Minnesota Session Laws - 1991, Regular Session

  

                         Laws of Minnesota 1991 

                          CHAPTER 2-H.F.No. 47 
           An act relating to financing of government in this 
          state; reducing appropriations for the biennium ending 
          June 30, 1991, with certain conditions; providing for 
          transfer of certain money in the state treasury; 
          appropriating money for a deficiency in income 
          maintenance appropriations; transferring certain 
          balances in the Minnesota resources fund to the 
          general fund; canceling certain balances to the 
          general fund; eliminating the motor vehicle excise tax 
          transfer from the general fund for highway purposes; 
          transferring balances in the transit assistance fund 
          to the general fund; transferring funds from the 
          Greater Minnesota Corporation fund balance to the 
          general fund; transferring receipts from the 
          infrastructure development fund to the general fund; 
          providing for an employee-leave-without-pay program; 
          reducing calendar year 1991 state aid payments to 
          local units of government; amending Minnesota Statutes 
          1990, sections 16B.70, subdivision 1; 477A.011, 
          subdivisions 27, 28, and by adding a subdivision; 
          477A.012, subdivision 1, and by adding a subdivision; 
          477A.013, subdivisions 1, 3, and by adding a 
          subdivision; and 477A.014, subdivision 1; proposing 
          coding for new law in Minnesota Statutes, chapter 477A.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 

                               ARTICLE 1 

                                 SUMMARY

                           (General Fund Only)
TRANSFERS FROM OTHER FUNDS                           33,335,000
PRIOR YEAR ADJUSTMENTS                                3,081,000
APPROPRIATION REDUCTIONS                            151,170,400
CANCELLATIONS                                         6,897,000
     TOTAL                                          194,483,400
DEFICIENCY APPROPRIATION                            125,412,000

                                ARTICLE 2

                     EDUCATION FINANCE ADJUSTMENTS 
Section 1.  APPROPRIATION REDUCTIONS:  SUMMARY 

                       SUMMARY (General Fund Only)
                                              1991 APPROPRIATIONS
APPROPRIATION REDUCTIONS                             (6,528,400)
Sec. 2.  APPROPRIATION REDUCTIONS 
 The general fund appropriations in 
Laws 1989, chapter 329, as amended 
by Laws 1990, chapter 562, 
articles 6, 7, and 9, are reduced 
by the listed amounts.  All 
reductions are for fiscal year 
1991 only. 
(a) Transportation aid for enrollment options           (25,400)
(b) Summer special education aid                       (759,800)
(c) Secondary vocational handicapped aid             (1,500,400)
(d) Assurance of mastery aid                           (849,000)
(e) Individualized learning and development aid        (429,000)
(f) Adult graduation aid                               (426,000)
(g) Health and developmental screening aid           (1,360,800)
(h) Secondary vocational cooperative aid                 (5,300)
(i) Cooperation and combination aid                      (2,900)
(j) PER process aid                                        (500)
(k) Tobacco use prevention aid                           (2,700)
(l) Career teacher aid                                 (222,600)
(m) Educational cooperative service unit loans         (500,000)
(n) Adult education - basic skills evaluation           (75,000)
(o) Department of education                            (136,000)
 None of this reduction shall be 
taken from the appropriations for 
the Faribault academies. 
(p) Minnesota center for arts education                (200,000)
(q) Task force on mathematics, science, technology,
and international education                             (33,000)
    Sec. 3.  [EFFECTIVE DATE.] 
    Section 2 is effective the day following final enactment. 

                                ARTICLE 3

                        POSTSECONDARY EDUCATION 
Section 1.  APPROPRIATION REDUCTIONS:  SUMMARY 
    The sums set forth in parentheses in the column designated 
"1991 APPROPRIATIONS" are reduced from the general fund 
appropriations for the fiscal year ending June 30, 1991, in Laws 
1989, chapter 293, as amended by Laws 1990, chapter 591, article 
1, to the specified agencies. 

                       SUMMARY (General Fund Only)
                                             1991 APPROPRIATIONS
APPROPRIATION REDUCTIONS                            (17,020,000)
Sec. 2.  APPROPRIATION REDUCTIONS 
(a) Higher education coordinating board              (3,020,000)
 This reduction is from the state grant 
program. 
(b) University of Minnesota                          (8,800,000)
(c) State University Board                           (2,130,000)
(d) Community College Board                          (1,190,000)
(e) State Board of Technical Colleges                (1,880,000)
 The reductions in this section must not 
be considered in developing the budget 
base for the 1992-1993 biennium. 
    Sec. 3.  [EFFECTIVE DATE.] 
    Sections 1 and 2 are effective the day following final 
enactment. 

