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

CHAPTER 365--S.F.No. 863
An act
relating to data practices; classifying government data; requiring
informed consent; amending definitions; allowing disclosure of certain data;
authorizing access to certain records; making technical changes; modifying
provisions governing temporary classifications and personnel data;amending
Minnesota Statutes 2008, sections 13.05, subdivision 4, by adding a subdivision;
13.06, subdivisions 1, 3, 4, 5, 7, by adding subdivisions; 13.43, subdivisions
1, 2; 13.792; 13.87, by adding a subdivision; 13D.05, subdivision 3; 16B.97,
by adding a subdivision; 125A.21, subdivision 5; 179A.04, subdivision 3;
Minnesota Statutes 2009 Supplement, section 13.64; repealing Minnesota
Statutes 2008, section 13.06, subdivision 2; Minnesota Rules, part 1205.1800.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1
GENERAL PROVISIONS

    Section 1. Minnesota Statutes 2008, section 13.05, subdivision 4, is amended to read:
    Subd. 4. Limitations on collection and use of data. Private or confidential data on
an individual shall not be collected, stored, used, or disseminated by government entities
for any purposes other than those stated to the individual at the time of collection in
accordance with section 13.04, except as provided in this subdivision.
(a) Data collected prior to August 1, 1975, and which have not been treated as public
data, may be used, stored, and disseminated for the purposes for which the data was
originally collected or for purposes which are specifically approved by the commissioner
as necessary to public health, safety, or welfare.
(b) Private or confidential data may be used and disseminated to individuals or
entities specifically authorized access to that data by state, local, or federal law enacted or
promulgated after the collection of the data.
(c) Private or confidential data may be used and disseminated to individuals or
entities subsequent to the collection of the data when the responsible authority maintaining
the data has requested approval for a new or different use or dissemination of the data
and that request has been specifically approved by the commissioner as necessary to carry
out a function assigned by law.
(d) Private data may be used by and disseminated to any person or entity if the
individual subject or subjects of the data have given their informed consent. Whether a
data subject has given informed consent shall be determined by rules of the commissioner.
The format for informed consent is as follows, unless otherwise prescribed by the HIPAA,
Standards for Privacy of Individually Identifiable Health Information, 65 Fed. Reg. 82,
461 (2000) (to be codified as Code of Federal Regulations, title 45, section 164): informed
consent shall not be deemed to have been given by an individual subject of the data by the
signing of any statement authorizing any person or entity to disclose information about the
individual to an insurer or its authorized representative, unless the statement is:
(1) in plain language;
(2) dated;
(3) specific in designating the particular persons or agencies the data subject is
authorizing to disclose information about the data subject;
(4) specific as to the nature of the information the subject is authorizing to be
disclosed;
(5) specific as to the persons or entities to whom the subject is authorizing
information to be disclosed;
(6) specific as to the purpose or purposes for which the information may be used
by any of the parties named in clause (5), both at the time of the disclosure and at any
time in the future;
(7) specific as to its expiration date which should be within a reasonable period of
time, not to exceed one year except in the case of authorizations given in connection
with applications for (i) life insurance or noncancelable or guaranteed renewable health
insurance and identified as such, two years after the date of the policy or (ii) medical
assistance under chapter 256B or MinnesotaCare under chapter 256L, which shall be
ongoing during all terms of eligibility, for individual education plan health-related services
provided by a school district under section 125A.21, subdivision 2.
The responsible authority may require a person requesting copies of data under this
paragraph to pay the actual costs of making, and certifying, and compiling the copies.
(e) Private or confidential data on an individual may be discussed at a meeting open
to the public to the extent provided in section 13D.05.

    Sec. 2. Minnesota Statutes 2008, section 13.05, is amended by adding a subdivision to
read:
    Subd. 4a. Informed consent for insurance purposes. Informed consent for
insurance purposes must comply with this subdivision, unless otherwise prescribed by
the HIPAA Standards for Privacy of Individually Identifiable Health Information, Code
of Federal Regulations, title 45, section 164. Informed consent for insurance purposes
is not considered to have been given by an individual subject of data by the signing of a
statement authorizing a government entity to disclose information about the individual to
an insurer or its authorized representative, unless the statement is:
(1) in plain language;
(2) dated;
(3) specific in designating the government entity the data subject is authorizing to
disclose information about the data subject;
(4) specific as to the nature of the information the data subject is authorizing to
be disclosed;
(5) specific as to the persons to whom the data subject is authorizing information to
be disclosed;
(6) specific as to the purpose or purposes for which the information may be used
by any of the persons named in clause (5), both at the time of the disclosure and at any
time in the future; and
(7) specific as to its expiration date, which must be within a reasonable period of
time, not to exceed one year.
Notwithstanding clause (7), in the case of authorizations given in connection with
applications for life insurance or noncancelable or guaranteed renewable health insurance
that is so identified, the expiration date must not exceed two years after the date of the
policy. An authorization in connection with medical assistance under chapter 256B or
MinnesotaCare under chapter 256L or for individual education plan health-related services
provided by a school district under section 125A.21, subdivision 2, is valid during all
terms of eligibility.

    Sec. 3. Minnesota Statutes 2008, section 13.43, subdivision 1, is amended to read:
    Subdivision 1. Definition. As used in this section, "personnel data" means
government data on individuals collected maintained because the individual is or was
an employee of or an applicant for employment by, performs services on a voluntary
basis for, or acts as an independent contractor with a government entity. Personnel data
includes data submitted by an employee to a government entity as part of an organized
self-evaluation effort by the government entity to request suggestions from all employees
on ways to cut costs, make government more efficient, or improve the operation of
government. An employee who is identified in a suggestion shall have access to all data in
the suggestion except the identity of the employee making the suggestion.

    Sec. 4. Minnesota Statutes 2008, section 13.43, subdivision 2, is amended to read:
    Subd. 2. Public data. (a) Except for employees described in subdivision 5 and
subject to the limitations described in subdivision 5a, the following personnel data on
current and former employees, volunteers, and independent contractors of a government
entity is public:
    (1) name; employee identification number, which must not be the employee's Social
Security number; actual gross salary; salary range; terms and conditions of employment
relationship; contract fees; actual gross pension; the value and nature of employer paid
fringe benefits; and the basis for and the amount of any added remuneration, including
expense reimbursement, in addition to salary;
    (2) job title and bargaining unit; job description; education and training background;
and previous work experience;
    (3) date of first and last employment;
    (4) the existence and status of any complaints or charges against the employee,
regardless of whether the complaint or charge resulted in a disciplinary action;
    (5) the final disposition of any disciplinary action together with the specific reasons
for the action and data documenting the basis of the action, excluding data that would
identify confidential sources who are employees of the public body;
    (6) the terms of any agreement settling any dispute arising out of an employment
relationship, including a buyout agreement as defined in section 123B.143, subdivision 2,
paragraph (a); except that the agreement must include specific reasons for the agreement if
it involves the payment of more than $10,000 of public money;
    (7) work location; a work telephone number; badge number; work-related continuing
education; and honors and awards received; and
    (8) payroll time sheets or other comparable data that are only used to account for
employee's work time for payroll purposes, except to the extent that release of time sheet
data would reveal the employee's reasons for the use of sick or other medical leave
or other not public data.
    (b) For purposes of this subdivision, a final disposition occurs when the government
entity makes its final decision about the disciplinary action, regardless of the possibility of
any later proceedings or court proceedings. In the case of arbitration proceedings arising
under collective bargaining agreements, a final disposition occurs at the conclusion of the
arbitration proceedings, or upon the failure of the employee to elect arbitration within
the time provided by the collective bargaining agreement. Final disposition includes
a resignation by an individual when the resignation occurs after the final decision of
the government entity, or arbitrator. In the case of arbitration proceedings arising under
collective bargaining agreements, a final disposition occurs at the conclusion of the
arbitration proceedings, or upon the failure of the employee to elect arbitration within the
time provided by the collective bargaining agreement. A disciplinary action does not
become public data if an arbitrator sustains a grievance and reverses all aspects of any
disciplinary action.
    (c) The government entity may display a photograph of a current or former employee
to a prospective witness as part of the government entity's investigation of any complaint
or charge against the employee.
    (d) A complainant has access to a statement provided by the complainant to a
government entity in connection with a complaint or charge against an employee.
    (e) Notwithstanding paragraph (a), clause (5), upon completion of an investigation
of a complaint or charge against a public official, or if a public official resigns or is
terminated from employment while the complaint or charge is pending, all data relating to
the complaint or charge are public, unless access to the data would jeopardize an active
investigation or reveal confidential sources. For purposes of this paragraph, "public
official" means:
    (1) the head of a state agency and deputy and assistant state agency heads;
    (2) members of boards or commissions required by law to be appointed by the
governor or other elective officers; and
    (3) executive or administrative heads of departments, bureaus, divisions, or
institutions within state government.

    Sec. 5. Minnesota Statutes 2009 Supplement, section 13.64, is amended to read:
13.64 DEPARTMENT OF ADMINISTRATION; MANAGEMENT AND
BUDGET DATA.
    Subdivision 1. Department of Management and Budget. (a) Notes and
preliminary drafts of reports created, collected, or maintained by the Management Analysis
Division, Department of Management and Budget, and prepared during management
studies, audits, reviews, consultations, or investigations are classified as confidential or
protected nonpublic data until the final report has been published or preparation of the
report is no longer being actively pursued.
(b) Data that support the conclusions of the report and that the commissioner of
management and budget reasonably believes will result in litigation are confidential or
protected nonpublic until the litigation has been completed or until the litigation is no
longer being actively pursued.
(c) Data on individuals that could reasonably be used to determine the identity of an
individual supplying data for a report are private if:
(1) the data supplied by the individual were needed for a report; and
(2) the data would not have been provided to the Management Analysis Division
without an assurance to the individual that the individual's identity would remain private,
or the Management Analysis Division reasonably believes that the individual would not
have provided the data.
    Subd. 2. Department of Administration. Security features of building
plans, building specifications, and building drawings of state-owned facilities and
nonstate-owned facilities leased by the state are classified as nonpublic data when
maintained by the Department of Administration and may be shared with anyone as
needed to perform duties of the commissioner.

    Sec. 6. Minnesota Statutes 2008, section 13.792, is amended to read:
13.792 PRIVATE DONOR GIFT DATA.
The following data maintained by the Minnesota Zoological Garden, the University
of Minnesota, the Minnesota State Colleges and Universities, the Regional Parks
Foundation of the Twin Cities, State Services for the Blind, and any related entity subject
to chapter 13 are classified as private or nonpublic:
(1) research information about prospects and donors gathered to aid in determining
appropriateness of solicitation and level of gift request;
(2) specific data in prospect lists that would identify prospects to be solicited, dollar
amounts to be requested, and name of solicitor;
(3) portions of solicitation letters and proposals that identify the prospect being
solicited and the dollar amount being requested;
(4) letters, pledge cards, and other responses received from donors regarding
prospective gifts in response to solicitations;
(5) portions of thank-you letters and other gift acknowledgment communications
that would identify the name of the donor and the specific amount of the gift, pledge,
or pledge payment;
(6) donor financial or estate planning information, or portions of memoranda, letters,
or other documents commenting on any donor's financial circumstances; and
(7) data detailing dates of gifts, payment schedule of gifts, form of gifts, and specific
gift amounts made by donors.
Names of donors and gift ranges are public data.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 7. Minnesota Statutes 2008, section 13.87, is amended by adding a subdivision to
read:
    Subd. 5. Parole and probation authority access to records. Parole and county
probation authorities may access data identified in subdivision 2 on an applicant or permit
holder who is subject to the supervision of that parole or county probation authority.

    Sec. 8. Minnesota Statutes 2008, section 13D.05, subdivision 3, is amended to read:
    Subd. 3. What meetings may be closed. (a) A public body may close a meeting
to evaluate the performance of an individual who is subject to its authority. The public
body shall identify the individual to be evaluated prior to closing a meeting. At its next
open meeting, the public body shall summarize its conclusions regarding the evaluation.
A meeting must be open at the request of the individual who is the subject of the meeting.
(b) Meetings may be closed if the closure is expressly authorized by statute or
permitted by the attorney-client privilege.
(c) A public body may close a meeting:
(1) to determine the asking price for real or personal property to be sold by the
government entity;
(2) to review confidential or protected nonpublic appraisal data under section 13.44,
subdivision 3
; and
(3) to develop or consider offers or counteroffers for the purchase or sale of real or
personal property.
Before holding a closed meeting under this paragraph, the public body must identify
on the record the particular real or personal property that is the subject of the closed
meeting. The proceedings of a meeting closed under this paragraph must be tape recorded
at the expense of the public body. The recording must be preserved for eight years after
the date of the meeting and made available to the public after all real or personal property
discussed at the meeting has been purchased or sold or the governing body has abandoned
the purchase or sale. The real or personal property that is the subject of the closed meeting
must be specifically identified on the tape. A list of members and all other persons present
at the closed meeting must be made available to the public after the closed meeting. If an
action is brought claiming that public business other than discussions allowed under this
paragraph was transacted at a closed meeting held under this paragraph during the time
when the tape is not available to the public, section 13D.03, subdivision 3, applies.
An agreement reached that is based on an offer considered at a closed meeting is
contingent on approval of the public body at an open meeting. The actual purchase or
sale must be approved at an open meeting after the notice period required by statute or the
governing body's internal procedures, and the purchase price or sale price is public data.
(d) Meetings may be closed to receive security briefings and reports, to discuss issues
related to security systems, to discuss emergency response procedures and to discuss
security deficiencies in or recommendations regarding public services, infrastructure and
facilities, if disclosure of the information discussed would pose a danger to public safety or
compromise security procedures or responses. Financial issues related to security matters
must be discussed and all related financial decisions must be made at an open meeting.
Before closing a meeting under this paragraph, the public body, in describing the subject to
be discussed, must refer to the facilities, systems, procedures, services, or infrastructures
to be considered during the closed meeting. A closed meeting must be tape recorded at the
expense of the governing body, and the recording must be preserved for at least four years.

    Sec. 9. Minnesota Statutes 2008, section 16B.97, is amended by adding a subdivision
to read:
    Subd. 5. Data classification. Data maintained by the commissioner that identify
a person providing comments to the commissioner under subdivision 4, paragraph (a),
clauses (6) and (7), are private and nonpublic data but may be shared with the executive
agency that is the subject of the comments.

    Sec. 10. Minnesota Statutes 2008, section 125A.21, subdivision 5, is amended to read:
    Subd. 5. Informed consent. When obtaining informed consent, consistent with
sections 13.05, subdivision 4, paragraph (d) 4a; and 256B.77, subdivision 2, paragraph
(p), to bill health plans for covered services, the school district must notify the legal
representative (1) that the cost of the person's private health insurance premium
may increase due to providing the covered service in the school setting, (2) that the
school district may pay certain enrollee health plan costs, including but not limited to,
co-payments, coinsurance, deductibles, premium increases or other enrollee cost-sharing
amounts for health and related services required by an individual service plan, or individual
family service plan, and (3) that the school's billing for each type of covered service may
affect service limits and prior authorization thresholds. The informed consent may be
revoked in writing at any time by the person authorizing the billing of the health plan.

    Sec. 11. Minnesota Statutes 2008, section 179A.04, subdivision 3, is amended to read:
    Subd. 3. Other duties. (a) The commissioner shall:
    (1) provide mediation services as requested by the parties until the parties reach
agreement, and may continue to assist parties after they have submitted their final
positions for interest arbitration;
    (2) issue notices, subpoenas, and orders required by law to carry out duties under
sections 179A.01 to 179A.25;
    (3) assist the parties in formulating petitions, notices, and other papers required to
be filed with the commissioner;
    (4) conduct elections;
    (5) certify the final results of any election or other voting procedure conducted
under sections 179A.01 to 179A.25;
    (6) adopt rules relating to the administration of this chapter and the conduct of
hearings and elections;
    (7) receive, catalogue, file, and make available to the public all decisions of
arbitrators and panels authorized by sections 179A.01 to 179A.25, all grievance arbitration
decisions to the extent the decision is public under section 13.43, subdivision 2, paragraph
(b), and the commissioner's orders and decisions;
    (8) adopt, subject to chapter 14, a grievance procedure that fulfills the purposes of
section 179A.20, subdivision 4, that is available to any employee in a unit not covered by
a contractual grievance procedure;
    (9) maintain a schedule of state employee classifications or positions assigned to
each unit established in section 179A.10, subdivision 2;
    (10) collect fees established by rule for empanelment of persons on the labor
arbitrator roster maintained by the commissioner or in conjunction with fair share fee
challenges. Arbitrator application fees will be $100 per year for initial applications and
renewals effective July 1, 2007;
    (11) provide technical support and assistance to voluntary joint labor-management
committees established for the purpose of improving relationships between exclusive
representatives and employers, at the discretion of the commissioner;
    (12) provide to the parties a list of arbitrators as required by section 179A.16,
subdivision 4
; and
    (13) maintain a list of up to 60 arbitrators for referral to employers and exclusive
representatives for the resolution of grievance or interest disputes. Each person on the
list must be knowledgeable about collective bargaining and labor relations in the public
sector, well versed in state and federal labor law, and experienced in and knowledgeable
about labor arbitration. To the extent practicable, the commissioner shall appoint members
to the list so that the list is gender and racially diverse.
    (b) From the names provided by representative organizations, the commissioner
shall maintain a list of arbitrators to conduct teacher discharge or termination hearings
according to section 122A.40 or 122A.41. The persons on the list must meet at least
one of the following requirements:
    (1) be a former or retired judge;
    (2) be a qualified arbitrator on the list maintained by the bureau;
    (3) be a present, former, or retired administrative law judge; or
    (4) be a neutral individual who is learned in the law and admitted to practice in
Minnesota, who is qualified by experience to conduct these hearings, and who is without
bias to either party.
Each year, education Minnesota shall provide a list of up to 14 names and the Minnesota
School Boards Association a list of up to 14 names of persons to be on the list. The
commissioner may adopt rules about maintaining and updating the list.
EFFECTIVE DATE.This section is effective August 1, 2010, and applies to
decisions issued on or after that date.

    Sec. 12. REPEALER.
(a) Minnesota Statutes 2008, section 13.06, subdivision 2, is repealed.
(b) Minnesota Rules, part 1205.1800, is repealed.

ARTICLE 2
TEMPORARY CLASSIFICATIONS

    Section 1. Minnesota Statutes 2008, section 13.06, subdivision 1, is amended to read:
    Subdivision 1. Application to commissioner. (a) Notwithstanding the provisions
of section 13.03, the responsible authority of a government entity may apply to the
commissioner for permission to classify data or types of data on individuals as private
or confidential, or data not on individuals as nonpublic or protected nonpublic, for its
own use and for the use of other similar government entities on a temporary basis until
a proposed statute can be acted upon by the legislature. The application for temporary
classification is public.
(b) Upon the filing receipt by the commissioner of an application for temporary
classification, the data which is the subject of the application shall be deemed to be
classified as set forth in the application for a period of 45 days, or until the application is
disapproved, rejected, or granted by the commissioner, whichever is earlier.
(c) If the commissioner determines that an application has been submitted for
purposes not consistent with this section, the commissioner may immediately reject the
application, give notice of that rejection to the applicant, and return the application. When
the applicant receives the notice of rejection from the commissioner, the data which was
the subject of the application shall have the classification it had before the application was
submitted to the commissioner.

    Sec. 2. Minnesota Statutes 2008, section 13.06, subdivision 3, is amended to read:
    Subd. 3. Contents of application for nonpublic or nonpublic protected data.
An application for temporary classification of government data not on individuals shall
include and the applicant shall have the burden of clearly establishing that no statute
currently exists which either allows or forbids classification as nonpublic or protected
nonpublic not public; and either one or more of the following:
(1) that data similar to that for which the temporary classification is sought has have
been treated classified as nonpublic or protected nonpublic not public by other government
entities, and by the public; or
(2) public access to the data would render unworkable a program authorized by
law; or.
(3) The applicant must also clearly establish that a compelling need exists for
immediate temporary classification, which if not granted could adversely affect the health,
safety or welfare of the public, or the data subject's well-being or reputation.

    Sec. 3. Minnesota Statutes 2008, section 13.06, subdivision 4, is amended to read:
    Subd. 4. Procedure when classification affects others. If the commissioner
determines that an application for temporary classification involves data which would
reasonably be classified in the same manner by all government entities similar to the
one which made the application, the commissioner may approve or disapprove the
classification for data of the kind which is the subject of the application for the use
of all government entities similar to the applicant. If requested in the application, the
commissioner may also determine that the data classification affects similar government
entities. On deeming this approach advisable, the commissioner shall provide notice of
the proposed action by publication in the State Register within ten 15 days of receiving the
application. Within 30 days after publication in the State Register an affected government
entity or the public may submit comments on the commissioner's proposal application.
The commissioner shall consider any comments received when granting or denying a
classification for data of the kind which is the subject of the application, for the use of all
government entities similar to the applicant. Within 45 days after the close of the period
for submitting comment, the commissioner shall grant or disapprove the application.
Applications processed under this subdivision shall be either approved or disapproved
by the commissioner within 90 days of the receipt of the application. For purposes of
subdivision 1, the data which is the subject of the classification shall be deemed to be
classified as set forth in the application for a period of 90 days, or until the application
is disapproved or granted by the commissioner, whichever is earlier. If requested in the
application, or determined to be necessary by the commissioner, the data in the application
shall be so classified for all government entities similar to the applicant until the application
is disapproved or granted by the commissioner, whichever is earlier. Proceedings after the
grant or disapproval shall be governed by the provisions of subdivision 5.

    Sec. 4. Minnesota Statutes 2008, section 13.06, is amended by adding a subdivision to
read:
    Subd. 4a. Withdrawal of application. Except when an application is processed
under subdivision 4, an application may be withdrawn by the responsible authority prior to
the commissioner granting or disapproving the temporary classification. The responsible
authority shall notify the commissioner in writing of the entity's intent to withdraw the
application. The written withdrawal must state the reason the temporary classification is
no longer necessary and must be signed by the responsible authority.

    Sec. 5. Minnesota Statutes 2008, section 13.06, subdivision 5, is amended to read:
    Subd. 5. Determination. (a) The commissioner shall either grant or disapprove
the application for temporary classification within 45 days after it is filed received by
the commissioner. On disapproving an application, the commissioner shall set forth
in detail reasons for the disapproval, and shall include a statement of belief as to what
classification is appropriate for the data which is the subject of the application. Twenty
days after the date of the responsible authority receives the commissioner's disapproval
of an application, the data which is the subject of the application shall become public
data, unless the responsible authority submits an amended application for temporary
classification which requests the classification deemed appropriate by the commissioner
in the statement of disapproval or which sets forth additional information relating to the
original proposed classification. Upon the filing of an amended application, the data
which is the subject of the amended application shall be deemed to be classified as set
forth in the amended application for a period of 20 days or until the amended application
is granted or disapproved by the commissioner, whichever is earlier. The commissioner
shall either grant or disapprove the amended application within 20 days after it is filed.
Five working days after the date of the responsible authority receives the commissioner's
disapproval of the amended application, the data which is the subject of the application
shall become public data. No more than one amended application may be submitted for
any single file or system.
(b) If the commissioner grants an application for temporary classification under this
section, it shall become effective immediately, and the complete record relating to the
application shall be submitted to the attorney general, who shall review the classification
as to form and legality. Within 25 days after receipt of the record, the attorney general
shall approve the classification, disapprove a classification as confidential or protected
nonpublic but approve a classification as private or nonpublic, or disapprove the
classification. If the attorney general disapproves a classification, the data which is the
subject of the classification shall become public data five working days after the date of
the attorney general's disapproval.

    Sec. 6. Minnesota Statutes 2008, section 13.06, is amended by adding a subdivision to
read:
    Subd. 6a. Data use and dissemination. During the period of the temporary
classification, a responsible authority may request approval from the commissioner for a
new or different use or dissemination of the data as provided in section 13.05, subdivision
4, for any data temporarily classified under this section.

    Sec. 7. Minnesota Statutes 2008, section 13.06, subdivision 7, is amended to read:
    Subd. 7. Legislative consideration of temporary classifications; expiration.
On or before January 15 of each year, the commissioner shall submit all temporary
classifications in effect on January 1 in bill form to the legislature. The temporary
classification expires June August 1 of the year following its submission to the legislature.
Presented to the governor May 14, 2010
Signed by the governor May 18, 2010, 3:02 p.m.

700 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155 ♦ Phone: (651) 296-2868 ♦ TTY: 1-800-627-3529 ♦ Fax: (651) 296-0569