Office of the Revisor of Statutes
Minnesota Session Laws - 1992, Regular Session
Key: (1) language to be deleted (2) new language
Laws of Minnesota 1992
CHAPTER 587-S.F.No. 2213
An act relating to commerce; regulating bank charters,
the purchase and sale of property, relocations, loans,
detached facilities, capital and surplus requirements,
and clerical services; regulating the report and audit
schedules and account insurance of credit unions;
authorizing certain financial institution closings;
regulating business changes of industrial loan and
thrifts; regulating business changes, license
requirements, loan security, and interest rates of
regulated lenders; providing special corporate voting
and notice provisions for banking corporations;
requiring additional information on financing and
continuation statements; regulating state
depositories; regulating investments in share
certificates; authorizing the establishment of
additional detached facilities in the cities of
Duluth, Dover, Millville, and New Scandia; modifying
real estate appraiser requirements; amending Minnesota
Statutes 1990, sections 9.031, by adding a
subdivision; 46.041, subdivision 4; 46.044; 46.047,
subdivision 2; 46.048, subdivision 3; 46.07,
subdivision 2; 47.015, by adding a subdivision; 47.10;
47.101, subdivision 3; 47.20, subdivisions 2, 4a, and
5; 47.54; 47.55; 48.02; 48.89, subdivision 5; 49.34,
subdivision 2; 52.06, subdivision 1; 52.24,
subdivision 1; 53.03, subdivision 5; 53.09,
subdivision 2; 56.04; 56.07; 56.12; 56.131,
subdivision 4; 82B.13, as amended; 300.23; 300.52,
subdivision 1; 332.13, subdivision 2; 336.9-402;
336.9-403; Minnesota Statutes 1991 Supplement,
sections 11A.24, subdivision 4; 48.512, subdivision 4;
82B.11, subdivisions 3 and 4; and 82B.14; repealing
Minnesota Statutes 1990, section 48.03, subdivisions 4
and 5.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
FINANCIAL INSTITUTIONS
Section 1. Minnesota Statutes 1990, section 46.041,
subdivision 4, is amended to read:
Subd. 4. [HEARING.] In any case in which the commissioner
grants a request for a hearing, the commissioner shall fix a
time for a hearing conducted pursuant to chapter 14 to decide
whether or not the application will be granted. A notice of the
hearing must be published by the applicant in the form
prescribed by the commissioner in a newspaper published in the
municipality in which the proposed bank is to be located, and if
there is no such newspaper, then at the county seat of the
county in which the bank is proposed to be located. The notice
must be published once, at the expense of the applicants, not
less than 30 days prior to the date of the hearing. At the
hearing the commissioner shall consider the application and hear
the applicants and witnesses that appear in favor of or against
the granting of the application of the proposed bank. If an
application is contested, 50 percent of an additional fee equal
to the actual costs incurred by the department of commerce in
approving or disapproving the application, payable to the state
treasurer and credited by the treasurer to department of
commerce to be deposited in the general fund, must be paid by
the applicant and 50 percent equally by the intervening parties.
Sec. 2. Minnesota Statutes 1990, section 46.044, is
amended to read:
46.044 [CHARTERS ISSUED, CONDITIONS.]
If (1) the applicants are of good moral character and
financial integrity, (2) there is a reasonable public demand for
this bank in this location, (3) the organization expenses being
paid by the subscribing shareholders bank do not exceed the
necessary legal expenses incurred in drawing incorporation
papers and the publication and the recording thereof, as
required by law those allowed by section 46.043, (4) the
probable volume of business in this location is sufficient to
insure and maintain the solvency of the new bank and the
solvency of the then existing bank or banks in the locality
without endangering the safety of any bank in the locality as a
place of deposit of public and private money, (5) the
commissioner of commerce is satisfied that the proposed bank
will be properly and safely managed, and (6) the applicant, if
it is an interstate bank holding company, as defined in section
48.92, has provided developmental loans as required by section
48.991, and has complied with the net new funds reporting
requirements of section 48.93, the application must be granted;
otherwise it must be denied. In case of the denial of the
application, the commissioner of commerce shall specify the
grounds for the denial. A person aggrieved, may obtain judicial
review of the determination in accordance with chapter 14.
Sec. 3. Minnesota Statutes 1990, section 46.047,
subdivision 2, is amended to read:
Subd. 2. [BANKING INSTITUTION.] The term "banking
institution" means a bank, trust company, bank and trust
company, mutual savings bank, or thrift institution, that is
organized under the laws of this state, or a holding company
which owns or otherwise controls the banking institution.
Sec. 4. Minnesota Statutes 1990, section 46.048,
subdivision 3, is amended to read:
Subd. 3. [BACKGROUND CHECKS.] In addition to any other
information the commissioner may be able to obtain pursuant to
section 13.82, the Minnesota bureau of criminal apprehension
shall, upon the commissioner's request, provide fingerprint and
background checks on all persons named in the notice required by
subdivision 2 and is authorized to exchange fingerprints with
the federal bureau of investigation for the purpose of a
criminal background check of the national files.
Sec. 5. Minnesota Statutes 1990, section 46.07,
subdivision 2, is amended to read:
Subd. 2. [CONFIDENTIAL RECORDS.] The commissioner shall
divulge facts and information obtained in the course of
examining financial institutions under the commissioner's
supervision only when and to the extent required or permitted by
law to report upon or take special action regarding the affairs
of an institution, or ordered by a court of law to testify or
produce evidence in a civil or criminal proceeding, except that
the commissioner may furnish information as to matters of mutual
interest to an official or examiner of the federal reserve
system, the Federal Deposit Insurance Corporation, the Federal
Savings and Loan Insurance Corporation federal office of thrift
supervision, the federal home loan bank system, the National
Credit Union Administration, comptroller of the currency, a
legally constituted state credit union share insurance
corporation approved under section 52.24, the issuer of a
commitment for insurance or guarantee of the certificates of an
industrial loan and thrift company approved under section 53.10,
or state and federal law enforcement agencies. The commissioner
shall not be required to disclose the name of a debtor of a
financial institution under the commissioner's supervision, or
anything relative to the private accounts, ownership, or
transactions of an institution, or any fact obtained in the
course of an examination thereof, except as herein provided.
For purposes of this subdivision, a subpoena is not an order of
a court of law. These records are classified confidential or
protected nonpublic for purposes of the Minnesota government
data practices act and their destruction, as prescribed in
section 46.21, is exempt from the provisions of chapter 138 and
Laws 1971, chapter 529, so far as their deposit with the state
archives.
Sec. 6. Minnesota Statutes 1990, section 47.015, is
amended by adding a subdivision to read:
Subd. 4. [PERMISSIVE CLOSING ON GOOD FRIDAY.] A financial
institution may close for up to three hours on Good Friday. The
financial institution shall post on its premises a written
notice of the closing.
Sec. 7. Minnesota Statutes 1990, section 47.10, is amended
to read:
47.10 [REAL ESTATE; ACQUISITION, HOLDING.]
Subdivision 1. [AUTHORITY, APPROVAL, LIMITATIONS.] (a)
Except as otherwise specially provided, the net book value of
land and buildings for the transaction of the business of the
corporation, including parking lots and premises leased to
others, shall not be more than as follows:
(1) for a bank, trust company or stock savings association,
if investment is for acquisition and improvements to establish a
new bank, or is for improvements to existing property or
acquisition and improvements to adjacent property, approval by
the commissioner of commerce is not required if the total
investment does not exceed 50 percent of its existing capital
stock and paid-in surplus. Upon written prior approval of the
commissioner of commerce, a bank, trust company or stock savings
association may invest in the property and improvements in
clause (1) or for acquisition of nonadjacent property for
expansion or future use, if the aggregate of all such
investments does not exceed 75 percent of its existing capital
stock and paid-in surplus;
(2) for a savings bank, 50 percent of its net surplus;
(3) for a mutual building and loan association, five
percent of its net assets.
(b) For purposes of this subdivision, an intervening
highway, street, road, alley, other public thoroughfare, or
easement of any kind does not cause two parcels of real property
to be nonadjacent.
Subd. 2. [BOOKS AND RECORDS.] With the exception of annual
amortization charges which are made in accordance with generally
accepted accounting principles, no state bank, trust company,
savings bank, or building and loan association shall decrease
the actual cost of the investment as shown on its books by a
charge to any of its capital accounts unless approved by the
commissioner.
Subd. 3. [LEASEHOLD PLACE OF BUSINESS; APPROVAL OF CERTAIN
LEASE AGREEMENTS.] No bank, trust company, savings bank, or
building and loan association may acquire real property and
improvements of any nature to it for its place of business by
lease agreement if the lessor has an existing direct or indirect
interest in the management or ownership of the bank, trust
company, savings bank, or building and loan association without
prior written approval by the commissioner. This includes
subsequent amendments and associated leasehold improvements.
Subd. 4. [APPROVAL OF CERTAIN INSIDER AGREEMENTS.] No
bank, trust company, savings bank, or savings association may
purchase or sell real property, personal property, improvements
or equipment of a value of $25,000 or more if the purchaser or
seller other than the bank, trust company, savings bank, or
savings association has an existing direct or indirect interest
in the institution without prior written approval by the
commissioner. Each bank, trust company, savings bank, or
savings association must maintain documentation of transactions
with interested parties, including personal property leases and
purchases or sales of under $25,000, which demonstrates the
commercial reasonableness and fair market value of the
transaction.
