1.1                          A bill for an act 
  1.2             relating to employment; modifying definitions and 
  1.3             procedures; changing requirements relating to fines; 
  1.4             modifying safety program requirements; amending 
  1.5             Minnesota Statutes 1994, sections 182.651, subdivision 
  1.6             9; 182.653, subdivision 8; 182.66, subdivision 1; and 
  1.7             182.666, subdivision 7; Minnesota Statutes 1995 
  1.8             Supplement, section 182.676. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 1994, section 182.651, 
  1.11  subdivision 9, is amended to read: 
  1.12     Subd. 9.  "Employee" means any person ~~suffered or permitted~~ 
  1.13  ~~to work by an employer, including any person acting directly or~~ 
  1.14  ~~indirectly in the interest of or as a representative of, an~~ 
  1.15  ~~employer, and shall include state, county, town, city, school~~ 
  1.16  ~~district, or governmental subdivision~~ who performs services for 
  1.17  another for hire.  Employee does not include an inmate or 
  1.18  parolee who works for the state or its political subdivisions or 
  1.19  who works for an industrial or commercial activity operated by 
  1.20  the state or its political subdivisions.  Employee does not 
  1.21  include a person who is a voluntary uncompensated worker.  For 
  1.22  purposes of this subdivision, "compensate" means cash, barter, 
  1.23  or in-kind payment which is not necessary for the performance of 
  1.24  the work.  
  1.25     Sec. 2.  Minnesota Statutes 1994, section 182.653, 
  1.26  subdivision 8, is amended to read: 
  1.27     Subd. 8.  [WORK PLACE ACCIDENT AND INJURY PROGRAMS.] ~~An~~ 
  2.1   ~~employer covered by this section~~ Employers must ~~establish~~ 
  2.2   develop and implement a written work place accident and injury 
  2.3   reduction program that addresses the hazards of the employer's 
  2.4   work place, promotes safe and healthful working conditions and 
  2.5   is based on clearly stated goals and objectives for meeting 
  2.6   those goals.  The program must describe: 
  2.7      (1) how managers, supervisors, and employees are 
  2.8   responsible for implementing the program and how continued 
  2.9   participation of management will be established, measured, and 
  2.10  maintained; 
  2.11     (2) the methods used to identify, analyze, and control new 
  2.12  or existing hazards, conditions, and operations; 
  2.13     (3) how the plan will be communicated to all affected 
  2.14  employees so that they are informed of work-related hazards and 
  2.15  controls; 
  2.16     (4) how work place accidents will be investigated and 
  2.17  corrective action implemented; ~~and~~ 
  2.18     (5) how safe work practices and rules will be enforced; and 
  2.19     (6) how a new hazard which is discovered or introduced will 
  2.20  be addressed. 
  2.21     An employer must conduct and document a review of the work 
  2.22  place accident and injury reduction program at least annually 
  2.23  and document how procedures set forth in the program are met. 
  2.24     Sec. 3.  Minnesota Statutes 1994, section 182.66, 
  2.25  subdivision 1, is amended to read: 
  2.26     Subdivision 1.  After an inspection or investigation, if 
  2.27  the commissioner believes that an employer has violated a 
  2.28  requirement of section 182.653, or any standard, rule or order 
  2.29  adopted pursuant to this chapter, the commissioner shall, with 
  2.30  reasonable promptness and in no event later than six months 
  2.31  following the ~~inspection~~ last day of the closing conference, 
  2.32  issue a written citation to the employer ~~by certified mail~~.  For 
  2.33  purposes of this subdivision, "closing conference" means the 
  2.34  conference with the employer described in Minnesota Rules, part 
  2.35  5210.0470, subpart 5.  The citation shall describe with 
  2.36  particularity the nature of the violation, including a reference 
  3.1   to the provision of the act, standard, rule or order alleged to 
  3.2   have been violated.  In addition, the citation shall fix a 
  3.3   reasonable time for the abatement of the violation.  A citation 
  3.4   shall be considered issued when mailed or otherwise personally 
  3.5   delivered to the employer. 
  3.6      Sec. 4.  Minnesota Statutes 1994, section 182.666, 
  3.7   subdivision 7, is amended to read: 
  3.8      Subd. 7.  (a) Fines imposed under this chapter shall be 
  3.9   paid to the commissioner for deposit in the special compensation 
  3.10  fund and may be recovered in a civil action in the name of the 
  3.11  department brought in the district court of the county where the 
  3.12  violation is alleged to have occurred or the district court 
  3.13  where the commissioner has an office.  Unpaid fines are subject 
  3.14  to late payment penalty amounts and interest if not paid when 
  3.15  due.  Unpaid fines shall be increased ~~to 125~~ by a penalty amount 
  3.16  of 25 percent of the original assessed amount if not paid within 
  3.17  60 days after the fine becomes a final order.  After that 60 
  3.18  days, unpaid fines shall accrue an additional penalty of ten 
  3.19  percent per month ~~compounded monthly until the fine is paid in~~ 
  3.20  ~~full~~ for an additional ten months or until the fine has been 
  3.21  paid in full, whichever occurs first. 
