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Office of the Revisor of Statutes

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

  

                         Laws of Minnesota 1989 

                         CHAPTER 300-H.F.No. 46 
           An act relating to public administration; authorizing 
          spending to acquire and to better public land and 
          buildings and other public improvements of a capital 
          nature with certain conditions; authorizing issuance 
          of state bonds; providing for deficiencies in and 
          supplementing appropriations for the expenses of state 
          government; setting filing fees for mental health 
          service providers; appropriating money; amending 
          Minnesota Statutes 1988, sections 16A.69; 16B.31, 
          subdivision 3, and by adding a subdivision; 116.18, 
          subdivision 3d; 124.477; 124.494, subdivisions 1, 2, 
          and 4; 124.495; 129B.72, subdivisions 2, and by adding 
          a subdivision; 129B.73, subdivision 4, and by adding a 
          subdivision; 136.03; 136.65, by adding a subdivision; 
          137.02, by adding a subdivision; 148B.40, subdivision 
          3; 148B.42, by adding a subdivision; and 268.027; Laws 
          1979, chapter 280, sections 1 and 2, as amended; 
          proposing coding for new law in Minnesota Statutes, 
          chapters 16B and 129B; repealing Minnesota Statutes 
          1988, section 268.027; and Laws 1987, chapter 400, 
          section 59, as amended. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 

                                ARTICLE 1 
    Section 1.  [CAPITAL IMPROVEMENTS APPROPRIATIONS.] 
    The sums in the column marked "APPROPRIATIONS" are 
appropriated from the state building fund, or another named 
fund, to the state agencies indicated, to be spent to acquire 
and to better public land and buildings and other public 
improvements of a capital nature, as specified in this act. 

                                SUMMARY 
TECHNICAL INSTITUTES                               $  5,485,000
COMMUNITY COLLEGES                                    5,805,000
STATE UNIVERSITIES                                   27,830,000
UNIVERSITY OF MINNESOTA                              14,415,000
EDUCATION                                             2,703,000
HUMAN SERVICES                                       11,751,000
CORRECTIONS                                           2,600,000
HEALTH                                                  390,000
VETERANS HOMES BOARD                                    165,000
JOBS AND TRAINING                                     1,000,000
BOARD OF WATER AND SOIL RESOURCES                     1,500,000
MINNESOTA HISTORICAL SOCIETY                            301,000
ADMINISTRATION                                       38,312,000
CAPITOL AREA ARCHITECTURAL AND PLANNING BOARD           450,000
NATURAL RESOURCES                                     6,857,000
POLLUTION CONTROL AGENCY                             10,125,000
PUBLIC FACILITIES AUTHORITY                          12,700,000
TRADE AND ECONOMIC DEVELOPMENT                        6,780,000
MILITARY AFFAIRS                                        400,000
TRANSPORTATION                                        8,000,000
BOND SALE EXPENSES                                      119,000
TOTAL                                              $157,688,000
General Fund                                          2,103,000
Building Fund                                       142,585,000
Reinvest in Minnesota Resources Fund                  5,000,000
Transportation Fund                                   8,000,000
                                                 APPROPRIATIONS
                                                   $  
     Sec. 2.  TECHNICAL INSTITUTES 
     Subdivision 1.  To the state board
of vocational technical education for the
purposes specified in this section                    5,485,000
 The state board shall review and report 
to the house appropriations and senate 
finance committees by January 15 of 
each year on the status of the capital 
improvement projects in this section. 
 As part of the planning process for any 
new building, consideration must be 
given to the child care needs of a 
campus and the feasibility of locating 
child care facilities in the new 
building. 
     Subd. 2.  Post-secondary vocational
technical construction in the school districts
listed in this subdivision                              675,000
(a) Independent School District No. 564,
Thief River Falls                                       505,000
This appropriation is added to the 
appropriation in Laws 1987, chapter 
400, section 17, subdivision 2, clause 
(p), for the same purposes.  The total 
amount of the project may not exceed 
$2,708,000. 
(b) Independent School District No. 819,
Wadena                                                  170,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
400, section 17, subdivision 2, clause 
(q), for the same purposes.  The total 
amount of the project may not exceed 
$2,321,000. 
     Subd. 3.  Statewide
 Notwithstanding Minnesota Statutes, 
section 136C.44, during the biennium 
ending June 30, 1991, the state board 
of vocational technical education must 
not make grants to school districts but 
shall directly supervise and control 
the preparation of plans and 
specifications to construct, alter, or 
enlarge the technical institute 
buildings, structures, and improvements 
provided for in this subdivision.  The 
state board of vocational technical 
education may provide grants to school 
districts for land purchases authorized 
in this act.  The school district must 
still finance 15 percent of the cost of 
each project, other than in a joint 
vocational technical district as 
defined in Minnesota Statutes, section 
136C.60. 
 During the biennium, the state board of 
vocational technical education shall 
advertise for bids and award contracts 
in connection with the improvements, 
supervise and inspect the work, approve 
necessary changes in the plans and 
specifications, approve estimates for 
payment, and accept the improvements 
when completed according to the plans 
and specifications. 
 Plans must be paid for out of this 
appropriation.  The remainder of the 
appropriation must not be spent until 
the board has secured suitable plans 
and specifications, prepared by a 
competent architect or engineer.  The 
plans and specifications must be 
accompanied by a detailed statement of 
the cost, quality, and description of 
all material and labor required for the 
completion of the work.  No plan may be 
adopted, and no improvement made or 
building constructed, that contemplates 
the expenditure for its completion of 
more money than the appropriation for 
it, unless otherwise provided in this 
act.  The state board of vocational 
technical education may employ 
appropriate staff to implement this 
subdivision and may delegate 
responsibilities to technical institute 
staff.  
(a) Acquire land                                        950,000
 This appropriation is to acquire land 
at the campuses at Bemidji, Detroit 
Lakes, Pine City, St. Paul, and Winona. 
(b) To continue development of the master
facility plan at each technical
institute campus                                        250,000
(c) Miscellaneous                                     3,610,000
 This appropriation is for capital 
improvement grants to school districts 
for roofs, parking lots, hazardous 
material abatement, fuel tank removal, 
electrical, mechanical, and other 
physical plant repairs and betterments 
at technical institute campuses. 
     Sec. 3.  COMMUNITY COLLEGES
     Subdivision 1.  To the commissioner of
administration for the purposes specified
in the following subdivisions                         5,805,000
 Notwithstanding Minnesota Statutes, 
section 16B.24, subdivision 2, the 
state board for community colleges 
shall supervise and control the making 
of necessary repairs to all state 
community college buildings and 
structures during the biennium ending 
June 30, 1991. 
 The state board shall review and report 
to the house appropriations and senate 
finance committees by January 15 of 
each year on the status of the capital 
improvement projects in this section.  
 As part of the planning process for any 
new building, consideration must be 
given to the child care needs of a 
campus and the feasibility of locating 
child care facilities in the new 
building. 
     Subd. 2.  Brainerd Community College               360,000
 This appropriation is to prepare 
working drawings to provide space for 
drama, child care, physical education, 
laboratories, biology, a library, 
classrooms, a campus center, an art 
studio and classroom, offices, parking, 
and storage areas. 
     Subd. 3.  Fergus Falls Community 
College                                                 200,000
 This appropriation is to prepare 
working drawings for a campus center, 
child care, laboratories, offices, 
administration and counseling, 
classrooms, continuing education, 
physical education, parking, and 
storage. 
     Subd. 4.  Fond du Lac Center                       100,000
 This appropriation is to prepare 
working drawings for classrooms, 
laboratories, offices, and other 
necessary purposes.  This appropriation 
is available only after receipt of a 
gift of land upon which the structures 
will be located. 
     Subd. 5.  Hibbing Community
College                                                  25,000
 This appropriation is to prepare 
working drawings for athletic 
facilities.  The plans must be 
developed in cooperation with the local 
school board. 
     Subd. 6.  Lakewood Community
College                                                 320,000
 This appropriation is to prepare 
working drawings to provide space for 
classrooms, child care, continuing 
education, physical education, parking, 
student services, administration, 
laboratories, campus center, and 
faculty office areas. 
     Subd. 7.  Normandale Community
College                                                 580,000
 This appropriation is to prepare 
working drawings to provide space for 
administration, classrooms, a campus 
center, laboratories, a library, 
continuing education, maintenance, 
student services areas, and parking 
areas. 
     Subd. 8.  Rainy River Community
College                                                 155,000
 This appropriation is to prepare 
working drawings for classrooms, 
laboratories, student services areas, 
faculty offices, a bookstore, child 
care, maintenance facilities, library, 
administration areas, and parking areas.
     Subd. 9.  Southeastern Education 
Center                                                  825,000
 This appropriation is to prepare 
working drawings for:  (1) a facility 
to be shared by the University of 
Minnesota, Rochester Community College, 
and Winona State University; and (2) 
the space vacated on the community 
college campus as a result of the new 
structure. 
     Subd. 10.  Willmar Community
College                                                 185,000
 This appropriation is to prepare 
working drawings for laboratories, a 
library, offices, parking, heating 
systems, fine arts, and classroom areas.
     Subd. 11.  Systemwide
(a) Acquire land                                      1,000,000
 This appropriation is to the community 
college board to acquire land at 
Willmar, Brainerd, and Anoka-Ramsey 
community colleges. 
 Before taking action, the board shall 
consult with the chairs of the senate 
finance committee and the house 
appropriations committee about the 
proposed action.  The board shall 
explain the need to acquire property, 
specify the property to be acquired, 
and indicate the source and amount of 
money needed for the acquisition.  
Should either chair object to the 
proposed purchase, then further action 
must be suspended pending presentation 
of the proposal to the legislature for 
consideration. 
 The community college board may pay 
relocation costs, at its discretion, 
when acquiring property. 
(b) To continue effective facility and program
planning at community college campuses                  250,000
(c) Miscellaneous                                     1,805,000
 This appropriation is for capital 
improvements at community colleges 
statewide, including roofs, hazardous 
material abatement, repair or 
construction of parking lots, 
electrical, mechanical, and other 
physical plant repairs and betterments. 
     Sec. 4.  STATE UNIVERSITIES
     Subdivision 1.  To the state
university board for the purposes specified
in the following subdivisions                        27,830,000
 Notwithstanding Minnesota Statutes, 
sections 16B.30 and 16B.31, during the 
biennium, the state university board 
shall supervise and control the 
preparation of plans and specifications 
for the construction, alteration, or 
enlargement of the state university 
buildings, structures, and improvements 
provided for in this section.  During 
the biennium, the board shall advertise 
for bids and award contracts in 
connection with the improvements, 
supervise and inspect the work, approve 
necessary changes in the plans and 
specifications, approve estimates for 
payment, and accept the improvements 
when completed according to the plans 
and specifications. 
 Plans must be paid for out of this 
appropriation.  The remainder of the 
appropriation must not be spent until 
the board has secured suitable plans 
and specifications, prepared by a 
competent architect or engineer.  The 
plans and specifications must be 
accompanied by a detailed statement of 
the cost, quality, and description of 
all material and labor required for the 
completion of the work.  No plan may be 
adopted, and no improvement made or 
building constructed, that contemplates 
the expenditure for its completion of 
more money than the appropriation for 
it, unless otherwise provided in this 
act. 
 The board shall review and report to 
the house appropriations and senate 
finance committees by January 15 of 
each year on the status of the capital 
improvement projects in this section. 
 Notwithstanding Minnesota Statutes, 
section 16B.24, subdivision 2, the 
state university board shall supervise 
and control the making of necessary 
repairs to all state university 
buildings and structures during the 
biennium ending June 30, 1991. 
 Notwithstanding other law, during the 
biennium, the state university board, 
on behalf of St. Cloud State and Winona 
State universities, may purchase 
property adjacent to or in the vicinity 
of the campuses as necessary for the 
development of the universities.  
 Before taking action, the board shall 
consult with the chairs of the senate 
finance committee and the house 
appropriations committee about the 
proposed action.  The board shall 
explain the need to acquire property, 
specify the property to be acquired, 
and indicate the source and amount of 
money needed for the acquisition.  
Should either chair object to the 
proposed purchase, then further action 
must be suspended pending presentation 
of the proposal to the legislature for 
consideration. 
The state university board may pay 
relocation costs, at its discretion, 
when acquiring property.  
 As part of the planning process for any 
new building, consideration must be 
given to the child care needs of a 
campus and the feasibility of locating 
child care facilities in the new 
building. 
     Subd. 2.  Bemidji Campus                           150,000
 This appropriation is from the general 
fund to replace the theater lighting in 
Bangsberg Hall. 
     Subd. 3.  Mankato Campus 
(a) Val Imm Drive                                       500,000
 This appropriation is to pay a special 
assessment by the city of Mankato for 
the cost of reconstruction and 
improvement of Val Imm Drive. 
 During the biennium ending June 30, 
1991, the city of Mankato may assess 
the state university board for costs of 
a storm water system.  The assessment 
must not be made until completion of 
the work and must not be more than 
$275,000 or 50 percent of the project, 
whichever is less. 
(b) Remodel and construct an addition to
Memorial Library                                     11,200,000
     Subd. 4.  Metropolitan Campus 
Plan for a consolidated administrative
and student center - working drawings                   600,000
     Subd. 5.  Moorhead Campus
Prepare working drawings for a classroom 
and office building                                     210,000
     Subd. 6.  St. Cloud Campus
Repair exterior of business building                    295,000
     Subd. 7.  Southwest Campus 
Waterproof tunnels                                      365,000
 The appropriation in Laws 1987, chapter 
400, section 19, subdivision 6, item 
(e), must not be spent for 
telecommunication towers and equipment 
for the southwest regional microwave 
system, but must be spent to develop 
the facilities and purchase the 
necessary fiber optic and microwave 
equipment to develop the regional 
system. 
     Subd. 8.  Winona Campus 
Construct Health
And Applied Science Building.                        10,310,000
 Subd. 9.  This appropriation is for 
capital improvements on state 
university campuses statewide. 
(a) Abate hazardous materials                         1,200,000
(b) Replace roofs                                     1,400,000
(c) Acquire land                                      1,600,000
 This appropriation is to acquire land 
adjacent to or in the vicinity of the 
Winona and St. Cloud campuses. 
Up to $350,000 of the unencumbered 
balance remaining from the money 
appropriated in Laws 1987, chapter 400, 
section 19, subdivision 7, for planning 
and land acquisition at Winona State 
University may be used for acquiring 
additional land adjacent to or in the 
vicinity of the Winona State campus. 
 Options for purchase of land may be 
negotiated for the Science Center at 
Moorhead. 
     Subd. 10.  Wood-Fired Boilers 
 Effective upon enactment of this act, 
no more money shall be paid out of the 
treasury of this state in connection 
with an agreement under Minnesota 
Statutes, section 16B.16, to provide a 
wood-fired boiler heating system at the 
campus of either Bemidji State 
University or St. Cloud State 
University.  This prohibition is 
intended to be permanent. 
 Minnesota Statutes, section 16B.16, 
authorizes the commissioner of 
administration to enter into 
installment purchase agreements to 
acquire equipment that will improve the 
energy efficiency of a state building 
or facility if, among other things, the 
entire cost of the contract is a 
percentage of the resultant savings in 
energy costs and the state may 
unilaterally cancel the agreement if 
the legislature fails to appropriate 
funds to continue the contract.  
Section 16B.16 does not authorize the 
commissioner to commit the state to pay 
for equipment that does not work nor to 
pay more for energy as a result of the 
installment purchase agreement than 
would be needed without the agreement.  
If there are no savings in energy costs 
through use of the equipment, there 
should be no compensation due under the 
agreement. 
 The commissioner of administration 
acted under Minnesota Statutes, section 
16B.16, when entering into installment 
purchase agreements to install 
wood-fired boiler heating systems at 
the campuses of Bemidji State 
University and St. Cloud State 
University.  The wood-fired boiler 
heating system installed at the Bemidji 
campus did not work as promised and the 
promised energy savings were not 
achieved.  The state refused to make 
further payments under the agreement 
for Bemidji and canceled the agreement 
for St. Cloud.  The state later resumed 
making payments under the agreement for 
Bemidji, even though it believed there 
had been a complete failure of 
consideration. 
 The purpose of this subdivision is to 
make clear to all potential investors 
in state and local bonds and to 
financial institutions that the state 
is not and never has been responsible 
for financing the wood-fired boiler 
heating systems at Bemidji and St. 
Cloud state universities, other than 
through payment to the vendor of a 
percentage of the resultant savings in 
energy costs.  Since the equipment and 
technology chosen by the vendor did not 
produce savings in energy costs, the 
entire loss should be borne by the 
vendor and by the vendor's financial 
backers, not by the state. 
     Sec. 5.  UNIVERSITY OF MINNESOTA
     Subdivision 1.  To the regents of the
University of Minnesota for the purposes 
specified in the following subdivisions              14,415,000
 The regents shall review and report to 
the house appropriations and senate 
finance committees by January 15 of 
each year on the status of the capital 
improvement projects in this section. 
 As part of the planning process for any 
new building, consideration must be 
given to the child care needs of a 
campus and the feasibility of locating 
child care facilities in the new 
building. 
     Subd. 2.  Twin Cities Campus 
(a) Plan Walter Library Renovation                    2,270,000
(b) Biological Sciences and Basic 
Sciences Construction Projects - 
Working Drawings                                      5,114,000
(c) Upgrade Indoor-Outdoor Track                        270,000
(d) Physiology Building - Working Drawings               60,000
(e) Earth Sciences and Materials Engineering
Building - Schematic Plans                            1,035,000
     Subd. 3.  Waseca  Campus
Prepare working drawings for a food 
service and campus center                               266,000
     Subd. 4.  Statewide                              5,400,000
 $3,040,000 is for health and life 
safety improvements at University of 
Minnesota facilities statewide. 
 $2,200,000 is the final appropriation 
for the state's share of the cost of 
clean up of the Rosemount Research 
Center. 
 $160,000 is to prepare schematic plans 
for integrated waste management. 
     Subd. 5.  Other Provisions 
 The regents of the University of 
Minnesota may use nonstate money to 
plan an addition to Ferguson Hall and 
to plan the next phase of the 
recreation sports facility. 
 In addition to the purpose stated in 
Laws 1987, chapter 400, section 20, 
subdivision 8, clause (a), the regents 
are authorized to use the appropriation 
to construct an attached greenhouse. 
     Sec. 6.  EDUCATION
     Subdivision 1.  To the commissioner of
administration for the purposes specified in                   
this section                                          2,703,000
     Subd. 2.  Minnesota State Academy for 
the Blind and Deaf - Faribault
(a) Rewire Rodman Service Building and 
Tate Hall                                               318,000
(b) Abate asbestos                                      135,000
     Subd. 3.  Minnesota School and Resource
Center for the Arts - St. Paul 
Demolish buildings on the art school site               250,000
     Subd. 4.  Desegregation Grants                   2,000,000
 This appropriation is for desegregation 
grants to school districts under the 
desegregation capital improvement grant 
act according to Minnesota Statutes, 
sections 129B.71 to 129B.73. 
     Sec. 7.  HUMAN SERVICES
To the commissioner
of administration for the purposes 
specified in this section                            11,751,000
(a) Plan and construct eight state-operated 
community service facilities, to be 
owned by the state                                    2,640,000
(b) Upgrade or install heating, ventilating,
and air conditioning equipment in state-owned
residential and program buildings                     4,200,000
This appropriation is for Anoka, 
Brainerd, Cambridge, Faribault, Fergus 
Falls, Moose Lake, St. Peter, and 
Willmar regional treatment centers, and 
for Ah-Gwah-Ching and Oak Terrace state 
nursing homes.  The commissioner of 
human services shall determine the 
priority for each project. 
 $150,000 is for the state board for 
community colleges and the commissioner 
of human services to jointly study the 
feasibility of converting buildings at 
the Cambridge regional treatment center 
for use by the Cambridge community 
college center.  The study must be 
submitted to the chairs of the senate 
finance committee and house 
appropriations committee for their 
advisory recommendations.  Following 
receipt of the recommendations, the 
state board and the commissioner shall 
prepare a preliminary plan for the 
conversion and submit it to the 
legislature by January 1, 1990.  The 
plan must include a timetable for the 
transfer and for any construction, 
remodeling, or repairs required to make 
the facilities ready for use by the 
college center.  It must also include 
the estimated costs of the facility 
improvements required to convert the 
buildings to college use. 
(c) Prepare working drawings to renovate
and reconstruct Anoka, Cambridge, Moose 
Lake, and Fergus Falls regional treatment 
centers, and evaluate the need for 
additional security and nursing home beds 
in the metropolitan area                              1,228,000
(d) Remodel residential buildings at
regional treatment centers to meet standards
for skilled nursing facilities                        3,000,000
 This appropriation is to remodel and 
plan to remodel buildings at Brainerd 
and Fergus Falls and to plan to remodel 
buildings at Faribault and Moose Lake. 
(e) Replace boilers and make related steam
system renovations at Ah-Gwah-Ching
State Nursing Home                                      683,000
     Sec. 8.  CORRECTIONS
     Subdivision 1.  To the commissioner of 
administration for the purposes specified in
this section                                          2,600,000
     Subd. 2.  Minnesota Correctional 
Facility -- Red Wing
Install and upgrade appropriate fire
and safety equipment on boilers #1 and #2               300,000
     Subd. 3.  Minnesota Correctional 
Facility -- St. Cloud
Replace and reinsulate steam,
condensate, sewer, and water lines in
utility tunnels                                       1,100,000
     Subd. 4.  Minnesota Correctional
Facility -- Shakopee
Demolish old Shakopee correctional
facility                                                250,000
     Subd. 5.  Minnesota Correctional
Facility -- Stillwater
Complete various projects required to
comply with OSHA regulations                            350,000
     Subd. 6.  Systemwide
Repair roofs at various state 
correctional facilities                                 600,000
     Sec. 9.  HEALTH
     To the commissioner of administration 
for the purposes specified in this 
section                                                 390,000
(a) Conduct evaluation of public health 
laboratories ventilation system and make 
structural changes necessary for adequate
ventilation                                             260,000
(b) Conduct long-range space utilization
study of the laboratories at the present 
health building focusing on safety and 
changing laboratory technologies                        130,000
     Sec. 10.  VETERANS HOMES BOARD
     Subdivision 1.  To the commissioner of 
administration for the purpose specified in
this section.
     Subd. 2.  Minnesota Veterans Home --
Minneapolis
Demolish Building 5                                     165,000
     Sec. 11.  JOBS AND TRAINING 
Acquire site and building in Minneapolis 
for department offices                                1,000,000
     Sec. 12.  BOARD OF WATER AND
SOIL RESOURCES
     To the board of water and soil 
resources for the reinvest in Minnesota 
resources program                                     1,500,000
 This appropriation is from the reinvest 
in Minnesota resources fund to acquire 
conservation easements under Minnesota 
Statutes, section 40.43, subdivision 
3.  The board shall give priority to 
acquiring easements on cropland in 
sensitive groundwater areas.  The 
approved complement of the board of 
water and soil resources is increased 
by one position to administer these 
projects, to be paid from this 
appropriation. 
     Sec. 13. MINNESOTA HISTORICAL SOCIETY
     To the Minnesota historical society
for the purposes specified in this section              301,000
(a) Red Lake Tribal Information Center                  165,000
This appropriation is to prepare 
working drawings for a Red Lake Tribal 
Information Center to be owned by the 
state or a political subdivision. 
(b) Red Wing Energy Park Archaeological Site            136,000
This appropriation is for a grant to 
Goodhue county to acquire Lot 6, Block 
2, Red Wing Energy Park, city of Red 
Wing for historic preservation and 
educational purposes.  The property 
consists of archaeological lands and 
resources adjacent to the Cannon Valley 
Trail and affords unique educational 
opportunities. 
     Sec. 14.  ADMINISTRATION
     To the commissioner of 
administration for the purposes 
specified in this section                            38,312,000
(a) Provide handicapped persons with 
access to state buildings - statewide                29,000,000
 $390,000 is for use by the state board 
of vocational technical education. 
 $95,000 is for use by the state board 
for community colleges. 
 $400,000 is for the regents of the 
University of Minnesota. 
 $2,050,000 is for use by the 
commissioner of administration. 
 No more than $2,935,000 of this 
$29,000,000 may be spent before June 
30, 1990. 
 The legislature declares its continuing 
intent to make state-owned buildings 
fully accessible to disabled persons by 
June 30, 1993. 