Sec. 8. Minnesota Statutes 1990, section 47.101,
subdivision 3, is amended to read:
Subd. 3. [APPLICATIONS TO DEPARTMENT OF COMMERCE.] An
application by a banking institution to relocate its main office
outside a radius of three miles measured in a straight line, or
referred from the commissioner of commerce pursuant to
subdivision 2, shall be approved or disapproved by the
commissioner of commerce as provided for in sections 46.041 and
46.044.
Sec. 9. Minnesota Statutes 1990, section 47.20,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] For the purposes of this section
the terms defined in this subdivision have the meanings given
them:
(1) "Actual closing costs" mean reasonable charges for or
sums paid for the following, whether or not retained by the
mortgagee or lender:
(a) Any insurance premiums including but not limited to
premiums for title insurance, fire and extended coverage
insurance, flood insurance, and private mortgage insurance, but
excluding any charges or sums retained by the mortgagee or
lender as self-insured retention.
(b) Abstracting, title examination and search, and
examination of public records.
(c) The preparation and recording of any or all documents
required by law or custom for closing a conventional or
cooperative apartment loan.
(d) Appraisal and survey of real property securing a
conventional loan or real property owned by a cooperative
apartment corporation of which a share or shares of stock or a
membership certificate or certificates are to secure a
cooperative apartment loan.
(e) A single service charge, which includes any
consideration, not otherwise specified herein as an "actual
closing cost" paid by the borrower and received and retained by
the lender for or related to the acquisition, making,
refinancing or modification of a conventional or cooperative
apartment loan, and also includes any consideration received by
the lender for making a borrower's interest rate commitment or
for making a borrower's loan commitment, whether or not an
actual loan follows the commitment. The term service charge
does not include forward commitment fees. The service charge
shall not exceed one percent of the original bona fide principal
amount of the conventional or cooperative apartment loan, except
that in the case of a construction loan, the service charge
shall not exceed two percent of the original bona fide principal
amount of the loan. That portion of the service charge imposed
because the loan is a construction loan shall be itemized and a
copy of the itemization furnished the borrower. A lender shall
not collect from a borrower the additional one percent service
charge permitted for a construction loan if it does not perform
the service for which the charge is imposed or if third parties
perform and charge the borrower for the service for which the
lender has imposed the charge.
(f) Charges and fees necessary for or related to the
transfer of real or personal property securing a conventional or
cooperative apartment loan or the closing of a conventional or
cooperative apartment loan paid by the borrower and received by
any party other than the lender.
(2) "Contract for deed" means an executory contract for the
conveyance of real estate, the original principal amount of
which is less than $100,000. A commitment for a contract for
deed shall include an executed purchase agreement or earnest
money contract wherein the seller agrees to finance any part or
all of the purchase price by a contract for deed.
(3) "Conventional loan" means a loan or advance of credit,
other than a loan or advance of credit made by a credit union or
made pursuant to section 334.011, to a noncorporate borrower in
an original principal amount of less than $100,000, secured by a
mortgage upon real property containing one or more residential
units or upon which at the time the loan is made it is intended
that one or more residential units are to be constructed, and
which is not insured or guaranteed by the secretary of housing
and urban development, by the administrator of veterans affairs,
or by the administrator of the farmers home administration, and
which is not made pursuant to the authority granted in
subdivision 1, clause (3) or (4). The term mortgage does not
include contracts for deed or installment land contracts.
(4) "Cooperative apartment loan" means a loan or advance of
credit, other than a loan or advance of credit made by a credit
union or made pursuant to section 334.011, to a noncorporate
borrower in an original principal amount of less than $100,000,
secured by a security interest on a share or shares of stock or
a membership certificate or certificates issued to a stockholder
or member by a cooperative apartment corporation, which may be
accompanied by an assignment by way of security of the
borrower's interest in the proprietary lease or occupancy
agreement in property issued by the cooperative apartment
corporation and which is not insured or guaranteed by the
secretary of housing and urban development, by the administrator
of veterans affairs, or by the administrator of the farmers home
administration.
(5) "Cooperative apartment corporation" means a corporation
or cooperative organized under chapter 308A or 317A, the
shareholders or members of which are entitled, solely by reason
of their ownership of stock or membership certificates in the
corporation or association, to occupy one or more residential
units in a building owned or leased by the corporation or
association.
(6) "Forward commitment fee" means a fee or other
consideration paid to a lender for the purpose of securing a
binding forward commitment by or through the lender to make
conventional loans to two or more credit worthy purchasers,
including future purchasers, of residential units, or a fee or
other consideration paid to a lender for the purpose of securing
a binding forward commitment by or through the lender to make
conventional loans to two or more credit worthy purchasers,
including future purchasers, of apartments as defined in section
515.02 to be created out of existing structures pursuant to the
Minnesota condominium act, or a fee or other consideration paid
to a lender for the purpose of securing a binding forward
commitment by or through the lender to make cooperative
apartment loans to two or more credit worthy purchasers,
including future purchasers, of a share or shares of stock or a
membership certificate or certificates in a cooperative
apartment corporation; provided, that the forward commitment
rate of interest does not exceed the maximum lawful rate of
interest effective as of the date the forward commitment is
issued by the lender.
(7) "Borrower's interest rate commitment" means a binding
commitment made by a lender to a borrower wherein the lender
agrees that, if a conventional or cooperative apartment loan is
made following issuance of and pursuant to the commitment, the
conventional or cooperative apartment loan shall be made at a
rate of interest not in excess of the rate of interest agreed to
in the commitment, provided that the rate of interest agreed to
in the commitment is not in excess of the maximum lawful rate of
interest effective as of the date the commitment is issued by
the lender to the borrower.
(8) "Borrower's loan commitment" means a binding commitment
made by a lender to a borrower wherein the lender agrees to make
a conventional or cooperative apartment loan pursuant to the
provisions, including the interest rate, of the commitment,
provided that the commitment rate of interest does not exceed
the maximum lawful rate of interest effective as of the date the
commitment is issued and the commitment when issued and agreed
to shall constitute a legally binding obligation on the part of
the mortgagee or lender to make a conventional or cooperative
apartment loan within a specified time period in the future at a
rate of interest not exceeding the maximum lawful rate of
interest effective as of the date the commitment is issued by
the lender to the borrower; provided that a lender who issues a
borrower's loan commitment pursuant to the provisions of a
forward commitment is authorized to issue the borrower's loan
commitment at a rate of interest not to exceed the maximum
lawful rate of interest effective as of the date the forward
commitment is issued by the lender.
(9) "Finance charge" means the total cost of a conventional
or cooperative apartment loan including extensions or grant of
credit regardless of the characterization of the same and
includes interest, finders fees, and other charges levied by a
lender directly or indirectly against the person obtaining the
conventional or cooperative apartment loan or against a seller
of real property securing a conventional loan or a seller of a
share or shares of stock or a membership certificate or
certificates in a cooperative apartment corporation securing a
cooperative apartment loan, or any other party to the
transaction except any actual closing costs and any forward
commitment fee. The finance charges plus the actual closing
costs and any forward commitment fee, charged by a lender shall
include all charges made by a lender other than the principal of
the conventional or cooperative apartment loan. The finance
charge, with respect to wraparound mortgages, shall be computed
based upon the face amount of the wraparound mortgage note,
which face amount shall consist of the aggregate of those funds
actually advanced by the wraparound lender and the total
outstanding principal balances of the prior note or notes which
have been made a part of the wraparound mortgage note.
(10) "Lender" means any person making a conventional or
cooperative apartment loan, or any person arranging financing
for a conventional or cooperative apartment loan. The term also
includes the holder or assignee at any time of a conventional or
cooperative apartment loan.
(11) "Loan yield" means the annual rate of return obtained
by a lender over the term of a conventional or cooperative
apartment loan and shall be computed as the annual percentage
rate as computed in accordance with sections 226.5 (b), (c), and
(d) of Regulation Z, Code of Federal Regulations, title 12,
section 226, but using the definition of finance charge provided
for in this subdivision. For purposes of this section, with
respect to wraparound mortgages, the rate of interest or loan
yield shall be based upon the principal balance set forth in the
wraparound note and mortgage and shall not include any interest
differential or yield differential between the stated interest
rate on the wraparound mortgage and the stated interest rate on
the one or more prior mortgages included in the stated loan
amount on a wraparound note and mortgage.
(12) "Monthly index of the federal home loan mortgage
corporation auction yields" means the net weighted average yield
of accepted offers in the eight month forward commitment program
of the federal home loan mortgage corporation in a month.
(13) "Person" means an individual, corporation, business
trust, partnership or association or any other legal entity.
(14) (13) "Residential unit" means any structure used
principally for residential purposes or any portion thereof, and
includes a unit in a townhouse or planned unit development, a
condominium apartment, a nonowner occupied residence, and any
other type of residence regardless of whether the unit is used
as a principal residence, secondary residence, vacation
residence, or residence of some other denomination.
(15) (14) "Vendor" means any person or persons who agree to
sell real estate and finance any part or all of the purchase
price by a contract for deed. The term also includes the holder
or assignee at any time of the vendor's interest in a contract
for deed.