                                ARTICLE 4

                            HUMAN DEVELOPMENT
Section 1.  APPROPRIATION REDUCTIONS:  SUMMARY 
    The sums set forth in the column marked "1991 
APPROPRIATIONS BY FUND" are added to appropriations from the 
general fund or any other fund named, to the agencies and 
programs specified.  Sums shown in parentheses are reduced from 
the general fund appropriations, or from other named 
appropriations, to the specified agencies in Laws 1989, chapter 
282, article 1, sections 2 to 10, as amended by Laws 1990, 
chapter 568, article 1, sections 2 to 8; Laws 1989, chapter 335, 
article 1, section 27, as amended by Laws 1990, chapter 594, 
article 1, section 25; and Laws 1990, chapter 568, article 6, 
for the fiscal year ending June 30, 1991. 

                       SUMMARY (General Fund Only)
                                     1991 APPROPRIATIONS BY FUND
TRANSFERS FROM OTHER FUNDS                            2,350,000
APPROPRIATION REDUCTIONS                            (18,230,000)
DEFICIENCY APPROPRIATION                            125,412,000
Sec. 2.  HUMAN SERVICES 
Subdivision 1.  Social Services                     (8,175,000)
 The commissioner shall transfer 
$5,000,000 in fiscal year 1991 from the 
consolidated chemical dependency 
treatment fund to the general fund.  
Notwithstanding Minnesota Statutes, 
sections 254B.02, subdivision 4, and 
254B.09, all money remaining in the 
consolidated chemical dependency 
treatment fund after all services 
provided in fiscal year 1991 are 
reimbursed shall cancel.  This 
cancellation shall apply to state money 
remaining in county allocations, the 
reserve account, tribal allocations, 
the tribal reserve account, and the 
nonreservation Indian reserve account. 
 Laws 1990, chapter 568, article 2, 
section 59, is effective February 1, 
1991, notwithstanding Laws 1990, 
chapter 568, article 2, section 104, 
subdivision 3.  In conjunction with 
this provision, the commissioner shall 
transfer $3,000,000 in fiscal year 1991 
from the consolidated chemical 
dependency treatment fund to the 
general fund. 
 For the biennium ending June 30, 1991, 
and notwithstanding Minnesota Statutes, 
section 254B.03, subdivision 4, the 
commissioner may refuse to pay for 
services to persons not eligible under 
Minnesota Statutes, section 254B.04, 
subdivision 1, and the state is not 
financially liable for payment of 
services to ineligible persons. 
 The department of human services is 
authorized to receive new federal funds 
as of October 1, 1990, for child care.  
The new funds are authorized under 
Section 5081 of the federal Omnibus 
Budget Reconciliation Act of 1990, 
which amends the Social Security Act 
adding section 402(1), providing child 
care to low income families. 
Subd. 2.  Mental Health                                (500,000)
Subd. 3.  Family Support Programs                    (1,919,000)
 For the biennium ending June 30, 1991, 
and notwithstanding any other law to 
the contrary, counties may not enter 
into agreements for new general 
assistance or Minnesota supplemental 
aid negotiated rate beds except under 
the following two circumstances, both 
of which are limited to existing 
funding caps:  limited adult foster 
care development needed to ensure 
census reduction targets for 
developmentally disabled persons at 
regional treatment centers; and 
development to ensure compliance with 
the federal Omnibus Budget 
Reconciliation Act of 1990 alternative 
disposition plan requirements for 
inappropriately placed developmentally 
disabled persons. 
 For the biennium ending June 30, 1991, 
and notwithstanding Minnesota Statutes, 
section 256D.051 and Minnesota Rules, 
parts 9500.1200 to 9500.1318, the 
commissioner shall identify groups of 
nonexempt work readiness registrants 
receiving food stamps who must 
participate in the work readiness 
employment and training program as a 
condition of eligibility for work 
readiness assistance.  The number of 
persons required to participate shall 
be sufficient to meet federal 
performance requirements for the Food 
Stamp Employment and Training Program.  
All other nonexempt registrants shall 
be deferred from participation in the 
Work Readiness Employment and Training 
Program.  The notice and 
disqualification provisions of 
Minnesota Statutes, section 256D.101, 
remain in effect.  The commissioner 
shall modify the groups identified in 
order to increase the number of 
registrants who must participate if 
necessary to meet federal participation 
requirements or if sufficient funds are 
available to expand program 
operations.  Counties must provide 
ongoing employment and training 
services to all registrants in the 
county who are members of the groups 
identified by the commissioner. 
 For the biennium ending June 30, 1991, 
and notwithstanding Minnesota Statutes, 
sections 256D.01 to 256D.21 and 
Minnesota Rules, parts 9500.1200 to 
9500.1318, an applicant's eligibility 
for work readiness assistance shall not 
begin until the first day of the 
calendar month following the date of 
application for assistance.  The 
initial date of eligibility for 
emergency assistance under Minnesota 
Statutes, section 256D.051, subdivision 
1, is not affected.  Notwithstanding 
Minnesota Statutes, section 256D.051, 
subdivision 1b, counties shall not 
provide special payments prorated to 
cover an initial certification period. 
 Notwithstanding Minnesota Statutes, 
chapter 256D, or any other law or 
administrative rule to the contrary, 
commencing March 1, 1991, and ending 
June 30, 1991, any person who would be 
defined for purposes of the federal 
Food Stamp Program as being enrolled at 
least half-time in an institution of 
higher education is ineligible to 
receive payments or services from the 
Work Readiness Program. 
 $100,000 of this reduction is from the 
appropriation in Laws 1989, chapter 
282, article 1, section 2, subdivision 
6, to reimburse local agencies for the 
costs of providing transportation for 
work readiness literacy training.  The 
commissioner shall reimburse counties 
for these purposes up to the amount of 
this appropriation, and state financial 
liability shall not extend beyond the 
appropriation amount. 
Subd. 4.  Health Care                                (5,143,000)
 If the existing 1991 appropriation for 
the 180-day portion of the alternative 
care grant program is insufficient to 
fund payments to counties for services 
provided through June 30, 1991, the 
commissioner may transfer up to 
$3,500,000 from the department's 
nongrant accounts to fund these 
payments. 
Subd. 5.  State Residential Facilities                 (813,000)
Subd. 6.  Total Forecast Adjustment                 125,412,000
Sec. 3.  VETERANS NURSING HOMES BOARD                  (950,000)
Sec. 4.  DEPARTMENT OF JOBS AND TRAINING               (230,000)
 Notwithstanding Minnesota Statutes, 
section 268.022, subdivision 2, the 
commissioner of finance shall transfer 
in fiscal year 1991 from the dislocated 
worker fund to the general fund 
$1,700,000 of the money collected 
through the special assessment 
established in Minnesota Statutes, 
section 268.022, subdivision 1. 
Sec. 5.  CORRECTIONS                                   (500,000)
 This reduction is in the general fund 
appropriation in Laws 1989, chapter 
282, article 1, section 6, subdivision 
2, as amended by Laws 1990, chapter 
568, article 1, section 5, subdivision 
2. 
Sec. 6.  HEALTH   
 All balances in the asbestos abatement 
fund shall be transferred to the 
general fund on June 30, 1991.  The 
balance on June 30, 1991, is estimated 
to be $791,000.  $141,000 of this 
amount was recognized in the November 
1990 forecast and $650,000 is 
recognized in this act. 
    Sec. 7.  [EFFECTIVE DATE.] 
    Sections 1 to 6 are effective the day following final 
enactment, unless otherwise specified. 

                               ARTICLE 5 

                   ENVIRONMENT AND NATURAL RESOURCES 
Section 1.  APPROPRIATION REDUCTIONS: SUMMARY 
    The sums set forth in parentheses in the column designated 
"1991 APPROPRIATIONS" are reduced from the general fund 
appropriations for the fiscal year ending June 30, 1991, in Laws 
1989, chapters 269, 335, and 337; Laws 1989, First Special 
Session chapter 1; Laws 1990, chapters 594 and 607; or another 
named law to the specified agencies. 

                      SUMMARY (General Fund Only) 
                                             1991 APPROPRIATIONS 
TRANSFERS FROM OTHER FUNDS                            1,000,000 
APPROPRIATION REDUCTIONS                             (2,209,000) 
CANCELLATIONS                                           466,000 
Sec. 2.  POLLUTION CONTROL AGENCY 
(a) Clean Water Partnership Program                     (50,000) 
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, chapter 335, article 1, 
section 23, subdivision 2, for fiscal 
year 1991. 
(b) Medical Waste Program                               (50,000) 
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, chapter 337, section 13, 
subdivision 1, for fiscal year 1991. 
(c) Household Hazardous Waste Program                  (170,000) 
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, First Special Session 
chapter 1, article 24, section 1, 
subdivision 3a, for fiscal year 1991. 
(d) Solid Waste Composition Study                      (200,000) 
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, First Special Session 
chapter 1, article 24, section 1, 
subdivision 3(b), for fiscal year 1991. 
(e) On-Site Treatment (Septic Tank) Grants             (150,000)
 This reduction is from the money 
appropriated from the general fund in 
Laws 1990, chapter 594, article 1, 
section 22, item (c), for fiscal year 
1991. 
Sec. 3.  OFFICE OF WASTE MANAGEMENT                    
(a) Litter Prevention, Control, and 
Abatement Grants                                        (50,000) 
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, First Special Session 
chapter 1, article 24, section 1, 
subdivision 2, item (d), for fiscal 
year 1991. 
(b) Problem Materials Collection and 
Disposal                                               (100,000)
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, First Special Session 
chapter 1, article 24, section 1, 
subdivision 2, item (f), for fiscal 
year 1991. 
Sec. 4.  NATURAL RESOURCES 
General Reduction                                      (970,000)
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, chapter 335, article 1, 
section 21, for fiscal year 1991. 
Sec. 5.  LEGISLATIVE COMMISSION ON MINNESOTA RESOURCES 
 As the cash flow in the Minnesota 
resources fund permits, the 
commissioner of finance shall transfer 
$1,000,000 to the general fund by June 
30, 1991. 
Sec. 6.  ZOOLOGICAL BOARD 
 $400,000 of the appropriation made in 
Laws 1988, chapter 686, article 1, 
section 12, item (b), to renovate the 
water and filtration systems that serve 
the beluga whale facility shall be 
unallotted and canceled by the 
commissioner of finance.  Any remaining 
balances in that appropriation may be 
used by the zoo as a state contribution 
to the financing for the World of Birds 
amphitheater project. 
Sec. 7.  AGRICULTURE 
(a) Family Farm Security                               (169,000)
 This reduction is from the money 
appropriated from the general fund in 
Laws 1989, chapter 269, section 7, 
subdivision 4, for family farm security 
interest payment adjustments. 
 (b) $66,000 of the appropriation in 
Laws 1987, chapter 404, section 22, 
subdivision 7, as amended by Laws 1989, 
chapter 335, article 1, section 21, 
subdivision 7, available for 
expenditure by the commissioner of 
agriculture until June 30, 1991, for 
