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1987 Minnesota Session Laws

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                         Laws of Minnesota 1987 

                        CHAPTER 384-H.F.No. 713 
           An act relating to Minnesota Statutes; correcting 
          erroneous, ambiguous, omitted, and obsolete references 
          and text; eliminating certain redundant, conflicting, 
          and superseded provisions; providing instructions to 
          the revisor; making miscellaneous corrections to 
          statutes and other laws; amending Minnesota Statutes 
          1986, sections 1.135, subdivision 3; 8.31, subdivision 
          1; 13.43, subdivision 6; 14.02, subdivision 4; 15.61; 
          17.59, subdivision 5; 17A.04, subdivision 1; 28A.15, 
          subdivision 4; 32.394, subdivisions 8, as amended, and 
          8b, as amended; 38.27, subdivision 3; 41A.05, 
          subdivision 2; 48.13, subdivision 2; 48.26; 49.01, 
          subdivision 3; 49.44; 60A.17, subdivision 12; 62E.02, 
          subdivision 23, as amended; 64B.18; 72A.41, 
          subdivision 1; 79.38, subdivision 1; 84A.08; 97A.021, 
          subdivision 2; 97A.065, subdivision 4; 97A.205; 
          97A.441, subdivision 5; 97A.445, subdivision 3; 
          97A.465, subdivision 4; 97A.501, subdivision 2; 
          97A.545, subdivision 4; 97B.315; 97B.921; 97B.925; 
          115A.07, subdivision 1; 115A.12, subdivision 1; 
          115A.14, subdivision 5; 115A.162; 116C.57, subdivision 
          3; 116E.03, subdivision 9; 116J.72; 120.17, 
          subdivision 5a; 121.904, subdivisions 11a and 11b; 
          122.541, subdivision 2; 124.01, subdivision 1; 
          124.195, subdivisions 8 and 9; 124.2138, subdivisions 
          3 and 4; 124.32, subdivision 1c; 124.472; 126.39, 
          subdivision 11; 136.44; 136A.04, subdivision 2; 
          136A.06; 136D.28, subdivision 2; 136D.89, subdivision 
          2; 147.09; 152.02, subdivision 12; 160.283, 
          subdivision 1; 161.1419, subdivision 4, as amended; 
          171.05, subdivision 3; 174.255, subdivisions 1 and 2; 
          174.29, subdivision 1; 176.011, subdivision 9; 
          176.442, as amended; 176.83, subdivision 7; 177.24, 
          subdivision 2; 179A.12, subdivision 1; 182.651, 
          subdivision 18; 193.141, subdivision 2; 193.145, 
          subdivision 2; 214.01, subdivision 3; 219.691; 
          219.692; 219.743; 219.755; 222.61; 241.31, subdivision 
          2; 243.24, subdivision 2; 246.51, subdivision 1; 
          246A.02; 246A.11, subdivision 1; 246A.12, subdivisions 
          1 and 7; 246A.13, subdivision 1; 250.05, subdivision 
          2; 256.12, subdivision 14; 256.462, subdivision 2; 
          256B.03, subdivision 2; 256D.05, subdivision 1, as 
          amended; 256D.36, subdivision 1, as amended; 256D.37, 
          subdivision 1, as amended; 257.34, subdivision 1; 
          260.015, subdivision 3; 260.151, subdivision 1; 
          268.072, subdivision 6; 270.075, subdivision 1, as 
          amended; 271.15; 273.11, subdivision 8, as amended; 
          273.13, subdivision 22; 275.125, subdivisions 6a, 8, 
          and 11c; 278.06; 282.08; 290.01, subdivision 20b; 
          295.34, subdivision 1; 296.14, subdivision 4; 297.03, 
          subdivision 3; 297A.06; 297A.25, subdivision 10; 
          297D.07, as amended; 302A.727, subdivision 1, as 
          amended; 308.341; 317.03; 317.65, subdivision 6; 
          319A.03; 319A.05; 319A.12, subdivisions 1a and 2; 
          322A.70; 326.03, subdivision 2; 326.06; 327.18, 
          subdivision 3; 327C.07, subdivision 3a; 349.2121, 
          subdivision 3; 354.05, subdivision 2; 355.311, 
          subdivision 1;  361.26, subdivision 2; 366.095, 
          subdivision 1; 378.43, subdivision 1; 383A.404, 
          subdivision 7; 383B.035, subdivision 1; 383B.237; 
          383C.76; 386.71; 393.13, subdivision 1; 412.381; 
          412.501; 447.42, subdivision 2; 453.53, subdivision 3; 
          458A.03, subdivision 8; 458C.17; 462.601; 462.605; 
          462A.04, subdivision 8; 462A.05, subdivision 18; 
          462A.20, subdivision 3; 462C.04, subdivision 2; 
          462C.12, subdivision 2; 471.467, subdivision 1; 
          471.74, subdivision 2; 471.993, subdivision 1; 
          471A.03, subdivision 2; 473.149, subdivision 4; 
          473.181, subdivision 3; 473.811, subdivisions 6, 7, 8, 
          and 9; 473F.06; 473F.07, subdivision 1; 473F.09; 
          474A.09; 604.06; 609.53, subdivisions 1 and 1a; 
          609.687, subdivision 4; 611.14; 626A.05, subdivision 
          2; 645.02; amending Laws 1982, chapter 523, article 
          30, section 4, subdivision 1; Laws 1983, chapter 334, 
          section; and Laws 1986, chapter 399, article 1, 
          section 17; amending 1987 H.F. No. 42, section 4, 
          subdivision 2; H.F. No. 243, article 2, section 165; 
          H.F. No. 753, article 1, section 16, by adding a 
          subdivision, article 6, section 20, by adding a 
          subdivision, and by adding a section, article 10, 
          section 2, subdivision 2, and section 3; H.F. No. 919, 
          section 8, subdivision 2, section 14, subdivision 8, 
          and section 18, subdivision 11; 1987 S.F. No. 1, 
          article 1, section 14, article 2, sections 11 and 18, 
          article 6, section 9, article 9, section 15, 
          subdivision 2, and sections 22 and 23, article 10, 
          sections 8 and 9; S.F. No. 170, section 4, subdivision 
          1; S.F. No. 1516, section 1, section 10, subdivisions 
          1 and 6, sections 20, 34, and 133, subdivision 1; 
          repealing Minnesota Statutes 1986, sections 193.145, 
          subdivision 3; 325D.69, subdivision 1; and 326.2421, 
          subdivision 7; repealing Laws 1986, chapter 463, 
          section 3; and Laws 1986, First Special Session 
          chapter 3, article 1, section 84; and 1987 S.F. No. 
          1516, section 10, subdivision 7. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 

                                ARTICLE 1 

                             REVISOR'S BILL 

                          STATUTORY CORRECTIONS 
    Section 1.  Minnesota Statutes 1986, section 1.135, 
subdivision 3, is amended to read:  
    Subd. 3.  [DESIGN.] The design of the seal is as described 
in this subdivision.  
    (a) The seal is composed of two concentric borders.  The 
outside forms the border of the seal and the inside forms the 
border for the illustrations within the seal.  The area between 
the two borders contains lettering.  
    (b) The seal is two inches in diameter.  The outside border 
has a radius of one inch and resembles the serrated edge of a 
coin.  The width of the border is 1/16 of an inch.  
    (c) The inside border has a radius of three-fourths of an 
inch and is composed of a series of closely spaced dots 
measuring 1/32 of an inch in diameter.  
    (d) Within the area between the borders "The Great Seal of 
the State of Minnesota." is printed in capital letters.  Under 
that is the date "1858." with two dagger symbols separating the 
date and the letters.  The lettering is 14 point century bold.  
    (e) In the area within the inside border is the portrayal 
of an 1858 Minnesota scene made up of various illustrations that 
serve to depict a settler plowing the ground near the falls of 
St. Anthony while he watches an Indian on horseback riding in 
the distance.  
    (f) For the purposes of description, when the area within 
the inside border is divided into quadrants, the following 
illustrations should be clearly visible in the area described.  
    (1) In the upper parts of quadrants one and two, the 
inscription "L'Etoile du Nord" is found on the likeness of a 
scroll whose length is equal to twice the length of the 
inscription, but whose ends are twice folded underneath and 
serve to enhance the inscription.  The lettering is seven point 
century bold.  
    (2) In quadrant two is found a likeness of a rising sun 
whose ambient rays form a background for a male Indian in 
loincloth and plume riding on horseback at a gallop.  The Indian 
is sitting erect and is holding a spear in his left hand at an 
upward 60-degree angle to himself and is looking toward the 
settler in quadrant four.  
    (3) In quadrant one, three pine trees form a background for 
a picturesque resemblance of St. Anthony Falls in 1858.  
    (4) In quadrants three and four, cultivated ground is found 
across the lower half of the seal, which provides a background 
for the scenes in quadrants three and four.  
    (5) In quadrant three, a tree stump is found with an ax 
embedded in the stump and a period muzzle loader resting on it. 
A powder flask is hanging towards the end of the barrel.  
    (6) In quadrant four, a white barefoot male pioneer wearing 
clothing and a hat of that period is plowing the earth, using an 
animal-drawn implement from that period.  The animal is not 
visible.  The torso of the man continues into quadrant two, and 
he has his legs spread apart to simulate movement.  He is 
looking at the Indian.  
    Sec. 2.  Minnesota Statutes 1986, section 13.43, 
subdivision 6, is amended to read: 
    Subd. 6.  [ACCESS BY LABOR ORGANIZATIONS.] Personnel data 
may be disseminated to labor organizations to the extent that 
the responsible authority determines that the dissemination is 
necessary to conduct elections, notify employees of fair share 
fee assessments, and implement the provisions of chapter 
chapters 179 and 179A.  Personnel data shall be disseminated to 
labor organizations and to the bureau of mediation services to 
the extent the dissemination is ordered or authorized by the 
director of the bureau of mediation services.  
    Sec. 3.  Minnesota Statutes 1986, section 64B.18, is 
amended to read:  
    64B.18 [BENEFITS NOT ATTACHABLE.] 
    Except as provided in chapter 256B, the money or other 
benefits, charity, relief, or aid to be paid, provided, or 
rendered by any society authorized to do business under this 
chapter shall, neither before nor after being paid, be liable to 
attachment, garnishment, or other process and shall not 
be ceased seized, taken, appropriated, or applied by any legal 
or equitable process or operation of laws to pay any debt or 
liability of a certificate holder or of any beneficiary named in 
the certificate, or of any person who may have any right 
thereunder.  
    Sec. 4.  Minnesota Statutes 1986, section 84A.08, is 
amended to read: 
    84A.08 [LANDS CLASSIFIED.] 
    Upon receipt by the commissioner of finance natural 
resources of the reports of a county auditor specified in 
section 84A.04, the commissioner shall certify a copy thereof to 
the department, which shall classify all such lands as to their 
suitability for agriculture or for afforestation or 
reforestation or for ownership and use by the state for 
preserving, propagating, breeding and hunting of wild life of 
the kinds specified in section 84A.01, and after the title to 
any such lands has been acquired by the state, in the manner 
provided, such lands may be reclassified, from time to time.  
All such lands which shall become the absolute property of the 
state under the provisions of sections 84A.01 to 84A.11, which 
have been classified as suitable for agriculture and timber, 
from any lands so acquired, shall be subject to sale by the 
state, as provided by law.  
    Sec. 5.  Minnesota Statutes 1986, section 97A.065, 
subdivision 4, is amended to read: 
    Subd. 4.  (a) For the purposes of this subdivision, "wild 
rice licenses" means licenses issued by the commissioner under 
the provisions of section 98.46, subdivision 3, clause (1), and 
subdivision 18, clause (1) 84.091, subdivision 3, clauses (1), 
(3), and (4). 
    (b) All money received from the sale of wild rice licenses 
shall be paid into an account, known as the "wild rice 
management account," to be established in the state treasury for 
the management of designated public waters to improve natural 
wild rice production. 
    (c) Any money not otherwise appropriated from the wild rice 
management account, and any monetary interest accrued to the 
state as a result of this money, shall remain in the wild rice 
management account until appropriated. 
    Sec. 6.  Minnesota Statutes 1986, section 97A.205, is 
amended to read: 
    97A.205 [ENFORCEMENT OFFICER POWERS.] 
    An enforcement officer is authorized to:  
    (1) execute and serve court issued warrants and processes 
relating to wild animals, wild rice, public waters, water 
pollution, conservation, and use of water, in the same manner as 
a constable or sheriff;  
    (2) enter any land to carry out the duties and functions of 
the division;  
    (3) make investigations of violations of the game and fish 
laws;  
    (4) take an affidavit, if it aids an investigation;  
    (5) arrest, without a warrant, a person that who is 
detected in the actual violation of the game and fish laws, a 
provision of chapters 84A, 85, 86A, 88 to 106A, 361, sections 
89.51 to 89.61 and 18.431 to 18.436; 609.66, subdivision 1, 
clauses (1), (2), (5), and (7); and 609.68; and 
    (6) take an arrested person before a court in the county 
where the offense was committed and make a complaint.  
    Sec. 7.  Minnesota Statutes 1986, section 97A.441, 
subdivision 5, is amended to read:  
    Subd. 5.  [ANGLING; DISABLED VETERANS.] A person authorized 
to issue licenses must issue, without a fee, a permanent license 
to take fish by angling to a resident that who is a veteran, as 
defined in section 197.447, and that has a 100 percent service 
connected disability as defined by the United States Veterans 
Administration upon being furnished satisfactory evidence. 
    Sec. 8.  Minnesota Statutes 1986, section 97A.445, 
subdivision 3, is amended to read:  
    Subd. 3.  [ANGLING AND SPEARING; DISABLED RAILROAD AND 
POSTAL RETIREES.] A license is not required to take fish by 
angling or spearing for a resident that is: 
    (1) receiving aid under the federal Railroad Retirement Act 
of 1937, United States Code Annotated, title 45, section 
228b(a)5; or 
    (2) a former employee of the United States Postal Service 
receiving disability pay under United States Code Annotated, 
title 4 5, section 8337.  
    Sec. 9.  Minnesota Statutes 1986, section 97A.465, 
subdivision 4, is amended to read:  
    Subd. 4.  [DISCHARGED RESIDENT; OBTAINING DEER LICENSE 
DURING SEASON.] Notwithstanding section 97A.481 97A.485, 
subdivision 9, a resident that who is discharged from the United 
States armed forces during, or within ten days before, the 
firearms deer season may, upon showing the official discharge 
paper, obtain a firearm deer license during the season.  
    Sec. 10.  Minnesota Statutes 1986, section 97A.501, 
subdivision 2, is amended to read:  
    Subd. 2.  [ENDANGERED SPECIES.] A person may not take, 
import, transport, or sell an endangered species of wild animal, 
or sell, or possess with intent to sell an article made from the 
parts of a wild animal, except as provided in section 84.0894 
84.0895.  
    Sec. 11.  Minnesota Statutes 1986, section 97A.545, 
subdivision 4, is amended to read: 
    Subd. 4.  [UNDRESSED GAME BIRDS TAKEN IN ADJACENT STATES.] 
A person may transport into the state dressed undressed game 
birds that are lawfully taken and possessed in adjacent states.  
A resident may ship the undressed game birds by common carrier 
within the state.  A nonresident may ship the undressed game 
birds out of the state by common carrier.  Each shipment must be 
tagged or sealed by a conservation officer as prescribed by the 
commissioner.  
    Sec. 12.  Minnesota Statutes 1986, section 97B.315, is 
amended to read: 
    97B.315 [CROSSBOW PERMITS.] 
    The commissioner may issue a special permit, without a fee, 
to take deer with a crossbow to a person that is unable to hunt 
in another manner because of a permanent physical disability.  
The disability, established by medical evidence, and the 
inability to hunt in another manner must be verified in writing 
by a licensed physician.  The person must obtain an archery deer 
license.  The crossbow must:  
    (1) be fired from the shoulder;  
    (2) deliver at least 42 foot-pounds of energy at a distance 
of ten feet;  
    (3) have a stock at least 30 inches long;  
    (4) have a working safety; and 
    (5) be used with arrows or bolts of at least ten inches 
long with a broadhead.  
    Sec. 13.  Minnesota Statutes 1986, section 97B.921, is 
amended to read: 
    97B.921 [OTTER SEASONS.] 
    The commissioner may establish open seasons for otter 
between October 25 and April 30.  The open season in an area may 
not exceed 30 days.  Otter may be taken only by trapping and the 
taking is subject to restrictions prescribed by the commissioner.
    Sec. 14.  Minnesota Statutes 1986, section 97B.925, is 
amended to read: 
    97B.925 [BEAVER SEASONS.] 
    The commissioner may establish open seasons for beaver 
between October 25 and April 30.  Beaver may be taken only by 
trapping and the taking is subject to restrictions prescribed by 
the commissioner.  
    Sec. 15.  Minnesota Statutes 1986, section 115A.162, is 
amended to read: 
    115A.162 [HAZARDOUS WASTE PROCESSING FACILITY LOANS.] 
    The board shall review applications for hazardous waste 
processing facility loans received by the economic development 
authority and forwarded to the board under section 116J.90, 
subdivision 4a 116M.07, subdivision 9.  The board may certify a 
loan application only if it determines that: 
    (1) the applicant has demonstrated that the proposed 
facility is technically feasible;  
    (2) the applicant has made a reasonable assessment of the 
market for the services offered by the proposed facility;  
    (3) the applicant has agreed to provide funds for the 
proposed facility in an amount equal to at least 25 percent of 
the capital cost of the facility excluding land acquisition cost;
    (4) the applicant has agreed to pay the cost of any land 
acquisition necessary to develop the facility; and 
    (5) the facility will contribute in a significant way to 
achievement of the policies and objectives of the hazardous 
waste management plan and, in particular, to reduce the need for 
and practice of hazardous waste disposal.  
    As a condition of its certification the board may require 
an applicant to agree to provide funds in excess of 25 percent 
of the capital cost of the facility in addition to any land 
acquisition costs.  In certifying an application or in 
determining the share of the capital costs that will be provided 
by the loan, the board may consider the types and volumes of 
hazardous waste that will be handled by the facility, the number 
of generators served by the facility, and the extent to which 
the facility serves the need of smaller businesses that generate 
hazardous waste.  The board may establish additional criteria 
for certifying loan applications consistent with the provisions 
of this section.  
    The board may adopt emergency rules under sections 14.29 to 
14.36 to implement the loan program.  Emergency rules adopted by 
the board remain in effect for 360 days or until permanent rules 
are adopted, whichever occurs first.  
    Sec. 16.  Minnesota Statutes 1986, section 136A.06, is 
amended to read: 
    136A.06 [FEDERAL FUNDS.] 
    The higher education coordinating board is designated the 
state agency to apply for, receive, accept, and disburse to both 
public and private institutions of higher education all federal 
funds which are allocated to the state of Minnesota to support 
higher education programs, construction, or other activities and 
which require administration by a state higher education agency 
under the Higher Education Facilities Act of 1963, and any 
amendments thereof, the Higher Education Act of 1965, and any 
amendments thereof, and any other law which provides funds for 
higher education and requires administration by a state higher 
education agency as enacted or may be enacted by the Congress of 
the United States; provided that no commitment shall be made 
that shall bind the legislature to make appropriations beyond 
current allocations of funds.  The board may apply for, receive, 
accept, and disburse all administrative funds available to the 
board for administering federal funds to support higher 
education programs, construction or other activities.  The board 
also may apply for, receive, accept, and disburse any research, 
planning, or program funds which are available for purposes 
consistent with the provisions of this chapter.  In making 
application for and administering federal funds the board may 
comply with any and all requirements of federal law and federal 
rules and regulations to enable it to receive and accept such 
funds.  The expenditure of any such funds received shall be 
governed by the laws of the state, except insofar as federal 
regulations may otherwise provide.  The board may contract with 
both public and private institutions in administering federal 
funds, and such contracts shall not be subject to the provisions 
of chapter 16 16B.  All such moneys received by the board shall 
be deposited in the state treasury and are hereby appropriated 
to it annually for the purpose for which such funds are received.
None of such moneys shall cancel but shall be available until 
expended. 
    Sec. 17.  Minnesota Statutes 1986, section 147.09, is 
amended to read:  
    147.09 [EXEMPTIONS.] 
    Section 147.10 147.081 does not apply to, control, prevent 
or restrict the practice, service, or activities of:  
    (1) A person who is a commissioned medical officer of, a 
member of, or employed by, the armed forces of the United 
States, the United States Public Health Service, the Veterans 
Administration, any federal institution or any federal agency 
while engaged in the performance of official duties within this 
state, if the person is licensed elsewhere.  
    (2) A licensed physician from a state or country who is in 
actual consultation here.  
    (3) A licensed or registered physician who treats the 
physician's homestate patients or other participating patients 
while the physicians and those patients are participating 
together in outdoor recreation in this state as defined by 
section 86A.03, subdivision 3.  A physician shall first register 
with the board on a form developed by the board for that 
purpose.  The board shall not be required to promulgate the 
contents of that form by rule.  No fee shall be charged for this 
registration.  
    (4) A student practicing under the direct supervision of a 
preceptor while the student is enrolled in and regularly 
attending a recognized medical school.  
    (5) A student who is in continuing training and performing 
the duties of an intern or resident or engaged in postgraduate 
work considered by the board to be the equivalent of an 
internship or residency in any hospital or institution approved 
for training by the board. 
    (6) A person employed in a scientific, sanitary or teaching 
capacity by the state university, the state department of 
education, or by any public or private school, college, or other 
bona fide educational institution, or the state department of 
health, whose duties are entirely of a public health or 
educational character, while engaged in such duties. 
    (7) Physician's assistants registered in this state.  
    (8) A doctor of osteopathy duly licensed by the state board 
of osteopathy under Minnesota Statutes 1961, sections 148.11 to 
148.16, prior to May 1, 1963, who has not been granted a license 
to practice medicine in accordance with this chapter provided 
that the doctor confines activities within the scope of the 
license. 
    (9) Any person licensed by a health related licensing 
board, as defined in section 214.01, subdivision 2, or 
registered by the commissioner of health pursuant to section 
214.13, including licensed psychologists with respect to the use 
of hypnosis; provided that the person confines activities within 
the scope of the license.  
    (10) A Christian Scientist or other person who endeavors to 
prevent or cure disease or suffering exclusively by mental or 
spiritual means or by prayer, or who practices ritual 
circumcision pursuant to the requirements or tenets of any 
established religion. 
    Sec. 18.  Minnesota Statutes 1986, section 160.283, 
subdivision 1, is amended to read:  
    Subdivision 1.  It is hereby found and declared that the 
development and promotion of the tourist industry is important 
to the economic welfare of the state.  It is further found that 
the control and regulation of outdoor advertising and the 
consequential removal of certain advertising devices has 
adversely affected many resorts through though such regulation 
and control of outdoor advertising is in the general interest of 
the people and is necessary to conserve the natural beauty of 
areas adjacent to highways and roads of the state.  The 
legislature finds that in order to alleviate hardships on the 
tourist industry caused by limitations imposed on the use of 
outdoor advertising along certain local highways and roads and 
to also conserve the natural beauty of areas adjacent to such 
local highways and roads, it is necessary that devices, 
directional in nature, be erected on certain local highways and 
roads as hereinafter provided for the purpose of guiding 
tourists and other travelers to their destination, and that such 
directional devices be standardized and the design therefor and 
distribution thereof be controlled by the department of 
transportation with the counties participating therein. 
    Sec. 19.  Minnesota Statutes 1986, section 171.05, 
subdivision 3, is amended to read: 
    Subd. 3.  Notwithstanding any provision in subdivision 1 to 
the contrary, the department, upon application and payment of 
the fee prescribed in section 65B.481 171.02, subdivision 3, may 
issue a motorized bicycle instruction permit to an applicant who 
is 15 years of age and who has successfully completed the 
written portion of the examination prescribed by the 
commissioner.  The holder of this instruction permit who has the 
permit in possession may operate a motorized bicycle within one 
mile of the holder's residence for the purpose of practicing to 
take the operator portion of the examination prescribed by the 
commissioner. 
    Sec. 20.  Minnesota Statutes 1986, section 246.51, 
subdivision 1, is amended to read: 
    Subdivision 1.  [PROCEDURES.] The commissioner shall make 
investigation as necessary to determine, and as circumstances 
require redetermine, what part of the cost of care, if any, the 
patient is able to pay.  If the patient is unable to pay the 
full cost of care the commissioner shall make a determination as 
to the ability of the relatives to pay.  The patient or 
relatives or both shall provide the commissioner documents and 
proofs necessary to determine their ability to pay.  Failure to 
provide the commissioner with sufficient information to 
determine ability to pay may make the patient or relatives, or 
both, liable for the full cost of care until the time when 
sufficient information is provided.  No parent shall be liable 
for the cost of care given a patient at a regional treatment 
center after the patient has reached the age of 18 years.  The 
commissioner's determination shall be conclusive in any action 
to enforce payment of the cost of care unless appealed from as 
provided in section 246.55.  All money received, except for 
chemical dependency receipts, shall be paid to the state 
treasurer and placed in the general fund of the state and a 
separate account kept of it.  Responsibility under this section 
shall not apply to those relatives having gross earnings of less 
than $11,000 per year.  
    Sec. 21.  Minnesota Statutes 1986, section 246A.02, is 
amended to read: 
    246A.02 [CREATION OF CORPORATION.] 
    There is created a corporation which shall be public in 
nature.  The corporation shall be known as .................. 
Ramsey Health Care, Inc.  The purpose of the corporation is to 
engage in the provision and delivery of health care and related 
services, including education and research. 
    Sec. 22.  Minnesota Statutes 1986, section 246A.13, 
subdivision 1, is amended to read:  
    Subdivision 1.  [CORPORATION AS CONTINUATION OF 
COMMISSION.] The hospital subsidiary corporation created by 
section 246A.02 246A.06, subdivision 3 shall be considered a 
continuation of the St. Paul Ramsey Medical Center commission 
and not the creation of a new authority.  The subsidiary 
corporation succeeds to all rights and contractual obligations 
of the commission with the same force and effect as if those 
rights and obligations had been continued in the commission 
itself.  
    Sec. 23.  Minnesota Statutes 1986, section 246A.12, 
subdivision 7, is amended to read: 
    Subd. 7.  [POLITICAL SUBDIVISION.] Solely for the purpose 
of establishing equitable compensation relationships, the 
hospital subsidiary corporation shall be considered a political 
subdivision pursuant to Laws 1984, chapter 651.  Unless 
expressly provided otherwise in Laws 1986, chapter 462, sections 
1 to 29 sections 246A.01 to 246A.27, this subdivision shall not 
be construed to mean that the hospital subsidiary corporation is 
a political subdivision for any other purpose.  
    Sec. 24.  Minnesota Statutes 1986, section 271.15, is 
amended to read:  
    271.15 [WHO MAY ADMINISTER OATHS.] 
    The commissioner of revenue, each judge of the tax court, 
the administrator and court administrators of the tax court, and 
all other officers and employees of the department and of the 
tax court shall, respectively, have power to administer oaths 
and to take and certify acknowledgments so far as they may deem 
necessary to the proper discharge of their respective duties, 
and may authenticate the same with the seal of the department or 
the tax court, as the case may be.  The commissioner of revenue 
and any officer and employee of the department shall no longer 
exercise this power in any matter that has been appealed to the 
tax court. 
    Sec. 25.  Minnesota Statutes 1986, section 273.13, 
subdivision 22, is amended to read:  
    Subd. 22.  [CLASS 1.] (a) Except as provided in subdivision 
23, real estate which is residential and used for homestead 
purposes is class 1.  The market value of class 1a property must 
be determined based upon the value of the house, garage, and 
land.  
    The first $64,000 of market value of class 1a property must 
be assessed at 18 percent of its market value.  The homestead 
value of class 1a property that exceeds $64,000 must be assessed 
at 28 percent of its value. 
    (b) Class 1b property includes real estate or manufactured 
homes used for the purposes of a homestead by 
    (1) any blind person, if the blind person is the owner 
thereof or if the blind person and the blind person's spouse are 
the sole owners thereof; or 
    (2) any person, hereinafter referred to as "veteran," who: 
    (i) served in the active military or naval service of the 
United States; and 
    (ii) is entitled to compensation under the laws and 
regulations of the United States for permanent and total 
service-connected disability due to the loss, or loss of use, by 
reason of amputation, ankylosis, progressive muscular 
dystrophies, or paralysis, of both lower extremities, such as to 
preclude motion without the aid of braces, crutches, canes, or a 
wheelchair; and 
    (iii) with assistance by the administration of veterans 
affairs has acquired a special housing unit with special 
fixtures or movable facilities made necessary by the nature of 
the veteran's disability, or the surviving spouse of the 
deceased veteran for as long as the surviving spouse retains the 
special housing unit as a homestead; or 
    (3) any person who: 
    (i) is permanently and totally disabled and 
    (ii) receives 90 percent or more of total income from 
    (A) aid from any state as a result of that disability; or 
    (B) supplemental security income for the disabled; or 
    (C) workers' compensation based on a finding of total and 
permanent disability; or 
    (D) social security disability, including the amount of a 
disability insurance benefit which is converted to an old age 
insurance benefit and any subsequent cost of living increases; 
or 
    (E) aid under the Federal Railroad Retirement Act of 1937, 
United States Code Annotated, title 45, section 228b(a)5; or 
    (F) a pension from any local government retirement fund 
located in the state of Minnesota as a result of that disability.
    Property is classified and assessed pursuant to clause (1) 
only if the commissioner of human services jobs and training 
certifies to the assessor that the owner of the property 
satisfies the requirements of this subdivision.  The 
commissioner of human services jobs and training shall provide a 
copy of the certification to the commissioner of revenue.  
    Class 1b property is valued and assessed as follows:  in 
the case of agricultural land, including a manufactured home, 
used for a homestead, the first $32,000 of market value shall be 
valued and assessed at five percent, the next $32,000 of market 
value shall be valued and assessed at 14 percent, and the 
remaining market value shall be valued and assessed at 18 
percent; and in the case of all other real estate and 
manufactured homes, the first $32,000 of market value shall be 
valued and assessed at five percent, the next $32,000 of market 
value shall be valued and assessed at 18 percent, and the 
remaining market value shall be valued and assessed at 28 
percent.  In the case of agricultural land including a 
manufactured home used for purposes of a homestead, the 
commissioner of revenue shall adjust, as provided in section 
273.1311, the maximum amount of the market value of the 
homestead brackets subject to the five percent and 18 percent 
rates; and for all other real estate and manufactured homes, the 
commissioner of revenue shall adjust, as provided in section 
273.1311, the maximum amount of the market value of the 
homestead brackets subject to the five percent and 18 percent 
rates.  Permanently and totally disabled for the purpose of this 
subdivision means a condition which is permanent in nature and 
totally incapacitates the person from working at an occupation 
which brings the person an income. 
    (c) Class 1c property is commercial use real property that 
abuts a lakeshore line and is devoted to temporary and seasonal 
residential occupancy for recreational purposes but not devoted 
to commercial purposes for more than 200 days in the year 
preceding the year of assessment, and that includes a portion 
used as a homestead by the owner.  It must be assessed at 12 
percent of market value with the following limitation:  the area 
of the property must not exceed 100 feet of lakeshore footage 
for each cabin or campsite located on the property up to a total 
of 800 feet and 500 feet in depth, measured away from the 
lakeshore. 
    (d) The tax to be paid on class 1a or class 1b property, 
less any reduction received pursuant to sections 273.123 and 
473H.10, shall be reduced by 54 percent of the tax imposed on 
the first $68,000 of market value.  The amount of the reduction 
shall not exceed $700. 
    Sec. 26.  Minnesota Statutes 1986, section 275.125, 
subdivision 11c, is amended to read: 
    Subd. 11c.  [HAZARDOUS SUBSTANCE CAPITAL EXPENDITURE LEVY.] 
In addition to the levy authorized in subdivisions subdivision 
11a and 11b, each year a school district may levy an amount not 
to exceed the amount equal to $25 times the total pupil units in 
the year to which the levy is attributable.  No levy under this 
subdivision shall exceed two mills times the adjusted assessed 
valuation of the property in the district for the preceding 
year.  The proceeds of the tax shall be placed in the district's 
capital expenditure fund and may be used only for expenditures 
necessary for the removal or encapsulation of asbestos from 
school buildings or property, asbestos related repairs, cleanup 
and disposal of polychlorinated biphenyls found in school 
buildings or property, or the cleanup, removal, disposal, and 
repairs related to storing transportation fuels such as alcohol, 
gasoline, fuel oil, and special fuel, as defined in section 
296.01. 
    Sec. 27.  Minnesota Statutes 1986, section 290.01, 
subdivision 20b, is amended to read: 
    Subd. 20b.  [MODIFICATIONS REDUCING FEDERAL ADJUSTED GROSS 
INCOME.] There shall be subtracted from federal adjusted gross 
income: 
     (1) interest income on obligations of any authority, 
commission or instrumentality of the United States to the extent 
includable in gross income for federal income tax purposes but 
exempt from state income tax under the laws of the United States;
     (2) the portion of any gain, from the sale or other 
disposition of property having a higher adjusted basis for 
Minnesota income tax purposes than for federal income tax 
purposes, that does not exceed such difference in basis; but if 
such gain is considered a long-term capital gain for federal 
income tax purposes, the modification shall be limited to 40 per 
centum of the portion of the gain; 
     (3) losses, not otherwise reducing federal adjusted gross 
income assignable to Minnesota, arising from events or 
transactions which are assignable to Minnesota under the 
provisions of sections 290.17 to 290.20, including any capital 
loss or net operating loss carryforwards or carrybacks or out of 
state loss carryforwards resulting from the losses, and 
including any farm loss carryforwards or carrybacks; 
      (4) if included in federal adjusted gross income, the 
amount of any overpayment of income tax to Minnesota, or any 
other state, for any previous taxable year, whether the amount 
is received as a refund or credited to another taxable year's 
income tax liability; 
      (5) the amount of any distribution from a qualified pension 
or profit-sharing plan included in federal adjusted gross income 
in the year of receipt to the extent of any contribution not 
previously allowed as a deduction by reason of a change in 
federal law which was not adopted by Minnesota law for a taxable 
year beginning in 1974 or later; 
      (6) pension income as provided by section 290.08, 
subdivision 26; 
      (7) the first $3,000 of compensation for personal services 
in the armed forces of the United States or the United Nations, 
and the next $2,000 of compensation for personal services in the 
armed forces of the United States or the United Nations wholly 
performed outside the state of Minnesota.  This modification 
does not apply to compensation defined in clause (6); 
     (8) unemployment compensation to the extent includable in 
gross income for federal income tax purposes under section 85 of 
the Internal Revenue Code of 1954; 
      (9) for an estate or trust, the amount of any income or 
gain which is not assignable to Minnesota under the provisions 
of section 290.17; 
      (10)(a) income from the business of mining as defined in 
section 290.05, subdivision 1, clause (a) which is not subject 
to the Minnesota income tax; (b) to the extent included in 
computing federal adjusted gross income, expenses and other 
items allocable to the business of mining or producing iron ore, 
the mining or production of which is subject to the occupation 
tax imposed by section 298.01, subdivision 1, shall be allowed 
as a subtraction to the extent that the expenses or other items 
are included in computing the modifications provided in 
subdivision 20a, clause (7) or paragraph (a) of this clause and 
to the extent that the expenses or other items are not 
deductible, capitalizable, retainable in basis, or taken into 
account by allowance or otherwise in computing the occupation 
tax.  Occupation taxes imposed under chapter 298, royalty taxes 
imposed under chapter 299, and depletion expenses may not be 
subtracted under this paragraph; 
    (11) to the extent included in federal adjusted gross 
income, distributions from a qualified governmental pension plan 
which represent a return of designated employee contributions to 
the plan and which contributions were included in gross income 
pursuant to Minnesota Statutes 1984, section 290.01, subdivision 
20a, clause (18).  The provisions of this clause shall apply 
before the provisions of clause (6) apply and an amount 
subtracted under this clause may not be subtracted under clause 
(6); and 
    (12) to the extent included in federal adjusted gross 
income, distributions from an individual retirement account 
which represent a return of contributions if the contributions 
were included in gross income pursuant to Minnesota Statutes 
1984, section 290.01, subdivision 20a, clause (17).  The 
distribution shall be allocated first to return of contributions 
included in gross income until the amount of the contributions 
has been exhausted; and 
    (13) to the extent included in federal adjusted gross 
income, income related to disposition of property used in a 
family farm business as provided by section 290.08, subdivision 
27. 
    Sec. 28.  Minnesota Statutes 1986, section 296.14, 
subdivision 4, is amended to read:  
    Subd. 4.  [PAYMENT AND TRANSFER OF TAX ON GASOLINE SOLD FOR 
STORAGE IN ON-FARM BULK STORAGE AND ETHYL ALCOHOL FOR PERSONAL 
USE.] Notwithstanding the provisions of this section, the 
producer of ethyl alcohol which is produced for personal use and 
not for sale in the usual course of business and a farmer who 
uses gasoline on which a tax has not been paid shall report and 
pay the tax on all ethyl alcohol or gasoline delivered into the 
supply tank of a licensed motor vehicle during the preceding 
calendar year.  The tax shall be reported and paid together with 
any refund claim filed by the taxpayer under section 296.18.  If 
no refund claim is filed, the tax shall be reported and paid 
annually by March 15 or more frequently, as the commissioner may 
prescribe.  Any producer, qualifying under this subdivision, 
shall be exempt from the licensing requirements contained in 
section 296.01 296.06, subdivision 1. 
    Sec. 29.  Minnesota Statutes 1986, section 322A.70, is 
amended to read: 
    322A.70 [REGISTRATION.] 
    Before transacting business in this state, a foreign 
limited partnership shall register with the secretary of state.  
In order to register, a foreign limited partnership shall submit 
to the secretary of state, in duplicate, an application for 
registration as a foreign limited partnership, signed and sworn 
to by a general partner and setting forth: 
    (1) the name of the foreign limited partnership and, if 
different, the name under which it proposes to register and 
transact business in this state; 
    (2) the state and date of its formation; 
    (3) the name and address of any agent for service of 
process on the foreign limited partnership whom the foreign 
limited partnership elects to appoint; the agent must be an 
individual resident of this state, a domestic corporation, or a 
foreign corporation having a place of business in, and 
authorized to do business in, this state; 
    (4) a statement that the secretary of state is appointed 
the agent of the foreign limited partnership for service of 
process if no agent has been appointed under paragraph (4) (3) 
or, if appointed, the agent's authority has been revoked or if 
the agent cannot be found or served with the exercise of 
reasonable diligence; 
    (5) the address of the office required to be maintained in 
the state of its organization by the laws of that state or, if 
not so required, of the principal office of the foreign limited 
partnership; 
    (6) the name and business address of each general partner; 
and 
    (7) the address of the office at which is kept a list of 
the names and addresses of the limited partners and their 
capital contributions, together with an undertaking by the 
foreign limited partnership to keep those records until the 
foreign limited partnership's registration in this state is 
canceled or withdrawn. 
    Sec. 30.  Minnesota Statutes 1986, section 326.03, 
subdivision 2, is amended to read: 
    Subd. 2.  Nothing contained in sections 326.02 to 326.15 
shall prevent persons from advertising and performing services 
such as consultation, investigation, or evaluation in connection 
with, or from making plans and specifications for, or from 
supervising, the erection, enlargement, or alteration of any of 
the following buildings: 
    (a) Dwellings for single families, and outbuildings in 
connection therewith, such as barns and private garages; 
    (b) Two family dwellings; 
    (c) Any farm building or accessory thereto; or 
    (d) Temporary buildings or sheds used exclusively for 
construction purposes, not exceeding two stories in height, and 
not used for living quarters; 
    (e) Any public work or public improvement done by a public 
body in this state, the cost of which does not exceed $100,000, 
provided that plans and specifications for such work or 
improvement affecting water supply or waste disposal are 
approved by the appropriate state agency; or 
    (f) Any building, structure, or work, the total cost of 
which does not exceed $100,000. 
    Sec. 31.  Minnesota Statutes 1986, section 326.06, is 
amended to read: 
    326.06 [GENERAL POWERS AND DUTIES OF BOARD.] 
    Each member of the board shall receive a certificate of 
appointment from the governor, and, before beginning a term of 
office, shall file with the secretary of state the 
constitutional oath of office.  The board shall adopt and have 
an official seal, which shall be affixed to all licenses 
granted; shall make all rules, not inconsistent with law, needed 
in performing its duties; and shall fix standards for 
determining the qualifications of applicants for certificates, 
which shall not exceed the requirements contained in the 
curriculum of a recognized school of architecture, landscape 
architecture or engineering.  The board shall make rules to 
define classes of buildings with respect to which persons 
performing services described in section 326.03, subdivision 2, 
may be exempted from the provisions of sections 326.02 to 
326.15, by a finding of no probable risk to life, health, 
property or public welfare.  These rules shall be promulgated on 
or before July 1, 1979.  Upon the adoption of these rules, 
section 326.03, subdivision 2, clauses (e) and (f), are 
superseded and of no effect. 
    Sec. 32.  Minnesota Statutes 1986, section 327C.07, 
subdivision 3a, is amended to read: 
    Subd. 3a.  [SAFETY FEATURE DISCLOSURE FORM.] A resident or 
a resident's agent shall disclose information about safety 
features of the home to the prospective buyer.  The information 
must be given to the buyer before the sale, in writing, in the 
following form:  
    This form is required by law to be filled out and given to 
the prospective buyer of any used manufactured home by all 
private parties, dealers, and brokers.  
    This home has at least one egress window in each bedroom, 
or a window in each bedroom that meets the specifications of the 
American National Standard Institute 1972 Standard A119.1 
covering manufactured homes made in Minnesota.  This standard 
requires that the window be at least 22 inches in least 
dimension, and at least five square feet in area, and that the 
window be not more than four feet off the floor.  Egress windows 
installed in compliance with the United States Department of 
Housing and Urban Development Manufactured Home Standards or the 
State Building Code are deemed to meet the requirements of this 
section.  
                              Yes .....    No ..... 
    This home has ...... (number) of exits.  They are located 
................................... .  
    This home is equipped with fire extinguishers as required 
by the Minnesota state health department.  
                              Yes .....    No ..... 
      They are located ...................................... 
.......................................................  
      This home is equipped with at least one listed automatic 
smoke detector outside each sleeping area as required in homes 
built in accordance with the state building code.  
                              Yes .....    No ..... 
      This home has aluminum electrical wiring.  
                              Yes .....    No ..... 
      Aluminum electrical wiring can present a fire hazard in 
homes.  The special hazards presented by aluminum electrical 
wiring can be eliminated by certain repairs, as recommended by 
the United States Consumer Product Safety Commission.  
      A.  The wiring connections to the outlets in this home have 
been crimped, and the connection point is now copper. 
                              Yes .....    No ..... 
      B.  This home has electrical outlets and switches 
compatible with aluminum electrical wiring. 
                              Yes .....    No ..... 
      C.  Other action has been taken to eliminate or reduce the 
danger caused by aluminum electrical wiring in this home.  
(Describe) 
.......................................................... 
.......................................................... (The 
buyer may check the effectiveness of these methods by contacting 
the United States Consumer Product Safety Commission.) 
      The furnace compartment in this home is lined with gypsum 
board, as specified in the 1976 United States Department of 
Housing and Urban Development codes governing manufactured 
housing construction.  
                              Yes .....    No ..... 
      The water heater enclosure in this home is lined with 
gypsum board, as specified in the 1976 United States Department 
of Housing and Urban Development codes governing manufactured 
housing construction.  
                              Yes .....    No ..... 
      This home contains a solid fuel burning stove.  This stove 
was installed by the manufacturer of the home after June 15, 
1976, and was inspected for compliance with the United States 
Department of Housing and Urban Development Manufactured Home 
Standards.  
                              Yes .....    No ..... 
      This home contains a solid fuel burning stove.  This stove 
unit is approved for installation in manufactured homes.  It was 
installed by ......................... in accordance with the 
manufacturer's guidelines.  A building permit for this stove was 
issued by the city of ...................., and this stove 
installation has been approved by the building official.  
                              Yes .....    No ..... 
      This home contains a solid fuel burning fireplace.  The 
fireplace was installed by the manufacturer of the home after 
June 15, 1976, and was inspected for compliance with the United 
States Department of Housing and Urban Development Manufactured 
Home Standards.  
                              Yes .....    No ..... 
      This home contains a solid fuel burning fireplace.  This 
fireplace unit is approved for installation in manufactured 
homes.  It was installed by ......................... in 
accordance with the manufacturer's guidelines.  A building 
permit for this fireplace was issued by the city of 
...................., and this fireplace installation has been 
approved by the building official.  
                              Yes .....    No ..... 
    This home is supported by a support system, as required by 
state code since September 1, 1974.  
                              Yes .....    No ..... 
    It is also recommended that the buyer check the home's heat 
tape.  Old and worn heat tape, and improper installation of heat 
tape, can cause a fire hazard.  
    It is recommended that the buyer have a qualified utility 
representative check the furnace and water heater to see that 
they are both in good working order.  If this home was converted 
from oil to natural gas heat, there could be safety problems if 
the conversion was not done correctly.  A utility representative 
or building official can inspect the condition and installation 
of this equipment.  They may charge a reasonable fee to do so.  
It is also recommended that the buyer check the floor area 
around the water heater and furnace compartments.  A weakened 
floor can create a fire hazard.  
    It is also recommended that the buyer have a utility 
approved energy audit of the home.  
    If you purchase the home, you will be required to install 
egress windows within one year and smoke detectors and fire 
extinguishers within 30 days.  You will be required to comply 
with all of the safety features contained in this form within 
three years.  
    I, .........................., the undersigned, hereby 
declare that the above information is true and correct to the 
best of my knowledge.  
                              .......................... 
                              Signature 
                              ..........................
                              Date
    A park owner shall provide a resident or a resident's agent 
with a copy of the safety feature disclosure form upon request.  
    Sec. 33.  Minnesota Statutes 1986, section 349.2121, 
subdivision 3, is amended to read: 
    Subd. 3.  [SUSPENSION, REVOCATION.] The commissioner, after 
notice and hearing, may for reasonable cause revoke or suspend a 
permit held by a distributor.  A notice must be sent to the 
distributor at least 30 days before the hearing and give notice 
of the time and place of the hearing, must give the reason for 
the proposed suspension or revocation, and must require the 
distributor to show cause why the proposed action should not be 
taken.  The notice may be served personally or by mail in the 
manner prescribed for service of notice of a deficiency.  The 
commissioner may not issue a new permit after revocation except 
upon application accompanied by reasonable evidence of the 
intention of the applicant to comply with all applicable laws 
and rules.  
    Sec. 34.  Minnesota Statutes 1986, section 354.05, 
subdivision 2, is amended to read: 
    Subd. 2.  [TEACHER.] "Teacher" includes any person who 
renders service as a teacher, supervisor, principal, 
superintendent, or librarian in the public schools of the state 
located outside of the corporate limits of the cities of the 
first class as those cities were so classified on January 1, 
1979, or in the state universities, or in any charitable or 
state institution including penal and corrective institutions 
supported, in whole or in part, by public funds, or who is 
engaged in educational administration in connection with the 
state public school system, including the state university 
system and state community college system, but excluding the 
University of Minnesota, whether the position be a public office 
or an employment, not including members of any general governing 
or managing board or body connected with the systems, or the 
officers of common, independent, special, or associated school 
districts, or unorganized territory.  The term shall also 
include an employee of the teachers retirement association 
unless the employee is covered by the Minnesota state retirement 
system by virtue of prior employment by the association, and any 
nurse, counselor, social worker, therapist or psychologist who 
renders service in the public schools as defined above or in 
state universities.  The term shall also include any person who 
renders teaching service on a part-time basis and who also 
renders other services for a school district.  In such cases, 
the teachers retirement association shall have the authority to 
determine whether all or none of the combined employment shall 
be covered by the teachers retirement association.  The term 
does not include an employee described in section 352D.02, 
subdivision 1a, clause (1), who is hired after the effective 
date of Laws 1986, chapter 458.  The term does not mean any 
person who works for a school or institution as an independent 
contractor.  The term shall not include any person employed in 
subsidized on-the-job training, work experience or public 
service employment as an enrollee under the federal 
Comprehensive Employment and Training Act from and after March 
30, 1978, unless the person has as of the later of March 30, 
1978 or the date of employment sufficient service credit in the 
retirement fund to meet the minimum vesting requirements for a 
deferred retirement annuity, or the employer agrees in writing 
on forms prescribed by the executive director to make the 
required employer contributions, including any employer 
additional contributions, on account of that person from revenue 
sources other than funds provided under the federal 
Comprehensive Training and Employment Act, or the person agrees 
in writing on forms prescribed by the executive director to make 
the required employer contribution in addition to the required 
employee contribution.  The term shall not include any person 
holding a part-time adult supplementary vocational technical 
school license who renders part-time teaching service in a 
vocational technical school if (1) the service is incidental to 
the regular nonteaching occupation of the person; and (2) the 
applicable vocational technical school stipulates annually in 
advance that the part-time teaching service will not exceed 300 
hours in a fiscal year; and (3) the part-time teaching service 
actually does not exceed 300 hours in a fiscal year.  The term 
also shall not include a person exempt from licensure pursuant 
to section 125.031 or any person who was excluded from 
membership prior to January 1, 1981 pursuant to Laws 1978, 
chapter 556, section 1 and Laws 1980, chapter 342, section 8, if 
the person annually certifies on a form prescribed by the 
executive director that the person has established and is 
contributing to an individual retirement account which is based 
on nonteaching employment. 
    Sec. 35.  Minnesota Statutes 1986, section 366.095, 
subdivision 1, is amended to read: 
    366.095 [AUTHORITY TO ISSUE CERTIFICATES OF INDEBTEDNESS.] 
    Subdivision 1.  [CERTIFICATES OF INDEBTEDNESS.] The town 
board may issue certificates of indebtedness within the existing 
debt limits for a town purpose otherwise authorized by law.  The 
certificates shall be payable in not more than five years and 
shall be issued on the terms and in the manner as the board may 
determine.  If the amount of the certificates to be issued to 
finance the purchase exceeds one percent of the assessed 
valuation of the town, excluding money and credits, they shall 
not be issued for at least ten days after publication in a 
newspaper of general circulation in the town of the board's 
resolution determining to issue them; and if before the end of 
that time, a petition asking for an election on the proposition 
signed by voters equal to ten percent of the number of voters at 
the last regular town election is filed with the clerk, the 
certificates shall not be issued until the proposition of their 
issuance has been approved by a majority of the votes cast on 
the question at a regular or special election.  A tax levy shall 
be made for the payment of the principal and interest on the 
certificates as in the case of bonds.  
    Sec. 36.  Minnesota Statutes 1986, section 378.43, 
subdivision 1, is amended to read: 
    Subdivision 1.  [PETITION.] 
    (a) A lake improvement district may be initiated by a 
petition to the county board.  The petition must state: 
    (1) the name of the proposed lake improvement district; 
    (2) the necessity of the proposed district to promote 
public health or public welfare; 
    (3) the benefits to property from the establishment of the 
lake improvement district; 
    (4) the boundaries of the proposed district which shall be 
encouraged to be as consistent as possible with natural 
hydrologic boundaries; 
    (5) a map of the proposed district; 
    (6) the number, from five to nine, of directors proposed 
for the district; and 
    (7) a request for establishing the district as proposed. 
    (b) A petition must be signed by 26 percent of the property 
owners within the proposed lake improvement district described 
in the petition.  Governmental subdivisions, other than the 
state or federal governments, owning lands within the proposed 
district are eligible to sign the petition. 
    (c) The petition must be filed with the county auditor and 
addressed to the board requesting the board to establish of a 
lake improvement district to develop and provide a program of 
water and related land resources management. 
    (d) The county board shall, at least 30 days before it acts 
on a petition, send the town board of a town wholly or partially 
within the boundaries of a proposed district a copy of the 
petition submitted under this subdivision and encourage the town 
board to respond to the proposed creation of the district.  
    Sec. 37.  Minnesota Statutes 1986, section 383A.404, 
subdivision 7, is amended to read:  
    Subd. 7.  [SALARIES PAYABLE OUT OF RAMSEY COUNTY TREASURY.] 
All annual salaries for the second judicial district court 
services community corrections department shall be payable out 
of the Ramsey county treasury.  
    Sec. 38.  Minnesota Statutes 1986, section 453.53, 
subdivision 3, is amended to read:  
    Subd. 3.  The initial board of directors of the municipal 
power agency, unless otherwise provided by the agency agreement, 
shall be elected prior to the filing of the agreement by a 
majority vote of the persons acting as representatives of the 
member cities, from among their member members.  After 
commencement of existence, the first meeting of the board of 
directors shall be held at the call of the directors, after 
notice, for the purpose of adopting the initial bylaws, electing 
officers, and for any other business that comes before the 
meeting. 
    Sec. 39.  Minnesota Statutes 1986, section 462A.20, 
subdivision 3, is amended to read:  
    Subd. 3.  Whenever any money are is appropriated by the 
state to the agency solely for a specified purpose or purposes, 
the agency shall establish a separate bookkeeping account or 
accounts in the housing development fund to record the receipt 
and disbursement of such money and of the income, gain, and loss 
from the investment and reinvestment thereof.  The agency may 
transfer unencumbered balances from one appropriated account to 
another, provided that no money appropriated for the purpose of 
agency loan programs may be transferred to an account to be used 
for making grants, except that money appropriated for the 
purpose of section 462A.05, subdivision 14a, may be transferred 
for the purpose of section 462A.05, subdivision 15a.  
    Sec. 40.  Minnesota Statutes 1986, section 462C.04, 
subdivision 2, is amended to read:  
    Subd. 2.  A public hearing shall be held on each program 
after one publication of notice in a newspaper circulating 
generally in the city, at least 15 days before the hearing.  On 
or before the day on which notice of the public hearing is 
published, the city shall submit the program to the metropolitan 
council, if the city is located in the metropolitan area as 
defined in section 473.121, subdivision 2, or to the regional 
development commission for the area in which the city is 
located, if any, for review and comment.  The appropriate 
reviewing agency shall comment on:  
    (a) whether the program is consistent with the housing plan 
of the city; and 
    (b) whether the program is consistent with the metropolitan 
development guide, if the city is located in the metropolitan 
area, or adopted policies of the regional development commission.
    Review of the program may be conducted either by the board 
of the reviewing agency or by the staff of the agency.  Any 
comment submitted by the reviewing agency to the city must be 
presented to the body considering the proposed program at the 
public hearing held on the program. 
    A member or employee of the reviewing agency shall be 
permitted to present the comments of the reviewing agency at the 
public hearing.  After conducting the public hearing, the 
program may be adopted with or without amendment, provided that 
any amendments must not be inconsistent with the comments, if 
any, of the reviewing agency and must not contain any material 
changes from the program submitted to the reviewing agency other 
than changes in the financial aspects of any proposed issue of 
bonds or obligations.  If any material change other than a 
change in the financial aspects of a proposed issue of bonds or 
obligations, or any change which is inconsistent with the 
comments of the reviewing agency is adopted, the amended program 
shall be resubmitted to the appropriate reviewing agency for 
review and comment, and a public hearing shall be held on the 
amended program after one publication of notice in a newspaper 
circulating generally in the city at least 15 days before the 
hearing.  The amended program shall be considered after the 
public hearing in the same manner as consideration of the 
initial program.  Each program shall be submitted to the 
Minnesota housing finance agency for review.  The agency shall 
reject any program that: 
    (a) does not comply with statewide housing policies; 
    (b) if implemented will cause a material adverse effect on 
financing programs of the agency, will subject the interest on 
future bonds of the agency to federal income tax under any 
limitations imposed at the time by federal law; 
    (c) provides for administrative and bond issuance costs 
that are unreasonable; or 
    (d) does not comply with all other requirements of sections 
462C.01 to 462C.08. 
    The agency shall have 30 days from submission to complete 
its review and reject a program.  Submission shall be the date 
on which a complete document describing the program is submitted 
to the agency.  If the agency rejects a program it shall 
communicate the fact of that rejection, in writing, to the 
city with within 15 days of the rejection.  If the agency fails 
to reject a program within 30 days of submission, or fails to 
communicate a rejection, in writing, to the city within 15 days 
of the rejection, then the agency is precluded from rejecting 
the program.  For purposes of sections 462C.01 to 462C.08, the 
agency's failure to reject a program is considered an approval 
of the program.  The agency may collect reasonable fees and 
charges in connection with its review of a city's housing 
program.  The fees and charges shall be limited to the amounts 
required to pay the actual costs to the agency. 
    The Minnesota housing finance agency, in cooperation with 
the metropolitan council and the regional development 
commissions, shall report annually to the legislature on the 
number and amounts of bond issues and the number of housing 
programs established pursuant to sections 462C.01 to 462C.08. 
    Sec. 41.  Minnesota Statutes 1986, section 462C.12, 
subdivision 2, is amended to read: 
    Subd. 2.  [POWERS.] The board is granted the following 
powers:  
    (a) The board may issue obligations and other forms of 
indebtedness under this section, subject to the terms and 
conditions set forth in the joint powers agreement, as may be 
from time to time amended. 
    (b) The board is authorized to exercise the powers 
conferred upon the cities of Minneapolis and St. Paul and their 
designated housing and redevelopment authorities, or the powers 
of an agency exercising the powers of a housing and 
redevelopment authority by this chapter and chapter 462 and any 
other general or special law of the state of Minnesota relating 
to housing or housing finance.  The powers which may be 
exercised by the board include, without limitation, the power to 
undertake and implement projects, developments, or programs, the 
power to issue and sell obligations and other forms of 
indebtedness payable exclusively from the revenues of the 
programs, projects, or developments undertaken by the board, or 
any of the powers the Minnesota housing finance agency may 
exercise under chapter 462A, provided that the obligations and 
other forms of indebtedness may be sold upon terms and 
conditions as the board may from time to time determine.  The 
board may exercise the powers conferred by this section only 
with respect to projects, programs, or developments within the 
corporate limits of the cities of Minneapolis and St. Paul, 
except as may be otherwise provided in a joint powers agreement 
entered into under section 471.59 between the board and any 
other city, housing and redevelopment authority, port authority 
or economic development authority established under sections 
458C.01 to 458C.23 in the state of Minnesota.  
    (c) For the purposes of section 462C.09 474A.07, the board 
may be authorized by the cities of Minneapolis and St. Paul, or 
by any other city with which the board enters into a joint 
powers agreement, to issue revenue bonds or obligations in an 
amount not to exceed the amount of bonds allocated by general or 
special law to such cities, or the board may issue mortgage 
credit certificates in lieu thereof.  
    Sec. 42.  Minnesota Statutes 1986, section 471.993, 
subdivision 1, is amended to read: 
    Subdivision 1.  [ASSURANCE OF REASONABLE RELATIONSHIP.] In 
preparing management negotiation positions for compensation 
established through collective bargaining under chapter 179 179A 
and in establishing, recommending, and approving compensation 
plans for employees of political subdivisions not represented by 
an exclusive representative under chapter 179 179A, the 
respective political subdivision as the public employer, as 
defined in section 179.63, subdivision 4 179A.03, subdivision 
15, or, where appropriate, the Minnesota merit system, shall 
assure that:  
    (1) compensation for positions in the classified civil 
service, unclassified civil service, and management bear 
reasonable relationship to one another;  
    (2) compensation for positions bear reasonable relationship 
to similar positions outside of that particular political 
subdivision's employment; and 
    (3) compensation for positions within the employer's work 
force bear reasonable relationship among related job classes and 
among various levels within the same occupational group.  
    Sec. 43.  Minnesota Statutes 1986, section 471A.03, 
subdivision 2, is amended to read: 
    Subd. 2.  [SERVICE CONTRACT.] Subject to the provisions of 
section 471A.09 471A.08, a municipality may enter into a service 
contract for a term of not more than 30 years.  However, the 
service contract may permit the municipality to either extend or 
renew the term of the service contract so long as the 
municipality is not bound under the service contract for an 
extended or renewal period of more than 30 years.  Under the 
service contract the municipality may, under terms and 
conditions agreed to by the municipality and the private vendor: 
    (1) obligate itself to pay or cause to be paid a service 
fee for the availability and use of the capital intensive public 
services to be furnished under the service contract; 
    (2) enter into other agreements relating to the service to 
be provided and which the municipality considers appropriate 
that are not otherwise contrary to law; and 
    (3) either pledge its full faith and credit or obligate a 
specific source of payment for the payment of the service fee 
and the performance of other obligations under the service 
contract and the payment of damages for failure to perform the 
obligations. 
    The obligation of the municipality to pay the service fee 
and perform any other permitted obligations under the service 
contract are not considered a debt within the meaning of any 
statutory or charter limitation, and no election is required as 
a precondition to the municipality entering into any permitted 
obligation or undertaking a project under a service contract. 
    Sec. 44.  Minnesota Statutes 1986, section 474A.09, is 
amended to read: 
    474A.09 [ALLOCATION OF STATE ENTITLEMENTS UNDER FEDERAL 
VOLUME LIMITATION ACT.] 
    The amount allocated to the department of finance under 
section 474A.08, subdivision 1, clause (1), may be allocated or 
reallocated by the commissioner of the department of finance 
internally among state issuers at any one time or from time to 
time during the calendar year, provided that 11.5 percent of the 
entitlement allocation is allocated to the iron range resources 
and rehabilitation commissioner.  Upon the request of a 
statutory city located in the taconite tax relief area that 
received an entitlement allocation under Minnesota Statutes 
1984, section 474.18, of $5,000,000 or more for calendar year 
1985, the iron range resources and rehabilitation commissioner 
shall enter into an agreement with the city whereby the 
commissioner issues obligations on behalf of the city, in an 
amount requested by the city but not to exceed 17 percent of the 
amount allocated to the commissioner under this subdivision 
section. 
    Sec. 45.  Minnesota Statutes 1986, section 604.06, is 
amended to read: 
    604.06 [FIREMAN'S RULE.] 
    The common law doctrine known as the fireman's rule shall 
not operate to deny any peace officer, as defined in section 
626.84, subdivision 1, clause (c), or section 352E.01 176B.01, 
subdivision 2, a recovery in any action at law or authorized by 
statute. 
    Sec. 46.  Minnesota Statutes 1986, section 609.53, 
subdivision 1, is amended to read:  
    Subdivision 1.  [PENALTY.] Any person who receives, 
possesses, transfers, buys or conceals any stolen property or 
property obtained by robbery, knowing or having reason to know 
the property was stolen or obtained by robbery, may be sentenced 
as follows: 
    (1) If the value of the property is $1,000 or more, to 
imprisonment for not more than ten years or to payment of a fine 
of not more than $20,000, or both; 
    (2) If the value of the property is less than $1,000, but 
more than $300, to imprisonment for not more than five years or 
to payment of a fine of not more than $10,000, or both;  
    (3) If the value of the property is $300 or less, to 
imprisonment for not more than 90 days or to payment of a fine 
of not less more than $700, or both;  
    (4) Notwithstanding the value of the property, if the 
property is a firearm, to imprisonment for not more than five 
years or to payment of a fine of not more than $10,000, or both. 
    Sec. 47.  Minnesota Statutes 1986, section 609.53, 
subdivision 1a, is amended to read:  
    Subd. 1a.  [PENALTY.] Any precious metal dealer as defined 
in section 325F.731, subdivision 2, or any person employed by a 
precious metal dealer as defined in section 325F.731, 
subdivision 2, who receives, possesses, transfers, buys or 
conceals any stolen property or property obtained by robbery, 
knowing or having reason to know the property was stolen or 
obtained by robbery, may be sentenced as follows: 
    (1) If the value of the property received, bought or 
concealed is $1,000 or more, to imprisonment for not more than 
ten years or to payment of a fine of not more than $50,000, or 
both; 
    (2) If the value of the property received, bought or 
concealed is less than $1,000 but more than $300, to 
imprisonment for not more than five years or to payment of a 
fine of not more than $40,000, or both;  
    (3) If the value of the property received, bought, or 
concealed is $300 or less, to imprisonment for not more than 90 
days or to payment of a fine of not less more than $700, or both.
    Sec. 48.  Minnesota Statutes 1986, section 645.02, is 
amended to read:  
    645.02 [EFFECTIVE DATE AND TIME OF LAWS.] 
    Each act, except one making appropriations, enacted finally 
at any session of the legislature takes effect on August 1 next 
following its final enactment, unless a different date is 
specified in the act.  A special law required to be approved by 
the local government unit affected before it goes into effect 
becomes effective as to the approving unit the day following the 
day on which the certificate of approval prescribed by section 
645.021, subdivision 1, is filed with the secretary of state, 
unless a later date is specified in the act.  When approval of 
such a special law is required by two or more local government 
units before it may become effective, the day after the day when 
the last of the required certificates is filed is the effective 
date, unless a later date is specified in the act.  
    An appropriation act or an act having appropriation items 
enacted finally at any session of the legislature takes effect 
at the beginning of the first day of July next following its 
final enactment, unless a different date is specified in the act.
    Each act takes effect at 12:01 a.m. on the day it becomes 
effective, unless a different time is specified in the act.  
    Sec. 49.  [REVISOR'S INSTRUCTION.] 
    In the next and subsequent editions of Minnesota Statutes, 
the revisor shall change the names of the state-operated 
hospitals referred to in column A to the names designated in 
column B. 
Column A                       Column B
Anoka State Hospital           Anoka-Metro Regional
                                Treatment Center
Brainerd State Hospital        Brainerd Regional
                                Human Services Center
Cambridge State Hospital       Cambridge Regional Human
                                Services Center
Faribault State Hospital       Faribault Regional Center
Fergus Falls State Hospital    Fergus Falls Regional
                                Treatment Center
Moose Lake State Hospital      Moose Lake Regional
                                Treatment Center
St. Peter State Hospital       St. Peter Regional
                                Treatment Center
Willmar State Hospital         Willmar Regional
                                Treatment Center
    Sec. 50.  Laws 1982, chapter 523, article 30, section 4, 
subdivision 1, is amended to read: 
    Sec. 4.  [INDEPENDENT SCHOOL DISTRICT 710.] 
    Subdivision 1.  Commencing with taxes payable in 1983, the 
commissioner of revenue shall deduct and annually pay to 
Independent School District 710 an amount equal to four cents 
per gross ton of taxable iron concentrate produced but not less 
than $240,000 annually from the taxes paid pursuant to sections 
298.23 to 298.28 by a person, corporation, partnership, 
operator, joint venture or other owner of a taconite plant and 
taconite properties located within the school district.  The 
deduction shall be made from the amount which would otherwise 
have been distributed to the northeast Minnesota economic 
protection fund in the apportionment fund in the state treasury 
under section 298.28, subdivision 1 subdivisions 2 to 12.  A sum 
is annually appropriated to the commissioner from the proceeds 
of the taxes sufficient to make the payments required by this 
section. 
    Sec. 51.  Laws 1986, chapter 399, article 1, section 17, is 
amended to read: 
    Sec. 17.  [EXCLUSION FROM PETITION REQUIREMENTS AND VETO 
POWER.] 
    The petition requirement of section 15 and the right of 
owners and those subject to a service charge to veto a 
resolution in section 20 16 do not apply to second or subsequent 
years' applications of a tax or service charge which is 
authorized to be in effect for more than one year pursuant to a 
resolution which has met the petition requirements of section 15 
and which has not been vetoed under section 20 for the first 
year's application.  A resolution levying a tax or imposing a 
service charge for more than one year shall not be adopted 
unless the notice of public hearing required by section 10 and 
the notice mailed with the adopted resolution pursuant to 
section 16 include the following information: 
     (a) In the case of improvements, the maximum rate or amount 
of taxes to be levied or the maximum service charge to be 
imposed in any year and the maximum number of years the taxes 
will be levied or service charges imposed to pay for the 
improvement. 
     (b) In the case of operating and maintenance services, the 
maximum rate or amount of taxes to be levied or the maximum 
service charge to be imposed in any year and the maximum number 
of years, or a statement that the tax will be imposed for an 
indefinite number of years, the taxes will be levied or service 
charges imposed to pay for operation and maintenance services. 
     The resolution may provide that the maximum amount of tax 
to be levied or maximum service charge to be imposed in any year 
will increase or decrease from the maximum amount authorized in 
the preceding year based on an indicator of increased cost or a 
percentage amount established by the resolution. 
    Sec. 52.  Laws 1986, chapter 463, section 3, is repealed. 
    Sec. 53.  Laws 1986, First Special Session chapter 3, 
article 1, section 84, is repealed. 
    Sec. 54.  Minnesota Statutes 1986, section 176.011, 
subdivision 9, is amended to read:  
    Subd. 9.  [EMPLOYEE.] "Employee" means any person who 
performs services for another for hire including the following: 
    (1) an alien; 
    (2) a minor; 
    (3) a sheriff, deputy sheriff, constable, marshal, police 
officer, firefighter, county highway engineer, and peace officer 
while engaged in the enforcement of peace or in the pursuit or 
capture of any a person charged with or suspected of crime and 
any; 
    a person requested or commanded to aid an officer in 
arresting any person, or in retaking any a person who has 
escaped from lawful custody, or in executing any legal process, 
in which case cases, for purposes of calculating 
compensation payable under this chapter, the daily wage of the 
person requested or commanded to assist an officer or to execute 
a legal process shall be the prevailing wage for similar 
services where the services are performed by paid employees; 
    (4) a county assessor; 
    (5) an elected or appointed official of the state, or 
of any a county, city, town, school district or governmental 
subdivision in it the state.  An officer of a political 
subdivision elected or appointed for a regular term of office, 
or to complete the unexpired portion of a regular term, shall be 
included only after the governing body of the political 
subdivision has adopted an ordinance or resolution to that 
effect; 
    (6) an executive officer of a corporation, except an 
officer of a family farm corporation as defined in section 
500.24, subdivision 1, clause (c), or an executive officer of a 
closely held corporation who is referred to in section 176.012; 
    (7) a voluntary uncompensated worker, other than an inmate, 
rendering services in state institutions under the commissioner 
commissioners of human services and state institutions under the 
commissioner of corrections similar to those of officers and 
employees of these the institutions, and whose services have 
been accepted or contracted for by the commissioner of human 
services or the commissioner of corrections as authorized by 
law, shall be employees.  In the event of injury or death of the 
voluntary uncompensated worker, the daily wage of the worker, 
for the purpose of calculating compensation payable under this 
chapter, shall be the usual going wage paid at the time of the 
injury or death for similar services in institutions where the 
services are performed by paid employees; 
    (8) a voluntary uncompensated worker engaged in peace time 
in the civil defense program when ordered to training or other 
duty by the state or any political subdivision of it, shall be 
an employee.  The daily wage of the worker, for the purpose of 
calculating compensation payable under this chapter, shall be 
the usual going wage paid at the time of the injury or death for 
similar services where the services are performed by paid 
employees; 
    (9) a voluntary uncompensated worker participating in a 
program established by a county welfare board shall be an 
employee.  In the event of injury or death of the voluntary 
uncompensated worker, the wage of the worker, for the purpose of 
calculating compensation payable under this chapter, shall be 
the usual going wage paid in the county at the time of the 
injury or death for similar services where the services are 
performed by paid employees working a normal day and week; 
    (10) a voluntary uncompensated worker accepted by the 
commissioner of natural resources who is rendering services as a 
volunteer pursuant to section 84.089 shall be an employee.  The 
daily wage of the worker for the purpose of calculating 
compensation payable under this chapter, shall be the usual 
going wage paid at the time of injury or death for similar 
services where the services are performed by paid employees; 
    (11) a member of the military forces, as defined in section 
190.05, while in state active service, as defined in section 
190.05, subdivision 5a.  The daily wage of the member for the 
purpose of calculating compensation payable under this chapter 
shall be based on the member's usual earnings in civil life.  If 
there is no evidence of previous occupation or earning, the 
trier of fact shall consider the member's earnings as a member 
of the military forces; 
    (12) a voluntary uncompensated worker, accepted by the 
director of the Minnesota historical society, rendering services 
as a volunteer, pursuant to chapter 138, shall be an employee.  
The daily wage of the worker, for the purposes of calculating 
compensation payable under this chapter, shall be the usual 
going wage paid at the time of injury or death for similar 
services where the services are performed by paid employees; 
    (13) a voluntary uncompensated worker, other than a 
student, who renders services at the Minnesota School state 
academy for the deaf or the Minnesota Braille and Sight-Saving 
School state academy for the blind, and whose services have been 
accepted or contracted for by the state board of education, as 
authorized by law, shall be an employee.  In the event of injury 
or death of the voluntary uncompensated worker, the daily wage 
of the worker, for the purpose of calculating 
compensation payable under this chapter, shall be the usual 
going wage paid at the time of the injury or death for similar 
services performed in institutions where the services are 
performed by paid employees; 
    (14) a voluntary uncompensated worker, other than a 
resident of the veterans home, who renders services at a 
Minnesota veterans home, and whose services have been accepted 
or contracted for by the commissioner of veterans affairs, as 
authorized by law, is an employee.  In the event of injury or 
death of the voluntary uncompensated worker, the daily wage of 
the worker, for the purpose of calculating compensation payable 
under this chapter, shall be the usual going wage paid at the 
time of the injury or death for similar services performed in 
institutions where the services are performed by paid employees; 
    (15) a worker who renders in-home attendant care services 
to a physically handicapped person, and who is paid directly by 
the commissioner of human services for these services, shall be 
an employee of the state within the meaning of this subdivision, 
but for no other purpose;  
    (16) those students enrolled in and regularly attending the 
medical school of the University of Minnesota, whether in the 
graduate school program or the post-graduate program, 
notwithstanding that.  The students shall not be considered 
employees for any other purpose.  In the event of the student's 
injury or death, the weekly wage of the student for the purpose 
of calculating compensation payable under this chapter, shall be 
the annualized educational stipend awarded to the student, 
divided by 52 weeks.  The institution in which the student is 
enrolled shall be considered the "employer" for the limited 
purpose of determining responsibility for paying 
benefits payable under this chapter;  
    (17) a faculty member of the University of Minnesota 
employed for the current an academic year is also an employee 
for the period between that academic year and the succeeding 
academic year if: 
    (a) the faculty member has a contract or reasonable 
assurance of a contract from the University of Minnesota for the 
succeeding academic year; and 
    (b) the personal injury for which compensation is sought 
arises out of and in the course of activities related to the 
faculty member's employment by the University of Minnesota; and 
    (18) a worker who performs volunteer ambulance driver or 
attendant services is an employee of the political subdivision, 
nonprofit hospital, nonprofit corporation, or other entity for 
which the worker performs the services.  The daily wage of the 
worker for the purpose of calculating compensation payable under 
this chapter is shall be the usual going wage paid at the time 
of injury or death for similar services if the services are 
performed by paid employees; and 
    (19) a voluntary uncompensated worker, accepted by the 
commissioner of administration, rendering services as a 
volunteer at the department of administration.  In the event of 
injury or death of the voluntary uncompensated worker, the daily 
wage of the worker, for the purpose of calculating 
compensation payable under this chapter, shall be the usual 
going wage paid at the time of the injury or death for similar 
services performed in institutions where the services were 
performed by paid employees. 
    In the event If it is difficult to determine the daily wage 
as provided in this subdivision, then the trier of fact may 
determine the wage upon which the compensation is payable. 
    Sec. 55.  [INSTRUCTION TO REVISOR.] 
    In the next edition of Minnesota Statutes, the revisor 
shall substitute "Minnesota state academy for the blind" and 
"Minnesota state academy for the deaf" for the former names of 
those institutions whenever they appear. 
    Sec. 56.  Minnesota Statutes 1986, section 282.08, is 
amended to read:  
    282.08 [APPORTIONMENT OF PROCEEDS.] 
    The net proceeds from the sale or rental of any parcel of 
forfeited land, or from the sale of any products therefrom, 
shall be apportioned by the county auditor to the taxing 
districts interested therein, as follows: 
    (1) Such portion as may be required to pay any amounts 
included in the appraised value under section 282.01, 
subdivision 3, as representing increased value due to any public 
improvement made after forfeiture of such parcel to the state, 
but not exceeding the amount certified by the clerk of the 
municipality, shall be apportioned to the municipal subdivision 
entitled thereto; 
    (2) Such portion of the remainder as may be required to 
discharge any special assessment chargeable against such parcel 
for drainage or other purpose whether due or deferred at the 
time of forfeiture, shall be apportioned to the municipal 
subdivision entitled thereto; and 
    (3) Any balance shall be apportioned as follows: 
    (a) Any county board may annually by resolution set aside 
no more than 30 percent of the receipts remaining to be used for 
timber development on tax-forfeited land and dedicated memorial 
forests, to be expended under the supervision of the county 
board.  It shall be expended only on projects approved by the 
commissioner of natural resources. 
    (b) Any county board may annually by resolution set aside 
no more than 20 percent of the receipts remaining to be used for 
the acquisition and maintenance of county parks or recreational 
areas as defined in sections 398.31 to 398.36, to be expended 
under the supervision of the county board. 
    (c) If the board does not avail itself of the authority 
under paragraph (a) or (b) any balance remaining shall be 
apportioned as follows:  county, 40 percent; town or city, 20 
percent; and school district, 40 percent, and if the board 
avails itself of the authority under paragraph (a) or (b) the 
balance remaining shall be apportioned among the county, town or 
city, and school district in the proportions in this paragraph 
above stated, provided, however, that in unorganized territory 
that portion which should have accrued to the township shall be 
administered by the county board of commissioners. 
<$eject>
 ARTICLE 2 
 OBSOLETE REFERENCE CORRECTIONS
    Section 1.  [INSTRUCTION TO REVISOR.] 
    In each section of Minnesota Statutes referred to in column 
A, the revisor of statutes shall delete the reference in column 
B and insert the reference in column C. 
 
Column A               Column B            Column C 
1.36, subd. 2          3.102               3.101
3.3026, subd. 7        16.90               16B.40, subd. 2,
                                            clause (3)
3.732                  16.07               16B.07 
3.732                  16.08               16B.09 
3.732                  16.098              16B.06 
12.11, subd. 2         43.21               43A.16 
12.21, subd. 3         14.70               14.69 
13.36                  624.718             624.719 
13.71                  60A.20              60A.195 to 
                                            60A.209 
13.75, subd. 1         179.67              179A.12 
13.75, subd. 2         179.71, subds.      179A.04, subd. 3;
                        5 and 6             and 179A.15 
14.01                  14.70               14.69
14.02, subd. 1         14.70               14.69
14.03, subd. 1         14.70               14.69
14.03, subd. 2         14.70               14.69
14.05, subd. 1         14.70               14.69
14.15, subd. 3         14.13               14.131
14.18                  14.13               14.131
14.37, subd. 1         14.70               14.69
14.38, subd. 9         14.70               14.69
14.51                  14.13               14.131
16B.43                 121.938             121.937
29.021                 29.091              29.081
29.049, subd. 1        29.091              29.081
29.061                 29.091              29.081
29.071                 29.091              29.081
29.081                 29.091              29.081
41B.035                473.02, subd. 5     473.121, subd. 2
43A.27                 179.741, subd. 1    179A.10, subd. 2
46.041, subd. 3        14.70               14.69 
47.54, subds. 2        14.70               14.69
 and 3 
48.24, subd. 6         48.22               48.221
48.65                  48.22               48.221
51A.03, subd. 3        14.70               14.69
51A.065, subd. 10      14.70               14.69
51A.07                 14.70               14.69
53.07, subd. 1         15.0411, subd. 3    14.02, subd. 4
55.15                  55.09               55.08
60A.23, subd. 8        14.70               14.69
61B.15                 300.082             300.083
62A.152, subd. 2       148.87              148.88
62D.02, subds. 1       62D.29              62D.30
 and 4
62D.03, subds. 1,      62D.29              62D.30
 3, and 4
62D.04, subds. 1,      62D.29              62D.30
 2, and 3
62D.05, subds. 1,      62D.29              62D.30
 2, and 5
62D.06, subd. 1        62D.29              62D.30
62D.08, subd. 3        62D.29              62D.30
62D.10, subd. 1        62D.29              62D.30
62D.12, subd. 1        72A.231             72A.32
62D.12, subds. 3       62D.29              62D.30
 and 9
62D.14, subd. 4        62D.29              62D.30
62D.15, subd. 1        62D.29              62D.30
62D.17, subds. 1,      62D.29              62D.30
 2, 3, and 4
62D.19                 62D.29              62D.30
62D.20                 62D.29              62D.30
62D.21                 62D.29              62D.30
62D.22, subds. 1, 3,   62D.29              62D.30
 4, 5, and 10
62D.23                 62D.29              62D.30
62D.24                 62D.29              62D.30
62E.02                 62E.17              62E.16
62E.05                 62E.17              62E.16
62E.081                62E.17              62E.16
62E.09                 62E.17              62E.16
62E.10, subd. 3        14.70               14.69
62E.13, subds. 6       62E.17              62E.16
 and 8
62E.14, subd. 2        62E.17              62E.16
62E.15, subd. 2        62E.17              62E.16
62G.20, subd. 3        14.70               14.69
62G.25                 14.70               14.69
67A.06                 300.082             300.083
79.01, subd. 1         79.23               79.211 
79.10                  14.70               14.69 
79.36                  79.42               79.40 
79.37                  79.42               79.40 
79.38, subd. 1         79.42               79.40 
80D.13                 80D.12              80D.11
82.34                  327.55, subd. 1a    327B.04, subd. 5
84.89                  609.58              609.582
84.928, subd. 7        100.273, subd. 9    97A.315, subd. 1
84.944, subd. 1        97.488              84.0895
84.944, subd. 2        97.48, subd. 11,    97A.101, 97A.125,
                        26, or 27           or 97C.001
84.944, subd. 2        101.42, subd. 9     97C.021 
84.944, subd. 2        101.475             97C.011 
84.944, subd. 3        97.481, subd. 2     97A.145, subd. 2
85.41, subd. 2         98.50, subd. 2      97A.485, subd. 11
87.024                 87.022              87.0221 
89.56, subd. 3         89.61 to 89.71      89.58 
97A.065, subd. 4       98.46, subd. 3,     84.091, subd. 3, 
                        clause (1); and     paragraph (a), 
                        18, clause (1)      clauses (1), (3),
                                            and (4) 
105.418                15.0412, subd. 5    14.29 to 14.36 
106A.085, subd. 1      97.50, subd. 1      97A.205 and 
                                            97A.211 
106A.401, subd. 1      97.481              97A.145 
106A.615, subd. 6      97.484              97A.071, subd. 4
115.05, subd. 11       14.70               14.69
115.37                 115.15              115.18
115A.162               116J.90, subd. 4a   116M.07, subd. 9
115A.25, subd. 1a      16.135              116B.37, subd. 4
115A.25, subd. 1a      16.21               116B.37, subd. 5
115A.30                14.70               14.69
116C.74, subd. 2,      116C.725            116C.731
 clauses (b) and (c)
116J.36, subd. 6,      16A.65, subd. 1     16A.641, subd. 10
 clause (c)
116J.68, subd. 2,      16.083 to 16.086    16B.19 to 16B.22
 clause (f)
116J.82                14.70               14.69
116K.11                473.02              473.121, subd. 2
116K.12                473.02              473.121, subd. 2
116M.03, subd. 28,     474.16, subd. 6     474A.02, subd. 14
 paragraph 2, 
 clause (d)
120.75, subd. 2        14.70               14.69 
121.902, subd. 1       121.92              129.917 
121.904, subd. 7       124.201             124A.033 
121.911, subd. 3       124.781             124.76 
121.93, subd. 1        121.938             121.937 
121.931, subd. 1       121.938             121.937 
121.936, subd. 1       121.92              121.917 
124.14, subd. 2        121.92              121.917 
124.2131, subd. 7      14.70               14.69 
124.214, subds. 2      124.201             124A.033 
 and 3
127.25, subd. 4        14.70               14.69 
128A.02, subd. 6       14.70               14.69 
134.08, subd. 1        375.335             134.20 
136.70, subd. 2        chapter 16          chapters 16A
                                            and 16B
136A.06                chapter 16          chapter 16B
136A.233, subd. 2      136A.235            136A.234 
136C.25                136C.37             136C.36 
136C.26                136C.37             136C.36 
144.471                144.47              144.45 
144.49, subds.         144.47              144.45
 5 and 8 
144.55, subd. 7        14.70               14.69 
144.581                383A.41             246A.01 to 
                                            246A.27
144.802                14.70               14.69 
144A.03, subd. 2       144A.17             144A.16 
144A.05                144A.17             144A.16 
144A.08                144A.17             144A.16 
144A.09                144A.17             144A.16 
144A.10, subds.        144A.17             144A.16 
 1, 2, and 4 
144A.11, subd. 4       144A.17             144A.16 
144A.12                144A.17             144A.16 
144A.29, subd. 4       144A.17             144A.16 
144A.51                144A.55             144A.54 
145.031                327.29              327.28 
145.55                 327.29              327.28 
145.918                327.29              327.28 
147.091                525.612             525.61 
148.32                 525.612             525.61 
148.65                 147.10              147.081 
148.75                 147.10              147.081
148.75                 525.612             525.61 
156A.02                156A.12             156A.11 
164.041                275.59              275.58 
168.021, subd. 2       16.8632             16B.61, subd. 5 
168.12, subd. 2b       14.70               14.69 
168B.02, subds. 1      168B.11             168B.101 
 and 2
168B.05                168B.11             168B.101 
168B.07, subd. 2       168B.11             168B.101 
168B.08, subd. 3       168B.11             168B.101 
168B.09, subd. 2       168B.11             168B.101 
169.123, subd. 5b      14.70               14.69 
173.20                 173.24              173.231 
174.23, subd. 7        14.70               14.69 
174.30, subd. 5        14.70               14.69 
174A.04                14.70               14.69 
176.136, subd. 4       14.13               14.131 
176.136, subd. 4       14.21               14.22 
176.181, subd. 2       14.70               14.69 
177.27, subd. 4        14.70               14.69 
179A.03, subd. 14      16.098              16B.17, subd. 1 
179A.23                16.07               16B.07 
179A.23                16.098              16B.17 
181A.08, subd. 2       14.70               14.69 
197.977                14.70               14.69 
210A.01, subd. 3       210A.22             210A.23 
214.10, subd. 2a       626.555             626.557
214.13, subd. 1        214.14              214.141
236.02                 232.02              232.22
236.04                 232.06, subd. 1     232.23
237.075, subd. 9       301.37              302A.133 to
                                            302A.139
240.06, subd. 7        14.70               14.69
240.07, subd. 6        14.70               14.69
241.27, subd. 2        11.10               11A.25
244.09, subd. 5        14.70               14.69
245.69, subd. 2        14.70               14.69 
245.73, subd. 1        245.813             245.812 
248.07, subd. 1        248.085             248.10 
252.23                 252.26              252.25 
252.24, subd. 1        245.813             248.812 
252.24, subd. 2        252.26              252.25 
252.25                 252.26              252.25 
252.261                252.26              252.25 
256.98                 256.872             256.871 
256.991                14.13               14.131 
256B.02, subd. 8       14.70               14.69 
256B.502               14.13               14.131 
256D.03, subd. 1       14.70               14.69 
256D.04                14.70               14.69 
257.67, subd. 3        256.872             256.871 
260.125, subd. 3       609.58, subd. 2,    609.582, subd. 1
                        clause (b)
260.191, subd. 1b      260.15, subd. 24    260.015, subd. 24
260.194, subd. 1       245.813             245.812
260.195, subd. 3       340.731             340A.503
268.672                268.671             268.672 
268.673                268.686             268.682 
270.06                 325.64 to           325D.30 to 
                        325.76              352D.42 
287.09                 294.28              294.26 
294.21                 294.28              294.26 
294.23                 294.28              294.26 
297A.02, subd. 3       340.001, subd. 2    340A.101, subd. 19
297A.02, subd. 3       340.07, subd. 2     340A.101, subd. 14
298.282, subd. 2       275.59              275.58 
299F.73, subd. 2       14.70               14.69
299F.75, subd. 2       14.70               14.69
317.30                 317.43              317.42
325D.04                325.01 to 325.07    325D.01 to 325D.07
325F.25                325F.33             325F.32
325F.31                325F.33             325F.32
326.244                14.70               14.69
327.32                 327.51 to 327.55    327B.01 to 327B.12
327.33, subd. 2        327.51 to 327.55    327B.01 to 327B.12
327.33, subd. 3        14.70               14.69
332.19                 14.70               14.69
332.20                 14.70               14.69
336.09                 366.06              366.01, subd. 4 
                                            and 366.07 
340A.304               14.70               14.69 
340A.415               14.70               14.69 
345.381                356.21, subd. 2     356.20, subd. 2 
349.50, subd. 9        340.11, subd. 11    340A.404, subd. 1
352.01, subd. 11,      43.56 to 43.62      43A.40 to 43A.465
 clause (10) 
354.66, subd. 6        43.47, subd. 16     43A.25 
356.371, subd. 1,      356.60, subd. 1,    356.61 
 paragraph (4)          paragraph (a) 
367.42, subd. 1        327.06              327.76 
375.167, subd. 1       275.59              275.58 
376.56, subd. 2        376.66              376.60 
383B.031, subd. 1      375.10              375.101 
383B.041               210A.22             210A.23 
383B.29, subd. 3       15.052, subd. 8     14.55 
383B.37, subd. 1       43.28, subd. 1      43A.32, subd. 1 
383B.38, subd. 2       179.61 to 179.76    179A.01 to 179A.25 
383C.61                376.66              376.60 
414.01, subd. 2        473.02, subd. 5     473.121, subd. 2 
427.02                 48.22               48.221 
452.01                 452.14              452.13 
452.08                 452.14              452.13 
452.09                 452.14              452.13 
452.11                 452.14              452.13 
452.12                 452.14              452.13 
452.13                 452.14              452.13 
453A.05                300.082             300.083 
462.398                14.70               14.69 
462C.11, subd. 3       462C.09             474A.07, subd. 6 
462C.12, subd. 2       462C.09             474A.07 
471.1921               275.59              275.58 
471.616, subd. 1       179.67              179A.12 
471.617, subd. 2       sections 14.01      chapter 14
                        to 14.70
471.617, subd. 3       60A.20              60A.195 to 60A.209 
471.982                sections 14.01      chapter 14 
                        to 14.70
471.993, subd. 1       179.63, subd. 4     179A.03, subd. 15 
473.121, subd. 12      473.401             473.341 
473.191, subd. 2       473.203             473.204 
473.208                473.203             473.204 
473.245                473.193             473.194 
473.405, subd. 12      473.401 to 473.451  473.404 to 473.449 
473.411, subds. 4      473.401 to 473.451  473.404 to 473.449 
 and 5 
473.415, subd. 1       473.401 to 473.451  473.404 to 473.449 
473.416                473.401 to 473.451  473.404 to 473.449 
473.446, subds. 1      473.401 to 473.451  473.404 to 473.449 
 and 1a 
473.449                473.401 to 473.451  473.404 to 473.449 
473.556, subd. 14      16.085              16B.22 
473.556, subd. 14      16.086              16B.21 
473.711, subd. 3       473.17              473.716 
474A.05, subd. 3       138.5819            138.581 
502.72                 525.18              524.1-201 
514.950                21.47               21.72 
524.1-201              527.01 to 527.11    527.21 to 
                                           527.44 
525.56, subd. 3        253A.07             253B.08 
528.01                 528.16              528.15 
528.02                 528.16              528.15 
593.135                593.13              593.42, subd. 2
604.06                 352E.01, subd. 2    176B.01, subd. 2
609.02                 340.07              340A.101
611A.03                609.58, clauses     609.582, subd. 1
                        (1)(b) and (2)
626.557, subd. 2       245.813             245.812
626.861, subd. 4       97.49, subd. 5      97A.065, subd. 2
    Sec. 2.  Minnesota Statutes 1986, section 8.31, subdivision 
1, is amended to read: 
    Subdivision 1.  [INVESTIGATE OFFENSES AGAINST THE 
PROVISIONS OF CERTAIN DESIGNATED SECTIONS; ASSIST IN 
ENFORCEMENT.] The attorney general shall investigate violations 
of the law of this state respecting unfair, discriminatory and 
other unlawful practices in business, commerce, or trade, and 
specifically, but not exclusively, the act against unfair 
discrimination and competition (sections 325D.01 to 325D.08), 
the unlawful trade practices act (sections 325D.09 to 
325D.16), the automobile dealer's anticoercion act (sections 
325D.17 to 325D.29), the antitrust act (sections 325D.49 to 
325D.66), section 325F.67 and other laws against false or 
fraudulent advertising, the antidiscrimination acts contained in 
section 325D.67, the act against monopolization of food products 
(section 325D.68), and the prevention of consumer fraud act 
(sections 325F.68 to 325F.70) and assist in the enforcement of 
those laws as in this section provided. 
    Sec. 3.  Minnesota Statutes 1986, section 14.02, 
subdivision 4, is amended to read:  
    Subd. 4.  [RULE.] "Rule" means every agency statement of 
general applicability and future effect, including amendments, 
suspensions, and repeals of rules, adopted to implement or make 
specific the law enforced or administered by it or to govern its 
organization or procedure.  It does not include (a) rules 
concerning only the internal management of the agency or other 
agencies, and which do not directly affect the rights of or 
procedure available to the public; (b) rules of the commissioner 
of corrections relating to the internal management of 
institutions under the commissioner's control and those rules 
governing the inmates thereof prescribed pursuant to section 
609.105; (c) rules of the division of game and fish published in 
accordance with section 97A.051; (d) rules relating to weight 
limitations on the use of highways when the substance of the 
rules is indicated to the public by means of signs; (e) opinions 
of the attorney general; (f) the systems architecture plan and 
long-range plan of the state education management information 
system provided by section 121.931; (g) the data element 
dictionary and the annual data acquisition calendar of the 
department of education to the extent provided by section 
121.932; (h) the comprehensive statewide plan of the crime 
control planning board provided in section 299A.03; or (i) 
occupational safety and health standards provided in section 
182.655. 
    Sec. 4.  Minnesota Statutes 1986, section 15.61, is amended 
to read: 
    15.61 [UNEMPLOYED AND UNDEREMPLOYED; EMPLOYMENT BY STATE 
AND OTHER GOVERNMENTAL UNITS.] 
    Subdivision 1.  The state of Minnesota, its departments, 
agencies and instrumentalities, and any county, city, town, 
school district or other body corporate and politic, may employ 
unemployed and underemployed persons as defined in the federal 
Emergency Employment Act of 1971, as amended, and Comprehensive 
Employment and Training Act of 1973, as amended, and eligible 
job applicants under sections 268.671 to 268.686 pursuant to the 
terms of those acts. 
    Subd. 2.  The provisions of Minnesota Statutes 1969, 
Sections 197.455 to 197.48 and 43A.11 and any other law or 
ordinance relating to preference in employment and promotion of 
persons having served in the armed services, the provisions of 
any law, rule or regulation, the provisions of any city charter 
or any ordinance or resolution, or the provisions of any other 
law or statute in conflict with the provisions of the federal 
Emergency Employment Act of 1971, as amended, and Comprehensive 
Employment and Training Act of 1973, as amended, and eligible 
job applicants under sections 268.671 to 268.686 shall not be 
applicable to the employment of the persons specified in 
subdivision 1. 
    Sec. 5.  Minnesota Statutes 1986, section 17.59, 
subdivision 5, is amended to read: 
    Subd. 5.  [COMMODITIES RESEARCH AND PROMOTION ACCOUNT.] All 
fees collected by the department under sections 17.51 to 17.69; 
21A.01 to 21A.19; 29.14 to 29.19; 30.461 to 30.477; 32B.01 to 
32B.13; and any other fees and income received by the department 
in the administration of these statutes shall be deposited in a 
separate account known as the commodity research and promotion 
account in the special revenue fund.  These funds shall be 
appropriated to the department for the purpose of defraying the 
expenses of administering and enforcing the sections listed in 
this subdivision. 
    Sec. 6.  Minnesota Statutes 1986, section 17A.04, 
subdivision 1, is amended to read: 
    Subdivision 1.  [LICENSING PROVISIONS.] Licenses shall be 
issued to livestock market agencies and public stockyards 
annually and shall expire on December 31 each year, renewable 
annually thereafter.  The license issued to a livestock market 
agency and public stockyard shall be conspicuously posted at the 
licensee's place of business.  Licenses shall be required for 
livestock dealers and their agents for the period beginning July 
1 each year and ending June 30.  The license issued to a 
livestock dealer or the agent of a livestock dealer shall be 
carried by the person so licensed.  The livestock dealer shall 
be responsible for the acts of the dealer's agents.  Licensed 
livestock market agencies, public stockyards, and livestock 
dealers shall be responsible for the faithful performance of 
duty of the public livestock weighers at their places of 
business.  The license issued to a livestock market agency, 
public stockyard or livestock dealer or agent of a livestock 
dealer is not transferable.  The operation of livestock market 
agencies, livestock dealers, agents and packers at a public 
stockyard are exempt from sections 17A.01 to 17A.09, and 17A.12 
to 17A.15, and 239.27. 
    Sec. 7.  Minnesota Statutes 1986, section 28A.15, 
subdivision 4, is amended to read: 
    Subd. 4.  Any persons required to be licensed under the 
provisions of sections 19.18 to 19.40 chapter 19 or trucks 
operating under a certificate or permit issued pursuant to 
chapter 221 or warehouse operators, other than cold storage 
warehouse operators, offering storage or warehouse facilities 
for compensation. 
    Sec. 8.  Minnesota Statutes 1986, section 38.27, 
subdivision 3, is amended to read: 
    Subd. 3.  In all counties, in addition to all other powers 
now or hereafter by law conferred upon county boards, authority 
is given annually to levy a tax upon all property subject to 
taxation and, from time to time, to pay over the proceeds of 
this tax, when collected, to a county agricultural society of 
its county which is a member of the state agricultural society, 
to assist the society in paying financial obligations hereafter 
incurred for premium costs of liability insurance procured 
pursuant to section 466.06 or for payment of judgments as 
provided in section 466.09.  A tax levied under this subdivision 
for payment of judgments may be in excess of any per capita or 
millage tax limitation imposed by statute or charter.  A tax 
levied under this subdivision for payment of premium costs of 
liability insurance shall not be a special levy as defined in 
section 275.50, subdivision 5, and shall be subject to the levy 
limitation provided in sections section 275.51 and 275.52. 
    Sec. 9.  Minnesota Statutes 1986, section 41A.05, 
subdivision 2, is amended to read: 
    Subd. 2.  [ISSUANCE OF BONDS.] (a) Subject to section 
16A.80, upon application pursuant to section 41A.04, the board 
by resolution may exercise the powers of a rural development 
authority under sections 362A.01 to 362A.05 and the powers of a 
municipality under chapter 474 for the purposes of providing 
money to pay the costs of a project, including the issuance of 
bonds and the loan of the bond proceeds pursuant to a lease or 
other agreement.  The bonds must be issued, sold, and secured on 
the terms and conditions and in the manner determined by 
resolution of the board.  Sections Section 16A.80 and 474.23 do 
does not apply to the bonds.  Notwithstanding subdivision 1, a 
reserve established for the bonds provided by the borrower, 
including out of bond proceeds, may be deposited and held in a 
separate account in the guaranty fund and applied to the last 
installments of principal or interest on the bonds, subject to 
the reserves being withdrawn for any purpose permitted by 
subdivision 1.  The board may by resolution or indenture pledge 
any or all amounts in the guaranty fund, including any reserves 
and investment income on amounts in the fund, to secure the 
payment of principal and interest on any or all series of bonds, 
upon the terms and conditions as provided in the resolution or 
indenture.  To the extent the board deems necessary or desirable 
to prevent interest on bonds from becoming subject to federal 
income taxation, (1) the amounts in the guaranty fund shall be 
invested in obligations or securities with restricted yields and 
(2) the investment income on the amounts are released from the 
pledge securing the bonds or loan guaranty and appropriately 
applied to prevent taxation. 
    (b) Bonds issued pursuant to this chapter are not general 
obligations of the state or the board.  The full faith and 
credit and taxing powers of the state and the board are not and 
may not be pledged for the payment of the bonds.  No person may 
compel the levy of a tax for the payment or compel the 
appropriation of money of the state or the board for the payment 
of the bonds, except as specifically provided in this chapter. 
    (c) The issuance of bonds pursuant to this subdivision is 
subject to sections 474.18 to 474.25 chapter 474A.  For purposes 
of sections 474.16 to 474.20 474A.05 and 474A.11, the board is a 
local another issuer and may apply for allocations of authority 
to issue private activity obligations and may enter into an 
agreement for the issuance of obligations by another issuer. 
    Sec. 10.  Minnesota Statutes 1986, section 48.13, 
subdivision 2, is amended to read:  
    Subd. 2.  [SECURITIES IN LIEU OF BOND.] With the prior 
written approval of the commissioner and in lieu of the 
corporate surety or five individual sureties, there may be 
posted a deposit in securities of a form and amount acceptable 
to the commissioner.  These funds are under the control of the 
commissioner for the purposes of section 48.12.  All deposits 
must remain in the custody of the commissioner of finance and 
pursuant to sections section 7.19 and 46.15 may be released only 
upon order from the commissioner.  These control and custody 
requirements must not prevent any interest or dividend earnings 
accruing on the funds posted to be paid over to pledgor. 
    Sec. 11.  Minnesota Statutes 1986, section 48.26, is 
amended to read:  
    48.26 [APPLICATION.] 
    The provisions of sections 48.25 and section 48.88, 
subdivision 2, shall not apply to any existing contract or to 
mutual savings banks. 
    Sec. 12.  Minnesota Statutes 1986, section 49.01, 
subdivision 3, is amended to read:  
    Subd. 3.  "Investment company" means any person, 
copartnership, association, or corporation referred to 
in Minnesota Statutes 1941, sections 54.26 to 54.29, as amended. 
    Sec. 13.  Minnesota Statutes 1986, section 49.44, is 
amended to read:  
    49.44 [NATIONAL BANKING ASSOCIATION; CONVERSION, MERGER, 
CONSOLIDATION; STATE BANK.] 
    A national banking association which is located in this 
state and which has taken the corporate action required therefor 
by the laws of the United States may convert into a state bank 
upon complying with the provisions applicable to the 
organization of a state bank except as herein otherwise 
provided.  In such case the certificate of incorporation and the 
application for a certificate authorizing the proposed bank to 
transact business shall be executed by a majority of the 
directors of the national banking association and in addition 
thereto there shall be filed with the application a copy of the 
plan of conversion and a certificate signed by the president and 
the cashier of the national banking association setting forth 
the corporate action taken by the national banking association 
authorizing the conversion.  The department of commerce may, at 
its discretion, dispense with the notice and hearing provided in 
Minnesota Statutes 1949, section 45.04 46.041, if the granting 
of the certificate of authority will not increase the number of 
banks in the community affected.  No certificate of deposit of 
an amount equal to the capital stock of the proposed bank shall 
be required but the president and the cashier of the national 
banking association shall certify to the commissioner of 
commerce that the association has a paid in and unimpaired 
capital not less than that specified in the certificate of 
incorporation of the proposed bank.  Upon the conversion of a 
national banking association into a state bank as herein 
provided, the corporate existence of the national banking 
association shall be merged into that of the state bank and all 
and singular its rights, privileges and franchises and its 
right, title and interest in and to all property of whatsoever 
kind, whether real, personal or mixed, and all things in action 
and every right, privilege, interest, or asset of conceivable 
value or benefit then existing which inure to it under an 
unconverted existence shall be deemed fully and finally 
transferred to and vested in the state bank without further act 
or deed and the state bank shall have and hold the same in its 
own right as fully as the same was possessed and held by the 
national banking association from which it was by operation 
hereof transferred.  Its rights, obligations and relations to 
any person, creditor, depositor, trustee or beneficiary of any 
trust shall remain unimpaired and the state bank into which it 
shall have been converted shall succeed to these relations, 
obligations, trusts and liabilities and shall execute and 
perform all such trusts in the same manner as though it had 
itself assumed the relation or trust or incurred the obligation 
or liability and its liabilities and obligations to creditors 
existing for any cause shall not be impaired by the conversion, 
nor shall any obligation or liability of any stockholder of the 
national banking association be affected by such conversion, but 
these obligations and liabilities shall continue as fully and to 
the same effect as existed before the conversion.  The state 
bank shall become without further act or deed the successor of 
the national banking association in any and all fiduciary 
capacities in which the national banking association may be 
acting at the time of the conversion and shall be liable to all 
beneficiaries as fully as if the national banking association 
had continued its existence as such.  If the national banking 
association shall be nominated or appointed or shall have been 
nominated or appointed as executor, guardian, administrator, 
agent or trustee, or in any other trust relation or fiduciary 
capacity in any will, trust agreement, trust conveyance or any 
other conveyance, order or judgment of any court or any other 
instrument prior to the conversion, even though the will or 
other instrument shall not become operative or effective until 
after the conversion shall have become effective, every such 
office, trust relationship, fiduciary capacity, and all of the 
rights, powers, privileges, duties, discretions and 
responsibilities so provided to devolve upon, vest in, or inure 
to the national banking association so nominated or appointed 
shall fully and in every respect devolve upon, vest in, and 
inure to and be exercised by the state bank into which the 
national banking association shall have been converted. 
    Sec. 14.  Minnesota Statutes 1986, section 60A.17, 
subdivision 12, is amended to read:  
    Subd. 12.  [LIABILITY FOR PLACING INSURANCE IN UNAUTHORIZED 
COMPANY.] Any person, regardless of whether that person is 
required to be licensed as an insurance agent, who participates 
in any manner in the sale of any insurance policy or 
certificate, or any other contract providing benefits, for or on 
behalf of any company which is required to be, but which is not 
authorized to engage in the business of insurance in this state, 
other than pursuant to section 60A.20 sections 60A.195 to 
60A.209, shall be personally liable for all premiums, whether 
earned or unearned, paid by the insured, and the premiums may be 
recovered by the insured.  In addition, that person shall be 
personally liable for any loss the insured has sustained or may 
sustain if the loss is one resulting from a risk or hazard 
covered in the issued policy, certificate, or contract or which 
would have been covered if the policy, certificate, or contract 
had been issued to the purchaser of the insurance. 
    Sec. 15.  Minnesota Statutes 1986, section 72A.41, 
subdivision 1, is amended to read:  
    Subdivision 1.  It is unlawful for any company to enter 
into a contract of insurance as an insurer or to transact 
insurance business in this state, as set forth in subdivision 2, 
without a certificate of authority from the commissioner; 
provided that this subdivision does not apply to:  (a) contracts 
of insurance procured by agents under the authority of section 
60A.20 sections 60A.195 to 60A.209; (b) contracts of reinsurance 
and contracts of ocean or wet marine and transportation 
insurance; (c) transactions in this state involving a policy 
lawfully solicited, written and delivered outside of this state 
covering only subjects of insurance not resident, located or 
expressly to be performed in this state at the time of issuance 
and which transactions are subsequent to the issuance of the 
policy; (d) transactions in this state involving group or 
blanket insurance and group annuities where the master policy of 
such groups was lawfully issued and delivered in a state in 
which the company was authorized to do an insurance business 
where, except for group annuities, the insurer complies with 
section 72A.13.  The commissioner may require the insurer which 
has issued such master policy to submit any information as the 
commissioner reasonably requires in order to determine if 
probable cause exists to convene a hearing to determine whether 
the total charges for the insurance to the persons insured are 
unreasonable in relation to the benefits provided under the 
policy; (e) transactions in this state involving a policy of 
insurance or annuity issued prior to July 1, 1967; or (f) 
contract of insurance procured under the authority of section 
60A.19, subdivision 8; or (g) transactions in this state 
involving contracts of insurance covering property or risks not 
located in this state. 
    Sec. 16.  Minnesota Statutes 1986, section 79.38, 
subdivision 1, is amended to read: 
    Subdivision 1.  [PROVISIONS.] The plan of operation shall 
provide for all of the following: 
    (a) The establishment of necessary facilities; 
    (b) The management and operation of the reinsurance 
association; 
    (c) A preliminary premium, payable by each member in 
proportion to its total premium in the year preceding the 
inauguration of the reinsurance association, for initial 
expenses necessary to commence operation of the reinsurance 
association; 
    (d) Procedures to be utilized in charging premiums, 
including adjustments from excess or deficient premiums from 
prior periods; 
    (e) Procedures governing the actual payment of premiums to 
the reinsurance association; 
    (f) Reimbursement of each member of the board by the 
reinsurance association for actual and necessary expenses 
incurred on reinsurance association business; 
    (g) The composition, terms, compensation and other 
necessary rules consistent with section 79.37 for boards of 
directors of the reinsurance association to succeed the initial 
board provided in section 79.41; 
    (h) The investment policy of the reinsurance association; 
and 
     (i) Any other matters required by or necessary to 
effectively implement sections 79.34 to 79.42. 
    Sec. 17.  Minnesota Statutes 1986, section 97A.021, 
subdivision 2, is amended to read: 
    Subd. 2.  [AUTHORITY OF COMMISSIONER.] A provision of the 
game and fish laws is subject to, and does not change or modify 
the authority of the commissioner to delegate powers, duties, 
and functions under sections section 84.083 and 84.088. 
    Sec. 18.  Minnesota Statutes 1986, section 115A.07, 
subdivision 1, is amended to read: 
    Subdivision 1.  [INTERAGENCY COORDINATION.] The chair of 
the board shall inform the commissioner of energy and economic 
development of the board's activities in accordance with section 
116J.47.  The chair shall keep the agency informed of the 
board's activities, solicit the advice and recommendations of 
the agency, and coordinate its work with the regulatory and 
enforcement activities of the agency. 
    Sec. 19.  Minnesota Statutes 1986, section 115A.12, 
subdivision 1, is amended to read:  
     Subdivision 1.  [SOLID AND HAZARDOUS WASTE MANAGEMENT.] The 
chair of the board shall establish a solid waste management 
advisory council and a hazardous waste management planning 
council broadly representative of the geographic areas and 
interests of the state.  The councils shall have not less than 
nine nor more than 18 members each.  The membership of the solid 
waste council shall consist of one-third citizen 
representatives, one-third representatives from local government 
units, and one-third representatives from private solid waste 
management firms.  The solid waste council shall contain at 
least one member experienced in each of the following areas:  
state and municipal finance;  solid waste collection, 
processing, and disposal; and solid waste reduction and resource 
recovery.  The membership of the hazardous waste advisory 
council shall consist of one-third citizen representatives, 
one-third representatives from local government units, and 
one-third representatives of hazardous waste generators and 
private hazardous waste management firms.  The chairs of the 
advisory councils shall be appointed by the chair of the board.  
The chair of the board shall provide administrative and staff 
services for the advisory councils.  The advisory councils shall 
have such duties as are assigned by law or the chair of the 
board.  The solid waste advisory council shall make 
recommendations to the board on its solid waste management 
activities.  The hazardous waste advisory council shall make 
recommendations to the board on its activities under sections 
115A.08, 115A.09, 115A.10, 115A.11, 115A.20, 115A.21, 115A.23, 
and 115A.24.  Members of the advisory councils shall serve 
without compensation but shall be reimbursed for their 
reasonable expenses as determined by the chair of the board.  
    Sec. 20.  Minnesota Statutes 1986, section 115A.14, 
subdivision 5, is amended to read: 
    Subd. 5.  [STUDY.] The commission shall study alternative 
methods of insuring that an adequate supply of solid waste will 
be available to resource recovery facilities and report to the 
appropriate policy committees of the house of representatives 
and senate before January 1, 1982.  The commission shall, at a 
minimum, consider the relative merits of the required use 
provisions described in sections 115A.70, and 400.162, and 
473.827, and other mechanisms designed to facilitate resource 
recovery by raising costs of landfill alternatives or lowering 
costs of disposal at resource recovery facilities.  
    Sec. 21.  Minnesota Statutes 1986, section 116C.57, 
subdivision 3, is amended to read: 
    Subd. 3.  [EMERGENCY CERTIFICATION.] Any utility whose 
electric power system requires the immediate construction of a 
large electric power generating plant or high voltage 
transmission line may make application to the board for an 
emergency certificate of site compatibility or permit for the 
construction of high voltage transmission lines, which 
certificate or permit shall be issued in a timely manner no 
later than 195 days after the board's acceptance of the 
application and upon a finding by the board that a demonstrable 
emergency exists which requires immediate construction, and that 
adherence to the procedures and time schedules specified in 
sections section 116C.54, 116C.56 and this section would 
jeopardize the utility's electric power system or would 
jeopardize the utility's ability to meet the electric needs of 
its customers in an orderly and timely manner.  A public hearing 
to determine if an emergency exists shall be held within 90 days 
of the application.  The board shall, after notice and hearing, 
promulgate rules specifying the criteria for emergency 
certification. 
    Sec. 22.  Minnesota Statutes 1986, section 116E.03, 
subdivision 9, is amended to read: 
    Subd. 9.  [PRIVATE GRANT AND FEDERAL FUNDS.] The chief 
administrative officer of the state board is the state agent to 
apply for, receive, and disburse private grant and federal funds 
made available to the state by private organizations or federal 
law or rules and regulations promulgated thereunder for any 
purpose related to the powers and duties of the state board or 
the regional councils.  The chief administrative officer shall 
comply with any and all requirements of such private 
organizations or federal law or such rules and regulations 
promulgated thereunder to enable the funds to be applied for, 
received, and disbursed.  All such moneys received by the chief 
administrative officer of the state board shall be deposited in 
the state treasury and are hereby annually appropriated to the 
chief administrative officer for the purposes for which they are 
received.  None of such moneys in the state treasury shall 
cancel and they shall be available for expenditure in accordance 
with the requirements of federal law or the terms of such 
private grants.  No application for federal funds or private 
grants under this subdivision shall be submitted to federal 
authorities or private organizations for approval unless the 
proposed budget for the expenditure of such funds is approved by 
the governor and reported to the legislative committees 
designated in section 16.165 and, when the legislature is not in 
session, reported to the standing committee on finance of the 
senate and the standing committee on appropriations of the house 
of representatives. 
    Sec. 23.  Minnesota Statutes 1986, section 116J.72, is 
amended to read: 
    116J.72 [EXISTING LICENSES.] 
    Nothing in sections 3.965, subdivision 6 and 116J.69 to 
116J.71 shall affect the validity of duration of an existing 
issued license.  
    Sec. 24.  Minnesota Statutes 1986, section 120.17, 
subdivision 5a, is amended to read: 
    Subd. 5a.  [SUMMER PROGRAMS.] A district may provide summer 
programs for handicapped children living within the district and 
nonresident children temporarily placed in the district pursuant 
to subdivision 6 or 7.  Prior to March 31 or 30 days after the 
handicapped child is placed in the district, whichever is later, 
the providing district shall give notice to the district of 
residence of any nonresident children temporarily placed in the 
district pursuant to subdivisions 6 or 7, of its intention to 
provide these programs.  Notwithstanding any contrary provisions 
in subdivisions 6 and 7, the school district providing the 
special instruction and services shall apply for special 
education aid for the summer program.  For the purposes of 
computing the summer school program revenue allowance as 
provided in section 124.201 124A.033, pupils enrolled in these 
programs shall be counted by the district of residence and not 
by the district providing the programs.  The unreimbursed actual 
cost of providing the program for nonresident handicapped 
children, including the cost of board and lodging, may be billed 
to the district of the child's residence and shall be paid by 
the resident district.  Transportation costs shall be paid by 
the district responsible for providing transportation pursuant 
to subdivision 6 or 7 and transportation aid shall be paid to 
that district. 
    Sec. 25.  Minnesota Statutes 1986, section 121.904, 
subdivision 11a, is amended to read: 
    Subd. 11a.  Beginning with payments received in fiscal year 
1978, revenues received pursuant to sections 294.21 to 294.28 
294.26; 298.23 to 298.28; 298.32; 298.34 to 298.39; 298.391 to 
298.396; 298.405; 298.51 to 298.67; any law imposing a tax on 
severed mineral values or any other law distributing proceeds in 
lieu of ad valorem tax assessments on copper or nickel 
properties, shall be recognized as revenue in the school year 
received. 
    Sec. 26.  Minnesota Statutes 1986, section 121.904, 
subdivision 11b, is amended to read: 
    Subd. 11b.  (1) Each district affected by the provisions of 
subdivision 11a shall account for and expend according to the 
provisions of this subdivision the total amount by which its 
1976 payable 1977 and its 1977 payable 1978 permissible levies 
pursuant to sections 124A.03, 124A.06, subdivision 3a, 124A.08, 
subdivision 3a, 124A.10, subdivision 3a, 124A.12, subdivision 
3a, 124A.14, subdivision 5a, and 275.125 were reduced on account 
of payments pursuant to sections 294.21 or 294.28 294.26; 298.23 
to 298.28; 298.32; 298.34 to 298.39; 298.391 to 298.396; 298.405;
298.51 to 298.67; any law imposing a tax upon severed mineral 
values, or under any other law distributing proceeds in lieu of 
ad valorem tax assessments on copper or nickel properties.  
Notwithstanding the provisions of section 124A.035, subdivision 
5, clause (2) and the provisions of section 275.125, subdivision 
9, clause (2) or any other law to the contrary, this total 
amount shall not be applied to reduce the foundation aid which 
the district is entitled to receive pursuant to section 124A.02 
or again be applied to reduce the permissible levies of the 
district. 
    (2) The lesser of the amount in (1) or an amount equal to 
$200 times the pupil units in the district computed pursuant to 
section 124.17 for the 1977-1978 school year shall be reflected 
in an "appropriated fund balance reserve account for current use 
of taconite payments" which shall be established in the general 
fund.  Each school year, beginning in 1978-1979, each affected 
district shall transfer an amount equal to $20 times the number 
of pupil units in the district in 1977-1978 out of this account 
into other operating accounts in the general fund, until the 
amount transferred equals the amount originally reflected in the 
reserve account; provided that in the last year in which the 
district is required to make this transfer, it shall transfer 
the balance of the reserve account, not to exceed an amount 
equal to $20 times the number of pupil units in the district in 
1977-1978.  Notwithstanding the provisions of section 121.917, 
each affected district may use the amount so transferred each 
year to increase its expenditures above the amount it would 
otherwise be authorized to expend in that school year. 
              (3) Of the amount in (1), any amount not reflected in the 
account established pursuant to clause (2) shall be reflected in 
the district's appropriated fund balance reserve account for 
purposes of reducing statutory operating debt, if the district 
has established this account pursuant to section 275.125, 
subdivision 9a.  The June 30, 1977 statutory operating debt of 
the district shall be reduced by the amount so reflected and 
shall be recertified accordingly by the commissioner. 
     (4) Notwithstanding the provisions of section 121.912, any 
portion of the amount in (1) remaining after the application of 
clauses (2) and (3) shall be transferred to the district's 
capital expenditure fund; provided that before July 1, 1979 not 
exceeding $75,000 of the amount transferred to the capital 
expenditure fund pursuant to this clause may be transferred to 
the district's general fund. 
    Sec. 27.  Minnesota Statutes 1986, section 122.541, 
subdivision 2, is amended to read: 
    Subd. 2.  A district entering into an agreement permitted 
in subdivision 1 shall:  
    (1) Continue to count its resident pupils who are educated 
in a cooperating district as resident pupils in the calculation 
of pupil units for all purposes, including the calculation of 
state aids and levy limitations.  Notwithstanding section 
124.18, subdivision 2, an agreement permitted by subdivision 1 
shall provide for the tuition payments the cooperating districts 
determine are necessary and equitable to compensate each 
district for the instruction of nonresident pupils; and 
    (2) Continue to provide transportation and collect 
transportation aid for its resident pupils pursuant to sections 
123.39, 124.222 and 124.223, and 124.225.  This clause shall not 
be construed to prohibit a district from providing some or all 
transportation to its resident pupils by contracting with a 
district which has entered the agreement.  For purposes of aid 
calculations pursuant to section 124.222 124.225, the 
commissioner may adjust the base cost per eligible pupil 
transported to reflect changes in costs resulting from an 
agreement which provides for a district to discontinue at least 
one grade. 
    Sec. 28.  Minnesota Statutes 1986, section 124.01, 
subdivision 1, is amended to read: 
    Subdivision 1.  [GENERALLY.] For purposes of this chapter 
and chapter 124A, the words defined in section 120.02 have the 
same meaning and the terms defined in sections 124.201, 124A.02, 
and 124A.033 have the meanings attributed to them in those 
sections. 
    Sec. 29.  Minnesota Statutes 1986, section 124.195, 
subdivision 8, is amended to read: 
    Subd. 8.  [PAYMENT PERCENTAGE FOR REIMBURSEMENT AIDS.] The 
following aids shall be paid at 100 percent of the entitlement 
for the prior fiscal year:  summer program aid according to 
section 124A.033; abatement aid according to section 124.214, 
subdivision 2; special education residential aid according to 
section 124.32, subdivision 5; special education summer school 
aid, according to section 124.32, subdivision 10; planning, 
evaluating, and reporting process aid according to 
section 123.7431 124.274; and extended leave and part-time 
teacher aids according to chapters 354 and 354A. 
    Sec. 30.  Minnesota Statutes 1986, section 124.195, 
subdivision 9, is amended to read: 
    Subd. 9.  [PAYMENT PERCENTAGE FOR CERTAIN AIDS.] The 
following aids shall be paid at 100 percent of the entitlement 
for the current fiscal year:  reimbursement for transportation 
to post-secondary institutions, according to section 123.3514, 
subdivision 8; reimbursement for transportation to a program of 
excellence, according to section 126.62, subdivision 6; 
handicapped adult program aid, according to section 124.271, 
subdivision 7; arts education aid according to section 124.275; 
school lunch aid, according to section 124.646; hearing impaired 
support services aid, according to section 121.201; and 
technology demonstration site grants, according to section 
129B.36 and courseware purchase subsidy according to section 
129B.38. 
    Sec. 31.  Minnesota Statutes 1986, section 124.2138, 
subdivision 3, is amended to read: 
    Subd. 3.  [REPLACE STATE PAY.] In any fiscal year in which 
the state payments on behalf of a district authorized in 
sections 354.43, subdivision 1; 354A.12, subdivision 2; and 
355.46, subdivision 3, clause (b), are reduced under this 
section or section 124A.037, the commissioner of education shall 
certify the amounts of the required reductions to the district.  
The district shall pay employer contributions in the amount of 
the reduction of these payments to the commissioner, which 
amount shall be placed in the general fund. 
    Sec. 32.  Minnesota Statutes 1986, section 124.2138, 
subdivision 4, is amended to read: 
    Subd. 4.  [NONAGRICULTURAL DISTRICT DEFINED.] For the 
purposes of this section and section 124A.037, nonagricultural 
district means a district where the assessed valuation of 
agricultural land identified in section 273.13, subdivision 23, 
comprises less than 60 percent of the assessed valuation of the 
district. 
    Sec. 33.  Minnesota Statutes 1986, section 124.32, 
subdivision 1c, is amended to read: 
    Subd. 1c.  [FOUNDATION AID FORMULA ALLOWANCE.] For purposes 
of this section, "foundation aid formula allowance" shall have 
the meaning attributed to it in section 124A.02, subdivision 9, 
and "summer school program revenue allowance" shall have the 
meaning attributed to it in section 124.201 124A.033.  For the 
purposes of computing foundation aid formula allowances pursuant 
to this section, each handicapped child shall be counted as 
prescribed in section 124.17, subdivision 1. 
    Sec. 34.  Minnesota Statutes 1986, section 124.472, is 
amended to read: 
    124.472 [BOND ISSUE, MAXIMUM EFFORT SCHOOL LOANS; 1965.] 
    For the purpose of providing moneys to be loaned to school 
districts as agencies and political subdivisions of the state 
for the acquisition and betterment of public land and buildings 
and other public improvements of a capital nature, in the manner 
provided by the maximum effort school aid law, the state auditor 
is directed to issue and sell school loan bonds of the state of 
Minnesota in the maximum amount of $10,400,000, in addition to 
the bonds authorized by section 124.471, subdivisions 1 and 2, 
which amount is appropriated to the maximum effort school loan 
fund and shall be expended under the direction of the school 
loan committee for the making of debt service loans and capital 
loans to school districts as provided in sections 124.36 to 
124.47.  These bonds shall be issued and sold and provision for 
the payment thereof shall be made in accordance with section 
124.46, and an amount sufficient to pay interest on the bonds to 
and including July 1 in the second year after the date of issue 
shall be credited from the bond proceeds to the school loan bond 
account in the state bond fund.  Any expenses incidental to the 
sale, printing, execution, and delivery of the bonds, including, 
but without limitation, actual and necessary travel and 
subsistence expenses of state officers and employees for such 
purposes, shall be paid from the maximum effort school loan 
fund, and the amounts necessary therefor are appropriated from 
such fund. 
    Sec. 35.  Minnesota Statutes 1986, section 126.39, 
subdivision 11, is amended to read: 
    Subd. 11.  [RULES.] The state board, upon the receipt of 
recommendations by the advisory task force, may promulgate rules 
providing for standards and procedures appropriate for the 
implementation of and within the limitations of sections 126.31 
to 126.42 section 126.36. 
    Sec. 36.  Minnesota Statutes 1986, section 136.44, is 
amended to read: 
    136.44 [ACCEPTANCE OF FEDERAL GRANTS; USE OF GRANTS.] 
    The treasurer of the state university board is authorized 
to accept any federal grant which will become available under 
provisions of Title II of Public Law Number 85-864; under Title 
I, Part D, of Public Law Number 90-351 (also known as section 
406 of the Omnibus Crime Control and Safe Streets Act of 1968 
and as the Law Enforcement Education Program); under Title VIII, 
Part B, Public Law Number 410 (also known as Public Health 
Service Act) as amended including specifically the amendment by 
Public Law Number 88-581 (also known as Nurse Training Act of 
1964 which authorizes the Nursing Student Loan Program); under 
Title IV, Part A, of the Higher Education Act of 1965; or any 
other federal grants made available for the purpose of providing 
scholarship, grant, or loan money to students at the state 
universities, for use in the special student loan account in the 
university activity funds in any of the Minnesota state 
universities for which the grant is made.  All applications for 
federal grants shall be submitted in accordance with section 
16.165.  Any such federal grant is hereby appropriated to the 
state university board for use in the intended state university, 
in accordance with the terms under which it was accepted. The 
moneys of any such federal grant, shall be administered within 
the university activity fund. 
    Sec. 37.  Minnesota Statutes 1986, section 136A.04, 
subdivision 2, is amended to read: 
    Subd. 2.  The higher education coordinating board shall 
review and make recommendations regarding a plan or proposal for 
a new or additional program of instruction or a substantial 
change in an existing program of instruction to be offered by an 
area vocational technical institute within 45 days of the 
transmission of approval of the plan or proposal to the higher 
education coordinating board by the state board for vocational 
education pursuant to section 121.217, clause (2).  The higher 
education coordinating board shall then transmit a written 
explanation of its recommendations within five days of board 
action to the director of the applying area vocational technical 
institute and to the commissioner of education. 
    Sec. 38.  Minnesota Statutes 1986, section 136D.28, 
subdivision 2, is amended to read: 
    Subd. 2.  [TAXES.] Before issuing such bonds, the board 
shall certify to each participating school district and to the 
county auditor or auditors the years and amounts of taxes 
required to be levied for payment of such bonds by section 
475.61.  The county auditor shall cause the share of each 
participating school district in such taxes to be spread in each 
year until the bonds and interest have been paid, the share of 
each district in any year to be equal to the ratio of the most 
recent assessed valuation of taxable property therein to the 
most recent assessed valuation of taxable property in all 
participating school districts.  None of the taxes levied for 
payment of such bonds shall be included in computing the 
limitations upon the levy of any district under section 275.12, 
or any law amendatory thereof, or supplemental thereto.  Such 
taxes may be levied in addition to the taxes authorized by 
section 136D.27 hereof. 
    Sec. 39.  Minnesota Statutes 1986, section 136D.89, 
subdivision 2, is amended to read: 
    Subd. 2.  [TAXES.] Before issuing such bonds, the board 
shall certify to each participating school district and to the 
county auditor or auditors the years and amounts of taxes 
required to be levied for payment of such bonds by section 
475.61.  The county auditor shall cause the share of each 
participating school district in such taxes to be spread in each 
year until the bonds and interest have been paid, the share of 
each district in any year to be equal to the ratio of the most 
recent assessed valuation of taxable property therein to the 
most recent assessed valuation of taxable property in all 
participating school districts.  None of the taxes levied for 
payment of such bonds shall be included in computing the 
limitations upon the levy of any district under section 275.12, 
or any law amendatory thereof, or supplemental thereto.  Such 
taxes may be levied in addition to the taxes authorized by 
section 136D.87 hereof. 
    Sec. 40.  Minnesota Statutes 1986, section 152.02, 
subdivision 12, is amended to read: 
    Subd. 12.  If any substance is designated, rescheduled, or 
deleted as a controlled substance under federal law and notice 
thereof is given to the state board of pharmacy, the state board 
of pharmacy shall similarly control the substance under Laws 
1973, chapter 693 after the expiration of 30 days from 
publication in the federal register of a final order designating 
a substance as a controlled substance or rescheduling or 
deleting a substance.  Such order shall be filed pursuant to 
section 14.38.  If within that 30 day period, the state board of 
pharmacy objects to inclusion, rescheduling, or deletion, it 
shall publish the reasons for objection and afford all 
interested parties an opportunity to be heard.  At the 
conclusion of the hearing, the state board of pharmacy shall 
publish its decision, which shall be subject to the provisions 
of Minnesota Statutes 1971, chapter 15. 
    In exercising the authority granted by Laws 1971, chapter 
937, the state board of pharmacy shall be subject to the 
provisions of Minnesota Statutes 1969, chapter 15.  The state 
board of pharmacy shall provide copies of any proposed rule 
under Laws 1971, chapter 937, to the advisory council on 
controlled substances at least 30 days prior to any hearing 
required by Minnesota Statutes 1969, section 15.0412, 
Subdivision 4 14.14, subdivision 1.  The state board of pharmacy 
shall consider the recommendations of the advisory council on 
controlled substances, which may be made prior to or at the 
hearing. 
    Sec. 41.  Minnesota Statutes 1986, section 174.255, 
subdivision 1, is amended to read: 
    Subdivision 1.  [HANDICAPPED ACCESSIBILITY.] The 
commissioner shall require any paratransit project receiving 
assistance under section 174.24 or 174.25 that includes the 
operation of two or more vehicles other than automobiles or 
taxis to provide at least one vehicle that is accessible to 
handicapped individuals and may require additional accessible 
vehicles if necessary to serve handicapped individuals expected 
to use the project.  A vehicle is accessible if it is equipped 
to allow transportation of an individual confined to a 
wheelchair or using an orthopedic device. 
    Sec. 42.  Minnesota Statutes 1986, section 174.255, 
subdivision 2, is amended to read: 
    Subd. 2.  [ASSISTANCE IN OBTAINING INSURANCE.] In order to 
reduce the expense of liability insurance required for 
paratransit projects eligible for assistance under sections 
section 174.24 and 174.25, the commissioner and the commissioner 
of commerce shall investigate the causes of high liability 
insurance costs and shall take the appropriate administrative 
action to assist paratransit projects to obtain liability 
insurance coverage from qualified insurance carriers at the 
lowest available cost.  Appropriate administrative action 
includes:  (a) taking bids from and negotiating and entering 
into contracts with qualified carriers to provide liability 
insurance for eligible paratransit projects that wish to be 
covered; and (b) providing technical and administrative 
assistance to eligible paratransit projects to assist them in 
securing low cost liability insurance. 
    Sec. 43.  Minnesota Statutes 1986, section 174.29, 
subdivision 1, is amended to read: 
    Subdivision 1.  [DEFINITION.] For the purpose of sections 
174.29 to 174.31 and 174.30 "special transportation service" 
means motor vehicle transportation provided on a regular basis 
by a public or private entity or person that is designed 
exclusively or primarily to serve individuals who are elderly, 
handicapped, or disabled and who are unable to use regular means 
of transportation but do not require life support transportation 
service, as defined in section 144.801, subdivision 4.  Special 
transportation service includes but is not limited to service 
provided by specially equipped buses, vans, taxis, and 
volunteers driving private automobiles. 
    Sec. 44.  Minnesota Statutes 1986, section 176.83, 
subdivision 7, is amended to read: 
    Subd. 7.  [MISCELLANEOUS RULES.] Rules necessary for 
implementing and administering the provisions of sections 
176.131, 176.132, 176.134, sections 176.242 and 176.243; 
sections 176.251, 176.66 to 176.669, and rules regarding proper 
allocation of compensation under section 176.111.  Under the 
rules adopted under section 176.111 a party may petition for a 
hearing before a compensation judge to determine the proper 
allocation.  In this case the compensation judge may order a 
different allocation than prescribed by rule. 
    Sec. 45.  Minnesota Statutes 1986, section 177.24, 
subdivision 2, is amended to read: 
    Subd. 2.  [GRATUITIES NOT APPLIED.] No employer may 
directly or indirectly credit, apply, or utilize gratuities 
towards payment of minimum wages, except as provided under 
section 177.295 177.28. 
    Sec. 46.  Minnesota Statutes 1986, section 179A.12, 
subdivision 1, is amended to read: 
    Subdivision 1.  [CERTIFICATION CONTINUED.] Any employee 
organization holding formal recognition by order of the director 
or by employer voluntary recognition on the effective date of 
Extra Session Laws 1971, chapter 33, under any law that is 
repealed by Extra Session Laws 1971, chapter 33, is certified as 
the exclusive representative until it is decertified or another 
representative is certified in its place.  
    Any teacher organization as defined by Minnesota Statutes 
1969, section 125.20, subdivision 3, which on the effective date 
of Extra Session Laws 1971, chapter 33, has a majority of its 
members on a teacher's council in a school district as provided 
in Minnesota Statutes 1969, section 125.22 is certified as the 
exclusive representative of all teachers of that school district 
until the organization is decertified or another organization is 
certified in its place. 
    Sec. 47.  Minnesota Statutes 1986, section 182.651, 
subdivision 18, is amended to read: 
    Subd. 18.  The following substances or mixtures are not 
hazardous substances if they are:  
    (a) products intended for personal consumption by employees 
in the workplace;  
    (b) consumer products packaged for distribution to, and 
used by, the general public, including any product used by an 
employer or the employer's employees in the same form, 
concentration, and manner as it is sold to consumers, and to the 
employer's knowledge, employee exposure is not significantly 
greater than the consumer exposure occurring during principal 
consumer use of the product;  
    (c) any article, including but not limited to, an item of 
equipment or hardware, which contains a hazardous substance, if 
the substance is present in a solid form which does not create a 
health hazard as a result of being handled by an employee;  
    (d) any hazardous substance that is bound and not released 
under normal conditions of work or in a reasonably foreseeable 
occurrence resulting from workplace operations;  
    (e) products sold or used in retail food sale 
establishments and all other retail trade establishments, 
exclusive of processing and repair work areas;  
    (f) "intoxicating liquor" as defined in section 340.07, 
subdivision 2 340A.101, subdivision 14 or "nonintoxicating malt 
liquor" as defined in section 340.001, subdivision 2 340A.101, 
subdivision 19;  
    (g) "food" as defined in the federal Food, Drug, and 
Cosmetic Act, United States Code, title 27, section 321, et 
seq.; or 
    (h) any waste material regulated pursuant to the federal 
Resource Conservation and Recovery Act, Public Law Number 
94-580, but only with respect to any employer in a business 
which provides a service of collection, processing, or disposal 
of such waste.  
    The commissioner may, by inclusion in the standards adopted 
pursuant to section 182.655, determine whether any of the 
following may be excluded from the definitions of hazardous 
substance or harmful physical agent:  
    (a) waste products labeled pursuant to the Resource 
Conservation and Recovery Act;  
    (b) any substance received by an employee in a sealed 
package and subsequently sold or transferred in that package, if 
the seal remains intact while the substance is in the employer's 
workplace; or 
    (c) any substance, mixture, or product if present in a 
physical state, volume, or concentration for which there is no 
valid and substantial evidence that a significant risk to human 
health may occur from exposure. 
    Sec. 48.  Minnesota Statutes 1986, section 193.141, 
subdivision 2, is amended to read: 
    Subd. 2.  [CONSTRUCTION ON STATE MILITARY CAMPING GROUNDS.] 
Whenever the adjutant general shall deem it necessary or 
expedient that an armory be constructed upon a state military 
camping ground, to be used principally by any unit or units of 
the national guard stationed at a municipality in the vicinity 
thereof, such armory may be constructed and the cost thereof 
paid in the manner hereinafter provided for the construction of 
armories in municipalities, and the annual payments thereafter 
to be made by the state for the maintenance and equipment of 
such armory, as authorized by section 193.35, shall be payable 
to the Minnesota State Armory Building Commission without the 
necessity of like appropriations by such municipality or any 
other party, so long as any bonds issued for the construction of 
such armory shall be outstanding. 
    Sec. 49.  Minnesota Statutes 1986, section 193.145, 
subdivision 2, is amended to read: 
    Subd. 2.  [TAX LEVY, LIMITATION.] A county or municipality 
in which an armory has been constructed or is to be constructed 
hereunder may by resolution of its governing body irrevocably 
provide for levying and collecting annually for a specified 
period, not exceeding 40 years, a tax upon all taxable property 
therein of such amount as such governing body may determine, 
which, unless levied by a county, shall not exceed one-third of 
one mill. 
    The proceeds of such levy as collected shall be paid to 
such corporation for the purposes herein prescribed.  Such 
county or municipality shall have power to make such tax levies 
and payments and to bind itself thereto by such resolution of 
its governing body.  The provisions of such resolution may be 
made conditional upon the giving of an agreement by the adjutant 
general as authorized in subdivision 4.  The obligations of such 
county or municipality to levy, collect, and pay over such taxes 
shall not be deemed or construed to constitute an indebtedness 
of such county or municipality within the meaning of any 
provision of law or of its charter limiting its total or net 
indebtedness, and such taxes may be levied and collected without 
regard to any statutory or charter provision limiting the amount 
or rate of taxes which such county or municipality is otherwise 
authorized to levy.  The payment of the proceeds of such taxes 
up to an amount equal to the sum of $250 per year, or such other 
amount as may hereafter be prescribed by law, for each company 
or other unit of the national guard stationed in such county or 
municipality, shall be deemed sufficient appropriation and 
payment by such county or municipality to authorize the payments 
to be made by the state annually for armory maintenance and 
equipment under the provisions of section 193.35, such payments 
to be made to such corporation and applied as herein provided. 
    Sec. 50.  Minnesota Statutes 1986, section 214.01, 
subdivision 3, is amended to read: 
    Subd. 3.  "Non-health-related licensing board" means the 
board of teaching established pursuant to section 125.183, the 
board of barber examiners established pursuant to section 
154.22, the board of assessors established pursuant to section 
270.41, the board of architecture, engineering, land surveying 
and landscape architecture established pursuant to section 
326.04, the board of accountancy established pursuant to section 
326.17, the board of electricity established pursuant to section 
326.241, the private detective and protective agent licensing 
board established pursuant to section 326.33, the board of 
examiners in watchmaking established pursuant to section 
326.541, the board of boxing established pursuant to section 
341.01, the board of abstracters established pursuant to section 
386.63, and the peace officer standards and training board 
established pursuant to section 626.841. 
    Sec. 51.  Minnesota Statutes 1986, section 219.691, is 
amended to read: 
    219.691 [VIOLATION; FORFEITURE.] 
    A company violating sections 219.681, 219.692, 219.741, 
219.742, 219.743, 219.751, and 219.755 shall forfeit as a 
penalty to the state the sum of $1,000 which may be recovered in 
a civil action. 
    Sec. 52.  Minnesota Statutes 1986, section 219.692, is 
amended to read: 
    219.692 [TREBLE DAMAGES.] 
    A person injured by a company's violation of sections 
219.681, 219.691, 219.741, 219.742, 219.743, 219.751, and 
219.755 has a cause of action against that company for treble 
the amount of damages to the person or the person's property 
resulting from the violation. 
    Sec. 53.  Minnesota Statutes 1986, section 219.743, is 
amended to read: 
    219.743 [EXCEPTIONS.] 
    Sections 219.681, and 219.741, and 219.742 do not apply to: 
    (1) logging or ore roads constructed and used exclusively 
for logging or mining purposes; 
    (2) tracks described in section 219.681 which are used 
exclusively for logging or mining purposes; or 
    (3) a railroad which is not a common carrier. 
    Sec. 54.  Minnesota Statutes 1986, section 219.755, is 
amended to read: 
    219.755 [SECTION 645.35 NOT TO APPLY.] 
    Section 645.35 does not apply to sections 219.681, 219.691, 
219.692, 219.741, 219.742, 219.743, and 219.751. 
    Sec. 55.  Minnesota Statutes 1986, section 222.61, is 
amended to read: 
    222.61 [EMERGENCY RULEMAKING AUTHORITY.] 
    The commissioner may exercise emergency rulemaking 
authority as provided in sections 14.29 to 14.36, to implement 
the provisions of sections 222.55 to 222.62.  The commissioner 
shall solicit information and opinions from outside the 
department as provided in Minnesota Statutes 1980, section 
15.0412, subdivision 6, before adopting these rules.  
Notwithstanding the provisions of Minnesota Statutes 1980, 
section 15.0412, subdivision 5, rules adopted pursuant to this 
section shall be effective until permanent rules are adopted 
pursuant to chapter 15 14 or until October 1, 1979, whichever 
occurs first. 
    Sec. 56.  Minnesota Statutes 1986, section 241.31, 
subdivision 2, is amended to read: 
    Subd. 2.  Community corrections programs established under 
this section may be administered by a nonprofit corporation, by 
the political subdivision establishing same, or by a community 
corrections board organized and composed in the same manner that 
a community mental health center board is composed and organized 
under sections 245.66 to 245.67 section 245.66. 
    Sec. 57.  Minnesota Statutes 1986, section 243.24, 
subdivision 2, is amended to read: 
    Subd. 2.  [CHIEF EXECUTIVE OFFICER TO INCREASE FUND TO 
$100.] If the fund standing to the credit of the prisoner on the 
prisoner's leaving the facility by discharge or on parole be 
less than $100, the warden or chief executive officer is 
directed to pay out of the current expense fund of the facility 
sufficient funds to make the total of said earnings the sum of 
$100, except that when a prisoner is released under section 
243.14, the commissioner of corrections may authorize a lesser 
amount. 
     Sec. 58.  Minnesota Statutes 1986, section 246A.11, 
subdivision 1, is amended to read: 
    Subdivision 1.  [TRANSFER.] Notwithstanding any other law 
to the contrary, Ramsey county and the city of St. Paul, or 
either of them, may lease any property, real or personal, 
acquired by either or both for the establishment, operation, or 
maintenance of St. Paul Ramsey Medical Center, created by 
Minnesota Statutes 1984, section 383A.41, or that has been 
turned over to the center for its use; however, the lease must 
only be to the corporation or one of its subsidiaries. 
    Sec. 59.  Minnesota Statutes 1986, section 246A.12, 
subdivision 1, is amended to read: 
    Subdivision 1.  [EMPLOYEE TRANSFER.] All employees of the 
St. Paul Ramsey Medical Center commission, Minnesota Statutes 
1984, section 383A.41, shall be transferred to the hospital 
subsidiary corporation. 
    Sec. 60.  Minnesota Statutes 1986, section 250.05, 
subdivision 2, is amended to read: 
    Subd. 2.  The Gillette children's hospital shall be 
governed by a board of directors consisting of up to 19 
members.  Not more than nine of those shall be residents of 
Ramsey county.  The commissioner of health and the commissioner 
of jobs and training shall each designate a senior employee of 
their respective departments to represent them as voting members 
of the board.  The designee of the commissioner of jobs and 
training shall be the person having authority over the 
administration of federally recognized vocational rehabilitation 
programs.  Notwithstanding the provisions of subdivision 2a, the 
term of office of a designee shall be coterminous with the term 
of office of the designating commissioner.  Of the remaining 
members, at least four shall be consumers as defined in section 
145.833, and persons (a) whose past or present occupation has 
not involved the administration of health activities or the 
providing of health services within the 12 months before 
appointment, (b) who were not employed by a health care facility 
as a licensed professional within 12 months before appointment, 
and (c) who have not held a material financial interest in the 
rendering of health service within 12 months before 
appointment.  One member shall be a member of the medical staff, 
to be elected by the medical staff of the hospital.  Members 
other than the designees shall be elected by the other members.  
No member of the board may be an employee of or have any direct 
or immediate family financial interest in a business entity that 
provides goods or services to the hospital. 
    Sec. 61.  Minnesota Statutes 1986, section 256.12, 
subdivision 14, is amended to read: 
    Subd. 14.  [DEPENDENT CHILD.] "Dependent child," as used in 
sections 256.72 to 256.87 and 256.872, means a child under the 
age of 18 years, or a child under the age of 19 years who is 
regularly attending as a full-time student, and is expected to 
complete before reaching age 19, a high school or a secondary 
level course of vocational or technical training designed to fit 
students for gainful employment, who is found to be deprived of 
parental support or care by reason of the death, continued 
absence from the home, physical or mental incapacity of a 
parent, or who is a child of an unemployed parent as that term 
is defined by the commissioner of human services, such 
definition to be consistent with and not to exceed minimum 
standards established by the Congress of the United States and 
the secretary of health and human services, and whose relatives, 
liable under the law for the child's support are not able to 
provide adequate care and support of the child, and who is 
living with father, mother, grandfather, grandmother, brother, 
sister, stepfather, stepmother, stepbrother, stepsister, uncle, 
aunt, first cousin, nephew, or niece in a place of residence 
maintained by one or more of these relatives as a home. 
    The term "dependent child"  also means a child who has been 
removed from the home of a relative after a judicial 
determination that continuance in the home would be contrary to 
the welfare and best interests of the child and whose care and 
placement in a foster home or a private licensed child care 
institution is, in accordance with the rules of the 
commissioner, the responsibility of the state or county agency 
under sections 256.72 to 256.87.  This child is eligible for 
benefits only through the foster care and adoption assistance 
program contained in Title IV-E of the Social Security Act, 
United States Code, title 42, sections 670 to 676, and is not 
entitled to benefits under sections 256.72 to 256.87. 
     Sec. 62.  Minnesota Statutes 1986, section 256.462, 
subdivision 2, is amended to read: 
    Subd. 2.  [APPLICABILITY.] The provisions of Minnesota 
Statutes 1949 1971, section 256.25, as to the allowance as 
claims in the probate court of amounts paid as old age 
assistance are made applicable to amounts paid as assistance 
under the provisions of Minnesota Statutes 1971, sections 
256.451 to 256.475. 
     Sec. 63.  Minnesota Statutes 1986, section 256B.03, 
subdivision 2, is amended to read: 
    Subd. 2.  [LIMIT ON ANNUAL INCREASE TO LONG-TERM CARE 
PROVIDERS.] Notwithstanding the provisions of sections 256B.42 
256B.421 to 256B.48, Laws 1981, chapter 360, article II, section 
2, or any other provision of chapter 360, and rules promulgated 
under those sections, rates paid to a skilled nursing facility 
or an intermediate care facility, including boarding care 
facilities and supervised living facilities, except state owned 
and operated facilities, for rate years beginning during the 
biennium ending June 30, 1983, shall not exceed by more than ten 
percent the final rate allowed to the facility for the preceding 
rate year.  For purposes of this section, "final rate" means the 
rate established after any adjustment by the commissioner, 
including but not limited to adjustments resulting from cost 
report reviews, field audits, and computations of unimplemented 
cost changes.  Regardless of any rate appeal, the rate 
established shall be the rate paid and shall remain in effect 
until final resolution of the appeal, subsequent desk or field 
audit adjustment, notwithstanding any provision of law or rule 
to the contrary.  
    Notwithstanding provisions of section 256B.45, subdivision 
1, The commissioner shall not increase the percentage for 
investment allowances. 
     Sec. 64.  Minnesota Statutes 1986, section 257.34, 
subdivision 1, is amended to read: 
    Subdivision 1.  [ACKNOWLEDGMENT BY PARENTS.] The mother and 
father of a child born to a mother who was not married to the 
child's father when the child was conceived nor when the child 
was born may, in a writing signed by both of them before a 
notary public, declare and acknowledge under oath that they are 
the biological parents of the child.  The declaration may 
provide that any such child born to the mother at any time 
before or up to ten months after the date of execution of the 
declaration is the biological child of the signatories.  
Execution of the declaration shall: 
    (a) have the same consequences as an acknowledgment by the 
signatories of parentage of the child for the purposes of 
sections 62A.041 and 62C.14, subdivision 5a; 
    (b) be conclusive evidence that the signatories are parents 
of the child for the purposes of sections 176.111 and 197.09 to 
197.11 197.752; 
    (c) have the same consequences as an acknowledgment by the 
father of paternity of the child for the purposes of sections 
257.57 and 257.66; 
    (d) when timely filed with the division of vital statistics 
of the Minnesota department of health as provided in section 
259.261, qualify as an affidavit stating the intention of the 
signatories to retain parental rights as provided in section 
259.261 if it contains the information required by section 
259.261 or rules promulgated thereunder; 
     (e) have the same consequences as a writing declaring 
paternity of the child for the purposes of section 524.2-109; 
and 
     (f) be conclusive evidence that the signatories are parents 
of the child for the purposes of chapter 573. 
    Sec. 65.  Minnesota Statutes 1986, section 260.015, 
subdivision 3, is amended to read: 
    Subd. 3.  "Child placing agency" means anyone licensed 
under section 257.091 sections 245.781 to 245.812 and 252.28, 
subdivision 2. 
    Sec. 66.  Minnesota Statutes 1986, section 260.151, 
subdivision 1, is amended to read: 
    Subdivision 1.  Upon request of the court the county 
welfare board or probation officer shall investigate the 
personal and family history and environment of any minor coming 
within the jurisdiction of the court under section 260.111 and 
shall report its findings to the court.  The court may order any 
minor coming within its jurisdiction to be examined by a duly 
qualified physician, psychiatrist, or psychologist appointed by 
the court.  With the consent of the commissioner of corrections 
and agreement of the county to pay the costs thereof, the court 
may, by order, place a minor coming within its jurisdiction in 
an institution maintained by the commissioner for the detention, 
diagnosis, custody and treatment of persons adjudicated to be 
delinquent, in order that the condition of the minor be given 
due consideration in the disposition of the case.  Adoption 
investigations shall be conducted in accordance with the laws 
relating to adoptions.  Any funds received under the provisions 
of this subdivision or under the provisions of section 260.175, 
clause (d) shall not cancel until the end of the fiscal year 
immediately following the fiscal year in which the funds were 
received.  The funds are available for use by the commissioner 
of corrections during that period, and are hereby appropriated 
annually to the commissioner of corrections as reimbursement of 
the costs of providing these services to the juvenile courts. 
    Sec. 67.  Minnesota Statutes 1986, section 268.072, 
subdivision 6, is amended to read: 
    Subd. 6.  [REIMBURSEMENT OF COSTS.] Appropriate 
arrangements shall be made for reimbursement by the child 
support agency for the administrative costs incurred by the 
commissioner under this subdivision and sections 256.872 to 
256.878 and 518.551 and 518.611 which are attributable to child 
support obligations being enforced by the public agency 
responsible for child support enforcement. 
    Sec. 68.  Minnesota Statutes 1986, section 275.125, 
subdivision 6a, is amended to read: 
    Subd. 6a.  [MINNEAPOLIS CIVIL SERVICE RETIREMENT LEVY.] (1) 
In addition to the excess levy authorized in subdivision 6, in 
1976 any district within a city of the first class which was 
authorized in 1975 to make a retirement levy under Minnesota 
Statutes 1974, section 275.127 and chapter 422A may levy an 
amount per pupil unit which is equal to the amount levied in 
1975 payable 1976, under Minnesota Statutes 1974, section 
275.127 and chapter 422A, divided by the number of pupil units 
in the district in 1976-1977. 
    (2) In 1979 and each year thereafter, any district which 
qualified in 1976 for an extra levy under clause (1) shall be 
allowed to levy the same amount as levied for retirement in 1978 
under this clause reduced each year by ten percent of the 
difference between the amount levied for retirement in 1971 
under Minnesota Statutes 1971, sections 275.127 and 422.01 to 
422.54 and the amount levied for retirement in 1975 under 
Minnesota Statutes 1974, section 275.127 and chapter 422A. 
    Sec. 69.  Minnesota Statutes 1986, section 275.125, 
subdivision 8, is amended to read: 
    Subd. 8.  [COMMUNITY EDUCATION LEVY.] (1) Each year, a 
district which has established a community education advisory 
council pursuant to section 121.88, may levy the amount raised 
by .8 mill times the most recent adjusted assessed valuation of 
the district, but no more than the greater of 
    $5.50 times the population of the district, or 
    $7,340.  
    (2) In addition to the levy authorized in clause (1), each 
year a district may levy an additional amount for community 
education programs equal to the difference obtained by 
subtracting 
    (a) the sum in fiscal year 1984 of 
    (i) the district's estimated maximum permissible revenue 
for fiscal year 1985 from community education aid under section 
124.271, subdivision 2b, clause (1), and 
    (ii) the community education levy authorized in clause (1) 
of this subdivision, from 
    (b) the sum in fiscal year 1983 of 
    (i) the district's maximum permissible revenue from 
community education aid under Minnesota Statutes 1984, section 
124.271, subdivision 2, excluding any reductions from community 
education aid made pursuant to Laws 1981, Third Special Session 
chapter 2, article 2, section 2, clause (mm), and Laws 1982, 
Third Special Session chapter 1, article 3, section 6, and 
     (ii) the maximum community education levy authorized in 
this subdivision for the district for the levy made in 1981, 
payable in 1982, before any reduction in the levy pursuant to 
subdivision 9.  
     (3) A district having an approved adult basic and 
continuing education program, according to section 124.26, may 
levy an amount not to exceed the amount raised by .1 mill times 
the adjusted assessed valuation of the district for the 
preceding year. 
     (4) A district having an approved program and budget may 
levy for a handicapped adult program.  The levy amount may not 
exceed the lesser of one-half of the amount of the approved 
budget for the program for the fiscal year beginning in the 
calendar year after the levy is certified or $25,000 for one 
program.  In the case of a program offered by a group of 
districts, the levy amount shall be divided among the districts 
according to the agreement submitted to the department.  The 
proceeds of the levy shall be used only for a handicapped adult 
program or, if the program is subsequently not offered, for 
community education programs.  For programs not offered, the 
department of education shall reduce the community education 
levy by the amount levied the previous year for handicapped 
adult programs. 
     (5) The levies authorized in this subdivision shall be used 
for community education, including nonvocational adult programs, 
recreation and leisure time activity programs, and programs 
authorized by sections 121.85 to 121.88 and 129B.06 to 129B.09, 
and 121.882.  A school district may levy pursuant to this 
subdivision only after it has filed a certificate of compliance 
with the commissioner of education.  The certificate of 
compliance shall certify that the governing boards of the 
county, municipality and township in which the school district 
or any part thereof is located have been sent 15 working days 
written notice of a meeting and that a meeting has been held to 
discuss methods of increasing mutual cooperation between such 
bodies and the school board.  The failure of a governing board 
of a county, municipality or township to attend the meeting 
shall not affect the authority of the school district to levy 
pursuant to this subdivision. 
    (6) The population of the district for purposes of this 
subdivision is the population determined as provided in section 
275.14 or as certified by the department of education from the 
most recent federal census. 
    Sec. 70.  Minnesota Statutes 1986, section 278.06, is 
amended to read: 
    278.06 [OTHER STATUTES TO APPLY.] 
    Sections 279.18, 279.19, 279.21, 279.23, 279.24, and 279.25 
shall apply in so far as they are applicable thereto, except as 
herein otherwise provided.  References in those sections to 
"answers" shall be understood as referring to petitions, and 
references to the "delinquent list" or "list" as referring to 
the tax list filed with the county treasurer. 
    Sec. 71.  Minnesota Statutes 1986, section 295.34, 
subdivision 1, is amended to read: 
    Subdivision 1.  Except as provided in subdivision 2 every 
telephone company shall file a return with the commissioner of 
revenue on or before April 15 of each year, and submit payment 
therewith, of the following percentages of its gross earnings of 
the preceding calendar year derived from business within this 
state: 
    (a) for gross earnings from service to rural subscribers 
and from exchange business of all cities of the fourth class and 
statutory cities having a population of 10,000 or less 
    for calendar years beginning before December 31, 1986, 4 
percent, 
    for calendar year 1987, 3 percent, 
    for calendar year 1988, 1.5 percent, 
    for calendar year 1989, 1 percent, and 
    for calendar years beginning after December 31, 1989, 
exempt; and 
    (b) for gross earnings derived from all other business 
    for calendar years beginning before December 31, 1986, 7 
percent, 
    for calendar year 1987, 5.5 percent, 
    for calendar year 1988, 3 percent, 
    for calendar year 1989, 2.5 percent, and 
    for calendar years beginning after December 31, 1989, 
exempt. 
    Beginning January 1, 1986, a tax shall not be imposed on 
the gross earnings of a telephone company from business 
originating or terminating outside of Minnesota. 
    The tax imposed is in lieu of all other taxes, except the 
taxes imposed by chapter 290, property taxes assessed beginning 
in 1987, payable in 1988, and sales and use taxes imposed as a 
result of section 296.22, subdivision 13 Laws 1985, first 
special session chapter 14, article 2, section 9.  All money 
paid by a company for connecting fees and switching charges to 
any other company shall be reported as earnings by the company 
to which they are paid, but shall not be deemed earnings of the 
collecting and paying company.  For the purposes of this 
section, the population of any statutory city shall be 
considered as that stated in the latest federal census. 
    Sec. 72.  Minnesota Statutes 1986, section 297.03, 
subdivision 3, is amended to read: 
    Subd. 3.  [SECTION 6.22 16A.56 SUPERSEDED.] The provisions 
of sections 297.01 to 297.13 prescribing the powers and duties 
of the commissioner with relation to stamps supersede all the 
provisions of Minnesota Statutes 1945, section 6.22 16A.56 in 
conflict therewith. 
    Sec. 73.  Minnesota Statutes 1986, section 297A.06, is 
amended to read: 
    297A.06 [PERMIT.] 
    After compliance with sections 297A.04 and 297A.05, and 
297A.28, when security is required, the commissioner shall issue 
to each applicant a separate permit for each place of business 
within Minnesota. A permit shall be valid until revoked but 
shall not be assignable and shall be valid only for the person 
in whose name it is issued and for the transaction of business 
at the place designated therein.  It shall at all times be 
conspicuously displayed at the place for which issued. 
    Sec. 74.  Minnesota Statutes 1986, section 297A.25, 
subdivision 10, is amended to read: 
    Subd. 10.  [PUBLICATIONS MATERIALS.] The gross receipts 
from the sale of and storage, use or other consumption in 
Minnesota of tangible personal property (except as provided in 
section 297A.14) which is used or consumed in producing any 
publication regularly issued at average intervals not exceeding 
three months, and any such publication are exempt.  For purposes 
of this subdivision, "publication" as used herein shall include, 
without limiting the foregoing, a legal newspaper as defined by 
Minnesota Statutes 1965, section 331.02, and any supplements or 
enclosures with or part of said newspaper; and the gross 
receipts of any advertising contained therein or therewith shall 
be exempt.  For this purpose, advertising in any such 
publication shall be deemed to be a service and not tangible 
personal property, and persons or their agents who publish or 
sell such newspapers shall be deemed to be engaging in a service 
with respect to gross receipts realized from such newsgathering 
or publishing activities by them, including the sale of 
advertising.  The term "publication" shall not include magazines 
and periodicals sold over the counter.  Machinery, equipment, 
implements, tools, accessories, appliances, contrivances, 
furniture and fixtures used in such publication and fuel, 
electricity, gas or steam used for space heating or lighting, 
are not exempt. 
    Sec. 75.  Minnesota Statutes 1986, section 308.341, is 
amended to read:  
    308.341 [COOPERATIVE RURAL TELEPHONE COMPANIES, 
DISSOLUTION.] 
    Any cooperative rural telephone company organized under 
Revised Statutes 1905, chapter 58, or the general laws of 
Minnesota 1905, chapters 276 and 313, may dissolve by voluntary 
proceedings as provided by Minnesota Statutes, sections 301.47 
and 301.48, or 302A.721 to 302A.733, whenever a resolution 
therefor, is adopted by a majority of the voting power of all 
stockholders or shareholders at a meeting duly called for that 
purpose. 
    Sec. 76.  Minnesota Statutes 1986, section 317.03, is 
amended to read:  
    317.03 [FOREIGN NONPROFIT CORPORATIONS, SECTIONS 
APPLICABLE.] 
    (1) Except for this section and sections section 317.42 and 
317.43 concerning merger or consolidation, this chapter does not 
apply to foreign corporations.  
    (2) Except as provided in clauses (3) and (4) a foreign 
corporation is subject to the provisions of the Minnesota 
foreign corporations act, Minnesota Statutes, chapter 303.  
Unless it complies with that chapter a foreign corporation shall 
not transact business in this state.  
    (3) Sections 303.07, 303.14, 303.15, 303.22, 303.02, 
subdivision 2, and 303.16, subdivision 2, clauses (6) and (7), 
do not apply to foreign corporations. 
    (4) A foreign corporation transacting business in this 
state on April 21, 1951, shall comply with this section within 
one year. 
    Sec. 77.  Minnesota Statutes 1986, section 317.65, 
subdivision 6, is amended to read:  
    Subd. 6.  [LEGAL GUARDIAN.] Unless a corporation formed to 
establish and maintain homes for orphaned, homeless, abandoned, 
neglected, or grossly ill-treated children is licensed as 
provided by section 257.091 sections 245.781 to 245.812 and 
252.28, subdivision 2, by the commissioner of human services as 
a child caring agency, it may not become the legal guardian of a 
child. 
    Sec. 78.  Minnesota Statutes 1986, section 319A.03, is 
amended to read:  
    319A.03 [FORMATION OF CORPORATION.] 
    One or more natural professional persons may form a 
corporation pursuant to sections 301.01 to 301.67, chapter 302A, 
or 317 for the purposes hereinafter set forth. 
    Sec. 79.  Minnesota Statutes 1986, section 319A.05, is 
amended to read:  
    319A.05 [APPLICABILITY OF CORPORATION ACTS.] 
    A corporation incorporating under sections 319A.01 to 
319A.22 and 301.01 to 301.67, chapter 302A, or 317 shall proceed 
in the manner specified in sections 301.01 to 301.67, chapter 
302A, or 317.  After incorporation a professional corporation 
shall enjoy the powers and privileges and shall be subject to 
the duties and liabilities of other corporations organized under 
sections 301.01 to 301.67, chapter 302A, or chapter 317, except 
insofar as the same may be limited or enlarged by sections 
319A.01 to 319A.22.  If any provision of sections 319A.01 to 
319A.22 conflicts with the provisions of sections 301.01 to 
301.67, chapter 302A, or 317, sections 319A.01 to 319A.22 take 
precedence. 
    Sec. 80.  Minnesota Statutes 1986, section 319A.12, 
subdivision 1a, is amended to read:  
    Subd. 1a.  A professional corporation may at any time by 
amendment to its articles of incorporation relinquish the powers 
and privileges conferred upon it by this chapter and elect to be 
governed thereafter solely by the provisions of sections 301.01 
to 301.67, chapter 302A, or 317.  Notwithstanding any provision 
of this chapter, the representative of a deceased or incompetent 
shareholder of a professional corporation shall have authority 
to vote the deceased or incompetent shareholder's shares on the 
question of adopting such an amendment. 
    Sec. 81.  Minnesota Statutes 1986, section 319A.12, 
subdivision 2, is amended to read:  
    Subd. 2.  If within 90 days following the date of death of 
a shareholder or member of a professional corporation or the 
loss of a license to render professional service all of the 
shares or membership owned by the deceased or disqualified 
shareholder or member have not been transferred to and acquired 
by the corporation or persons qualified to own the shares or 
membership, the corporation shall thereafter be governed solely 
by the provisions of sections 301.01 to 301.67, chapter 302A, or 
317 and shall not enjoy any of the powers and privileges 
conferred by sections 319A.01 to 319A.22.  When the corporation 
ceases to be authorized to render professional service, its 
corporate name must be changed to comply with the corporate name 
provision of sections 301.01 to 301.67, chapter 302A, or 317, 
and any words, phrases or abbreviations contained therein to 
comply with the provisions of sections 319A.01 to 319A.22 shall 
be eliminated. 
    Sec. 82.  Minnesota Statutes 1986, section 327.18, 
subdivision 3, is amended to read:  
    Subd. 3.  [PROCEDURE FOR HEARING AND APPEAL.] The procedure 
for hearings or for appeals from the orders of the department or 
of the commissioner where provided in sections 327.14 to 327.29 
327.28 shall be in accordance with Minnesota Statutes 1961, 
chapter 15 as amended sections 14.01 to 14.69. 
    Sec. 83.  Minnesota Statutes 1986, section 355.311, 
subdivision 1, is amended to read: 
    Subdivision 1.  [ELECTION OF SOCIAL SECURITY COVERAGE.] Any 
member of the basic program of the Minneapolis employees 
retirement fund established under the provisions of chapter 422A 
shall be entitled to elect social security coverage retroactive 
to July 1, 1978 in a second social security referendum.  Any 
member who so elects shall become a member of the coordinated 
program of the public employees retirement association and 
sufficient assets shall be transferred by the board of trustees 
of the Minneapolis employees retirement fund to the coordinated 
program of the public employees retirement association pursuant 
to Minnesota Statutes 1980, section 353.023. 
    Sec. 84.  Minnesota Statutes 1986, section 361.26, 
subdivision 2, is amended to read: 
    Subd. 2.  (a) Upon request of a county, city or town, the 
commissioner may, on determining it to be in the public 
interest, establish rules relating to the use of watercraft on 
waters of this state which border upon or are within, in whole 
or in part, the territorial boundaries of the governmental unit. 
    (b) Such rules shall be established in the manner provided 
by Minnesota Statutes 1969, sections 15.0411 to 15.0422 14.02 to 
14.62, but shall not be submitted to the attorney general nor 
filed with the secretary of state until first approved by 
resolutions of the county boards of a majority of the counties 
affected by the proposed rules.  
    (c) Such rules may restrict any or all of the following:  
(1) the type and size of watercraft and size of motor which may 
use the waters affected by the rule, (2) the areas of water 
which may be used by watercraft, (3) speed of watercraft, (4) 
times permitted for use of watercraft, or (5) minimum distance 
between watercraft.  When establishing rules the commissioner 
shall consider the physical characteristics of the waters 
affected, their historical uses, shoreland uses and 
classification, and any other features unique to the waters 
affected by the rules.  
    (d) The commissioner shall inform the users of the waters 
of the rules affecting them at least two weeks before the 
effective date of the rules by distributing copies of the rules 
and by posting of the public accesses of the waters. However, 
the failure of the commissioner to comply with this paragraph 
shall not affect the validity of the rules or any conviction for 
violation of the rules.  
    (e) The cost of publishing rules and of marking and posting 
waters pursuant to this subdivision shall be paid by the 
counties affected by the rules, as apportioned by the 
commissioner.  
    (f) Regulations or ordinances relating to the use of waters 
of this state enacted by a local governmental unit before 
January 1, 1972 shall continue in effect until repealed by the 
local governmental unit or superseded by a rule of the 
commissioner promulgated pursuant to this subdivision. 
    Sec. 85.  Minnesota Statutes 1986, section 383B.035, 
subdivision 1, is amended to read: 
    Subdivision 1.  Notwithstanding the provisions of Minnesota 
Statutes 1969, section 203.43 204B.32, which relates to election 
expenses, whenever the board of county commissioners of Hennepin 
county shall duly provide for a special election to be held 
within said Hennepin county, all of the expenses necessarily 
incurred by the several municipalities, home rule charter or 
statutory cities, and townships within the county of Hennepin 
concerning such special election, shall be paid by the county of 
Hennepin upon a resolution duly adopted by the board of county 
commissioners for Hennepin county providing for such payment of 
special election expenses. 
    Sec. 86.  Minnesota Statutes 1986, section 383B.237, is 
amended to read: 
    383B.237 [LIBRARY SYSTEM.] 
    Notwithstanding the provisions of section 375.33, The 
Hennepin county board of commissioners may establish and 
maintain a system of public libraries for the free use of the 
residents of the county.  The board shall determine the 
locations of the libraries, and may levy taxes for library 
operations and maintenance on all taxable property within the 
county which was not taxed in 1980 by the city of Minneapolis 
for the support of any free public library.  The county may 
acquire, lease, construct, alter or contract for the use of any 
real or personal property necessary for the establishment and 
operation of a free county library system.  Acquisition of real 
property may be undertaken in accordance with chapter 117. 
    Sec. 87.  Minnesota Statutes 1986, section 383C.76, is 
amended to read: 
    383C.76 [SURPLUS COMMODITIES; PURCHASE BY COUNTY 
EMPLOYEES.] 
    Notwithstanding the provisions of Minnesota Statutes 1965, 
section 15.055 15.054 or any other law to the contrary, in St. 
Louis county, county employees may purchase surplus commodities 
which are produced, grown or manufactured on or in St. Louis 
county institutions. 
    Sec. 88.  Minnesota Statutes 1986, section 386.71, is 
amended to read: 
    386.71 [LICENSED ABSTRACTERS, ACCESS TO PUBLIC RECORDS.] 
    Except as provided in Laws 1974, Chapter 435, Section 3.11 
(c), Licensed abstracters shall have access during ordinary 
office hours to the public records in the office of the county 
recorder in the county in which such abstracter is authorized to 
function, to make such memoranda, microfilm, photostats, 
photographs, or notations from the records thereof as may be 
necessary for the purpose of making or compiling abstracts, 
continuations thereof, or issuing certificates showing ownership 
of, or interest in, or liens upon any lands in the state, 
whether registered or not, and the compiling, posting, copying 
and keeping up their abstract books, indices, or other records 
necessary to carry on or perform the duties and functions of a 
licensed abstracter, provided that such access during ordinary 
office hours shall in no manner hinder or interfere with the 
public officer in the performance of official duties. 
    Sec. 89.  Minnesota Statutes 1986, section 393.13, 
subdivision 1, is amended to read: 
    Subdivision 1.  Upon providing services pursuant to section 
252.27, 260.251, subdivision 1a, 261.27 or 393.07, subdivision 1 
or 2 to any person having private health care coverage, the 
county agency shall be subrogated, to the extent of the cost of 
services provided, to any rights the person may have under the 
terms of any private health care coverage.  The right of 
subrogation does not attach to benefits paid or provided under 
private health care coverage prior to the receipt of written 
notice of the exercise of subrogation rights by the carrier 
issuing the health care coverage. 
    Sec. 90.  Minnesota Statutes 1986, section 412.381, is 
amended to read: 
    412.381 [REPORTS.] 
    The accounting officer of the commission shall make such 
monthly or annual statements of operation as the commission may 
require. A copy of each such report shall be filed in the office 
of the city clerk.  An annual financial report shall be made and 
a copy filed with the clerk at the close of the calendar year 
and shall be included as part of the annual financial report or 
statement of the clerk in conformity with section 412.281 
471.697 or 471.698.  The cost of publication of any other 
official statement required by law to be published shall be paid 
from public utility funds. 
    Sec. 91.  Minnesota Statutes 1986, section 412.501, is 
amended to read: 
     412.501 [PARK BOARD IN CERTAIN STATUTORY CITIES; 
CONTINUANCE OF EXISTING BOARD; OFFICERS; COMPENSATION.] 
     The council of any city of more than 1,000 population may 
by ordinance establish a park board and it may by ordinance 
adopted by unanimous vote of all members of the council abolish 
any board thus established.  Any park board now in existence in 
any city shall hereafter operate as a park board under this 
chapter until abolished as provided in this section.  The park 
board shall consist of three, five, seven or nine members as 
determined by resolution or ordinance of the council, appointed 
by the mayor with the consent of the council.  If the board 
consists of three members, one member of the original board 
shall serve for a term of one year, one for a term of two years, 
and one for a term of three years.  If the board consists of 
five members, one member of the original board shall serve a 
term of one year, two for a term of two years and two for a term 
of three years.  If the board consists of seven members, two 
members of the original board shall serve a term of one year, 
two for a term of two years and three for a term of three 
years.  If the board consists of nine members, three members of 
the original board shall serve a term of one year, three for a 
term of two years and three for a term of three years.  After 
the terms of the original board members expire, members shall be 
appointed for terms of three years.  The number of members may 
be increased or decreased within the permitted three, five, 
seven or nine members by subsequent resolution or ordinance.  
The resolution or ordinance shall include a provision for 
maintaining staggered terms for board members, provided that if 
the number of members is reduced the reduction shall be effected 
in such a manner that all incumbent members are permitted to 
serve their full terms.  
    No action to change the size of the board shall be taken 
except upon a two-thirds vote of all the members of the city 
council, and no such action shall be taken until at least three 
years after establishment of the board or until at least three 
years after the last resolution or ordinance modifying the size 
of the board.  Vacancies shall be filled for the remainder of 
the original terms.  Each member shall serve until a successor 
is appointed and qualifies.  Members shall serve without 
compensation unless the council authorizes compensation which 
may not exceed $100 per year for each member.  Any member may be 
removed by the mayor with the consent of the council for cause 
after a hearing.  The board shall choose one of its members as 
chair and may select a secretary either from among its own 
members or otherwise and fix the secretary's compensation at not 
to exceed $500 per year.  The board may adopt and from time to 
time amend rules of procedure.  It shall make quarterly reports 
of its activities to the council.  The city attorney, if there 
is one, shall act as attorney for the board.  An annual 
statement of its receipts and disbursements shall be filed with 
the clerk immediately after the close of the calendar year and 
shall be included as part of the annual financial report or 
statement of the clerk in conformity with section 412.281 
471.697 or 471.698. 
    Sec. 92.  Minnesota Statutes 1986, section 447.42, 
subdivision 2, is amended to read: 
    Subd. 2.  Community residential facilities established 
under this section may be administered by a nonprofit 
corporation, by the political subdivision establishing same or 
by a community mental health-mental retardation health center 
board organized under sections section 245.66 and 245.67. 
    Sec. 93.  Minnesota Statutes 1986, section 458A.03, 
subdivision 8, is amended to read: 
    Subd. 8.  [LEGAL STATUS; GENERAL POWERS.] The transit area, 
with the commission as its governing body, shall be a public 
corporation and a political subdivision of the state.  All the 
powers vested and obligations or duties imposed upon the 
commission and acts of the commission by sections 458A.01 to 
458A.15 shall be deemed to be those of the transit area wherever 
necessary or appropriate, and shall be exercised, performed, and 
discharged in behalf of the area by the commission in its name 
as a public corporation and with like force and effect as if 
done in the name of the area, and for all such purposes, the 
commission shall have the same status and powers as the area.  
The chair and secretary of the commission shall have such powers 
as are delegated to them by the commission.  The commission may 
sue and be sued and may enter into contracts which may be 
necessary or proper. 
    The commission may operate paratransit services, as defined 
in section 174.22, subdivision 6, may apply for and receive 
financial assistance under the paratransit service demonstration 
grant program established by section 174.25, and may exercise 
such other powers conferred upon it by sections 458A.01 to 
458A.15, including the power to acquire property, as may be 
necessary and proper to operation of such services or the 
application for and receipt of such assistance. 
    Except as otherwise provided, the commission may, within 
the transit area, acquire by purchase, lease, gift, or 
condemnation proceedings any real or personal property, 
franchises, easements, or other rights which may be necessary or 
proper and may acquire real property in such manner for use as 
terminal facilities, maintenance and garage facilities, ramps, 
parking areas and other facilities useful for or related to any 
public transit system.  The commission shall have power to 
acquire by purchase, lease, or gift all or any part of the 
plant, equipment, shares of stock, property, real, personal, or 
mixed, rights in property, reserve funds, special funds, 
franchises, licenses, patents, permits and papers, documents and 
records belonging to any operator of a public transit system 
within the area, and to lease property and to transfer or convey 
by sale or otherwise any property or rights to others, or to 
exchange the same for other property or rights which are useful 
for its purposes, and may in connection therewith assume any or 
all liabilities of any operator of a public transit system.  The 
commission, without limitation, may acquire or construct and 
equip terminal facilities, maintenance and garage facilities, 
ramps, transit lanes or rights of way, parking areas and other 
facilities useful for or related to any public transit system 
and may hold, use, improve, operate, maintain, lease, sell, or 
otherwise dispose of any of its property to others and may 
contract with any operator or other person for the use by any 
such operator or person of any such property or facilities under 
its control.  The commission shall not acquire any existing 
public transit system or any part thereof by condemnation. In 
the determination of the fair value of the existing public 
transit system, there shall not be included any value 
attributable to expenditures for improvements by the transit 
commission. 
    The commission may accept gifts, grants, or loans of money 
or other property from the United States, the state, or any 
person or entity for such purposes, may enter into any agreement 
required in connection therewith, may comply with any federal or 
state laws or regulations applicable thereto, and may hold, use, 
and dispose of such money or property in accordance with the 
terms of the gift, grant, loan, or agreement relating thereto.  
The commission may establish an executive committee, a finance 
committee, and such other committees of its members as it deems 
necessary or proper in furtherance of the provisions of sections 
458A.01 to 458A.15, and may authorize them to exercise in the 
intervals between commission meetings any powers of the 
commission except those expressly required by law to be 
exercised by the commission. 
    Sec. 94.  Minnesota Statutes 1986, section 458C.17, is 
amended to read: 
    458C.17 [SECTIONS THAT APPLY IF FEDERAL LIMIT APPLIES.] 
    Sections 474.16 to 474.23 474A.01 to 474A.21 apply to 
obligations issued under sections 458C.01 to 458C.23 that are 
limited by a federal volume limitation act defined in 
section 474.16, subdivision 5 474A.02, subdivision 9, or 
existing federal tax law as defined in section 474A.02, 
subdivision 8. 
    Sec. 95.  Minnesota Statutes 1986, section 462.601, is 
amended to read: 
    462.601 [MINNESOTA BUSINESS CORPORATION ACT APPLIES IN 
PART.] 
    The provisions of sections 301.01 to 301.61 and chapter 
302A shall apply to redevelopment companies, except where those 
provisions are in conflict with the provisions of sections 
462.415 to 462.705.  In the event that any action with respect 
to which the holders of income debentures shall have the right 
to vote is proposed to be taken, then notice of any meeting at 
which such action is proposed to be taken shall be given to 
those holders in the same manner [and] to the same extent as if 
they were stockholders entitled to notice of and to vote at such 
meeting, and any certificate filed pursuant to law in the 
department of state with respect to any such action, whether 
taken with or without meeting, and any affidavit required by law 
to be annexed to that certificate, shall contain the same 
statements or recitals, and the certificate shall be subscribed 
and acknowledged, and the affidavit shall be made in the same 
manner as if those holders were stockholders holding shares of 
an additional class of stock entitled to vote on that action, or 
with respect to the proceedings provided for in the certificate. 
    Sec. 96.  Minnesota Statutes 1986, section 462.605, is 
amended to read: 
    462.605 [POWERS OF REDEVELOPMENT COMPANY.] 
    Each redevelopment company shall have and may exercise such 
of the powers conferred by sections 301.01 to 301.61 and chapter 
302A or, in cities of the first class, the Minnesota uniform 
limited partnership act as shall be necessary in conducting the 
business of a redevelopment company and consistent with the 
provisions of sections 462.415 to 462.705. 
    Sec. 97.  Minnesota Statutes 1986, section 462A.04, 
subdivision 8, is amended to read: 
    Subd. 8.  The agency shall be under the administrative 
control of an executive director which office is established.  
The executive director shall be appointed by the governor under 
the provisions of section 15.06. 
    The executive director may appoint a deputy director.  The 
executive director may further appoint such permanent and 
temporary employees as the executive director deems necessary 
subject to the approval of the commissioner of employee 
relations.  All permanent employees of the agency, except the 
executive director, deputy director, and additional positions 
established pursuant to section 43A.08, subdivision 1a are in 
the classified civil service.  Notwithstanding section 16A.752 
or any other provision of law to the contrary, any approved 
complement established by law for the agency shall not be 
reduced as a result of vacancies in approved positions.  No 
additional deputy commissioner positions may be created. 
    Sec. 98.  Minnesota Statutes 1986, section 462A.05, 
subdivision 18, is amended to read: 
    Subd. 18.  It may make loans to "nonprofit" sponsors as 
defined by the agency, with or without interest, and with such 
security for repayment, if any, as the agency determines 
reasonably necessary and practicable, solely from the housing 
development fund in accordance with the provisions of section 
462A.21, subdivision 9, to encourage innovations in the 
development or rehabilitation of single and multifamily 
residential housing including the demonstration of new 
techniques for energy efficient construction.  It may make loans 
to for-profit sponsors pursuant to this subdivision, provided 
that the agency shall make the loan with interest at a rate 
determined by the agency.  
    It shall promulgate rules, in accordance with the 
provisions of sections 14.01 to 14.70 chapter 14, relating to 
the administration of the loans authorized by this subdivision.  
The rules may define types of projects eligible for loans, 
criteria for selecting between eligible loans, terms of the 
loans including interest rates and loan periods, and other 
characteristics that the agency deems necessary to administer 
the program. 
    Sec. 99.  Minnesota Statutes 1986, section 471.467, 
subdivision 1, is amended to read: 
    Subdivision 1.  On the date on which rules promulgated by 
the commissioner of administration regarding building 
requirements for handicapped persons shall become effective, 
said rules shall exclusively govern the provision of 
facilities.  However, until such date, the rules governing the 
provision of facilities for the handicapped to be applied to all 
buildings and facilities shall be those promulgated by the 
Minnesota state fire marshal entitled, "Rules Relating to Public 
Buildings:  Providing Accessibility and Usability Features for 
Physically Handicapped Persons Pursuant to Minnesota Statutes, 
Section 73.57 et seq., as Amended, October 16, 1969, as Amended."
    Sec. 100.  Minnesota Statutes 1986, section 471.74, 
subdivision 2, is amended to read: 
    Subd. 2.  The governing body of any municipality issuing 
bonds under sections 471.71 to 471.83 shall, at the time of the 
issuance thereof, by resolution, provide for a levy of taxes for 
the payment thereof, such levy to be in accordance with the 
provisions of chapter 475.  Levies for the payment of these 
bonds shall be within the limitations upon tax levies for the 
payment of funding bonds in the particular municipality issuing 
the bonds.  Such levies shall be subject to the provisions of 
sections 275.11, and 275.125, 275.31, and 275.35, to the extent 
that these sections are applicable to the municipality issuing 
such bonds.  In all cases the levies for these bonds shall be 
spread by the county auditor in full and the levy of the 
municipality for other purposes shall be reduced, if necessary, 
so that the total amount levied for the municipality does not 
exceed said limitations. 
    Sec. 101.  Minnesota Statutes 1986, section 473.149, 
subdivision 4, is amended to read: 
    Subd. 4.  [ADVISORY COMMITTEE.] The council shall establish 
an advisory committee to aid in the preparation of the policy 
plan, the performance of the council's responsibilities under 
subdivisions 2 to 2e, the review of county master plans and 
reports and applications for permits for waste facilities, under 
sections 473.151 and 473.801 to 473.823 and sections 473.827, 
473.831 and 473.833, and other duties determined by the 
council.  The committee shall consist of one-third citizen 
representatives, one-third representatives from metropolitan 
counties and municipalities, and one-third representatives from 
private waste management firms.  From at least the date that the 
council adopts the inventory under subdivision 2b to the date 
that the council adopts a development schedule under subdivision 
2e, for the purpose only of participating in the preparation of 
the legislative report required by subdivision 2c, the land 
disposal abatement plan required by subdivision 2d, and the 
development schedule required by subdivision 2e, additional 
members shall be included on the advisory committee sufficient 
to assure that at least one-third of the members of the 
committee are residents of cities or towns containing eligible 
solid waste disposal sites included in the council's disposal 
site inventory, and that counties containing three sites have at 
least two additional members and counties containing one or two 
sites have at least one additional member.  A representative 
from the pollution control agency, one from the waste management 
board established under section 115A.04, and one from the 
Minnesota health department shall serve as ex officio members of 
the committee. 
    Sec. 102.  Minnesota Statutes 1986, section 473.181, 
subdivision 3, is amended to read: 
    Subd. 3.  [METROPOLITAN TRANSIT COMMISSION.] The council 
shall review acquisition of public transit systems and the 
issuance of revenue bonds by the metropolitan transit commission 
pursuant to sections section 473.405, subdivision 5, and 
473.438, subdivision 7. 
    Sec. 103.  Minnesota Statutes 1986, section 473.811, 
subdivision 6, is amended to read: 
    Subd. 6.  [GRANTS AND LOANS TO COUNTIES.] Each metropolitan 
county may accept gifts, may apply for and accept grants or 
loans of money or other property from the United States, the 
state, the metropolitan council, any local government unit, or 
any person, to accomplish the purposes specified in sections 
473.149, 473.151, 473.801 to 473.823, 473.827, 473.831, 473.833, 
and 473.834, may enter into any agreement required in connection 
therewith, and may hold, use, and dispose of the money or 
property in accordance with the terms of the gift, grant, loan 
or agreement relating thereto. 
    Sec. 104.  Minnesota Statutes 1986, section 473.811, 
subdivision 7, is amended to read: 
    Subd. 7.  [JOINT ACTION.] Any local governmental unit or 
metropolitan agency may act together with any county, city, or 
town within or without the metropolitan area, or with the 
pollution control agency or the waste management board under the 
provisions of section 471.59 or any other appropriate law 
providing for joint or cooperative action between government 
units, to accomplish any purpose specified in sections 473.149, 
473.151, 473.801 to 473.823, 473.827, 473.831, 473.833, 473.834, 
116.05 and 115A.06. 
    Any agreement regarding data processing services relating 
to the generation, management, identification, labeling, 
classification, storage, collection, treatment, transportation, 
processing or disposal of waste and entered into pursuant to 
section 471.59, or other law authorizing joint or cooperative 
action may provide that any party to the agreement may agree to 
defend, indemnify and hold harmless any other party to the 
agreement providing the services, including its employees, 
officers or volunteers, against any judgments, expenses, 
reasonable attorney's fees and amounts paid in settlement 
actually and reasonably incurred in connection with any third 
party claim or demand arising out of an alleged act or omission 
by a party to the agreement, its employees, officers or 
volunteers occurring in connection with any exchange, retention, 
storage or processing of data, information or records required 
by the agreement.  Any liability incurred by a party to an 
agreement under this subdivision shall be subject to the 
limitations set forth in section 3.736 or 466.04. 
    Sec. 105.  Minnesota Statutes 1986, section 473.811, 
subdivision 8, is amended to read: 
    Subd. 8.  [COUNTY SALE OR LEASE.] Each metropolitan county 
may sell or lease any facilities or property or property rights 
previously used or acquired to accomplish the purposes specified 
by sections 473.149, 473.151, 473.801 to 473.823, 473.827, 
473.831, 473.833, and 473.834.  Such property may be sold in the 
manner provided by section 458.196, or may be sold in the manner 
and on the terms and conditions determined by the county board.  
Each metropolitan county may convey to or permit the use of any 
such property by a local government unit, with or without 
compensation, without submitting the matter to the voters of the 
county.  No real property or property rights acquired pursuant 
to this section, may be disposed of in any manner unless and 
until the county shall have submitted to the agency and the 
metropolitan council for review and comment the terms on and the 
use for which the property will be disposed of.  The agency and 
the council shall review and comment on the proposed disposition 
within 60 days after each has received the data relating thereto 
from the county. 
    Sec. 106.  Minnesota Statutes 1986, section 473.811, 
subdivision 9, is amended to read: 
    Subd. 9.  [SOLID AND HAZARDOUS WASTE FUND.] All moneys 
received by any metropolitan county from any source specified in 
sections 473.149, 473.151, 473.801 to 473.823, 473.827, 473.831, 
473.833, and 473.834 shall be paid into the county treasury, 
placed in a special fund designated as the county solid and 
hazardous waste fund, and used only for the purposes authorized 
in those sections, as appropriated by the county board, subject 
to any lawful restrictions, conditions, or pledges applicable 
thereto. 
    Sec. 107.  Minnesota Statutes 1986, section 473F.06, is 
amended to read: 
    473F.06 [INCREASE IN ASSESSED VALUATION.] 
    On or before September 1 of 1976 and each subsequent year, 
the auditor of each county in the area shall determine the 
amount, if any, by which the assessed valuation determined in 
the preceding year pursuant to section 473F.05, of 
commercial-industrial property subject to taxation within each 
municipality in the auditor's county exceeds the assessed 
valuation in 1971 of commercial-industrial property subject to 
taxation within that municipality.  If a municipality is located 
in two or more counties within the area, the auditors of those 
counties shall certify the data required by sections 473F.04 and 
section 473F.05 to the county auditor who is responsible under 
other provisions of law for allocating the levies of that 
municipality between or among the affected counties.  That 
county auditor shall determine the amount of the net excess, if 
any, for the municipality under this section, and certify that 
amount under section 473F.07.  Notwithstanding any other 
provision of sections 473F.01 to 473F.13 to the contrary, in the 
case of a municipality which is designated on July 24, 1971, as 
a redevelopment area pursuant to section 401(a)(4) of the Public 
Works and Economic Development Act of 1965, Public Law Number 
89-136, the increase in its assessed valuation of 
commercial-industrial property for purposes of this section 
shall be determined in each year subsequent to the termination 
of such designation by using as a base the assessed valuation of 
commercial-industrial property in that municipality in the year 
following that in which such designation is terminated, rather 
than the assessed valuation of such property in 1971.  The 
increase in assessed valuation determined by this section shall 
be reduced by the amount of any decreases in the assessed 
valuation of commercial-industrial property resulting from any 
court decisions, court related stipulation agreements, or 
abatements for a prior year, and only in the amount of such 
decreases made during the 12 month period ending on June 30 of 
the current assessment year, where such decreases, if originally 
reflected in the determination of a prior year's valuation under 
section 473F.05, would have resulted in a smaller contribution 
from the municipality in that year.  An adjustment for such 
decreases shall be made only if the municipality made a 
contribution in a prior year based on the higher valuation of 
the commercial-industrial property. 
    Sec. 108.  Minnesota Statutes 1986, section 473F.07, 
subdivision 1, is amended to read: 
    Subdivision 1.  Each county auditor shall certify the 
determinations pursuant to sections 473F.04, 473F.05, and 
473F.06 to the administrative auditor on or before November 20 
of each year.  The administrative auditor shall determine the 
sum of the amounts certified pursuant to section 473F.06, and 
divide that sum by 2-1/2.  The resulting amount shall be known 
as the "areawide tax base for ........(year)." 
    Sec. 109.  Minnesota Statutes 1986, section 473F.09, is 
amended to read: 
    473F.09 [ADJUSTMENTS IN DATES.] 
    If, by reason of the enactment of any other law, the date 
by which the commissioner of revenue is required to certify to 
the county auditors the records of proceedings affecting the 
assessed valuation of property is advanced to a date earlier 
than November 15, the dates specified in sections 473F.04 to 
473F.07 and 473F.10 may be modified in the years to which such 
other law applies in the manner and to the extent prescribed by 
the administrative auditor. 
    Sec. 110.  Minnesota Statutes 1986, section 609.687, 
subdivision 4, is amended to read: 
    Subd. 4.  [CHARGING DISCRETION.] Criminal proceedings may 
be instituted under this section, notwithstanding the provisions 
of sections 24.141, 24.28, 29.24, 31.02, 31.405, 31.601, 34.01, 
151.34, 340.142 340A.508, subdivision 2, or other law 
proscribing adulteration of substances intended for use by 
persons. 
    Sec. 111.  Minnesota Statutes 1986, section 611.14, is 
amended to read: 
    611.14 [RIGHT TO REPRESENTATION BY PUBLIC DEFENDER.] 
    The following persons who are financially unable to obtain 
counsel, shall be entitled to be represented by a public 
defender: 
    (a) a person charged with a felony or gross misdemeanor, 
including a person charged pursuant to sections 629.01 to 629.29;
    (b) a person appealing from a conviction of a felony or 
gross misdemeanor, or a person convicted of a felony or gross 
misdemeanor who is pursuing a postconviction proceeding, after 
the time for appeal from the judgment has expired; 
    (c) a person who is entitled to be represented by counsel 
pursuant to the provisions of section 609.14, subdivision 2, or 
section 609.16; 
    (d) a minor who is entitled to be represented by counsel 
pursuant to the provisions of section 260.155, subdivision 2, if 
the judge of the juvenile court concerned has requested and 
received the approval of a majority of the district court judges 
of the judicial district to utilize the services of the public 
defender in such cases, and approval of the compensation on a 
monthly, hourly or per diem basis to be paid for such services 
pursuant to section 260.251, subdivision 2, clause (e); or 
    (e) a person, entitled by law to be represented by counsel, 
charged with an offense within the trial jurisdiction of a 
municipal, county, or probate court, if the trial judge or a 
majority of the trial judges of the court concerned have 
requested and received approval of a majority of the district 
court judges of the judicial district to utilize the services of 
the public defender in such cases and approval of the 
compensation on a monthly, hourly or per diem basis to be paid 
for such services by the county or municipality within the 
court's jurisdiction. 
    Sec. 112.  Minnesota Statutes 1986, section 626A.05, 
subdivision 2, is amended to read: 
    Subd. 2.  [OFFENSES FOR WHICH INTERCEPTION OF WIRE OR ORAL 
COMMUNICATION MAY BE AUTHORIZED.] A warrant authorizing 
interception of wire or oral communications by investigative or 
law enforcement officers may only be issued when the 
interception may provide evidence of the commission of gambling 
or any criminal felony offense involving murder, manslaughter, 
aggravated assault in the first or second degree, aggravated 
robbery, kidnapping, aggravated rape criminal sexual conduct in 
the first, second, third, or fourth degree, prostitution, 
bribery, perjury, escape from custody, theft, receiving stolen 
property, embezzlement, burglary in the first, second, or third 
degree, forgery, aggravated forgery, and offenses relating to 
controlled substances, or an attempt or conspiracy to commit any 
of these offenses, as punishable under sections 609.185, 609.19, 
609.195, 609.20, 609.225 609.221, 609.222, 609.245, 
609.25, 609.291 609.342, 609.343, 609.344, 609.345, 609.321 to 
609.324, 609.42, 609.48, 609.485, subdivision 4, clause (1), 
609.52, 609.53, 609.54, 609.58 609.582, 609.625, 609.63, 609.76, 
609.825, and chapter 152. 
    Sec. 113.  [REPEALER.] 
    Minnesota Statutes 1986, sections 193.145, subdivision 3; 
and 325D.69, subdivision 1, are repealed. 
<$eject>

                                ARTICLE 3

                        MISCELLANEOUS CORRECTIONS
    Section 1.  [CORRECTION.] 
    Subdivision 1.  [OMITTED TEXT.] Minnesota Statutes 1986, 
section 32.394, subdivision 8, as amended by 1987 H.F. No. 303, 
article 11, section 11, is amended to read: 
    Subd. 8.  [EXPLORATORY PRELIMINARY INSPECTIONS GRADE A 
INSPECTION FEES.] Any A processor or marketing organization of 
milk, milk products, sheep milk, or goat milk who wishes to 
learn about and acquaint producers with market Grade A 
requirements may make a request to the commissioner for 
exploratory inspections and meetings for this purpose.  Upon 
receipt of such request, the commissioner at a convenient time 
shall cause such exploratory inspections to be made and such 
meetings to be held as are necessary to acquaint said processor 
and producers with such requirements.  If, after such 
exploratory inspections are made and such meetings are held and 
when in the processor's opinion the processor's field service 
has brought producers into compliance with said requirements, 
said processor wishes further inspection service, the processor 
shall so milk or use the Grade A label must apply on a form 
furnished by for Grade A inspection service from the 
commissioner, stating the number of farms to be inspected.  Such 
applications shall be accompanied by a fee payable to the state 
treasurer in an amount of not less than $50 and not more than 
$300, which fee is to be charged for preliminary inspection 
prior to continuous inspection, and assessments over $50 are to 
be determined by charging $1 for each farm over 50, but shall 
not exceed $300 if more than 300 farms are inspected; provided 
that, if the plant and farms are accepted for continuous 
inspection, this charge shall be made only once.  If the 
preliminary inspection discloses that the processor is eligible 
for use of the Grade A label on products and before the 
processor so labels said products, the processor shall apply for 
continuous inspection on a form furnished by the commissioner 
and shall hold a Grade A permit.  Such application shall be 
accompanied by a fee of not less than $100 nor more than $500 
per plant and of not less than $15 nor more than $50 per farm, 
said fee to be paid annually.  A pasteurization plant requesting 
Grade A inspection service must hold a Grade A permit and pay an 
annual inspection fee of no more than $500.  For Grade A farm 
inspection service, the fee must be no more than $66 per farm, 
paid annually by the processor or by the marketing organization 
on behalf of its patrons.  For a farm requiring a reinspection 
in addition to the required biannual inspections, an additional 
fee of no more than $33 per reinspection must be paid by the 
processor or by the marketing organization on behalf of its 
patrons.  If the commissioner deems it necessary to more nearly 
meet the cost of the service, the commissioner may annually 
adjust the assessments within the limits set herein in this 
subdivision.  No fee increase may be implemented until after the 
commissioner has held three or more public hearings. 
    Subd. 2.  [OMITTED TEXT.] Minnesota Statutes 1986, section 
32.394, subdivision 8b, as amended by 1987 H.F. No. 303, article 
11, section 12, is amended to read:  
    Subd. 8b.  [MANUFACTURING GRADE FARM CERTIFICATION.] A 
processor or marketing organization of milk, milk products, 
sheep milk, or goat milk, other than Grade A, who wishes to 
obtain market other than Grade A milk must apply for a 
manufacturing grade farm certification, shall make a request to 
inspection from the commissioner for a farm certification 
inspection.  A processor who requests and receives a farm 
certification inspection shall pay a fee to the commissioner for 
the certification of the milk supply.  A manufacturing plant 
that pasteurizes milk or milk byproducts must pay an annual fee 
based on the number of pasteurization units.  This fee must not 
exceed $140 per unit.  The fee for farm certification inspection 
must not be more than $33 per farm to be paid annually by the 
processor or by the marketing organization on behalf of its 
patrons.  For a farm requiring more than the one annual 
inspection required for certification, an additional fee of no 
more than $33 must be paid by the processor or by the marketing 
organization on behalf of its patrons.  The fee shall must be 
set by the commissioner in an amount necessary to meet the cost 
of the service for farm certification, which fee shall but must 
not exceed 50 percent of the fees charged for Grade A permits 
the limits in this subdivision.  No fee increase may be 
implemented until after the commissioner has held three or more 
public hearings. 
    Subd. 3.  [EFFECTIVE DATE.] 
    Subdivisions 1 and 2 are effective the day after final 
enactment. 
    Sec. 2.  Minnesota Statutes 1986, section 161.1419, 
subdivision 4, is amended to read:  
    Subd. 4.  Members of the commission shall serve without 
Compensation but shall be allowed and paid their actual 
traveling and other expenses necessarily incurred in the 
performance of their duties of legislative members of the 
commission is as provided in section 3.101.  Compensation of the 
remaining members is as provided in section 15.0575.  The 
commission may purchase supplies, employ part-time or full-time 
employees, and do all things reasonably necessary and convenient 
in carrying out the purposes of this section.  Reimbursement for 
expenses incurred shall be made pursuant to the rules governing 
state employees. 
    Sec. 3.  Minnesota Statutes 1986, section 176.442, as 
amended by 1987 H.F. No. 913, section 94, is amended to read:  
    176.442 [APPEALS FROM DECISIONS OF COMMISSIONER.] 
    Except for a commissioner's decision which may be heard de 
novo in another proceeding including but not limited to a 
decision from an administrative conference under section 
176.102, 176.103, 36, 73 25, 66, or a summary decision under 
section 176.305, any decision or determination of the 
commissioner affecting a right, privilege, benefit, or duty 
which is imposed or conferred under this chapter is subject to 
review by the workers' compensation court of appeals.  A person 
aggrieved by the determination may appeal to the workers' 
compensation court of appeals by filing a notice of appeal with 
the commissioner in the same manner and within the same time as 
if the appeal were from an order or decision of a compensation 
judge to the workers' compensation court of appeals. 
    Sec. 4.  Minnesota Statutes 1986, section 176.83, 
subdivision 7, as amended by 1987 S.F. No. 913, is amended to 
read:  
    Subd. 7.  [MISCELLANEOUS RULES.] Rules necessary for 
implementing and administering the provisions of sections 
176.131, 176.132, 176.134, sections 52 65 and 53 66; sections 
176.251, 176.66 to 176.669, and rules regarding proper 
allocation of compensation under section 176.111.  Under the 
rules adopted under section 176.111 a party may petition for a 
hearing before a compensation judge to determine the proper 
allocation.  In this case the compensation judge may order a 
different allocation than prescribed by rule. 
    Sec. 5.  Minnesota Statutes 1986, section 256D.05, 
subdivision 1, as amended by 1987 H.F. No. 243, section 31, is 
amended to read:  
    Subdivision 1.  [ELIGIBILITY.] (a) Each person or family 
whose income and resources are less than the standard of 
assistance established by the commissioner shall be eligible for 
and entitled to general assistance if the person or family is: 
    (1) a person who is suffering from a permanent or temporary 
illness, injury, or incapacity which is medically certified and 
which prevents the person from obtaining or retaining employment;
    (2) a person whose presence in the home on a substantially 
continuous basis is required because of the certified illness, 
injury, incapacity, or the age of another member of the 
household; 
    (3) a person who has been placed in a licensed or certified 
facility for purposes of physical or mental health or 
rehabilitation, or in an approved chemical dependency 
domiciliary facility, if the placement is based on illness or 
incapacity and is pursuant to a plan developed or approved by 
the local agency through its director or designated 
representative; 
    (4) a person who resides in a shelter facility described in 
subdivision 3; 
    (5) a person who is or may be eligible for displaced 
homemaker services, programs, or assistance under section 
268.96, but only if that person is enrolled as a full-time 
student; 
    (6) a person who is unable to secure suitable employment 
due to inability to communicate in the English language, 
provided that the person is not an illegal alien, and who, if 
assigned to a language skills program by the local agency, is 
participating in that program; 
    (7) a person not described in clause (1) or (3) who is 
diagnosed by a licensed physician or licensed consulting 
psychologist as mentally retarded or mentally ill, and that 
condition prevents the person from obtaining or retaining 
employment; 
    (8) a person who has an application pending for the social 
security disability program or the program of supplemental 
security income for the aged, blind, and disabled, or who has 
been terminated from either program and has an appeal from that 
termination pending; 
    (9) a person who is unable to obtain or retain employment 
because advanced age significantly affects the person's ability 
to seek or engage in substantial work; 
    (10) a person completing a secondary education program; 
    (11) a family with one or more minor children; provided 
that, if all the children are six years of age or older, all the 
adult members of the family register for and cooperate in the 
work readiness program under section 256D.051; and provided 
further that, if one or more of the children are under the age 
of six and if the family contains more than one adult member, 
all the adult members except one adult member register for and 
cooperate in the work readiness program under section 256D.051.  
The adult members required to register for and cooperate with 
the work readiness program are not eligible for financial 
assistance under section 256D.051, except as provided in section 
256D.051, subdivision 6, and shall be included in the general 
assistance grant.  If an adult member fails to cooperate with 
requirements of section 256D.051, the local agency shall not 
take that member's needs into account in making the grant 
determination.  The time limits of section 256D.051, 
subdivisions 4 and 5, do not apply to people eligible under this 
clause; 
    (12) a person who has substantial barriers to employment, 
including but not limited to factors relating to work or 
training history, as determined by the local agency in 
accordance with permanent or emergency rules adopted by the 
commissioner after consultation with the commissioner of jobs 
and training; 
    (13) a person who is certified by the commissioner of jobs 
and training before August 1, 1985, as lacking work skills or 
training or as being unable to obtain work skills or training 
necessary to secure employment, as defined in a permanent or 
emergency rule adopted by the commissioner of jobs and training 
in consultation with the commissioner; 
    (14) a person who is determined by the local agency, in 
accordance with emergency and permanent rules adopted by the 
commissioner, to be functionally illiterate or learning disabled;
    (15) a person who is determined by the local agency, in 
accordance with emergency and permanent rules adopted by the 
commissioner, to be functionally illiterate, provided that the 
person complies with literacy training requirements set by the 
local agency under section 32.  A person who is terminated for 
failure to comply with literacy training requirements may not 
reapply for assistance under this clause for 60 days.  The local 
agency must provide an oral explanation to the person of the 
person's responsibilities under this clause, the penalties for 
failure to comply, the agency's duties under section 256D.0505, 
subdivision 2, and the person's right to appeal (1) at the time 
an application is approved based on this clause, and (2) at the 
time the person is referred to literacy training; or 
    (16) a child under the age of 18 who is not living with a 
parent, stepparent, or legal custodian, but only if:  the child 
is legally emancipated or living with an adult with the consent 
of an agency acting as a legal custodian; the child is at least 
16 years of age and the general assistance grant is approved by 
the director of the local agency or a designated representative 
as a component of a social services case plan for the child; or 
the child is living with an adult with the consent of the 
child's legal custodian and the local agency. 
    (b) The following persons or families with income and 
resources that are less than the standard of assistance 
established by the commissioner are eligible for and entitled to 
a maximum of six months of general assistance during any 
consecutive 12-month period, after registering with and 
completing six months in a work readiness program under section 
256D.051: 
    (1) a person who has borderline mental retardation; and 
    (2) a person who exhibits perceptible symptoms of mental 
illness as certified by a qualified professional but who is not 
eligible for general assistance under paragraph (a), because the 
mental illness interferes with the medical certification 
process; provided that the person cooperates with social 
services, treatment, or other plans developed by the local 
agency to address the illness. 
    In order to retain eligibility under this paragraph, a 
recipient must continue to cooperate with work and training 
requirements as determined by the local agency. 
    Sec. 6.  [HUMAN SERVICES.] 
    Minnesota Statutes 1986, section 256D.37, subdivision 1, as 
amended by 1987 H.F. No. 243, section 108, is amended to read: 
    Sec. 108.  Minnesota Statutes 1986, section 256D.37, 
subdivision 1, is amended to read:  
    Subdivision 1.  (a) For all individuals who apply to the 
appropriate local agency for supplemental aid, the local agency 
shall determine whether the individual meets the eligibility 
criteria prescribed in subdivision 2.  For each individual who 
meets the relevant eligibility criteria prescribed in 
subdivision 2, the local agency shall certify to the 
commissioner the amount of supplemental aid to which the 
individual is entitled in accordance with all of the standards 
in effect December 31, 1973, for the appropriate categorical aid 
program.  
    (b) When a recipient is an adult with mental illness in a 
facility licensed under Minnesota Rules, parts 9520.0500 to 
9520.0690, a resident of a state hospital or a dwelling with a 
negotiated rate, the recipient is not eligible for a shelter 
standard, a basic needs standard, or for special needs 
payments.  The state standard of assistance for those recipients 
is the clothing and personal needs allowance for medical 
assistance recipients under section 256B.35.  Minnesota 
supplemental aid may be paid to negotiated rate facilities at 
the rates in effect on March 1, 1985, for services provided 
under the supplemental aid program to residents of the facility, 
up to the maximum negotiated rate specified in this section.  
The rate for room and board for a licensed facility must not 
exceed $800.  Minnesota supplemental aid may not be used to pay 
a negotiated rate for adults with mental illness in a 
facility The maximum negotiated rate does not apply to a 
facility that, on August 1, 1984, was licensed by the 
commissioner of health only as a boarding care home, certified 
by the commissioner of health as an intermediate care facility, 
and licensed by the commissioner of human services under 
Minnesota Rules, parts 9520.0500 to 9520.0690 or a facility 
that, on August 1, 1984, was licensed by the commissioner of 
human services under Minnesota Rules, parts 9525.0520 to 
9525.0660, but funded as a supplemental aid negotiated rate 
facility under this chapter.  The following facilities are 
exempt from the limit on negotiated rates and must be reimbursed 
for documented actual costs, until an alternative reimbursement 
system covering services excluding room and board maintenance 
services is developed by the commissioner:  
    (1) a facility that only provides services to persons with 
mental retardation; and 
    (2) a facility not certified to participate in the medical 
assistance program that is licensed as a boarding care facility 
as of March 1, 1985, and does not receive supplemental program 
funding under Minnesota Rules, parts 9535.2000 to 9535.3000 or 
parts 9553.0010 to 9553.0080.  Beginning July 1, 1987, the 
facilities under clause (1) are subject to applicable 
supplemental aid limits, and must meet all applicable licensing 
and reimbursement requirements for programs for persons with 
mental retardation.  The negotiated rates may be paid for 
persons who are placed by the local agency or who elect to 
reside in a room and board facility or a licensed facility for 
the purpose of receiving physical, mental health, or 
rehabilitative care, provided the local agency agrees that this 
care is needed by the person.  When Minnesota supplemental aid 
is used to pay a negotiated rate, the rate payable to the 
facility must not exceed the rate paid by an individual not 
receiving Minnesota supplemental aid.  To receive payment for a 
negotiated rate, the dwelling must comply with applicable laws 
and rules establishing standards necessary for health, safety, 
and licensure.  The negotiated rate must be adjusted by the 
annual percentage change in the consumer price index (CPI-U U.S. 
city average), as published by the Bureau of Labor Statistics 
between the previous two Septembers, new series index (1967-100) 
or 2.5 percent, whichever is less.  In computing the amount of 
supplemental aid under this section, the local agency shall 
deduct from the gross amount of the individual's determined 
needs all income, subject to the criteria for income disregards 
in effect December 31, 1973, for the appropriate categorical aid 
program, except that the earned income disregard for disabled 
persons who are not residents of long-term care facilities must 
be the same as the earned income disregard available to disabled 
persons in the supplemental security income program and all 
actual work expenses must be deducted when determining the 
amount of income for the individual.  From the first of the 
month in which an effective application is filed, the state and 
the county shall share responsibility for the payment of the 
supplemental aid to which the individual is entitled under this 
section as provided in section 256D.36. 
    Sec. 7.  [EFFECTIVE DATE.] 
    The amendments to Minnesota Statutes 1986, section 256D.03, 
subdivision 4, clause (a), by 1987 H.F. No. 243, article 2, 
section 105, take effect July 1, 1988. 
    Sec. 8.  [EFFECTIVE DATE.] 
    1987 H.F. 243, article 2, section 165, is amended to read: 
    Sec. 165.  [EFFECTIVE DATE.] 
    Sections 9 to 12, 61, 62, 81, 88, 90 to 94, are effective 
the day following final enactment.  Sections 30, 31, and 42 43, 
are effective July 1, 1988. 
    Sec. 9.  [CORRECTION.] 
    Minnesota Statutes 1986, section 270.075, subdivision 1, as 
amended by H.F. No. 529, article 14, section 10, is amended to 
read:  
    Subdivision 1.  The commissioner shall determine the rate 
of tax to be levied and collected against the assessed valuation 
as determined pursuant to section 270.074, subdivision 2, to 
generate revenues of $7,600,000 $7,500,000 from taxes levied in 
assessment year 1987 and payable in 1988 and revenues 
of $8,400,000 $7,900,000 from taxes levied in 1988 and payable 
in 1989.  Thereafter the legislature shall annually establish 
the amount of revenue to be generated from a tax on airflight 
property. 
    Sec. 10.  Minnesota Statutes 1986, section 273.11, 
subdivision 8, as amended by 1987 H.F. No. 529, article 5, 
section 1, is amended to read:  
    Subd. 8.  [LIMITED EQUITY COOPERATIVE APARTMENTS.] For the 
purposes of this subdivision, the terms defined in this 
subdivision have the meanings given them.  
    A "limited equity cooperative" is a corporation organized 
under chapter 308, which has as its primary purpose the 
provision of housing and related services to its members, whose 
income must not exceed 90 percent of the median St. 
Paul-Minneapolis metropolitan area income as determined by the 
United States Department of Housing and Urban Development at the 
time they purchase their membership, and which meets one of the 
following criteria with respect to the income of its members:  
(1) a minimum of 75 percent of members must have incomes at or 
less than 90 percent of area median income, (2) a minimum of 40 
percent of members must have incomes at or less than 60 percent 
of area median income, or (3) a minimum of 20 percent of members 
must have incomes at or less than 50 percent of area median 
income.  For purposes of this clause, "member income" shall mean 
the income of a member existing at the time the member acquires 
cooperative membership, and median income shall mean the St. 
Paul-Minneapolis metropolitan area median income as determined 
by the United States Department of Housing and Urban 
Development.  It must also meet the following requirements:  
    (a) The articles of incorporation set the sale price of 
occupancy entitling cooperative shares or memberships at no more 
than a transfer value determined as provided in the articles. 
That value may not exceed the sum of the following:  
    (1) the consideration paid for the membership or shares by 
the first occupant of the unit, as shown in the records of the 
corporation;  
    (2) the fair market value, as shown in the records of the 
corporation, of any improvements to the real property that were 
installed at the sole expense of the member with the prior 
approval of the board of directors;  
    (3) accumulated interest, or an inflation allowance not to 
exceed the greater of a ten percent annual noncompounded 
increase on the consideration paid for the membership or share 
by the first occupant of the unit, or the amount that would have 
been paid on that consideration if interest had been paid on it 
at the rate of the percentage increase in the revised consumer 
price index for all urban consumers for the Minneapolis-St. Paul 
metropolitan area prepared by the United States Department of 
Labor, provided that the amount determined pursuant to this 
clause may not exceed $500 for each year or fraction of a year 
the membership or share was owned; plus 
    (4) real property capital contributions shown in the 
records of the corporation to have been paid by the transferor 
member and previous holders of the same membership, or of 
separate memberships that had entitled occupancy to the unit of 
the member involved.  These contributions include contributions 
to a corporate reserve account the use of which is restricted to 
real property improvements or acquisitions, contributions to the 
corporation which are used for real property improvements or 
acquisitions, and the amount of principal amortized by the 
corporation on its indebtedness due to the financing of real 
property acquisition or improvement or the averaging of 
principal paid by the corporation over the term of its real 
property-related indebtedness. 
    (b) The articles of incorporation require that the board of 
directors limit the purchase price of stock or membership 
interests for new member-occupants or resident shareholders to 
an amount which does not exceed the transfer value for the 
membership or stock as defined in clause (a).  
    (c) The articles of incorporation require that the total 
distribution out of capital to a member shall not exceed that 
transfer value. 
    (d) The articles of incorporation require that upon 
liquidation of the corporation any assets remaining after 
retirement of corporate debts and distribution to members will 
be conveyed to a charitable organization described in section 
501(c)(3) of the Internal Revenue Code of 1986, as amended 
through December 31, 1986, or a public agency.  
    A "limited equity cooperative apartment" is a dwelling unit 
owned by a limited equity cooperative.  
    "Occupancy entitling cooperative share or membership" is 
the ownership interest in a cooperative organization which 
entitles the holder to an exclusive right to occupy a dwelling 
unit owned or leased by the cooperative.  
    For purposes of taxation, the assessor shall value a unit 
owned by a limited equity cooperative at the lesser of its 
market value or the value determined by capitalizing the net 
operating income of a comparable apartment operated on a rental 
basis at the capitalization rate used in valuing comparable 
buildings that are not limited equity cooperatives.  If a 
cooperative fails to operate in accordance with the provisions 
of clauses (a) to (d), the property shall be subject to 
additional property taxes in the amount of the difference 
between the taxes determined in accordance with this subdivision 
for the last ten years that the property had been assessed 
pursuant to this subdivision and the amount that would have been 
paid if the provisions of this subdivision had not applied to 
it.  The additional taxes, plus interest at the rate specified 
in section 549.09, shall be extended against the property on the 
tax list for the current year. 
    Sec. 11. [CORRECTION.] Subdivision 1.  [CARRYOVER.] 
Minnesota Statutes 1986, section 290.06, subdivision 21, as 
added by H. F. No. 529, article 1, section 34, is amended to 
read: 
    Subd. 21.  [ALTERNATIVE MINIMUM TAX.] (a) A corporation is 
allowed a credit for alternative minimum tax previously paid for 
any taxable year in which the corporation has no tax liability 
under section 290.092, and has an alternative minimum tax credit 
carryover from a previous year.  The credit shall be equal to 
the lesser of (1) the excess of the tax under section 290.06 for 
the taxable year over the amount computed under section 290.092, 
subdivision 1, clause (a), for the taxable year, or (2) the 
alternative minimum tax credit carryover to the taxable year. 
    (b) The tax imposed under section 290.092 for any taxable 
year is a credit for alternative minimum tax previously paid 
which is a carryover to each of the 15 five taxable years 
succeeding the taxable year.  The entire amount of the 
alternative minimum tax credit must be carried to the earliest 
of the taxable years to which such amount may be carried.  The 
portion of the alternative minimum tax credit which is carried 
to each of the other taxable years to which the credit may be 
carried is the excess, if any, of the credit over the amount 
allowable under paragraph (a) for each of the taxable years to 
which the credit may be carried.  In each taxable year in which 
a credit is allowable under paragraph (a), the credit for 
alternative minimum tax previously paid must be used beginning 
with the earliest taxable year from which the credit may be 
carried. 
    Subd. 2.  [EFFECTIVE DATE.] Subdivision 1 is effective for 
taxable year beginning after December 31, 1986.  
    Sec. 12.  [INCORRECT DATES.] 
    Minnesota Statutes 1986, section 295.34, subdivision 1, as 
amended by 1987 H.F. No. 529, article 11, section 3, is amended 
to read:  
    Subdivision 1.  Except as provided in subdivision 2 every 
telephone company shall file a return with the commissioner of 
revenue on or before April 15 of each year, and submit payment 
therewith, of the following percentages of its gross earnings, 
including long distance access charges, of the preceding 
calendar year derived from business within this state: 
    (a) for gross earnings from service to rural subscribers 
and from exchange business of all cities of the fourth class and 
statutory cities having a population of 10,000 or less 
    for calendar years beginning before December 31, 1988, 4 
percent, 
    for calendar year 1989, 3 percent, provided that the 
estimated tax payments made on March 15 and June 15, 1989, 
pursuant to section 295.365, must be made as if the tax were 
imposed at a rate of four percent, 
    for calendar year 1990, 1.5 percent, 
    for calendar year 1991, 1 percent, and 
    for calendar years beginning after December 31, 1992 1991, 
exempt; and 
    (b) for gross earnings derived from all other business 
    for calendar years beginning before December 31, 1988, 7 
percent, 
    for calendar year 1989, 5.5 percent, provided that the 
estimated tax payments made on March 15 and June 15, 1989, 
pursuant to section 295.365, must be made as if the tax were 
imposed at a rate of seven percent, 
    for calendar year 1990, 3 percent, 
    for calendar year 1991, 2.5 percent, and 
    for calendar years beginning after December 31, 1992 1991, 
exempt. 
    A tax shall not be imposed on the gross earnings of a 
telephone company from business originating or terminating 
outside of Minnesota, except that the gross earnings tax is 
imposed on all long distance access charges allocated to 
interstate service received in payment from a telephone company 
before December 31, 1989. 
    The tax imposed is in lieu of all other taxes, except the 
taxes imposed by chapter 290, property taxes assessed beginning 
in 1989, payable in 1990, and sales and use taxes imposed as a 
result of chapter 297A.  All money paid by a company for 
connecting fees and switching charges to any other company shall 
be reported as earnings by the company to which they are paid.  
For the purposes of this section, the population of any 
statutory city shall be considered as that stated in the latest 
federal census. 
    Sec. 13.  Subdivision 1.  [CORRECTION.] Minnesota Statutes 
1986, section 302A.727, subdivision 1, as amended by Laws 1987, 
chapter 104, section 40, is amended to read:  
    Subdivision 1.  [WHEN PERMITTED; HOW GIVEN.] When a notice 
of intent to dissolve has been filed with the secretary of 
state, the corporation may give notice of the filing to each 
creditor of and claimant against the corporation known or 
unknown, present or future, and contingent creditor and or 
non-contingent.  If notice to creditors and claimants is given, 
it must be given by publishing the notice once each week for 
four successive weeks in a legal newspaper in the county or 
counties where the registered office and the principal executive 
office of the corporation are located and by giving written 
notice to known creditors and claimants pursuant to section 
302A.011, subdivision 17. 
    Subd. 2.  [EFFECTIVE DATE.] Subdivision 1 is effective on 
the same date as Laws 1987, chapter 104, section 40. 
    Sec. 14.  [REPEAL OF OBSOLETE TRANSITION.] 
    Minnesota Statutes 1986, section 326.2421, subdivision 7, 
is repealed. 
    Sec. 15.  [EFFECTIVE DATE.] 
    Laws 1987, chapter 58, takes effect July 1, 1987. 
    Sec. 16.  [CORRECTION.] Subdivision 1.  [APPROPRIATION 
TOTALS CORRECTION.] 1987 S.F. No. 1516, section 1, is amended to 
read: 
    Section 1.  [TRANSPORTATION AND OTHER AGENCIES; 
APPROPRIATIONS.] 
    The sums shown in the columns marked "APPROPRIATIONS" are 
appropriated from the general fund, or another named fund, to 
the agencies and for the purposes specified in this act, to be 
available for the fiscal years indicated for each purpose.  The 
figures "1987," "1988," and "1989," where used in this act, mean 
that the appropriation or appropriations listed under them are 
available for the year ending June 30, 1987, June 30, 1988, or 
June 30, 1989, respectively.  

                            SUMMARY BY FUND 
             1987           1988          1989         TOTAL   
General   $1,089,200    $89,791,000   $89,138,200 $  180,018,400
                        $89,787,200                  180,014,600 
Special Revenue           4,310,400     4,660,400      8,970,800
Airports                 10,910,800    11,707,000     22,617,800
M.S.A.S.                 58,750,000    59,250,000    118,000,000
C.S.A.H.                183,550,000   184,915,000    368,465,000
Tr. Hwy.                648,724,900   646,769,000  1,295,493,900
Hwy. User                 9,690,500     9,770,700     19,461,200
Transit Assistance        7,100,000     7,425,000     14,525,000
Motor Vehicle Transfer      868,800       868,800      1,737,600
Transfers to Other 
   Direct                (1,600,400)   (1,638,800)    (3,239,200)
TOTAL     $1,089,200 $1,012,096,000 $1,012,865,300 $2,026,050,500
                     $1,012,092,200                $2,026,046,700
                                          APPROPRIATIONS
                                       Available for the Year
                                           Ending June 30 
                                          1988         1989
    Subd. 2.  [EFFECTIVE DATE.] Subdivision 1 is effective July 
1, 1987. 
    Sec. 17.  [CORRECTION.] Subdivision 1.  [APPROPRIATION 
TOTALS.] 1987 S.F. No. 1516, section 10, subdivision 1, is 
amended to read: 
     Subdivision 1.  Total 
 Appropriation                           9,833,600    9,571,000 
                                         9,829,800
    Approved Complement - 239 
    General - 236 
    Special Revenue - 3 
              Summary by Fund 
General            $  9,572,400  $  9,309,700 
                      9,568,600
For 1987 - $189,200 
Special Revenue    $    261,200  $    261,300 
 The amounts that may be spent from this 
appropriation for each program are 
specified in the following subdivisions.
    Subd. 2.  [EFFECTIVE DATE.] Subdivision 1 is effective July 
1, 1987. 
    Sec. 18.  1987 S.F. No. 1, article 1, section 10, 
subdivision 6, is amended to read: 
    Subd. 6.  [REVOLVING FUND ADMINISTRATION.] (a) The board 
shall establish a minimum interest rate for loans to ensure that 
necessary management costs are covered.  
    (b) Loan repayment amounts equal to one-half of the 
principal and interest must be deposited in the rural 
rehabilitation revolving fund for challenge grants to the region 
from which the money was originally designated.  The remaining 
amount of the loan repayment may be deposited in the regional 
revolving loan fund for further distribution by the regional 
organization, consistent with the loan criteria specified in 
subdivisions 4 and 5. 
    (c) The first $1,000,000 of revolving loans for each region 
must be matched by nonstate sources.  The matching requirement 
does not apply to loans made under subdivision 6, clause (b). 
    (d) The first $1,000,000 of revolving loans for each region 
must be matched by nonstate sources.  The matching requirement 
does not apply to loans made under subdivision 6, clause (b). 
    (e) Administrative expenses of each organization may be 
paid out of the interest earned on loans.  
    Sec. 19.  1987 S.F. No. 1, article 1, section 14, is 
amended to read: 
    Sec. 14.  [APPROPRIATION.] 
    $600,000 is appropriated from the economic development fund 
to the commissioner of energy and economic development to 
administer programs under the rural development board.  $300,000 
is for fiscal year 1988 and $300,000 is for fiscal year 1989. 
    $200,000 is transferred appropriated from the economic 
development fund to the commissioner of energy and economic 
development to provide grants to the regional organizations 
selected under section 10, subdivision 3, for technical 
assistance to businesses in each region.  Technical assistance 
includes providing information to businesses regarding federal, 
state, and local government economic development programs. 
    $1,000,000 is transferred appropriated from the general 
fund for transfer to the rural rehabilitation revolving fund, to 
be used for the challenge grant program. 
    Sec. 20.  1987 S.F. No. 1, article 2, section 11, is 
amended to read: 
    Sec. 11.  [116O.11] [RESEARCH GRANTS TO EDUCATION UNITS.] 
    Subdivision 1.  [GRANTS GENERALLY.] The board may make 
matching grants to public and private post-secondary education 
institutions or units within those institutions, including the 
natural resource research institute, for applied research and 
development.  Grants are to be made for projects which will 
likely result in assisting economic and employment development 
in greater Minnesota.  The corporation board shall not give 
final approval to a research grant until it has received an 
evaluation and recommendation from the research advisory board 
established in section 10. 
    Sec. 21.  1987 S.F. No. 1, article 2, section 18, is 
amended to read: 
    Sec. 18.  [NATURAL RESOURCES RESEARCH INSTITUTE.] 
    The Greater Minnesota Corporation board and the University 
of Minnesota board of regents may examine the feasibility of 
entering into a formal agreement for joint administration or 
transfer of the natural resources research institute from the 
University to the corporation.  The corporation and board of 
regents shall report to the governor and legislative legislature 
by January 15, 1988.  The report must include recommendations 
for the structure for administrating the institution, the 
potential use of university staff and facilities, funding 
sources and whether the institute should be transferred to the 
Greater Minnesota Corporation.  The corporation may not 
establish a regional institute whose research focus is 
comparable to the present research undertaken at the natural 
resources research institute. 
    Sec. 22.  1987 S.F. No. 1, article 6, section 9, is amended 
to read: 
    Sec. 9.  [HAZARDOUS BUILDING PENALTY.] 
    A city may assess a penalty equal to one percent of the 
assessed value of a building located in a targeted neighborhood 
defined in section 4 that the city determined to be hazardous as 
defined in section 463.15, subdivision 3.  The city shall send a 
written notice to the address to which the property tax 
statement is sent at least 90 days before it may assess the 
penalty.  If the owner of the building has not paid the penalty 
and fixed the property within 30 90 days after receiving notice 
of the penalty, the penalty is considered delinquent and is 
increased by 25 percent each 60 days the penalty is not paid and 
the property remains hazardous.  For the purposes of this 
section, a penalty that is delinquent is considered a delinquent 
property tax and subject to Minnesota Statutes, chapters 279, 
280, and 281, in the same manner as delinquent property taxes. 
    Sec. 23.  1987 S.F. No. 1, article 9, section 15, 
subdivision 2, is amended to read: 
    Sec. 15.  Minnesota Statutes 1986, section 41A.05, 
subdivision 2, is amended to read: 
    Subd. 2.  [ISSUANCE OF BONDS.] (a) The board by resolution 
may exercise the powers of a rural development authority under 
sections 362A.01 to 362A.05 and the powers of a municipality 
under chapter 474 for the purposes of financing a project one or 
more projects, including the issuance of bonds and the 
application of the bond proceeds and investment income pursuant 
to a lease, loan, loan guaranty, loan participation, or other 
agreement.  The bonds must be issued, sold, and secured on the 
terms and conditions and in the manner determined by resolution 
of the board.  Section 16A.80 does not apply to the bonds.  
Notwithstanding subdivision 1, a reserve established for the 
bonds provided by the borrower, including out of bond proceeds, 
may be deposited and held in a separate account in the Minnesota 
agricultural and economic development fund and applied to the 
last installments of principal or interest on the bonds, subject 
to the reserves being withdrawn for any purpose permitted by 
subdivision 1.  The board may by resolution or indenture pledge 
any or all amounts in the fund, including any reserves and 
investment income on amounts in the fund, to secure the payment 
of principal and interest on any or all series of bonds, upon 
the terms and conditions as provided in the resolution or 
indenture.  To the extent the board deems necessary or desirable 
to prevent interest on bonds from becoming subject to federal 
income taxation, (1) the amounts in the fund shall be invested 
in obligations or securities with restricted yields and (2) the 
investment income on the amounts are released from the pledge 
securing the bonds or loan guaranty and appropriately applied to 
prevent taxation. 
    (b) Bonds issued pursuant to this chapter are not general 
obligations of the state or the board.  The full faith and 
credit and taxing powers of the state and the board are not and 
may not be pledged for the payment of the bonds.  No person may 
compel the levy of a tax for the payment or compel the 
appropriation of money of the state or the board for the payment 
of the bonds, except as specifically provided in this chapter. 
    (c) For purposes of sections 474A.01 to 474A.21, the board 
is a local issuer and may apply for allocations of authority to 
issue private activity obligations and may enter into an 
agreement for the issuance of obligations by another issuer. 
    Sec. 24.  1987 S.F. No. 1, article 9, section 18, 
subdivision 2, is amended to read: 
    Subd. 2.  [POWERS CONTINUED.] To carry out the purposes 
specified in sections 9 and 19 20, the board may exercise the 
powers granted to the Minnesota energy and economic development 
authority under Minnesota Statutes 1986, sections 116M.06, 
116M.07, and 116M.08, notwithstanding the repeal of those 
sections. 
    Sec. 25.  1987 S.F. No. 1, article 9, section 22, is 
amended to read: 
    Sec. 22.  [APPROPRIATION.] 
    $400,000 is transferred appropriated from the economic 
development fund for transfer to the Minnesota agricultural and 
economic development fund. $200,000 is for fiscal year 1988 and 
$200,000 is for fiscal year 1989. 
    Sec. 26.  1987 S.F. No. 1, article 9, section 23, is 
amended to read: 
    Sec. 23.  [EFFECTIVE DATE.] 
    Sections 18 and 19 and 20 are effective the day following 
final enactment. 
    Sec. 27.  1987 S.F. No. 1, article 10, section 8, is 
amended to read: 
    Sec. 8.  Laws 1983, chapter 334, section 7, is amended to 
read: 
    Sec. 7.  [REPEALER.] 
    Sections 116L.01; 116L.02; 116L.03, subdivisions 1, 2, 3, 
4, 5, and 7; 116L.04; and 116L.05, 1, 2, 3, 4, 5, and 7 are 
repealed June 30, 1989. 
    Sec. 28.  1987 S.F. No. 1, article 10, section 9, is 
amended to read: 
    Sec. 9.  [SUPPLEMENTAL EDUCATION GRANT PROGRAM FUNDING.] 
    $500,000 is appropriated from the general fund to the 
higher education coordinating board for the dislocated rural 
worker grant program established in section 3 6, to be available 
until June 30, 1989. 
    $1,000,000 is appropriated from the general fund to the 
higher education coordinating board for the Minnesota job skills 
partnership program.  $500,00 is for fiscal year 1988 and 
$500,000 is for fiscal year 1989. 
    Sec. 29.  [116J.968] [ECONOMIC DEVELOPMENT FUND.] 
    Notwithstanding the repeal of section 116M.06, subdivision 
4, the economic development fund is continued. 
    Sec. 30.  [BALANCE TRANSFERRED.] 
    The unobligated balance of the energy fund created in 
Minnesota Statutes, section 116M.105, must be canceled, 
transferred, and credited to the economic development fund. 
    Sec. 31.  1987 S.F. No. 170, section 4, subdivision 1, is 
amended to read: 
    Subdivision 1.  [PRELIMINARY COUNTY FINDINGS AND 
DECLARATION.] There is created in each county in this state 
other than Hennepin and Ramsey and other than those counties in 
which a county housing authority has been created by special 
act, a public body, corporate and politic, to be known as the 
housing and redevelopment authority of that county, hereinafter 
referred to as "county authority." No county authority shall 
transact any business or exercise any powers until the governing 
body of the county, by resolution, finds that there is need for 
a county authority to function in the county.  The governing 
body shall consider the need for a county authority to function 
(1) on the governing body's own motion or (2) upon the filing of 
a petition signed by 25 qualified voters of the county asserting 
that there is need for a county authority to function in the 
county and requesting that the governing body so declare.  The 
governing body shall adopt a resolution declaring that there is 
need for a county authority to function in the county if it 
makes the findings required in section 3, subdivision 1. 
    Sec. 32.  [CORRECTION.] 
    Subdivision 1.  1987 H.F. No. 42, section 4, subdivision 2, 
is amended to read: 
    Subd. 2.  [TRANSITIONAL LABORATORY REQUIREMENTS.] Before 
rules are adopted and licenses issued under subdivision 1, an 
employer may use the services of a nonlicensed testing 
laboratory that agrees in writing with the commissioner to 
comply with the following requirements: 
    (1) The director of the laboratory must be a full-time 
employee of the laboratory and must possess a doctoral or 
master's degree in biological or medical science and have at 
least three years experience in an analytical toxicology 
laboratory.  
    (2) The laboratory must be participating in and continuing 
to demonstrate satisfactory performance in the drug proficiency 
testing program of the college of American pathology or American 
association for clinical chemists. 
    (3) The drug and alcohol testing must be limited to 
analysis of a sample of blood or urine from the employer or job 
applicant subject to testing. 
    (4) The methods of analysis for drug and alcohol testing 
are limited to any enzyme multiplied immunoassay method for 
initial screening tests and any chromotography mass spectrometry 
method for confirmatory tests and confirmatory retests. 
    (4) The methods of analysis for drug and alcohol testing 
are limited to any combination of methods using immuno-chemical 
technology or chromotography for initial screening tests, 
confirmed by gas chromotography/mass spectrometry; except that, 
where gas chromotography/mass spectrometry is not the 
scientifically accepted method of choice, the test must be 
confirmed by a method using some form of chromotography.  
Testing for alcohol may include a breath test as an initial 
screening test, provided that the results are confirmed by blood 
analysis. 
    (5) The laboratory must have in writing and use laboratory 
chain-of-custody procedures that ensure reliable and properly 
handled and identified testing results. 
    (6) All initial screening test, confirmatory test, and 
confirmatory retest results must be reviewed and certified as 
accurate by a qualified scientist. 
    (7) A test report must indicate the drugs, alcohol, or 
their metabolites tested for and whether the test produced 
negative or positive test results. 
    (8) The laboratory must provide the commissioner with 
information requested by the commissioner regarding the 
laboratory's current operations and activities relating to drug 
and alcohol testing. 
    (9) The laboratory must agree to comply with the 
requirements for laboratories set forth in sections 1 to 5 and 
to be subject to the remedies set forth in section 7. 
    Subd. 2.  [EFFECTIVE DATE.] Subdivision 1 is effective 
September 1, 1987. 
    Sec. 33.  1987 H.F. No. 753, article 1, section 16, is 
amended by adding a subdivision to read:  
    Subd. 11.  [EXAMINATION FEES.] A school board may use the 
reserved revenue to pay $30 of the examination fees for the 
international baccalaureate program and for the college board 
advanced placement program for public school pupils in the 11th 
and 12th grades.  
    Sec. 34.  1987 H.F. No. 753, article 6, section 20, is 
amended by adding a subdivision to read:  
    Subd. 4.  [IMMEDIATE.] Minnesota Statutes 1986, section 
62E.081, is repealed the day following final enactment of this 
act.  
    Sec. 35.  1987 H.F. No. 753, article 6, is amended by 
adding a section to read:  
    Sec. 23.  [LOCAL APPROVAL AND EFFECTIVE DATE.] 
    Section 14 is effective the day after the clerk of the 
school board of special school district No. 1 complies with 
Minnesota Statutes, section 645.021, subdivision 3. 
    Sec. 36.  1987 H.F. No. 753, article 10, section 3, is 
amended to read: 
Sec. 3.  FARIBAULT RESIDENTIAL 
ACADEMIES AND RESOURCE CENTER 
Total Appropriations               $2,206,200   $2,649,500
                                   $6,390,400   $6,372,400 
 Approved Complement   1988    1989 
State                  185.5   185.5 
Federal                  8.0     7.0 
Total                  193.5   192.5 
 The state board of education, with the 
approval of the commissioner of 
finance, may transfer complement among 
funds if necessary.  The state board 
must report material changes to the 
senate and house of representatives 
education committees.  
 Three complement and $125,000 each year 
are for operation of a resource center 
for hearing-impaired, visually-impaired 
and multiply handicapped students. 
 $107,600 in 1988 and up to $107,600 in 
1989 is for repairs, replacements, and 
betterment. 
 $53,300 in 1988 and up to $53,300 in 
1989 is for repair and purchase of 
equipment. 
 Any unexpended balance remaining from 
the appropriation in this section in 
1988 shall not cancel but is available 
in 1989. 
    Sec. 37.  1987 H.F. No. 753, article 10, section 2, 
subdivision 2, is amended to read: 
     Subd. 2.  Educational Services 
     1988           1989 
  $ 7,360,500     $ 7,313,000
 $20,700 each year is from the trunk 
highway fund. 
 $60,000 each year is from the public 
health fund.  
 The commissioner of education shall 
provide for direct local technical 
assistance to districts in meeting the 
curriculum requirements specified in 
the planning, evaluating, and reporting 
process.  In addition to existing 
curriculum services, the commissioner 
shall enter into performance contract 
agreements for general curriculum 
specialist services with educational 
cooperative service units or other 
regional educational service agencies.  
If more than one agency submits a 
proposal to provide services to school 
districts within an educational 
cooperative service unit region, the 
department shall encourage the agencies 
to develop a joint proposal.  The 
commissioner shall evaluate the 
performance agreements annually.  This 
assistance shall be provided in 
conjunction with the educational 
effectiveness delivery system.  
$400,000 in each year is for this 
purpose. 
 $157,500 in fiscal year 1988 and 
$67,800 in fiscal year 1989 is for 
services to school districts related to 
acquired immune deficiency syndrome. 
 $50,000 in fiscal year 1988 and $75,000 
in fiscal year 1989 is for 
administration of state planning, 
evaluation and reporting. 
 $75,000 each year is for technical 
assistance for local staff development 
plans and administration costs for 
implementing mentorship programs.  
 Beginning in fiscal year 1989, 
responsibility for the education 
research information service 
established by the council on quality 
education is transferred to the 
interagency resource and information 
center.  
 The governor's council on youth is 
discontinued.  
 $198,300 each year is for the secondary 
vocational student organization center. 
 Two professional and one clerical 
complement are transferred from the 
special education section to the 
Faribault residential academies and 
resource center for the purpose of 
establishing a resource center for 
hearing-impaired, visually-impaired and 
multiply handicapped students.  
$125,000 is available each year for 
this purpose.  
 One professional complement is added in 
each year in the curriculum services 
section for research information 
service and development of learner 
outcomes.  
 The complement of the secondary 
vocational section is reduced by two 
each year.  
 Two complement are transferred from 
federal to special purpose for the 
alcohol impaired driver program.  
$100,000 each year is available from 
the alchohol impaired driver account 
for these complement.  
 One-half complement each year is for 
state agency library automation.  
 One complement is added to the 
community education section each year 
for additional responsiblities related 
to youth.  
 The responsibility for the education 
research information service 
established by the council on quality 
education is transferred to the 
interagency resource and information 
center. 
    Sec. 38.  [CORRECTION.] Subdivision 1.  [LCC BUSINESS STUDY 
AND GOVERNMENT COMPETITION STUDY.] 1987 S.F. No. 1516, section 
10, subdivision 7, is repealed. 
    Subd. 2.  [EFFECTIVE DATE.] Subdivision 1 is effective July 
1, 1987. 
    Sec. 39. [CORRECTION.] [INADVERTENTLY OMITTED RIDER.] 
Subdivision 1.  [HISTORICAL SOCIETY HISTORIC SITE STUDY.] 1987 
S.F. No. 1516, section 21, is amended by adding a subdivision to 
read: 
    Subd. 6a.  Historic Site Study 
 The Minnesota historical society shall 
conduct an interim study, in 
cooperation with county historical 
organizations of their choice and the 
department of finance, to determine 
changes and revisions required in the 
Historic Sites Act of 1965.  The study 
shall identify those historic sites 
that merit preservation and 
interpretation and include a plan for 
financing their development and 
operations.  The study shall include 
recommendations by the society on which 
sites should charge admission fees and 
the amount of the proposed fee, by 
site.  The historical society shall 
report the results of this study to the 
chairs of the senate finance committee 
and house of representatives 
appropriations committee, and the 
governor by July 1, 1988. 
    Subd. 2.  [EFFECTIVE DATE.] Subdivision 1 is effective July 
1, 1987. 
    Sec. 40.  [SCHOOL DISTRICT 564.] 
    If independent school district No. 564, Thief River Falls, 
establishes a joint vocational technical district pursuant to 
section 136C.60 prior to August 1, 1987, the state shall pay 100 
percent of the cost of the construction project authorized by 
the 1987 legislature.  The state board of vocational technical 
education may utilize any unencumbered balance remaining in the 
appropriation made by Laws 1981, chapter 362, section 2, 
subdivision 1, to pay the additional amount needed to reach 100 
percent. 
    Sec. 41.  [REPEAL OF OBSOLETE TRANSITION.] 
    Minnesota Statutes 1986, section 326.2421, subdivision 7, 
is repealed. 
    Sec. 42.  [CROSS REFERENCE; BOARD OF WATER AND SOIL 
RESOURCES.] 
    1987 S. F. No. 1516, section 34, is amended to read: 
    Sec. 34.  [INSTRUCTION TO REVISOR.] 
    The revisor of statutes shall change the words "state soil 
and water conservation board," "water resources board," "water 
policy board" or other language intended to refer to those 
boards, wherever they appear in Minnesota Statutes to "board of 
water and soil resources" or other appropriate language to refer 
to the board of water and soil resources created in section 105 
103. 
    Sec. 43.  [CROSS REFERENCE; EFFECTIVE DATE.] 
    1987 S. F. No. 1516, section 133, subdivision 1, is amended 
to read: 
    Subdivision 1.  Section 108 106 is effective the day 
following final enactment. 
    Sec. 44.  1987 H.F. No. 919, section 8, subdivision 2, is 
amended to read: 
     Subd. 2.  Outdoor Recreation                   17,000,000
                                                    18,000,000
(a) Local Recreation Grants             2,500,000
This appropriation is to acquire and 
better recreation open space projects 
upon application by local units of 
government and Indian tribes and bands 
recognized by the federal government.  
Projects that receive federal grants 
must be given priority.  A grant under 
this paragraph is not contingent upon 
the receipt of federal grants.  A 
project may receive grant assistance of 
up to 50 percent of the total capital 
cost of the project or, if federal 
money is used, 50 percent of the local 
share.  A project must not receive 
grant assistance of more than 
$400,000.  A local unit of government 
must not receive more than one grant 
during each fiscal biennium. 
 $500,000 the first year and $500,000 
the second year shall be granted for 
projects outside the metropolitan area 
defined in Minnesota Statutes, section 
473.121. 
(b) Metropolitan Open Space            15,500,000
 $9,500,000 is for payment by the 
commissioner of energy and economic 
development to the metropolitan council 
established under Minnesota Statutes, 
section 473.123.  The commissioner 
shall transfer the amount to the 
metropolitan council upon receipt of a 
certified copy of a council resolution 
requesting payment.  The appropriation 
must be used to pay the cost of 
acquisition and betterment by the 
metropolitan council and local 
government units of regional 
recreational open space lands in 
accordance with the council's policy 
plan as provided in Minnesota Statutes, 
sections 473.315 and 473.341, including 
relocation costs and tax equivalents 
required to be paid by Minnesota 
Statutes, sections 473.315 and 473.341. 
 $6,000,000 is for the acquisition and 
betterment of land on Lake Minnetonka 
for a regional park.  No more than 
$400,000 may be used for staff and 
independent professional services 
necessary to acquire and better open 
space and for the performance of the 
duties of the metropolitan council 
under this paragraph. 
 The acquisition and betterment may 
include land between Lake Minnetonka 
and Stone Lake, to assist in connecting 
the Lake Minnetonka regional park with 
Carver park reserve.  Of the 
$6,000,000, the sum of $250,000 may be 
used to develop parking and a 
pedestrian underpass to support a 
public access site in the city of Mound.
 During the biennium, that part of 
Minnesota Statutes, section 398.09, 
paragraph (b), that requires local 
approval prior to acquiring real estate 
by purchase or condemnation shall not 
apply to this acquisition. 
    Sec. 45.  [INTEREST EARNINGS.] 
 The provisions of Laws 1985, First 
Special Session chapter 15, section 5, 
subdivision 2, paragraph (b), relating 
to interest earnings shall continue 
regardless of any dollar amount 
limitation. 
    Sec. 46.  1987 H.F. No. 919, section 18, subdivision 11, is 
amended to read: 
     Subd. 11.  Vermilion Community
College Student Housing                              1,500,000
 The state board for community colleges 
may acquire a site and construct, own, 
operate, furnish, and maintain one or 
more dormitories or other student 
residence facilities at Ely for the use 
and benefit of Vermilion Community 
College.  Selection of a designer for 
the project is not subject to Minnesota 
Statutes, section 16B.33, subdivision 
4.  The higher education facilities 
authority may issue revenue bonds for 
the facilities under Minnesota 
Statutes, sections 136A.25 to 136A.42, 
and the state board for community 
colleges may borrow the proceeds of the 
revenue bonds to finance the 
acquisition, construction, and 
equipping of the student housing 
facilities.  The board may enter into 
agreements and pledge revenues of the 
facilities as may be necessary to 
provide security for the bonds and may 
mortgage the financed facilities to the 
higher education facilities authority 
or to a trustee for the bondholders if 
considered necessary by the board or 
the authority for the successful 
marketing of the bonds.  The state 
board for community colleges shall 
establish, maintain, revise when 
necessary, and collect rates and 
charges for the use of the student 
housing facilities.  The rates and 
charges must be sufficient, as 
estimated by the board, to pay all 
expenses of operation and maintenance 
of the facilities, to pay principal of, 
and interest on, revenue bonds or other 
obligations when due and to pay 
customary fees and charges of the 
higher education facilities authority 
and to establish and maintain the 
reserve funds that the board considers 
necessary for repair, replacement, and 
maintenance of the facilities.  Funds 
and accounts established in furtherance 
of these purposes are not subject to 
Minnesota Statutes, section 136.67, 
subdivision 2, and are not subject to 
the budgetary control of the 
commissioner of finance.  The board 
shall never be obligated to use other 
revenues of the board or funds of the 
state to pay the costs of construction, 
operation, maintenance, and repair of 
the facilities or to pay principal of 
and interest on obligations issued for 
these purposes.  Notwithstanding any 
other law or rule or the city charter, 
the city of Ely may, without complying 
with the procedures set forth in 
Minnesota Statutes, chapter 475, 
guarantee all or any part of the loan 
repayment obligation of the board to 
the authority, by pledging its full 
faith and credit and taxing power.  The 
guarantee is not subject to any 
limitation on net debt of the city, and 
taxes required to make any payment 
under the guarantee may be levied 
without limit as to rate or amount. 
    Sec. 47.  Minnesota Statutes 1986, section 62E.02, 
subdivision 23, as amended by 1987 H.F. No. 529, article 2, 
section 17, is amended to read:  
    Subd. 23.  "Contributing member" means those companies 
operating pursuant to chapter 62A and offering, selling, 
issuing, or renewing policies or contracts of accident and 
health insurance or health maintenance organizations and 
nonprofit health service plan corporations incorporated under 
chapter 62C or fraternal benefit society operating under chapter 
64 64B.  For the purposes of determining liability of 
contributing members pursuant to section 62E.11 payments 
received from or on behalf of Minnesota residents for coverage 
by a health maintenance organization shall be considered to be 
accident and health insurance premiums. 
    Sec. 48.  Minnesota Statutes 1986, section 297D.07, as 
amended by 1987 H.F. No. 529, article 17, section 36, is amended 
to read:  
    297D.07 [MEASUREMENT.] 
    For the purpose of calculating the tax under section 
297D.08, a gram quantity of marijuana or other controlled 
substance is measured by the weight of the substance in the 
dealer's possession.  The weight of the marijuana or controlled 
substance includes all material, compound, mixture, or 
preparation that is added to the marijuana or controlled 
substance. 
    Sec. 49.  1987 H.F. No. 919, section 14, subdivision 8, is 
amended to read: 
     Subd. 8.  Local Road Bridge 
Replacement and Rehabilitation                       8,800,000
 This appropriation is from the 
transportation fund. 
$8,800,000 is from the state 
transportation fund to construct and 
reconstruct key bridges on the state 
transportation system and must be 
allocated by the commissioner of 
transportation in the form of grants to 
political subdivisions for construction 
and reconstruction of key bridges on 
highways, streets, and roads under 
their jurisdictions.  Of that amount, 
$3,800,000 is to be used to match the 
local share of several federal 
demonstration projects. 
    Sec. 50.  [EFFECTIVE DATE.] 
    Unless provided otherwise, the sections of this article 
that amend other 1987 enactments take effect on the same dates 
as the enactments that they amend. 
    Approved June 2, 1987

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