Office of the Revisor of Statutes
Minnesota Session Laws - 1990, Regular Session
Key: (1) language to be deleted (2) new language
Laws of Minnesota 1990
CHAPTER 591-S.F.No. 2618
An act relating to public administration;
appropriating money or reducing appropriations to the
higher education coordinating board, regents of the
University of Minnesota, state university board, state
board for community colleges, and state board of
vocational technical education, with certain
conditions; clarifying the duties and powers of the
higher education coordinating board; expanding
authorization for tuition reciprocity agreements;
regulating off-campus centers; establishing rural
health programs, and a public safety officer's
survivor benefits program; providing for planning,
operations, and acquisitions; regulating public
post-secondary education system plans; requiring
reports; adjusting contributions to state system
retirement plans; amending Minnesota Statutes 1988,
sections 136.62, by adding a subdivision; 136A.15, as
amended; 136C.04, by adding a subdivision; 136C.05, by
adding a subdivision; 136C.08, subdivision 2; 137.022,
subdivisions 1 and 3; 352.92, subdivision 2; 352B.02,
subdivision 1c; and 354.42, subdivision 5; Minnesota
Statutes 1989 Supplement, sections 16B.335,
subdivision 2; 135A.06, subdivision 3, and by adding a
subdivision; 136.03, by adding a subdivision; 136A.04;
136A.05; 136A.08; and 352.04, subdivisions 2 and 3;
Laws 1989, chapter 293, section 2, subdivision 2;
proposing coding for new law in Minnesota Statutes,
chapters 136A, 137, and 299A; repealing Minnesota
Statutes 1988, sections 176B.01, as amended; 176B.02;
176B.03; 176B.04; and 176B.05.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
APPROPRIATIONS
Section 1. [APPROPRIATIONS FOR HIGHER EDUCATION.]
The dollar amounts in the columns under "APPROPRIATIONS"
are added to (or, if shown in parentheses, are subtracted from)
the appropriations in Laws 1989, chapter 293, or other law to
the specified agencies. The appropriations are from the general
fund or other named fund and are available for the fiscal years
indicated for each purpose. The figure 1990 or 1991 means that
the addition to or subtraction from the appropriations listed
under the figure are for the fiscal year ending June 30, 1990,
or June 30, 1991, respectively. If only one figure is shown in
the text for a specified purpose, the addition or subtraction is
for 1991 unless the context intends another fiscal year.
SUMMARY BY FUND
1990 1991 TOTAL
GENERAL $(9,783,400) $(11,276,600) $(21,060,000)
Summary by Agency -- All Funds
Higher Education
Coordinating Board (9,783,400) (4,097,100) (13,880,500)
State Board of Vocational
Technical Education (1,583,500) (1,583,500)
State Board for Community
College (1,076,500) (1,076,500)
State University Board (1,930,100) (1,930,100)
Regents of the University
of Minnesota (2,589,400) (2,589,400)
APPROPRIATIONS
Available for the Fiscal Year
Ending June 30
1990 1991
Sec. 2. HIGHER EDUCATION
COORDINATING BOARD - TOTAL (9,783,400) (4,097,100)
Subdivision 1. Agency Administration
Affiliate membership in the Western
Interstate Commission on Higher
Education.
46,300
Subd. 2. State Grants
(9,783,400) (5,033,400)
The HECB shall study ways to redefine
the cost of living allowance to more
accurately reflect actual costs of
living. The board shall examine ways
to develop cost of living categories to
differentiate among students with
different living arrangements and
family responsibilities, including
child care. The board shall examine
whether other items involved in the
cost of living should be used in
determining categories. The board
shall report its findings and
recommendations to the education
divisions of the house appropriations
and senate finance committees by
February 1, 1991.
The HECB shall examine the feasibility
of using a student loan program,
including the SELF program, to assist
students whose eligibility for child
care grants has expired. The board
shall report its findings and
recommendations to the education
divisions of the house appropriations
and senate finance committees by
February 1, 1991.
The HECB shall review the percentage of
child care grant money authorized for
administrative costs on campuses,
report on its expenditures of this
money, and make any recommendations for
changing the percentage levels to the
education divisions of the house
appropriations and senate finance
committees as part of its 1991 biennial
budget request.
The HECB shall work with the Minnesota
Association of Financial Aid
Administrators to simplify the
procedures and methods required to
calculate child care grants. The HECB
shall report on its progress towards
simplification as part of its 1991
biennial budget request.
During the biennium, a campus,
post-secondary system, or school
district must not reallocate child care
program administration money, unless
the money is reallocated to child care
grants.
The HECB shall amend its child care
grant rules to include provisions for
campuses that contract with counties
for program administration. The rules
shall make the campuses accountable for
county decisions related to the
program, and shall require the campuses
to develop on-campus mechanisms for
student appeals.
Subd. 3. Interstate Tuition Reciprocity
750,000
If an unencumbered balance is projected
in the appropriation for the state
grant program after October 1, 1990,
the HECB may transfer funds to the
appropriation for Interstate Tuition
Reciprocity. Prior to the transfer,
the HECB shall seek the advisory
recommendation of the legislative
advisory commission.
Subd. 4. Rural Health Programs
140,000
Of this amount, $120,000 is for
pre-nursing grants and $20,000 is for
program administration.
Subd. 5. The higher education
coordinating board may transfer
unencumbered balances from the
appropriations in this section to the
state grant appropriation. Before the
transfer, the higher education
coordinating board shall consult with
the chairs of the house appropriations
and senate finance committees.
Sec. 3. STATE BOARD OF
VOCATIONAL TECHNICAL EDUCATION - TOTAL (1,583,500)
Subdivision 1. General Base Reduction
(840,500)
Subd. 2. Teachers' Retirement Plan
Employers' Contribution
(793,000)
Subd. 3. State Council on Vocational
Technical Education
50,000
Sec. 4. STATE BOARD FOR COMMUNITY
COLLEGES - TOTAL (1,076,500)
Subdivision 1. General Base Reduction
(466,500)
Subd. 2. Teachers' Retirement Plan and
Minnesota State Retirement System
Employers' Contribution
(610,000)
Sec. 5. STATE UNIVERSITY
BOARD - TOTAL (1,930,100)
Subdivision 1. General Base Reduction
(858,100)
Subd. 2. Teachers' Retirement Plan and
Minnesota State Retirement System
Employers' Contribution
(1,072,000)
Subd. 3. Authorized Transfer
The appropriation in Laws 1987, chapter
400, section 19, subdivision 4, item
(c), may be used to acquire land
adjacent to, or in the vicinity of,
Moorhead State University as needed to
develop the campus, and may be used to
construct parking spaces on the campus.
Sec. 6. REGENTS OF THE
UNIVERSITY OF MINNESOTA - TOTAL (2,589,400)
Subdivision 1. Enrollment Projections
With respect to Laws 1989, chapter 293,
section 6, subdivision 2(a), the 7th
paragraph, the regular session
enrollment projected for the
appropriation is 35,679 full-year
equivalent undergraduate students for
the first year and 33,750 for the
second year. For developing the next
biennial budget request, the regular
session undergraduate enrollment used
for the average cost funding formula
must not exceed these numbers. For the
biennium ending June 30, 1991, tuition
income resulting from students in
excess of the projections reduces the
general fund appropriation by a like
dollar amount. The legislature further
anticipates that the regular session
full-year equivalent undergraduate
students must not exceed 31,600 by
fiscal year 1993. The university shall
submit progress reports on the
attainment of the anticipated
enrollments. If the university attains
these enrollment goals, the calculation
for the average cost funding formula
must not reduce the budget base.
Subd. 2. General Base Reduction
(2,235,400)
Subd. 3. Minnesota State Retirement
System Employers' Contribution
(554,000)
Subd. 4. Rural Physicians' Associates
Program
200,000
$200,000 is to increase participation
in the rural physicians' associates
program. The Minnesota Medical
Association shall assist the
university's effort by locating the
preceptors for the program. The board
of regents shall report, as part of its
1991 biennial budget request, on the
feasibility of increasing the
participation to approximately 40
students per year, on the need to
increase the subsidy per student, and
on the cost implications of these
increases.
Sec. 7. POST-SECONDARY SYSTEMS
Subdivision 1. The public
post-secondary governing boards, the
department of finance, and the
department of administration shall
develop jointly a set of detailed
criteria to assist the legislature in
making decisions on child care facility
requests. The boards and departments
shall submit a joint report to the
education divisions of the house
appropriations and senate finance
committees by March 1, 1991.
Subd. 2. Each public higher education
system shall develop a parking plan.
The plan shall include consideration of
establishing parking fees for each
campus at a level that will provide
adequate revenue to construct, repair,
and maintain the parking lots. The
plan must be submitted to the
legislature in the 1991 biennial budget
document.
ARTICLE 2
PENSIONS
Section 1. Minnesota Statutes 1989 Supplement, section
352.04, subdivision 2, is amended to read:
Subd. 2. [EMPLOYEE CONTRIBUTIONS.] The employee
contribution to the fund must be equal to 4.34 4.15 percent of
salary, beginning with the first full pay period after June 30,
1989. These contributions must be made by deduction from salary
as provided in subdivision 4.
Sec. 2. Minnesota Statutes 1989 Supplement, section
352.04, subdivision 3, is amended to read:
Subd. 3. [EMPLOYER CONTRIBUTIONS.] (a) The employer
contribution to the fund must be equal to 4.51 4.29 percent of
salary beginning with the first full pay period after June 30,
1989.
(b) By January 1 of each year, the board of directors shall
report to the legislative commission on pensions and retirement,
the chair of the committee on appropriations of the house of
representatives, and the chair of the committee on finance of
the senate on the amount raised by the employer and employee
contribution rates in effect and whether the total amount is
less than, the same as, or more than the actuarial requirement
determined under section 356.215.
Sec. 3. Minnesota Statutes 1988, section 352.92,
subdivision 2, is amended to read:
Subd. 2. [EMPLOYER CONTRIBUTIONS.] Beginning with the
first full pay period after July 1, 1984, (a) In lieu of
employer contributions payable under section 352.04, subdivision
3, the employer shall contribute for covered correctional
employees an amount equal to 8.70 6.27 percent of salary.
(b) By January 1 of each year, the board of directors shall
report to the legislative commission on pensions and retirement,
the chair of the committee on appropriations of the house of
representatives, and the chair of the committee on finance of
the senate on the amount raised by the employer and employee
contribution rates in effect and whether the total amount is
less than, the same as, or more than the actuarial requirement
determined under section 356.215.
Sec. 4. Minnesota Statutes 1988, section 352B.02,
subdivision 1c, is amended to read:
Subd. 1c. [EMPLOYER CONTRIBUTIONS.] (a) In addition to
member contributions, department heads shall pay a sum equal
to 18.9 14.88 percent of the salary upon which deductions were
made, which shall constitute the employer contribution to the
fund. Department contributions must be paid out of money
appropriated to departments for this purpose.
(b) By January 1 of each year, the board of directors shall
report to the legislative commission on pensions and retirement,
the chair of the committee on appropriations of the house of
representatives, and the chair of the committee on finance of
the senate on the amount raised by the employer and employee
contribution rates in effect and whether the total amount is
less than, the same as, or more than the actuarial requirement
determined under section 356.215.
Sec. 5. Minnesota Statutes 1988, section 354.42,
subdivision 5, is amended to read:
Subd. 5. [ADDITIONAL EMPLOYER CONTRIBUTION.] To amortize
the unfunded actuarial accrued liability computed under the
entry age actuarial cost method and disclosed under the annual
actuarial valuations prepared by the commission-retained actuary
under section 356.215, an additional employer contribution shall
be made in the amount of 4.48 3.64 percent of the salary of each
member.
This contribution shall must be made in the manner provided
in section 354.43.
By January 1 of each year, the board of directors shall
report to the legislative commission on pensions and retirement,
the chair of the committee on appropriations of the house of
representatives, and the chair of the committee on finance of
the senate on the amount raised by the additional employer
contribution rate in effect and whether that amount is less
than, the same as, or more than the required amortization
contribution determined under section 356.215.
Sec. 6. [STATE-PAID HEALTH INSURANCE; CERTAIN EMPLOYEES.]
An executive branch employee who is covered by a retirement
plan established under Minnesota Statutes, chapter 352 or 352B,
or an employee of the Minnesota state retirement system, the
teachers retirement association, or the public employees
retirement association, is eligible for state-paid hospital,
medical, and dental benefits if the person:
(1) is eligible for state-paid insurance under Minnesota
Statutes, section 43A.18, or other law;
(2) has at least 25 years of state service;
(3) upon retirement is immediately eligible for a
retirement annuity;
(4) is at least 55 and not yet 65 years of age; and
(5) retires after the effective date of this section and
before July 1, 1990.
An employee who is eligible both for the health insurance
benefit under this section and for an early retirement incentive
under a collective bargaining agreement or plan established
under Minnesota Statutes, section 43A.18, must choose between
that early retirement incentive and the benefit provided under
this section and may not have both. For purposes of this
section, a person retires when the person terminates active
employment in state service and applies for a retirement
annuity. The retired employee is eligible for coverages to
which the person was entitled at the time of retirement, subject
to any changes in coverage through collective bargaining or
plans established under Minnesota Statutes, section 43A.18, for
employees in positions equivalent to the position from which
they retired. The retired employee is not eligible for
state-paid life insurance. Eligibility ceases when the retired
employee attains the age of 65, or when the employee chooses not
to receive the annuity for which the employee has applied, or
when the employee is eligible for employer-paid health insurance
from a new employer. Coverages must be coordinated with
relevant health insurance benefits provided through the
federally sponsored Medicare program.
An employee who retires under this section using the Rule
of 90 must not be included in the calculations required by
Minnesota Statutes, section 356.85.
Sec. 7. [APPROPRIATION REDUCTIONS.]
The sums shown in parentheses are reduced from the
appropriations from the general fund, or another named fund, for
the fiscal year ending June 30, 1990, to the agencies indicated.
(a) General fund (2,206,000)
(b) Trunk highway fund (1,864,000)
(c) Other funds (1,149,000)
With the exception of appropriations
made to the University of Minnesota,
the Community College System, the
Technical College System, and the State
University System, the commissioner of
finance shall reduce each state
agency's fiscal year 1991 appropriation
by an amount equal to the sum of:
(1) .22 percent of the agency's fiscal
year 1991 salaries paid to employees
covered by the general state employee
retirement plan established in
Minnesota Statutes, chapter 352.
(2) 2.43 percent of the agency's fiscal
year 1991 salaries paid to employees
covered by the correctional employees
retirement plan established in
Minnesota Statutes, chapter 352.
(3) 4.02 percent of the agency's fiscal
year 1991 salaries paid to employees
covered by the state patrol retirement
plan established in Minnesota Statutes,
section 352B.02.
(4) .84 percent of the agency's fiscal
year 1991 salaries paid to employees
covered by the teacher's retirement
plan established in Minnesota Statutes,
chapter 354.
The appropriation reductions made under this section are
permanent reductions to each agency's budget.
Sec. 8. [EFFECTIVE DATES.]
Sections 1 to 5 are effective July 1, 1990, and apply to
pay periods beginning with the first full pay period after June
30, 1990.
Section 6 is effective the day following final enactment.
ARTICLE 3
PLANNING AND OPERATIONS
Section 1. [LEGISLATIVE INTENT.]
During the biennium, to ensure fiscal responsibility and to
protect current levels of academic quality and funding, the
legislature intends that greater oversight be given to (1) the
development and establishment of off-campus post-secondary
centers, permanent sites, and other large-scale or long-term
operations that are intended to provide academic programs,
courses, or student services; and (2) the management of
enrollment on and off campus.
Sec. 2. Minnesota Statutes 1989 Supplement, section
135A.06, subdivision 3, is amended to read:
Subd. 3. [SYSTEM PLANS.] Each system shall develop a
program plan for instruction, research, and public service.
Each system shall consult with the higher education coordinating
board and with the other systems throughout the planning
process. The higher education coordinating board shall
coordinate intersystem efforts in the development of the program
plans to achieve intersystem cooperation and differentiation.
Each planning report shall consider at least the following
elements:
(1) a statement of program priorities for undergraduate,
graduate, and professional education, including data about
program cost and average class size within each institution;
(2) the effects of proposed programmatic and enrollment
changes on other systems and campuses;
(3) a review of plans for adjusting the number of
facilities, staff, and programs to projected level of demand,
including consideration of campus and program mergers, campus
and program closings, new governance structures, the
relationship between fixed costs and projected enrollment
changes, and consolidation of institutions, services, and
programs that serve the same geographic area under different
governing boards;
(4) a review of the current and projected use of community
outreach and extension programs including information on all
off-campus sites, including at least information for each site
from the inventory established in section 9;
(5) enrollment projections for two, five, and ten years
based on recent available projections produced by the higher
education coordinating board or, if different projections are
used, they shall be compared to those prepared by the higher
education coordinating board, and the system shall identify the
method and assumptions used to prepare its projections;
(6) estimated financial costs and savings of alternative
plans for (i) adjusting facilities, staff, and programs to
changing enrollments and fiscal resources, and (ii) managing
enrollments and resources to better utilize existing facilities
and staff, and to protect academic quality;
(7) opportunities for providing services cooperatively with
other public and private institutions in the same geographic
area; and
(8) differentiating and coordinating missions to reduce or
eliminate duplication of services and offerings, to improve
delivery of services, and to establish clear and distinct roles
and priorities.
Sec. 3. Minnesota Statutes 1989 Supplement, section
135A.06, is amended by adding a subdivision to read:
Subd. 6. [SUBMISSION TO LEGISLATURE.] Each public
post-secondary governing board shall submit the information on
off-campus sites required in subdivision 3, clause (4), to the
legislature with its biennial budget request in odd-numbered
years, and shall update the information with its supplemental
budget request in the even-numbered years. The board shall
provide detailed information on the use of state appropriated
funds in support of each site, including information on the
effects on campuses of funding off-campus sites.
Sec. 4. Minnesota Statutes 1989 Supplement, section
136.03, is amended by adding a subdivision to read:
Subd. 3. The state board and the state universities must
not establish any off-campus centers or other permanent sites
located off state university campuses to provide academic
programs, courses, or student services without authorizing
legislation. For the purposes of this subdivision, the campus
of Metropolitan State University is the seven-county
metropolitan area.
Sec. 5. Minnesota Statutes 1988, section 136.62, is
amended by adding a subdivision to read:
Subd. 8. The state board and the community colleges must
not establish any off-campus centers or other permanent sites
located off community college campuses to provide academic
programs, courses, or student services without authorizing
legislation.
Sec. 6. Minnesota Statutes 1989 Supplement, section
136A.04, is amended to read:
136A.04 [DUTIES.]
Subdivision 1. The higher education coordinating board
shall:
(1) continuously study and analyze all phases and aspects
of higher education, both public and private, and develop
necessary plans and programs to meet present and future needs of
the people of the state;
(2) continuously engage in long-range planning for the
needs of higher education and, if necessary, cooperatively
engage in planning with neighboring states and agencies of the
federal government;
(3) act as successor to any committee or commission
previously authorized to engage in exercising any of the powers
and duties prescribed by sections 136A.01 to 136A.07;
(4) review, approve or disapprove, make recommendations,
and identify priorities with respect to all proposals for
new or, additional, or changes in existing programs or
large-scale or permanent sites of instruction or substantial
changes in existing programs to be established in or offered by,
the University of Minnesota, the state universities, the
community colleges, technical institutes, public post-secondary
institutions and, with respect to programs only,
private collegiate and noncollegiate post-secondary
institutions. The board shall forward its recommendations on
sites to the chairs of the house appropriations and senate
finance committees. The board shall also periodically review
existing programs and recommend discontinuing or modifying any
existing program. When reviewing new or existing programs a
site or program, the board shall consider whether the program it
is unnecessary, a needless duplication of existing programs,
beyond the capability of the system or institution considering
its resources, or beyond the scope of the system or
institutional mission;
(5) develop in cooperation with the post-secondary systems,
house appropriations committee, senate finance committee, and
the departments of administration and finance, a compatible
budgetary reporting format designed to provide data of a nature
to facilitate systematic review of the budget submissions of the
University of Minnesota, the state university system, the
community college system, and the technical institutes public
post-secondary institutions, which includes the relating of
dollars to program output;
(6) review budget requests, including plans for
construction or acquisition of facilities, of the University of
Minnesota, the state universities, the community colleges, and
technical institutes public post-secondary institutions for the
purpose of relating present resources and higher educational
programs to the state's present and long-range needs; and
conduct a continuous analysis of the financing of post-secondary
institutions and systems, including the assessments as to the
extent to which the expenditures and accomplishments are
consistent with legislative intent;
(7) obtain from private post-secondary institutions
receiving state funds a report on their use of those funds;
(8) continuously monitor and study the transferability of
credits between Minnesota post-secondary and higher education
institutions of credits, earned for equal and relevant work at
those institutions, the degree to which credits earned at one
institution are accepted at full value by the other
institutions, and the policies of these institutions concerning
the placement of these transferred credits on transcripts; and
(9) prescribe policies, procedures, and rules necessary to
administer the programs under its supervision.
Subd. 2. The higher education coordinating board shall
review and make recommendations regarding a plan or proposal for
a new or additional program of instruction or a substantial
change in an existing program of instruction to be offered by a
technical institute within 45 days of the transmission of
approval of the plan or proposal to the higher education
coordinating board by the state board of vocational technical
education. The higher education coordinating board shall then
transmit a written explanation of its recommendations within
five days of board action to the director of the applying
technical institute and to the state director of vocational
technical education.
Sec. 7. Minnesota Statutes 1988, section 136C.04, is
amended by adding a subdivision to read:
Subd. 20. The state board and the technical colleges must
not establish any off-campus centers or other permanent sites
located off technical college campuses to provide academic
programs, courses, or student services without authorizing
legislation.
Sec. 8. [137.37] [OFF-CAMPUS SITES AND CENTERS.]
The board of regents and the university campuses are
requested to not establish any off-campus centers or other
permanent sites located off university campuses to provide
academic programs, courses, or student services without
authorizing legislation.
Sec. 9. [INVENTORY.]
Subdivision 1. [HECB.] By November 1, 1990, the higher
education coordinating board shall compile an inventory of all
existing off-campus sites and centers for each post-secondary
system and institution that includes at least the following
information: total full year equivalent and head count
enrollment, number of course offerings in each field of study,
degrees available and number awarded, location and type of
facilities, leasing or other arrangements and cost, and the
amount and sources of funding. The board shall also compile an
inventory of program offerings on the campuses and at the
off-campus sites.
Subd. 2. [HEAC.] The higher education advisory council, in
cooperation with the higher education coordinating board, shall
determine categories of off-campus sites and criteria to use in
placing sites within categories.
Subd. 3. [HECB.] The higher education coordinating board,
and the post-secondary governing boards, shall review the
categories and criteria and the information included in the
inventory to determine whether these are sufficient for
incorporating into system planning activities and enhanced
program review activities. As part of its review, the HECB
shall examine duplication in programs offered on and off campus
and the level of the systems' cooperative efforts. The board
shall also consider overlap in system missions. The HECB shall
report its findings and recommendations to the house
appropriations and senate finance committees by February 15,
1991.
Sec. 10. [CONDITIONS.]
(a) The state university board, the state board for
community colleges, the state board of vocational technical
education, and their respective campuses must not enter into new
long-term lease arrangements, significantly increase the course
offerings at off-campus sites, enter any 2 + 2 arrangements, or
significantly increase staffing levels for off-campus sites
between the effective date of this section and the end of the
1990-1991 academic year. A current long-term lease may be
renewed if it expires during this period. The board of regents
is requested to abide by these conditions until the end of the
1990-1991 academic year.
(b) This section does not apply to actions of Metropolitan
State University that are part of its plan to consolidate its
sites in the seven-county metropolitan area. The state
university board shall consult with the chairs of the house
appropriations and senate finance committees in carrying out its
plans. For purposes of this paragraph, "plan to consolidate"
does not include entering into any 2 + 2 arrangements.
Sec. 11. [ENROLLMENT REPORT.]
Each public post-secondary governing board, excluding the
board of regents, shall develop a plan for managing
enrollments. The plan must include consideration of methods
of: encouraging better student preparation, redistributing
selected students or programs, encouraging students to complete
programs earlier, using existing space more efficiently,
changing marketing strategies, and reducing duplication of
programs by suggesting which academic and technical programs or
courses would most appropriately be offered on each existing
campus in the state university, community college, and technical
college system. The plan must address ways in which each campus
can provide sufficient access and preserve or improve quality,
given its present physical capacity and funding level. Each
plan shall be submitted to HECB for review and comment by
December 1, 1990. The HECB shall submit the plans and its
review to the house education and appropriations and senate
education and finance committees by February 15, 1991. The
board of regents shall submit information on its enrollment
management, the effects of its enrollment changes, and other
measures of its progress in improving its quality of education
to the committees by the same date.
Sec. 12. [SYSTEM PLANS.]
Subdivision 1. [ALL SYSTEMS.] Notwithstanding Minnesota
Statutes, section 135A.06, in place of system plans, the public
post-secondary systems shall submit plans for providing
undergraduate and practitioner-oriented graduate programs in the
seven-county metropolitan area to the higher education
coordinating board.
Additionally, each public post-secondary governing board
shall review its current mission statement. Each board shall
determine whether the statement accurately reflects its mission
and the role of its system in the mission differentiation
efforts, and recommend any changes its statement requires. The
boards shall submit their mission statements and recommendations
to the higher education coordinating board with their
metropolitan area plans by December 1, 1990.
The higher education coordinating board shall review and
comment on the plans and mission statements and report to the
legislature and governor by February 15, 1991.
Sec. 13. [EFFECTIVE DATES.]
Subdivision 1. Sections 1, 4, 5, and 7 to 12 are effective
the day following final enactment.
Subd. 2. Section 6 is effective July 1, 1991.
ARTICLE 4
RURAL HEALTH PROGRAMS
Section 1. [136A.1351] [DEFINITION; DESIGNATED RURAL
AREA.]
In sections 136A.1352 and 136A.1355, "designated rural area"
means a Minnesota community outside a ten-mile radius of a
ranally area, which community: (1) has more than 2,000 persons
per physician, including seasonal variation; and (2) has
notified the higher education coordinating board of its need for
a physician or nurse for the community.
For purposes of this definition, "ranally area" means a
central city or cities and any adjacent built-up areas, plus
other communities not connected by continuously built-up areas
if population density exceeds 60 persons per square mile and the
work force of the other communities significantly depends on the
central city or cities.
Sec. 2. [136A.1352] [PRE-NURSING GRANTS.]
Subdivision 1. [ESTABLISHMENT.] The higher education
coordinating board shall provide grants to students who are
entering or enrolled in registered nurse or licensed practical
nurse programs, who have no previous nursing training or
education, and who agree to practice in a designated rural area.
Subd. 2. [ELIGIBILITY.] (a) To be eligible to receive a
grant, a student must be:
(1) a resident of the state of Minnesota;
(2) enrolled in a Minnesota school, college, or program of
nursing to complete an educational program that would lead to
the student's first licensure as a licensed practical nurse or
as a registered nurse;
(3) willing to agree to serve at least three of the first
five years following licensure in a designated rural area; and
(4) able to meet the financial need criteria established in
section 136A.121 and board rules.
(b) The grant must be awarded for one academic year, but is
renewable for a maximum of six semesters or nine quarters of
full-time study, or their equivalent, but cannot continue after
receipt of the nursing degree or certificate.
Subd. 3. [PRIORITY.] If insufficient funds are available
to meet the needs of all eligible applicants, the board shall
give priority to applicants who reside in a designated rural
area and applicants attending post-secondary institutions
outside the seven-county metropolitan area.
Subd. 4. [DETERMINATION OF NEED; AMOUNT OF AWARD.] The
determination of a student's need and the amount of a grant
award must be based on the criteria established in section
136A.121 and related board rules. A grant under this section
does not affect a recipient's eligibility for a state grant
under section 136A.121.
Sec. 3. [136A.1353] [NURSING GRANT PROGRAM FOR LICENSED
PRACTICAL NURSES.]
Subdivision 1. [ESTABLISHMENT.] A nursing grant program is
established under the authority of the higher education
coordinating board to provide grants to licensed practical
nurses who are entering or enrolled in an educational program
that would lead to licensure as a registered nurse.
Subd. 2. [ELIGIBILITY.] To be eligible to receive a grant,
a student must be:
(1) a resident of the state of Minnesota;
(2) a licensed practical nurse enrolled in a Minnesota
school, college, or program of nursing to complete an
educational program that would lead to licensure as a registered
nurse; and
(3) eligible under any additional criteria established by
the school, college, or program of nursing in which the student
is enrolled.
The grant must be awarded for one academic year but is
renewable for a maximum of six semesters or nine quarters of
full-time study, or their equivalent.
Subd. 3. [RESPONSIBILITY OF NURSING PROGRAMS.] Each
school, college, or program of nursing that wishes to
participate in the nursing grant program must apply to the
higher education coordinating board for grant money, according
to rules and policies established by the board. A school,
college, or program of nursing must establish criteria to use in
awarding the grants. The criteria must include consideration of
the likelihood of a student's success in completing the nursing
educational program and must give priority to students with the
greatest financial need. Grants must be for a minimum of $500,
but must not exceed $2,500 per year. Each school, college, or
program of nursing must establish procedures for students to
apply for and receive grants.
Subd. 4. [RESPONSIBILITIES OF THE HIGHER EDUCATION
COORDINATING BOARD.] The higher education coordinating board
shall distribute funds each year to the schools, colleges, or
programs of nursing applying to participate in the nursing grant
program based on the last academic year's enrollment of students
in educational programs that would lead to licensure as a
licensed practical nurse. Money not used by a recipient nursing
program must be returned to the higher education coordinating
board for redistribution under this section. The board shall
establish an application process for interested schools,
colleges, or programs of nursing. Initial applications are due
by January 1, 1991, and by January 1 of each later year. By
March 1, 1991, and by March 1 of each later year, the board
shall notify each applicant school, college, or program of
nursing of its approximate allocation of funds in order to allow
the school, college, or program to determine the number of
students that can be supported by the allocation. The board
shall distribute funds to the schools, colleges, or programs of
nursing by August 1, 1991, and by August 1 of each later year.
Subd. 5. [REPORT.] The schools, colleges, or programs of
nursing participating in the nursing grant program shall report
to the higher education coordinating board on their program
activity as requested by the board.
Sec. 4. [136A.1354] [NURSING GRANT PROGRAM FOR REGISTERED
NURSES.]
Subdivision 1. [ESTABLISHMENT.] A nursing grant program is
established under the authority of the higher education
coordinating board to provide grants to registered nurses
seeking to complete baccalaureate or master's degrees in nursing
or a program of advanced nursing education.
Subd. 2. [ELIGIBILITY.] To be eligible to receive a grant,
a student must be:
(1) licensed as a registered nurse in Minnesota and have
been employed as a nurse in the state for at least one year
before re-enrolling in college;
(2) a resident of the state of Minnesota;
(3) enrolled in a Minnesota school or college of nursing to
complete a baccalaureate or master's degree, or a program of
advanced nursing education; and
(4) eligible under any additional criteria established by
the school, college of nursing, or program of advanced nursing
education, in which the student is enrolled.
The grant must be awarded for one academic year but is
renewable for a maximum of six semesters or nine quarters of
full-time study, or their equivalent.
Subd. 3. [RESPONSIBILITY OF NURSING PROGRAMS.] Each school
or college of nursing, or program of advanced nursing education,
that wishes to participate in the nursing grant program must
apply to the higher education coordinating board for money,
according to rules and policies established by the board. A
school or college of nursing, or program of advanced nursing
education, must establish criteria to use in awarding the
grants. The criteria must include consideration of the
likelihood of a student's success in completing the educational
program and must give priority to: (1) students with the
greatest financial need; and (2) students enrolling to complete
baccalaureate degrees in nursing. Grants must be for a minimum
of $500, but must not exceed $2,500 per year. Each school or
college of nursing, or program of advanced nursing education,
must establish procedures for students to apply for and receive
grants.
Subd. 4. [RESPONSIBILITIES OF THE HIGHER EDUCATION
COORDINATING BOARD.] The higher education coordinating board
shall distribute funds each year to the schools or colleges of
nursing, or programs of advanced nursing education, applying to
participate in the nursing grant program based on the last
academic year's enrollment of registered nurses in schools or
colleges of nursing, or programs of advanced nursing education.
Money not used by a recipient nursing program must be returned
to the higher education coordinating board for redistribution
under this section. The board shall establish an application
process for interested schools or colleges of nursing, or
programs of advanced nursing education. Initial applications
are due by January 1, 1991, and by January 1 of each later
year. By March 1, 1991, and by March 1 of each later year, the
board shall notify each applicant school or college or nursing,
or program of advanced nursing education, of its approximate
allocation of money to allow the school, college, or program to
determine the number of students that can be supported by the
allocation. The board shall distribute money to the schools or
colleges of nursing, or programs of advanced nursing education,
by August 1, 1991, and by August 1 of each later year.
Subd. 5. [REPORT.] The schools or colleges of nursing, or
programs of advanced nursing education, participating in the
nursing grant program shall report to the higher education
coordinating board on their program activity as requested by the
board.
Sec. 5. [136A.1355] [RURAL PHYSICIAN EDUCATION ACCOUNT.]
Subdivision 1. [CREATION OF ACCOUNT.] A rural physician
education account is established. The higher education
coordinating board shall use money from the account to establish
a loan forgiveness program for medical students agreeing to
practice in designated rural areas.
Subd. 2. [ELIGIBILITY.] To be eligible to participate in
the program, a prospective physician must submit a letter of
interest to the higher education coordinating board while
attending medical school. Before completing the first year of
residency, a student or resident must sign a contract to agree
to serve at least three of the first five years following
residency in a designated rural area.
Subd. 3. [LOAN FORGIVENESS.] The higher education
coordinating board may accept up to eight applicants per year
for participation in the loan forgiveness program. Applicants
are responsible for securing their own loans. Applicants chosen
to participate in the loan forgiveness program may designate for
each year of medical school, up to a maximum of four years, an
agreed amount, not to exceed $10,000, as a qualified loan. For
each year that a participant serves as a physician in a
designated rural area, up to a maximum of four years, the higher
education coordinating board shall annually pay an amount equal
to one year of qualified loans and the interest accrued on these
loans. Participants who move their practice from one designated
rural area to another remain eligible for loan repayment.
Subd. 4. [PENALTY FOR NONFULFILLMENT.] If a participant
does not fulfill the required three-year minimum commitment of
service in a designated rural area, the higher education
coordinating board shall collect from the participant the amount
paid by the board under the loan forgiveness program. The
higher education coordinating board shall deposit the money
collected in the rural physician education account. The board
shall allow waivers of all or part of the money owed the board
if emergency circumstances prevented fulfillment of the
three-year service commitment.
Sec. 6. [HECB EVALUATION.]
The higher education coordinating board shall evaluate the
programs established in sections 2 to 5. The initial evaluation
must examine the progress in establishing the programs and must
be reported to the house appropriations and senate finance
committees by February 1, 1991. Beginning in 1992, and each
year thereafter, the HECB shall report to the committees by
February 1 on the operation of each program. The report must
include an analysis of whether each program is achieving its
goals and recommendations regarding whether each program should
be terminated or changed.
Sec. 7. [RULES.]
The higher education coordinating board shall develop
rules, including emergency rules if necessary, to implement the
programs in sections 2 to 5. The emergency rules shall be
effective until July 1, 1991.
Sec. 8. [FUNDING.]
Sections 3 and 4 are funded as provided in the 1990 health
and human services supplemental appropriations act.
Sec. 9. [SUNSET.]
Sections 1 to 6 are repealed on June 30, 1995.
ARTICLE 5
PUBLIC SAFETY OFFICER'S SURVIVOR BENEFITS
Section 1. [299A.41] [DEFINITIONS.]
Subdivision 1. [SCOPE.] The definitions used in this
section apply in this chapter.
Subd. 2. [DEPENDENT CHILD.] A "dependent child" means a
person who is unmarried and who was either living with or was
receiving support contributions from the public safety officer
at the time of death, including a child by birth, a stepchild,
an adopted child, or a posthumous child, and who is:
(1) under 18 years of age;
(2) over 18 years of age and incapable of self-support
because of physical or mental disability; or
(3) over 18 years of age and a student as defined by United
States Code, title 5, section 8101.
Subd. 3. [KILLED IN THE LINE OF DUTY.] "Killed in the line
of duty" does not include deaths from natural causes.
Subd. 4. [PUBLIC SAFETY OFFICER.] "Public safety officer"
includes:
(1) a peace officer defined in section 626.84;
(2) a correction officer employed at a correctional
facility and charged with maintaining the safety, security,
discipline, and custody of inmates at the facility;
(3) a firefighter employed on a full-time basis by the
state or by a fire department of a governmental subdivision of
the state, who is engaged in the hazards of firefighting;
(4) a legally enrolled member of a volunteer fire
department or member of an independent nonprofit firefighting
corporation who is engaged in the hazards of firefighting;
(5) a good samaritan while complying with the request or
direction of a public safety officer to assist the officer;
(6) a reserve police officer or a reserve deputy sheriff
while acting under the supervision and authority of a political
subdivision;
(7) a driver or attendant with a licensed basic or advanced
life support transportation service who is engaged in providing
emergency care; and
(8) a first responder who is certified by the commissioner
of health to perform basic emergency skills before the arrival
of a licensed ambulance service and who is a member of an
organized service recognized by a local political subdivision to
respond to medical emergencies to provide initial medical care
before the arrival of an ambulance.
Subd. 5. [SPOUSE.] "Spouse" means a person legally married
to the decedent at the time of the decedent's death.
Sec. 2. [299A.42] [PUBLIC SAFETY OFFICER'S BENEFIT
ACCOUNT.]
The public safety officer's benefit account is created in
the state treasury. Money in the account consists of money
transferred and appropriated to that account.
Sec. 3. [299A.43] [ELIGIBILITY DETERMINATION; CONTESTED
CASE.]
A challenge to a determination of eligibility by the
commissioner of public safety must be heard as a contested case,
except that the decision of the administrative law judge is
binding on the parties to the proceeding. The order of the
administrative law judge is the final decision of the
commissioner. The hearing must be conducted according to
sections 14.56 to 14.62 and is subject to appeal according to
sections 14.63 to 14.68.
Sec. 4. [299A.44] [DEATH BENEFIT.]
On certification to the governor by the commissioner of
public safety that a public safety officer employed within this
state has been killed in the line of duty, leaving a spouse or
one or more eligible dependents, the commissioner of finance
shall pay $100,000 from the public safety officer's benefit
account, as follows:
(1) if there is no dependent child, to the spouse;
(2) if there is no spouse, to the dependent child or
children in equal shares;
(3) if there are both a spouse and one or more dependent
children, one-half to the spouse and one-half to the child or
children, in equal shares;
(4) if there is no surviving spouse or dependent child or
children, to the parent or parents dependent for support on the
decedent, in equal shares; or
(5) if there is no surviving spouse, dependent child, or
dependent parent, then no payment may be made from the public
safety officer's benefit fund.
Sec. 5. [299A.45] [EDUCATION BENEFIT.]
Subdivision 1. [ELIGIBILITY.] Following certification
under section 4 and compliance with this section and rules of
the commissioner of public safety and the higher education
coordinating board, dependent children less than 23 years of age
and the surviving spouse of a public safety officer killed in
the line of duty on or after January 1, 1973, are eligible to
receive educational benefits under this section. To qualify for
an award, they must be enrolled in undergraduate degree or
certificate programs after June 30, 1990, at a Minnesota public
post-secondary institution or a private, residential, two-year
or four-year, liberal arts, degree granting college or
university located in Minnesota. Persons who have received a
baccalaureate degree or have been enrolled full time or the
equivalent of eight semesters or 12 quarters, whichever occurs
first, are no longer eligible.
Subd. 2. [AWARD AMOUNT.] (a) The amount of the award is:
(1) for public institutions, the actual tuition and fees
charged by the institution, or
(2) for private institutions the lesser of (i) the actual
tuition and fees charged by the institution or (ii) the highest
tuition and fees charged by a public institution in Minnesota.
(b) An award under this subdivision must not affect a
recipient's eligibility for a state grant under section 136A.121.
Subd. 3. [PAYMENT.] On proof of eligibility for this
program, an eligible institution, on behalf of the student,
shall request payment of the award from the higher education
coordinating board. An institution must not request payment
unless the student is enrolled in or has completed the term for
which the payment is intended.
Subd. 4. [RENEWALS.] Each award must be given for one
academic year and is renewable for a maximum of six semesters or
nine quarters or their equivalent. An award must not be given
to a dependent child who is 23 years of age or older on the
first day of the academic year.
Sec. 6. [299A.46] [RULES.]
The commissioner of public safety may adopt rules,
including emergency rules, under chapter 14 to implement,
coordinate, and administer sections 1 to 4. The higher
education coordinating board may adopt rules, including
emergency rules, to implement, coordinate, and administer
section 5.
Sec. 7. [REPORTS.]
By February 1, 1991, the commissioner of public safety
shall report to the chairs of the house appropriations and
senate finance committees on the use of the educational benefits
provisions and on any recommendations to change these
provisions. The higher education coordinating board shall
report on its expenditures as part of its 1991 biennial budget
request.
Sec. 8. [REPEALER.]
Minnesota Statutes 1988, sections 176B.01, as amended by
Laws 1989, chapter 289, section 2; 176B.02; 176B.03; 176B.04;
and 176B.05, are repealed.
Sec. 9. [MONEY SET ASIDE.]
The higher education coordinating board shall set aside
$100,000 appropriated for the state grant program under
Minnesota Statutes, section 136A.121 for the purpose of section
5.
Sec. 10. [EFFECTIVE DATES.]
Sections 1 to 4, 6, and 8 are effective the day following
final enactment. Section 5 is effective July 1, 1990, and
applies to all eligible surviving dependents and spouses of
public safety officers killed in the line of duty on or after
January 1, 1973.
ARTICLE 6
MISCELLANEOUS
Section 1. Minnesota Statutes 1989 Supplement, section
16B.335, subdivision 2, is amended to read:
Subd. 2. [OTHER PROJECTS.] All other capital projects
except for those contained in agency operations budgets,
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. 2. [136A.0411] [COLLECTING FEES.]
The board may charge fees for seminars, conferences,
workshops, services, and materials. The money is annually
appropriated to the board.
Sec. 3. Minnesota Statutes 1989 Supplement, section
136A.05, is amended to read:
136A.05 [COOPERATION OF INSTITUTIONS OF HIGHER EDUCATION.]
Subdivision 1. All public institutions of higher
education, all school districts providing post-secondary
vocational education, and all state departments and agencies
shall cooperate with and supply information requested by the
higher education coordinating board in order to enable it to
carry out and perform its duties. Private post-secondary
institutions are requested to cooperate and provide information.
Subd. 2. The higher education coordinating board and
public post-secondary institutions shall provide data, in a
manner consistent with state and federal laws governing student
records, to and as requested by the Minnesota house or senate
for research projects and studies qualifying under Code of
Federal Regulations, title 34, section 99.31(a)(6). Private
post-secondary institutions are requested to cooperate and
provide data. As a condition of receiving the data, the house
or senate shall enter into an agreement with the board or
institutions to ensure that the house or senate will not
disclose any data that identify individuals.
Sec. 4. Minnesota Statutes 1989 Supplement, section
136A.08, is amended to read:
136A.08 [RECIPROCAL AGREEMENTS RELATING TO NONRESIDENT
TUITION WITH OTHER STATES OR PROVINCES.]
Subdivision 1. [DEFINITIONS.] For the purposes of this
section, the terms "province" and "provincial" mean the Canadian
province of Manitoba.
Subdivision 1. Subd. 2. [AUTHORIZATION.] The Minnesota
higher education coordinating board may enter into agreements,
on subjects that include remission of nonresident tuition for
designated categories of students at public post-secondary
institutions, with appropriate state or provincial agencies and
public post-secondary institutions in other states or
provinces. The agreements shall be for the purpose of the
mutual improvement of educational advantages for residents of
this state and other states or provinces with whom agreements
are made.
Subd. 1a. 3. [WISCONSIN.] A higher education reciprocity
agreement with the state of Wisconsin may include provision for
the transfer of funds between Minnesota and Wisconsin provided
that an income tax reciprocity agreement between Minnesota and
Wisconsin is in effect for the period of time included under the
higher education reciprocity agreement. If this provision is
included, the amount of funds to be transferred shall be
determined according to a formula which is mutually acceptable
to the board and a duly designated agency representing
Wisconsin. The formula shall recognize differences in tuition
rates between the two states and the number of students
attending institutions in each state under the agreement. Any
payments to Minnesota by Wisconsin shall be deposited by the
board in the general fund of the state treasury. The amount
required for the payments shall be certified by the executive
director of the higher education coordinating board to the
commissioner of finance annually.
Subd. 2. 4. [NORTH DAKOTA; SOUTH DAKOTA.] A reciprocity
agreement with North Dakota may include provision for the
transfer of funds between Minnesota and North Dakota. If
provision for transfer of funds between the two states is
included, the amount of funds to be transferred shall be
determined according to a formula which is mutually acceptable
to the board and a duly designated agency representing North
Dakota. In adopting a formula, the board shall consider tuition
rates in the two states and the number of students attending
institutions in each state under the agreement. Any payment to
Minnesota by North Dakota shall be deposited by the board in the
general fund. The amount required for the payments shall be
certified by the executive director of the higher education
coordinating board to the commissioner of finance annually. All
provisions in this subdivision pertaining to North Dakota shall
also be applied to South Dakota, and all authority and
conditions granted for higher education reciprocity with North
Dakota are also granted for higher education reciprocity with
South Dakota.
Subd. 3. 5. [FINANCIAL AID.] The board may enter into an
agreement, with a state or province with which it has negotiated
a reciprocity agreement for tuition, to permit students from
both states to receive student aid awards from the student's
state or province of residence for attending an eligible
institution in the other state or province.
Subd. 4. 6. [GOVERNING BOARD APPROVAL.] An agreement made
by the board under this section is not valid as to a particular
institution without the approval of that institution's state or
provincial governing board. A valid agreement under this
subdivision that incurs additional financial liability to the
state, beyond enrollment funding adjustments, must be submitted
to the chairs of the senate finance and house appropriations
committees for review. The agreement remains valid unless it is
disapproved in law.
Sec. 5. Minnesota Statutes 1988, section 136A.15, as
amended by Laws 1989, chapter 293, sections 33 to 35, is amended
to read:
136A.15 [DEFINITIONS.]
Subdivision 1. For purposes of sections 136A.15 to
136A.1702, the terms defined in this section have the meanings
ascribed to them.
Subd. 2. "Academic year or its equivalent" shall be as
defined in the federal regulations which govern the
administration of the National Vocational Student Loan Insurance
Act of 1965 and title IV of the Higher Education Act of 1965.
Subd. 3. "Board" means the Minnesota higher education
coordinating board.
Subd. 4. "Director" means the executive director of the
Minnesota higher education coordinating board.
Subd. 5. "Province" means the Canadian province of
Manitoba.
Subd. 5. 6. "Eligible institution" means any public
educational institution and any private educational institution,
in any state which is approved by the United States commissioner
of education in accordance with requirements set forth in the
Higher Education Act of 1965, as amended. It also includes any
institution chartered in a province.
Subd. 6. 7. "Eligible lender" means an eligible
institution, an agency or instrumentality of a state, or a
financial or credit institution (including an insurance company)
which is subject to examination and supervision by an agency of
the state of Minnesota or of the United States.
Subd. 7. 8. "Eligible student" means a student who is
officially registered or accepted for enrollment at an eligible
institution in Minnesota or a Minnesota resident who is
officially registered as a student or accepted for enrollment at
an eligible institution in another state or province. Eligible
student, except for purposes of section 136A.1701, includes
parents of an eligible student as the term "parent" is defined
in the Higher Education Act of 1965, as amended, and applicable
regulations. Except for the purposes of section 136A.1701,
eligible student also includes students eligible for auxiliary
loans as the term "auxiliary" is defined in the Higher Education
Act of 1965, as amended, and applicable regulations. An
eligible student, for section 136A.1701, means a student who
gives informed consent authorizing the disclosure of data
specified in section 136A.162, paragraph (b), to a consumer
credit reporting agency.
Subd. 8. 9. "Resident student" means a student who meets
the conditions in section 136A.101, subdivision 8.
Sec. 6. Minnesota Statutes 1988, section 136C.05, is
amended by adding a subdivision to read:
Subd. 7. [ADMINISTRATIVE SERVICES.] A technical college
must not contract for administrative services with a school
board unless the services are approved by the state director as
part of an administrative services plan. Each school board
affected by this subdivision shall submit an administrative
services plan to the state director.
Sec. 7. Minnesota Statutes 1988, section 136C.08,
subdivision 2, is amended to read:
Subd. 2. Any fee established by the board pursuant to
under the authority granted in subdivision 1 shall not exceed $1
per day per vehicle must be approved by the state board.
Parking fees collected shall be deposited in the general or
repair and betterment fund of the school district or joint
school district.
Sec. 8. Minnesota Statutes 1988, section 137.022,
subdivision 1, is amended to read:
Subdivision 1. [INVESTMENT.] The investment management of
the permanent university fund shall be under the jurisdiction of
the board of regents of the University of Minnesota, subject to
any limitations imposed by the Constitution of the state of
Minnesota, article XI, section 9. All securities and cash held
in the state treasury credited to the permanent university fund
that are unappropriated or unencumbered are transferred and
appropriated to the board of regents of the University of
Minnesota solely for the purpose of investment by them, with the
restriction that all such investment transactions be handled
through the supervision of investment counselors, bank trust
departments, or insurance companies which are organized,
licensed, or have registered offices within the state of
Minnesota or have agreed in writing to conduct such securities
transactions and investment counseling under Minnesota law and
the rules established by the department of commerce. These.
The investments shall be are restricted to those authorized as
eligible for use in the Minnesota postretirement investment
fund, section 11A.18, with the exception that corporate debt
securities may be used to the extent of 80 percent of the
portfolio the state board of investment may invest in under
section 11A.24.
Sec. 9. Minnesota Statutes 1988, section 137.022,
subdivision 3, is amended to read:
Subd. 3. [ENDOWED CHAIRS.] (a) The income from the
permanent university fund must be used, and capital gains of the
fund may be used, to help endow provide endowment support for
professorial chairs in academic disciplines. This income The
endowment support for the chairs from the income and the capital
gains must not total more than six percent per year of the
36-month trailing average market value of the fund, as computed
quarterly or otherwise as directed by the regents. The
endowment support from the income and the capital gains must not
provide more than half the sum of the endowments endowment
support for all chairs endowed, with nonstate sources providing
the remainder. The endowment support from the income and the
capital gains may provide more than half the endowment support
of an individual chair.
(b) If any portion of the annual appropriation that of the
income is not used for this the purpose specified in paragraph
(a), that portion lapses and must be added to the principal of
the permanent university fund.
Sec. 10. Laws 1989, chapter 293, section 2, subdivision 2,
is amended to read:
Subd. 2. Agency Administration
$3,900,000 $2,972,000
(a) The optometry and osteopathy
contract program for students who were
in the program in the 1986-1987
academic year must be discontinued on
June 30, 1990. No new students may be
admitted.
(b) As part of its 1991 biennial budget
request, the HECB shall report its
recommendations for improvements to the
SELF program.
(c) Notwithstanding Laws 1987, chapter
401, section 33, the task force on
post-secondary quality assessment may
continue for the 1989-1991 biennium.
The task force membership may be
expanded to include public members
appointed by the higher education
advisory council from nominees
submitted by the HECB.
(d) No further funding of the
enterprise development centers shall be
provided through the HECB. The Greater
Minnesota Corporation may provide
funding for the centers.
(e) $150,000 for the biennium is for
matching grants to post-secondary
institutions that submit acceptable
proposals for campus community service
projects emphasizing students
performing as tutors or mentors to
their younger peers. Campus community
service projects attempt to instill in
students the value of civic involvement
and the belief that each student's
community service can make a difference
in the community. The HECB may award
up to 20 grants. To receive a grant, a
recipient must match the grant amount
from any resources available to the
institution. The state grant is for a
staff person on each recipient's campus
to coordinate student community service
involvement. Up to $25,000 of the
appropriation may be used for HECB
administration, coordination, training,
consultation, and evaluation costs.
The legislature intends the grant
program to be phased out at the end of
the biennium to be replaced by 100
percent funding by the recipient
institutions from any resources
available to the institution.
(f) The HECB shall undertake the second
phase of the study of post-secondary
needs in the state, as provided in Laws
1988, chapter 703, article 1, section
2, subdivision 3. This phase must
concentrate on those parts of the state
outside the St. Cloud to Rochester
population corridor. The HECB may
contract for portions of the study, as
necessary, but is not subject to
Minnesota Statutes, chapter 16B.
Before proceeding with the request for
proposals, the HECB shall consult with
the post-secondary systems,
institutions, and other relevant
agencies to locate studies and market
analyses that could be used in
conducting phase 2. The study must
focus on (1) an assessment of the
current and future conditions and
needs; (2) strategies to meet these
needs; (3) costs associated with the
strategies; and (4) effects of the
strategies on existing institutions,
state policies, quality of
education, improvement of intersystem
cooperation, reduction of duplication,
and system and institutional missions.
The study should include consideration
of at least the following concerns:
the current and projected demographic
and participation trends; current
levels and types of services available;
and needs of traditional and
nontraditional students; the
geographical accessibility of services
needed by different types of students;
uses of alternative delivery systems,
instructional technology, cooperative
efforts, and reciprocity agreements;
relationships between post-secondary
institutions and business; and the
physical capacity of existing
institutions. The study shall analyze
attendance patterns and may include
market surveys. The HECB shall report
the findings of the study to the
education and finance committees of the
senate and the education and
appropriations committees of the house
by December 1, 1990. By January 1,
1991, the HECB shall review and comment
on each of the strategies proposed in
the study March 15, 1991. In
submitting the findings of phase 2, the
board shall relate them to the results
of phase 1 and their implications for
statewide policy.
The study shall serve as the 1990
intersystem plan as required in
Minnesota Statutes, section 135A.06,
subdivision 2.
(g) The HECB shall analyze and make
recommendations on plans submitted for
providing undergraduate and
practitioner-oriented graduate programs
in the seven-county metropolitan area.
By February 1, 1990, the HECB shall
report on its recommendations to the
education and finance committees of the
senate and the education and
appropriations committees of the house.
Sec. 11. [LOURDES HALL PURCHASE.]
The state university board may purchase Lourdes Hall,
located on the campus of the former college of St. Teresa in
Winona, for use as a residential college. The purchase may be
by contract for deed. If the contract is terminated for default
by the board, the seller's exclusive remedies are to retain the
payments previously made and repossess the property; the seller
must not sue on the contract to recover any additional amounts
due under the contract. Responsibility for insuring the
property during the term of the contract must be on the seller.
Before finalizing the purchase agreement, the board shall obtain
the advisory recommendations of the chairs of the senate finance
and house appropriations committees.
Sec. 12. [CONSUMER INFORMATION SYSTEM.]
The public post-secondary state governing boards, and
private post-secondary colleges and occupational and technical
institutions that enroll recipients of state grants, shall
develop a consumer information system for occupational
programs. The system must be based on student placement and
must include all subbaccalaureate occupational programs and all
programs that lead to an occupation requiring certification,
licensure, or testing for entry. The first phase of the system
must include all subbaccalaureate occupational programs. The
higher education coordinating board must coordinate the
development of the system and must report on it to the chairs of
the house appropriations and the senate finance committees by
February 15, 1991.
Sec. 13. [REPORT TO LEGISLATURE.]
The state board for community colleges shall report in the
1991 biennial budget document, recommendations for the
appropriate administrative structure for a community college
campus at Cambridge. In making its recommendations, the board
shall review the combined administrative structure for the
community colleges located in the Arrowhead and Clearwater
regions of the state. The center at Cambridge will be
designated as a community college if the legislature enacts an
appropriation specifically for this purpose.
Sec. 14. [EFFECTIVE DATE.]
Sections 3 to 5, and 8 to 12 are effective the day
following final enactment.
Presented to the governor April 28, 1990
Signed by the governor May 4, 1990, 2:14 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes