trust liquidation act from 
          the state executive council to the commissioner of 
          energy and economic development; creating a governor's 
          rural development council; proposing coding for new 
          law in Minnesota Statutes, chapter 116J; repealing 
          Minnesota Statutes 1984, section 9.36. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  [116J.951] [DEFINITIONS.] 
    Subdivision 1.  [APPLICABILITY.] The definitions in this 
section apply to sections 1 to 3.  
    Subd. 2.  [COMMISSIONER.] "Commissioner" means the 
commissioner of energy and economic development. 
    Subd. 3.  [COUNCIL.] "Council" means the governor's rural 
development council. 
    Subd. 4.  [MEMBER.] "Member" means a member of the council. 
    Sec. 2.  [116J.955] [RURAL REHABILITATION REVOLVING FUND.] 
    Subdivision 1.  [ESTABLISHMENT.] The rural rehabilitation 
revolving fund is established as an account in the state 
treasury.  The money transferred to the state as a result of 
liquidating the rural rehabilitation corporation trust, and 
money derived from transfer of the trust to the state, must be 
credited to the rural rehabilitation revolving fund.  The 
principal amount of the rural rehabilitation revolving fund, 
$9,300,000, may not be spent and must be invested by the state 
investment board.  The income attributable to investment of the 
principal is appropriated to the commissioner for the activities 
of the rural development council. 
    Subd. 2.  [EXPENDITURE OF INVESTMENT INCOME.] The 
commissioner may only use the income from the investment of the 
rural rehabilitation revolving fund for the purposes that are 
allowed under the Minnesota rural rehabilitation corporation's 
charter and agreement with the United States secretary of 
agriculture as provided in Public Law Number 499, 81st Congress, 
enacted May 3, 1950 and as allowed under section 3, subdivision 
8.  Not more than three percent of the book value of the 
Minnesota rural rehabilitation corporation's assets may be used 
for administrative purposes in a year without approval of the 
United States secretary of agriculture. 
    Subd. 3.  [TRANSFER OF AUTHORIZED RECORDS TO COMMISSIONER.] 
The authority, assets, books, and records held by the Minnesota 
rural rehabilitation corporation and later by the state 
executive council under Public Law Number 499, 81st Congress, 
May 3, 1950, is transferred to the commissioner.  
    Sec. 3.  [116J.961] [GOVERNOR'S RURAL DEVELOPMENT COUNCIL.] 
    Subdivision 1.  [ESTABLISHMENT.] The governor's rural 
development council is established in the department of energy 
and economic development.  The council shall consist of one 
representative from each of the state's development regions, 
including the seven-county metropolitan area, and the 
commissioner. 
    Subd. 2.  [SELECTION OF MEMBERS.] Members representing the 
state's development regions must be selected by a majority vote 
of the regional development commissions, where they exist, and 
the metropolitan council.  In regions that have dissolved their 
development commissions, members must be selected by a majority 
vote of the chairs of the respective county boards of 
commissioners in the region.  Members must reside within the 
region they represent.  The county boards of commissioners and 
the regional development commissions selecting members are 
encouraged to give preference to persons that hold an elected 
office.  The county boards of commissioners and the regional 
development commissions must give public notice of vacancies on 
the council and make a selection of a member from applications 
received for the positions.  The terms, compensation, and 
expiration of the council and its members are as provided in 
section 15.059 except that existing members of the council shall 
serve until January 1, 1987.  A member may not serve more than 
two consecutive terms. 
    Subd. 3.  [OFFICERS.] The council may elect a chairperson, 
vice chairperson, and other officers as is necessary from its 
members. 
    Subd. 4.  [ADVISORY TASK FORCES.] The council may form 
advisory task forces to advise or assist the council to identify 
and work with rural development issues.  The council shall 
appoint persons to the task forces.  The persons on the task 
force may not receive per diem but may be reimbursed for 
expenses.  
    Subd. 5.  [COUNCIL STAFF.] (a) The commissioner shall 
employ, with the concurrence of the council, an executive 
director experienced in public administration and rural 
development issues.  The executive director is not a member of 
the council, but shall perform duties the council may require in 
carrying out its responsibilities.  The executive director's 
position is in the unclassified service. 
    (b) The commissioner shall employ professional staff, 
clerical help, and other necessary employees upon the 
recommendation of the council and the executive director. 
Support staff shall serve in the classified civil service.  The 
commissioner shall also provide materials and administrative 
help necessary for the council's activities including personnel, 
budget, payroll, and contract administration.  
    Subd. 6.  [EXPENSES OF COUNCIL.] The commissioner shall pay 
for the expenses of the council, the council staff, and the 
council's programs from the appropriation under section 2, 
subdivision 1.  
    Subd. 7.  [IDENTIFICATION OF RURAL DEVELOPMENT POLICY.] The 
council shall advise the governor and the legislature on matters 
of public policy relating to rural development.  The council 
shall identify prominent rural issues and formulate and advocate 
policies that serve the needs of the rural population of the 
state. 
    Subd. 8.  [ADMINISTRATION OF ANNUAL INVESTMENT INCOME FROM 
THE RURAL REHABILITATION REVOLVING FUND.] (a) The council shall 
administer the annual investment income from the rural 
rehabilitation revolving fund by: 
    (1) administering a rural development grant program 
including the establishment of grant eligibility criteria, 
solicitation and review of grant applications, and determination 
of projects to be funded; 
    (2) developing priorities for state projects and activities 
related to rural development; 
    (3) providing technical help and rural development 
information services to state agencies, regional agencies, 
special districts, local governments, and interested citizens; 
    (4) preparing an annual budget and work program, and a 
biennial budget;  
    (5) preparing an annual report for the state office of the 
farmers home administration, United States department of 
agriculture outlining program activities and expenditures from 
the trust fund; and 
    (6) reporting to the house agriculture and senate 
agriculture and natural resources committees by January 31 of 
each year on the grants, projects, and activities of the council.
    (b) The commissioner shall make agreements or contracts to 
distribute grant funds to projects selected by the council. 
    Subd. 9.  [RULES.] The commissioner shall, with the 
concurrence of the council, adopt rules for the administration 
of a rural development grant program. 
    Subd. 10.  [BUDGET.] The commissioner shall review and 
approve a biennial budget prepared by the council and submit it 
to the governor and the legislature for approval as part of the 
biennial budget process. 
    Sec. 4.  [116J.965] [INTERAGENCY COOPERATION.] 
    State departments and agencies shall cooperate with and 
assist the council in its work. 
    Sec. 5.  [REPEALER.] 
    Minnesota Statutes 1984, section 9.36, is repealed. 
    Approved May 29, 1985