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1997 Minnesota Session Laws

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                            CHAPTER 187-S.F.No. 157 
                  An act relating to state government; rulemaking; 
                  enacting, eliminating, continuing, or modifying 
                  certain exemptions from the rulemaking requirements of 
                  the administrative procedures act; making technical 
                  and conforming changes; amending Minnesota Statutes 
                  1996, sections 3.305, by adding a subdivision; 14.03, 
                  subdivision 3, and by adding a subdivision; 14.386; 
                  14.47, subdivision 1; 15.50, subdivision 2; 16A.632, 
                  subdivision 2; 16A.641, subdivision 4; 16A.671, 
                  subdivision 5; 16B.18, subdivision 3; 16D.11, 
                  subdivision 7; 17.03, subdivision 10; 17.54, 
                  subdivision 4; 17.56, subdivision 2; 17.57, 
                  subdivision 1; 17.64, subdivision 2; 18.022, 
                  subdivision 9; 18.0227, subdivision 3; 32.394, 
                  subdivision 12; 41B.07; 41C.13; 43A.182; 48.221; 
                  50.175, subdivision 2; 51A.361; 52.17, subdivision 2; 
                  53.07, subdivision 1; 60A.13, subdivision 6; 60K.19, 
                  subdivision 6; 61B.21, subdivision 1; 62E.10, 
                  subdivision 8; 62J.04, subdivision 1; 62J.152, 
                  subdivision 4; 62J.61; 62L.13, subdivision 3; 62N.23; 
                  62N.25, subdivision 6; 65B.28, subdivision 3; 79.34, 
                  subdivisions 1 and 2a; 79.362; 84.98, subdivision 2; 
                  85.045, subdivision 3; 85A.02, subdivision 5b; 85A.05, 
                  subdivision 2; 88.80, subdivision 2; 97A.085, 
                  subdivision 4a; 115A.11, subdivision 2; 115A.20; 
                  115A.58, subdivision 2; 116.17, subdivision 2; 116.44, 
                  subdivision 1; 116C.06, subdivision 1; 116O.05, 
                  subdivision 3; 123.3514, subdivision 8; 124.41, 
                  subdivision 2; 124.46, subdivision 2; 124.648, 
                  subdivision 3; 128C.02, subdivision 4; 129C.10, 
                  subdivision 3; 136A.40; 145.925, subdivision 9; 
                  147A.26; 148B.66, subdivision 3; 148C.03, subdivision 
                  1; 150A.04, subdivision 5; 152.02, subdivision 12; 
                  153A.15, subdivision 3; 161.1231, subdivision 5; 
                  167.50, subdivision 2; 169.06, subdivision 1; 169.452; 
                  169.99, subdivision 2; 171.321, subdivision 2; 174.51, 
                  subdivision 2; 176.102, subdivision 2; 176.136, 
                  subdivision 1a; 176A.08; 182.655, subdivision 1; 
                  216D.03, subdivision 2; 240A.02, subdivision 2; 
                  244.13, subdivision 1; 245.494, subdivision 1; 
                  245A.09, subdivision 10; 256.027; 256.9357, 
                  subdivision 3; 256.9685, subdivision 1; 256.969, 
                  subdivision 3a; 256B.431, subdivision 2e; 256B.434, 
                  subdivision 12; 256B.501, subdivision 10; 256B.502; 
                  256B.503; 273.112, subdivision 6a; 299F.093, 
                  subdivision 1; 325F.665, subdivision 6; 346.58; 
                  347.51, subdivision 2a; 401.03; 458A.03, subdivision 
                  2; 474A.17; 475A.06, subdivision 2; 507.09; 518.14, 
                  subdivision 2; 518.611, subdivision 9; 518.613, 
                  subdivision 6; 518.64, subdivision 5; 518.641, 
                  subdivision 4; 624.22, subdivision 1; and 624.7151; 
                  Laws 1988, chapter 688, article 21, section 7, 
                  subdivision 1; and Laws 1991, chapter 265, article 4, 
                  section 28; proposing coding for new law in Minnesota 
                  Statutes, chapters 14; and 128C; repealing Minnesota 
                  Statutes 1996, sections 14.38, subdivisions 5, 6, 7, 
                  8, and 9; 14.387; 126.56, subdivision 8; 214.06, 
                  subdivision 3; 469.173, subdivision 2; and 469.308, 
                  subdivision 2. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
                                   ARTICLE 1
                   EXEMPTIONS ELIMINATED OR NO LONGER NEEDED; 
                              RULEMAKING REQUIRED 
           Section 1.  Minnesota Statutes 1996, section 32.394, 
        subdivision 12, is amended to read: 
           Subd. 12.  [WATER TESTING GUIDELINES.] The commissioner of 
        agriculture, in consultation with the commissioner of health, 
        shall establish guidelines for the testing required under 
        section 32.394, subdivision 11, clause (3).  The guidelines are 
        not subject to chapter 14. 
           Sec. 2.  Minnesota Statutes 1996, section 41B.07, is 
        amended to read: 
           41B.07 [RULES.] 
           The authority may adopt rules for the efficient 
        administration of sections 41B.01 to 41B.23.  The rules need not 
        be adopted in compliance with chapter 14. 
           Sec. 3.  Minnesota Statutes 1996, section 41C.13, is 
        amended to read: 
           41C.13 [RULES.] 
           The authority may adopt rules for the efficient 
        administration of this chapter.  The rules need not be adopted 
        in compliance with chapter 14. 
           Sec. 4.  Minnesota Statutes 1996, section 43A.182, is 
        amended to read: 
           43A.182 [PAYMENT OF SALARY DIFFERENTIAL FOR RESERVE FORCES 
        ON ACTIVE DUTY.] 
           Each agency head shall pay to each eligible member of the 
        reserve components of the armed forces of the United States an 
        amount equal to the difference between the member's basic active 
        duty military salary and the salary the member would be paid as 
        an active state employee, including any adjustments the member 
        would have received if not on leave of absence.  This payment 
        may be made only to a person whose basic active duty military 
        salary is less than the salary the person would be paid as an 
        active state employee.  Payments must be made at the intervals 
        at which the member received pay as a state employee.  Back pay 
        authorized by this section may be paid in a lump sum.  Such pay 
        shall not extend beyond four years from the date the employee 
        was called to active duty plus such additional time in each case 
        as such employee may be required to serve pursuant to law. 
           An eligible member of the reserve components of the armed 
        forces of the United States is a reservist or National Guard 
        member who was an employee of the state of Minnesota at the time 
        the member was called to active duty and who was or is called to 
        active duty after August 1, 1990, because of Operation Desert 
        Shield, Operation Desert Storm, or any other action taken by the 
        armed forces relating to hostilities between the United States 
        and the Republic of Iraq. 
           For the purposes of this section, an employee of the state 
        is an employee of the executive, judicial, or legislative 
        branches of state government or an employee of the Minnesota 
        state retirement system, the public employee retirement 
        association, or the teachers retirement association. 
           The commissioner of employee relations and the commissioner 
        of finance shall adopt procedures required to implement this 
        section.  The procedures are exempt from chapter 14.  
           Sec. 5.  Minnesota Statutes 1996, section 62J.04, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [LIMITS ON THE RATE OF GROWTH.] (a) The 
        commissioner of health shall set annual limits on the rate of 
        growth of public and private spending on health care services 
        for Minnesota residents, as provided in paragraph (b).  The 
        limits on growth must be set at levels the commissioner 
        determines to be realistic and achievable but that will reduce 
        the rate of growth in health care spending by at least ten 
        percent per year for the next five years.  The commissioner 
        shall set limits on growth based on available data on spending 
        and growth trends, including data from group purchasers, 
        national data on public and private sector health care spending 
        and cost trends, and trend information from other states. 
           (b) The commissioner shall set the following annual limits 
        on the rate of growth of public and private spending on health 
        care services for Minnesota residents: 
           (1) for calendar year 1994, the rate of growth must not 
        exceed the change in the regional consumer price index for urban 
        consumers for calendar year 1993 plus 6.5 percentage points; 
           (2) for calendar year 1995, the rate of growth must not 
        exceed the change in the regional consumer price index for urban 
        consumers for calendar year 1994 plus 5.3 percentage points; 
           (3) for calendar year 1996, the rate of growth must not 
        exceed the change in the regional consumer price index for urban 
        consumers for calendar year 1995 plus 4.3 percentage points; 
           (4) for calendar year 1997, the rate of growth must not 
        exceed the change in the regional consumer price index for urban 
        consumers for calendar year 1996 plus 3.4 percentage points; and 
           (5) for calendar year 1998, the rate of growth must not 
        exceed the change in the regional consumer price index for urban 
        consumers for calendar year 1997 plus 2.6 percentage points. 
           The commissioner shall adjust the growth limit set for 
        calendar year 1995 to recover savings in health care spending 
        required for the period July 1, 1993 to December 31, 1993.  The 
        commissioner shall publish: 
           (1) the projected limits in the State Register by April 15 
        of the year immediately preceding the year in which the limit 
        will be effective except for the year 1993, in which the limit 
        shall be published by July 1, 1993; 
           (2) the quarterly change in the regional consumer price 
        index for urban consumers; and 
           (3) the health care financing administration forecast for 
        total growth in the national health care expenditures.  In 
        setting an annual limit, the commissioner is exempt from the 
        rulemaking requirements of chapter 14.  The commissioner's 
        decision on an annual limit is not appealable. 
           Sec. 6.  Minnesota Statutes 1996, section 62N.25, 
        subdivision 6, is amended to read: 
           Subd. 6.  [SOLVENCY.] A community integrated service 
        network is exempt from the deposit, reserve, and solvency 
        requirements specified in sections 62D.041, 62D.042, 62D.043, 
        and 62D.044 and shall comply instead with sections 62N.27 to 
        62N.32.  In applying sections 62N.27 to 62N.32, the commissioner 
        is exempt from the rulemaking requirements of chapter 14.  
        However, To the extent that there are analogous definitions or 
        procedures in chapter 62D or in rules promulgated thereunder, 
        the commissioner shall follow those existing provisions rather 
        than adopting a contrary approach or interpretation.  This 
        rulemaking exemption shall expire on June 1, 1995. 
           Sec. 7.  Minnesota Statutes 1996, section 84.98, 
        subdivision 2, is amended to read: 
           Subd. 2.  [PLAN.] (a) The commissioner of natural resources 
        shall develop a plan for the Minnesota conservation corps to 
        provide: 
           (1) equal opportunities of employment for youths with 
        preference given to youths who are economically, socially, 
        physically, or educationally disadvantaged and youths residing 
        in areas of substantial unemployment; 
           (2) equal opportunity for female and male youths; 
           (3) summer youth programs and year-round young adult 
        programs; 
           (4) ways in which exclusive bargaining representatives are 
        to be involved in regard to the planning and implementation of 
        positions and job duties of persons employed in projects; 
           (5) methods for coordinating the programs of the Minnesota 
        conservation corps with other publicly authorized or subsidized 
        programs in cooperation with the commissioners of children, 
        families, and learning and economic security, the workforce 
        development council, and other state and local youth service and 
        education entities; 
           (6) programs for participants to be assisted in gaining 
        employment or training upon completing the projects, including, 
        where feasible, in cooperation with the department of economic 
        security and educational agencies, arranging for career 
        assessment and planning services designed to enhance participant 
        transition from the Minnesota conservation corps to future 
        employment or education; 
           (7) a remedial education component utilizing, as resources 
        permit and where feasible, the services of the department of 
        economic security and educational agencies including instruction 
        in life skills and basic remedial skills for participants who 
        are deficient in the skills or who have not completed high 
        school; 
           (8) the manner of allocating the services of Minnesota 
        conservation corps members to the various divisions of the 
        department of natural resources, to other state, local, and 
        federal governmental conservation and natural resource managers, 
        and to federally recognized Indian tribes or bands; 
           (9) standards of conduct and other operating guidelines for 
        Minnesota conservation corps members; and 
           (10) a determination of preference for projects that will 
        provide long-term benefits to the public, will provide 
        productive work and public service experience to Minnesota 
        conservation corps members, will be primarily labor intensive, 
        and will provide a significant return on taxpayer investment.  
           (b) The commissioner shall establish the plan 
        notwithstanding chapter 14.  No later than July 1, 1990, the 
        plan established under this paragraph subdivision shall be 
        adopted under the rulemaking provisions of chapter 14.  
           Sec. 8.  Minnesota Statutes 1996, section 88.80, 
        subdivision 2, is amended to read: 
           Subd. 2.  [PILOT PROJECT.] The commissioner shall establish 
        an aspen recycling program pilot project in the highest priority 
        area on state lands in order to develop effective program 
        procedures and practices.  With respect to the pilot project, 
        the commissioner may restrict bidding on contracts for the 
        cutting, removal, and disposal of aspens, and for related 
        activities, to loggers and others residing in the pilot project 
        area designated under the program that are financially 
        distressed.  The commissioner may establish standards and 
        procedures for awarding logging contracts, notwithstanding 
        chapter 14, relating to eligibility for employment for 
        conservation work projects. 
           Sec. 9.  Minnesota Statutes 1996, section 115A.11, 
        subdivision 2, is amended to read: 
           Subd. 2.  [PROCEDURE.] The plan and the procedures for 
        hearings on the plan are not subject to the rulemaking or 
        contested case provisions of chapter 14.  Before revising the 
        draft plan or amending its adopted plan, the office shall 
        provide notice and hold a public meeting.  
           Sec. 10.  Minnesota Statutes 1996, section 115A.20, is 
        amended to read: 
           115A.20 [EVALUATION OF SITES.] 
           The office shall not be required to promulgate rules 
        pursuant to chapter 14 to govern its evaluation and selection of 
        sites for commercial stabilization and containment facilities 
        under sections 115A.18 to 115A.30, nor shall the agency be 
        required to promulgate rules pursuant to chapter 14 on criteria 
        and standards to govern its certification of intrinsic 
        suitability of sites for commercial stabilization and 
        containment facilities under sections 115A.18 to 115A.30.  In 
        evaluating and selecting sites for stabilization and containment 
        facilities, the office shall consider at least the following 
        factors: 
           (a) economic feasibility, including proximity to 
        concentrations of generators of the types of hazardous wastes 
        likely to be proposed and permitted for stabilization and 
        containment; 
           (b) intrinsic suitability of the sites; 
           (c) federal and state pollution control and environmental 
        protection rules; 
           (d) the risk and effect for local residents, units of 
        government, and the local public health, safety, and welfare, 
        including such dangers as an accidental release of wastes during 
        transportation to a facility or at a facility, water, air, and 
        land pollution, and fire or explosion; 
           (e) the consistency of a facility with, and its effect on, 
        existing and planned local land use and development; local laws, 
        ordinances, and permits; and local public facilities and 
        services; 
           (f) the adverse effects of a facility at the site on 
        agriculture and natural resources and opportunities to mitigate 
        or eliminate such adverse effects by stipulations, conditions, 
        and requirements respecting the design and operation of a 
        disposal facility at the proposed site. 
           No land shall be excluded from consideration except land 
        determined by the agency to be intrinsically unsuitable for the 
        use intended. 
           Nothing in this section shall be construed as granting the 
        office an exemption from the rulemaking requirements of chapter 
        14 if the agency adopts statements of general applicability and 
        future effect, including amendments, suspensions, and repeals of 
        rules, adopted to implement or make specific the law enforced or 
        administered by the agency or to govern the organization and 
        procedure. 
           Sec. 11.  Minnesota Statutes 1996, section 116.44, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [LIST OF AREAS.] By January 1, 1983, the 
        pollution control agency shall publish a preliminary list of 
        counties determined to contain natural resources sensitive to 
        the impacts of acid deposition.  Sensitive areas shall be 
        designated on the basis of:  
           (a) the presence of plants and animal species which are 
        sensitive to acid deposition; 
           (b) geological information identifying those areas which 
        have insoluble bedrock which is incapable of adequately 
        neutralizing acid deposition; and 
           (c) existing acid deposition reports and data prepared by 
        the pollution control agency and the federal environmental 
        protection agency.  The pollution control agency shall conduct 
        public meetings on the preliminary list of acid deposition 
        sensitive areas.  Meetings shall be concluded by March 1, 1983, 
        and a final list published by May 1, 1983.  The list shall not 
        be subject to the rulemaking or contested case provisions of 
        chapter 14. 
           Sec. 12.  Minnesota Statutes 1996, section 123.3514, 
        subdivision 8, is amended to read: 
           Subd. 8.  [TRANSPORTATION.] A parent or guardian of a pupil 
        enrolled in a course for secondary credit may apply to the 
        pupil's district of residence for reimbursement for transporting 
        the pupil between the secondary school in which the pupil is 
        enrolled or the pupil's home and the post-secondary institution 
        that the pupil attends.  The commissioner shall establish 
        guidelines for providing state aid to districts to reimburse the 
        parent or guardian for the necessary transportation costs, which 
        shall be based on financial need.  The reimbursement may not 
        exceed the pupil's actual cost of transportation or 15 cents per 
        mile traveled, whichever is less.  Reimbursement may not be paid 
        for more than 250 miles per week.  However, if the nearest 
        post-secondary institution is more than 25 miles from the 
        pupil's resident secondary school, the weekly reimbursement may 
        not exceed the reimbursement rate per mile times the actual 
        distance between the secondary school or the pupil's home and 
        the nearest post-secondary institution times ten.  The state 
        shall pay aid to the district according to the guidelines 
        established under this subdivision.  Chapter 14 does not apply 
        to the guidelines. 
           Sec. 13.  Minnesota Statutes 1996, section 129C.10, 
        subdivision 3, is amended to read: 
           Subd. 3.  [POWERS AND DUTIES OF BOARD.] (a) The board has 
        the powers necessary for the care, management, and control of 
        the Lola and Rudy Perpich Minnesota center for arts education 
        and all its real and personal property.  The powers shall 
        include, but are not limited to, those listed in this 
        subdivision. 
           (b) The board may employ and discharge necessary employees, 
        and contract for other services to ensure the efficient 
        operation of the center for arts education. 
           (c) The board may receive and award grants.  The board may 
        establish a charitable foundation and accept, in trust or 
        otherwise, any gift, grant, bequest, or devise for educational 
        purposes and hold, manage, invest, and dispose of them and the 
        proceeds and income of them according to the terms and 
        conditions of the gift, grant, bequest, or devise and its 
        acceptance.  The board shall adopt internal procedures to 
        administer and monitor aids and grants. 
           (d) The board may establish or coordinate evening, 
        continuing education, extension, and summer programs for 
        teachers and pupils. 
           (e) The board may identify pupils who have artistic talent, 
        either demonstrated or potential, in dance, literary arts, media 
        arts, music, theater, and visual arts, or in more than one art 
        form. 
           (f) The board shall educate pupils with artistic talent by 
        providing:  
           (1) an interdisciplinary academic and arts program for 
        pupils in the 11th and 12th grades.  The total number of pupils 
        accepted under this clause and clause (2) shall not exceed 300; 
           (2) additional instruction to pupils for a 13th grade. 
        Pupils eligible for this instruction are those enrolled in 12th 
        grade who need extra instruction and who apply to the board, or 
        pupils enrolled in the 12th grade who do not meet learner 
        outcomes established by the board.  Criteria for admission into 
        the 13th grade shall not be subject to chapter 14; 
           (3) intensive arts seminars for one or two weeks for pupils 
        in grades 9 to 12; 
           (4) summer arts institutes for pupils in grades 9 to 12; 
           (5) artist mentor and extension programs in regional sites; 
        and 
           (6) teacher education programs for indirect curriculum 
        delivery. 
           (g) The board may determine the location for the Lola and 
        Rudy Perpich Minnesota center for arts education and any 
        additional facilities related to the center, including the 
        authority to lease a temporary facility. 
           (h) The board must plan for the enrollment of pupils on an 
        equal basis from each congressional district.  
           (i) The board may establish task forces as needed to advise 
        the board on policies and issues.  The task forces expire as 
        provided in section 15.059, subdivision 6.  
           (j) The board may request the commissioner of children, 
        families, and learning for assistance and services. 