 The commissioner of administration 
shall update and review the 1984 
accessibility survey for accuracy, 
completeness, and currency; shall 
prepare preliminary plans and 
specifications to correct identified 
deficiencies; shall prepare a report 
and work plan, including schedules and 
updated cost estimates for submission 
to the legislature by February 15, 
1990; and shall begin construction and 
remodeling of buildings identified in 
the report and work plan as having the 
greatest need.  In preparing the report 
and work plan and any changes to it, 
the commissioner shall consult with and 
receive the recommendations and 
priorities of the council on people 
with disabilities.  The commissioner of 
administration shall submit by each 
February 15 a progress report to the 
chair of the senate committee on 
finance and the house committee on 
appropriations on the status of the 
construction and remodeling of state 
buildings paid for out of this 
appropriation. 
 The commissioner of administration 
shall apply for the maximum federal 
share for each capital improvement 
project for which money is appropriated 
in this item. 
 The commissioner of finance shall 
schedule the sale of state general 
obligation bonds so that during fiscal 
years 1990 and 1991 no more than 
$811,000 will need to be transferred 
from the general fund to the state bond 
fund to pay principal and interest 
expenses resulting from the expenditure 
of $2,935,000 appropriated in this 
item.  Additional amounts may be 
transferred for debt service related to 
this item only as specifically 
authorized by law. 
(b) Remove or encapsulate asbestos in 
state buildings - statewide                           1,500,000
(c) Remodel State Capitol                             3,000,000
 The commissioner of administration must 
not prepare final plans and 
specifications for projects included in 
this appropriation until the 
commissioner has presented the program 
and schematic plans and cost estimates 
for all elements necessary to complete 
the projects to the committee on rules 
and administration of the senate and 
the committee has made its 
recommendations on the plans.  The 
recommendations are advisory only.  
Failure or refusal to make a 
recommendation is deemed a negative 
recommendation. 
 $400,000 of this appropriation is from 
the general fund to the senate for 
relocation and other expenses related 
to remodeling senate space. 
(d) Restore State Capitol                               575,000
 This appropriation is to replace 
interior downspouts and replace the 
northwest plaza. 
(e) Relocate state agencies                           1,160,000
 This appropriation is from the general 
fund to relocate state agencies to the 
Judicial Center and move the department 
of commerce. 
(f) Renovate house space in state capitol             2,200,000
 This appropriation for the remodeling 
of the house space, including the house 
chamber.  Any plans developed for the 
project shall include design 
requirements for an automated chamber.  
(g) Minnesota Public Radio                              393,000
 This appropriation is from the general 
fund for equipment grants to Minnesota 
Public Radio for its Appleton, Thief 
River Falls, and central Minnesota 
stations. 
(h) Select site and plan for new  
agriculture department building                         420,000
 This appropriation is to the 
commissioner of administration to plan, 
select a site, and prepare schematic 
plans for a new agriculture department 
building.  In the planning and site 
selection process, the commissioner 
shall give priority to a building site 
within or in close proximity to the 
University of Minnesota St. Paul 
campus.  Before preparing the schematic 
plans, the commissioner shall report to 
the legislature by February 15, 1990, 
with a recommendation for a new 
location for the state department of 
agriculture.  The report must include a 
recommended site, cost, and timetable 
for implementing the recommendations. 
(i) Interest on arbitration award for
remodeling State Office Building                         64,000
 This appropriation is to pay to the 
parties receiving a portion of the 
arbitrator's award for remodeling the 
state office building, other than the 
prime contractor, an amount to make up 
the difference between the interest 
paid on the award, which was at a rate 
of eight percent a year, and the 
average interest rate paid by them on 
money borrowed to provide them with 
operating capital pending receipt of 
the arbitrator's award, assumed to be 
11.1 percent. 
     Sec. 15.  CAPITOL AREA ARCHITECTURAL 
AND PLANNING BOARD 
Plan for office building                                450,000
 This appropriation is for the site 
selection work to select a site in the 
capitol area for the construction of 
future state office buildings to house 
executive branch agencies and for the 
design competition necessary for one 
office building in the capitol area for 
housing executive branch agencies. 
     Sec. 16.  NATURAL RESOURCES
     Subdivision 1.  To the commissioner
of natural resources for the purposes
specified in this section                             6,857,000
     Subd. 2.  Reinvest in Minnesota                  3,500,000
 This appropriation is from the reinvest 
in Minnesota resources fund for fish 
and wildlife land acquisition and 
development. 
 $1,000,000 of this appropriation is for 
transfer to the private sector critical 
habitat matching account under 
Minnesota Statutes, section 84.943.  
     Subd. 3.  Other Programs 
(a) Acquire and develop trails                        1,200,000
 Included in this appropriation is money 
to appraise the Paul Bunyan trail, 
engineer and begin development of the 
Soo Line trail, and acquire land for 
the Red River, Minnesota Valley, and 
Heartland state trails. 
(b) Water Bank Program under Minnesota 
Statutes, section 105.392                             600,000
(c) Flood damage reduction and prevention  under 
Minnesota Statutes, section 104.11                  1,032,000
(d) Construct hazardous chemical storage
buildings at six regional headquarters  
and restore Hibbing airport apron                       525,000
     Sec. 17.  POLLUTION CONTROL AGENCY
     To the pollution control agency for
the purposes specified in this section               10,125,000
(a) Combined sewer overflow grants                    6,750,000
(b) State match to federal grants for 
construction of wastewater treatment
facilities                                            2,500,000
 Any money remaining after all grants 
have been awarded under this section 
may be used for the award of grants 
under Minnesota Statutes, section 
116.18, subdivision 3a.  The pollution 
control agency may transfer 
appropriations to the public facilities 
authority to accomplish this purpose. 
(c) Grant administration                                875,000
 This appropriation is for 23 
administrative positions that are 
directly related to the construction of 
these projects. 
     Sec. 18.  PUBLIC FACILITIES AUTHORITY
     To the public facilities authority for 
the purposes specified in this section               12,700,000
(a) State Independent Grants Program                  8,000,000
 For fiscal year 1990, money 
appropriated for the state independent 
grants program is not subject to 
Minnesota Statutes, section 116.18, 
subdivision 3a, paragraph (b), or 
section 116.181. 
 $2,000,000 is for new grants for 
reimbursement or new projects under 
Minnesota Statutes, section 116.18, 
subdivision 3a, paragraph (c).  This 
appropriation is not available to 
communities that are eligible for 
federal grants and must be divided pro 
rata among the communities in amounts 
not to exceed their eligible grants. 
 $3,000,000 is for continuation grants 
under Minnesota Statutes, section 
116.18, subdivision 3a, paragraphs (a) 
and (b).  A continuation grant must not 
exceed $654,900 to a grantee.  
 $3,000,000 of this appropriation is for 
grant adjustments to those 
municipalities identified in Minnesota 
Statutes, section 116.18, subdivision 
3d.  A supplemental grant must not 
exceed two and one-half percent of the 
total eligible costs of construction.  
A municipality is eligible for this 
grant increase if it meets the 
requirements of Minnesota Statutes, 
section 116.18, subdivision 3d. 
 The public facilities authority may 
transfer appropriations to the 
pollution control agency to address 
insufficient state match to federal 
grants under Minnesota Statutes, 
section 116.18, subdivision 2a. 
(b) State match to federal grants to 
capitalize the state water pollution 
control revolving fund                                4,700,000
 Any money in excess of the amount 
needed for the 20 percent state match 
to the federal grant may be used for 
grants under Minnesota Statutes, 
section 116.18, subdivision 3a, 
paragraph (a) or (c). 
     Sec. 19. TRADE AND ECONOMIC DEVELOPMENT
     To the commissioner of trade and 
economic development for the purposes 
specified in this section                             6,780,000
(a) Dredge upper harbor area of Duluth 
Harbor                                                6,100,000
 This appropriation is for payment of a 
grant to the seaway port authority of 
Duluth and is available only after the 
commissioner of trade and economic 
development has determined that it will 
be matched by at least $7,100,000 of 
federal money and $2,850,000 of private 
investment. 
(b) National shooting sports center                     400,000
 This appropriation is for the planning 
for the construction of a national 
shooting sports center to be located at 
Giant's Ridge in Biwabik. 
(c) Kayaking center                                     280,000
 This appropriation is for a grant to 
Carlton county for the planning and 
construction of facilities for the 
kayaking center at Carlton. 