  3.22     (b) Beginning August 1, 1996, if any fine payable to the 
  3.23  commissioner or the department of labor and industry pursuant to 
  3.24  this chapter is not paid within the time specified by law for 
  3.25  payment, the unpaid fine shall bear interest at the rate of nine 
  3.26  percent per annum from the date the fine should have been paid 
  3.27  until the date the fine is paid.  The rate of interest contained 
  3.28  in this subdivision shall be adjusted by the commissioner not 
  3.29  later than October 15, 1996, and any year thereafter if the 
  3.30  adjusted prime rate charged by banks during the six-month period 
  3.31  ending September 30 of that year, rounded to the nearest full 
  3.32  percent, is at least a full percentage point more or less than 
  3.33  the interest rate which is then in effect.  The adjusted rate of 
  3.34  interest shall be equal to three percentage points above the 
  3.35  adjusted prime interest rate charged by banks, rounded to the 
  3.36  nearest full percent, and shall become effective on January 1 of 
  4.1   the immediately succeeding year.  For purposes of this 
  4.2   subdivision, the term "adjusted prime rate charged by banks" 
  4.3   means the average predominant prime rate quoted by commercial 
  4.4   banks to large businesses, as determined by the board of 
  4.5   governors of the Federal Reserve System.  The determination of 
  4.6   the interest rate by the commissioner pursuant to this 
  4.7   subdivision shall not be considered a "rule" and shall not be 
  4.8   subject to the administrative procedure act contained in chapter 
  4.9   14.  
  4.10     (c) A fine must be paid by 30 days after the date the 
  4.11  penalty becomes a final order of the commissioner unless review 
  4.12  of the final order is requested under sections 182.664, 
  4.13  subdivision 5, and 182.665.  If review is not requested or the 
  4.14  order is reviewed and upheld, the amount due is the penalty. 
  4.15     (d) The commissioner may proceed on behalf of the state to 
  4.16  enforce fines, late penalties, and interest that are due and 
  4.17  payable under this section in any manner provided by law for the 
  4.18  collection of debts. 
  4.19     (e) If a person fails to pay a penalty, the commissioner on 
  4.20  behalf of the state may bring a civil action in the district 
  4.21  court where the violation is alleged to have occurred or the 
  4.22  district court where the commissioner has an office, seeking 
  4.23  payment of penalties, injunctive or other appropriate relief 
  4.24  including monetary damages, attorney fees, costs, and interest. 
  4.25     (f) The commissioner may petition the district court to 
  4.26  file the administrative order as an order of the court.  At the 
  4.27  court hearing, the only issues parties may contest are 
  4.28  procedural and notice issues and the calculation of late payment 
  4.29  penalty amounts and interest.  Once entered, the administrative 
  4.30  order may be enforced in the same manner as a final judgment of 
  4.31  the district court. 
  4.32     Sec. 5.  Minnesota Statutes 1995 Supplement, section 
  4.33  182.676, is amended to read: 
  4.34     182.676 [SAFETY COMMITTEES.] 
  4.35     Every public or private employer of more than 25 employees 
  4.36  shall establish and administer a joint labor-management safety 
  5.1   committee.  
  5.2      Every public or private employer of 25 or fewer employees 
  5.3   shall establish and administer a safety committee if~~:~~ 
  5.4      ~~(1) the employer has a lost workday cases incidence rate in~~ 
  5.5   ~~the top ten percent of all rates for employers in the same~~ 
  5.6   ~~industry; or~~ 
  5.7      ~~(2) the workers' compensation premium classification~~ 
  5.8   ~~assigned to the greatest portion of the payroll for the employer~~ 
  5.9   ~~has a pure premium rate as reported by the workers' compensation~~ 
  5.10  ~~rating association in the top 25 percent of premium rates for~~ 
  5.11  ~~all classes~~ the employer is in a standard industrial 
  5.12  classification required to comply with section 182.653, 
  5.13  subdivision 8.  
  5.14     A safety committee must hold regularly scheduled meetings 
  5.15  unless otherwise provided in a collective bargaining agreement. 
  5.16     Employee safety committee members must be selected by 
  5.17  employees.  An employer that fails to establish or administer a 
  5.18  safety committee as required by this section may be cited by the 
  5.19  commissioner for a serious violation.  ~~A citation is punishable~~ 
  5.20  ~~as a serious violation under section 182.666.~~  
  5.21     An employer is considered to be in compliance with the 
  5.22  requirements of this section if the employer has established a 
  5.23  safety and health committee as a part of a workplace accident 
  5.24  and injury reduction program under section 182.653, subdivision 
  5.25  8, that has substantial employee involvement. 
  5.26     The commissioner may adopt ~~emergency or permanent~~ rules 
  5.27  necessary to implement this section.