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

                            CHAPTER 269-H.F.No. 2640 
                  An act relating to commerce; creating a law 
                  enforcement agency to deal with insurance fraud; 
                  prescribing its powers and duties; establishing 
                  insurance assessments to fund the insurance fraud 
                  prevention account; providing for disclosure of 
                  certain data to the Department of Commerce; 
                  transferring the automobile theft prevention program 
                  to the Department of Commerce; modifying provisions 
                  relating to barbers and cosmetologists; creating a 
                  Board of Barber and Cosmetologist Examiners; 
                  appropriating money; amending Minnesota Statutes 2002, 
                  sections 13.82, subdivision 1; 45.0135, subdivision 6, 
                  by adding subdivisions; 154.01; 154.02; 154.03; 
                  154.04; 154.06; 154.07, as amended; 154.08; 154.11; 
                  154.12; 154.161, subdivisions 2, 4, 5, 7; 154.18; 
                  154.19; 154.21; 154.22; 154.23; 154.24; 154.25; 
                  155A.01; 155A.02; 155A.03, subdivisions 1, 2, 7, by 
                  adding subdivisions; 155A.045, subdivision 1; 155A.05; 
                  155A.07, subdivisions 2, 8, by adding a subdivision; 
                  155A.08, subdivisions 1, 2, 3; 155A.09; 155A.095; 
                  155A.10; 155A.135; 155A.14; 155A.15; 155A.16; 299A.75, 
                  subdivisions 1, 2, 3; 626.84, subdivision 1; Minnesota 
                  Statutes 2003 Supplement, sections 116J.70, 
                  subdivision 2a; 268.19, subdivision 1; repealing 
                  Minnesota Statutes 2002, section 45.0135, subdivisions 
                  1, 2. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 

                                   ARTICLE 1
                           INSURANCE FRAUD PREVENTION
           Section 1.  Minnesota Statutes 2002, section 13.82, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [APPLICATION.] This section shall apply to 
        agencies which carry on a law enforcement function, including 
        but not limited to municipal police departments, county sheriff 
        departments, fire departments, the Bureau of Criminal 
        Apprehension, the Minnesota State Patrol, the Board of Peace 
        Officer Standards and Training, the Division of Insurance Fraud 
        Prevention in the Department of Commerce, and the Department of 
        Labor and Industry fraud investigation unit, the program 
        integrity section of, and county human service agency client and 
        provider fraud prevention and control units operated or 
        supervised by the Department of Human Services. 
           Sec. 2.  Minnesota Statutes 2002, section 45.0135, is 
        amended by adding a subdivision to read: 
           Subd. 2a.  [AUTHORIZATION.] The commissioner may appoint 
        peace officers, as defined in section 626.84, subdivision 1, 
        paragraph (c), and establish a law enforcement agency, as 
        defined in section 626.84, subdivision 1, paragraph (h), known 
        as the Division of Insurance Fraud Prevention, to conduct 
        investigations, and to make arrests under sections 629.30 and 
        629.34.  The jurisdiction of the law enforcement agency is 
        limited to offenses related to insurance fraud. 
           Sec. 3.  Minnesota Statutes 2002, section 45.0135, is 
        amended by adding a subdivision to read: 
           Subd. 2b.  [DUTIES.] The Division of Insurance Fraud 
        Prevention shall: 
           (1) review notices and reports of insurance fraud submitted 
        by authorized insurers, their employees, and agents or 
        producers; 
           (2) respond to notifications or complaints of suspected 
        insurance fraud generated by other law enforcement agencies, 
        state or federal governmental units, or any other person; 
           (3) initiate inquiries and conduct investigations when the 
        division has reason to believe that insurance fraud has been or 
        is being committed; and 
           (4) report incidents of alleged insurance fraud disclosed 
        by its investigations to appropriate law enforcement agencies, 
        including, but not limited to, the attorney general, county 
        attorneys, or any other appropriate law enforcement or 
        regulatory agency, and shall assemble evidence, prepare charges, 
        and otherwise assist any law enforcement authority having 
        jurisdiction. 
           Sec. 4.  Minnesota Statutes 2002, section 45.0135, is 
        amended by adding a subdivision to read: 
           Subd. 2c.  [ARRESTS AND INVESTIGATIONS.] The initial 
        processing of a person arrested by the Division of Insurance 
        Fraud Prevention for an offense within its jurisdiction is the 
        responsibility of the Division of Insurance Fraud Prevention 
        unless otherwise directed by the law enforcement agency with 
        primary jurisdiction.  Subsequent investigation shall be the 
        responsibility of the Division of Insurance Fraud Prevention 
        unless otherwise directed by the law enforcement agency with 
        primary jurisdiction.  At the request of the primary 
        jurisdiction, the Division of Insurance Fraud Prevention may 
        assist in a subsequent investigation being carried out by the 
        primary jurisdiction. 
           Sec. 5.  Minnesota Statutes 2002, section 45.0135, is 
        amended by adding a subdivision to read: 
           Subd. 2d.  [POLICY FOR NOTICE OF INVESTIGATIONS.] The 
        Division of Insurance Fraud Prevention must develop a policy for 
        notifying the law enforcement agency with primary jurisdiction 
        when it has initiated investigation of any person within the 
        jurisdiction of that agency. 
           Sec. 6.  Minnesota Statutes 2002, section 45.0135, is 
        amended by adding a subdivision to read: 
           Subd. 2e.  [CHIEF LAW ENFORCEMENT OFFICER.] The 
        commissioner shall appoint a peace officer employed full time to 
        be the chief law enforcement officer and to be responsible for 
        the management of the Division of Insurance Fraud Prevention.  
        The chief law enforcement officer shall possess the necessary 
        police and management experience to manage a law enforcement 
        agency.  The chief law enforcement officer may appoint, 
        discipline, and discharge all employees of the Division of 
        Insurance Fraud Prevention.  All police managerial and 
        supervisory personnel must be full-time employees of the 
        Division of Insurance Fraud Prevention.  Supervisory personnel 
        must be on duty and available any time peace officers of the 
        Division of Insurance Fraud Prevention are on duty. 
           Sec. 7.  Minnesota Statutes 2002, section 45.0135, is 
        amended by adding a subdivision to read: 
           Subd. 2f.  [COMPLIANCE.] Except as otherwise provided in 
        this section, the Division of Insurance Fraud Prevention shall 
        comply with all statutes and administrative rules relating to 
        the operation and management of a law enforcement agency. 
           Sec. 8.  Minnesota Statutes 2002, section 45.0135, 
        subdivision 6, is amended to read: 
           Subd. 6.  [INSURANCE FRAUD PREVENTION ACCOUNT.] The 
        insurance fraud prevention account is created in the state 
        treasury.  It consists of any appropriations made by law Money 
        received from assessments under subdivision 7 is deposited in 
        the account.  Money in this fund is appropriated to the 
        commissioner of commerce for the purposes specified in this 
        section and sections 60A.951 to 60A.956. 
           Sec. 9.  Minnesota Statutes 2002, section 45.0135, is 
        amended by adding a subdivision to read: 
           Subd. 7.  [ASSESSMENT.] Each insurer authorized to sell 
        insurance in the state of Minnesota shall remit an assessment to 
        the commissioner for deposit in the insurance fraud prevention 
        account on or before June 1 of each year.  The amount of the 
        assessment shall be based on the insurer's total assets and on 
        the insurer's total written Minnesota premium, for the preceding 
        fiscal year, as reported pursuant to section 60A.13.  The 
        assessment is calculated as follows: 
                  Total Assets                      Assessment
             Less than $100,000,000                   $  200
             $100,000,000 to $1,000,000,000           $  750
             Over $1,000,000,000                      $2,000
             
             Minnesota Written Premium              Assessment 
             Less than $10,000,000                    $  200
             $10,000,000 to $100,000,000              $  750
             Over $100,000,000                        $2,000
           For purposes of this subdivision, the following entities 
        are not considered to be insurers authorized to sell insurance 
        in the state of Minnesota:  risk retention groups; township 
        mutuals organized under chapter 67A; or health maintenance 
        organizations organized under chapter 62D. 
           Sec. 10.  Minnesota Statutes 2003 Supplement, section 
        268.19, subdivision 1, is amended to read: 
           Subdivision 1.  [USE OF DATA.] (a) Except as otherwise 
        provided by this section, data gathered from any employer or 
        individual pursuant to the administration of the Minnesota 
        Unemployment Insurance Law are private data on individuals or 
        nonpublic data not on individuals as defined in section 13.02, 
        subdivisions 9 and 12, and may not be disclosed except pursuant 
        to a court order or section 13.05.  These data may be 
        disseminated to and used by the following agencies without the 
        consent of the subject of the data:  
           (1) state and federal agencies specifically authorized 
        access to the data by state or federal law; 
           (2) any agency of Minnesota or any other state; or any 
        federal agency charged with the administration of an employment 
        security law or the maintenance of a system of public employment 
        offices; 
           (3) human rights agencies within Minnesota that have 
        enforcement powers; 
           (4) the Department of Revenue must have access to 
        department private data on individuals and nonpublic data not on 
        individuals only to the extent necessary for enforcement of 
        Minnesota tax laws; 
           (5) public and private agencies responsible for 
        administering publicly financed assistance programs for the 
        purpose of monitoring the eligibility of the program's 
        recipients; 
           (6) the Department of Labor and Industry and the Division 
        of Insurance Fraud Prevention in the Department of Commerce on 
        an interchangeable basis with the department subject to the 
        following limitations and regardless of any law to the contrary: 
           (i) the department must have access to private data on 
        individuals and nonpublic data not on individuals for uses 
        consistent with the administration of its duties under the 
        Minnesota Unemployment Insurance Law; and 
           (ii) the Department of Labor and Industry and the Division 
        of Insurance Fraud Prevention in the Department of Commerce must 
        have access to private data on individuals and nonpublic data 
        not on individuals for uses consistent with the administration 
        of its their duties under Minnesota law; 
           (7) the Department of Employment and Economic Development 
        may have access to private data on individual employers and 
        nonpublic data not on individual employers for its internal use 
        only; when received by the Department of Employment and Economic 
        Development, the data remain private data on individuals or 
        nonpublic data; 
           (8) local and state welfare agencies for monitoring the 
        eligibility of the data subject for assistance programs, or for 
        any employment or training program administered by those 
        agencies, whether alone, in combination with another welfare 
        agency, or in conjunction with the department or to monitor and 
        evaluate the statewide Minnesota family investment program by 
        providing data on recipients and former recipients of food 
        stamps or food support, cash assistance under chapter 256, 256D, 
        256J, or 256K, child care assistance under chapter 119B, or 
        medical programs under chapter 256B, 256D, or 256L; 
           (9) local, state, and federal law enforcement agencies for 
        the sole purpose of ascertaining the last known address and 
        employment location of the data subject, provided the data 
        subject is the subject of a criminal investigation; 
           (10) the federal Immigration and Naturalization Service 
        shall have access to data on specific individuals and specific 
        employers provided the specific individual or specific employer 
        is the subject of an investigation by that agency; and 
           (11) the Department of Health may have access to private 
        data on individuals and nonpublic data not on individuals solely 
        for the purposes of epidemiologic investigations.  
           (b) Data on individuals and employers that are collected, 
        maintained, or used by the department in an investigation 
        pursuant to section 268.182 are confidential as to data on 
        individuals and protected nonpublic data not on individuals as 
        defined in section 13.02, subdivisions 3 and 13, and must not be 
        disclosed except pursuant to statute or court order or to a 
        party named in a criminal proceeding, administrative or 
        judicial, for preparation of a defense.  
           (c) Tape recordings and transcripts of recordings of 
        proceedings conducted in accordance with section 268.105 and 
        exhibits received into evidence at those proceedings are private 
        data on individuals and nonpublic data not on individuals and 
        must be disclosed only pursuant to the administration of section 
        268.105, or pursuant to a court order.  
           (d) The department may disseminate an employer's name, 
        address, industry code, occupations employed, and the number of 
        employees by ranges of not less than 100 for the purpose of 
        assisting individuals using the Minnesota Workforce Center 
        system in obtaining employment. 
           (e) The general aptitude test battery and the nonverbal 
        aptitude test battery as administered by the department are 
        private data on individuals or nonpublic data.  
           (f) Data gathered by the department pursuant to the 
        administration of the Minnesota unemployment insurance program 
        and the job service must not be made the subject or the basis 
        for any suit in any civil proceedings, administrative or 
        judicial, unless the action is initiated by the department. 
           Sec. 11.  Minnesota Statutes 2002, section 626.84, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [DEFINITIONS.] For purposes of sections 
        626.84 to 626.863, the following terms have the meanings given 
        them: 
           (a) "Board" means the Board of Peace Officer Standards and 
        Training. 
           (b) "Director" means the executive director of the board. 
           (c) "Peace officer" means: 
           (1) an employee or an elected or appointed official of a 
        political subdivision or law enforcement agency who is licensed 
        by the board, charged with the prevention and detection of crime 
        and the enforcement of the general criminal laws of the state 
        and who has the full power of arrest, and shall also include the 
        Minnesota State Patrol, agents of the Division of Alcohol and 
        Gambling Enforcement, state conservation officers, Metropolitan 
        Transit police officers, and Department of Corrections' Fugitive 
        Apprehension Unit officers, and Department of Commerce Insurance 
        Fraud Unit officers; and 
           (2) a peace officer who is employed by a law enforcement 
        agency of a federally recognized tribe, as defined in United 
        States Code, title 25, section 450b(e), and who is licensed by 
        the board. 
           (d) "Constable" has the meaning assigned to it in section 
        367.40. 
           (e) "Deputy constable" has the meaning assigned to it in 
        section 367.40. 
           (f) "Part-time peace officer" means an individual licensed 
        by the board whose services are utilized by law enforcement 
        agencies no more than an average of 20 hours per week, not 
        including time spent on call when no call to active duty is 
        received, calculated on an annual basis, who has either full 
        powers of arrest or authorization to carry a firearm while on 
        active duty.  The term shall apply even though the individual 
        receives no compensation for time spent on active duty, and 
        shall apply irrespective of the title conferred upon the 
        individual by any law enforcement agency.  The limitation on the 
        average number of hours in which the services of a part-time 
        peace officer may be utilized shall not apply to a part-time 
        peace officer who has formally notified the board pursuant to 
        rules adopted by the board of the part-time peace officer's 
        intention to pursue the specialized training for part-time peace 
        officers who desire to become peace officers pursuant to 
        sections 626.843, subdivision 1, clause (g), and 626.845, 
        subdivision 1, clause (g). 
           (g) "Reserve officer" means an individual whose services 
        are utilized by a law enforcement agency to provide 
        supplementary assistance at special events, traffic or crowd 
        control, and administrative or clerical assistance.  A reserve 
        officer's duties do not include enforcement of the general 
        criminal laws of the state, and the officer does not have full 
        powers of arrest or authorization to carry a firearm on duty. 
           (h) "Law enforcement agency" means: 
           (1) a unit of state or local government that is authorized 
        by law to grant full powers of arrest and to charge a person 
        with the duties of preventing and detecting crime and enforcing 
        the general criminal laws of the state; and 
           (2) subject to the limitations in section 626.93, a law 
        enforcement agency of a federally recognized tribe, as defined 
        in United States Code, title 25, section 450b(e). 
           (i) "Professional peace officer education" means a 
        postsecondary degree program, or a nondegree program for persons 
        who already have a college degree, that is offered by a college 
        or university in Minnesota, designed for persons seeking 
        licensure as a peace officer, and approved by the board. 
           Sec. 12.  [REPEALER.] 
           Minnesota Statutes 2002, section 45.0135, subdivisions 1 
        and 2, are repealed. 
           Sec. 13.  [EFFECTIVE DATE.] 
           Sections 1 to 12 are effective the day following final 
        enactment. 

                                   ARTICLE 2
                             AUTO THEFT PREVENTION
           Section 1.  Minnesota Statutes 2002, section 299A.75, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [PROGRAM DESCRIBED; COMMISSIONER'S DUTIES.] 
        (a) The commissioner of public safety commerce shall: 
           (1) develop and sponsor the implementation of statewide 
        plans, programs, and strategies to combat automobile theft, 
        improve the administration of the automobile theft laws, and 
        provide a forum for identification of critical problems for 
        those persons dealing with automobile theft; 
           (2) coordinate the development, adoption, and 
        implementation of plans, programs, and strategies relating to 
        interagency and intergovernmental cooperation with respect to 
        automobile theft enforcement; 
           (3) annually audit the plans and programs that have been 
        funded in whole or in part to evaluate the effectiveness of the 
        plans and programs and withdraw funding should the commissioner 
        determine that a plan or program is ineffective or is no longer 
        in need of further financial support from the fund; 
           (4) develop a plan of operation including: 
           (i) an assessment of the scope of the problem of automobile 
        theft, including areas of the state where the problem is 
        greatest; 
           (ii) an analysis of various methods of combating the 
        problem of automobile theft; 
           (iii) a plan for providing financial support to combat 
        automobile theft; 
           (iv) a plan for eliminating car hijacking; and 
           (v) an estimate of the funds required to implement the 
        plan; and 
           (5) distribute money, in consultation with the commissioner 
        of public safety, pursuant to subdivision 3 from the automobile 
        theft prevention special revenue account for automobile theft 
        prevention activities, including: 
           (i) paying the administrative costs of the program; 
           (ii) providing financial support to the State Patrol and 
        local law enforcement agencies for automobile theft enforcement 
        teams; 
           (iii) providing financial support to state or local law 
        enforcement agencies for programs designed to reduce the 
        incidence of automobile theft and for improved equipment and 
        techniques for responding to automobile thefts; 
           (iv) providing financial support to local prosecutors for 
        programs designed to reduce the incidence of automobile theft; 
           (v) providing financial support to judicial agencies for 
        programs designed to reduce the incidence of automobile theft; 
           (vi) providing financial support for neighborhood or 
        community organizations or business organizations for programs 
        designed to reduce the incidence of automobile theft and to 
        educate people about the common methods of automobile theft, the 
        models of automobiles most likely to be stolen, and the times 
        and places automobile theft is most likely to occur; and 
           (vii) providing financial support for automobile theft 
        educational and training programs for state and local law 
        enforcement officials, driver and vehicle services exam and 
        inspections staff, and members of the judiciary. 
           (b) The commissioner may not spend in any fiscal year more 
        than ten percent of the money in the fund for the program's 
        administrative and operating costs.  The commissioner is 
        annually appropriated and must distribute the amount of the 
        proceeds credited to the automobile theft prevention special 
        revenue account each year, less the transfer of $1,300,000 each 
        year to the general fund described in section 168A.40, 
        subdivision 4. 
           Sec. 2.  Minnesota Statutes 2002, section 299A.75, 
        subdivision 2, is amended to read: 
           Subd. 2.  [ANNUAL REPORT.] By January 15 of each year, the 
        commissioner shall report to the governor and legislature the 
        chairs and ranking minority members of the house and senate 
        committees having jurisdiction over the Departments of Commerce 
        and Public Safety on the activities and expenditures in the 
        preceding year. 
