1.1                          A bill for an act 
  1.2             relating to civil law; changing certain provisions of 
  1.3             trust law; clarifying procedures and terms; providing 
  1.4             an effective date; making technical changes to 
  1.5             guardianship and conservatorship law and correcting 
  1.6             certain references; amending Minnesota Statutes 2002, 
  1.7             sections 144.343, subdivision 2; 145B.03, subdivision 
  1.8             3; 145C.05, subdivision 2; 145C.07, subdivisions 2, 4; 
  1.9             147.091, subdivision 2; 147A.13, subdivision 2; 
  1.10            148.10, subdivision 6; 148.75; 153.22, subdivision 4; 
  1.11            156.122; 176.092, subdivision 1; 196.051, subdivision 
  1.12            2; 252A.01, subdivision 1; 252A.03, subdivision 3; 
  1.13            252A.06, subdivision 2; 252A.081; 252A.111; 252A.171; 
  1.14            252A.19; 253B.03, subdivisions 4a, 6, 6a, 6d, 11; 
  1.15            257B.02; 257B.04, subdivision 4; 257B.06, subdivision 
  1.16            2; 257C.02; 260C.325, subdivision 3; 270B.03, 
  1.17            subdivision 2; 501B.08; 501B.14, subdivision 3; 
  1.18            501B.16; 501B.47; 501B.49, subdivision 2; 501B.50; 
  1.19            501B.51, subdivision 1; 501B.53, subdivision 4; 
  1.20            519.07; 523.03; 524.1-201; 524.2-606; 524.3-715; 
  1.21            525.71; 609.2325, subdivision 2; 609.233, subdivision 
  1.22            2; 626.557, subdivision 10; 626.5572, subdivision 17; 
  1.23            Minnesota Statutes 2003 Supplement, sections 256J.14; 
  1.24            524.5-104; 524.5-118, subdivision 2; 524.5-304; 
  1.25            524.5-308; 524.5-406; 524.5-408; 524.5-417; Laws 2002, 
  1.26            chapter 347, section 5; proposing coding for new law 
  1.27            in Minnesota Statutes, chapter 501B. 
  1.28  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.29                             ARTICLE 1 
  1.30                               TRUSTS 
  1.31     Section 1.  [501B.012] [MEMORIAL FUND.] 
  1.32     Subdivision 1.  [ESTABLISHMENT.] A trust may be created for 
  1.33  the purpose of establishing a fund for the benefit of one or 
  1.34  more individuals with a single transfer under the Minnesota 
  1.35  Uniform Custodial Trust Act in the manner and form provided by 
  1.36  section 529.17.  A trust authorized under this section must be 
  2.1   created and administered and is subject to the Minnesota Uniform 
  2.2   Custodial Trust Act. 
  2.3      Subd. 2.  [ADDITIONAL FUNDS.] Notwithstanding subdivision 
  2.4   1, after a fund has been created, additional funds may be 
  2.5   transferred to the fund without the formalities required by 
  2.6   chapter 529 if the transferor manifests a reasonable expression 
  2.7   of intent to make the transfer, together with a reasonable form 
  2.8   of delivery of the property including, but not limited to, the 
  2.9   following: 
  2.10     (1) a check payable to the name of the fund and delivered 
  2.11  to the trustee or the trustee's custodial agent; 
  2.12     (2) delivery of cash or tangible personal property to the 
  2.13  trustee or to the trustee's custodial agent; 
  2.14     (3) delivery and recording of title of stock or other 
  2.15  registered security in the name of the fund; 
  2.16     (4) delivery of a deed and acceptance of the deed by the 
  2.17  trustee of the fund, or the recording of a deed in the name of 
  2.18  the trustee of the fund with the applicable county recorder or 
  2.19  registrar of titles for real property; and 
  2.20     (5) any other means of transfer and delivery so that a 
  2.21  reasonable person would conclude that the transferor intended 
  2.22  the property be titled in the name of, and used for the benefit 
  2.23  of the beneficiaries of, the fund. 
  2.24     Sec. 2.  Minnesota Statutes 2002, section 501B.08, is 
  2.25  amended to read: 
  2.26     501B.08 [APPOINTMENT OF AND ACQUISITION OF TITLE BY 
  2.27  SUCCESSOR TRUSTEES AND CONFIRMATION OF ACTS PERFORMED DURING 
  2.28  VACANCIES IN TRUSTEESHIP.] 
  2.29     If the terms of a trust provide for the appointment of a 
  2.30  successor trustee and direct how the successor is to qualify, 
  2.31  title to the trust assets vests in the successor trustee upon 
  2.32  qualification, unless the terms of the trust expressly provide 
  2.33  otherwise. 
  2.34     If the terms of a trust do not effectively provide for the 
  2.35  appointment of a successor trustee and appointment of a 
  2.36  successor is required, or if title to the trust assets does not 
  3.1   vest in a successor trustee, the district court may appoint a 
  3.2   successor trustee or vest title in a successor trustee.  
  3.3      Whenever the district court appoints a successor trustee, 
  3.4   it is presumed that a corporate trustee must must be replaced by 
  3.5   another corporate trustee unless the court finds it would best 
  3.6   serve the interests of all the beneficiaries and is not 
  3.7   inconsistent with a material purpose of the trust to not appoint 
  3.8   a corporate trustee. 
  3.9      The district court may confirm an act performed by a person 
  3.10  in execution of the trust while there was no acting trustee. 
  3.11     Sec. 3.  Minnesota Statutes 2002, section 501B.14, 
  3.12  subdivision 3, is amended to read: 
  3.13     Subd. 3.  [APPLICATION.] (a) Except as provided in 
  3.14  paragraph (b), this section applies to any exercise of any 
  3.15  powers of the trustee after May 14, 1993, under any trust 
  3.16  created before, on, or after May 14, 1993, unless the terms of 
  3.17  the trust refer specifically to this section and provide that 
  3.18  this section does not apply.  
  3.19     (b) This section does not apply to a trustee: 
  3.20     (1) who retains or is granted an unlimited lifetime or 
  3.21  testamentary power, exercisable in a capacity other than as 
  3.22  trustee, to revoke the trust, or to withdraw all of the income 
  3.23  and principal of the trust, or to appoint all of the income and 
  3.24  principal of the trust to the trustee individually or the 
  3.25  trustee's estate; 
  3.26     (2) of a trust created on or before May 14, 1993, if the 
  3.27  entire principal of the trust would be included in the gross 
  3.28  estate of the trustee for federal estate tax purposes if the 
  3.29  trustee had died on May 14, 1993, without regard to any power 
  3.30  described in subdivision 1; 
  3.31     (3) of a trust created on or before May 14, 1993, if no 
  3.32  part of the principal of the trust would be included in the 
  3.33  gross estate of the trustee for federal estate tax purposes if 
  3.34  the trustee had died on May 14, 1993, without exercising the 
  3.35  power; or 
  3.36     (4) of a trust created on or before May 14, 1993, if (i) 
  4.1   the trust is not exempt from generation-skipping transfer tax 
  4.2   under chapter 13 of the Internal Revenue Code of 1986, as 
  4.3   amended through December 31, 1992, because of Public Law 99-514, 
  4.4   section 1433(b) to (d); (ii) there would be a taxable 
  4.5   termination with respect to the assets held in the trust if the 
  4.6   trustee and all beneficiaries of the trust who are assigned to 
  4.7   the trustee's generation or a higher generation had died on May 
  4.8   14, 1993; and (iii) the trust would have an inclusion ratio, as 
  4.9   defined in section 2642(c) of the Internal Revenue Code of 1986, 
  4.10  as amended through December 31, 1992, of one with respect to the 
  4.11  taxable termination; or 
  4.12     (5) of a trust created on or before May 14, 1993, if (i) on 
  4.13  May 14, 1993, there is no person with the power to amend or 
  4.14  revoke the trust, and (ii) on May 14, 1993, there is only one 
  4.15  trustee of the trust.  
  4.16     (c) This section has no effect on an action taken by a 
  4.17  trustee on or before May 14, 1993. 
  4.18     Sec. 4.  [501B.154] [NONJUDICIAL SETTLEMENT AGREEMENTS.] 
  4.19     (a) The trustee and all beneficiaries of a trust not under 
  4.20  court supervision may enter into a binding nonjudicial 
  4.21  settlement agreement with respect to the matters listed in 
  4.22  paragraph (c). 
  4.23     (b) A nonjudicial settlement agreement is valid only to the 
  4.24  extent it does not violate a material purpose of the trust, 
  4.25  subject to paragraph (c), clause (5), and includes terms and 
  4.26  conditions that could be properly approved by the court under 
  4.27  applicable law. 
  4.28     (c) Matters that may be resolved by nonjudicial settlement 
  4.29  agreement are: 
  4.30     (1) the approval of a trustee's accounting; 
  4.31     (2) the resignation of a trustee; 
  4.32     (3) the determination of a trustee's compensation; 
  4.33     (4) the transfer of the trust's situs; and 
  4.34     (5) the termination of a noncharitable trust and 
  4.35  distribution of the trust property if the fair market value of 
  4.36  the trust is less than $50,000, as determined on the date of the 
  5.1   nonjudicial settlement agreement, and it has been determined 
  5.2   that relative to the costs of administering the trust, 
  5.3   continuance pursuant to its existing terms will defeat or 
  5.4   substantially impair the accomplishment of its purposes.  The 
  5.5   trust property must be distributed in a manner which conforms as 
  5.6   nearly as possible to the intention of the grantor.  The 
  5.7   existence of a spendthrift or similar protective provision in 
  5.8   the trust does not conclusively make this clause inapplicable. 
  5.9      Sec. 5.  [501B.155] [REPRESENTATION; PLEADINGS; WHEN 
  5.10  PARTIES ARE BOUND BY OTHERS; NOTICE.] 
  5.11     Subdivision 1.  [APPLICABILITY.] Subdivisions 2 to 4 apply 
  5.12  in judicial proceedings involving trusts and in nonjudicial 
  5.13  settlement agreements under section 501B.154. 
  5.14     Subd. 2.  [DESCRIPTION TO GIVE REASONABLE 
  5.15  NOTICE.] Interests to be affected must be described in the 
  5.16  agreement or pleadings which give reasonable information to 
  5.17  owners by name or class, by reference to the instrument creating 
  5.18  the interests, or in another appropriate manner. 
  5.19     Subd. 3.  [BINDING EFFECT OF ORDERS AND AGREEMENTS.] (a) 
  5.20  Persons are bound by orders and nonjudicial settlement 
  5.21  agreements binding others in the cases in paragraphs (b) to (d). 
  5.22     (b) Orders and agreements binding the sole holder or all 
  5.23  coholders of a power of revocation or a presently exercisable 
  5.24  general power of appointment, including one in the form of a 
  5.25  power of amendment, bind all persons to the extent that their 
  5.26  interests, as objects, takers in default, or otherwise are 
  5.27  subject to the power. 
  5.28     (c) To the extent there is no conflict of interest between 
  5.29  them or among persons represented: 
  5.30     (1) orders and agreements binding a conservator of the 
  5.31  property bind the protected person; 
  5.32     (2) orders and agreements binding a guardian bind the ward 
  5.33  if no conservator of the estate has been appointed; and 
  5.34     (3) orders imposed upon and agreements entered into by an 
  5.35  agent having authority to represent and act on behalf of the 
  5.36  principal with respect to a particular question or dispute bind 
  6.1   the principal. 
  6.2      (d) An unborn or unascertained person, a person whose 
  6.3   identity or location is unknown and not reasonably 
  6.4   ascertainable, a minor, or any other person under a legal 
  6.5   disability who is not otherwise represented is bound by an order 
  6.6   or nonjudicial settlement agreement to the extent that the 
  6.7   person's interest is represented by another party having a 
  6.8   substantially identical interest, but only to the extent there 
  6.9   is no conflict of interest between them or among persons 
  6.10  represented.  A person's identity or location is not reasonably 
  6.11  ascertainable if the identity or location is unable to be 
  6.12  determined or ascertained after a diligent search is made. 
  6.13     Subd. 4.  [REQUIRED NOTICE.] In judicial proceedings 
  6.14  involving trusts, notice is required as follows: 
  6.15     (1) notice as prescribed by section 501B.18 must be given 
  6.16  to every interested person or to one who can bind an interested 
  6.17  person as described in subdivision 3, paragraph (c), clause (1), 
  6.18  (2), or (3), and may be given both to a person and to another 
  6.19  who may bind the person; 
  6.20     (2) notice is given to unborn or unascertained persons, who 
  6.21  are not represented under subdivision 3, paragraph (c), clause 
  6.22  (1), (2), or (3), by giving notice to all known persons whose 
  6.23  interests in the proceedings are substantially identical to 
  6.24  those of the unborn or unascertained persons. 
  6.25     Sec. 6.  Minnesota Statutes 2002, section 501B.16, is 
  6.26  amended to read: 
  6.27     501B.16 [PETITION FOR COURT ORDER.] 
  6.28     A trustee of an express trust by will or other written 
  6.29  instrument or a person interested in the trust may petition the 
  6.30  district court for an order: 
  6.31     (1) to confirm an action taken by a trustee; 
  6.32     (2) upon filing of an account, to settle and allow the 
  6.33  account; 
  6.34     (3) to determine the persons having an interest in the 
  6.35  income or principal of the trust and the nature and extent of 
  6.36  their interests; 
  7.1      (4) to construe, interpret, or reform the terms of a trust, 
  7.2   or authorize a deviation from the terms of a trust, including a 
  7.3   proceeding involving section 501B.31; 
  7.4      (5) to approve payment of the trustee's fees, attorneys' 
  7.5   fees, accountants' fees, or any other fees to be charged against 
  7.6   the trust; 
  7.7      (6) to confirm the appointment of a trustee; 
  7.8      (7) to accept a trustee's resignation and discharge the 
  7.9   trustee from the trust; 
  7.10     (8) to require a trustee to account; 
  7.11     (9) to remove a trustee for cause; or if the court finds 
  7.12  that removal of the trustee best serves the interests of all of 
  7.13  the beneficiaries, is not inconsistent with a material purpose 
  7.14  of the trust, and one or more of the following elements is found:
  7.15     (i) the trustee has committed a serious breach of trust; 
  7.16     (ii) lack of cooperation among cotrustees substantially 
  7.17  impairs the administration of the trust; 
  7.18     (iii) the unfitness, unwillingness, or persistent failure 
  7.19  of the trustee to administer the trust effectively; 
  7.20     (iv) there has been a substantial change of circumstances; 
  7.21  or 
  7.22     (v) removal is requested by all of the beneficiaries not 
  7.23  under disability who, on the date the petition is signed, either 
  7.24  are current permissible distributees of trust income or 
  7.25  principal, or would be permissible distributees of trust income 
  7.26  or principal if the trust terminated on that date; 
  7.27     (10) to appoint a successor trustee when required by the 
  7.28  terms of the trust instrument or when by reason of death, 
  7.29  resignation, removal, or other cause there is no acting trustee; 
  7.30     (11) to confirm an act performed in execution of the trust 
  7.31  by a person while there was no acting trustee; 
  7.32     (12) to subject a trust to continuing court supervision 
  7.33  under section 501B.23; 
  7.34     (13) to remove a trust from continuing court supervision 
  7.35  under section 501B.23; 
  7.36     (14) to mortgage, lease, sell, or otherwise dispose of real 
  8.1   property held by the trustee notwithstanding any contrary 
  8.2   provision of the trust instrument; 
  8.3      (15) to suspend the powers and duties of a trustee in 
  8.4   military service or war service in accordance with section 
  8.5   525.95 and to order further action authorized in that section; 
  8.6      (16) to secure compliance with the provisions of sections 
  8.7   501B.33 to 501B.45, in accordance with section 501B.41; 
  8.8      (17) to determine the validity of a disclaimer filed under 
  8.9   section 501B.86; 
  8.10     (18) to change the situs of a trust; 
  8.11     (19) to redress a breach of trust; 
  8.12     (20) to terminate a trust; 
  8.13     (21) to divide a trust under section 501B.15; 
  8.14     (22) to merge two or more trusts under section 501B.15; or 
  8.15     (23) to instruct the trustee, beneficiaries, and any other 
  8.16  interested parties in any matter relating to the administration 
  8.17  of the trust and the discharge of the trustee's duties. 
  8.18     Sec. 7.  [501B.91] [TRUST FOR CARE OF ANIMAL.] 
  8.19     (a) A testamentary trust may be created by will or will 
  8.20  substitute to provide exclusively for the care of an animal.  
  8.21  The trust is only valid if funded upon the death of an 
  8.22  individual and must terminate upon the first to occur of (1) the 
  8.23  expiration of 21 years after creation of the trust, or (2) the 
  8.24  death of the animal or, if the trust was created to provide for 
  8.25  the care of more than one animal, upon the death of the last 
  8.26  surviving animal.  For purposes of this section, a "will 
  8.27  substitute" includes, but is not limited to, a revocable or 
  8.28  irrevocable trust. 
  8.29     (b) A trust authorized by this section may be enforced by a 
  8.30  person appointed in the terms of the trust or, if no person is 
  8.31  so appointed, by a person appointed by the court.  A person 
  8.32  having an interest in the welfare of the animal may request the 
  8.33  court to appoint a person to enforce the trust or to remove a 
  8.34  person appointed. 
