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Minnesota Legislature

Office of the Revisor of Statutes

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

                            CHAPTER 171-S.F.No. 2009 
                  An act relating to state government; transferring 
                  tourism functions from Department of Employment and 
                  Economic Development to Explore Minnesota Tourism; 
                  appropriating money; amending Minnesota Statutes 2002, 
                  sections 116J.01, subdivision 5; 160.276, subdivision 
                  5; Minnesota Statutes 2003 Supplement, sections 
                  15.057; 15.75, subdivision 5; 116J.60; 161.20, 
                  subdivision 3; 270B.14, subdivision 13; proposing 
                  coding for new law as Minnesota Statutes, chapter 
                  116U; repealing Minnesota Statutes 2002, sections 
                  116J.01, subdivision 4; 116J.036; 116J.615; 116J.616; 
                  116J.63, subdivision 4. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2003 Supplement, section 
        15.057, is amended to read: 
           15.057 [PUBLICITY REPRESENTATIVES.] 
           No state department, bureau, or division, whether the same 
        operates on funds appropriated or receipts or fees of any nature 
        whatsoever, except the Department of Transportation, the 
        Department of Employment and Economic Development, the Game and 
        Fish Division, the Department of Economic Security, and the 
        State Agricultural Society, and Explore Minnesota Tourism shall 
        use any of such funds for the payment of the salary or expenses 
        of a publicity representative.  The head of any such department, 
        bureau, or division shall be personally liable for funds used 
        contrary to this provision.  This section shall not be 
        construed, however, as preventing any such department, bureau, 
        or division from sending out any bulletins or other publicity 
        required by any state law or necessary for the satisfactory 
        conduct of the business for which such department, bureau, or 
        division was created. 
           Sec. 2.  Minnesota Statutes 2003 Supplement, section 15.75, 
        subdivision 5, is amended to read: 
           Subd. 5.  [AGREEMENTS WITH DEPARTMENT OF EMPLOYMENT AND 
        ECONOMIC DEVELOPMENT.] The commissioner of employment and 
        economic development may enter into agreements with regional 
        entities established under subdivision 4 to prepare plans to 
        ensure coordination of the department's business development, 
        community development, and trade and tourism functions with 
        programs of local units of government and other public and 
        private development agencies in the regions.  The plans will 
        identify regional development priorities and serve as a guide 
        for the implementation of the department's programs in the 
        regions. 
           Sec. 3.  Minnesota Statutes 2002, section 116J.01, 
        subdivision 5, is amended to read: 
           Subd. 5.  [DEPARTMENTAL ORGANIZATION.] (a) The commissioner 
        shall organize the department as provided in section 15.06.  
           (b) The commissioner may establish divisions and offices 
        within the department.  The commissioner may employ four deputy 
        commissioners in the unclassified service.  One deputy must 
        direct the Minnesota Trade Office and must be experienced and 
        knowledgeable in matters of international trade.  One must 
        direct the Office of Tourism and be knowledgeable in matters of 
        tourism.  
           (c) The commissioner shall: 
           (1) employ assistants and other officers, employees, and 
        agents that the commissioner considers necessary to discharge 
        the functions of the commissioner's office; 
           (2) define the duties of the officers, employees, and 
        agents, and delegate to them any of the commissioner's powers, 
        duties, and responsibilities, subject to the commissioner's 
        control and under conditions prescribed by the commissioner.  
           (d) The commissioner shall ensure that there are at least 
        three trade employment and economic development officers in 
        state offices in nonmetropolitan areas of the state who will 
        work with local units of government on developing local trade 
        employment and economic development. 
           Sec. 4.  Minnesota Statutes 2003 Supplement, section 
        116J.60, is amended to read: 
           116J.60 [PROMOTIONAL EXPENSES.] 
           In the promotion of tourism, trade, and economic 
        development of the state, the commissioner of employment and 
        economic development may expend money appropriated by the 
        legislature for these purposes in the same manner as private 
        persons, firms, corporations, and associations make expenditures 
        for these purposes.  An expenditure for food, lodging, or travel 
        is not governed by the travel rules of the commissioner of 
        employee relations.  No money shall be expended for the 
        appearance in radio or television broadcasts by an elected 
        public official. 