           Sec. 3.  Minnesota Statutes 2002, section 299A.75, 
        subdivision 3, is amended to read: 
           Subd. 3.  [GRANT CRITERIA; APPLICATION.] (a) A county 
        attorney's office, law enforcement agency, neighborhood 
        organization, community organization, or business organization 
        may apply for a grant under this section.  Multiple offices or 
        agencies within a county may apply for a grant under this 
        section. 
           (b) The commissioner, in consultation with the commissioner 
        of public safety, must develop criteria for the fair 
        distribution of grants from the automobile theft prevention 
        account that address the following factors: 
           (1) the number of reported automobile thefts per capita in 
        a city, county, or region, not merely the total number of 
        automobile thefts; 
           (2) the population of the jurisdiction of the applicant 
        office or agency; 
           (3) the total funds distributed within a county or region; 
        and 
           (4) the statewide interest in automobile theft reduction. 
           (c) The commissioner may give priority to: 
           (1) offices and agencies engaged in a collaborative effort 
        to reduce automobile theft; and 
           (2) counties or regions with the greatest rates of 
        automobile theft. 
           (d) The minimum amount of a grant award is $5,000.  After 
        considering the automobile theft rate and total population of an 
        applicant's jurisdiction, if a grant award, as determined under 
        the criteria and priorities in this subdivision, would be less 
        than $5,000, it must not be awarded. 
           Sec. 4.  [TRANSFER OF POWERS.] 
           The powers and duties of the Department of Public Safety 
        under Minnesota Statutes, section 299A.75, are transferred to 
        the Department of Commerce.  Minnesota Statutes, section 15.039, 
        applies to this transfer of powers. 
           Sec. 5.  [REVISOR INSTRUCTION.] 
           The revisor of statutes shall recodify Minnesota Statutes, 
        section 299A.75, into a chapter of Minnesota Statutes dealing 
        with the Department of Commerce. 
           Sec. 6.  [EFFECTIVE DATE.] 
           This article is effective July 1, 2004. 

                                   ARTICLE 3 
                           BARBERS AND COSMETOLOGISTS 
           Section 1.  Minnesota Statutes 2003 Supplement, section 
        116J.70, subdivision 2a, is amended to read: 
           Subd. 2a.  [LICENSE; EXCEPTIONS.] "Business license" or 
        "license" does not include the following:  
           (1) any occupational license or registration issued by a 
        licensing board listed in section 214.01 or any occupational 
        registration issued by the commissioner of health pursuant to 
        section 214.13; 
           (2) any license issued by a county, home rule charter city, 
        statutory city, township, or other political subdivision; 
           (3) any license required to practice the following 
        occupation regulated by the following sections:  
           (i) abstracters regulated pursuant to chapter 386; 
           (ii) accountants regulated pursuant to chapter 326A; 
           (iii) adjusters regulated pursuant to chapter 72B; 
           (iv) architects regulated pursuant to chapter 326; 
           (v) assessors regulated pursuant to chapter 270; 
           (vi) athletic trainers regulated pursuant to chapter 148; 
           (vii) attorneys regulated pursuant to chapter 481; 
           (viii) auctioneers regulated pursuant to chapter 330; 
           (ix) barbers and cosmetologists regulated pursuant to 
        chapter 154; 
           (x) beauticians regulated pursuant to chapter 155A; 
           (xi) boiler operators regulated pursuant to chapter 183; 
           (xii) (xi) chiropractors regulated pursuant to chapter 148; 
           (xiii) (xii) collection agencies regulated pursuant to 
        chapter 332; 
           (xiv) cosmetologists regulated pursuant to chapter 155A; 
           (xv) (xiii) dentists, registered dental assistants, and 
        dental hygienists regulated pursuant to chapter 150A; 
           (xvi) (xiv) detectives regulated pursuant to chapter 326; 
           (xvii) (xv) electricians regulated pursuant to chapter 326; 
           (xviii) (xvi) mortuary science practitioners regulated 
        pursuant to chapter 149A; 
           (xix) (xvii) engineers regulated pursuant to chapter 326; 
           (xx) (xviii) insurance brokers and salespersons regulated 
        pursuant to chapter 60A; 
           (xxi) (xix) certified interior designers regulated pursuant 
        to chapter 326; 
           (xxii) (xx) midwives regulated pursuant to chapter 147D; 
           (xxiii) (xxi) nursing home administrators regulated 
        pursuant to chapter 144A; 
           (xxiv) (xxii) optometrists regulated pursuant to chapter 
        148; 
           (xxv) (xxiii) osteopathic physicians regulated pursuant to 
        chapter 147; 
           (xxvi) (xxiv) pharmacists regulated pursuant to chapter 
        151; 
           (xxvii) (xxv) physical therapists regulated pursuant to 
        chapter 148; 
           (xxviii) (xxvi) physician assistants regulated pursuant to 
        chapter 147A; 
           (xxix) (xxvii) physicians and surgeons regulated pursuant 
        to chapter 147; 
           (xxx) (xxviii) plumbers regulated pursuant to chapter 326; 
           (xxxi) (xxix) podiatrists regulated pursuant to chapter 
        153; 
           (xxxii) (xxx) practical nurses regulated pursuant to 
        chapter 148; 
           (xxxiii) (xxxi) professional fund-raisers regulated 
        pursuant to chapter 309; 
           (xxxiv) (xxxii) psychologists regulated pursuant to chapter 
        148; 
           (xxxv) (xxxiii) real estate brokers, salespersons, and 
        others regulated pursuant to chapters 82 and 83; 
           (xxxvi) (xxxiv) registered nurses regulated pursuant to 
        chapter 148; 
           (xxxvii) (xxxv) securities brokers, dealers, agents, and 
        investment advisers regulated pursuant to chapter 80A; 
           (xxxviii) (xxxvi) steamfitters regulated pursuant to 
        chapter 326; 
           (xxxix) (xxxvii) teachers and supervisory and support 
        personnel regulated pursuant to chapter 125; 
           (xl) (xxxviii) veterinarians regulated pursuant to chapter 
        156; 
           (xli) (xxxix) water conditioning contractors and installers 
        regulated pursuant to chapter 326; 
           (xlii) (xl) water well contractors regulated pursuant to 
        chapter 103I; 
           (xliii) (xli) water and waste treatment operators regulated 
        pursuant to chapter 115; 
           (xliv) (xlii) motor carriers regulated pursuant to chapter 
        221; 
           (xlv) (xliii) professional firms regulated under chapter 
        319B; 
           (xlvi) (xliv) real estate appraisers regulated pursuant to 
        chapter 82B; 
           (xlvii) (xlv) residential building contractors, residential 
        remodelers, residential roofers, manufactured home installers, 
        and specialty contractors regulated pursuant to chapter 326; 
           (xlviii) (xlvi) licensed professional counselors regulated 
        pursuant to chapter 148B; 
           (4) any driver's license required pursuant to chapter 171; 
           (5) any aircraft license required pursuant to chapter 360; 
           (6) any watercraft license required pursuant to chapter 
        86B; 
           (7) any license, permit, registration, certification, or 
        other approval pertaining to a regulatory or management program 
        related to the protection, conservation, or use of or 
        interference with the resources of land, air, or water, which is 
        required to be obtained from a state agency or instrumentality; 
        and 
           (8) any pollution control rule or standard established by 
        the Pollution Control Agency or any health rule or standard 
        established by the commissioner of health or any licensing rule 
        or standard established by the commissioner of human services. 
           Sec. 2.  Minnesota Statutes 2002, section 154.01, is 
        amended to read: 
           154.01 [REGISTRATION MANDATORY.] 
           (a) No person shall practice, offer to practice, or attempt 
        to practice barbering without a current certificate of 
        registration as a registered barber, issued pursuant to 
        provisions of this chapter sections 154.01 to 154.26 by the 
        Board of Barber and Cosmetologist Examiners.  
           (b) No person shall serve, offer to serve, or attempt to 
        serve as an apprentice under a registered barber without a 
        current certificate of registration as a registered apprentice 
        or temporary apprentice permit issued pursuant to provisions of 
        this chapter sections 154.01 to 154.26 by the Board of Barber 
        and Cosmetologist Examiners.  The registered apprentice shall, 
        prior to or immediately upon issuance of the apprentice's 
        certificate of registration, and immediately after changing 
        employment, advise the board of the name, address, and 
        certificate number of the registered barber under whom the 
        registered apprentice is working.  
           (c) No person shall operate a barber shop unless it is at 
        all times under the direct supervision and management of a 
        registered barber and the owner or operator of the barber shop 
        possesses a current shop registration card, issued under this 
        chapter sections 154.01 to 154.26 by the Board of Barber and 
        Cosmetologist Examiners.  
           (d) No person shall serve, offer to serve, or attempt to 
        serve as an instructor of barbering without a current 
        certificate of registration as a registered instructor of 
        barbering or a temporary permit as an instructor of barbering, 
        as provided for the board by rule, issued under this chapter 
        sections 154.01 to 154.26 by the Board of Barber and 
        Cosmetologist Examiners. 
           (e) No person shall operate a barber school unless the 
        owner or operator possesses a current certificate of 
        registration as a barber school, issued under this chapter 
        sections 154.01 to 154.26 by the Board of Barber and 
        Cosmetologist Examiners. 
           Sec. 3.  Minnesota Statutes 2002, section 154.02, is 
        amended to read: 
           154.02 [WHAT CONSTITUTES BARBERING.] 
           Any one or any combination of the following practices when 
        done upon the head and neck for cosmetic purposes and not for 
        the treatment of disease or physical or mental ailments and when 
        done for payment directly or indirectly or without payment for 
        the public generally constitutes the practice of barbering 
        within the meaning of this chapter sections 154.01 to 154.26:  
        to shave, trim the beard, cut or bob the hair of any person of 
        either sex for compensation or other reward received by the 
        person performing such service or any other person; to give 
        facial and scalp massage or treatments with oils, creams, 
        lotions, or other preparations either by hand or mechanical 
        appliances; to singe, shampoo the hair, or apply hair tonics; or 
        to apply cosmetic preparations, antiseptics, powders, oils, 
        clays, or lotions to scalp, face, or neck.  
           Sec. 4.  Minnesota Statutes 2002, section 154.03, is 
        amended to read: 
           154.03 [APPRENTICES MAY BE EMPLOYED.] 
           A registered apprentice may practice barbering only if the 
        registered apprentice is, at all times, under the immediate 
        personal supervision of a registered barber and is in compliance 
        with this chapter sections 154.01 to 154.26 and the rules of the 
        board.  
           Sec. 5.  Minnesota Statutes 2002, section 154.04, is 
        amended to read: 
           154.04 [PERSONS EXEMPT FROM REGISTRATION.] 
           The following persons are exempt from the provisions of 
        this chapter sections 154.01 to 154.26 while in the proper 
        discharge of their professional duties: 
           (1) persons authorized by the law of this state to practice 
        medicine, surgery, osteopathy, and chiropractic; 
           (2) commissioned medical or surgical officers of the United 
        States armed services; 
           (3) registered nurses, licensed practical nurses, and 
        nursing aides performing services under the direction and 
        supervision of a registered nurse, provided, however, that no 
        additional compensation shall be paid for such service and 
        patients who are so attended shall not be charged for barbering; 
           (4) persons practicing beauty culture cosmetologists, 
        provided, however, that persons practicing beauty culture 
        cosmetologists shall not hold themselves out as barbers or, 
        except in the case of manicurists, practice their occupation in 
        a barber shop; and 
           (5) persons who perform barbering services for charitable 
        purposes in nursing homes, shelters, missions, or other similar 
        facilities, provided, however, that no direct or indirect 
        compensation is received for the services, and that persons who 
        receive barbering services are not charged for the services. 
           Sec. 6.  Minnesota Statutes 2002, section 154.06, is 
        amended to read: 
           154.06 [WHO MAY RECEIVE CERTIFICATES OF REGISTRATION AS A 
        REGISTERED APPRENTICE.] 
           A person is qualified to receive a certificate of 
        registration as a registered apprentice: 
           (1) who has completed at least ten grades of an approved 
        school; 
           (2) who has graduated from a barber school approved by the 
        board; and 
           (3) who has passed an examination conducted by the board to 
        determine fitness to practice as a registered apprentice.  
           An applicant for a certificate of registration to practice 
        as an apprentice who fails to pass the examination conducted by 
        the board is required to complete a further course of study of 
        at least 500 hours, of not more than eight hours in any one 
        working day, in a barber school approved by the board.  
           A certificate of registration of an apprentice shall be 
        valid for four years from the date the certificate of 
        registration is issued by the board and shall not be renewed.  
        During such the four-year period the certificate of registration 
        shall remain in full force and effect only if the apprentice 
        complies with all the provisions of this chapter, as 
        amended sections 154.01 to 154.26, including the payment of an 
        annual fee, and the rules of the board.  
           If any a registered apprentice shall, during the term in 
        which the certificate of registration is in effect, enter full 
        time enters full-time active duty in the armed forces of the 
        United States of America, the expiration date of the certificate 
        of registration shall be extended by a period of time equal to 
        the period or periods of active duty.  
           Sec. 7.  Minnesota Statutes 2002, section 154.07, as 
        amended by Laws 2003, chapter 130, section 12, is amended to 
        read: 
           154.07 [BARBER SCHOOLS; REQUIREMENTS.] 
           Subdivision 1.  [ADMISSION REQUIREMENTS; COURSE OF 
        INSTRUCTION.] No barber school shall be approved by the board 
        unless it requires, as a prerequisite to admission thereto, ten 
        grades of an approved school or its equivalent, as determined by 
        an examination conducted by the commissioner of education, which 
        shall issue a certificate that the student has passed the 
        required examination, and unless it requires, as a prerequisite 
        to graduation, a course of instruction of at least 1,500 hours, 
        of not more than eight hours in any one working day; such.  The 
        course of instruction to must include the following subjects:  
        scientific fundamentals for barbering,; hygiene,; practical 
        study of the hair, skin, muscles, and nerves,; structure of the 
        head, face, and neck,; elementary chemistry relating to 
        sterilization and antiseptics; diseases of the skin, hair, and 
        glands,; massaging and manipulating the muscles of the face and 
        neck,; haircutting,; shaving, and; trimming the beard; 
        bleaching, tinting and dyeing the hair,; and the chemical 
        straightening of hair. 
           Subd. 3.  [COSTS.] It shall be is permissible for barber 
        schools to make a reasonable charge for materials used and 
        services rendered by students for work done in such the schools 
        by students. 
           Subd. 3a.  [NUMBER OF INSTRUCTORS.] There shall must be one 
        registered instructor of barbering for every 17 students or 
        minor fraction in excess of 17.  No Instruction shall must not 
        be performed by persons not possessing a certificate of 
        registration as an instructor of barbering or a temporary permit 
        as an instructor of barbering. 
           Subd. 4.  [BUILDING REQUIREMENTS.] Each barber school shall 
        must be conducted and operated in one building, or in connecting 
        buildings, and no a barber school shall must not have any 
        department or branch in a building completely separated or 
        removed from the remainder of the barber school. 
           Subd. 5.  [OWNER'S REQUIREMENTS.] Any person may own and 
        operate a barber school if the person has had six years' 
        continuous experience as a barber, provided the person first 
        secures from the board an annual certificate of registration as 
        a barber school, keeps it prominently displayed, and before 
        commencing business: 
           (1) files with the secretary of state a bond to the state 
        approved by the attorney general in the sum of $25,000, 
        conditioned upon the faithful compliance of the barber school 
        with all the provisions herein sections 154.01 to 154.26, and to 
        pay all judgments that may be obtained against the school, or 
        the owners thereof, on account of fraud, misrepresentation, or 
        deceit practiced by them or their agents; and 
           (2) keeps prominently displayed on the exterior a 
        substantial sign indicating that the establishment is a barber 
        school. 
           Subd. 5a.  [STUDENT PERMITS.] All barber schools upon 
        receiving students shall immediately apply to the board for 
        student permits upon forms for that purpose furnished by the 
        board. 
           Subd. 5b.  [DESIGNATED OPERATOR.] When a person who owns a 
        barber school does not meet the requirements of this section to 
        operate a barber school, the owner shall notify the board in 
        writing and under oath of the identity of the person designated 
        to operate the barber school and shall notify the board of any 
        change of operator by telephone within 24 hours of such change, 
        exclusive of Saturdays, Sundays, and legal holidays, and shall 
        notify the board in writing and under oath within 72 hours of 
        such change. 
           Subd. 6.  [OPERATION BY TECHNICAL COLLEGE OR STATE 
        INSTITUTION.] A public technical college or a state institution 
        may operate a barber school provided it has in its employment a 
        qualified instructor holding a current certificate of 
        registration as a barber instructor and provided that it secures 
        from the board of Barber Examiners an annual certificate of 
        registration and does so in accordance with this chapter 
        sections 154.01 to 154.26 and the rules of the board for barber 
        schools but without the requirement to file a performance bond 
        with the secretary of state. 
           Sec. 8.  Minnesota Statutes 2002, section 154.08, is 
        amended to read: 
           154.08 [APPLICATION; FEE.] 
           Each applicant for an examination shall: 
           (1) make application to the Board of Barber and 
        Cosmetologist Examiners on blank forms prepared and furnished by 
        it, such the application to contain proof under the applicant's 
        oath of the particular qualifications of the applicant; 
           (2) furnish to the board two five inch x three inch signed 
        photographs of the applicant, one to accompany the application 
        and one to be returned to the applicant, to be presented to the 
        board when the applicant appears for examination; and 
           (3) pay to the board the required fee.  
           Sec. 9.  Minnesota Statutes 2002, section 154.11, is 
        amended to read: 
           154.11 [EXAMINATION OF NONRESIDENT BARBERS AND INSTRUCTORS 
        OF BARBERING; TEMPORARY APPRENTICE PERMITS.] 
           Subdivision 1.  [EXAMINATION OF NONRESIDENTS.] A person who 
        meets all of the requirements for licensure barber registration 
        in this chapter sections 154.01 to 154.26 and either has a 
        license, certificate of registration, or an equivalent as a 
        practicing barber or instructor of barbering from another state 
        or country which in the discretion of the board has 
        substantially the same requirements for licensing or registering 
        barbers and instructors of barbering as required by this chapter 
        sections 154.01 to 154.26 or can prove by sworn affidavits 
        practice as a barber or instructor of barbering in another state 
        or country for at least five years immediately prior to making 
        application in this state, shall, upon payment of the required 
        fee, be issued a certificate of registration without 
        examination, provided that the other state or country grants the 
        same privileges to holders of Minnesota certificates of 
        registration. 
           Subd. 2.  [TEMPORARY APPRENTICE PERMITS FOR NONRESIDENTS.] 
        Any person who qualifies for examination as a registered barber 
        under this section may apply for a temporary apprentice permit 
        which is effective no longer than six months.  All persons 
        holding a temporary apprentice permit are subject to all 
        provisions of this chapter sections 154.01 to 154.26 and the 
        rules adopted by the board under it those sections concerning 
        the conduct and obligations of registered apprentices. 
           Sec. 10.  Minnesota Statutes 2002, section 154.12, is 
        amended to read: 
           154.12 [EXAMINATION OF NONRESIDENT APPRENTICES.] 
           A person who meets all of the requirements for licensure 
        registration as a barber in this chapter sections 154.01 to 
        154.26 and who has a license, a certificate of registration, or 
        their its equivalent as an apprentice in a state or country 
        which in the discretion of the board has substantially the same 
        requirements for registration as an apprentice as is provided by 
        this chapter sections 154.01 to 154.26, shall, upon payment of 
        the required fee, be issued a certificate of registration 
        without examination, provided that the other state or country 
        grants the same privileges to holders of Minnesota certificates 
        of registration. 
           Sec. 11.  Minnesota Statutes 2002, section 154.161, 
        subdivision 2, is amended to read: 
           Subd. 2.  [LEGAL ACTIONS.] (a) When necessary to prevent an 
        imminent violation of a statute, rule, or order that the board 
        has adopted or issued or is empowered to enforce, the board, or 
        a complaint committee if authorized by the board, may bring an 
        action in the name of the state in the District Court of Ramsey 
        County in which jurisdiction is proper to enjoin the act or 
        practice and to enforce compliance with the statute, rule, or 
        order.  On a showing that a person has engaged in or is about to 
        engage in an act or practice that constitutes a violation of a 
        statute, rule, or order that the board has adopted or issued or 
        is empowered to enforce, the court shall grant a permanent or 
        temporary injunction, restraining order, or other appropriate 
        relief. 
           (b) For purposes of injunctive relief under this 
        subdivision, irreparable harm exists when the board shows that a 
        person has engaged in or is about to engage in an act or 
        practice that constitutes violation of a statute, rule, or order 
        that the board has adopted or issued or is empowered to enforce. 
           (c) Injunctive relief granted under paragraph (a) does not 
        relieve an enjoined person from criminal prosecution by a 
        competent authority, or from action by the board under 
        subdivision 3, 4, 5, or 6 with respect to the person's 
        license registration, certificate, or application for 
        examination, license registration, or renewal. 
           Sec. 12.  Minnesota Statutes 2002, section 154.161, 
        subdivision 4, is amended to read: 
           Subd. 4.  [LICENSE REGISTRATION ACTIONS.] (a) With respect 
        to a person who is a holder of or applicant for a licensee 
        registration or a shop registration card under this chapter 
        sections 154.01 to 154.26, the board may by order deny, refuse 
        to renew, suspend, temporarily suspend, or revoke the 
        application, certificate of registration, or shop registration 
        card, censure or reprimand the person, refuse to permit the 
        person to sit for examination, or refuse to release the person's 
        examination grades, if the board finds that such an order is in 
        the public interest and that, based on a preponderance of the 
        evidence presented, the person has: 
           (1) violated a statute, rule, or order that the board has 
        adopted or issued or is empowered to enforce; 
           (2) engaged in conduct or acts that are fraudulent, 
        deceptive, or dishonest, whether or not the conduct or acts 
        relate to the practice of barbering, if the fraudulent, 
        deceptive, or dishonest conduct or acts reflect adversely on the 
        person's ability or fitness to engage in the practice of 
        barbering; 
           (3) engaged in conduct or acts that constitute malpractice, 
        are negligent, demonstrate incompetence, or are otherwise in 
        violation of the standards in the rules of the board, where the 
        conduct or acts relate to the practice of barbering; 
           (4) employed fraud or deception in obtaining a certificate 
        of registration, shop registration card, renewal, or 
        reinstatement, or in passing all or a portion of the 
        examination; 
           (5) had a certificate of registration or shop registration 
        card, right to examine, or other similar authority revoked in 
        another jurisdiction; 
           (6) failed to meet any requirement for issuance or renewal 
        of the person's certificate of registration or shop registration 
        card; 
           (7) practiced as a barber while having an infectious or 
        contagious disease; 
           (8) advertised by means of false or deceptive statements; 
           (9) demonstrated intoxication or indulgence in the use of 
        drugs, including but not limited to narcotics as defined in 
        section 152.01 or in United States Code, title 26, section 4731, 
        barbiturates, amphetamines, benzedrine, dexedrine, or other 
        sedatives, depressants, stimulants, or tranquilizers; 
           (10) demonstrated unprofessional conduct or practice; 
           (11) permitted an employee or other person under the 
        person's supervision or control to practice as a registered 
        barber, registered apprentice, or registered instructor of 
        barbering unless that person has (i) a current certificate of 
        registration as a registered barber, registered apprentice, or 
        registered instructor of barbering, (ii) a temporary apprentice 
        permit, or (iii) a temporary permit as an instructor of 
        barbering; 
           (12) practices, offered to practice, or attempted to 
        practice by misrepresentation; 
           (13) failed to display a certificate of registration as 
        required by section 154.14; 
           (14) used any room or place of barbering that is also used 
        for any other purpose, or used any room or place of barbering 
        that violates the board's rules governing sanitation; 
           (15) in the case of a barber, apprentice, or other person 
        working in or in charge of any barber shop, or any person in a 
        barber school engaging in the practice of barbering, failed to 
        use separate and clean towels for each customer or patron, or to 
        discard and launder each towel after being used once; 
           (16) in the case of a barber or other person in charge of 
        any barber shop or barber school, (i) failed to supply in a 
        sanitary manner clean hot and cold water in quantities necessary 
        to conduct the shop or barbering service for the school, (ii) 
        failed to have water and sewer connections from the shop or 
        barber school with municipal water and sewer systems where they 
        are available for use, or (iii) failed or refused to maintain a 
        receptacle for hot water of a capacity of at least five gallons; 
           (17) refused to permit the board to make an inspection 
        permitted or required by this chapter sections 154.01 to 154.26, 
        or failed to provide the board or the attorney general on behalf 
        of the board with any documents or records they request; 
           (18) failed promptly to renew a certificate of registration 
        or shop registration card when remaining in practice, pay the 
        required fee, or issue a worthless check; 
           (19) failed to supervise a registered apprentice or 
        temporary apprentice, or permitted the practice of barbering by 
        a person not registered with the board or not holding a 
        temporary permit; 
           (20) refused to serve a customer because of race, color, 
        creed, religion, disability, national origin, or sex; 
           (21) failed to comply with a provision of chapter 141 or a 
        provision of another chapter that relates to barber schools; or 
           (22) with respect to temporary suspension orders, has 
        committed an act, engaged in conduct, or committed practices 
        that the board, or complaint committee if authorized by the 
        board, has determined may result or may have resulted in an 
        immediate threat to the public. 
           (b) In lieu of or in addition to any remedy under paragraph 
        (a), the board may as a condition of continued registration, 
        termination of suspension, reinstatement of registration, 
        examination, or release of examination results, require that the 
        person: 
           (1) submit to a quality review of the person's ability, 
        skills, or quality of work, conducted in a manner and by a 
        person or entity that the board determines; or 
           (2) complete to the board's satisfaction continuing 
        education as the board requires. 
           (c) Service of an order under this subdivision is effective 
        if the order is served personally on, or is served by certified 
        mail to the most recent address provided to the board by, the 
        licensee, certificate holder, applicant, or counsel of record.  
        The order must state the reason for the entry of the order. 
           (d) Except as provided in subdivision 5, paragraph (c), all 
        hearings under this subdivision must be conducted in accordance 
        with the Administrative Procedure Act. 
           Sec. 13.  Minnesota Statutes 2002, section 154.161, 
        subdivision 5, is amended to read: 
           Subd. 5.  [TEMPORARY SUSPENSION.] (a) When the board, or 
        complaint committee if authorized by the board, issues a 
        temporary suspension order, the suspension provided for in the 
        order is effective on service of a written copy of the order on 
        the licensee, certificate holder, or counsel of record.  The 
        order must specify the statute, rule, or order violated by the 
        licensee or certificate holder.  The order remains in effect 
        until the board issues a final order in the matter after a 
        hearing, or on agreement between the board and the licensee or 
        certificate holder. 
           (b) An order under this subdivision may (1) prohibit the 
        licensee or certificate holder from engaging in the practice of 
        barbering in whole or in part, as the facts require, and (2) 
        condition the termination of the suspension on compliance with a 
        statute, rule, or order that the board has adopted or issued or 
        is empowered to enforce.  The order must state the reasons for 
        entering the order and must set forth the right to a hearing as 
        provided in this subdivision. 
           (c) Within ten days after service of an order under this 
        subdivision the licensee or certificate holder may request a 
        hearing in writing.  The board must hold a hearing before its 
        own members within five working days of the request for a 
        hearing.  The sole issue at such a hearing must be whether there 
        is a reasonable basis to continue, modify, or terminate the 
        temporary suspension.  The hearing is not subject to the 
        Administrative Procedure Act.  Evidence presented to the board 
        or the licensee or certificate holder may be in affidavit form 
        only.  The licensee, certificate holder, or counsel of record 
        may appear for oral argument. 
           (d) Within five working days after the hearing, the board 
        shall issue its order and, if the order continues the 
        suspension, shall schedule a contested case hearing within 30 
        days of the issuance of the order.  Notwithstanding any rule to 
        the contrary, the administrative law judge shall issue a report 
        within 30 days after the closing of the contested case hearing 
        record.  The board shall issue a final order within 30 days of 
        receiving the report. 
           Sec. 14.  Minnesota Statutes 2002, section 154.161, 
        subdivision 7, is amended to read: 
           Subd. 7.  [REINSTATEMENT.] The board may reinstate a 
        suspended, revoked, or surrendered certificate of registration 
        or shop registration card, on petition of the former or 
        suspended registrant.  The board may in its sole discretion 
        place any conditions on reinstatement of a suspended, revoked, 
        or surrendered certificate of registration or shop registration 
        card that it finds appropriate and necessary to ensure that the 
        purposes of this chapter sections 154.01 to 154.26 are met.  No 
        certificate of registration or shop registration card may be 
        reinstated until the former registrant has completed at least 
        one-half of the suspension period. 
           Sec. 15.  Minnesota Statutes 2002, section 154.18, is 
        amended to read: 
           154.18 [FEES.] 
           (a) The fees collected, as required in this chapter, 
        chapter 214, and the rules of the board, shall be paid in 
        advance by September 1 of the year in which they are due to the 
        executive secretary of the board.  The executive secretary shall 
        deposit the fees in the general fund in the state treasury, to 
        be disbursed by the executive secretary on the order of the 
        chair in payment of expenses lawfully incurred by the board. 
           (b) The board shall charge the following fees:  
           (1) examination and certificate, registered barber, $65; 
           (2) examination and certificate, apprentice, $60; 
           (3) examination, instructor, $160; 
           (4) certificate, instructor, $45; 
           (5) temporary teacher or apprentice permit, $50; 
           (6) renewal of license, registered barber, $50; 
           (7) renewal of license, apprentice, $45; 
           (8) renewal of license, instructor, $60; 
           (9) renewal of temporary teacher permit, $35; 
           (10) student permit, $25; 
           (11) initial shop registration, $60; 
           (12) initial school registration, $1,010; 
           (13) renewal shop registration, $60; 
           (14) renewal school registration, $260; 
           (15) restoration of registered barber license, $75; 
           (16) restoration of apprentice license, $70; 
           (17) restoration of shop registration, $85; 
           (18) change of ownership or location, $35; 
           (19) duplicate license, $20; and 
           (20) home study course, $75. 
           Sec. 16.  Minnesota Statutes 2002, section 154.19, is 
        amended to read: 
           154.19 [VIOLATIONS.] 
           Each of the following constitutes a misdemeanor: 
           (1) The violation of any of the provisions of section 
        154.01; 
           (2) Permitting any person in one's employ, supervision, or 
        control to practice as a registered barber or registered 
        apprentice unless that person has a certificate of registration 
        as a registered barber or registered apprentice; 
           (3) Obtaining or attempting to obtain a certificate of 
        registration for money other than the required fee, or any other 
        thing of value, or by fraudulent misrepresentation; 
           (4) Practicing or attempting to practice by fraudulent 
        misrepresentation; 
           (5) The willful failure to display a certificate of 
        registration as required by section 154.14; 
           (6) The use of any room or place for barbering which is 
        also used for residential or business purposes, except the sale 
        of hair tonics, lotions, creams, cutlery, toilet articles, 
        cigars, tobacco, candies in original package, and such 
        commodities as are used and sold in barber shops, and except 
        that shoe-shining and an agency for the reception and delivery 
        of laundry, or either, may be conducted in a barber shop without 
        the same being construed as a violation of this section, unless 
        a substantial partition of ceiling height separates the portion 
        used for residential or business purposes, and where a barber 
        shop is situated in a residence, poolroom, confectionery, store, 
        restaurant, garage, clothing store, liquor store, hardware 
        store, or soft drink parlor, there must be an outside entrance 
        leading into the barber shop independent of any entrance leading 
        into such business establishment, except that this provision as 
        to an outside entrance shall not apply to barber shops in 
        operation at the time of the passage of this chapter section and 
        except that a barber shop and beauty parlor may be operated in 
        conjunction, without the same being separated by partition of 
        ceiling height; 
           (7) The failure or refusal of any barber or other person in 
        charge of any barber shop, or any person in barber schools or 
        colleges doing barber service work, to use separate and clean 
        towels for each customer or patron, or to discard and launder 
        each towel after once being used; 
           (8) The failure or refusal by any barber or other person in 
        charge of any barber shop or barber school or barber college to 
        supply clean hot and cold water in such quantities as may be 
        necessary to conduct such shop, or the barbering service of such 
        school or college, in a sanitary manner, or the failure or 
        refusal of any such person to have water and sewer connections 
        from such shop, or barber school or college, with municipal 
        water and sewer systems where the latter are available for use, 
        or the failure or refusal of any such person to maintain a 
        receptacle for hot water of a capacity of not less than five 
        gallons; 
           (9) For the purposes of this chapter sections 154.01 to 
        154.26, barbers, students, apprentices, or the proprietor or 
        manager of a barber shop, or barber school or barber college, 
        shall be responsible for all violations of the sanitary 
        provisions of this chapter sections 154.01 to 154.26, and if any 
        barber shop, or barber school or barber college, upon 
        inspection, shall be found to be in an unsanitary condition, the 
        person making such inspection shall immediately issue an order 
        to place the barber shop, or barber school, or barber college, 
        in a sanitary condition, in a manner and within a time 
        satisfactory to the Board of Barber and Cosmetologist Examiners, 
        and for the failure to comply with such order the board shall 
        immediately file a complaint for the arrest of the persons upon 
        whom the order was issued, and any licensed registered barber 
        who shall fail to comply with the rules adopted by the Board of 
        Barber and Cosmetologist Examiners, with the approval of the 
        state commissioner of health, or the violation or commission of 
        any of the offenses described in section 154.16, clauses (1), 
        (2), (3), (4), (5), (6), (7), (8), (9), and of clauses (1), (2), 
        (3), (4), (5), (6), (7), (8), and (9) of this section, shall be 
        fined not less than $10 or imprisoned for ten days and not more 
        than $100 or imprisoned for 90 days. 
           Sec. 17.  Minnesota Statutes 2002, section 154.21, is 
        amended to read: 
           154.21 [PERJURY.] 
           The willful making of any false statement as to a material 
        matter in any oath or affidavit which is required by the 
        provisions of this chapter sections 154.01 to 154.26 is perjury 
        and punishable as such.  
           Sec. 18.  Minnesota Statutes 2002, section 154.22, is 
        amended to read: 
           154.22 [BOARD OF BARBER AND COSMETOLOGIST EXAMINERS 
        CREATED; TERMS.] 
           (a) A Board of Barber and Cosmetologist Examiners is 
        established to consist of four three barber members, three 
        cosmetologist members, and one public member, as defined in 
        section 214.02, appointed by the governor.  Three of such 
           (b) The barber members shall be persons who have practiced 
        as a registered barber barbers in this state for at least five 
        years immediately prior to their appointment; shall be graduates 
        from the 12th grade of a high school or have equivalent 
        education, and shall have knowledge of the matters to be taught 
        in registered barber schools, as set forth in section 
        154.07.  The remaining member of the board shall be a public 
        member as defined by section 214.02.  One of the members shall 
        be a member of, or recommended by, a union of journeymen barbers 
        which shall have that has existed at least two years, and one 
        shall be a member of, or recommended by, a professional 
        organization of barbers. 
           (c) All members must be currently licensed in the state of 
        Minnesota, have practiced in the licensed occupation for at 
        least five years immediately prior to their appointment, be 
        graduates from the 12th grade of high school or have equivalent 
        education, and have knowledge of sections 155A.01 to 155A.16 and 
        Minnesota Rules, chapters 2642 and 2644.  The members shall be 
        members of, or recommended by, a professional organization of 
        cosmetologists, manicurists, or estheticians. 
           (d) Membership terms, compensation of members, removal of 
        members, the filling of membership vacancies, and fiscal year 
        and reporting requirements shall be as provided in sections 
        214.07 to 214.09.  The provision of staff, administrative 
        services and office space; the review and processing of 
        complaints; the setting of board fees; and other provisions 
        relating to board operations shall be as provided in chapter 214.
           (e) Members appointed to fill vacancies caused by death, 
        resignation, or removal shall serve during the unexpired term of 
        their predecessors. 
           (f) The barber members of the board shall separately 
        oversee administration, enforcement, and regulation of, and 
        adoption of rules under, sections 154.01 to 154.26.  The 
        cosmetologist members of the board shall separately oversee 
        administration, enforcement, and regulation of, and adoption of 
        rules under, sections 155A.01 to 155A.16.  Staff hired by the 
        board, including inspectors, shall serve both professions. 
           Sec. 19.  Minnesota Statutes 2002, section 154.23, is 
        amended to read: 
           154.23 [OFFICERS; COMPENSATION; FEES; EXPENSES.] 
           The Board of Barber and Cosmetologist Examiners shall 
        annually elect a chair and secretary.  It shall adopt and use a 
        common seal for the authentication of its orders and records.  
        The board shall appoint an executive secretary who shall not be 
        a member of the board and who shall be in the unclassified civil 
        service. 
           The executive secretary shall keep a record of all 
        proceedings of the board.  The expenses of administering 
        sections 154.01 to 154.26 this chapter shall be paid from the 
        appropriations made to the Board of Barber and Cosmetologist 
        Examiners. 
           Each member of the board shall take the oath provided by 
        law for public officers. 
           A majority of the board, in meeting assembled, may perform 
        and exercise all the duties and powers devolving upon the board. 
           The members of the board shall receive compensation for 
        each day spent on board activities, but not to exceed 20 days in 
        any calendar month nor 100 days in any calendar year. 
           The board shall have authority to employ such inspectors, 
        clerks, deputies, and other assistants as it may deem necessary 
        to carry out the provisions of this chapter. 
           Sec. 20.  Minnesota Statutes 2002, section 154.24, is 
        amended to read: 
           154.24 [RULES.] 
           The Board of Barber and Cosmetologist Examiners shall have 
        authority to make reasonable rules for the administration of the 
        provisions of this chapter sections 154.01 to 154.26 and 
        prescribe sanitary requirements for barber shops and barber 
        schools, subject to the approval of the state commissioner of 
        health.  Any member of the board, or its agents or assistants, 
        shall have authority to enter upon and to inspect any barber 
        shop or barber school at any time during business hours.  A copy 
        of the rules adopted by the board shall be furnished by it to 
        the owner or manager of each barber shop or barber school and 
        such copy shall be posted in a conspicuous place in such barber 
        shop or barber school. 
           The board shall keep a record of its proceedings relating 
        to the issuance, refusal, renewal, suspension, and revocation of 
        certificates of registration.  This record shall contain the 
        name, place of business and residence of each registered barber 
        and registered apprentice, and the date and number of the 
        certificate of registration.  This record shall be open to 
        public inspection at all reasonable times. 
           Sec. 21.  Minnesota Statutes 2002, section 154.25, is 
        amended to read: 
           154.25 [NOT TO SERVE CERTAIN PERSONS.] 
           No person practicing the occupation of a barber in any 
        barber shop, barber school, or college in this state shall 
        knowingly serve a person afflicted, in a dangerous or infectious 
        state of the disease, with erysipelas, eczema, impetigo, 
        sycosis, tuberculosis, or any other contagious or infectious 
        disease.  Any person so afflicted is hereby prohibited from 
        being served in any barber shop, barber school, or college in 
        this state.  Any violation of this section shall be considered a 
        misdemeanor as provided for in this chapter sections 154.01 to 
        154.26.  
           Sec. 22.  Minnesota Statutes 2002, section 155A.01, is 
        amended to read: 
           155A.01 [POLICY.] 
           The legislature finds that the health and safety of the 
        people of the state are served by the licensing of the practice 
        of cosmetology because of the use of chemicals, apparatus, and 
        other appliances requiring special skills and education.  
           To this end, the public will best be served by vesting 
        these responsibilities in the commissioner of commerce Board of 
        Barber and Cosmetologist Examiners. 
           Sec. 23.  Minnesota Statutes 2002, section 155A.02, is 
        amended to read: 
           155A.02 [PROHIBITION; LIMITATION.] 
           It shall be unlawful for any person to engage in 
        cosmetology, or to conduct or operate a cosmetology school or 
        salon, except as hereinafter provided in sections 155A.03 to 
        155A.16.  
           Sec. 24.  Minnesota Statutes 2002, section 155A.03, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [TERMS.] For purposes of this chapter 
        sections 155A.03 to 155A.26, and unless the context clearly 
        requires otherwise, the words defined in this section have the 
        meanings given them.  
           Sec. 25.  Minnesota Statutes 2002, section 155A.03, is 
        amended by adding a subdivision to read: 
           Subd. 1a.  [BOARD.] "Board" means the Board of Barber and 
        Cosmetologist Examiners. 
           Sec. 26.  Minnesota Statutes 2002, section 155A.03, 
        subdivision 2, is amended to read: 
           Subd. 2.  [COSMETOLOGY.] "Cosmetology" is the practice of 
        personal services, for compensation, for the cosmetic care of 
        the hair, nails, and skin.  These services include cleaning, 
        conditioning, shaping, reinforcing, coloring and enhancing the 
        body surface in the areas of the head, scalp, face, arms, hands, 
        legs, and feet, except where these services are performed by a 
        licensed barber under chapter 154 sections 154.01 to 154.26.  
           Sec. 27.  Minnesota Statutes 2002, section 155A.03, is 
        amended by adding a subdivision to read: 
           Subd. 4a.  [LICENSED PRACTICE.] "Licensed practice" means 
        the practice of cosmetology in a licensed salon or the practice 
        of an esthetician in a licensed physician's office. 
           Sec. 28.  Minnesota Statutes 2002, section 155A.03, 
        subdivision 7, is amended to read: 
           Subd. 7.  [SALON.] A "salon" is an area, room, or rooms 
        employed to offer personal services, as defined in subdivision 2.
        "Salon" does not include the home of a customer but the 
        commissioner board may adopt health and sanitation rules 
        governing practice in the homes of customers.  
           Sec. 29.  Minnesota Statutes 2002, section 155A.045, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [SCHEDULE.] The fee schedule for licensees 
        is as follows: 
           (a) Three-year license fees: 
           (1) cosmetologist, manicurist, esthetician, $45 $90 for 
        each initial license, and $30 $60 for each renewal; 
           (2) instructor, manager, $60 $120 for each initial license, 
        and $45 $90 for each renewal; 
           (3) licensed physician's office, $130 for each initial 
        license, and $100 for each renewal; 
           (4) salon, $65 $130 for each initial license, and 
        $50 $100 for each renewal; and 
           (4) (5) school, $750 $1,500. 
           (b) Penalties: 
           (1) reinspection fee, variable; and 
           (2) manager with lapsed practitioner, $25. 
           (c) Administrative fees: 
           (1) certificate of identification, $20; and 
           (2) school original application, $150. 
           (d) All fees established in this subdivision must be paid 
        to the executive secretary of the board on or before September 1 
        of the year in which they become due.  The executive secretary 
        of the board shall deposit the fees in the general fund in the 
        state treasury, to be disbursed by the executive secretary on 
        the order of the chair in payment of expenses lawfully incurred 
        by the board.  
           Sec. 30.  Minnesota Statutes 2002, section 155A.05, is 
        amended to read: 
           155A.05 [RULES.] 
           The commissioner board may develop and adopt rules 
        according to chapter 14 that the commissioner board considers 
        necessary to carry out this chapter sections 155A.01 to 155A.16. 
           Sec. 31.  Minnesota Statutes 2002, section 155A.07, 
        subdivision 2, is amended to read: 
           Subd. 2.  [QUALIFICATIONS.] Qualifications for licensing in 
        each classification shall be determined by the 
        commissioner board and established by rule, and shall include 
        educational and experiential prerequisites.  The rules shall 
        require a demonstrated knowledge of procedures necessary to 
        protect the health of the practitioner and the consumer of 
        cosmetology services, including but not limited to chemical 
        applications.  
           Sec. 32.  Minnesota Statutes 2002, section 155A.07, 
        subdivision 8, is amended to read: 
           Subd. 8.  [EXEMPTIONS.] Persons licensed to provide 
        cosmetology services in other states visiting this state for 
        cosmetology demonstrations shall be exempted from the licensing 
        provisions of this chapter sections 155A.01 to 155A.16 if 
        services to consumers are in the physical presence of a licensed 
        cosmetologist.  
           Sec. 33.  Minnesota Statutes 2002, section 155A.07, is 
        amended by adding a subdivision to read: 
           Subd. 10.  [NONRESIDENT LICENSES.] A nonresident 
        cosmetologist, manicurist, or esthetician may be licensed in 
        Minnesota if the individual has completed cosmetology school in 
        a state or country with the same or greater school hour 
        requirements, has an active license in that state or country, 
        and has passed the Minnesota-specific written operator 
        examination for cosmetologist, manicurist, or esthetician.  If a 
        test is used to verify the qualifications of trained 
        cosmetologists, the test should be translated into their native 
        language within the limits of available resources.  Licenses 
        shall not be issued under this subdivision for managers or 
        instructors. 
           Sec. 34.  Minnesota Statutes 2002, section 155A.08, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [LICENSING.] Any person who offers 
        cosmetology services for compensation in this state shall be 
        licensed as a salon if not employed by another licensed salon or 
        as an esthetician in a licensed physician's area.  
           Sec. 35.  Minnesota Statutes 2002, section 155A.08, 
        subdivision 2, is amended to read: 
           Subd. 2.  [REQUIREMENTS.] (a) The conditions and process by 
        which a salon is licensed shall be established by the 
        commissioner board by rule.  In addition to those requirements, 
        no license shall be issued unless the commissioner board first 
        determines that paragraphs (a) to (e) the conditions in clauses 
        (1) to (5) have been satisfied:  
           (a) (1) compliance with all local and state laws, 
        particularly relating to matters of sanitation, health, and 
        safety; 
           (b) (2) the employment of a manager, as defined in section 
        155A.03, subdivision 6; 
           (c) (3) inspection and licensing prior to the commencing of 
        business; 
           (d) (4) if applicable, evidence of compliance with section 
        176.182; and 
           (e) (5) evidence of continued professional liability 
        insurance coverage of at least $25,000 for each claim and 
        $50,000 total coverage for each policy year for each operator.  
           (b) A licensed esthetician or manicurist who complies with 
        the health, safety, sanitation, inspection, and insurance rules 
        promulgated by the commissioner board to operate a salon solely 
        for the performance of those personal services defined in 
        section 155A.03, subdivision 4, in the case of an esthetician, 
        or subdivision 5, in the case of a manicurist. 
           Sec. 36.  Minnesota Statutes 2002, section 155A.08, 
        subdivision 3, is amended to read: 
           Subd. 3.  [HEALTH AND SANITARY STANDARDS.] Minimum health 
        and sanitary standards for the operation of a salon shall be 
        established by rule.  A salon shall not be located in a room 
        used for residential purposes.  If a salon is in the residence 
        of a person practicing cosmetology, the rooms used for the 
        practice of cosmetology shall be completely partitioned off from 
        the living quarters.  The salon may be inspected as often as the 
        commissioner board considers necessary to affirm compliance.  
           Sec. 37.  Minnesota Statutes 2002, section 155A.09, is 
        amended to read: 
           155A.09 [SCHOOLS.] 
           Subdivision 1.  [LICENSING.] Any person who establishes or 
        conducts a school in this state shall be licensed.  
           Subd. 2.  [STANDARDS.] The commissioner board shall by rule 
        establish minimum standards of course content and length 
        specific to the educational preparation prerequisite to testing 
        and licensing as cosmetologist, esthetician, and manicurist.  
           Subd. 3.  [APPLICATIONS.] Application for a license shall 
        be prepared on forms furnished by the commissioner board and 
        shall contain the following and such other information as may be 
        required:  
           (a) (1) The name of the school, together with ownership and 
        controlling officers, members, and managing employees and 
        commissioner; 
           (b) (2) The specific fields of instruction which will be 
        offered and reconciliation of the course content and length to 
        meet the minimum standards, as prescribed in subdivision 2; 
           (c) (3) The place or places where instruction will be 
        given; 
           (d) (4) A listing of the equipment available for 
        instruction in each course offered; 
           (e) (5) The maximum enrollment to be accommodated; 
           (f) (6) A listing of instructors, all of whom shall be 
        licensed as provided in section 155A.07, subdivision 2, except 
        that any school may use occasional instructors or lecturers who 
        would add to the general or specialized knowledge of the 
        students but who need not be licensed; 
           (g) (7) A current balance sheet, income statement or 
        documentation to show sufficient financial worth and 
        responsibility to properly conduct a school and to assure 
        financial resources ample to meet the school's financial 
        obligations; 
           (h) (8) Other financial guarantees which would assure 
        protection of the public as determined by rule; and 
           (i) (9) A copy of all written material which the school 
        uses to solicit prospective students, including but not limited 
        to a tuition and fee schedule, and all catalogues, brochures and 
        other recruitment advertisements.  Each school shall annually, 
        on a date determined by the commissioner board, file with 
        the director board any new or amended materials which it has 
        distributed during the past year.  
           Subd. 4.  [VERIFICATION OF APPLICATION.] Each application 
        shall be signed and certified to under oath by the proprietor if 
        the applicant is a proprietorship, by the managing partner if 
        the applicant is a partnership, or by the authorized officers of 
        the applicant if the applicant is a corporation, association, 
        company, firm, society or trust.  
           Subd. 5.  [CONDITIONS PRECEDENT TO ISSUANCE.] No A license 
        shall must not be issued unless the commissioner board first 
        determines: 
           (a) that the applicant has met the requirements in clauses 
        (1) to (8). 
           (1) The applicant has must have a sound financial condition 
        with sufficient resources available to meet the school's 
        financial obligations; to refund all tuition and other charges, 
        within a reasonable period of time, in the event of dissolution 
        of the school or in the event of any justifiable claims for 
        refund against the school; to provide adequate service to its 
        students and prospective students; and for the to maintain 
        proper use and support of the school to be maintained;. 
           (b) That (2) The applicant has must have satisfactory 
        training facilities with sufficient tools and equipment and the 
        necessary number of work stations to adequately train the 
        students currently enrolled, and those proposed to be enrolled;. 
           (c) That (3) The applicant employs must employ a sufficient 
        number of qualified instructors trained by experience and 
        education to give the training contemplated;. 
           (d) That (4) The premises and conditions under which the 
        students work and study are must be sanitary, healthful, and 
        safe according to modern standards;. 
           (e) That (5) Each occupational course or program of 
        instruction or study shall must be of such quality and content 
        as to provide education and training which will adequately 
        prepare enrolled students for testing, licensing, and entry 
        level positions as a cosmetologist, esthetician, or manicurist;. 
           (f) Evidence of (6) The school's school must have coverage 
        by professional liability insurance of at least $25,000 per 
        incident and an accumulation of $150,000 for each premium year;. 
           (g) (7) The applicant shall provide evidence of the 
        school's compliance with section 176.182; and. 
           (h) (8) The applicant, except the state and its political 
        subdivisions as described in section 471.617, subdivision 1, 
        shall file with the commissioner board a continuous corporate 
        surety bond in the amount of $10,000, conditioned upon the 
        faithful performance of all contracts and agreements with 
        students made by the applicant.  The bond shall run to the state 
        of Minnesota and to any person who may have a cause of action 
        against the applicant arising at any time after the bond is 
        filed and before it is canceled for breach of any contract or 
        agreement made by the applicant with any student.  The aggregate 
        liability of the surety for all breaches of the conditions of 
        the bond shall not exceed $10,000.  The surety of the bond may 
        cancel it upon giving 60 days' notice in writing to 
        the commissioner board and shall be relieved of liability for 
        any breach of condition occurring after the effective date of 
        cancellation. 
           Subd. 6.  [FEES; RENEWALS.] (a) Applications for initial 
        license under this chapter sections 155A.01 to 155A.16 shall be 
        accompanied by a nonrefundable application fee set forth in 
        section 155A.045.  
           (b) License duration shall be three years.  Each renewal 
        application shall be accompanied by a nonrefundable renewal fee 
        set forth in section 155A.045.  
           (c) Application for renewal of license shall be made as 
        provided in rules adopted by the commissioner board and on forms 
        supplied by the commissioner board.  
           Subd. 7.  [INSPECTIONS.] All schools may be inspected as 
        often as the commissioner board considers necessary to affirm 
        compliance.  The commissioner board shall have the authority to 
        assess the cost of the inspection to the school.  
           Subd. 8.  [LIST OF LICENSED SCHOOLS; AVAILABILITY.] The 
        commissioner board shall maintain and make available to the 
        public a list of licensed schools.  
           Subd. 9.  [SEPARATION OF SCHOOL AND PROFESSIONAL 
        DEPARTMENTS.] A school shall display in the entrance reception 
        room of its student section a sign prominently and conspicuously 
        indicating that all work therein is done exclusively by 
        students.  Professional departments of a school shall be run as 
        entirely separate and distinct businesses and shall have 
        separate entrances.  
           Nothing contained in this chapter sections 155A.01 to 
        155A.16 shall prevent a school from charging for student work 
        done in the school to cover the cost of materials used and 
        expenses incurred in and for the operation of the school.  All 
        of the student work shall be prominently and conspicuously 
        advertised and held forth as being student work and not 
        otherwise.  
           Subd. 10.  [DISCRIMINATION PROHIBITED.] No school, duly 
        approved under this chapter sections 155A.01 to 155A.16, shall 
        refuse to teach any student, otherwise qualified, on account of 
        race, sex, creed, color, citizenship, national origin, or sexual 
        preference.  
           Sec. 38.  Minnesota Statutes 2002, section 155A.095, is 
        amended to read: 
           155A.095 [INSPECTIONS.] 
           The commissioner board is responsible for inspecting salons 
        and schools licensed pursuant to this chapter sections 155A.01 
        to 155A.16 to assure compliance with the requirements of this 
        chapter sections 155A.01 to 155A.16.  The commissioner board 
        shall direct department board resources first to the inspection 
        of those licensees who fail to meet the requirements of law, 
        have indicated that they present a greater risk to the public, 
        or have otherwise, in the opinion of the commissioner board, 
        demonstrated that they require a greater degree of regulatory 
        attention.  
           Sec. 39.  Minnesota Statutes 2002, section 155A.10, is 
        amended to read: 
           155A.10 [DISPLAY OF LICENSE.] 
           (a) Every holder of a license granted by the commissioner, 
        board shall display it in a conspicuous place in the place of 
        business. 
           (b) Notwithstanding the provisions of paragraph (a), 
        nothing contained in this chapter sections 155A.01 to 155A.16 
        shall be construed to prohibit a person licensed to provide 
        cosmetology services from engaging in any practices defined 
        in this chapter sections 155A.01 to 155A.16 in the homes of 
        customers or patrons, under the sanitary and health rules 
        promulgated by the commissioner board.  
           Sec. 40.  Minnesota Statutes 2002, section 155A.135, is 
        amended to read: 
           155A.135 [ENFORCEMENT.] 
           The provisions of section 45.027 apply to the 
        administration of this chapter sections 155A.01 to 155A.16. 
           Sec. 41.  Minnesota Statutes 2002, section 155A.14, is 
        amended to read: 
           155A.14 [SERVICES EXCEPTED; EMERGENCY.] 
           Nothing in this chapter sections 155A.01 to 155A.16 
        prohibits services in cases of emergency where compensation or 
        other reward is not received, nor in domestic service, nor in 
        the practice of medicine, surgery, dentistry, podiatry, 
        osteopathy, chiropractic, or barbering.  This section shall not 
        be construed to authorize any of the persons so exempted to wave 
        the hair, or to color, tint, or bleach the hair, in any manner.  
           Sec. 42.  Minnesota Statutes 2002, section 155A.15, is 
        amended to read: 
           155A.15 [APPOINTMENT OF AGENT FOR SERVICE OF PROCESS.] 
           Any person, firm, partnership, or corporation, not a 
        resident of Minnesota, who engages in Minnesota in the practices 
        regulated in this chapter sections 155A.01 to 155A.16 shall file 
        with the commissioner board the name and address of a duly 
        authorized agent for service of legal process, which agent for 
        service shall be a resident of the state of Minnesota.  
           Sec. 43.  Minnesota Statutes 2002, section 155A.16, is 
        amended to read: 
           155A.16 [VIOLATIONS; PENALTIES.] 
           Any person who violates any of the provisions of this 
        chapter sections 155A.01 to 155A.16 is guilty of a misdemeanor 
        and upon conviction may be sentenced to imprisonment for not 
        more than 90 days or fined not more than $700, or both, per 
        violation. 
           Sec. 44.  [APPROPRIATION.] 
           $572,000 is appropriated from the general fund to the Board 
        of Barber and Cosmetologist Examiners for the fiscal year ending 
        June 30, 2005.  This appropriation is in addition to the 
        appropriation made in Laws 2003, First Special Session chapter 
        1, article 3, section 5, and is added to the board's base. 
           Presented to the governor May 18, 2004 
           Signed by the governor May 29, 2004, 8:50 a.m.

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