  8.35     (c) Property of a trust authorized by this section may be 
  8.36  applied only to its intended use, except to the extent the court 
  9.1   determines that the value of the trust property exceeds the 
  9.2   amount required for the intended use.  Upon termination of the 
  9.3   trust, or if the court determines the trust has excess funds, 
  9.4   the trustee shall transfer the unexpended or excess trust 
  9.5   property pursuant to the terms of the trust instrument, or if 
  9.6   there is no such provision then the trust shall pass to the 
  9.7   grantor's heirs-at-law determined as if the grantor died 
  9.8   intestate domiciled in this state at the time of such 
  9.9   distribution. 
  9.10     Sec. 8.  Laws 2002, chapter 347, section 5, is amended to 
  9.11  read: 
  9.12     Sec. 5.  [EFFECTIVE DATE.] 
  9.13     Section 2 applies to decedents dying after July 31, 2002.  
  9.14  Section 4 applies to proceedings for a decree of descent 
  9.15  commenced after July 31, 2002. 
  9.16                             ARTICLE 2 
  9.17                     GUARDIANS AND CONSERVATORS 
  9.18     Section 1.  Minnesota Statutes 2003 Supplement, section 
  9.19  524.5-104, is amended to read: 
  9.20     524.5-104 [FACILITY OF TRANSFER.] 
  9.21     (a) A person required to transfer money or personal 
  9.22  property to a minor may do so, as to an amount or value not 
  9.23  exceeding $5,000 per year or a different amount that is approved 
  9.24  by the court, by transferring it to: 
  9.25     (1) a person who has the care and custody of the minor and 
  9.26  with whom the minor resides; 
  9.27     (2) a guardian of the minor; 
  9.28     (3) a custodian under the Uniform Transfers To Minors Act 
  9.29  or custodial trustee under the Uniform Custodial Trust Act; or 
  9.30     (4) a financial institution as a deposit in an 
  9.31  interest-bearing account or certificate in the sole name of the 
  9.32  minor and giving notice of the deposit to the minor. 
  9.33     (b) This section does not apply if the person making 
  9.34  payment or delivery knows that a conservator has been appointed 
  9.35  or that a proceeding for appointment of a conservator of the 
  9.36  minor is pending. 
 10.1      (c) A person who transfers money or property in compliance 
 10.2   with this section is not responsible for its proper application. 
 10.3      (d) A guardian or other person who receives money or 
 10.4   property for a minor under paragraph (a), clause (1) or (2), may 
 10.5   only apply it to the support, care, education, health, and 
 10.6   welfare of the minor, and may not derive a personal financial 
 10.7   benefit except for reimbursement for necessary expenses.  Any 
 10.8   excess must be preserved for the future support, care, 
 10.9   education, health, and welfare of the minor and any balance must 
 10.10  be transferred to the minor upon emancipation or attaining 
 10.11  majority.  
 10.12     Sec. 2.  Minnesota Statutes 2003 Supplement, section 
 10.13  524.5-118, subdivision 2, is amended to read: 
 10.14     Subd. 2.  [PROCEDURE; CRIMINAL HISTORY AND MALTREATMENT 
 10.15  RECORDS BACKGROUND CHECK.] (a) The court shall request the 
 10.16  commissioner of human services to complete a background study 
 10.17  under section 245A.041 245C.32.  The request must be accompanied 
 10.18  by the applicable fee and the signed consent of the subject of 
 10.19  the study authorizing the release of the data obtained to the 
 10.20  court.  If the court is requesting a search of the National 
 10.21  Criminal Records Repository, the request must be accompanied by 
 10.22  a set of classifiable fingerprints of the subject of the study.  
 10.23  The fingerprints must be recorded on a fingerprint card provided 
 10.24  by the commissioner of human services. 
 10.25     (b) The commissioner of human services shall provide the 
 10.26  court with information from the Bureau of Criminal 
 10.27  Apprehension's criminal justice information system, other 
 10.28  criminal history data held by the commissioner of human 
 10.29  services, and data regarding substantiated maltreatment of 
 10.30  vulnerable adults under section 626.557 and substantiated 
 10.31  maltreatment of minors under section 626.556 within 15 working 
 10.32  days of receipt of a request.  If the subject of the study has 
 10.33  been the perpetrator of substantiated maltreatment of a 
 10.34  vulnerable adult or minor, the response must include a copy of 
 10.35  the public portion of the investigation memorandum under section 
 10.36  626.557, subdivision 12b, or the public portion of the 
 11.1   investigation memorandum under section 626.556, subdivision 
 11.2   10f.  If the court did not request a search of the National 
 11.3   Criminal Records Repository and information from the Bureau of 
 11.4   Criminal Apprehension indicates that the subject is a multistate 
 11.5   offender or that multistate offender status is undetermined, the 
 11.6   response must include this information.  The commissioner shall 
 11.7   provide the court with information from the National Criminal 
 11.8   Records Repository within three working days of the 
 11.9   commissioner's receipt of the data. 
 11.10     (c) Notwithstanding section 626.557, subdivision 12b, or 
 11.11  626.556, subdivision 10f, if the commissioner of human services 
 11.12  or a county lead agency has information that a person on whom a 
 11.13  background study was previously done under this section has been 
 11.14  determined to be a perpetrator of maltreatment of a vulnerable 
 11.15  adult or minor, the commissioner or the county may provide this 
 11.16  information to the court that requested the background study.  
 11.17  The commissioner may also provide the court with additional 
 11.18  criminal history or substantiated maltreatment information that 
 11.19  becomes available after the background study is done. 
 11.20     Sec. 3.  Minnesota Statutes 2003 Supplement, section 
 11.21  524.5-304, is amended to read: 
 11.22     524.5-304 [JUDICIAL APPOINTMENT OF GUARDIAN:  PRELIMINARIES 
 11.23  TO HEARING.] 
 11.24     (a) Upon receipt of a petition to establish a guardianship, 
 11.25  the court shall set a date and time for hearing the petition and 
 11.26  may appoint a visitor.  The duties and reporting requirements of 
 11.27  the visitor are limited to the relief requested in the petition. 
 11.28  The visitor must be an individual having training or experience 
 11.29  in the type of incapacity alleged. 
 11.30     (b) A proposed ward has the right to be represented by 
 11.31  counsel at any proceeding under this article.  The court shall 
 11.32  appoint counsel to represent the proposed ward for the initial 
 11.33  proceeding held pursuant to section 524.5-307 if neither the 
 11.34  proposed ward nor others provide counsel unless in a meeting 
 11.35  with a visitor the proposed ward specifically waives the right 
 11.36  to counsel.  Counsel must be appointed immediately after any 
 12.1   petition under this article is served under section 524.5-308.  
 12.2   Counsel has the full right of subpoena.  In all proceedings 
 12.3   under this article, counsel shall: 
 12.4      (1) consult with the proposed ward before any hearing; 
 12.5      (2) be given adequate time to prepare for all hearings; and 
 12.6      (3) continue to represent the person throughout any 
 12.7   proceedings under section 524.5-307, provided that such 
 12.8   appointment shall expire upon the expiration of the appeal time 
 12.9   for the order appointing guardian or the order dismissing a 
 12.10  petition, or upon such other time or event as the court may 
 12.11  direct. 
 12.12     The court need not appoint counsel to represent the 
 12.13  proposed ward on a voluntary petition, and the court may remove 
 12.14  a court-appointed attorney at any time if the court finds that 
 12.15  the proposed ward has made a knowing and intelligent waiver of 
 12.16  the right to counsel or has obtained private counsel. 
 12.17     (c) The visitor shall personally serve the notice and 
 12.18  petition upon the respondent and shall offer to read the notice 
 12.19  and petition to the respondent, and if so requested the visitor 
 12.20  shall read the notice and petition to such person.  The visitor 
 12.21  shall also interview the respondent in person, and to the extent 
 12.22  that the respondent is able to understand: 
 12.23     (1) explain to the respondent the substance of the 
 12.24  petition; the nature, purpose, and effect of the proceeding; the 
 12.25  respondent's rights at the hearing; and the general powers and 
 12.26  duties of a guardian; 
 12.27     (2) determine the respondent's views about the proposed 
 12.28  guardian, the proposed guardian's powers and duties, and the 
 12.29  scope and duration of the proposed guardianship; 
 12.30     (3) inform the respondent of the right to employ and 
 12.31  consult with a lawyer at the respondent's own expense and the 
 12.32  right to request a court-appointed lawyer; and 
 12.33     (4) inform the respondent that all costs and expenses of 
 12.34  the proceeding, including respondent's attorneys fees, will be 
 12.35  paid from the respondent's estate. 
 12.36     (d) In addition to the duties in paragraph (c), the visitor 
 13.1   shall make any other investigation the court directs. 
 13.2      (e) The visitor shall promptly file a report in writing 
 13.3   with the court, which must include: 
 13.4      (1) recommendations regarding the appropriateness of 
 13.5   guardianship, including whether less restrictive means of 
 13.6   intervention are available, the type of guardianship, and, if a 
 13.7   limited guardianship, the powers to be granted to the limited 
 13.8   guardian; 
 13.9      (2) a statement as to whether the respondent approves or 
 13.10  disapproves of the proposed guardian, and the powers and duties 
 13.11  proposed or the scope of the guardianship; and 
 13.12     (3) any other matters the court directs. 
 13.13     (f) The county social service agency may create a screening 
 13.14  committee to review a petition involving an indigent person.  
 13.15  The screening committee must consist of individuals selected by 
 13.16  the agency with knowledge of alternatives that are less 
 13.17  restrictive than guardianship.  If the agency has created a 
 13.18  screening committee, the court shall make its decision after the 
 13.19  screening committee has reviewed the petition.  For an indigent 
 13.20  person, the court may appoint a guardian under contract with the 
 13.21  county to provide these services. 
 13.22     Sec. 4.  Minnesota Statutes 2003 Supplement, section 
 13.23  524.5-308, is amended to read: 
 13.24     524.5-308 [NOTICE.] 
 13.25     (a) A copy of the petition and notice of the hearing on a 
 13.26  petition for guardianship must be served personally on the 
 13.27  respondent pursuant to section 524.5-304, paragraph (c).  The 
 13.28  notice must include a statement that the respondent must be 
 13.29  physically present unless excused by the court; inform the 
 13.30  respondent of the respondent's rights at the hearing; and 
 13.31  include a description of the nature, purpose, and consequences 
 13.32  of an appointment.  A failure to serve the respondent with a 
 13.33  notice substantially complying with this paragraph precludes the 
 13.34  court from granting the petition. 
 13.35     (b) In a proceeding to establish a guardianship, notice of 
 13.36  the hearing shall also be given to the persons listed in the 
 14.1   petition.  Failure to give notice under this paragraph does not 
 14.2   preclude the appointment of a guardian or the making of a 
 14.3   protective order. 
 14.4      (c) Notice of the hearing on a petition for an order after 
 14.5   appointment of a guardian shall be given to interested persons 
 14.6   pursuant to section 524.5-113 and to any other person as ordered 
 14.7   by the court, except notice to the ward is not required if the 
 14.8   ward has not attained 14 years of age and is not the petitioner. 
 14.9      (d) The guardian shall give notice of the filing of the 
 14.10  guardian's report, together with a copy of the report, to the 
 14.11  ward, the court, and any other person the court directs.  The 
 14.12  notice must be sent or delivered within 14 days after the filing 
 14.13  of the report. 
 14.14     Sec. 5.  Minnesota Statutes 2003 Supplement, section 
 14.15  524.5-406, is amended to read: 
 14.16     524.5-406 [ORIGINAL PETITION:  PERSONS UNDER DISABILITY; 
 14.17  PRELIMINARIES TO HEARING.] 
 14.18     (a) Upon the filing of a petition for a conservatorship or 
 14.19  other protective order for a respondent for reasons other than 
 14.20  being a minor, the court shall set a date for hearing. and the 
 14.21  court shall may appoint a visitor.  The duties and reporting 
 14.22  requirements of the visitor are limited to the relief requested 
 14.23  in the petition.  The visitor must be an individual having 
 14.24  training or experience in the type of incapacity alleged. 
 14.25     (b) A respondent has the right to be represented by counsel 
 14.26  at any proceeding under this article.  The court shall appoint 
 14.27  counsel to represent the respondent for the initial proceeding 
 14.28  held pursuant to section 524.5-408 if neither the respondent nor 
 14.29  others provide counsel, unless in a meeting with a visitor, the 
 14.30  proposed respondent specifically waives the right to counsel.  
 14.31  Counsel must be appointed immediately after any petition under 
 14.32  this part is served pursuant to section 524.5-404.  Counsel has 
 14.33  the full right of subpoena.  In all proceedings under this part, 
 14.34  counsel shall: 
 14.35     (1) consult with the respondent before any hearing; 
 14.36     (2) be given adequate time to prepare for all hearings; and 
 15.1      (3) continue to represent the respondent throughout any 
 15.2   proceedings under section 524.5-408, provided that such 
 15.3   appointment shall expire upon the expiration of the appeal time 
 15.4   for the order appointing conservator or the order dismissing a 
 15.5   petition, or upon such other time or event as the court may 
 15.6   direct. 
 15.7      The court need not appoint counsel to represent the 
 15.8   respondent on a voluntary petition, and the court may remove a 
 15.9   court-appointed attorney at any time if the court finds that the 
 15.10  respondent has made a knowing and intelligent waiver of the 
 15.11  right to counsel or has obtained private counsel. 
 15.12     (c) The visitor shall personally serve the notice and 
 15.13  petition upon the respondent and shall offer to read the notice 
 15.14  and petition to the respondent, and if so requested, the visitor 
 15.15  shall read the notice and petition to such person.  The visitor 
 15.16  shall also interview the respondent in person, and to the extent 
 15.17  that the respondent is able to understand: 
 15.18     (1) explain to the respondent the substance of the petition 
 15.19  and the nature, purpose, and effect of the proceeding; 
 15.20     (2) if the appointment of a conservator is requested, 
 15.21  inform the respondent of the general powers and duties of a 
 15.22  conservator and determine the respondent's views regarding the 
 15.23  proposed conservator, the proposed conservator's powers and 
 15.24  duties, and the scope and duration of the proposed 
 15.25  conservatorship; 
 15.26     (3) inform the respondent of the respondent's rights, 
 15.27  including the right to employ and consult with a lawyer at the 
 15.28  respondent's own expense, and the right to request a 
 15.29  court-appointed lawyer; and 
 15.30     (4) inform the respondent that all costs and expenses of 
 15.31  the proceeding, including respondent's attorney fees, will be 
 15.32  paid from the respondent's estate. 
 15.33     (d) In addition to the duties set out in paragraph (c), the 
 15.34  visitor shall make any other investigations the court directs. 
 15.35     (e) The visitor shall promptly file a report with the court 
 15.36  which must include: 
 16.1      (1) recommendations regarding the appropriateness of a 
 16.2   conservatorship, including whether less restrictive means of 
 16.3   intervention are available, the type of conservatorship, and, if 
 16.4   a limited conservatorship, the powers and duties to be granted 
 16.5   the limited conservator, and the assets over which the 
 16.6   conservator should be granted authority; 
 16.7      (2) a statement as to whether the respondent approves or 
 16.8   disapproves of the proposed conservator, and the powers and 
 16.9   duties proposed or the scope of the conservatorship; and 
 16.10     (3) any other matters the court directs. 
 16.11     (f) While a petition to establish a conservatorship or for 
 16.12  another protective order is pending, after preliminary hearing 
 16.13  and without notice to others, the court may make orders to 
 16.14  preserve and apply the property of the respondent as may be 
 16.15  required for the support of the respondent or individuals who 
 16.16  are in fact dependent upon the respondent, and may appoint an 
 16.17  agent to assist in that task. 
 16.18     Sec. 6.  Minnesota Statutes 2003 Supplement, section 
 16.19  524.5-408, is amended to read: 
 16.20     524.5-408 [ORIGINAL PETITION:  PROCEDURE AT HEARING.] 
 16.21     (a) Unless excused by the court for good cause, the 
 16.22  petitioner and a the proposed conservator shall attend the 
 16.23  hearing.  The respondent shall attend and participate in the 
 16.24  hearing unless excused by the court for good cause.  The 
 16.25  petitioner and respondent may present evidence and subpoena 
 16.26  witnesses and documents, examine witnesses, including the 
 16.27  visitor, and otherwise participate in the hearing.  The hearing 
 16.28  may be held in a location convenient to the respondent and may 
 16.29  be closed upon request of the respondent and a showing of good 
 16.30  cause. 
 16.31     (b) Any person may request permission to participate in the 
 16.32  proceeding.  The court may grant the request, with or without 
 16.33  hearing, upon a showing of good cause and after determining that 
 16.34  the best interest of the respondent will be served.  The court 
 16.35  may attach appropriate conditions to the participation. 
 16.36     Sec. 7.  Minnesota Statutes 2003 Supplement, section 
 17.1   524.5-417, is amended to read: 
 17.2      524.5-417 [GENERAL POWERS AND DUTIES OF CONSERVATOR.] 
 17.3      (a) A conservator shall be subject to the control and 
 17.4   direction of the court at all times and in all things. 
 17.5      (b) The court shall grant to a conservator only those 
 17.6   powers necessary to provide for the demonstrated needs of the 
 17.7   protected person. 
 17.8      (c) The court may appoint a conservator of the estate if it 
 17.9   determines that all the powers and duties listed in this section 
 17.10  are needed to provide for the needs of the protected person.  