Sec. 10. Minnesota Statutes 1990, section 47.20,
subdivision 4a, is amended to read:
Subd. 4a. [MAXIMUM INTEREST RATE.] (a) No conventional or
cooperative apartment loan or contract for deed shall be made at
a rate of interest or loan yield in excess of a maximum lawful
interest rate which shall be based upon the monthly index of the
federal home loan mortgage corporation auction yields as
compiled by the federal home loan mortgage corporation. The
maximum lawful interest rate shall be computed as follows:
(1) The maximum lawful rate of interest for a conventional
or cooperative apartment loan or contract for deed made or
contracted for during any calendar month is equal to the monthly
index of the federal home loan mortgage corporation auction
yields for the first preceding calendar month plus an additional
three-eighths of one percent per annum rounded off to the next
highest quarter of one percent per annum. in an amount equal to
the Federal National Mortgage Association posted yields on
30-year mortgage commitments for delivery within 60 days on
standard conventional fixed-rate mortgages published in the Wall
Street Journal for the last business day of the second preceding
month plus four percentage points.
(2) (b) On or before the last day of each month the
commissioner of commerce shall determine, based on available
statistics, the monthly index of the federal home loan mortgage
corporation auction yields for that calendar month and shall
determine the maximum lawful rate of interest for conventional
or cooperative apartment loans or contracts for deed for the
next succeeding month as defined in clause (1) paragraph (a),
and shall cause the maximum lawful rate of interest to be
published in a legal newspaper in Ramsey county on or before the
first day of each month or as soon thereafter as practicable and
in the state register on or before the last day of each month;
the maximum lawful rate of interest to be effective on the first
day of that month. If a federal home loan mortgage corporation
eight month forward commitment purchase program is not held in
any month, the maximum lawful rate of interest determined by the
commissioner of commerce pursuant to the last auction is the
maximum lawful rate of interest through the last day of the
month in which the next auction is held.
(3) (1) The maximum lawful interest rate applicable to a
cooperative apartment loan or contract for deed at the time the
loan or contract is made is the maximum lawful interest rate for
the term of the cooperative apartment loan or contract for
deed. Notwithstanding the provisions of section 334.01, a
cooperative apartment loan or contract for deed may provide, at
the time the loan or contract is made, for the application of
specified different consecutive periodic interest rates to the
unpaid principal balance, if no interest rate exceeds the
maximum lawful interest rate applicable to the loan or contract
at the time the loan or contract is made.
(4) (2) Contracts for deed executed pursuant to a
commitment for a contract for deed, or conventional or
cooperative apartment loans made pursuant to a borrower's
interest rate commitment or made pursuant to a borrower's loan
commitment, or made pursuant to a commitment for conventional or
cooperative apartment loans made upon payment of a forward
commitment fee including a borrower's loan commitment issued
pursuant to a forward commitment, which commitment provides for
consummation within some future time following the issuance of
the commitment may be consummated pursuant to the provisions,
including the interest rate, of the commitment notwithstanding
the fact that the maximum lawful rate of interest at the time
the contract for deed or conventional or cooperative apartment
loan is actually executed or made is less than the commitment
rate of interest, provided the commitment rate of interest does
not exceed the maximum lawful interest rate in effect on the
date the commitment was issued. The refinancing of (a) an
existing conventional or cooperative apartment loan, (b) a loan
insured or guaranteed by the secretary of housing and urban
development, the administrator of veterans affairs, or the
administrator of the farmers home administration, or (c) a
contract for deed by making a conventional or cooperative
apartment loan is deemed to be a new conventional or cooperative
apartment loan for purposes of determining the maximum lawful
rate of interest under this subdivision. The renegotiation of a
conventional or cooperative apartment loan or a contract for
deed is deemed to be a new loan or contract for deed for
purposes of clause (3) (1) and for purposes of determining the
maximum lawful rate of interest under this subdivision. A
borrower's interest rate commitment or a borrower's loan
commitment is deemed to be issued on the date the commitment is
hand delivered by the lender to, or mailed to the borrower. A
forward commitment is deemed to be issued on the date the
forward commitment is hand delivered by the lender to, or mailed
to the person paying the forward commitment fee to the lender,
or to any one of them if there should be more than one. A
commitment for a contract for deed is deemed to be issued on the
date the commitment is initially executed by the contract for
deed vendor or the vendor's authorized agent.
(5) (3) A contract for deed executed pursuant to a
commitment for a contract for deed, or a loan made pursuant to a
borrower's interest rate commitment, or made pursuant to a
borrower's loan commitment, or made pursuant to a forward
commitment for conventional or cooperative apartment loans made
upon payment of a forward commitment fee including a borrower's
loan commitment issued pursuant to a forward commitment at a
rate of interest not in excess of the rate of interest
authorized by this subdivision at the time the commitment was
made continues to be enforceable in accordance with its terms
until the indebtedness is fully satisfied.
Sec. 11. Minnesota Statutes 1990, section 47.20,
subdivision 5, is amended to read:
Subd. 5. (a) No conventional loan or loan authorized in
subdivision 1 made on or after the effective date of Laws 1977,
chapter 350 shall contain a provision requiring or permitting
the imposition of a penalty in the event the loan or advance of
credit is prepaid.
(b) A precomputed conventional loan or precomputed loan
authorized in subdivision 1 shall provide for a refund of the
precomputed finance charge according to the actuarial method if
the loan is paid in full by cash, renewal or refinancing, or a
new loan, one month or more before the final installment due
date. The actuarial method for the purpose of this section is
the amount of interest attributable to each fully unexpired
monthly installment period of the loan contract following the
date of prepayment in full, calculated as if the loan was made
on an interest-bearing basis at the rate of interest provided
for in the note based on the assumption that all payments were
made according to schedule. A precomputed loan for the purpose
of this section means a loan for which the debt is expressed as
a sum comprised of the principal amount and the amount of
interest for the entire term of the loan computed actuarially in
advance on the assumption that all scheduled payments will be
made when due, and does not include a loan for which interest is
computed from time to time by application of a rate to the
unpaid principal balance, interest-bearing loans, or
simple-interest loans. For the purpose of calculating a refund
for precomputed loans under this section, any portion of the
finance charge for extending the first payment period beyond one
month may be ignored. Nothing in this section shall be
considered a limitation on discount points or other finance
charges charged or collected in advance, and nothing in this
section shall require a refund of the charges in the event of
prepayment. Nothing in this section shall be considered to
supersede section 47.204.
Sec. 12. Minnesota Statutes 1990, section 47.54, is
amended to read:
47.54 [NOTICES AND APPROVAL PROCEDURES.]
Subdivision 1. [APPLICATION.] Any bank desiring to
establish a detached facility shall execute and acknowledge a
written application in the form prescribed by the commissioner
and shall file the application in the commissioner's office with
a fee of $500. If an application is contested, 50 percent of an
additional fee equal to the actual costs incurred by the
commissioner in approving or disapproving the application,
payable to the state treasurer and credited by the treasurer to
the general fund, shall be paid by the applicant and 50 percent
equally by the intervening parties. The applicant shall within
30 days of the receipt of the form prescribed by the
commissioner publish a notice of the filing of the application
in a qualified newspaper published in the municipality in which
the proposed detached facility is to be located, and if there is
no such newspaper, then in a qualified newspaper likely to give
notice in the municipality in which the proposed detached
facility is to be located. In addition to the publication, the
applicant must mail a copy of the notice by certified mail to
every bank located within three miles of the proposed location
of the detached facility, measured in the manner provided in
section 47.52.
Subd. 2. [APPROVAL ORDER.] If no objection is received by
the commissioner within 21 days after the publication and
mailing of the notices, the commissioner shall issue an order
approving the application without a hearing if it is found that
(a) the applicant bank meets current industry standards of
capital adequacy, management quality, and asset condition, (b)
the establishment of the proposed detached facility will improve
the quality or increase the availability of banking services in
the community to be served, and (c) the establishment of the
proposed detached facility will not have an undue adverse effect
upon the solvency of existing financial institutions in the
community to be served. Otherwise, the commissioner shall deny
the application. Any proceedings for judicial review of an
order of the commissioner issued under this subdivision without
a contested case hearing shall be conducted pursuant to the
provisions of the administrative procedure act relating to
judicial review of agency decisions, sections 14.63 to 14.69,
and the scope of judicial review in such proceedings shall be as
provided therein. Nothing herein shall be construed as
requiring the commissioner to conduct a contested case hearing
if no written objection is timely received by the commissioner
from a bank within three miles of the proposed location of the
detached facility.
Subd. 3. [OBJECTIONS; HEARING.] If any bank within three
miles of the proposed location of the detached facility objects
in writing within 21 days, the commissioner shall fix a time,
within 60 days after filing of the objection, for a hearing, and
the record of the hearing shall be considered by the
commissioner in deciding whether or not the application shall be
granted. A notice of the hearing shall be published in the form
prescribed by the commissioner in a newspaper as described in
subdivision 1, at the expense of the applicant, not less than 30
days prior to the date of the hearing. At the hearing the
commissioner shall consider the application and hear the
applicant and any witnesses who may appear in favor of or
against the granting of the application. The hearing shall be
conducted by the commissioner in accordance with the provisions
of the administrative procedures act, sections 14.001 to 14.69,
governing contested cases, including the provisions of the act
relating to judicial review of agency decisions. consider the
objection. If the objection also requests a hearing, the
objector must include the nature of the issues or facts to be
presented and the reasons why written submissions would be
insufficient to make an adequate presentation to the
commissioner. Comments challenging the legality of an
application should be submitted separately in writing.
Written requests for hearing must be evaluated by the
commissioner who may grant or deny the request. A hearing must
generally be granted only if it is determined that written
submissions would be inadequate or that a hearing would
otherwise be beneficial to the decision-making process. A
hearing may be limited to issues considered material by the
commissioner.