     Sec. 20.  MILITARY AFFAIRS
     To the adjutant general for the purpose 
specified in this section. 
Remove asbestos from national guard
facilities statewide and correct code 
violations at building U-1 at Camp 
Ripley                                                  400,000
 The appropriation for building U-1 is 
only available upon demonstration to 
the commissioner of finance that 
federal money is available for this 
project. 
     Sec. 21.  BOND SALE EXPENSES
     To the commissioner of finance
for bond sale expenses under Minnesota
Statutes, section 16A.641, subdivision 8                119,000
     Sec. 22.  DEBT SERVICE 
 The commissioner of finance shall 
schedule the sale of state general 
obligation bonds so that, during the 
biennium ending June 30, 1991, no more 
than $369,000,000 will need to be 
transferred from the general fund to 
the state bond fund to pay principal 
and interest due and to become due on 
outstanding state general obligation 
bonds.  Before each sale of state 
general obligation bonds, the 
commissioner of finance shall calculate 
the amount of debt service payments 
needed on bonds previously issued and 
shall estimate the amount of debt 
service payments that will be needed on 
the bonds scheduled to be sold.  The 
commissioner shall adjust the amount of 
bonds scheduled to be sold so as to 
remain within the limit set by this 
section.  The amount needed to make the 
debt service payments is appropriated 
from the general fund as provided in 
Minnesota Statutes, section 16A.641. 
    Sec. 23.  [BOND SALE.] 
    Subdivision 1.  [BUILDING FUND.] To provide the money 
appropriated in this act from the state building fund the 
commissioner of finance on request of the governor shall sell 
and issue bonds of the state in an amount up to $142,585,000 in 
the manner, upon the terms, and with the effect prescribed by 
Minnesota Statutes, sections 16A.631 to 16A.675, and by the 
Minnesota Constitution, article XI, sections 4 to 7. 
    Subd. 2.  [REINVEST IN MINNESOTA FUND.] To provide the 
money appropriated in this act from the reinvest in Minnesota 
resources fund the commissioner of finance on request of the 
governor shall sell and issue bonds of the state in an amount up 
to $5,000,000 in the manner, upon the terms, and with the effect 
prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, 
and by the Minnesota Constitution, article XI, sections 4 to 7. 
    Sec. 24.  Minnesota Statutes 1988, section 16A.69, is 
amended to read: 
    16A.69 [APPROPRIATIONS INTO SINGLE PROJECT ACCOUNT.] 
    Subdivision 1.  [APPROPRIATIONS INTO SINGLE PROJECT 
ACCOUNT.] The commissioner shall place the money from two or 
more appropriations for the same or related projects in one 
account if all the appropriations do not lapse until their 
purposes are accomplished or abandoned.  The commissioner of 
administration shall first certify which accounts are involved 
to the commissioner.  
    Subd. 2.  [TRANSFER BETWEEN ACCOUNTS.] Upon the awarding of 
final contracts for the completion of a project for construction 
or other permanent improvement, or upon the abandonment of the 
project, the agency to whom the appropriation was made may 
transfer the unencumbered balance in the project account to 
another project enumerated in the same section of that 
appropriation act.  The transfer must be made only to cover bids 
for the other project that were higher than was estimated when 
the appropriation for the other project was made and not to 
cover an expansion of the other project.  The money transferred 
under this section is appropriated for the purposes for which 
transferred.  For transfers by the state board of vocational 
technical education, the total cost of both projects and the 
required local share for both projects are adjusted 
accordingly.  The agency proposing a transfer shall report to 
the chair of the senate finance committee and the chair of the 
house appropriations committee before the transfer is made under 
this subdivision. 
    Sec. 25.  Minnesota Statutes 1988, section 16B.31, 
subdivision 3, is amended to read: 
    Subd. 3.  [FEDERAL AID.] (a) [APPLICATION FOR AID.] The 
commissioner, or any other agency to whom an appropriation is 
made for a capital improvement, shall apply for the maximum 
federal share for each project.  
     (b) [ACCEPTANCE OF AID.] The commissioner is the state 
agency empowered to accept money provided for or made available 
to this state by the United States of America or any federal 
department or agency for the construction and equipping of any 
building for state purposes not otherwise provided for by law, 
other than University of Minnesota buildings, in accordance with 
the provisions of federal law and any rules or regulations 
promulgated under federal law.  The commissioner may do whatever 
is required of this state by federal law, rules, and regulations 
in order to obtain the federal money.  
    (b) (c) [FEDERAL FUNDS CONSIDERED PART OF APPROPRIATION.] 
The commissioner may after consultation with the chairs of the 
senate finance committee and house of representatives 
appropriations committee, adopt a plan, provide for an 
improvement, or construct a building that contemplates 
expenditure for its completion of more money than the 
appropriation for it, if the excess money is provided by the 
United States government and granted to the state of Minnesota 
under federal law or any rule or regulation promulgated under 
federal law.  This federal money, for the purpose of this 
section, is a part of the appropriation for the project.  
    (c) (d) [DELAYED FEDERAL MONEY.] If an amount is payable to 
a creditor of the state from a project account which is financed 
partly with federal money and the project is included in 
appropriations made to the commissioner for public buildings and 
equipment, and the amount cannot be paid on time because of a 
deficiency of money in the project account caused by a delay in 
the receipt of federal money, the commissioner may provide money 
needed to pay the amount by temporarily transferring the sum to 
the project account from any other appropriation made to the 
commissioner in the same act.  Required money for a payment is 
appropriated for that purpose.  When the delayed federal money 
is received, the commissioner shall have the amount of money 
transferred returned to the account from which it came.  
    Sec. 26.  Minnesota Statutes 1988, section 16B.31, is 
amended by adding a subdivision to read: 
    Subd. 5.  [METHODS OF ACQUISITION.] If money has been 
appropriated to the commissioner to acquire lands or sites for 
public buildings or real estate, the acquisition may be by gift, 
purchase, or condemnation proceedings.  Condemnation proceedings 
must be under chapter 117. 
    Sec. 27.  [16B.335] [REVIEW OF PLANS AND PROJECTS.] 
    Subdivision 1.  [CONSTRUCTION AND MAJOR REMODELING.] The 
commissioner, or any other agency to whom an appropriation is 
made to acquire or better public lands or buildings or other 
public improvements of a capital nature, must not prepare final 
plans and specifications for any construction, major remodeling, 
or land acquisition authorized by the appropriation until the 
agency that will use the project has presented the program plan 
and cost estimates for all elements necessary to complete the 
project to the chair of the senate finance committee and the 
chair of the house appropriations committee and the chairs have 
made their recommendations.  "Construction or major remodeling" 
means construction of a new building or substantial alteration 
of the exterior dimensions or interior configuration of an 
existing building.  The presentation must note any significant 
changes in the work that will be done, or in its cost, since the 
appropriation for the project was enacted.  The program plans 
and estimates must be presented for review at least two weeks 
before a recommendation is needed.  The recommendations are 
advisory only.  Failure or refusal to make a recommendation is 
considered a negative recommendation. 
    Subd. 2.  [OTHER PROJECTS.] All other projects, including 
building improvements, small structures at experiment stations, 
asbestos removal, life safety, PCB removal, tuckpointing, roof 
repair, code compliance, landscaping, drainage, electrical and 
mechanical systems work, paving of streets, parking lots, and 
the like must not proceed until the agency undertaking the 
project has notified the chair of the senate finance committee 
and the chair of the house appropriations committee that the 
work is ready to begin. 
    Sec. 28.  Minnesota Statutes 1988, section 116.18, 
subdivision 3d, is amended to read: 
    Subd. 3d.  [ADJUSTMENTS TO MATCHING GRANTS AND STATE 
INDEPENDENT GRANTS.] A municipality with a population of 25,000 
or less that was tendered a state matching grant under 
subdivision 2a, or a state independent grant under subdivision 
3a, or a federal grant under the federal Water Pollution Control 
Act, United States Code, title 33, sections 1281 to 1299, from 
October 1, 1984, through September 30, 1987, shall, after the 
municipality has awarded bids for construction of the treatment 
works, and upon request, receive a grant increase of five 2.5 
percent of the total eligible costs of construction, up to the 
maximum entitlement for grants awarded on or after October 1, 
1987, under subdivisions 2a and 3a.  The municipality must 
inform other entities that are providing funding for 
construction of the treatment works of the grant increase, and 
repay any funds to which it is not entitled.  A municipality 
must not receive funding for more than 100 percent of the total 
costs of the treatment works.  Documentation of money received 
from other sources must be submitted with the request for the 
grant increase.  Money remaining after all grants have been 
awarded under this subdivision may be used for the award of 
grants under subdivisions 2a and 3a.  An adjustment grant 
awarded after July 1, 1989, that is a continuation of a 
previously awarded adjustment grant must be awarded through a 
letter from the agency to the municipality stating the grant 
amount.  A formal grant agreement is not required. 