           (k) The board may enter into contracts with other public 
        and private agencies and institutions for residential and 
        building maintenance services if it determines that these 
        services could be provided more efficiently and less expensively 
        by a contractor than by the board itself.  The board may also 
        enter into contracts with public or private agencies and 
        institutions, school districts or combinations of school 
        districts, or service cooperatives to provide supplemental 
        educational instruction and services. 
           (l) The board may provide or contract for services and 
        programs by and for the center for arts education, including a 
        store, operating in connection with the center; theatrical 
        events; and other programs and services that, in the 
        determination of the board, serve the purposes of the center. 
           (m) The board may provide for transportation of pupils to 
        and from the center for arts education for all or part of the 
        school year, as the board considers advisable and subject to its 
        rules.  Notwithstanding any other law to the contrary, the board 
        may charge a reasonable fee for transportation of pupils.  Every 
        driver providing transportation of pupils under this paragraph 
        must possess all qualifications required by the state board of 
        education.  The board may contract for furnishing authorized 
        transportation under rules established by the commissioner of 
        children, families, and learning and may purchase and furnish 
        gasoline to a contract carrier for use in the performance of a 
        contract with the board for transportation of pupils to and from 
        the center for arts education.  When transportation is provided, 
        scheduling of routes, establishment of the location of bus 
        stops, the manner and method of transportation, the control and 
        discipline of pupils, and any other related matter is within the 
        sole discretion, control, and management of the board. 
           (n) The board may provide room and board for its pupils.  
        If the board provides room and board, it shall charge a 
        reasonable fee for the room and board.  The fee is not subject 
        to chapter 14 and is not a prohibited fee according to sections 
        120.71 to 120.76. 
           (o) The board may establish and set fees for services and 
        programs without regard to chapter 14.  If the board sets fees 
        not authorized or prohibited by the Minnesota public school fee 
        law, it may do so without complying with the requirements of 
        section 120.75, subdivision 1. 
           Sec. 14.  Minnesota Statutes 1996, section 169.452, is 
        amended to read: 
           169.452 [ACCIDENT AND SERIOUS INCIDENT REPORTING.] 
           (a) The department commissioner of public safety shall 
        adopt rules to: 
           (1) develop uniform definitions of a school bus accident, 
        an incident of serious misconduct, and an incident that results 
        in personal injury or death.  The department shall; and 
           (2) determine what type of information on school bus 
        accidents and incidents, including criminal conduct, and bus 
        driver dismissals for cause should be collected and. 
           (b) The commissioner shall develop a uniform accident and 
        incident reporting form to collect those data, including data 
        relating to type III vehicles, statewide.  In addition to the 
        form, the department shall have an alternative method of 
        reporting that allows school districts to use computer 
        technology to provide the required information.  School 
        districts shall report the information required by the 
        department using either format.  A school district must not be 
        charged for reporting forms or reporting procedures under this 
        section.  This paragraph is not subject to chapter 14. 
           (c) Data collected under this section shall be analyzed to 
        help develop accident, crime, and misconduct prevention 
        programs.  This section is not subject to chapter 14. 
           Sec. 15.  Minnesota Statutes 1996, section 216D.03, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ESTABLISHMENT OF NOTIFICATION CENTER.] (a) The 
        notification center services must be provided by a nonprofit 
        corporation approved in writing by the commissioner.  A group or 
        nonprofit corporation that intends to seek approval under this 
        paragraph shall notify the commissioner by September 1, 1987, of 
        the date, time, and location of its first meeting.  The 
        commissioner shall provide advance notice of the first 
        organizational meeting by publication in qualified legal 
        newspapers and in appropriate trade journals and by written 
        notice to all appropriate trade associations.  The nonprofit 
        corporation must be governed by a board of directors of up to 20 
        members, one of whom is the director of the office of pipeline 
        safety.  The other board members must represent and be elected 
        by operators, excavators, and other persons eligible to 
        participate in the center.  By November 1, 1987, the board 
        shall, with input from all interested parties, determine the 
        operating procedures and technology needed for a single 
        statewide notification center and establish a notification 
        process and competitive bidding procedure to select a vendor to 
        provide the notification service.  In deciding to approve a 
        nonprofit corporation, the commissioner shall consider whether 
        it meets the requirements of this paragraph and whether it 
        demonstrates that it has the ability to contract for and 
        implement the notification center service. 
           (b) If the commissioner has not approved a nonprofit 
        corporation under paragraph (a) by January 1, 1988, the 
        commissioner shall follow the procedure in this paragraph.  The 
        commissioner shall prepare a preliminary draft of adopt rules: 
           (1) establishing a notification process and competitive 
        bidding procedure for selecting a vendor to provide the 
        notification service; 
           (2) governing the operating procedures and technology 
        needed for a statewide notification center; and 
           (3) setting forth the method for assessing the cost of the 
        service among operators.  After holding at least one public 
        hearing on the preliminary draft following notice given in the 
        manner required by paragraph (a), the commissioner shall adopt 
        final operating procedures, technology, and assessment methods.  
        The preliminary draft, public hearings, and final adoption are 
        not subject to chapter 14.  By June 1, 1988, 
           (c) The commissioner shall select a vendor to provide the 
        notification center service.  The commissioner shall may 
        advertise for bids as provided in section 16B.07, subdivision 3, 
        and base the selection of a vendor on an identification of the 
        lowest responsible bidder as provided in section 16B.09, 
        subdivision 1.  The commissioner shall select and contract with 
        the vendor to provide the notification center service, but all 
        costs of the center must be paid by the operators.  The 
        commissioner may at any time appoint a task force to advise on 
        the renewal of the contract or any other matter involving the 
        center's operations. 
           (c) The notification center must be in operation by October 
        1, 1988.  (d) An operator may submit a bid and be selected to 
        contract to provide the notification center service under 
        paragraph (a) or (b) (c).  The commissioner shall annually 
        review the services provided by the nonprofit corporation 
        approved under paragraph (a) or the vendor selected under 
        paragraph (b) (c). 
           Sec. 16.  Minnesota Statutes 1996, section 245.494, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [CHILDREN'S CABINET.] The children's 
        cabinet, in consultation with the integrated fund task force, 
        shall: 
           (1) assist local children's mental health collaboratives in 
        meeting the requirements of sections 245.491 to 245.496, by 
        seeking consultation and technical assistance from national 
        experts and coordinating presentations and assistance from these 
        experts to local children's mental health collaboratives; 
           (2) assist local children's mental health collaboratives in 
        identifying an economically viable operational target 
        population; 
           (3) develop methods to reduce duplication and promote 
        coordinated services including uniform forms for reporting, 
        billing, and planning of services; 
           (4) by September 1, 1994, develop a model multiagency plan 
        of care that can be used by local children's mental health 
        collaboratives in place of an individual education plan, 
        individual family community support plan, individual family 
        support plan, and an individual treatment plan; 
           (5) assist in the implementation and operation of local 
        children's mental health collaboratives by facilitating the 
        integration of funds, coordination of services, and measurement 
        of results, and by providing other assistance as needed; 
           (6) by July 1, 1993, develop a procedure for awarding 
        start-up funds.  Development of this procedure shall be exempt 
        from chapter 14; 
           (7) develop procedures and provide technical assistance to 
        allow local children's mental health collaboratives to integrate 
        resources for children's mental health services with other 
        resources available to serve children in the target population 
        in order to maximize federal participation and improve 
        efficiency of funding; 
           (8) (7) ensure that local children's mental health 
        collaboratives and the services received through these 
        collaboratives meet the requirements set out in sections 245.491 
        to 245.496; 
           (9) (8) identify base level funding from state and federal 
        sources across systems; 
           (10) (9) explore ways to access additional federal funds 
        and enhance revenues available to address the needs of the 
        target population; 
           (11) (10) develop a mechanism for identifying the state 
        share of funding for services to children in the target 
        population and for making these funds available on a per capita 
        basis for services provided through the local children's mental 
        health collaborative to children in the target population.  Each 
        year beginning January 1, 1994, forecast the growth in the state 
        share and increase funding for local children's mental health 
        collaboratives accordingly; 
           (12) (11) identify barriers to integrated service systems 
        that arise from data practices and make recommendations 
        including legislative changes needed in the data practices act 
        to address these barriers; and 
           (13) (12) annually review the expenditures of local 
        children's mental health collaboratives to ensure that funding 
        for services provided to the target population continues from 
        sources other than the federal funds earned under sections 
        245.491 to 245.496 and that federal funds earned are spent 
        consistent with sections 245.491 to 245.496. 
           Sec. 17.  Minnesota Statutes 1996, section 256.027, is 
        amended to read: 
           256.027 [USE OF VANS PERMITTED.] 
           The commissioner, after consultation with the commissioner 
        of public safety, shall prescribe procedures to permit the 
        occasional use of lift-equipped vans that have been financed, in 
        whole or in part, by public money to transport an individual 
        whose own lift-equipped vehicle is unavailable because of 
        equipment failure and who is thus unable to complete a trip home 
        or to a medical facility.  For purposes of prescribing these 
        procedures, the commissioner is exempt from the provisions of 
        chapter 14.  The commissioner shall encourage publicly financed 
        lift-equipped vans to be made available to a county sheriff's 
        department, and to other persons who are qualified to drive the 
        vans and who are also qualified to assist the individual in need 
        of transportation, for this purpose. 
           Sec. 18.  Minnesota Statutes 1996, section 256.9357, 
        subdivision 3, is amended to read: 
           Subd. 3.  [PERIOD UNINSURED.] To be eligible for subsidized 
        premium payments based on a sliding scale, families and 
        individuals initially enrolled in the MinnesotaCare program 
        under section 256.9354, subdivisions 4 and 5, must have had no 
        health coverage for at least four months prior to application.  
        The commissioner may change this eligibility criterion for 
        sliding scale premiums without complying with rulemaking 
        requirements in order to remain within the limits of available 
        appropriations.  The requirement of at least four months of no 
        health coverage prior to application for the MinnesotaCare 
        program does not apply to: 
           (1) families, children, and individuals who want to apply 
        for the MinnesotaCare program upon termination from the medical 
        assistance program, general assistance medical care program, or 
        coverage under a regional demonstration project for the 
        uninsured funded under section 256B.73, the Hennepin county 
        assured care program, or the Group Health, Inc., community 
        health plan; 
           (2) families and individuals initially enrolled under 
        section 256.9354, subdivisions 1, paragraph (a), and 2; 
           (3) children enrolled pursuant to Laws 1992, chapter 549, 
        article 4, section 17; or 
           (4) individuals currently serving or who have served in the 
        military reserves, and dependents of these individuals, if these 
        individuals:  (i) reapply for MinnesotaCare coverage after a 
        period of active military service during which they had been 
        covered by the Civilian Health and Medical Program of the 
        Uniformed Services (CHAMPUS); (ii) were covered under 
        MinnesotaCare immediately prior to obtaining coverage under 
        CHAMPUS; and (iii) have maintained continuous coverage. 
           Sec. 19.  Minnesota Statutes 1996, section 256.9685, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [AUTHORITY.] The commissioner shall 
        establish procedures for determining medical assistance and 
        general assistance medical care payment rates under a 
        prospective payment system for inpatient hospital services in 
        hospitals that qualify as vendors of medical assistance.  The 
        commissioner shall establish, by rule, procedures for 
        implementing this section and sections 256.9686, 256.969, and 
        256.9695.  The medical assistance payment rates must be based on 
        methods and standards that the commissioner finds are adequate 
        to provide for the costs that must be incurred for the care of 
        recipients in efficiently and economically operated hospitals.  
        Services must meet the requirements of section 256B.04, 
        subdivision 15, or 256D.03, subdivision 7, paragraph (b), to be 
        eligible for payment. except the commissioner may establish 
        exemptions to specific requirements based on diagnosis, 
        procedure, or service after notice in the State Register and a 
        30-day comment period.  
           Sec. 20.  Minnesota Statutes 1996, section 256.969, 
        subdivision 3a, is amended to read: 
           Subd. 3a.  [PAYMENTS.] Acute care hospital billings under 
        the medical assistance program must not be submitted until the 
        recipient is discharged.  However, the commissioner shall 
        establish monthly interim payments for inpatient hospitals that 
        have individual patient lengths of stay over 30 days regardless 
        of diagnostic category.  To establish interim rates, the 
        commissioner is exempt from the requirements of chapter 14.  
        Medical assistance reimbursement for treatment of mental illness 
        shall be reimbursed based on diagnostic classifications.  The 
        commissioner may selectively contract with hospitals for 
        services within the diagnostic categories relating to mental 
        illness and chemical dependency under competitive bidding when 
        reasonable geographic access by recipients can be assured.  No 
        physician shall be denied the privilege of treating a recipient 
        required to use a hospital under contract with the commissioner, 
        as long as the physician meets credentialing standards of the 
        individual hospital.  Individual hospital payments established 
        under this section and sections 256.9685, 256.9686, and 
        256.9695, in addition to third party and recipient liability, 
        for discharges occurring during the rate year shall not exceed, 
        in aggregate, the charges for the medical assistance covered 
        inpatient services paid for the same period of time to the 
        hospital.  This payment limitation shall be calculated 
        separately for medical assistance and general assistance medical 
        care services.  The limitation on general assistance medical 
        care shall be effective for admissions occurring on or after 
        July 1, 1991.  Services that have rates established under 
        subdivision 11 or 12, must be limited separately from other 
        services.  After consulting with the affected hospitals, the 
        commissioner may consider related hospitals one entity and may 
        merge the payment rates while maintaining separate provider 
        numbers.  The operating and property base rates per admission or 
        per day shall be derived from the best Medicare and claims data 
        available when rates are established.  The commissioner shall 
        determine the best Medicare and claims data, taking into 
        consideration variables of recency of the data, audit 
        disposition, settlement status, and the ability to set rates in 
        a timely manner.  The commissioner shall notify hospitals of 
        payment rates by December 1 of the year preceding the rate 
        year.  The rate setting data must reflect the admissions data 
        used to establish relative values.  Base year changes from 1981 
        to the base year established for the rate year beginning January 
        1, 1991, and for subsequent rate years, shall not be limited to 
        the limits ending June 30, 1987, on the maximum rate of increase 
        under subdivision 1.  The commissioner may adjust base year 
        cost, relative value, and case mix index data to exclude the 
        costs of services that have been discontinued by the October 1 
        of the year preceding the rate year or that are paid separately 
        from inpatient services.  Inpatient stays that encompass 
        portions of two or more rate years shall have payments 
        established based on payment rates in effect at the time of 
        admission unless the date of admission preceded the rate year in 
        effect by six months or more.  In this case, operating payment 
        rates for services rendered during the rate year in effect and 
        established based on the date of admission shall be adjusted to 
        the rate year in effect by the hospital cost index. 
           Sec. 21.  Minnesota Statutes 1996, section 273.112, 
        subdivision 6a, is amended to read: 
           Subd. 6a.  The commissioner of revenue shall develop and 
        issue guidelines for qualification by private golf clubs under 
        this section covering the access to and use of the golf course 
        by members and other adults so as to be consistent with the 
        purposes and terms of this section.  The guidelines shall be 
        mailed to the county attorney and assessor of each county not 
        later than 60 days following May 26, 1989.  Within 15 days of 
        receipt of the guidelines from the commissioner, the assessor 
        shall mail a copy of the guidelines to each golf club in the 
        county.  The guidelines issued under this subdivision are not 
        subject to the administrative procedure act under chapter 14. 
           Sec. 22.  Minnesota Statutes 1996, section 299F.093, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [DUTIES; RULES.] (a) The commissioner shall:
           (1) adopt rules no later than July 1, 1987, with the advice 
        of the hazardous substance notification advisory committee, 
        establishing the form and content of the hazardous substance 
        notification report form, as required by section 299F.094, and 
        describing one or more hazard categories with specified ranges 
        of quantities in each hazard category, representing increments 
        of substantially increased risk; 
           (2) print and provide to individual fire departments the 
        requested number of hazardous substance notification reports, 
        which must be made available to a fire department no more than 
        90 days following its request, for the fire department to mail 
        or otherwise make available to employers in the jurisdiction; 
           (3) report to the legislature, as needed, on the 
        effectiveness of sections 299F.091 to 299F.099 and recommend 
        amendments to sections 299F.091 to 299F.099 that are considered 
        necessary; 
           (4) adopt rules to implement sections 299F.091 to 299F.099, 
        compatible with the Minnesota Uniform Fire Code so as to not 
        limit the authority of local fire officials under that code; and 
           (5) adopt rules that are based on the most recent standard 
        704, adopted by the National Fire Protection Association, and 
        that allow a fire department to require employers within its 
        jurisdiction to post signs conforming to standard 704, and 
        indicating the presence of hazardous substances.  If the signs 
        are required, a fire department shall supply the signs or 
        provide information to assist an employer to obtain them.  
           (b) The commissioner shall adopt criteria and guidelines, 
        with the concurrence of the hazardous substance notification 
        advisory committee, for the disbursement of funds pursuant to 
        Laws 1986, First Special Session chapter 1, article 10, section 
        20, subdivision 1.  These criteria and guidelines are exempt 
        from the Minnesota administrative procedure act. 
           Sec. 23.  Minnesota Statutes 1996, section 624.22, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [GENERAL REQUIREMENTS; PERMIT; 
        INVESTIGATION; FEE.] (a) Sections 624.20 to 624.25 shall do not 
        prohibit the supervised display of fireworks by a statutory or 
        home rule charter city, fair association, amusement park, or 
        other organization, except that: 
           (1) a fireworks display may be conducted only when 
        supervised by an operator certified by the state fire marshal; 
        and 
           (2) a fireworks display must either be given by a 
        municipality or fair association within its own limits, or by 
        any other organization, whether public or private, only after a 
        permit for the display has first been secured.  
           (b) Every An application for such a permit shall must be 
        made in writing to the municipal clerk at least 15 days in 
        advance of the date of the display and shall must list the name 
        of an operator who (1) is certified by the state fire marshal 
        and (2) will supervise the display.  The application shall must 
        be promptly referred to the chief of the fire department, who 
        shall make an investigation to determine whether the operator of 
        the display is competent and is certified by the state fire 
        marshal, and whether the display is of such a character and is 
        to be so located, discharged, or fired that it will not be 
        hazardous to property or endanger any person.  The fire chief 
        shall report the results of this investigation to the clerk.  If 
        the fire chief reports that the operator is certified, that in 
        the chief's opinion the operator is competent, and that the 
        fireworks display as planned will conform to the safety 
        guidelines of the state fire marshal provided for in paragraph 
        (e), the clerk shall issue a permit for the display when the 
        applicant pays a permit fee.  
           (c) When the supervised fireworks display for which a 
        permit is sought is to be held outside the limits of an 
        incorporated municipality, the application shall must be made to 
        the county auditor, and the auditor shall perform duties imposed 
        by sections 624.20 to 624.25 upon the clerk of the 
        municipality shall be performed in such case by the county 
        auditor.  When an application is made to the auditor, the county 
        sheriff shall perform the duties imposed on the fire chief of 
        the municipality by sections 624.20 to 624.25 shall be performed 
        in such case by the county sheriff.  
           (d) After such a permit shall have has been granted, sales, 
        possession, use and distribution of fireworks for such a display 
        shall be are lawful for that purpose only.  No A permit so 
        granted shall be is not transferable.  
           (e) By January 1, 1996, The state fire marshal shall adopt 
        and disseminate to political subdivisions reasonable rules 
        establishing guidelines on fireworks display safety, which are 
        exempt from chapter 14, that are consistent with sections 624.20 
        to 624.25 and the most recent editions of the Minnesota Uniform 
        Fire Code and the National Fire Protection Association 
        Standards, to insure that fireworks displays are given safely.  
        In the guidelines, the state fire marshal shall allow political 
        subdivisions to exempt the use of relatively safe fireworks for 
        theatrical special effects, ceremonial occasions, and other 
        limited purposes, as determined by the state fire marshal. 
           Sec. 24.  Laws 1988, chapter 688, article 21, section 7, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [REVOLVING LOAN FUND.] $1,000,000 is 
        appropriated from the general fund to the commissioner of 
        agriculture to be credited to a revolving loan account for 
        low-interest loans to farmers to adopt sustainable agriculture 
        practices.  Money in the account does not cancel but is 
        appropriated to the commissioner of agriculture to make 
        low-interest loans to farmers under this subdivision.  