If a request for a hearing has been denied, the
commissioner shall notify the applicant and all interested
persons stating the reasons for denial. Interested parties may
submit to the commissioner with simultaneous copies to the
applicant additional written comments on the application within
14 days after the date of the notice of denial. The applicant
shall be provided an additional seven days after the 14-day
deadline has expired within which to respond to any comments
submitted within the 14-day period. A copy of any response
submitted by the applicant shall also be mailed simultaneously
by the applicant to the interested parties. The commissioner
may waive the additional seven-day comment period if so
requested by the applicant.
Subd. 4. [HEARING.] In any case in which the commissioner
grants a request for a hearing, the commissioner shall fix a
time for a hearing conducted pursuant to chapter 14 to decide
whether or not the application will be granted. A notice of the
hearing must be published by the applicant in the form
prescribed by the commissioner in a newspaper published in the
municipality in which the proposed detached facility is to be
located, and if there is no such newspaper, then at the county
seat of the county in which the detached facility is proposed to
be located. The notice must be published once, at the expense
of the applicants, not less than 30 days prior to the date of
the hearing. At the hearing the commissioner shall consider the
application and hear the applicants and witnesses that appear in
favor of or against the granting of the application of the
proposed detached facility. If an application is contested and
a hearing is granted, 50 percent of an additional fee equal to
the actual costs incurred by the department of commerce in
approving or disapproving the application, payable to the
commissioner of commerce to be deposited in the general fund,
must be paid by the applicant and 50 percent equally by the
intervening parties.
Subd. 4 5. [DECISION AFTER HEARING.] If upon the hearing,
it appears to the commissioner that the requirements for
approval contained in subdivision 2 have been met, the
commissioner shall, not later than 90 days after the hearing,
issue an order approving the application. If the commissioner
shall decide that the application should not be granted, the
commissioner shall issue an order to that effect and forthwith
give notice by certified mail to the applicant.
Subd. 5 6. [EXPIRATION AND EXTENSION OF ORDER.] If a
facility is not activated within 18 months from the date of the
order, the approval order automatically expires. Upon request
of the applicant prior to the automatic expiration date of the
order, the commissioner may grant reasonable extensions of time
to the applicant to activate the facility as the commissioner
deems necessary. The extensions of time shall not exceed a
total of an additional 12 months. If the commissioner's order
is the subject of an appeal in accordance with chapter 14, the
time period referred to in this section for activation of the
facility and any extensions shall begin when all appeals or
rights of appeal from the commissioner's order have concluded or
expired.
Sec. 13. Minnesota Statutes 1990, section 47.55, is
amended to read:
47.55 [EXISTING FACILITY BANKING FACILITIES OR BRANCHES OF
SAVINGS ASSOCIATIONS.]
Subdivision 1. [BANKING FACILITIES IN OPERATION PRIOR TO
MAY 1, 1971.] A bank may retain and operate one detached
facility as it may have had in operation prior to May 1, 1971
without requirement of approval hereunder, provided that its
function is limited as provided in section 47.53 and its
location conforms with the provisions of section 47.52. A bank
having such a retained detached facility shall be limited to
operating two additional detached facilities.
Subd. 2. [FACILITIES OF BANKS OR BRANCHES OF SAVINGS
ASSOCIATIONS IN OPERATION PRIOR TO ACQUISITION.] The purchase of
assets and assumption of liabilities of an existing detached
facility of another bank or branch of a savings and loan
association or savings bank must follow the notice and approval
procedures in section 47.54 to establish and maintain a new
detached facility of the acquiring bank at that location but
need not obtain the consent of other banks as required by
section 47.52.
Sec. 14. Minnesota Statutes 1990, section 48.02, is
amended to read:
48.02 [CAPITAL AND SURPLUS; PREPAYMENT OF CAPITAL.]
The capital and surplus of every state bank hereafter
organized shall be at least $250,000. In addition thereto
undivided profits shall be provided for in such an amount as the
commissioner shall determine to be adequate under the
circumstances to avoid any possible impairment of capital and
surplus. The total of these outlays shall be known as capital
funds, and payment thereof shall be made in full, in cash or
authorized securities, deposited in an approved custodial bank,
and certified to the commissioner, under oath of the president,
and cashier or other chief financial officer, as well as the
custodial bank, before the proposed state bank shall be
authorized to commence business. The capital funds of a
proposed bank shall not be less than a total amount which the
commissioner considers necessary, having in mind the deposit
potential for such a proposed bank and current banking industry
standards of capital adequacy.
Sec. 15. Minnesota Statutes 1991 Supplement, section
48.512, subdivision 4, is amended to read:
Subd. 4. [IDENTIFICATION IS REQUIRED.] A financial
intermediary shall not open or authorize signatory power over a
transaction account if none of the applicants provides a
driver's license, identification card, or identification
document as required by subdivision 2. If the applicant
provides a driver's license or identification card issued under
section 171.07, the financial intermediary must confirm the
identification number and name on that card through the records
of the department of public safety. The financial intermediary
need not confirm this information if the checking account
applicant presents a driver's license impervious to alteration
as is reasonably practicable in the design and quality of
material and technology. The financial intermediary need not
confirm this information if an employee of the financial
intermediary has known the identity of the applicant for at
least one year prior to the time of the application, and the
employee provides a signed statement confirming that fact. When
a minor is the applicant and the minor does not have a driver's
license or identification card issued pursuant to section
171.07, the identification requirements of subdivision 2, clause
(g), and this subdivision are satisfied if the minor's parent or
guardian provides identification of that person's own that meets
the identification requirement. The financial intermediary may
waive the identification requirement if the applicant has had
another type of account with the financial intermediary for at
least one year immediately preceding the time of application.
Sec. 16. Minnesota Statutes 1990, section 48.89,
subdivision 5, is amended to read:
Subd. 5. No bank may cause to be performed, by contract or
otherwise, any clerical services for itself from a clerical
service corporation or any other person, whether on or off its
premises, unless assurances satisfactory to the commissioner are
furnished to the commissioner by both the bank and the party
performing such services that the performance thereof will be
subject to regulation and examination by the commissioner to the
same extent as if such services were being performed by the bank
itself on its own premises.
Sec. 17. Minnesota Statutes 1990, section 49.34,
subdivision 2, is amended to read:
Subd. 2. [ACQUISITION OF BANK OR SAVINGS ASSOCIATION FOR
OPERATION AS DETACHED FACILITY.] (a) Notwithstanding the
geographic limitations of subdivision 1, and the distance
limitations and consent requirements of section 47.52, a state
bank may apply to the commissioner, pursuant to the procedures
contained in sections 47.51 to 47.56 and 49.35 to 49.41, to
acquire another state bank or national banking association and
its detached facilities through merger, consolidation or
purchase of assets and assumption of liabilities and operate
them as detached facilities of the successor bank if the
operation of them otherwise conforms to the limitations of
section 47.52.
(b) In addition to the authority granted in paragraphs (a)
and (c), and notwithstanding the geographic limitations of
subdivision 1 and the limitations on number of facilities and
consent requirements contained in section 47.52, a state bank
whose main banking office is located within the county of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, or Washington may apply
to the commissioner, pursuant to the procedures contained in
sections 47.51 to 47.56 and 49.35 to 49.41, to acquire another
state bank or national banking association and its detached
facilities through merger, consolidation, or purchase of assets
and assumption of liabilities and operate them as detached
facilities of the successor bank if each resulting detached
facility is located within the county of Anoka, Carver, Dakota,
Hennepin, Ramsey, Scott, or Washington.
(c) Where the commissioner has determined that a merger,
consolidation or purchase of assets and assumption of
liabilities is necessary and in the public interest to prevent
the probable failure of a state bank or, national banking
association, or state or federal savings and loan association or
savings bank, the limitations on location and number of detached
facilities in section 47.52 shall not apply to the establishment
of a detached facility directly resulting from such
acquisition. The establishment of a detached facility in order
to prevent the a probable failure of a bank as provided in this
subdivision paragraph shall not require the written consent of
banks having a principal office in the municipality in which the
resulting detached facility will be located, notwithstanding the
provisions of section 47.52.
The consolidation or merger under this paragraph of a
capital stock savings and loan association or savings bank and a
bank shall be effected in the manner provided in sections 49.33
to 49.41. A savings and loan association or savings bank that
is a mutual association may be acquired directly under this
paragraph through the purchase of assets and assumption of
liabilities. A state bank acquiring a savings and loan
association or savings bank under this paragraph must, with the
approval of the commissioner of commerce, establish a reasonable
date by which the bank will cease all activities conducted by
the savings and loan association or savings bank that are not
authorized activities for the bank.
Sec. 18. Minnesota Statutes 1990, section 52.06,
subdivision 1, is amended to read:
Subdivision 1. [REPORT AND AUDIT SCHEDULE.] Credit unions
shall be under the supervision of the commissioner of commerce.
Each credit union shall annually, on or before January 25, file
a report with the commissioner of commerce on forms supplied by
the commissioner for that purpose giving such relevant
information as the commissioner may require concerning the
operations during the preceding calendar year. Additional
reports may be required. Credit unions shall be examined, at
least once every 18 calendar months, by the commissioner of
commerce, except that if a credit union requests, the
commissioner may accept the audit of a certified public
accountant in place of this examination. Such certified public
accountant must be approved by the commissioner. The
qualitative type of audit examination to be performed by the
certified public accountant shall be defined by rule and
approved by the commissioner. Further, in lieu of this
examination the commissioner may accept any examination made by
the National Credit Union Administration, provided a copy of the
examination is furnished to the commissioner. A report of the
examination by the commissioner of commerce shall be forwarded
to the president, or the chair of the board if the position is
so designated pursuant to section 52.09, subdivision 4, of the
examined credit union within 60 days after completion of the
examination. Within 60 days of the receipt of such report, a
general meeting of the directors and committees shall be called
to consider matters contained in the report. For failure to
file reports when due, unless excused for cause, the credit
union shall pay to the state treasurer $5 for each day of its
delinquency.