 17.11  The court may also appoint a conservator if it determines that a 
 17.12  conservator is necessary to provide for the needs of the 
 17.13  protected person through the exercise of some, but not all, of 
 17.14  the powers and duties listed in this section.  The duties and 
 17.15  powers of a conservator include, but are not limited to: 
 17.16     (1) the duty to pay the reasonable charges for the support, 
 17.17  maintenance, and education of the protected person in a manner 
 17.18  suitable to the protected person's station in life and the value 
 17.19  of the estate.  Nothing herein contained shall release parents 
 17.20  from obligations imposed by law for the support, maintenance, 
 17.21  and education of their children.  The conservator has no duty to 
 17.22  pay for these requirements out of personal funds.  Wherever 
 17.23  possible and appropriate, the conservator should meet these 
 17.24  requirements through governmental benefits or services to which 
 17.25  the protected person is entitled, rather than from the protected 
 17.26  person's estate.  Failure to satisfy the needs and requirements 
 17.27  of this section shall be grounds for removal, but the 
 17.28  conservator shall have no personal or monetary liability; 
 17.29     (2) the duty to pay out of the protected person's estate 
 17.30  all lawful debts of the protected person and the reasonable 
 17.31  charges incurred for the support, maintenance, and education of 
 17.32  the protected person's spouse and dependent children and, upon 
 17.33  order of the court, pay such sum as the court may fix as 
 17.34  reasonable for the support of any person unable to earn a 
 17.35  livelihood who is legally entitled to support from the protected 
 17.36  person; 
 18.1      (3) the duty to possess and manage the estate, collect all 
 18.2   debts and claims in favor of the protected person, or, with the 
 18.3   approval of the court, compromise them, institute suit on behalf 
 18.4   of the protected person and represent the protected person in 
 18.5   any court proceedings, and invest all funds not currently needed 
 18.6   for the debts and charges named in clauses (1) and (2) and the 
 18.7   management of the estate, in accordance with the provisions of 
 18.8   sections 48A.07, subdivision 6, and 501B.151, or as otherwise 
 18.9   ordered by the court.  The standard of a fiduciary shall be 
 18.10  applicable to all investments by a conservator.  A conservator 
 18.11  shall also have the power to purchase certain contracts of 
 18.12  insurance as provided in section 50.14, subdivision 14, clause 
 18.13  (b); 
 18.14     (4) where a protected person has inherited an undivided 
 18.15  interest in real estate, the court, on a showing that it is for 
 18.16  the best interest of the protected person, may authorize an 
 18.17  exchange or sale of the protected person's interest or a 
 18.18  purchase by the protected person of any interest other heirs may 
 18.19  have in the real estate, subject to the procedures and notice 
 18.20  requirements of section 524.5-418; 
 18.21     (5) the power to approve or withhold approval of any 
 18.22  contract, except for necessities, which the protected person may 
 18.23  make or wish to make; and 
 18.24     (6) the power to apply on behalf of the protected person 
 18.25  for any assistance, services, or benefits available to the 
 18.26  protected person through any unit of government. 
 18.27     (d) The conservator shall have the power to revoke, 
 18.28  suspend, or terminate all or any part of a durable power of 
 18.29  attorney of which the protected person is the principal with the 
 18.30  same power the principal would have if the principal were not 
 18.31  incapacitated.  If a durable power of attorney is in effect, a 
 18.32  decision of the conservator takes precedence over that of an 
 18.33  attorney-in-fact. 
 18.34     (e) Transaction set aside.  If a protected person has made 
 18.35  a financial transaction or gift or entered into a contract 
 18.36  during the two-year period before establishment of the 
 19.1   conservatorship, the conservator may petition for court review 
 19.2   of the transaction, gift, or contract.  If the court finds that 
 19.3   the protected person was incapacitated or subject to duress, 
 19.4   coercion, or undue influence when the transaction, gift, or 
 19.5   contract was made, the court may declare the transaction, gift, 
 19.6   or contract void except as against a bona fide transferee for 
 19.7   value and order reimbursement or other appropriate relief.  This 
 19.8   paragraph does not affect any other right or remedy that may be 
 19.9   available to the protected person with respect to the 
 19.10  transaction, gift, or contract. 
 19.11     (f) After the filing of the petition, a certificate of the 
 19.12  district court certified to that fact may be filed for record 
 19.13  with the Minnesota secretary of state in the same manner as 
 19.14  provided in section 336.9-501.  The certificate shall state that 
 19.15  a petition is pending and the name and address of the person for 
 19.16  whom a conservator is sought.  If a conservator is appointed on 
 19.17  the petition, and if the conservatorship order removes or 
 19.18  restricts the right of the protected person to transfer property 
 19.19  or to contract, then all contracts except for necessaries, and 
 19.20  all transfers of personal property, tangible or intangible, 
 19.21  including, but not limited to, cash or securities transfers at 
 19.22  banks, brokerage houses, or other financial institutions, or 
 19.23  transfers of cash or securities, made by the protected person 
 19.24  after the filing and before the termination of the 
 19.25  conservatorship shall be voidable. 
 19.26     Sec. 8.  Minnesota Statutes 2002, section 525.71, is 
 19.27  amended to read: 
 19.28     525.71 [APPEALABLE ORDERS.] 
 19.29     (a) Appeals to the Court of Appeals may be taken from any 
 19.30  of the following orders, judgments, and decrees issued by a 
 19.31  judge of the court under this chapter or chapter 524:  
 19.32     (1) an order admitting, or refusing to admit, a will to 
 19.33  probate; 
 19.34     (2) an order appointing, or refusing to appoint, or 
 19.35  removing, or refusing to remove, a representative other than a 
 19.36  special administrator or special guardian, temporary or 
 20.1   emergency guardian, agent, or conservator; 
 20.2      (3) an order authorizing, or refusing to authorize, the 
 20.3   sale, mortgage, or lease of real estate, or confirming, or 
 20.4   refusing to confirm, the sale or lease of real estate; 
 20.5      (4) an order directing, or refusing to direct, a conveyance 
 20.6   or lease of real estate under contract; 
 20.7      (5) an order permitting, or refusing to permit, the filing 
 20.8   of a claim, or allowing or disallowing a claim or counterclaim, 
 20.9   in whole or in part, when the amount in controversy exceeds 
 20.10  $100; 
 20.11     (6) an order setting apart, or refusing to set apart, 
 20.12  property, or making, or refusing to make, an allowance for the 
 20.13  spouse or children; 
 20.14     (7) an order determining, or refusing to determine, venue; 
 20.15  an order transferring, or refusing to transfer, venue; 
 20.16     (8) an order directing, or refusing to direct, the payment 
 20.17  of a bequest or distributive share when the amount in 
 20.18  controversy exceeds $100; 
 20.19     (9) an order allowing, or refusing to allow, an account of 
 20.20  a representative or any part of it when the amount in 
 20.21  controversy exceeds $100; 
 20.22     (10) an order adjudging a person in contempt; 
 20.23     (11) an order vacating, or refusing to vacate, a previous 
 20.24  appealable order, judgment, or decree alleged to have been 
 20.25  procured by fraud or misrepresentation, or through surprise or 
 20.26  excusable inadvertence or neglect; 
 20.27     (12) a judgment or decree of partial or final distribution 
 20.28  or an order determining or confirming distribution or any order 
 20.29  of general protection; 
 20.30     (13) an order entered pursuant to section 576.142; 
 20.31     (14) an order granting or denying restoration to capacity; 
 20.32     (15) an order made directing, or refusing to direct, the 
 20.33  payment of representative's fees or attorneys' fees, and in such 
 20.34  case the representative and the attorney shall each be deemed an 
 20.35  aggrieved party and entitled to appeal; 
 20.36     (16) an order, judgment, or decree relating to or affecting 
 21.1   estate taxes or refusing to amend, modify, or vacate such an 
 21.2   order, judgment, or decree; and 
 21.3      (17) an order extending the time for the settlement of the 
 21.4   estate beyond five years from the date of the appointment of the 
 21.5   representative.  
 21.6      (b) Appeals to the Court of Appeals may also be taken from 
 21.7   any other properly appealable order pursuant to the Rules of 
 21.8   Civil Appellate Procedure. 
 21.9      (c) An order appointing, refusing to appoint, removing, or 
 21.10  refusing to remove a temporary or emergency guardian under 
 21.11  sections 524.5-204, paragraphs (b) and (c), 524.5-311, and 
 21.12  524.5-312, or temporary or emergency conservator or agent under 
 21.13  sections 524.5-406, paragraph (f), and 524.5-412, or a special 
 21.14  administrator under section 524.3-614, is not an appealable 
 21.15  order under this section or the Rules of Civil Appellate 
 21.16  Procedure. 
 21.17                             ARTICLE 3 
 21.18                       TECHNICAL CORRECTIONS 
 21.19     Section 1.  Minnesota Statutes 2002, section 144.343, 
 21.20  subdivision 2, is amended to read: 
 21.21     Subd. 2.  [NOTIFICATION CONCERNING ABORTION.] 
 21.22  Notwithstanding the provisions of section 13.02, subdivision 8, 
 21.23  no abortion operation shall be performed upon an unemancipated 
 21.24  minor or upon a woman for whom a guardian or conservator has 
 21.25  been appointed pursuant to sections 525.54 524.5-101 to 525.551 
 21.26  524.5-502 because of a finding of incompetency incapacity, until 
 21.27  at least 48 hours after written notice of the pending operation 
 21.28  has been delivered in the manner specified in subdivisions 2 to 
 21.29  4.  
 21.30     (a) The notice shall be addressed to the parent at the 
 21.31  usual place of abode of the parent and delivered personally to 
 21.32  the parent by the physician or an agent.  
 21.33     (b) In lieu of the delivery required by clause (a), notice 
 21.34  shall be made by certified mail addressed to the parent at the 
 21.35  usual place of abode of the parent with return receipt requested 
 21.36  and restricted delivery to the addressee which means postal 
 22.1   employee can only deliver the mail to the authorized addressee.  
 22.2   Time of delivery shall be deemed to occur at 12 o'clock noon on 
 22.3   the next day on which regular mail delivery takes place, 
 22.4   subsequent to mailing.  
 22.5      Sec. 2.  Minnesota Statutes 2002, section 145B.03, 
 22.6   subdivision 3, is amended to read: 
 22.7      Subd. 3.  [GUARDIAN OR CONSERVATOR.] Except as otherwise 
 22.8   provided in the living will, designation of a proxy is 
 22.9   considered a nomination of a guardian or conservator of the 
 22.10  person for purposes of section 525.544 sections 524.5-101 to 
 22.11  524.5-502. 
 22.12     Sec. 3.  Minnesota Statutes 2002, section 145C.05, 
 22.13  subdivision 2, is amended to read: 
 22.14     Subd. 2.  [PROVISIONS THAT MAY BE INCLUDED.] (a) A health 
 22.15  care directive may include provisions consistent with this 
 22.16  chapter, including, but not limited to: 
 22.17     (1) the designation of one or more alternate health care 
 22.18  agents to act if the named health care agent is not reasonably 
 22.19  available to serve; 
 22.20     (2) directions to joint health care agents regarding the 
 22.21  process or standards by which the health care agents are to 
 22.22  reach a health care decision for the principal, and a statement 
 22.23  whether joint health care agents may act independently of one 
 22.24  another; 
 22.25     (3) limitations, if any, on the right of the health care 
 22.26  agent or any alternate health care agents to receive, review, 
 22.27  obtain copies of, and consent to the disclosure of the 
 22.28  principal's medical records; 
 22.29     (4) limitations, if any, on the nomination of the health 
 22.30  care agent as guardian or conservator of the person for purposes 
 22.31  of section 525.544 sections 524.5-202, 524.5-211, 524.5-302, and 
 22.32  524.5-303; 
 22.33     (5) a document of gift for the purpose of making an 
 22.34  anatomical gift, as set forth in sections 525.921 to 525.9224, 
 22.35  or an amendment to, revocation of, or refusal to make an 
 22.36  anatomical gift; 
 23.1      (6) a declaration regarding intrusive mental health 
 23.2   treatment under section 253B.03, subdivision 6d, or a statement 
 23.3   that the health care agent is authorized to give consent for the 
 23.4   principal under section 253B.04, subdivision 1a; 
 23.5      (7) a funeral directive as provided in section 149A.80, 
 23.6   subdivision 2; 
 23.7      (8) limitations, if any, to the effect of dissolution or 
 23.8   annulment of marriage or termination of domestic partnership on 
 23.9   the appointment of a health care agent under section 145C.09, 
 23.10  subdivision 2; 
 23.11     (9) specific reasons why a principal wants a health care 
 23.12  provider or an employee of a health care provider attending the 
 23.13  principal to be eligible to act as the principal's health care 
 23.14  agent; 
 23.15     (10) health care instructions by a woman of child bearing 
 23.16  age regarding how she would like her pregnancy, if any, to 
 23.17  affect health care decisions made on her behalf; and 
 23.18     (11) health care instructions regarding artificially 
 23.19  administered nutrition or hydration. 
 23.20     (b) A health care directive may include a statement of the 
 23.21  circumstances under which the directive becomes effective other 
 23.22  than upon the judgment of the principal's attending physician in 
 23.23  the following situations: 
 23.24     (1) a principal who in good faith generally selects and 
 23.25  depends upon spiritual means or prayer for the treatment or care 
 23.26  of disease or remedial care and does not have an attending 
 23.27  physician, may include a statement appointing an individual who 
 23.28  may determine the principal's decision-making capacity; and 
 23.29     (2) a principal who in good faith does not generally select 
 23.30  a physician or a health care facility for the principal's health 
 23.31  care needs may include a statement appointing an individual who 
 23.32  may determine the principal's decision-making capacity, provided 
 23.33  that if the need to determine the principal's capacity arises 
 23.34  when the principal is receiving care under the direction of an 
 23.35  attending physician in a health care facility, the determination 
 23.36  must be made by an attending physician after consultation with 
 24.1   the appointed individual. 
 24.2      If a person appointed under clause (1) or (2) is not 
 24.3   reasonably available and the principal is receiving care under 
 24.4   the direction of an attending physician in a health care 
 24.5   facility, an attending physician shall determine the principal's 
 24.6   decision-making capacity. 
 24.7      (c) A health care directive may authorize a health care 
 24.8   agent to make health care decisions for a principal even though 
 24.9   the principal retains decision-making capacity. 
 24.10     Sec. 4.  Minnesota Statutes 2002, section 145C.07, 
 24.11  subdivision 2, is amended to read: 
 24.12     Subd. 2.  [HEALTH CARE AGENT AS GUARDIAN.] Unless the 
 24.13  principal has otherwise specified in the health care directive, 
 24.14  the appointment of the health care agent in a health care 
 24.15  directive is considered a nomination of a guardian or 
 24.16  conservator of the person for purposes of section 525.544 
 24.17  sections 524.5-101 to 524.5-502. 
 24.18     Sec. 5.  Minnesota Statutes 2002, section 145C.07, 
 24.19  subdivision 4, is amended to read: 
 24.20     Subd. 4.  [INCONSISTENCIES AMONG DOCUMENTS.] In the event 
 24.21  of inconsistency between the appointment of a proxy under 
 24.22  chapter 145B or section 253B.03, subdivision 6d, or of a health 
 24.23  care agent under this chapter, the most recent appointment takes 
 24.24  precedence.  In the event of other inconsistencies among 
 24.25  documents executed under this chapter, under chapter 145B, or 
 24.26  under section sections 253B.03, subdivision 6d, or 525.544 
 24.27  524.5-101 to 524.5-502, or other legally sufficient documents, 
 24.28  the provisions of the most recently executed document take 
 24.29  precedence only to the extent of the inconsistency. 
 24.30     Sec. 6.  Minnesota Statutes 2002, section 147.091, 
 24.31  subdivision 2, is amended to read: 
 24.32     Subd. 2.  [AUTOMATIC SUSPENSION.] (a) A license to practice 
 24.33  medicine is automatically suspended if (1) a guardian of the 
 24.34  person of a licensee is appointed by order of a court pursuant 
 24.35  to sections 525.54 524.5-101 to 525.61 524.5-502, for reasons 
 24.36  other than the minority of the licensee; or (2) the licensee is 
 25.1   committed by order of a court pursuant to chapter 253B.  The 
 25.2   license remains suspended until the licensee is restored to 
 25.3   capacity by a court and, upon petition by the licensee, the 
 25.4   suspension is terminated by the board after a hearing.  
 25.5      (b) Upon notice to the board of a judgment of, or a plea of 
 25.6   guilty to, a felony reasonably related to the practice of 
 25.7   patient care, the credentials of the regulated person shall be 
 25.8   automatically suspended by the board.  The credentials shall 
 25.9   remain suspended until, upon petition by the regulated person 
 25.10  and after a hearing, the suspension is terminated by the board.  
 25.11  The board shall indefinitely suspend or revoke the credentials 
 25.12  of the regulated person if, after a hearing, the board finds 
 25.13  that the felonious conduct would cause a serious risk of harm to 
 25.14  the public. 
 25.15     (c) For credentials that have been suspended or revoked 
 25.16  pursuant to paragraphs (a) and (b), the regulated person may be 
 25.17  reinstated to practice, either with or without restrictions, by 
 25.18  demonstrating clear and convincing evidence of rehabilitation, 
 25.19  as provided in section 364.03.  If the regulated person's 
 25.20  conviction is subsequently overturned by court decision, the 
 25.21  board shall conduct a hearing to review the suspension within 30 
 25.22  days after receipt of the court decision.  The regulated person 
 25.23  is not required to prove rehabilitation if the subsequent court 
 25.24  decision overturns previous court findings of public risk. 
 25.25     (d) The board may, upon majority vote of a quorum of its 
 25.26  members, suspend the credentials of a regulated person without a 
 25.27  hearing if the regulated person fails to maintain a current name 
 25.28  and address with the board, as described in paragraph (e), while 
 25.29  the regulated person is:  (1) under board investigation, and a 
 25.30  notice of conference has been issued by the board; (2) party to 
 25.31  a contested case with the board; (3) party to an agreement for 
 25.32  corrective action with the board; or (4) under a board order for 
 25.33  disciplinary action.  The suspension shall remain in effect 
 25.34  until lifted by the board pursuant to the board's receipt of a 
 25.35  petition from the regulated person, along with the regulated 
 25.36  person's current name and address. 