           Sec. 5.  [116U.05] [EXPLORE MINNESOTA TOURISM.] 
           Explore Minnesota Tourism is created as an office in the 
        executive branch with a director appointed by the governor.  The 
        director is under the supervision of the commissioner of 
        employment and economic development.  The director serves in the 
        unclassified service and must be qualified by experience and 
        training in travel and tourism. 
           Sec. 6.  [116U.10] [DEFINITIONS.] 
           Subdivision 1.  [SCOPE.] As used in this chapter, the terms 
        defined in this section have the meanings given them. 
           Subd. 2.  [DIRECTOR.] "Director" means the director of 
        Explore Minnesota Tourism. 
           Subd. 3.  [OFFICE.] "Office" means Explore Minnesota 
        Tourism. 
           Sec. 7.  [116U.15] [MISSION.] 
           The mission of Explore Minnesota Tourism is to promote and 
        facilitate increased travel to and within the state of 
        Minnesota.  Its goals are to: 
           (1) expand public and private partnerships through 
        increased interagency efforts and increased tourism industry 
        participation; 
           (2) increase productivity through enhanced flexibility and 
        options; and 
           (3) use innovative fiscal and human resource practices to 
        manage the state's resources and operate the office as 
        efficiently as possible. 
           The director shall report to the legislature on the 
        performance of the office's operations and the accomplishment of 
        its goals in the office's biennial budget according to section 
        16A.10, subdivision 1. 
           Sec. 8.  [116U.20] [ORGANIZATION.] 
           The director shall: 
           (1) employ assistants and other officers, employees, and 
        agents that the director considers necessary to discharge the 
        functions of the office; and 
           (2) define the duties of the officers, employees, and 
        agents, and delegate to them any of the director's powers, 
        duties, and responsibilities, subject to the director's control 
        and under conditions prescribed by the director. 
           Sec. 9.  [116U.25] [EXPLORE MINNESOTA TOURISM COUNCIL.] 
           (a) The director shall be advised by the Explore Minnesota 
        Tourism Council consisting of up to 28 voting members appointed 
        by the governor for four-year terms, including: 
           (1) the director of Explore Minnesota Tourism who serves as 
        the chair; 
           (2) eleven representatives of statewide associations 
        representing bed and breakfast establishments, golf, festivals 
        and events, counties, convention and visitor bureaus, lodging, 
        resorts, trails, campgrounds, restaurants, and chambers of 
        commerce; 
           (3) one representative from each of the four tourism 
        marketing regions of the state as designated by the office; 
           (4) six representatives of the tourism business 
        representing transportation, retail, travel agencies, tour 
        operators, travel media, and convention facilities; 
           (5) one or more ex-officio nonvoting members including at 
        least one from the University of Minnesota Tourism Center; 
           (6) four legislators, two from each house, one each from 
        the two largest political party caucuses in each house, 
        appointed according to the rules of the respective houses; and 
           (7) other persons, if any, as designated from time to time 
        by the governor. 
           (b) The council shall act to serve the broader interests of 
        tourism in Minnesota by promoting activities that support, 
        maintain, and expand the state's domestic and international 
        travel market, thereby generating increased visitor 
        expenditures, tax revenue, and employment. 
           (c) Filling of membership vacancies is as provided in 
        section 15.059.  The terms of one-half of the members shall be 
        coterminous with the governor and the terms of the remaining 
        one-half of the members shall end on the first Monday in January 
        one year after the terms of the other members.  Members may 
        serve until their successors are appointed and qualify.  Members 
        are not compensated.  A member may be reappointed. 
           (d) The council shall meet at least four times per year and 
        at other times determined by the council.  Notwithstanding 
        section 15.059, the council does not expire. 
           Sec. 10.  [116U.30] [DUTIES OF DIRECTOR.] 