Sec. 19. Minnesota Statutes 1990, section 52.24,
subdivision 1, is amended to read:
Subdivision 1. [INSURANCE ACCOUNTS.] Every credit union
under the supervision of the commissioner of commerce shall at
all times maintain in effect insurance of member share and
deposit accounts under the provisions of title II of the
National Credit Union Act, or insurance from a legally
constituted credit union share insurance corporation. A credit
union which fails to meet this requirement for insurance of its
share and deposit accounts shall either dissolve or merge with
another credit union which is insured under title II of the
National Credit Union Act, or by a legally constituted credit
union share insurance corporation.
Sec. 20. Minnesota Statutes 1990, section 53.03,
subdivision 5, is amended to read:
Subd. 5. [PLACE OF BUSINESS.] Not more than one place of
business may be maintained under any certificate of
authorization issued subsequent to the enactment of Laws 1943,
chapter 67, pursuant to the provisions of this chapter, but the
department of commerce may issue more than one certificate of
authorization to the same corporation upon compliance with all
the provisions of this chapter governing an original issuance of
a certificate of authorization. To the extent that previously
filed applicable information remains unchanged, the applicant
need not refile this information, unless requested. The filing
fee for a branch application shall be $500 and the investigation
fee $250. If a corporation has been issued more than one
certificate of authorization, the corporation shall allocate a
portion of capital stock to each office for which a certificate
has been issued, in order to comply with the capital
requirements of sections 53.02 and 53.05, clause (2), which
sections are applicable to each office and the capital allocated
thereto in the same manner as if each certificate had been
issued to a separate corporation. An industrial loan and thrift
corporation with deposit liabilities may change one or more of
its locations upon the written approval of the commissioner of
commerce. A fee of $100 must accompany each application to the
commissioner for approval to change the location of an
established office. An industrial loan and thrift corporation
that does not sell and issue thrift certificates for investment
may change one or more locations by giving 30 days' written
notice to the department of commerce which shall promptly amend
the certificate of authorization accordingly. No change in
place of business of a company to a location outside of its
current trade area or more than 25 miles from its present
location, whichever distance is greater, shall be permitted
under the same certificate unless all of the applicable
requirements of this section have been met.
Sec. 21. Minnesota Statutes 1990, section 53.09,
subdivision 2, is amended to read:
Subd. 2. [REPORT TO COMMISSIONER.] (1) Each industrial
loan and thrift company shall annually on or before the first
day of February file a report with the commissioner stating in
detail, under appropriate heads, its assets and liabilities at
the close of business on the last day of the preceding calendar
year. This report shall be made under oath in the form
prescribed by the commissioner and published once, at the
expense of the industrial loan and thrift company, in a
newspaper of the county of its location, and proof thereof filed
immediately with the commissioner of commerce.
(2) Each industrial loan and thrift company which holds
authority to accept accounts pursuant to section 53.04,
subdivision 5, shall in place of the requirement in clause (1)
submit the reports and make the publication required of state
banks pursuant to section 48.48.
(3) Within 30 days following a change in controlling
ownership of the capital stock of an industrial loan and thrift
company, it shall file a written report with the commissioner
stating in detail the nature of such change in ownership.
Sec. 22. Minnesota Statutes 1990, section 56.04, is
amended to read:
56.04 [INVESTIGATION; ISSUANCE OF LICENSE; DENIAL;
REFUNDS.]
Upon the filing of the application and payment of these
fees, the commissioner shall investigate the facts, and if the
commissioner shall find (1) that the financial responsibility,
experience, character, and general fitness of the applicant, and
of the members thereof if the applicant be a copartnership or
association, and of the person with direct responsibility for
the operation and management of the proposed office are such as
to command confidence and to warrant belief that the business
will be operated honestly, fairly, and efficiently within the
purposes of this chapter, and primarily for purposes other than
making loans to finance the purchase of products or services,
other than insurance products authorized in this chapter or
chapter 62B, offered by the applicant, a person which controls
or is controlled by the applicant, or a person which is
controlled by persons which also control the applicant; and (2)
that the applicant has available for the operation of the
business, at the specified location, liquid assets of at least
$50,000 (the foregoing facts being conditions precedent to the
issuance of a license under this chapter), the commissioner
shall thereupon issue and deliver a license to the applicant to
make loans, in accordance with the provisions of this chapter,
at the location specified in the application. If the
commissioner shall not so find, the commissioner shall not issue
a license and shall notify the applicant of the denial and
return to the applicant the sum paid by the applicant as a
license fee, retaining the $250 investigation fee to cover the
costs of investigating the application. The commissioner shall
approve or deny every application for license hereunder within
60 days from the filing thereof with the fees.
If the application is denied, the commissioner shall,
within 20 days thereafter, file in the commissioner's office a
written decision and findings with respect thereto containing
the evidence and the reasons supporting the denial, and
forthwith serve upon the applicant a copy thereof.
There is hereby appropriated to such persons as are
entitled to such refund, from the fund or account in the state
treasury to which the money was credited, an amount sufficient
to make the refund and payment.
Sec. 23. Minnesota Statutes 1990, section 56.07, is
amended to read:
56.07 [CONTROL OVER LOCATION.]
Not more than one place of business shall be maintained
under the same license, but the commissioner may issue more than
one license to the same licensee upon compliance with all the
provisions of this chapter governing an original issuance of a
license, for each such new license. To the extent that
previously filed applicable information remains substantially
unchanged, the applicant need not refile this information,
unless requested.
When a licensee shall wish to change a place of business,
the licensee shall give written notice thereof 30 days in
advance to the commissioner, who shall within 30 days of receipt
of such notice, issue an amended license approving the
change. No change in the place of business of a licensee to a
location outside of its current trade area or more than 25 miles
from its present location, whichever distance is greater, shall
be permitted under the same license unless all of the
requirements of section 56.04 have been met.
A licensed place of business shall be open during regular
business hours each weekday, except for legal holidays and for
any weekday the commissioner grants approval to the licensee to
remain closed. A licensed place of business may be open on
Saturday, but shall be closed on Sunday.
Sec. 24. Minnesota Statutes 1990, section 56.12, is
amended to read:
56.12 [ADVERTISING; TAKING OF SECURITY; PLACE OF BUSINESS.]
No licensee shall advertise, print, display, publish,
distribute, or broadcast, or cause or permit to be advertised,
printed, displayed, published, distributed, or broadcast, in any
manner any statement or representation with regard to the rates,
terms, or conditions for the lending of money, credit, goods, or
things in action which is false, misleading, or deceptive. The
commissioner may order any licensee to desist from any conduct
which the commissioner shall find to be a violation of the
foregoing provisions.
The commissioner may require that rates of charge, if
stated by a licensee, be stated fully and clearly in such manner
as the commissioner may deem necessary to prevent
misunderstanding thereof by prospective borrowers. In lieu of
the disclosure requirements of this section and section 56.14, a
licensee may give the disclosures required by the federal
Truth-in-Lending Act.
A licensee may take a lien upon real estate as security for
any loan exceeding $2,700 in principal amount made under this
chapter. The provisions of sections 47.20 and 47.21 do not
apply to loans made under this chapter, except as provided in
this section. No loan secured by a first lien on a borrower's
primary residence shall be made pursuant to this section if the
proceeds of the loan are used to finance the purchase of the
borrower's primary residence, unless:
(1) the proceeds of the loan are used to finance the
purchase of a manufactured home; or
(2) the proceeds of the loan are used in whole or in part
to satisfy the balance owed on a contract for deed.
If the proceeds of the loan are used to finance the
purchase of the borrower's primary residence, the licensee shall
consent to the subsequent transfer of the real estate if the
existing borrower continues after transfer to be obligated for
repayment of the entire remaining indebtedness. The licensee
shall release the existing borrower from all obligations under
the loan instruments, if the transferee (1) meets the standards
of credit worthiness normally used by persons in the business of
making loans, including but not limited to the ability of the
transferee to make the loan payments and satisfactorily maintain
the property used as collateral, and (2) executes an agreement
in writing with the licensee whereby the transferee assumes the
obligations of the existing borrower under the loan
instruments. Any such agreement shall not affect the priority,
validity or enforceability of any loan instrument. A licensee
may charge a fee not in excess of one-tenth of one percent of
the remaining unpaid principal balance in the event the loan is
assumed by the transferee and the existing borrower continues
after the transfer to be obligated for repayment of the entire
assumed indebtedness. A licensee may charge a fee not in excess
of one percent of the remaining unpaid principal balance in the
event the remaining indebtedness is assumed by the transferee
and the existing borrower is released from all obligations under
the loan instruments, but in no event shall the fee exceed $150.
A licensee making a loan under this chapter secured by a
lien on real estate shall comply with the requirements of
section 47.20, subdivision 8.
No licensee shall conduct the business of making loans
under this chapter within any office, room, or place of business
in which any other business is solicited or engaged in, or in
association or conjunction therewith, if the commissioner finds
that the character of the other business is such that it would
facilitate evasions of this chapter or of the rules lawfully
made hereunder. The commissioner may promulgate rules dealing
with such other businesses.