elk management is canceled. 
Sec. 8.  GRASSHOPPER CONTINGENT ACCOUNT                (300,000) 
 This reduction is from the money 
appropriated from the general fund in 
Laws 1990, chapter 607, section 6, 
paragraph (a), for fiscal year 1991.  
$120,000 has been transferred to the 
commissioner of agriculture and 
$180,000 is still in the contingent 
account. 
    Sec. 9.  [EFFECTIVE DATE.] 
    Sections 1 to 8 are effective the day following final 
enactment. 

                                ARTICLE 6

                      INFRASTRUCTURE AND REGULATION
Section 1.  [APPROPRIATION REDUCTIONS; SUMMARY.] 
    The sums set forth in parentheses in the column designated 
"1991 APPROPRIATIONS" are reduced from appropriations from the 
general fund, or another named fund, for the fiscal year ending 
June 30, 1991, in Laws 1989, chapter 269, or another named law 
to the specified agencies. 

                       SUMMARY (General Fund Only)
                                            1991 APPROPRIATIONS
TRANSFERS FROM OTHER FUNDS                           26,885,000
APPROPRIATION REDUCTIONS                            (52,808,000)
Sec. 2.  TRANSPORTATION                             
 The appropriations in Laws 1989, 
chapter 269, section 2, as amended by 
Laws 1990, chapter 565, section 2, for 
fiscal year 1991 are reduced by the 
listed amounts: 
Subdivision 1.  Highway Development                 
Trunk Highway Fund                                  (33,568,000)
County State Aid Highway Fund                       (13,276,000)
Municipal State Aid Street Fund                      (3,864,000)
Subd. 2.  Program Delivery                       
Trunk Highway Fund                                   (1,500,000)
  If the county and municipal state aids 
have been apportioned by the 
commissioner of transportation 
according to law and rule based upon 
anticipated fiscal year 1991 motor 
vehicle excise tax transfer receipts, 
the commissioner must reduce the 
apportionment by the total amount of 
the 1991 fiscal year motor vehicle 
excise tax transfer receipts, and those 
proceeds shall be returned to the 
general fund upon final enactment. 
Sec. 3.  MOTOR VEHICLE EXCISE TAX 
 Notwithstanding Minnesota Statutes, 
section 297B.09, or Minnesota Rules, 
part 8820.1200, tax proceeds under 
Minnesota Statutes, chapter 297B, and 
the investment earnings on those 
proceeds credited to the highway user 
tax distribution fund, and the trunk 
highway fund, for the period after June 
30, 1990, and before July 1, 1991, must 
be returned to the general fund on June 
30, 1991.  The amount returned is 
estimated to be $52,208,000.  
Sec. 4.  TRANSIT ASSISTANCE FUND 
 Notwithstanding Minnesota Statutes, 
section 297B.09, tax proceeds under 
Minnesota Statutes, chapter 297B, 
relating to the transit assistance fund 
and the earnings credited to the 
transit assistance fund for the period 
before July 1, 1991, that are 
unliquidated and unencumbered in the 
fiscal year ending June 30, 1991, must 
be returned to the general fund.  The 
amount returned is estimated to be 
$1,613,000.  
Sec. 5.  REGIONAL TRANSIT BOARD                        (600,000)
 This reduction is from the 
appropriation in Laws 1989, chapter 
269, section 3, as amended by Laws 
1990, chapter 565, section 5. 
Sec. 6.  GREATER MINNESOTA CORPORATION 
 The Greater Minnesota Corporation shall 
transfer $9,000,000 of its unobligated 
balance in the special revenue fund to 
the general fund by June 30, 1991. 
Sec. 7.  INFRASTRUCTURE DEVELOPMENT FUND 
 The unencumbered balance in the 
infrastructure development fund on June 
30, 1991, must be transferred and 
credited to the general fund.  The 
amount transferred is estimated to be 
$16,272,000. 
    Sec. 8.  [EFFECTIVE DATE.] 
    Sections 1 to 7 are effective the day following final 
enactment.  

                                ARTICLE 7

                        STATE GOVERNMENT AFFAIRS
Section 1.  [APPROPRIATION REDUCTION; SUMMARY.] 
    The sums set forth in parentheses in the column designated 
"1991 APPROPRIATIONS" are reduced from the general fund 
appropriations for the fiscal year ending June 30, 1991, to the 
specified agencies. 

                       SUMMARY (General Fund Only)
                                             1991 APPROPRIATIONS
TRANSFERS FROM OTHER FUNDS                            3,100,000
PRIOR YEAR ADJUSTMENTS                                3,081,000
APPROPRIATION REDUCTIONS                             (4,375,000)
CANCELLATIONS                                         6,431,000
Sec. 2.  APPROPRIATION REDUCTIONS 
 The general fund appropriations in Laws 
1989, chapter 335, as amended by Laws 
1990, chapter 594, are reduced by the 
listed amounts: 
(a) Legislature                                      (2,000,000)
 This reduction shall be allocated to 
the appropriations to the Senate, House 
of Representatives, and the Legislative 
Commissions by the legislative 
coordinating commission. 
(b) Governor and Lieutenant Governor                    (68,000)
 This reduction is to the governor's 
office budget. 
(c) Administration                                     (700,000)
 This reduction is from the 1991 
appropriation in Laws 1989, chapter 
335, article 1, section 15, for 
building code administration. 
 The commissioner of administration 
shall transfer $1,600,000 of 
contributed capital from the computer 
services internal service fund to the 
general fund by June 30, 1991.  
 The commissioner of administration is 
directed to review existing general 
fund project accounts for repairs and 
betterments.  The commissioner shall 
cancel unobligated funding no longer 
required for specific projects and 
transfer $600,000 to the general fund 
by June 30, 1991. 
(d) Employee Relations 
 The commissioner of employee relations 
is directed to accelerate scheduled 
loan repayments to the general fund 
from the workers' compensation special 
fund by $400,000 for fiscal year 1991. 
(e) Trade and Economic Development                     (549,000)
 The unobligated balance in the capital 
access account in the special revenue 
fund authorized under Minnesota 
Statutes, section 116J.876, subdivision 
4, shall be transferred to the general 
fund by June 30, 1991.  This balance is 
estimated at $500,000.  
 The remaining unobligated balance in 
Laws 1984, chapter 502, article 5, 
section 19, for plant construction and 
expansion grants, shall cancel to the 
general fund. This unobligated balance 
is estimated to be $1,889,000. 
 The remaining unobligated balance in 
Laws 1987, chapter 404, section 26, 
subdivision 6, Community Development, 
in the general fund and economic 
development fund shall cancel to the 
general fund.  It is estimated these 
unobligated balances total $750,000. 
 The remaining unobligated balances in 
Laws 1989, chapter 335, article 1, 
section 25, subdivisions 4, Tourism, 
and 6, Community Development, shall 
cancel to the general fund.  It is 
estimated that this balance is 
$498,000, of which $488,000 will be 
shown as a prior year adjustment and 
$10,000 will be shown as a current year 
cancellation. 
(f) Housing Finance                                    (600,000)
 This amount shall be transferred from 
the housing development fund to the 
general fund. 
(g) Military Affairs                                   
(1) Enlistment Incentives Program                      (345,000)
(2) Military Land Fund                                 (100,000)
(3) Military Forces Emergency Fund                      (13,000)
Sec. 3.  HIRING AND PROCUREMENT FREEZE 
 It is estimated that the hiring and 
procurement freeze imposed by emergency 
executive order number 91-2 will result 
in increased cancellations to the 
general fund of $5,151,000. 
    Sec. 4.  [VOLUNTARY UNPAID LEAVE OF ABSENCE.] 
    Appointing authorities in the executive branch of state 
government shall encourage each employee to take an unpaid leave 
of absence for up to 160 hours during the period ending June 30, 
1991.  Each appointing authority approving such a leave shall 
allow the employee to continue accruing vacation and sick leave, 
be eligible for paid holidays and insurance benefits, accrue 
seniority, and accrue service credit in state retirement plans 
permitting service credits for authorized leaves of absence as 
if the employee had actually been employed during the time of 
the leave.  If the leave of absence is for one full pay period 
or longer, any holiday pay shall be included in the first 
payroll warrant after return from the leave of absence.  The 
appointing authority shall attempt to grant requests for unpaid 
leaves of absence consistent with the need to continue efficient 
operation of the agency.  However, each appointing authority 
shall retain discretion to grant or refuse to grant requests for 
leaves of absence and to schedule and cancel leaves, subject to 
applicable provisions of collective bargaining agreements and 
compensation plans.  Approval of leave under this section shall 
be given by the appointing authority in writing, with a copy to 
the commissioner of finance, who shall reduce the agency's 
allotments by the amount of the resulting savings.  It is 
estimated that this option for employees will result in general 
fund savings of $1,270,000 by June 30, 1991. 
    Sec. 5.  Minnesota Statutes 1990, section 16B.70, 
subdivision 1, is amended to read: 
    Subdivision 1.  [COMPUTATION.] To defray the costs of 
administering sections 16B.59 to 16B.73, a surcharge is imposed 
on all permits issued by municipalities in connection with the 
construction of or addition or alteration to buildings and 
equipment or appurtenances after June 30, 1971, as follows:  
     If the fee for the permit issued is fixed in amount the 
surcharge is equivalent to one-half mill (.0005) of the fee or 
50 cents, whichever amount is greater.  For all other permits, 
the surcharge is as follows:  (1) if the valuation of the 
structure, addition, or alteration is $1,000,000 or less, the 
surcharge is equivalent to one-half mill (.0005) of the 
valuation of the structure, addition, or alteration; (2) if the 
valuation is greater than $1,000,000, the surcharge is $500 plus 
two-fifths mill (.0004) of the value between $1,000,000 and 
$2,000,000; (3) if the valuation is greater than $2,000,000, the 
surcharge is $900 plus three-tenths mill (.0003) of the value 
between $2,000,000 and $3,000,000; (4) if the valuation is 
greater than $3,000,000, the surcharge is $1,200 plus one-fifth 
mill (.0002) of the value between $3,000,000 and $4,000,000; (5) 
if the valuation is greater than $4,000,000, the surcharge is 
$1,400 plus one-tenth mill (.0001) of the value between 
$4,000,000 and $5,000,000; and (6) if the valuation exceeds 
$5,000,000, the surcharge is $1,500 plus one-twentieth mill 
(.00005) of the value that exceeds $5,000,000.  
    By September 1 of each odd-numbered year, the commissioner 
shall rebate to municipalities any money received under this 
section and section 16B.62 in the previous biennium in excess of 
the cost to the building code division in that biennium of 
carrying out its duties under sections 16B.59 to 16B.73.  The 
rebate to each municipality must be in proportion to the amount 
of the surcharges collected by that municipality and remitted to 
the state.  The amount necessary to meet the commissioner's 
rebate obligations under this subdivision is appropriated to the 
commissioner from the general fund. 
    Sec. 6.  [EFFECTIVE DATE.] 
    Sections 1 to 5 are effective the day following final 
enactment, unless otherwise specified. 

                                ARTICLE 8

                               LOCAL AIDS
    Section 1.  Minnesota Statutes 1990, section 477A.011, is 
amended by adding a subdivision to read: 
    Subd. 2a.  [SPECIAL TAXING DISTRICT.] "Special taxing 
district" means a political subdivision with the authority to 
levy property taxes, other than a city, county, town, or school 
district. 
    Sec. 2.  Minnesota Statutes 1990, section 477A.011, 
subdivision 27, is amended to read: 
    Subd. 27.  [REVENUE BASE.] "Revenue base" means the amount 
levied for taxes payable in 1990 less the special levies under 
section 275.50, subdivision 5, clause (u) 1991, including the 
levy on the fiscal disparity distribution under section 473F.08, 
subdivision 3, paragraph (a), and before reduction for the 
homestead and agricultural credit aid under section 273.1398, 
subdivision 2, equalization aid under section 477A.013, 
subdivision 5, and disparity reduction aid under section 
273.1398, subdivision 3; plus the local government aid under 
sections 477A.011; 477A.012, subdivisions 1 and, 3, and 5, 
determined without regard to subdivision 2; and 477A.013, 
subdivisions 1, 3 and, 6, and 7; and the estimated taconite aids 
used to determine levy limits for taxes payable in 1990 1991 
under section 275.51, subdivision 3i. 
    Sec. 3.  Minnesota Statutes 1990, section 477A.011, 
subdivision 28, is amended to read: 
    Subd. 28.  [REDUCTION PERCENTAGE.] "Reduction 
percentage" is means the equal percentage reduction in each 
county and city revenue base that is was necessary to reduce 
1990 aid payments by $28,000,000 under sections 477A.012, 
subdivision 5, and 477A.013, subdivision 7, and, in addition, 
the equal percentage reduction in each county, city, town, and 
special taxing district revenue base that is necessary to reduce 
1991 aid payments under sections 477A.012, subdivisions 1, 3, 
and 5; 477A.013, subdivisions 1, 3, 5, 6, and 7; and 273.1398, 
subdivisions 2 and 3, by a combined amount of $50,000,000. 
    Sec. 4.  Minnesota Statutes 1990, section 477A.012, 
subdivision 1, is amended to read: 
    Subdivision 1.  [AID AMOUNT.] In calendar year 1990, each 
county government shall receive a distribution equal to the aid 
amount certified for 1987 pursuant to this subdivision.  Except 
as provided in subdivision 6, in calendar year 1991 and 
subsequent years, each county government shall receive a 
distribution equal to the aid amount it received in 1990 under 
this subdivision less the reduction made under subdivision 5. 
    Sec. 5.  Minnesota Statutes 1990, section 477A.012, is 
amended by adding a subdivision to read: 
    Subd. 6.  [1991 COUNTY AID ADJUSTMENT.] A county's July 20, 
1991 payment of local government aid and homestead and 
agricultural credit aid is reduced by the product of its revenue 
base and the reduction percentage.  The aid reduction is first 
applied to a county's local government aid in its scheduled July 
20, 1991 aid payment.  If the aid reduction is greater than the 
local government aid amount in its scheduled July 20, 1991 aid 
payment, the remaining amount is then applied to the county's 
homestead and agricultural credit aid, and then, if necessary, 
to its disparity reduction aid.  The July 20, 1991 local 
government aid, homestead and agricultural credit aid, and 
disparity reduction aid payment to a county after this reduction 
cannot be less than $0. 
    Sec. 6.  Minnesota Statutes 1990, section 477A.013, 
subdivision 1, is amended to read: 
    Subdivision 1.  [TOWNS.] In calendar year 1989, each town 
that had levied for taxes payable in 1988 at least one mill on 
the dollar of the assessed value of the town shall receive a 
distribution equal to 106 percent of the distribution received 
under Minnesota Statutes 1987 Supplement, section 477A.013, 
subdivision 1, in 1988.  In calendar year 1990, each town that 
had levied for taxes payable in the prior year a local tax rate 
of at least .008 shall receive a distribution equal to 106 
percent of the amount received in 1989 under this 
subdivision.  Except as provided in subdivision 8, in calendar 
year 1991 and subsequent years, each town that had levied for 
taxes payable in the prior year a local tax rate of at least 
.008 shall receive a distribution equal to the amount it 
received in 1990 under this subdivision less the amount deducted 
in 1989 under subdivision 6. 
    Sec. 7.  Minnesota Statutes 1990, section 477A.013, 
subdivision 3, is amended to read: 
    Subd. 3.  [CITY AID DISTRIBUTION.] In 1989, a city whose 
initial aid is greater than $0 will receive the following aid 
increases in addition to an amount equal to the local government 
aid it received in 1988 under Minnesota Statutes 1987 
Supplement, section 477A.013: 
    (1) for a city whose expenditure/unlimited aid ratio is at 
least 1.5, two percent of city revenue; 
    (2) for a city whose expenditure/unlimited aid ratio is at 
least 1.4 but less than 1.5, 2.5 percent of city revenue; 
    (3) for a city whose expenditure/unlimited aid ratio is at 
least 1.3 but less than 1.4, three percent of city revenue; 
    (4) for a city whose expenditure/unlimited aid ratio is at 
least 1.2 but less than 1.3, four percent of city revenue; 
    (5) for a city whose expenditure/unlimited aid ratio is at 
least 1.1 but less than 1.2, five percent of city revenue; 
