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

                            CHAPTER 228-H.F.No. 2577 
                  An act relating to legislation; correcting erroneous, 
                  ambiguous, and omitted text and obsolete references; 
                  eliminating certain redundant, conflicting, and 
                  superseded provisions; making miscellaneous technical 
                  corrections to statutes and other laws; amending 
                  Minnesota Statutes 2002, sections 3.971, subdivision 
                  8; 13.07; 13.461, by adding a subdivision; 13.465, 
                  subdivision 1, by adding a subdivision; 13.475, 
                  subdivision 4; 13.4965, by adding a subdivision; 
                  13.4967, by adding a subdivision; 13.7411, subdivision 
                  5; 15.0591, subdivision 2; 18F.02, subdivision 2a; 
                  60A.23, subdivision 5; 82.34, subdivision 15; 85.053, 
                  subdivision 2; 89.391; 97A.055, subdivision 4; 
                  103B.101, subdivision 10; 115B.16, subdivision 4; 
                  115B.18, subdivision 1; 116A.11, subdivision 1; 
                  119A.05, subdivision 1; 126C.48, subdivision 8; 
                  162.081, subdivision 4; 163.16, subdivision 1; 
                  163.161; 164.05, subdivision 3; 164.08, subdivision 1; 
                  168.12, subdivision 2d; 181.953, subdivision 1; 
                  214.03, subdivision 1; 237.39; 256D.03, subdivision 8; 
                  260B.175, subdivision 1; 270B.01, subdivision 8; 
                  272.0212, subdivision 2; 273.1398, subdivisions 1, 2d, 
                  3; 275.07, subdivision 1; 276.04, subdivision 2; 
                  290.191, subdivision 5; 290C.04; 306.32; 325F.19, 
                  subdivision 3; 325F.69, subdivisions 1, 4; 326.10, 
                  subdivisions 1, 7; 326.12, subdivision 2; 326.13; 
                  326.15; 336.9-531; 344.20; 348.02; 357.021, 
                  subdivision 5; 365.59; 366.17; 368.85, subdivision 9; 
                  385.09; 395.14; 477A.011, subdivisions 21, 27, 35; 
                  477A.015; 609.3452, subdivision 2; Minnesota Statutes 
                  2003 Supplement, sections 13.4963, subdivision 2; 
                  18G.14, subdivisions 1, 8; 37.31, subdivision 4; 
                  62J.692, subdivision 10; 62J.694, subdivision 1; 
                  97A.482; 115B.31, subdivision 1; 116J.966, subdivision 
                  1; 119B.125, subdivision 2; 127A.45, subdivision 10; 
                  144.395, subdivision 1; 192.501, subdivision 2; 
                  216C.41, subdivision 1; 246.014; 256.954, subdivision 
                  3; 256B.0943, subdivisions 5, 7, 9, 12, by adding a 
                  subdivision; 270B.03, subdivision 6; 273.1392; 
                  273.1398, subdivision 4c; 297A.668, subdivision 3; 
                  297A.669, subdivision 16; 308B.201; 308B.311, 
                  subdivision 6; 308B.471, subdivision 2; 308B.735, 
                  subdivision 1; 365.52, subdivision 1; 469.177, 
                  subdivision 9; 469.339, subdivision 2; 473.253, 
                  subdivision 1; Laws 2003, First Special Session 
                  chapter 11, article 2, section 21; Laws 2003, First 
                  Special Session chapter 21, article 8, section 10; 
                  repealing Minnesota Statutes 2002, sections 18.79, 
                  subdivision 11; 115B.241; 273.1398, subdivisions 1a, 
                  2e; 275.07, subdivisions 1a, 5; Laws 2001, chapter 
                  161, section 29; Laws 2001, First Special Session 
                  chapter 5, article 3, section 9; Laws 2002, chapter 
                  364, section 15; Laws 2002, chapter 380, article 4, 
                  section 1; Laws 2003, chapter 112, article 2, section 
                  35; Laws 2003, chapter 127, article 5, section 19; 
                  Laws 2003, chapter 127, article 7, section 1; Laws 
                  2003, chapter 128, article 2, section 13; Laws 2003, 
                  chapter 128, article 3, section 44; Laws 2003, First 
                  Special Session chapter 9, article 5, section 29; 
                  Minnesota Rules, parts 1220.0200; 1220.0300; 
                  1220.0400; 1220.0500; 1220.0600; 1220.0700; 1220.0800; 
                  1220.0900; 7380.0200; 7380.0210; 7380.0220; 7380.0230; 
                  7380.0240. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 

                                   ARTICLE 1
                                    GENERAL
           Section 1.  Minnesota Statutes 2002, section 3.971, 
        subdivision 8, is amended to read: 
           Subd. 8.  [BEST PRACTICES REVIEWS.] (a) The legislative 
        auditor shall conduct best practices reviews that examine the 
        procedures and practices used to deliver local government 
        services, determine the methods of local government service 
        delivery, identify variations in cost and effectiveness, and 
        identify practices to save money or provide more effective 
        service delivery.  The legislative auditor shall recommend to 
        local governments service delivery methods and practices to 
        improve the cost-effectiveness of services.  The legislative 
        auditor and the Board of Government Innovation and Cooperation 
        shall notify each other of projects being conducted relating to 
        improving local government services. 
           (b) The commission shall approve local government services 
        to be reviewed with advice from an advisory council appointed by 
        the legislative auditor and consisting of: 
           (1) three representatives from the Association of Minnesota 
        Counties; 
           (2) three representatives from the League of Minnesota 
        Cities; 
           (3) two representatives from the Association of 
        Metropolitan Municipalities; 
           (4) one representative from the Minnesota Association of 
        Townships; and 
           (5) one representative from the Minnesota Association of 
        School Administrators. 
           Sec. 2.  Minnesota Statutes 2002, section 13.07, is amended 
        to read: 
           13.07 [DUTIES OF THE COMMISSIONER.] 
           The commissioner shall with the advice of the 
        Intergovernmental Information Services Advisory Council 
        promulgate rules, in accordance with the rulemaking procedures 
        in the Administrative Procedure Act which shall apply to state 
        agencies, statewide systems and political subdivisions to 
        implement the enforcement and administration of this chapter.  
        The rules shall not affect section 13.04, relating to rights of 
        subjects of data.  Prior to the adoption of rules authorized by 
        this section the commissioner shall give notice to all state 
        agencies and political subdivisions in the same manner and in 
        addition to other parties as required by section 14.06 of the 
        date and place of hearing, enclosing a copy of the rules to be 
        adopted. 
           Sec. 3.  Minnesota Statutes 2002, section 13.461, is 
        amended by adding a subdivision to read: 
           Subd. 7a.  [BACKGROUND STUDIES.] Access to and sharing of 
        data for human services background studies under chapter 245C 
        are governed by that chapter. 
           Sec. 4.  Minnesota Statutes 2002, section 13.465, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [SCOPE.] The sections referred to in 
        subdivisions 2 to 14 15 are codified outside this chapter.  
        Those sections classify domestic relations data as other than 
        public, place restrictions on access to government data, or 
        involve data sharing. 
           Sec. 5.  Minnesota Statutes 2002, section 13.465, is 
        amended by adding a subdivision to read: 
           Subd. 15.  [GUARDIAN OR CONSERVATOR; BACKGROUND 
        STUDY.] Access to data for background studies required by the 
        court under section 524.5-118, is governed by that section. 
           Sec. 6.  Minnesota Statutes 2002, section 13.475, 
        subdivision 4, is amended to read: 
           Subd. 4.  [COMMISSIONER OF ECONOMIC SECURITY UNEMPLOYMENT; 
        WAGE DETAIL.] Data maintained by the commissioner of employment 
        and economic security development pursuant to the administration 
        of the Minnesota Unemployment Insurance Law are classified under 
        and may be disseminated as provided in section 268.19, 
        subdivision 1.  Wage and employment data gathered pursuant to 
        section 268.044 may be disseminated as provided in section 
        268.19, subdivision 1a. 
           Sec. 7.  Minnesota Statutes 2003 Supplement, section 
        13.4963, subdivision 2, is amended to read: 
           Subd. 2.  [GENERALLY.] Classification and disclosure of tax 
        data created, collected, or maintained by the Department of 
        Revenue under chapter 115B (except taxes imposed under sections 
        115B.21 to 115B.24), 289A (except for taxes imposed under 
        sections 298.01, 298.015, and 298.24), 290, 290A, 291, 295, 
        297A, or 297H, or any similar Indian tribal tax administered by 
        the commissioner according to a tax agreement between the state 
        and an Indian tribal government are governed by chapter 270B. 
           Sec. 8.  Minnesota Statutes 2002, section 13.4965, is 
        amended by adding a subdivision to read: 
           Subd. 2a.  [UNIFORM ASSESSMENT DATA.] Data on property 
        shared to promote uniform assessment is governed by section 
        273.061, subdivision 8a. 
           Sec. 9.  Minnesota Statutes 2002, section 13.4967, is 
        amended by adding a subdivision to read: 
           Subd. 2b.  [SUSTAINABLE FOREST INCENTIVE.] Data collected 
        under section 290C.04 are classified and may be shared as 
        provided in paragraph (d) of that section. 
           Sec. 10.  Minnesota Statutes 2002, section 13.7411, 
        subdivision 5, is amended to read: 
           Subd. 5.  [ENVIRONMENTAL RESPONSE AND LIABILITY.] (a) 
        [RESPONSIBLE PERSONS.] Certain data obtained by the Pollution 
        Control Agency from a person who may be responsible for a 
        release are classified in section 115B.17, subdivision 5.  
           (b)  [HAZARDOUS WASTE GENERATORS.] Data exchanged between 
        the Pollution Control Agency and the Department of Revenue under 
        sections 115B.24 and 116.075, subdivision 2, are classified 
        under section 115B.24, subdivision 5.  
           (c)  [HARMFUL SUBSTANCE COMPENSATION.] Access to data 
        collected and maintained in connection with harmful substance 
        compensation reimbursement is governed by sections 115B.28, 
        subdivision 2; and 115B.35, subdivision 2. 
           (d) (c)  [DRYCLEANERS ENVIRONMENTAL ACCOUNT.] Disclosure of 
        data collected under section 115B.49, subdivision 4, is governed 
        by chapter 270B. 
           Sec. 11.  Minnesota Statutes 2002, section 15.0591, 
        subdivision 2, is amended to read: 
           Subd. 2.  [BODIES AFFECTED.] A member meeting the 
        qualifications in subdivision 1 must be appointed to the 
        following boards, commissions, advisory councils, task forces, 
        or committees:  
           (1) Advisory Council on Battered Women and Domestic Abuse; 
           (2) Advisory Task Force on the Use of State Facilities; 
           (3) Alcohol and Other Drug Abuse Advisory Council; 
           (4) Board of Examiners for Nursing Home Administrators; 
           (5) Board on Aging; 
           (6) Chiropractic Examiners Board; 
           (7) Consumer Advisory Council on Vocational Rehabilitation; 
           (8) Council on Disability; 
           (9) Council on Affairs of Chicano/Latino People; 
           (10) Council on Black Minnesotans; 
           (11) Dentistry Board; 
           (12) Department of Economic Security Advisory Council; 
           (13) Higher Education Services Office; 
           (14) Housing Finance Agency; 
           (15) Indian Advisory Council on Chemical Dependency; 
           (16) Medical Practice Board; 
           (17) Medical Policy Directional Task Force on Mental 
        Health; 
           (18) Minnesota Employment and Economic Development Task 
        Force; 
           (19) (18) Minnesota State Arts Board; 
           (20) (19) Nursing Board; 
           (21) (20) Optometry Board; 
           (22) (21) Pharmacy Board; 
           (23) (22) Board of Physical Therapy; 
           (24) (23) Podiatry Board; 
           (25) (24) Psychology Board; 
           (26) Veterans Advisory Committee. 
           Sec. 12.  Minnesota Statutes 2002, section 18F.02, 
        subdivision 2a, is amended to read: 
           Subd. 2a.  [AGRICULTURALLY RELATED ORGANISM.] 
        "Agriculturally related organism" means any organism that is 
        used in agricultural production or processing of agricultural 
        products.  It includes livestock and livestock products; dairy 
        animals and dairy products; poultry and poultry products; 
        domestic fur-bearing animals; animal feeds; horticultural stock; 
        nursery stock, as defined in section 18.46, subdivision 3 
        18G.02, subdivision 17; fruit; vegetables; forage grain; wild 
        rice; seeds; bees; apiary products; and products for the control 
        or mitigation of noxious weeds.  It excludes vaccines and drugs 
        for use in humans; genetic engineering of human germ cells and 
        human somatic cells intended for use in human gene therapy; 
        vaccines for use in livestock, dairy animals, poultry, domestic 
        fur-bearing animals, or private aquatic life; genetically 
        engineered wild animals; and forestry products. 
           Sec. 13.  Minnesota Statutes 2003 Supplement, section 
        18G.14, subdivision 1, is amended to read: 
           Subdivision 1.  [DECLARATION OF POLICY.] The abatement or 
        suppression of mosquitoes is advisable and necessary for the 
        maintenance and improvement of the health, welfare, and 
        prosperity of the people.  Areas where mosquitoes incubate or 
        hatch are declared to be public nuisances and may be abated 
        under this section.  Mosquito abatement may be undertaken under 
        sections 18.041 to 18.161 this section anywhere in the state by 
        any governmental unit. 
           Sec. 14.  Minnesota Statutes 2003 Supplement, section 
        18G.14, subdivision 8, is amended to read: 
           Subd. 8.  [POWERS OF BOARD.] A mosquito abatement board and 
        a joint board established under this section 18.131 may, either 
        by board action or through its members, officers, agents, or 
        employees, as may be appropriate: 
           (1) enter any property within the governmental unit at 
        reasonable times to determine whether mosquito breeding exists; 
           (2) take necessary and proper steps for the abatement of 
        mosquitoes and other insects and arachnids, such as ticks, 
        mites, and spiders, as the commissioner may designate; 
           (3) subject to the paramount control of county and state 
        authorities, lagoon and clean up any stagnant pool of water and 
        clean up shores of lakes and streams and other mosquito breeding 
        places; 
           (4) spray with insecticides, approved by the commissioner, 
        areas in the governmental unit found to be breeding places for 
        mosquitoes or other insects or arachnids designated under clause 
        (2); 
           (5) purchase supplies and equipment and employ persons 
        necessary and proper for mosquito abatement; 
           (6) accept gifts of money or equipment to be used for 
        mosquito abatement; and 
           (7) enter into contracts necessary to accomplish mosquito 
        abatement. 
           Sec. 15.  Minnesota Statutes 2003 Supplement, section 
        37.31, subdivision 4, is amended to read: 
           Subd. 4.  [RESOLUTION AND TERMS OF SALE.] The bonds of the 
        society must be authorized by a resolution or resolutions 
        adopted by the society.  The bonds must bear the date or dates, 
        mature at the time or times, bear interest at a fixed or 
        variable rate, including a rate varying periodically at the time 
        or times and on the terms determined by the society, or any 
        combination of fixed and variable rates, be in the 
        denominations, be in the form, carry the registration 
        privileges, be executed in the manner, be payable in lawful 
        money of the United States, at the place or places within or 
        without the state, and be subject to the terms of redemption or 
        purchase before maturity as the resolutions or certificates 
        provide.  If, for any reason existing at the date of issue of 
        the bonds or existing at the date of making or purchasing any 
        loan or securities from the proceeds or after that date, the 
        interest on the bonds is or becomes subject to federal income 
        taxation, this fact does not affect the validity or the 
        provisions made for the security of the bonds.  The society may 
        make covenants and take or have taken actions that are in its 
        judgment necessary or desirable to comply with conditions 
        established by federal law or regulations for the exemption of 
        interest on its obligations.  The society may refrain from 
        compliance with those conditions if in its judgment this would 
        serve the purposes and policies set forth in this chapter with 
        respect to any particular issue of bonds, unless this would 
        violate covenants made by the society.  The maximum maturity of 
        a bond, whether or not issued for the purpose of refunding, must 
        be 30 years from its date.  The bonds of the society may be sold 
        at public or private sale, at a price or prices determined by 
        the society; provided that: 
           (1) the aggregate price at which an issue of bonds is 
        initially offered by underwriters to investors, as stated in the 
        authority's society's official statement with respect to the 
        offering, must not exceed by more than three percent the 
        aggregate price paid by the underwriters to the society at the 
        time of delivery; 
           (2) the commission paid by the society to an underwriter 
        for placing an issue of bonds with investors must not exceed 
        three percent of the aggregate price at which the issue is 
        offered to investors as stated in the society's offering 
        statement; and 
           (3) the spread or commission must be an amount determined 
        by the society to be reasonable in light of the risk assumed and 
        the expenses of issuance, if any, required to be paid by the 
        underwriters. 
           Sec. 16.  Minnesota Statutes 2003 Supplement, section 
        62J.692, subdivision 10, is amended to read: 
           Subd. 10.  [TRANSFERS FROM UNIVERSITY OF MINNESOTA.] Of the 
        funds dedicated to the Academic Health Center under section 
        297F.10, subdivision 1, paragraph (b), clause (1), $4,850,000 
        shall be transferred annually to the commissioner of health no 
        later than April 15 of each year for distribution under 
        subdivision 4, paragraph (f). 
           Sec. 17.  Minnesota Statutes 2003 Supplement, section 
        62J.694, subdivision 1, is amended to read: 
           Subdivision 1.  [CREATION; USE OF CASH RESERVES.] (a) The 
        medical education endowment fund is created in the state 
        treasury.  The State Board of Investment shall invest the fund 
        under section 11A.24.  All earnings of the fund must be credited 
        to the fund.  The principal of the fund must be maintained 
        inviolate, except that the principal may be used to make 
        expenditures from the fund for the purposes specified in this 
        section when the market value of the fund falls below 105 
        percent of the cumulative total of the tobacco settlement 
        payments received by the state and credited to the tobacco 
        settlement fund under Minnesota Statutes 2002, section 16A.87, 
        subdivision 2.  For purposes of this section, "principal" means 
        an amount equal to the cumulative total of the tobacco 
        settlement payments received by the state and credited to the 
        tobacco settlement fund under Minnesota Statutes 2002, section 
        16A.87, subdivision 2.  
           (b) If the commissioner of finance determines that probable 
        receipts to the general fund will be sufficient to meet the need 
        for expenditures from the general fund for a fiscal biennium, 
        after using the cash reserves of the tobacco use prevention and 
        local public health endowment fund, excluding an amount 
        sufficient to meet the annual appropriations in section 144.395, 
        subdivision 2, the commissioner may use cash reserves of the 
        medical education endowment fund, excluding the amounts needed 
        to meet the appropriations described in subdivisions 2 and 2a, 
        to pay expenses of the general fund.  If cash reserves are 
        transferred to the general fund to meet cash flow needs, the 
        amount transferred, plus interest at a rate comparable to the 
        rate earned by the state on invested commissioner of finance 
        cash, as determined monthly by the commissioner, must be 
        returned to the endowment fund as soon as sufficient cash 
        balances are available in the general fund, but in any event 
        before the end of the fiscal biennium.  An amount necessary to 
        pay the interest is appropriated from the general fund.  If cash 
        reserves of the endowment fund are used to pay expenses for the 
        general fund, notwithstanding subdivision 2, paragraph (d), the 
        Academic Health Center shall be held harmless to the extent 
        possible.  When determining the fair market value of the fund, 
        for the purposes described in subdivisions 2 and 2a, the value 
        of the cash reserves transferred to the general fund must be 
        included in the determination.  
           (c) The Academic Health Center account is created as a 
        separate account in the medical education endowment fund.  The 
        account is invested under paragraph (a).  All earnings of the 
        account must be credited to the account.  The principal of the 
        account must be maintained inviolate, except that the principal 
        may be used to make expenditures from the account for the 
        purposes specified in subdivision 2a when the value of the 
        account falls below an amount equal to deposits made to the 
        account under Minnesota Statutes, section 16A.87, subdivision 3, 
        paragraph (b). 
           Sec. 18.  Minnesota Statutes 2002, section 82.34, 
        subdivision 15, is amended to read: 
           Subd. 15.  [APPROPRIATION.] Any sums received by the 
        commissioner pursuant to any provisions of this section shall be 
        deposited in the state treasury, and credited to the real estate 
        education, research and recovery fund, and said sums shall be 
        allocated exclusively for the purposes provided in this 
        section.  All moneys in the fund are appropriated annually to 
        the commissioner for the purposes of this section. 
           All money credited to the fund under section 462A.201 may 
        only be used for purposes under subdivision 6, clause (g) (f).  
        Beginning in 1990, the commissioner must, on February 1 of each 
        year, review the amount of money spent or allocated for uses 
        under subdivision 6, clause (g) (f), for the previous calendar 
        year.  If the amount spent or allocated is less than the amount 
        credited to the fund under section 462A.201 during the same 
        calendar year, the difference must be transferred from the fund 
        to the housing trust fund account established in section 
        462A.201.  If the fund balance exceeds $4,000,000, the 
        commissioner may suspend the fee imposed under subdivision 3. 
           Sec. 19.  Minnesota Statutes 2002, section 85.053, 
        subdivision 2, is amended to read: 
           Subd. 2.  [REQUIREMENT.] Except as provided in section 
        85.054, a motor vehicle may not enter a state park, state 
        recreation area, or state wayside over 50 acres in area, without 
        a state park permit issued under this section.  Except for 
        vehicles permitted under subdivision 7, paragraph (a), clause 
        (3) (2), the state park permit must be affixed to the lower 
        right corner windshield of the motor vehicle and must be 
        completely affixed by its own adhesive to the windshield. 
           Sec. 20.  Minnesota Statutes 2002, section 89.391, is 
        amended to read: 
           89.391 [NURSERY INSPECTION CERTIFICATES; LIMITATIONS ON 
        ISSUANCE.] 
           No certificate of inspection shall be issued pursuant to 
        section 18.51 18H.05 by the commissioner of agriculture to a 
        person who is determined by the commissioner of natural 
        resources to have purchased trees pursuant to sections 89.35 to 
        89.39 and who is selling, giving, removing, or permitting the 
        removal of the trees with roots attached, in violation of 
        section 89.38. 
           Sec. 21.  Minnesota Statutes 2002, section 97A.055, 
        subdivision 4, is amended to read: 
           Subd. 4.  [ANNUAL REPORTS.] (a) By November 15 each year, 
        the commissioner shall submit to the legislative committees 
        having jurisdiction over appropriations and the environment and 
        natural resources reports on each of the following: 
           (1) the amount of revenue from the following and purposes 
        for which expenditures were made: 
           (i) the small game license surcharge under section 97A.475, 
        subdivision 4; 
           (ii) the Minnesota migratory waterfowl stamp under section 
        97A.475, subdivision 5, clause (1); 
           (iii) the trout and salmon stamp under section 97A.475, 
        subdivision 10; 
           (iv) the pheasant stamp under section 97A.475, subdivision 
        5, clause (2); and 
           (v) the turkey stamp under section 97A.475, subdivision 5, 
        clause (3); 
           (2) the amounts available under section 97A.075, 
        subdivision 1, paragraphs (b) and (c), and the purposes for 
        which these amounts were spent; 
           (3) money credited to the game and fish fund under this 
        section and purposes for which expenditures were made from the 
        fund; 
           (4) outcome goals for the expenditures from the game and 
        fish fund; and 
           (5) summary and comments of citizen oversight committee 
        reviews under subdivision 4a 4b. 
           (b) The report must include the commissioner's 
        recommendations, if any, for changes in the laws relating to the 
        stamps and surcharge referenced in paragraph (a). 
           Sec. 22.  Minnesota Statutes 2003 Supplement, section 
        97A.482, is amended to read: 
           97A.482 [LICENSE APPLICATIONS; COLLECTION OF SOCIAL 
        SECURITY NUMBERS.] 
           (a) All applicants for individual noncommercial game and 
        fish licenses under this chapter and chapters 97B and 97C must 
        include the applicant's social security number on the license 
        application.  If an applicant does not have a Social Security 
        number, the applicant must certify that the applicant does not 
        have a Social Security number. 
           (b) The Social Security numbers collected by the 
        commissioner on game and fish license applications are private 
        data under section 13.49 13.355, subdivision 1, and must be 
        provided by the commissioner to the commissioner of human 
        services for child support enforcement purposes.  Title IV-D of 
        the Social Security Act, United States Code, title 42, section 
        666(a)(13), requires the collection of Social Security numbers 
        on game and fish license applications for child support 
        enforcement purposes. 
           Sec. 23.  Minnesota Statutes 2002, section 103B.101, 
        subdivision 10, is amended to read: 
           Subd. 10.  [COMMITTEE FOR DISPUTE RESOLUTION.] A committee 
        of the board is established to hear and resolve disputes, 
        appeals, and interventions under sections 103A.301 to 103A.341; 
        103B.231, subdivision 9; 103B.345; and 103D.535; 103D.537; and 
        103G.2242, subdivision 9.  The committee consists of two of the 
        three citizen members; one county commissioner member; one soil 
        and water conservation district supervisor member; and one 
        watershed district or watershed management organization 
        representative member.  The committee is appointed by the board 
        chair. 
           Sec. 24.  Minnesota Statutes 2002, section 115B.16, 
        subdivision 4, is amended to read: 
           Subd. 4.  [PENALTIES.] (a) Any person who knowingly 
        violates the provisions of subdivision 1 is subject to a civil 
        penalty in an amount determined by the court of not more than 
        $100,000, and shall be liable under sections 115B.04 and 115B.05 
        for any release or threatened release of any hazardous substance 
        resulting from the violation.  
           (b) Any person who knowingly fails to record an affidavit 
        as required by subdivision 2 shall be liable under sections 
        115B.04 and 115B.05 for any release or threatened release of any 
        hazardous substance from a facility located on that property.  
           (c) A civil penalty may be imposed and recovered by an 
        action brought by a county attorney or by the attorney general 
        in the district court of the county in which the property is 
        located.  
           (d) Any civil fines recovered under this subdivision shall 
        be deposited in the account remediation fund. 
           Sec. 25.  Minnesota Statutes 2002, section 115B.18, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [CIVIL PENALTIES.] Any person responsible 
        for a release or threatened release from a facility of a 
        pollutant or contaminant which presents an imminent and 
        substantial danger to the public health or welfare or the 
        environment or for a release or threatened release of a 
        hazardous substance from a facility shall forfeit and pay to the 
        state a civil penalty in an amount to be determined by the court 
        of not more than $20,000 per day for each day that the person 
        fails to take reasonable and necessary response actions or to 
        make reasonable progress in completing response actions 
        requested as provided in subdivision 3.  
           The penalty provided under this subdivision may be 
        recovered by an action brought by the attorney general in the 
        name of the state in connection with an action to recover 
        expenses of the agency under section 115B.17, subdivision 6, or 
        by a separate action in the District Court of Ramsey County.  
        All penalties recovered under this subdivision shall be 
        deposited in the remediation fund. 
           Sec. 26.  Minnesota Statutes 2003 Supplement, section 
        115B.31, subdivision 1, is amended to read: 
           Subdivision 1.  [SUBSEQUENT ACTION OR CLAIM PROHIBITED IN 
        CERTAIN CASES.] (a) A person who has settled a claim for an 
        eligible injury or eligible property damage with a responsible 
        person, either before or after bringing an action in court for 
        that injury or damage, may not file a claim with the account 
        fund for the same injury or damage.  A person who has received a 
        favorable judgment in a court action for an eligible injury or 
        eligible property damage may not file a claim with the fund for 
        the same injury or damage, unless the judgment cannot be 
        satisfied in whole or in part against the persons responsible 
        for the release of the harmful substance.  A person who has 
        filed a claim with the agency or its predecessor, the Harmful 
        Substance Compensation Board, may not file another claim with 
        the agency for the same eligible injury or damage, unless the 
        claim was inactivated by the agency or board as provided in 
        section 115B.32, subdivision 1. 
           (b) A person who has filed a claim with the agency or board 
        for an eligible injury or damage, and who has received and 
        accepted an award from the agency or board, is precluded from 
        bringing an action in court for the same eligible injury or 
        damage.  
           (c) A person who files a claim with the agency for personal 
        injury or property damage must include all known claims eligible 
        for compensation in one proceeding before the agency. 
           Sec. 27.  Minnesota Statutes 2003 Supplement, section 
        116J.966, subdivision 1, is amended to read: 
           Subdivision 1.  [GENERALLY.] (a) The commissioner shall 
        promote, develop, and facilitate trade and foreign investment in 
        Minnesota.  In furtherance of these goals, and in addition to 
        the powers granted by section 116J.035, the commissioner may:  
           (1) locate, develop, and promote international markets for 
        Minnesota products and services; 
           (2) arrange and lead trade missions to countries with 
        promising international markets for Minnesota goods, technology, 
        services, and agricultural products; 
           (3) promote Minnesota products and services at domestic and 
        international trade shows; 
           (4) organize, promote, and present domestic and 
        international trade shows featuring Minnesota products and 
        services; 
           (5) host trade delegations and assist foreign traders in 
        contacting appropriate Minnesota businesses and investments; 
           (6) develop contacts with Minnesota businesses and gather 
        and provide information to assist them in locating and 
        communicating with international trading or joint venture 
        counterparts; 
           (7) provide information, education, and counseling services 
        to Minnesota businesses regarding the economic, commercial, 
        legal, and cultural contexts of international trade; 
           (8) provide Minnesota businesses with international trade 
        leads and information about the availability and sources of 
        services relating to international trade, such as export 
        financing, licensing, freight forwarding, international 
        advertising, translation, and custom brokering; 
           (9) locate, attract, and promote foreign direct investment 
        and business development in Minnesota to enhance employment 
        opportunities in Minnesota; 
           (10) provide foreign businesses and investors desiring to 
        locate facilities in Minnesota information regarding sources of 
        governmental, legal, real estate, financial, and business 
        services; 
           (11) enter into contracts or other agreements with private 
        persons and public entities, including agreements to establish 
        and maintain offices and other types of representation in 
        foreign countries, to carry out the purposes of promoting 
        international trade and attracting investment from foreign 
        countries to Minnesota and to carry out this section, without 
        regard to section 16C.06; and 
           (12) market trade-related materials to businesses and 
        organizations, and the proceeds of which must be placed in a 
        special revolving account and are appropriated to the 
        commissioner to prepare and distribute trade-related materials.  
           (b) The programs and activities of the commissioner of 
        employment and economic development and the Minnesota Trade 
        Division may not duplicate programs and activities of the 
        commissioner of agriculture or the Minnesota World Trade Center. 
           (c) The commissioner shall notify the chairs of the senate 
        Finance and house Appropriations Committees of each agreement 
        under this subdivision to establish and maintain an office or 
        other type of representation in a foreign country. 
           Sec. 28.  Minnesota Statutes 2002, section 119A.05, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [AUTHORITY FOR FUNDING CONSOLIDATION.] 
        Notwithstanding existing law governing allocation of funds by 
        local grantees, mode of service delivery, grantee planning and 
        reporting requirements, and other procedural requirements for 
        the grant programs identified in this section, a local grantee 
        may elect to consolidate all or a portion of funding received 
        from the programs under subdivision 5 in a collaboration funding 
        plan, if all conditions specified in this section are 
        satisfied.  County boards, school boards, or governing boards of 
        other grantees may elect not to consolidate funding for a 
        program.  
           For grantees electing consolidation, the commissioner may, 
        with the approval of the Board of Government Innovation and 
        Cooperation, waive all provisions of rules inconsistent with the 
        intent of this section.  This waiver authority does not apply to 
        rules governing client protections, due process, or inclusion of 
        clients, parents, cultures, and ethnicities in decision making.  
        Funding to a local grantee must be determined according to the 
        funding formulas or allocation rules governing the individual 
        programs listed in section 119A.04. 
           Sec. 29.  Minnesota Statutes 2003 Supplement, section 
        119B.125, subdivision 2, is amended to read: 
           Subd. 2.  [PERSONS WHO CANNOT BE AUTHORIZED.] (a) A person 
        who meets any of the conditions under paragraphs (b) to (n) must 
        not be authorized as a legal nonlicensed family child care 
        provider.  For purposes of this subdivision, a finding that a 
        delinquency petition is proven in juvenile court must be 
        considered a conviction in state district court. 
           (b) The person has been convicted of one of the following 
        offenses or has admitted to committing or a preponderance of the 
        evidence indicates that the person has committed an act that 
        meets the definition of one of the following offenses:  sections 
        609.185 to 609.195, murder in the first, second, or third 
        degree; 609.2661 to 609.2663, murder of an unborn child in the 
        first, second, or third degree; 609.322, solicitation, 
        inducement, or promotion of prostitution; 609.323, or receiving 
        profit from prostitution; 609.342 to 609.345, criminal sexual 
        conduct in the first, second, third, or fourth degree; 609.352, 
        solicitation of children to engage in sexual conduct; 609.365, 
        incest; 609.377, felony malicious punishment of a child; 
        617.246, use of minors in sexual performance; 617.247, 
        possession of pictorial representation of a minor; 609.2242 to 
        609.2243, felony domestic assault; a felony offense of spousal 
        abuse; a felony offense of child abuse or neglect; a felony 
        offense of a crime against children; or an attempt or conspiracy 
        to commit any of these offenses as defined in Minnesota 
        Statutes; or an offense in any other state or country where the 
        elements are substantially similar to any of the offenses listed 
        in this paragraph. 
           (c) Less than 15 years have passed since the discharge of 
        the sentence imposed for the offense and the person has received 
        a felony conviction for one of the following offenses, or the 
        person has admitted to committing or a preponderance of the 
        evidence indicates that the person has committed an act that 
        meets the definition of a felony conviction for one of the 
        following offenses:  sections 609.20 to 609.205, manslaughter in 
        the first or second degree; 609.21, criminal vehicular homicide; 
        609.215, aiding suicide or aiding attempted suicide; 609.221 to 
        609.2231, assault in the first, second, third, or fourth degree; 
        609.224, repeat offenses of fifth degree assault; 609.228, great 
        bodily harm caused by distribution of drugs; 609.2325, criminal 
        abuse of a vulnerable adult; 609.2335, financial exploitation of 
        a vulnerable adult; 609.235, use of drugs to injure or 
        facilitate a crime; 609.24, simple robbery; 617.241, repeat 
        offenses of obscene materials and performances; 609.245, 
        aggravated robbery; 609.25, kidnapping; 609.255, false 
        imprisonment; 609.2664 to 609.2665, manslaughter of an unborn 
        child in the first or second degree; 609.267 to 609.2672, 
        assault of an unborn child in the first, second, or third 
        degree; 609.268, injury or death of an unborn child in the 
        commission of a crime; 609.27, coercion; 609.275, attempt to 
        coerce; 609.324, subdivision 1, other prohibited acts, minor 
        engaged in prostitution; 609.3451, repeat offenses of criminal 
        sexual conduct in the fifth degree; 609.378, neglect or 
        endangerment of a child; 609.52, theft; 609.521, possession of 
        shoplifting gear; 609.561 to 609.563, arson in the first, 
        second, or third degree; 609.582, burglary in the first, second, 
        third, or fourth degree; 609.625, aggravated forgery; 609.63, 
        forgery; 609.631, check forgery, offering a forged check; 
        609.635, obtaining signature by false pretenses; 609.66, 
        dangerous weapon; 609.665, setting a spring gun; 609.67, 
        unlawfully owning, possessing, or operating a machine gun; 
        609.687, adulteration; 609.71, riot; 609.713, terrorist threats; 
        609.749, harassment, stalking; 260.221 260C.301, grounds for 
        termination of parental rights; 152.021 to 152.022, controlled 
        substance crime in the first or second degree; 152.023, 
        subdivision 1, clause (3) or (4), or 152.023, subdivision 2, 
        clause (4), controlled substance crime in third degree; 152.024, 
        subdivision 1, clause (2), (3), or (4), controlled substance 
        crime in fourth degree; 617.23, repeat offenses of indecent 
        exposure; an attempt or conspiracy to commit any of these 
        offenses as defined in Minnesota Statutes; or an offense in any 
        other state or country where the elements are substantially 
        similar to any of the offenses listed in this paragraph. 
           (d) Less than ten years have passed since the discharge of 
        the sentence imposed for the offense and the person has received 
        a gross misdemeanor conviction for one of the following offenses 
        or the person has admitted to committing or a preponderance of 
        the evidence indicates that the person has committed an act that 
        meets the definition of a gross misdemeanor conviction for one 
        of the following offenses:  sections 609.224, fifth degree 
        assault; 609.2242 to 609.2243, domestic assault; 518B.01, 
        subdivision 14, violation of an order for protection; 609.3451, 
        fifth degree criminal sexual conduct; 609.746, repeat offenses 
        of interference with privacy; 617.23, repeat offenses of 
        indecent exposure; 617.241, obscene materials and performances; 
        617.243, indecent literature, distribution; 617.293, 
        disseminating or displaying harmful material to minors; 609.71, 
        riot; 609.66, dangerous weapons; 609.749, harassment, stalking; 
        609.224, subdivision 2, paragraph (c), fifth degree assault 
        against a vulnerable adult by a caregiver; 609.23, mistreatment 
        of persons confined; 609.231, mistreatment of residents or 
        patients; 609.2325, criminal abuse of a vulnerable adult; 
        609.2335, financial exploitation of a vulnerable adult; 609.233, 
        criminal neglect of a vulnerable adult; 609.234, failure to 
        report maltreatment of a vulnerable adult; 609.72, subdivision 
        3, disorderly conduct against a vulnerable adult; 609.265, 
        abduction; 609.378, neglect or endangerment of a child; 609.377, 
        malicious punishment of a child; 609.324, subdivision 1a, other 
        prohibited acts, minor engaged in prostitution; 609.33, 
        disorderly house; 609.52, theft; 609.582, burglary in the first, 
        second, third, or fourth degree; 609.631, check forgery, 
        offering a forged check; 609.275, attempt to coerce; an attempt 
        or conspiracy to commit any of these offenses as defined in 
        Minnesota Statutes; or an offense in any other state or country 
        where the elements are substantially similar to any of the 
        offenses listed in this paragraph. 
           (e) Less than seven years have passed since the discharge 
        of the sentence imposed for the offense and the person has 
        received a misdemeanor conviction for one of the following 
        offenses or the person has admitted to committing or a 
        preponderance of the evidence indicates that the person has 
        committed an act that meets the definition of a misdemeanor 
        conviction for one of the following offenses:  sections 609.224, 
        fifth degree assault; 609.2242, domestic assault; 518B.01, 
        violation of an order for protection; 609.3232, violation of an 
        order for protection; 609.746, interference with privacy; 
        609.79, obscene or harassing telephone calls; 609.795, letter, 
        telegram, or package opening, harassment; 617.23, indecent 
        exposure; 609.2672, assault of an unborn child, third degree; 
        617.293, dissemination and display of harmful materials to 
        minors; 609.66, dangerous weapons; 609.665, spring guns; an 
        attempt or conspiracy to commit any of these offenses as defined 
        in Minnesota Statutes; or an offense in any other state or 
        country where the elements are substantially similar to any of 
        the offenses listed in this paragraph. 
           (f) The person has been identified by the county's child 
        protection agency or by the statewide child protection database 
        as the person allegedly responsible for physical or sexual abuse 
        of a child within the last seven years. 
           (g) The person has been identified by the county's adult 
        protection agency or by the statewide adult protection database 
        as the person responsible for abuse or neglect of a vulnerable 
        adult within the last seven years. 
           (h) The person has refused to give written consent for 
        disclosure of criminal history records. 
           (i) The person has been denied a family child care license 
        or has received a fine or a sanction as a licensed child care 
        provider that has not been reversed on appeal. 
           (j) The person has a family child care licensing 
        disqualification that has not been set aside. 
           (k) The person has admitted or a county has found that 
        there is a preponderance of evidence that fraudulent information 
        was given to the county for application purposes or was used in 
        submitting bills for payment. 
           (l) The person has been convicted or there is a 
        preponderance of evidence of the crime of theft by wrongfully 
        obtaining public assistance. 
           (m) The person has a household member age 13 or older who 
        has access to children during the hours that care is provided 
        and who meets one of the conditions listed in paragraphs (b) to 
        (l). 
           (n) The person has a household member ages ten to 12 who 
        has access to children during the hours that care is provided; 
        information or circumstances exist which provide the county with 
        articulable suspicion that further pertinent information may 
        exist showing the household member meets one of the conditions 
        listed in paragraphs (b) to (l); and the household member 
        actually meets one of the conditions listed in paragraphs (b) to 
        (l). 
           Sec. 30.  Minnesota Statutes 2003 Supplement, section 
        144.395, subdivision 1, is amended to read: 
           Subdivision 1.  [CREATION.] (a) The tobacco use prevention 
        and local public health endowment fund is created in the state 
        treasury.  The State Board of Investment shall invest the fund 
        under section 11A.24.  All earnings of the fund must be credited 
        to the fund.  The principal of the fund must be maintained 
        inviolate, except that the principal may be used to make 
        expenditures from the fund for the purposes specified in this 
        section when the market value of the fund falls below 105 
        percent of the cumulative total of the tobacco settlement 
        payments received by the state and credited to the tobacco 
        settlement fund under Minnesota Statutes 2002, section 16A.87, 
        subdivision 2.  For purposes of this section, "principal" means 
        an amount equal to the cumulative total of the tobacco 
        settlement payments received by the state and credited to the 
        tobacco settlement fund under Minnesota Statutes 2002, section 
        16A.87, subdivision 2.  
           (b) If the commissioner of finance determines that probable 
        receipts to the general fund will be sufficient to meet the need 
        for expenditures from the general fund for a fiscal biennium, 
        the commissioner may use cash reserves of the tobacco use 
        prevention and local public health endowment fund, excluding an 
        amount sufficient to meet the annual appropriations in 
        subdivision 2, to pay expenses of the general fund.  If cash 
        reserves are transferred to the general fund to meet cash flow 
        needs, the amount transferred, plus interest at a rate 
        comparable to the rate earned by the state on invested 
        commissioner of finance cash, as determined monthly by the 
        commissioner, must be returned to the endowment fund as soon as 
        sufficient cash balances are available in the general fund, but 
        in any event before the end of the fiscal biennium.  An amount 
        necessary to pay the interest is appropriated from the general 
        fund.  If cash reserves of the endowment fund are used to pay 
        expenses for the general fund, the recipients of the grants 
        shall be held harmless to the extent possible in the following 
        order:  (1) local public health; (2) local tobacco prevention; 
        and (3) statewide tobacco prevention.  When determining the fair 
        market value of the fund, for the purposes described in 
        subdivision 2, the value of the cash reserves transferred to the 
        general fund must be included in the determination. 
           Sec. 31.  Minnesota Statutes 2002, section 168.12, 
        subdivision 2d, is amended to read: 
           Subd. 2d.  [READY RESERVE; SPECIAL PLATES.] (a) The 
        registrar shall issue special license plates to an applicant who 
        is not eligible for special license plates under subdivision 2c, 
        who is a member of the United States Armed Forces Ready Reserve 
        as described in United States Code, title 10, section 268 10142 
        or 10143, and is an owner or joint owner of a passenger 
        automobile, van, or pickup truck, on paying a fee of $10, paying 
        the registration tax required by law, and complying with other 
        laws of this state relating to registration and licensing of 
        motor vehicles and drivers.  The commissioner of veterans 
        affairs shall design these special plates subject to the 
        approval of the registrar.  No applicant may be issued more than 
        two sets of plates for vehicles owned or jointly owned by the 
        applicant.  The commissioner of veterans affairs shall estimate 
        the number of special plates that will be required and submit 
        the estimate to the registrar.  
           (b) Special plates issued under this subdivision may only 
        be used during the period that the owner or joint owner of the 
        vehicle is a member of the ready reserve.  When the person is no 
        longer a member, the special plates must be removed from the 
        vehicle and returned to the registrar.  On returning the special 
        plates, the owner or purchaser of the vehicle is entitled to 
        receive regular plates for the vehicle without cost for the rest 
        of the registration period for which the special plates were 
        issued.  While the person is a member of the ready reserve, 
        plates issued under this subdivision may be transferred to 
        another motor vehicle owned or jointly owned by that person on 
        paying a fee of $5.  
           (c) The fees collected under this subdivision must be paid 
        into the state treasury and credited to the highway user tax 
        distribution fund.  
           (d) The registrar may adopt rules under the Administrative 
        Procedure Act to govern the issuance and use of the special 
        plates authorized by this subdivision. 
           Sec. 32.  Minnesota Statutes 2002, section 181.953, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [USE OF LICENSED, ACCREDITED, OR CERTIFIED 
        LABORATORY REQUIRED.] (a) An employer who requests or requires 
        an employee or job applicant to undergo drug or alcohol testing 
        shall use the services of a testing laboratory that meets one of 
        the following criteria for drug testing: 
           (1) is certified by the National Institute on Drug Abuse as 
        meeting the mandatory guidelines published at 54 53 Federal 
        Register 11970 to 11989, April 11, 1988; 
           (2) is accredited by the College of American Pathologists, 
        325 Waukegan Road, Northfield, Illinois, 60093-2750, under the 
        forensic urine drug testing laboratory program; or 
           (3) is licensed to test for drugs by the state of New York, 
        Department of Health, under Public Health Law, article 5, title 
        V, and rules adopted under that law. 
           (b) For alcohol testing, the laboratory must either be: 
           (1) licensed to test for drugs and alcohol by the state of 
        New York, Department of Health, under Public Health Law, article 
        5, title V, and the rules adopted under that law; or 
           (2) accredited by the College of American Pathologists, 325 
        Waukegan Road, Northfield, Illinois, 60093-2750, in the 
        laboratory accreditation program. 
           Sec. 33.  Minnesota Statutes 2003 Supplement, section 
        192.501, subdivision 2, is amended to read: 
           Subd. 2.  [TUITION AND TEXTBOOK REIMBURSEMENT GRANT 
        PROGRAM.] (a) The adjutant general shall establish a program to 
        provide tuition and textbook reimbursement grants to eligible 
        members of the Minnesota National Guard within the limitations 
        of this subdivision. 
           (b) Eligibility is limited to a member of the National 
        Guard who: 
           (1) is serving satisfactorily as defined by the adjutant 
        general; 
           (2) is attending a postsecondary educational institution, 
        as defined by section 136A.15, subdivision 6, including a 
        vocational or technical school operated or regulated by this 
        state or another state or province; and 
           (3) provides proof of satisfactory completion of 
        coursework, as defined by the adjutant general. 
           In addition, if a member of the Minnesota National Guard is 
        killed in the line of state active service or federally funded 
        state active service, as defined in section 190.05, subdivisions 
        5a and 5b, the member's surviving spouse, and any surviving 
        dependent who has not yet reached 24 years of age, is eligible 
        for a tuition and textbook reimbursement grant. 
           The adjutant general may, within the limitations of this 
        paragraph and other applicable laws, determine additional 
        eligibility criteria for the grant, and must specify the 
        criteria in department regulations and publish changes as 
        necessary. 
           (c) The amount of a tuition and textbook reimbursement 
        grant must be specified on a schedule as determined and 
        published in department regulations by the adjutant general, but 
        is limited to a maximum of an amount equal to the greater of: 
           (1) 75 80 percent of the cost of tuition for lower division 
        programs in the College of Liberal Arts at the Twin Cities 
        campus of the University of Minnesota in the most recent 
        academic year; or 
           (2) 50 80 percent of the cost of tuition for the program in 
        which the person is enrolled at that Minnesota public 
        institution, or if that public institution is outside the state 
        of Minnesota, for the cost of a comparable program at the 
        University of Minnesota, except that in the case of a survivor 
        as defined in paragraph (b), the amount of the tuition and 
        textbook reimbursement grant for coursework satisfactorily 
        completed by the person is limited to 100 percent of the cost of 
        tuition for postsecondary courses at a Minnesota public 
        educational institution. 
           Paragraph (b) notwithstanding, a person is no longer 
        eligible for a grant under this subdivision once the person has 
        received grants under this subdivision for the equivalent of 208 
        quarter credits or 144 semester credits of coursework. 
           (d) Tuition and textbook reimbursement grants received 
        under this subdivision may not be considered by the Minnesota 
        Higher Education Services Office or by any other state board, 
        commission, or entity in determining a person's eligibility for 
        a scholarship or grant-in-aid under sections 136A.095 to 
        136A.1311. 
           (e) If a member fails to complete a term of enlistment 
        during which a tuition and textbook reimbursement grant was 
        paid, the adjutant general may seek to recoup a prorated amount 
        as determined by the adjutant general. 
           [EFFECTIVE DATE.] This section is effective retroactively 
        from June 30, 2003. 
           Sec. 34.  Minnesota Statutes 2002, section 214.03, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [STANDARDIZED TESTS USED.] All state 
        examining and licensing boards, other than the State Board of 
        Law Examiners, the state Board of Lawyers Professional 
        Responsibility Board or any other board established by the 
        Supreme Court to regulate the practice of law and judicial 
        functions, shall use national standardized tests for the 
        objective, nonpractical portion of any examination given to 
        prospective licensees to the extent that such national 
        standardized tests are appropriate, except when the subject 
        matter of the examination relates to the application of 
        Minnesota law to the profession or calling being licensed. 
           Sec. 35.  Minnesota Statutes 2003 Supplement, section 
        216C.41, subdivision 1, is amended to read: 
           Subdivision 1.  [DEFINITIONS.] (a) The definitions in this 
        subdivision apply to this section. 
           (b) "Qualified hydroelectric facility" means a 
        hydroelectric generating facility in this state that: 
           (1) is located at the site of a dam, if the dam was in 
        existence as of March 31, 1994; and 
           (2) begins generating electricity after July 1, 1994, or 
        generates electricity after substantial refurbishing of a 
        facility that begins after July 1, 2001. 
           (c) "Qualified wind energy conversion facility" means a 
        wind energy conversion system in this state that: 
           (1) produces two megawatts or less of electricity as 
        measured by nameplate rating and begins generating electricity 
        after December 31, 1996, and before July 1, 1999; 
           (2) begins generating electricity after June 30, 1999, 
        produces two megawatts or less of electricity as measured by 
        nameplate rating, and is: 
           (i) owned by a resident of Minnesota or an entity that is 
        organized under the laws of this state, is not prohibited from 
        owning agricultural land under section 500.24, and that owns the 
        land where the facility is sited; 
           (ii) owned by a Minnesota small business as defined in 
        section 645.445; 
           (iii) owned by a Minnesota nonprofit organization; 
           (iv) owned by a tribal council if the facility is located 
        within the boundaries of the reservation; 
           (v) owned by a Minnesota municipal utility or a Minnesota 
        cooperative electric association; or 
           (vi) owned by a Minnesota political subdivision or local 
        government, including, but not limited to, a county, statutory 
        or home rule charter city, town, school district, or any other 
        local or regional governmental organization such as a board, 
        commission, or association; or 
           (3) begins generating electricity after June 30, 1999, 
        produces seven megawatts or less of electricity as measured by 
        nameplate rating, and: 
           (i) is owned by a cooperative organized under chapter 308A 
        other than a Minnesota cooperative electric association; and 
           (ii) all shares and membership in the cooperative are held 
        by an entity that is not prohibited from owning agricultural 
        land under section 500.24. 
           (d) "Qualified on-farm biogas recovery facility" means an 
        anaerobic digester system that: 
           (1) is located at the site of an agricultural operation; 
           (2) is owned by an entity that is not prohibited from 
        owning agricultural land under section 500.24 and that owns or 
        rents the land where the facility is located; and 
           (3) begins generating electricity after July 1, 2001.  
           (e) "Anaerobic digester system" means a system of 
        components that processes animal waste based on the absence of 
        oxygen and produces gas used to generate electricity. 
           Sec. 36.  Minnesota Statutes 2003 Supplement, section 
        246.014, is amended to read: 
           246.014 [SERVICES.] 
           The measure of services established and prescribed by 
        section 246.012, are: 
           (a) The commissioner of human services shall develop and 
        maintain state-operated services in a manner consistent with 
        sections 245.461, 245.487, and 253.28, and chapters 252A 252, 
        254A, and 254B.  State-operated services shall be provided in 
        coordination with counties and other vendors.  State-operated 
        services shall include regional treatment centers, specialized 
        inpatient or outpatient treatment programs, enterprise services, 
        community-based services and programs, community preparation 
        services, consultative services, and other services consistent 
        with the mission of the Department of Human Services.  These 
        services shall include crisis beds, waivered homes, intermediate 
        care facilities, and day training and habilitation facilities.  
        The administrative structure of state-operated services must be 
        statewide in character.  The state-operated services staff may 
        deliver services at any location throughout the state. 
           (b) The commissioner of human services shall create and 
        maintain forensic services programs.  Forensic services shall be 
        provided in coordination with counties and other vendors.  
        Forensic services shall include specialized inpatient programs 
        at secure treatment facilities as defined in section 253B.02, 
        subdivision 18a, consultative services, aftercare services, 
        community-based services and programs, transition services, or 
        other services consistent with the mission of the Department of 
        Human Services. 
           (c) Community preparation services as identified in 
        paragraphs (a) and (b) are defined as specialized inpatient or 
        outpatient services or programs operated outside of a secure 
        environment but are administered by a secured treatment facility.
           (d) The commissioner of human services may establish 
        policies and procedures which govern the operation of the 
        services and programs under the direct administrative authority 
        of the commissioner. 
           Sec. 37.  Minnesota Statutes 2003 Supplement, section 
        256.954, subdivision 3, is amended to read: 
           Subd. 3.  [DEFINITIONS.] For the purpose of this section, 
        the following terms have the meanings given them. 
           (a) "Commissioner" means the commissioner of human services.
           (b) "Manufacturer" means a manufacturer as defined in 
        section 151.44, paragraph (c). 
           (c) "Covered prescription drug" means a prescription drug 
        as defined in section 151.44, paragraph (d), that is covered 
        under medical assistance as described in section 256B.0625, 
        subdivision 13, and that is provided by a manufacturer that has 
        a fully executed rebate agreement with the commissioner under 
        this section and complies with that agreement.  
           (d) "Health carrier" means an insurance company licensed 
        under chapter 60A to offer, sell, or issue an individual or 
        group policy of accident and sickness insurance as defined in 
        section 62A.01; a nonprofit health service plan corporation 
        operating under chapter 62C; a health maintenance organization 
        operating under chapter 62D; a joint self-insurance employee 
        health plan operating under chapter 62H; a community integrated 
        systems network licensed under chapter 62N; a fraternal benefit 
        society operating under chapter 64B; a city, county, school 
        district, or other political subdivision providing self-insured 
        health coverage under section 461.617 471.617 or sections 471.98 
        to 471.982; and a self-funded health plan under the Employee 
        Retirement Income Security Act of 1974, as amended. 
           (e) "Participating pharmacy" means a pharmacy as defined in 
        section 151.01, subdivision 2, that agrees to participate in the 
        prescription drug discount program. 
           (f) "Enrolled individual" means a person who is eligible 
        for the program under subdivision 4 and has enrolled in the 
        program according to subdivision 5. 
           Sec. 38.  Minnesota Statutes 2003 Supplement, section 
        256B.0943, subdivision 5, is amended to read: 
           Subd. 5.  [PROVIDER ENTITY ADMINISTRATIVE INFRASTRUCTURE 
        REQUIREMENTS.] (a) To be an eligible provider entity under this 
        section, a provider entity must have an administrative 
        infrastructure that establishes authority and accountability for 
        decision making and oversight of functions, including finance, 
        personnel, system management, clinical practice, and performance 
        measurement.  The provider must have written policies and 
        procedures that it reviews and updates every three years and 
        distributes to staff initially and upon each subsequent update. 
           (b) The administrative infrastructure written policies and 
        procedures must include: 
           (1) personnel procedures, including a process for:  (i) 
        recruiting, hiring, training, and retention of culturally and 
        linguistically competent providers; (ii) conducting a criminal 
        background check on all direct service providers and volunteers; 
        (iii) investigating, reporting, and acting on violations of 
        ethical conduct standards; (iv) investigating, reporting, and 
        acting on violations of data privacy policies that are compliant 
        with federal and state laws; (v) utilizing volunteers, including 
        screening applicants, training and supervising volunteers, and 
        providing liability coverage for volunteers; and (vi) 
        documenting that a each mental health professional, mental 
        health practitioner, or mental health behavioral aide meets the 
        applicable provider qualification criteria, training criteria 
        under subdivision 8, and clinical supervision or direction of a 
        mental health behavioral aide requirements under subdivision 6; 
           (2) fiscal procedures, including internal fiscal control 
        practices and a process for collecting revenue that is compliant 
        with federal and state laws; 
           (3) if a client is receiving services from a case manager 
        or other provider entity, a service coordination process that 
        ensures services are provided in the most appropriate manner to 
        achieve maximum benefit to the client.  The provider entity must 
        ensure coordination and nonduplication of services consistent 
        with county board coordination procedures established under 
        section 245.4881, subdivision 5; 
           (4) a performance measurement system, including monitoring 
        to determine cultural appropriateness of services identified in 
        the individual treatment plan, as determined by the client's 
        culture, beliefs, values, and language, and family-driven 
        services; and 
           (5) a process to establish and maintain individual client 
        records.  The client's records must include: 
           (i) the client's personal information; 
           (ii) forms applicable to data privacy; 
           (iii) the client's diagnostic assessment, updates, results 
        of tests, individual treatment plan, and individual behavior 
        plan, if necessary; 
           (iv) documentation of service delivery as specified under 
        subdivision 6; 
           (v) telephone contacts; 
           (vi) discharge plan; and 
           (vii) if applicable, insurance information. 
           Sec. 39.  Minnesota Statutes 2003 Supplement, section 
        256B.0943, subdivision 7, is amended to read: 
           Subd. 7.  [QUALIFICATIONS OF INDIVIDUAL AND TEAM 
        PROVIDERS.] (a) An individual or team provider working within 
        the scope of the provider's practice or qualifications may 
        provide service components of children's therapeutic services 
        and supports that are identified as medically necessary in a 
        client's individual treatment plan. 
           (b) An individual provider and multidisciplinary team 
        includes must be qualified as: 
           (1) a mental health professional as defined in subdivision 
        1, paragraph (m); or 
           (2) a mental health practitioner as defined in section 
        245.4871, subdivision 26.  The mental health practitioner must 
        work under the clinical supervision of a mental health 
        professional; or 
           (3) a mental health behavioral aide working under the 
        direction of a mental health professional to implement the 
        rehabilitative mental health services identified in the client's 
        individual treatment plan.  A level I mental health behavioral 
        aide must:  
           (i) be at least 18 years old; 
           (ii) have a high school diploma or general equivalency 
        diploma (GED) or two years of experience as a primary caregiver 
        to a child with severe emotional disturbance within the previous 
        ten years; and 
           (iii) meet preservice and continuing education requirements 
        under subdivision 8.  A level II mental health behavioral aide 
        must: 
           (i) be at least 18 years old; 
           (ii) have an associate or bachelor's degree or 4,000 hours 
        of experience in delivering clinical services in the treatment 
        of mental illness concerning children or adolescents; and 
           (iii) meet preservice and continuing education requirements 
        in subdivision 8;. 
           (4) (c) A preschool program multidisciplinary team that 
        includes must include at least one mental health professional 
        and one or more of the following individuals under the clinical 
        supervision of a mental health professional:  
           (i) a mental health practitioner; or 
           (ii) a program person, including a teacher, assistant 
        teacher, or aide, who meets the qualifications and training 
        standards of a level I mental health behavioral aide; or. 
           (5) (d) A day treatment multidisciplinary team that 
        includes must include at least one mental health professional 
        and one mental health practitioner. 
           Sec. 40.  Minnesota Statutes 2003 Supplement, section 
        256B.0943, subdivision 9, is amended to read: 
           Subd. 9.  [SERVICE DELIVERY CRITERIA.] (a) In delivering 
        services under this section, a certified provider entity must 
        ensure that: 
           (1) each individual provider's caseload size permits the 
        provider to deliver services to both clients with severe, 
        complex needs and clients with less intensive needs.  The 
        provider's caseload size should reasonably enable the provider 
        to play an active role in service planning, monitoring, and 
        delivering services to meet the client's and client's family's 
        needs, as specified in each client's individual treatment plan; 
           (2) site-based programs, including day treatment and 
        preschool programs, provide staffing and facilities to ensure 
        the client's health, safety, and protection of rights, and that 
        the programs are able to implement each client's individual 
        treatment plan; 
           (3) a day treatment program is provided to a group of 
        clients by a multidisciplinary staff team under the clinical 
        supervision of a mental health professional.  The day treatment 
        program must be provided in and by:  (i) an outpatient hospital 
        accredited by the Joint Commission on Accreditation of Health 
        Organizations and licensed under sections 144.50 to 144.55; (ii) 
        a community mental health center under section 245.62; and (iii) 
        an entity that is under contract with the county board to 
        operate a program that meets the requirements of sections 
        245.4712, subdivision 2, and 245.4884, subdivision 2, and 
        Minnesota Rules, parts 9505.0170 to 9505.0475.  The day 
        treatment program must stabilize the client's mental health 
        status while developing and improving the client's independent 
        living and socialization skills.  The goal of the day treatment 
        program must be to reduce or relieve the effects of mental 
        illness and provide training to enable the client to live in the 
        community.  The program must be available at least one day a 
        week for a minimum three-hour time block.  The three-hour time 
        block must include at least one hour, but no more than two 
        hours, of individual or group psychotherapy.  The remainder of 
        the three-hour time block may include recreation therapy, 
        socialization therapy, or independent living skills therapy, but 
        only if the therapies are included in the client's individual 
        treatment plan.  Day treatment programs are not part of 
        inpatient or residential treatment services; and 
           (4) a preschool program is a structured treatment program 
        offered to a child who is at least 33 months old, but who has 
        not yet reached the first day of kindergarten, by a preschool 
        multidisciplinary team in a day program licensed under Minnesota 
        Rules, parts 9503.0005 to 9503.0175.  The program must be 
        available at least one day a week for a minimum two-hour time 
        block.  The structured treatment program may include individual 
        or group psychotherapy and recreation therapy, socialization 
        therapy, or independent living skills therapy, if included in 
        the client's individual treatment plan. 
           (b) A provider entity must deliver the service components 
        of children's therapeutic services and supports in compliance 
        with the following requirements: 
           (1) individual, family, and group psychotherapy must be 
        delivered as specified in Minnesota Rules, part 9505.0323; 
           (2) individual, family, or group skills training must be 
        provided by a mental health professional or a mental health 
        practitioner who has a consulting relationship with a mental 
        health professional who accepts full professional responsibility 
        for the training; 
           (3) crisis assistance must be intense, time-limited, and 
        designed to resolve or stabilize crisis through arrangements for 
        direct intervention and support services to the child and the 
        child's family.  Crisis assistance must utilize resources 
        designed to address abrupt or substantial changes in the 
        functioning of the child or the child's family as evidenced by a 
        sudden change in behavior with negative consequences for well 
        being, a loss of usual coping mechanisms, or the presentation of 
        danger to self or others; 
           (4) medically necessary services that are provided by a 
        mental health behavioral aide must be designed to improve the 
        functioning of the child and support the family in activities of 
        daily and community living.  A mental health behavioral aide 
        must document the delivery of services in written progress 
        notes.  The mental health behavioral aide must implement goals 
        in the treatment plan for the child's emotional disturbance that 
        allow the child to acquire developmentally and therapeutically 
        appropriate daily living skills, social skills, and leisure and 
        recreational skills through targeted activities.  These 
        activities may include: 
           (i) assisting a child as needed with skills development in 
        dressing, eating, and toileting; 
           (ii) assisting, monitoring, and guiding the child to 
        complete tasks, including facilitating the child's participation 
        in medical appointments; 
           (iii) observing the child and intervening to redirect the 
        child's inappropriate behavior; 
           (iv) assisting the child in using age-appropriate 
        self-management skills as related to the child's emotional 
        disorder or mental illness, including problem solving, decision 
        making, communication, conflict resolution, anger management, 
        social skills, and recreational skills; 
           (v) implementing deescalation techniques as recommended by 
        the mental health professional; 
           (vi) implementing any other mental health service that the 
        mental health professional has approved as being within the 
        scope of the behavioral aide's duties; or 
           (vii) assisting the parents to develop and use parenting 
        skills that help the child achieve the goals outlined in the 
        child's individual treatment plan or individual behavioral 
        plan.  Parenting skills must be directed exclusively to the 
        child's treatment; and 
           (5) direction of a mental health behavioral aide must 
        include the following: 
           (i) a total of one hour of on-site observation by a mental 
        health professional during the first 12 hours of service 
        provided to a child; 
           (ii) ongoing on-site observation by a mental health 
        professional or mental health practitioner for at least a total 
        of one hour during every 40 hours of service provided to a 
        child; and 
           (iii) immediate accessibility of the mental health 
        professional or mental health practitioner to the mental health 
        behavioral aide during service provision. 
           Sec. 41.  Minnesota Statutes 2003 Supplement, section 
        256B.0943, subdivision 12, is amended to read: 
           Subd. 12.  [EXCLUDED SERVICES.] The following services are 
        not eligible for medical assistance payment as children's 
        therapeutic services and supports: 
           (1) service components of children's therapeutic services 
        and supports simultaneously provided by more than one provider 
        entity unless prior authorization is obtained; 
           (2) children's therapeutic services and supports provided 
        in violation of medical assistance policy in Minnesota Rules, 
        part 9505.0220; 
           (3) mental health behavioral aide services provided by a 
        personal care assistant who is not qualified as a mental health 
        behavioral aide and employed by a certified children's 
        therapeutic services and supports provider entity; 
           (4) services that are the responsibility of a residential 
        or program license holder, including foster care providers under 
        the terms of a service agreement or administrative rules 
        governing licensure; and 
           (5) up to 15 hours of children's therapeutic services and 
        supports provided within a six-month period to a child with 
        severe emotional disturbance who is residing in a hospital, a 
        group home as defined in Minnesota Rules, part 9560.0520, 
        subpart 4, a residential treatment facility licensed under 
        Minnesota Rules, parts 9545.0900 to 9545.1090, a regional 
        treatment center, or other institutional group setting or who is 
        participating in a program of partial hospitalization are 
        eligible for medical assistance payment if part of the discharge 
        plan; and 
           (6) adjunctive activities that may be offered by a provider 
        entity but are not otherwise covered by medical assistance, 
        including: 
           (i) a service that is primarily recreation oriented or that 
        is provided in a setting that is not medically supervised.  This 
        includes sports activities, exercise groups, activities such as 
        craft hours, leisure time, social hours, meal or snack time, 
        trips to community activities, and tours; 
           (ii) a social or educational service that does not have or 
        cannot reasonably be expected to have a therapeutic outcome 
        related to the client's emotional disturbance; 
           (iii) consultation with other providers or service agency 
        staff about the care or progress of a client; 
           (iv) prevention or education programs provided to the 
        community; and 
           (v) treatment for clients with primary diagnoses of alcohol 
        or other drug abuse. 
           Sec. 42.  Minnesota Statutes 2003 Supplement, section 
        256B.0943, is amended by adding a subdivision to read: 
           Subd. 13.  [EXCEPTION TO EXCLUDED 
        SERVICES.] Notwithstanding subdivision 12, up to 15 hours of 
        children's therapeutic services and supports provided within a 
        six-month period to a child with severe emotional disturbance 
        who is residing in a hospital; a group home as defined in 
        Minnesota Rules, part 9560.0520, subpart 4; a residential 
        treatment facility licensed under Minnesota Rules, parts 
        9545.0900 to 9545.1090; a regional treatment center; or other 
        institutional group setting or who is participating in a program 
        of partial hospitalization are eligible for medical assistance 
        payment if part of the discharge plan. 
           Sec. 43.  Minnesota Statutes 2002, section 256D.03, 
        subdivision 8, is amended to read: 
           Subd. 8.  [PRIVATE INSURANCE POLICIES.] (a) Private 
        accident and health care coverage for medical services is 
        primary coverage and must be exhausted before general assistance 
        medical care is paid.  When a person who is otherwise eligible 
        for general assistance medical care has private accident or 
        health care coverage, including a prepaid health plan, the 
        private health care benefits available to the person must be 
        used first and to the fullest extent.  General assistance 
        medical care payment will not be made when either covered 
        charges are paid in full by a third party or the provider has an 
        agreement to accept payment for less than charges as payment in 
        full.  Payment for patients that are simultaneously covered by 
        general assistance medical care and a liable third party other 
        than Medicare will be determined as the lesser of clauses (1) to 
        (3): 
           (1) the patient liability according to the provider/insurer 
        agreement; 
           (2) covered charges minus the third party payment amount; 
        or 
           (3) the general assistance medical care rate minus the 
        third party payment amount. 
        A negative difference will not be implemented. 
           (b) When a parent or a person with an obligation of support 
        has enrolled in a prepaid health care plan under section 
        518.171, subdivision 1, the commissioner of human services shall 
        limit the recipient of general assistance medical care to the 
        benefits payable under that prepaid health care plan to the 
        extent that services available under general assistance medical 
        care are also available under the prepaid health care plan.  
           (c) Upon furnishing general assistance medical care or 
        general assistance to any person having private accident or 
        health care coverage, or having a cause of action arising out of 
        an occurrence that necessitated the payment of assistance, the 
        state agency shall be subrogated, to the extent of the cost of 
        medical care, subsistence, or other payments furnished, to any 
        rights the person may have under the terms of the coverage or 
        under the cause of action.  For purposes of this subdivision, 
        "state agency" includes prepaid health plans under contract with 
        the commissioner according to subdivision 4, paragraph (c), and 
        sections 256B.69, 256D.03, subdivision 4, paragraph (d), and 
        256L.12; children's mental health collaboratives under section 
        245.493; demonstration projects for persons with disabilities 
        under section 256B.77; nursing homes under the alternative 
        payment demonstration project under section 256B.434; and 
        county-based purchasing entities under section 256B.692. 
           This right of subrogation includes all portions of the 
        cause of action, notwithstanding any settlement allocation or 
        apportionment that purports to dispose of portions of the cause 
        of action not subject to subrogation.  
           (d) To recover under this section, the attorney general may 
        institute or join a civil action to enforce the subrogation 
        rights the commissioner established under this section.  
           Any prepaid health plan providing services under 
        subdivision 4, paragraph (c), and sections 256B.69, 256D.03, 
        subdivision 4, paragraph (d), and 256L.12; children's mental 
        health collaboratives under section 245.493; demonstration 
        projects for persons with disabilities under section 256B.77; 
        nursing homes under the alternative payment demonstration 
        project under section 256B.434; or the county-based purchasing 
        entity providing services under section 256B.692 may retain 
        legal representation to enforce the subrogation rights created 
        under this section or, if no action has been brought, may 
        initiate and prosecute an independent action on their behalf 
        against a person, firm, or corporation that may be liable to the 
        person to whom the care or payment was furnished. 
           (e) The state agency must be given notice of monetary 
        claims against a person, firm, or corporation that may be liable 
        in damages, or otherwise obligated to pay part or all of the 
        costs related to an injury when the state agency has paid or 
        become liable for the cost of care or payments related to the 
        injury.  Notice must be given as follows:  
           (i) Applicants for general assistance or general assistance 
        medical care shall notify the state or county agency of any 
        possible claims when they submit the application.  Recipients of 
        general assistance or general assistance medical care shall 
        notify the state or county agency of any possible claims when 
        those claims arise.  
           (ii) A person providing medical care services to a 
        recipient of general assistance medical care shall notify the 
        state agency when the person has reason to believe that a third 
        party may be liable for payment of the cost of medical care.  
           (iii) A person who is party to a claim upon which the state 
        agency may be entitled to subrogation under this section shall 
        notify the state agency of its potential subrogation claim 
        before filing a claim, commencing an action, or negotiating a 
        settlement.  A person who is a party to a claim includes the 
        plaintiff, the defendants, and any other party to the cause of 
        action. 
           Notice given to the county agency is not sufficient to meet 
        the requirements of paragraphs (b) and (c).  
           (f) Upon any judgment, award, or settlement of a cause of 
        action, or any part of it, upon which the state agency has a 
        subrogation right, including compensation for liquidated, 
        unliquidated, or other damages, reasonable costs of collection, 
        including attorney fees, must be deducted first.  The full 
        amount of general assistance or general assistance medical care 
        paid to or on behalf of the person as a result of the injury 
        must be deducted next and paid to the state agency.  The rest 
        must be paid to the public assistance recipient or other 
        plaintiff.  The plaintiff, however, must receive at least 
        one-third of the net recovery after attorney fees and collection 
        costs. 
           Sec. 44.  Minnesota Statutes 2002, section 260B.175, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [IMMEDIATE CUSTODY.] No child may be taken 
        into immediate custody except: 
           (a) With an order issued by the court in accordance with 
        the provisions of section 260B.151, subdivision 5 260C.151, 
        subdivision 6, or Laws 1997, chapter 239, article 10, section 
        10, paragraph (a), clause (3), or 12, paragraph (a), clause (3), 
        or by a warrant issued in accordance with the provisions of 
        section 260B.154; 
           (b) In accordance with the laws relating to arrests; or 
           (c) By a peace officer or probation or parole officer when 
        it is reasonably believed that the child has violated the terms 
        of probation, parole, or other field supervision. 
           Sec. 45.  Minnesota Statutes 2002, section 270B.01, 
        subdivision 8, is amended to read: 
           Subd. 8.  [MINNESOTA TAX LAWS.] For purposes of this 
        chapter only, unless expressly stated otherwise, "Minnesota tax 
        laws" means the taxes, refunds, and fees administered by or paid 
        to the commissioner under chapters 115B (except taxes imposed 
        under sections 115B.21 to 115B.24), 289A (except taxes imposed 
        under sections 298.01, 298.015, and 298.24), 290, 290A, 291, 
        295, 297A, and 297H, or any similar Indian tribal tax 
        administered by the commissioner pursuant to any tax agreement 
        between the state and the Indian tribal government, and includes 
        any laws for the assessment, collection, and enforcement of 
        those taxes, refunds, and fees. 
           Sec. 46.  Minnesota Statutes 2003 Supplement, section 
        270B.03, subdivision 6, is amended to read: 
           Subd. 6.  [INVESTIGATIVE DATA.] For purposes of any law 
        administered by the Department of Revenue, including laws not 
        listed in section 270B.01, subdivision 8, investigative data 
        collected or created by the Department of Revenue in order to 
        prepare a case against a person, whether known or unknown, for 
        the commission of a crime is confidential data on individuals or 
        protected nonpublic data, as defined in section 13.02, 
        subdivisions 3 and 13, during an investigation.  When the 
        investigation becomes inactive, as defined in section 13.82, 
        subdivision 7, the data is private data on individuals or 
        nonpublic data, as defined in section 13.02, subdivisions 9 and 
        12. 
           Sec. 47.  Minnesota Statutes 2002, section 290.191, 
        subdivision 5, is amended to read: 
           Subd. 5.  [DETERMINATION OF SALES FACTOR.] For purposes of 
        this section, the following rules apply in determining the sales 
        factor.  
           (a) The sales factor includes all sales, gross earnings, or 
        receipts received in the ordinary course of the business, except 
        that the following types of income are not included in the sales 
        factor: 
           (1) interest; 
           (2) dividends; 
           (3) sales of capital assets as defined in section 1221 of 
        the Internal Revenue Code; 
           (4) sales of property used in the trade or business, except 
        sales of leased property of a type which is regularly sold as 
        well as leased; 
           (5) sales of debt instruments as defined in section 
        1275(a)(1) of the Internal Revenue Code or sales of stock; and 
           (6) royalties, fees, or other like income of a type which 
        qualify for a subtraction from federal taxable income under 
        section 290.01, subdivision 19(d)(11) 19d(10).  
           (b) Sales of tangible personal property are made within 
        this state if the property is received by a purchaser at a point 
        within this state, and the taxpayer is taxable in this state, 
        regardless of the f.o.b. point, other conditions of the sale, or 
        the ultimate destination of the property. 
           (c) Tangible personal property delivered to a common or 
        contract carrier or foreign vessel for delivery to a purchaser 
        in another state or nation is a sale in that state or nation, 
        regardless of f.o.b. point or other conditions of the sale.  
           (d) Notwithstanding paragraphs (b) and (c), when 
        intoxicating liquor, wine, fermented malt beverages, cigarettes, 
        or tobacco products are sold to a purchaser who is licensed by a 
        state or political subdivision to resell this property only 
        within the state of ultimate destination, the sale is made in 
        that state.  
           (e) Sales made by or through a corporation that is 
        qualified as a domestic international sales corporation under 
        section 992 of the Internal Revenue Code are not considered to 
        have been made within this state.  
           (f) Sales, rents, royalties, and other income in connection 
        with real property is attributed to the state in which the 
        property is located.  
           (g) Receipts from the lease or rental of tangible personal 
        property, including finance leases and true leases, must be 
        attributed to this state if the property is located in this 
        state and to other states if the property is not located in this 
        state.  Receipts from the lease or rental of moving property 
        including, but not limited to, motor vehicles, rolling stock, 
        aircraft, vessels, or mobile equipment are included in the 
        numerator of the receipts factor to the extent that the property 
        is used in this state.  The extent of the use of moving property 
        is determined as follows: 
           (1) A motor vehicle is used wholly in the state in which it 
        is registered.  
           (2) The extent that rolling stock is used in this state is 
        determined by multiplying the receipts from the lease or rental 
        of the rolling stock by a fraction, the numerator of which is 
        the miles traveled within this state by the leased or rented 
        rolling stock and the denominator of which is the total miles 
        traveled by the leased or rented rolling stock. 
           (3) The extent that an aircraft is used in this state is 
        determined by multiplying the receipts from the lease or rental 
        of the aircraft by a fraction, the numerator of which is the 
        number of landings of the aircraft in this state and the 
        denominator of which is the total number of landings of the 
        aircraft. 
           (4) The extent that a vessel, mobile equipment, or other 
        mobile property is used in the state is determined by 
        multiplying the receipts from the lease or rental of the 
        property by a fraction, the numerator of which is the number of 
        days during the taxable year the property was in this state and 
        the denominator of which is the total days in the taxable year.  
           (h) Royalties and other income not described in paragraph 
        (a), clause (6), received for the use of or for the privilege of 
        using intangible property, including patents, know-how, 
        formulas, designs, processes, patterns, copyrights, trade names, 
        service names, franchises, licenses, contracts, customer lists, 
        or similar items, must be attributed to the state in which the 
        property is used by the purchaser.  If the property is used in 
        more than one state, the royalties or other income must be 
        apportioned to this state pro rata according to the portion of 
        use in this state.  If the portion of use in this state cannot 
        be determined, the royalties or other income must be excluded 
        from both the numerator and the denominator.  Intangible 
        property is used in this state if the purchaser uses the 
        intangible property or the rights therein in the regular course 
        of its business operations in this state, regardless of the 
        location of the purchaser's customers. 
           (i) Sales of intangible property are made within the state 
        in which the property is used by the purchaser.  If the property 
        is used in more than one state, the sales must be apportioned to 
        this state pro rata according to the portion of use in this 
        state.  If the portion of use in this state cannot be 
        determined, the sale must be excluded from both the numerator 
        and the denominator of the sales factor.  Intangible property is 
        used in this state if the purchaser used the intangible property 
        in the regular course of its business operations in this state. 
           (j) Receipts from the performance of services must be 
        attributed to the state where the services are received.  For 
        the purposes of this section, receipts from the performance of 
        services provided to a corporation, partnership, or trust may 
        only be attributed to a state where it has a fixed place of 
        doing business.  If the state where the services are received is 
        not readily determinable or is a state where the corporation, 
        partnership, or trust receiving the service does not have a 
        fixed place of doing business, the services shall be deemed to 
        be received at the location of the office of the customer from 
        which the services were ordered in the regular course of the 
        customer's trade or business.  If the ordering office cannot be 
        determined, the services shall be deemed to be received at the 
        office of the customer to which the services are billed. 
           Sec. 48.  Minnesota Statutes 2002, section 290C.04, is 
        amended to read: 
           290C.04 [APPLICATIONS.] 
           (a) A landowner may apply to enroll forest land for the 
        sustainable forest incentive program under this chapter.  The 
        claimant must complete, sign, and submit an application to the 
        commissioner by September 30 in order for the land to become 
        eligible beginning in the next year.  The application shall be 
        on a form prescribed by the commissioner and must include the 
        information the commissioner deems necessary.  At a minimum, the 
        application must show the following information for the land and 
        the claimant:  (i) the claimant's Social Security number or 
        state or federal business tax registration number and date of 
        birth, (ii) the claimant's address, (iii) the claimant's 
        signature, (iv) the county's parcel identification numbers for 
        the tax parcels that completely contain the claimant's forest 
        land that is sought to be enrolled, (v) the number of acres 
        eligible for enrollment in the program, (vi) the approved plan 
        writer's signature and identification number, and (vii) proof, 
        in a form specified by the commissioner, that the claimant has 
        executed and acknowledged in the manner required by law for a 
        deed, and recorded, a covenant that the land is not and shall 
        not be developed in a manner inconsistent with the requirements 
        and conditions of this chapter.  The covenant shall state in 
        writing that the covenant is binding on the claimant and the 
        claimant's successor or assignee, and that it runs with the land 
        for a period of not less than eight years.  The commissioner 
        shall specify the form of the covenant and provide copies upon 
        request.  The covenant must include a legal description that 
        encompasses all the forest land that the claimant wishes to 
        enroll under this section or the certificate of title number for 
        that land if it is registered land. 
           (b) In all cases, the commissioner shall notify the 
        claimant within 90 days after receipt of a completed application 
        that either the land has or has not been approved for enrollment.
        A claimant whose application is denied may appeal the denial as 
        provided in section 290C.11, paragraph (a). 
           (c) Within 90 days after the denial of an application, or 
        within 90 days after the final resolution of any appeal related 
        to the denial, the commissioner shall execute and acknowledge a 
        document releasing the land from the covenant required under 
        this chapter.  The document must be mailed to the claimant and 
        is entitled to be recorded. 
           (d) The Social Security numbers collected from individuals 
        under this section are private data as provided in section 13.49 
        13.355.  The state or federal business tax registration number 
        and date of birth data collected under this section are also 
        private data on individuals or nonpublic data, as defined in 
        section 13.02, subdivisions 9 and 12, but may be shared with 
        county assessors for purposes of tax administration and with 
        county treasurers for purposes of the revenue recapture under 
        chapter 270A. 
           Sec. 49.  Minnesota Statutes 2003 Supplement, section 
        297A.668, subdivision 3, is amended to read: 
           Subd. 3.  [LEASE OR RENTAL OF TANGIBLE PERSONAL PROPERTY.] 
        The lease or rental of tangible personal property, other than 
        property identified in subdivision 4 or 5, shall be sourced as 
        required in paragraphs (a) to (c). 
           (a) For a lease or rental that requires recurring periodic 
        payments, the first periodic payment is sourced the same as a 
        retail sale in accordance with the provisions of subdivision 6 2.
        Periodic payments made subsequent to the first payment are 
        sourced to the primary property location for each period covered 
        by the payment.  The primary property location must be as 
        indicated by an address for the property provided by the lessee 
        that is available to the lessor from its records maintained in 
        the ordinary course of business, when use of this address does 
        not constitute bad faith.  The property location must not be 
        altered by intermittent use at different locations, such as use 
        of business property that accompanies employees on business 
        trips and service calls. 
           (b) For a lease or rental that does not require recurring 
        periodic payments, the payment is sourced the same as a retail 
        sale in accordance with the provisions of subdivision 2. 
           (c) This subdivision does not affect the imposition or 
        computation of sales or use tax on leases or rentals based on a 
        lump sum or accelerated basis, or on the acquisition of property 
        for lease. 
           [EFFECTIVE DATE.] This section is effective for sales and 
        purchases made on or after January 1, 2004. 
           Sec. 50.  Minnesota Statutes 2003 Supplement, section 
        297A.669, subdivision 16, is amended to read: 
           Subd. 16.  [SERVICE ADDRESS.] "Service address," for 
        purposes of this section, means: 
           (1) the location of the telecommunications equipment to 
        which a customer's call is charged and from which the call 
        originates or terminates, regardless of where the call is billed 
        or paid; 
           (2) if the location in paragraph (a) clause (1) is not 
        known, service address means the origination point of the signal 
        of the telecommunications services first identified by either 
        the seller's telecommunications system or in information 
        received by the seller from its service provider, where the 
        system used to transport the signals is not that of the seller; 
        or 
           (3) if the location in paragraphs (a) and (b) clauses (1) 
        and (2) is not known, the service address means the location of 
        the customer's place of primary use. 
           [EFFECTIVE DATE.] This section is effective for sales and 
        purchases made on or after January 1, 2004. 
           Sec. 51.  Minnesota Statutes 2003 Supplement, section 
        308B.201, is amended to read: 
           308B.201 [ORGANIZATIONAL PURPOSE.] 
           A cooperative may be formed and organized on a cooperative 
        plan for any lawful purpose, including: 
           (1) to market, process, or otherwise change the form or 
        marketability of products, including crops, livestock, and other 
        agricultural products, the manufacturing and further processing 
        of those products, other purposes that are necessary or 
        convenient to facilitate the production or marketing of products 
        by patron members and others, and other purposes that are 
        related to the business of the cooperative; 
           (2) to provide products, supplies, and services to its 
        members; and 
           (3) for any other purposes that cooperatives are authorized 
        to perform by law. 
           Sec. 52.  Minnesota Statutes 2003 Supplement, section 
        308B.311, subdivision 6, is amended to read: 
           Subd. 6.  [PENALTIES FOR CONTRACT INTERFERENCE AND FALSE 
        REPORTS.] Any person who knowingly induces or attempts to induce 
        any patron member or patron of a cooperative organized under 
        this chapter to breach a marketing contract with the 
        cooperative, or who maliciously and knowingly spreads false 
        reports about the cooperative's finances or management, is 
        guilty of a misdemeanor and subject to a fine of not less than 
        $100, and not more than $1,000, for each such offense. 
           Sec. 53.  Minnesota Statutes 2003 Supplement, section 
        308B.471, subdivision 2, is amended to read: 
           Subd. 2.  [INDEMNIFICATION.] (a) Subject to the provisions 
        of subdivision 4, a cooperative shall indemnify a person made or 
        threatened to be made a party to a proceeding by reason of the 
        former or present official capacity of the person against 
        judgments, penalties, fines, including, without limitation, 
        excise taxes assessed against the person with respect to an 
        employee benefit plan, settlements, and reasonable expenses, 
        including attorney fees and disbursements incurred by the person 
        in connection with the proceeding, if, with respect to the acts 
        or omissions of the person complained of in the proceeding, the 
        person: 
           (1) has not been indemnified by another organization or 
        employee benefit plan for the same judgments, penalties, fines, 
        including, without limitation, excise taxes assessed against the 
        person with respect to an employee benefit plan, settlements, 
        and reasonable expenses, including attorney fees and 
        disbursements incurred by the person in connection with the 
        proceeding with respect to the same acts or omissions; 
           (2) acted in good faith; 
           (3) received no improper personal benefit and the person 
        has not committed an act for which liability cannot be 
        eliminated or limited under section 308B.465, subdivision 2; 
           (4) in the case of a criminal proceeding, had no reasonable 
        cause to believe the conduct was unlawful; and 
           (5) in the case of acts or omissions occurring in the 
        official capacity described in subdivision 1, paragraph (c), 
        clause (1) or (2), reasonably believed that the conduct was in 
        the best interests of the cooperative, or in the case of acts or 
        omissions occurring in the official capacity described in 
        subdivision 1, paragraph (c), clause (3), reasonably believed 
        that the conduct was not opposed to the best interests of the 
        cooperative.  If the person's acts or omissions complained of in 
        the proceeding relate to conduct at as a director, officer, 
        trustee, employee, or agent of an employee benefit plan, the 
        conduct is not considered to be opposed to the best interests of 
        the cooperative if the person reasonably believed that the 
        conduct was in the best interests of the participants or 
        beneficiaries of the employee benefit plan. 
           (b) The termination of a proceeding by judgment, order, 
        settlement, conviction, or upon a plea of nolo contendere or its 
        equivalent does not, of itself, establish that the person did 
        not meet the criteria set forth in this subdivision. 
           Sec. 54.  Minnesota Statutes 2003 Supplement, section 
        308B.735, subdivision 1, is amended to read: 
           Subdivision 1.  [ALTERNATE PROCEDURE TO DISBURSE PROPERTY.] 
        A cooperative may, in lieu of paying or delivering to the state 
        the unclaimed property specified in its report of unclaimed 
        property, distribute the unclaimed property to a business entity 
        or organization that is exempt from taxation.  A cooperative 
        making the election to distribute unclaimed property shall file 
        with the secretary of state Department of Commerce:  
           (1) a verified written explanation of the proof of claim of 
        an owner establishing a right to receive the abandoned property; 
           (2) any error in the presumption of abandonment; 
           (3) the name, address, and exemption number of the business 
        entity or organization to which the property was or is to be 
        distributed; and 
           (4) the approximate date of distribution. 
           Sec. 55.  Minnesota Statutes 2002, section 325F.19, 
        subdivision 3, is amended to read: 
           Subd. 3.  [COMMISSIONER.] "Commissioner" means the 
        commissioner of energy and economic development commerce. 
           Sec. 56.  Minnesota Statutes 2002, section 325F.69, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [FRAUD, MISREPRESENTATION, DECEPTIVE 
        PRACTICES.] The act, use, or employment by any person of any 
        fraud, false pretense, false promise, misrepresentation, 
        misleading statement or deceptive practice, with the intent that 
        others rely thereon in connection with the sale of any 
        merchandise, whether or not any person has in fact been misled, 
        deceived, or damaged thereby, is enjoinable as provided herein 
        in section 325F.70. 
           Sec. 57.  Minnesota Statutes 2002, section 325F.69, 
        subdivision 4, is amended to read: 
           Subd. 4.  [SOLICITATION OF MONEY FOR MERCHANDISE NOT 
        ORDERED OR SERVICES NOT PERFORMED.] The act, use, or employment 
        by any person of any solicitation for payment of money by 
        another by any statement or invoice, or any writing that could 
        reasonably be interpreted as a statement or invoice, for 
        merchandise not yet ordered or for services not yet performed 
        and not yet ordered, whether or not any person has in fact been 
        misled, deceived, or damaged thereby, is enjoinable as 
        provided herein in section 325F.70. 
           Sec. 58.  Minnesota Statutes 2002, section 326.10, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [ISSUANCE.] (a) The board shall on 
        application therefor on a prescribed form, and upon payment of a 
        fee prescribed by rule of the board, issue a license or 
        certificate as an architect, engineer, land surveyor, landscape 
        architect, geoscientist, or certified interior designer.  A 
        separate fee shall be paid for each profession licensed. 
           (1) To any person over 25 years of age, who is of good 
        moral character and repute, and who has the experience and 
        educational qualifications which the board by rule may prescribe.
           (2) To any person who holds an unexpired certificate of 
        registration or license issued by proper authority in the 
        District of Columbia, any state or territory of the United 
        States, or any foreign country, in which the requirements for 
        registration or licensure of architects, engineers, land 
        surveyors, landscape architects, geoscientists, or certified 
        interior designers, respectively, at the time of registration or 
        licensure in the other jurisdiction, were equal, in the opinion 
        of the board, to those fixed by the board and by the laws of 
        this state, and in which similar privileges are extended to the 
        holders of certificates of registration or licensure issued by 
        this state.  The board may require such person to submit a 
        certificate of technical qualification from the National Council 
        of Architectural Registration Boards in the case of an 
        architect, from the National Council of Engineering Examiners 
        for Engineering and Surveying in the case of an engineer, from 
        the National Council of Landscape Architects Architectural 
        Registration Board Boards in the case of a landscape architect, 
        and from the National Council for Interior Design Qualifications 
        Qualification in the case of a certified interior designer. 
           (b) Notwithstanding paragraph (a), for one year from the 
        effective date of rules adopted by the board with respect to the 
        discipline of professional geoscience, the board may accept as 
        evidence that the applicant is qualified for licensing in the 
        discipline of professional geoscience:  
           (1) a record of graduation with a baccalaureate degree from 
        a school or college having accreditation defined by the board 
        and a geoscience or associated science curriculum approved by 
        the board; and 
           (2) at least five years of active professional practice in 
        the discipline of professional geoscience as approved by the 
        board. 
           Sec. 59.  Minnesota Statutes 2002, section 326.10, 
        subdivision 7, is amended to read: 
           Subd. 7.  [ENGINEER-IN-TRAINING; LAND SURVEYOR-IN-TRAINING; 
        LANDSCAPE ARCHITECT-IN-TRAINING; GEOSCIENTIST-IN-TRAINING.] (1) 
        An applicant for certification as an engineer-in-training who is 
        a graduate with a bachelor of engineering degree from a school 
        or college having an engineering curriculum accredited by the 
        engineers' council for professional development or whose 
        education, in the opinion of the board, is equivalent thereto, 
        shall receive from the board, upon passing an examination in 
        fundamental engineering subjects, a certificate stating that the 
        applicant has passed such examination and that the applicant's 
        name has been recorded as an engineer-in-training. 
           (2) An applicant for certification as a land 
        surveyor-in-training who is a graduate with a bachelor's degree 
        from a school or college having an accredited engineering or 
        land surveying curriculum or who has equivalent education, in 
        the opinion of the board, shall receive from the board, upon 
        passing a written examination in the fundamentals of mathematics 
        and the basic principles of land surveying, a certificate 
        stating that the applicant has passed such examination and that 
        the applicant's name has been recorded as a land 
        surveyor-in-training. 
           (3) Any applicant for certification as a landscape 
        architect-in-training who is a graduate with a degree from a 
        school or college having a landscape architecture curriculum 
        accredited by the American Society of Landscape Architects 
        committee on education or who has had equivalent education or 
        experience or a combination thereof of a grade and character 
        acceptable to the board shall receive from the board, upon 
        passing an examination in fundamental landscape architectural 
        subjects, a certificate stating that the applicant has passed 
        that examination and that the applicant's name has been recorded 
        as a landscape architect-in-training. 
           (4) An applicant for certification as a 
        geoscientist-in-training who is a graduate with a baccalaureate 
        degree from a school or college having accreditation defined by 
        the board and a geoscience or associated science curriculum 
        approved by the board, shall receive from the board, upon 
        passing the appropriate examination in fundamental geoscience 
        subjects for the applicant's discipline as approved by the 
        board, a certificate stating that the applicant's name has been 
        recorded as a geoscientist-in-training with the appropriate 
        geoscientist-in-training legend as approved by the board. 
           Sec. 60.  Minnesota Statutes 2002, section 326.12, 
        subdivision 2, is amended to read: 
           Subd. 2.  [SEAL.] Each licensee or certificate holder may, 
        upon registration licensure or certification, obtain a seal of a 
        design approved by the board, bearing the licensee's or 
        certificate holder's name and the legend "licensed architect," 
        "licensed professional engineer," "licensed land surveyor," 
        "licensed landscape architect," the appropriate licensed 
        professional geoscientist legend as defined by the board, or 
        "certified interior designer."  Plans, specifications, plats, 
        reports, and other documents prepared by a licensee or 
        certificate holder may be stamped with the seal during the life 
        of the license or certificate.  A rubber stamp facsimile thereof 
        may be used in lieu of the seal on tracings from which prints 
        are to be made or on papers which would be damaged by the 
        regular seal.  It shall be unlawful for any one to stamp or seal 
        any document with the stamp or seal after the license of the 
        registrant named thereon or certificate has expired, been 
        revoked or suspended, unless said license or certificate shall 
        have been renewed or reissued. 
           Sec. 61.  Minnesota Statutes 2002, section 326.13, is 
        amended to read: 
           326.13 [PRACTICE EXEMPT.] 
           Practice of architecture, engineering, landscape 
        architecture, land surveying, or geoscience, or use of the title 
        certified interior designer in this state prior to licensure or 
        certification by the board shall be permitted under the 
        following conditions and limitations: 
           (1) By any person or firm not a resident of and having no 
        established place of business in this state, or any person or 
        firm resident in this state, but whose arrival in the state is 
        recent; provided, however, such person or a person connected 
        with such firm: 
           (i) is registered or licensed and qualified to practice 
        such profession in a state or country to which the board grants 
        registration or licensure or certification by comity in 
        accordance with the provisions of section 326.10, subdivision 1, 
        clause (2); and 
           (ii) shall have filed an application for licensure as an 
        architect, an engineer, a geoscientist, or a certified interior 
        designer shall have paid the fee provided for in section 326.10, 
        and shall have been notified by the board that the applicant 
        meets the requirements for licensure or certification in this 
        state and is entitled to receive a license or certificate, and 
        has applied for and been granted a temporary permit to 
        practice.  Temporary permits shall be granted to do a specific 
        job for the period stipulated on the permit. 
           (2) By a nonresident applicant who seeks to provide 
        architecture, engineering, land surveying, landscape 
        architecture, geoscience, or certified interior design services 
        in this state if the applicant offers to practice only for the 
        purpose of seeking to provide services, without having first 
        been registered or certified by the state, if the applicant: 
           (i) is registered and qualified to practice such profession 
        in a state or country to which the board grants registration or 
        licensure by comity in accordance with section 326.10, 
        subdivision 1, clause (2); 
           (ii) notified the board in writing that the applicant is 
        not currently registered in this state, but will be present in 
        this state for the purpose of seeking to provide services; 
           (iii) delivers a copy of the notice referred to in clause 
        (ii) to every potential client for whom the applicant is seeking 
        to provide services; and 
           (iv) applies within ten days to the board for licensure or 
        certification if selected as the design professional for a 
        project in this state; the applicant is prohibited from actually 
        rendering services as defined within the terms of sections 
        326.02 to 326.15 until the applicant is licensed or certified, 
        or obtains a temporary permit as described in clause (1). 
           (3) Practice as an architect, an engineer, a land surveyor, 
        a landscape architect, or a geoscientist, or use of the title 
        certified interior designer solely as an officer or employee of 
        the United States. 
           (4) Practice as a geoscientist by a person who would be 
        qualified under sections 326.02 to 326.15 by virtue of 
        experience and education while (i) engaged in exploration, 
        development, extraction, and reclamation of minerals and mineral 
        deposits or energy resources including sand, gravel, peat, 
        industrial minerals, metallic minerals, iron ore, coal, oil, and 
        gas and other mineral fuels; (ii) an employee of a corporation 
        or agency engaged in such exploration, development, extraction, 
        and reclamation of minerals and mineral deposits; (iii) acting 
        in accordance with the provisions of section 82B.035, 
        subdivision 3; 103I.205, subdivision 4; or 103I.601, subdivision 
        2; or (iv) engaged in academic geoscience research. 
           Sec. 62.  Minnesota Statutes 2002, section 326.15, is 
        amended to read: 
           326.15 [FALSE IMPERSONATION.] 
           It shall be unlawful for any person to present or attempt 
        to use as the person's own the seal or certificate of another, 
        or to give false or forged evidence of any kind to the board, or 
        any member thereof, or to falsely impersonate any registrant 
        licensee or certificate holder of like or different name, or to 
        use or attempt to use as the person's own the license of another 
        issued by any authority outside of this state, or to use or 
        attempt to use an expired or revoked or suspended license. 
           Sec. 63.  Minnesota Statutes 2002, section 336.9-531, is 
        amended to read: 
           336.9-531 [ELECTRONIC ACCESS; LIABILITY; RETENTION.] 
           (a)  [ELECTRONIC ACCESS.] The secretary of state may allow 
        private parties to have electronic access to the central filing 
        system and to other computerized records maintained by the 
        secretary of state on a fee basis, except that:  (1) visual 
        access to electronic display terminals at the public counters at 
        the Secretary of State's Office must be without charge and must 
        be available during public counter hours; and (2) access by law 
        enforcement personnel, acting in an official capacity, must be 
        without charge.  If the central filing system allows a form of 
        electronic access to information regarding the obligations of 
        debtors, the access must be available 24 hours a day, every day 
        of the year.  Notwithstanding section 13.49 13.355, private 
        parties who have electronic access to computerized records may 
        view the Social Security number information about a debtor that 
        is of record.  
           Notwithstanding section 13.49 13.355, a filing office may 
        include Social Security number information in an information 
        request response under section 336.9-523 or a search of other 
        liens in the central filing system.  A filing office may also 
        include Social Security number information on a photocopy or 
        electronic copy of a record whether provided in an information 
        request response or in response to a request made under section 
        13.03. 
           (b)  [LIABILITY.] The secretary of state, county recorders, 
        and their employees and agents are not liable for any loss or 
        damages arising from errors in or omissions from information 
        entered into the central filing system as a result of the 
        electronic transmission of tax lien notices under sections 
        268.058, subdivision 1, paragraph (c); 270.69, subdivision 2, 
        paragraph (b), clause (2); 272.483; and 272.488, subdivisions 1 
        and 3.  
           The state, the secretary of state, counties, county 
        recorders, and their employees and agents are immune from 
        liability that occurs as a result of errors in or omissions from 
        information provided from the central filing system.  
           (c)  [RETENTION.] Once the image of a paper record has been 
        captured by the central filing system, the secretary of state 
        may remove or direct the removal from the files and destroy the 
        paper record. 
           Sec. 64.  Minnesota Statutes 2002, section 357.021, 
        subdivision 5, is amended to read: 
           Subd. 5.  [EXEMPTION FOR GOVERNMENT AGENCIES.] 
        Notwithstanding any other provision of the law to the contrary, 
        no fee otherwise required to be paid to the court administrator 
        of district court by a defendant or defendants when filing the 
        first paper for that party in an action, shall be paid by the 
        state of Minnesota, or any department or agency thereof, or when 
        the state or a department or agency as plaintiff enters judgment 
        pursuant to a confession of judgment executed by the defendant. 
           Sec. 65.  Minnesota Statutes 2003 Supplement, section 
        469.339, subdivision 2, is amended to read: 
           Subd. 2.  [DEFINITIONS.] (a) For purposes of this section, 
        the following terms have the meanings given. 
           (b) "Qualified research expenses" means qualified research 
        expenses and basic research payments as defined in section 41(b) 
        and (e) of the Internal Revenue Code. 
           (c) "Qualified research" means activities in the fields of 
        biotechnology or health sciences that are "qualified research" 
        as defined in section 41(d) of the Internal Revenue Code, except 
        that the term does not include qualified research conducted 
        outside the biotechnology and health sciences industry zone. 
           (d) "Base amount" means base amount as defined in section 
        4(c) 41(c) of the Internal Revenue Code, except that the average 
        annual gross receipts must be calculated using Minnesota sales 
        or receipts under section 290.191 and the definitions contained 
        in paragraphs (b) and (c) apply. 
           (e) "Liability for tax" for purposes of this section means 
        the tax imposed under this chapter for the taxable year reduced 
        by the sum of the nonrefundable credits allowed under this 
        chapter. 
           Sec. 66.  Minnesota Statutes 2002, section 609.3452, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ACCESS TO DATA.] Notwithstanding section 13.384, 
        13.85, 144.335, 260B.171, 260C.171, or 626.556, the assessor has 
        access to the following private or confidential data on the 
        person if access is relevant and necessary for the assessment: 
           (1) medical data under section 13.42 13.384; 
           (2) corrections and detention data under section 13.85; 
           (3) health records under section 144.335; 
           (4) juvenile court records under sections 260B.171 and 
        260C.171; and 
           (5) local welfare agency records under section 626.556. 
           Data disclosed under this section may be used only for 
        purposes of the assessment and may not be further disclosed to 
        any other person, except as authorized by law. 
           Sec. 67.  Laws 2003, First Special Session chapter 11, 
        article 2, section 21, is amended to read: 
           Sec. 21.  [INDEPENDENT STUDY ON INTERMITTENT RESOURCES.] 
           The commission shall order the electric utility subject to 
        Minnesota Statutes, section 216B.1691, subdivision 7 6, to 
        contract with a firm selected by the commissioner of commerce 
        for an independent engineering study of the impacts of 
        increasing wind capacity on its system above the 825 megawatts 
        of nameplate wind energy capacity to which the utility is 
        already committed, to evaluate options available to manage the 
        intermittent nature of this renewable resource.  The study shall 
        be completed by June 1, 2004, and incorporated into the 
        utility's next resource plan filing.  The costs of the study, 
        options pursued by the utility to manage the intermittent nature 
        of wind energy, and the costs of complying with Minnesota 
        Statutes, section 216B.1691, subdivision 7 6, shall be 
        recoverable under Minnesota Statutes, section 216B.1645. 
           [EFFECTIVE DATE.] This section is effective retroactively 
        from May 30, 2003. 
           Sec. 68.  Laws 2003, First Special Session chapter 21, 
        article 8, section 10, the effective date, is amended to read: 
           [EFFECTIVE DATE.] This section is effective for sales made 
        after June 30, 2007 2003. 
           Sec. 69.  [CERTAIN STATUTES REVIVED AND REENACTED.] 
           Minnesota Statutes, sections 169.829, subdivision 3, and 
        169.87, subdivisions 5 and 6, are expressly revived and 
        reenacted as specifically provided according to Minnesota 
        Statutes, section 645.36, effective retroactively and without 
        interruption from April 25, 2000. 
           Sec. 70.  [SEWAGE DISPOSAL SYSTEM CHARGES; CLEARWATER RIVER 
        WATERSHED DISTRICT.] 
           The Clearwater River Watershed District may collect charges 
        for maintenance, repair, operation, and use of sewer systems, 
        sewage treatment systems, and other facilities, whether created 
        as projects of the district or acquired by the district, for 
        disposing of sewage, industrial waste, or other wastes as 
        prescribed under Minnesota Statutes, section 444.075, 
        subdivision 2a. 
           [EFFECTIVE DATE.] This section is effective retroactively 
        from August 1, 2003. 
           Sec. 71.  [REVISOR'S INSTRUCTION; WETLAND RULES.] 
           The revisor of statutes shall make the following changes in 
        Minnesota Rules: 
           (1) in part 8420.0110, subpart 30, items A and B, insert 
        "or soil and water conservation district" to conform to Laws 
        2003, chapter 128, article 1, section 111; 
           (2) in part 8420.0544, item A, the first sentence, replace 
        the clause beginning with "statewide" with the language in 
        Minnesota Statutes, section 103G.222, subdivision 3, paragraph 
        (a), clause (5), to conform with the amendment to that section 
        in Laws 2003, chapter 128, article 1, section 113; 
           (3) in part 8420.0544, replace item C with the language in 
        Minnesota Statutes, section 103G.22, paragraph (k), to conform 
        with the amendment to that section in Laws 2003, chapter 128, 
        article 1, section 112; and 
           (4) in part 8420.0720, add two new subparts containing the 
        language in Minnesota Statutes, section 103G.2242, subdivisions 
        14 and 15, to conform with the amendment adding those 
        subdivisions in Laws 2003, chapter 128, article 1, sections 114 
        and 115. 
           Sec. 72.  [REVISOR'S INSTRUCTION; MISDEMEANORS.] 
           Subdivision 1.  [CONSTRUCTION.] The instructions in this 
        section are intended to correct sections that specify the 
        amounts of fines for gross misdemeanors, misdemeanors, and petty 
        misdemeanors so that the fine specified in each section is in 
        accord with the increases in fines enacted in Laws 1983, chapter 
        331, and Laws 2000, chapter 488, article 5, and codified in 
        Minnesota Statutes, sections 609.033 (misdemeanors), 609.0331 
        (petty misdemeanors), and 609.0341, subdivision 1 (gross 
        misdemeanors). 
           Subd. 2.  [GROSS MISDEMEANORS.] The revisor shall identify 
        every section of Minnesota Statutes that specifies that an 
        offense is a gross misdemeanor but states a maximum criminal 
        penalty amount lower than $3,000 for that offense.  The revisor 
        shall prepare a bill for the 2005 legislative session that 
        corrects the penalty amounts in the identified sections.  The 
        corrections must be in accordance with the penalty amounts in 
        Laws 1983, chapter 331; Laws 2000, chapter 488, article 5; and 
        Minnesota Statutes, section 609.0341, subdivision 1. 
           Subd. 3.  [MISDEMEANORS.] (a) In the following sections, 
        the revisor shall change "$700" to "$1,000" when the amount 
        specifies the maximum amount of a fine:  Minnesota Statutes, 
        sections 12.45; 21.122; 62C.22; 116J.871; 127A.10; 168.275; 
        169.21; 177.43; 181.30; 234.23; 235.10; 256.045; 260B.198; 
        260B.225; 299F.80; 299F.82; 299F.831; 325F.73; 412.231; 518B.01; 
        609.27; 609.324; 609.375; 609.50; 609.52; 609.526; 609.535; 
        609.5632; 609.576; 609.597; 609.615; 609.65; 609.66; 609.662; 
        609.665; 609.748; 609.855; 609.86; 609.88; 609.89; 609.891; 
        609.893; 624.25; and 624.68. 
           (b) The revisor shall identify every section of Minnesota 
        Statutes that specifies that an offense is a misdemeanor but 
        states a maximum criminal penalty amount lower than $1,000 for 
        that offense.  The revisor shall prepare a bill for the 2005 
        legislative session that corrects the penalty amounts in the 
        identified sections.  The corrections must be in accordance with 
        the penalty amount in Laws 2000, chapter 488, article 5, and 
        codified in Minnesota Statutes, section 609.033 (misdemeanors). 
           Subd. 4.  [PETTY MISDEMEANORS.] (a) In the following 
        section and subdivision, the revisor shall change "$200" to 
        "$300" when the amount specifies the maximum amount of a fine:  
        Minnesota Statutes, sections 152.07, subdivision 4; and 624.7162.
           (b) The revisor shall identify every section of Minnesota 
        Statutes that specifies that an offense is a petty misdemeanor 
        but states a maximum fine amount lower than $300 for that petty 
        offense.  The revisor shall prepare a bill for the 2005 
        legislative session that corrects the penalty amounts in the 
        identified sections.  The corrections must be in accordance with 
        the penalty amount in Laws 2000, chapter 488, article 5, and 
        codified in Minnesota Statutes, section 609.0331 (petty 
        misdemeanors). 
           Sec. 73.  [REVISOR'S INSTRUCTION; OBSOLETE HAZARDOUS WASTE 
        GENERATOR TAX.] 
           The revisor of statutes shall replace "115B.24" with 
        "115B.20" in the following sections of Minnesota Statutes:  
        115B.01, 115B.40, 115B.405, 115B.50, and 116J.554. 
           Sec. 74.  [REVISOR'S INSTRUCTION; TACIP.] 
           The revisor of statutes shall change the term 
        "telecommunications access for communications-impaired persons" 
        to "telecommunications access Minnesota" wherever it appears in 
        Minnesota Statutes or Minnesota Rules. 
           Sec. 75.  [REVISOR'S INSTRUCTION; GENERAL ASSISTANCE 
        REFERENCES.] 
           The revisor of statutes shall change the reference 
        "256D.03, subdivision 4, paragraph (d)" to "256D.03, subdivision 
        4, paragraph (c)" in Minnesota Statutes, sections 62A.045, 
        paragraph (b); 256.015, subdivisions 1 and 3; 256B.042, 
        subdivisions 1 and 3; 256B.056, subdivision 6; 256B.37, 
        subdivision 2; 256B.69, subdivisions 26, paragraphs (b) and (d), 
        and 27; 256L.03, subdivision 6; and 256L.12, subdivision 5. 
           Sec. 76.  [REPEALERS.] 
           Subdivision 1.  [NOXIOUS WEED QUARANTINE.] Minnesota 
        Statutes 2002, section 18.79, subdivision 11, is repealed. 
           Subd. 2.  [115B.241; EFFECTIVE DATE.] Minnesota Statutes 
        2002, section 115B.241, is repealed. 
           Subd. 3.  [INTERSTATE HIGHWAY SYSTEM; EDITORIAL 
        CONFLICT.] Laws 2001, chapter 161, section 29, is repealed. 
           Subd. 4.  [PUBLIC TRANSIT ASSISTANCE; EDITORIAL 
        CONFLICT.] Laws 2001, First Special Session chapter 5, article 
        3, section 9, is repealed. 
           Subd. 5.  [TRUCK LOAD WEIGHTS; EDITORIAL CONFLICT.] Laws 
        2002, chapter 364, section 15, is repealed. 
           Subd. 6.  [BROWNFIELD CLEANUP; EDITORIAL CONFLICT.] Laws 
        2002, chapter 380, article 4, section 1, is repealed. 
           Subd. 7.  [COUNTY AID OFFSET; EDITORIAL CONFLICT.] Laws 
        2003, chapter 127, article 5, section 19, is repealed. 
           Subd. 8.  [STATE PROPERTY TAX SETTLEMENT AND PAYMENT; 
        EDITORIAL CONFLICT.] Laws 2003, chapter 112, article 2, section 
        35, is repealed. 
           Subd. 9.  [CHAPTER 115B; EDITORIAL CONFLICT.] Laws 2003, 
        chapter 127, article 7, section 1; and Laws 2003, chapter 128, 
        article 2, section 13, are repealed. 
           Subd. 10.  [RENEWABLE ENERGY; EDITORIAL CONFLICT.] Laws 
        2003, chapter 128, article 3, section 44, is repealed. 
           Subd. 11.  [ATTACHED MACHINERY AID; EDITORIAL 
        CONFLICT.] Laws 2003, First Special Session chapter 9, article 
        5, section 29, is repealed. 
           Subd. 12.  [INTERGOVERNMENTAL INFORMATION SYSTEMS ADVISORY 
        COUNCIL RULES.] Minnesota Rules, parts 1220.0200; 1220.0300; 
        1220.0400; 1220.0500; 1220.0600; 1220.0700; 1220.0800; and 
        1220.0900, are repealed. 
           Subd. 13.  [HEALTH CARE EQUIPMENT LOAN PROGRAM.] Minnesota 
        Rules, parts 7380.0200; 7380.0210; 7380.0220; 7380.0230; and 
        7380.0240, are repealed. 

                                   ARTICLE 2 
                           TERMINOLOGY CLARIFICATION 
           Section 1.  Minnesota Statutes 2002, section 60A.23, 
        subdivision 5, is amended to read: 
           Subd. 5.  [PROVISIONS AS TO FIDELITY AND SURETY COMPANIES.] 
        (1) [REQUIREMENTS AND ACCEPTABILITY.] No company for 
        guaranteeing the fidelity of persons in fiduciary positions, 
        public or private, or for acting as surety, shall transact any 
        business in this state until it shall have satisfied the 
        commissioner that it has complied with all the provisions of law 
        and obtained the commissioner's certificate to that effect.  
        Thereupon it shall be authorized to execute as sole or joint 
        surety any bond, undertaking, or recognizance which, by any 
        municipal or other law, or by the rules or regulations of any 
        municipal or other board, body, organization, or officer, is 
        required or permitted to be made, given, tendered, or filed for 
        the security or protection of any person, corporation, or 
        municipality, or any department thereof, or of any other 
        organization, conditioned for the doing or omitting of anything 
        in such bond or other instrument specified or provided; and any 
        and all courts, judges, officers, and heads of departments, 
        boards, and municipalities required or permitted to accept or 
        approve of the sufficiency of any such bond or instrument may in 
        their discretion accept the same when executed, or the 
        conditions thereof guaranteed solely or jointly by any such 
        company, and the same shall be in all respects full compliance 
        with every law or other provisions for the execution or guaranty 
        by one surety or by two or more sureties, or that sureties shall 
        be residents or householders, or freeholders landowners, or all 
        or either. 
           (2) [LIMITS OF RISK.] No fidelity or surety company shall 
        insure or reinsure in a single risk, less any portion thereof 
        reinsured, a larger sum than one-tenth of its net assets. 
           Sec. 2.  Minnesota Statutes 2002, section 116A.11, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [APPOINTMENT.] Following the filing of the 
        order for a detailed survey the board or court shall make an 
        order appointing as viewers three disinterested resident 
        freeholders landowners of the county or counties affected. 
           Sec. 3.  Minnesota Statutes 2002, section 163.16, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [COMPLAINT.] When a written complaint, 
        signed by five or more freeholders landowners of any town is 
        presented to the county board stating that a described town road 
        in or on the line of the town has not been opened and 
        constructed or is not properly maintained, and because of such 
        neglect is not reasonably passable, the county board by 
        resolution, shall fix a time and place for hearing the 
        complaint.  The county auditor shall mail a copy of the 
        complaint, together with notice of the time and place of hearing 
        on the complaint, to the town clerk.  All persons signing the 
        complaint shall also be notified of the time and place of the 
        hearing by the county auditor.  
           Sec. 4.  Minnesota Statutes 2002, section 163.161, is 
        amended to read: 
           163.161 [IMPASSABLE CITY THOROUGHFARE.] 
           When a written complaint signed by five or more freeholders 
        landowners of a statutory city of not more than 5,000 population 
        is presented to the county board stating that a city 
        thoroughfare located outside an urban area as defined in section 
        169.01, subdivision 59 has not been properly maintained and 
        because of the improper maintenance is not reasonably passable 
        the county board shall consider and act upon the complaint in 
        the same manner provided for a complaint under section 163.16. 
           Sec. 5.  Minnesota Statutes 2002, section 164.05, 
        subdivision 3, is amended to read: 
           Subd. 3.  [PETITION; NOTICE; VOTE AT TOWN MEETING.] When a 
        petition signed by ten or more freeholders landowners and voters 
        of a town shall be presented to the town clerk at least 20 days 
        before the time of holding the annual town meeting, praying that 
        the question of authorizing the town board to levy and assess a 
        town road drainage tax be submitted to the voters of such town, 
        the town clerk shall include in the notice of such annual town 
        meeting a notice that such question will be voted on at such 
        meeting.  Such question shall be voted on by ballot and it shall 
        be the duty of the clerk to provide at the expense of the town a 
        suitable number of ballots, which may be printed or written or 
        partly printed and partly written, in substantially the 
        following form: 
           "Shall the town board be authorized to levy and assess a 
        Town Road Drainage Tax? 
           (Yes ..) (No ..)" 
           Sec. 6.  Minnesota Statutes 2002, section 164.08, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [PERMITTED ESTABLISHMENT; CONDITIONS.] The 
        town board by resolution may establish a cartway two rods wide 
        and not more than one-half mile in length upon petition 
        presented to the town board signed by at least five voters, 
        freeholders landowners of the town, requesting the cartway on a 
        section line to serve a tract or tracts of land consisting of at 
        least 150 acres of which at least 100 acres are tillable.  If 
        the petition is granted the proceedings of the town board shall 
        be in accordance with section 164.07. 
           Sec. 7.  Minnesota Statutes 2002, section 237.39, is 
        amended to read: 
           237.39 [ACQUIRING OR SELLING TELEPHONE SYSTEM.] 
           When, under the provisions of sections 237.33 to 237.40, a 
        township telephone system is established in any township in 
        which any of the inhabitants of the town are already provided 
        with telephone service furnished by any other telephone company 
        or person, the town shall, when so requested by the telephone 
        company or person, acquire from the telephone company all 
        telephone equipment used by the telephone company or person in 
        furnishing telephone service to the inhabitants of the town 
        exclusively.  For the purpose of determining the purchase price 
        of the equipment, application shall be made to the department 
        which shall determine the just compensation which the owner of 
        the telephone equipment is entitled to receive for it from the 
        town.  Before deciding upon the compensation, the department 
        shall, at a public meeting, which may be adjourned from time to 
        time, hear all interested persons of the question involved.  The 
        department shall by order fix the compensation and furnish a 
        copy of its order to the town, and to the telephone company or 
        person concerned.  An appeal may be taken to the district court 
        of the county in which the town is situated from that part of 
        the order fixing the compensation to be paid, within 30 days, by 
        either party.  The appeal shall be tried in the same manner as 
        other appeals hereunder.  If no appeal is taken, the order of 
        the department shall become final at the end of 30 days.  
           When, under the provisions of sections 237.33 to 237.40 a 
        township telephone system has been established in any town, and 
        it has been determined by the board of supervisors of the town 
        to be for the best interest of public service and all persons 
        concerned, to sell and transfer the township telephone system to 
        any telephone company or person giving service organized for 
        that purpose and qualified to purchase the system and operate 
        it, the board of supervisors may sell, transfer, and convey the 
        township telephone system upon such reasonable price and terms 
        as it may determine; provided, that there shall be presented to 
        the board of supervisors by a petition signed by at least 25 
        percent of the freeholders landowners of the town asking for the 
        sale.  If the sale and agreed sale price are approved at an 
        annual or special town meeting, it being stated in the notice of 
        the annual and special meeting that the proposition will be 
        considered at it, by 66 percent of the legal voters attending 
        the meeting.  
           If any township telephone lines are sold under the 
        provisions of sections 237.33 to 237.40, and the town has 
        previously issued bonds for their construction, and any part of 
        the bonds are then outstanding and unpaid, the entire 
        consideration received from the sale, or such part as may be 
        necessary, shall be held and applied only for the payment and 
        retirement of the bonds.  
           Sec. 8.  Minnesota Statutes 2002, section 306.32, is 
        amended to read: 
           306.32 [TRUSTEES OF FUND.] 
           The trustees shall choose by ballot and appoint by deed of 
        the association a board of at least three and not more than five 
        trustees of the fund.  They shall be resident freeholders 
        landowners of this state during all the time they exercise the 
        powers of the trust.  If any of those appointed fails to qualify 
        within 30 days after appointment, the one or more who have 
        qualified shall appoint by deed other persons to be trustees in 
        their places.  If any of those appointed fails to qualify within 
        30 days, another shall be appointed in the same manner.  Every 
        appointment to fill a vacancy must be by unanimous vote of those 
        acting.  However, instead of appointing a board, the trustees of 
        the association may designate any trust company of the state to 
        act as the trustee during a time determined by the board.  All 
        instruments of appointment of trustees must be recorded with the 
        secretary.  
           Sec. 9.  Minnesota Statutes 2002, section 344.20, is 
        amended to read: 
           344.20 [TOWN OPTION.] 
           If eight or more freeholders landowners in a town petition 
        the town board for a vote on a partition fence policy, the town 
        board may adopt its own policy and procedures for dealing with 
        partition fences, including enforcement procedures.  The policy 
        must be approved by the electors of the town at an annual or 
        special town meeting, in which case this chapter does not apply 
        in that town.  
           This chapter applies to any partition fence lying on the 
        boundary between a town which has adopted its own partition 
        fence policy and any other political subdivision unless the 
        other political subdivision is a town which has adopted a 
        similar policy. 
           Sec. 10.  Minnesota Statutes 2002, section 348.02, is 
        amended to read: 
           348.02 [CLAIM AND PROOF.] 
           The claimant shall file with the county auditor a plat 
        giving the government subdivision, and the position of the trees 
        thereon.  If the number of trees be increased, supplemental 
        plats shall be filed.  The claimant shall show ownership of the 
        land, and make oath to the planting and maintaining of the 
        trees, as prescribed in section 348.01; and the proof shall be 
        supported by the affidavit of at least two freeholders 
        landowners residing in the same town, who have personal 
        knowledge of the facts.  Such proofs shall be filed with the 
        county auditor between July 1 and July 15, of the year for which 
        compensation is claimed.  
           Sec. 11.  Minnesota Statutes 2003 Supplement, section 
        365.52, subdivision 1, is amended to read: 
           Subdivision 1.  [HOW CALLED; STATEMENT; PETITION.] A 
        special town meeting may be held to conduct any lawful 
        business.  To call a special meeting, the supervisors and town 
        clerk, or any two of them together with at least 12 other town 
        freeholders landowners, shall file a statement in the town 
        clerk's office.  The statement must tell why the meeting is 
        called, the particular business to be transacted, and that the 
        interests of the town require the meeting.  A special town 
        meeting may also be called on petition of 20 percent of the 
        electors of the town.  The percentage is of the number of voters 
        at the last general election. 
           Sec. 12.  Minnesota Statutes 2002, section 365.59, is 
        amended to read: 
           365.59 [COUNTY TO APPOINT OFFICERS IF NONE ELECTED.] 
           Subdivision 1.  [SECOND MEETING TRY.] If a town fails to 
        organize or fails to elect officers at the annual town meeting, 
        12 freeholders landowners of the town may call a town meeting 
        for these purposes.  The meeting is called by giving ten days' 
        posted notice of it.  The notice must include the time, place, 
        and purpose of the meeting. 
           Subd. 2.  [30-DAY WAIT; AFFIDAVIT.] If the notice under 
        subdivision 1 is not posted within 30 days after the date for 
        the annual town meeting, the county board shall appoint officers 
        for the town.  The officers shall hold their offices until their 
        successors qualify.  The county board shall act only after an 
        affidavit of a freeholder landowner of the town is filed with 
        the county auditor.  The affidavit must state the facts that 
        require the county board to act. 
           Sec. 13.  Minnesota Statutes 2002, section 366.17, is 
        amended to read: 
           366.17 [PLANNING AND ZONING COMMISSION.] 
           To carry out sections 366.10 to 366.18, the town board may 
        appoint a planning and zoning commission, all of whom shall be 
        freeholders landowners.  The number of commissioners shall be 
        determined by the board.  The planning and zoning commission 
        shall act as an adviser to the town board.  The commission may 
        be empowered to employ a civil engineer or city planner as 
        required to establish the districts or zones of any parts of the 
        town.  
           Sec. 14.  Minnesota Statutes 2002, section 368.85, 
        subdivision 9, is amended to read: 
           Subd. 9.  [DISSOLUTION.] A special fire protection district 
        may be dissolved in the following manner.  The town board may 
        submit the question of dissolution of a district at any annual 
        town meeting.  It must submit that question at the next annual 
        town meeting on the signed petition of electors residing in the 
        district equal in number to at least one-half of the number 
        of freeholders landowners in the district according to the tax 
        record in the county auditor's office filed with the town clerk 
        not less than 45 days before the annual meeting.  Notice that 
        the question will be submitted shall be posted by the town clerk 
        in three public places within the special district not less than 
        two weeks before the annual meeting at which it will be 
        submitted.  Only voters residing in the district shall vote on 
        the question of dissolution.  A separate ballot box shall be 
        provided for votes on the question.  The town board shall 
        provide ballots for the question of dissolution which shall be 
        in the same form as provided in subdivision 4 except that the 
        question shall be "Shall Special Fire Protection District No. 
        .....  be dissolved?".  If a majority vote of those voting on 
        the question vote in the affirmative, the district shall be 
        dissolved.  In that event the results of the election shall be 
        certified by the chair of the town board to the county auditor.  
        There shall be no further special levy for fire protection in 
        the district, but dissolution shall not relieve the property in 
        the special district from any taxes levied under this section 
        before dissolution. 
           Sec. 15.  Minnesota Statutes 2002, section 385.09, is 
        amended to read: 
           385.09 [BONDS OF DEPOSITORIES.] 
           Every bank or banker, before being designated as a 
        depository, shall deposit with the county treasurer a bond, to 
        be approved by the county board, in at least double the amount 
        to be deposited, payable to such county, and signed by not less 
        than five resident freeholders landowners as sureties; who 
        shall, in the aggregate, qualify for the full penalty named in 
        such bond.  Any county in which there is no such bank or banker 
        may be exempt from the foregoing provisions which relate to 
        depositing its funds, if in the judgment of the county board 
        such deposit would be detrimental to its interests.  In cases 
        where the bond furnished by the depository is that of a surety 
        company authorized to do business in this state, the amount of 
        such bond need not be more than the amount to be deposited in 
        such depository.  
           Sec. 16.  Minnesota Statutes 2002, section 395.14, is 
        amended to read: 
           395.14 [SEED AND FEED LOANS.] 
           Authority is granted to any county in the state to lend 
        money to residents of the county who are citizens of the United 
        States or resident aliens or who have declared their intention 
        of becoming citizens of the United States, for the purpose of 
        purchasing seed and feed for teams whenever there has been a 
        total or partial failure of crops in the county, by reason of 
        hail, flood, drought, fire, or other cause.  Qualified residents 
        must own, or hold under contract for deed, land previously under 
        cultivation and cropped and in condition capable of being 
        cropped during the ensuing year, but must be unable to procure 
        seed for planting their land and feed for their teams while 
        doing the planting and must be in imminent danger of losing 
        their property.  If not less than 25 resident freeholders 
        landowners of the county, before March first next following the 
        crop failure, present to the auditor of the county a petition 
        signed by them asking that the county lend money to residents 
        suffering by reason of the crop failure, for the purpose of 
        purchasing seed and feed, the auditor shall receive and file the 
        petition and at once call a meeting of the county board to 
        consider the petition. The county board shall, on or before the 
        second Monday in March, next following, meet and consider the 
        petition and may enter an order that the county lend, from its 
        general fund, sums as it deems necessary for the purpose; 
        however, the amount shall not, with the existing indebtedness of 
        the county, exceed the amount of indebtedness fixed by the laws 
        of this state. 

                                   ARTICLE 3 
                        OBSOLETE PROPERTY TAX REFERENCES 
           Section 1.  Minnesota Statutes 2002, section 126C.48, 
        subdivision 8, is amended to read: 
           Subd. 8.  [TACONITE PAYMENT AND OTHER REDUCTIONS.] (1) 
        Reductions in levies pursuant to sections section 126C.48, 
        subdivision 1, and 273.138, must be made prior to the reductions 
        in clause (2). 
           (2) Notwithstanding any other law to the contrary, 
        districts which received payments pursuant to sections 298.018; 
        298.225; 298.28, except an amount distributed under section 
        298.28, subdivision 4, paragraph (c), clause (ii); 298.34 to 
        298.39; 298.391 to 298.396; 298.405; and any law imposing a tax 
        upon severed mineral values; or recognized revenue under section 
        477A.15 must not include a portion of these aids in their 
        permissible levies pursuant to those sections, but instead must 
        reduce the permissible levies authorized by this chapter and 
        chapters 120B, 122A, 123A, 123B, 124A, 124D, 125A, and 127A by 
        the greater of the following: 
           (a) an amount equal to 50 percent of the total dollar 
        amount of the payments received pursuant to those sections or 
        revenue recognized under section 477A.15 in the previous fiscal 
        year; or 
           (b) an amount equal to the total dollar amount of the 
        payments received pursuant to those sections or revenue 
        recognized under section 477A.15 in the previous fiscal year 
        less the product of the same dollar amount of payments or 
        revenue times five percent. 
           For levy year 2002 only, 77 percent of the amounts 
        distributed under section 298.225 and 298.28, and 100 percent of 
        the amounts distributed under sections 298.018; 298.34 to 
        298.39; 298.391 to 298.396; 298.405; and any law imposing a tax 
        upon severed mineral values, or recognized revenue under section 
        477A.15, shall be used for purposes of the calculations under 
        this paragraph.  For levy year 2003 only, the levy reductions 
        under this subdivision must be calculated as if section 298.28, 
        subdivision 4, paragraph (f), did not apply for the 2003 
        distribution. 
           (3) The amount of any voter approved referendum, facilities 
        down payment, and debt levies shall not be reduced by more than 
        50 percent under this subdivision.  In administering this 
        paragraph, the commissioner shall first reduce the nonvoter 
        approved levies of a district; then, if any payments, severed 
        mineral value tax revenue or recognized revenue under paragraph 
        (2) remains, the commissioner shall reduce any voter approved 
        referendum levies authorized under section 126C.17; then, if any 
        payments, severed mineral value tax revenue or recognized 
        revenue under paragraph (2) remains, the commissioner shall 
        reduce any voter approved facilities down payment levies 
        authorized under section 123B.63 and then, if any payments, 
        severed mineral value tax revenue or recognized revenue under 
        paragraph (2) remains, the commissioner shall reduce any voter 
        approved debt levies.  
           (4) Before computing the reduction pursuant to this 
        subdivision of the health and safety levy authorized by sections 
        123B.57 and 126C.40, subdivision 5, the commissioner shall 
        ascertain from each affected school district the amount it 
        proposes to levy under each section or subdivision.  The 
        reduction shall be computed on the basis of the amount so 
        ascertained. 
           (5) To the extent the levy reduction calculated under 
        paragraph (2) exceeds the limitation in paragraph (3), an amount 
        equal to the excess must be distributed from the school 
        district's distribution under sections 298.225, 298.28, and 
        477A.15 in the following year to the cities and townships within 
        the school district in the proportion that their taxable net tax 
        capacity within the school district bears to the taxable net tax 
        capacity of the school district for property taxes payable in 
        the year prior to distribution.  No city or township shall 
        receive a distribution greater than its levy for taxes payable 
        in the year prior to distribution.  The commissioner of revenue 
        shall certify the distributions of cities and towns under this 
        paragraph to the county auditor by September 30 of the year 
        preceding distribution.  The county auditor shall reduce the 
        proposed and final levies of cities and towns receiving 
        distributions by the amount of their distribution.  
        Distributions to the cities and towns shall be made at the times 
        provided under section 298.27. 
           Sec. 2.  Minnesota Statutes 2003 Supplement, section 
        127A.45, subdivision 10, is amended to read: 
           Subd. 10.  [PAYMENTS TO SCHOOL NONOPERATING FUNDS.] Each 
        fiscal year state general fund payments for a district 
        nonoperating fund must be made at 80 percent of the estimated 
        entitlement during the fiscal year of the entitlement.  This 
        amount shall be paid in 12 equal monthly installments.  The 
        amount of the actual entitlement, after adjustment for actual 
        data, minus the payments made during the fiscal year of the 
        entitlement must be paid prior to October 31 of the following 
        school year.  The commissioner may make advance payments of debt 
        service equalization aid or homestead and agricultural credit 
        aid for a district's debt service fund earlier than would occur 
        under the preceding schedule if the district submits evidence 
        showing a serious cash flow problem in the fund.  The 
        commissioner may make earlier payments during the year and, if 
        necessary, increase the percent of the entitlement paid to 
        reduce the cash flow problem. 
           Sec. 3.  Minnesota Statutes 2002, section 162.081, 
        subdivision 4, is amended to read: 
           Subd. 4.  [FORMULA FOR DISTRIBUTION TO TOWNS; PURPOSES.] 
        Money apportioned to a county from the town road account must be 
        distributed to the treasurer of each town within the county, 
        according to a distribution formula adopted by the county 
        board.  The formula must take into account each town's levy for 
        road and bridge purposes, its population and town road mileage, 
        and other factors the county board deems advisable in the 
        interests of achieving equity among the towns.  Distribution of 
        town road funds to each town treasurer must be made by March 1, 
        annually, or within 30 days after receipt of payment from the 
        commissioner.  Distribution of funds to town treasurers in a 
        county which has not adopted a distribution formula under this 
        subdivision must be made according to a formula prescribed by 
        the commissioner by rule.  A formula adopted by a county board 
        or by the commissioner must provide that a town, in order to be 
        eligible for distribution of funds from the town road account in 
        a calendar year, must have levied before the deduction of 
        homestead and agricultural credit aid certified under section 
        273.1398, subdivision 2, for taxes payable in the previous year 
        for road and bridge purposes at least 0.04835 percent of taxable 
        market value.  For purposes of this eligibility requirement, 
        taxable market value means taxable market value for taxes 
        payable two years prior to the aid distribution year.  
           Money distributed to a town under this subdivision may be 
        expended by the town only for the construction, reconstruction, 
        and gravel maintenance of town roads within the town. 
           Sec. 4.  Minnesota Statutes 2002, section 272.0212, 
        subdivision 2, is amended to read: 
           Subd. 2.  [LIMITS ON EXEMPTION.] Property in a zone is not 
        exempt under this section from the following: 
           (1) special assessments; 
           (2) ad valorem property taxes specifically levied for the 
        payment of principal and interest on debt obligations; and 
           (3) all taxes levied by a school district, except equalized 
        school referendum levies as defined in section 273.1398, 
        subdivision 1, paragraph (e) 126C.17. 
           Sec. 5.  Minnesota Statutes 2003 Supplement, section 
        273.1392, is amended to read: 
           273.1392 [PAYMENT; SCHOOL DISTRICTS.] 
           The amounts of conservation tax credits under section 
        273.119; disaster or emergency reimbursement under section 
        273.123; attached machinery aid under section 273.138; homestead 
        and agricultural credits under section 273.1384; aids and 
        credits under section 273.1398; wetlands reimbursement under 
        section 275.295; enterprise zone property credit payments under 
        section 469.171; and metropolitan agricultural preserve 
        reduction under section 473H.10 for school districts, shall be 
        certified to the Department of Education by the Department of 
        Revenue.  The amounts so certified shall be paid according to 
        section 127A.45, subdivisions 9 and 13. 
           Sec. 6.  Minnesota Statutes 2002, section 273.1398, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [DEFINITIONS.] (a) In this section, the 
        terms defined in this subdivision have the meanings given them. 
           (b) "Unique taxing jurisdiction" means the geographic area 
        subject to the same set of local tax rates. 
           (c) "Previous net tax capacity" means the product of the 
        appropriate net class rates for the year previous to the year in 
        which the aid is payable, and estimated market values for the 
        assessment two years prior to that in which aid is payable.  
        "Total previous net tax capacity" means the previous net tax 
        capacities for all property within the unique taxing 
        jurisdiction.  The total previous net tax capacity shall be 
        reduced by the sum of (1) the unique taxing jurisdiction's 
        previous net tax capacity of commercial-industrial property as 
        defined in section 473F.02, subdivision 3, or 276A.01, 
        subdivision 3, multiplied by the ratio determined pursuant to 
        section 473F.08, subdivision 6, or 276A.06, subdivision 7, for 
        the municipality, as defined in section 473F.02, subdivision 8, 
        or 276A.01, subdivision 8, in which the unique taxing 
        jurisdiction is located, (2) the previous net tax capacity of 
        the captured value of tax increment financing districts as 
        defined in section 469.177, subdivision 2, and (3) the previous 
        net tax capacity of transmission lines deducted from a local 
        government's total net tax capacity under section 273.425.  
        Previous net tax capacity cannot be less than zero. 
           (d) "Equalized market values" are market values that have 
        been equalized by dividing the assessor's estimated market value 
        for the second year prior to that in which the aid is payable by 
        the assessment sales ratios determined by class in the 
        assessment sales ratio study conducted by the Department of 
        Revenue pursuant to section 127A.48 in the second year prior to 
        that in which the aid is payable.  The equalized market values 
        shall equal the unequalized market values divided by the 
        assessment sales ratio. 
           (e) "Equalized school levies" means the amounts levied for: 
           (1) general education under section 126C.13, subdivision 2; 
           (2) supplemental revenue under section 126C.10, subdivision 
        10; 
           (3) transition revenue under section 126C.10, subdivision 
        20; and 
           (4) referendum revenue under section 126C.17. 
           (f) "Current local tax rate" means the quotient derived by 
        dividing the taxes levied within a unique taxing jurisdiction 
        for taxes payable in the year prior to that for which aids are 
        being calculated by the total previous net tax capacity of the 
        unique taxing jurisdiction.  
           (g) For purposes of calculating and allocating homestead 
        and agricultural credit aid authorized pursuant to subdivision 2 
        and the disparity reduction aid authorized in subdivision 3, 
        "gross taxes levied on all properties," "gross taxes," or "taxes 
        levied" means the total net tax capacity based taxes levied on 
        all properties except that levied on the captured value of tax 
        increment districts as defined in section 469.177, subdivision 
        2, and that levied on the portion of commercial industrial 
        properties' assessed value or gross tax capacity, as defined in 
        section 473F.02, subdivision 3, subject to the areawide tax as 
        provided in section 473F.08, subdivision 6, in a unique taxing 
        jurisdiction.  "Gross taxes" are before any reduction for 
        disparity reduction aid but "taxes levied" are after any 
        reduction for disparity reduction aid.  Gross taxes levied or 
        taxes levied cannot be less than zero.  
           "Taxes levied" excludes equalized school levies. 
           (h) "Household adjustment factor" means the number of 
        households, for the year most recently determined as of July 1 
        in the aid calculation year, divided by the number of households 
        for the year immediately preceding the year for which the number 
        of households has most recently been determined as of July 1.  
        The household adjustment factor cannot be less than one.  
           (i) "Growth adjustment factor" means the household 
        adjustment factor in the case of counties.  In the case of 
        cities, towns, school districts, and special taxing districts, 
        the growth adjustment factor equals one.  The growth adjustment 
        factor cannot be less than one.  
           (j) "Homestead and agricultural credit base" means the 
        previous year's certified homestead and agricultural credit aid 
        determined under subdivision 2 less any permanent aid reduction 
        in the previous year to homestead and agricultural credit aid.  
           (k) "Net tax capacity adjustment" means (1) the tax base 
        differential defined in subdivision 1a, multiplied by (2) the 
        unique taxing jurisdiction's current local tax rate.  The net 
        tax capacity adjustment cannot be less than zero. 
           (l) "Fiscal disparity adjustment" means a taxing 
        jurisdiction's fiscal disparity distribution levy under section 
        473F.08, subdivision 3, clause (a), or 276A.06, subdivision 3, 
        clause (a), for taxes payable in the year prior to that for 
        which aids are being calculated, multiplied by the ratio of the 
        tax base differential percent referenced in subdivision 1a for 
        the highest class rate for class 3 property for taxes payable in 
        the year prior to that for which aids are being calculated to 
        the highest class rate for class 3 property for taxes payable in 
        the second prior year to that for which aids are being 
        calculated.  In the case of school districts, the fiscal 
        disparity distribution levy shall exclude that part of the levy 
        attributable to equalized school levies. 
           Sec. 7.  Minnesota Statutes 2002, section 273.1398, 
        subdivision 2d, is amended to read: 
           Subd. 2d.  [AIDS DETERMINED AS OF JUNE 30.] For aid amounts 
        authorized under subdivisions 2 and subdivision 3, and section 
        273.166:  (i) if the effective date for a municipal 
        incorporation, consolidation, annexation, detachment, 
        dissolution, or township organization is on or before June 30 of 
        the year preceding the aid distribution year, the change in 
        boundaries or form of government shall be recognized for aid 
        determinations for the aid distribution year; (ii) if the 
        effective date for a municipal incorporation, consolidation, 
        annexation, detachment, dissolution, or township organization is 
        after June 30 of the year preceding the aid distribution year, 
        the change in boundaries or form of government shall not be 
        recognized for aid determinations until the following year. 
           Sec. 8.  Minnesota Statutes 2002, section 273.1398, 
        subdivision 3, is amended to read: 
           Subd. 3.  [DISPARITY REDUCTION AID.] (a) For taxes payable 
        in 2003 and subsequent years, the amount of disparity aid 
        certified for each taxing district within each unique taxing 
        jurisdiction for taxes payable in the prior year shall be 
        multiplied by the ratio of (1) the jurisdiction's tax capacity 
        using the class rates for taxes payable in the year for which 
        aid is being computed, to (2) its tax capacity using the class 
        rates for taxes payable in the year prior to that for which aid 
        is being computed, both based upon market values for taxes 
        payable in the year prior to that for which aid is being 
        computed.  For the purposes of this aid determination, disparity 
        reduction aid certified for taxes payable in the prior year for 
        a taxing entity other than a town or school district is deemed 
        to be county government disparity reduction aid.  The amount of 
        disparity aid certified to each taxing jurisdiction shall be 
        reduced by any reductions required in the current year or 
        permanent reductions required in previous years under section 
        477A.0132. 
           (b) For aid payable in 2003, in each unique taxing 
        jurisdiction where the total tax rate for taxes payable in 2002 
        exceeds 135 percent of taxable net tax capacity, an amount shall 
        be permanently added to the unique taxing jurisdiction's aid 
        amount under paragraph (a) equal to the lesser of:  (i) the 
        amount, if any, by which 87 percent of the aid certified for 
        2001 exceeds the amount certified for 2002, or (ii) the amount 
        that would be necessary to reduce the total payable 2002 tax 
        rate for the unique taxing jurisdiction to 135 percent of 
        taxable net tax capacity.  The amount determined under this 
        paragraph must be added before the class rate adjustment 
        described in paragraph (a). 
           Sec. 9.  Minnesota Statutes 2003 Supplement, section 
        273.1398, subdivision 4c, is amended to read: 
           Subd. 4c.  [TEMPORARY AID; COURT ADMINISTRATION COSTS.] For 
        calendar years 2004 and 2005, each county in a judicial district 
        that has not been transferred to the state by January 1 of that 
        year shall receive temporary court maintenance of effort cost 
        aid.  This amount is in addition to the amount calculated under 
        subdivision 2 and must not be included in the definition of 
        homestead and agricultural credit base under subdivision 1, 
        paragraph (j).  The amount of aid is equal to the difference 
        between (1) the amount budgeted for court administration costs 
        in 2001 as determined under subdivision 4b, paragraph (b), 
        multiplied by the maintenance of effort percent for the calendar 
        year as determined under subdivision 4b, paragraph (a), and (2) 
        the amount calculated under subdivision 4b, paragraph (a), for 
        calendar year 2003, except that the payment under this section 
        is reduced by 50 percent in the calendar year in which the 
        district is transferred to the state.  This additional aid must 
        be used only to fund court administration expenditures as 
        defined in section 480.183, subdivision 3.  This amount must be 
        added to the state court's base budget in the year when the 
        court in that judicial district in which the county is located 
        is transferred to the state. 
           Sec. 10.  Minnesota Statutes 2002, section 275.07, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [CERTIFICATION OF LEVY.] (a) Except as 
        provided under paragraph (b), the taxes voted by cities, 
        counties, school districts, and special districts shall be 
        certified by the proper authorities to the county auditor on or 
        before five working days after December 20 in each year.  A town 
        must certify the levy adopted by the town board to the county 
        auditor by September 15 each year.  If the town board modifies 
        the levy at a special town meeting after September 15, the town 
        board must recertify its levy to the county auditor on or before 
        five working days after December 20.  The taxes certified shall 
        not be reduced by the county auditor by the aid received under 
        section 273.1398, subdivision 2, but shall be reduced by the 
        county auditor by the aid received under section 273.1398, 
        subdivision 3.  If a city, town, county, school district, or 
        special district fails to certify its levy by that date, its 
        levy shall be the amount levied by it for the preceding year. 
           (b)(i) The taxes voted by counties under sections 103B.241, 
        103B.245, and 103B.251 shall be separately certified by the 
        county to the county auditor on or before five working days 
        after December 20 in each year.  The taxes certified shall not 
        be reduced by the county auditor by the aid received under 
        section 273.1398, subdivisions 2 and subdivision 3.  If a county 
        fails to certify its levy by that date, its levy shall be the 
        amount levied by it for the preceding year.  
           (ii) For purposes of the proposed property tax notice under 
        section 275.065 and the property tax statement under section 
        276.04, for the first year in which the county implements the 
        provisions of this paragraph, the county auditor shall reduce 
        the county's levy for the preceding year to reflect any amount 
        levied for water management purposes under clause (i) included 
        in the county's levy. 
           Sec. 11.  Minnesota Statutes 2002, section 276.04, 
        subdivision 2, is amended to read: 
           Subd. 2.  [CONTENTS OF TAX STATEMENTS.] (a) The treasurer 
        shall provide for the printing of the tax statements.  The 
        commissioner of revenue shall prescribe the form of the property 
        tax statement and its contents.  The statement must contain a 
        tabulated statement of the dollar amount due to each taxing 
        authority and the amount of the state tax from the parcel of 
        real property for which a particular tax statement is prepared.  
        The dollar amounts attributable to the county, the state tax, 
        the voter approved school tax, the other local school tax, the 
        township or municipality, and the total of the metropolitan 
        special taxing districts as defined in section 275.065, 
        subdivision 3, paragraph (i), must be separately stated.  The 
        amounts due all other special taxing districts, if any, may be 
        aggregated.  If the county levy under this paragraph includes an 
        amount for a lake improvement district as defined under sections 
        103B.501 to 103B.581, the amount attributable for that purpose 
        must be separately stated from the remaining county levy 
        amount.  The amount of the tax on homesteads qualifying under 
        the senior citizens' property tax deferral program under chapter 
        290B is the total amount of property tax before subtraction of 
        the deferred property tax amount.  The amount of the tax on 
        contamination value imposed under sections 270.91 to 270.98, if 
        any, must also be separately stated.  The dollar amounts, 
        including the dollar amount of any special assessments, may be 
        rounded to the nearest even whole dollar.  For purposes of this 
        section whole odd-numbered dollars may be adjusted to the next 
        higher even-numbered dollar.  The amount of market value 
        excluded under section 273.11, subdivision 16, if any, must also 
        be listed on the tax statement. 
           (b) The property tax statements for manufactured homes and 
        sectional structures taxed as personal property shall contain 
        the same information that is required on the tax statements for 
        real property.  
           (c) Real and personal property tax statements must contain 
        the following information in the order given in this paragraph.  
        The information must contain the current year tax information in 
        the right column with the corresponding information for the 
        previous year in a column on the left: 
           (1) the property's estimated market value under section 
        273.11, subdivision 1; 
           (2) the property's taxable market value after reductions 
        under section 273.11, subdivisions 1a and 16; 
           (3) the property's gross tax, calculated by adding the 
        property's total property tax to the sum of the aids enumerated 
        in clause (4); 
           (4) a total of the following aids: 
           (i) education aids payable under chapters 122A, 123A, 123B, 
        124D, 125A, 126C, and 127A; 
           (ii) local government aids for cities, towns, and counties 
        under chapter 477A; and 
           (iii) disparity reduction aid under section 273.1398; and 
           (iv) homestead and agricultural credit aid under section 
        273.1398; 
           (5) for homestead residential and agricultural properties, 
        the credits under section 273.1384; 
           (6) any credits received under sections 273.119; 273.123; 
        273.135; 273.1391; 273.1398, subdivision 4; 469.171; and 
        473H.10, except that the amount of credit received under section 
        273.135 must be separately stated and identified as "taconite 
        tax relief"; and 
           (7) the net tax payable in the manner required in paragraph 
        (a). 
           (d) If the county uses envelopes for mailing property tax 
        statements and if the county agrees, a taxing district may 
        include a notice with the property tax statement notifying 
        taxpayers when the taxing district will begin its budget 
        deliberations for the current year, and encouraging taxpayers to 
        attend the hearings.  If the county allows notices to be 
        included in the envelope containing the property tax statement, 
        and if more than one taxing district relative to a given 
        property decides to include a notice with the tax statement, the 
        county treasurer or auditor must coordinate the process and may 
        combine the information on a single announcement.  
           The commissioner of revenue shall certify to the county 
        auditor the actual or estimated aids enumerated in clause (4) 
        that local governments will receive in the following year.  The 
        commissioner must certify this amount by January 1 of each year. 
           Sec. 12.  Minnesota Statutes 2003 Supplement, section 
        469.177, subdivision 9, is amended to read: 
           Subd. 9.  [DISTRIBUTIONS OF EXCESS TAXES ON CAPTURED NET 
        TAX CAPACITY.] (a) If the amount of tax paid on captured net tax 
        capacity exceeds the amount of tax increment, the county auditor 
        shall distribute the excess to the municipality, county, and 
        school district as follows:  each governmental unit's share of 
        the excess equals 
           (1) the total amount of the excess for the tax increment 
        financing district, multiplied by 
           (2) a fraction, the numerator of which is the current local 
        tax rate of the governmental unit less the governmental unit's 
        local tax rate for the year the original local tax rate for the 
        district was certified (in no case may this amount be less than 
        zero) and the denominator of which is the sum of the numerators 
        for the municipality, county, and school district. 
        If the entire increase in the local tax rate is attributable to 
        a taxing district, other than the municipality, county, or 
        school district, then the excess must be distributed to the 
        municipality, county, and school district in proportion to their 
        respective local tax rates. 
           The school district's tax rate must be divided into the 
        portion of the tax rate attributable (1) to state equalized 
        levies, and (2) unequalized levies.  As used in this 
        subdivision, "equalized levies" means the "equalized school 
        levies" which are defined in section 273.1398, subdivision 1, 
        for aids payable in the year following the year in which the 
        excess taxes on captured net tax capacity are due and payable.  
        Unequalized levies mean the rest of the school district's 
        levies.  The calculations under clause (2) must determine the 
        amount of excess taxes attributable to each portion of the 
        school district's tax rate.  If one of the portions of the 
        change in the school district tax rate is less than zero and the 
        combined change is greater than zero, the combined rate must be 
        used and all the school district's share of excess taxes 
        allocated to that portion of the tax rate. 
           (b) The amounts distributed shall be deducted in computing 
        the levy limits of the taxing district for the succeeding 
        taxable year.  In the case of a school district, only the 
        proportion of the excess taxes attributable to unequalized 
        levies that are subject to a fixed dollar amount levy limit 
        shall be deducted from the levy limit. 
           (c) In the case of distributions to a school district that 
        are attributable to state equalized levies, the county auditor 
        shall report amounts distributed to the commissioner of 
        education in the same manner as provided for excess increments 
        under section 469.176, subdivision 2, and the distribution shall 
        be deducted from the school district's state aid payments. 
           Sec. 13.  Minnesota Statutes 2003 Supplement, section 
        473.253, subdivision 1, is amended to read: 
           Subdivision 1.  [SOURCES OF FUNDS.] The council shall 
        credit to the livable communities demonstration account the 
        revenues provided in this subdivision.  This tax shall be levied 
        and collected in the manner provided by section 473.13.  The 
        levy shall not exceed the following amount for the years 
        specified:  
           (a)(1) for taxes payable in 1997 through 2003, the product 
        of (i) the property tax levy limit under this subdivision for 
        the previous year multiplied by (ii) an index for market 
        valuation changes equal to the total market valuation of all 
        taxable property located within the metropolitan area for the 
        current taxes payable year divided by the total market valuation 
        of all taxable property located in the metropolitan area for the 
        previous taxes payable year; 
           (2) for taxes payable in 2004 and 2005, $8,259,070; and 
           (3) (2) for taxes payable in 2006 and subsequent years, the 
        product of (i) the property tax levy limit under this 
        subdivision for the previous year multiplied by (ii) one plus a 
        percentage equal to the growth in the implicit price deflator as 
        defined in section 275.70, subdivision 2. 
           (b) The Metropolitan Council, for the purposes of the fund, 
        is considered a unique taxing jurisdiction for purposes of 
        receiving aid pursuant to section 273.1398.  For aid to be 
        received in 1996, the fund's homestead and agricultural credit 
        base shall equal 50 percent of the metropolitan mosquito control 
        commission's certified homestead and agricultural credit aid for 
        1995, determined under section 273.1398, subdivision 2, less any 
        permanent aid reduction under section 477A.0132.  For aid to be 
        received under section 273.1398 in 1997 and subsequent years, 
        the fund's homestead and agricultural credit base shall be 
        determined in accordance with section 273.1398, subdivision 1. 
           Sec. 14.  Minnesota Statutes 2002, section 477A.011, 
        subdivision 21, is amended to read: 
           Subd. 21.  [EQUALIZED MARKET VALUES.] "Equalized market 
        values" are equalized market values as defined in section 
        273.1398, subdivision 1 means market values that have been 
        equalized by dividing the assessor's estimated market value for 
        the second year prior to that in which the aid is payable by the 
        assessment sales ratios determined by class in the assessment 
        sales ratio study conducted by the Department of Revenue 
        pursuant to section 127A.48 in the second year prior to that in 
        which the aid is payable.  The equalized market values equal the 
        unequalized market values divided by the assessment sales ratio. 
           Sec. 15.  Minnesota Statutes 2002, section 477A.011, 
        subdivision 27, is amended to read: 
           Subd. 27.  [REVENUE BASE.] "Revenue base" means the amount 
        levied for taxes payable in the previous year, including the 
        levy on the fiscal disparity distribution under section 276A.06, 
        subdivision 3, paragraph (a), or 473F.08, subdivision 3, 
        paragraph (a), and before reduction for the homestead and 
        agricultural credit aid under section 273.1398, subdivision 2, 
        equalization aid under section 477A.013, subdivision 5, and 
        disparity reduction aid under section 273.1398, subdivision 3; 
        plus the originally certified local government aid in the 
        previous year under sections 477A.011 and 477A.013; and the 
        taconite aids received in the previous year under sections 
        298.28 and 298.282. 
           Sec. 16.  Minnesota Statutes 2002, section 477A.011, 
        subdivision 35, is amended to read: 
           Subd. 35.  [TAX EFFORT RATE.] "Tax effort rate" means the 
        sum of (1) the net levy for all cities plus (2) for aid payable 
        in 2002 only, the total aid payments to all cities under section 
        273.1398 in the previous year; divided by the sum of the city 
        net tax capacity for all cities.  For purposes of this section, 
        "net levy" means the city levy, after all adjustments, used for 
        calculating the local tax rate under section 275.08 for taxes 
        payable in the year prior to the aid distribution.  The fiscal 
        disparity distribution levy under chapter 276A or 473F is 
        included in net levy. 
           Sec. 17.  Minnesota Statutes 2002, section 477A.015, is 
        amended to read: 
           477A.015 [PAYMENT DATES.] 
           The commissioner of revenue shall make the payments of 
        local government aid to affected taxing authorities in two 
        installments on July 20 and December 26 annually.  
           When the commissioner of public safety determines that a 
        local government has suffered financial hardship due to a 
        natural disaster, the commissioner of public safety shall notify 
        the commissioner of revenue, who shall make payments of 
        homestead and agricultural credit aid under section 273.1398 and 
        aids under sections 477A.011 to 477A.014, which are otherwise 
        due on December 26, as soon as is practical after the 
        determination is made but not before July 20. 
           The commissioner may pay all or part of the payments of 
        homestead and agricultural credit aid under section 273.1398 and 
        aids under sections 477A.011 to 477A.014, which are due on 
        December 26 at any time after August 15 if a local government 
        requests such payment as being necessary for meeting its cash 
        flow needs. 
           Sec. 18.  [REPEALER.] 
           Minnesota Statutes 2002, sections 273.1398, subdivisions 1a 
        and 2e; and 275.07, subdivisions 1a and 5, are repealed. 
           Presented to the governor May 15, 2004 
           Signed by the governor May 19, 2004, 12:05 p.m.

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