No licensee shall transact the business or make any loan
provided for by this chapter under any other name or at any
other place of business than that named in the license. No
licensee shall take any confession of judgment or any power of
attorney. No licensee shall take any note or promise to pay
that does not accurately disclose the principal amount of the
loan, the time for which it is made, and the agreed rate or
amount of charge, nor any instrument in which blanks are left to
be filled in after execution. Nothing herein is deemed to
prohibit the making of loans by mail or arranging for settlement
and closing of real estate secured loans by an unrelated
qualified closing agent at a location other than the licensed
location.
Sec. 25. Minnesota Statutes 1990, section 56.131,
subdivision 4, is amended to read:
Subd. 4. [ADJUSTMENT OF DOLLAR AMOUNTS.] (a) The dollar
amounts in this section, sections 53.04, subdivision 3a,
paragraph (c), 56.01 and, 56.12, and 56.125 shall change
periodically, as provided in this section, according to and to
the extent of changes in the implicit price deflator for the
gross national product, 1972 = 100, compiled by the United
States Department of Commerce, and hereafter referred to as the
index. The index for December, 1980 is the reference base index
for adjustments of dollar amounts, except that the index for
December, 1984 is the reference base index for the minimum
default charge of $4. The reference base index for subdivision
1, paragraph (a), clause (1), and subdivision 2, paragraph (d),
is December, 1990.
(b) The designated dollar amounts shall change on July 1 of
each even-numbered year if the percentage of change, calculated
to the nearest whole percentage point, between the index for
December of the preceding year and the reference base index is
ten percent or more, but;
(1) the portion of the percentage change in the index in
excess of a multiple of ten percent shall be disregarded and the
dollar amounts shall change only in multiples of ten percent of
the amounts appearing in Laws 1981, chapter 258 on the date of
enactment; and
(2) the dollar amounts shall not change if the amounts
required by this section are those currently in effect pursuant
to Laws 1981, chapter 258 as a result of earlier application of
this section.
(c) If the index is revised, the percentage of change
pursuant to this section shall be calculated on the basis of the
revised index. If a revision of the index changes the reference
base index, a revised reference base index shall be determined
by multiplying the reference base index then applicable by the
rebasing factor furnished by the department of commerce. If the
index is superseded, the index referred to in this section is
the one represented by the department of commerce as reflecting
most accurately changes in the purchasing power of the dollar
for consumers.
(d) The commissioner shall announce and publish:
(1) on or before April 30 of each year in which dollar
amounts are to change, the changes in dollar amounts required by
paragraph (b); and
(2) promptly after the changes occur, changes in the index
required by paragraph (c) including, if applicable, the
numerical equivalent of the reference base index under a revised
reference base index and the designation or title of any index
superseding the index.
(e) A person does not violate this chapter with respect to
a transaction otherwise complying with this chapter if that
person relies on dollar amounts either determined according to
paragraph (b), clause (2) or appearing in the last publication
of the commissioner announcing the then current dollar amounts.
(f) The adjustments provided in this section shall not be
affected unless explicitly provided otherwise by law.
Sec. 26. Minnesota Statutes 1990, section 300.23, is
amended to read:
300.23 [VOTING, HOW REGULATED.]
Unless otherwise provided in the certificate or bylaws, at
every meeting each stockholder or member is entitled to one vote
in person, or by proxy made within one year or other time
specially limited by law, for each share or other lawful unit of
representation held in an individual, corporate, or
representative capacity. No stock may be voted on at an
election within 20 days after its transfer on the books of the
corporation. In the case of a banking corporation, the
commissioner of commerce may waive the 20-day limitation.
Sec. 27. Minnesota Statutes 1990, section 300.52,
subdivision 1, is amended to read:
Subdivision 1. [PRIOR NOTICE.] The first meeting of a
corporation, except as otherwise prescribed in its certificate
of incorporation or in the case of a banking corporation as
waived in writing by the commissioner of commerce, must be
called upon not less than three weeks' prior personal or
published notice. The notice must be signed by one of the
incorporators, to the others, and to each subscriber, if any, to
its capital stock, specifying the time, place, and purpose of
the meeting. Unless otherwise provided in the certificate of
incorporation or corporate bylaws, an annual meeting must be
called and held at its principal place of business upon three
weeks' published notice, signed by its secretary. No business
transacted at an annual meeting not called and held as required
by this subdivision is effective. The manner of calling and
holding all meetings may be prescribed by its bylaws.
Sec. 28. Minnesota Statutes 1990, section 332.13,
subdivision 2, is amended to read:
Subd. 2. "Debt prorating" means the performance of any one
or more of the following:
(a) managing the financial affairs of an individual by
distributing income or money to the creditors thereof;
(b) receiving funds for the purpose of distributing said
funds among creditors in payment or partial payment of
obligations of a debtor; or
(c) settling, adjusting, prorating, pooling, or liquidating
the indebtedness of a debtor. Any person so engaged or holding
out as so engaged shall be deemed to be engaged in debt
prorating regardless of whether or not a fee is charged for such
services. This term shall not include services performed by the
following when engaged in the regular course of their respective
businesses and professions:
(1) Attorneys at law, escrow agents, accountants,
broker-dealers in securities;
(2) Banks, state or national, trust companies, savings and
loan associations, building and loan associations, title
insurance companies, insurance companies and all other lending
institutions duly authorized to transact business in the state
of Minnesota, provided no fee is charged for such service;
(3) Persons who, as employees on a regular salary or wage
of an employer not engaged in the business of debt prorating,
perform credit services for their employer;
(4) Public officers acting in their official capacities and
persons acting pursuant to court order;
(5) Nonprofit corporations, organized under Minnesota
Statutes 1967, Chapter 317, giving debt prorating service,
provided no fee is charged for such service;
(6) Any person while performing services incidental to the
dissolution, winding up or liquidation of a partnership,
corporation or other business enterprise;
(7) The state of Minnesota, its political subdivisions,
public agencies and their employees;
(8) Credit unions, provided no fee is charged for such
service;
(9) "Qualified organizations" designated as representative
payees for purposes of the Social Security and Supplemental
Security Income representative payee system and the federal
Omnibus Budget Reconciliation Act of 1990, Public Law Number
101-508.
Sec. 29. Minnesota Statutes 1990, section 336.9-402, is
amended to read:
336.9-402 [FORMAL REQUISITES OF FINANCING STATEMENT;
AMENDMENTS; MORTGAGE AS FINANCING STATEMENT.]
(1) A financing statement is sufficient if it gives the
name of the debtor and the secured party, is signed by the
debtor, gives an address of the secured party from which
information concerning the security interest may be obtained,
gives a mailing address of the debtor, gives the social security
number of the debtor or, in the case of a debtor doing business
other than as an individual, the internal revenue service
taxpayer identification number of the debtor, and contains a
statement indicating the types or describing the items, of
collateral. A financing statement may be filed before a
security agreement is made or a security interest otherwise
attaches. When the financing statement covers crops growing or
to be grown, the statement must also contain a description of
the real estate concerned and the name of the record owner
thereof and the crop years that are covered by the financing
statement. When the financing statement covers timber to be cut
or covers minerals or the like (including oil and gas) or
accounts subject to subsection (5) of section 336.9-103, or when
the financing statement is filed as a fixture filing (section
336.9-313) and the collateral is goods which are or are to
become fixtures, the statement must also comply with subsection
(5). A copy of the security agreement is sufficient as a
financing statement if it contains the above information and is
signed by the debtor. A carbon, photographic or other
reproduction of a security agreement or a financing statement is
sufficient as a financing statement if the security agreement so
provides or if the original has been filed in this state.
(2) A financing statement which otherwise complies with
subsection (1) is sufficient when it is signed by the secured
party instead of the debtor when it is filed to perfect a
security interest in
(a) collateral already subject to a security interest in
another jurisdiction when it is brought into this state, or when
the debtor's location is changed to this state. Such a
financing statement must state that the collateral was brought
into this state or that the debtor's location was changed to
this state under such circumstances; or
(b) proceeds under section 336.9-306 if the security
interest in the original collateral was perfected. Such a
financing statement must describe the original collateral; or
(c) collateral as to which the filing has lapsed within one
year; or
(d) collateral acquired after a change of name, identity or
corporate structure of the debtor (subsection (7)); or
(e) a lien filed pursuant to chapter 514; or
(f) collateral which is subject to a filed judgment.
(2a) Except for documents filed under clauses (e) and (f),
the reason for the omission of the debtor signature must be
stated on the front of the financing statement.
(3) A form substantially as follows is sufficient to comply
with subsection (1):
Name of debtor (or assignor)
..............................
Address
..............................
Debtor's Social Security Number or I.R.S. Tax I.D. Number
...............................
Name of secured party (or assignee)
..............................
Address
..............................
1. This financing statement covers the following types (or
items) of property:
(Describe)
..............................
2. (If collateral is crops) The above described crops are
growing or are to be grown on:
(Describe real estate and the name of the record owner
thereof) ......
....................................................... ....
3. (If applicable) The above goods are to become fixtures
on
(Describe real estate).......................... and this
financing statement is to be filed for record in the real estate
records. (If the debtor does not have an interest of record)
The name of a record owner is .................
4. (If products of collateral are claimed)
Products of the collateral are also covered.
Use whichever signature line is applicable.
Signature of debtor (or assignor)
.........................
Signature of secured party (or assignee)
.........................
