1.1                          A bill for an act 
  1.2             relating to public safety; consolidating divisions of 
  1.3             liquor control and gambling enforcement into division 
  1.4             of alcohol and gambling enforcement in the department 
  1.5             of public safety; making technical changes; amending 
  1.6             Minnesota Statutes 1996, sections 16B.54, subdivision 
  1.7             2; 43A.34, subdivision 4; 299A.02, subdivisions 1, 2, 
  1.8             and 3; 299L.01, subdivisions 1 and 2; 299L.02, 
  1.9             subdivisions 4 and 5; 299L.03, subdivisions 1, 5, and 
  1.10            7; and 340A.201. 
  1.11  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.12     Section 1.  Minnesota Statutes 1996, section 16B.54, 
  1.13  subdivision 2, is amended to read: 
  1.14     Subd. 2.  [VEHICLES.] (a)  [ACQUISITION FROM AGENCY; 
  1.15  APPROPRIATION.] The commissioner may direct an agency to make a 
  1.16  transfer of a passenger motor vehicle or truck currently 
  1.17  assigned to it.  The transfer must be made to the commissioner 
  1.18  for use in the central motor pool.  The commissioner shall 
  1.19  reimburse an agency whose motor vehicles have been paid for with 
  1.20  funds dedicated by the constitution for a special purpose and 
  1.21  which are assigned to the central motor pool.  The amount of 
  1.22  reimbursement for a motor vehicle is its average wholesale price 
  1.23  as determined from the midwest edition of the National 
  1.24  Automobile Dealers Association official used car guide. 
  1.25     (b)  [PURCHASE.] To the extent that funds are available for 
  1.26  the purpose, the commissioner may purchase or otherwise acquire 
  1.27  additional passenger motor vehicles and trucks necessary for the 
  1.28  central motor pool.  The title to all motor vehicles assigned to 
  2.1   or purchased or acquired for the central motor pool is in the 
  2.2   name of the department of administration.  
  2.3      (c)  [TRANSFER AT AGENCY REQUEST.] On the request of an 
  2.4   agency, the commissioner may transfer to the central motor pool 
  2.5   any passenger motor vehicle or truck for the purpose of 
  2.6   disposing of it.  The department or agency transferring the 
  2.7   vehicle or truck must be paid for it from the motor pool 
  2.8   revolving account established by this section in an amount equal 
  2.9   to two-thirds of the average wholesale price of the vehicle or 
  2.10  truck as determined from the midwest edition of the National 
  2.11  Automobile Dealers Association official used car guide. 
  2.12     (d)  [VEHICLES; MARKING.] The commissioner shall provide 
  2.13  for the uniform marking of all motor vehicles.  Motor vehicle 
  2.14  colors must be selected from the regular color chart provided by 
  2.15  the manufacturer each year.  The commissioner may further 
  2.16  provide for the use of motor vehicles without marking by: 
  2.17     (1) the governor; 
  2.18     (2) the lieutenant governor; 
  2.19     (3) the division of criminal apprehension, ~~the division of~~ 
  2.20  ~~liquor control,~~ the division of alcohol and gambling 
  2.21  enforcement, and arson investigators of the division of fire 
  2.22  marshal in the department of public safety; 
  2.23     (4) the financial institutions division of the department 
  2.24  of commerce; 
  2.25     (5) the division of disease prevention and control of the 
  2.26  department of health; 
  2.27     (6) the state lottery; 
  2.28     (7) criminal investigators of the department of revenue; 
  2.29     (8) state-owned community service facilities in the 
  2.30  department of human services; 
  2.31     (9) the investigative staff of the department of economic 
  2.32  security; and 
  2.33     (10) the office of the attorney general. 
  2.34     Sec. 2.  Minnesota Statutes 1996, section 43A.34, 
  2.35  subdivision 4, is amended to read: 
  2.36     Subd. 4.  [STATE PATROL, CONSERVATION AND CRIME BUREAU 
  3.1   OFFICERS EXEMPTED.] Notwithstanding any provision to the 
  3.2   contrary, (a) conservation officers and crime bureau officers 
  3.3   who were first employed on or after July 1, 1973, and who are 
  3.4   members of the state patrol retirement fund by reason of their 
  3.5   employment, and members of the Minnesota state patrol division 
  3.6   and alcohol and gambling enforcement ~~divisions~~ division of the 
  3.7   department of public safety who are members of the state patrol 
  3.8   retirement association by reason of their employment, shall not 
  3.9   continue employment after attaining the age of 60 years, except 
  3.10  for a fractional portion of one year that will enable the 
  3.11  employee to complete the employee's next full year of allowable 
  3.12  service as defined pursuant to section 352B.01, subdivision 3; 
  3.13  and (b) conservation officers and crime bureau officers who were 
  3.14  first employed and are members of the state patrol retirement 
  3.15  fund by reason of their employment before July 1, 1973, shall 
  3.16  not continue employment after attaining the age of 70 years.  
  3.17     Sec. 3.  Minnesota Statutes 1996, section 299A.02, 
  3.18  subdivision 1, is amended to read: 
  3.19     Subdivision 1.  [~~DIRECTOR OF DIVISION OF LIQUOR~~ 
  3.20  ~~CONTROL~~ CONFLICT OF INTEREST.] No employee of the department of 
  3.21  public safety or the department of revenue having any 
  3.22  responsibility for the administration or enforcement of ~~Laws~~ 
  3.23  ~~1985, chapter 305, articles 2 to 11~~ chapter 297C or 340A shall 
  3.24  have a direct or indirect interest, except through ownership or 
  3.25  investment in pension or mutual funds, in the manufacture, 
  3.26  transportation or sale of intoxicating liquor or any malt or 
  3.27  vinous beverages, intoxicating, nonintoxicating, or commercial 
  3.28  or industrial alcohol.  The commissioner of public safety or the 
  3.29  commissioner of revenue may remove an employee in the 
  3.30  unclassified civil service for any intentional violation of any 
  3.31  provision ~~in Laws 1985, chapter 305, articles 2 to 11~~ of chapter 
  3.32  297C or 340A.  Intentional violation of ~~the preceding sections~~ a 
  3.33  provision of chapter 297C or 340A by a classified employee of 
  3.34  one of the departments may be grounds for removal of that 
  3.35  employee pursuant to section 43A.33. 
  3.36     Sec. 4.  Minnesota Statutes 1996, section 299A.02, 
  4.1   subdivision 2, is amended to read: 
  4.2      Subd. 2.  [GENERAL POWERS.] The commissioner shall 
  4.3   administer and enforce the provisions of ~~Laws 1985, chapter 305,~~ 
  4.4   ~~articles 2 to 11~~ chapters 297C and 340A through the director of 
  4.5   alcohol and gambling enforcement, except for those provisions 
  4.6   thereof for which administration and enforcement are reserved to 
  4.7   the commissioner of revenue. 
  4.8      Sec. 5.  Minnesota Statutes 1996, section 299A.02, 
  4.9   subdivision 3, is amended to read: 
  4.10     Subd. 3.  [REPORTS; RULES.] The commissioner shall have 
  4.11  power to require periodic factual reports from all licensed 
  4.12  importers, manufacturers, wholesalers and retailers of 
  4.13  intoxicating liquors and to make all reasonable rules to effect 
  4.14  the object of ~~Laws 1985, chapter 305, articles 2 to 11~~ chapters 
  4.15  297C and 340A.  The rules shall include provisions for assuring 
  4.16  the purity of intoxicating liquors and the true statement of its 
  4.17  contents and proper labeling thereof with regard to all forms of 
  4.18  sale.  No rule may require the use of new containers in aging 
  4.19  whiskey.  No rule may require cordials or liqueurs to contain in 
  4.20  excess of 2-1/2 percent by weight of sugar or dextrose or both. 
  4.21     Sec. 6.  Minnesota Statutes 1996, section 299L.01, 
  4.22  subdivision 1, is amended to read: 
  4.23     Subdivision 1.  [DEFINITIONS.] (a) For the purposes of this 
  4.24  chapter, the terms defined in this subdivision have the meanings 
  4.25  given them. 
  4.26     (b) "Division" means the division of alcohol and gambling 
  4.27  enforcement.  
  4.28     (c) "Commissioner" means the commissioner of public safety. 
  4.29     (d) "Director" means the director of alcohol and gambling 
  4.30  enforcement.  
  4.31     (e) "Manufacturer" means a person who assembles from raw 
  4.32  materials or subparts a gambling device for sale or use in 
  4.33  Minnesota. 
  4.34     (f) "Distributor" means a person who sells, offers to sell, 
  4.35  or otherwise provides a gambling device to a person in Minnesota.
  4.36     (g) "Used gambling device" means a gambling device five or 
  5.1   more years old from the date of manufacture. 
  5.2      (h) "Test" means the process of examining a gambling device 
  5.3   to determine its characteristics or compliance with the 
  5.4   established requirements of any jurisdiction. 
  5.5      (i) "Testing facility" means a person in Minnesota who is 
  5.6   engaged in the testing of gambling devices for use in any 
  5.7   jurisdiction. 
  5.8      Sec. 7.  Minnesota Statutes 1996, section 299L.01, 
  5.9   subdivision 2, is amended to read: 
  5.10     Subd. 2.  [ESTABLISHED; CONSOLIDATION WITH LIQUOR CONTROL.] 
  5.11  Effective October 1, 1996, the duties and powers of the division 
  5.12  of gambling enforcement ~~is a~~ are transferred to the division of 
  5.13  alcohol and gambling enforcement in the department of public 
  5.14  safety, under the control and supervision of a director~~,~~ 
  5.15  appointed by the commissioner and serving at the commissioner's 
  5.16  pleasure in the unclassified service.  The director must be a 
  5.17  person who is licensed or eligible to be licensed as a peace 
  5.18  officer under sections 626.84 to 626.863. 
  5.19     Sec. 8.  Minnesota Statutes 1996, section 299L.02, 
  5.20  subdivision 4, is amended to read: 
  5.21     Subd. 4.  [OTHER GAMBLING.] The director ~~of gambling~~ 
  5.22  ~~enforcement~~ shall cooperate with all state and local agencies in 
  5.23  the detection and apprehension of unlawful gambling. 
  5.24     Sec. 9.  Minnesota Statutes 1996, section 299L.02, 
  5.25  subdivision 5, is amended to read: 
  5.26     Subd. 5.  [BACKGROUND CHECKS.] In any background check 
  5.27  required to be conducted by the division ~~of gambling enforcement~~ 
  5.28  under this chapter, chapter 240, 349, 349A, or section 3.9221, 
  5.29  the director may, or shall when required by law, require that 
  5.30  fingerprints be taken and the director may forward the 
  5.31  fingerprints to the Federal Bureau of Investigation for the 
  5.32  conducting of a national criminal history check.  The director 
  5.33  may charge a fee for fingerprint recording and investigation 
  5.34  under section 3.9221. 
  5.35     Sec. 10.  Minnesota Statutes 1996, section 299L.03, 
  5.36  subdivision 1, is amended to read: 
  6.1      Subdivision 1.  [INSPECTIONS; ACCESS.] In conducting any 
  6.2   inspection authorized under this chapter or chapter 240, 349, or 
  6.3   349A, the ~~employees of the~~ division ~~of gambling enforcement~~ 
  6.4   employees have free and open access to all parts of the 
  6.5   regulated business premises, and may conduct the inspection at 
  6.6   any reasonable time without notice and without a search 
  6.7   warrant.  For purposes of this subdivision, "regulated business 
  6.8   premises" means premises where: 
  6.9      (1) lawful gambling is conducted by an organization 
  6.10  licensed under chapter 349 or by an organization exempt from 
  6.11  licensing under section 349.166; 
  6.12     (2) gambling equipment is manufactured, sold, distributed, 
  6.13  or serviced by a manufacturer or distributor licensed under 
  6.14  chapter 349; 
  6.15     (3) records required to be maintained under chapter 240, 
  6.16  297E, 349, or 349A are prepared or retained; 
  6.17     (4) lottery tickets are sold by a lottery retailer under 
  6.18  chapter 340A; 
  6.19     (5) races are conducted by a person licensed under chapter 
  6.20  240; or 
  6.21     (6) gambling devices are manufactured, distributed, or 
  6.22  tested, including places of storage under section 299L.07. 
  6.23     Sec. 11.  Minnesota Statutes 1996, section 299L.03, 
  6.24  subdivision 5, is amended to read: 
  6.25     Subd. 5.  [ARREST POWERS.] The director may designate 
  6.26  certain division employees ~~within the division of gambling~~ 
  6.27  ~~enforcement~~ who are authorized to arrest or investigate any 
  6.28  person who is suspected of violating any provision of chapter 
  6.29  240, 349, or 349A, or is suspected of committing any crime 
  6.30  involving gambling, and to conduct searches and seizures to 
  6.31  enforce any of those laws.  Any employee authorized by this 
  6.32  subdivision to make an arrest must be licensed under sections 
  6.33  626.84 to 626.863.  
  6.34     Sec. 12.  Minnesota Statutes 1996, section 299L.03, 
  6.35  subdivision 7, is amended to read: 
  6.36     Subd. 7.  [OTHER POWERS.] Nothing in this chapter limits 
  7.1   the authority of the division ~~of gambling enforcement~~ to 
  7.2   exercise any other power specified under chapter 240, 340A, 349, 
  7.3   or 349A.  
  7.4      Sec. 14.  Minnesota Statutes 1996, section 340A.201, is 
  7.5   amended to read: 
  7.6      340A.201 [LIQUOR CONTROL AUTHORITY.] 
  7.7      Subdivision 1.  [1976 SUCCESSOR.] The commissioner of 
  7.8   public safety is the successor to the commissioner of liquor 
  7.9   control with respect to the powers and duties vested in the 
  7.10  latter as of February 6, 1976, except for those powers and 
  7.11  duties transferred to the commissioner of revenue.  Any 
  7.12  proceeding, court action, prosecution, or other business 
  7.13  undertaken or commenced as of February 6, 1976, by the 
  7.14  commissioner of liquor control is assigned to the commissioners 
  7.15  of public safety and revenue as appropriate and may be completed 
  7.16  by them.  
  7.17     Subd. 2.  [DELEGATION; 1996 CONSOLIDATION; DIVISION 
  7.18  DIRECTOR.] Effective October 1, 1996, the duties and powers 
  7.19  vested previously in the commissioner of public safety and 
  7.20  delegated to the department's division of liquor control are 
  7.21  delegated and transferred to, and consolidated with, the 
  7.22  division of alcohol and gambling enforcement of the department 
  7.23  of public safety, under the supervision of a director appointed 
  7.24  by the commissioner and serving in the unclassified service at 
  7.25  the pleasure of the commissioner. 
  7.26     Sec. 15.  [RESPONSIBILITIES TRANSFERRED AND CONSOLIDATED 
  7.27  INTO DIVISION OF ALCOHOL AND GAMBLING ENFORCEMENT.] 
  7.28     Subdivision 1.  [RESPONSIBILITIES TRANSFERRED.] The 
  7.29  responsibilities of the division of liquor control and the 
  7.30  division of gambling enforcement are transferred and 
  7.31  consolidated into the division of alcohol and gambling 
  7.32  enforcement in the department of public safety, under the 
  7.33  supervision of a director in the unclassified service appointed 
  7.34  by the commissioner of public safety and serving at the 
  7.35  commissioner's pleasure.  The term "responsibilities" includes 
  7.36  powers, duties, rights, obligations, and other authority imposed 
  8.1   by law on the former divisions.  The term "new division" means 
  8.2   the division of alcohol and gambling enforcement and "former 
  8.3   divisions" means the division of liquor control and the division 
  8.4   of gambling enforcement.  
  8.5      Subd. 2.  [CONTINUATION.] The new division is a 
  8.6   continuation of the former divisions as to those 
  8.7   responsibilities and matters within the jurisdiction of the 
  8.8   former divisions that are transferred to the new division.  
  8.9   Following a transfer the new division shall carry out the 
  8.10  assigned responsibilities as though the responsibilities of the 
  8.11  former division had not been transferred.  A transfer is not a 
  8.12  new authority for the purpose of succession to all 
  8.13  responsibilities of the former divisions as constituted at the 
  8.14  time of the transfer. 
  8.15     Subd. 3.  [RULES.] Rules adopted pursuant to 
  8.16  responsibilities that are transferred to the new division remain 
  8.17  effective and shall be enforced until amended or repealed in 
  8.18  accordance with law by the commissioner of public safety.  The 
  8.19  rulemaking authority of the commissioner of public safety, that 
  8.20  existed to implement the responsibilities that are transferred 
  8.21  from the former divisions, is retained by the commissioner.  