 26.1      (e) A person regulated by the board shall maintain a 
 26.2   current name and address with the board and shall notify the 
 26.3   board in writing within 30 days of any change in name or 
 26.4   address.  If a name change only is requested, the regulated 
 26.5   person must request revised credentials and return the current 
 26.6   credentials to the board.  The board may require the regulated 
 26.7   person to substantiate the name change by submitting official 
 26.8   documentation from a court of law or agency authorized under law 
 26.9   to receive and officially record a name change.  If an address 
 26.10  change only is requested, no request for revised credentials is 
 26.11  required.  If the regulated person's current credentials have 
 26.12  been lost, stolen, or destroyed, the person shall provide a 
 26.13  written explanation to the board. 
 26.14     Sec. 7.  Minnesota Statutes 2002, section 147A.13, 
 26.15  subdivision 2, is amended to read: 
 26.16     Subd. 2.  [EFFECTIVE DATES, AUTOMATIC SUSPENSION.] A 
 26.17  suspension, revocation, condition, limitation, qualification, or 
 26.18  restriction of a registration shall be in effect pending 
 26.19  determination of an appeal unless the court, upon petition and 
 26.20  for good cause shown, orders otherwise. 
 26.21     A physician assistant registration is automatically 
 26.22  suspended if: 
 26.23     (1) a guardian of the person of a registrant is appointed 
 26.24  by order of a court pursuant to sections 525.54 524.5-101 to 
 26.25  525.61 524.5-502, for reasons other than the minority of the 
 26.26  registrant; or 
 26.27     (2) the registrant is committed by order of a court 
 26.28  pursuant to chapter 253B.  The registration remains suspended 
 26.29  until the registrant is restored to capacity by a court and, 
 26.30  upon petition by the registrant, the suspension is terminated by 
 26.31  the board after a hearing. 
 26.32     Sec. 8.  Minnesota Statutes 2002, section 148.10, 
 26.33  subdivision 6, is amended to read: 
 26.34     Subd. 6.  [EFFECT OF APPEAL.] A suspension, revocation, 
 26.35  condition, limitation, qualification, or restriction of a 
 26.36  license shall be in effect pending determination of an appeal 
 27.1   unless the court, upon petition and for good cause shown, shall 
 27.2   otherwise order. 
 27.3      A license to practice chiropractic is automatically 
 27.4   suspended if (1) a guardian of the person of a licensee is 
 27.5   appointed by order of a court under sections 525.54 524.5-101 to 
 27.6   525.61 524.5-502, for reasons other than the minority of the 
 27.7   licensee; or (2) the licensee is committed by order of a court 
 27.8   under chapter 253B.  The license remains suspended until the 
 27.9   licensee is restored to capacity by a court and, upon petition 
 27.10  by the licensee, the suspension is terminated by the board after 
 27.11  a hearing.  
 27.12     Sec. 9.  Minnesota Statutes 2002, section 148.75, is 
 27.13  amended to read: 
 27.14     148.75 [LICENSES; DENIAL, SUSPENSION, REVOCATION.] 
 27.15     (a) The state Board of Physical Therapy may refuse to grant 
 27.16  a license to any physical therapist, or may suspend or revoke 
 27.17  the license of any physical therapist for any of the following 
 27.18  grounds:  
 27.19     (1) using drugs or intoxicating liquors to an extent which 
 27.20  affects professional competence; 
 27.21     (2) conviction of a felony; 
 27.22     (3) conviction for violating any state or federal narcotic 
 27.23  law; 
 27.24     (4) obtaining a license or attempting to obtain a license 
 27.25  by fraud or deception; 
 27.26     (5) conduct unbecoming a person licensed as a physical 
 27.27  therapist or conduct detrimental to the best interests of the 
 27.28  public; 
 27.29     (6) gross negligence in the practice of physical therapy as 
 27.30  a physical therapist; 
 27.31     (7) treating human ailments by physical therapy after an 
 27.32  initial 30-day period of patient admittance to treatment has 
 27.33  lapsed, except by the order or referral of a person licensed in 
 27.34  this state in the practice of medicine as defined in section 
 27.35  147.081, the practice of chiropractic as defined in section 
 27.36  148.01, the practice of podiatry as defined in section 153.01, 
 28.1   or the practice of dentistry as defined in section 150A.05 and 
 28.2   whose license is in good standing; or when a previous diagnosis 
 28.3   exists indicating an ongoing condition warranting physical 
 28.4   therapy treatment, subject to periodic review defined by board 
 28.5   of physical therapy rule; 
 28.6      (8) treating human ailments, without referral, by physical 
 28.7   therapy treatment without first having practiced one year under 
 28.8   a physician's orders as verified by the board's records; 
 28.9      (9) failing to consult with the patient's health care 
 28.10  provider who prescribed the physical therapy treatment if the 
 28.11  treatment is altered by the physical therapist from the original 
 28.12  written order.  The provision does not include written orders to 
 28.13  "evaluate and treat"; 
 28.14     (10) treating human ailments other than by physical therapy 
 28.15  unless duly licensed or registered to do so under the laws of 
 28.16  this state; 
 28.17     (11) inappropriate delegation to a physical therapist 
 28.18  assistant or inappropriate task assignment to an aide or 
 28.19  inadequate supervision of either level of supportive personnel; 
 28.20     (12) practicing as a physical therapist performing medical 
 28.21  diagnosis, the practice of medicine as defined in section 
 28.22  147.081, or the practice of chiropractic as defined in section 
 28.23  148.01; 
 28.24     (13) failing to comply with a reasonable request to obtain 
 28.25  appropriate clearance for mental or physical conditions that 
 28.26  would interfere with the ability to practice physical therapy, 
 28.27  and that may be potentially harmful to patients; 
 28.28     (14) dividing fees with, or paying or promising to pay a 
 28.29  commission or part of the fee to, any person who contacts the 
 28.30  physical therapist for consultation or sends patients to the 
 28.31  physical therapist for treatment; 
 28.32     (15) engaging in an incentive payment arrangement, other 
 28.33  than that prohibited by clause (14), that tends to promote 
 28.34  physical therapy overuse, that allows the referring person or 
 28.35  person who controls the availability of physical therapy 
 28.36  services to a client to profit unreasonably as a result of 
 29.1   patient treatment; 
 29.2      (16) practicing physical therapy and failing to refer to a 
 29.3   licensed health care professional a patient whose medical 
 29.4   condition at the time of evaluation has been determined by the 
 29.5   physical therapist to be beyond the scope of practice of a 
 29.6   physical therapist; and 
 29.7      (17) failing to report to the board other licensed physical 
 29.8   therapists who violate this section. 
 29.9      (b) A license to practice as a physical therapist is 
 29.10  suspended if (1) a guardian of the person of the physical 
 29.11  therapist is appointed by order of a court pursuant to sections 
 29.12  525.54 524.5-101 to 525.61 524.5-502, for reasons other than the 
 29.13  minority of the physical therapist; or (2) the physical 
 29.14  therapist is committed by order of a court pursuant to chapter 
 29.15  253B.  The license remains suspended until the physical 
 29.16  therapist is restored to capacity by a court and, upon petition 
 29.17  by the physical therapist, the suspension is terminated by the 
 29.18  Board of Physical Therapy after a hearing.  
 29.19     Sec. 10.  Minnesota Statutes 2002, section 153.22, 
 29.20  subdivision 4, is amended to read: 
 29.21     Subd. 4.  [AUTOMATIC SUSPENSION.] A license to practice 
 29.22  podiatric medicine is automatically suspended if (1) a guardian 
 29.23  of the person of a licensee is appointed by order of a court 
 29.24  under sections 525.54 524.5-101 to 525.61 524.5-502, for reasons 
 29.25  other than the minority of the licensee; or (2) the licensee is 
 29.26  committed by order of a court under chapter 253B.  The license 
 29.27  remains suspended until the licensee is restored to capacity by 
 29.28  a court and, upon petition by the licensee, the suspension is 
 29.29  terminated by the board after a hearing.  
 29.30     Sec. 11.  Minnesota Statutes 2002, section 156.122, is 
 29.31  amended to read: 
 29.32     156.122 [COURTS TO REPORT.] 
 29.33     The court administrator shall report to the board a 
 29.34  judgment or finding by a court that a person regulated by the 
 29.35  board: 
 29.36     (1) is a person who is mentally ill, chemically dependent, 
 30.1   mentally ill and dangerous to the public, or is a sexual 
 30.2   psychopathic personality or sexually dangerous person under 
 30.3   chapter 253B or other applicable law; 
 30.4      (2) is guilty of a felony or gross misdemeanor; violation 
 30.5   of a law involving the use, possession, or sale of a controlled 
 30.6   substance; or operating a motor vehicle under the influence of 
 30.7   alcohol or a controlled substance; or 
 30.8      (3) is in need of a guardian of the person under sections 
 30.9   525.54 524.5-101 to 525.61 524.5-502. 
 30.10     Sec. 12.  Minnesota Statutes 2002, section 176.092, 
 30.11  subdivision 1, is amended to read: 
 30.12     Subdivision 1.  [WHEN REQUIRED.] An injured employee or a 
 30.13  dependent under section 176.111 who is a minor or an 
 30.14  incapacitated person as that term is defined in section 525.54 
 30.15  524.5-102, subdivision 2 or 3 6, shall have a guardian or 
 30.16  conservator to represent the interests of the employee or 
 30.17  dependent in obtaining compensation according to the provisions 
 30.18  of this chapter.  This section applies if the employee receives 
 30.19  or is eligible for permanent total disability benefits, 
 30.20  supplementary benefits, or permanent partial disability benefits 
 30.21  totaling more than $3,000 or a dependent receives or is eligible 
 30.22  for dependency benefits, or if the employee or dependent 
 30.23  receives or is offered a lump sum that exceeds five times the 
 30.24  statewide average weekly wage. 
 30.25     Sec. 13.  Minnesota Statutes 2002, section 196.051, 
 30.26  subdivision 2, is amended to read: 
 30.27     Subd. 2.  [BONDING.] Notwithstanding section 525.551 or any 
 30.28  other law, the commissioner is not required to file a bond when 
 30.29  acting as guardian pursuant to authority granted by this section.
 30.30     Sec. 14.  Minnesota Statutes 2002, section 252A.01, 
 30.31  subdivision 1, is amended to read: 
 30.32     Subdivision 1.  [POLICY.] (a) It is the policy of the state 
 30.33  of Minnesota to provide a coordinated approach to the 
 30.34  supervision, protection, and habilitation of its adult mentally 
 30.35  retarded citizens.  In furtherance of this policy, sections 
 30.36  252A.01 to 252A.21 are enacted to authorize the commissioner of 
 31.1   human services to: 
 31.2      (1) supervise those adult mentally retarded citizens who 
 31.3   are unable to fully provide for their own needs and for whom no 
 31.4   qualified person is willing and able to seek private 
 31.5   guardianship or conservatorship under sections 525.539 524.5-101 
 31.6   to 525.705 524.5-502; and 
 31.7      (2) to protect adult mentally retarded persons from 
 31.8   violation of their human and civil rights by assuring that they 
 31.9   receive the full range of needed social, financial, residential, 
 31.10  and habilitative services to which they are lawfully entitled.  
 31.11     (b) Public guardianship or conservatorship is the most 
 31.12  restrictive form of guardianship or conservatorship and should 
 31.13  be imposed only when no other acceptable alternative is 
 31.14  available.  
 31.15     Sec. 15.  Minnesota Statutes 2002, section 252A.03, 
 31.16  subdivision 3, is amended to read: 
 31.17     Subd. 3.  [STANDARD FOR ACCEPTANCE.] The commissioner shall 
 31.18  accept the nomination if the comprehensive evaluation concludes 
 31.19  that: 
 31.20     (1) the person alleged to have mental retardation is, in 
 31.21  fact, mentally retarded; 
 31.22     (2) the person is in need of the supervision and protection 
 31.23  of a conservator or guardian; and 
 31.24     (3) no qualified person is willing to assume private 
 31.25  guardianship or conservatorship under sections 525.539 524.5-101 
 31.26  to 525.705 524.5-502. 
 31.27     Sec. 16.  Minnesota Statutes 2002, section 252A.06, 
 31.28  subdivision 2, is amended to read: 
 31.29     Subd. 2.  [CONTENTS.] The petition shall set forth: 
 31.30     (1) the name and address of the petitioner, and, in the 
 31.31  case of a petition brought by a person other than the 
 31.32  commissioner, whether the petitioner is a parent, spouse, or 
 31.33  relative of the proposed ward; 
 31.34     (2) whether the commissioner has accepted a nomination to 
 31.35  act as public conservator or public guardian; 
 31.36     (3) the name, address, and date of birth of the proposed 
 32.1   ward; 
 32.2      (4) the names and addresses of the nearest relatives and 
 32.3   spouse, if any, of the proposed ward; 
 32.4      (5) the probable value and general character of the 
 32.5   proposed ward's real and personal property and the probable 
 32.6   amount of the proposed ward's debts; 
 32.7      (6) the facts supporting the establishment of public 
 32.8   conservatorship or guardianship, including that no family member 
 32.9   or other qualified individual is willing to assume private 
 32.10  guardianship or conservatorship responsibilities under sections 
 32.11  525.539 524.5-101 to 525.705 524.5-502; and 
 32.12     (7) if conservatorship is requested, the powers the 
 32.13  petitioner believes are necessary to protect and supervise the 
 32.14  proposed conservatee. 
 32.15     Sec. 17.  Minnesota Statutes 2002, section 252A.081, is 
 32.16  amended to read: 
 32.17     252A.081 [NOTICE OF HEARING.] 
 32.18     Subdivision 1.  [GENERAL.] Except as otherwise provided in 
 32.19  this section, section 525.55 applies sections 524.5-113, 
 32.20  524.5-205, and 524.5-304 apply to a notice of hearing for public 
 32.21  guardianship. 
 32.22     Subd. 2.  [SERVICE OF NOTICE.] Service of notice on the 
 32.23  ward or proposed ward must be made by a nonuniformed person.  To 
 32.24  the extent possible, the process server or visitor shall explain 
 32.25  the document's meaning to the proposed ward.  In addition to the 
 32.26  persons required to be served under section 525.55, subdivision 
 32.27  1 sections 524.5-113, 524.5-205, and 524.5-304, the mailed 
 32.28  notice of the hearing must be served on the commissioner, the 
 32.29  local agency, and the county attorney.  
 32.30     Subd. 3.  [ATTORNEY.] In place of the notice of attorney 
 32.31  provisions in section 525.55, subdivision 2 sections 524.5-205 
 32.32  and 524.5-304, the notice must state that the court will appoint 
 32.33  an attorney for the proposed ward unless an attorney is provided 
 32.34  by other persons. 
 32.35     Subd. 4.  [SERVICE OF PETITION ON COMMISSIONER.] When a 
 32.36  petition has been filed by a person other than the commissioner, 
 33.1   the court shall promptly forward a copy of the petition and any 
 33.2   other documents filed with or issued by the court to the 
 33.3   commissioner. 
 33.4      Subd. 5.  [DEFECTIVE NOTICE OF SERVICE.] A defect in the 
 33.5   service of notice or process, other than personal service upon 
 33.6   the proposed ward or conservatee or service upon the 
 33.7   commissioner and local agency within the time allowed and the 
 33.8   form prescribed in this section and section 525.55 sections 
 33.9   524.5-113, 524.5-205, and 524.5-304, does not invalidate any 
 33.10  public guardianship or conservatorship proceedings. 
 33.11     Sec. 18.  Minnesota Statutes 2002, section 252A.111, is 
 33.12  amended to read: 
 33.13     252A.111 [POWERS AND DUTIES OF PUBLIC GUARDIAN OR 
 33.14  CONSERVATOR.] 
 33.15     Subdivision 1.  [GENERAL.] Except as otherwise provided in 
 33.16  this section, section 525.56, subdivisions 1 to 3 sections 
 33.17  524.5-207 and 524.5-313, apply to the powers and duties of a 
 33.18  public guardian or conservator. 
 33.19     Subd. 2.  [ADDITIONAL POWERS.] In addition to the powers 
 33.20  contained in section 525.56, subdivision 3 sections 524.5-207 
 33.21  and 524.5-313, the powers of a public guardian or those that the 
 33.22  court may grant to a public conservator include: 
 33.23     (1) the power to permit or withhold permission for the ward 
 33.24  to marry; 
 33.25     (2) the power to begin legal action or defend against legal 
 33.26  action in the name of the ward; and 
 33.27     (3) the power to consent to the adoption of the ward as 
 33.28  provided in section 259.24. 
 33.29     Subd. 4.  [APPOINTMENT OF GUARDIAN OR CONSERVATOR OF THE 
 33.30  ESTATE.] If the ward has a personal estate beyond that which is 
 33.31  necessary for the ward's personal and immediate needs, the 
 33.32  commissioner shall determine whether a guardian of the estate 
 33.33  conservator should be appointed.  The commissioner shall consult 
 33.34  with the parents, spouse, or nearest relative of the ward.  The 
 33.35  commissioner may petition the court for the appointment of a 
 33.36  private guardian or conservator of the estate of the ward.  The 
 34.1   commissioner cannot act as guardian or conservator of the estate 
 34.2   for public wards or public conservatees protected persons. 