(4) A financing statement may be amended by filing a
writing signed by both the debtor and the secured party. If the
sole purpose of the amendment is to change the name or address
of the secured party, only the secured party need sign the
amendment. A writing is sufficient if it sets forth the name
and address of the debtor and secured party as those items
appear on the original financing statement or the most recently
filed amendment, the file number and date of filing of the
financing statement. An amendment does not extend the period of
effectiveness of a financing statement. If any amendment adds
collateral, it is effective as to the added collateral only from
the filing date of the amendment. In this article, unless the
context otherwise requires, the term "financing statement" means
the original financing statement and any amendments.
(5) A financing statement covering timber to be cut or
covering minerals or the like (including oil and gas) or
accounts subject to subsection (5) of section 336.9-103, or a
financing statement filed as a fixture filing (section
336.9-313) where the debtor is not a transmitting utility, must
show that it covers this type of collateral, must recite that it
is to be filed for record in the real estate records, and the
financing statement must contain a description of the real
estate sufficient if it were contained in a mortgage of the real
estate to give constructive notice of the mortgage under the law
of this state. If the debtor does not have an interest of
record in the real estate, the financing statement must show the
name of a record owner. No description of the real estate or
the name of the record owner thereof is required for a fixture
filing where the debtor is a transmitting utility.
Notwithstanding the foregoing a general description of the real
estate is sufficient for a fixture filing where a railroad is
the record owner of the real estate on which the fixtures are or
are to be located; and for the purposes of this subsection, the
requirement of a general description is satisfied if the fixture
filing (1) identifies the section, township and range numbers of
the county in which the land is located; (2) identifies the
quarter-quarter of the section that the land is located in; (3)
indicates the name of the record owner of the real estate; and
(4) states the street address of the real estate if one exists.
(6) A mortgage is effective as a financing statement filed
as a fixture filing from the date of its recording if (a) the
goods are described in the mortgage by item or type, (b) the
goods are or are to become fixtures related to the real estate
described in the mortgage, (c) the mortgage complies with the
requirements for a financing statement in this section other
than a recital that it is to be filed in the real estate
records, and (d) the mortgage is duly recorded. No fee with
reference to the financing statement is required other than the
regular recording and satisfaction fees with respect to the
mortgage.
(7) A financing statement sufficiently shows the name of
the debtor if it gives the individual, partnership or corporate
name of the debtor, whether or not it adds other trade names or
the names of partners, and gives the social security number of
the debtor or, in the case of a debtor doing business other than
as an individual, the internal revenue service taxpayer
identification number of the debtor. Where the debtor so
changes a personal name or in the case of an organization its
name, identity or corporate structure that a filed financing
statement becomes seriously misleading, the filing is not
effective to perfect a security interest in collateral acquired
by the debtor more than four months after the change, unless a
new appropriate financing statement is filed before the
expiration of that time. A filed financing statement remains
effective with respect to collateral transferred by the debtor
even though the secured party knows of or consents to the
transfer.
(8) A financing statement, amendment, continuation,
assignment, release, or termination substantially complying with
the requirements of this section is effective even though it
contains minor errors which are not seriously misleading. The
omission or any inaccuracy in stating the debtor's social
security or federal tax identification number is not, standing
alone, a seriously misleading error.
Sec. 30. Minnesota Statutes 1990, section 336.9-403, is
amended to read:
336.9-403 [WHAT CONSTITUTES FILING; DURATION OF FILING;
EFFECT OF LAPSED FILING; DUTIES OF FILING OFFICER.]
(1) Presentation for filing of a financing statement and
tender of the filing fee or acceptance of the statement by the
filing officer constitutes filing under this article.
(2) Except as provided in subsection (6) a filed financing
statement is effective for a period of five years from the date
of filing. The effectiveness of a filed financing statement
lapses on the expiration of the five-year period unless a
continuation statement is filed prior to the lapse. If a
security interest perfected by filing exists at the time
insolvency proceedings are commenced by or against the debtor,
the security interest remains perfected until termination of the
insolvency proceedings and thereafter for a period of 60 days or
until expiration of the five-year period, whichever occurs later
regardless of whether the financing statement filed as to that
security interest is destroyed by the filing officer pursuant to
subsection (3). Upon lapse the security interest becomes
unperfected, unless it is perfected without filing. If the
security interest becomes unperfected upon lapse, it is deemed
to have been unperfected as against a person who became a
purchaser or lien creditor before lapse.
(3) A continuation statement may be filed by the secured
party within six months prior to the expiration of the five-year
period specified in subsection (2). Any such continuation
statement must be signed by the secured party, set forth the
name, social security number or other tax identification number
of the debtor, and address of the debtor and secured party as
those items appear on the original financing statement or the
most recently filed amendment, identify the original statement
by file number and filing date, and state that the original
statement is still effective. A continuation statement signed
by a person other than the secured party of record must be
accompanied by a separate written statement of assignment signed
by the secured party of record and complying with subsection (2)
of section 336.9-405, including payment of the required fee.
Upon timely filing of the continuation statement, the
effectiveness of the original statement is continued for five
years after the last date to which the filing was effective
whereupon it lapses in the same manner as provided in subsection
(2) unless another continuation statement is filed prior to such
lapse. Succeeding continuation statements may be filed in the
same manner to continue the effectiveness of the original
statement. Unless a statute on disposition of public records
provides otherwise, the filing officer may remove a lapsed
statement from the files and destroy it immediately if the
officer has retained a microfilm or other photographic record,
or in other cases after one year after the lapse. The filing
officer shall so arrange matters by physical annexation of
financing statements to continuation statements or other related
filings, or by other means, that if the officer physically
destroys the financing statements of a period more than five
years past, those which have been continued by a continuation
statement or which are still effective under subsection (6)
shall be retained. If insolvency proceedings are commenced by
or against the debtor, the secured party shall notify the filing
officer both upon commencement and termination of the
proceedings, and the filing officer shall not destroy any
financing statements filed with respect to the debtor until
termination of the insolvency proceedings. The security
interest remains perfected until termination of the insolvency
proceedings and thereafter for a period of 60 days or until
expiration of the five-year period, whichever occurs later.
(4) Except as provided in subsection (7) a filing officer
shall mark each statement with a file number and with the date
and hour of filing and shall hold the statement or a microfilm
or other photographic copy thereof for public inspection. In
addition the filing officer shall index the statements according
to the name of the debtor and shall note in the index the file
number and, the address of the debtor given in the statement,
and the social security number or other tax identification
number of the debtor given in the statement.
(5) The secretary of state shall prescribe uniform forms
for statements and samples thereof shall be furnished to all
filing officers in the state. The uniform fee for filing and
indexing and for stamping a copy furnished by the secured party
to show the date and place of filing for an original financing
statement or for a continuation statement shall be $7 if the
statement is in the standard form prescribed by the secretary of
state and otherwise shall be $10, plus in each case, if the
financing statement is subject to subsection (5) of section
336.9-402, $5. An additional fee of $7 shall be collected if
more than one name is required to be indexed or if the secured
party chooses to show a trade name for any debtor listed. The
uniform fee collected for the filing of an amendment to a
financing statement if the amendment is in the standard form
prescribed by the secretary of state and does not add additional
debtor names to the financing statement shall be $7. The fee
for an amendment adding additional debtor names shall be $14 if
the amendment is in the form prescribed by the secretary of
state and, if otherwise, $17. The fee for an amendment which is
not in the form prescribed by the secretary of state but which
does not add additional names shall be $10.
The secretary of state shall adopt rules for filing,
amendment, continuation, termination, removal, and destruction
of financing statements.
(6) If the debtor is a transmitting utility (subsection (5)
of section 336.9-401) and a filed financing statement so states,
it is effective until a termination statement is filed. A real
estate mortgage which is effective as a fixture filing under
subsection (6) of section 336.9-402 remains effective as a
fixture filing until the mortgage is released or satisfied of
record or its effectiveness otherwise terminates as to the real
estate.
(7) When a financing statement covers timber to be cut or
covers minerals or the like (including oil and gas) or accounts
subject to subsection (5) of section 336.9-103, or is filed as a
fixture filing, it shall be filed for record and the filing
officer shall index it under the names of the debtor and any
owner of record shown on the financing statement in the same
fashion as if they were the mortgagors in a mortgage of the real
estate described, and, to the extent that the law of this state
provides for indexing of mortgages under the name of the
mortgagee, under the name of the secured party as if the secured
party were the mortgagee thereunder, or, for filing offices
other than the secretary of state, where indexing is by
description in the same fashion as if the financing statement
were a mortgage of the real estate described. If requested of
the filing officer on the financing statement, a financing
statement filed for record as a fixture filing in the same
office where nonfixture filings are made is effective, without a
dual filing, as to collateral listed thereon for which filing is
required in such office pursuant to section 336.9-401 (1) (a);
in such case, the filing officer shall also index the recorded
statement in accordance with subsection (4) using the recording
data in lieu of a file number.
(8) The fees provided for in this article shall supersede
the fees for similar services otherwise provided for by law
except in the case of security interests filed in connection
with a certificate of title on a motor vehicle.
Sec. 31. [REPEALER.]
Minnesota Statutes 1990, section 48.03, subdivisions 4 and
5, are repealed.
Sec. 32. [EFFECTIVE DATE.]
Sections 4, 5, 17, 25, and 28 are effective the day
following final enactment. If the effective date of section 25
is after the commissioner of commerce has made the announcement
and publication required to be made on or before April 30 of
each year under Minnesota Statutes, section 56.131, subdivision
4, the commissioner shall, if necessary, revise the announcement
and publication to conform with section 25. Sections 29 and 30
are effective January 1, 1993, and apply to financing statements
and continuation statements filed on or after that date.