        Notwithstanding chapter 14, The commissioner shall prescribe 
        procedures for application and implementation of the program. 
           Sec. 25.  Laws 1991, chapter 265, article 4, section 28, is 
        amended to read: 
           Sec. 28.  [COMMISSIONER OF EDUCATION TO ESTABLISH 
        ELIGIBILITY STANDARDS.] 
           The commissioner of education shall establish standards to 
        determine the eligibility of an individual to take a GED test at 
        a reduced cost.  The standards shall be established without 
        rulemaking under Minnesota Statutes, chapter 14.  The standards 
        shall include the following: 
           (1) the individual shall have resided in Minnesota at least 
        90 days; 
           (2) the individual is not currently enrolled in a program 
        leading to a high school diploma; and 
           (3) the individual shall not take more than three tests at 
        a reduced cost. 
           Sec. 26.  [EFFECT OF ELIMINATION OF EXEMPTION AUTHORITY.] 
           The elimination of rulemaking exemption authority in this 
        article does not affect the validity of agency statements of 
        general applicability and future effect adopted before the 
        effective date of this section to implement or make specific the 
        law enforced or administered by the agency or to govern its 
        organization or procedure. 
           Sec. 27.  [REPEALER.] 
           Minnesota Statutes 1996, section 126.56, subdivision 8, is 
        repealed. 
           Sec. 28.  [EFFECTIVE DATE.] 
           This article is effective June 30, 1997. 
                                   ARTICLE 2
            EXEMPTIONS ELIMINATED; COVERAGE UNDER GENERIC EXEMPTIONS
           Section 1.  Minnesota Statutes 1996, section 17.03, 
        subdivision 10, is amended to read: 
           Subd. 10.  [GIFTS; PUBLICATION FEES; ADVERTISING; 
        APPROPRIATION.] (a) The commissioner may accept for and on 
        behalf of the state any gift, bequest, devise, grant, or 
        interest in money or personal property of any kind tendered to 
        the state for any purpose pertaining to the activities of the 
        department of agriculture or any of its divisions. 
           (b) The commissioner may charge a fee for reports, 
        publications, or other promotional or informational material 
        produced by the department of agriculture.  The commissioner may 
        solicit and accept advertising revenue for any departmental 
        publications or promotional materials. 
           (c) The fees collected by the commissioner under this 
        section are to recover all or part of the costs of providing 
        services for which the fees are paid.  These fees are not 
        subject to chapter 14 or section 16A.1285. 
           (d) Money received by the commissioner for these activities 
        may be credited to one or more special accounts in the state 
        treasury.  Money in those special accounts is annually 
        appropriated to the commissioner to provide the services for 
        which the money was received. 
           Sec. 2.  Minnesota Statutes 1996, section 62N.23, is 
        amended to read: 
           62N.23 [TECHNICAL ASSISTANCE; LOANS.] 
           (a) The commissioner shall provide technical assistance to 
        parties interested in establishing or operating a community 
        integrated service network or an integrated service network.  
        This shall be known as the integrated service network technical 
        assistance program (ISNTAP). 
           The technical assistance program shall offer seminars on 
        the establishment and operation of community integrated service 
        networks or integrated service networks in all regions of 
        Minnesota.  The commissioner shall advertise these seminars in 
        local and regional newspapers, and attendance at these seminars 
        shall be free. 
           The commissioner shall write a guide to establishing and 
        operating a community integrated service network or an 
        integrated service network.  The guide must provide basic 
        instructions for parties wishing to establish a community 
        integrated service network or an integrated service network.  
        The guide must be provided free of charge to interested 
        parties.  The commissioner shall update this guide when 
        appropriate. 
           The commissioner shall establish a toll-free telephone line 
        that interested parties may call to obtain assistance in 
        establishing or operating a community integrated service network 
        or an integrated service network. 
           (b) The commissioner shall grant loans for organizational 
        and start-up expenses to entities forming community integrated 
        service networks or integrated service networks, or to networks 
        less than one year old, to the extent of any appropriation for 
        that purpose.  The commissioner shall allocate the available 
        funds among applicants based upon the following criteria, as 
        evaluated by the commissioner within the commissioner's 
        discretion: 
           (1) the applicant's need for the loan; 
           (2) the likelihood that the loan will foster the formation 
        or growth of a network; and 
           (3) the likelihood of repayment. 
           The commissioner shall determine any necessary application 
        deadlines and forms and is exempt from rulemaking in doing so. 
           Sec. 3.  Minnesota Statutes 1996, section 129C.10, 
        subdivision 3, is amended to read: 
           Subd. 3.  [POWERS AND DUTIES OF BOARD.] (a) The board has 
        the powers necessary for the care, management, and control of 
        the Lola and Rudy Perpich Minnesota center for arts education 
        and all its real and personal property.  The powers shall 
        include, but are not limited to, those listed in this 
        subdivision. 
           (b) The board may employ and discharge necessary employees, 
        and contract for other services to ensure the efficient 
        operation of the center for arts education. 
           (c) The board may receive and award grants.  The board may 
        establish a charitable foundation and accept, in trust or 
        otherwise, any gift, grant, bequest, or devise for educational 
        purposes and hold, manage, invest, and dispose of them and the 
        proceeds and income of them according to the terms and 
        conditions of the gift, grant, bequest, or devise and its 
        acceptance.  The board shall adopt internal procedures to 
        administer and monitor aids and grants. 
           (d) The board may establish or coordinate evening, 
        continuing education, extension, and summer programs for 
        teachers and pupils. 
           (e) The board may identify pupils who have artistic talent, 
        either demonstrated or potential, in dance, literary arts, media 
        arts, music, theater, and visual arts, or in more than one art 
        form. 
           (f) The board shall educate pupils with artistic talent by 
        providing:  
           (1) an interdisciplinary academic and arts program for 
        pupils in the 11th and 12th grades.  The total number of pupils 
        accepted under this clause and clause (2) shall not exceed 300; 
           (2) additional instruction to pupils for a 13th grade. 
        Pupils eligible for this instruction are those enrolled in 12th 
        grade who need extra instruction and who apply to the board, or 
        pupils enrolled in the 12th grade who do not meet learner 
        outcomes established by the board.  Criteria for admission into 
        the 13th grade shall not be subject to chapter 14; 
           (3) intensive arts seminars for one or two weeks for pupils 
        in grades 9 to 12; 
           (4) summer arts institutes for pupils in grades 9 to 12; 
           (5) artist mentor and extension programs in regional sites; 
        and 
           (6) teacher education programs for indirect curriculum 
        delivery. 
           (g) The board may determine the location for the Lola and 
        Rudy Perpich Minnesota center for arts education and any 
        additional facilities related to the center, including the 
        authority to lease a temporary facility. 
           (h) The board must plan for the enrollment of pupils on an 
        equal basis from each congressional district.  
           (i) The board may establish task forces as needed to advise 
        the board on policies and issues.  The task forces expire as 
        provided in section 15.059, subdivision 6.  
           (j) The board may request the commissioner of children, 
        families, and learning for assistance and services. 
           (k) The board may enter into contracts with other public 
        and private agencies and institutions for residential and 
        building maintenance services if it determines that these 
        services could be provided more efficiently and less expensively 
        by a contractor than by the board itself.  The board may also 
        enter into contracts with public or private agencies and 
        institutions, school districts or combinations of school 
        districts, or service cooperatives to provide supplemental 
        educational instruction and services. 
           (l) The board may provide or contract for services and 
        programs by and for the center for arts education, including a 
        store, operating in connection with the center; theatrical 
        events; and other programs and services that, in the 
        determination of the board, serve the purposes of the center. 
           (m) The board may provide for transportation of pupils to 
        and from the center for arts education for all or part of the 
        school year, as the board considers advisable and subject to its 
        rules.  Notwithstanding any other law to the contrary, the board 
        may charge a reasonable fee for transportation of pupils.  Every 
        driver providing transportation of pupils under this paragraph 
        must possess all qualifications required by the state board of 
        education.  The board may contract for furnishing authorized 
        transportation under rules established by the commissioner of 
        children, families, and learning and may purchase and furnish 
        gasoline to a contract carrier for use in the performance of a 
        contract with the board for transportation of pupils to and from 
        the center for arts education.  When transportation is provided, 
        scheduling of routes, establishment of the location of bus 
        stops, the manner and method of transportation, the control and 
        discipline of pupils, and any other related matter is within the 
        sole discretion, control, and management of the board. 
           (n) The board may provide room and board for its pupils.  
        If the board provides room and board, it shall charge a 
        reasonable fee for the room and board.  The fee is not subject 
        to chapter 14 and is not a prohibited fee according to sections 
        120.71 to 120.76. 
           (o) The board may establish and set fees for services and 
        programs without regard to chapter 14.  If the board sets fees 
        not authorized or prohibited by the Minnesota public school fee 
        law, it may do so without complying with the requirements of 
        section 120.75, subdivision 1. 
           Sec. 4.  Minnesota Statutes 1996, section 147A.26, is 
        amended to read: 
           147A.26 [PROCEDURES.] 
           The board shall establish, in writing, internal operating 
        procedures for receiving and investigating complaints, accepting 
        and processing applications, granting registrations, and 
        imposing enforcement actions.  The written internal operating 
        procedures may include procedures for sharing complaint 
        information with government agencies in this and other states.  
        Establishment of the operating procedures are not subject to 
        rulemaking procedures under chapter 14.  Procedures for sharing 
        complaint information must be consistent with the requirements 
        for handling government data under chapter 13. 
           Sec. 5.  Minnesota Statutes 1996, section 148B.66, 
        subdivision 3, is amended to read: 
           Subd. 3.  [EXCHANGING INFORMATION.] (a) The office of 
        mental health practice shall establish internal operating 
        procedures for: 
           (1) exchanging information with state boards; agencies, 
        including the office of ombudsman for mental health and mental 
        retardation; health related and law enforcement facilities; 
        departments responsible for licensing health related 
        occupations, facilities, and programs; and law enforcement 
        personnel in this and other states; and 
           (2) coordinating investigations involving matters within 
        the jurisdiction of more than one regulatory agency.  
           Establishment of the operating procedures is not subject to 
        rulemaking under chapter 14. 
           (b) The procedures for exchanging information must provide 
        for the forwarding to the entities described in paragraph (a), 
        clause (1), of information and evidence, including the results 
        of investigations, that are relevant to matters within the 
        regulatory jurisdiction of the organizations in paragraph (a).  
        The data have the same classification in the hands of the agency 
        receiving the data as they have in the hands of the agency 
        providing the data.  
           (c) The office of mental health practice shall establish 
        procedures for exchanging information with other states 
        regarding disciplinary action against licensed and unlicensed 
        mental health practitioners.  
           (d) The office of mental health practice shall forward to 
        another governmental agency any complaints received by the 
        office that do not relate to the office's jurisdiction but that 
        relate to matters within the jurisdiction of the other 
        governmental agency.  The agency to which a complaint is 
        forwarded shall advise the office of mental health practice of 
        the disposition of the complaint.  A complaint or other 
        information received by another governmental agency relating to 
        a statute or rule that the office of mental health practice is 
        empowered to enforce must be forwarded to the office to be 
        processed in accordance with this section. 
           (e) The office of mental health practice shall furnish to a 
        person who made a complaint a description of the actions of the 
        office relating to the complaint.  
           Sec. 6.  Minnesota Statutes 1996, section 148C.03, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [GENERAL.] The commissioner shall, after 
        consultation with the advisory council or a subcommittee or the 
        special licensing criteria committee established under section 
        148C.11, subdivision 3, paragraph (b): 
           (a) adopt and enforce rules for licensure of alcohol and 
        drug counselors, including establishing standards and methods of 
        determining whether applicants and licensees are qualified under 
        section 148C.04.  The rules must provide for examinations and 
        establish standards for the regulation of professional conduct.  
        The rules must be designed to protect the public; 
           (b) hold or contract for the administration of examinations 
        at least twice a year to assess applicants' knowledge and 
        skills.  The examinations must be written and oral and may be 
        administered by the commissioner or by a private organization 
        under contract with the commissioner to administer the licensing 
        examinations.  Examinations must minimize cultural bias and must 
        be balanced in various theories relative to practice of alcohol 
        and drug counseling; 
           (c) issue licenses to individuals qualified under sections 
        148C.01 to 148C.11; 
           (d) issue copies of the rules for licensure to all 
        applicants; 
           (e) adopt rules to establish and implement procedures, 
        including a standard disciplinary process and rules of 
        professional conduct; 
           (f) carry out disciplinary actions against licensees; 
           (g) establish, with the advice and recommendations of the 
        advisory council, written internal operating procedures for 
        receiving and investigating complaints and for taking 
        disciplinary actions as appropriate.  Establishment of the 
        operating procedures are not subject to rulemaking procedures 
        under chapter 14; 
           (h) educate the public about the existence and content of 
        the rules for alcohol and drug counselor licensing to enable 
        consumers to file complaints against licensees who may have 
        violated the rules; 
           (i) evaluate the rules in order to refine and improve the 
        methods used to enforce the commissioner's standards; 
           (j) set, collect, and adjust license fees for alcohol and 
        drug counselors so that the total fees collected will as closely 
        as possible equal anticipated expenditures during the biennium, 
        as provided in section 16A.1285; fees for initial and renewal 
        application and examinations; late fees for counselors who 
        submit license renewal applications after the renewal deadline; 
        and a surcharge fee.  The surcharge fee must include an amount 
        necessary to recover, over a five-year period, the 
        commissioner's direct expenditures for the adoption of the rules 
        providing for the licensure of alcohol and drug counselors.  All 
        fees received shall be deposited in the state treasury and 
        credited to the special revenue fund; and 
           (k) prepare reports on activities related to the licensure 
        of alcohol and drug counselors according to this subdivision by 
        October 1 of each even-numbered year.  Copies of the reports 
        shall be delivered to the legislature in accordance with section 
        3.195 and to the governor.  The reports shall contain the 
        following information on the commissioner's activities relating 
        to the licensure of alcohol and drug counselors, for the 
        two-year period ending the previous June 30: 
           (1) a general statement of the activities; 
           (2) the number of staff hours spent on the activities; 
           (3) the receipts and disbursements of funds; 
           (4) the names of advisory council members and their 
        addresses, occupations, and dates of appointment and 
        reappointment; 
           (5) the names and job classifications of employees; 
           (6) a brief summary of rules proposed or adopted during the 
        reporting period with appropriate citations to the State 
        Register and published rules; 
           (7) the number of persons having each type of license 
        issued by the commissioner as of June 30 in the year of the 
        report; 
           (8) the locations and dates of the administration of 
        examinations by the commissioner; 
           (9) the number of persons examined by the commissioner with 
        the persons subdivided into groups showing age categories, sex, 
        and states of residency; 
           (10) the number of persons licensed by the commissioner 
        after taking the examinations referred to in clause (8) with the 
        persons subdivided by age categories, sex, and states of 
        residency; 
           (11) the number of persons not licensed by the commissioner 
        after taking the examinations referred to in clause (8) with the 
        persons subdivided by age categories, sex, and states of 
        residency; 
           (12) the number of persons not taking the examinations 
        referred to in clause (8) who were licensed by the commissioner 
        or who were denied licensing, the reasons for the licensing or 
        denial, and the persons subdivided by age categories, sex, and 
        states of residency; 
           (13) the number of persons previously licensed by the 
        commissioner whose licenses were revoked, suspended, or 
        otherwise altered in status with brief statements of the reasons 
        for the revocation, suspension, or alteration; 
           (14) the number of written and oral complaints and other 
        communications received by the commissioner which allege or 
        imply a violation of a statute or rule which the commissioner is 
        empowered to enforce; 
           (15) a summary, by specific category, of the substance of 
        the complaints and communications referred to in clause (14) 
        and, for each specific category, the responses or dispositions; 
        and 
           (16) any other objective information which the commissioner 
        believes will be useful in reviewing the commissioner's 
        activities. 
           Sec. 7.  Minnesota Statutes 1996, section 153A.15, 
        subdivision 3, is amended to read: 
           Subd. 3.  [PROCEDURES.] The commissioner shall establish, 
        in writing, internal operating procedures for receiving and 
        investigating complaints and imposing enforcement actions.  The 
        written internal operating procedures may include procedures for 
        sharing complaint information with government agencies in this 
        and other states.  Establishment of the operating procedures are 
        not subject to rulemaking procedures under chapter 14.  
        Procedures for sharing complaint information must be consistent 
        with the requirements for handling government data under chapter 
        13. 
           Sec. 8.  Minnesota Statutes 1996, section 169.99, 
        subdivision 2, is amended to read: 
           Subd. 2.  [COMMISSIONER PRESCRIBES FORM.] The commissioner 
        of public safety shall prescribe the detailed form of the 
        uniform traffic ticket, and shall revise the uniform ticket on 
        such subsequent occasions as necessary and proper to keep the 
        uniform ticket in conformity with state and federal law.  The 
        rulemaking provisions of chapter 14 do not apply to this 
        subdivision.  
           Sec. 9.  Minnesota Statutes 1996, section 244.13, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [ESTABLISHMENT.] The commissioner of 
        corrections shall establish programs for those designated by the 
        commissioner to serve all or part of a sentence on intensive 
        community supervision or all or part of a supervised release or 
        parole term on intensive supervised release.  The adoption and 
        modification of policies and procedures to implement sections 
        244.05, subdivision 6, and 244.12 to 244.15 are not subject to 
        the rulemaking procedures of chapter 14 because these policies 
        and procedures are excluded from the definition of a rule under 
        section 14.03, clause (2).  The commissioner shall locate the 
        programs so that at least one-half of the money appropriated for 
        the programs in each year is used for programs in community 
        corrections act counties.  In awarding contracts for intensive 
        supervision programs in community corrections act counties, the 
        commissioner shall give first priority to programs that utilize 
        county employees as intensive supervision agents and shall give 
        second priority to programs that utilize state employees as 
        intensive supervision agents.  The commissioner may award 
        contracts to other providers in community corrections act 
        counties only if doing so will result in a significant cost 
        savings or a significant increase in the quality of services 
        provided, and only after notifying the chairs of the committees 
        in the senate and house of representatives with jurisdiction 
        over criminal justice policy. 
           Sec. 10.  Minnesota Statutes 1996, section 518.14, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ENFORCEMENT OF CHILD SUPPORT.] (a) A child 
        support obligee is entitled to recover from the obligor 
        reasonable attorney fees and other collection costs incurred to 
        enforce a child support judgment, as provided in this 
        subdivision.  In order to recover collection costs under this 
        subdivision, the arrearages must be at least $500 and must be at 
        least 90 days past due.  In addition, the arrearages must be a 
        docketed judgment under sections 548.09 and 548.091.  If the 
        obligor pays in full the judgment rendered under section 548.091 
        within 20 days of receipt of notice of entry of judgment, the 
        obligee is not entitled to recover attorney fees or collection 
        costs under this subdivision. 
           (b) Written notice must be provided by any obligee 
        contracting with an attorney or collection entity to enforce a 
        child support judgment to the public authority responsible for 
        child support enforcement, if the public authority is a party or 
        provides services to a party, within five days of signing a 
        contract for services and within five days of receipting any 
        payments received on a child support judgment.  Attorney fees 
        and collection costs obtained under this subdivision are 
        considered child support and entitled to the applicable remedies 
        for collection and enforcement of child support.  
           (c) The obligee shall serve notice of the obligee's intent 
        to recover attorney fees and collections costs by certified or 
        registered mail on the obligor at the obligor's last known 
        address.  The notice must include an itemization of the attorney 
        fees and collection costs being sought by the obligee and inform 
        the obligor that the fees and costs will become an additional 
        judgment for child support unless the obligor requests a hearing 
        on the reasonableness of the fees and costs or to contest the 
        child support judgment on grounds limited to mistake of fact 
        within 20 days of mailing of the notice. 