 34.3      Subd. 5.  [LOCAL AGENCIES.] The commissioner may carry out 
 34.4   the powers and duties prescribed by this chapter directly or 
 34.5   through local agencies. 
 34.6      Subd. 6.  [SPECIAL DUTIES.] In exercising powers and duties 
 34.7   under this chapter, the commissioner shall: 
 34.8      (1) maintain close contact with the ward, visiting at least 
 34.9   twice a year; 
 34.10     (2) protect and exercise the legal rights of the ward; 
 34.11     (3) take actions and make decisions on behalf of the ward 
 34.12  that encourage and allow the maximum level of independent 
 34.13  functioning in a manner least restrictive of the ward's personal 
 34.14  freedom consistent with the need for supervision and protection; 
 34.15  and 
 34.16     (4) permit and encourage maximum self-reliance on the part 
 34.17  of the ward and permit and encourage input by the nearest 
 34.18  relative of the ward in planning and decision making on behalf 
 34.19  of the ward. 
 34.20     Sec. 19.  Minnesota Statutes 2002, section 252A.171, is 
 34.21  amended to read: 
 34.22     252A.171 [TRANSFER OF VENUE.] 
 34.23     Section 525.57 524.5-108 applies to the transfer of venue 
 34.24  in proceedings under this chapter.  Notice of a transfer of 
 34.25  venue petition must be given to the persons and in the manner 
 34.26  required by section 252A.081.  
 34.27     Sec. 20.  Minnesota Statutes 2002, section 252A.19, is 
 34.28  amended to read: 
 34.29     252A.19 [MODIFICATION OF CONSERVATORSHIP; RESTORATION TO 
 34.30  LEGAL CAPACITY.] 
 34.31     Subdivision 1.  [COMMISSIONER TO SERVE.] The commissioner 
 34.32  shall serve as public guardian or conservator with all the 
 34.33  powers awarded pursuant to the guardianship or conservatorship, 
 34.34  until termination or modification by the court. 
 34.35     Subd. 2.  [PETITION.] The commissioner, ward, or any 
 34.36  interested person may petition the appointing court or the court 
 35.1   to which venue has been transferred for an order to remove the 
 35.2   guardianship or to limit or expand the powers of the 
 35.3   conservatorship guardianship or to appoint a guardian or 
 35.4   conservator under sections 525.539 524.5-101 to 525.705 
 35.5   524.5-502 or to restore the ward or conservatee protected person 
 35.6   to full legal capacity or to review de novo any decision made by 
 35.7   the public guardian or public conservator for or on behalf of a 
 35.8   ward or conservatee protected person or for any other order as 
 35.9   the court may deem just and equitable.  Section 525.61, 
 35.10  subdivision 3, does not apply to a petition to remove a public 
 35.11  guardian. 
 35.12     Subd. 3.  [NOTICE OF TIME AND PLACE.] Upon the filing of 
 35.13  the petition the court shall fix the time and place for the 
 35.14  hearing.  Notice of the filing of the petition and of the 
 35.15  hearing shall be provided in the manner set forth in section 
 35.16  252A.081. 
 35.17     Subd. 4.  [COMPREHENSIVE EVALUATION.] The commissioner 
 35.18  shall, at the court's request, arrange for the preparation of a 
 35.19  comprehensive evaluation of the ward or conservatee protected 
 35.20  person.  
 35.21     Subd. 5.  [COURT ORDER.] Upon proof of the allegations of 
 35.22  the petition the court shall enter an order removing the 
 35.23  guardianship or limiting or expanding the powers of the 
 35.24  conservatorship guardianship or restoring the ward or 
 35.25  conservatee protected person to full legal capacity or may enter 
 35.26  such other order as the court may deem just and equitable.  
 35.27     Subd. 6.  [COUNTY ATTORNEY PARTICIPATION.] The county 
 35.28  attorney may attend the hearing and may oppose the petition in 
 35.29  the court and in the appellate courts if the county attorney 
 35.30  deems it for the best interest of the public. 
 35.31     Subd. 7.  [ATTORNEY GENERAL'S ROLE; COMMISSIONER'S ROLE.] 
 35.32  The attorney general may appear and represent the commissioner 
 35.33  in such proceedings.  The commissioner shall support or oppose 
 35.34  the petition if the commissioner deems such action necessary for 
 35.35  the protection and supervision of the ward or conservatee 
 35.36  protected person.  
 36.1      Subd. 8.  [COURT APPOINTED COUNSEL.] In all such 
 36.2   proceedings, the conservatee protected person or ward shall be 
 36.3   afforded an opportunity to be represented by counsel, and if 
 36.4   neither the conservatee protected person or ward nor others 
 36.5   provide counsel the court shall appoint counsel to represent the 
 36.6   conservatee protected person or ward.  
 36.7      Subd. 9.  [COSTS FOR PRIVATE GUARDIANSHIP.] In proceedings 
 36.8   where private guardianship or conservatorship is being sought 
 36.9   under sections 525.539 524.5-101 to 525.705 524.5-502, costs are 
 36.10  reimbursable under section 525.703, subdivision 3, paragraph (b) 
 36.11  524.5-502. 
 36.12     Sec. 21.  Minnesota Statutes 2002, section 253B.03, 
 36.13  subdivision 4a, is amended to read: 
 36.14     Subd. 4a.  [DISCLOSURE OF PATIENT'S ADMISSION.] Upon 
 36.15  admission to a facility where federal law prohibits unauthorized 
 36.16  disclosure of patient or resident identifying information to 
 36.17  callers and visitors, the patient or resident, or the legal 
 36.18  guardian or conservator of the patient or resident, shall be 
 36.19  given the opportunity to authorize disclosure of the patient's 
 36.20  or resident's presence in the facility to callers and visitors 
 36.21  who may seek to communicate with the patient or resident.  To 
 36.22  the extent possible, the legal guardian or conservator of a 
 36.23  patient or resident shall consider the opinions of the patient 
 36.24  or resident regarding the disclosure of the patient's or 
 36.25  resident's presence in the facility. 
 36.26     Sec. 22.  Minnesota Statutes 2002, section 253B.03, 
 36.27  subdivision 6, is amended to read: 
 36.28     Subd. 6.  [CONSENT FOR MEDICAL PROCEDURE.] A patient has 
 36.29  the right to prior consent to any medical or surgical treatment, 
 36.30  other than treatment for chemical dependency or nonintrusive 
 36.31  treatment for mental illness.  
 36.32     The following procedures shall be used to obtain consent 
 36.33  for any treatment necessary to preserve the life or health of 
 36.34  any committed patient:  
 36.35     (a) The written, informed consent of a competent adult 
 36.36  patient for the treatment is sufficient.  
 37.1      (b) If the patient is subject to guardianship or 
 37.2   conservatorship which includes the provision of medical care, 
 37.3   the written, informed consent of the guardian or conservator for 
 37.4   the treatment is sufficient.  
 37.5      (c) If the head of the treatment facility determines that 
 37.6   the patient is not competent to consent to the treatment and the 
 37.7   patient has not been adjudicated incompetent, written, informed 
 37.8   consent for the surgery or medical treatment shall be obtained 
 37.9   from the nearest proper relative.  For this purpose, the 
 37.10  following persons are proper relatives, in the order listed:  
 37.11  the patient's spouse, parent, adult child, or adult sibling.  If 
 37.12  the nearest proper relatives cannot be located, refuse to 
 37.13  consent to the procedure, or are unable to consent, the head of 
 37.14  the treatment facility or an interested person may petition the 
 37.15  committing court for approval for the treatment or may petition 
 37.16  a court of competent jurisdiction for the appointment of a 
 37.17  guardian or conservator.  The determination that the patient is 
 37.18  not competent, and the reasons for the determination, shall be 
 37.19  documented in the patient's clinical record.  
 37.20     (d) Consent to treatment of any minor patient shall be 
 37.21  secured in accordance with sections 144.341 to 144.346.  A minor 
 37.22  16 years of age or older may consent to hospitalization, routine 
 37.23  diagnostic evaluation, and emergency or short-term acute care.  
 37.24     (e) In the case of an emergency when the persons ordinarily 
 37.25  qualified to give consent cannot be located, the head of the 
 37.26  treatment facility may give consent.  
 37.27     No person who consents to treatment pursuant to the 
 37.28  provisions of this subdivision shall be civilly or criminally 
 37.29  liable for the performance or the manner of performing the 
 37.30  treatment.  No person shall be liable for performing treatment 
 37.31  without consent if written, informed consent was given pursuant 
 37.32  to this subdivision.  This provision shall not affect any other 
 37.33  liability which may result from the manner in which the 
 37.34  treatment is performed.  
 37.35     Sec. 23.  Minnesota Statutes 2002, section 253B.03, 
 37.36  subdivision 6a, is amended to read: 
 38.1      Subd. 6a.  [CONSENT FOR TREATMENT FOR MENTAL RETARDATION.] 
 38.2   A patient with mental retardation, or the patient's guardian or 
 38.3   conservator, has the right to give or withhold consent before: 
 38.4      (1) the implementation of any aversive or deprivation 
 38.5   procedure except for emergency procedures permitted in rules of 
 38.6   the commissioner adopted under section 245.825; or 
 38.7      (2) the administration of psychotropic medication.  
 38.8      Sec. 24.  Minnesota Statutes 2002, section 253B.03, 
 38.9   subdivision 6d, is amended to read: 
 38.10     Subd. 6d.  [ADULT MENTAL HEALTH TREATMENT.] (a) A competent 
 38.11  adult may make a declaration of preferences or instructions 
 38.12  regarding intrusive mental health treatment.  These preferences 
 38.13  or instructions may include, but are not limited to, consent to 
 38.14  or refusal of these treatments. 
 38.15     (b) A declaration may designate a proxy to make decisions 
 38.16  about intrusive mental health treatment.  A proxy designated to 
 38.17  make decisions about intrusive mental health treatments and who 
 38.18  agrees to serve as proxy may make decisions on behalf of a 
 38.19  declarant consistent with any desires the declarant expresses in 
 38.20  the declaration. 
 38.21     (c) A declaration is effective only if it is signed by the 
 38.22  declarant and two witnesses.  The witnesses must include a 
 38.23  statement that they believe the declarant understands the nature 
 38.24  and significance of the declaration.  A declaration becomes 
 38.25  operative when it is delivered to the declarant's physician or 
 38.26  other mental health treatment provider.  The physician or 
 38.27  provider must comply with it to the fullest extent possible, 
 38.28  consistent with reasonable medical practice, the availability of 
 38.29  treatments requested, and applicable law.  The physician or 
 38.30  provider shall continue to obtain the declarant's informed 
 38.31  consent to all intrusive mental health treatment decisions if 
 38.32  the declarant is capable of informed consent.  A treatment 
 38.33  provider may not require a person to make a declaration under 
 38.34  this subdivision as a condition of receiving services. 
 38.35     (d) The physician or other provider shall make the 
 38.36  declaration a part of the declarant's medical record.  If the 
 39.1   physician or other provider is unwilling at any time to comply 
 39.2   with the declaration, the physician or provider must promptly 
 39.3   notify the declarant and document the notification in the 
 39.4   declarant's medical record.  If the declarant has been committed 
 39.5   as a patient under this chapter, the physician or provider may 
 39.6   subject a declarant to intrusive treatment in a manner contrary 
 39.7   to the declarant's expressed wishes, only upon order of the 
 39.8   committing court.  If the declarant is not a committed patient 
 39.9   under this chapter, the physician or provider may subject the 
 39.10  declarant to intrusive treatment in a manner contrary to the 
 39.11  declarant's expressed wishes, only if the declarant is committed 
 39.12  as mentally ill or mentally ill and dangerous to the public and 
 39.13  a court order authorizing the treatment has been issued. 
 39.14     (e) A declaration under this subdivision may be revoked in 
 39.15  whole or in part at any time and in any manner by the declarant 
 39.16  if the declarant is competent at the time of revocation.  A 
 39.17  revocation is effective when a competent declarant communicates 
 39.18  the revocation to the attending physician or other provider.  
 39.19  The attending physician or other provider shall note the 
 39.20  revocation as part of the declarant's medical record. 
 39.21     (f) A provider who administers intrusive mental health 
 39.22  treatment according to and in good faith reliance upon the 
 39.23  validity of a declaration under this subdivision is held 
 39.24  harmless from any liability resulting from a subsequent finding 
 39.25  of invalidity. 
 39.26     (g) In addition to making a declaration under this 
 39.27  subdivision, a competent adult may delegate parental powers 
 39.28  under section 524.5-505 524.5-211 or may nominate a guardian or 
 39.29  conservator under section 525.544 sections 524.5-101 to 
 39.30  524.5-502. 
 39.31     Sec. 25.  Minnesota Statutes 2002, section 253B.03, 
 39.32  subdivision 11, is amended to read: 
 39.33     Subd. 11.  [PROXY.] A legally authorized health care proxy, 
 39.34  agent, or guardian, or conservator may exercise the patient's 
 39.35  rights on the patient's behalf.  
 39.36     Sec. 26.  Minnesota Statutes 2003 Supplement, section 
 40.1   256J.14, is amended to read: 
 40.2      256J.14 [ELIGIBILITY FOR PARENTING OR PREGNANT MINORS.] 
 40.3      (a) The definitions in this paragraph only apply to this 
 40.4   subdivision. 
 40.5      (1) "Household of a parent, legal guardian, or other adult 
 40.6   relative" means the place of residence of: 
 40.7      (i) a natural or adoptive parent; 
 40.8      (ii) a legal guardian according to appointment or 
 40.9   acceptance under section sections 260C.325, 525.615, or 525.6165 
 40.10  524.5-201 to 524.5-317, and related laws; 
 40.11     (iii) a caregiver as defined in section 256J.08, 
 40.12  subdivision 11; or 
 40.13     (iv) an appropriate adult relative designated by a county 
 40.14  agency. 
 40.15     (2) "Adult-supervised supportive living arrangement" means 
 40.16  a private family setting which assumes responsibility for the 
 40.17  care and control of the minor parent and minor child, or other 
 40.18  living arrangement, not including a public institution, licensed 
 40.19  by the commissioner of human services which ensures that the 
 40.20  minor parent receives adult supervision and supportive services, 
 40.21  such as counseling, guidance, independent living skills 
 40.22  training, or supervision. 
 40.23     (b) A minor parent and the minor child who is in the care 
 40.24  of the minor parent must reside in the household of a parent, 
 40.25  legal guardian, other adult relative, or in an adult-supervised 
 40.26  supportive living arrangement in order to receive MFIP unless: 
 40.27     (1) the minor parent has no living parent, other adult 
 40.28  relative, or legal guardian whose whereabouts is known; 
 40.29     (2) no living parent, other adult relative, or legal 
 40.30  guardian of the minor parent allows the minor parent to live in 
 40.31  the parent's, other adult relative's, or legal guardian's home; 
 40.32     (3) the minor parent lived apart from the minor parent's 
 40.33  own parent or legal guardian for a period of at least one year 
 40.34  before either the birth of the minor child or the minor parent's 
 40.35  application for MFIP; 
 40.36     (4) the physical or emotional health or safety of the minor 
 41.1   parent or minor child would be jeopardized if the minor parent 
 41.2   and the minor child resided in the same residence with the minor 
 41.3   parent's parent, other adult relative, or legal guardian; or 
 41.4      (5) an adult supervised supportive living arrangement is 
 41.5   not available for the minor parent and child in the county in 
 41.6   which the minor parent and child currently reside.  If an adult 
 41.7   supervised supportive living arrangement becomes available 
 41.8   within the county, the minor parent and child must reside in 
 41.9   that arrangement. 
 41.10     (c) The county agency shall inform minor applicants both 
 41.11  orally and in writing about the eligibility requirements, their 
 41.12  rights and obligations under the MFIP program, and any other 
 41.13  applicable orientation information.  The county must advise the 
 41.14  minor of the possible exemptions under section 256J.54, 
 41.15  subdivision 5, and specifically ask whether one or more of these 
 41.16  exemptions is applicable.  If the minor alleges one or more of 
 41.17  these exemptions, then the county must assist the minor in 
 41.18  obtaining the necessary verifications to determine whether or 
 41.19  not these exemptions apply. 
 41.20     (d) If the county worker has reason to suspect that the 
 41.21  physical or emotional health or safety of the minor parent or 
 41.22  minor child would be jeopardized if they resided with the minor 
 41.23  parent's parent, other adult relative, or legal guardian, then 
 41.24  the county worker must make a referral to child protective 
 41.25  services to determine if paragraph (b), clause (4), applies.  A 
 41.26  new determination by the county worker is not necessary if one 
 41.27  has been made within the last six months, unless there has been 
 41.28  a significant change in circumstances which justifies a new 
 41.29  referral and determination. 
 41.30     (e) If a minor parent is not living with a parent, legal 
 41.31  guardian, or other adult relative due to paragraph (b), clause 
 41.32  (1), (2), or (4), the minor parent must reside, when possible, 
 41.33  in a living arrangement that meets the standards of paragraph 
 41.34  (a), clause (2). 
 41.35     (f) Regardless of living arrangement, MFIP must be paid, 
 41.36  when possible, in the form of a protective payment on behalf of 
 42.1   the minor parent and minor child according to section 256J.39, 
 42.2   subdivisions 2 to 4. 
 42.3      Sec. 27.  Minnesota Statutes 2002, section 257B.02, is 
 42.4   amended to read: 
 42.5      257B.02 [APPLICATION OF OTHER LAW; CONSTRUCTION.] 
 42.6      Chapters 257 and 518 and sections 525.539 524.5-101 to 
 42.7   525.705 524.5-502 apply to standby custodians, temporary 
 42.8   custodians, co-custodians, custodians, and alternates unless 
 42.9   otherwise specified in this chapter. 
 42.10     Nothing in this chapter may be construed to deprive a 
 42.11  parent of any parental rights or responsibilities.  A designator 
 42.12  does not lose any custodial rights by the appointment of a 
 42.13  standby or temporary custodian. 
 42.14     Nothing in this chapter may be construed to relieve any 
 42.15  parent of a duty to support the parent's children.  A 
 42.16  preexisting child support order is not suspended or terminated 
 42.17  during the time a child is cared for by a standby or temporary 
 42.18  custodian, unless otherwise provided by court order.  A standby 
 42.19  custodian or temporary custodian has a cause of action for child 
 42.20  support against an absent parent under section 256.87, 
 42.21  subdivision 5. 
 42.22     Sec. 28.  Minnesota Statutes 2002, section 257B.04, 
 42.23  subdivision 4, is amended to read: 
 42.24     Subd. 4.  [RECOMMENDED FORM.] A designation may, but need 
 42.25  not, be in the following form:  "I (insert name of designator) 
 42.26  do hereby appoint (insert name, address, and telephone number of 
 42.27  standby or temporary custodian) as the standby or temporary 
 42.28  custodian of (insert name(s) of child(ren)) to take effect upon 
 42.29  the occurrence of the following triggering event or events 
 42.30  (insert specific triggering events). 
 42.31     I am the (insert designator's relationship to child(ren)) 
 42.32  of (insert name(s) of child(ren)).  (Insert name(s) of 
 42.33  child(ren)'s other parent) is the other parent of (insert 
 42.34  name(s) of child(ren)).  The other parent's address is: 
 42.35     (check all that apply): 
 42.36     .... The other parent died on (insert date of death). 
 43.1      .... The other parent's parental rights were terminated on 
 43.2   (insert date of termination). 
 43.3      .... The other parent's whereabouts are unknown.  I 
 43.4   understand that all living parents whose rights have not been 
 43.5   terminated must be given notice of this designation pursuant to 
 43.6   the Minnesota Rules of Civil Procedure or a petition to approve 
 43.7   this designation may not be granted by the court. 
 43.8      .... The other parent is unwilling and unable to make and 
 43.9   carry out day-to-day child-care decisions concerning the 
 43.10  child(ren). 
 43.11     .... The other parent consents to this designation and has 
 43.12  signed this form below. 
 43.13     By this designation I am granting (insert name of standby 
 43.14  or temporary custodian) the authority to act for 60 days 
 43.15  following the occurrence of the triggering event as a 
 43.16  co-custodian with me, or in the event of my death, as custodian 
 43.17  of my child(ren). 
 43.18     A temporary custodian appointment terminates upon the death 
 43.19  of the designator. 
 43.20     (Optional) I hereby nominate (insert name, address, and 
 43.21  telephone number of alternate standby custodian) as the 
 43.22  alternate standby custodian to assume the duties of the standby 
 43.23  custodian named above if the standby custodian is unable or 
 43.24  unwilling to act as a standby custodian. 
 43.25     If I have indicated more than one triggering event, it is 
 43.26  my intent that the triggering event which occurs first shall 
 43.27  take precedence.  If I have indicated "my death" as the 
 43.28  triggering event, it is my intent that the person named in the 
 43.29  designation to be standby custodian for my child(ren) in the 
 43.30  event of my death shall be appointed as guardian of my 
 43.31  child(ren) under Minnesota Statutes, section 525.551 sections 
 43.32  524.5-201 to 524.5-317, upon my death. 
 43.33     It is my intention to retain full parental rights to the 
 43.34  extent consistent with my condition and to retain the authority 
 43.35  to revoke the appointment of a standby or temporary custodian if 
 43.36  I so choose. 
 44.1      This designation is made after careful reflection, while I 
 44.2   am of sound mind. 
 44.3   ...........................         ...........................
 44.4   (Date)                              (Designator's Signature)
 44.5   ..........................          ..........................
 44.6   (Witness' Signature)                (Witnesses' Signature)
 44.7   ..........................          ..........................
 44.8   (Number and Street)                 (Number and Street)
 44.9   ..........................          ..........................
 44.10  (City, State, and Zip Code)         (City, State, and Zip Code)
 44.11     IF APPLICABLE:  I (insert name of other parent) hereby 
 44.12  consent to this designation. 
 44.13  ...........................         ...........................
 44.14  (Date)                              (Signature of Other Parent)
 44.15  ..............................................................
 44.16  (Address of Other Parent)
 44.17     I, (insert name of standby or temporary custodian), hereby 
 44.18  accept my nomination as standby or temporary custodian of 
 44.19  (insert child(ren)'s name(s)).  I understand that my rights and 
 44.20  responsibilities toward the child(ren) named above will become 
 44.21  effective upon the occurrence of the above-stated triggering 
 44.22  event or events.  I further understand that in order to continue 
 44.23  caring for the child(ren), I must file a petition with the court 
 44.24  within 60 days of the occurrence of the triggering event. 
 44.25  ...........................          ...........................
 44.26  (Date)                               (Signature of Standby or
 44.27                                       Temporary Custodian)"
 44.28     Sec. 29.  Minnesota Statutes 2002, section 257B.06, 
 44.29  subdivision 2, is amended to read: 
 44.30     Subd. 2.  [DEATH OF DESIGNATOR.] The commencement of the 
 44.31  standby custodian's authority to act as custodian because of the 
 44.32  death of the designator does not confer upon the standby 
 44.33  custodian more than legal and physical custody of the child as 
 44.34  defined in chapter 518.  On the death of the designator, the 
 44.35  standby custodian shall be appointed a guardian pursuant to 
 44.36  section 525.551 sections 524.5-201 to 524.5-317.  No separate 
 45.1   petition is required.  No bond or accounting is required except 
 45.2   as specified in this chapter. 
 45.3      Sec. 30.  Minnesota Statutes 2002, section 257C.02, is 
 45.4   amended to read: 
 45.5      257C.02 [APPLICATION OF OTHER LAW; CONSTRUCTION.] 
 45.6      (a) Chapters 256, 257, and 518 and section 525.551 sections 
 45.7   524.5-201 to 524.5-317 apply to third-party and de facto custody 
 45.8   proceedings unless otherwise specified in this chapter.  De 
 45.9   facto or third-party child custody proceedings concerning an 
 45.10  Indian child are child custody proceedings governed by the 
 45.11  Indian Child Welfare Act, United States Code, title 25, sections 
 45.12  1901 to 1963; by the Minnesota Indian Family Preservation Act, 
 45.13  sections 260.751 to 260.835; and by this chapter when not 
 45.14  inconsistent with the Indian Child Welfare Act or the Minnesota 
 45.15  Indian Family Preservation Act. 
 45.16     (b) Nothing in this chapter relieves a parent of a duty to 
 45.17  support the parent's child.  A preexisting child support order 
 45.18  is not suspended or terminated when a third party takes custody 
 45.19  of a child unless otherwise provided by court order.  A de facto 
 45.20  or third-party custodian has a cause of action against a parent 
 45.21  for child support under section 256.87, subdivision 5, and the 
 45.22  public authority has a cause of action against a parent for 
 45.23  child support under section 256.87, subdivision 1. 
 45.24     (c) Nothing in this chapter prohibits the establishment of 
 45.25  parentage under chapter 257. 
 45.26     Sec. 31.  Minnesota Statutes 2002, section 260C.325, 
 45.27  subdivision 3, is amended to read: 
 45.28     Subd. 3.  [BOTH PARENTS DECEASED.] If upon petition to the 
 45.29  juvenile court by a reputable person, including but not limited 
 45.30  to an agent of the commissioner of human services, and upon 
 45.31  hearing in the manner provided in section 260C.163, the court 
 45.32  finds that both parents are deceased and no appointment has been 
 45.33  made or petition for appointment filed pursuant to 
 45.34  sections 525.615 524.5-201 to 525.6185 524.5-317, the court 
 45.35  shall order the guardianship and legal custody of the child 
 45.36  transferred to:  
 46.1      (a) the commissioner of human services; 
 46.2      (b) a licensed child-placing agency; or 
 46.3      (c) an individual who is willing and capable of assuming 
 46.4   the appropriate duties and responsibilities to the child.  
 46.5      Sec. 32.  Minnesota Statutes 2002, section 270B.03, 
 46.6   subdivision 2, is amended to read: 
 46.7      Subd. 2.  [INCAPACITATION.] If an individual is legally 
 46.8   incapacitated subject to guardianship or conservatorship under 
 46.9   sections 525.539 524.5-101 to 525.61 524.5-502, or similar laws 
 46.10  of another state, that individual's return and return 
 46.11  information is, upon written request, open to inspection by or 
 46.12  disclosure to the guardian or conservator appointed for the 
 46.13  individual or the individual's estate. 
 46.14     Sec. 33.  Minnesota Statutes 2002, section 501B.47, is 
 46.15  amended to read: 
 46.16     501B.47 [PETITION BY OWNER OF PRESENT OR FUTURE INTEREST 
 46.17  FOR COURT ORDER TO SELL, MORTGAGE, OR LEASE INTERESTS IN REAL 
 46.18  PROPERTY.] 
 46.19     Notwithstanding a contrary provision in the instrument 
 46.20  creating the interests, when the ownership of real property 
 46.21  situated in this state is divided into one or more possessory 
 46.22  interests and one or more future interests, the owner of an 
 46.23  interest may petition the district court for the county in which 
 46.24  any of the real property is situated for an order directing that 
 46.25  the real property or part of the real property be sold, 
 46.26  mortgaged, or leased.  If an owner is a minor or incapacitated 
 46.27  person as defined in section 525.54 524.5-102, subdivision 6 or 
 46.28  10, or otherwise under conservatorship, the petition may be made 
 46.29  on behalf of the owner by a custodian, conservator, or guardian. 
 46.30     Sec. 34.  Minnesota Statutes 2002, section 501B.49, 
 46.31  subdivision 2, is amended to read: 
 46.32     Subd. 2.  [NOTICE.] Notice of hearing must be given by 
 46.33  publishing a copy of the order for hearing one time in a legal 
 46.34  newspaper for the county in which the petition is filed at least 
 46.35  20 days before the date of the hearing, and by mailing copies of 
 46.36  the order for hearing in the manner specified in this 
 47.1   subdivision or in another manner ordered by the court.  In the 
 47.2   case of a petition under section 501B.46, mailed notice must be 
 47.3   given by mailing a copy of the order for hearing to those 
 47.4   beneficiaries of the trust then in being who are known to or 
 47.5   reasonably ascertainable by the petitioner and, in the case of a 
 47.6   beneficiary who is a minor or an incapacitated person as defined 
 47.7   in section 525.54 524.5-102, subdivision 6 or 10, or otherwise 
 47.8   under conservatorship, to the conservator or guardian, or if 
 47.9   none is acting within the state, to the guardian ad litem of the 
 47.10  beneficiary, at least 15 days before the date of the hearing.  
 47.11  In the case of a petition under section 501B.47, mailed notice 
 47.12  must be given by mailing a copy of the order for hearing to 
 47.13  those persons owning an interest in the real property then in 
 47.14  being who are known to or reasonably ascertainable by the 
 47.15  petitioner and, in the case of a person who is a minor or an 
 47.16  incapacitated person as defined in section 525.54 524.5-102, 
 47.17  subdivision 6 or 10, or otherwise under conservatorship, to the 
 47.18  conservator or guardian, or if none is acting within the state, 
 47.19  to the guardian ad litem of the person, at least 15 days before 
 47.20  the date of the hearing. 
 47.21     Sec. 35.  Minnesota Statutes 2002, section 501B.50, is 
 47.22  amended to read: 
 47.23     501B.50 [REPRESENTATION OF PERSONS WHO ARE UNBORN, 
 47.24  UNASCERTAINED, UNKNOWN, OR MINORS OR INCAPACITATED PERSONS.] 
 47.25     If an interested person is a minor or an incapacitated 
 47.26  person as defined in section 525.54 524.5-102, subdivision 6 or 
 47.27  10, or otherwise under conservatorship, and does not have a 
 47.28  guardian or conservator within the state, the court shall 
 47.29  appoint a guardian ad litem for the person.  If an interested 
 47.30  person is unborn, unascertained, or a person whose identity or 
 47.31  address is unknown to the petitioner, the court shall represent 
 47.32  the person, but the court may, upon the application of the 
 47.33  petitioner or another interested person or on its own motion, 
 47.34  appoint a guardian ad litem to represent the person. 
 47.35     Sec. 36.  Minnesota Statutes 2002, section 501B.51, 
 47.36  subdivision 1, is amended to read: 
 48.1      Subdivision 1.  [FORM OF ORDER; CONCLUSIVENESS.] At a 
 48.2   hearing under section 501B.49, the court shall make an order it 
 48.3   considers appropriate.  If the petition is granted in whole or 
 48.4   in part, the order must specify the real property to be sold, 
 48.5   mortgaged, or leased and the terms and conditions on which the 
 48.6   transaction is to be consummated.  The order is final and 
 48.7   conclusive as to all matters determined by it and binding in rem 
 48.8   on all persons interested in the real property, whether their 
 48.9   interests are vested or contingent, even though the person is a 
 48.10  minor, incapacitated as defined in section 525.54 524.5-102, 
 48.11  subdivision 6 or 10, or otherwise subject to conservatorship, 
 48.12  unascertained, or not in being, except that appeal may be taken 
 48.13  in the manner provided in the Rules of Appellate Procedure. 
 48.14     Sec. 37.  Minnesota Statutes 2002, section 501B.53, 
 48.15  subdivision 4, is amended to read: 
 48.16     Subd. 4.  [HEARING ON CONFIRMATION ORDER.] The trustee or 
 48.17  receiver shall obtain from the court a time and place for the 
 48.18  court's hearing on the confirmation of the agreement and shall 
 48.19  give mailed notice of the time and place of the hearing to the 
 48.20  interested parties described in section 501B.51 at least 15 days 
 48.21  before the date of that hearing.  The order of confirmation is 
 48.22  final and conclusive as to all matters determined by it and 
 48.23  binding in rem on all persons interested in the real property, 
 48.24  whether their interests are vested or contingent, even though a 
 48.25  person is a minor, or incapacitated, as defined in section 
 48.26  525.54 524.5-102, subdivision 6 or 10, or otherwise under 
 48.27  conservatorship, unascertained, or not in being, except that 
 48.28  appeal may be taken in the manner provided in the Rules of 
 48.29  Appellate Procedure. 
 48.30     Sec. 38.  Minnesota Statutes 2002, section 519.07, is 
 48.31  amended to read: 
 48.32     519.07 [BARRING INTEREST OF SPOUSE; RIGHTS RECIPROCAL.] 
 48.33     A person who has an interest in real estate may bring an 
 48.34  action in any county in which all or a part of the real estate 
 48.35  is located, seeking a decree that will bar any inchoate interest 
 48.36  of the person's spouse in the real estate.  The court may grant 
 49.1   such a petition if the court finds by clear and convincing 
 49.2   evidence that the person's spouse is an incapacitated person as 
 49.3   defined in section 525.54 524.5-102, subdivision 6, that the 
 49.4   person has been deserted by the spouse for a period of at least 
 49.5   one year, or that other similar circumstances warrant.  The 
 49.6   decree may grant the person full control of all the person's 
 49.7   real estate located in Minnesota, with power to sell, convey, 
 49.8   mortgage, lease, or transfer title to it, subject to any 
 49.9   limitations the court considers proper in the circumstances.  
 49.10  The decree may not be granted or must be vacated if the 
 49.11  petitioner caused or contributed to the incapacity or 
 49.12  disappearance of the petitioner's spouse.  A certified copy of 
 49.13  such decree may be recorded in the office of the county recorder 
 49.14  or filed in the office of registrar of titles in any county 
 49.15  wherever such real estate, or any part thereof, may be situated. 
 49.16     Sec. 39.  Minnesota Statutes 2002, section 523.03, is 
 49.17  amended to read: 
 49.18     523.03 [INTERPRETATION.] 
 49.19     As used in this chapter: 
 49.20     (1) "incapacity" means cause for appointment of a guardian 
 49.21  or conservator of the person or estate of an adult under section 
 49.22  525.54 sections 524.5-101 to 524.5-502; 
 49.23     (2) "incompetence" has the meaning given in section 525.54; 
 49.24     (3) "principal" includes a guardian or conservator of the 
 49.25  estate appointed for the principal at any time; and 
 49.26     (4) (3) "power of attorney" means a validly executed power 
 49.27  of attorney. 
 49.28     Sec. 40.  Minnesota Statutes 2002, section 524.1-201, is 
 49.29  amended to read: 
 49.30     524.1-201 [GENERAL DEFINITIONS.] 
 49.31     Subject to additional definitions contained in the 
 49.32  subsequent articles which are applicable to specific articles or 
 49.33  parts, and unless the context otherwise requires, in chapters 
 49.34  524 and 525: 
 49.35     (2) "Application" means a written request to the registrar 
 49.36  for an order of informal probate or appointment under article 
 50.1   III, part 3. 
 50.2      (3) "Beneficiary," as it relates to trust beneficiaries, 
 50.3   includes a person who has any present or future interest, vested 
 50.4   or contingent, and also includes the owner of an interest by 
 50.5   assignment or other transfer and as it relates to a charitable 
 50.6   trust, includes any person entitled to enforce the trust. 
 50.7      (5) "Child" includes any individual entitled to take as a 
 50.8   child under law by intestate succession from the parent whose 
 50.9   relationship is involved and excludes any person who is only a 
 50.10  stepchild, a foster child, a grandchild or any more remote 
 50.11  descendant. 
 50.12     (6) "Claims" includes liabilities of the decedent whether 
 50.13  arising in contract or otherwise and liabilities of the estate 
 50.14  which arise after the death of the decedent including funeral 
 50.15  expenses and expenses of administration.  The term does not 
 50.16  include taxes, demands or disputes regarding title of a decedent 
 50.17  to specific assets alleged to be included in the estate, tort 
 50.18  claims, foreclosure of mechanic's liens, or to actions pursuant 
 50.19  to section 573.02. 
 50.20     (7) "Court" means the court or branch having jurisdiction 
 50.21  in matters relating to the affairs of decedents.  This court in 
 50.22  this state is known as the district court. 
 50.23     (8) "Conservator" means a person who is appointed by a 
 50.24  court to manage the estate of a protected person.  
 50.25     (9) "Descendant" of an individual means all of the 
 50.26  individual's descendants of all generations, with the 
 50.27  relationship of parent and child at each generation being 
 50.28  determined by the definition of child and parent contained in 
 50.29  this section. 
 50.30     (10) "Devise," when used as a noun, means a testamentary 
 50.31  disposition of real or personal property and when used as a 
 50.32  verb, means to dispose of real or personal property by will. 
 50.33     (11) "Devisee" means any person designated in a will to 
 50.34  receive a devise.  In the case of a devise to an existing trust 
 50.35  or trustee, or to a trustee on trust described by will, the 
 50.36  trust or trustee is the devisee and the beneficiaries are not 
 51.1   devisees. 
 51.2      (12) "Disability" means cause for appointment of a 
 51.3   protective order conservator as described by in section 525.54 
 51.4   524.5-401, or a protective order as described in section 
 51.5   524.5-412. 
 51.6      (13) "Distributee" means any person who has received or who 
 51.7   will receive property of a decedent from the decedent's personal 
 51.8   representative other than as a creditor or purchaser.  A 
 51.9   testamentary trustee is a distributee with respect to property 
 51.10  which the trustee has received from a personal representative 
 51.11  only to the extent of distributed assets or their increment 
 51.12  remaining in the trustee's hands.  A beneficiary of a 
 51.13  testamentary trust to whom the trustee has distributed property 
 51.14  received from a personal representative is a distributee of the 
 51.15  personal representative.  For purposes of this provision, 
 51.16  "testamentary trustee" includes a trustee to whom assets are 
 51.17  transferred by will, to the extent of the devised assets. 
 51.18     (14) "Estate" includes all of the property of the decedent, 
 51.19  trust, or other person whose affairs are subject to this chapter 
 51.20  as originally constituted and as it exists from time to time 
 51.21  during administration. 
 51.22     (16) "Fiduciary" includes personal representative, 
 51.23  guardian, conservator and trustee. 
 51.24     (17) "Foreign personal representative" means a personal 
 51.25  representative of another jurisdiction. 
 51.26     (18) "Formal proceedings" means those conducted before a 
 51.27  judge with notice to interested persons. 
 51.28     (20) "Guardian" means a person who has qualified as a 
 51.29  guardian of a minor or incapacitated person pursuant to 
 51.30  testamentary or court appointment, but excludes one who is 
 51.31  merely a guardian ad litem. 
 51.32     (21) "Heirs" means those persons, including the surviving 
 51.33  spouse, who are entitled under the statutes of intestate 
 51.34  succession to the property of a decedent. 
 51.35     (22) "Incapacitated person" is as described in section 
 51.36  525.54 524.5-102, subdivision 6, other than a minor. 
 52.1      (23) "Informal proceedings" means those conducted by the 
 52.2   judge, the registrar, or the person or persons designated by the 
 52.3   judge for probate of a will or appointment of a personal 
 52.4   representative in accordance with sections 524.3-301 to 
 52.5   524.3-311. 
 52.6      (24) "Interested person" includes heirs, devisees, 
 52.7   children, spouses, creditors, beneficiaries and any others 
 52.8   having a property right in or claim against the estate of a 
 52.9   decedent, ward or protected person which may be affected by the 
 52.10  proceeding.  It also includes persons having priority for 
 52.11  appointment as personal representative, and other fiduciaries 
 52.12  representing interested persons.  The meaning as it relates to 
 52.13  particular persons may vary from time to time and must be 
 52.14  determined according to the particular purposes of, and matter 
 52.15  involved in, any proceeding. 
 52.16     (27) "Lease" includes an oil, gas, or other mineral lease. 
 52.17     (28) "Letters" includes letters testamentary, letters of 
 52.18  guardianship, letters of administration, and letters of 
 52.19  conservatorship. 
 52.20     (30) "Mortgage" means any conveyance, agreement or 
 52.21  arrangement in which property is used as security. 
 52.22     (31) "Nonresident decedent" means a decedent who was 
 52.23  domiciled in another jurisdiction at the time of death. 
 52.24     (32) "Organization" includes a corporation, government or 
 52.25  governmental subdivision or agency, business trust, estate, 
 52.26  trust, partnership or association, two or more persons having a 
 52.27  joint or common interest, or any other legal entity. 
 52.28     (35) "Person" means an individual, a corporation, an 
 52.29  organization, or other legal entity. 
 52.30     (36) "Personal representative" includes executor, 
 52.31  administrator, successor personal representative, special 
 52.32  administrator, and persons who perform substantially the same 
 52.33  function under the law governing their status.  "General 
 52.34  personal representative" excludes special administrator. 
 52.35     (37) "Petition" means a written request to the court for an 
 52.36  order after notice. 
 53.1      (38) "Proceeding" includes action at law and suit in equity.
 53.2      (39) "Property" includes both real and personal property or 
 53.3   any interest therein and means anything that may be the subject 
 53.4   of ownership. 
 53.5      (40) "Protected person" is as described in section 525.54 
 53.6   524.5-102, subdivision 1 14. 
 53.7      (42) "Registrar" refers to the judge of the court or the 
 53.8   person designated by the court to perform the functions of 
 53.9   registrar as provided in section 524.1-307. 
 53.10     (43) "Security" includes any note, stock, treasury stock, 
 53.11  bond, debenture, evidence of indebtedness, certificate of 
 53.12  interest or participation in an oil, gas or mining title or 
 53.13  lease or in payments out of production under such a title or 
 53.14  lease, collateral trust certificate, transferable share, voting 
 53.15  trust certificate or, in general, any interest or instrument 
 53.16  commonly known as a security, or any certificate of interest or 
 53.17  participation, any temporary or interim certificate, receipt or 
 53.18  certificate of deposit for, or any warrant or right to subscribe 
 53.19  to or purchase, any of the foregoing. 
 53.20     (44) "Settlement," in reference to a decedent's estate, 
 53.21  includes the full process of administration, distribution and 
 53.22  closing. 
 53.23     (45) "Special administrator" means a personal 
 53.24  representative as described by sections 524.3-614 to 524.3-618. 
 53.25     (46) "State" includes any state of the United States, the 
 53.26  District of Columbia, the Commonwealth of Puerto Rico, and any 
 53.27  territory or possession subject to the legislative authority of 
 53.28  the United States. 
 53.29     (47) "Successor personal representative" means a personal 
 53.30  representative, other than a special administrator, who is 
 53.31  appointed to succeed a previously appointed personal 
 53.32  representative. 
 53.33     (48) "Successors" means those persons, other than 
 53.34  creditors, who are entitled to property of a decedent under the 
 53.35  decedent's will, this chapter or chapter 525.  "Successors" also 
 53.36  means a funeral director or county government that provides the 
 54.1   funeral and burial of the decedent, or a state or county agency 
 54.2   with a claim authorized under section 256B.15. 
 54.3      (49) "Supervised administration" refers to the proceedings 
 54.4   described in sections 524.3-501 to 524.3-505. 
 54.5      (51) "Testacy proceeding" means a proceeding to establish a 
 54.6   will or determine intestacy. 
 54.7      (53) "Trust" includes any express trust, private or 
 54.8   charitable, with additions thereto, wherever and however 
 54.9   created.  It also includes a trust created or determined by 
 54.10  judgment or decree under which the trust is to be administered 
 54.11  in the manner of an express trust.  "Trust" excludes other 
 54.12  constructive trusts, and it excludes resulting trusts, 
 54.13  conservatorships, personal representatives, trust accounts as 
 54.14  defined in chapter 528, custodial arrangements pursuant to 
 54.15  sections 149A.97, 318.01 to 318.06, 527.21 to 527.44, business 
 54.16  trusts providing for certificates to be issued to beneficiaries, 
 54.17  common trust funds, voting trusts, security arrangements, 
 54.18  liquidation trusts, and trusts for the primary purpose of paying 
 54.19  debts, dividends, interest, salaries, wages, profits, pensions, 
 54.20  or employee benefits of any kind, and any arrangement under 
 54.21  which a person is nominee or escrowee for another. 
 54.22     (54) "Trustee" includes an original, additional, or 
 54.23  successor trustee, whether or not appointed or confirmed by 
 54.24  court. 
 54.25     (55) "Ward" is as described in section 525.54 524.5-102, 
 54.26  subdivision 1 17. 
 54.27     (56) "Will" includes codicil and any testamentary 
 54.28  instrument which merely appoints an executor or revokes or 
 54.29  revises another will. 
 54.30     Sec. 41.  Minnesota Statutes 2002, section 524.2-606, is 
 54.31  amended to read: 
 54.32     524.2-606 [NONADEMPTION OF SPECIFIC DEVISES; UNPAID 
 54.33  PROCEEDS OF SALE, CONDEMNATION, OR INSURANCE; SALE BY 
 54.34  CONSERVATOR OR GUARDIAN.] 
 54.35     (a) A specific devisee has a right to the specifically 
 54.36  devised property in the testator's estate at death and: 
 55.1      (1) any balance of the purchase price, together with any 
 55.2   security agreement, owing from a purchaser to the testator at 
 55.3   death by reason of sale of the property; 
 55.4      (2) any amount of a condemnation award for the taking of 
 55.5   the property unpaid at death; 
 55.6      (3) any proceeds unpaid at death on fire or casualty 
 55.7   insurance on or other recovery for injury to the property; and 
 55.8      (4) property owned by the testator at death and acquired as 
 55.9   a result of foreclosure, or obtained in lieu of foreclosure, of 
 55.10  the security interest for a specifically devised obligation. 
 55.11     (b) If specifically devised property is sold or mortgaged 
 55.12  by a conservator or guardian or by an agent acting within the 
 55.13  authority of a durable power of attorney for an incapacitated 
 55.14  principal, or if a condemnation award, insurance proceeds, or 
 55.15  recovery for injury to the property are paid to a conservator or 
 55.16  guardian or to an agent acting within the authority of a durable 
 55.17  power of attorney for an incapacitated principal, the specific 
 55.18  devisee has the right to a general pecuniary devise equal to the 
 55.19  net sale price, the amount of the unpaid loan, the condemnation 
 55.20  award, the insurance proceeds, or the recovery. 
 55.21     (c) The right of a specific devisee under paragraph (b) is 
 55.22  reduced by any right the devisee has under paragraph (a). 
 55.23     (d) For the purposes of the references in paragraph (b) to 
 55.24  a conservator or guardian or an agent acting within the 
 55.25  authority of a durable power of attorney, paragraph (b) does not 
 55.26  apply if after the sale, mortgage, condemnation, casualty, or 
 55.27  recovery; 
 55.28     (1) in the case of a conservator or guardian, it was 
 55.29  adjudicated that the testator's incapacity ceased and the 
 55.30  testator survived the adjudication by one year; or 
 55.31     (2) in the case of an agent acting within the authority of 
 55.32  a durable power of attorney, the testator's incapacity ceased 
 55.33  and the testator survived for one year after the incapacity 
 55.34  ceased.  
 55.35     (e) For the purposes of the references in paragraph (b) to 
 55.36  an agent acting within the authority of a durable power of 
 56.1   attorney for an incapacitated principal, (i) "incapacitated 
 56.2   principal" means a principal who is an incapacitated person as 
 56.3   defined in section 525.54 524.5-102, subdivision 3 6, and (ii) a 
 56.4   finding of the principal's incapacity need not occur during the 
 56.5   principal's life.  
 56.6      Sec. 42.  Minnesota Statutes 2002, section 524.3-715, is 
 56.7   amended to read: 
 56.8      524.3-715 [TRANSACTIONS AUTHORIZED FOR PERSONAL 
 56.9   REPRESENTATIVES; EXCEPTIONS.] 
 56.10     Except as restricted or otherwise provided by the will or 
 56.11  by an order in a formal proceeding and subject to the priorities 
 56.12  stated in section 524.3-902, a personal representative, acting 
 56.13  reasonably for the benefit of the interested persons, may 
 56.14  properly: 
 56.15     (1) retain assets owned by the decedent pending 
 56.16  distribution or liquidation including those in which the 
 56.17  representative is personally interested or which are otherwise 
 56.18  improper for trust investment; 
 56.19     (2) receive assets from fiduciaries, or other sources; 
 56.20     (3) perform, compromise or refuse performance of the 
 56.21  decedent's contracts that continue as obligations of the estate, 
 56.22  as the personal representative may determine under the 
 56.23  circumstances.  In performing enforceable contracts by the 
 56.24  decedent to convey or lease land, the personal representative, 
 56.25  among other possible courses of action, may: 
 56.26     (i) execute and deliver a deed of conveyance for cash 
 56.27  payment of all sums remaining due or the purchaser's note for 
 56.28  the sum remaining due secured by a mortgage or deed of trust on 
 56.29  the land; or 
 56.30     (ii) deliver a deed in escrow with directions that the 
 56.31  proceeds, when paid in accordance with the escrow agreement, be 
 56.32  paid to the successors of the decedent, as designated in the 
 56.33  escrow agreement; 
 56.34     (4) satisfy written charitable pledges of the decedent 
 56.35  irrespective of whether the pledges constituted binding 
 56.36  obligations of the decedent or were properly presented as 
 57.1   claims, if in the judgment of the personal representative the 
 57.2   decedent would have wanted the pledges completed under the 
 57.3   circumstances; 
 57.4      (5) if funds are not needed to meet debts and expenses 
 57.5   currently payable and are not immediately distributable, deposit 
 57.6   or invest liquid assets of the estate, including moneys received 
 57.7   from the sale of other assets, in federally insured 
 57.8   interest-bearing accounts, readily marketable secured loan 
 57.9   arrangements or other prudent investments which would be 
 57.10  reasonable for use by trustees generally; 
 57.11     (6) acquire or dispose of an asset, including land in this 
 57.12  or another state, for cash or on credit, at public or private 
 57.13  sale; and manage, develop, improve, exchange, partition, change 
 57.14  the character of, or abandon an estate asset; 
 57.15     (7) make ordinary or extraordinary repairs or alterations 
 57.16  in buildings or other structures, demolish any improvements, 
 57.17  raze existing or erect new party walls or buildings; 
 57.18     (8) subdivide, develop or dedicate land to public use; make 
 57.19  or obtain the vacation of plats and adjust boundaries; or adjust 
 57.20  differences in valuation on exchange or partition by giving or 
 57.21  receiving considerations; or dedicate easements to public use 
 57.22  without consideration; 
 57.23     (9) enter for any purpose into a lease as lessor or lessee, 
 57.24  with or without option to purchase or renew, for a term within 
 57.25  or extending beyond the period of administration; 
 57.26     (10) enter into a lease or arrangement for exploration and 
 57.27  removal of minerals or other natural resources or enter into a 
 57.28  pooling or unitization agreement; 
 57.29     (11) abandon property when, in the opinion of the personal 
 57.30  representative, it is valueless, or is so encumbered, or is in 
 57.31  condition that it is of no benefit to the estate; 
 57.32     (12) vote stocks or other securities in person or by 
 57.33  general or limited proxy; 
 57.34     (13) pay calls, assessments, and other sums chargeable or 
 57.35  accruing against or on account of securities, unless barred by 
 57.36  the provisions relating to claims; 
 58.1      (14) hold a security in the name of a nominee or in other 
 58.2   form without disclosure of the interest of the estate but the 
 58.3   personal representative is liable for any act of the nominee in 
 58.4   connection with the security so held; 
 58.5      (15) insure the assets of the estate against damage, loss 
 58.6   and liability and the personal representative against liability 
 58.7   as to third persons; 
 58.8      (16) borrow money with or without security to be repaid 
 58.9   from the estate assets or otherwise; and advance money for the 
 58.10  protection of the estate; 
 58.11     (17) effect a fair and reasonable compromise with any 
 58.12  debtor or obligor, or extend, renew or in any manner modify the 
 58.13  terms of any obligation owing to the estate.  The personal 
 58.14  representative on holding a mortgage, pledge or other lien upon 
 58.15  property of another person may, in lieu of foreclosure, accept a 
 58.16  conveyance or transfer of encumbered assets from the owner 
 58.17  thereof in satisfaction of the indebtedness secured by lien; 
 58.18     (18) pay in compliance with section 524.3-805, but without 
 58.19  the presentation of a claim, the reasonable and necessary last 
 58.20  illness expenses of the decedent (except as provided in section 
 58.21  524.3-806 (a)), reasonable funeral expenses, debts and taxes 
 58.22  with preference under federal or state law, and other taxes, 
 58.23  assessments, compensation of the personal representative and the 
 58.24  personal representative's attorney, and all other costs and 
 58.25  expenses of administration although the same may be otherwise 
 58.26  barred under section 524.3-803; 
 58.27     (19) sell or exercise stock subscription or conversion 
 58.28  rights; consent, directly or through a committee or other agent, 
 58.29  to the reorganization, consolidation, merger, dissolution, or 
 58.30  liquidation of a corporation or other business enterprise; 
 58.31     (20) allocate items of income or expense to either estate 
 58.32  income or principal, as permitted or provided by law; 
 58.33     (21) employ persons, including attorneys, auditors, 
 58.34  investment advisors, or agents, even if they are associated with 
 58.35  the personal representative, to advise or assist the personal 
 58.36  representative in the performance of administrative duties; act 
 59.1   without independent investigation upon their recommendations; 
 59.2   and instead of acting personally, employ one or more agents to 
 59.3   perform any act of administration, whether or not discretionary; 
 59.4      (22) prosecute or defend claims, or proceedings in any 
 59.5   jurisdiction for the protection of the estate and of the 
 59.6   personal representative in the performance of duties; 
 59.7      (23) sell, mortgage, or lease any real or personal property 
 59.8   of the estate or any interest therein for cash, credit, or for 
 59.9   part cash and part credit, and with or without security for 
 59.10  unpaid balances, provided, however, that the homestead of a 
 59.11  decedent when the spouse takes any interest therein shall not be 
 59.12  sold, mortgaged or leased unless the written consent of the 
 59.13  spouse has been obtained; 
 59.14     (24) continue any unincorporated business or venture in 
 59.15  which the decedent was engaged at the time of death (i) in the 
 59.16  same business form for a period of not more than four months 
 59.17  from the date of appointment of a general personal 
 59.18  representative if continuation is a reasonable means of 
 59.19  preserving the value of the business including good will, (ii) 
 59.20  in the same business form for any additional period of time that 
 59.21  may be approved by order of the court in a formal proceeding to 
 59.22  which the persons interested in the estate are parties; or (iii) 
 59.23  throughout the period of administration if the business is 
 59.24  incorporated by the personal representative and if none of the 
 59.25  probable distributees of the business who are competent adults 
 59.26  object to its incorporation and retention in the estate; 
 59.27     (25) incorporate any business or venture in which the 
 59.28  decedent was engaged at the time of death; 
 59.29     (26) provide for exoneration of the personal representative 
 59.30  from personal liability in any contract entered into on behalf 
 59.31  of the estate; 
 59.32     (27) satisfy and settle claims and distribute the estate as 
 59.33  provided in this chapter; 
 59.34     (28) foreclose a mortgage, lien, or pledge or collect the 
 59.35  debts secured thereby, or complete any such proceeding commenced 
 59.36  by the decedent; 
 60.1      (29) exercise all powers granted to guardians and 
 60.2   conservators by sections 525.67 and 525.68 524.5-101 to 
 60.3   524.5-502.  
 60.4      Sec. 43.  Minnesota Statutes 2002, section 609.2325, 
 60.5   subdivision 2, is amended to read: 
 60.6      Subd. 2.  [EXEMPTIONS.] For the purposes of this section, a 
 60.7   vulnerable adult is not abused for the sole reason that: 
 60.8      (1) the vulnerable adult or a person with authority to make 
 60.9   health care decisions for the vulnerable adult under sections 
 60.10  144.651, 144A.44, chapter 145B, 145C, or 252A, or section 
 60.11  sections 253B.03, or 525.539 524.5-101 to 525.6199 
 60.12  524.5-502, refuses consent or withdraws consent, consistent with 
 60.13  that authority and within the boundary of reasonable medical 
 60.14  practice, to any therapeutic conduct, including any care, 
 60.15  service, or procedure to diagnose, maintain, or treat the 
 60.16  physical or mental condition of the vulnerable adult or, where 
 60.17  permitted under law, to provide nutrition and hydration 
 60.18  parenterally or through intubation; this paragraph does not 
 60.19  enlarge or diminish rights otherwise held under law by: 
 60.20     (i) a vulnerable adult or a person acting on behalf of a 
 60.21  vulnerable adult, including an involved family member, to 
 60.22  consent to or refuse consent for therapeutic conduct; or 
 60.23     (ii) a caregiver to offer or provide or refuse to offer or 
 60.24  provide therapeutic conduct; 
 60.25     (2) the vulnerable adult, a person with authority to make 
 60.26  health care decisions for the vulnerable adult, or a caregiver 
 60.27  in good faith selects and depends upon spiritual means or prayer 
 60.28  for treatment or care of disease or remedial care of the 
 60.29  vulnerable adult in lieu of medical care, provided that this is 
 60.30  consistent with the prior practice or belief of the vulnerable 
 60.31  adult or with the expressed intentions of the vulnerable adult; 
 60.32  or 
 60.33     (3) the vulnerable adult, who is not impaired in judgment 
 60.34  or capacity by mental or emotional dysfunction or undue 
 60.35  influence, engages in consensual sexual contact with:  (i) a 
 60.36  person, including a facility staff person, when a consensual 
 61.1   sexual personal relationship existed prior to the caregiving 
 61.2   relationship; or (ii) a personal care attendant, regardless of 
 61.3   whether the consensual sexual personal relationship existed 
 61.4   prior to the caregiving relationship. 
 61.5      Sec. 44.  Minnesota Statutes 2002, section 609.233, 
 61.6   subdivision 2, is amended to read: 
 61.7      Subd. 2.  [EXEMPTIONS.] A vulnerable adult is not neglected 
 61.8   for the sole reason that: 
 61.9      (1) the vulnerable adult or a person with authority to make 
 61.10  health care decisions for the vulnerable adult under sections 
 61.11  144.651, 144A.44, 253B.03, or 525.539 524.5-101 to 525.6199 
 61.12  524.5-502, or chapter 145B, 145C, or 252A, refuses consent or 
 61.13  withdraws consent, consistent with that authority and within the 
 61.14  boundary of reasonable medical practice, to any therapeutic 
 61.15  conduct, including any care, service, or procedure to diagnose, 
 61.16  maintain, or treat the physical or mental condition of the 
 61.17  vulnerable adult or, where permitted under law, to provide 
 61.18  nutrition and hydration parenterally or through intubation; this 
 61.19  paragraph does not enlarge or diminish rights otherwise held 
 61.20  under law by: 
 61.21     (i) a vulnerable adult or a person acting on behalf of a 
 61.22  vulnerable adult, including an involved family member, to 
 61.23  consent to or refuse consent for therapeutic conduct; or 
 61.24     (ii) a caregiver to offer or provide or refuse to offer or 
 61.25  provide therapeutic conduct; 
 61.26     (2) the vulnerable adult, a person with authority to make 
 61.27  health care decisions for the vulnerable adult, or a caregiver 
 61.28  in good faith selects and depends upon spiritual means or prayer 
 61.29  for treatment or care of disease or remedial care of the 
 61.30  vulnerable adult in lieu of medical care, provided that this is 
 61.31  consistent with the prior practice or belief of the vulnerable 
 61.32  adult or with the expressed intentions of the vulnerable adult; 
 61.33  or 
 61.34     (3) the vulnerable adult, who is not impaired in judgment 
 61.35  or capacity by mental or emotional dysfunction or undue 
 61.36  influence, engages in consensual sexual contact with:  (i) a 
 62.1   person including a facility staff person when a consensual 
 62.2   sexual personal relationship existed prior to the caregiving 
 62.3   relationship; or (ii) a personal care attendant, regardless of 
 62.4   whether the consensual sexual personal relationship existed 
 62.5   prior to the caregiving relationship. 
 62.6      Sec. 45.  Minnesota Statutes 2002, section 626.557, 
 62.7   subdivision 10, is amended to read: 
 62.8      Subd. 10.  [DUTIES OF COUNTY SOCIAL SERVICE AGENCY.] (a) 
 62.9   Upon receipt of a report from the common entry point staff, the 
 62.10  county social service agency shall immediately assess and offer 
 62.11  emergency and continuing protective social services for purposes 
 62.12  of preventing further maltreatment and for safeguarding the 
 62.13  welfare of the maltreated vulnerable adult.  In cases of 
 62.14  suspected sexual abuse, the county social service agency shall 
 62.15  immediately arrange for and make available to the vulnerable 
 62.16  adult appropriate medical examination and treatment.  When 
 62.17  necessary in order to protect the vulnerable adult from further 
 62.18  harm, the county social service agency shall seek authority to 
 62.19  remove the vulnerable adult from the situation in which the 
 62.20  maltreatment occurred.  The county social service agency may 
 62.21  also investigate to determine whether the conditions which 
 62.22  resulted in the reported maltreatment place other vulnerable 
 62.23  adults in jeopardy of being maltreated and offer protective 
 62.24  social services that are called for by its determination.  
 62.25     (b) County social service agencies may enter facilities and 
 62.26  inspect and copy records as part of an investigation.  The 
 62.27  county social service agency has access to not public data, as 
 62.28  defined in section 13.02, and medical records under section 
 62.29  144.335, that are maintained by facilities to the extent 
 62.30  necessary to conduct its investigation.  The inquiry is not 
 62.31  limited to the written records of the facility, but may include 
 62.32  every other available source of information.  
 62.33     (c) When necessary in order to protect a vulnerable adult 
 62.34  from serious harm, the county social service agency shall 
 62.35  immediately intervene on behalf of that adult to help the 
 62.36  family, vulnerable adult, or other interested person by seeking 
 63.1   any of the following:  
 63.2      (1) a restraining order or a court order for removal of the 
 63.3   perpetrator from the residence of the vulnerable adult pursuant 
 63.4   to section 518B.01; 
 63.5      (2) the appointment of a guardian or conservator pursuant 
 63.6   to sections 525.539 524.5-101 to 525.6198 524.5-502, or 
 63.7   guardianship or conservatorship pursuant to chapter 252A; 
 63.8      (3) replacement of a guardian or conservator suspected of 
 63.9   maltreatment and appointment of a suitable person as guardian or 
 63.10  conservator, pursuant to sections 525.539 524.5-101 to 525.6198 
 63.11  524.5-502; or 
 63.12     (4) a referral to the prosecuting attorney for possible 
 63.13  criminal prosecution of the perpetrator under chapter 609.  
 63.14     The expenses of legal intervention must be paid by the 
 63.15  county in the case of indigent persons, under section 525.703 
 63.16  524.5-502 and chapter 563.  
 63.17     In proceedings under sections 525.539 524.5-101 to 525.6198 
 63.18  524.5-502, if a suitable relative or other person is not 
 63.19  available to petition for guardianship or conservatorship, a 
 63.20  county employee shall present the petition with representation 
 63.21  by the county attorney.  The county shall contract with or 
 63.22  arrange for a suitable person or organization to provide ongoing 
 63.23  guardianship services.  If the county presents evidence to the 
 63.24  court exercising probate jurisdiction that it has made a 
 63.25  diligent effort and no other suitable person can be found, a 
 63.26  county employee may serve as guardian or conservator.  The 
 63.27  county shall not retaliate against the employee for any action 
 63.28  taken on behalf of the ward or conservatee protected person even 
 63.29  if the action is adverse to the county's interest.  Any person 
 63.30  retaliated against in violation of this subdivision shall have a 
 63.31  cause of action against the county and shall be entitled to 
 63.32  reasonable attorney fees and costs of the action if the action 
 63.33  is upheld by the court. 
 63.34     Sec. 46.  Minnesota Statutes 2002, section 626.5572, 
 63.35  subdivision 17, is amended to read: 
 63.36     Subd. 17.  [NEGLECT.] "Neglect" means:  
 64.1      (a) The failure or omission by a caregiver to supply a 
 64.2   vulnerable adult with care or services, including but not 
 64.3   limited to, food, clothing, shelter, health care, or supervision 
 64.4   which is: 
 64.5      (1) reasonable and necessary to obtain or maintain the 
 64.6   vulnerable adult's physical or mental health or safety, 
 64.7   considering the physical and mental capacity or dysfunction of 
 64.8   the vulnerable adult; and 
 64.9      (2) which is not the result of an accident or therapeutic 
 64.10  conduct. 
 64.11     (b) The absence or likelihood of absence of care or 
 64.12  services, including but not limited to, food, clothing, shelter, 
 64.13  health care, or supervision necessary to maintain the physical 
 64.14  and mental health of the vulnerable adult which a reasonable 
 64.15  person would deem essential to obtain or maintain the vulnerable 
 64.16  adult's health, safety, or comfort considering the physical or 
 64.17  mental capacity or dysfunction of the vulnerable adult. 
 64.18     (c) For purposes of this section, a vulnerable adult is not 
 64.19  neglected for the sole reason that: 
 64.20     (1) the vulnerable adult or a person with authority to make 
 64.21  health care decisions for the vulnerable adult under sections 
 64.22  144.651, 144A.44, chapter 145B, 145C, or 252A, or section 
 64.23  sections 253B.03, or 525.539 524.5-101 to 525.6199 
 64.24  524.5-502, refuses consent or withdraws consent, consistent with 
 64.25  that authority and within the boundary of reasonable medical 
 64.26  practice, to any therapeutic conduct, including any care, 
 64.27  service, or procedure to diagnose, maintain, or treat the 
 64.28  physical or mental condition of the vulnerable adult, or, where 
 64.29  permitted under law, to provide nutrition and hydration 
 64.30  parenterally or through intubation; this paragraph does not 
 64.31  enlarge or diminish rights otherwise held under law by: 
 64.32     (i) a vulnerable adult or a person acting on behalf of a 
 64.33  vulnerable adult, including an involved family member, to 
 64.34  consent to or refuse consent for therapeutic conduct; or 
 64.35     (ii) a caregiver to offer or provide or refuse to offer or 
 64.36  provide therapeutic conduct; or 
 65.1      (2) the vulnerable adult, a person with authority to make 
 65.2   health care decisions for the vulnerable adult, or a caregiver 
 65.3   in good faith selects and depends upon spiritual means or prayer 
 65.4   for treatment or care of disease or remedial care of the 
 65.5   vulnerable adult in lieu of medical care, provided that this is 
 65.6   consistent with the prior practice or belief of the vulnerable 
 65.7   adult or with the expressed intentions of the vulnerable adult; 
 65.8      (3) the vulnerable adult, who is not impaired in judgment 
 65.9   or capacity by mental or emotional dysfunction or undue 
 65.10  influence, engages in sexual contact with:  
 65.11     (i) a person including a facility staff person when a 
 65.12  consensual sexual personal relationship existed prior to the 
 65.13  caregiving relationship; or 
 65.14     (ii) a personal care attendant, regardless of whether the 
 65.15  consensual sexual personal relationship existed prior to the 
 65.16  caregiving relationship; or 
 65.17     (4) an individual makes an error in the provision of 
 65.18  therapeutic conduct to a vulnerable adult which does not result 
 65.19  in injury or harm which reasonably requires medical or mental 
 65.20  health care; or 
 65.21     (5) an individual makes an error in the provision of 
 65.22  therapeutic conduct to a vulnerable adult that results in injury 
 65.23  or harm, which reasonably requires the care of a physician, and: 
 65.24     (i) the necessary care is provided in a timely fashion as 
 65.25  dictated by the condition of the vulnerable adult; 
 65.26     (ii) if after receiving care, the health status of the 
 65.27  vulnerable adult can be reasonably expected, as determined by 
 65.28  the attending physician, to be restored to the vulnerable 
 65.29  adult's preexisting condition; 
 65.30     (iii) the error is not part of a pattern of errors by the 
 65.31  individual; 
 65.32     (iv) if in a facility, the error is immediately reported as 
 65.33  required under section 626.557, and recorded internally in the 
 65.34  facility; 
 65.35     (v) if in a facility, the facility identifies and takes 
 65.36  corrective action and implements measures designed to reduce the 
 66.1   risk of further occurrence of this error and similar errors; and 
 66.2      (vi) if in a facility, the actions required under items 
 66.3   (iv) and (v) are sufficiently documented for review and 
 66.4   evaluation by the facility and any applicable licensing, 
 66.5   certification, and ombudsman agency. 
 66.6      (d) Nothing in this definition requires a caregiver, if 
 66.7   regulated, to provide services in excess of those required by 
 66.8   the caregiver's license, certification, registration, or other 
 66.9   regulation. 
 66.10     (e) If the findings of an investigation by a lead agency 
 66.11  result in a determination of substantiated maltreatment for the 
 66.12  sole reason that the actions required of a facility under 
 66.13  paragraph (c), clause (5), item (iv), (v), or (vi), were not 
 66.14  taken, then the facility is subject to a correction order.  An 
 66.15  individual will not be found to have neglected or maltreated the 
 66.16  vulnerable adult based solely on the facility's not having taken 
 66.17  the actions required under paragraph (c), clause (5), item (iv), 
 66.18  (v), or (vi).  This must not alter the lead agency's 
 66.19  determination of mitigating factors under section 626.557, 
 66.20  subdivision 9c, paragraph (c). 
 66.21     Sec. 47.  [INSTRUCTION TO REVISOR.] 
 66.22     The revisor of statutes shall change "sections 525.54 to 
 66.23  525.61" to "sections 524.5-101 to 524.5-502" in the following 
 66.24  sections of Minnesota Statutes:  146A.03, subdivision 6; 
 66.25  146A.09, subdivision 6; 147.111, subdivision 6; 147A.14, 
 66.26  subdivision 6; 148.102, subdivision 4; 148.262, subdivision 2; 
 66.27  148.263, subdivision 5; 148B.07, subdivision 6; 148B.175, 
 66.28  subdivision 8; 148B.281, subdivision 9; 148B.283, subdivision 7; 
 66.29  148B.63, subdivision 6; 148B.69, subdivision 5; 148C.091, 
 66.30  subdivision 4; 150A.13, subdivision 6; and 153.24, subdivision 5.