  8.22     Subd. 4.  [COURT ACTIONS.] Any proceeding, court action, 
  8.23  prosecution, or other business or matter pending on the 
  8.24  effective date of a transfer of responsibilities may be 
  8.25  conducted and completed under the authority of the commissioner 
  8.26  of public safety in the same manner, under the same terms and 
  8.27  conditions, and with the same effect, as though it involved or 
  8.28  were commenced and conducted or completed prior to the transfer. 
  8.29     Subd. 5.  [CONTRACTS; RECORDS.] The former divisions whose 
  8.30  responsibilities are transferred shall give all contracts, 
  8.31  books, maps, plans, papers, records, and property of every 
  8.32  description relating to the transferred responsibilities and 
  8.33  within its jurisdiction or control to the new division.  The new 
  8.34  division shall accept the material presented.  The transfer 
  8.35  shall be made in accordance with the directions of the new 
  8.36  division.  
  9.1      Subd. 6.  [UNEXPENDED FUNDS.] The unexpended balance of any 
  9.2   appropriation to a former division for the purposes of any 
  9.3   responsibilities that are transferred to the new division are 
  9.4   reappropriated to the new division under the same conditions as 
  9.5   the original appropriation, effective retroactively to October 
  9.6   1, 1996.  
  9.7      Subd. 7.  [PERSONNEL.] The position of director of the 
  9.8   division of liquor control is abolished.  The person occupying 
  9.9   the position of director of gambling enforcement becomes the 
  9.10  director of alcohol and gambling enforcement, a position in the 
  9.11  unclassified service.  The director serves at the pleasure of 
  9.12  the commissioner of public safety.  All other classified and 
  9.13  unclassified positions associated with the responsibilities 
  9.14  being transferred are transferred with their incumbents to the 
  9.15  new division.  The approved complement of the department of 
  9.16  public safety is decreased by one position.  Personnel changes 
  9.17  are effective retroactively to October 1, 1996.  Nothing in this 
  9.18  subdivision abrogates or modifies the rights now enjoyed by 
  9.19  affected employees under the managerial or commissioner's plan 
  9.20  under Minnesota Statutes, section 43A.18, or the terms of an 
  9.21  agreement between an exclusive representative of public 
  9.22  employees and the state or one of its appointing authorities.  
  9.23     Subd. 8.  [TRANSFER OF PROPERTY; SALES TAX.] Transfers of 
  9.24  motor vehicles or other tangible personal property between 
  9.25  divisions under this section are exempt from the motor vehicle 
  9.26  sales tax under Minnesota Statutes, chapter 297B, and the 
  9.27  general sales tax under Minnesota Statutes, chapter 297A. 
  9.28     Sec. 16.  [INSTRUCTION TO REVISOR.] 
  9.29     The revisor of statutes shall change the terms "division of 
  9.30  gambling enforcement,"  "division of liquor control," "director 
  9.31  of gambling enforcement," "director of the division of liquor 
  9.32  control," and similar terms referring to either of those 
  9.33  divisions or directors to "division of alcohol and gambling 
  9.34  enforcement" or "director of alcohol and gambling enforcement," 
  9.35  as appropriate:  
  9.36     (1) where found in Minnesota Statutes, chapters 299L, 340A, 
 10.1   349, and 349A, and Minnesota Statutes, sections 10A.01, 
 10.2   subdivision 18; 13.99, subdivision 92a; 240.06, subdivisions 3 
 10.3   and 8; 240.07, subdivision 2; 240.08, subdivision 3; 240.09, 
 10.4   subdivision 3a; 240.21; 297E.13, subdivision 5; 297E.16, 
 10.5   subdivision 2; 352B.01, subdivision 2; 626.05, subdivision 2; 
 10.6   626.13; and 626.84, subdivision 1; and 
 10.7      (2) where found in Minnesota Rules. 
 10.8      Sec. 17.  [EFFECTIVE DATE.] 
 10.9      Sections 1 to 15 are effective retroactively to October 1, 
 10.10  1996.