           (d) If the obligor requests a hearing, the only issues to 
        be determined by the court are whether the attorney fees or 
        collection costs were reasonably incurred by the obligee for the 
        enforcement of a child support judgment against the obligor or 
        the validity of the child support judgment on grounds limited to 
        mistake of fact.  The fees and costs may not exceed 30 percent 
        of the arrearages.  The court may modify the amount of attorney 
        fees and costs as appropriate and shall enter judgment 
        accordingly. 
           (e) If the obligor fails to request a hearing within 20 
        days of mailing of the notice under paragraph (a), the amount of 
        the attorney fees or collection costs requested by the obligee 
        in the notice automatically becomes an additional judgment for 
        child support. 
           (f) The commissioner of human services shall prepare and 
        make available to the court and the parties forms for use in 
        providing for notice and requesting a hearing under this 
        subdivision.  The rulemaking provisions of chapter 14 do not 
        apply to the forms. 
           Sec. 11.  Minnesota Statutes 1996, section 518.611, 
        subdivision 9, is amended to read: 
           Subd. 9.  [FORMS.] The commissioner of human services shall 
        prepare and make available to courts and obligors a form to be 
        submitted by the obligor in support of a motion to deny 
        withholding under this section.  The rulemaking provisions of 
        chapter 14 shall not apply to the preparation of the form. 
           Sec. 12.  Minnesota Statutes 1996, section 518.613, 
        subdivision 6, is amended to read: 
           Subd. 6.  [NOTICE OF SERVICES.] The department of human 
        services shall prepare and make available to the courts a form 
        notice of child support and maintenance collection services 
        available through the public authority responsible for child 
        support enforcement, including automatic income withholding 
        under this section.  Promptly upon the filing of a petition for 
        dissolution of marriage or legal separation by parties who have 
        a minor child, the court administrator shall send the form 
        notice to the petitioner and respondent at the addresses given 
        in the petition.  The rulemaking provisions of chapter 14 shall 
        not apply to the preparation of the form notice. 
           Sec. 13.  Minnesota Statutes 1996, section 518.64, 
        subdivision 5, is amended to read: 
           Subd. 5.  [FORM.] The department of human services shall 
        prepare and make available to courts, obligors and persons to 
        whom child support is owed a form to be submitted by the obligor 
        or the person to whom child support is owed in support of a 
        motion for a modification of an order for support or maintenance 
        or for contempt of court.  The rulemaking provisions of chapter 
        14 shall not apply to the preparation of the form. 
           Sec. 14.  Minnesota Statutes 1996, section 518.641, 
        subdivision 4, is amended to read: 
           Subd. 4.  [FORM.] The department of human services shall 
        prepare and make available to the court and obligors a form to 
        be submitted to the department by the obligor in support of a 
        request for hearing under this section regarding a child support 
        order.  The rulemaking provisions of chapter 14 shall not apply 
        to the preparation of the form.  
           Sec. 15.  Minnesota Statutes 1996, section 624.7151, is 
        amended to read: 
           624.7151 [STANDARDIZED FORMS.] 
           By December 1, 1992, the commissioner of public safety 
        shall adopt statewide standards governing the form and contents, 
        as required by sections 624.7131 to 624.714, of every 
        application for a pistol transferee permit, pistol transferee 
        permit, report of transfer of a pistol, application for a permit 
        to carry a pistol, and permit to carry a pistol that is granted 
        or renewed on or after January 1, 1993.  The adoption of these 
        standards is not subject to the rulemaking provisions of chapter 
        14. 
           Every application for a pistol transferee permit, pistol 
        transferee permit, report of transfer of a pistol, application 
        for a permit to carry a pistol, and permit to carry a pistol 
        that is received, granted, or renewed by a police chief or 
        county sheriff on or after January 1, 1993, must meet the 
        statewide standards adopted by the commissioner of public safety.
        Notwithstanding the previous sentence, neither failure of the 
        department of public safety to adopt standards nor failure of 
        the police chief or county sheriff to meet them shall delay the 
        timely processing of applications nor invalidate permits issued 
        on other forms meeting the requirements of sections 624.7131 to 
        624.714. 
           Sec. 16.  [EFFECT OF AMENDMENTS OR REPEALS.] 
           The agency actions in this article are exempt from 
        rulemaking under Minnesota Statutes, section 14.03, subdivision 
        3, clause (1), or section 16A.1285.  An agency need not comply 
        with rulemaking procedures in Minnesota Statutes, chapter 14, in 
        order to take actions affected by the amendments and repeals in 
        this article. 
           Sec. 17.  [EFFECTIVE DATE.] 
           This article is effective June 30, 1997. 
                                   ARTICLE 3
                         EXEMPTIONS THAT ARE NOT RULES
           Section 1.  Minnesota Statutes 1996, section 16A.632, 
        subdivision 2, is amended to read: 
           Subd. 2.  [STANDARDS.] Article XI, section 5, clause (a), 
        of the constitution states general obligation bonds may be 
        issued to finance only the acquisition or betterment of state 
        land, buildings, and improvements of a capital nature.  In 
        interpreting this and applying it to the purposes of the program 
        contemplated in this section, the following standards are 
        adopted for the disbursement of money from the capital asset 
        preservation and replacement account:  
           (a) No new land, buildings, or major new improvements will 
        be acquired.  These projects, including all capital expenditures 
        required to permit their effective use for the intended purpose 
        on completion, will be estimated and provided for individually 
        through a direct appropriation for each project.  
           (b) An expenditure will be made from the account only when 
        it is a capital expenditure on a capital asset previously owned 
        by the state, within the meaning of accepted accounting 
        principles as applied to public expenditures.  The commissioner 
        of administration will consult with the commissioner of finance 
        to the extent necessary to ensure this and will furnish the 
        commissioner of finance a list of projects to be financed from 
        the account in order of their priority.  The commissioner shall 
        also furnish each revision of the list.  The legislature assumes 
        that many provisions for preservation and replacement of 
        portions of existing capital assets will constitute betterments 
        and capital improvements within the meaning of the constitution 
        and capital expenditures under correct accounting principles, 
        and will be financed more efficiently and economically under the 
        program than by direct appropriations for specific projects.  
        However, the purpose of the program is to accumulate data 
        showing how additional costs may be saved by appropriating money 
        from the general fund for preservation measures, the necessity 
        of which is predictable over short periods.  
           (c) The commissioner of administration will furnish 
        instructions to agencies to apply for funding of capital 
        expenditures for preservation and replacement from the account, 
        will review applications, will make initial allocations among 
        types of eligible projects enumerated below, will determine 
        priorities, and will allocate money in priority order until the 
        available appropriation has been committed.  Under section 
        14.02, subdivision 4, these instructions and allocations do not 
        constitute rules and the other provisions of chapter 14 do not 
        apply to them.  
           (d) Categories of projects considered likely to be most 
        needed and appropriate for financing are the following:  
           (1) unanticipated emergencies of all kinds, for which a 
        relatively small amount should be initially reserved, replaced 
        from money allocated to low-priority projects, if possible, as 
        emergencies occur, and used for stabilization rather than 
        replacement if the cost would exhaust the account and should be 
        specially appropriated; 
           (2) projects to remove life safety hazards, like 
        replacement of mechanical systems, building code violations, or 
        structural defects, at costs not large enough to require major 
        capital requests to the legislature; 
           (3) elimination or containment of hazardous substances like 
        asbestos or PCBs; and 
           (4) moderate cost replacement and repair of roofs, windows, 
        tuckpointing, and structural members necessary to preserve the 
        exterior and interior of existing buildings.  
           Sec. 2.  Minnesota Statutes 1996, section 16B.18, 
        subdivision 3, is amended to read: 
           Subd. 3.  [RULES.] Rules under this section may provide a 
        procedure by which the commissioner shall determine product 
        specifications, quality standards, and timing of delivery to be 
        complied with by the sheltered workshop and work activity 
        program boards on purchases made under this section.  The list 
        to be prepared pursuant to subdivision 1 shall not be 
        promulgated as a rule.  
           Sec. 3.  Minnesota Statutes 1996, section 16D.11, 
        subdivision 7, is amended to read: 
           Subd. 7.  [ADJUSTMENT OF RATE.] By June 1 of each year, the 
        commissioner of finance shall determine the rate of the penalty 
        for debts referred to the enterprise during the next fiscal 
        year.  The rate is a percentage of the debts in an amount that 
        most nearly equals the costs of the enterprise necessary to 
        process and collect referred debts under this chapter.  In no 
        event shall the rate of the penalty when a debt is first 
        referred exceed three-fifths of the maximum penalty, and in no 
        event shall the rate of the maximum penalty exceed 25 percent of 
        the debt.  Determination of the rate of the penalty under this 
        section is not rulemaking under chapter 14, and is not subject 
        to the fee setting requirements of section 16A.1285. 
           Sec. 4.  Minnesota Statutes 1996, section 17.54, 
        subdivision 4, is amended to read: 
           Subd. 4.  [ELECTION.] Upon receipt of the nominations the 
        commissioner shall promptly arrange an election to be held at 
        places designated by the commissioner reasonably convenient to 
        all producers in the organized area and provide notice of the 
        election to all of the media having a general circulation in the 
        organized area.  Ballots setting forth the names of the 
        nominated candidates and providing for write-in candidates shall 
        be made available at all polling places.  Only producers of the 
        agricultural commodity involved shall be qualified to vote.  
        General polling procedures shall be established by the 
        commissioner by rule pursuant to chapter 14 to avoid voting by 
        other than qualified producers, but the selection of specific 
        polling places shall not be subject to chapter 14.  An impartial 
        committee appointed by the commissioner shall tabulate the 
        votes, and the candidates receiving the most votes shall be 
        declared elected to the first council.  
           After the first council for a commodity is elected, an 
        election shall be held annually to elect members of the council. 
        The election shall be held in the same manner as prescribed for 
        the first council election except that the manner of choosing 
        nominating committee members, the time of nominations and the 
        time and place of elections shall be fixed by the commissioner.  
        Mail balloting may be permitted by the commissioner.  
           Sec. 5.  Minnesota Statutes 1996, section 17.56, 
        subdivision 2, is amended to read: 
           Subd. 2.  [HEARINGS.] The commissioner, after consultation 
        with the council, shall hold public hearings on the proposed 
        promotional order in areas and at times affording reasonable 
        opportunities for producers to attend.  These hearings shall not 
        be subject to the administrative procedure act of chapter 14.  
        After such hearings and after consultation with the council, the 
        commissioner shall determine whether or not the promotional 
        order shall be amended, modified or supplemented.  If changes or 
        additions of substance are made, commissioner shall hold public 
        hearings on the amended or supplemented promotional order. 
           Sec. 6.  Minnesota Statutes 1996, section 17.57, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [ADOPTION OF RULES.] Each council shall at 
        its regular meetings adopt rules consistent with sections 17.51 
        to 17.69 for the administration of the promotional order.  These 
        rules are not subject to the administrative procedure act of 
        chapter 14.  
           Sec. 7.  Minnesota Statutes 1996, section 17.64, 
        subdivision 2, is amended to read: 
           Subd. 2.  [BY REFERENDUM.] Upon petition of the same number 
        of producers as required to initiate the promotional order, the 
        commissioner shall within 60 days conduct a referendum to 
        determine whether or not the promotional order shall be 
        continued.  The commissioner shall terminate the order at the 
        end of the current marketing year if a majority of the producers 
        voting in the referendum vote in favor of termination.  The 
        petition of producers shall include a statement certifying that 
        the signatures are those of qualified producers of the commodity 
        involved.  The commissioner shall not conduct a referendum for 
        termination of a promotional order if a referendum for 
        termination of the same promotional order has been conducted 
        within the preceding year.  A hearing for a termination of an 
        order need not be held as provided in chapter 14.  
           Sec. 8.  Minnesota Statutes 1996, section 48.221, is 
        amended to read: 
           48.221 [RESERVES.] 
           A state bank or trust company shall maintain reserves in 
        the form of liquid assets at a level reasonably necessary to 
        meet anticipated withdrawals, commitments, and loan demand.  
        Reserves shall be in cash, cash items in process of collection, 
        short term obligations of or demand balances with other insured 
        financial institutions in the United States and its territories, 
        or short term, direct obligations of or guaranteed by the United 
        States government.  Obligations must mature within one year to 
        be considered short term.  The commissioner may prescribe the 
        required amount of reserves in relation to liabilities for any 
        individual state bank or trust company from time to time based 
        upon examination findings or other reports relating to the bank 
        or trust company that are available to the commissioner.  The 
        determination by the commissioner of a required amount of 
        reserves for an institution shall not be considered a rule as 
        defined by section 14.02, subdivision 4.  Reserves for an 
        individual state bank or trust company as prescribed by the 
        commissioner pursuant to this section shall be enforced in 
        accordance with sections 46.24 and 46.30 to 46.33.  
           Sec. 9.  Minnesota Statutes 1996, section 50.175, 
        subdivision 2, is amended to read: 
           Subd. 2.  [RESERVES.] A savings bank shall maintain 
        reserves in the form of liquid assets at a level reasonably 
        necessary to meet anticipated withdrawals, commitments, and loan 
        demand.  Reserves shall be in cash, cash items in process of 
        collection, short term obligations of or demand balances with 
        other insured financial institutions in the United States and 
        its territories, or short term, direct obligations of or 
        guaranteed by the United States government.  Obligations must 
        mature within one year to be considered short term.  The 
        commissioner may prescribe the required amount of reserves in 
        relation to liabilities for any individual savings bank from 
        time to time based upon examination findings or other reports 
        relating to the savings bank that are available to the 
        commissioner.  The determination by the commissioner of a 
        required amount of reserves for a savings bank shall not be 
        considered a rule as defined by section 14.02, subdivision 4.  
        Reserves for an individual savings bank as prescribed by the 
        commissioner pursuant to this section shall be enforced in 
        accordance with sections 46.24 and 46.30 to 46.33.  
           Sec. 10.  Minnesota Statutes 1996, section 51A.361, is 
        amended to read: 
           51A.361 [RESERVES.] 
           An association shall maintain reserves in the form of 
        liquid assets, as defined in section 51A.02, subdivision 34, at 
        a level reasonably necessary to meet anticipated withdrawals, 
        commitments, and loan demand.  The commissioner of commerce may 
        prescribe the required amount of reserves for any individual 
        association from time to time based upon examination findings or 
        other reports relating to the association that are available to 
        the commissioner.  The determination by the commissioner of a 
        required amount of reserves for an association shall not be 
        considered a rule as defined by section 14.02, subdivision 4.  
        Reserves for an individual association as prescribed by the 
        commissioner pursuant to this section shall be enforced in 
        accordance with sections 46.24 and 46.30 to 46.33.  
           Sec. 11.  Minnesota Statutes 1996, section 52.17, 
        subdivision 2, is amended to read: 
           Subd. 2.  [REQUIRED LIQUIDITY.] Every credit union shall 
        maintain a reserve in the form of liquid assets at a level 
        reasonably necessary to meet anticipated withdrawals, 
        commitments, and loan demand.  Reserves must be in cash and 
        balances due from solvent banks or which may be, in whole or in 
        part, in short term obligations guaranteed as to principal and 
        interest by the United States government or in certificates of 
        deposit of a federally insured bank or in a passbook or other 
        account in a federally insured savings association or in 
        balances due from the Minnesota corporate credit union or ICU 
        services corporation or United States central credit union.  The 
        commissioner of commerce may prescribe the required amount of 
        reserves for any individual credit union from time to time based 
        upon examination findings or other reports relating to the 
        credit union that are available to the commissioner.  The 
        determination by the commissioner of a required amount of 
        reserves for a credit union shall not be considered a rule as 
        defined by section 14.02, subdivision 4.  Reserves for an 
        individual credit union as prescribed by the commissioner 
        pursuant to this section shall be enforced in accordance with 
        sections 46.24 and 46.30 to 46.33.  
           Sec. 12.  Minnesota Statutes 1996, section 53.07, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [LIQUIDITY REQUIREMENT.] An industrial loan 
        and thrift company shall maintain reserves in the form of liquid 
        assets at a level reasonably necessary to meet anticipated 
        withdrawals, commitments, and loan demand.  Reserves shall be in 
        cash, cash items in process of collection, short term 
        obligations of or demand balances with other insured financial 
        institutions in the United States and its territories, or short 
        term, direct obligations of or guaranteed by the United States 
        government.  Obligations must mature within one year to be 
        considered short term.  The commissioner may prescribe the 
        required amount of reserves in relation to liabilities for an 
        individual industrial loan and thrift company from time to time 
        based upon examination findings or other reports relating to the 
        industrial loan and thrift company that are available to the 
        commissioner.  The determination by the commissioner of a 
        required amount of reserves for an industrial loan and thrift 
        company shall not be considered a rule as defined by section 
        14.02, subdivision 4.  Reserves for an individual industrial 
        loan and thrift company as prescribed by the commissioner 
        pursuant to this section shall be enforced in accordance with 
        sections 46.24 and 46.30 to 46.33.  
           Sec. 13.  Minnesota Statutes 1996, section 60A.13, 
        subdivision 6, is amended to read: 
           Subd. 6.  [COMPANY OR AGENT CANNOT CONTINUE BUSINESS UNLESS 
        STATEMENT IS FILED.] No company shall transact any new business 
        in this state after May 31 in any year unless it shall have 
        previously transmitted its annual statement to the commissioner 
        and filed a copy of its statement with the National Association 
        of Insurance Commissioners.  The commissioner may by order 
        annually require that each insurer pay the required fee to the 
        National Association of Insurance Commissioners for the filing 
        of annual statements, but the fee shall not be more than 50 
        percent greater than the fee set by the National Association of 
        Insurance Commissioners.  Failure to file the annual statement 
        with the commissioner or the National Association of Insurance 
        Commissioners is a violation of section 72A.061, subdivision 1.  
        The fee shall be based on the relative premium volume of each 
        insurer.  The commissioner's order shall not be subject to 
        chapter 14.  
           Sec. 14.  Minnesota Statutes 1996, section 60K.19, 
        subdivision 6, is amended to read: 
           Subd. 6.  [POWERS OF THE COMMISSIONER.] (a) The 
        commissioner shall make the final determination as to 
        accreditation and assignment of credit hours for courses.  
           (b) The commissioner shall adopt procedures for reporting 
        compliance with the minimum education requirement.  These 
        procedures are not subject to the rulemaking provisions of 
        chapter 14.  
           (c) The commissioner shall promulgate rules according to 
        chapter 14 to carry out the purposes of this section.  
           Sec. 15.  Minnesota Statutes 1996, section 61B.21, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [FUNCTIONS.] The Minnesota life and health 
        insurance guaranty association shall perform its functions under 
        the plan of operation established and approved under section 
        61B.25, and shall exercise its powers through a board of 
        directors.  The association is not a state agency for purposes 
        of chapter 14, 16A, 16B, or 43A.  For purposes of administration 
        and assessment, the association shall establish and maintain two 
        accounts: 
           (1) the life insurance and annuity account which includes 
        the following subaccounts: 
           (i) the life insurance account; 
           (ii) the annuity account; and 
           (iii) the unallocated annuity account; and 
           (2) the health insurance account. 
           Sec. 16.  Minnesota Statutes 1996, section 62J.152, 
        subdivision 4, is amended to read: 
           Subd. 4.  [TECHNOLOGY EVALUATION PROCESS.] (a) The health 
        technology advisory committee shall collect and evaluate studies 
        and research findings on the technologies selected for 
        evaluation from as wide of a range of sources as needed, 
        including, but not limited to:  federal agencies or other units 
        of government, international organizations conducting health 
        care technology assessments, health carriers, insurers, 
        manufacturers, professional and trade associations, nonprofit 
        organizations, and academic institutions.  The health technology 
        advisory committee may use consultants or experts and solicit 
        testimony or other input as needed to evaluate a specific 
        technology. 
           (b) When the evaluation process on a specific technology 
        has been completed, the health technology advisory committee 
        shall submit a preliminary report to the health care commission 
        and publish a summary of the preliminary report in the State 
        Register with a notice that written comments may be submitted.  