ARTICLE 2
STATE DEPOSITS AND INVESTMENTS
Section 1. Minnesota Statutes 1990, section 9.031, is
amended by adding a subdivision to read:
Subd. 13. [REQUIRED COMMUNITY REINVESTMENT RATING.] Banks
and trust companies designated as depositories must have
received ratings of "outstanding" or "satisfactory" as their
most recent rating under section 47.83 or under United States
Code, title 12, section 2906. If a state depository receives a
rating that is below "satisfactory," the executive council shall
revoke its designation as a depository. The executive council
may delay the effective date of the revocation if necessary to
allow a reasonable period of time to arrange for a replacement
depository.
Sec. 2. Minnesota Statutes 1991 Supplement, section
11A.24, subdivision 4, is amended to read:
Subd. 4. [OTHER OBLIGATIONS.] (a) The state board may
invest funds in bankers acceptances, certificates of deposit,
commercial paper, mortgage participation certificates and pools,
repurchase agreements and reverse repurchase agreements,
guaranteed investment contracts, savings accounts, and guaranty
fund certificates, surplus notes, or debentures of domestic
mutual insurance companies if they conform to the following
provisions:
(1) bankers acceptances of United States banks are limited
to those issued by banks rated in the highest four quality
categories by a nationally recognized rating agency;
(2) certificates of deposit are limited to those issued
by (i) United States banks and savings institutions that are
rated in the highest four quality categories by a nationally
recognized rating agency, that meet the collateral requirements
established in section 9.031, or whose certificates of deposit
are fully insured by federal agencies; or (ii) credit unions in
amounts up to the limit of insurance coverage provided by the
National Credit Union Administration;
(3) commercial paper is limited to those issued by United
States corporations or their Canadian subsidiaries and rated in
the highest two quality categories by a nationally recognized
rating agency;
(4) mortgage participation or pass through certificates
evidencing interests in pools of first mortgages or trust deeds
on improved real estate located in the United States where the
loan to value ratio for each loan as calculated in accordance
with section 61A.28, subdivision 3, does not exceed 80 percent
for fully amortizable residential properties and in all other
respects meets the requirements of section 61A.28, subdivision
3;
(5) collateral for repurchase agreements and reverse
repurchase agreements is limited to letters of credit and
securities authorized in this section;
(6) guaranteed investment contracts are limited to those
issued by insurance companies or banks rated in the top four
quality categories by a nationally recognized rating agency;
(7) savings accounts are limited to those fully insured by
federal agencies.
(b) Sections 16A.58 and 16B.06 do not apply to
certifications of deposit and collateralization agreements
executed by the state board under paragraph (a), clause (2).
(c) In addition to investments authorized by paragraph (a),
clause (4), the state board may purchase from the Minnesota
housing finance agency all or any part of a pool of residential
mortgages, not in default, that has previously been financed by
the issuance of bonds or notes of the agency. The state board
may also enter into a commitment with the agency, at the time of
any issue of bonds or notes, to purchase at a specified future
date, not exceeding 12 years from the date of the issue, the
amount of mortgage loans then outstanding and not in default
that have been made or purchased from the proceeds of the bonds
or notes. The state board may charge reasonable fees for any
such commitment and may agree to purchase the mortgage loans at
a price sufficient to produce a yield to the state board
comparable, in its judgment, to the yield available on similar
mortgage loans at the date of the bonds or notes. The state
board may also enter into agreements with the agency for the
investment of any portion of the funds of the agency. The
agreement must cover the period of the investment, withdrawal
privileges, and any guaranteed rate of return.
ARTICLE 3
DETACHED BANKING FACILITIES
Section 1. [CITY OF DULUTH; DETACHED BANKING FACILITIES.]
With the prior approval of the commissioner of commerce, a
bank with its principal office in the city of Duluth may
establish and maintain three detached facilities located within
the city of Duluth, in addition to the detached facilities
authorized by Minnesota Statutes, section 47.52, paragraph (a).
A bank desiring to establish a detached facility must follow the
approval procedure prescribed in Minnesota Statutes, section
47.54. The establishment of a detached facility pursuant to
this section is subject to the provisions of Minnesota Statutes,
sections 47.51 to 47.57, except to the extent those sections are
inconsistent with this section.
Sec. 2. [CITY OF MILLVILLE; DETACHED FACILITIES.]
The limitation contained in Minnesota Statutes, section
47.52, on the number of detached facilities that may be
established and maintained by a bank does not apply to any
detached facilities located in the city of Millville.
Sec. 3. [CITY OF DOVER; DETACHED FACILITIES.]
The limitation contained in Minnesota Statutes, section
47.52, on the number of detached facilities that may be
established and maintained by a bank does not apply to any
detached facilities located in the city of Dover.
Sec. 4. [TOWN OF NEW SCANDIA; DETACHED BANKING
FACILITIES.]
With the prior approval of the commissioner of commerce, a
bank operating its main office within ten miles of the town of
New Scandia may establish and maintain not more than one
detached facility in the town of New Scandia. A bank desiring
to establish a detached facility must follow the approval
procedure prescribed in Minnesota Statutes, section 47.54. The
establishment of a detached facility pursuant to this section is
subject to the provisions of Minnesota Statutes, sections 47.51
to 47.57, except to the extent those sections are inconsistent
with this section.
Sec. 5. [LOCAL APPROVAL.]
Section 2 takes effect the day after compliance by the
governing body of the city of Millville with Minnesota Statutes,
section 645.021, subdivision 3.
Section 3 takes effect the day after compliance by the
governing body of the city of Dover with Minnesota Statutes,
section 645.021, subdivision 3.
Section 4 takes effect the day after compliance by the town
board of the town of New Scandia with Minnesota Statutes,
section 645.021, subdivision 3.
ARTICLE 4
REAL ESTATE APPRAISERS
Section 1. Minnesota Statutes 1991 Supplement, section
82B.11, subdivision 3, is amended to read:
Subd. 3. [FEDERAL RESIDENTIAL REAL PROPERTY APPRAISER.] A
federal residential real property appraiser may appraise
noncomplex one to four residential units or agricultural
property having a transaction value less than $1,000,000 and
complex one to four residential units or agricultural property
having a transaction value less than $250,000.
Sec. 2. Minnesota Statutes 1991 Supplement, section
82B.11, subdivision 4, is amended to read:
Subd. 4. [CERTIFIED FEDERAL RESIDENTIAL REAL PROPERTY
APPRAISER.] A certified federal residential real property
appraiser may appraise one to four residential units or
agricultural property without regard to transaction value or
complexity.
Sec. 3. Minnesota Statutes 1990, section 82B.13, as
amended by Laws 1991, chapter 97, sections 5, 6, 7, and 17, is
amended to read:
82B.13 [EXAMINATION EDUCATION PREREQUISITES.]
Subdivision 1. [STATE REAL PROPERTY APPRAISER OR FEDERAL
RESIDENTIAL REAL PROPERTY APPRAISER.] As a prerequisite to
taking the examination for licensing as a state real property
appraiser or federal residential real property appraiser, an
applicant must present evidence satisfactory to the commissioner
that the person has successfully completed at least 75 classroom
hours of courses. The courses must consist of 60 hours of
general real estate appraisal principles and 15 hours related to
standards of professional appraisal practice and the provisions
of this chapter.
Subd. 3. [COMMISSIONER'S APPROVAL; RULES.] The courses and
instruction and procedures of courses must be approved by the
commissioner. The commissioner may adopt rules to administer
this section. These rules must, to the extent practicable,
conform to the rules adopted for real estate and insurance
education.
Subd. 4. [CERTIFIED FEDERAL RESIDENTIAL REAL PROPERTY
APPRAISER.] As a prerequisite to taking the examination for
licensing as a certified federal residential real property
appraiser, an applicant must present evidence satisfactory to
the commissioner that the person has successfully completed at
least 165 classroom hours of courses, including 15 hours related
to the standards of professional appraisal practice and the
provisions of this chapter, with particular emphasis on the
appraisal of one to four unit residential properties.
Subd. 5. [CERTIFIED FEDERAL GENERAL REAL PROPERTY
APPRAISER.] As a prerequisite to taking the examination for
licensing as a certified federal general real property
appraiser, an applicant must present evidence satisfactory to
the commissioner that the person has successfully completed at
least 165 classroom hours of courses, including 15 hours related
to the standards of professional appraisal practice and the
provisions of this chapter, with particular emphasis on the
appraisal of nonresidential properties.
Sec. 4. Minnesota Statutes 1991 Supplement, section
82B.14, is amended to read:
82B.14 [EXPERIENCE REQUIREMENT.]
(a) A license under section 82B.11, subdivision 3, 4, or 5,
may not be issued to a person who does not have the equivalent
of two years of experience in real property appraisal supported
by adequate written reports or file memoranda. This experience,
or the equivalent of this experience, must be acquired within a
period of five years immediately preceding the filing of the
application for licensing.
(b) Each applicant for license under section 82B.11,
subdivision 3, 4, or 5, shall give under oath a detailed listing
of the real estate appraisal reports or file memoranda for each
year for which experience is claimed by the applicant. Upon
request, the applicant shall make available to the commissioner
for examination, a sample of appraisal reports that the
applicant has prepared in the course of appraisal practice.
Sec. 5. [EFFECTIVE DATE.]
Sections 1 to 4 are effective the day following final
enactment.
Presented to the governor April 17, 1992
Signed by the governor April 27, 1992, 2:13 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes