1.1                          A bill for an act 
  1.2             relating to state government; appropriating money for 
  1.3             economic development and certain agencies of state 
  1.4             government; establishing and modifying programs; 
  1.5             regulating activities and practices; modifying fees; 
  1.6             making conforming changes; requiring reports; 
  1.7             providing criminal penalties; amending Minnesota 
  1.8             Statutes 1998, sections 45.0295; 53A.03; 53A.05, 
  1.9             subdivision 1; 60A.14, subdivision 1; 60A.23, 
  1.10            subdivision 8; 60A.71, subdivision 7; 60K.06; 65B.48, 
  1.11            subdivision 3; 70A.14, subdivision 4; 72B.04, 
  1.12            subdivision 10; 79.255, subdivision 10; 82A.08, 
  1.13            subdivision 2; 82A.16, subdivisions 2 and 6; 116J.415, 
  1.14            subdivision 5; 116J.421, subdivisions 2, 3, and by 
  1.15            adding subdivisions; 116J.63, subdivision 4; 
  1.16            116J.8745, subdivisions 1 and 2; 116L.03, subdivisions 
  1.17            1, 2, and 5; 116L.04, subdivision 1a; 116L.06, 
  1.18            subdivision 4; 175.17; 176.181, subdivision 2a; 
  1.19            216C.41, subdivisions 1 and 2; 268.022; 268.666, by 
  1.20            adding a subdivision; 268.98, subdivision 3; 268A.13; 
  1.21            268A.14; 298.22, subdivisions 2 and 6; 298.2213, 
  1.22            subdivision 4; 298.223, subdivision 2; 326.105, if 
  1.23            enacted; 326.86, subdivision 1; 383B.79, subdivision 
  1.24            4; 446A.072, subdivision 4; 462A.20, subdivision 2, 
  1.25            and by adding a subdivision; 462A.204, by adding a 
  1.26            subdivision; 462A.205, subdivision 3; 462A.209; 
  1.27            462A.21, by adding a subdivision; and 473.251; Laws 
  1.28            1998, chapter 404, section 13, subdivision 5; Laws 
  1.29            1998, First Special Session chapter 1, article 3, 
  1.30            section 8; proposing coding for new law in Minnesota 
  1.31            Statutes, chapters 82B; 116J; 245; 268; 462A; and 473; 
  1.32            repealing Minnesota Statutes 1998, sections 44A.001; 
  1.33            44A.01; 44A.02; 44A.023; 44A.025; 44A.031; 44A.0311; 
  1.34            44A.06; 44A.08; 44A.11; 341.01; 341.02; 341.04; 
  1.35            341.045; 341.05; 341.06; 341.07; 341.08; 341.09; 
  1.36            341.10; 341.11; 341.115; 341.12; 341.13; 341.15; 
  1.37            462A.28; 469.305; 469.306; 469.307; 469.308; and 
  1.38            469.31; Laws 1999, chapter 137, section 5. 
  1.39  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.40                             ARTICLE 1 
  1.41                           APPROPRIATIONS 
  1.42  Section 1.  [ECONOMIC DEVELOPMENT; APPROPRIATIONS.] 
  2.1      The sums shown in the columns marked "APPROPRIATIONS" are 
  2.2   appropriated from the general fund, or another named fund, to 
  2.3   the agencies and for the purposes specified in this act, to be 
  2.4   available for the fiscal years indicated for each purpose.  The 
  2.5   figures "2000" and "2001," where used in this act, mean that the 
  2.6   appropriation or appropriations listed under them are available 
  2.7   for the year ending June 30, 2000, or June 30, 2001, 
  2.8   respectively.  The term "first year" means the fiscal year 
  2.9   ending June 30, 2000, and "second year" means the fiscal year 
  2.10  ending June 30, 2001. 
  2.11                          SUMMARY BY FUND
  2.12              1999          2000          2001           TOTAL
  2.13  General   $21,000     $224,507,000   $184,543,000   $409,071,000
  2.14  Petroleum Tank
  2.15  Cleanup                 1,015,000      1,045,000      2,060,000
  2.16  Environmental Fund        700,000        700,000      1,400,000
  2.17  TANF                    6,000,000      4,000,000     10,000,000
  2.18  Trunk Highway             745,000        766,000      1,511,000 
  2.19  Workers' 
  2.20  Compensation           22,217,000     22,439,000     44,656,000
  2.21  Special Revenue           100,000        -0-            100,000
  2.22  Workforce
  2.23  Development Fund       17,993,000     12,557,000     30,550,000 
  2.24  TOTAL     $21,000    $273,277,000   $226,050,000   $499,348,000
  2.25                                             APPROPRIATIONS 
  2.26                                         Available for the Year 
  2.27                                             Ending June 30 
  2.28                                            2000         2001 
  2.29  Sec. 2.  TRADE AND ECONOMIC DEVELOPMENT 
  2.30  Subdivision 1.  Total       
  2.31  Appropriation                          56,880,000    46,056,000
  2.32                Summary by Fund
  2.33  General              42,985,000    32,590,000
  2.34  Trunk Highway           745,000       766,000 
  2.35  TANF                  1,500,000     1,500,000
  2.36  Environmental Fund      700,000       700,000 
  2.37  Workforce 
  2.38  Development Fund     10,950,000    10,500,000 
  2.39  The amounts that may be spent from this 
  2.40  appropriation for each program are 
  2.41  specified in the following subdivisions.
  3.1   Subd. 2.  Business and Community 
  3.2   Development                            38,488,000    28,186,000
  3.3                 Summary by Fund
  3.4   General             25,338,000     15,486,000
  3.5   TANF                 1,500,000      1,500,000
  3.6   Environmental Fund     700,000        700,000
  3.7   Workforce 
  3.8   Development Fund    10,950,000     10,500,000
  3.9   $5,017,000 the first year and 
  3.10  $4,017,000 the second year are for 
  3.11  Minnesota investment fund grants.  Of 
  3.12  this amount, $1,000,000 in the first 
  3.13  year is a one-time appropriation and is 
  3.14  not added to the agency's budget base. 
  3.15  $400,000 the first year is for a 
  3.16  one-time grant to Advantage Minnesota, 
  3.17  Inc.  The funds are available only if 
  3.18  matched on at least a dollar-for-dollar 
  3.19  basis from other sources.  The 
  3.20  commissioner may release the funds only 
  3.21  upon: 
  3.22  (1) certification that matching funds 
  3.23  from each participating organization 
  3.24  are available; and 
  3.25  (2) review and approval by the 
  3.26  commissioner of the proposed operations 
  3.27  plan of Advantage Minnesota, Inc. for 
  3.28  the biennium. 
  3.29  $14,067,000 the first year and 
  3.30  $14,073,000 the second year are for the 
  3.31  job skills partnership program.  If the 
  3.32  appropriation for either year is 
  3.33  insufficient, the appropriation for the 
  3.34  other year is available.  Of this 
  3.35  appropriation, $10,000,000 in each year 
  3.36  is a one-time appropriation from the 
  3.37  workforce development fund.  It is the 
  3.38  intention of the legislature that this 
  3.39  program base funding be $5,931,000 per 
  3.40  year in the 2002-2003 biennium.  This 
  3.41  appropriation does not cancel.  
  3.42  $500,000 the first year and $500,000 
  3.43  the second year are one-time 
  3.44  appropriations from the workforce 
  3.45  development fund for the pathways 
  3.46  program. 
  3.47  $1,500,000 the first year and 
  3.48  $1,500,000 the second year are 
  3.49  appropriated from the state's federal 
  3.50  TANF block grant under Title I of 
  3.51  Public Law Number 104-193 to the 
  3.52  commissioner of human services, to be 
  3.53  transferred to the commissioner of 
  3.54  trade and economic development for the 
  3.55  pathways program under Minnesota 
  3.56  Statutes, section 116L.04, subdivision 
  3.57  1a.  It is the intention of the 
  3.58  legislature that the general fund base 
  3.59  funding to the pathways program be 
  4.1   $1,500,000 per year in the 2002-2003 
  4.2   biennium. 
  4.3   $500,000 the first year is for a 
  4.4   one-time grant to the city of Fridley 
  4.5   for costs of the design and 
  4.6   construction of infrastructure 
  4.7   improvements required by a large 
  4.8   business campus development in the 
  4.9   Moore lakes area of the city. 
  4.10  $551,000 the first year and $565,000 
  4.11  the second year are from fees collected 
  4.12  under Minnesota Statutes, section 
  4.13  446A.04, subdivision 5, to administer 
  4.14  the programs of the public facilities 
  4.15  authority. 
  4.16  $500,000 in the first year is for a 
  4.17  one-time grant to the community 
  4.18  resources program under Minnesota 
  4.19  Statutes, chapter 466A. 
  4.20  $200,000 the first year is for a 
  4.21  one-time grant to the board of the 
  4.22  rural policy and development center for 
  4.23  operation of the center.  This 
  4.24  appropriation is available as matched 
  4.25  in cash on a dollar-for-dollar basis 
  4.26  from nonstate sources. 
  4.27  $155,000 the first year and $155,000 
  4.28  the second year are for grants to the 
  4.29  metropolitan economic development 
  4.30  association.  This is a one-time 
  4.31  appropriation and is not added to the 
  4.32  agency's budget base. 
  4.33  $265,000 the first year and $265,000 
  4.34  the second year are for grants to 
  4.35  WomenVenture.  WomenVenture must 
  4.36  implement a program to encourage and 
  4.37  assist women to enter nontraditional 
  4.38  careers in the trades and technical 
  4.39  occupations.  The program shall consist 
  4.40  of outreach to women and girls and 
  4.41  training, job placement, and job 
  4.42  retention support that meet women's 
  4.43  specific needs.  The program must be 
  4.44  accessible to low-income working 
  4.45  mothers, including MFIP recipients. 
  4.46  $450,000 the first year is for a 
  4.47  one-time grant to the St. Paul 
  4.48  rehabilitation center for its current 
  4.49  programs, including those related to 
  4.50  developing job-seeking skills and 
  4.51  workplace orientation, intensive job 
  4.52  development, functional work English, 
  4.53  and on-site job coaching.  This 
  4.54  appropriation is from the workforce 
  4.55  development fund. 
  4.56  $250,000 is for a grant to the city of 
  4.57  Windom to provide loans to assist an 
  4.58  expanding business.  This is a one-time 
  4.59  appropriation and is not added to the 
  4.60  agency's budget base. 
  4.61  $350,000 is for the biennium ending 
  4.62  June 30, 2001, for a grant to the Camp 
  5.1   Heartland center.  The grant may be 
  5.2   used for phase II capital expenditures 
  5.3   including, without limitation, a septic 
  5.4   system upgrade and bath/shower house 
  5.5   construction, construction of a family 
  5.6   lodge, renovation of a medical 
  5.7   facility, construction of staff housing 
  5.8   and offices, or expansion and upgrade 
  5.9   of the dining room and kitchen.  This 
  5.10  is a one-time appropriation and is not 
  5.11  added to the agency's budget base.  
  5.12  $4,800,000 the first year and 
  5.13  $2,800,000 the second year are for 
  5.14  purposes of the contamination cleanup 
  5.15  and development grant program under 
  5.16  Minnesota Statutes, sections 116J.551 
  5.17  to 116J.558.  Of this appropriation, 
  5.18  $2,000,000 is a one-time appropriation 
  5.19  and is not added to the agency's budget 
  5.20  base. 
  5.21  $75,000 is for a grant to the city of 
  5.22  Lake Benton for planning costs 
  5.23  associated with a new visitor center 
  5.24  and railroad depot building.  This is a 
  5.25  one-time appropriation and is not added 
  5.26  to the agency's budget base. 
  5.27  $220,000 the first year and $220,000 
  5.28  the second year are for microenterprise 
  5.29  technical assistance under Minnesota 
  5.30  Statutes, section 116J.8745.  This is a 
  5.31  one-time appropriation and is not added 
  5.32  to the agency's budget base. 
  5.33  $50,000 in 2000 is for a grant to the 
  5.34  Chatfield brass band music lending 
  5.35  library.  The money must be used for 
  5.36  computer hardware and software to 
  5.37  catalog the music collection and create 
  5.38  a Web site.  This is a one-time 
  5.39  appropriation and must not be added to 
  5.40  the agency's budget base. 
  5.41  $50,000 in fiscal year 2000 is for a 
  5.42  one-time grant to the Duluth Economic 
  5.43  Development Authority for the purchase 
  5.44  and installation of railroad ties to 
  5.45  improve the Lake Superior Mississippi 
  5.46  Railroad scenic railway along the St. 
  5.47  Louis Bay in Duluth. 
  5.48  $100,000 is appropriated for a grant to 
  5.49  the city of Lanesboro for 
  5.50  predevelopment costs for the Root River 
  5.51  Regional Arts Center.  This is a 
  5.52  one-time appropriation and is not added 
  5.53  to the agency's budget base. 
  5.54  $50,000 the first year is for a 
  5.55  one-time grant to county and district 
  5.56  agricultural societies and associations 
  5.57  that are eligible to receive aid under 
  5.58  Minnesota Statutes, section 38.02.  The 
  5.59  commissioner shall administer this 
  5.60  appropriation pursuant to a need-based 
  5.61  competitive grant process. 
  5.62  $216,000 in the first year is for 
  5.63  one-time rural job creation grants 
  6.1   under Minnesota Statutes, section 
  6.2   469.309. 
  6.3   $450,000 is for a grant to the city of 
  6.4   Duluth to support the development of 
  6.5   the Duluth Technology Village.  The 
  6.6   grant shall be used to establish 
  6.7   international partnerships, attract 
  6.8   software businesses, recruit and train 
  6.9   workers for the software industry, and 
  6.10  support a software business incubator 
  6.11  facility.  This is a one-time 
  6.12  appropriation and is not part of the 
  6.13  agency base budget.  This appropriation 
  6.14  is not available unless matched by 
  6.15  nonstate money. 
  6.16  $150,000 the first year is for a grant 
  6.17  to the suburban Hennepin regional park 
  6.18  district for restoration of the Grimm 
  6.19  farmstead. 
  6.20  $150,000 in the first year is for a 
  6.21  one-time grant to the city of Ely for 
  6.22  rehabilitation of the Ely technical 
  6.23  building.  
  6.24  $50,000 in the first year is for a 
  6.25  one-time grant to the Highland Park 
  6.26  district council for the enhancement of 
  6.27  the West Seventh Street/Gateway area, 
  6.28  which serves as a major transportation 
  6.29  and commercial corridor for visitors 
  6.30  from the Minneapolis-St. Paul 
  6.31  International Airport, Mall of America, 
  6.32  and other destinations.  The 
  6.33  appropriation may be used to make 
  6.34  improvements to the public right-of-way 
  6.35  including, but not limited to, 
  6.36  landscaping, lighting, signage, and 
  6.37  roadway improvements.  This 
  6.38  appropriation must be matched 
  6.39  one-for-one by nonstate funds. 
  6.40  $3,000,000 in the first year is for the 
  6.41  redevelopment account under Minnesota 
  6.42  Statutes, sections 116J.561 to 
  6.43  116J.567.  The appropriation is 
  6.44  available for the biennium ending June 
  6.45  30, 2001.  This is a one-time 
  6.46  appropriation and is not added to the 
  6.47  agency's budget base. 
  6.48  $75,000 in the first year is for a 
  6.49  one-time grant to Perham Business 
  6.50  Technology Center to equip the training 
  6.51  center with interactive television and 
  6.52  for program funds to implement the 
  6.53  business plan. 
  6.54  $300,000 in the first year is for a 
  6.55  one-time grant to the city of Owatonna 
  6.56  for city infrastructure improvements. 
  6.57  Subd. 3.  Minnesota Trade Office 
  6.58       2,275,000      2,318,000
  6.59  The department shall act as the lead 
  6.60  agency in developing a plan for a 
  6.61  coordinated effort to promote Minnesota 
  7.1   internationally.  The commissioner may 
  7.2   appoint an advisory committee and may 
  7.3   seek federal and private funding to 
  7.4   develop and implement the plan. 
  7.5   Subd. 4.  Tourism 
  7.6       10,805,000     10,910,000
  7.7                 Summary by Fund
  7.8   General              10,060,000    10,144,000
  7.9   Trunk Highway           745,000       766,000
  7.10  To develop maximum private sector 
  7.11  involvement in tourism, $3,500,000 the 
  7.12  first year and $3,500,000 the second 
  7.13  year of the amounts appropriated for 
  7.14  marketing activities are contingent on 
  7.15  receipt of an equal contribution from 
  7.16  nonstate sources that have been 
  7.17  certified by the commissioner.  Up to 
  7.18  one-half of the match may be given in 
  7.19  in-kind contributions.  
  7.20  In order to maximize marketing grant 
  7.21  benefits, the commissioner must give 
  7.22  priority for joint venture marketing 
  7.23  grants to organizations with year-round 
  7.24  sustained tourism activities.  For 
  7.25  programs and projects submitted, the 
  7.26  commissioner must give priority to 
  7.27  those that encompass two or more areas 
  7.28  or that attract nonresident travelers 
  7.29  to the state. 
  7.30  If an appropriation for either year for 
  7.31  grants is not sufficient, the 
  7.32  appropriation for the other year is 
  7.33  available for it. 
  7.34  The commissioner may use grant dollars 
  7.35  or the value of in-kind services to 
  7.36  provide the state contribution for the 
  7.37  partnership program. 
  7.38  Any unexpended money from general fund 
  7.39  appropriations made under this 
  7.40  subdivision does not cancel but must be 
  7.41  placed in a special advertising account 
  7.42  for use by the office of tourism to 
  7.43  purchase additional media. 
  7.44  This appropriation may be used for a 
  7.45  grant to Minnesota Festivals and Events 
  7.46  Association for the following purposes: 
  7.47  (1) for a partnership with the 
  7.48  University of Minnesota's tourism 
  7.49  center to build the methodology for a 
  7.50  low-cost economic impact model that 
  7.51  will allow festival and event managers 
  7.52  to conduct research independently in 
  7.53  their own communities; 
  7.54  (2) to promote regional workshops to 
  7.55  increase production value and 
  7.56  professionalism for events in the 
  7.57  state, increase event service and 
  7.58  entertainment value for local 
  8.1   residents, build community awareness of 
  8.2   opportunities to generate new tourism, 
  8.3   and assure production of high quality, 
  8.4   safe, and meaningful tourism products 
  8.5   that are in line with the vision, 
  8.6   mission, and growth goals of individual 
  8.7   towns and cities in Minnesota; 
  8.8   (3) for a partnership with the 
  8.9   University of Minnesota's tourism 
  8.10  center to enhance professionalism via 
  8.11  its certified festival manager program, 
  8.12  training event managers and volunteer 
  8.13  staff to implement value-added 
  8.14  festivals and events for visitors to 
  8.15  the state; 
  8.16  (4) for a partnership with the 
  8.17  Minnesota office of tourism to publish 
  8.18  a pull-out mini-magazine advertising 
  8.19  the statewide festivals and events 
  8.20  calendar for the year; and 
  8.21  (5) to expand the Minnesota Festivals 
  8.22  and Events Association website, to 
  8.23  provide travel planners with more 
  8.24  festival and event intensive links to 
  8.25  communities hosting such activities. 
  8.26  $250,000 in the first year is for a 
  8.27  one-time grant for the purpose of the 
  8.28  Upper Red Lake business loan program.  
  8.29  $829,000 the first year and $829,000 
  8.30  the second year are for the Minnesota 
  8.31  film board.  $329,000 of this 
  8.32  appropriation in each year is available 
  8.33  only upon receipt by the board of $1 in 
  8.34  matching contributions of money or 
  8.35  in-kind from nonstate sources for every 
  8.36  $3 provided by this appropriation.  Of 
  8.37  this amount, $500,000 the first year 
  8.38  and $500,000 the second year are for 
  8.39  grants to the Minnesota film board for 
  8.40  a film production jobs fund to 
  8.41  stimulate feature film production in 
  8.42  Minnesota.  This appropriation is to 
  8.43  reimburse film producers for two to 
  8.44  five percent of documented wages which 
  8.45  they paid to Minnesotans for film 
  8.46  production after January 1, 1999. 
  8.47  $100,000 the first year is for a grant 
  8.48  to promote tourism in the Mille Lacs 
  8.49  area.  This is a one-time appropriation 
  8.50  and is not added to the agency's budget 
  8.51  base. 
  8.52  $100,000 the first year is for a 
  8.53  one-time grant to promote tourism in 
  8.54  the areas near the northern border of 
  8.55  Minnesota, including the Northwest 
  8.56  Angle. 
  8.57  $37,000 the first year is for a grant 
  8.58  to the Mississippi River parkway 
  8.59  commission.  
  8.60  Subd. 5.  Administration 
  8.61       3,897,000      3,192,000
  9.1   $750,000 the first year is appropriated 
  9.2   for enhancements to the journey travel 
  9.3   destination system.  The funds are 
  9.4   available only if matched in cash on at 
  9.5   least a dollar-for-dollar basis from 
  9.6   other sources.  This is a one-time 
  9.7   appropriation and is available until 
  9.8   spent. 
  9.9   Subd. 6.  Information and Analysis
  9.10       1,415,000      1,450,000
  9.11  Sec. 3.  MINNESOTA TECHNOLOGY, INC.    6,425,000      7,225,000
  9.12  $4,605,000 the first year and 
  9.13  $6,105,000 the second year are for 
  9.14  transfer from the general fund to the 
  9.15  Minnesota Technology, Inc. fund. 
  9.16  $70,000 the first year and $70,000 the 
  9.17  second year are for grants to Minnesota 
  9.18  Inventors Congress.  This is a one-time 
  9.19  appropriation and is not added to the 
  9.20  agency's budget base. 
  9.21  $100,000 the first year and $100,000 
  9.22  the second year are for grants to the 
  9.23  Minnesota cold weather research 
  9.24  center.  By January 15, 2001, the 
  9.25  center will report to the legislature 
  9.26  on (1) the sources and amounts of its 
  9.27  nonstate matching funds, and (2) the 
  9.28  effectiveness of its program in 
  9.29  achieving quantifiable economic 
  9.30  development benefits to the state.  
  9.31  This is a one-time appropriation and is 
  9.32  not added to the agency's budget base. 
  9.33  $700,000 the first year and $500,000 
  9.34  the second year are for grants to 
  9.35  Minnesota Project Innovation.  The 
  9.36  legislature intends for Minnesota 
  9.37  Project Innovation to move toward 
  9.38  economic self-sufficiency.  This is a 
  9.39  one-time appropriation and is not added 
  9.40  to the agency's budget base. 
  9.41  $850,000 the first year and $450,000 
  9.42  the second year are for grants to the 
  9.43  Natural Resources Research Institute.  
  9.44  This is a one-time appropriation and is 
  9.45  not added to the agency's budget base. 
  9.46  $100,000 the first year is for a 
  9.47  one-time grant to the Minnesota Council 
  9.48  for Quality. 
  9.49  Sec. 4.  ECONOMIC SECURITY  
  9.50  Subdivision 1.  Total 
  9.51  Appropriation                         46,015,000     38,674,000
  9.52                Summary by Fund
  9.53  General              39,287,000    37,446,000
  9.54  TANF Block Grant        500,000       -0- 
  9.55  Workforce
  9.56  Development Fund      6,228,000     1,228,000
 10.1   Subd. 2.  Rehabilitation Services     22,578,000     22,089,000
 10.2                 Summary by Fund
 10.3   General              21,902,000    21,913,000
 10.4   TANF                    500,000       -0-
 10.5   Workforce
 10.6   Development Fund        176,000       176,000
 10.7   $1,850,000 the first year and 
 10.8   $1,850,000 the second year are for 
 10.9   centers for independent living.  The 
 10.10  commissioner shall review the 
 10.11  allocation of this appropriation among 
 10.12  the centers for independent living and 
 10.13  consider whether unequal allocation 
 10.14  might be appropriate in subsequent 
 10.15  years. 
 10.16  $500,000 the first year is to provide 
 10.17  welfare-to-work extended employment 
 10.18  services to welfare recipients with 
 10.19  severe impairment to employment, as 
 10.20  defined in Minnesota Statutes, section 
 10.21  268A.15, subdivision 1a.  Of this 
 10.22  appropriation, up to five percent is 
 10.23  for administrative costs.  This is a 
 10.24  one-time appropriation and may not be 
 10.25  added to the budget base in the 
 10.26  biennium ending June 30, 2003.  This 
 10.27  appropriation is from the state's 
 10.28  federal TANF block grant under Public 
 10.29  Law Number 104-193 to the commissioner 
 10.30  of human services, to be transferred to 
 10.31  the commissioner of economic security.  
 10.32  This appropriation is available until 
 10.33  June 30, 2001.  
 10.34  $825,000 the first year and $827,000 
 10.35  the second year are for employment 
 10.36  support services for persons with 
 10.37  mental illness authorized under 
 10.38  Minnesota Statutes, section 268A.13.  
 10.39  $250,000 the first year and $250,000 
 10.40  the second year are for a grant to the 
 10.41  Minnesota employment center for deaf 
 10.42  and hard-of-hearing people.  Of this 
 10.43  appropriation, $50,000 each year is a 
 10.44  one-time appropriation from the 
 10.45  workforce development fund.  It is the 
 10.46  intention of the legislature that base 
 10.47  funding for this program be $250,000 in 
 10.48  the 2002-2003 biennium.  
 10.49  In fiscal year 2000 and fiscal year 
 10.50  2001, $975,000 is to increase the 
 10.51  reimbursement rates for extended 
 10.52  employment services.  Effective for 
 10.53  services rendered on or after July 1, 
 10.54  1999, the commissioner shall increase 
 10.55  by ten percent all reimbursement rates 
 10.56  under Minnesota Rules, part 3300.2035, 
 10.57  subpart 6, item A, for extended 
 10.58  employment services for persons with 
 10.59  severe disabilities or related 
 10.60  conditions under Minnesota Statutes, 
 10.61  section 268A.15.  This amount is added 
 11.1   to the agency's budget base. 
 11.2   $126,000 the first year and $126,000 
 11.3   the second year are for a grant to 
 11.4   Advocating Change Together, Inc., 
 11.5   (ACT).  This appropriation is from the 
 11.6   workforce development fund.  The grant 
 11.7   must be used for the training of 
 11.8   individuals with developmental and 
 11.9   other mental health disabilities, the 
 11.10  maintenance of related data, or 
 11.11  technical assistance for work 
 11.12  advancement or additional workforce 
 11.13  training.  No part of this grant may be 
 11.14  applied to litigation costs, or used 
 11.15  for legal advocacy or legal assistance 
 11.16  purposes.  This is a one-time 
 11.17  appropriation and is available until 
 11.18  June 30, 2001. 
 11.19  Subd. 3.  State Services for the Blind 
 11.20       6,114,000      4,817,000
 11.21  $1,400,000 the first year is 
 11.22  appropriated to convert the 
 11.23  communication center to digital 
 11.24  technology and move the radio talking 
 11.25  book program to a different frequency.  
 11.26  The funds are available only if matched 
 11.27  in cash on at least a dollar-for-dollar 
 11.28  basis from private sources.  This is a 
 11.29  one-time appropriation and is available 
 11.30  until June 30, 2001. 
 11.31  The appropriation in the second year is 
 11.32  not available until the commissioners 
 11.33  of finance and economic security have 
 11.34  reviewed the operation of the state 
 11.35  services for the blind, determined why 
 11.36  a budget deficiency occurred in fiscal 
 11.37  year 1999 and what steps should be 
 11.38  taken to prevent a future deficiency 
 11.39  and reported their findings to the 
 11.40  legislature. 
 11.41  Subd. 4.  Workforce Preparation 
 11.42      17,273,000     11,718,000
 11.43                Summary by Fund
 11.44  General              11,221,000    10,666,000
 11.45  Workforce
 11.46  Development Fund      6,052,000     1,052,000
 11.47  $775,000 the first year and $775,000 
 11.48  the second year are for job training 
 11.49  programs under Minnesota Statutes, 
 11.50  sections 268.60 to 268.64.  This 
 11.51  appropriation is from the workforce 
 11.52  development fund.  
 11.53  $2,049,000 the first year and 
 11.54  $2,054,000 the second year are for 
 11.55  displaced homemaker programs under 
 11.56  Minnesota Statutes, section 268.96.  Of 
 11.57  this appropriation, $227,000 each year 
 11.58  is a one-time appropriation from the 
 11.59  workforce development fund.  The 
 12.1   commissioner shall prepare and report 
 12.2   to the legislature a plan for a sliding 
 12.3   scale fee structure for this program. 
 12.4   Of this amount, $100,000 the first year 
 12.5   and $100,000 the second year are for 
 12.6   one-time grants to the St. Paul 
 12.7   district 5 planning council.  These 
 12.8   grants are to operate a community work 
 12.9   empowerment support group demonstration 
 12.10  project.  A project consists of 
 12.11  empowerment groups of individuals that 
 12.12  are in the process of obtaining or have 
 12.13  obtained jobs, including those in the 
 12.14  welfare-to-work programs, or are 
 12.15  working out problems of attaining 
 12.16  self-sufficiency.  The groups must 
 12.17  separately meet at least monthly for at 
 12.18  least two hours.  Each group meeting 
 12.19  must include empower mentors whose 
 12.20  responsibility will be to conduct the 
 12.21  meeting.  The sites will report to the 
 12.22  commissioner on a semiannual basis 
 12.23  regarding the progress achieved at the 
 12.24  meetings.  The purpose of the group is 
 12.25  to: 
 12.26  (1) share information among group 
 12.27  members as to the successes and 
 12.28  problems encountered in the 
 12.29  individual's employment goals; 
 12.30  (2) provide a forum for individuals 
 12.31  involved in moving to self-sufficiency 
 12.32  to share their experiences and 
 12.33  strategies and to support and empower 
 12.34  each other; and 
 12.35  (3) to provide feedback to the 
 12.36  commissioner concerning the best 
 12.37  strategies to achieve the empowerment 
 12.38  support group's objectives. 
 12.39  $5,000,000 the first year is a one-time 
 12.40  appropriation from the workforce 
 12.41  development fund to match available 
 12.42  United States Department of Labor 
 12.43  Welfare-to-Work funds.  The 
 12.44  commissioner shall explore sources of 
 12.45  noncash match for these funds.  To the 
 12.46  extent this appropriation is not needed 
 12.47  for these purposes, the balance is 
 12.48  available for the Welfare-to-Work 
 12.49  program.  
 12.50  $1,425,000 the first year and 
 12.51  $1,425,000 the second year are for 
 12.52  youth intervention programs under 
 12.53  Minnesota Statutes, section 268.30.  
 12.54  Funding from this appropriation may be 
 12.55  used to expand existing programs to 
 12.56  serve unmet needs and to create new 
 12.57  programs in underserved areas.  Of this 
 12.58  appropriation, $3,750 is for a grant to 
 12.59  the Minnesota Youth Intervention 
 12.60  Programs Association (YIPA) to provide 
 12.61  collaborative training and technical 
 12.62  assistance to community-based grantees 
 12.63  of the program. 
 12.64  $851,000 the first year and $852,000 
 12.65  the second year are for the Youthbuild 
 13.1   program under Minnesota Statutes, 
 13.2   sections 268.361 to 268.366.  Of this 
 13.3   amount, $100,000 in the first year and 
 13.4   $100,000 in the second year are 
 13.5   one-time appropriations from the 
 13.6   workforce development fund for the 
 13.7   YOUTHBUILD technical program under 
 13.8   Minnesota Statutes, section 268.368.  A 
 13.9   Minnesota YOUTHBUILD program funded 
 13.10  under this section as authorized in 
 13.11  Minnesota Statutes, sections 268.361 to 
 13.12  268.367, qualifies as an approved 
 13.13  training program under Minnesota Rules, 
 13.14  part 5200.0930, subpart 1. 
 13.15  $116,000 the first year and $116,000 
 13.16  the second year are appropriated for 
 13.17  youth violence prevention programs to 
 13.18  match the federal juvenile 
 13.19  accountability incentive block grant.  
 13.20  This is a one-time appropriation. 
 13.21  Notwithstanding Minnesota Statutes, 
 13.22  section 268.022, subdivision 2, the 
 13.23  commissioner of finance shall transfer 
 13.24  to the general fund from the dedicated 
 13.25  fund on June 25, 1999, $29,000,000 of 
 13.26  the money collected through the special 
 13.27  assessment established in Minnesota 
 13.28  Statutes, section 268.022, subdivision 
 13.29  1.  This paragraph is effective the day 
 13.30  following final enactment. 
 13.31  $572,000 in the first year is for 
 13.32  enterprise zone incentive grants under 
 13.33  Minnesota Statutes, section 469.305.  
 13.34  Subd. 5.  Workforce Exchange 
 13.35          50,000         50,000
 13.36  The commissioner of economic security 
 13.37  is directed to prepare a plan to reduce 
 13.38  the number of line managers and reduce 
 13.39  the costs of operation in workforce 
 13.40  centers.  The legislature finds it 
 13.41  unacceptable to have up to five 
 13.42  managers in individual workforce 
 13.43  centers. 
 13.44  $50,000 the first year and $50,000 the 
 13.45  second year are for asset preservation 
 13.46  and facility repair. 
 13.47  $348,625 the first year is for systems 
 13.48  development for electronic commerce to 
 13.49  improve communication with customers of 
 13.50  the job service and reemployment 
 13.51  insurance program.  In accordance with 
 13.52  Minnesota Statutes, section 268.194, 
 13.53  subdivision 5, this money is a one-time 
 13.54  appropriation from federal money made 
 13.55  available specifically for that purpose 
 13.56  under United States Code, title 42, 
 13.57  section 1103, also known as the "Reed 
 13.58  Act."  This appropriation is available 
 13.59  for the biennium ending June 30, 2001. 
 13.60  $2,000,000 the first year and 
 13.61  $2,000,000 the second year is for 
 13.62  systems development for electronic 
 14.1   commerce in the reemployment insurance 
 14.2   program to improve communication with 
 14.3   employers.  In accordance with 
 14.4   Minnesota Statutes, section 268.194, 
 14.5   subdivision 5, this money is a one-time 
 14.6   appropriation from federal money to be 
 14.7   made available specifically for that 
 14.8   purpose under United States Code, title 
 14.9   42, section 1103, also known as the 
 14.10  "Reed Act," and section 5403 of the 
 14.11  federal Balanced Budget Act of 1997.  
 14.12  Each annual appropriation is available 
 14.13  for the biennium ending June 30, 2001. 
 14.14  Sec. 5.  HOUSING FINANCE AGENCY       74,770,000     45,770,000
 14.15                Summary by Fund
 14.16  General              70,770,000    43,270,000
 14.17  TANF                  4,000,000     2,500,000
 14.18  Subdivision 1.  Total Appropriation 
 14.19  The amounts that may be spent from this 
 14.20  appropriation for certain programs are 
 14.21  specified in the following subdivisions.
 14.22  This appropriation is for transfer to 
 14.23  the housing development fund for the 
 14.24  programs specified.  Except as 
 14.25  otherwise indicated, this transfer is 
 14.26  part of the agency's permanent budget 
 14.27  base. 
 14.28  Subd. 2.  Challenge Program 
 14.29  $20,000,000 is appropriated for 
 14.30  transfer to the housing development 
 14.31  fund for the economic development and 
 14.32  housing challenge program created by 
 14.33  Minnesota Statutes, section 462A.33.  
 14.34  This is a one-time appropriation and is 
 14.35  not added to the agency's permanent 
 14.36  base. 
 14.37  Subd. 3.  Rental Assistance for Mentally Ill 
 14.38  $1,700,000 the first year and 
 14.39  $1,700,000 the second year are for a 
 14.40  rental housing assistance program for 
 14.41  persons with a mental illness or 
 14.42  families with an adult member with a 
 14.43  mental illness under Minnesota 
 14.44  Statutes, section 462A.2097. 
 14.45  Subd. 4.  Family Homeless Prevention 
 14.46  $3,250,000 the first year and 
 14.47  $3,250,000 the second year is for the 
 14.48  family homeless prevention and 
 14.49  assistance program under Minnesota 
 14.50  Statutes, section 462A.204, and is 
 14.51  available until June 30, 2001.  Of this 
 14.52  amount, $1,875,000 the first year and 
 14.53  $375,000 the second year is from the 
 14.54  state's federal TANF block grant under 
 14.55  Title I of Public Law Number 104-193 to 
 14.56  the commissioner of human services, to 
 14.57  reimburse the housing development fund 
 14.58  for assistance under this program for 
 15.1   families receiving TANF assistance 
 15.2   under the MFIP program.  The 
 15.3   commissioner of human services shall 
 15.4   make monthly reimbursements to the 
 15.5   housing development fund.  The 
 15.6   commissioner of human services shall 
 15.7   not make any reimbursement which the 
 15.8   commissioner determines would be 
 15.9   subject to a penalty under Code of 
 15.10  Federal Regulations, section 262.1.  
 15.11  $100,000 of the total grants made to 
 15.12  Hennepin county from this appropriation 
 15.13  is for grants to organizations 
 15.14  providing case management for persons 
 15.15  that need assistance to rehabilitate 
 15.16  their rent history and find rental 
 15.17  housing.  Case management services 
 15.18  include, but are not limited to, 
 15.19  assisting tenants in correcting tenant 
 15.20  screening reports, providing intensive 
 15.21  training and certification for tenants, 
 15.22  creating a bonding program to encourage 
 15.23  landlords to accept high-risk tenants 
 15.24  with poor rent histories, paying 
 15.25  security deposits for high-risk 
 15.26  tenants, and agreeing to pay landlord 
 15.27  expenses for filing unlawful detainer 
 15.28  actions.  If the appropriation in 
 15.29  either year is insufficient, the 
 15.30  appropriation for the other year is 
 15.31  available.  It is the intention of the 
 15.32  legislature that the general fund base 
 15.33  funding to this program be $6,500,000 
 15.34  for the 2002-2003 biennium. 
 15.35  Subd. 5.  Mortgage Foreclosure
 15.36  Prevention
 15.37  $583,000 the first year and $583,000 
 15.38  the second year are for the mortgage 
 15.39  foreclosure prevention and assistance 
 15.40  program under Minnesota Statutes, 
 15.41  section 462A.207. 
 15.42  Subd. 6.  Rental Assistance for
 15.43  Family Stabilization 
 15.44  $2,125,000 the first year and 
 15.45  $2,125,000 the second year are 
 15.46  appropriated from the state's federal 
 15.47  TANF block grant under Title I of 
 15.48  Public Law Number 104-193 to the 
 15.49  commissioner of human services, to 
 15.50  reimburse the housing development fund 
 15.51  for rent subsidies provided to families 
 15.52  receiving TANF assistance from the MFIP 
 15.53  program under the rent assistance for 
 15.54  family stabilization program under 
 15.55  Minnesota Statutes, section 462A.205.  
 15.56  The commissioner of human services 
 15.57  shall make monthly reimbursements to 
 15.58  the housing development fund.  The 
 15.59  commissioner of human services shall 
 15.60  not make any reimbursement which the 
 15.61  commissioner determines would be 
 15.62  subject to a penalty under Code of 
 15.63  Federal Regulations, section 262.1.  If 
 15.64  the appropriation in either year is 
 15.65  insufficient, the appropriation for the 
 15.66  other year is available.  It is the 
 15.67  intention of the legislature that the 
 16.1   general fund base funding for this 
 16.2   program be $2,000,000 per year for the 
 16.3   2002-2003 biennium. 
 16.4   Subd. 7.  Housing Trust Fund
 16.5   $2,348,000 the first year and 
 16.6   $2,348,000 the second year are for the 
 16.7   housing trust fund to be deposited in 
 16.8   the housing trust fund account created 
 16.9   under Minnesota Statutes, section 
 16.10  462A.201, and used for the purposes 
 16.11  provided in that section.  Of this 
 16.12  amount, $550,000 each year must be used 
 16.13  for transitional housing. 
 16.14  Subd. 8.  Affordable Rental Investment Fund
 16.15  $21,493,000 the first year and 
 16.16  $21,493,000 the second year are for the 
 16.17  affordable rental investment fund 
 16.18  program under Minnesota Statutes, 
 16.19  section 462A.21, subdivision 8b.  Of 
 16.20  this amount, $15,000,000 the first year 
 16.21  and $15,000,000 the second year are to 
 16.22  finance the acquisition, 
 16.23  rehabilitation, and debt restructuring 
 16.24  of federally assisted rental property 
 16.25  and for making equity take-out loans 
 16.26  under Minnesota Statutes, section 
 16.27  462A.05, subdivision 39.  The owner of 
 16.28  the federally assisted rental property 
 16.29  must agree to participate in the 
 16.30  applicable federally assisted housing 
 16.31  program and to extend any existing 
 16.32  low-income affordability restrictions 
 16.33  on the housing for the maximum term 
 16.34  permitted.  The owner must also enter 
 16.35  into an agreement that gives local 
 16.36  units of government, housing and 
 16.37  redevelopment authorities, and 
 16.38  nonprofit housing organizations the 
 16.39  right of first refusal if the rental 
 16.40  property is offered for sale.  Priority 
 16.41  must be given among comparable 
 16.42  properties to properties with the 
 16.43  longest remaining term under an 
 16.44  agreement for federal rental 
 16.45  assistance.  Priority must also be 
 16.46  given among comparable rental housing 
 16.47  developments to developments that are 
 16.48  or will be owned by local government 
 16.49  units, a housing and redevelopment 
 16.50  authority, or a nonprofit housing 
 16.51  organization.  Of this appropriation, 
 16.52  $5,000,000 in each year is a one-time 
 16.53  appropriation and is not added to the 
 16.54  agency's permanent base.  
 16.55  To the extent practicable, this 
 16.56  appropriation shall be used so that an 
 16.57  approximately equal number of housing 
 16.58  units are financed in the metropolitan 
 16.59  area, as defined in Minnesota Statutes, 
 16.60  section 473.121, subdivision 2, and in 
 16.61  the nonmetropolitan area. 
 16.62  Subd. 9.  Urban Indian Housing Program
 16.63  No appropriation is made for the urban 
 16.64  Indian housing program under Minnesota 
 17.1   Statutes, section 462A.07, subdivision 
 17.2   15.  It is the intention of the 
 17.3   legislature that the agency will use 
 17.4   accumulated reserves to fund this 
 17.5   program in the 2000-2001 biennium.  The 
 17.6   base of $187,000 per year is intended 
 17.7   to be restored in fiscal year 2002 and 
 17.8   beyond. 
 17.9   Subd. 10.  Tribal Indian Housing Program
 17.10  $1,683,000 the first year and 
 17.11  $1,683,000 the second year are for the 
 17.12  tribal Indian housing program under 
 17.13  Minnesota Statutes, section 462A.07, 
 17.14  subdivision 14.  
 17.15  Subd. 11.  Rural and Urban Homesteading
 17.16  $186,000 the first year and $186,000 
 17.17  the second year are for the Minnesota 
 17.18  rural and urban homesteading program 
 17.19  under Minnesota Statutes, section 
 17.20  462A.057.  
 17.21  Subd. 12.  Capacity Building Grants 
 17.22  $240,000 the first year and $240,000 
 17.23  the second year are for nonprofit 
 17.24  capacity building grants under 
 17.25  Minnesota Statutes, section 462A.21, 
 17.26  subdivision 3b.  
 17.27  Subd. 13.  Community Rehabilitation Program 
 17.28  $6,175,000 the first year and 
 17.29  $6,175,000 the second year are for the 
 17.30  community rehabilitation program under 
 17.31  Minnesota Statutes, section 462A.206.  
 17.32  Of this appropriation, $1,000,000 in 
 17.33  each year is a one-time appropriation 
 17.34  and is not added to the agency's budget 
 17.35  base.  
 17.36  Priority will be given to a proposal 
 17.37  from a community in which the existing 
 17.38  housing is predominantly manufactured 
 17.39  housing and the proposal seeks funds to 
 17.40  revitalize the community through the 
 17.41  use of improved manufactured housing 
 17.42  and to leverage available federal funds.
 17.43  Of this appropriation, $50,000 the 
 17.44  first year and $50,000 the second year 
 17.45  must be used to make grants to a 
 17.46  statewide organization that advocates 
 17.47  on behalf of persons with mental 
 17.48  retardation or related conditions.  The 
 17.49  grants must be used to provide entry 
 17.50  cost assistance, prepurchase and 
 17.51  postpurchase counseling to persons with 
 17.52  various disabilities who are 
 17.53  participating in the Fannie Mae 
 17.54  Homechoice demonstration project and 
 17.55  other projects designed to encourage 
 17.56  home ownership among persons with 
 17.57  disabilities.  
 17.58  Of this appropriation, $275,000 the 
 17.59  first year and $275,000 the second year 
 17.60  are for full-cycle home ownership and 
 17.61  purchase-rehabilitation lending 
 18.1   initiatives under Minnesota Statutes, 
 18.2   section 462A.21, subdivision 25. 
 18.3   Subd. 14.  Housing Rehabilitation
 18.4   and Accessibility
 18.5   $4,287,000 the first year and 
 18.6   $4,287,000 the second year are for the 
 18.7   housing rehabilitation and 
 18.8   accessibility program under Minnesota 
 18.9   Statutes, section 462A.05, subdivisions 
 18.10  14a and 15a. 
 18.11  Subd. 15.  Home Ownership
 18.12  Assistance Fund
 18.13  $900,000 the first year and $900,000 
 18.14  the second year are for the home 
 18.15  ownership assistance fund under 
 18.16  Minnesota Statutes, section 462A.21, 
 18.17  subdivision 8.  
 18.18  Subd. 16.  Employer Matching Grants
 18.19  $800,000 in the first year and $800,000 
 18.20  in the second year are for the employer 
 18.21  matching grant program under Minnesota 
 18.22  Statutes, section 462A.2092.  
 18.23  Subd. 17.  School Stability Project 
 18.24  $1,000,000 the first year is for the 
 18.25  school stability project under 
 18.26  Minnesota Statutes, section 462A.204, 
 18.27  subdivision 8.  This is a one-time 
 18.28  appropriation and is not added to the 
 18.29  agency's permanent base. 
 18.30  Subd. 18.  Innovative and Inclusionary
 18.31  Housing Program 
 18.32  $8,000,000 the first year is for 
 18.33  innovative and inclusionary housing 
 18.34  programs.  $4,000,000 of this 
 18.35  appropriation is for the 
 18.36  nonmetropolitan innovative and 
 18.37  inclusionary housing program under 
 18.38  Minnesota Statutes, section 462A.2093.  
 18.39  $4,000,000 of this appropriation is for 
 18.40  transfer to the metropolitan council 
 18.41  for deposit in the inclusionary housing 
 18.42  account created in Minnesota Statutes, 
 18.43  section 473.251.  The metropolitan 
 18.44  council may use this transfer only for 
 18.45  projects that are consistent with 
 18.46  Minnesota Statutes, section 473.255.  
 18.47  This is a one-time appropriation and is 
 18.48  not added to the agency's permanent 
 18.49  base. 
 18.50  Subd. 19.  Cancellations 
 18.51  The unobligated and unencumbered 
 18.52  balance in the contract for deed 
 18.53  guarantee account under Minnesota 
 18.54  Statutes, section 462A.2091 is 
 18.55  transferred to the full cycle 
 18.56  homeownership services program under 
 18.57  section 462A.209. 
 18.58  The unobligated and unencumbered 
 19.1   balance appropriated to the advisory 
 19.2   task force on lead hazard reduction 
 19.3   established under Laws 1997, chapter 
 19.4   200, article 4, section 1, is 
 19.5   transferred to the housing 
 19.6   rehabilitation and accessibility 
 19.7   program under Minnesota Statutes, 
 19.8   section 462A.05, subdivisions 14a and 
 19.9   15a, for use in the emergency loan 
 19.10  fund.  Priority for the use of these 
 19.11  funds shall be given to emergency loans 
 19.12  and grants for lead hazard reduction. 
 19.13  The unobligated and unencumbered 
 19.14  balance appropriated to the community 
 19.15  rehabilitation fund account under Laws 
 19.16  1997, chapter 200, article 1, section 
 19.17  6, for grants to acquire, demolish, and 
 19.18  remove substandard multiple-unit 
 19.19  residential property or acquire, 
 19.20  rehabilitate, and reconfigure 
 19.21  multiple-unit residential rental 
 19.22  property is transferred on July 1, 
 19.23  2000, to the affordable rental 
 19.24  investment fund program under Minnesota 
 19.25  Statutes, section 462A.21, subdivision 
 19.26  8b. 
 19.27  Sec. 6.  COMMERCE 
 19.28  Subdivision 1.  Total 
 19.29  Appropriation                         18,927,000     17,460,000
 19.30                Summary by Fund
 19.31  General              17,245,000    15,831,000
 19.32  Petro Cleanup         1,015,000     1,045,000 
 19.33  Workers'
 19.34  Compensation            567,000       584,000
 19.35  Special Revenue         100,000       -0-  
 19.36  The amounts that may be spent from this 
 19.37  appropriation for each program are 
 19.38  specified in the following subdivisions.
 19.39  Subd. 2.  Financial Examinations 
 19.40       3,963,000      4,052,000
 19.41  Subd. 3.  Registration and Insurance 
 19.42       4,916,000      4,934,000
 19.43                Summary by Fund
 19.44  General               4,249,000     4,350,000
 19.45  Workers' 
 19.46  Compensation            567,000       584,000
 19.47  Special Revenue         100,000       -0-
 19.48  $100,000 the first year is from the 
 19.49  real estate education, research, and 
 19.50  recovery account for the purposes of an 
 19.51  educational campaign aimed at stopping 
 19.52  the fraudulent practice known commonly 
 19.53  as mortgage flipping.  The department 
 20.1   is directed to develop a public 
 20.2   awareness campaign targeted to the 
 20.3   communities hardest hit by this 
 20.4   practice.  The department is further 
 20.5   directed to solicit contributions to 
 20.6   this campaign from trade organizations, 
 20.7   banks, mortgage companies, and 
 20.8   foundations to supplement the program.  
 20.9   The materials shall be prepared in 
 20.10  multiple languages as necessary.  The 
 20.11  appropriation is available until 
 20.12  expended and any contributions received 
 20.13  are available for the educational 
 20.14  campaign described in this section.  
 20.15  Subd. 4.  Enforcement and Licensing 
 20.16       4,355,000      4,296,000
 20.17  Subd. 5.  Petroleum Tank Release 
 20.18  Cleanup Board 
 20.19       1,015,000      1,045,000
 20.20  This appropriation is from the 
 20.21  petroleum tank release cleanup fund. 
 20.22  Subd. 6.  Administrative Services 
 20.23       4,678,000      3,133,000 
 20.24  $1,400,000 the first year is a one-time 
 20.25  appropriation to redesign and 
 20.26  re-engineer the department's data base. 
 20.27  $90,000 the first year is a one-time 
 20.28  appropriation for expanding website 
 20.29  capabilities.  
 20.30  Sec. 7.  BOARD OF ACCOUNTANCY            607,000        624,000
 20.31  Sec. 8.  BOARD OF ARCHITECTURE,
 20.32  ENGINEERING, LAND SURVEYING, 
 20.33  LANDSCAPE ARCHITECTURE, AND 
 20.34  INTERIOR DESIGN                          770,000        794,000 
 20.35  $21,000 is appropriated from the 
 20.36  general fund and is added to the 
 20.37  appropriations in Laws 1997, chapter 
 20.38  200, section 9, for board operations.  
 20.39  This added appropriation is effective 
 20.40  the day following final enactment. 
 20.41  Sec. 9.  BOARD OF BARBER   
 20.42  EXAMINERS                                144,000        149,000
 20.43  Sec. 10.  BOARD OF BOXING                 84,000          -0-
 20.44  Sec. 11.  LABOR AND INDUSTRY 
 20.45  Subdivision 1.  Total             
 20.46  Appropriation                         24,608,000     24,962,000
 20.47                Summary by Fund
 20.48  General               3,736,000     3,913,000
 20.49  Workers'     
 20.50  Compensation         20,107,000    20,270,000
 20.51  Workforce 
 21.1   Development Fund        765,000       779,000
 21.2   The amounts that may be spent from this 
 21.3   appropriation for each program are 
 21.4   specified in the following subdivisions.
 21.5   Subd. 2.  Workers' Compensation
 21.6       10,586,000     10,833,000
 21.7   This appropriation is from the workers' 
 21.8   compensation fund. 
 21.9   $125,000 the first year and $125,000 
 21.10  the second year is for grants to the 
 21.11  Vinland Center for rehabilitation 
 21.12  service. 
 21.13  Subd. 3.  Workplace Services 
 21.14       7,476,000      7,759,000
 21.15                Summary by Fund
 21.16  General               2,672,000     2,844,000
 21.17  Workers'
 21.18  Compensation          4,039,000     4,136,000
 21.19  Workforce 
 21.20  Development Fund        765,000       779,000 
 21.21  $204,000 the first year and $204,000 
 21.22  the second year are for labor education 
 21.23  and advancement program grants.  The 
 21.24  commissioner must report to the 
 21.25  legislature by February 15, 2000, on 
 21.26  the success of the program in placing 
 21.27  and retaining participants.  This 
 21.28  appropriation is from the workforce 
 21.29  development fund. 
 21.30  Subd. 4.  General Support 
 21.31       6,546,000      6,370,000
 21.32                Summary by Fund
 21.33  General               1,064,000     1,069,000
 21.34  Workers'     
 21.35  Compensation          5,482,000     5,301,000
 21.36  Sec. 12.  BUREAU OF MEDIATION SERVICES 
 21.37  Subdivision 1.  Total
 21.38  Appropriation                          2,130,000      2,180,000
 21.39  The amounts that may be spent from this 
 21.40  appropriation for each program are 
 21.41  specified in the following subdivisions.
 21.42  Subd. 2.  Mediation Services 
 21.43       1,712,000      1,759,000
 21.44  Subd. 3.  Labor Management Cooperation Grants
 21.45         302,000        302,000
 21.46  $302,000 each year is for grants to 
 22.1   area labor-management committees.  Any 
 22.2   unencumbered balance remaining at the 
 22.3   end of the first year does not cancel 
 22.4   but is available for the second year. 
 22.5   Subd. 4.  Office of Dispute Resolution
 22.6          116,000        119,000
 22.7   Sec. 13.  WORKERS' COMPENSATION
 22.8   COURT OF APPEALS                       1,543,000      1,585,000
 22.9   This appropriation is from the workers' 
 22.10  compensation fund. 
 22.11  Sec. 14.  LABOR INTERPRETIVE 
 22.12  CENTER                                   200,000        200,000
 22.13  It is the intention of the legislature 
 22.14  that the Center will increase the 
 22.15  nonstate share of its operating budget. 
 22.16  Sec. 15.  PUBLIC UTILITIES  
 22.17  COMMISSION                             3,781,000      3,880,000
 22.18  Sec. 16.  DEPARTMENT OF PUBLIC SERVICE 
 22.19  Subdivision 1.  Total       
 22.20  Appropriation                          9,604,000      9,814,000
 22.21  The amounts that may be spent from this 
 22.22  appropriation for each program are 
 22.23  specified in the following subdivisions.
 22.24  Subd. 2.  Telecommunications
 22.25         962,000        980,000
 22.26  Subd. 3.  Weights and Measures 
 22.27       3,138,000      3,207,000
 22.28  Subd. 4.  Information and Operations 
 22.29  Management 
 22.30       1,584,000      1,627,000
 22.31  Subd. 5.  Energy 
 22.32       3,920,000      4,000,000
 22.33  $588,000 each year is for transfer to 
 22.34  the energy and conservation account 
 22.35  established in Minnesota Statutes, 
 22.36  section 216B.241, subdivision 2a, for 
 22.37  programs administered by the 
 22.38  commissioner of children, families, and 
 22.39  learning to improve the energy 
 22.40  efficiency of residential oil-fired 
 22.41  heating plants in low-income households 
 22.42  and, when necessary, to provide 
 22.43  weatherization services to the homes. 
 22.44  Sec. 17.  MINNESOTA HISTORICAL 
 22.45  SOCIETY 
 22.46  Subdivision 1.  Total       
 22.47  Appropriation                         24,934,000     27,794,000
 22.48  The amounts that may be spent from this 
 22.49  appropriation for each program are 
 23.1   specified in the following subdivisions.
 23.2   Subd. 2.  Education and     
 23.3   Outreach                              12,669,000     12,812,000
 23.4   $80,000 the first year is for partial 
 23.5   operating expenses at the Northwest Fur 
 23.6   Company Post. 
 23.7   Subd. 3.  Preservation and Access
 23.8        9,318,000      9,479,000
 23.9   $25,000 the first year and $25,000 the 
 23.10  second year are for historic site 
 23.11  repair and maintenance.  
 23.12  Subd. 4.  Information Program 
 23.13  Delivery 
 23.14       2,341,000      2,155,000
 23.15  Subd. 5.  Fiscal Agent
 23.16  General                   606,000        348,000
 23.17  (a) Sibley House Association 
 23.18          88,000         88,000
 23.19  This appropriation is available for 
 23.20  operation and maintenance of the Sibley 
 23.21  House and related buildings on the Old 
 23.22  Mendota state historic site operated by 
 23.23  the Sibley House Association.  
 23.24  (b) Minnesota International Center 
 23.25          50,000         50,000
 23.26  (c) Minnesota Air National   
 23.27  Guard Museum 
 23.28          19,000        -0-
 23.29  (d) Institute for Learning and
 23.30  Teaching - Project 120
 23.31         110,000        110,000 
 23.32  (e) Minnesota Military Museum
 23.33          29,000        -0-
 23.34  (f) Farmamerica
 23.35         100,000        100,000 
 23.36  Notwithstanding any other law, this 
 23.37  appropriation may be used for 
 23.38  operations. 
 23.39  (g) Winona County Historical Society
 23.40          10,000        -0-
 23.41  This is a one-time appropriation and is 
 23.42  not added to the agency's budget base. 
 23.43  (h) Historic Building Relocation
 24.1           100,000                  
 24.2   $100,000 is for a grant to the city of 
 24.3   Maplewood for the costs of acquiring 
 24.4   land, developing a site, relocating 
 24.5   certain buildings onto the site, and 
 24.6   renovating the buildings.  The 
 24.7   buildings to be acquired, relocated, 
 24.8   and renovated are the home, barn, 
 24.9   granary, and windmill on the Bruentrup 
 24.10  farm site, the last working farm in 
 24.11  Ramsey county.  The grant must not be 
 24.12  made until the director of the 
 24.13  Minnesota historical society has 
 24.14  determined that an equal amount in cash 
 24.15  or in-kind has been committed from 
 24.16  nonstate sources and the city of 
 24.17  Maplewood has passed a resolution 
 24.18  approving the project.  The 
 24.19  appropriation is available the day 
 24.20  following final enactment and until 
 24.21  June 30, 2000.  
 24.22  (i) Fishing Museum
 24.23            50,000                 
 24.24  $50,000 is for a grant to the city of 
 24.25  Little Falls for planning in connection 
 24.26  with the establishment of a museum of 
 24.27  fishing-related artifacts, equipment, 
 24.28  and memorabilia and an environmental 
 24.29  education center.  This appropriation 
 24.30  is available until spent.  This is a 
 24.31  one-time appropriation and is not added 
 24.32  to the agency's budget base. 
 24.33  (j) $50,000 is to refurbish the Fridley 
 24.34  historical museum in Fridley.  This is 
 24.35  a one-time appropriation and is not 
 24.36  added to the agency's budget base. 
 24.37  (k) Balances Forward
 24.38  Any unencumbered balance remaining in 
 24.39  this subdivision the first year does 
 24.40  not cancel but is available for the 
 24.41  second year of the biennium. 
 24.42  Sec. 18.  MINNESOTA MUNICIPAL
 24.43  BOARD                                    162,000           -0- 
 24.44  Sec. 19.  COUNCIL ON BLACK
 24.45  MINNESOTANS                              320,000        329,000
 24.46  $25,000 each year is for expenses 
 24.47  associated with the Dr. Martin Luther 
 24.48  King Day activities. 
 24.49  Sec. 20.  COUNCIL ON 
 24.50  CHICANO-LATINO AFFAIRS                   314,000        324,000
 24.51  Sec. 21.  COUNCIL ON
 24.52  ASIAN-PACIFIC MINNESOTANS                277,000        286,000
 24.53  Sec. 22.  INDIAN AFFAIRS
 24.54  COUNCIL                                  551,000        567,000
 24.55  Sec. 23.  OFFICE OF STRATEGIC AND
 24.56  LONG-RANGE PLANNING                      161,000        327,000 
 25.1   To assume administrative 
 25.2   responsibilities resulting from the 
 25.3   sunset of the municipal board under 
 25.4   Laws 1997, chapter 202, article 5, 
 25.5   section 8. 
 25.6   Sec. 24.  MILITARY AFFAIRS               50,000        50,000 
 25.7   $50,000 the first year and $50,000 the 
 25.8   second year is for the purpose of 
 25.9   coordinating agreements with community 
 25.10  empowerment support groups for the use 
 25.11  of the military training center and 
 25.12  related personnel at Camp Ripley for 
 25.13  providing what are commonly referred to 
 25.14  as "soft skill" job skills training to 
 25.15  people, including those who are 
 25.16  expected to make the transition from 
 25.17  welfare to work.  "Soft skills" include 
 25.18  such things as being punctual and 
 25.19  following directions.  The adjutant 
 25.20  general may enter into contracts with 
 25.21  other state departments and local 
 25.22  agencies for the purpose of using the 
 25.23  facilities at Camp Ripley and staff to 
 25.24  provide that training.  This is a 
 25.25  one-time appropriation and may not be 
 25.26  added to the budget base for the 
 25.27  biennium ending June 30, 2001.  
 25.28  Sec. 25.  ADMINISTRATION                 20,000           -0-
 25.29  To the commissioner of administration 
 25.30  for the low-income energy task force 
 25.31  study and report required by article 2, 
 25.32  section 75. 
 25.33                             ARTICLE 2 
 25.34                           MISCELLANEOUS 
 25.35     Section 1.  Minnesota Statutes 1998, section 45.0295, is 
 25.36  amended to read: 
 25.37     45.0295 [FEES.] 
 25.38     (a) The following fees shall be paid to the commissioner: 
 25.39     (1) ~~for a letter of certification of licensure, $20;~~ 
 25.40     ~~(2) for a license history, $20;~~ 
 25.41     ~~(3) for a duplicate license, $10;~~ 
 25.42     ~~(4) for a change of name or address, $10;~~ 
 25.43     ~~(5) for a temporary license, $10;~~ 
 25.44     ~~(6)~~ for each hour or fraction of one hour of course 
 25.45  approval for continuing education sought, $10; and 
 25.46     ~~(7)~~ (2) for each continuing education course coordinator 
 25.47  approval, $100. 
 25.48     (b) All fees paid to the commissioner under this section 
 25.49  are nonrefundable, except that an overpayment of a fee shall be 
 26.1   returned upon proper application. 
 26.2      Sec. 2.  Minnesota Statutes 1998, section 53A.03, is 
 26.3   amended to read: 
 26.4      53A.03 [APPLICATION FOR LICENSE; FEES.] 
 26.5      (a) An application for a license must be in writing, under 
 26.6   oath, and in the form prescribed and furnished by the 
 26.7   commissioner and must contain the following: 
 26.8      (1) the full name and address (both of residence and place 
 26.9   of business) of the applicant, and if the applicant is a 
 26.10  partnership or association, of every member, and the name and 
 26.11  business address if the applicant is a corporation; 
 26.12     (2) the county and municipality, with street and number, if 
 26.13  any, of all currency exchange locations operated by the 
 26.14  applicant; and 
 26.15     (3) the applicant's occupation or profession, for the ten 
 26.16  years immediately preceding the application; present or previous 
 26.17  connection with any other currency exchange in this or any other 
 26.18  state; whether the applicant has ever been convicted of any 
 26.19  crime; and the nature of the applicant's occupancy of the 
 26.20  premises to be licensed; and if the applicant is a partnership 
 26.21  or a corporation, the information specified in this paragraph 
 26.22  must be supplied for each partner and each officer and director 
 26.23  of the corporation.  If the applicant is a partnership or a 
 26.24  nonpublicly held corporation, the information specified in this 
 26.25  paragraph must be required of each partner and each officer, 
 26.26  director, and stockholders owning in excess of ten percent of 
 26.27  the corporate stock of the corporation.  
 26.28     (b) The application shall be accompanied by a nonrefundable 
 26.29  fee of ~~$250~~ $1,000 for the review of the initial application.  
 26.30  Upon approval by the commissioner, an additional license fee 
 26.31  of ~~$50~~ $500 must be paid by the applicant as an annual license 
 26.32  fee for the remainder of the calendar year.  An annual license 
 26.33  fee of ~~$50~~ $500 is due for each subsequent calendar year of 
 26.34  operation upon submission of a license renewal application on or 
 26.35  before September 1.  Fees must be deposited in the state 
 26.36  treasury and credited to the general fund.  Upon payment of the 
 27.1   required annual license fee, the commissioner shall issue a 
 27.2   license for the year beginning January 1. 
 27.3      (c) The commissioner shall require the applicant to submit 
 27.4   to a background investigation conducted by the bureau of 
 27.5   criminal apprehension as a condition of licensure.  As part of 
 27.6   the background investigation, the bureau of criminal 
 27.7   apprehension shall conduct criminal history checks of Minnesota 
 27.8   records and is authorized to exchange fingerprints with the 
 27.9   Federal Bureau of Investigation for the purpose of a criminal 
 27.10  background check of the national files.  The cost of the 
 27.11  investigation must be paid by the applicant. 
 27.12     (d) For purposes of this section, "applicant" includes an 
 27.13  employee who exercises management or policy control over the 
 27.14  company, a director, an officer, a limited or general partner, a 
 27.15  manager, or a shareholder holding more than ten percent of the 
 27.16  outstanding stock of the corporation. 
 27.17     Sec. 3.  Minnesota Statutes 1998, section 53A.05, 
 27.18  subdivision 1, is amended to read: 
 27.19     Subdivision 1.  [NAME OR LOCATION.] If a licensee proposes 
 27.20  to change the name or location of any or all of its currency 
 27.21  exchanges, the licensee shall file an application for approval 
 27.22  of the change with the commissioner.  The commissioner shall not 
 27.23  approve a change of location if the requirements of sections 
 27.24  53A.02, subdivision 2, and 53A.04 have not been satisfied.  If 
 27.25  the change is approved by the commissioner, the commissioner 
 27.26  shall issue an amended license in the licensee's new name or 
 27.27  location.  A ~~$50~~ $100 fee must be paid for the amended license. 
 27.28     Sec. 4.  Minnesota Statutes 1998, section 60A.14, 
 27.29  subdivision 1, is amended to read: 
 27.30     Subdivision 1.  [FEES OTHER THAN EXAMINATION FEES.] In 
 27.31  addition to the fees and charges provided for examinations, the 
 27.32  following fees must be paid to the commissioner for deposit in 
 27.33  the general fund: 
 27.34     (a) by township mutual fire insurance companies: 
 27.35     (1) for filing certificate of incorporation $25 and 
 27.36  amendments thereto, $10; 
 28.1      (2) for filing annual statements, $15; 
 28.2      (3) for each annual certificate of authority, $15; 
 28.3      (4) for filing bylaws $25 and amendments thereto, $10. 
 28.4      (b) by other domestic and foreign companies including 
 28.5   fraternals and reciprocal exchanges: 
 28.6      (1) for filing certified copy of certificate of articles of 
 28.7   incorporation, $100; 
 28.8      (2) for filing annual statement, $225; 
 28.9      (3) for filing certified copy of amendment to certificate 
 28.10  or articles of incorporation, $100; 
 28.11     (4) for filing bylaws, $75 or amendments thereto, $75; 
 28.12     (5) for each company's certificate of authority, $575, 
 28.13  annually. 
 28.14     (c) the following general fees apply: 
 28.15     (1) for each certificate, including certified copy of 
 28.16  certificate of authority, renewal, valuation of life policies, 
 28.17  corporate condition or qualification, $25; 
 28.18     (2) for each copy of paper on file in the commissioner's 
 28.19  office 50 cents per page, and $2.50 for certifying the same; 
 28.20     (3) for license to procure insurance in unadmitted foreign 
 28.21  companies, $575; 
 28.22     (4) for valuing the policies of life insurance companies, 
 28.23  one cent per $1,000 of insurance so valued, provided that the 
 28.24  fee shall not exceed $13,000 per year for any company.  The 
 28.25  commissioner may, in lieu of a valuation of the policies of any 
 28.26  foreign life insurance company admitted, or applying for 
 28.27  admission, to do business in this state, accept a certificate of 
 28.28  valuation from the company's own actuary or from the 
 28.29  commissioner of insurance of the state or territory in which the 
 28.30  company is domiciled; 
 28.31     (5) for receiving and filing certificates of policies by 
 28.32  the company's actuary, or by the commissioner of insurance of 
 28.33  any other state or territory, $50; 
 28.34     (6) for each appointment of an agent filed with the 
 28.35  commissioner, a domestic insurer shall remit $5 and all other 
 28.36  insurers shall remit $3; 
 29.1      (7) for filing forms and rates, ~~$50~~ $75 per filing; 
 29.2      (8) for annual renewal of surplus lines insurer license, 
 29.3   $300. 
 29.4      The commissioner shall adopt rules to define filings that 
 29.5   are subject to a fee. 
 29.6      Sec. 5.  Minnesota Statutes 1998, section 60A.23, 
 29.7   subdivision 8, is amended to read: 
 29.8      Subd. 8.  [SELF-INSURANCE OR INSURANCE PLAN ADMINISTRATORS 
 29.9   WHO ARE VENDORS OF RISK MANAGEMENT SERVICES.] (1)  [SCOPE.] This 
 29.10  subdivision applies to any vendor of risk management services 
 29.11  and to any entity which administers, for compensation, a 
 29.12  self-insurance or insurance plan.  This subdivision does not 
 29.13  apply (a) to an insurance company authorized to transact 
 29.14  insurance in this state, as defined by section 60A.06, 
 29.15  subdivision 1, clauses (4) and (5); (b) to a service plan 
 29.16  corporation, as defined by section 62C.02, subdivision 6; (c) to 
 29.17  a health maintenance organization, as defined by section 62D.02, 
 29.18  subdivision 4; (d) to an employer directly operating a 
 29.19  self-insurance plan for its employees' benefits; (e) to an 
 29.20  entity which administers a program of health benefits 
 29.21  established pursuant to a collective bargaining agreement 
 29.22  between an employer, or group or association of employers, and a 
 29.23  union or unions; or (f) to an entity which administers a 
 29.24  self-insurance or insurance plan if a licensed Minnesota insurer 
 29.25  is providing insurance to the plan and if the licensed insurer 
 29.26  has appointed the entity administering the plan as one of its 
 29.27  licensed agents within this state. 
 29.28     (2)  [DEFINITIONS.] For purposes of this subdivision the 
 29.29  following terms have the meanings given them. 
 29.30     (a) "Administering a self-insurance or insurance plan" 
 29.31  means (i) processing, reviewing or paying claims, (ii) 
 29.32  establishing or operating funds and accounts, or (iii) otherwise 
 29.33  providing necessary administrative services in connection with 
 29.34  the operation of a self-insurance or insurance plan. 
 29.35     (b) "Employer" means an employer, as defined by section 
 29.36  62E.02, subdivision 2. 
 30.1      (c) "Entity" means any association, corporation, 
 30.2   partnership, sole proprietorship, trust, or other business 
 30.3   entity engaged in or transacting business in this state. 
 30.4      (d) "Self-insurance or insurance plan" means a plan 
 30.5   providing life, medical or hospital care, accident, sickness or 
 30.6   disability insurance for the benefit of employees or members of 
 30.7   an association, or a plan providing liability coverage for any 
 30.8   other risk or hazard, which is or is not directly insured or 
 30.9   provided by a licensed insurer, service plan corporation, or 
 30.10  health maintenance organization. 
 30.11     (e) "Vendor of risk management services" means an entity 
 30.12  providing for compensation actuarial, financial management, 
 30.13  accounting, legal or other services for the purpose of designing 
 30.14  and establishing a self-insurance or insurance plan for an 
 30.15  employer. 
 30.16     (3)  [LICENSE.] No vendor of risk management services or 
 30.17  entity administering a self-insurance or insurance plan may 
 30.18  transact this business in this state unless it is licensed to do 
 30.19  so by the commissioner.  An applicant for a license shall state 
 30.20  in writing the type of activities it seeks authorization to 
 30.21  engage in and the type of services it seeks authorization to 
 30.22  provide.  The license may be granted only when the commissioner 
 30.23  is satisfied that the entity possesses the necessary 
 30.24  organization, background, expertise, and financial integrity to 
 30.25  supply the services sought to be offered.  The commissioner may 
 30.26  issue a license subject to restrictions or limitations upon the 
 30.27  authorization, including the type of services which may be 
 30.28  supplied or the activities which may be engaged in.  The license 
 30.29  fee is ~~$500~~ $1,000 for the initial application and ~~$500~~ $1,000 
 30.30  for each two-year renewal.  All licenses are for a period of two 
 30.31  years. 
 30.32     (4)  [REGULATORY RESTRICTIONS; POWERS OF THE COMMISSIONER.] 
 30.33  To assure that self-insurance or insurance plans are financially 
 30.34  solvent, are administered in a fair and equitable fashion, and 
 30.35  are processing claims and paying benefits in a prompt, fair, and 
 30.36  honest manner, vendors of risk management services and entities 
 31.1   administering insurance or self-insurance plans are subject to 
 31.2   the supervision and examination by the commissioner.  Vendors of 
 31.3   risk management services, entities administering insurance or 
 31.4   self-insurance plans, and insurance or self-insurance plans 
 31.5   established or operated by them are subject to the trade 
 31.6   practice requirements of sections 72A.19 to 72A.30.  In lieu of 
 31.7   an unlimited guarantee from a parent corporation for a vendor of 
 31.8   risk management services or an entity administering insurance or 
 31.9   self-insurance plans, the commissioner may accept a surety bond 
 31.10  in a form satisfactory to the commissioner in an amount equal to 
 31.11  120 percent of the total amount of claims handled by the 
 31.12  applicant in the prior year.  If at any time the total amount of 
 31.13  claims handled during a year exceeds the amount upon which the 
 31.14  bond was calculated, the administrator shall immediately notify 
 31.15  the commissioner.  The commissioner may require that the bond be 
 31.16  increased accordingly. 
 31.17     (5)  [RULEMAKING AUTHORITY.] To carry out the purposes of 
 31.18  this subdivision, the commissioner may adopt rules pursuant to 
 31.19  sections 14.001 to 14.69.  These rules may: 
 31.20     (a) establish reporting requirements for administrators of 
 31.21  insurance or self-insurance plans; 
 31.22     (b) establish standards and guidelines to assure the 
 31.23  adequacy of financing, reinsuring, and administration of 
 31.24  insurance or self-insurance plans; 
 31.25     (c) establish bonding requirements or other provisions 
 31.26  assuring the financial integrity of entities administering 
 31.27  insurance or self-insurance plans; or 
 31.28     (d) establish other reasonable requirements to further the 
 31.29  purposes of this subdivision. 
 31.30     Sec. 6.  Minnesota Statutes 1998, section 60A.71, 
 31.31  subdivision 7, is amended to read: 
 31.32     Subd. 7.  [FEES.] Each applicant for a reinsurance 
 31.33  intermediary license shall pay to the commissioner a fee of 
 31.34  ~~$160~~ $200 for an initial two-year license and a fee of ~~$120~~ $150 
 31.35  for each renewal.  Applications shall be submitted on forms 
 31.36  prescribed by the commissioner. 
 32.1      Sec. 7.  Minnesota Statutes 1998, section 60K.06, is 
 32.2   amended to read: 
 32.3      60K.06 [FEES.] 
 32.4      Subdivision 1.  [RENEWAL FEES.] (a) Each agent licensed 
 32.5   pursuant to section 60K.03 shall pay in accordance with the 
 32.6   procedure adopted by the commissioner a renewal fee as 
 32.7   prescribed by subdivision 2.  
 32.8      (b) Every agent, corporation, limited liability company, 
 32.9   and partnership renewal license is valid for a period of 24 
 32.10  months.  The commissioner may stagger the implementation of the 
 32.11  24-month licensing program so that approximately one-half of the 
 32.12  licenses will expire on October 31 of each even-numbered year 
 32.13  and the other half on October 31 of each odd-numbered year. 
 32.14  Those licensees who will receive a 12-month license on November 
 32.15  1, 1994, because of the staggered implementation schedule, will 
 32.16  pay for the license a fee reduced by an amount equal to one-half 
 32.17  the fee for renewal of the license. 
 32.18     (c) Persons whose applications have been properly and 
 32.19  timely filed who have not received notice of denial of renewal 
 32.20  are approved for renewal and may continue to transact business 
 32.21  whether or not the renewed license has been received on or 
 32.22  before November 1.  Applications for renewal of a license are 
 32.23  timely filed if received by the commissioner on or before 
 32.24  October 15 of the year due, on forms duly executed and 
 32.25  accompanied by appropriate fees.  An application mailed is 
 32.26  considered timely filed if addressed to the commissioner, with 
 32.27  proper postage, and postmarked by October 15.  
 32.28     Subd. 2.  [LICENSING FEES.] (a) In addition to the fees and 
 32.29  charges provided for examinations, each agent licensed pursuant 
 32.30  to section 60K.03 shall pay to the commissioner: 
 32.31     (1) a fee of ~~$60~~ $80 per license for an initial license 
 32.32  issued to an individual agent, and a fee of ~~$60~~ $80 for each 
 32.33  renewal; 
 32.34     (2) a fee of ~~$160~~ $200 for an initial license issued to a 
 32.35  partnership, limited liability company, or corporation, and a 
 32.36  fee of ~~$120~~ $150 for each renewal; 
 33.1      (3) a fee of $75 for an initial amendment (variable 
 33.2   annuity) to a license, and a fee of $50 for each renewal; and 
 33.3      (4) a fee of $500 for an initial surplus lines agent's 
 33.4   license, and a fee of $500 for each renewal. 
 33.5      (b) Persons whose applications have been properly and 
 33.6   timely filed who have not received notice of denial of renewal 
 33.7   are approved for renewal and may continue to transact business 
 33.8   whether or not the renewed license has been received on or 
 33.9   before November 1 of the renewal year.  Applications for renewal 
 33.10  of a license are timely filed if received by the commissioner on 
 33.11  or before the 15th day preceding the license renewal date of the 
 33.12  applicant on forms duly executed and accompanied by appropriate 
 33.13  fees.  An application mailed is considered timely filed if 
 33.14  addressed to the commissioner, with proper postage, and 
 33.15  postmarked on or before the 15th day preceding the licensing 
 33.16  renewal date of the applicant. 
 33.17     (c) Initial licenses issued under this section must be 
 33.18  valid for a period not to exceed two years.  The commissioner 
 33.19  shall assign an expiration date to each initial license so that 
 33.20  approximately one-half of all licenses expire each year.  Each 
 33.21  initial license must expire on October 31 of the expiration year 
 33.22  assigned by the commissioner. 
 33.23     (d) All fees shall be retained by the commissioner and are 
 33.24  nonreturnable, except that an overpayment of any fee must be 
 33.25  refunded upon proper application. 
 33.26     Subd. 3.  [INITIAL LICENSE EXPIRATION; FEE REDUCTION.] If 
 33.27  an initial license issued under subdivision 2, paragraph (a), 
 33.28  expires less than 12 months after issuance, the license fee must 
 33.29  be reduced by an amount equal to one-half the fee for a renewal 
 33.30  of the license. 
 33.31     Sec. 8.  Minnesota Statutes 1998, section 65B.48, 
 33.32  subdivision 3, is amended to read: 
 33.33     Subd. 3.  Self-insurance, subject to approval of the 
 33.34  commissioner, is effected by filing with the commissioner in 
 33.35  satisfactory form: 
 33.36     (1) a continuing undertaking by the owner or other 
 34.1   appropriate person to pay tort liabilities or basic economic 
 34.2   loss benefits, or both, and to perform all other obligations 
 34.3   imposed by sections 65B.41 to 65B.71; 
 34.4      (2) evidence that appropriate provision exists for prompt 
 34.5   administration of all claims, benefits, and obligations provided 
 34.6   by sections 65B.41 to 65B.71; 
 34.7      (3) evidence that reliable financial arrangements, 
 34.8   deposits, or commitments exist providing assurance, 
 34.9   substantially equivalent to that afforded by a policy of 
 34.10  insurance complying with sections 65B.41 to 65B.71, for payment 
 34.11  of tort liabilities, basic economic loss benefits, and all other 
 34.12  obligations imposed by sections 65B.41 to 65B.71; and 
 34.13     (4) a nonrefundable initial application fee of ~~$500~~ $1,500 
 34.14  and an annual renewal fee of ~~$100~~ $400 for political 
 34.15  subdivisions and ~~$250~~ $500 for nonpolitical entities.  
 34.16     Sec. 9.  Minnesota Statutes 1998, section 70A.14, 
 34.17  subdivision 4, is amended to read: 
 34.18     Subd. 4.  [DURATION.] Licenses issued pursuant to this 
 34.19  section shall remain in effect until the licensee withdraws from 
 34.20  the state or until the license is suspended or revoked.  The fee 
 34.21  for each license shall be ~~$1,000~~ $3,000, payable every three 
 34.22  years. 
 34.23     Sec. 10.  Minnesota Statutes 1998, section 72B.04, 
 34.24  subdivision 10, is amended to read: 
 34.25     Subd. 10.  [FEES.] A fee of ~~$40~~ $80 is imposed for each 
 34.26  initial license or temporary permit and ~~$25~~ $80 for each renewal 
 34.27  thereof or amendment thereto.  A fee of $20 is imposed for the 
 34.28  registration of each nonlicensed adjuster who is required to 
 34.29  register under section 72B.06.  All fees shall be transmitted to 
 34.30  the commissioner and shall be payable to the state treasurer.  
 34.31  If a fee is paid for an examination and if within one year from 
 34.32  the date of that payment no written request for a refund is 
 34.33  received by the commissioner or the examination for which the 
 34.34  fee was paid is not taken, the fee is forfeited to the state of 
 34.35  Minnesota. 
 34.36     Sec. 11.  Minnesota Statutes 1998, section 79.255, 
 35.1   subdivision 10, is amended to read: 
 35.2      Subd. 10.  [FEE.] A registration or exemption certificate 
 35.3   fee of ~~$50~~ $100 shall be paid. 
 35.4      Sec. 12.  Minnesota Statutes 1998, section 82A.08, 
 35.5   subdivision 2, is amended to read: 
 35.6      Subd. 2.  [FEE.] Every annual report filed pursuant to this 
 35.7   section shall be accompanied by a fee of ~~$100~~ $500. 
 35.8      Sec. 13.  Minnesota Statutes 1998, section 82A.16, 
 35.9   subdivision 2, is amended to read: 
 35.10     Subd. 2.  [FEE AND CONTENTS.] A salesperson or broker may 
 35.11  apply for a license by filing a fee of ~~$25~~ $50 and an 
 35.12  application with the commissioner which includes the following 
 35.13  information: 
 35.14     (1) the applicant's name, age, residence address, and, in 
 35.15  the case of a salesperson, the name and place of business of the 
 35.16  membership camping operator or broker on whose behalf the 
 35.17  salesperson will be acting; 
 35.18     (2) the applicant's date and place of birth; 
 35.19     (3) a statement whether or not the applicant within the 
 35.20  past ten years has been convicted of a misdemeanor or felony 
 35.21  involving theft, fraud, or dishonesty or whether or not the 
 35.22  applicant within the past ten years has been enjoined from, had 
 35.23  any civil penalty assessed for, or been found to have engaged in 
 35.24  any violation of any securities, land sales, camping, or 
 35.25  consumer protection statutes; 
 35.26     (4) a statement whether or not the applicant is named as a 
 35.27  defendant in a pending criminal indictment or proceeding 
 35.28  involving fraud, theft, or dishonesty or is a defendant in a 
 35.29  pending lawsuit arising out of alleged violations of securities, 
 35.30  land sales, camping, or consumer protection statutes.  A copy of 
 35.31  the charge, complaint, or lawsuit shall be provided to the 
 35.32  commissioner; 
 35.33     (5) a statement describing the applicant's employment 
 35.34  history for the past five years and whether or not any 
 35.35  termination of employment during the last five years was 
 35.36  occasioned by a theft, fraud, or act of dishonesty; 
 36.1      (6) an affidavit certifying that the applicant is 
 36.2   knowledgeable concerning the provisions of this section and 
 36.3   sections 82A.05, 82A.13, and 82A.14, and any rules adopted under 
 36.4   those sections; 
 36.5      (7) a statement whether or not the applicant has ever been 
 36.6   licensed by this state or its political subdivisions to engage 
 36.7   in any other business or profession; whether any such license 
 36.8   has been denied, suspended, or revoked and, if so, the 
 36.9   circumstances of the denial, suspension, or revocation; 
 36.10     (8) such other information as the commissioner may 
 36.11  reasonably deem necessary to administer the provisions of 
 36.12  sections 82A.01 to 82A.26, by rule or order. 
 36.13     Sec. 14.  Minnesota Statutes 1998, section 82A.16, 
 36.14  subdivision 6, is amended to read: 
 36.15     Subd. 6.  [RENEWAL.] The license of a salesperson and 
 36.16  broker shall be renewed annually by the filing of a form 
 36.17  prescribed by the commissioner and payment of a fee of ~~$10~~ $25. 
 36.18     Sec. 15.  [82B.201] [CRIMINAL PENALTY.] 
 36.19     A person is guilty of a gross misdemeanor and may be 
 36.20  sentenced to imprisonment for not more than one year or to 
 36.21  payment of a fine of not more than $3,000, or both, if the 
 36.22  person: 
 36.23     (1) violates section 82B.20, subdivision 2, clause (4); 
 36.24     (2) performs unlicensed activities, if a license is 
 36.25  required under this chapter; or 
 36.26     (3) violates any order issued by the commissioner related 
 36.27  to conduct prohibited by clause (1). 
 36.28     Sec. 16.  [116J.036] [DEPARTMENT MAY NOT OPERATE AS TRAVEL 
 36.29  AGENCY.] 
 36.30     The department may not operate or provide a travel 
 36.31  reservation system in competition with private sector travel 
 36.32  agents, but may make referrals to private sector travel agents. 
 36.33     Sec. 17.  [116J.037] [CERTIFICATION OF 
 36.34  ELECTRONIC-COMMERCE-READY CITIES AND COUNTIES.] 
 36.35     A county or statutory or home rule charter city of 
 36.36  Minnesota shall be designated an electronic-commerce-ready city 
 37.1   or county by the department of trade and economic development 
 37.2   and may be annually recertified as an electronic-commerce-ready 
 37.3   city or county if it: 
 37.4      (1) has formed effective public-private partnerships with 
 37.5   communication providers, the business community, banks, schools, 
 37.6   health care, government, and nonprofit social and service 
 37.7   organizations to become electronic commerce ready; 
 37.8      (2) makes available training and continuing education to 
 37.9   develop an electronic-commerce-ready workforce; 
 37.10     (3) develops a plan for electronic commerce readiness that 
 37.11  reflects resource integration across economic and government 
 37.12  sectors, including current and future investments by business, 
 37.13  government, education, and health care to achieve cooperative 
 37.14  community and economic development benefits; 
 37.15     (4) uses local funding sources to catalyze and sustain 
 37.16  information technology investments to adapt to new business 
 37.17  priorities as electronic commerce grows; and 
 37.18     (5) maintains public access sites to ensure access to 
 37.19  electronic commerce applications and community networking tools, 
 37.20  such as electronic mail. 
 37.21     Sec. 18.  Minnesota Statutes 1998, section 116J.415, 
 37.22  subdivision 5, is amended to read: 
 37.23     Subd. 5.  [LOAN CRITERIA.] The following criteria apply to 
 37.24  loans made under the challenge grant program:  
 37.25     (1) loans must be made to businesses that are not likely to 
 37.26  undertake a project for which loans are sought without 
 37.27  assistance from the challenge grant program; 
 37.28     (2) a loan must be used for a project designed principally 
 37.29  to benefit low-income persons through the creation of job or 
 37.30  business opportunities for them; 
 37.31     (3) the minimum loan is $5,000 and the maximum 
 37.32  is ~~$100,000~~ $200,000; 
 37.33     (4) a loan may not exceed 50 percent of the total cost of 
 37.34  an individual project; 
 37.35     (5) a loan may not be used for a retail development 
 37.36  project; and 
 38.1      (6) a business applying for a loan, except a 
 38.2   microenterprise loan under subdivision 6, must be sponsored by a 
 38.3   resolution of the governing body of the local governmental unit 
 38.4   within whose jurisdiction the project is located. 
 38.5      Sec. 19.  Minnesota Statutes 1998, section 116J.421, 
 38.6   subdivision 2, is amended to read: 
 38.7      Subd. 2.  [GOVERNANCE.] The center is governed by a board 
 38.8   of directors appointed to six-year terms by the governor 
 38.9   comprised of: 
 38.10     (1) a representative from each of the two largest statewide 
 38.11  general farm organizations; 
 38.12     (2) a representative from a regional initiative 
 38.13  organization selected under section 116J.415, subdivision 3; 
 38.14     (3) the president of Mankato State University; 
 38.15     (4) a representative from the general public residing in a 
 38.16  town of less than 5,000 located outside of the metropolitan 
 38.17  area; 
 38.18     (5) a member of the house of representatives appointed by 
 38.19  the speaker of the house and a member of the senate appointed by 
 38.20  the subcommittee on committees of the senate committee on rules 
 38.21  and administration appointed for two-year terms; 
 38.22     (6) three representatives from business, including one 
 38.23  representing rural manufacturing and one rural retail and 
 38.24  service business; 
 38.25     (7) three representatives from private foundations with a 
 38.26  demonstrated commitment to rural issues; 
 38.27     (8) one representative from a rural county government; and 
 38.28     (9) one representative from a rural regional government. 
 38.29     The board shall appoint one additional member to the board 
 38.30  of directors who shall represent the general public.  
 38.31     Sec. 20.  Minnesota Statutes 1998, section 116J.421, 
 38.32  subdivision 3, is amended to read: 
 38.33     Subd. 3.  [DUTIES.] The center shall: 
 38.34     (1) research and identify present and emerging social and 
 38.35  economic issues for rural Minnesota, including health care, 
 38.36  transportation, crime, housing, and job training; 
 39.1      (2) forge alliances and partnerships with rural communities 
 39.2   to find practical solutions to economic and social problems; 
 39.3      (3) provide a resource center for rural communities on 
 39.4   issues of importance to them; 
 39.5      (4) encourage collaboration across higher education 
 39.6   institutions to provide interdisciplinary team approaches to 
 39.7   problem solving with rural communities; and 
 39.8      (5) involve students in center projects. 
 39.9      Sec. 21.  Minnesota Statutes 1998, section 116J.421, is 
 39.10  amended by adding a subdivision to read: 
 39.11     Subd. 6.  [USE OF APPROPRIATION.] State appropriations to 
 39.12  the board, whether from the general fund or the rural policy and 
 39.13  development fund, may, at the discretion of the board, be 
 39.14  expended for administration of the center and to carry out its 
 39.15  duties under this section or under other law. 
 39.16     Sec. 22.  Minnesota Statutes 1998, section 116J.421, is 
 39.17  amended by adding a subdivision to read: 
 39.18     Subd. 7.  [BOARD COMPENSATION.] Compensation and expense 
 39.19  reimbursement of board members is as provided in section 
 39.20  15.0575, subdivision 3. 
 39.21     Sec. 23.  [116J.423] [MINNESOTA MINERALS 21ST CENTURY 
 39.22  FUND.] 
 39.23     Subdivision 1.  [CREATED.] The Minnesota minerals 21st 
 39.24  century fund is created as a separate account in the treasury.  
 39.25  Money in the account is appropriated to the commissioner of 
 39.26  trade and economic development for the purposes of this 
 39.27  section.  All money earned by the account, loan repayments of 
 39.28  principal and interest, and earnings on investments must be 
 39.29  credited to the account.  For the purpose of this section, 
 39.30  "fund" means the Minnesota minerals 21st century fund.  The 
 39.31  commissioner shall operate the account as a revolving account. 
 39.32     Subd. 2.  [USE OF FUND.] The commissioner shall use money 
 39.33  in the fund to make loans or equity investments in mineral 
 39.34  processing facilities including, but not limited to, taconite 
 39.35  processing, direct reduction processing, and steel production.  
 39.36  The commissioner must, prior to making any loans or equity 
 40.1   investments and after consultation with industry and public 
 40.2   officials, develop a strategy for making loans and equity 
 40.3   investments that assists the Minnesota mineral industry in 
 40.4   becoming globally competitive.  Money in the fund may also be 
 40.5   used to pay for the costs of carrying out the commissioner's due 
 40.6   diligence duties under this section. 
 40.7      Subd. 3.  [REQUIREMENTS PRIOR TO COMMITTING FUNDS.] The 
 40.8   commissioner, prior to making a commitment for a loan or equity 
 40.9   investment must, at a minimum, conduct due diligence research 
 40.10  regarding the proposed loan or equity investment, including 
 40.11  contracting with professionals as needed to assist in the due 
 40.12  diligence. 
 40.13     Subd. 4.  [REQUIREMENTS FOR FUND DISBURSEMENTS.] The 
 40.14  commissioner may make conditional commitments for loans or 
 40.15  equity investments but disbursements of funds pursuant to a 
 40.16  commitment may not be made until commitments for the remainder 
 40.17  of a project's funding are made that are satisfactory to the 
 40.18  commissioner and disbursements made from the other commitments 
 40.19  sufficient to protect the interests of the state in its loan or 
 40.20  investment. 
 40.21     Subd. 5.  [COMPANY CONTRIBUTION.] The commissioner may 
 40.22  provide loans or equity investments that match, in a proportion 
 40.23  determined by the commissioner, an investment made by the owner 
 40.24  of a facility. 
 40.25     Sec. 24.  [116J.424] [IRRRB CONTRIBUTION.] 
 40.26     The commissioner of the iron range resources and 
 40.27  rehabilitation board with approval of the board shall provide an 
 40.28  equal match for any loan or equity investment made for a 
 40.29  facility located in the tax relief area defined in section 
 40.30  273.134 by the Minnesota minerals 21st century fund created by 
 40.31  section 116J.423.  The match may be in the form of a loan or 
 40.32  equity investment, notwithstanding whether the fund makes a loan 
 40.33  or equity investment.  The state shall not acquire an equity 
 40.34  interest because of an equity investment or loan by the board 
 40.35  and the board at its sole discretion shall decide what interest 
 40.36  it acquires in a project.  The commissioner of trade and 
 41.1   economic development may require a commitment from the board to 
 41.2   make the match prior to disbursing money from the fund. 
 41.3      Sec. 25.  Minnesota Statutes 1998, section 116J.63, 
 41.4   subdivision 4, is amended to read: 
 41.5      Subd. 4.  The office of tourism may market tourism-related 
 41.6   publications, trade, and media ~~promotional material~~ promotion 
 41.7   and advertising programs and information distribution to 
 41.8   businesses and organizations.  The proceeds from the marketing 
 41.9   must be placed in a special ~~account~~ revenue accounts and are 
 41.10  appropriated to the commissioner to ~~prepare and distribute the~~ 
 41.11  ~~office's publications and media promotional materials~~ implement 
 41.12  the programs for which the revenue is collected. 
 41.13     Sec. 26.  Minnesota Statutes 1998, section 116J.8745, 
 41.14  subdivision 1, is amended to read: 
 41.15     Subdivision 1.  [TECHNICAL ASSISTANCE~~; LOAN~~ 
 41.16  ~~ADMINISTRATION~~.] The commissioner of trade and economic 
 41.17  development shall make grants to nonprofit organizations to 
 41.18  provide technical assistance to individuals ~~with entrepreneurial~~ 
 41.19  ~~plans that require microenterprise loans in an amount ranging~~ 
 41.20  ~~from approximately $1,000 to $25,000, and for loan~~ 
 41.21  ~~administration costs related to those microenterprise loans.~~ 
 41.22  ~~Microenterprise is a small business which employs under five~~ 
 41.23  ~~employees plus the owner and requires under $25,000 to start~~ to 
 41.24  support the startup and growth of self-employment and 
 41.25  microbusinesses.  Eligible businesses are microenterprises 
 41.26  employing under five people plus the owner and requiring under 
 41.27  $25,000 or no capital to start or expand the business. 
 41.28     Sec. 27.  Minnesota Statutes 1998, section 116J.8745, 
 41.29  subdivision 2, is amended to read: 
 41.30     Subd. 2.  [GRANT ELIGIBILITY AND ALLOCATION.] Nonprofit 
 41.31  organizations must apply for grants under this section following 
 41.32  procedures established by the commissioner.  To be eligible for 
 41.33  a grant, an organization must demonstrate to the commissioner 
 41.34  that it has the appropriate expertise.  The commissioner shall 
 41.35  give preference for grants to organizations that target 
 41.36  nontraditional entrepreneurs such as women, members of a 
 42.1   minority, low-income individuals, or persons seeking work who 
 42.2   are currently on or recently removed from welfare assistance. 
 42.3      An application must include: 
 42.4      (1) the local need for microenterprise support; 
 42.5      (2) proposed criteria for business eligibility; 
 42.6      (3) proposals for identifying and serving eligible 
 42.7   businesses; 
 42.8      (4) a description of technical assistance to be provided to 
 42.9   eligible businesses; 
 42.10     (5) proposals to coordinate technical assistance with 
 42.11  financial assistance; ~~and~~ 
 42.12     (6) a demonstration of ability to collaborate with other 
 42.13  agencies including educational and financial institutions; and 
 42.14     (7) project goals identifying the number of eligible 
 42.15  businesses to be assisted with the state funds awarded under the 
 42.16  grant. 
 42.17     Sec. 28.  [116J.9665] [WORLD TRADE CENTER.] 
 42.18     Subdivision 1.  [DEFINITIONS.] For purposes of this 
 42.19  section, the following terms have the meaning given them: 
 42.20     (1) "Conference and service center" means the approximately 
 42.21  20,000 square feet of space on the third and fourth floors of 
 42.22  the Minnesota world trade center that the state of Minnesota has 
 42.23  the right to possess, occupy, and use subject to the terms and 
 42.24  conditions of the development agreement. 
 42.25     (2) "Development agreement" means the agreement entered 
 42.26  into by and between the world trade center board, as agent of 
 42.27  the state of Minnesota, and Oxford Development Minnesota, Inc. 
 42.28  dated July 27, 1984, and the amendments to that agreement, for 
 42.29  development and construction of a world trade center at a 
 42.30  designated site in Minnesota. 
 42.31     (3) "Minnesota world trade center" means the facility 
 42.32  constructed in accordance with the development agreement or 
 42.33  other facilities meeting the membership requirements of the 
 42.34  World Trade Centers Association. 
 42.35     Subd. 2.  [GENERALLY.] The commissioner shall facilitate 
 42.36  and support Minnesota world trade center programs and services 
 43.1   and promote the Minnesota world trade center.  These activities 
 43.2   are not subject to chapters 14, 16A, 16B, and 16C. 
 43.3      Subd. 3.  [POWERS.] In furtherance of the goals set forth 
 43.4   in subdivision 2, and in addition to the powers granted by 
 43.5   sections 116J.035 and 116J.966, the commissioner may: 
 43.6      (1) define, formulate, administer, and deliver programs and 
 43.7   services through the world trade center; 
 43.8      (2) set and collect fees for services and programs; 
 43.9      (3) adopt membership requirements for an association of 
 43.10  members of the Minnesota world trade center; 
 43.11     (4) participate jointly with private persons, firms, 
 43.12  corporations, or organizations or with public entities in 
 43.13  appropriate programs or projects and enter into contracts to 
 43.14  spend money to carry out those programs or projects; 
 43.15     (5) enter into contracts or agreements with a federal or 
 43.16  state agency, individual, business entity, or other 
 43.17  organization; 
 43.18     (6) acquire and dispose of real property or an interest in 
 43.19  real property; and 
 43.20     (7) hold and maintain membership for the Minnesota world 
 43.21  trade center in the World Trade Centers Association.  
 43.22     Subd. 4.  [DUTIES.] The commissioner shall: 
 43.23     (1) promote and market the Minnesota world trade center and 
 43.24  membership in the World Trade Center Association; 
 43.25     (2) sponsor conferences or other promotional events in the 
 43.26  conference and service center; 
 43.27     (3) sponsor, develop, and conduct educational programs 
 43.28  related to international trade; 
 43.29     (4) establish and maintain an office in the Minnesota world 
 43.30  trade center; and 
 43.31     (5) not duplicate programs or services provided by the 
 43.32  commissioner of agriculture. 
 43.33     Subd. 5.  [PROMOTIONAL EXPENSES.] The commissioner may 
 43.34  expend money to carry out this section.  Promotional expenses 
 43.35  include, but are not limited to, expenses for the food, lodging, 
 43.36  and travel of consultants and speakers, and publications and 
 44.1   other forms of advertising.  
 44.2      Subd. 6.  [WORLD TRADE CENTER ACCOUNT.] The world trade 
 44.3   center account is in the special revenue fund.  All money 
 44.4   received from the use of the conference and service center or 
 44.5   appropriated under this section must be deposited in the 
 44.6   account.  Money in the account including interest earned is 
 44.7   appropriated to the commissioner and must be used exclusively 
 44.8   for the purposes of this section. 
 44.9      Subd. 7.  [SERVICE INFORMATION; CLASSIFICATION OF DATA.] (a)
 44.10  Service information, including databases, purchased by the 
 44.11  commissioner or developed by the commissioner for sale pursuant 
 44.12  to this section, is not subject to chapter 13. 
 44.13     (b) For purposes of this subdivision, "business transaction"
 44.14  means a transaction between parties other than the 
 44.15  commissioner.  The following data received or developed by the 
 44.16  commissioner is private with respect to data on individuals and 
 44.17  nonpublic with respect to data not on individuals: 
 44.18     (1) data relating to the financial condition of individuals 
 44.19  or businesses receiving or performing services by or on behalf 
 44.20  of the commissioner in furtherance of this section; 
 44.21     (2) at the request of either party to the transaction data 
 44.22  on business transactions; and 
 44.23     (3) at the request of the person or business seeking the 
 44.24  information, the identities of persons or businesses requesting 
 44.25  business or trade information from the commissioner, and the 
 44.26  nature of the trade information. 
 44.27     Sec. 29.  Minnesota Statutes 1998, section 116L.03, 
 44.28  subdivision 5, is amended to read: 
 44.29     Subd. 5.  [TERMS.] The terms of appointed members shall be 
 44.30  for four years except for the initial appointments.  The initial 
 44.31  appointments of the governor shall have the following terms:  
 44.32  two members each for one, two, three, and four years.  
 44.33  Compensation for board members is as provided in section 
 44.34  15.0575, subdivision 3. 
 44.35     Sec. 30.  Minnesota Statutes 1998, section 116L.04, 
 44.36  subdivision 1a, is amended to read: 
 45.1      Subd. 1a.  [PATHWAYS PROGRAM.] The pathways program may 
 45.2   provide grants-in-aid for developing programs which assist in 
 45.3   the transition of persons from welfare to work.  The program is 
 45.4   to be operated by the board.  The board shall consult and 
 45.5   coordinate with ~~the Job Training Partnership Act, Title II-A,~~ 
 45.6   program administrators at the department of economic security to 
 45.7   design and provide services for temporary assistance for needy 
 45.8   families recipients. 
 45.9      Pathways grants-in-aid may be awarded to educational or 
 45.10  other nonprofit training institutions for education and training 
 45.11  programs that serve public assistance recipients transitioning 
 45.12  from public assistance to employment. 
 45.13     Preference shall be given to projects that: 
 45.14     (1) provide employment with benefits paid to employees; 
 45.15     (2) provide employment where there are defined career paths 
 45.16  for trainees; 
 45.17     (3) pilot the development of an educational pathway that 
 45.18  can be used on a continuing basis for transitioning persons from 
 45.19  public assistance directly to work; and 
 45.20     (4) demonstrate the active participation of department of 
 45.21  economic security workforce centers, Minnesota state college and 
 45.22  university institutions and other educational institutions, and 
 45.23  local welfare agencies. 
 45.24     Pathways projects must demonstrate the active involvement 
 45.25  and financial commitment of private business.  Pathways projects 
 45.26  must be matched with cash or in-kind contributions on at least a 
 45.27  one-to-one ratio by participating private business. 
 45.28     A single grant to any one institution shall not exceed 
 45.29  ~~$200,000~~ $400,000. 
 45.30     The board shall annually, by March 31, report to the 
 45.31  commissioners of economic security and trade and economic 
 45.32  development on pathways programs, including the number of public 
 45.33  assistance recipients participating in the program, the number 
 45.34  of participants placed in employment, the salary and benefits 
 45.35  they receive, and the state program costs per participant. 
 45.36     Sec. 31.  Minnesota Statutes 1998, section 116L.06, 
 46.1   subdivision 4, is amended to read: 
 46.2      Subd. 4.  [LOAN TERMS.] Loans may be secured or unsecured, 
 46.3   shall be for a term of no more than ~~two~~ five years, and shall 
 46.4   bear no interest.  The maximum amount of a loan is $250,000.  A 
 46.5   loan origination fee of up to two percent of the principal of 
 46.6   the loan may be charged.  An employer may have only one 
 46.7   outstanding loan.  The loans shall contain such other standard 
 46.8   commercial loan terms as the board deems appropriate. 
 46.9      Sec. 32.  Minnesota Statutes 1998, section 175.17, is 
 46.10  amended to read: 
 46.11     175.17 [POWERS AND DUTIES, COMMISSIONER OF THE DEPARTMENT 
 46.12  OF LABOR AND INDUSTRY.] 
 46.13     (1) The commissioner shall administer the laws relating to 
 46.14  workers' compensation and the laws governing employees of the 
 46.15  state, a county, or other governmental subdivisions who contract 
 46.16  tuberculosis; 
 46.17     (2) The commissioner shall adopt reasonable and proper 
 46.18  rules governing rules of practice before the workers' 
 46.19  compensation division in matters which are not before a 
 46.20  compensation judge; 
 46.21     (3) The commissioner shall collect, collate, and publish 
 46.22  statistical and other information relating to work under the 
 46.23  department's jurisdiction and make public reports the 
 46.24  commissioner judges necessary, including such other reports as 
 46.25  may be required by law; 
 46.26     (4) The commissioner shall establish and maintain branch 
 46.27  offices as needed for the conduct of the affairs of the workers' 
 46.28  compensation division; 
 46.29     (5) The commissioner may: 
 46.30     (i) apply for, receive, and spend money received from 
 46.31  federal, municipal, county, regional, and other government 
 46.32  agencies and private sources; and 
 46.33     (ii) apply for, accept, and disburse grants and other aids 
 46.34  from public and private sources. 
 46.35     Sec. 33.  Minnesota Statutes 1998, section 176.181, 
 46.36  subdivision 2a, is amended to read: 
 47.1      Subd. 2a.  [APPLICATION FEE.] Every initial application 
 47.2   filed pursuant to subdivision 2 requesting authority to 
 47.3   self-insure shall be accompanied by a nonrefundable fee of 
 47.4   ~~$2,500~~ $4,000.  When an employer seeks to be added as a member 
 47.5   of an existing approved group under section 79A.03, subdivision 
 47.6   6, the proposed new member shall pay a nonrefundable ~~$250~~ $400 
 47.7   application fee to the commissioner at the time of application.  
 47.8   Each annual report due August 1 under section 79A.03, 
 47.9   subdivision 9, shall be accompanied by an annual fee 
 47.10  of ~~$200~~ $500.  
 47.11     Sec. 34.  Minnesota Statutes 1998, section 216C.41, 
 47.12  subdivision 1, is amended to read: 
 47.13     Subdivision 1.  [DEFINITIONS.] (a) The definitions in this 
 47.14  subdivision apply to this section. 
 47.15     (b) "Qualified hydroelectric facility" means a 
 47.16  hydroelectric generating facility in this state that: 
 47.17     (1) is located at the site of a dam, if the dam was in 
 47.18  existence as of March 31, 1994; and 
 47.19     (2) begins generating electricity after July 1, 1994. 
 47.20     (c) "Qualified wind energy conversion facility" means a 
 47.21  wind energy conversion system that: 
 47.22     (1) produces two megawatts or less of electricity as 
 47.23  measured by nameplate rating and begins generating electricity 
 47.24  after June 30, 1997, and before July 1, 1999; ~~or~~ 
 47.25     (2) begins generating electricity after June 30, 1999, 
 47.26  produces two megawatts or less of electricity as measured by 
 47.27  nameplate rating, and is: 
 47.28     (i) located within one county and owned by a natural person 
 47.29  who owns the land where the facility is sited; 
 47.30     (ii) owned by a Minnesota small business as defined in 
 47.31  section 645.445; 
 47.32     (iii) owned by a nonprofit organization; or 
 47.33     (iv) owned by a tribal council if the facility is located 
 47.34  within the boundaries of the reservation; or 
 47.35     (3) begins generating electricity after June 30, 1999, 
 47.36  produces seven megawatts or less of electricity as measured by 
 48.1   nameplate rating, and: 
 48.2      (i) is owned by a cooperative organized under chapter 308A; 
 48.3   and 
 48.4      (ii) all shares and membership in the cooperative are held 
 48.5   by natural persons or estates, at least 51 percent of whom 
 48.6   reside in a county or contiguous to a county where the wind 
 48.7   energy production facilities of the cooperative are located. 
 48.8      Sec. 35.  Minnesota Statutes 1998, section 216C.41, 
 48.9   subdivision 2, is amended to read: 
 48.10     Subd. 2.  [INCENTIVE PAYMENT.] Incentive payments shall be 
 48.11  made according to this section to the owner or operator of a 
 48.12  qualified hydropower facility or qualified wind energy 
 48.13  conversion facility for electric energy generated and sold by 
 48.14  the facility or, for a publicly owned hydropower facility, for 
 48.15  electric energy that is generated by the facility and used by 
 48.16  the owner of the facility outside the facility.  Payment may 
 48.17  only be made upon receipt by the commissioner of finance of an 
 48.18  incentive payment application that establishes that the 
 48.19  applicant is eligible to receive an incentive payment and that 
 48.20  satisfies other requirements the commissioner deems necessary.  
 48.21  The application shall be in a form and submitted at a time the 
 48.22  commissioner establishes.  There is annually appropriated from 
 48.23  the general fund sums sufficient to make the payments required 
 48.24  under this section.  
 48.25     Sec. 36.  [245.4705] [EMPLOYMENT SUPPORT SERVICES AND 
 48.26  PROGRAMS.] 
 48.27     The commissioner of human services shall cooperate with the 
 48.28  commissioner of economic security in the operation of a 
 48.29  statewide system, as provided in section 268A.14, to reimburse 
 48.30  providers for employment support services for persons with 
 48.31  mental illness. 
 48.32     Sec. 37.  [268.368] [YOUTHBUILD TECH.] 
 48.33     Subdivision 1.  [GENERALLY.] A pilot program is established 
 48.34  within the department to make grants to eligible organizations 
 48.35  for programs which are available to students who have completed 
 48.36  at least four months in a program funded under section 268.362.  
 49.1   Programs funded under this section must provide participants 
 49.2   with the knowledge and skills necessary to obtain entry-level 
 49.3   jobs in the computer industry, including core computer classes 
 49.4   and job-specific education. 
 49.5      Subd. 2.  [GRANTS.] The provisions of section 268.361; 
 49.6   268.362, subdivision 2; 268.3625; and 268.366 shall apply to 
 49.7   grants under this section. 
 49.8      Sec. 38.  Minnesota Statutes 1998, section 268.666, is 
 49.9   amended by adding a subdivision to read: 
 49.10     Subd. 5.  [INTERPRETER.] Workforce centers in areas that 
 49.11  have a significant number of residents for whom English is not 
 49.12  the primary language must attempt to provide outreach services 
 49.13  to those residents. 
 49.14     Sec. 39.  Minnesota Statutes 1998, section 268.98, 
 49.15  subdivision 3, is amended to read: 
 49.16     Subd. 3. [COST LIMITATIONS.] (a) For purposes of sections 
 49.17  268.9781 and 268.9782, funds allocated to a grantee are subject 
 49.18  to the following limitations: 
 49.19     (1) a maximum of 15 percent for administration in a worker 
 49.20  adjustment services plan and ten percent in a dislocation event 
 49.21  services grant; 
 49.22     (2) a minimum of 50 percent for provision of training 
 49.23  assistance; 
 49.24     (3) ~~a minimum of ten percent and maximum of 30 percent for~~ 
 49.25  ~~provision of support services; and~~ no more than ten percent 
 49.26  statewide may be allocated annually for support services, as 
 49.27  defined in section 268.975, subdivision 13; and 
 49.28     (4) the balance used for provision of basic readjustment 
 49.29  assistance. 
 49.30     (b) A waiver of the cost limitation on providing training 
 49.31  assistance may be requested.  The waiver may not permit less 
 49.32  than 30 percent of the funds be spent on training assistance. 
 49.33     (c) The commissioner shall prescribe the form and manner 
 49.34  for submission of an application for a waiver under paragraph 
 49.35  (b).  Criteria for granting a waiver shall be established by the 
 49.36  commissioner in consultation with the workforce development 
 50.1   council. 
 50.2      Sec. 40.  Minnesota Statutes 1998, section 268A.13, is 
 50.3   amended to read: 
 50.4      268A.13 [EMPLOYMENT SUPPORT SERVICES FOR PERSONS WITH 
 50.5   MENTAL ILLNESS.] 
 50.6      The commissioner of economic security, in cooperation with 
 50.7   the commissioner of human services, shall develop a statewide 
 50.8   program of grants as outlined in section 268A.14 to provide 
 50.9   services for persons with mental illness in supported 
 50.10  employment.  Projects funded under this section must:  (1) 
 50.11  assist persons with mental illness in obtaining and retaining 
 50.12  employment; (2) emphasize individual community placements for 
 50.13  clients; (3) ensure interagency collaboration at the local level 
 50.14  between vocational rehabilitation field offices, county service 
 50.15  agencies, community support programs operating under the 
 50.16  authority of section 245.4712, and community rehabilitation 
 50.17  providers, in assisting clients; and (4) involve clients in the 
 50.18  planning, development, oversight, and delivery of support 
 50.19  services.  Project funds may not be used to provide services in 
 50.20  segregated settings such as the center-based employment 
 50.21  subprograms as defined in section 268A.01. 
 50.22     The commissioner of economic security, in consultation with 
 50.23  the commissioner of human services, shall develop a request for 
 50.24  proposals which is consistent with the requirements of this 
 50.25  section and section 268A.14 and which specifies the types of 
 50.26  services that must be provided by grantees.  ~~Projects shall be~~ 
 50.27  ~~funded for state fiscal year 1995 and~~ Priority for funding shall 
 50.28  be given to organizations with experience in developing 
 50.29  innovative employment support services for persons with mental 
 50.30  illness.  Each applicant for funds under this section shall 
 50.31  submit an evaluation protocol as part of the grant application. 
 50.32     Sec. 41.  Minnesota Statutes 1998, section 268A.14, is 
 50.33  amended to read: 
 50.34     268A.14 [~~PLAN FOR A~~ STATEWIDE REIMBURSEMENT SYSTEM FOR 
 50.35  EMPLOYMENT SUPPORT SERVICES.] 
 50.36     Subdivision 1.  [EMPLOYMENT SUPPORT SERVICES AND PROGRAMS.] 
 51.1   The commissioner of economic security, in cooperation with the 
 51.2   commissioner of human services, shall ~~develop a detailed plan~~ 
 51.3   ~~for establishing~~ operate a statewide system to reimburse 
 51.4   providers for employment support services for persons with 
 51.5   mental illness.  ~~The plan must include the following:  (1)~~ 
 51.6   ~~protocols for certifying eligible providers; (2) standards for~~ 
 51.7   ~~determining client eligibility for the service; (3) a list of~~ 
 51.8   ~~reimbursable services with the proposed reimbursement level for~~ 
 51.9   ~~each service; and (4) a description of the systems, including~~ 
 51.10  ~~necessary computer systems, that will be used by the state~~ 
 51.11  ~~agency for payment of reimbursement to eligible providers.  The~~ 
 51.12  ~~plan must also include projected total biennial costs for the~~ 
 51.13  ~~new reimbursement system, recommendations on the nature of~~ 
 51.14  ~~appeal rights which shall be provided to clients and providers,~~ 
 51.15  ~~and recommendations on the necessity for agency rulemaking prior~~ 
 51.16  ~~to implementation of the new reimbursement system.~~  The system 
 51.17  shall be operated to support employment programs and services 
 51.18  where: 
 51.19     (1) services provided are readily accessible to all persons 
 51.20  with mental illness so they can make progress toward economic 
 51.21  self-sufficiency; 
 51.22     (2) services provided are made an integral part of all 
 51.23  treatment and rehabilitation programs for persons with mental 
 51.24  illness to ensure that they have the ability and opportunity to 
 51.25  consider a variety of work options; 
 51.26     (3) programs help persons with mental illness form long 
 51.27  range plans for employment that fit their skills and abilities 
 51.28  by ensuring that ongoing support, crisis management, placement, 
 51.29  and career planning services are available; 
 51.30     (4) services provided give persons with mental illness the 
 51.31  information needed to make informed choices about employment 
 51.32  expectations and options, including information on the types of 
 51.33  employment available in the local community, the types of 
 51.34  employment services available, the impact of employment on 
 51.35  eligibility for governmental benefits, and career options; 
 51.36     (5) programs assess whether persons with mental illness 
 52.1   being serviced are satisfied with the services and outcomes.  
 52.2   Satisfaction assessments shall address at least whether persons 
 52.3   like their jobs, whether quality of life is improved, whether 
 52.4   potential for advancement exists, and whether there are adequate 
 52.5   support services in place; 
 52.6      (6) programs encourage persons with mental illness being 
 52.7   served to be involved in employment support services issues by 
 52.8   allowing them to participate in the development of individual 
 52.9   rehabilitation plans and to serve on boards, committees, task 
 52.10  forces, and review bodies that shape employment services 
 52.11  policies and that award grants, and by encouraging and helping 
 52.12  them to establish and participate in self-help and consumer 
 52.13  advocacy groups; 
 52.14     (7) programs encourage employers to expand employment 
 52.15  opportunities for persons with mental illness and, to maximize 
 52.16  the hiring of persons with mental illness, educate employers 
 52.17  about the needs and abilities of persons with mental illness and 
 52.18  the requirements of the Americans with Disabilities Act; 
 52.19     (8) programs encourage persons with mental illness, 
 52.20  vocational rehabilitation professionals, and mental health 
 52.21  professionals to learn more about current work incentive 
 52.22  provisions in governmental benefits programs; 
 52.23     (9) programs establish and maintain linkages with a wide 
 52.24  range of other programs and services, including educational 
 52.25  programs, housing programs, economic assistance services, 
 52.26  community support services, and clinical services to ensure that 
 52.27  persons with mental illness can obtain and maintain employment; 
 52.28     (10) programs participate in ongoing training across 
 52.29  agencies and service delivery systems so that providers in human 
 52.30  services systems understand their respective roles, rules, and 
 52.31  responsibilities and understand the options that exist for 
 52.32  providing employment and community support services to persons 
 52.33  with mental illness; and 
 52.34     (11) programs work with local communities to expand system 
 52.35  capacity to provide access to employment services to all persons 
 52.36  with mental illness who want them. 
 53.1      Subd. 2.  [REPORT.] Before preparing a biennial budget 
 53.2   request, the commissioner of economic security, in cooperation 
 53.3   with the commissioner of human services, must report on the 
 53.4   status and evaluation of the grants currently funded under 
 53.5   section 268A.14 to the chairs of the policy and finance 
 53.6   committees of the legislature having jurisdiction.  The report 
 53.7   must also include a determination of the unmet needs of persons 
 53.8   with mental illness who require employment services and provide 
 53.9   recommendations to expand the program to meet the identified 
 53.10  needs. 
 53.11     Sec. 42.  Minnesota Statutes 1998, section 298.22, 
 53.12  subdivision 2, is amended to read: 
 53.13     Subd. 2.  [IRON RANGE RESOURCES AND REHABILITATION BOARD.] 
 53.14  There is hereby created the iron range resources and 
 53.15  rehabilitation board, consisting of ~~11~~ 13 members, five of whom 
 53.16  are state senators appointed by the subcommittee on committees 
 53.17  of the rules committee of the senate, and five of whom are 
 53.18  representatives, appointed by the speaker of the house of 
 53.19  representatives.  The remaining members shall be appointed one 
 53.20  each by the senate majority leader, the speaker of the house of 
 53.21  representatives, and the governor and must be nonlegislators who 
 53.22  reside in a tax relief area as defined in section 273.134.  The 
 53.23  members shall be appointed in January of every odd-numbered 
 53.24  year, except that the initial nonlegislator members shall be 
 53.25  appointed by July 1, 1999, and shall serve until January of the 
 53.26  next odd-numbered year.  ~~The 11th member of the board is the~~ 
 53.27  ~~commissioner of natural resources.~~  Vacancies on the board shall 
 53.28  be filled in the same manner as the original members were 
 53.29  chosen.  At least a majority of the legislative members of the 
 53.30  board shall be elected from state senatorial or legislative 
 53.31  districts in which over 50 percent of the residents reside 
 53.32  within a tax relief area as defined in section 273.134.  All 
 53.33  expenditures and projects made by the commissioner of iron range 
 53.34  resources and rehabilitation shall first be submitted to the 
 53.35  iron range resources and rehabilitation board for approval by ~~at~~ 
 53.36  ~~least eight board members~~ a majority of the board of 
 54.1   expenditures and projects for rehabilitation purposes as 
 54.2   provided by this section, and the method, manner, and time of 
 54.3   payment of all funds proposed to be disbursed shall be first 
 54.4   approved or disapproved by the board.  The board shall 
 54.5   biennially make its report to the governor and the legislature 
 54.6   on or before November 15 of each even-numbered year.  The 
 54.7   expenses of the board shall be paid by the state from the funds 
 54.8   raised pursuant to this section. 
 54.9      Sec. 43.  Minnesota Statutes 1998, section 298.22, 
 54.10  subdivision 6, is amended to read: 
 54.11     Subd. 6.  [~~EQUITY~~ PRIVATE ENTITY PARTICIPATION.] The board 
 54.12  may acquire an equity interest in any project for which it 
 54.13  provides funding.  The commissioner may establish, participate 
 54.14  in the management of, and dispose of the assets of charitable 
 54.15  foundations and nonprofit corporations associated with any 
 54.16  project for which it provides funding, including specifically, 
 54.17  but without limitation, a corporation within the meaning of 
 54.18  section 317A.011, subdivision 6. 
 54.19     Sec. 44.  Minnesota Statutes 1998, section 298.2213, 
 54.20  subdivision 4, is amended to read: 
 54.21     Subd. 4.  [PROJECT APPROVAL.] The board shall by August 1 
 54.22  each year prepare a list of projects to be funded from the money 
 54.23  appropriated in this section with necessary supporting 
 54.24  information including descriptions of the projects, plans, and 
 54.25  cost estimates.  A project must not be approved by the board 
 54.26  unless it finds that:  
 54.27     (1) the project will materially assist, directly or 
 54.28  indirectly, the creation of additional long-term employment 
 54.29  opportunities; 
 54.30     (2) the prospective benefits of the expenditure exceed the 
 54.31  anticipated costs; and 
 54.32     (3) in the case of assistance to private enterprise, the 
 54.33  project will serve a sound business purpose.  
 54.34     To be proposed by the board, a project must be approved by 
 54.35  ~~at least eight~~ a majority of the iron range resources and 
 54.36  rehabilitation board members and the commissioner of iron range 
 55.1   resources and rehabilitation.  The list of projects must be 
 55.2   submitted to the governor, who shall, by November 15 of each 
 55.3   year, approve, disapprove, or return for further consideration, 
 55.4   each project.  The money for a project may be spent only upon 
 55.5   approval of the project by the governor.  The board may submit 
 55.6   supplemental projects for approval at any time.  
 55.7      Sec. 45.  Minnesota Statutes 1998, section 298.223, 
 55.8   subdivision 2, is amended to read: 
 55.9      Subd. 2.  [ADMINISTRATION.] The taconite environmental 
 55.10  protection fund shall be administered by the commissioner of the 
 55.11  iron range resources and rehabilitation board.  The commissioner 
 55.12  shall by September 1 of each year submit to the board a list of 
 55.13  projects to be funded from the taconite environmental protection 
 55.14  fund, with such supporting information including description of 
 55.15  the projects, plans, and cost estimates as may be necessary.  
 55.16  Upon approval by ~~at least eight~~ a majority of the members of the 
 55.17  iron range resources and rehabilitation board, this list shall 
 55.18  be submitted to the governor by November 1 of each year.  By 
 55.19  December 1 of each year, the governor shall approve or 
 55.20  disapprove, or return for further consideration, each project.  
 55.21  Funds for a project may be expended only upon approval of the 
 55.22  project by the board and governor.  The commissioner may submit 
 55.23  supplemental projects to the board and governor for approval at 
 55.24  any time.  
 55.25     Sec. 46.  Minnesota Statutes 1998, section 326.86, 
 55.26  subdivision 1, is amended to read: 
 55.27     Subdivision 1.  [LICENSING FEE.] The licensing fee for 
 55.28  persons licensed pursuant to sections 326.83 to 326.991 
 55.29  is ~~$75~~ $100 per year.  ~~The commissioner may adjust the fees~~ 
 55.30  ~~under section 16A.1285 to recover the costs of administration~~ 
 55.31  ~~and enforcement.  The fees must be limited to the cost of~~ 
 55.32  ~~license administration and enforcement and must be deposited in~~ 
 55.33  ~~the state treasury and credited to the general fund.~~  
 55.34     Sec. 47.  Minnesota Statutes 1998, section 383B.79, 
 55.35  subdivision 4, is amended to read: 
 55.36     Subd. 4.  [ADMINISTRATION.] The board of county 
 56.1   commissioners shall administer the program and funds and bond 
 56.2   for projects in this section either as a county board or a 
 56.3   housing and redevelopment authority.  The board of county 
 56.4   commissioners may acquire property in connection with the 
 56.5   ~~project known as the Humboldt Avenue Greenway from~~ projects in 
 56.6   this section with any funds under its control.  Any sale, lease, 
 56.7   or development of such property by the board of county 
 56.8   commissioners shall be conducted in accordance with section 
 56.9   469.029. 
 56.10     Sec. 48.  Minnesota Statutes 1998, section 446A.072, 
 56.11  subdivision 4, is amended to read: 
 56.12     Subd. 4.  [FUNDING LEVEL.] (a) The authority shall provide 
 56.13  supplemental assistance for essential project component costs as 
 56.14  certified by the commissioner of the pollution control agency 
 56.15  under section 116.182, subdivision 4.  
 56.16     (b) Except as provided in paragraph (c), a municipality may 
 56.17  not receive more than $4,000,000 under this section unless 
 56.18  specifically approved by law.  If a project would be eligible 
 56.19  for more than $4,000,000 under paragraph (e), the authority 
 56.20  shall include a description of the project and the financing 
 56.21  plan in its report on needs in subdivision 11. 
 56.22     (c) A sanitary district or multijurisdictional wastewater 
 56.23  treatment district may receive an additional $1,000,000 for each 
 56.24  municipality participating up to a maximum grant of $8,000,000, 
 56.25  unless a higher amount is specifically approved by law.  If a 
 56.26  project would be eligible for more than $8,000,000 under 
 56.27  paragraph (e), the authority shall include a description of the 
 56.28  project and the financing plan in its report on needs in 
 56.29  subdivision 11. 
 56.30     (d) The authority shall provide supplemental assistance for 
 56.31  up to one-half of the eligible grant funding level determined by 
 56.32  the United States Department of Agriculture Rural Development 
 56.33  funding for projects listed on the agency's project priority 
 56.34  list, in priority order.  For municipalities that are not 
 56.35  eligible for United States Department of Agriculture Rural 
 56.36  Development funding for wastewater, the authority shall provide 
 57.1   supplemental assistance for:  (1) essential project component 
 57.2   costs calculated by first determining the amount needed to 
 57.3   reduce a municipality's annual residential sewer costs to 1.4 
 57.4   percent of the municipality's median household income or $25 per 
 57.5   month per household, whichever is greater, and then multiplying 
 57.6   that amount by 80 percent to determine the actual award amount 
 57.7   to supplement loans under section 446A.07; and (2) up to 50 
 57.8   percent of the incremental costs specifically identified by the 
 57.9   agency as being attributable to more stringent wastewater 
 57.10  standards required to protect outstanding resource value waters 
 57.11  or outstanding international resource value waters. 
 57.12     ~~(d)~~ (e) Notwithstanding paragraph (b), in the event that a 
 57.13  municipality's monthly residential sewer service charges average 
 57.14  above $50, the authority will provide 90 percent of the grant 
 57.15  amount needed to reduce the average monthly sewer service charge 
 57.16  to $50, provided the project is ranked in the top 50 percentile 
 57.17  of the agency's intended use plan. 
 57.18     ~~(e) Notwithstanding paragraphs (b), (c), and (d), a~~ 
 57.19  ~~municipality with an annual median household income of $40,000~~ 
 57.20  ~~or greater shall not be eligible for a grant, except for~~ 
 57.21  ~~incremental costs specifically identified by the agency as being~~ 
 57.22  ~~attributable to more stringent wastewater standards required to~~ 
 57.23  ~~protect outstanding resource value waters or outstanding~~ 
 57.24  ~~international resource value waters.~~ 
 57.25     (f) The authority shall provide supplemental assistance to 
 57.26  a municipality that would not otherwise qualify for supplemental 
 57.27  assistance if: 
 57.28     (1) the municipality voluntarily accepts a sewer connection 
 57.29  from another governmental unit to serve residential, industrial, 
 57.30  or commercial developments that were completed before March 1, 
 57.31  1996, or are on lots whose plats were recorded before that date; 
 57.32  and 
 57.33     (2) fees charged by the municipality for the connection 
 57.34  must take into account state and federal grants used by the 
 57.35  municipality for the construction of the treatment plant. 
 57.36  The amount of supplemental assistance under this paragraph must 
 58.1   be sufficient to reduce debt service payments under section 
 58.2   446A.07 to an extent equivalent to a zero percent loan in an 
 58.3   amount up to the other governmental unit's project costs 
 58.4   necessary for connection.  Eligibility for supplemental 
 58.5   assistance under this paragraph ends three years after the 
 58.6   agency certifies that the connection has met the operational 
 58.7   performance standards established by the agency. 
 58.8      Sec. 49.  Minnesota Statutes 1998, section 462A.20, 
 58.9   subdivision 2, is amended to read: 
 58.10     Subd. 2.  [WHICH MONEY IN FUND.] There shall be paid into 
 58.11  the housing development fund: 
 58.12     (a) Any moneys appropriated and made available by the state 
 58.13  for the purposes of the fund; 
 58.14     (b) Any moneys which the agency receives in repayment of 
 58.15  advances made from the fund; 
 58.16     (c) Any other moneys which may be made available to the 
 58.17  agency for the purpose of the fund from any other source or 
 58.18  sources; 
 58.19     (d) All fees and charges collected by the agency; 
 58.20     (e) All interest or other income not required by the 
 58.21  provisions of a resolution or indenture securing notes or bonds 
 58.22  to be paid into another special fund~~; but the agency shall not~~ 
 58.23  ~~expend money for its cost of general administration of agency~~ 
 58.24  ~~programs in any fiscal year in excess of such limit for such~~ 
 58.25  ~~fiscal year as may be established by law.  "Cost of general~~ 
 58.26  ~~administration of agency programs" does not include debt~~ 
 58.27  ~~service, amortization of deferred financing costs, loan~~ 
 58.28  ~~origination costs, professional and other contractual services,~~ 
 58.29  ~~any deposit or expenditure required to be made by the provisions~~ 
 58.30  ~~of a bond or note resolution or indenture, or any deposit or~~ 
 58.31  ~~expenditure made to preserve the security for the bonds or notes~~.
 58.32     Sec. 50.  Minnesota Statutes 1998, section 462A.20, is 
 58.33  amended by adding a subdivision to read: 
 58.34     Subd. 2a.  [OPERATING COSTS REPORT.] On or before February 
 58.35  15 of each year, the agency shall deliver a report to the chairs 
 58.36  of the finance and appropriations committees of the legislature 
 59.1   on the costs of operating the agency in the previous fiscal year.
 59.2   The report shall include the expenditures for salaries and 
 59.3   benefits, rent, professional and technical services, general 
 59.4   agency administration, and agency's audited financial statements 
 59.5   which include information on expenditures and receipts relating 
 59.6   to debt issuance and administration and loan origination and 
 59.7   administration.  The report shall include a budget plan for 
 59.8   salaries and benefits, rent, professional and technical 
 59.9   services, and general administration for the current fiscal 
 59.10  year, including estimates of changes in costs from the previous 
 59.11  fiscal year.  If it appears that the costs in the current fiscal 
 59.12  year will exceed the budget plan contained in the report 
 59.13  submitted under this subdivision, the agency must notify the 
 59.14  chairs of the legislative committees or divisions with 
 59.15  jurisdiction over the agency's budget that the costs in the 
 59.16  current fiscal year will exceed the submitted budget plan and 
 59.17  the reasons for the changes in costs and must submit a revised 
 59.18  budget plan to the commissioner of finance and obtain the 
 59.19  commissioner's concurrence with the revised plan.  The agency 
 59.20  must also notify the chairs of the legislative committees or 
 59.21  divisions with jurisdiction over the agency's budget when the 
 59.22  agency is considering an expansion of agency activities that 
 59.23  were not contemplated in the submitted budget plan. 
 59.24     Sec. 51.  Minnesota Statutes 1998, section 462A.204, is 
 59.25  amended by adding a subdivision to read: 
 59.26     Subd. 8.  [SCHOOL STABILITY.] (a) The agency in 
 59.27  consultation with the interagency task force on homelessness may 
 59.28  establish a school stability project under the family homeless 
 59.29  prevention and assistance program.  The purpose of the project 
 59.30  is to secure stable housing for families with school-age 
 59.31  children who have moved frequently and for unaccompanied youth.  
 59.32  For purposes of this subdivision, "unaccompanied youth" are 
 59.33  minors who are leaving foster care or juvenile correctional 
 59.34  facilities, or minors who meet the definition of a child in need 
 59.35  of services or protection under section 260.015, subdivision 2a, 
 59.36  but for whom no court finding has been made pursuant to that 
 60.1   statute. 
 60.2      (b) The agency shall make grants to family homeless 
 60.3   prevention and assistance projects in communities with a school 
 60.4   or schools that have a significant degree of student mobility. 
 60.5      (c) Each project must be designed to reduce school 
 60.6   absenteeism; stabilize children in one home setting, or at a 
 60.7   minimum, in one school setting; and reduce shelter usage.  Each 
 60.8   project must include plans for the following: 
 60.9      (1) targeting of families with children under age 12 who, 
 60.10  in the last 12 months have either:  changed schools or homes at 
 60.11  least once or been absent from school at least 15 percent of the 
 60.12  school year and who have either been evicted from their housing; 
 60.13  are living in overcrowded conditions in their current housing; 
 60.14  or are paying more than 50 percent of their income for rent; 
 60.15     (2) targeting of unaccompanied youth in need of an 
 60.16  alternative residential setting; 
 60.17     (3) connecting families with the social services necessary 
 60.18  to maintain the family's stability in their home; and 
 60.19     (4) one or more of the following: 
 60.20     (i) provision of rental assistance for a specified period 
 60.21  of time, which may exceed 24 months; or 
 60.22     (ii) development of permanent supportive housing or 
 60.23  transitional housing. 
 60.24     (d) Notwithstanding subdivision 2, grants under this 
 60.25  section may be used to acquire, rehabilitate, or construct 
 60.26  transitional or permanent housing. 
 60.27     (e) Each grantee under the project must include 
 60.28  representatives of the local school district or targeted 
 60.29  schools, or both, and of the local community correction agencies 
 60.30  on its advisory committee. 
 60.31     Sec. 52.  Minnesota Statutes 1998, section 462A.205, 
 60.32  subdivision 3, is amended to read: 
 60.33     Subd. 3.  [LOCAL HOUSING ORGANIZATION.] The agency may 
 60.34  contract with a local housing organization to administer the 
 60.35  rent assistance under this section.  The agency may pay the 
 60.36  local housing organization an administrative fee.  ~~The~~ 
 61.1   ~~administrative fee may not exceed $40 per unit per month.~~ 
 61.2      Sec. 53.  Minnesota Statutes 1998, section 462A.209, is 
 61.3   amended to read: 
 61.4      462A.209 [HOME OWNERSHIP ASSISTANCE.] 
 61.5      Subdivision 1.  [FULL CYCLE HOME OWNERSHIP SERVICES.] The 
 61.6   full cycle home ownership services program shall be used to fund 
 61.7   nonprofit organizations and political subdivisions providing, 
 61.8   building capacity to provide, or supporting full cycle lending 
 61.9   for home ownership to low and moderate income home buyers and 
 61.10  homeowners, including seniors.  The purpose of the program is to 
 61.11  encourage private investment in affordable housing and 
 61.12  collaboration of nonprofit organizations and political 
 61.13  subdivisions with each other and private lenders in providing 
 61.14  full cycle lending services. 
 61.15     Subd. 2.  [DEFINITION.] "Full cycle home ownership 
 61.16  services" means supporting eligible home buyers and owners 
 61.17  through all phases of purchasing and keeping a home, by 
 61.18  providing prepurchase home buyer education, prepurchase 
 61.19  counseling and credit repair, prepurchase property inspection 
 61.20  and technical and financial assistance to buyers in 
 61.21  rehabilitating the home, postpurchase ~~and~~ counseling, including 
 61.22  home equity conversion loan counseling, mortgage default 
 61.23  counseling, postpurchase assistance with home maintenance, entry 
 61.24  cost assistance, and access to flexible loan products. 
 61.25     Subd. 3.  [ELIGIBILITY.] The agency shall establish 
 61.26  eligibility criteria for nonprofit organizations and political 
 61.27  subdivisions to receive funding under this section.  The 
 61.28  eligibility criteria must require the nonprofit organization or 
 61.29  political subdivision to provide, to build capacity to provide, 
 61.30  or support full cycle home ownership services for eligible home 
 61.31  buyers.  The agency may fund a nonprofit organization or 
 61.32  political subdivision that will provide full cycle home 
 61.33  ownership services by coordinating with one or more other 
 61.34  organizations that will provide specific components of full 
 61.35  cycle home ownership services.  The agency may make exceptions 
 61.36  to providing all components of full cycle lending if justified 
 62.1   by the application.  If there are more applicants requesting 
 62.2   funding than there are funds available, the agency shall award 
 62.3   the funds on a competitive basis and also assure an equitable 
 62.4   geographic distribution of the available funds.  The eligibility 
 62.5   criteria must require the nonprofit organization or political 
 62.6   subdivision to have a demonstrated involvement in the local 
 62.7   community and to target the housing affordability needs of the 
 62.8   local community or to have demonstrated experience with 
 62.9   counseling older persons on housing, or both.  Partnerships and 
 62.10  collaboration with innovative, grass roots, or community-based 
 62.11  initiatives shall be encouraged.  The agency shall give priority 
 62.12  to nonprofit organizations and political subdivisions that 
 62.13  provide matching funds.  Applicants for funds under section 
 62.14  462A.057 may also apply funds under this program. 
 62.15     Subd. 4.  [ENTRY COST HOME OWNERSHIP OPPORTUNITY PROGRAM.] 
 62.16  The agency may establish an entry cost home ownership 
 62.17  opportunity program, on terms and conditions it deems advisable, 
 62.18  to assist individuals with downpayment and closing costs to 
 62.19  finance the purchase of a home. 
 62.20     Sec. 54.  [462A.2093] [INNOVATIVE AND INCLUSIONARY HOUSING 
 62.21  PROGRAM.] 
 62.22     Subdivision 1.  [DEFINTIONS.] For purposes of this section, 
 62.23  the following terms have the meanings given them in this 
 62.24  subdivision. 
 62.25     (a) "Municipality" means a town or a statutory or home rule 
 62.26  city. 
 62.27     (b) "Nonmetropolitan" means the area of the state outside 
 62.28  of the metropolitan area defined in section 473.121, subdivision 
 62.29  2. 
 62.30     (c) "Inclusionary housing development" means a new 
 62.31  construction development including owner-occupied or rental 
 62.32  housing, or a combination of both, with a variety of prices and 
 62.33  designs which serve families with a range of incomes and housing 
 62.34  needs. 
 62.35     Subd. 2.  [APPLICATION CRITERIA.] The commissioner must 
 62.36  give preference to economically viable proposals to the degree 
 63.1   that they:  (1) use innovative building techniques or materials 
 63.2   to lower construction costs while maintaining high quality 
 63.3   construction and livability; (2) are located in communities that 
 63.4   have demonstrated a willingness to waive local restrictions 
 63.5   which otherwise would increase costs of construction; and (3) 
 63.6   include units affordable to households with incomes at or below 
 63.7   80 percent of the greater of state or area median income. 
 63.8      Cost savings from regulatory incentives must be reflected 
 63.9   in the sale of all residences in an inclusionary housing 
 63.10  development. 
 63.11     Sec. 55.  Minnesota Statutes 1998, section 462A.21, is 
 63.12  amended by adding a subdivision to read: 
 63.13     Subd. 25.  [FULL CYCLE HOME OWNERSHIP SERVICES.] The agency 
 63.14  may spend money for the purposes of section 462A.209 and may pay 
 63.15  the costs and expenses necessary and incidental to the 
 63.16  development and operation of the program. 
 63.17     Sec. 56.  [462A.33] [ECONOMIC DEVELOPMENT AND HOUSING 
 63.18  CHALLENGE PROGRAM.] 
 63.19     Subdivision 1.  [CREATED.] The economic development and 
 63.20  housing challenge program is created to be administered by the 
 63.21  agency. 
 63.22     The program shall provide grants or loans for the purpose 
 63.23  of construction, acquisition, rehabilitation, construction 
 63.24  financing, permanent financing, interest rate reduction, 
 63.25  refinancing, and gap financing of housing to support economic 
 63.26  development activities or job creation within a community or 
 63.27  region by meeting locally identified housing needs. 
 63.28     Subd. 2.  [ELIGIBLE RECIPIENTS.] Challenge grants or loans 
 63.29  may be made to a city, a private developer, a nonprofit 
 63.30  organization, or the owner of the housing, including 
 63.31  individuals.  For the purpose of this section, "city" has the 
 63.32  meaning given it in section 462A.03, subdivision 21.  Preference 
 63.33  shall be given to challenge grants or loans for home ownership.  
 63.34  To the extent practicable, grants and loans shall be made so 
 63.35  that an approximately equal number of housing units are financed 
 63.36  in the metropolitan area, as defined in section 473.121, 
 64.1   subdivision 2, and in the nonmetropolitan area. 
 64.2      Subd. 3.  [CONTRIBUTION REQUIREMENT; REGULATORY 
 64.3   FLEXIBILITY.] Challenge grants or loans must be used for 
 64.4   economically viable homeownership or rental housing proposals 
 64.5   that:  
 64.6      (1) include a financial or in-kind contribution from an 
 64.7   area employer and either a unit of local government or a private 
 64.8   philanthropic, religious, or charitable organization; and 
 64.9      (2) address the housing needs of the local work force.  
 64.10     For the purpose of this subdivision, an employer 
 64.11  contribution may consist partially or wholly of federal housing 
 64.12  tax credits.  Preference for grants and loans shall be given to 
 64.13  comparable proposals that include regulatory changes that result 
 64.14  in identifiable cost avoidance or cost reductions, such as 
 64.15  increased density, flexibility in site development standards, or 
 64.16  zoning code requirements.  
 64.17     Preference for grants and loans shall also be given to 
 64.18  comparable proposals that include a financial or in-kind 
 64.19  contribution from a unit of local government, an area employer, 
 64.20  and a private philanthropic, religious, or charitable 
 64.21  organization. 
 64.22     Subd. 4.  [STATE AND LOCAL GOVERNMENT COOPERATION.] In 
 64.23  making challenge grants or loans, the commissioner must develop 
 64.24  a joint application process and coordinate funding with funding 
 64.25  available to the commissioner of trade and economic development 
 64.26  and local governments for housing and infrastructure 
 64.27  construction and repair. 
 64.28     Subd. 5.  [INCOME LIMITS.] Households served through 
 64.29  challenge grants or loans must not have incomes that exceed, for 
 64.30  homeownership projects, 115 percent of the greater of state or 
 64.31  area median income as determined by the United States Department 
 64.32  of Housing and Urban Development, and for rental housing 
 64.33  projects, 115 percent of the greater of state or area median 
 64.34  income as determined by the United States Department of Housing 
 64.35  and Urban Development. 
 64.36     Subd. 6.  [LARGE-SCALE PROJECTS.] At least one proposal 
 65.1   funded under this section must provide sufficient resources to 
 65.2   make a significant impact on the housing needs and economic 
 65.3   development activities within a community. 
 65.4      Subd. 7.  [GRANTS AND LOANS TO INDIVIDUALS.] Preference 
 65.5   shall be given to grants and loans that provide down payments 
 65.6   and other assistance to individuals to purchase a home.  The 
 65.7   commissioner must coordinate home ownership assistance provided 
 65.8   to individuals under this section with other programs 
 65.9   administered by or through the commissioner. 
 65.10     Sec. 57.  Minnesota Statutes 1998, section 473.251, is 
 65.11  amended to read: 
 65.12     473.251 [METROPOLITAN LIVABLE COMMUNITIES FUND.] 
 65.13     The metropolitan livable communities fund is created and 
 65.14  consists of the following accounts:  
 65.15     (1) the tax base revitalization account; 
 65.16     (2) the livable communities demonstration account; ~~and~~ 
 65.17     (3) the local housing incentives account; and 
 65.18     (4) the inclusionary housing account. 
 65.19     Sec. 58.  [473.255] [INCLUSIONARY HOUSING ACCOUNT.] 
 65.20     Subdivision 1.  [DEFINITIONS.] (a) "Inclusionary housing 
 65.21  development" means a new construction development, including 
 65.22  owner-occupied or rental housing, or a combination of both, with 
 65.23  a variety of prices and designs which serve families with a 
 65.24  range of incomes and housing needs. 
 65.25     (b) "Municipality" means a statutory or home rule charter 
 65.26  city or town participating in the local housing incentives 
 65.27  program under section 473.254. 
 65.28     Subd. 2.  [APPLICATION CRITERIA.] The metropolitan council 
 65.29  must give preference to economically viable proposals to the 
 65.30  degree that they:  (1) use innovative building techniques or 
 65.31  materials to lower construction costs while maintaining high 
 65.32  quality construction and livability; (2) are located in 
 65.33  communities that have demonstrated a willingness to waive local 
 65.34  restrictions which otherwise would increase costs of 
 65.35  construction; and (3) include units affordable to households 
 65.36  with incomes at or below 80 percent of area median income. 
 66.1      Priority shall be given to proposals where at least 15 
 66.2   percent of the owner-occupied units are affordable to households 
 66.3   at or below 60 percent of the area annual median income and at 
 66.4   least ten percent of the rental units are affordable to 
 66.5   households at or below 30 percent of area annual median income. 
 66.6      An inclusionary housing development may include resale 
 66.7   limitations on its affordable units.  The limitations may 
 66.8   include a minimum ownership period before a purchaser may profit 
 66.9   on the sale of an affordable unit. 
 66.10     Cost savings from regulatory incentives must be reflected 
 66.11  in the sale of all residences in an inclusionary development. 
 66.12     Subd. 3.  [INCLUSIONARY HOUSING INCENTIVES.] The 
 66.13  metropolitan council may work with municipalities and developers 
 66.14  to provide incentives to inclusionary housing developments such 
 66.15  as waiver of service availability charges and other regulatory 
 66.16  incentives that would result in identifiable cost avoidance or 
 66.17  reductions for an inclusionary housing development. 
 66.18     Subd. 4.  [INCLUSIONARY HOUSING GRANTS.] The council shall 
 66.19  use funds in the inclusionary housing account to make grants or 
 66.20  loans to municipalities to fund the production of inclusionary 
 66.21  housing developments that are located in municipalities that 
 66.22  offer incentives to assist in the production of inclusionary 
 66.23  housing.  Such incentives include but are not limited to:  
 66.24  density bonuses, reduced setbacks and parking requirements, 
 66.25  decreased roadwidths, flexibility in site development standards 
 66.26  and zoning code requirements, waiver of permit or impact fees, 
 66.27  fast-track permitting and approvals, or any other regulatory 
 66.28  incentives that would result in identifiable cost avoidance or 
 66.29  reductions that contribute to the economic feasibility of 
 66.30  inclusionary housing. 
 66.31     Subd. 5.  [GRANT APPLICATION.] A grant application must at 
 66.32  a minimum include the location of the inclusionary development, 
 66.33  the type of housing to be produced, the number of affordable 
 66.34  units to be produced, the monthly rent, or purchase price of the 
 66.35  affordable units, and the incentives provided by the 
 66.36  municipality to achieve development of the affordable units. 
 67.1      Sec. 59.  1999 S.F. No. 1485, section 1, if enacted, is 
 67.2   amended to read: 
 67.3      Section 1.  [326.105] [FEES.] 
 67.4      ~~(a)~~ The fee for licensure or renewal of licensure as an 
 67.5   architect, professional engineer, land surveyor, landscape 
 67.6   architect, or geoscience professional is ~~$120~~ $104 per biennium. 
 67.7   The fee for certification as a certified interior designer or 
 67.8   for renewal of the certificate is ~~$120~~ $104 per biennium.  The 
 67.9   fee for an architect applying for original certification as a 
 67.10  certified interior designer is $50 per biennium.  The initial 
 67.11  license or certification fee for all professions is ~~$120~~ $104.  
 67.12  The renewal fee shall be paid biennially on or before June 30 of 
 67.13  each even-numbered year.  The renewal fee, when paid by mail, is 
 67.14  not timely paid unless it is postmarked on or before June 30 of 
 67.15  each even-numbered year.  
 67.16     ~~(b) The application fee is $25 for in-training applicants~~ 
 67.17  ~~and $75 for professional license applicants.~~ 
 67.18     ~~(c)~~ The fee for monitoring licensing examinations for 
 67.19  applicants is $25, payable by the applicant.  
 67.20     Sec. 60.  Laws 1998, chapter 404, section 13, subdivision 
 67.21  5, is amended to read: 
 67.22  Subd. 5.  Labor Interpretive Center                   6,000,000 
 67.23  For renovation and upgrades to the East 
 67.24  Building of the Science Museum for use 
 67.25  for the Minnesota Labor Interpretive 
 67.26  Center.  The balance of the cost of the 
 67.27  project is to be paid with funds from 
 67.28  nonstate sources. 
 67.29     Sec. 61.  Laws 1998, First Special Session chapter 1, 
 67.30  article 3, section 8, is amended to read: 
 67.31     Sec. 8.  [JUDY GARLAND CHILDREN'S MUSEUM.] 
 67.32     The appropriation in Laws 1997, chapter 200, article 1, 
 67.33  section 2, subdivision 2, to the commissioner of trade and 
 67.34  economic development for the Judy Garland Children's Museum is 
 67.35  available until and may be matched until June 30, ~~1999~~ 2000. 
 67.36     Sec. 62.  [GRANT COUNTY.] 
 67.37     A grant by the commissioner of trade and economic 
 67.38  development to Grant county for community infrastructure 
 68.1   improvements needed to develop value-added agriprocessing 
 68.2   facilities is not subject to the maximum grant limitation of 
 68.3   Minnesota Statutes, section 116J.8731, subdivision 5, or agency 
 68.4   policy regarding maximum grant per job created. 
 68.5      Sec. 63.  [REPORT TO LEGISLATURE.] 
 68.6      The commissioner of the Minnesota housing finance agency 
 68.7   shall report to the legislature by February 1, 2001, on current 
 68.8   and proposed strategies related to HIV/AIDS for coordinating 
 68.9   local, state, and federal housing resources to address 
 68.10  identified opportunities and needs, plans for future 
 68.11  implementation, and recommendations for future legislative 
 68.12  action.  The commissioner shall consult with the commissioners 
 68.13  of health and human services and representatives of affected 
 68.14  populations in preparing this report.  
 68.15     Sec. 64.  [REPORT TO LEGISLATURE.] 
 68.16     The board of electricity, in consultation with the 
 68.17  commissioner of finance, shall report to the legislature by 
 68.18  January 15, 2000, on: 
 68.19     (1) the board's efforts to control its administrative 
 68.20  costs; 
 68.21     (2) the board's efforts to involve the members of its 
 68.22  citizen board in its business activities; 
 68.23     (3) the progress of the board's computer system 
 68.24  improvements; and 
 68.25     (4) a proposal for codification of the board's fee 
 68.26  schedule, including any changes to the schedule that the board 
 68.27  deems appropriate. 
 68.28     The commissioner of finance shall oversee the board's 
 68.29  activities under clauses (1) to (4) and related activities. 
 68.30     Sec. 65.  [FEE INCREASES PROHIBITED.] 
 68.31     The board of electricity shall not, prior to July 1, 2000, 
 68.32  increase any handling or inspection fees set pursuant to 
 68.33  Minnesota Statutes, section 326.244, subdivision 2, paragraph 
 68.34  (b). 
 68.35     Sec. 66.  [MEMBERSHIP AGREEMENT.] 
 68.36     The commissioner shall request the executive board of the 
 69.1   World Trade Centers Association to transfer the membership of 
 69.2   the Minnesota world trade center corporation in the World Trade 
 69.3   Centers Association to the department of trade and economic 
 69.4   development, Minnesota trade office. 
 69.5      Sec. 67.  [TRANSFERS.] 
 69.6      All of the rights and obligations of the Minnesota World 
 69.7   Trade Center Corporation under the development agreement and all 
 69.8   existing contracts related to the approximately 20,000 square 
 69.9   feet to which the world trade center corporation is a party or 
 69.10  beneficiary is transferred to the state of Minnesota, department 
 69.11  of trade and economic development, Minnesota trade office.  All 
 69.12  other property of the world trade center corporation is 
 69.13  transferred and appropriated to the commissioner per Minnesota 
 69.14  Statutes 1998, section 15.039. 
 69.15     Sec. 68.  [TRANSFER.] 
 69.16     The unobligated balance as of July 1, 1999, of the amount 
 69.17  appropriated to the department of trade and economic development 
 69.18  for a grant to the Minnesota World Trade Center Corporation in 
 69.19  Laws 1992, chapter 513, article 4, section 17, subdivision 2, is 
 69.20  transferred to the world trade center account in the special 
 69.21  revenue fund in the state treasury for world trade center 
 69.22  activities.  