    (6) for a city whose expenditure/unlimited aid ratio is at 
least 1.05 but less than 1.1, six percent of city revenue; 
     (7) for a city whose expenditure/unlimited aid ratio is at 
least 1.0 but less than 1.05, seven percent of city revenue; 
    (8) for a city whose expenditure/unlimited aid ratio is at 
least .95 but less than 1.0, 7.5 percent of city revenue; 
    (9) for a city whose expenditure/unlimited aid ratio is at 
least .75 but less than .95, 8.5 percent of city revenue; and 
    (10) for a city whose expenditure/unlimited aid ratio is 
less than .75, nine percent of city revenue.  
    In 1990, a city whose initial aid is greater than $0 will 
receive an amount equal to the aid it received under this 
section in the year prior to that for which aids are being 
calculated plus an aid increase equal to 50 percent of the rates 
listed in clauses (1) to (10) multiplied by city revenue. 
    In 1991 and subsequent years, a city will receive an amount 
equal to the local government aid it received under this section 
in the previous year except as provided in subdivision 8. 
    A city's aid increase under this subdivision is limited to 
the lesser of (1) 20 percent of its levy for taxes payable in 
the year prior to that for which aids are being calculated, or 
(2) its initial aid amount, or (3) 15 percent of the total local 
government aid amount received under this section in the 
previous year, provided that no city will receive an increase 
that is less than two percent of its 1989 local government aid 
for aids payable in 1990. 
    A city whose initial aid is $0 will receive in 1990 an 
amount equal to 102 percent of the local government aid it 
received in 1989 under Minnesota Statutes 1988, section 
477A.013.  A city whose initial aid is $0 will receive in 1991 
an amount equal to the aid it received in the previous year 
under this section.  For purposes of this subdivision, the term 
"local government aid" does not include equalization aid amounts 
under subdivision 5. 
    Sec. 8.  Minnesota Statutes 1990, section 477A.013, is 
amended by adding a subdivision to read: 
    Subd. 8.  [1991 CITY, OR TOWN AID ADJUSTMENT.] A city or 
town's July 20, 1991 payment of local government aid, 
equalization aid, homestead and agricultural credit aid, and 
disparity reduction aid is reduced by the product of its revenue 
base, and the reduction percentage, as determined in section 
477A.011, subdivision 28.  The aid reduction is first applied to 
a city or town's local government aid amount in its scheduled 
July 20, 1991 aid payment.  If the aid reduction is greater than 
the local government aid amount in its scheduled July 20, 1991 
aid payment, the remaining amount is then applied to the city or 
town's equalization aid, and then, if necessary, to its 
homestead and agricultural credit aid, and then, if necessary, 
to its disparity reduction aid.  The July 20, 1991 local 
government aid, equalization aid, homestead and agricultural 
credit aid, and disparity reduction aid payment to a city or 
town after this reduction cannot be less than $0. 
    Sec. 9.  [477A.0135] [SPECIAL TAXING DISTRICTS; 1991 AID 
REDUCTION.] 
    A special taxing district's July 20, 1991 payment of 
homestead and agricultural credit aid, and disparity reduction 
aid is reduced by the product of its revenue base and the 
reduction percentage, as determined in section 477A.011, 
subdivision 28.  The aid reduction is first applied to a special 
taxing district's homestead and agricultural credit aid amount 
in its scheduled July 20, 1991 aid payment.  If the aid 
reduction is greater than the homestead and agricultural credit 
aid amount in its scheduled July 20, 1991 aid payment, the 
remaining amount is then applied to the special taxing 
district's disparity reduction aid.  The July 20, 1991 homestead 
and agricultural credit aid and disparity reduction aid payment 
to a special taxing district after this reduction cannot be less 
than $0. 
    Sec. 10.  Minnesota Statutes 1990, section 477A.014, 
subdivision 1, is amended to read: 
    Subdivision 1.  [CALCULATIONS AND PAYMENTS.] The 
commissioner of revenue shall make all necessary calculations 
and make payments pursuant to sections 477A.012, 477A.013, and 
477A.03 directly to the affected taxing authorities annually.  
In addition, the commissioner shall notify the authorities of 
their aid amounts, as well as the computational factors used in 
making the calculations for their authority, and those statewide 
total figures that are pertinent, before August 15 of the year 
preceding the aid distribution year, except that for aid payable 
in 1990 the commissioner of revenue must notify the authorities 
of their aid amounts as well as the computational factors used 
in the calculation before October 23, 1989.  The commissioner 
shall reduce the July 20, 1991, payment of local government aid, 
equalization aid, homestead and agricultural credit aid, and 
disparity reduction aid to counties, cities, towns, and special 
taxing districts by a combined amount of $50,000,000. 
    Sec. 11.  [EFFECTIVE DATE.] 
    Sections 1 to 10 are effective the day following final 
enactment, unless otherwise specified. 
    Presented to the governor January 30, 1991 
    Signed by the governor January 30, 1991, 10:50 a.m.