        The preliminary report must include the results of the 
        technology assessment evaluation, studies and research findings 
        considered in conducting the evaluation, and the health 
        technology advisory committee's summary statement about the 
        evaluation.  Any interested persons or organizations may submit 
        to the health technology advisory committee written comments 
        regarding the technology evaluation within 30 days from the date 
        the preliminary report was published in the State Register.  The 
        health technology advisory committee's final report on its 
        technology evaluation must be submitted to the health care 
        commission.  A summary of written comments received by the 
        health technology advisory committee within the 30-day period 
        must be included in the final report.  The health care 
        commission shall review the final report and prepare its 
        comments and recommendations.  Before completing its final 
        comments and recommendations, the health care commission shall 
        provide adequate public notice that testimony will be accepted 
        by the health care commission.  The health care commission shall 
        then forward the final report, its comments and recommendations, 
        and a summary of the public's comments to the commissioner and 
        information clearinghouse. 
           (c) The reports of the health technology advisory committee 
        and the comments and recommendations of the health care 
        commission should not eliminate or bar new technology, and are 
        not rules as defined in the administrative procedure act. 
           Sec. 17.  Minnesota Statutes 1996, section 62L.13, 
        subdivision 3, is amended to read: 
           Subd. 3.  [EXEMPTIONS.] The association, its transactions, 
        and all property owned by it are exempt from taxation under the 
        laws of this state or any of its subdivisions, including, but 
        not limited to, income tax, sales tax, use tax, and property 
        tax. The association may seek exemption from payment of all fees 
        and taxes levied by the federal government.  Except as otherwise 
        provided in this chapter, the association is not subject to the 
        provisions of chapters 13, 14, 60A, 62A to 62H, and section 
        471.705.  The association is not a public employer and is not 
        subject to the provisions of chapters 179A and 353.  The board 
        of directors and health carriers who are members of the 
        association are exempt from sections 325D.49 to 325D.66 in the 
        performance of their duties as directors and members of the 
        association. 
           Sec. 18.  Minnesota Statutes 1996, section 65B.28, 
        subdivision 3, is amended to read: 
           Subd. 3.  [REFRESHER COURSE.] The department of public 
        safety, in consultation with other traffic safety and medical 
        professionals, may establish without rulemaking a refresher 
        course for persons who have completed the original course under 
        subdivision 2.  The refresher course shall be no more than four 
        hours, and based on the curriculum established under subdivision 
        2.  The department of public safety shall establish criteria for 
        and approve training agencies or organizations authorized to 
        conduct the refresher course. 
           Sec. 19.  Minnesota Statutes 1996, section 79.34, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [CONDITIONS REQUIRING MEMBERSHIP.] The 
        nonprofit association known as the workers' compensation 
        reinsurance association may be incorporated under chapter 317A 
        with all the powers of a corporation formed under that chapter, 
        except that if the provisions of that chapter are inconsistent 
        with sections 79.34 to 79.40, sections 79.34 to 79.40 govern.  
        Each insurer as defined by section 79.01, subdivision 2, shall, 
        as a condition of its authority to transact workers' 
        compensation insurance in this state, be a member of the 
        reinsurance association and is bound by the plan of operation of 
        the reinsurance association; provided, that all affiliated 
        insurers within a holding company system as defined in chapter 
        60D are considered a single entity for purposes of the exercise 
        of all rights and duties of membership in the reinsurance 
        association.  Each self-insurer approved under section 176.181 
        and each political subdivision that self-insures shall, as a 
        condition of its authority to self-insure workers' compensation 
        liability in this state, be a member of the reinsurance 
        association and is bound by its plan of operation; provided that:
           (1) all affiliated companies within a holding company 
        system, as determined by the commissioner of labor and industry 
        in a manner consistent with the standards and definitions in 
        chapter 60D, are considered a single entity for purposes of the 
        exercise of all rights and duties of membership in the 
        reinsurance association; and 
           (2) all group self-insurers granted authority to 
        self-insure pursuant to section 176.181 are considered single 
        entities for purposes of the exercise of all the rights and 
        duties of membership in the reinsurance association.  As a 
        condition of its authority to self-insure workers' compensation 
        liability, and for losses incurred after December 31, 1983, the 
        state is a member of the reinsurance association and is bound by 
        its plan of operation.  The commissioner of employee relations 
        represents the state in the exercise of all the rights and 
        duties of membership in the reinsurance association.  The state 
        treasurer shall pay the premium to the reinsurance association 
        from the state compensation revolving fund upon warrants of the 
        commissioner of employee relations, except that the University 
        of Minnesota shall pay its portion of workers' compensation 
        reinsurance premiums directly to the workers' compensation 
        reinsurance association.  For the purposes of this section, 
        "state" means the administrative branch of state government, the 
        legislative branch, the judicial branch, the University of 
        Minnesota, and any other entity whose workers' compensation 
        liability is paid from the state revolving fund.  The 
        commissioner of finance may calculate, prorate, and charge a 
        department or agency the portion of premiums paid to the 
        reinsurance association for employees who are paid wholly or in 
        part by federal funds, dedicated funds, or special revenue 
        funds.  The reinsurance association is not a state agency.  
        Actions of the reinsurance association and its board of 
        directors and actions of the commissioner of labor and industry 
        with respect to the reinsurance association are not subject to 
        chapters 13, 14, and 15.  All property owned by the association 
        is exempt from taxation.  The reinsurance association is not 
        obligated to make any payments or pay any assessments to any 
        funds or pools established pursuant to this chapter or chapter 
        176 or any other law. 
           Sec. 20.  Minnesota Statutes 1996, section 79.34, 
        subdivision 2a, is amended to read: 
           Subd. 2a.  [DEFICIENCY.] If the board determines that a 
        distribution of excess surplus resulted in inadequate funds 
        being available to pay claims that arose during the period upon 
        which that distribution was calculated, the board shall 
        determine the amount of the deficiency.  The deficiency shall be 
        made up by imposing an assessment rate against self-insured 
        members and policyholders of insurer members.  The board shall 
        notify the commissioner of commerce of the amount of the 
        deficiency and recommend an assessment rate.  The commissioner 
        shall order an assessment at a rate and for the time period 
        necessary to eliminate the deficiency.  The assessment rate 
        shall be applied to the exposure base of self-insured employers 
        and insured employers.  The assessment may not be retroactive 
        and applies only prospectively.  The assessment may be spread 
        over a period of time that will cause the least financial 
        hardship to employers.  All assessments under this subdivision 
        are payable to the association.  The commissioner may issue 
        orders necessary to administer this section.  The orders are not 
        rules subject to chapter 14. 
           Sec. 21.  Minnesota Statutes 1996, section 79.362, is 
        amended to read: 
           79.362 [WORKERS' COMPENSATION REINSURANCE ASSOCIATION 
        EXCESS SURPLUS DISTRIBUTION.] 
           An order of the commissioner of the department of labor and 
        industry relating to the distribution of excess surplus of the 
        workers' compensation reinsurance association shall be reviewed 
        by the commissioner of commerce.  The commissioner of commerce 
        may amend, approve, or reject an order or issue further orders 
        to accomplish the purposes of section 79.361 and Laws 1993, 
        chapter 361, section 2.  The commissioner may not change the 
        amount of the distribution ordered by the commissioner of labor 
        and industry without agreement of the commissioner of labor and 
        industry.  An order of the commissioner of commerce under this 
        section is not subject to chapter 14. 
           Sec. 22.  Minnesota Statutes 1996, section 85.045, 
        subdivision 3, is amended to read: 
           Subd. 3.  [AGREEMENTS.] (a) The commissioner shall enter 
        into informal agreements with business and civic groups or 
        individuals for volunteer services to maintain and make 
        improvements to real and personal property in state parks, 
        monuments, historic sites, and trails in accordance with plans 
        devised by the commissioner after consultation with the groups. 
           (b) The commissioner may erect appropriate signs to 
        recognize and express appreciation to groups and individuals 
        providing volunteer services under the adopt-a-park program. 
           (c) The commissioner may provide assistance to enhance the 
        comfort and safety of volunteers and to facilitate the 
        implementation and administration of the adopt-a-park program.  
           (d) This section is not subject to chapter 14. 
           Sec. 23.  Minnesota Statutes 1996, section 97A.085, 
        subdivision 4a, is amended to read: 
           Subd. 4a.  [HEARING REQUIRED.] Before designating a game 
        refuge under this section, the commissioner must hold a public 
        hearing within the county where the majority of the proposed 
        game refuge exists.  Notices of the time and place of the 
        hearing must be posted in five conspicuous places within the 
        proposed game refuge at least 15 days before the hearing.  A 
        notice of the hearing must be published in a legal newspaper in 
        each county where the area is located at least seven days before 
        the hearing.  Designation of a game refuge under this section is 
        not subject to chapter 14. 
           Sec. 24.  Minnesota Statutes 1996, section 116O.05, 
        subdivision 3, is amended to read: 
           Subd. 3.  [RULES.] The corporation is not subject to 
        chapter 14, but must publish in the State Register any 
        guidelines, policies, rules, or eligibility criteria prepared or 
        adopted by the corporation for any of its financial or 
        technology transfer programs. 
           Sec. 25.  Minnesota Statutes 1996, section 171.321, 
        subdivision 2, is amended to read: 
           Subd. 2.  [RULES.] (a) The commissioner of public safety 
        shall prescribe rules governing the physical qualifications of 
        school bus drivers and tests required to obtain a school bus 
        endorsement.  The rules must provide that an applicant for a 
        school bus endorsement or renewal is exempt from the physical 
        qualifications and medical examination required to operate a 
        school bus upon providing evidence of being medically examined 
        and certified within the preceding 24 months as physically 
        qualified to operate a commercial motor vehicle, pursuant to 
        Code of Federal Regulations, title 49, part 391, subpart E, or 
        rules of the commissioner of transportation incorporating those 
        federal regulations.  
           (b) The commissioner of public safety, in conjunction with 
        the commissioner of economic security, shall adopt rules 
        prescribing a training program for Head Start bus 
        drivers.  Adoption of this program is not subject to chapter 
        14.  The program must provide for initial classroom and 
        behind-the-wheel training, and annual in-service training.  The 
        program must provide training in defensive driving, human 
        relations, emergency and accident procedures, vehicle 
        maintenance, traffic laws, and use of safety equipment.  The 
        program must provide that the training will be conducted by the 
        contract operator for a Head Start agency, the Head Start 
        grantee, a licensed driver training school, or by another person 
        or entity approved by both commissioners. 
           Sec. 26.  Minnesota Statutes 1996, section 176.102, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ADMINISTRATORS.] The commissioner shall hire a 
        director of rehabilitation services in the classified service. 
        The commissioner shall monitor and supervise rehabilitation 
        services, including, but not limited to, making determinations 
        regarding the selection and delivery of rehabilitation services 
        and the criteria used to approve qualified rehabilitation 
        consultants and rehabilitation vendors.  The commissioner may 
        also make determinations regarding fees for rehabilitation 
        services and shall by rule establish a fee schedule or otherwise 
        limit fees charged by qualified rehabilitation consultants and 
        vendors.  The commissioner shall annually review the fees and 
        give notice of any adjustment in the State Register.  An annual 
        adjustment is not subject to chapter 14.  By March 1, 1993, the 
        commissioner shall report to the legislature on the status of 
        the commission's monitoring of rehabilitation services.  The 
        commissioner may hire qualified personnel to assist in the 
        commissioner's duties under this section and may delegate the 
        duties and performance.  
           Sec. 27.  Minnesota Statutes 1996, section 176A.08, is 
        amended to read: 
           176A.08 [EXEMPTION FROM AND APPLICABILITY OF CERTAIN LAWS.] 
           The fund shall not be considered a state agency for any 
        purpose including, but not limited to, chapters 13, 14, 15, 15A, 
        and 43A.  However, the fund shall be subject to sections 179A.01 
        to 179A.25.  The insurance operations of the fund are subject to 
        all of the provisions of chapters 60A and 60B.  The commissioner 
        of commerce has the same powers with respect to the board as the 
        commissioner has with respect to a private workers' compensation 
        insurer under chapters 60A and 60B.  The fund is considered an 
        insurer for the purposes of chapters 60C, 72A, 79, and 176.  The 
        fund is subject to the same tax liability as a mutual insurance 
        company in this state pursuant to section 60A.15.  As a 
        condition of its authority to transact business in this state 
        the fund shall be a member of the workers' compensation 
        reinsurance association and is bound by its plan of operation. 
           Sec. 28.  Minnesota Statutes 1996, section 240A.02, 
        subdivision 2, is amended to read: 
           Subd. 2.  [MEETINGS.] The commission shall meet at least 
        quarterly and at other times determined by the commission and 
        shall adopt rules, without regard to chapter 14, governing its 
        proceedings. 
           Sec. 29.  Minnesota Statutes 1996, section 256B.431, 
        subdivision 2e, is amended to read: 
           Subd. 2e.  [CONTRACTS FOR SERVICES FOR VENTILATOR DEPENDENT 
        PERSONS.] The commissioner may contract with a nursing facility 
        eligible to receive medical assistance payments to provide 
        services to a ventilator dependent person identified by the 
        commissioner according to criteria developed by the 
        commissioner, including:  
           (1) nursing facility care has been recommended for the 
        person by a preadmission screening team; 
           (2) the person has been assessed at case mix classification 
        K; 
           (3) the person has been hospitalized for at least six 
        months and no longer requires inpatient acute care hospital 
        services; and 
           (4) the commissioner has determined that necessary services 
        for the person cannot be provided under existing nursing 
        facility rates.  
           The commissioner may issue a request for proposals to 
        provide services to a ventilator dependent person to nursing 
        facilities eligible to receive medical assistance payments and 
        shall select nursing facilities from among respondents according 
        to criteria developed by the commissioner, including:  
           (1) the cost-effectiveness and appropriateness of services; 
           (2) the nursing facility's compliance with federal and 
        state licensing and certification standards; and 
           (3) the proximity of the nursing facility to a 
        ventilator-dependent person identified by the commissioner who 
        requires nursing facility placement.  
           The commissioner may negotiate an adjustment to the 
        operating cost payment rate for a nursing facility selected by 
        the commissioner from among respondents to the request for 
        proposals.  The negotiated adjustment must reflect only the 
        actual additional cost of meeting the specialized care needs of 
        a ventilator-dependent person identified by the commissioner for 
        whom necessary services cannot be provided under existing 
        nursing facility rates and which are not otherwise covered under 
        Minnesota Rules, parts 9549.0010 to 9549.0080 or 9505.0170 to 
        9505.0475.  The negotiated payment rate must not exceed 200 
        percent of the highest multiple bedroom payment rate for a 
        Minnesota nursing facility, as initially established by the 
        commissioner for the rate year for case mix classification K.  
        The negotiated adjustment shall not affect the payment rate 
        charged to private paying residents under the provisions of 
        section 256B.48, subdivision 1.  The negotiated adjustment paid 
        pursuant to this paragraph is specifically exempt from the 
        definition of "rule" and the rulemaking procedures required by 
        chapter 14 and section 256B.502. 
           Sec. 30.  Minnesota Statutes 1996, section 325F.665, 
        subdivision 6, is amended to read: 
           Subd. 6.  [ALTERNATIVE DISPUTE SETTLEMENT MECHANISM.] (a) 
        Any manufacturer doing business in this state, entering into 
        franchise agreements for the sale of its motor vehicles in this 
        state, or offering express warranties on its motor vehicles sold 
        or distributed for sale in this state shall operate, or 
        participate in, an informal dispute settlement mechanism located 
        in the state of Minnesota which complies with the provisions of 
        the Code of Federal Regulations, title 16, part 703, and the 
        requirements of this section.  The provisions of subdivision 3 
        concerning refunds or replacement do not apply to a consumer who 
        has not first used this mechanism before commencing a civil 
        action, unless the manufacturer allows a consumer to commence an 
        action without first using this mechanism.  
           (b) An informal dispute settlement mechanism provided for 
        by this section shall, at the time a request for arbitration is 
        made, provide to the consumer and to each person who will 
        arbitrate the consumer's dispute, information about this section 
        as approved and directed by the attorney general, in 
        consultation with interested parties.  The informal dispute 
        settlement mechanism shall permit the parties to present or 
        submit any arguments based on this section and shall not 
        prohibit or discourage the consideration of any such arguments.  
        In developing and approving information about this section as 
        provided herein, the attorney general is not subject to the 
        rulemaking provisions of chapter 14.  
           (c) If, in an informal dispute settlement mechanism, it is 
        decided that a consumer is entitled to a replacement vehicle or 
        refund under subdivision 3, then any refund or replacement 
        offered by the manufacturer or selected by a consumer shall 
        include and itemize all amounts authorized by subdivision 3.  If 
        the amount of excise tax refunded is not separately stated, or 
        if the manufacturer does not apply for a refund of the tax 
        within one year of the return of the motor vehicle, the 
        department of public safety may refund the excise tax, as 
        determined under subdivision 3, paragraph (h), directly to the 
        consumer and lienholder, if any, as their interests appear on 
        the records of the registrar of motor vehicles. 
           (d) No documents shall be received by any informal dispute 
        settlement mechanism unless those documents have been provided 
        to each of the parties in the dispute at or prior to the 
        mechanism's meeting, with an opportunity for the parties to 
        comment on the documents either in writing or orally.  If a 
        consumer is present during the informal dispute settlement 
        mechanism's meeting, the consumer may request postponement of 
        the mechanism's meeting to allow sufficient time to review any 
        documents presented at the time of the meeting which had not 
        been presented to the consumer prior to the meeting.  
           (e) The informal dispute settlement mechanism shall allow 
        each party to appear and make an oral presentation in the state 
        of Minnesota unless the consumer agrees to submit the dispute 
        for decision on the basis of documents alone or by telephone, or 
        unless the party fails to appear for an oral presentation after 
        reasonable prior written notice.  If the consumer agrees to 
        submit the dispute for decision on the basis of documents alone, 
        then manufacturer or dealer representatives may not participate 
        in the discussion or decision of the dispute.  
           (f) Consumers shall be given an adequate opportunity to 
        contest a manufacturer's assertion that a nonconformity falls 
        within intended specifications for the vehicle by having the 
        basis of the manufacturer's claim appraised by a technical 
        expert selected and paid for by the consumer prior to the 
        informal dispute settlement hearing.  
           (g) Where there has been a recent attempt by the 
        manufacturer to repair a consumer's vehicle, but no response has 
        yet been received by the informal dispute mechanism from the 
        consumer as to whether the repairs were successfully completed, 
        the parties must be given the opportunity to present any 
        additional information regarding the manufacturer's recent 
        repair attempt before any final decision is rendered by the 
        informal dispute settlement mechanism.  This provision shall not 
        prejudice a consumer's rights under this section.  
           (h) If the manufacturer knows that a technical service 
        bulletin directly applies to the specific mechanical problem 
        being disputed by the consumer, then the manufacturer shall 
        provide the technical service bulletin to the consumer at 
        reasonable cost.  The mechanism shall review any such technical 
        service bulletins submitted by either party.  
           (i) A consumer may be charged a fee to participate in an 
        informal dispute settlement mechanism required by this section, 
        but the fee may not exceed the conciliation court filing fee in 
        the county where the arbitration is conducted.  
           (j) Any party to the dispute has the right to be 
        represented by an attorney in an informal dispute settlement 
        mechanism.  
           (k) The informal dispute settlement mechanism has all the 
        evidence-gathering powers granted an arbitrator under section 
        572.14.  
           (l) A decision issued in an informal dispute settlement 
        mechanism required by this section may be in writing and signed. 
           Sec. 31.  Minnesota Statutes 1996, section 346.58, is 
        amended to read: 
           346.58 [DOGS AND CATS; BEST MANAGEMENT STANDARDS FOR CARE 
        BY DEALERS, COMMERCIAL BREEDERS, AND BROKERS.] 
           The commissioner of agriculture shall consult with 
        interested persons, including but not limited to persons 
        representing dog and cat dealers, breeders, and brokers, the 
        Minnesota federated humane society, the Minnesota council for 
        dog clubs, the American dog owners association, the board of 
        animal health, the Minnesota purebred dog breeders association, 
        the Minnesota citizens for animal care, the United States 
        Department of Agriculture, and the Minnesota veterinary medical 
        association.  The commissioner shall issue an order containing 
        best management standards of care for dogs and cats by dealers, 
        commercial breeders, and brokers.  These standards are not 
        subject to chapter 14.  The commissioner shall urge dealers, 
        commercial breeders, and brokers to follow the standards issued 
        in the order. 
           Sec. 32.  Minnesota Statutes 1996, section 347.51, 
        subdivision 2a, is amended to read: 
           Subd. 2a.  [WARNING SYMBOL.] If a county issues a 
        certificate of registration to the owner of a dangerous dog 
        pursuant to subdivision 2, the county must provide, for posting 
        on the owner's property, a copy of a warning symbol to inform 
        children that there is a dangerous dog on the property.  The 
        design of the warning symbol must be uniform and specified by 
        the commissioner of public safety, after consultation with 
        animal control professionals.  The design specification process 
        is exempt from rulemaking under chapter 14 and is exempt from 
        section 14.38.  The commissioner shall provide the number of 
        copies of the warning symbol requested by each county and shall 
        charge the county the actual cost of the warning symbols 
        received.  The county may charge the registrant a reasonable fee 
        to cover its administrative costs and the cost of the warning 
        symbol.  
           Sec. 33.  [EFFECT OF AMENDMENTS OR REPEALS.] 
           The exemptions in this article are eliminated because the 
        entity is not subject to Minnesota Statutes, chapter 14, or the 
        agency action is not a rule.  The agency or other entity need 
        not comply with chapter 14, in order to take actions affected by 
        the amendments and repeals in this article. 
           Sec. 34.  [REPEALER.] 
           Minnesota Statutes 1996, sections 469.173, subdivision 2; 
        and 469.308, subdivision 2, are repealed. 
           Sec. 35.  [EFFECTIVE DATE.] 
           This article is effective June 30, 1997. 
                                   ARTICLE 4
                        EXEMPTIONS RETAINED BUT AMENDED
           Section 1.  Minnesota Statutes 1996, section 16A.641, 
        subdivision 4, is amended to read: 
           Subd. 4.  [SALE AND ISSUANCE.] State bonds must be sold and 
        issued upon sealed bids in the manner and on the terms and 
        conditions determined by the commissioner in accordance with the 
        laws authorizing them and subject to the approval of the 
        attorney general, but not subject to chapter 14, including 
        section 14.386.  For each series, in addition to provisions 
        required by subdivision 3, the commissioner may determine:  
           (1) the time, place, and notice of sale and method of 
        comparing bids; 
           (2) the price, not less than par for highway bonds; 
           (3) the principal amount and date of issue; 
           (4) the interest rates and payment dates; 
           (5) the maturity amounts and dates, not more than 20 years 
        from the date of issue, subject to subdivision 5; 
           (6) the terms, if any, on which the bonds may or must be 
        redeemed before maturity, including notice, times, and 
        redemption prices; and 
           (7) the form of the bonds and the method of execution, 
        delivery, payment, registration, conversion, and exchange, in 
        accordance with section 16A.672.  
           Sec. 2.  Minnesota Statutes 1996, section 16A.671, 
        subdivision 5, is amended to read: 
           Subd. 5.  [TERMS.] The commissioner may establish by order 
        with the approval of the attorney general, but not subject to 
        chapter 14, including section 14.386, the terms of each series 
        of certificates of indebtedness including:  
           (1) the manner of sale under subdivision 6; 
           (2) the price, principal amount, and date of issue; 
           (3) the interest rate or rates and payment dates, or the 
        basis of computation of a variable rate; 
           (4) the maturity date or dates, within the current biennium 
        except as provided in subdivision 10; 
           (5) the terms, if any, of redemption before maturity; 
           (6) the form and method of execution, delivery, payment, 
        registration, conversion, and exchange, under section 16A.672. 
           Sec. 3.  Minnesota Statutes 1996, section 62J.61, is 
        amended to read: 
           62J.61 [RULEMAKING; IMPLEMENTATION.] 
           Subdivision 1.  [EXEMPTION.] The commissioner of health is 
        exempt from rulemaking chapter 14, including section 14.386, in 
        implementing sections 62J.50 to 62J.54, subdivision 3, and 
        62J.56 to 62J.59. 
           Subd. 2.  [PROCEDURE.] (a) The commissioner shall publish 
        proposed rules in the State Register or, if the commissioner 
        determines that publishing the text of the proposed rules would 
        be unduly cumbersome, shall publish notice of the proposed rules 
        that contains a detailed description of the rules along with a 
        statement that a free copy of the entire set of rules is 
        available upon request to the agency. 
           (b) Interested parties have 30 days to comment on the 
        proposed rules.  After the commissioner has considered all 
        comments, the commissioner shall publish the final rules notice 
        in the State Register that the rules have been adopted 30 days 
        before they are to take effect. 
           (c) If the adopted rules are the same as the proposed 
        rules, the notice shall state that the rules have been adopted 
        as proposed and shall cite the prior publication.  If the 
        adopted rules differ from the proposed rules, the portions of 
        the adopted rules which differ from the proposed rules shall be 
        included in the notice of adoption together with a citation to 
        the prior State Register that contained the notice of the 
        proposed rules. 
           (d) The commissioner may use emergency and permanent 
        rulemaking to implement the remainder of this article. 
           Subd. 3.  [RESTRICTIONS.] The commissioner shall not adopt 
        any rules requiring patients to provide their social security 
        numbers unless and until federal laws are modified to allow or 
        require such action nor shall the commissioner adopt rules which 
        allow medical records, claims, or other treatment or clinical 
        data to be included on the health care identification card, 
        except as specifically provided in this chapter. 
           Subd. 4.  [PATIENT PRIVACY.] The commissioner shall seek 
        comments from the ethics and confidentiality committee of the 
        Minnesota health data institute and the department of 
        administration, public information policy analysis division, 
        before adopting or publishing final rules relating to issues of 
        patient privacy and medical records. 
           Subd. 5.  [BIENNIAL REVIEW OF RULEMAKING PROCEDURES AND 
        RULES.] The commissioner shall biennially seek comments from 
        affected parties about the effectiveness of and continued need 
        for the rulemaking procedures set out in subdivision 2 and about 
        the quality and effectiveness of rules adopted using these 
        procedures.  The commissioner shall seek comments by holding a 
        meeting and by publishing a notice in the State Register that 
        contains the date, time, and location of the meeting and a 
        statement that invites oral or written comments.  The notice 
        must be published at least 30 days before the meeting date.  The 
        commissioner shall write a report summarizing the comments and 
        shall submit the report to the Minnesota health data institute 
        and to the Minnesota administrative uniformity committee by 
        January 15 of every even-numbered year. 
           Sec. 4.  Minnesota Statutes 1996, section 124.648, 
        subdivision 3, is amended to read: 
           Subd. 3.  [PROGRAM GUIDELINES; DUTIES OF THE COMMISSIONER.] 
        (a) The commissioner shall: 
           (1) encourage all districts to participate in the school 
        milk program for kindergartners; 
           (2) prepare program guidelines, not subject to chapter 
        14 until July 1, 1998, which will effectively and efficiently 
        distribute appropriated and donated money to participating 
        districts; and 
           (3) seek donations and matching funds from appropriate 
        private and public sources. 
           (b) Program guidelines may provide for disbursement to 
        districts through a mechanism of prepayments or by reimbursement 
        for approved program expenses. 
           (c) It is suggested that the benefits of the school milk 
        program may reach the largest number of kindergarten students if 
        districts are allowed to submit annual bids stating the 
        per-serving level of support that would be acceptable to the 
        district for their participation in the program.  The 
        commissioner would review all bids received and approve bids in 
        sufficient number and value to maximize the provision of milk to 
        kindergarten students consistent with available funds. 
           Sec. 5.  Minnesota Statutes 1996, section 128C.02, 
        subdivision 4, is amended to read: 
           Subd. 4.  [RULES ARE APA EXEMPT.] The rules of the league 
        are exempt from sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
        14.45, and 14.57 to 14.62 chapter 14, including section 14.386. 
           Sec. 6.  [128C.03] [PROCEDURES.] 
           The league shall adopt procedures to ensure public notice 
        of all eligibility rules and policies that will afford the 
        opportunity for public hearings on proposed eligibility rules.  
        If requested by 100 or more parents or guardians of students, 
        the public hearing must be conducted by an administrative law 
        judge from the office of administrative hearings, by a person 
        hired under contract by the office of administrative hearings, 
        or by an independent hearing officer appointed by the 
        commissioner of children, families, and learning from a list 
        maintained for that purpose.  At the conclusion of a hearing 
        requested by 100 or more parents or guardians of students, the 
        person conducting the hearing shall write a report evaluating 
        the extent to which the league has shown that the proposed rule 
        is needed and reasonable and the legality of the proposed rule.  
        The league shall pay for hearings under this section. 
           Sec. 7.  Minnesota Statutes 1996, section 245A.09, 
        subdivision 10, is amended to read: 
           Subd. 10.  [RULEMAKING PROCESS; COMMISSIONER EXEMPTED.] 
        When developing, making, adopting, and issuing interpretive 
        guidelines under the authority granted under subdivision 8, the 
        commissioner is exempt from the rulemaking provisions of chapter 
        14 until July 1, 1998. 
           Sec. 8.  Minnesota Statutes 1996, section 256B.434, 
        subdivision 12, is amended to read: 
           Subd. 12.  [CONTRACTS ARE VOLUNTARY.] Participation of 
        nursing facilities in the alternative payment demonstration 
        project is voluntary.  The terms and procedures governing the 
        alternative payment demonstration project are determined under 
        this section and through negotiations between the commissioner 
        and nursing facilities that have submitted a letter of intent to 
        participate in the alternative demonstration project.  For 
        purposes of developing requests for proposals and contract 
        requirements, and negotiating the terms, conditions, and 
        requirements of contracts the commissioner is exempt from the 
        rulemaking requirements in chapter 14 until December 31, 2000. 
           Sec. 9.  Minnesota Statutes 1996, section 474A.17, is 
        amended to read: 
           474A.17 [ADMINISTRATIVE PROCEDURE ACT NOT APPLICABLE.] 
           Chapter 14 shall, including section 14.386, does not apply 
        to actions taken by any state agency or entity under this 
        chapter. 
           Sec. 10.  [REPORT.] 
           The world trade center corporation shall report to the 
        legislative coordinating commission, or another joint 
        legislative group established to review administrative rules, by 
        January 15, 1999, on the desirability of continuing the 
        corporation's exemption from Minnesota Statutes, chapter 14. 
           Sec. 11.  [INITIAL REPORT.] 
           The first report required by Minnesota Statutes, section 
        62J.61, subdivision 5, is due by January 15, 1998. 
           Sec. 12.  [EFFECTIVE DATE; APPLICATION.] 
           Sections 1 to 4 and 6 to 9 are effective June 30, 1997.  
        Section 5 is effective the day following final enactment.  Rules 
        adopted before the effective date of section 5 remain in effect 
        until amended or repealed. 
                                   ARTICLE 5
                   RULEMAKING EXEMPTION PROCEDURES AND OTHER
                                     CHANGES 
           Section 1.  Minnesota Statutes 1996, section 3.305, is 
        amended by adding a subdivision to read: 
           Subd. 8.  [RULE REVIEW.] Upon written request of two or 
        more of its members or five or more members of the legislature, 
        the legislative coordinating commission shall review a state 
        agency rule as defined in section 14.02, subdivision 4.  The 
        commission may perform this review by holding one or more 
        commission meetings or by establishing a bicameral group as 
        provided in subdivision 6 to hold these meetings. 
           Sec. 2.  Minnesota Statutes 1996, section 14.03, 
        subdivision 3, is amended to read: 
           Subd. 3.  [RULEMAKING PROCEDURES.] (a) The definition of a 
        rule in section 14.02, subdivision 4, does not include: 
           (1) rules concerning only the internal management of the 
        agency or other agencies that do not directly affect the rights 
        of or procedures available to the public; 
           (2) an application deadline on a form; and the remainder of 
        a form and instructions for use of the form to the extent that 
        they do not impose substantive requirements other than 
        requirements contained in statute or rule; 
           (3) the curriculum adopted by an agency to implement a 
        statute or rule permitting or mandating minimum educational 
        requirements for persons regulated by an agency, provided the 
        topic areas to be covered by the minimum educational 
        requirements are specified in statute or rule; 
           (4) procedures for sharing data among government agencies, 
        provided these procedures are consistent with chapter 13 and 
        other law governing data practices.  
           (b) The definition of a rule in section 14.02, subdivision 
        4, does not include: 
           (1) rules of the commissioner of corrections relating to 
        the placement and supervision of inmates serving a supervised 
        release term, the internal management of institutions under the 
        commissioner's control, and rules adopted under section 609.105 
        governing the inmates of those institutions; 
           (3) (2) rules relating to weight limitations on the use of 
        highways when the substance of the rules is indicated to the 
        public by means of signs; 
           (4) (3) opinions of the attorney general; 
           (5) the systems architecture plan and long-range plan of 
        the state education management information system provided by 
        section 121.931; 
           (6) (4) the data element dictionary and the annual data 
        acquisition calendar of the department of children, families, 
        and learning to the extent provided by section 121.932; 
           (7) (5) the occupational safety and health standards 
        provided in section 182.655; 
           (8) (6) revenue notices and tax information bulletins of 
        the commissioner of revenue; 
           (9) (7) uniform conveyancing forms adopted by the 
        commissioner of commerce under section 507.09; or 
           (10) (8) the interpretive guidelines developed by the 
        commissioner of human services to the extent provided in chapter 
        245A. 
           Sec. 3.  Minnesota Statutes 1996, section 14.03, is amended 
        by adding a subdivision to read: 
           Subd. 3a.  [POLICY FOR FUTURE EXCLUSIONS.] The legislature 
        will consider granting further exemptions from the rulemaking 
        requirements of this chapter for rules that are necessary to 
        comply with a requirement in federal law or that are necessary 
        to avoid a denial of funds or services from the federal 
        government that would otherwise be available to the state. 
           Sec. 4.  Minnesota Statutes 1996, section 14.386, is 
        amended to read: 
           14.386 [PROCEDURE FOR ADOPTING EXEMPT RULES; DURATION.] 
           (a) A rule adopted, amended, or repealed by an agency, 
        under a statute enacted after January 1, 1997, authorizing or 
        requiring rules to be adopted but excluded from the rulemaking 
        provisions of chapter 14 or from the definition of a rule, has 
        the force and effect of law only if: 
           (1) the revisor of statutes approves the form of the rule 
        by certificate; 
           (2) the office of administrative hearings approves the rule 
        as to its legality within 14 days after the agency submits it 
        for approval and files two copies of the rule with the revisor's 
        certificate in the office of the secretary of state; and 
           (3) a copy is published by the agency in the State Register.
           A statute enacted after January 1, 1997, authorizing or 
        requiring rules to be adopted but excluded from the rulemaking 
        provisions of chapter 14 or from the definition of a rule does 
        not excuse compliance with this section unless it makes specific 
        reference to this section. 
           (b) A rule adopted under this section is effective for a 
        period of two years from the date of publication of the rule in 
        the State Register.  The authority for the rule expires at the 
        end of this two-year period. 
           (c) The chief administrative law judge shall adopt rules 
        relating to the rule approval duties imposed by this section and 
        section 14.388, including rules establishing standards for 
        review. 
           (d) This section does not apply to rules adopted, amended, 
        or repealed under section 14.388. 
           This section also does not apply to: 
           (1) rules implementing emergency powers pursuant to 
        sections 12.31 to 12.37; 
           (2) rules of agencies directly in the legislative or 
        judicial branches; 
           (3) rules of the regents of the University of Minnesota; 
           (4) rules of the department of military affairs; 
           (5) rules of the comprehensive health association provided 
        in section 62E.10; 
           (6) rules of the tax court provided by section 271.06; 
           (7) rules concerning only the internal management of the 
        agency or other agencies, and which do not directly affect the 
        rights of or procedure available to the public; 
           (8) rules of the commissioner of corrections relating to 
        the placement and supervision of inmates serving a supervised 
        release term, the internal management of institutions under the 
        commissioner's control, and rules adopted under section 609.105 
        governing the inmates of those institutions; 
           (9) rules relating to weight limitations on the use of 
        highways when the substance of the rules is indicated to the 
        public by means of signs; 
           (10) opinions of the attorney general; 
           (11) the systems architecture plan and long-range plan of 
        the state education management information system provided by 
        section 121.931; 
           (12) the data element dictionary and the annual data 
        acquisition calendar of the department of children, families, 
        and learning to the extent provided by section 121.932; 
           (13) the occupational safety and health standards provided 
        in section 182.655; 
           (14) revenue notices and tax information bulletins of the 
        commissioner of revenue; 
           (15) uniform conveyancing forms adopted by the commissioner 
        of commerce under section 507.09 any group or rule listed in 
        section 14.03, subdivisions 1 and 3, except as otherwise 
        provided by law; 
           (16) (2) game and fish rules of the commissioner of natural 
        resources adopted under section 84.027, subdivision 13, or 
        sections 97A.0451 to 97A.0459; 
           (17) (3) experimental and special management waters 
        designated by the commissioner of natural resources under 
        sections 97C.001 and 97C.005; or 
           (18) (4) game refuges designated by the commissioner of 
        natural resources under section 97A.085. 
           (e) If a statute provides that a rule is exempt from 
        chapter 14, and section 14.386 does not apply to the rule, the 
        rule has the force of law unless the context of the statute 
        delegating the rulemaking authority makes clear that the rule 
        does not have force of law. 
           Sec. 5.  [14.389] [EXPEDITED PROCESS.] 
           Subdivision 1.  [APPLICATION.] This section applies when a 
        law requiring or authorizing rules to be adopted states that 
        this section must or may be used to adopt the rules.  When a law 
        refers to this section, the process in this section is the only 
        process an agency must follow for its rules to have the force 
        and effect of law.  Sections 14.19 and 14.366 apply to rules 
        adopted under this section. 
           Subd. 2.  [NOTICE AND COMMENT.] The agency must publish 
        notice of the proposed rule in the State Register and must mail 
        the notice to persons who have registered with the agency to 
        receive mailed notices.  The mailed notice must include either a 
        copy of the proposed rule or a description of the nature and 
        effect of the proposed rule and a statement that a free copy is 
        available from the agency upon request.  The notice in the State 
        Register must include the proposed rule or the amended rule in 
        the form required by the revisor under section 14.07, and a 
        citation to the most specific statutory authority for the rule, 
        including authority for the rule to be adopted under the process 
        in this section.  The agency must allow 30 days after 
        publication in the State Register for comment on the rule. 
           Subd. 3.  [ADOPTION.] The agency may modify a proposed rule 
        if the modifications do not result in a substantially different 
        rule, as defined in section 14.05, subdivision 2, paragraphs (b) 
        and (c).  If the final rule is identical to the rule originally 
        published in the State Register, the agency must publish a 
        notice of adoption in the State Register.  If the final rule is 
        different from the rule originally published in the State 
        Register, the agency must publish a copy of the changes in the 
        State Register.  The rule is effective upon publication in the 
        State Register. 
           Subd. 4.  [LEGAL REVIEW.] Before publication of the final 
        rule in the State Register, the agency must submit the rule to 
        an administrative law judge in the office of administrative 
        hearings.  The administrative law judge shall within 14 days 
        approve or disapprove the rule as to its legality and its form 
        to the extent the form relates to legality. 
           Subd. 5.  [OPTION.] A law authorizing or requiring rules to 
        be adopted under this section may refer specifically to this 
        subdivision.  If the law contains a specific reference to this 
        subdivision, as opposed to a general reference to this section: 
           (1) the notice required in subdivision 2 must include a 
        statement that a public hearing will be held if 100 or more 
        people request a hearing.  The request must be in the manner 
        specified in section 14.25; and 
           (2) if 100 or more people submit a written request for a 
        public hearing, the agency may adopt the rule only after 
        complying with all of the requirements of chapter 14 for rules 
        adopted after a public hearing. 
           Sec. 6.  Minnesota Statutes 1996, section 14.47, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [PLAN OF PUBLICATION AND SUPPLEMENTATION.] 
