1.1 	A bill for an act
1.2 	relating to retirement; Public Employees Retirement
1.3 	Association; clarifying collection procedures relating
1.4 	to charter schools; amending Minnesota Statutes 2004,
1.5 	section 353.28, subdivisions 5, 6.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2004, section 353.28,
1.8 	subdivision 5, is amended to read:
1.9 		Subd. 5.Interest charges chargeable on amounts due.  Any
1.10 	amount due under this section or section 353.27, subdivision 4,
1.11 	is payable with interest at an annual compound rate of 8.5
1.12 	percent compounded annually from the date due until the date
1.13 	payment is received by the association, with a minimum interest
1.14 	charge of $10. Interest for past due payments of excess police
1.15 	state aid under section 69.031, subdivision 5, must be charged
1.16 	at an annual rate of 8.5 percent compounded annually.

1.17 	Sec. 2. Minnesota Statutes 2004, section 353.28,
1.18 	subdivision 6, is amended to read:
1.19 		Subd. 6.failure to pay collection of unpaid amounts. (a) 
1.20 	If the a governmental subdivision other than a charter school 
1.21 	fails to pay amounts an amount due under chapters chapter 353,
1.22 	353A, 353B, 353C, and or 353D or fails to make payments of
1.23 	excess police state aid to the public employees police and fire
1.24 	fund under section 69.031, subdivision 5, the executive director
1.25 	shall certify those amounts the amount to the governmental
2.1 	subdivision for payment.  If the governmental subdivision fails
2.2 	to remit the sum so due in a timely fashion, the executive
2.3 	director shall certify amounts the amount to the applicable 
2.4 	county auditor for collection.  The county auditor shall collect
2.5 	such amounts the amount out of the revenue of the governmental
2.6 	subdivision, or shall add them the amount to the levy of the
2.7 	governmental subdivision and make payment directly to the
2.8 	association.  This tax shall must be levied, collected, and
2.9 	apportioned in the manner that other taxes are levied,
2.10 	collected, and apportioned.
2.11 	(b) If a charter school fails to pay an amount due under
2.12 	this chapter, the executive director shall certify the amount to
2.13 	the charter school for payment.  If the charter school fails to
2.14 	pay the amount for a period of 60 days after certification, the
2.15 	executive director shall certify the amount to the commissioner
2.16 	of finance, who shall deduct the amount from any subsequent
2.17 	state-aid payment or state appropriation amount applicable to
2.18 	the charter school.

2.19 	Sec. 3. EFFECTIVE DATE.
 2.20 	Sections 1 and 2 are effective July 1, 2005.