 69.23     Sec. 69.  [TRANSFER OF POSITIONS AND EMPLOYEES.] 
 69.24     All positions and employees of the World Trade Center 
 69.25  Corporation are transferred to the executive branch of the state 
 69.26  government under the department of trade and economic 
 69.27  development on July 1, 1999, under the following conditions. 
 69.28     The commissioner of employee relations will determine which 
 69.29  positions are to be placed in the classified service and which 
 69.30  are placed in the unclassified service of the state in 
 69.31  accordance with appropriate provisions of Minnesota Statutes, 
 69.32  chapter 43A.  The commissioner will allocate positions to 
 69.33  appropriate classes in the state classification plan.  Positions 
 69.34  transferred with their incumbents do not create vacancies in 
 69.35  state service. 
 69.36     Employees transferred to unlimited classified positions are 
 70.1   transferred to state service without examinations.  Those 
 70.2   transferred to positions in the managerial plan pursuant to 
 70.3   Minnesota Statutes, section 43A.18, subdivision 3, who have 
 70.4   completed 12 months of service in their position and all others 
 70.5   who have completed six months of service in their positions are 
 70.6   transferred with permanent status.  Employees transferred to 
 70.7   managerial positions with less than 12 months of service in 
 70.8   their positions are transferred with probationary status.  
 70.9   However, all time spent by these employees in the positions must 
 70.10  be credited toward meeting the probationary period requirement 
 70.11  of the contract or plan governing the classification to which 
 70.12  their positions have been assigned. 
 70.13     Employees transferred to limited classified positions or to 
 70.14  temporary unclassified positions shall receive emergency, 
 70.15  temporary, or temporary unclassified appointments under 
 70.16  provisions of Minnesota Statutes, section 43A.15, subdivisions 2 
 70.17  and 3, or Minnesota Statutes, section 43A.08, subdivision 2a, as 
 70.18  appropriate. 
 70.19     The appointing authority and incumbent employees of 
 70.20  unlimited positions whose positions have been assigned by the 
 70.21  department of employee relations to classes in the state 
 70.22  classification plan shall have access to the provisions of 
 70.23  Minnesota Statutes, section 43A.07, subdivision 3, regarding 
 70.24  protested allocation of their positions effective July 1, 1999, 
 70.25  and for 30 days thereafter.  
 70.26     Sec. 70.  [REPORT; REGULATION OF RISK-BEARING ENTITIES.] 
 70.27     The commissioners of commerce and health shall study the 
 70.28  issues involved in consistent regulation of all entities that 
 70.29  assume financial risks related to health coverage in this 
 70.30  state.  The study must consider all such entities, regardless of 
 70.31  current licensure or regulation.  The study must include a plan 
 70.32  for consistent regulation that can be implemented in a cost 
 70.33  neutral manner for such entities and their enrollees and does 
 70.34  not result in dual regulation.  The commissioners must consider 
 70.35  laws recently enacted by the state of Ohio on this subject and 
 70.36  any relevant model laws or regulations adopted or under 
 71.1   consideration by the National Association of Insurance 
 71.2   Commissioners.  The commissioners shall provide a written 
 71.3   report, with recommendations, to the legislature in compliance 
 71.4   with Minnesota Statutes, section 3.195, no later than January 
 71.5   15, 2000.  
 71.6      Sec. 71.  [DIRECT REDUCTION IRON PROCESSING FACILITIES 
 71.7   APPROPRIATION TRANSFER.] 
 71.8      The appropriation of $10,000,000 made to the commissioner 
 71.9   of trade and economic development for direct reduction iron 
 71.10  processing facilities by Laws 1998, chapter 404, section 23, 
 71.11  subdivision 3, is transferred and appropriated to the Minnesota 
 71.12  minerals 21st century fund created by Minnesota Statutes, 
 71.13  section 116J.423.  The matching requirements of Minnesota 
 71.14  Statutes, section 116J.424, do not apply to expenditures from 
 71.15  the appropriation transferred by this section. 
 71.16     Sec. 72.  [UPPER RED LAKE BUSINESS LOAN PROGRAM.] 
 71.17     The commissioner of trade and economic development must 
 71.18  make loans to businesses in the Upper Red Lake area that have 
 71.19  been severely affected by the significant decline of the walleye 
 71.20  fishing resource in Upper Red Lake.  The loans may only be made 
 71.21  to businesses that operated in 1998.  A business must submit an 
 71.22  application to the commissioner on forms provided by the 
 71.23  commissioner.  The application must include a business plan for 
 71.24  continued operation, with the assistance of the loan, until the 
 71.25  walleye fishing resource recovers.  The commissioner shall 
 71.26  allocate available loan funds to a business based on the 
 71.27  commissioner's evaluation of the probable success of its 
 71.28  business plan.  A loan shall be for a maximum amount of $75,000 
 71.29  and a duration of ten years from the date of the loan and shall 
 71.30  be interest free.  Repayment of a loan in monthly payments of 
 71.31  1/120 of the original principal amount must begin no later than 
 71.32  one year after walleye fishing on Upper Red Lake is allowed by 
 71.33  the department of natural resources.  Any principal balance 
 71.34  remaining at the end of the ten-year period shall be forgiven if 
 71.35  the business continues in operation for the ten-year period.  
 71.36  Loan repayments shall be deposited in the general fund. 
 72.1      Sec. 73.  [PIPESTONE INDIAN SCHOOL AUTHORIZATION.] 
 72.2      Notwithstanding Minnesota Statutes, section 16A.695, the 
 72.3   board of trustees of the Minnesota state colleges and 
 72.4   universities may convey by quitclaim deed, at no cost, the 
 72.5   state's interest in the historic Pipestone Indian school 
 72.6   superintendent's house and gymnasium at the Pipestone campus of 
 72.7   Minnesota West community and technical college.  The conveyance 
 72.8   shall be in a form approved by the attorney general. 
 72.9      The deed must reserve to the state all minerals and mineral 
 72.10  rights and provide that the property shall revert to the state 
 72.11  if the grantee: 
 72.12     (1) fails to provide the use intended on the property; 
 72.13     (2) allows a public use other than the use agreed to by the 
 72.14  board without the written approval of the board; or 
 72.15     (3) abandons the use of the property. 
 72.16     Sec. 74.  [PASS THROUGH GRANT EVALUATION PROCESS.] 
 72.17     This act makes various appropriations that are commonly 
 72.18  referred to as pass through appropriations.  The director of the 
 72.19  Minnesota office of strategic and long-range planning shall 
 72.20  evaluate the following entities to determine the extent to which 
 72.21  their programs (i) are effective in accomplishing the mission of 
 72.22  the entity receiving the grant; (ii) leverage additional funds 
 72.23  from nonstate sources; and (iii) are consistent with the mission 
 72.24  of the state agency by which the grant is administered.  The 
 72.25  director shall report the results of the evaluation to the 
 72.26  legislative finance divisions or committees having jurisdiction 
 72.27  over the appropriations in this act.  The entities to be 
 72.28  evaluated are: 
 72.29     (1) Advantage Minnesota, Inc.; 
 72.30     (2) Rural policy and development center; 
 72.31     (3) metropolitan economic development association; 
 72.32     (4) WomenVenture; 
 72.33     (5) Minnesota Inventor's Congress; 
 72.34     (6) Minnesota Project Innovation; 
 72.35     (7) Natural Resources Research Institute; 
 72.36     (8) Minnesota Council for Quality; 
 73.1      (9) Minnesota Cold Weather Research Center; 
 73.2      (10) Center for Victims of Torture; 
 73.3      (11) St. Paul Rehabilitation Center; 
 73.4      (12) Microenterprise Assistance; 
 73.5      (13) NeighborLink Community Program; and 
 73.6      (14) Neighborhood Development Corporation. 
 73.7      Sec. 75.  [LOW-INCOME ENERGY TASK FORCE.] 
 73.8      The management analysis division of the department of 
 73.9   administration, in consultation with the appropriate 
 73.10  commissioners, shall report to the legislature by January 15, 
 73.11  2000, on the future of low-income energy assistance.  The report 
 73.12  shall be developed with the input of appropriate consumer 
 73.13  advocates, energy providers of various fuel types, energy 
 73.14  assistance delivery organizations and other interested parties. 
 73.15     The report shall analyze and make recommendations in the 
 73.16  following areas: 
 73.17     (1) improvements necessary in the administration of 
 73.18  low-income energy assistance programs to develop a uniform 
 73.19  statewide assistance network, including outreach efforts, 
 73.20  eligibility determination, and areas for technological 
 73.21  improvements; 
 73.22     (2) development of an accurate and consistent method to 
 73.23  determine the number of Minnesotans who should be eligible for 
 73.24  energy assistance and the level of assistance which should be 
 73.25  provided; and 
 73.26     (3) analyze funding level and revenue options for 
 73.27  low-income energy assistance programs consistent with 
 73.28  competitive electric and gas energy markets. 
 73.29     Sec. 76.  [STATE MARKETING PLAN.] 
 73.30     The commissioner of the department of trade and economic 
 73.31  development shall develop a comprehensive marketing plan for the 
 73.32  state's trade, tourism, and economic development activities.  
 73.33  The plan shall include a strategy for integrating the various 
 73.34  marketing activities of the state, including, but not limited 
 73.35  to, the Minnesota trade office, the office of tourism, the 
 73.36  Minnesota film board, Advantage Minnesota, the Minnesota 
 74.1   historical society, and the department of natural resources.  
 74.2   The commissioner shall consult with other state agencies that 
 74.3   market Minnesota for economic development and tourism purposes 
 74.4   and incorporate those activities into a comprehensive "Marketing 
 74.5   Minnesota" plan.  The commissioner shall propose consolidation, 
 74.6   mergers, and other mechanisms that may be necessary to 
 74.7   accomplish this task.  The commissioner shall submit 
 74.8   recommendations to the senate economic development budget 
 74.9   division and the house jobs and economic development finance 
 74.10  committee by February 1, 2000. 
 74.11     Sec. 77.  [REPORT.] 
 74.12     The commissioner of trade and economic development shall 
 74.13  submit a report to the legislature reviewing business 
 74.14  regulations contained in Minnesota Statutes and Minnesota Rules 
 74.15  that have a positive or negative impact on the business climate 
 74.16  in Minnesota.  The commissioner shall submit the report to the 
 74.17  legislature under Minnesota Statutes, section 3.195, by February 
 74.18  15, 2000.  
 74.19     Sec. 78.  [TASK FORCE CREATED.] 
 74.20     The governor's airport community stabilization funding task 
 74.21  force is created.  The task force shall identify and recommend 
 74.22  funding sources for implementation of noise mitigation measures 
 74.23  identified in the MSP Noise Mitigation Program Report dated 
 74.24  November 1996, and the low noise frequency policy committee 
 74.25  convened by the metropolitan airports commission, the 
 74.26  metropolitan council, and the city of Richfield in February 1998.
 74.27     Recommendations shall be provided to the governor and 
 74.28  legislature by January 15, 2000.  Funding sources shall include, 
 74.29  but not be limited to, federal, state, metropolitan airports 
 74.30  commission, and local sources.  The task force shall, to the 
 74.31  extent possible, identify all federal revenue sources that will 
 74.32  mitigate noise impacts from the north/south runway. 
 74.33     The governor shall appoint task force members that include 
 74.34  representatives from the following: 
 74.35     (1) the metropolitan airports commission chair or designee 
 74.36  and one other metropolitan airports commission board member; 
 75.1      (2) one member from the governor's staff; 
 75.2      (3) the commissioner of finance or the commissioner's 
 75.3   designee; 
 75.4      (4) representatives designated by the governing boards of 
 75.5   the following cities: 
 75.6      (i) Bloomington; 
 75.7      (ii) Minneapolis; 
 75.8      (iii) Burnsville; 
 75.9      (iv) Eagan; and 
 75.10     (v) Richfield; 
 75.11     (5) two at-large designees appointed by the governor; and 
 75.12     (6) the commissioner of the department of trade and 
 75.13  economic development or the commissioner's designee.  
 75.14     The task force shall be administered and supported by the 
 75.15  department of trade and economic development. 
 75.16     The first meeting of the task force must be convened no 
 75.17  later than July 31, 1999. 
 75.18     Sec. 79.  [PUBLIC UTILITIES COMMISSION RIGHT-OF-WAY COST 
 75.19  ALLOCATION.] 
 75.20     The public utilities commission shall use available general 
 75.21  fund appropriations made during the biennium ending June 30, 
 75.22  1999, to pay for up to $30,000 of the costs allocated and 
 75.23  assessed to local units of government for right-of-way 
 75.24  rulemaking proceedings.  The allocation and assessment of costs 
 75.25  to the local units of government shall be canceled to the extent 
 75.26  paid pursuant to this section. 
 75.27     Sec. 80.  [REPEALER.] 
 75.28     (a) Minnesota Statutes 1998, sections 44A.001; 44A.01; 
 75.29  44A.02; 44A.023; 44A.025; 44A.031; 44A.0311; 44A.06; 44A.08; 
 75.30  44A.11; and 462A.28, are repealed.  
 75.31     (b) Minnesota Statutes 1998, sections 469.305; 469.306; 
 75.32  469.307; 469.308; and 469.31, are repealed.  
 75.33     (c) Minnesota Statutes 1998, sections 341.01; 341.02; 
 75.34  341.04; 341.045; 341.05; 341.06; 341.07; 341.08; 341.09; 341.10; 
 75.35  341.11; 341.115; 341.12; 341.13; and 341.15, are repealed. 
 75.36     (d) Minnesota Statutes, section 82B.201, as added by Laws 
 76.1   1999, chapter 137, section 5, is repealed effective 
 76.2   retroactively to the day following final enactment of Laws 1999, 
 76.3   chapter 137, so that Minnesota Statutes, section 82B.201, as so 
 76.4   added, never takes effect. 
 76.5      Sec. 81.  [EFFECTIVE DATES.] 
 76.6      Section 48 is effective March 1, 2000. 
 76.7      Sections 59, 61, 62, 64, 65, and 79 are effective the day 
 76.8   following final enactment.  
 76.9      Section 67 is effective June 30, 1999. 
 76.10     Section 80, paragraph (a), is effective July 1, 1999. 
 76.11     Section 80, paragraph (b), is effective July 1, 2000. 
 76.12     Section 80, paragraph (c), is effective July 1, 2001. 
 76.13                             ARTICLE 3
 76.14                 WORKFORCE DEVELOPMENT AND TRAINING 
 76.15     Section 1.  Minnesota Statutes 1998, section 116L.03, 
 76.16  subdivision 1, is amended to read: 
 76.17     Subdivision 1.  [MEMBERS.] The partnership shall be 
 76.18  governed by a board of ~~11~~ 12 directors.  
 76.19     Sec. 2.  Minnesota Statutes 1998, section 116L.03, 
 76.20  subdivision 2, is amended to read: 
 76.21     Subd. 2.  [APPOINTMENT.] The Minnesota job skills 
 76.22  partnership board consists of:  ~~eight~~ nine members appointed by 
 76.23  the governor, the commissioner of trade and economic 
 76.24  development, the commissioner of economic security, and the 
 76.25  chancellor, or the chancellor's designee, of the Minnesota state 
 76.26  colleges and universities.  If the chancellor makes a 
 76.27  designation under this subdivision, the designee must have 
 76.28  experience in technical education.  Two of the appointed members 
 76.29  must be representatives from organized labor.  
 76.30     Sec. 3.  Minnesota Statutes 1998, section 268.022, is 
 76.31  amended to read: 
 76.32     268.022 [WORKFORCE ~~INVESTMENT~~ DEVELOPMENT FUND.] 
 76.33     Subdivision 1.  [DETERMINATION AND COLLECTION OF SPECIAL 
 76.34  ASSESSMENT.] (a) In addition to all other taxes, assessments, 
 76.35  and payment obligations under chapter 268, each employer, except 
 76.36  an employer making payments in lieu of taxes is liable for a 
 77.1   special assessment levied at the rate of one-tenth of one 
 77.2   percent per year until June 30, 2000, and seven-hundredths of 
 77.3   one percent per year on and after July 1, 2000, on all taxable 
 77.4   wages, as defined in section 268.04, subdivision 25b.  The 
 77.5   assessment shall become due and be paid by each employer to the 
 77.6   department on the same schedule and in the same manner as other 
 77.7   taxes. 
 77.8      (b) The special assessment levied under this section shall 
 77.9   not affect the computation of any other taxes, assessments, or 
 77.10  payment obligations due under this chapter. 
 77.11     ~~(c) Notwithstanding any provision to the contrary, if on~~ 
 77.12  ~~June 30 of any year the unobligated balance of the special~~ 
 77.13  ~~assessment fund under this section is greater than $30,000,000,~~ 
 77.14  ~~the special assessment for the following year only shall be~~ 
 77.15  ~~levied at a rate of 1/20th of one percent on all taxable wages.~~ 
 77.16     Subd. 2.  [DISBURSEMENT OF SPECIAL ASSESSMENT FUNDS.] (a) 
 77.17  The money collected under this section shall be deposited in the 
 77.18  state treasury and credited to ~~a dedicated~~ the workforce 
 77.19  development fund to provide for ~~the~~ employment and training 
 77.20  programs ~~established under sections 268.975 to 268.98; including~~ 
 77.21  ~~vocational guidance, training, placement, and job~~ 
 77.22  ~~development~~.  The workforce development fund is created as a 
 77.23  special account in the state treasury. 
 77.24     (b) All money in the ~~dedicated~~ fund not otherwise 
 77.25  appropriated or transferred is appropriated to the commissioner 
 77.26  who must act as the fiscal agent for the money and must disburse 
 77.27  ~~the~~ that money for the purposes of this section, not allowing 
 77.28  the money to be used for any other obligation of the state.  All 
 77.29  money in the ~~dedicated~~ workforce development fund shall be 
 77.30  deposited, administered, and disbursed in the same manner and 
 77.31  under the same conditions and requirements as are provided by 
 77.32  law for the other ~~dedicated funds~~ special accounts in the state 
 77.33  treasury, except that all interest or net income resulting from 
 77.34  the investment or deposit of money in the fund shall accrue to 
 77.35  the fund for the purposes of the fund. 
 77.36     (c) No more than five percent of the ~~dedicated~~ funds 
 78.1   collected in each fiscal year may be used by the department of 
 78.2   economic security for its administrative costs. 
 78.3      (d) Reimbursement for costs related to collection of the 
 78.4   special assessment shall be in an amount negotiated between the 
 78.5   commissioner and the United States Department of Labor. 
 78.6      (e) The ~~dedicated~~ funds appropriated to the commissioner, 
 78.7   less amounts under paragraphs (c) and (d) shall be allocated as 
 78.8   follows:  
 78.9      (1) 40 percent to be allocated annually to substate 
 78.10  grantees for provision of expeditious response activities under 
 78.11  section 268.9771 and worker adjustment services under section 
 78.12  268.9781; and 
 78.13     (2) 60 percent to be allocated to activities and programs 
 78.14  authorized under sections 268.975 to 268.98. 
 78.15     (f) Any funds not allocated, obligated, or expended in a 
 78.16  fiscal year shall be available for allocation, obligation, and 
 78.17  expenditure in the following fiscal year. 
 78.18     Sec. 4.  [COMPREHENSIVE WORKFORCE DEVELOPMENT ANALYSIS.] 
 78.19     The commissioner of the department of economic security, 
 78.20  the commissioner of trade and economic development, the 
 78.21  chancellor of the Minnesota state colleges and universities, and 
 78.22  the director of the Minnesota office of strategic and long-range 
 78.23  planning shall conduct a multi-agency study of strategic 
 78.24  consolidation of workforce training in the state and submit 
 78.25  their report to the governor and the legislature by January 15, 
 78.26  2000.  The purpose of the study is to identify workforce 
 78.27  training programs administered by state agencies and to 
 78.28  recommend any program changes or consolidations which would 
 78.29  serve to encourage the growth of high-skill, high-wage jobs 
 78.30  while ensuring that the state has an adequate number of workers 
 78.31  with the skills necessary to succeed in those jobs.  The study 
 78.32  will address the extent to which consolidations or program 
 78.33  changes would achieve the following objectives: 
 78.34     (1) effective and efficient training, retraining, and 
 78.35  upgrading of the workforce to succeed in high-skill, high-wage 
 78.36  jobs; 
 79.1      (2) encouragement to those not currently in the workforce 
 79.2   to enter or reenter the labor market; 
 79.3      (3) increasing access to information about jobs and the 
 79.4   labor market; 
 79.5      (4) facilitation of efficient job placement; 
 79.6      (5) encouragement and facilitation of productivity 
 79.7   enhancements in the public and private sectors. 
 79.8      Sec. 5.  [TRANSFER OF DISLOCATED WORKER PROGRAM FUNCTION TO 
 79.9   DEPARTMENT OF TRADE AND ECONOMIC DEVELOPMENT.] 
 79.10     The responsibility of the department of economic security 
 79.11  for the dislocated workers program under Minnesota Statutes, 
 79.12  sections 268.022 and 268.975 to 268.98, is transferred pursuant 
 79.13  to Minnesota Statutes, section 15.039 to the jobs skills 
 79.14  partnership board. 
 79.15     Sec. 6.  [WORKFORCE DEVELOPMENT FUND; SUCCESSOR IN 
 79.16  INTEREST.] 
 79.17     The workforce development fund is a renaming of the 
 79.18  workforce investment fund and all money in the workforce 
 79.19  investment fund shall be transferred to the workforce 
 79.20  development fund. 
 79.21     Sec. 7.  [APPROPRIATION.] 
 79.22     $29,000,000 is appropriated on July 1, 1999, from the 
 79.23  general fund to the Minnesota workforce development fund, 
 79.24  created under Minnesota Statutes, section 268.022. 
 79.25     Sec. 8.  [EFFECTIVE DATE.] 
 79.26     Sections 1, 2, and 5 are effective July 1, 2000.