        The revisor of statutes shall: 
           (1) formulate a plan for the compilation of all permanent 
        agency rules and, to the extent practicable, other rules, 
        adopted pursuant to the administrative procedure act or filed 
        pursuant to the provisions of section 14.38, subdivisions 5 to 9 
        or section 14.386 which were in effect at the time the rules 
        were filed or subdivision 11, including their order, 
        classification, arrangement, form, and indexing, and any 
        appropriate tables, annotations, cross references, citations to 
        applicable statutes, explanatory notes, and other appropriate 
        material to facilitate use of the rules by the public, and for 
        the compilation's composition, printing, binding, and 
        distribution; 
           (2) publish the compilation of permanent agency rules and, 
        if practicable, other rules, adopted pursuant to the 
        administrative procedure act or filed pursuant to the provisions 
        of section 14.38, subdivisions 5 to 9 or section 14.386 which 
        were in effect at the time the rules were filed or subdivision 
        11, which shall be called "Minnesota Rules"; 
           (3) periodically either publish a supplement or a new 
        compilation, which includes all rules adopted since the last 
        supplement or compilation was published and removes rules 
        incorporated in prior compilations or supplements which are no 
        longer effective; 
           (4) include in Minnesota Rules a consolidated list of 
        publications and other documents incorporated by reference into 
        the rules after June 30, 1981, and found conveniently available 
        by the revisor under section 14.07, subdivision 4, indicating 
        where the publications or documents are conveniently available 
        to the public; and 
           (5) copyright any compilations and or supplements in the 
        name of the state of Minnesota. 
           Sec. 7.  Minnesota Statutes 1996, section 15.50, 
        subdivision 2, is amended to read: 
           Subd. 2.  [CAPITOL AREA PLAN.] (a) The board shall prepare, 
        prescribe, and from time to time, after a public hearing, amend 
        a comprehensive use plan for the capitol area, called the area 
        in this subdivision, which consists of that portion of the city 
        of Saint Paul comprehended within the following boundaries:  
        Beginning at the point of intersection of the center line of the 
        Arch-Pennsylvania freeway and the center line of Marion Street, 
        thence southerly along the center line of Marion Street extended 
        to a point 50 feet south of the south line of Concordia Avenue, 
        thence southeasterly along a line extending 50 feet from the 
        south line of Concordia Avenue to a point 125 feet from the west 
        line of John Ireland Boulevard, thence southwesterly along a 
        line extending 125 feet from the west line of John Ireland 
        Boulevard to the south line of Dayton Avenue, thence 
        northeasterly from the south line of Dayton Avenue to the west 
        line of John Ireland Boulevard, thence northeasterly to the 
        center line of the intersection of Old Kellogg Boulevard and 
        Summit Avenue, thence northeasterly along the center line of 
        Summit Avenue to the center line of the new West Kellogg 
        Boulevard, thence southerly along the east line of the new West 
        Kellogg Boulevard, to the center line of West Seventh Street, 
        thence northeasterly along the center line of West Seventh 
        Street to the center line of the Fifth Street ramp, thence 
        northwesterly along the center line of the Fifth Street ramp to 
        the east line of the right-of-way of Interstate Highway 35-E, 
        thence northeasterly along the east line of the right-of-way of 
        Interstate Highway 35-E to the south line of the right-of-way of 
        Interstate Highway 94, thence easterly along the south line of 
        the right-of-way of Interstate Highway 94 to the west line of 
        St. Peter Street, thence southerly to the south line of Exchange 
        Street, thence easterly along the south line of Exchange Street 
        to the west line of Cedar Street, thence northerly along the 
        west line of Cedar Street to the center line of Tenth Street, 
        thence northeasterly along the center line of Tenth Street to 
        the center line of Minnesota Street, thence northwesterly along 
        the center line of Minnesota Street to the center line of 
        Eleventh Street, thence northeasterly along the center line of 
        Eleventh Street to the center line of Jackson Street, thence 
        northwesterly along the center line of Jackson Street to the 
        center line of the Arch-Pennsylvania freeway extended, thence 
        westerly along the center line of the Arch-Pennsylvania freeway 
        extended and Marion Street to the point of origin.  If 
        construction of the labor interpretive center does not commence 
        prior to December 31, 2000, at the site recommended by the 
        board, the boundaries of the capitol area revert to their 
        configuration as of 1992.  
           Under the comprehensive plan, or a portion of it, the board 
        may regulate, by means of zoning rules adopted under the 
        administrative procedure act, the kind, character, height, and 
        location, of buildings and other structures constructed or used, 
        the size of yards and open spaces, the percentage of lots that 
        may be occupied, and the uses of land, buildings and other 
        structures, within the area.  To protect and enhance the 
        dignity, beauty, and architectural integrity of the capitol 
        area, the board is further empowered to include in its zoning 
        rules design review procedures and standards with respect to any 
        proposed construction activities in the capitol area 
        significantly affecting the dignity, beauty, and architectural 
        integrity of the area.  No person may undertake these 
        construction activities as defined in the board's rules in the 
        capitol area without first submitting construction plans to the 
        board, obtaining a zoning permit from the board, and receiving a 
        written certification from the board specifying that the person 
        has complied with all design review procedures and standards.  
        Violation of the zoning rules is a misdemeanor.  The board may, 
        at its option, proceed to abate any violation by injunction.  
        The board and the city of Saint Paul shall cooperate in assuring 
        that the area adjacent to the capitol area is developed in a 
        manner that is in keeping with the purpose of the board and the 
        provisions of the comprehensive plan.  
           (b) The commissioner of administration shall act as a 
        consultant to the board with regard to the physical structural 
        needs of the state.  The commissioner shall make studies and 
        report the results to the board when it requests reports for its 
        planning purpose.  
           (c) No public building, street, parking lot, or monument, 
        or other construction may be built or altered on any public 
        lands within the area unless the plans for the project conform 
        to the comprehensive use plan as specified in paragraph (d) and 
        to the requirement for competitive plans as specified in 
        paragraph (e).  No alteration substantially changing the 
        external appearance of any existing public building approved in 
        the comprehensive plan or the exterior or interior design of any 
        proposed new public building the plans for which were secured by 
        competition under paragraph (e) may be made without the prior 
        consent of the board.  The commissioner of administration shall 
        consult with the board regarding internal changes having the 
        effect of substantially altering the architecture of the 
        interior of any proposed building.  
           (d) The comprehensive plan must show the existing land uses 
        and recommend future uses including:  areas for public taking 
        and use; zoning for private land and criteria for development of 
        public land, including building areas, open spaces, monuments, 
        and other memorials; vehicular and pedestrian circulation; 
        utilities systems; vehicular storage; elements of landscape 
        architecture.  No substantial alteration or improvement may be 
        made to public lands or buildings in the area without the 
        written approval of the board.  
           (e) The board shall secure by competitions plans for any 
        new public building.  Plans for any comprehensive plan, 
        landscaping scheme, street plan, or property acquisition that 
        may be proposed, or for any proposed alteration of any existing 
        public building, landscaping scheme or street plan may be 
        secured by a similar competition.  A competition must be 
        conducted under rules prescribed by the board and may be of any 
        type which meets the competition standards of the American 
        Institute of Architects.  Designs selected become the property 
        of the state of Minnesota, and the board may award one or more 
        premiums in each competition and may pay the costs and fees that 
        may be required for its conduct.  At the option of the board, 
        plans for projects estimated to cost less than $1,000,000 may be 
        approved without competition provided the plans have been 
        considered by the advisory committee described in paragraph 
        (h).  Plans for projects estimated to cost less than $400,000 
        and for construction of streets need not be considered by the 
        advisory committee if in conformity with the comprehensive plan. 
           (f) Notwithstanding paragraph (e), an architectural 
        competition is not required for the design of any light rail 
        transit station and alignment within the capitol area.  The 
        board and its advisory committee shall select a preliminary 
        design for any transit station in the capitol area.  Each stage 
        of any station's design through working drawings must be 
        reviewed by the board's advisory committee and approved by the 
        board to ensure that the station's design is compatible with the 
        comprehensive plan for the capitol area and the board's design 
        criteria.  The guideway and track design of any light rail 
        transit alignment within the capitol area must also be reviewed 
        by the board's advisory committee and approved by the board. 
           (g) Of the amount available for the light rail transit 
        design, adequate funds must be available to the board for design 
        framework studies and review of preliminary plans for light rail 
        transit alignment and stations in the capitol area. 
           (h) The board may not adopt any plan under paragraph (e) 
        unless it first receives the comments and criticism of an 
        advisory committee of three persons, each of whom is either an 
        architect or a planner, who have been selected and appointed as 
        follows:  one by the board of the arts, one by the board, and 
        one by the Minnesota Society of the American Institute of 
        Architects.  Members of the committee may not be contestants 
        under paragraph (e).  The comments and criticism must be a 
        matter of public information.  The committee shall advise the 
        board on all architectural and planning matters.  For that 
        purpose, the committee must be kept currently informed 
        concerning, and have access to, all data, including all plans, 
        studies, reports and proposals, relating to the area as the data 
        are developed or in the process of preparation, whether by the 
        commissioner of administration, the commissioner of trade and 
        economic development, the metropolitan council, the city of 
        Saint Paul, or by any architect, planner, agency or 
        organization, public or private, retained by the board or not 
        retained and engaged in any work or planning relating to the 
        area, and a copy of any data prepared by any public employee or 
        agency must be filed with the board promptly upon completion.  
           The board may employ stenographic or technical help that 
        may be reasonable to assist the committee to perform its duties. 
           When so directed by the board, the committee may serve as, 
        and any member or members of the committee may serve on, the 
        jury or as professional advisor for any architectural 
        competition, and the board shall select the architectural 
        advisor and jurors for any competition with the advice of the 
        committee.  
           The city of Saint Paul shall advise the board.  
           (i) The comprehensive plan for the area must be developed 
        and maintained in close cooperation with the commissioner of 
        trade and economic development, the planning department and the 
        council for the city of Saint Paul, and the board of the arts, 
        and no plan or amendment of a plan may be effective without 90 
        days' notice to the planning department of the city of Saint 
        Paul and the board of the arts and without a public hearing with 
        opportunity for public testimony.  
           (j) The board and the commissioner of administration, 
        jointly, shall prepare, prescribe, and from time to time revise 
        standards and policies governing the repair, alteration, 
        furnishing, appearance, and cleanliness of the public and 
        ceremonial areas of the state capitol building.  The board shall 
        consult with and receive advice from the director of the 
        Minnesota state historical society regarding the historic 
        fidelity of plans for the capitol building.  The standards and 
        policies developed under this paragraph are binding upon the 
        commissioner of administration.  The provisions of sections 
        14.02, 14.04 to 14.28, 14.38, and 14.44 to 14.45 chapter 14, 
        including section 14.386, do not apply to this paragraph.  
           (k) The board in consultation with the commissioner of 
        administration shall prepare and submit to the legislature and 
        the governor no later than October 1 of each even-numbered year 
        a report on the status of implementation of the comprehensive 
        plan together with a program for capital improvements and site 
        development, and the commissioner of administration shall 
        provide the necessary cost estimates for the program.  The board 
        shall report any changes to the comprehensive plan adopted by 
        the board to the committee on governmental operations and 
        gambling of the house of representatives and the committee on 
        governmental operations and reform of the senate and upon 
        request shall provide testimony concerning the changes.  The 
        board shall also provide testimony to the legislature on 
        proposals for memorials in the capitol area as to their 
        compatibility with the standards, policies, and objectives of 
        the comprehensive plan. 
           (l) The state shall, by the attorney general upon the 
        recommendation of the board and within appropriations available 
        for that purpose, acquire by gift, purchase, or eminent domain 
        proceedings any real property situated in the area described in 
        this section, and it may also acquire an interest less than a 
        fee simple interest in the property, if it finds that the 
        property is needed for future expansion or beautification of the 
        area.  
           (m) The board is the successor of the state veterans 
        service building commission, and as such may adopt rules and may 
        reenact the rules adopted by its predecessor under Laws 1945, 
        chapter 315, and amendments to it.  
           (n) The board shall meet at the call of the chair and at 
        such other times as it may prescribe.  
           (o) The commissioner of administration shall assign 
        quarters in the state veterans service building to (1) the 
        department of veterans affairs, of which a part that the 
        commissioner of administration and commissioner of veterans 
        affairs may mutually determine must be on the first floor above 
        the ground, and (2) the American Legion, Veterans of Foreign 
        Wars, Disabled American Veterans, Military Order of the Purple 
        Heart, United Spanish War Veterans, and Veterans of World War I, 
        and their auxiliaries, incorporated, or when incorporated, under 
        the laws of the state, and (3) as space becomes available, to 
        other state departments and agencies as the commissioner may 
        deem desirable. 
           Sec. 8.  Minnesota Statutes 1996, section 18.022, 
        subdivision 9, is amended to read: 
           Subd. 9.  [RULES.] The commissioner may adopt rules in 
        accordance with sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
        14.45, and 14.57 to 14.62 chapter 14 prescribing control 
        measures to be used to prevent the spread of shade tree diseases 
        and shall include the following:  (a) A definition of shade 
        tree, (b) qualifications for inspectors, (c) methods of 
        identifying diseased shade trees, (d) procedures for giving 
        reasonable notice of inspection of private real property, (e) 
        measures for the treatment and removal of any shade tree which 
        may contribute to the spread of shade tree disease, and (f) such 
        other matters as shall be determined to be necessary by the 
        commissioner to prevent the spread of shade tree disease and 
        enforce the provisions of this section.  The rules of the 
        commissioner shall apply in a county, city or town unless the 
        county, city or town adopts an ordinance or resolution pursuant 
        to subdivision 6 which is determined by the commissioner to be 
        more stringent than the rules of the commissioner.  The rules of 
        the commissioner or the more stringent ordinance or resolution 
        of the city, county or town shall apply to all state agencies 
        and special purpose districts which own or control land within 
        any county, city or town exercising the powers granted in this 
        section.  
           Sec. 9.  Minnesota Statutes 1996, section 18.0227, 
        subdivision 3, is amended to read: 
           Subd. 3.  [ADMINISTRATION.] The commissioner shall develop 
        the experimental grasshopper control program and may adopt 
        rules, guidelines, and procedures notwithstanding chapter 14 to 
        implement the program, except the commissioner must comply with 
        section 14.38, subdivisions 7 and 8 14.386, paragraph (a), 
        clauses (1) and (3).  Section 14.386, paragraph (b), does not 
        apply to these rules, guidelines, and procedures.  
           Sec. 10.  Minnesota Statutes 1996, section 62E.10, 
        subdivision 8, is amended to read: 
           Subd. 8.  [DEPARTMENT OF STATE EXEMPTION.] The association 
        is exempt from the administrative procedure act but, to the 
        extent authorized by law to adopt rules, the association may use 
        the provisions of section 14.38, subdivisions 5 to 9 14.386, 
        paragraph (a), clauses (1) and (3).  Section 14.386, paragraph 
        (b), does not apply to these rules. 
           Sec. 11.  Minnesota Statutes 1996, section 85A.02, 
        subdivision 5b, is amended to read: 
           Subd. 5b.  [EXEMPTIONS.] The board is not subject to 
        sections 3.841 to 3.845, 15.057, 15.061, 16A.1285, and 16A.28; 
        chapter 16B, except for sections 16B.07, 16B.102, 16B.17, 
        16B.19, 16B.35, and 16B.55; and chapter 14, except section 
        14.38, subdivision 7, relating to the legal status of rules and 
        the legislative review of rules 14.386, paragraph (a), clauses 
        (1) and (3).  Section 14.386, paragraph (b), does not apply to 
        the board's actions.  
           Sec. 12.  Minnesota Statutes 1996, section 85A.05, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ISSUANCE OF BONDS.] Upon request by resolution 
        of the Minnesota zoological board and upon authorization as 
        provided in subdivision 1 the commissioner of finance shall sell 
        and issue Minnesota zoological garden bonds in the aggregate 
        amount requested, upon sealed bids and upon such notice, at such 
        price, in such form and denominations, bearing interest at such 
        rate or rates, maturing in such amounts and on such dates, 
        without option of prepayment or subject to prepayment upon such 
        notice and at such times and prices, payable at such bank or 
        banks within or outside the state, with such provisions for 
        registration, conversion, and exchange and for the issuance of 
        notes in anticipation of the sale or delivery of definitive 
        bonds, and in accordance with such further rules, as the 
        commissioner of finance shall determine, subject to the approval 
        of the attorney general, but not subject to the provisions of 
        sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
        to 14.62 chapter 14, including section 14.386.  The bonds shall 
        be executed by the commissioner of finance and attested by the 
        state treasurer under their official seals.  The signatures of 
        the officers on the bonds and any appurtenant interest coupons 
        and their seals may be printed, lithographed, engraved, or 
        stamped thereon, except that each bond shall be authenticated by 
        the manual signature on its face of one of the officers or of an 
        officer of a bank designated by them as authenticating agent.  
        The commissioner of finance shall ascertain and certify to the 
        purchasers of the bonds the performance and existence of all 
        acts, conditions, and things necessary to make them valid and 
        binding general obligations of the state of Minnesota, subject 
        to the approval of the attorney general.  
           Sec. 13.  Minnesota Statutes 1996, section 115A.58, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ISSUANCE OF BONDS.] Upon request by the director 
        and upon authorization as provided in subdivision 1, the 
        commissioner of finance shall sell Minnesota state waste 
        management bonds.  The bonds shall be in the aggregate amount 
        requested, and sold upon sealed bids upon the notice, at the 
        price in the form and denominations, bearing interest at the 
        rate or rates, maturing in the amounts and on the dates (with or 
        without option of prepayment upon notice and at specified times 
        and prices), payable at a bank or banks within or outside the 
        state (with provisions, if any, for registration, conversion, 
        and exchange and for the issuance of temporary bonds or notes in 
        anticipation of the sale or delivery of definitive bonds), and 
        in accordance with further provisions as the commissioner of 
        finance shall determine, subject to the approval of the attorney 
        general, but not subject to the provisions of sections 14.02, 
        14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 to 
        14.62 chapter 14, including section 14.386.  The bonds shall be 
        executed by the commissioner of finance and attested by the 
        state treasurer under their official seals.  The signatures of 
        the officers on the bonds and any interest coupons and their 
        seals may be printed, lithographed, engraved, stamped, or 
        otherwise reproduced thereon, except that each bond shall be 
        authenticated by the manual signature on its face of one of the 
        officers or of an authorized representative of a bank designated 
        by the commissioner of finance as registrar or other 
        authenticating agent.  The commissioner of finance shall 
        ascertain and certify to the purchasers of the bonds the 
        performance and existence of all acts, conditions, and things 
        necessary to make them valid and binding general obligations of 
        the state of Minnesota, subject to the approval of the attorney 
        general. 
           Sec. 14.  Minnesota Statutes 1996, section 116.17, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ISSUANCE OF BONDS.] Upon request by resolution 
        of the agency and upon authorization as provided in subdivision 
        1 the commissioner of finance shall sell and issue Minnesota 
        state water pollution control bonds in the aggregate amount 
        requested, upon sealed bids and upon such notice, at such price, 
        in such form and denominations, bearing interest at a rate or 
        rates, maturing in amounts and on dates, with or without option 
        of prepayment upon notice and at specified times and prices, 
        payable at a bank or banks within or outside the state, with 
        provisions, if any, for registration, conversion, and exchange 
        and for the issuance of temporary bonds or notes in anticipation 
        of the sale or delivery of definitive bonds, and in accordance 
        with further provisions, as the commissioner of finance shall 
        determine, subject to the approval of the attorney general, but 
        not subject to the provisions of sections 14.02, 14.04 to 14.28, 
        14.38, 14.44 to 14.45, and 14.57 to 14.62 chapter 14, including 
        section 14.386.  The bonds shall be executed by the commissioner 
        of finance and attested by the state treasurer under their 
        official seals.  The signatures of the officers on the bonds and 
        any appurtenant interest coupons and their seals may be printed, 
        lithographed, engraved, stamped, or otherwise reproduced 
        thereon, except that each bond shall be authenticated by the 
        manual signature on its face of one of the officers or of an 
        authorized representative of a bank designated by the 
        commissioner as registrar or other authenticating agent.  The 
        commissioner of finance shall ascertain and certify to the 
        purchasers of the bonds the performance and existence of all 
        acts, conditions, and things necessary to make them valid and 
        binding general obligations of the state of Minnesota, subject 
        to the approval of the attorney general. 
           Sec. 15.  Minnesota Statutes 1996, section 116C.06, 
        subdivision 1, is amended to read: 
           Subdivision 1.  The board shall hold public hearings on 
        matters that it determines to be of major environmental impact.  
        The board shall prescribe by rule in conformity to the 
        provisions of sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
        14.45, and 14.57 to 14.62 chapter 14, the procedures for the 
        conduct of all hearings and review procedures.  
           Sec. 16.  Minnesota Statutes 1996, section 124.41, 
        subdivision 2, is amended to read: 
           Subd. 2.  [APPLICATION FORMS; RULES.] The commissioner, 
        with the assistance of the attorney general or a designated 
        assistant, shall prepare forms of applications for debt service 
        loans and capital loans and instruments evidencing the loans.  
        The state board shall promulgate rules to facilitate the 
        commissioner's operations in compliance with sections 124.36 to 
        124.46.  The rules shall be subject to the procedure set forth 
        in sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 
        14.57 to 14.62 chapter 14. 
           Sec. 17.  Minnesota Statutes 1996, section 124.46, 
        subdivision 2, is amended to read: 
           Subd. 2.  Upon receipt of each such certification, subject 
        to authorization as provided in subdivision 4, the commissioner 
        of finance shall from time to time as needed issue and sell 
        state of Minnesota school loan bonds in the aggregate principal 
        amount stated in the commissioner's certificate, for the prompt 
        and full payment of which, with the interest thereon, the full 
        faith, credit, and taxing powers of the state are hereby 
        irrevocably pledged, and shall credit the net proceeds of their 
        sale to the purposes for which they are appropriated by section 
        124.40, subdivision 1.  Such bonds shall be issued and sold at 
        such price, in such manner, in such number of series, at such 
        times, and in such form and denominations, shall bear such dates 
        of issue and of maturity, either without option of prior 
        redemption or subject to prepayment upon such notice and at such 
        times and prices, shall bear interest at such rate or rates and 
        payable at such intervals, shall be payable at such bank or 
        banks within or without the state, with such provisions for 
        registration, conversion, and exchange, and for the issuance of 
        notes in anticipation of the sale and delivery of definitive 
        bonds, and in accordance with such further provisions as the 
        commissioner of finance shall determine subject to the 
        limitations stated in this subdivision (but not subject to the 
        provisions of sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
        14.45, and 14.57 to 14.62 chapter 14, including section 14.386). 
        The maturity date shall in no case be more than 20 years after 
        the date of issue of any bond and the principal amounts and due 
        dates shall conform as near as may be with the commissioner's 
        estimates of dates and amounts of payments to be received on 
        debt service and capital loans.  The bonds and any interest 
        coupons appurtenant to them shall be executed by the 
        commissioner of finance and attested by the state treasurer 
        under their official seals.  The signatures of these officers 
        and their seals may be printed, lithographed, stamped, engraved, 
        or otherwise reproduced thereon.  Each bond shall be 
        authenticated by the manual signature on its face of one of the 
        officers or a person authorized to sign on behalf of a bank or 
        trust company designated by the commissioner to act as registrar 
        or other authenticating agent.  The commissioner of finance is 
        authorized and directed to ascertain and certify to purchasers 
        of the bonds the performance and existence of all acts, 
        conditions, and things necessary to make them valid and binding 
        general obligations of the state of Minnesota in accordance with 
        their terms.  
           Sec. 18.  Minnesota Statutes 1996, section 136A.40, is 
        amended to read: 
           136A.40 [ADMINISTRATION.] 
           The administration of sections 136A.25 to 136A.42, shall be 
        under the authority independent of other departments and 
        agencies and notwithstanding chapter 16B.  The authority shall 
        not be subject to the provisions of sections 14.02, 14.04 to 
        14.28, 14.38, 14.44 to 14.45, and 14.57 to 14.62 chapter 14, 
        including section 14.386 in connection with the adoption of any 
        rules, rents, fees or charges or with the exercise of any other 
        powers or duties.  
           Sec. 19.  Minnesota Statutes 1996, section 145.925, 
        subdivision 9, is amended to read: 
           Subd. 9.  [RULES; REGIONAL FUNDING.] Notwithstanding any 
        rules to the contrary, including rules proposed in the State 
        Register on April 1, 1991, the commissioner, in allocating grant 
        funds for family planning special projects, shall not limit the 
        total amount of funds that can be allocated to an organization 
        that has submitted applications from more than one region, 
        except that no more than $75,000 may be allocated to any grantee 
        within a single region.  For two or more organizations who have 
        submitted a joint application, that limit is $75,000 for each 
        organization.  This subdivision does not affect any procedure 
        established in rule for allocating special project money to the 
        different regions.  The commissioner shall revise the rules for 
        family planning special project grants so that they conform to 
        the requirements of this subdivision.  In adopting these 
        revisions, the commissioner is not subject to the rulemaking 
        provisions of chapter 14, but is bound by section 14.38, 
        subdivision 7 14.386, paragraph (a), clauses (1) and (3).  
        Section 14.386, paragraph (b), does not apply to these rules. 
           Sec. 20.  Minnesota Statutes 1996, section 150A.04, 
        subdivision 5, is amended to read: 
           Subd. 5.  [RULES.] The board may promulgate rules as are 
        necessary to carry out and make effective the provisions and 
        purposes of sections 150A.01 to 150A.12, in accordance with 
        sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
        to 14.62 chapter 14.  The rules may specify training and 
        education necessary for administering general anesthesia and 
        intravenous conscious sedation. 
           Sec. 21.  Minnesota Statutes 1996, section 152.02, 
        subdivision 12, is amended to read: 
           Subd. 12.  If any substance is designated, rescheduled, or 
        deleted as a controlled substance under federal law and notice 
        thereof is given to the state board of pharmacy, the state board 
        of pharmacy shall similarly control the substance under this 
        chapter, after the expiration of 30 days from publication in the 
        Federal Register of a final order designating a substance as a 
        controlled substance or rescheduling or deleting a substance.  
        Such order shall be filed pursuant to section 14.38 with the 
        secretary of state.  If within that 30-day period, the state 
        board of pharmacy objects to inclusion, rescheduling, or 
        deletion, it shall publish the reasons for objection and afford 
        all interested parties an opportunity to be heard.  At the 
        conclusion of the hearing, the state board of pharmacy shall 
        publish its decision, which shall be subject to the provisions 
        of chapter 14. 
           In exercising the authority granted by this chapter, the 
        state board of pharmacy shall be subject to the provisions of 
        chapter 14.  The state board of pharmacy shall provide copies of 
        any proposed rule under this chapter to the advisory council on 
        controlled substances at least 30 days prior to any hearing 
        required by section 14.14, subdivision 1.  The state board of 
        pharmacy shall consider the recommendations of the advisory 
        council on controlled substances, which may be made prior to or 
        at the hearing. 
           Sec. 22.  Minnesota Statutes 1996, section 161.1231, 
        subdivision 5, is amended to read: 
           Subd. 5.  [FEES.] The commissioner shall establish and 
        collect fees for use of the parking facilities.  The fees must 
        be established and adjusted in compliance with United States 
        Code, title 23, section 137, and are not subject to chapter 14, 
        including section 14.38, subdivisions 5 to 9 14.386, or 16A.1285.
           Sec. 23.  Minnesota Statutes 1996, section 167.50, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ISSUANCE AND SALE.] The bonds shall be issued 
        and sold upon sealed bids after published notice.  The bonds 
        shall be issued and sold at the times and prices (not less than 
        par and accrued interest), in the form and denominations, 
        bearing interest at the rate or rates, maturing on dates, with 
        or without option of prior redemption upon notice and at 
        specified times and prices, payable at a bank or banks, within 
        or without the state, with provisions for registration, 
        conversion, and exchange and for the issuance of temporary bonds 
        or notes in anticipation of the sale and delivery of definitive 
        bonds, and in accordance with such further provisions, as the 
        commissioner of finance may determine, subject to the approval 
        of the attorney general (but not subject to the provisions of 
        sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
        to 14.62 chapter 14, including 14.386).  Each bond shall mature 
        within 20 years from its date of issue and shall be executed by 
        the commissioner of finance and attested by the state treasurer 
        under their official seals.  The signatures of these officers on 
        the face of and any interest coupons appurtenant to any bond, 
        and their seals may be printed, lithographed, stamped, engraved, 
        or otherwise reproduced thereon, provided that the signature of 
        one of the officers, or of an authorized representative of a 
        corporate registrar or other agent designated by the 
        commissioner of finance to authenticate the bonds, shall be 
        manually subscribed on the face of each bond. 
           Sec. 24.  Minnesota Statutes 1996, section 169.06, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [UNIFORM SYSTEM.] The commissioner shall 
        adopt a manual and specifications for a uniform system of 
        traffic-control devices consistent with the provisions of this 
        chapter for use upon highways within this state.  Such uniform 
        system shall correlate with and so far as possible conform to 
        the system then current as approved by the American Association 
        of State Highway Officials.  The manual and specifications must 
        include the design and wording of minimum-maintenance road 
        signs.  The adoption of the manual and specifications by the 
        commissioner as herein provided is specifically exempted from 
        the provisions and requirements of sections 14.02, 14.04 to 
        14.28, 14.38, 14.44 to 14.45, and 14.57 to 14.62 and acts 
        amendatory thereto chapter 14, including section 14.386. 
           Sec. 25.  Minnesota Statutes 1996, section 174.51, 
        subdivision 2, is amended to read: 
           Subd. 2.  [SALE; GENERAL OBLIGATIONS.] The bonds shall be 
        sold upon sealed bids and upon notice, at a price, in form and 
        denominations, bearing interest at a rate or rates, maturing in 
        amounts and on dates, without option of prior redemption or 
        subject to prepayment upon notice and at times and prices, 
        payable at a bank or banks within or outside the state, with or 
        without provisions for registration, conversion, exchange, and 
        issuance of temporary bonds or notes in anticipation of the sale 
        or delivery of definitive bonds, and in accordance with further 
        provisions, as the commissioner of finance shall determine 
        subject to the approval of the attorney general, but not subject 
        to the provisions of sections 14.02, 14.04 to 14.28, 14.38, 
        14.44 to 14.45, and 14.57 to 14.62 chapter 14, including 14.386. 
        Each bond shall mature within 20 years from its date of issue 
        and shall be executed by the commissioner of finance and 
        attested by the state treasurer under their official seals.  The 
        signatures on the bonds and on any interest coupons and the 
        seals may be printed or otherwise reproduced, except that each 
        bond shall be authenticated by the manual signature on its face 
        of one of the officers or of a person authorized to sign on 
        behalf of a bank designated by the commissioner of finance as 
        registrar or other authenticating agent.  The commissioner of 
        finance shall ascertain and certify to the purchasers of the 
        bonds the performance and existence of all acts, conditions, and 
        things necessary to make them valid and binding general 
        obligations of the state of Minnesota, subject to the approval 
        of the attorney general. 
           Sec. 26.  Minnesota Statutes 1996, section 176.136, 
        subdivision 1a, is amended to read: 
           Subd. 1a.  [RELATIVE VALUE FEE SCHEDULE.] The liability of 
        an employer for services included in the medical fee schedule is 
        limited to the maximum fee allowed by the schedule in effect on 
        the date of the medical service, or the provider's actual fee, 
        whichever is lower.  The medical fee schedule effective on 
        October 1, 1991, shall remain remains in effect until the 
        commissioner adopts a new schedule by permanent rule.  The 
        commissioner shall adopt permanent rules regulating fees 
        allowable for medical, chiropractic, podiatric, surgical, and 
        other health care provider treatment or service, including those 
        provided to hospital outpatients, by implementing a relative 
        value fee schedule to be effective on October 1, 1993.  The 
        commissioner may adopt by reference the relative value fee 
        schedule adopted for the federal Medicare program or a relative 
        value fee schedule adopted by other federal or state agencies.  
        The relative value fee schedule shall must contain reasonable 
        classifications including, but not limited to, classifications 
        that differentiate among health care provider disciplines.  The 
        conversion factors for the original relative value fee schedule 
        must reasonably reflect a 15 percent overall reduction from the 
        medical fee schedule most recently in effect.  The reduction 
        need not be applied equally to all treatment or services, but 
        must represent a gross 15 percent reduction. 
           After permanent rules have been adopted to implement this 
        section, the conversion factors must be adjusted annually on 
        October 1 by no more than the percentage change computed under 
        section 176.645, but without the annual cap provided by that 
        section.  The commissioner shall annually give notice in the 
        State Register of the adjusted conversion factors and may also 
        give annual notice of any additions, deletions, or changes to 
        the relative value units or service codes adopted by the federal 
        Medicare program.  The relative value units may be statistically 
        adjusted in the same manner as for the original workers' 
        compensation relative value fee schedule.  The notices of the 
        adjusted conversion factors and additions, deletions, or changes 
        to the relative value units and service codes shall be is in 
        lieu of the requirements of chapter 14.  The commissioner shall 
        follow the requirements of section 14.386, paragraph (a).  The 
        annual adjustments to the conversion factors and the medical fee 
        schedules adopted pursuant to under this section, including all 
        previous fee schedules, are not subject to expiration under 
        section 14.387 14.386, paragraph (b). 
           Sec. 27.  Minnesota Statutes 1996, section 182.655, 
        subdivision 1, is amended to read: 
           Subdivision 1.  Standards and variances shall be proposed, 
        granted, adopted, modified or revoked by the commissioner in 
        accordance with the procedures of this section.  The standards 
        and variances are exempt from the administrative procedure act 
        but, to the extent authorized by law to adopt rules, the 
        commissioner may use the provisions of section 14.38, 
        subdivisions 5 to 9 14.386, paragraph (a), clauses (1) and (3).  
        Section 14.386, paragraph (b), does not apply to these rules. 
           Sec. 28.  Minnesota Statutes 1996, section 256B.501, 
        subdivision 10, is amended to read: 
           Subd. 10.  [RULES.] To implement this section, the 
        commissioner shall promulgate rules in accordance with chapter 
        14.  To implement subdivision 3, the commissioner shall 
        promulgate rules in accordance with sections 14.01 to 14.38.  
           Sec. 29.  Minnesota Statutes 1996, section 256B.502, is 
        amended to read: 
           256B.502 [RULES.] 
           The commissioners of health and human services shall 
        promulgate rules necessary to implement Laws 1983, chapter 199, 
        except as otherwise indicated in accordance with sections 14.01 
        to 14.38.  
           Sec. 30.  Minnesota Statutes 1996, section 256B.503, is 
        amended to read: 
           256B.503 [RULES.] 
           To implement Laws 1983, chapter 312, article 9, sections 1 
        to 7, the commissioner shall promulgate rules in accordance with 
        sections 14.01 to 14.38.  Rules adopted to implement Laws 1983, 
        chapter 312, article 9, section 5, must (a) be in accord with 
        the provisions of Minnesota Statutes, chapter 256E, (b) set 
        standards for case management which include, encourage and 
        enable flexible administration, (c) require the county boards to 
        develop individualized procedures governing case management 
        activities, (d) consider criteria promulgated under section 
        256B.092, subdivision 3, and the federal waiver plan, (e) 
        identify cost implications to the state and to county boards, 
        and (f) require the screening teams to make recommendations to 
        the county case manager for development of the individual 
        service plan. 
           The commissioner shall adopt rules to implement this 
        section by July 1, 1986.  
           Sec. 31.  Minnesota Statutes 1996, section 401.03, is 
        amended to read: 
           401.03 [PROMULGATION OF RULES; TECHNICAL ASSISTANCE.] 
           The commissioner shall, as provided in sections 14.02, 
        14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 to 
        14.62 chapter 14, promulgate rules for the implementation of 
        sections 401.01 to 401.16, and shall provide consultation and 
        technical assistance to counties to aid them in the development 
        of comprehensive plans.  
           Sec. 32.  Minnesota Statutes 1996, section 458A.03, 
        subdivision 2, is amended to read: 
           Subd. 2.  [RULES.] The commission may prescribe and 
        promulgate rules as it deems necessary or expedient in 
        furtherance of the purposes of sections 458A.01 to 458A.15 upon 
        like procedure and with like force and effect as provided for 
        state agencies by sections 14.02, 14.04 to 14.28, 14.38, 14.44 
        to 14.45, and 14.57 to 14.62 chapter 14. 
           Sec. 33.  Minnesota Statutes 1996, section 475A.06, 
        subdivision 2, is amended to read: 
           Subd. 2.  [FORMALITIES.] The bonds shall be issued and sold 
        upon sealed bids and upon such notice, at such price, at such 
        times, in such form and denominations, bearing interest at such 
        rate or rates, maturing in such amounts and on such dates, 
        either without option of prepayment or subject to prepayment 
        upon such notice and at such times and prices, payable at such 
        bank or banks within or outside the state, with such provisions 
        for registration, conversion, and exchange and for the issuance 
        of notes in anticipation of the sale or delivery of definitive 
        bonds, and in accordance with such further rules, as the 
        commissioner of finance shall determine, subject to the approval 
        of the attorney general, but not subject to the provisions of 
        sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
        to 14.62 chapter 14, including section 14.386.  The bonds shall 
        be executed by the commissioner of finance and attested by the 
        state treasurer under their official seals.  The signatures of 
        the officers on the bonds and any appurtenant interest coupons 
        and their seals may be printed, lithographed, engraved, or 
        stamped thereon, except that each bond shall be authenticated by 
        the manual signature on its face of one of the officers or of an 
        officer of a bank designated by them as authenticating agent.  
        The commissioner of finance shall ascertain and certify to the 
        purchasers of the bonds the performance and existence of all 
        acts, conditions, and things necessary to make them valid and 
        binding general obligations of the state of Minnesota, subject 
        to the approval of the attorney general.  
           Sec. 34.  Minnesota Statutes 1996, section 507.09, is 
        amended to read: 
           507.09 [FORMS APPROVED; AMENDMENTS.] 
           The several forms of deeds, mortgages, land contracts, 
        assignments, satisfactions, and other conveyancing instruments 
        prepared by the uniform conveyancing blanks commission and filed 
        by the commission with the secretary of state pursuant to Laws 
        1929, chapter 135, as amended by Laws 1931, chapter 34, are 
        approved and recommended for use in the state.  Such forms shall 
        be kept on file with and be preserved by the commissioner of 
        commerce as a public record.  The commissioner of commerce may 
        appoint an advisory task force on uniform conveyancing forms to 
        recommend to the commissioner of commerce amendments to existing 
        forms or the adoption of new forms.  The task force shall 
        expire, and the terms, compensation, and removal of members 
        shall be as provided in section 15.059.  The commissioner of 
        commerce may adopt amended or new forms consistent with the laws 
        of this state by complying with the procedures in section 14.38, 
        subdivision 7, clauses (1), (2), and (3) 14.386, paragraph (a), 
        clauses (1) and (3).  Section 14.386, paragraph (b), does not 
        apply to these forms. 
           Sec. 35.  [TRANSITION.] 
           The repeal of authority to use procedures in Minnesota 
        Statutes, section 14.38, subdivisions 5 to 9 to adopt rules and 
        the repeal of references to other rulemaking authority in 
        specific sections of Minnesota Statutes, chapter 14 does not 
        affect the validity of rules adopted under those procedures 
        before the effective date of this article. 
           Sec. 36.  [REPEALER.] 
           (a) Minnesota Statutes 1996, section 14.387, is repealed. 
           (b) Minnesota Statutes 1996, section 14.38, subdivisions 5, 
        6, 7, 8, and 9, are repealed. 
           (c) Minnesota Statutes 1996, section 214.06, subdivision 3, 
        is repealed. 
           Sec. 37.  [EFFECTIVE DATES.] 
           Sections 1 to 35, and 36, paragraph (b), are effective the 
        day following final enactment. 
           Section 36, paragraphs (a) and (c), are effective June 30, 
        1997. 
           Presented to the governor May 19, 1997 
           Signed by the governor May 20, 1997, 10:38 a.m.

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