           (a) The director shall: 
           (1) publish, disseminate, and distribute informational and 
        promotional materials; 
           (2) promote and encourage the coordination of Minnesota 
        tourism promotion efforts with other state agencies and develop 
        multiagency marketing strategies when appropriate; 
           (3) promote and encourage the expansion and development of 
        international tourism marketing; 
           (4) advertise and disseminate information about Minnesota 
        travel opportunities; 
           (5) aid various local communities to improve their tourism 
        marketing programs; 
           (6) coordinate and implement a comprehensive state tourism 
        marketing program that takes into consideration public and 
        private businesses and attractions; 
           (7) contract, in accordance with section 16C.08, for 
        professional services if the work or services cannot be 
        satisfactorily performed by employees of the agency or by any 
        other state agency; 
           (8) provide local, regional, and statewide tourism 
        organizations with information, technical assistance, training, 
        and advice on using state tourism programs; and 
           (9) generally gather, compile, and make available 
        statistical information relating to Minnesota tourism and 
        related areas in this state, with authority to call upon other 
        state agencies for statistical data and results obtained by them 
        and to arrange and compile that statistical information. 
           (b) The director may: 
           (1) apply for, receive, and spend money for tourism 
        development and marketing from other agencies and tourism 
        organizations and businesses; 
           (2) apply for, accept, and disburse grants and other aids 
        for tourism development and marketing from the federal 
        government and other sources; 
           (3) enter into joint powers or cooperative agreements with 
        agencies of the federal government, local governmental units, 
        regional development commissions, other state agencies, the 
        University of Minnesota and other educational institutions, 
        other states, Canadian provinces, local, statewide, and regional 
        tourism organizations as necessary to perform the director's 
        duties; 
           (4) enter into interagency agreements and agree to share 
        net revenues with the contributing agencies; 
           (5) make grants; 
           (6) conduct market research and analysis to improve 
        marketing techniques in the area of tourism; 
           (7) monitor and study trends in the tourism industry and 
        provide resources and training to address change; 
           (8) annually convene conferences of Minnesota tourism 
        providers for the purposes of exchanging information on tourism 
        development, coordinating marketing activities, and formulating 
        tourism development strategies; and 
           (9) enter into tourism promotion contracts or other 
        agreements with private persons and public entities, including 
        agreements to establish and maintain offices and other types of 
        representation in foreign countries, to promote international 
        travel and to implement this chapter. 
           (c) Contracts for goods and nonprofessional technical 
        services made under paragraph (b), clauses (3) and (9), are not 
        subject to the provisions of sections 16C.03, subdivision 3, and 
        16C.06 concerning competitive bidding and section 16C.055 
        concerning barter arrangements.  Unless otherwise determined by 
        the commissioner of administration, all other provisions of 
        chapter 16C apply to this section, including section 16C.08, 
        relating to professional and technical services. 
           Sec. 11.  [116U.35] [PROMOTIONAL EXPENSES.] 
           To promote tourism of the state, the director may expend 
        money appropriated by the legislature for these purposes in the 
        same manner as private persons, firms, corporations, and 
        associations make expenditures for these purposes.  Policies on 
        promotional expenses must be approved by the Explore Minnesota 
        Tourism Council and the commissioner of administration.  A 
        policy for expenditures on food, lodging, and travel must be 
        approved by the commissioner of employee relations.  No money 
        may be expended for the appearance in radio or television 
        broadcasts by an elected public official. 
           Sec. 12.  [116U.40] [SPECIFIC AGREEMENTS PROHIBITED.] 
           The director may not enter into an agreement which would 
        obligate the state to pay any part of a debt incurred by a 
        public or private facility, organization, or attraction. 
           Sec. 13.  [116U.45] [SALE OF PUBLICATIONS AND PROMOTIONAL 
        MATERIALS; FEES; ADVERTISING.] 
           The director may sell reports, publications, or related 
        publicity or promotional material of the office as the director 
        determines. 
           Fees for reports, publications, or related publicity or 
        promotional material are not subject to section 14.386 or to the 
        rulemaking requirements of chapter 14 in general and are not 
        subject to section 16A.1283 or 16A.1285.  The fees prescribed by 
        the director must be commensurate with the distribution 
        objective of the office for the material produced or with the 
        cost of furnishing the services.  
           Office publications may contain advertising and may receive 
        advertising revenue from profit and nonprofit organizations, 
        associations, individuals and corporations, and other state, 
        federal, or local government agencies.  The director shall set 
        advertising rates and fees commensurate with services rendered 
        and distribution objectives. 
           Revenue under this section is governed by section 116U.50.  