    Sec. 29.  Minnesota Statutes 1988, section 136.03, is 
amended to read: 
    136.03 [MANAGEMENT OF STATE UNIVERSITIES.] 
    Subdivision 1.  [MANAGEMENT.] The state universities shall 
be under the management, jurisdiction, and control of the state 
university board; and it shall have and possess all of the 
powers, jurisdiction, and authority, and shall perform all of 
the duties by them possessed and performed on and prior to April 
1, 1901, except as hereinafter stated.  Notwithstanding the 
provisions of sections 136.01, 136.015, and 136.017, the state 
university board, as it deems necessary, may close state 
universities under its jurisdiction.  Prior to closing a state 
university the board shall hold a public hearing on the issue in 
the area which would be affected by the closing.  At the hearing 
affected persons shall have an opportunity to present 
testimony.  The hearing shall be conducted by the office of 
administrative hearings.  The administrative law judge shall 
prepare a summary of testimony received at the hearing for the 
board.  The board shall give notice of this hearing by 
publishing notice in the State Register and in a newspaper of 
general circulation in the affected area at least 30 days before 
the scheduled hearing.  
    Subd. 2.  [METHODS OF ACQUISITION.] If money has been 
appropriated to the state university board to acquire lands or 
sites for public buildings or real estate, the acquisition may 
be by gift, purchase, or condemnation proceedings.  Condemnation 
proceedings must be under chapter 117. 
    Sec. 30.  Minnesota Statutes 1988, section 136.65, is 
amended by adding a subdivision to read: 
    Subd. 3.  [METHODS OF ACQUISITION.] If money has been 
appropriated to the community college board to acquire lands or 
sites for public buildings or real estate, the acquisition may 
be by gift, purchase, or condemnation proceedings.  Condemnation 
proceedings must be under chapter 117. 
    Sec. 31.  Minnesota Statutes 1988, section 137.02, is 
amended by adding a subdivision to read: 
    Subd. 3a.  [CONSULTATION REQUIRED.] Land must not be 
purchased and a building must not be purchased, constructed, or 
erected on land of the University of Minnesota until the regents 
have first consulted with the chair of the senate finance 
committee and the chair of the house appropriations committee 
and obtained their advisory recommendations. 
    Sec. 32.  Minnesota Statutes 1988, section 268.027, is 
amended to read: 
    268.027 [DEPARTMENT OF JOBS AND TRAINING; MINNEAPOLIS 
LOCATION; RIGHT OF EMINENT DOMAIN.] 
    Notwithstanding sections 16B.24 and 268.026 or chapter 94, 
the commissioner of administration, in consultation with the 
commissioner of jobs and training, is authorized to buy and sell 
real property in Minneapolis and the greater Minneapolis area 
for the purpose of relocating department offices to locations 
more accessible to the residents of Minneapolis and colocating 
with other social service agencies. 
    Property acquired under authority of this section may be 
acquired by gift, purchase, or condemnation proceedings.  
Condemnation proceedings must be done under chapter 117.  
Condemnation proceedings authorized by this section may be used 
to acquire property at only one proposed office site. 
    Sec. 33.  Laws 1979, chapter 280, section 1, is amended to 
read: 
    Section 1.  [STATE TRANSPORTATION BONDS; ISSUANCE AND 
SALE.] The commissioner of finance shall, upon the request of 
the commissioner of transportation, issue and sell Minnesota 
state transportation bonds for the purposes provided in 
Minnesota Statutes, Section 174.51, Subdivision 1, in the 
aggregate principal amount of $52,000,000 $60,000,000 in the 
manner and upon the conditions prescribed in Minnesota Statutes, 
Section 174.51 and in Article XI of the Minnesota Constitution.  
The proceeds of the bonds, except as provided in Minnesota 
Statutes, Section 174.51, Subdivision 5, shall be deposited in 
the Minnesota state transportation fund for expenditure in 
accordance with section 2, subdivisions 2 and 3, and Minnesota 
Statutes, Section 174.50. 
    Sec. 34.  Laws 1979, chapter 280, section 2, as amended by 
Laws 1982, chapter 617, section 25, Laws 1985, chapter 299, 
section 39, and Laws 1985, First Special Session, chapter 16, 
article 2, section 16, is amended to read: 
    Sec. 2.  [APPROPRIATION.] Subdivision 1.  
$52,000,000 $60,000,000, or so much thereof as is determined to 
be needed, is appropriated from the Minnesota state 
transportation fund to the department of transportation to be 
expended for disbursement in the form of grants by the 
commissioner of transportation for construction and 
reconstruction of key bridges on the state transportation system 
and shall be allocated pursuant to subdivisions 2 and 3.  The 
appropriation shall not lapse, but shall remain available until 
expended. 
    Subd. 2.  $50,500,000 $58,500,000 or so much thereof as is 
needed, is available for expenditure at a rate not exceeding 
$12,500,000 per fiscal year for grants to political subdivisions 
for construction and reconstruction of key bridges on highways, 
streets and roads under their jurisdiction.  The grants shall 
not exceed the following aggregate amounts: 
    (1) To counties.... $11,500,000 $16,220,000 
    (2) To home rule charter and statutory cities.... 
$1,500,000 $2,620,000 
    (3) To towns.... $21,000,000 $23,160,000 
    Grants under clauses (1) to (3) may be used by political 
subdivisions to match federal-aid grants for construction and 
reconstruction of key bridges under their jurisdictions. 
Additional grants may be made in an aggregate amount not to 
exceed $16,500,000 to the political subdivisions to match 
federal-aid grants for construction and reconstruction of key 
bridges under their jurisdiction.  Appropriations made in 
subdivisions 1, 2, or 3 may also be used for the following 
purposes: 
    (1) The costs of abandoning an existing bridge that is 
deficient and is in need of replacement, but where no 
replacement will be made. 
    (2) The costs of constructing a road or street that would 
facilitate the abandonment of an existing bridge determined to 
be deficient.  The construction of the road or street must be 
judged to be more cost efficient than the reconstruction or 
replacement of the existing bridge. 
    Subd. 3.  An additional amount not to exceed $1,500,000 is 
available for grants for preliminary engineering and 
environmental studies pursuant to section 3. 
    Sec. 35.  [BOND SALE REDUCTIONS.] 
    The bond sale authorization in Laws 1981, chapter 334, 
section 12, is reduced by $37,880,000.  
    Sec. 36.  [EFFECTIVE DATE.] 
    This article is effective the day after its final enactment.

                               ARTICLE 2 

                   ELEMENTARY AND SECONDARY EDUCATION 
    Section 1.  Minnesota Statutes 1988, section 124.477, is 
amended to read: 
    124.477 [BOND ISSUE; MAXIMUM EFFORT SCHOOL LOANS; 1988.] 
    To provide money to be loaned to school districts as 
agencies and political subdivisions of the state to acquire and 
to better public land and buildings and other public 
improvements of a capital nature, in the manner provided by the 
maximum effort school aid law, the commissioner of finance shall 
issue and sell school loan bonds of the state of Minnesota in 
the maximum amount of $20,000,000 $22,000,000, in addition to 
the bonds already authorized for this purpose.  The same amount 
is appropriated to the maximum effort school loan fund and must 
be spent under the direction of the commissioner of education to 
make debt service loans and capital loans to school districts as 
provided in sections 124.36 to 124.47.  The bonds must be issued 
and sold and provision for their payment must be made according 
to section 124.46.  Enough money to pay interest on the bonds to 
and including July 1 in the second year after the date of issue 
must be credited from the bond proceeds to the school loan bond 
account in the state bond fund.  Expenses incidental to the 
sale, printing, execution, and delivery of the bonds, including, 
but without limitation, actual and necessary travel and 
subsistence expenses of state officers and employees for those 
purposes, must be paid from the maximum effort school loan fund, 
and the money necessary for the expenses is appropriated from 
that fund.  
    Sec. 2.  Minnesota Statutes 1988, section 124.494, 
subdivision 1, is amended to read: 
    Subdivision 1.  [QUALIFICATION.] Any group of school 
districts that meets the criteria required under subdivision 2 
may apply for an incentive grant in an amount up to not to 
exceed the lesser of $6,000,000 or 75 percent of the approved 
construction costs of a cooperative secondary education facility.
    Sec. 3.  Minnesota Statutes 1988, section 124.494, 
subdivision 2, is amended to read: 
    Subd. 2.  [REVIEW BY COMMISSIONER.] (a) Any group of 
districts that submits an application for a grant shall submit a 
proposal to the commissioner for review and comment under 
section 121.15, and the commissioner shall prepare a review and 
comment on the proposed facility, regardless of the amount of 
the capital expenditure required to acquire, construct, remodel 
or improve the secondary facility.  The commissioner must not 
approve an application for an incentive grant for any secondary 
facility unless the facility receives a favorable review and 
comment under section 121.15 and the following criteria are met: 
    (1) a minimum of three or more districts, with kindergarten 
to grade 12 enrollments in each district of no more than 1,000 
1,200 pupils, enter into a joint powers agreement; 
    (2) a joint powers board representing all participating 
districts is established under section 471.59 to govern the 
cooperative secondary facility; 
    (3) the planned secondary facility will result in the joint 
powers district meeting the requirements of Minnesota Rules, 
parts 3500.2010 and 3500.2110; 
    (4) at least 240 pupils would be served in grades 10 to 12, 
320 pupils would be served in grades 9 to 12, or 480 pupils 
would be served in grades 7 to 12; 
    (5) no more than one superintendent is employed by the 
joint powers board as a result of the cooperative secondary 
facility agreement; 
    (6) a statement of need is submitted, that may include 
reasons why the current secondary facilities are inadequate, 
unsafe or inaccessible to the handicapped; 
    (7) an educational plan is prepared, that includes input 
from both community and professional staff; 
    (8) a combined seniority list for all participating 
districts is developed by the joint powers board; 
    (9) an education program is developed that provides for 
more learning opportunities and course offerings, including the 
offering of advanced placement courses, for students than is 
currently available in any single member district; and 
    (10) a plan is developed for providing instruction of any 
resident students in other districts when distance to the 
secondary education facility makes attendance at the facility 
unreasonably difficult or impractical.  
    (b) To the extent possible, the joint powers board is 
encouraged to provide for severance pay or for early retirement 
incentives under section 125.611, for any teacher or 
administrator, as defined under section 125.12, subdivision 1, 
who is placed on unrequested leave as a result of the 
cooperative secondary facility agreement. 
    Sec. 4.  Minnesota Statutes 1988, section 124.494, 
subdivision 4, is amended to read: 
    Subd. 4.  [AWARD OF GRANTS.] The commissioner shall examine 
and consider all applications for grants, and if any joint 
powers district is found not qualified, the commissioner shall 
promptly notify that joint powers board.  On July 1 of 
1988 1989, the commissioner shall make awards to no more than 
two qualified applicants whose applications have been on file 
with the commissioner more than one month.  A grant award is 
subject to verification by the joint powers districts as 
specified in subdivision 6.  A grant award must not be made 
until the site of the secondary facility has been determined.  
If the total amount of the approved applications exceeds the 
amount that is or can be made available, the commissioner shall 
allot the available amount equally between the approved 
applicant districts.  The commissioner shall promptly certify to 
each qualified joint powers district the amount, if any, of the 
grant awarded to it. 
    Sec. 5.  Minnesota Statutes 1988, section 124.495, is 
amended to read: 
    124.495 [STATE BOND AUTHORIZATION.] 
    To provide money for the cooperative secondary facilities 
grant program, the commissioner of finance, upon the request of 
the commissioner of education, shall issue and sell bonds of the 
state up to the amount of $16,000,000 $14,000,000 in the manner, 
upon the terms and with the effect prescribed by sections 
16A.631 to 16A.675 and the Minnesota Constitution, article XI, 
sections 4 to 7. 
    Sec. 6.  Minnesota Statutes 1988, section 129B.72, 
subdivision 2, is amended to read: 
    Subd. 2.  [APPLICATION FORMS; RULES.] The commissioner of 
education shall prepare application forms and establish 
application dates.  The state board of education shall adopt 
rules under chapter 14 to govern the application process set out 
in section 129B.73. 
    Sec. 7.  Minnesota Statutes 1988, section 129B.72, is 
amended by adding a subdivision to read: 
    Subd. 3.  [CRITERIA.] A district applying for a grant under 
this section must match with local district funds to be used for 
construction, enlarging, or modifying school buildings.  The 
commissioner of education must determine that the costs are 
directly related to reducing or eliminating racial imbalance and 
are part of an approved desegregation plan.  The district must 
also certify that the district has sought all available federal 
funds before submitting a grant application. 
    Sec. 8.  Minnesota Statutes 1988, section 129B.73, 
subdivision 4, is amended to read: 
    Subd. 4.  [MATCHING REVENUE.] Upon being awarded a grant 
under subdivision 3, the board shall determine the need to bond 
for additional revenue.  If the board determines that there is 
no need to bond, it shall certify to the commissioner of 
education that other funds are available for the purpose.  If a 
bond issue is required, the board shall submit, within 90 days, 
the question of authorizing the borrowing of funds for 
remodeling or improvements to the voters of the district at a 
special election, that may be held in conjunction with the 
annual election of the school board members.  If a majority of 
those voting on the question do not vote in the affirmative, and 
the district does not have other funds available, the grant must 
be canceled. 
    Sec. 9.  Minnesota Statutes 1988, section 129B.73, is 
amended by adding a subdivision to read: 
    Subd. 5.  [PROJECT BUDGET.] A district that receives a 
grant must provide the commissioner with the project budget and 
any other information the commissioner requests. 
    Sec. 10.  [129B.76] [ISSUANCE AND SALE OF BONDS.] 
    To provide money for grants under the desegregation capital 
improvement grant act, the commissioner of finance, upon the 
request of the commissioner of education, shall issue and sell 
bonds of the state up to the amount of $2,000,000 in the manner, 
upon the terms, and with the effect prescribed by sections 
16A.631 to 16A.675 and the Minnesota Constitution, article XI, 
sections 4 to 7. 
    Sec. 11.  [CAPITAL LOAN; FOLEY AND OGILVIE SCHOOL 
DISTRICTS.] 
    Subdivision 1.  [FOLEY SCHOOL DISTRICT.] A capital loan in 
an amount not to exceed $4,853,000 to independent school 
district No. 51, Foley, is approved. 
    Subd. 2.  [OGILVIE SCHOOL DISTRICT.] A capital loan in an 
amount not to exceed $11,341,048 to independent school district 
No. 333, Ogilvie, is approved.  Notwithstanding Minnesota 
Statutes, section 124.43, subdivision 3a, if the aggregate 
amount of the capital loans approved exceeds the amount that is 
or can be made available, the commissioner of education shall 
reduce the amount allotted to independent school district No. 
333, Ogilvie, by the amount of the deficit, rather than pro 
rating the deficit between Ogilvie and Foley. 
    Sec. 12.  [MAXIMUM EFFORT SCHOOL LOAN AND COOPERATIVE 
SECONDARY FACILITIES STUDY.] 
    The commissioner of education shall evaluate the 
effectiveness of the maximum effort school loan program and the 
cooperative secondary facilities capital grant program, both 
individually and as they compare to each other, and recommend 
changes in one or both programs, if appropriate, in a report 
that must be submitted to the legislature by January 1, 1990. 
    Sec. 13.  [REPEALER.] 
    Laws 1987, chapter 400, section 59, as amended by Laws 
1988, chapter 718, article 8, section 22, is repealed.  The 
sections repealed by Laws 1987, chapter 400, section 59, as 
amended by Laws 1988, chapter 718, article 8, section 22, remain 
effective. 
    Sec. 14.  [EFFECTIVE DATE.] 
    This article is effective the day after its final enactment.

                               ARTICLE 3 

                       DEFICIENCY APPROPRIATIONS 
    Section 1.  [APPROPRIATIONS.] 
    The sums shown in the column marked "APPROPRIATIONS" are 
appropriated from the general fund, or another fund named, to 
the agencies and for the purposes specified in this article, to 
be available for the fiscal year ending June 30, 1989. 

                            SUMMARY BY FUND 
General                                              $2,849,000
Game and Fish                                           260,000
Special Revenue                                         642,000
TOTAL                                                $3,751,000
                                                 APPROPRIATIONS
                                         Available for the Year
                                           Ending June 30, 1989
     Sec. 2.  EDUCATION AIDS 
     Department of Education 
Education Aids Law Litigation                        $  116,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
398, article 10, section 2, subdivision 
3. 
     Sec. 3.  HEALTH AND HUMAN SERVICES
     Subdivision 1.  Human Services 
Residents of Institutions for Mental
Disease                                                 957,000
 This appropriation is to pay the cost 
of Minnesota supplemental assistance 
and general assistance medical care to 
replace medical assistance formerly 
provided to residents of institutions 
for mental disease and is added to the 
appropriation in Laws 1987, chapter 
403, article 1, section 2, subdivision 
6.  
 Notwithstanding any other law to the 
contrary, and with the approval of the 
commissioner of finance, the 
commissioner of human services may 
transfer any unencumbered funds from 
any department account, except the 
income maintenance entitlement 
accounts, to the regional treatment 
salary account during fiscal year 
1989.  Any such funds moved must be 
identified to the chair of the senate 
finance subcommittee on health and 
human services and the house 
appropriations division on health and 
human services.  
     Subd. 2.  Health-Related Boards
 The appropriations in this subdivision 
are from the special revenue fund and 
are added to the appropriations in Laws 
1987, chapter 403, article 1, section 
10. 
(a) Board of Optometry                                    4,000
(b) Board of Podiatry                                    16,000
(c) Board of Pharmacy                                    10,000
(d) Board of Psychology                                   6,000
(e) Board of Veterinary Medicine                          6,000
     Sec. 4.  AGRICULTURE, TRANSPORTATION,
SEMI-STATE ACTIVITIES
     Subdivision 1.  Public Safety 
Disaster Relief                                         212,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
358, section 5, subdivision 3. 
     Subd. 2.  Agriculture 
(a) Laboratory Equipment to Test for 
Aflatoxin                                                75,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
358, section 7, subdivision 2. 
(b) Costs of Testing for the Varroa Mite                 52,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
358, section 7, subdivision 2. 
(c) Haylift                                             100,000
 This appropriation is for another 
haylift to help farmers who are short 
of hay to feed their livestock. 
     Sec. 5.  STATE DEPARTMENTS
     Subdivision 1.  Court of Appeals
Disability Retirement                                    78,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 4. 
     Subd. 2.  Trial Courts
Workers Compensation                                    146,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 5. 
     Subd. 3.  Board of Public Defense
Trial Transcripts                                       160,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 7. 
     Subd. 4.  Attorney General 
(a) Education Aids Law Litigation                        61,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 13, subdivision 4. 
(b) LTV and Reserve Bankruptcy Litigation                75,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 13, subdivision 5. 
     Subd. 5.  Secretary of State 
 The reimbursement to the general fund 
of $500,000 required by Laws 1987, 
chapter 356, section 5, subdivision 2, 
is reduced to $200,000. 
     Subd. 6.  Administration
Volunteer Services                                       70,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 16, subdivision 2. 
     Subd. 7.  Finance
(a) Biennial Budget System                              150,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 18, subdivision 4. 
(b) College Savings Bonds                                22,000
     Subd. 8.  Employee Relations
Applicant Processing System                              40,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 31, subdivision 4. 
     Subd. 9.  Natural Resources
(a) Drought Emergency                                   201,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 22, subdivisions 3 and 8. 
(b) Park Operations                                     600,000
 This appropriation is from the state 
park maintenance and operation account 
in the special revenue fund and is 
added to the appropriation in Laws 
1987, chapter 404, section 22, 
subdivision 5. 
(c) Deer Feeding                                        260,000
 This appropriation is from the game and 
fish fund and is added to the 
appropriation in Laws 1987, chapter 
404, section 22, subdivision 7. 
     Subd. 10.  Pollution Control Agency
Waste Management Board Audit                            279,000
 This appropriation is for transfer to 
the siting bond account in the state 
building fund to reimburse the account 
for routine operating expenses of the 
waste management board inappropriately 
charged to the bond account. 
     Subd. 11.  Veterans Affairs
Veterans Relief                                          55,000
 This appropriation is added to the 
appropriation in Laws 1987, chapter 
404, section 36, subdivision 2. 
    Sec. 6.  Minnesota Statutes 1988, section 148B.40, 
subdivision 3, is amended to read: 
    Subd. 3.  [MENTAL HEALTH SERVICE PROVIDER.] "Mental health 
service provider" or "provider" means any person who provides, 
for a remuneration, mental health services as defined in 
subdivision 4.  It does not include persons licensed by the 
board of medical examiners under chapter 147; the board of 
nursing under sections 148.171 to 148.285; or the board of 
psychology under sections 148.88 to 148.98; the board of social 
work under sections 148B.18 to 148B.28; the board of marriage 
and family therapy under sections 148B.29 to 148B.39; or another 
licensing board if the person is practicing within the scope of 
the license.  In addition, the term does not include employees 
of the state of Minnesota or any of its political subdivisions 
while acting within the scope of their public employment; 
hospital and nursing home social workers exempt from licensure 
by the board of social work under section 148B.28, subdivision 
6, including hospital and nursing home social workers acting as 
marriage and family counselors within the scope of their 
employment by the hospital or nursing home; and persons 
certified as chemical dependency professionals by the Institute 
for Chemical Dependency Professionals of Minnesota, Inc. 
    Sec. 7.  Minnesota Statutes 1988, section 148B.42, is 
amended by adding a subdivision to read: 
    Subd. 6.  [FILING FEE.] The fee for filing as an unlicensed 
mental health service provider is $50 until permanent rules 
establishing fees for filing under this section are in effect. 
    Sec. 8.  [TEMPORARY PROVISIONS RELATING TO INSTITUTIONS FOR 
MENTAL DISEASES.] 
    Subdivision 1.  [ELIGIBILITY FOR GENERAL ASSISTANCE MEDICAL 
CARE AND MINNESOTA SUPPLEMENTAL AID.] For the period beginning 
January 1, 1989, and ending June 30, 1989, general assistance 
medical care and Minnesota supplemental aid may be paid for any 
person who is over age 18 and would be eligible for medical 
assistance except that the person resides in a facility that is 
determined by the commissioner of human services or the federal 
health care financing administration to be an institution for 
mental diseases.  
    Subd. 2.  [COVERED SERVICES.] For the period beginning 
January 1, 1989, and ending June 30, 1989, reimbursement under 
general assistance medical care includes, in addition to 
services covered under Minnesota Statutes 1988, section 256D.03, 
subdivision 4, the following services for a person who would be 
eligible for medical assistance except that the person resides 
in a facility that is determined by the commissioner of human 
services or the federal health care financing administration to 
be an institution for mental diseases: 
    (1) case management services for a person with serious and 
persistent mental illness; 
    (2) medical supplies and equipment; and 
    (3) psychological services.  
    Subd. 3.  [EXCEPTION TO RESIDENTIAL FACILITY LIMITS.] For 
the period beginning January 1, 1989, and ending June 30, 1989, 
a residential facility certified to participate in the medical 
assistance program, licensed as a boarding care home or nursing 
home, and determined by the commissioner of human services or 
the federal health care financing administration to be an 
institution for mental diseases is exempt from the maximum 
negotiated rate in Minnesota Statutes, section 256D.37.  The 
rate for eligible individuals residing in these facilities is 
the individual's medical assistance rate using the individual's 
assigned case mix classification.  Counties must be reimbursed 
for payments made between January 1, 1989, and June 30, 1989, to 
certified nursing homes and boarding care homes declared 
institutions for mental diseases by January 1, 1989, on behalf 
of persons otherwise eligible for medical assistance.  The 
reimbursement must not exceed the state share of supplemental 
aid funds expended for each person at the appropriate medical 
assistance rate. 
    Sec. 9.  [EFFECTIVE DATE.] 
    This article is effective the day after its final enactment.
    Presented to the governor May 30, 1989 
    Signed by the governor May 30, 1989, 11:40 a.m.