           Sec. 14.  [116U.50] [REVENUE.] 
           All revenue received by the office must be deposited in a 
        special revenue account and is appropriated to the director for 
        the purposes of this chapter.  The money does not cancel and is 
        available until expended. 
           Sec. 15.  [116U.55] [GIFTS, GRANTS, AND ENDOWMENTS.] 
           The office may accept gifts of money, property, or 
        services, may apply for and accept grants from the United 
        States, the state, a subdivision of the state, or a person for 
        any of its purposes; may enter into an agreement required in 
        connection with it; and may hold, use, and dispose of the money, 
        property, or services in accordance with the terms of the gift, 
        grant, or agreement relating to it.  The office may also make 
        grants, gifts, and bequests of money, property, or services and 
        enter into contracts to carry out the same.  The gift acceptance 
        procedures of sections 16A.013 to 16A.016 do not apply to this 
        section.  
           Sec. 16.  [116U.65] [TRANSITION.] 
           (a) Effective July 1, 2004, all Office of Tourism duties of 
        the Department of Employment and Economic Development are 
        transferred to Explore Minnesota Tourism under Minnesota 
        Statutes, section 15.039. 
           (b) The Department of Employment and Economic Development 
        shall provide research; communications; administration, 
        including fiscal, technology, and human resources assistance; 
        and legislative services to Explore Minnesota Tourism through 
        June 30, 2005.  Effective July 1, 2005, one full-time equivalent 
        position for communications and one for research is permanently 
        transferred from the Department of Employment and Economic 
        Development to Explore Minnesota Tourism. 
           (c) Funding for the services in paragraph (b), rent, and 
        salaries shall be added to Explore Minnesota Tourism's base 
        budget for the biennium ending June 30, 2007, and the base 
        budget for the Department of Employment and Economic Development 
        is reduced by that amount. 
           Sec. 17.  Minnesota Statutes 2002, section 160.276, 
        subdivision 5, is amended to read: 
           Subd. 5.  [OFFICE OF EXPLORE MINNESOTA TOURISM.] The 
        commissioner shall provide space free of charge to the Office of 
        Explore Minnesota Tourism for travel information centers.  The 
        commissioner shall not charge the Office of Explore Minnesota 
        Tourism for any regular expenses associated with the operation 
        of the travel information centers.  The commissioner shall 
        provide highway maps free of charge for use and distribution 
        through the travel information centers.  
           Sec. 18.  Minnesota Statutes 2003 Supplement, section 
        161.20, subdivision 3, is amended to read: 
           Subd. 3.  [TRUNK HIGHWAY FUND APPROPRIATIONS.] The 
        commissioner may expend trunk highway funds only for trunk 
        highway purposes.  Payment of expenses related to Bureau of 
        Criminal Apprehension laboratory, Office of Explore Minnesota 
        Tourism kiosks, Minnesota Safety Council, tort claims, driver 
        education programs, Emergency Medical Services Board, and 
        Mississippi River Parkway Commission do not further a highway 
        purpose and do not aid in the construction, improvement, or 
        maintenance of the highway system. 
           Sec. 19.  Minnesota Statutes 2003 Supplement, section 
        270B.14, subdivision 13, is amended to read: 
           Subd. 13.  [DISCLOSURE TO OFFICE OF EXPLORE MINNESOTA 
        TOURISM.] The commissioner may disclose to the Office of Explore 
        Minnesota Tourism in the Department of Employment and Economic 
        Development, the name, address, standard industrial North 
        American Industry Classification System (NAICS) code, and 
        telephone number of a travel or tourism related business that is 
        authorized to collect sales and use tax.  The data may be used 
        only by the Office of Explore Minnesota Tourism to survey travel 
        or tourism related businesses. 
           Sec. 20.  [REPEALER.] 
           Minnesota Statutes 2002, sections 116J.01, subdivision 4; 
        116J.036; 116J.615; 116J.616; and 116J.63, subdivision 4, are 
        repealed. 
           Sec. 21.  [EFFECTIVE DATE.] 
           Except as specified otherwise, this act is effective July 
        1, 2004. 
           Presented to the governor April 28, 2004 
           Signed by the governor April 30, 2004, 3:05 p.m.