Minnesota Legislature
HF 1063
1st Unofficial Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am
KEY: stricken = removed, old language.
underscored = added, new language.
1.2relating to higher education; appropriating money; amending certain Minnesota
1.3Office of Higher Education provisions; requiring a risk analysis; establishing
1.4new grant and loan repayment programs; amending higher education programs;
1.5requiring certain studies; making technical changes; requiring summary statistics
1.6in required reports; repealing certain data sharing and collecting requirements;
1.7modifying financial aid programs; establishing the Minnesota GI Bill program;
1.8establishing the Achieve Scholarship Program; regulating private higher
1.9education institutions; providing penalties; amending certain grant programs;
1.10eliminating obsolete references; authorizing control of certain decreasing
1.11students' share of attendance; increasing revenue bond limits; authorizing control
1.12of certain deposits; authorizing lease agreements; authorizing interest rate swap;
1.13providing for the Textbook Disclosure, Pricing, and Access Act;amending
1.14Minnesota Statutes 2006, sections 13.322, subdivision 3; 41D.01, subdivision
1.151; 135A.01; 135A.031, subdivisions 1, 7; 135A.034, subdivision 1; 135A.51,
1.16subdivision 2; 135A.52, subdivisions 1, 2; 136A.031, subdivision 5; 136A.08,
1.17subdivision 7; 136A.101, subdivisions 4, 5a; 136A.121, subdivisions 5, 7a, by
1.18adding a subdivision; 136A.125, subdivisions 2, 4; 136A.15, subdivisions 1,
1.196; 136A.16, subdivision 8, by adding a subdivision; 136A.1702; 136A.233,
1.20subdivision 3; 136A.29, subdivision 9; 136A.61; 136A.62, subdivision 3;
1.21136A.63; 136A.64; 136A.65; 136A.657, by adding a subdivision; 136A.66;
1.22136A.67; 136A.68; 136A.69; 136A.861, subdivisions 1, 2, 3, 6; 136F.02,
1.23subdivision 1; 136F.03, subdivisions 3, 4; 136F.42, subdivision 1; 136F.58;
1.24136F.71, subdivision 2, by adding a subdivision; 136G.11, subdivision 5;
1.25137.0245, subdivisions 1, 4; 137.0246; 141.21, subdivisions 1a, 5; 141.25,
1.26subdivisions 1, 5, 7, 9, 10, 12; 141.255, subdivision 2; 141.265, subdivision 2;
1.27141.271, subdivisions 10, 12; 141.28, subdivision 1; 141.32; 141.35; 197.775,
1.28subdivision 4; proposing coding for new law in Minnesota Statutes, chapters
1.29135A; 136A; 137; 141; 197; repealing Minnesota Statutes 2006, sections
1.30135A.031, subdivisions 2, 3, 4, 5, 6; 135A.032; 135A.033; 135A.045; 135A.053;
1.31136A.07; 136A.08, subdivision 8; Laws 2001, First Special Session chapter 1,
1.32article 1, sections 3, subdivision 3; 4, subdivision 5.
1.33BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
2.4 Subdivision 1. Summary By Fund. The amounts shown in this subdivision
2.5summarize direct appropriations, by fund, made in this article.
2.11 Subd. 2. Summary By Agency - All Funds. The amounts shown in this subdivision
2.12summarize direct appropriations, by agency, made in this article.
2.27 The sums shown in the columns marked "Appropriations" are appropriated to the
2.28agencies and for the purposes specified in this article. The appropriations are from the
2.29general fund, or another named fund, and are available for the fiscal years indicated
2.30for each purpose. The figures "2008" and "2009" used in this article mean that the
2.31appropriations listed under them are available for the fiscal year ending June 30, 2008, or
2.32June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
2.33year 2009. "The biennium" is fiscal years 2008 and 2009.
3.4The amounts that may be spent for each
3.5purpose are specified in the following
3.6subdivisions.
3.8If the appropriation in this subdivision for
3.9either year is insufficient, the appropriation
3.10for the other year is available for it.
3.11For the biennium, the tuition maximum for
3.12students in four-year programs is $9,838 in
3.13each year for students in four-year programs,
3.14and for students in two-year programs, is
3.15$6,114 in the first year and $5,808 in the
3.16second year.
3.17This appropriation sets the living and
3.18miscellaneous expense allowance at $5,900
3.19each year.
3.21This appropriation is to provide educational
3.22benefits under Minnesota Statutes, section
3.23299A.45, to dependent children under age 23
3.24and to the spouses of public safety officers
3.25killed in the line of duty.
3.26If the appropriation in this subdivision for
3.27either year is insufficient, the appropriation
3.28for the other year is available for it.
3.30If the appropriation in this subdivision for
3.31either year is insufficient, the appropriation
3.32for the other year is available to meet
3.33reciprocity contract obligations.
4.10No more than $50,000 of this appropriation
4.11each year may be used for administrative
4.12expenses for the program under Minnesota
4.13Statutes, section136A.861 .
4.15(a) Of this amount, $200,000 in fiscal
4.16year 2008 and $200,000 in fiscal year
4.172009 are for transfer to the University of
4.18Minnesota and $200,000 in fiscal year 2008
4.19and $200,000 in fiscal year 2009 are for
4.20transfer to the Minnesota State Colleges
4.21and Universities to provide courses under
4.22Minnesota Statutes, section 124D.09,
4.23subdivision 10, to high school students living
4.24in remote and underserved areas where
4.25the school district lacks the resources to
4.26provide academically rigorous educational
4.27opportunities, such as Advanced Placement
4.28and International Baccalaureate programs.
4.29Courses may be delivered by a high school
4.30or postsecondary faculty member, online, or
4.31through distance education. Students who
4.32successfully complete a course must receive
5.1college credit at no cost to the student. The
5.2office must report to the committees of the
5.3legislature with responsibility for higher
5.4education finance by January 15, 2009, on the
5.5program outcomes with recommendations on
5.6continuing and expanding the program.
5.7(b) Of this amount, $535,000 in fiscal year
5.82009 is for Achieve scholarships under
5.9Minnesota Statutes, section 136A.127. The
5.10funding base for this program is $1,071,000
5.11in fiscal year 2010 and $1,605,000 in fiscal
5.12year 2011. Up to $12,400 of this amount may
5.13be used for administration of the program
5.14in the 2008-2009 biennium. Up to $63,200
5.15in the 2010-2011 biennium may be used for
5.16administration of the program.
5.18This appropriation includes funding for
5.19student and parent information and the get
5.20ready outreach program.
5.21$240,000 each year is for grants to increase
5.22campus-community collaboration and service
5.23learning statewide, including operations of
5.24the Minnesota campus compact, grants to
5.25member institutions and grants for member
5.26institution initiatives. For every $1 in state
5.27funding, grant recipients must contribute $2
5.28in campus or community-based support.
5.29$250,000 in the first year is for a grant to
5.30Augsburg College for the purpose of its
5.31Step UP program to provide educational
5.32opportunities to chemically dependent
5.33students and to work with other public
5.34and private colleges in Minnesota to help
6.1replicate this program. This is a onetime
6.2appropriation.
6.3$100,000 each year must be transferred to
6.4the Loan Repayment Assistance Program,
6.5Inc., for loan repayment assistance awards
6.6to attorneys who enter public interest law to
6.7ensure that low-income and disadvantaged
6.8populations have access to competent legal
6.9counsel.
6.10$50,000 in fiscal year 2008 is for the
6.11Washington Center for Internships and
6.12Academic Seminars for a pilot program
6.13for scholarships for students enrolling in a
6.14Minnesota four-year college or university
6.15beginning in the fall semester of 2007.
6.16The appropriation shall be available only
6.17on a dollar-for-dollar match basis for
6.18funds received from nonstate sources.
6.19The Washington Center for Internships
6.20and Academic Seminars must work with
6.21Minnesota Colleges and Universities to
6.22ensure that the scholarships will go to
6.23economically disadvantaged Minnesota
6.24students, students with demonstrated need of
6.25financial assistance, and students traditionally
6.26underrepresented in higher education, and
6.27will work to ensure racial, ethnic, and gender
6.28diversity, as well as urban/rural balance. This
6.29is a onetime appropriation.
6.30$250,000 each year is for the teacher
6.31education and compensation helps (TEACH)
6.32and the Minnesota early childhood teacher
6.33programs in Minnesota Statutes, section
6.34136A.126.
7.1For a grant to the United Family Medicine
7.2residency program. This appropriation
7.3shall be used to support up to 18 resident
7.4physicians each year in family practice at
7.5United Family Medicine residency programs
7.6and shall prepare doctors to practice family
7.7care medicine in underserved rural and
7.8urban areas of the state. It is intended that
7.9this program will improve health care in
7.10underserved communities, provide affordable
7.11access to appropriate medical care, and
7.12manage the treatment of patients in a more
7.13cost-effective manner. The funding base for
7.14this program is $448,000 in fiscal year 2010
7.15and $467,000 in fiscal year 2011.
7.18A balance in the first year under this section
7.19does not cancel, but is available for the
7.20second year.
7.22The Minnesota Office of Higher Education
7.23may transfer unencumbered balances from
7.24the appropriations in this section to the state
7.25grant appropriation, the interstate tuition
7.26reciprocity appropriation, the child care
7.27grant appropriation, the state work study
7.28appropriation, the public safety officers'
7.29survivors appropriation, and the Minnesota
7.30college savings plan appropriation. Transfers
7.31from the child care or state work study
7.32appropriations may only be made to the
7.33extent there is a projected surplus in the
7.34appropriation. A transfer may be made
7.35only with the prior written approval of the
8.1commissioner of finance and prior written
8.2notice to the chairs of the senate and house
8.3committees with jurisdiction over higher
8.4education finance.
8.6Notwithstanding any rule to the contrary,
8.7work study jobs funded by a TANF
8.8appropriation do not require employer
8.9matching funds.
8.14The amounts that may be spent for each
8.15purpose are specified in the following
8.16subdivisions.
8.18This appropriation includes a permanent
8.19increase in each year for Cook County
8.20Higher Education to provide educational
8.21programs and academic support services to
8.22remote regions in northeastern Minnesota.
8.23Cook County Higher Education must
8.24continue to provide information to the Board
8.25of Trustees of the Minnesota State Colleges
8.26and Universities on the number of students
8.27served, credit hours delivered, and services
8.28provided to students.
8.29This appropriation includes funding
8.30for operation and maintenance of the
8.31system, including technology infrastructure
8.32improvements to deliver more online
8.33programs and services to students; and
8.34funding for initiatives to recruit and retain
9.1students traditionally underrepresented in
9.2higher education to help prepare students
9.3for college, encourage their enrollment, and
9.4provide services that enable them to continue
9.5successfully to graduation.
9.6If the Board of Trustees decides to implement
9.7other "Strategic Advancements" initiatives,
9.8funding must be from internal reallocation of
9.9existing resources or enhanced productivity.
9.10It is the expectation of the legislature that the
9.11board will hold tuition increases to no more
9.12than four percent per year for fiscal years
9.132008 and 2009.
9.14One percent of the appropriation in this
9.15subdivision is available after the board
9.16demonstrates to the commissioner of finance
9.17that the Minnesota State Colleges and
9.18Universities system has achieved at least
9.19three of the following five goals:
9.20(1) increase by at least three percent,
9.21compared to fiscal year 2005, the number of
9.22students who take college level courses in
9.23science, technology, engineering, and math;
9.24(2) increase by at least two percent, compared
9.25to fiscal year 2005, enrollment in courses
9.26at the four existing center of excellence
9.27programs;
9.28(3) increase by at least 700, compared to
9.29fiscal year 2007, the number of students
9.30trained on the use of electronic medical
9.31record technology;
9.32(4) increase by at least ten percent, compared
9.33to fiscal year 2007, the number of students
9.34taking online courses or the number of online
9.35courses offered; and
10.1(5) expand by at least ten percent, compared
10.2to calendar year 2006, the use of "awards of
10.3excellence" or other initiatives that reward
10.4member institutions, faculty, administrators,
10.5or staff for innovations designed to advance
10.6excellence and efficiency.
10.7By October 1, 2007, the Board of Trustees
10.8and the Office of Higher Education must
10.9agree on specific numerical indicators and
10.10definitions for each of the five goals that will
10.11be used to demonstrate the Minnesota State
10.12Colleges and Universities' attainment of each
10.13goal.
10.14On or before April 1, 2008, the Board
10.15of Trustees must report to the legislative
10.16committees with primary jurisdiction over
10.17higher education finance and policy the
10.18progress of the Minnesota State Colleges and
10.19Universities toward attaining the goals.
10.20This appropriation includes funding to
10.21eliminate nonresident undergraduate tuition
10.22at Century College, Saint Paul College,
10.23Minneapolis Community and Technical
10.24College, Rochester Community and
10.25Technical College, Inver Hills Community
10.26College, St. Cloud Technical College,
10.27and Normandale Community College. In
10.28addition, the Board of Trustees must not
10.29implement a nonresident undergraduate
10.30tuition rate at a community college, technical
10.31college, or consolidated community and
10.32technical college that does not have such a
10.33rate as of May 1, 2007, except for a student
10.34who is a resident of a state that has entered
10.35into a reciprocity agreement under Minnesota
11.1Statutes, section 136A.08. This paragraph
11.2expires June 30, 2009.
11.3This appropriation includes funding
11.4to identify and improve on practices
11.5for selecting and purchasing textbooks
11.6and course materials that are used by
11.7students. The board, in collaboration with
11.8the Minnesota State University Student
11.9Association (MSUSA) and the Minnesota
11.10State College Student Association (MSCSA)
11.11must develop and implement pilot projects
11.12with this appropriation to address the
11.13financial burden that textbook prices and
11.14requirements place on students. These
11.15projects may include textbook rental
11.16programs, cooperative purchasing efforts,
11.17training, and education and awareness
11.18programs for students and faculty on cost
11.19considerations and textbook options. The
11.20student associations must be fully involved in
11.21the development and implementation of any
11.22project using this appropriation. The board
11.23must report, with input from MSUSA and
11.24MSCSA, to the committees of the legislature
11.25responsible for higher education finance by
11.26February 15, 2009, on the success of the pilot
11.27projects. This money is available until June
11.2830, 2009.
11.29This appropriation includes funding for
11.30community-based energy development
11.31pilot projects at Mesabi Range Technical
11.32and Community College, the Minnesota
11.33West Community and Technical College,
11.34Riverland Community College, and Inver
11.35Hills Community College. Inver Hills
11.36Community College must partner with
12.1the city of Inver Grove Heights on a
12.2community-based pilot project and each
12.3of the other campuses must establish
12.4partnerships for community-based energy
12.5development pilot projects that involve
12.6students and faculty. An allocation for the
12.7pilot project is available to the participating
12.8institutions and the partnerships for the
12.9biennium ending June 30, 2009.
12.10This appropriation includes funding for a
12.11modular clean-room research and training
12.12facility at St. Paul College. This is a onetime
12.13appropriation and is available until expended.
12.14This appropriation includes funding for a
12.15pilot project with the Northeast Minnesota
12.16Higher Education District and high schools
12.17in its area. Up to one-half of the first year's
12.18appropriation may be used to purchase
12.19equipment that is necessary to reestablish
12.20a technical education curriculum in the
12.21area high schools to provide the students
12.22with the technical skills necessary for the
12.23workforce. Students from area high schools
12.24may also access the facilities and faculty of
12.25the Northeast Minnesota Higher Education
12.26District for state-of-the-art technical
12.27education opportunities, including MnSCU's
12.282+2 Pathways initiative.
12.29This appropriation includes funding for St.
12.30Paul College to collaborate with the United
12.31Auto Workers Local 879 to purchase a Ford
12.32Ranger pickup truck to retrofit to run on a
12.33battery-powered motor. This vehicle must
12.34be retrofitted to serve as a prototype that
12.35could be mass-produced at the St. Paul
13.1Ford assembly plant. This is a onetime
13.2appropriation.
13.3This appropriation includes funding for a
13.4grant to a Minnesota public postsecondary
13.5institution with a total student enrollment
13.6under 7,000 students, that has an existing
13.7women's hockey team competing in
13.8Division I in the Western Collegiate Hockey
13.9Association. The institution may use the
13.10grant for equipment, facility improvements,
13.11travel and compensation for coaches,
13.12trainers, and other necessary personnel. This
13.13is a onetime appropriation.
13.14This appropriation includes funding for a
13.15study of student demand and employer needs
13.16for higher education in the Mesabi Range
13.17region of northeastern Minnesota including
13.18the cities of Grand Rapids through Eveleth
13.19to Ely. The board must contract for the
13.20study which must be done in cooperation
13.21with the Board of Regents of the University
13.22of Minnesota, the University of Minnesota,
13.23Duluth, and the Range Association of
13.24Municipalities and Schools, which must act
13.25as the lead agency in coordinating the study.
13.26The study must specify how the identified
13.27regional educational needs can be met by the
13.28University of Minnesota, by the Minnesota
13.29State Colleges and Universities, or through
13.30degree programs offered jointly. The final
13.31report must be submitted to the committees
13.32of the legislature responsible for higher
13.33education finance by January 15, 2008, with
13.34recommendations and plans for the region.
14.1This appropriation includes funding for a
14.2project to establish a center at the Mesabi
14.3Range Community and Technical College in
14.4cooperation with the Iron Range Resources
14.5and Rehabilitation Board (IRRRB) to
14.6enhance the use of eFolio Minnesota by
14.7providing on-site and Internet-based support
14.8and technical assistance to eFolio users to
14.9promote workforce development and access
14.10to workforce information generated through
14.11the eFolio Minnesota system. The board
14.12must enhance the eFolio Minnesota system
14.13as necessary to serve these purposes and
14.14report annually to the legislative committees
14.15responsible for higher education finance on
14.16the outcomes of the center's activities.
14.17Any amounts in the base budget allocated
14.18to pay competitive compensation under
14.19Laws 2005, chapter 107, article 1, section 3,
14.20subdivision 2, may also be used to recruit or
14.21retain quality faculty.
14.23(a) The board must adopt a policy that allows
14.24students to add the cost of textbooks and
14.25required course materials purchased at a
14.26campus bookstore, owned by or operated
14.27under a contract with the campus, to the
14.28existing waivers or payment plans for tuition
14.29and fees.
14.30(b) By January 1, 2009, the board must adopt
14.31a policy setting the maximum number of
14.32semester credits required for a baccalaureate
14.33degree at 120 semester credits or the
14.34equivalent and the number of semester
14.35credits required for an associate degree at
15.160 semester credits or the equivalent. The
15.2board policy may provide for a process
15.3for granting waivers for specific degree
15.4programs in which industry or professional
15.5accreditation standards require a greater
15.6number of semester credits.
15.14The amounts that may be spent for each
15.15purpose are specified in the following
15.16subdivisions.
15.18This appropriation includes funding for
15.19operation and maintenance of the system
15.20including amounts to advance the University
15.21of Minnesota's efforts to sustain quality
15.22and competitiveness; and funding for the
15.23"Advancing Education" initiatives including
15.24an Ojibwe Indian language program on the
15.25Duluth campus.
15.26This appropriation includes funding to
15.27establish banded tuition at the Morris,
15.28Crookston, and Duluth campuses to reduce
15.29tuition costs for students.
15.30This appropriation includes funding for
15.31scholarships for undergraduate Minnesota
15.32resident students with family income under
15.33$150,000 per year. This appropriation must
15.34be matched with $1.50 of nonstate money for
15.35each $1 of state money.
16.1This appropriation includes funding for the
16.2Center for Transportation Studies to complete
16.3a study to assess public policy options for
16.4reducing the volume of greenhouse gases
16.5emitted from the transportation sector in
16.6Minnesota. The Center for Transportation
16.7Studies must report its preliminary findings
16.8to the legislature by February 1, 2008, and
16.9must issue its full report by June 1, 2008.
16.10This is a onetime appropriation.
16.11This appropriation includes funding to
16.12establish an India Center to improve and
16.13promote relations with India and Southeast
16.14Asia. The center must partner with public
16.15and private organizations in Minnesota to:
16.16(1) foster an understanding of the history,
16.17culture, and values of India;
16.18(2) serve as a resource and catalyst to
16.19promote economic, governmental, and
16.20academic pursuits involving India; and
16.21(3) facilitate educational and business
16.22exchanges and partnerships, collaborative
16.23research, and teaching and training activities
16.24for Minnesota students and teachers.
16.25The Board of Regents may establish an
16.26advisory council to facilitate the mission
16.27and objectives of the India Center and must
16.28report on the progress of the India Center
16.29by February 15, 2008, to the governor
16.30and chairs of the legislative committees
16.31responsible for higher education finance.
16.32This appropriation must be matched by an
16.33equal amount of nonstate money. This is a
16.34onetime appropriation.
17.1This appropriation includes funding to assist
17.2in the formation of the neighborhood alliance
17.3and for projects identified in section 10. The
17.4alliance, the Board of Regents, and the city of
17.5Minneapolis may cooperate on the projects
17.6and may use public services of other entities
17.7to complete all or a portion of a project. This
17.8is a onetime appropriation.
17.9This appropriation includes funding to
17.10establish a Dakota language teacher training
17.11immersion program on the Twin Cities
17.12campus to prepare teachers to teach in
17.13Dakota language immersion programs.
17.14One percent of the appropriation in this
17.15subdivision is available when the Board
17.16of Regents of the University of Minnesota
17.17demonstrates to the commissioner of finance
17.18that the board has met at least three of the
17.19five following performance goals:
17.20(1) increase financial support to pay the cost
17.21of attendance for students demonstrating
17.22financial need;
17.23(2) maintain or improve the University of
17.24Minnesota's rank in its national share of
17.25total research and development expenditures
17.26reported to the National Science Foundation
17.27over the 2007 ranking;
17.28(3) increase by at least five percent, compared
17.29to fiscal year 2007, the number of degrees
17.30awarded in science, technology, engineering,
17.31mathematics, and health sciences disciplines;
17.32(4) increase by at least five percent, compared
17.33to fiscal year 2007, the amount of financial
17.34support from key funding sources for
17.35renewable energy research; and
18.1(5) increase and improve interaction and
18.2research activity beneficial to business and
18.3industry.
18.4By October 1, 2007, the Board of Regents
18.5and the Office of Higher Education must
18.6agree on specific numerical indicators and
18.7definitions for each of the five goals that will
18.8be used to demonstrate the University of
18.9Minnesota's attainment of each goal.
18.10On or before April 1, 2008, the Board
18.11of Regents must report to the legislative
18.12committees with primary jurisdiction over
18.13higher education finance and policy the
18.14progress of the University of Minnesota
18.15toward attaining the goals.
18.17This appropriation is from the health care
18.18access fund.
18.21(1) For the Agricultural Experiment
18.22Station, Minnesota Extension Service. This
18.23appropriation includes additional funding
18.24to promote alternative livestock research
18.25and outreach, and for an ongoing organic
18.26research and education program.
18.27(2) This appropriation includes funding
18.28for research efforts that demonstrate a
18.29renewed emphasis on the needs of the state's
18.30production agriculture community and a
18.31continued focus on renewable energy derived
18.32from Minnesota biomass resources including
18.33agronomic crops, plant and animal wastes,
18.34and native plants or trees, with priority for
19.1extending the Minnesota vegetable growing
19.2season; fertilizer and soil fertility research
19.3and development; treating and curing human
19.4diseases utilizing plant and livestock cells;
19.5using biofuel production coproducts as
19.6feed for livestock; and a rapid agricultural
19.7response fund for current or emerging
19.8animal, plant, and insect problems affecting
19.9production or food safety. In addition, the
19.10appropriation may be used to secure a facility
19.11and retain current faculty levels for poultry
19.12research currently conducted at UMore Park.
19.13(3) In the area of renewable energy, priority
19.14should be given to projects pertaining to:
19.15biofuel and other energy production from
19.16small grains; alternative bioenergy crops and
19.17cropping systems; and growing, harvesting,
19.18and transporting biomass plant material.
19.19(4) This appropriation includes funding for
19.20the college of food, agricultural, and natural
19.21resources sciences to establish and maintain
19.22a statewide organic research and education
19.23initiative to provide leadership for organic
19.24agronomic, horticultural, livestock, and food
19.25systems research, education, and outreach
19.26and for the purchase of state-of-the-art
19.27laboratory, planting, tilling, harvesting, and
19.28processing equipment necessary for this
19.29project.
19.30(5) By February 1, 2009, the Board
19.31of Regents must report to the legislative
19.32committees with responsibility for agriculture
19.33and higher education finance on the research
19.34and initiatives under this paragraph.
20.1(6) The base appropriation is $52,175,000
20.2each year of the biennium ending June 30,
20.32011.
20.4(7) The Board of Regents of the University
20.5of Minnesota is requested to refrain from
20.6implementing corresponding reductions in
20.7funding for the purposes for which additional
20.8funding is provided.
20.10$346,000 each year is to support up to 12
20.11resident physicians each year in the St.
20.12Cloud Hospital family practice residency
20.13program. The program must prepare doctors
20.14to practice primary care medicine in the rural
20.15areas of the state. The legislature intends
20.16this program to improve health care in rural
20.17communities, provide affordable access to
20.18appropriate medical care, and manage the
20.19treatment of patients in a more cost-effective
20.20manner.
20.21The remainder of this appropriation is for
20.22the rural physicians associates program, the
20.23Veterinary Diagnostic Laboratory, health
20.24sciences research, dental care, and the
20.25Biomedical Engineering Center.
20.27For the Geological Survey and the talented
20.28youth mathematics program.
20.30For general research, student loans matching
20.31money, industrial relations education, Natural
20.32Resources Research Institute, Center for
20.33Urban and Regional Affairs, Bell Museum of
20.34Natural History, and the Humphrey exhibit.
21.1This appropriation includes additional
21.2funding each year for industrial relations
21.3education. The Board of Regents of the
21.4University of Minnesota is requested to
21.5refrain from implementing corresponding
21.6reductions in funding for this purpose.
21.9For the direct and indirect expenses of the
21.10collaborative research partnership between
21.11the University of Minnesota and the Mayo
21.12Foundation for research in biotechnology
21.13and medical genomics. For fiscal years 2010
21.14and 2011, the base shall be $8,000,000 in
21.15each year. This appropriation is available
21.16until expended. An annual report on the
21.17expenditure of these funds must be submitted
21.18to the governor and the chairs of the senate
21.19and house committees responsible for higher
21.20education and economic development by
21.21June 30 of each fiscal year.
21.23The appropriation for Academic Health
21.24Center funding under Minnesota Statutes,
21.25section 297F.10, is $22,250,000 each year.
21.28The amounts that may be spent for each
21.29purpose are specified in the following
21.30subdivisions.
21.32The state of Minnesota must pay a capitation
21.33each year for each student who is a resident
21.34of Minnesota. The appropriation may be
22.1transferred between years of the biennium to
22.2accommodate enrollment fluctuations. The
22.3funding base for this program is $640,000 in
22.4fiscal year 2010 and $665,000 in fiscal year
22.52011.
22.6It is intended that during the biennium the
22.7Mayo Clinic use the capitation money to
22.8increase the number of doctors practicing in
22.9rural areas in need of doctors.
22.12The state of Minnesota must pay stipend
22.13support for up to 27 residents each year. The
22.14funding base for this program is $660,000 in
22.15fiscal year 2010 and $686,000 in fiscal year
22.162011.
22.19For grants to eligible veterans or the eligible
22.20spouses and children of veterans as provided
22.21under Minnesota Statutes, section 197.791.
22.22If the appropriation in this subdivision for
22.23either year is insufficient, the appropriation
22.24for the other year is available for it.
22.25Of this appropriation, no more than three
22.26percent each year may be used for the
22.27administrative costs of operating this
22.28program.
22.29 Sec. 8. FINANCIAL AID PROGRAM STUDIES.
22.30 Subdivision 1. State grant. The Minnesota Office of Higher Education must
22.31conduct an analysis and evaluation of the state grant program to provide information
22.32to the legislature concerning the role of the program in promoting affordable access to
22.33higher education in Minnesota, including promoting access for students traditionally
22.34underrepresented in higher education. The analysis and evaluation must include:
23.1 (1) evaluation of the assigned student share compared to the current and future
23.2income of a student, and analysis of the number of hours a student must work to meet the
23.3assigned student share without borrowing;
23.4 (2) evaluation of the assigned family contribution, how it is determined under the
23.5federal needs analysis, and how it compares to expectations of families in other public
23.6programs;
23.7 (3) analysis of the ways that students and families pay the assigned student share and
23.8the assigned family contribution;
23.9 (4) analysis of the recognized cost of attendance compared to actual attendance
23.10costs and the ability of individuals and families at various income levels in Minnesota to
23.11pay the cost of attendance;
23.12 (5) analysis of the actual living and miscellaneous expenses of students, with
23.13particular attention to differences between traditional and nontraditional students, and
23.14comparison to the amount currently used in the state grant formula; and
23.15 (6) analysis of other parameters of the program considered relevant by the office,
23.16including prorating the state grant amount instead of the budget for the cost of attendance
23.17and changing the definition of full-time enrollment.
23.18Whenever possible, the analysis must include:
23.19 (i) cost estimates and information on how recommended changes affect students at
23.20various income levels and at different higher education institutions in Minnesota; and
23.21 (ii) the distributional effects, by income quintile, of state grant program parameters
23.22on students and families.
23.23The office also shall assess the feasibility of expanding the eligibility for state grants to
23.24include graduate and first professional students pursuing degree programs deemed to be
23.25important to the workforce needs of the state. By February 15, 2008, the Minnesota
23.26Office of Higher Education must report its preliminary findings and recommendations to
23.27the committees in the house of representatives and senate with primary jurisdiction over
23.28higher education policy and finance and workforce development on options to enhance
23.29the targeting of financial aid to state grant recipients, with the final report submitted by
23.30October 1, 2008.
23.31 Subd. 2. Workforce needs. The Minnesota Office of Higher Education must
23.32examine existing financial aid programs that provide loans and grants to students, and the
23.33needs of the workforce for occupations that are currently in demand or are projected to
23.34be in demand in the future and:
23.35 (1) evaluate how effective the financial aid programs are in linking the needs of the
23.36workforce with the student's financial aid needs;
24.1 (2) identify financial aid program options, including loan forgiveness and loan
24.2repayment programs, that provide incentives to students to pursue degrees in occupations:
24.3 (i) with identified unmet workforce needs like speech pathologists; and
24.4 (ii) of social or economic importance to the state; and
24.5 (3) identify mechanisms, such as additional resources, to promote the growth of
24.6occupations of social or economic importance to the state. By February 15, 2008, the office
24.7must report its preliminary findings to the legislative committees with primary jurisdiction
24.8over higher education policy and finance and workforce development, and provide options
24.9and recommendations on ways to enhance the delivery of financial aid to meet the needs of
24.10both students and the state's workforce, with the final report submitted by October 1, 2008.
24.11 Sec. 9. POSTSECONDARY EDUCATION PARTICIPATION STUDY.
24.12 The Minnesota Office of Higher Education shall, by January 15, 2008, report to the
24.13house and senate committees with jurisdiction over higher education policy and finance
24.14on participation in postsecondary education by income, and persistence and graduation
24.15rates of state grant recipients compared to students who did not receive state grants. The
24.16Minnesota Office of Higher Education is authorized to match individual student data from
24.17the student record enrollment database with individual student data from the state grant
24.18database on data elements necessary to perform the study.
24.19 Sec. 10. UNIVERSITY OF MINNESOTA MINNEAPOLIS AREA
24.20NEIGHBORHOOD ALLIANCE.
24.21 Subdivision 1. Definitions. (a) For purposes of this section, the following terms
24.22have the meanings given them.
24.23 (b) "Alliance" means a representative body of the constituencies, including, but
24.24not limited to, the University of Minnesota, the city of Minneapolis, and the recognized
24.25neighborhood organizations and business associations referenced in the report.
24.26 (c) "Board" means the Board of Regents of the University of Minnesota.
24.27 (d) "Report" means the report and appendix entitled Moving Forward Together:
24.28University of Minnesota Minneapolis Area Neighborhood Impact Report, submitted to
24.29the legislature in February 2007.
24.30 (e) "University partnership district" or "district" means the area located within the
24.31city that includes the neighborhoods of Cedar-Riverside, Marcy-Holmes, South East
24.32Como, Prospect Park, and University, as they are defined by the city, and the university's
24.33Minneapolis campus.
25.1 (f) "Tier two impact zone" means the neighborhoods of northeast Minneapolis that
25.2house significant numbers of university students and staff. Transportation and housing
25.3policy analysis and planning must include these areas but they must not be included in
25.4the projects funded through the alliance.
25.5 (g) "University" means the University of Minnesota.
25.6 Subd. 2. Alliance; functions. The alliance may facilitate, initiate, or manage
25.7projects with the board, city, or other public or private entities that are intended to
25.8maintain the university partnership district as a viable place to study, research, and live.
25.9Projects may include, but are not limited to, those outlined in the report, as well as
25.10efforts to involve students in activities to maintain and improve the university partnership
25.11district; cooperative university and university partnership district long-term planning; and
25.12incentives to increase homeownership within the district with particular emphasis on
25.13employees of the university and of other major employers located within the district.
25.14 Subd. 3. Report. The board must report to the legislature by January 15, 2009, on
25.15the expenditure of funds appropriated under section 3.
25.18 Section 1. Minnesota Statutes 2006, section 13.322, subdivision 3, is amended to read:
25.19 Subd. 3. Minnesota Office of Higher Education. (a) General. Data sharing
25.20involving the Minnesota Office of Higher Education and other institutions is governed
25.21bysections section
136A.05 and 136A.08, subdivision 8 .
25.22 (b) Student financial aid. Data collected and used by the Minnesota Office of
25.23Higher Education on applicants for financial assistance are classified under section
25.24136A.162
.
25.25 (c) Minnesota college savings plan data. Account owner data, account data, and
25.26data on beneficiaries of accounts under the Minnesota college savings plan are classified
25.27under section136G.05, subdivision 10 .
25.28 (d) School financial records. Financial records submitted by schools registering
25.29with the Minnesota Office of Higher Education are classified under section136A.64 .
25.30 (e) Enrollment and financial aid data. Data collected from eligible institutions on
25.31student enrollment and federal and state financial aid are governed by sections 136A.121,
25.32subdivision 18, and 136A.1701, subdivision 11.
25.33 Sec. 2. Minnesota Statutes 2006, section 41D.01, subdivision 1, is amended to read:
26.1 Subdivision 1. Establishment; membership. (a) The Minnesota Agriculture
26.2Education Leadership Council is established. The council is composed of16 17 members
26.3as follows:
26.4 (1) the chair of the University of Minnesota agricultural education program;
26.5 (2) a representative of the commissioner of education;
26.6 (3) a representative of the Minnesota State Colleges and Universities recommended
26.7by the chancellor;
26.8 (4) the president and the president-elect of the Minnesota Association of Agriculture
26.9Educators;
26.10 (5) a representative of the Future Farmers of America Foundation;
26.11 (6) a representative of the commissioner of agriculture;
26.12 (7) the dean of the College of Agriculture, Food, and Environmental Sciences at the
26.13University of Minnesota;
26.14 (8) a representative of the Minnesota Private Colleges Council;
26.15 (9) two members representing agriculture education and agriculture business
26.16appointed by the governor;
26.17(9) (10) the chair of the senate Committee on Agriculture, General Legislation
26.18and Veterans Affairs;
26.19(10) (11) the chair of the house Committee on Agriculture;
26.20(11) (12) the ranking minority member of the senate Committee on Agriculture,
26.21General Legislation and Veterans Affairs, and a member of the senate Education
26.22Committee designated by the Subcommittee on Committees of the Committee on Rules
26.23and Administration; and
26.24(12) (13) the ranking minority member of the house Agriculture Committee, and a
26.25member of the house Education Committee designated by the speaker.
26.26 (b) An ex officio member of the council under paragraph (a), clause (1), (4), (7),
26.27(9), (10), (11), or (12), or (13), may designate a permanent or temporary replacement
26.28member representing the same constituency.
26.29 Sec. 3. Minnesota Statutes 2006, section 135A.01, is amended to read:
26.30135A.01 FUNDING POLICY.
26.31 It is the policy of the legislature to provide stable funding, including recognition of
26.32the effects of inflation, for instructional services at public postsecondary institutions and
26.33that the state and students share the cost ofthose services public postsecondary education.
26.34The legislature intends to provide at least 67 percent of theinstructional services costs
26.35for each postsecondary system combined revenue from tuition, the university fee at the
27.1University of Minnesota, and state general fund appropriations to public postsecondary
27.2institutions. It is also the policy of the legislature that the budgetary process serves to
27.3support high quality public postsecondary education.
27.4 Sec. 4. [135A.011] STATE HIGHER EDUCATION OBJECTIVES.
27.5 Subdivision 1. Statewide objectives. Minnesota's higher education investment
27.6is made in pursuit of the following objectives: (1) to ensure quality by providing a
27.7level of excellence that is competitive on a national and international level, through
27.8high quality teaching, scholarship, and learning in a broad range of arts and sciences,
27.9technical education, and professional fields; (2) to foster student success by enabling
27.10and encouraging students to choose institutions and programs that are best suited for
27.11their talents and abilities, and to provide an educational climate that supports students
27.12in pursuing their goals and aspirations; (3) to promote democratic values and enhance
27.13Minnesota's quality of life by developing understanding and appreciation of a free and
27.14diverse society; (4) to maintain access by providing an opportunity for all Minnesotans,
27.15regardless of personal circumstances, to participate in higher education; and (5) to enhance
27.16the economy by assisting the state in being competitive in the world market, and to prepare
27.17a highly skilled and adaptable workforce that meets Minnesota's opportunities and needs.
27.18 Sec. 5. Minnesota Statutes 2006, section 135A.031, subdivision 1, is amended to read:
27.19 Subdivision 1. Determination of appropriation. Thedirect appropriation to each
27.20board for instructional services shall equal 67 percent of the estimated total cost of
27.21instruction appropriations for the University of Minnesota, the state universities, and the
27.22community colleges, and, for technical colleges, at least 67 percent of the estimated total
27.23cost of instruction and the Minnesota State Colleges and Universities are determined
27.24by considering the biennial budget documents submitted under section 135A.034,
27.25performance in advancing the objectives under section 135A.011, available resources
27.26according to the state budget forecast, the relative balance between state support for
27.27students and public postsecondary institutions, and other factors the legislature considers
27.28important in determining the level of state appropriations for public postsecondary
27.29education.
27.30 Sec. 6. Minnesota Statutes 2006, section 135A.031, subdivision 7, is amended to read:
27.31 Subd. 7. Reports. (a) Instructional and noninstructional expenditure data and
27.32enrollment datafor each instructional category shall be submitted in the biennial budget
27.33document must be submitted in the biennial budget document under section 135A.034.
28.1This report must include a description of the methodology for determining instructional
28.2and noninstructional expenditures and estimates of inflation in higher education and the
28.3methodology or index used to determine the inflation rate.
28.4 (b) By February 1 of each even-numbered year, the Board of Regents of the
28.5University of Minnesota and the Board of Trustees of the Minnesota State Colleges
28.6and Universities must submit a report to the chairs of the legislative committees with
28.7jurisdiction over higher education policy and finance. The report must describe the
28.8following:
28.9 (1) how state appropriations made to the system in the previous odd-numbered year
28.10were allocated and the methodology used to determine the allocation;
28.11 (2) data describing how the institution reallocated resources to advance the priorities
28.12set forth in the budget submitted under section 135A.034 and the statewide objectives
28.13under section 135A.011. The information must indicate whether instruction and support
28.14programs received a reduction in or additional resources. The total amount reallocated
28.15must be clearly explained;
28.16 (3) the tuition rates and fees established by the governing board in each of the past
28.17ten years and comparison data for peer institutions and national averages;
28.18 (4) data on the number and proportion of students graduating within four, five,
28.19and six years from universities and within three years from colleges as reported in the
28.20integrated postsecondary education data system. These data must be provided for each
28.21institution by race, ethnicity, and gender. Data and information must be submitted that
28.22describe the system's plan and progress toward attaining the goals set forth in the plan
28.23to increase the number and proportion of students that graduate within four, five, or six
28.24years from a university or within three years from a college;
28.25 (5) data on, and the methodology used to measure, the number of students
28.26traditionally underrepresented in higher education enrolled at the system's institutions.
28.27Data and information must be submitted that describe the system's plan and progress
28.28toward attaining the goals set forth in the plan to increase the recruitment, retention, and
28.29timely graduation of students traditionally underrepresented in higher education; and
28.30 (6) data on the revenue received from all sources to support research or workforce
28.31development activities or the system's efforts to license, sell, or otherwise market products,
28.32ideas, technology, and related inventions created in whole or in part by the system. Data
28.33and information must be submitted that describe the system's plan and progress toward
28.34attaining the goals set forth in the plan to increase the revenue received to support research
28.35or workforce development activities or revenue received from the licensing, sale, or other
28.36marketing and technology transfer activities by the system.
29.1 (c) Instructional expenditure and enrollment data shall be submitted by the public
29.2postsecondary systems to the Minnesota Office of Higher Education and the Department of
29.3Finance and included in the biennial budget document. The specific data shall be submitted
29.4only after the director of the Minnesota Office of Higher Education has consulted with a
29.5data advisory task force to determine the need, content, and detail of the information.
29.6 Sec. 7. Minnesota Statutes 2006, section 135A.034, subdivision 1, is amended to read:
29.7 Subdivision 1. Operating budget. The governing boards of the University of
29.8Minnesota, and the Minnesota State Colleges and Universities shall each develop, for
29.9legislative and executive branch acceptance, its highest budget priorities in accordance
29.10with statewide objectives for higher education under section 135A.011.It is the intent
29.11of the legislature to appropriate at least 67 percent of the total cost of instruction after
29.12adjusting for inflation and enrollment changes. However, in the event of a budget shortfall,
29.13or if funding of inflation is not possible, available funding shall first be applied to the
29.14agreed upon budget priorities.
29.15 Sec. 8. [135A.135] PERSONAL FINANCIAL MANAGEMENT.
29.16 During initial student registration, each technical college, community college, or
29.17state university shall, and the University of Minnesota is requested to, provide each
29.18student information on personal financial management. Students should understand and
29.19be able to manage personal finances including, but not limited to, the responsible use of
29.20consumer credit. This requirement may be waived for a student who enrolls in a college
29.21course providing similar instruction.
29.22 Sec. 9. [135A.145] SALE OF STUDENT INFORMATION; MARKETING
29.23CREDIT CARDS TO STUDENTS.
29.24 Subdivision 1. Prohibited practices. No public or private postsecondary
29.25educational institution, including its agents, employees, student or alumni organizations,
29.26or affiliates, may:
29.27 (1) sell, give, or otherwise transfer to any card issuer the name, address, telephone
29.28number, or other contact information of an undergraduate student at the postsecondary
29.29educational institution without the student's consent; or
29.30 (2) enter into any agreement to market credit cards to undergraduate students at
29.31a postsecondary educational institution.
30.1 For purposes of this section, the terms "credit," "credit card," and "card issuer"
30.2have the meanings given them in the Truth in Lending Act, United States Code, title 15,
30.3section 1602.
30.4 Subd. 2. Violations. The attorney general may seek the penalties and remedies
30.5available under section8.31 against any person who violates this section.
30.6EFFECTIVE DATE.This section is effective July 1, 2007, except that it applies to
30.7existing agreements to market credit cards upon the later of the expiration of the original
30.8term of the agreement or the expiration of an extension of the original agreement if the
30.9extension is in effect on July 1, 2007.
30.10 Sec. 10. [135A.25] TEXTBOOK DISCLOSURE, PRICING, AND ACCESS.
30.11 Subdivision 1. Short title. This section may be cited as the Textbook Disclosure,
30.12Pricing, and Access Act.
30.13 Subd. 2. Course material disclosures required. (a) Beginning January 1, 2009,
30.14any publisher that sells or distributes course material for classroom use in a postsecondary
30.15institution must make the following available in an easily accessible manner to faculty,
30.16bookstores, and postsecondary institutions in Minnesota:
30.17 (1) the title, edition, author, and International Standard Book Number (ISBN) or
30.18other easily identifiable information for all course materials;
30.19 (2) the undiscounted price at which the course materials are available to a bookstore;
30.20 (3) the formats, including bundled and unbundled, in which those course materials
30.21are offered and the undiscounted prices of the various components, both sold separately or
30.22packaged together;
30.23 (4) a summary of revisions between current and previous editions of course
30.24materials; and
30.25 (5) the return policy for course material, including any penalties or conditions for
30.26returns.
30.27 (b) Any publisher that sells or distributes course material for classroom use in a
30.28postsecondary institution must make all bundled course material available to bookstores
30.29and postsecondary institutions in an unbundled form, or must provide notice if unbundled
30.30material is not available.
30.31 (c) Disclosure under this section is not required for mass market and trade books that
30.32are not published, marketed, or sold primarily for classroom use in or by postsecondary
30.33institutions.
31.1 (d) Nothing in this section shall be construed to limit any existing academic freedom
31.2or rights of faculty members to determine the most appropriate course material for the
31.3courses they teach.
31.4 Subd. 3. Educational strategies. Public postsecondary institutions must develop
31.5educational materials considering the recommendations in studies by the Minnesota Office
31.6of Higher Education and others and at least annually convene and sponsor meetings
31.7and workshops, and provide educational strategies for faculty, students, administrators,
31.8institutions, and bookstores to inform all interested parties on strategies for reducing the
31.9costs of course materials for students attending postsecondary institutions.
31.10 Subd. 4. Minnesota Office of Higher Education responsibilities. (a) For private
31.11postsecondary institutions, the Minnesota Office of Higher Education must develop
31.12educational materials considering the recommendations by the Minnesota Office of Higher
31.13Education and others and at least annually convene and sponsor meetings and workshops
31.14and provide educational strategies for faculty, students, administrators, institutions, and
31.15bookstores to inform all interested parties on strategies for reducing the costs of course
31.16materials for students attending postsecondary institutions.
31.17 (b) The Minnesota Office of Higher Education must identify methods to compile and
31.18distribute information on publishers that sell or distribute course material for classroom use
31.19in postsecondary institutions in a manner that meets the requirements and complies with
31.20subdivision 2. The Minnesota Office of Higher Education must also evaluate ways to make
31.21this information available for use by students and faculty in postsecondary institutions.
31.22 Subd. 5. Bookstores; course materials. The University of Minnesota and private
31.23colleges are encouraged to comply with the requirements for instructors and bookstores
31.24under section 136F.58, subdivision 2.
31.25 Sec. 11. Minnesota Statutes 2006, section 135A.51, subdivision 2, is amended to read:
31.26 Subd. 2. Senior citizen. "Senior citizen" means a person who has reached 62 years
31.27of age before the beginning of any term, semester or quarter, in which a course of study
31.28is pursued, or a person receiving a railroad retirement annuity who has reached 60 years
31.29of age before the beginning of the term.
31.30 Sec. 12. Minnesota Statutes 2006, section 135A.52, subdivision 1, is amended to read:
31.31 Subdivision 1. Fees and tuition. Except for an administration fee established by the
31.32governing board at a level to recover costs, to be collected only when a course is taken for
31.33credit, a senior citizen who is a legal resident of Minnesota is entitled without payment
31.34of tuition or activity fees to attend courses offered for credit, audit any courses offered
32.1for credit, or enroll in any noncredit courses in any state supported institution of higher
32.2education in Minnesota when space is available after all tuition-paying students have been
32.3accommodated. A senior citizen enrolled under this section must pay any materials,
32.4personal property, or service charges for the course. In addition, a senior citizen who is
32.5enrolled in a course for credit must pay an administrative fee in an amount established
32.6by the governing board of the institution to recoverthe course costs. There shall be no
32.7administrative fee charges to a senior citizen auditing a course. For the purposes of this
32.8section and section135A.51 , the term "noncredit courses" shall not include those courses
32.9designed and offered specifically and exclusively for senior citizens.
32.10 The provisions of this section and section135A.51 do not apply to noncredit courses
32.11designed and offered by the University of Minnesota, and the Minnesota State Colleges
32.12and Universities specifically and exclusively for senior citizens. Senior citizens enrolled
32.13under the provisions of this section and section135A.51 shall not be included by such
32.14institutions in their computation of full-time equivalent students when requesting staff
32.15or appropriations.
32.16 Sec. 13. Minnesota Statutes 2006, section 135A.52, subdivision 2, is amended to read:
32.17 Subd. 2. Term; income of senior citizens. (a) Except under paragraph (b), there
32.18shall be no limit to the number of terms, quarters or semesters a senior citizen may attend
32.19courses, nor income limitation imposed in determining eligibility.
32.20 (b) A senior citizen enrolled in a closed enrollment contract trainingor professional
32.21continuing education program is not eligible for benefits under subdivision 1.
32.22 Sec. 14. [136A.002] DEFINITIONS.
32.23 Subdivision 1. Scope. For purposes of this chapter, the terms defined in this section
32.24have the meanings given them.
32.25 Subd. 2. Office of Higher Education or office. "Office of Higher Education" or
32.26"office" means the Minnesota Office of Higher Education.
32.27 Sec. 15. Minnesota Statutes 2006, section 136A.031, subdivision 5, is amended to read:
32.28 Subd. 5. Expiration. Notwithstanding section15.059, subdivision 5 , the advisory
32.29groups established in this section do not expireon June 30, 2007.
32.30 Sec. 16. Minnesota Statutes 2006, section 136A.08, subdivision 7, is amended to read:
33.1 Subd. 7. Reporting. The Minnesota Office of Higher Education must annually,
33.2before the last day in January, submit a report to the committees in the house of
33.3representatives and the senate with responsibility for higher education finance on:
33.4 (1) participation in the tuition reciprocity program by Minnesota students and
33.5students from other states attending Minnesota postsecondary institutions under a
33.6reciprocity agreement;
33.7 (2) reciprocity and resident tuition rates at each institution;and
33.8 (3) interstate payments and obligations for each state participating in the tuition
33.9reciprocity program in the prior year.; and
33.10 (4) summary statistics on number of graduates by institution, degree granted, and
33.11year of graduation for reciprocity students who attended Minnesota postsecondary
33.12institutions.
33.13 Sec. 17. Minnesota Statutes 2006, section 136A.101, subdivision 4, is amended to read:
33.14 Subd. 4. Eligible institution. "Eligible institution" means a postsecondary
33.15educational institution located in this state or in a state with which the office has entered
33.16into a higher education reciprocity agreement on state student aid programs thateither (1)
33.17is operated by this state or the Board of Regents of the University of Minnesota, or (2) is
33.18operatedpublicly or privately and, as determined by the office, meets all of the following:
33.19(i) maintains academic standards substantially equivalent to those of comparable
33.20institutions operated in this state; (ii) is licensed or registered as a postsecondary institution
33.21by the office or another state agency; and (iii) by July 1, 2011, is participating in the federal
33.22Pell Grant program under Title IV of the Higher Education Act of 1965, as amended.
33.23 Sec. 18. Minnesota Statutes 2006, section 136A.101, subdivision 5a, is amended to
33.24read:
33.25 Subd. 5a. Assigned family responsibility. "Assigned family responsibility" means
33.26the amount of afamily family's contribution to a student's cost of attendance, as determined
33.27by a federal need analysis. For dependent students, the assigned family responsibility is
33.2895 percent of the parental contribution. For independent students with dependents other
33.29than a spouse, the assigned family responsibility is 85 percent of the student contribution.
33.30For independent students without dependents other than a spouse, the assigned family
33.31responsibility is72 67 percent of the student contribution. The assigned family
33.32responsibility for all other independent students is 90 percent of the student contribution.
33.33 Sec. 19. Minnesota Statutes 2006, section 136A.121, subdivision 5, is amended to read:
34.1 Subd. 5. Grant stipends. The grant stipend shall be based on a sharing of
34.2responsibility for covering the recognized cost of attendance by the applicant, the
34.3applicant's family, and the government. The amount of a financial stipend must not
34.4exceed a grant applicant's recognized cost of attendance, as defined in subdivision 6, after
34.5deducting the following:
34.6 (1) the assigned student responsibility of at least46 45.5 percent of the cost of
34.7attending the institution of the applicant's choosing;
34.8 (2) the assigned family responsibility as defined in section136A.101 ; and
34.9 (3) the amount of a federal Pell grant award for which the grant applicant is eligible.
34.10 The minimum financial stipend is $100 per academic year.
34.11 Sec. 20. Minnesota Statutes 2006, section 136A.121, subdivision 7a, is amended to
34.12read:
34.13 Subd. 7a. Surplus appropriation. If the amount appropriated is determined by the
34.14office to be more than sufficient to fund projected grant demand in the second year of the
34.15biennium, the office may increase the living and miscellaneous expense allowance in the
34.16second year of the biennium by up to an amount that retains sufficient appropriations
34.17to fund the projected grant demand. The adjustment may be made one or more times.
34.18In making the determination that there are more than sufficient funds, the office shall
34.19balance the need for sufficient resources to meet the projected demand for grants with the
34.20goal of fully allocating the appropriation for state grants. An increase in the living and
34.21miscellaneous expense allowance under this subdivision does not carry forward into a
34.22subsequent biennium. This subdivision expires June 30,2007 2009.
34.23 Sec. 21. Minnesota Statutes 2006, section 136A.121, is amended by adding a
34.24subdivision to read:
34.25 Subd. 19. Reporting. By November 1 and February 15, the Office of Higher
34.26Education must provide, to the committees of the legislature with jurisdiction over higher
34.27education finance and policy, updated state grant spending projections taking into account
34.28the most current and projected enrollment and tuition and fee information, economic
34.29conditions, and other relevant factors. Before submitting state grant spending projections,
34.30the Office of Higher Education must meet and consult with representatives of public and
34.31private postsecondary institutions, the Department of Finance, the Governor's Office,
34.32legislative staff, and financial aid administrators.
34.33 Sec. 22. Minnesota Statutes 2006, section 136A.125, subdivision 2, is amended to read:
35.1 Subd. 2. Eligible students. (a) An applicant is eligible for a child care grant if
35.2the applicant:
35.3 (1) is a resident of the state of Minnesota;
35.4 (2) has a child 12 years of age or younger, or 14 years of age or younger who is
35.5disabled as defined in section125A.02 , and who is receiving or will receive care on a
35.6regular basis from a licensed or legal, nonlicensed caregiver;
35.7 (3) is income eligible as determined by the office's policies and rules, but is not a
35.8recipient of assistance from the Minnesota family investment program;
35.9 (4) has not earned a baccalaureate degree and has been enrolled full time less than
35.10eight semesters or the equivalent;
35.11 (5) is pursuing a nonsectarian program or course of study that applies to an
35.12undergraduate degree, diploma, or certificate;
35.13 (6) is enrolled at least half time in an eligible institution; and
35.14 (7) is in good academic standing and making satisfactory academic progress.
35.15 (b) A student who withdraws from enrollment for active military service is entitled
35.16to an additional semester or the equivalent of grant eligibility and will be considered to be
35.17in continuing enrollment status upon return.
35.18 Sec. 23. Minnesota Statutes 2006, section 136A.125, subdivision 4, is amended to read:
35.19 Subd. 4. Amount and length of grants. The amount of a child care grant must be
35.20based on:
35.21 (1) the income of the applicant and the applicant's spouse;
35.22 (2) the number in the applicant's family, as defined by the office; and
35.23 (3) the number of eligible children in the applicant's family.
35.24 The maximum award to the applicant shall be$2,300 $2,600 for each eligible child
35.25per academic year, except that the campus financial aid officer may apply to the office for
35.26approval to increase grants by up to ten percent to compensate for higher market charges
35.27for infant care in a community. The office shall develop policies to determine community
35.28market costs and review institutional requests for compensatory grant increases to ensure
35.29need and equal treatment. The office shall prepare a chart to show the amount of a grant
35.30that will be awarded per child based on the factors in this subdivision. The chart shall
35.31include a range of income and family size.
35.32 Sec. 24. [136A.126] TEACHER EDUCATION AND COMPENSATION HELPS;
35.33MINNESOTA EARLY CHILDHOOD TEACHER EDUCATION INCENTIVE
35.34PROGRAMS.
36.1 Subdivision 1. TEACH. The teacher education and compensation helps program
36.2(TEACH) is established to provide tuition scholarships and education incentives to early
36.3care and education providers. The director shall make a grant with appropriations for this
36.4purpose to a nonprofit organization licensed to administer the TEACH early childhood
36.5program.
36.6 Subd. 2. Program components. (a) The nonprofit organization must use the
36.7grant for:
36.8 (1) tuition scholarships up to $5,000 per year for courses leading to the nationally
36.9recognized child development associate credential or college-level courses leading to an
36.10associate's or bachelor's degree in early childhood development and school-age care; and
36.11 (2) education incentives of a minimum of $100 to participants in the tuition
36.12scholarship program if they complete a year of working in the early care and education
36.13field.
36.14 (b) Applicants for the scholarship must be employed by a licensed early childhood
36.15or child care program and working directly with children, a licensed family child care
36.16provider, or an employee in a school-age program exempt from licensing under section
36.17245A.03, subdivision 2, clause (12). Lower wage earners must be given priority in
36.18awarding the tuition scholarships. Scholarship recipients must contribute ten percent of
36.19the total scholarship and must be sponsored by their employers, who must also contribute
36.20ten percent of the total scholarship. Scholarship recipients who are self-employed must
36.21contribute 20 percent of the total scholarship.
36.22 Subd. 3. Advisory committee. The TEACH early childhood and Minnesota early
36.23childhood teacher education incentive programs may have an advisory board as prescribed
36.24by the national TEACH organization.
36.25 Sec. 25. [136A.127] ACHIEVE SCHOLARSHIP PROGRAM.
36.26 Subdivision 1. Establishment. The Achieve Scholarship Program is established.
36.27 Subd. 2. Definition; qualifying course. For the purposes of this section, a
36.28"qualifying course" means a course that is equivalent to at least one course credit in high
36.29school, as defined in section 120B.024, and that is a rigorous course as determined by
36.30the local school district.
36.31 Subd. 3. Documentation of qualifying courses. At the student's request, the high
36.32school shall provide a transcript to the Office of Higher Education documenting the
36.33qualifying courses the student took. High schools shall certify, on the transcript, which
36.34courses on the transcript are qualifying courses and provide a total number of qualifying
36.35courses for each student.
37.1 Subd. 4. Review panel. The director of the office may appoint a review panel to
37.2monitor the implementation of the Achieve Scholarship Program. The review panel may
37.3assist the director in reviewing a determination by a school district that a high school
37.4course is rigorous. The review panel shall include representatives of public and private
37.5high schools and postsecondary institutions.
37.6 Subd. 5. Student eligibility. To be eligible to receive a scholarship under this
37.7section, a student must:
37.8 (1) take and receive a passing grade for qualifying courses under subdivision 2 in
37.9a Minnesota high school and graduate from high school;
37.10 (2) have total household income that qualifies for free and reduced price meals under
37.11the National School Lunch Program; and
37.12 (3) be a Minnesota resident student as defined in section 136A.101, subdivision 8.
37.13 Subd. 6. Administration. The Achieve Scholarship Program shall be administered
37.14by the Minnesota Office of Higher Education. The director shall develop forms and
37.15procedures necessary to administer the program.
37.16 Subd. 7. Application. A student must complete and submit an application for
37.17the Achieve scholarship.
37.18 Subd. 8. Deadline. The deadline for the office to accept applications for Achieve
37.19scholarships is 30 days after the beginning of the academic term for which the application
37.20is submitted.
37.21 Subd. 9. Documentation of qualifying household income. Achieve Scholarship
37.22Program applicants must certify on the application that they meet the income eligibility
37.23requirement in subdivision 5, clause (2). The Office of Higher Education or the
37.24postsecondary institution may request documentation needed to confirm income eligibility.
37.25 Subd. 10. Scholarships awards. (a) A scholarship under this section may be
37.26awarded in each of the first four years of postsecondary instruction immediately following
37.27graduation from high school. The amount of the scholarship is $250 for each qualifying
37.28course completed at a Minnesota high school. The maximum annual amount of the
37.29scholarship is $1,250 and the maximum lifetime amount for any student is $5,000. The
37.30scholarship may be used to pay qualifying expenses at eligible institutions.
37.31 (b) A student must meet the requirements of section 136A.101, subdivision 10,
37.32for the Achieve scholarship to be renewed.
37.33 Subd. 11. Qualifying expenses. Qualifying expenses are tuition, fees, and other
37.34educational expenses.
38.1 Subd. 12. Eligible institutions. The Achieve scholarship may only be used to
38.2pay qualifying expenses at an eligible institution as defined under section 136A.101,
38.3subdivision 4.
38.4 Subd. 13. Evaluation report. By January 15 of each odd-numbered year, the
38.5Office of Higher Education shall submit a report, to the committees of the legislature with
38.6jurisdiction over higher education finance and policy, regarding the success of the program
38.7in increasing the enrollment of students in rigorous high school courses, including, at a
38.8minimum, the following information:
38.9 (1) a description of the number of individuals participating in the program;
38.10 (2) the courses taken by the program participants;
38.11 (3) the number of credits program participants received for the courses they
38.12completed;
38.13 (4) the high schools attended by the program participants;
38.14 (5) the postsecondary institutions attended by the program participants;
38.15 (6) the academic performance of the students after enrolling in a postsecondary
38.16institution; and
38.17 (7) other information as identified by the director.
38.18EFFECTIVE DATE.This section is effective July 1, 2008.
38.19 Sec. 26. Minnesota Statutes 2006, section 136A.15, subdivision 1, is amended to read:
38.20 Subdivision 1. Scope. For purposes of sections136A.15 to
136A.1702 , the terms
38.21defined in this section have the meaningsascribed to given them.
38.22 Sec. 27. Minnesota Statutes 2006, section 136A.15, subdivision 6, is amended to read:
38.23 Subd. 6. Eligible institution. "Eligible institution" means a postsecondary
38.24educational institution thateither (1) is operated or regulated by this state, or the Board of
38.25Regents of the University of Minnesota; (2) is operated publicly or privately in another
38.26state, is approved by the United States Secretary of Education, and, as determined by
38.27the office, maintains academic standards substantially equal to those of comparable
38.28institutions operated in this state; (3) is licensed or registered as a postsecondary institution
38.29by the office or another state agency; and (4) by July 1, 2011, is participating in the federal
38.30Pell Grant program under Title IV of the Higher Education Act of 1965, as amended. It
38.31also includes any institution chartered in a province.
38.32 Sec. 28. Minnesota Statutes 2006, section 136A.16, subdivision 8, is amended to read:
39.1 Subd. 8. Investment. Money made available to the office that is not immediately
39.2needed for the purposes of sections136A.15 to
136A.1702 may be invested by the office.
39.3The money must be invested in bonds, certificates of indebtedness, and other fixed income
39.4securities, except preferred stocks, which are legal investments for the permanent school
39.5fund. The money may also be invested in prime quality commercial paper that is eligible
39.6for investment in the state employees retirement fund. All interest and profits from such
39.7investments inure to the benefit of the office or may be pledged for security of bonds
39.8issued by the office or itspredecessor, the Minnesota Higher Education Coordinating
39.9Board predecessors.
39.10 Sec. 29. Minnesota Statutes 2006, section 136A.16, is amended by adding a
39.11subdivision to read:
39.12 Subd. 16. Interest rate swaps and other agreements. (a) The office may enter into
39.13interest rate exchange or swap agreements, hedges, forward purchase or sale agreements,
39.14or other comparable interest rate protection agreements with a third party in connection
39.15with the issuance or proposed issuance of bonds, outstanding bonds or notes, or existing
39.16comparable interest rate protection agreements.
39.17 (b) The agreements authorized by this subdivision include without limitation master
39.18agreements, options, or contracts to enter into those agreements in the future and related
39.19agreements, including, without limitation, agreements to provide credit enhancement,
39.20liquidity, or remarketing.
39.21 (c) The agreements authorized by this subdivision may be entered into on the basis
39.22of negotiation with a qualified third party or through a competitive proposal process on
39.23terms and conditions as and with covenants and provisions approved by the office and
39.24may include, without limitation:
39.25 (1) provisions establishing reserves;
39.26 (2) pledging assets or revenues of the office for current or other payments or
39.27termination payments;
39.28 (3) contracting with the other parties to the agreements to provide for the custody,
39.29collection, securement, investment, and payment of money of the office or money held
39.30in trust; or
39.31 (4) requiring the issuance of bonds or other agreements authorized by this section
39.32in the future.
39.33 (d) With respect to bonds or notes outstanding or proposed to be issued bearing
39.34interest at a variable rate, the office may agree to pay sums equal to interest at a fixed rate
39.35or at a different variable rate determined in accordance with a formula set out in the
40.1agreement on an amount not exceeding the outstanding principal amount of the bonds or
40.2notes at the time of payment in exchange for an agreement by the third party to pay sums
40.3equal to interest on a like amount at a variable rate determined according to a formula
40.4set out in the agreement.
40.5 (e) With respect to bonds or notes outstanding or proposed to be issued bearing
40.6interest at a fixed rate or rates, the office may agree to pay sums equal to interest at a
40.7variable rate determined in accordance with a formula set out in the agreement on an
40.8amount not exceeding the outstanding principal amount of the bonds or notes at the time of
40.9payment in exchange for an agreement by the third party to pay sums equal to interest on a
40.10like amount at a fixed rate or rates determined according to a formula set in the agreement.
40.11 (f) Subject to any applicable covenants of the office, payments required to be made
40.12by the office under the agreement, including termination payments, may be made from
40.13amounts pledged or available to pay debt service on the bonds or notes with respect to
40.14which the agreement was made or from assets of the loan capital fund of the office.
40.15The office may issue bonds or notes to provide for any payments, including, without
40.16limitation, a termination payment due or to become due under an agreement authorized
40.17under this section.
40.18 (g) The authority of the office to enter into interest rate protection agreements under
40.19this section is limited to agreements related to bonds and notes with an aggregate value of
40.20no more than $20,000,000.
40.21 Sec. 30. Minnesota Statutes 2006, section 136A.1702, is amended to read:
40.22136A.1702COMMISSION APPROVAL LEGISLATIVE OVERSIGHT.
40.23 The office shallobtain approval from notify the Legislative Advisory Commission
40.24chairs of the legislative committees with primary jurisdiction over higher education
40.25finance of any proposed material change to any of its student loan programs prior to
40.26taking the following actions with regard to student loan programs described in Laws
40.271983, chapter 258:
40.28(1) implementing a loan program for parents and students eligible for auxiliary loans
40.29as defined in section
136A.15, subdivision 7;
40.30(2) acquiring student loans from other lenders to facilitate student loan programs
40.31provided for in section
136A.17; and
40.32(3) providing for programs of supplemental and additional loans as defined in section
40.33136A.1701
40.34 Sec. 31. Minnesota Statutes 2006, section 136A.233, subdivision 3, is amended to read:
41.1 Subd. 3. Payments. Work-study payments shall be made to eligible students by
41.2postsecondary institutions as provided in this subdivision.
41.3 (a) Students shall be selected for participation in the program by the postsecondary
41.4institution on the basis of student financial need.
41.5 (b) In selecting students for participation, priority must be given to students enrolled
41.6for at least 12 credits. In each academic year, a student may be awarded work-study
41.7payments for one period of nonenrollment or less than half-time enrollment if the student
41.8will enroll on at least a half-time basis during the following academic term.
41.9 (c) Students will be paid for hours actually worked and the maximum hourly rate
41.10of pay shall not exceed the maximum hourly rate of pay permitted under the federal
41.11college work-study program.
41.12 (d) Minimum pay rates will be determined by an applicable federal or state law.
41.13 (e) The office shall annually establish a minimum percentage rate of student
41.14compensation to be paid by an eligible employer.
41.15 (f) Each postsecondary institution receiving money for state work-study grants
41.16shall make a reasonable effort to place work-study students in employment with eligible
41.17employers outside the institution. However, a public employer other than the institution
41.18may not terminate, lay off, or reduce the working hours of a permanent employee for the
41.19purpose of hiring a work-study student, or replace a permanent employee who is on layoff
41.20from the same or substantially the same job by hiring a work-study student.
41.21 (g) The percent of the institution's work-study allocation provided to graduate
41.22students shall not exceed the percent of graduate student enrollment at the participating
41.23institution.
41.24 (h) An institution may use up to 30 percent of its allocation for student internships
41.25with private, for-profit employers.
41.26 Sec. 32. Minnesota Statutes 2006, section 136A.29, subdivision 9, is amended to read:
41.27 Subd. 9. Revenue bonds; limit. The authority is authorized and empowered
41.28to issue revenue bonds whose aggregate principal amount at any time shall not exceed
41.29$800,000,000 $950,000,000 and to issue notes, bond anticipation notes, and revenue
41.30refunding bonds of the authority under the provisions of sections136A.25 to
136A.42 ,
41.31to provide funds for acquiring, constructing, reconstructing, enlarging, remodeling,
41.32renovating, improving, furnishing, or equipping one or more projects or parts thereof.
41.33 Sec. 33. Minnesota Statutes 2006, section 136A.861, subdivision 1, is amended to read:
42.1 Subdivision 1. Grants. The director of the Minnesota Office of Higher Education
42.2shall award grants to foster postsecondary attendance and retention by providing outreach
42.3services to historically underserved students in grades six through 12 and historically
42.4underrepresented college students. Grants must be awarded to programs that provide
42.5precollege services, including, but not limited to:
42.6 (1) academic counseling;
42.7 (2) mentoring;
42.8 (3) fostering and improving parental involvement in planning for and facilitating a
42.9college education;
42.10 (4) services for students with English as a second language;
42.11 (5) academic enrichment activities;
42.12 (6) tutoring;
42.13 (7) career awareness and exploration;
42.14 (8) orientation to college life;
42.15 (9) assistance with high school course selection and information about college
42.16admission requirements; and
42.17 (10) financial aid counseling.
42.18 Grants shall be awarded to postsecondary institutions, professional organizations,
42.19community-based organizations, or others deemed appropriate by the director.
42.20 Grants shall be awarded for one year and may be renewed for a second year with
42.21documentation to the Minnesota Office of Higher Education of successful program
42.22outcomes.
42.23 Sec. 34. Minnesota Statutes 2006, section 136A.861, subdivision 2, is amended to read:
42.24 Subd. 2. Eligible students. Eligible students include students in grades six through
42.2512 who meet one or more of the following criteria:
42.26 (1) are counted under section 1124(c) of the Elementary and Secondary Education
42.27Act of 1965 (Title I);
42.28 (2) are eligible for free or reduced-price lunch under the National School Lunch Act;
42.29 (3) receive assistance under the Temporary Assistance for Needy Families Law (Title
42.30I of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996); or
42.31 (4) are a member of a group traditionally underrepresented in higher education.
42.32 Eligible undergraduate students include those who met the student eligibility criteria
42.33as 6th through 12th graders.
42.34 Sec. 35. Minnesota Statutes 2006, section 136A.861, subdivision 3, is amended to read:
43.1 Subd. 3. Application process. The director of the Minnesota Office of Higher
43.2Education shall develop a grant application process. The director shall attempt to support
43.3projects in a manner that ensures that eligible students throughout the state have access
43.4toprecollege program services.
43.5 The grant application must include, at a minimum, the following information:
43.6 (1) a description of the characteristics of the students to be served reflective of the
43.7need for services listed in subdivision 1;
43.8 (2) a description of the services to be provided and a timeline for implementation of
43.9the activities;
43.10 (3) a description of how the services provided will foster postsecondary attendance
43.11and support postsecondary retention;
43.12 (4) a description of how the services will be evaluated to determine whether the
43.13program goals were met; and
43.14 (5) other information as identified by the director.
43.15Grant recipients must specify both program and student outcome goals, and performance
43.16measures for each goal.
43.17 Sec. 36. Minnesota Statutes 2006, section 136A.861, subdivision 6, is amended to read:
43.18 Subd. 6. Program evaluation. Each grant recipient must annually submit a report
43.19to the Minnesota Office of Higher Education delineating its program and student outcome
43.20goals, and activities implemented to achieve the stated outcomes. The goals must be
43.21clearly stated and measurable. Grant recipients are required to collect, analyze, and report
43.22on participation and outcome data that enable the office to verify that the program goals
43.23were met. The office shall maintain:
43.24 (1) information about successful precollege program and undergraduate student
43.25retention program activities for dissemination to individuals throughout the state interested
43.26in adopting or replicating successful program practices; and
43.27 (2) data on the success of the funded projects in increasing the high school
43.28graduationand, college participation, and college graduation rates of students served
43.29by the grant recipients. The office may convene meetings of the grant recipients, as
43.30needed, to discuss issues pertaining to the implementation of precollege services and
43.31undergraduate retention programs.
43.32 Sec. 37. Minnesota Statutes 2006, section 136F.02, subdivision 1, is amended to read:
43.33 Subdivision 1. Membership. The board consists of 15 members appointed by the
43.34governor with the advice and consent of the senate. At least one member of the board
44.1must be a resident of each congressional district. In selecting appointees, the governor
44.2must consider the needs of the Board of Trustees and the balance of the board membership
44.3with respect to labor and business representation and racial, gender, geographic, and ethnic
44.4composition. Three members must be students who are enrolled at least half time in a
44.5degree, diploma, or certificate program or have graduated from an institution governed
44.6by the board within one year of the date of appointment. The student members shall
44.7include: one member from a community college, one member from a state university, and
44.8one member from a technical college. The remaining members must be appointed to
44.9represent the state at large.
44.10 Sec. 38. Minnesota Statutes 2006, section 136F.03, subdivision 3, is amended to read:
44.11 Subd. 3. Duties. (a) The advisory council shall:
44.12 (1) develop a statement of the selection criteria to be applied and a description
44.13of the responsibilities and duties of a member of the board and shall distribute this to
44.14potential candidates; and
44.15 (2) for each position on the board, identify and recruit qualified candidates for the
44.16board, based on the background and experience of the candidates, and their potential for
44.17discharging the responsibilities of a member of the board.
44.18 (b) Selection criteria developed under this section must include the requirement that
44.19trustees represent diversity in geography, gender, race, occupation, and experience.
44.20 (c) Selection criteria developed under this section must also include the identification
44.21of the membership needs of the board for individual skills relevant to the governance
44.22of the Minnesota State Colleges and Universities and the needs for certain individual
44.23characteristics that include geographic location, gender, race, occupation, and experience.
44.24 Sec. 39. Minnesota Statutes 2006, section 136F.03, subdivision 4, is amended to read:
44.25 Subd. 4. Recommendations. Except for seats filled under section 136F.04 , the
44.26advisory council shall recommend at least two and not more than four candidates for
44.27each seat. By April 15 of each even-numbered year, the advisory council shall submit its
44.28recommendations to the governor. The governor is not bound by these recommendations.
44.29 Sec. 40. Minnesota Statutes 2006, section 136F.42, subdivision 1, is amended to read:
44.30 Subdivision 1. Time reporting. As provided in Executive Order 96-2, the board,
44.31in consultation with the commissioners of employee relations and finance, may develop
44.32policies to allow system office or campus employees on salaries, as defined in section
44.3343A.17, subdivision 1
, to use negative time reporting in which employees report only that
45.1time for which leave is taken.By the end of the 1997 fiscal year, the board, in consultation
45.2with the commissioners of employee relations and finance, shall evaluate the use of
45.3negative time reporting and its potential for use with other state employees.
45.4 Sec. 41. Minnesota Statutes 2006, section 136F.58, is amended to read:
45.5136F.58 BOOKSTORES; COURSE MATERIAL ACQUISITION.
45.6 Subdivision 1. Authorization. A state college or university may operate a bookstore
45.7in a state college or university building, or may allocate space in a state college or
45.8university building and permit a person or corporation to operate a bookstore without rent
45.9at the campus' pleasure and on such conditions as the board may impose. The board may
45.10provide insurance, at no cost to the state, for the inventory of a bookstore a state college or
45.11university conducts in its building.
45.12 Subd. 2. Course material. (a) An instructor shall attempt to provide adequate
45.13notice to a bookstore of the intention to order required or recommended course material
45.14so that the bookstore can provide information for the instructor's consideration prior to
45.15placing an order for the course material.
45.16 (b) A bookstore must make reasonable efforts to obtain from publishers or other
45.17sources, prior to the time an instructor requests the bookstore to order course material,
45.18the following information, including, but not limited to:
45.19 (1) the title, edition, author, and International Standard Book Number (ISBN) of
45.20the course material;
45.21 (2) the price for the course material;
45.22 (3) whether the course material is bundled with optional material, whether it can be
45.23unbundled, and the price for each bundled and unbundled component;
45.24 (4) whether the material is available in an alternative format and the cost for the
45.25alternatively formatted material;
45.26 (5) the availability of the course material currently and in the future;
45.27 (6) changes to the course material from the previous edition, the revision date,
45.28availability, and cost for that edition, if available; and
45.29 (7) any known plans for future revisions of the course material.
45.30 (c) An instructor ordering course material through a bookstore shall consider the
45.31information received from the bookstore prior to placing the final order.
45.32 Subd. 3. Notice to purchase. (a) An instructor shall make reasonable efforts to
45.33notify a bookstore of the final order for required and recommended course material at least
45.3430 days prior to the commencement of the term.
46.1 (b) The bookstore must make reasonable efforts to notify students of the following
46.2information concerning the required and recommended course material at least 15 days
46.3prior to the commencement of the term for which the course material is required including,
46.4but not limited to:
46.5 (1) the title, edition, author, and International Standard Book Number (ISBN) of
46.6the course material;
46.7 (2) the price for the course material;
46.8 (3) whether the required course material is bundled with optional material, whether
46.9it can be unbundled, and the price for each bundled and unbundled component; and
46.10 (4) whether the material is available in an alternative format and the cost for the
46.11alternatively formatted material.
46.12 Subd. 4. System responsibility. The board shall, to the extent it considers
46.13necessary, adopt uniform forms for bookstores to request information under subdivision 2.
46.14The board shall encourage faculty to utilize the information received under subdivision 2
46.15to achieve the lowest cost to students for course materials consistent with the academic
46.16freedom and choice of the faculty member.
46.17 Sec. 42. Minnesota Statutes 2006, section 136F.71, subdivision 2, is amended to read:
46.18 Subd. 2. Activity funds. All receipts attributable to the state colleges and
46.19universities activity fundsand deposited in the state treasury are appropriated to the board
46.20and are not subject to budgetary control as exercised by the commissioner of finance.
46.21 Sec. 43. Minnesota Statutes 2006, section 136F.71, is amended by adding a subdivision
46.22to read:
46.23 Subd. 4. Banking services. Notwithstanding section 16A.27, the board shall
46.24have authority to control the amount and manner of deposit of all receipts described in
46.25this section in depositories selected by the board. The board's authority shall include
46.26specifying the considerations, financial activities, and conditions required from the
46.27depository, including the requirement of collateral security or a corporate surety bond
46.28as described in section 118A.03. The board may compensate the depository, including
46.29paying a reasonable charge to the depository, maintaining appropriate compensating
46.30balances with the depository, or purchasing non-interest-bearing certificates of deposit
46.31from the depository for performing depository-related services.
46.32 Sec. 44. Minnesota Statutes 2006, section 136G.11, subdivision 5, is amended to read:
47.1 Subd. 5. Amount of matching grant. The amount of the matching grant for a
47.2beneficiary equals:
47.3 (1) if the beneficiary's family income is $50,000 or less, 15 percent of the sum
47.4of the contributions made to the beneficiary's account during the calendar year, not to
47.5exceed$300 $400; and
47.6 (2) if the beneficiary's family income is more than $50,000 but not more than
47.7$80,000,five ten percent of the sum of the contributions made to the beneficiary's account
47.8during the calendar year, not to exceed$300 $400.
47.9 Sec. 45. Minnesota Statutes 2006, section 137.0245, subdivision 1, is amended to read:
47.10 Subdivision 1. Establishment. A Regent Candidate Advisory Council is established
47.11to assist in determining criteria for, and identifying and recruiting qualified candidates for
47.12membership on the Board of Regents and making recommendations to thegovernor joint
47.13legislative committee described in section 137.0246, subdivision 2.
47.14 Sec. 46. Minnesota Statutes 2006, section 137.0245, subdivision 4, is amended to read:
47.15 Subd. 4. Recommendations. (a) The advisory council shall recommend at least
47.16two and not more than four candidates. By January 15 of each odd-numbered year,
47.17the advisory council shall submit its recommendations to thegovernor joint legislative
47.18committee described in section 137.0246, subdivision 2.
47.19 (b) The advisory council must submit a report to thegovernor joint committee on the
47.20needs criterion identified under subdivision 3, paragraph (c), at the same time it submits its
47.21recommendations.
47.22 Sec. 47. Minnesota Statutes 2006, section 137.0246, is amended to read:
47.23137.0246 REGENT NOMINATION AND ELECTION.
47.24Subdivision 1. Governor nomination. By February 15 following the receipt
47.25of recommendations from the advisory council, the governor must submit to the joint
47.26committee established under subdivision 2 a slate of regent nominations that complies with
47.27sections
137.023 and
137.024. The slate must name one nominee for each vacancy. In
47.28selecting nominees, the governor must consider the needs of the Board of Regents and the
47.29balance of the board membership with respect to gender, racial, and ethnic composition.
47.30The governor must inform the joint committee how each candidate and the slate meet the
47.31needs identified in the report under section
137.0245, subdivision 4, paragraph (b).
47.32 Subd. 2. Regent nomination joint committee. (a) The joint legislative committee
47.33consists of20 legislator members. Ten members shall be appointed by the speaker of the
48.1house. Ten members shall be appointed by the Subcommittee on Committees of the
48.2Committee on Rules and Administration from the senate. An equal number of members
48.3from the majority and minority party shall be appointed from each house. The members
48.4appointed from the minority party must be appointed from among those recommended by
48.5the minority leader. The chairs of the education policy committees and the members of the
48.6higher education budget and policy divisionsand the ranking minority member of those
48.7committees and divisions must be appointed in each house of the legislature. The chairs
48.8of the divisions from each body shall be cochairs of the joint legislative committee. A
48.9majority of the members from each house is a quorum of the joint committee.
48.10 (b) By February 28 of each odd-numbered year, or at a date agreed to by concurrent
48.11resolution, the joint legislative committee shall meet to consider thegovernor's nominees
48.12advisory council's recommendations for regent of the University of Minnesota for possible
48.13presentation to a joint convention of the legislature.
48.14 (c) The joint committee mayonly recommend to the joint convention nominees
48.15candidates recommended by thegovernor advisory council and the other candidates
48.16nominated by the joint committee.If the joint committee does not recommend a
48.17governor's nominee, the governor must submit a different nominee for the same vacancy.
48.18A candidate other than those recommended by the advisory council may be nominated
48.19for consideration by the joint committee only if the nomination receives the support of at
48.20least three house of representatives members of the committee and two senate members
48.21of the committee. A candidate must receive a majority vote of members from the house
48.22of representatives and from the senate on the joint committee to be recommended to the
48.23joint convention. The joint committee may recommend no more than one candidate for
48.24each vacancy. In recommending nominees, the joint committee must consider the needs of
48.25the Board of Regents and the balance of the board membership with respect to gender,
48.26racial, and ethnic composition.
48.27 (d) The joint committee must meet twice, approximately one week apart. The first
48.28meeting is for the purpose of interviewing candidates and recommending candidates for
48.29the joint committee to consider. The second meeting is for the purpose of voting for
48.30candidates for recommendation to the joint convention.
48.31 Sec. 48. [137.0252] APPROPRIATION; CONTRACT BUYOUT.
48.32 No appropriation from the state of Minnesota to the governing board of the
48.33University of Minnesota shall be used directly or indirectly for costs related to the early
48.34termination of a contract of a coach who reports to the director of athletics.
49.1 Sec. 49. Minnesota Statutes 2006, section 197.775, subdivision 4, is amended to read:
49.2 Subd. 4. Delayed payment of tuition. A state college or university may not assess
49.3late fees or other late charges for veterans who are eligible to receive federal or state
49.4educational assistance and who have applied for that assistance but not yet received it,
49.5nor may they prevent these students from registering for a subsequent term because of
49.6outstanding tuition charges that arise from delayed federal or state payments. The state
49.7college or university may request without delay the amount of tuition above expected
49.8federal and state educational assistance and may require payment of the full amount of
49.9tuition owed by the veteran within 30 days of receipt of the expected federal or state
49.10educational assistance.
49.11 Sec. 50. [197.791] MINNESOTA GI BILL PROGRAM.
49.12 Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this
49.13section.
49.14 (b) "Commissioner" means the commissioner of veterans affairs, unless otherwise
49.15specified.
49.16 (c) "Cost of attendance" for both graduate and undergraduate students has the
49.17meaning given in section 136A.121, subdivision 6, multiplied by a factor of 1.1. The
49.18tuition and fee maximum established by law for four-year programs shall be used to
49.19calculate the tuition and fee maximum under section 136A.121, subdivision 6, for
49.20a graduate student.
49.21 (d) "Child" means a natural or adopted child of a person described in subdivision 4,
49.22paragraph (a), clause (1), item (i) or (ii).
49.23 (e) "Eligible institution" means a postsecondary institution under section 136A.101,
49.24subdivision 4.
49.25 (f) "Program" means the Minnesota GI Bill program established in this section,
49.26unless otherwise specified.
49.27 (g) "Time of hostilities" means any action by the armed forces of the United States
49.28that is recognized by the issuance of a presidential proclamation or a presidential executive
49.29order in which the armed forces expeditionary medal or other campaign service medals
49.30are awarded according to presidential executive order, and any additional period or place
49.31that the commissioner determines and designates, after consultation with the United States
49.32Department of Defense, to be a period or place where the United States is in a conflict that
49.33places persons at such a risk that service in a foreign country during that period or in that
49.34place should be considered to be included.
50.1 (h) "Veteran" has the meaning given in section 197.447. Veteran also includes
50.2a service member who has received an honorable discharge after leaving each period of
50.3federal active duty service and has:
50.4 (1) served 90 days or more of federal active duty in a foreign country during a time
50.5of hostilities in that country; or
50.6 (2) received a service-related medical discharge from any period of service in a
50.7foreign country during a time of hostilities in that country.
50.8A service member who has fulfilled the requirements for being a veteran under this
50.9paragraph but is still serving actively in the United States armed forces is also a veteran
50.10for the purposes of this section.
50.11 Subd. 2. Program established. The Minnesota GI Bill Program is established to
50.12provide postsecondary educational assistance to eligible Minnesota veterans and to the
50.13children and spouses of deceased and severely disabled Minnesota veterans.
50.14 The commissioner, in cooperation with eligible postsecondary educational
50.15institutions, shall administer the program for the purpose of providing postsecondary
50.16educational assistance to eligible persons in accordance with this section. Each public
50.17postsecondary educational institution in the state must participate in the program and each
50.18private postsecondary educational institution in the state is encouraged to participate in the
50.19program. Any participating private institution may suspend or terminate its participation
50.20in the program at the end of any semester or other academic term.
50.21 Subd. 3. Duties; responsibilities. (a) The commissioner shall establish policies
50.22and procedures including, but not limited to, procedures for student application record
50.23keeping, information sharing, payment of educational assistance benefits, and other
50.24procedures the commissioner considers appropriate and necessary for effective and
50.25efficient administration of the program established in this section.
50.26 (b) The commissioner may delegate part or all of the administrative procedures
50.27for the program to responsible representatives of participating eligible institutions. The
50.28commissioner may execute an interagency agreement with the Office of Higher Education
50.29for services the commissioner determines necessary to administer the program.
50.30 Subd. 4. Eligibility. (a) A person is eligible for educational assistance under this
50.31section if:
50.32 (1) the person is:
50.33 (i) a veteran who is serving or has served honorably in any branch or unit of the
50.34United States armed forces at any time on or after September 11, 2001;
50.35 (ii) a nonveteran who has served honorably for a total of five years or more
50.36cumulatively as a member of the Minnesota National Guard or any other active or reserve
51.1component of the United States armed forces, and any part of that service occurred on or
51.2after September 11, 2001;
51.3 (iii) the surviving spouse or child of a person who has served in the military at any
51.4time on or after September 11, 2001, and who has died as a direct result of that military
51.5service; or
51.6 (iv) the spouse or child of a person who has served in the military at any time on or
51.7after September 11, 2001, and who has a total and permanent service-connected disability
51.8as rated by the United States Veterans Administration;
51.9 (2) the person providing the military service described in clause (1), items (i) to (iv),
51.10was a Minnesota resident within six months of the time of the person's initial enlistment or
51.11any reenlistment in the United States armed forces;
51.12 (3) the person receiving the educational assistance is a Minnesota resident, as
51.13defined in section 136A.101, subdivision 8; and
51.14 (4) the person receiving the educational assistance:
51.15 (i) is an undergraduate or graduate student at an eligible institution;
51.16 (ii) is maintaining satisfactory academic progress as defined by the institution for
51.17students participating in federal Title IV programs;
51.18 (iii) is enrolled in an education program leading to a certificate, diploma, or degree
51.19at an eligible institution;
51.20 (iv) has applied for educational assistance under this section prior to the end of the
51.21academic term for which the assistance is being requested;
51.22 (v) is in compliance with child support payment requirements under section
51.23136A.121, subdivision 2, clause (5); and
51.24 (vi) if an undergraduate student, has applied for the federal Pell Grant and the
51.25Minnesota State Grant.
51.26 (b) A person's eligibility terminates when the person becomes eligible for benefits
51.27under section 135A.52.
51.28 (c) To determine eligibility, the commissioner may require official documentation,
51.29including the person's federal form DD-214 or other official military discharge papers;
51.30correspondence from the United States Veterans Administration; birth certificate; marriage
51.31certificate; proof of enrollment at an eligible institution; signed affidavits; proof of
51.32residency; proof of identity; or any other official documentation the commissioner
51.33considers necessary to determine eligibility.
51.34 (d) The commissioner may deny eligibility or terminate benefits under this section
51.35to any person who has not provided sufficient documentation to determine eligibility for
51.36the program. An applicant may appeal the commissioner's eligibility determination or
52.1termination of benefits in writing to the commissioner at any time. The commissioner
52.2must rule on any application or appeal within 30 days of receipt of all documentation that
52.3the commissioner requires. The decision of the commissioner regarding an appeal is final.
52.4However, an applicant whose appeal of an eligibility determination has been rejected by
52.5the commissioner may submit an additional appeal of that determination in writing to the
52.6commissioner at any time that the applicant is able to provide substantively significant
52.7additional information regarding the applicant's eligibility for the program. An approval
52.8of an applicant's eligibility by the commissioner following an appeal by the applicant is
52.9not retroactively effective for more than one year or the semester of the person's original
52.10application, whichever is later.
52.11 (e) Upon receiving an application with insufficient documentation to determine
52.12eligibility, the commissioner must notify the applicant within 30 days of receipt of the
52.13application that the application is being suspended pending receipt by the commissioner of
52.14sufficient documentation from the applicant to determine eligibility.
52.15 Subd. 5. Benefit amount. (a) On approval by the commissioner of eligibility for
52.16the program, the applicant shall be awarded, on a funds-available basis, the educational
52.17assistance under the program for use at any time according to program rules at any
52.18eligible institution.
52.19 (b) The amount of educational assistance in any semester or term for an eligible
52.20person must be determined by subtracting from the eligible person's cost of attendance the
52.21amount the person received or was eligible to receive in that semester or term from:
52.22 (1) the federal Pell Grant;
52.23 (2) the state grant program under section 136A.121; and
52.24 (3) any federal military or veterans educational benefits including but not limited
52.25to the Montgomery GI Bill, GI Bill Kicker, the federal tuition assistance program,
52.26vocational rehabilitation benefits, and any other federal benefits associated with the
52.27person's status as a veteran, except veterans disability payments from the United States
52.28Veterans Administration.
52.29 (c) The amount of educational assistance for any eligible person who is a full-time
52.30student must not exceed the following:
52.31 (1) $1,000 per semester or term of enrollment;
52.32 (2) $2,000 per state fiscal year; and
52.33 (3) $10,000 in a lifetime.
52.34For a part-time student, the amount of educational assistance must not exceed $500
52.35per semester or term of enrollment. For the purpose of this paragraph, a part-time
52.36undergraduate student is a student taking fewer than 12 credits for a semester or term
53.1of enrollment and a part-time graduate student is a student considered part-time by the
53.2eligible institution the graduate student is attending.
53.3 Subd. 6. Insufficient appropriation. If the amount appropriated is determined
53.4by the commissioner to be insufficient to pay the benefit amounts in subdivision 5, the
53.5commissioner must reduce the amounts specified in subdivision 5, paragraph (c), clauses
53.6(1) and (2).
53.7EFFECTIVE DATE.This section is effective July 1, 2007, and applies to
53.8qualifying coursework taken on or after that date.
53.9 Sec. 51. MINNESOTA WEST COMMUNITY AND TECHNICAL COLLEGE
53.10AT WORTHINGTON; YMCA LEASE AGREEMENT.
53.11 (a) The Board of Trustees of Minnesota State Colleges and Universities may enter
53.12into a lease agreement with the YMCA not to exceed 40 years, for the lease of land on
53.13the Minnesota West Community and Technical College at Worthington campus for the
53.14construction of a YMCA facility. The lease may also include the city of Worthington.
53.15 (b) Siting and design of the facility must be consistent with the college's master
53.16plan and Minnesota State Colleges and Universities' building standards. Minnesota
53.17West Community and Technical College may negotiate for use of the facility for college
53.18purposes. The lease must contain a provision that the lease shall terminate if the improved
53.19property is no longer used for the partial benefit of the students at the Worthington campus.
53.20 Sec. 52. INTEREST RATE PROTECTION AGREEMENTS; REPORT.
53.21 The Office of Higher Education must report by February 1, 2009, to the senate and
53.22house of representatives committees with primary jurisdiction over higher education
53.23finance and policy on the results of the office's interest rate protection agreement activity
53.24under Minnesota Statutes, section 136A.16, subdivision 16.
53.25 Sec. 53. REPEALER.
53.26(a) Minnesota Statutes 2006, sections 135A.031, subdivisions 2, 3, 4, 5, and 6;
53.27135A.032; 135A.033; 135A.045; 135A.053; 136A.07; and 136A.08, subdivision 8, are
53.28repealed.
53.29(b) Laws 2001, First Special Session chapter 1, article 1, sections 3, subdivision 3;
53.30and 4, subdivision 5, are repealed.
54.3 Section 1. Minnesota Statutes 2006, section 136A.61, is amended to read:
54.4136A.61 POLICY.
54.5 The legislature has found and hereby declares that the availability of legitimate
54.6courses and programs leading to academic degrees offered by responsible private
54.7not-for-profit and for-profit institutions of postsecondary education and the existence
54.8of legitimate private colleges and universities are in the best interests of the people of
54.9this state. The legislature has found and declares that the state can provide assistance
54.10and protection for persons choosing private institutions and programs, by establishing
54.11policies and procedures to assure the authenticity and legitimacy of private postsecondary
54.12education institutions and programs. The legislature has also found and declares that
54.13this same policy applies to any private and public postsecondary educational institution
54.14located in another state or country which offers or makes available to a Minnesota resident
54.15any course, program or educational activity which does not require the leaving of the
54.16state for its completion.
54.17 Sec. 2. [136A.615] CITATION.
54.18 Sections 136A.61 to 136A.71 may be cited as the "Minnesota Private and
54.19Out-of-State Public Postsecondary Education Act."
54.20 Sec. 3. Minnesota Statutes 2006, section 136A.62, subdivision 3, is amended to read:
54.21 Subd. 3. School. "School" means:
54.22 (1) anyindividual, partnership, company, firm, society, trust, association,
54.23corporation, or any combination thereof, which(a) (i) is, owns, or operates a private,
54.24nonprofit postsecondary education institution;(b) (ii) is, owns, or operates a private,
54.25for-profit postsecondary education institution; or (iii) provides a postsecondary
54.26instructional program or course leading to a degree whether or not for profit;(c) is, owns,
54.27or operates a private, postsecondary education institution which uses the term "college",
54.28"academy", "institute" or "university" in its name; or (d) operates for profit and provides
54.29programs or courses which are intended to allow an individual to fulfill in part or totally
54.30the requirements necessary to maintain a license to practice an occupation. School shall
54.31also mean
55.1 (2) any public postsecondary educational institution located in another state or
55.2country which offers or makes available to a Minnesota resident any course, program or
55.3educational activity which does not require the leaving of the state for its completion; or
55.4 (3) any individual, entity, or postsecondary institution located in another state
55.5that contracts with any school located within the state of Minnesota for the purpose of
55.6providing educational programs, training programs, or awarding postsecondary credits
55.7or continuing education credits to Minnesota residents that may be applied to a degree
55.8program.
55.9 Sec. 4. Minnesota Statutes 2006, section 136A.63, is amended to read:
55.10136A.63 REGISTRATION.
55.11 Subdivision 1. Annual registration. All schools located within Minnesota and
55.12all schools located outside Minnesota which offer degree programs or courses within
55.13Minnesota shall register annually with the office.
55.14 Subd. 2. Sale of an institution. Within 30 days of a change of its ownership a school
55.15must submit a registration renewal application, all usual and ordinary information and
55.16materials for an initial registration, and applicable registration fees for a new institution.
55.17For purposes of this subdivision, "change of ownership" means a merger or consolidation
55.18with a corporation; a sale, lease, exchange, or other disposition of all or substantially all of
55.19the assets of a school; the transfer of a controlling interest of at least 51 percent of the
55.20school's stock; or a change in the not-for-profit or for-profit status of a school.
55.21 Sec. 5. Minnesota Statutes 2006, section 136A.64, is amended to read:
55.22136A.64 INFORMATION REQUIRED FOR REGISTRATION.
55.23 Subdivision 1. Schools to provide information. As a basis for registration, schools
55.24shall provide the office with such information as the office needs to determine the nature
55.25and activities of the school, including but not limited to, requirements for admission,
55.26enrollments, tuition charge, refund policies, curriculum, degrees granted, and faculty
55.27employed. The office shall have the authority to verify the accuracy of the information
55.28submitted to it by inspection or any other means it deems necessary. the following which
55.29shall be accompanied by an affidavit attesting to its accuracy and truthfulness:
55.30 (1) articles of incorporation, constitution, bylaws, or other operating documents;
55.31 (2) a duly adopted statement of the school's mission and goals;
55.32 (3) evidence of current school or program licenses granted by departments or
55.33agencies of any state;
56.1 (4) a fiscal balance sheet on an accrual basis, or a certified audit of the immediate
56.2past fiscal year including any management letters provided by the independent auditor
56.3or, if the school is a public institution outside Minnesota, an income statement for the
56.4immediate past fiscal year;
56.5 (5) all current promotional and recruitment materials and advertisements; and
56.6 (6) the current school catalog and, if not contained in the catalog:
56.7 (i) the members of the board of trustees or directors, if any;
56.8 (ii) the current institutional officers;
56.9 (iii) current full-time and part-time faculty with degrees held or applicable
56.10experience;
56.11 (iv) a description of all school facilities;
56.12 (v) a description of all current course offerings;
56.13 (vi) all requirements for satisfactory completion of courses, programs, and degrees;
56.14 (vii) the school's policy about freedom or limitation of expression and inquiry;
56.15 (viii) a current schedule of fees, charges for tuition, required supplies, student
56.16activities, housing, and all other standard charges;
56.17 (ix) the school's policy about refunds and adjustments;
56.18 (x) the school's policy about granting credit for prior education, training, and
56.19experience; and
56.20 (xi) the school's policies about student admission, evaluation, suspension, and
56.21dismissal.
56.22 Subd. 2. Financial records. The office shall not disclose financial records or
56.23accreditation reports provided to it by a school pursuant to this section except for the
56.24purpose of defending, at hearings pursuant to chapter 14, or other appeal proceedings, its
56.25decision to approve or not to approve the granting of degrees or the use of a name by the
56.26school. Section15.17, subdivision 4 , shall not apply to such records.
56.27 Subd. 3. Additional information. If the office is unable to determine the nature
56.28and activities of a school on the basis of the information in subdivision 1, the office shall
56.29notify the school of additional information needed.
56.30 Subd. 4. Verification of information. The office may verify the accuracy of
56.31submitted information by inspection, visitation, or any other means it considers necessary.
56.32 Subd. 5. Public information. All information submitted to the office is public
56.33information except financial and accreditation records and information. The office may
56.34disclose financial records or information to defend its decision to approve or disapprove
56.35granting of degrees or the use of a name or its decisions to revoke the approval at a hearing
56.36under chapter 14 or other legal proceedings.
57.1 Subd. 6. Late registration penalty. Applications for renewal for any registration
57.2received after the deadline date specified in the renewal materials provided by the office
57.3are subject to a late fee equal to 20 percent of the annual registration renewal fee.
57.4 Subd. 7. Out-of-state expenses. A school shall reimburse the office for actual costs
57.5associated with a site evaluation visit outside Minnesota if the visit is necessary under
57.6subdivision 1 or 3.
57.7 Sec. 6. [136A.645] SCHOOL CLOSURE.
57.8 When a school decides to cease postsecondary education operations, it must
57.9cooperate with the office in assisting students to find alternative means to complete their
57.10studies with a minimum of disruption, and inform the office of the following:
57.11 (1) the planned date for termination of postsecondary education operations;
57.12 (2) the planned date for the transfer of the student records;
57.13 (3) confirmation of the name and address of the organization to receive and hold
57.14the student records; and
57.15 (4) the official at the organization receiving the student records who is designated to
57.16provide official copies of records or transcripts upon request.
57.17Upon notice from a school of its intention to cease operations, the office shall notify the
57.18school of the date on which it must cease the enrollment of students and all postsecondary
57.19educational operations.
57.20 Sec. 7. [136A.646] ADDITIONAL SECURITY.
57.21 In the event any registered institution is notified by the United States Department
57.22of Education that it has fallen below minimum financial standards and that its continued
57.23participation in Title IV will be conditioned upon its satisfying either the Zone Alternative,
57.24Code of Federal Regulations, title 34, section 668.175, paragraph (f), or a Letter of Credit
57.25Alternative, Code of Federal Regulations, title 34, section 668.175, paragraph (c), the
57.26institution shall provide a surety bond conditioned upon the faithful performance of all
57.27contracts and agreements with students in a sum equal to the "letter of credit" required by
57.28the United States Department of Education in the Letter of Credit Alternative, but in no
57.29event shall such bond be less than $10,000 nor more than $250,000.
57.30 Sec. 8. Minnesota Statutes 2006, section 136A.65, is amended to read:
57.31136A.65 APPROVAL OF DEGREES AND NAME.
57.32 Subdivision 1. Prohibition. No school subject to registration shall grant a degree
57.33unless such degreeis and its underlying curriculum are approved by the office, nor
58.1shall any school subject to registration use the name "college," "academy," "institute" or
58.2"university" in its name without approval by the office.
58.3 Subd. 1a. Accreditation; requirement. A school must not be registered or
58.4authorized to offer any degree at any level unless the school is accredited by an agency
58.5recognized by the United States Department of Education for purposes of eligibility to
58.6participate in Title IV federal financial aid programs. Any registered school undergoing
58.7institutional accreditation shall inform the office of site visits by the accrediting agency
58.8and provide office staff the opportunity to attend the visits, including any exit interviews.
58.9The institution must provide the office with a copy of the final report upon receipt.
58.10 Subd. 2. Procedures. The office shall establish procedures for approval, including
58.11notice and an opportunity for a hearing pursuant to chapter 14 if such approval is not
58.12granted. If a hearing is requested, no disapproval shall take effect until after such hearing.
58.13 Subd. 3. Application. A school subject to registration shall be granted approval
58.14to use the term "college," "academy," "institute" or "university" in its namewhether or
58.15not it offers a program leading to a degree, if it was organized, operating, and using such
58.16term in its name on or before August 1,1975 2007, and if it meets the other policies and
58.17standards for approval established by the office.
58.18 Subd. 4. Criteria for approval. (a) A school applying to be registered and to have
58.19its degree or degrees and name approved must substantially meet the following criteria:
58.20 (1) the school has an organizational framework with administrative and teaching
58.21personnel to provide the educational programs offered;
58.22 (2) the school has financial resources sufficient to meet the school's financial
58.23obligations, including refunding tuition and other charges consistent with its stated policy
58.24if the institution is dissolved, or if claims for refunds are made, to provide service to the
58.25students as promised, and to provide educational programs leading to degrees as offered;
58.26 (3) the school operates in conformity with generally accepted budgeting and
58.27accounting principles;
58.28 (4) the school provides an educational program leading to the degree it offers;
58.29 (5) the school provides appropriate and accessible library, laboratory, and other
58.30physical facilities to support the educational program offered;
58.31 (6) the school has a policy on freedom or limitation of expression and inquiry for
58.32faculty and students which is published or available on request;
58.33 (7) the school uses only publications and advertisements which are truthful and do
58.34not give any false, fraudulent, deceptive, inaccurate, or misleading impressions about the
58.35school, its personnel, programs, services, or occupational opportunities for its graduates
58.36for promotion and student recruitment;
59.1 (8) the school's compensated recruiting agents who are operating in Minnesota
59.2identify themselves as agents of the school when talking to or corresponding with students
59.3and prospective students; and
59.4 (9) the school provides information to students and prospective students concerning:
59.5 (i) comprehensive and accurate policies relating to student admission, evaluation,
59.6suspension, and dismissal;
59.7 (ii) clear and accurate policies relating to granting credit for prior education, training,
59.8and experience and for courses offered by the school;
59.9 (iii) current schedules of fees, charges for tuition, required supplies, student
59.10activities, housing, and all other standard charges;
59.11 (iv) policies regarding refunds and adjustments for withdrawal or modification
59.12of enrollment status; and
59.13 (v) procedures and standards used for selection of recipients and the terms of
59.14payment and repayment for any financial aid program.
59.15 (b) An application for degree approval must also include:
59.16 (i) title of degree and formal recognition awarded;
59.17 (ii) location where such degree will be offered;
59.18 (iii) proposed implementation date of the degree;
59.19 (iv) admissions requirements for the degree;
59.20 (v) length of the degree;
59.21 (vi) projected enrollment for a period of five years;
59.22 (vii) the curriculum required for the degree, including course syllabi or outlines;
59.23 (viii) statement of academic and administrative mechanisms planned for monitoring
59.24the quality of the proposed degree;
59.25 (ix) statement of satisfaction of professional licensure criteria, if applicable;
59.26 (x) documentation of the availability of clinical, internship, externship, or practicum
59.27sites, if applicable; and
59.28 (xi) statement of how the degree fulfills the institution's mission and goals,
59.29complements existing degrees, and contributes to the school's viability.
59.30 Subd. 5. Requirements for degree approval. For each degree a school offers to a
59.31student, where the student does not leave Minnesota for the major portion of the program
59.32or course leading to the degree, the school must have:
59.33 (1) qualified teaching personnel to provide the educational programs for each degree
59.34for which approval is sought;
59.35 (2) appropriate educational programs leading to each degree for which approval
59.36is sought;
60.1 (3) appropriate and accessible library, laboratory, and other physical facilities to
60.2support the educational program for each degree for which approval is sought; and
60.3 (4) a rationale showing that degree programs are consistent with the school's mission
60.4and goals.
60.5 Subd. 6. Name. A school may use the term "academy" or "institute" in its name
60.6without meeting any additional requirements. A school may use the term "college" in its
60.7name if it offers at least one program leading to an associate degree. A school may use
60.8the term "university" in its name if it offers at least one program leading to a master's
60.9or doctorate degree.
60.10 Subd. 7. Conditional approval. The office may grant conditional approval for a
60.11degree or use of a term in its name for a period of less than one year if doing so would be
60.12in the best interests of currently enrolled students or prospective students.
60.13 Subd. 8. Disapproval of registration appeal. (a) If a school's degree or use of a
60.14term in its name is disapproved by the office, the school may request a hearing under
60.15chapter 14. The request must be in writing and made to the office within 30 days of the
60.16date the school is notified of the disapproval.
60.17 (b) The office may refuse to renew, revoke, or suspend registration, approval of
60.18a school's degree, or use of a regulated term in its name by giving written notice and
60.19reasons to the school. The school may request a hearing under chapter 14. If a hearing is
60.20requested, no revocation or suspension shall take effect until after the hearing.
60.21 (c) Reasons for revocation or suspension of registration or approval may be for one
60.22or more of the following reasons:
60.23 (1) violating the provisions of sections 136A.61 to 136A.71;
60.24 (2) providing false, misleading, or incomplete information to the office;
60.25 (3) presenting information about the school which is false, fraudulent, misleading,
60.26deceptive, or inaccurate in a material respect to students or prospective students; or
60.27 (4) refusing to allow reasonable inspection or to supply reasonable information after
60.28a written request by the office has been received.
60.29 Sec. 9. Minnesota Statutes 2006, section 136A.657, is amended by adding a
60.30subdivision to read:
60.31 Subd. 4. Statement required; religious nature. Any degree awarded upon
60.32completion of a religiously exempt program shall include descriptive language to make
60.33the religious nature of the award clear.
61.1 Sec. 10. Minnesota Statutes 2006, section 136A.66, is amended to read:
61.2136A.66 LIST.
61.3 The office shall maintain a list ofschools registered institutions authorized to grant
61.4degrees and schools authorized to use the name "college," "academy," "institute" or
61.5"university," and shall make such list available to the public.
61.6 Sec. 11. Minnesota Statutes 2006, section 136A.67, is amended to read:
61.7136A.67 UNAUTHORIZED REPRESENTATIONS.
61.8No school and none of its officials or employees shall advertise or represent in any
61.9manner that such school is approved or accredited by the office or state of Minnesota
61.10except that any A school which is duly registered with the office, or any of its officials or
61.11employees, may represent in advertising and shall disclose in catalogues, applications,
61.12and enrollment materials that the school is registered with the office. by prominently
61.13displaying the following statement: "(Name of school) is registered as a private institution
61.14with the Minnesota Office of Higher Education pursuant to sections 136A.61 to 136A.71.
61.15Registration is not an endorsement of the institution. Credits earned at the institution
61.16may not transfer to all other institutions."
61.17 Sec. 12. [136A.675] RISK ANALYSIS.
61.18 The office shall develop a set of financial and programmatic evaluation metrics to
61.19aid in the detection of the failure or potential failure of a school to meet the standards
61.20established under sections 136A.61 to 136A.71. These metrics shall include indicators
61.21of financial stability, changes in the senior management or the financial aid and senior
61.22administrative staff of an institution, changes in enrollment, changes in program offerings,
61.23and changes in faculty staffing patterns. The development of financial standards shall use
61.24industry standards as benchmarks. The development of the nonfinancial standards shall
61.25include a measure of trends and dramatic changes in trends or practice. The agency must
61.26specify the metrics and standards for each area and provide a copy to each registered
61.27institution and post them on the agency Web site. The agency shall use regularly reported
61.28data submitted to the federal government or other regulatory or accreditation agencies
61.29wherever possible. The agency may require more frequent data reporting by an institution
61.30to ascertain whether the standards are being met.
61.31 Sec. 13. Minnesota Statutes 2006, section 136A.68, is amended to read:
61.32136A.68 RECORDS.
62.1After August 1, 1975, all schools located in this state must maintain permanent
62.2records of all students enrolled therein at any time. The office may require schools to
62.3provide a plan acceptable to the office for preserving all such records for at least ten years.
62.4The office may require that such plan include the filing of a continuous surety bond or a
62.5deposit of funds in trust in an amount not to exceed $20,000 for the purpose of preserving
62.6records after such school ceases to exist. A registered school shall maintain a permanent
62.7record for each student for 50 years from the last date of the student's attendance. A
62.8registered school offering distance instruction to a student located in Minnesota shall
62.9maintain a permanent record for each Minnesota student for 50 years from the last date of
62.10the student's attendance. Records include a student's academic transcript, documents, and
62.11files containing student data about academic credits earned, courses completed, grades
62.12awarded, degrees awarded, and periods of attendance. To preserve permanent records, a
62.13school shall submit a plan that meets the following requirements:
62.14 (1) at least one copy of the records must be held in a secure, fireproof depository
62.15or duplicate records must be maintained off site in a secure location and in a manner
62.16approved by the office;
62.17 (2) an appropriate official must be designated to provide a student with copies of
62.18records or a transcript upon request;
62.19 (3) an alternative method approved by the office of complying with clauses (1) and
62.20(2) must be established if the school ceases to exist; and
62.21 (4) if the school has no binding agreement approved by the office for preserving
62.22student records, a continuous surety bond must be filed with the office in an amount not to
62.23exceed $20,000. The bond shall run to the state of Minnesota.
62.24 Sec. 14. Minnesota Statutes 2006, section 136A.69, is amended to read:
62.25136A.69 FEES.
62.26 Subdivision 1. Registration fees. The office shall collect reasonable registration
62.27fees that are sufficient to recover, but do not exceed, its costs of administering the
62.28registration program. The office shall charge $1,100 for initial registration fees and $950
62.29for annual renewal fees.
62.30 Subd. 2. Degree level addition fee. The office processing fee for adding a degree
62.31level to an existing program is $2,000 per program.
62.32 Subd. 3. Program addition fee. The office processing fee for adding a program
62.33that represents a significant departure in the objectives, content, or method of delivery of
62.34programs that are currently offered by the school is $500 per program.
63.1 Subd. 4. Visit or consulting fee. If the office determines that a fact-finding visit
63.2or outside consultant is necessary to review or evaluate any new or revised program, the
63.3office shall be reimbursed for the expenses incurred related to the review as follows:
63.4 (1) $300 for the team base fee or for a paper review conducted by a consultant if the
63.5office determines that a fact-finding visit is not required;
63.6 (2) $300 for each day or part thereof on site per team member; and
63.7 (3) the actual cost of customary meals, lodging, and related travel expenses incurred
63.8by team members.
63.9 Subd. 5. Modification fee. The fee for modification of any existing program is
63.10$100 and is due if there is:
63.11 (1) an increase or decrease of 25 percent or more from the original date of program
63.12approval, in clock hours, credit hours, or calendar length of an existing program;
63.13 (2) a change in academic measurement from clock hours to credit hours or vice
63.14versa; or
63.15 (3) an addition or alteration of courses that represent a 25 percent change or more in
63.16the objectives, content, or methods of delivery.
63.17 Sec. 15. [136A.705] PENALTY.
63.18 The director may assess fines for violations of a provision of sections 136A.61 to
63.19136A.71. Each day's failure to comply with a provision of sections 136A.61 to 136A.71
63.20shall be a separate violation and fines shall not exceed $500 per day per violation.
63.21Amounts received under this section must be deposited in the special revenue fund and are
63.22appropriated to the Office of Higher Education for the purposes in sections 136A.61 to
63.23136A.71.
63.24 Sec. 16. Minnesota Statutes 2006, section 141.21, subdivision 1a, is amended to read:
63.25 Subd. 1a. Office of Higher Education or office. "Office of Higher Education" or
63.26"office" means the Minnesota Office of Higher Education.
63.27 Sec. 17. Minnesota Statutes 2006, section 141.21, subdivision 5, is amended to read:
63.28 Subd. 5. School. "School" means any person, within or outside the state, who
63.29maintains, advertises, administers, solicits for, or conducts any programfor profit at any
63.30less than an associate degree levelother than baccalaureate or graduate programs, and is
63.31not specifically exempted by sections
141.21 to and is not registered as a private institution
63.32under sections 136A.61 to 136A.71 and is not specifically exempted by section141.35
63.33or 141.37. School also means any person, within or outside the state, who maintains,
64.1advertises, administers, solicits for, or conducts any program at less than an associate
64.2degree level, is not registered as a private institution pursuant to sections 136A.61 to
64.3136A.71, and uses the term, "college," "institute," "academy," or "university" in its name.
64.4 Sec. 18. Minnesota Statutes 2006, section 141.25, subdivision 1, is amended to read:
64.5 Subdivision 1. Required. A school must not maintain, advertise, solicit for,
64.6administer, or conduct any program in Minnesota without first obtaining a license from
64.7the office.
64.8 Sec. 19. Minnesota Statutes 2006, section 141.25, subdivision 5, is amended to read:
64.9 Subd. 5. Bond. (a) No license shall be issued to any school which maintains,
64.10conducts, solicits for, or advertises within the state of Minnesota any program, unless the
64.11applicant files with the office a continuous corporate surety bond written by a company
64.12authorized to do business in Minnesota conditioned upon the faithful performance of all
64.13contracts and agreements with students made by the applicant.
64.14 (b) The amount of the surety bond shall be ten percent of the preceding year's gross
64.15income from student tuition, fees, and other required institutional charges, but in no event
64.16less than $10,000 nor greater than $250,000, except that a school may deposit a greater
64.17amount at its own discretion. A school in each annual application for licensure must
64.18compute the amount of the surety bond and verify that the amount of the surety bond
64.19complies with this subdivision, unless the school maintains a surety bond equal to at least
64.20$250,000. A school that operates at two or more locations may combine gross income
64.21from student tuition, fees, and other required institutional charges for all locations for the
64.22purpose of determining the annual surety bond requirement. The gross tuition and fees
64.23used to determine the amount of the surety bond required for a school having a license for
64.24the sole purpose of recruiting students in Minnesota shall be only that paid to the school
64.25by the students recruited from Minnesota.
64.26 (c) The bond shall run to the state of Minnesota and to any person who may have a
64.27cause of action against the applicant arising at any time after the bond is filed and before it
64.28is canceled for breach of any contract or agreement made by the applicant with any student.
64.29The aggregate liability of the surety for all breaches of the conditions of the bond shall not
64.30exceed the principal sum deposited by the school under paragraph (b). The surety of any
64.31bond may cancel it upon giving 60 days' notice in writing to the office and shall be relieved
64.32of liability for any breach of condition occurring after the effective date of cancellation.
64.33 (d) In lieu of bond, the applicant may deposit with the commissioner of finance a
64.34sum equal to the amount of the required surety bond in cash, or securities as may be
65.1legally purchased by savings banks or for trust funds in an aggregate market value equal
65.2to the amount of the required surety bond.
65.3 (e) Failure of a school to post and maintain the required surety bond or deposit under
65.4paragraph (d)may shall result in denial, suspension, or revocation of the school's license.
65.5 Sec. 20. Minnesota Statutes 2006, section 141.25, subdivision 7, is amended to read:
65.6 Subd. 7. Minimum standards. A license shall be issued if the office first
65.7determines:
65.8 (1) that the applicant has a sound financial condition with sufficient resources
65.9available to:
65.10 (i) meet the school's financial obligations;
65.11 (ii) refund all tuition and other charges, within a reasonable period of time, in the
65.12event of dissolution of the school or in the event of any justifiable claims for refund against
65.13the school by the student body;
65.14 (iii) provide adequate service to its students and prospective students; and
65.15 (iv) maintain and support the school;
65.16 (2) that the applicant has satisfactory facilities with sufficient tools and equipment
65.17and the necessary number of work stations to prepare adequately the students currently
65.18enrolled, and those proposed to be enrolled;
65.19 (3) that the applicant employs a sufficient number of qualified teaching personnel to
65.20provide the educational programs contemplated;
65.21 (4) that the school has an organizational framework with administrative and
65.22instructional personnel to provide the programs and services it intends to offer;
65.23 (5) that the premises and conditions under which the students work and study are
65.24sanitary, healthful, and safe, according to modern standards;
65.25 (6) that the quality and content of each occupational course or program of study
65.26provides education and adequate preparation to enrolled students for entry level positions
65.27in the occupation for which prepared;
65.28 (7) that the living quarters which are owned, maintained, recommended, or approved
65.29by the applicant for students are sanitary and safe;
65.30 (8) that the contract or enrollment agreement used by the school complies with
65.31the provisions in section141.265 ;
65.32 (9) that contracts and agreements do not contain a wage assignment provision or a
65.33confession of judgment clause; and
66.1 (10) that there has been no adjudication of fraud or misrepresentation in any
66.2criminal, civil, or administrative proceeding in any jurisdiction against the school or its
66.3owner, officers, agents, or sponsoring organization.
66.4 Sec. 21. Minnesota Statutes 2006, section 141.25, subdivision 9, is amended to read:
66.5 Subd. 9. Catalog, brochure, or electronic display. Before a license is issued to
66.6a school, the school shall furnish to the office a catalog, brochure, or electronic display
66.7including:
66.8 (1) identifying data, such as volume number and date of publication;
66.9 (2) name and address of the school and its governing body and officials;
66.10 (3) a calendar of the school showing legal holidays, beginning and ending dates of
66.11each course quarter, term, or semester, and other important dates;
66.12 (4) the school policy and regulations on enrollment including dates and specific
66.13entrance requirements for each program;
66.14 (5) the school policy and regulations about leave, absences, class cuts, make-up
66.15work, tardiness, and interruptions for unsatisfactory attendance;
66.16 (6) the school policy and regulations about standards of progress for the student
66.17including the grading system of the school, the minimum grades considered satisfactory,
66.18conditions for interruption for unsatisfactory grades or progress, a description of any
66.19probationary period allowed by the school, and conditions of reentrance for those
66.20dismissed for unsatisfactory progress;
66.21 (7) the school policy and regulations about student conduct and conditions for
66.22dismissal for unsatisfactory conduct;
66.23 (8) a detailed schedule of fees, charges for tuition, books, supplies, tools, student
66.24activities, laboratory fees, service charges, rentals, deposits, and all other charges;
66.25 (9) the school policy and regulations, including an explanation of section141.271 ,
66.26about refunding tuition, fees, and other charges if the student does not enter the program,
66.27withdraws from the program, or the program is discontinued;
66.28 (10) a description of the available facilities and equipment;
66.29 (11) a course outline syllabus for each course offered showing course objectives,
66.30subjects or units in the course, type of work or skill to be learned, and approximate time,
66.31hours, or credits to be spent on each subject or unit;
66.32 (12) the school policy and regulations about granting credit for previous education
66.33and preparation;
66.34 (13) a notice to students relating to the transferability of any credits earned at the
66.35school to other institutions;
67.1 (14) a procedure for investigating and resolving student complaints; and
67.2(14) (15) the name and address of the Minnesota Office of Higher Education.
67.3 A school that is exclusively a distance education school is exempt from clauses
67.4(3) and (5).
67.5 Sec. 22. Minnesota Statutes 2006, section 141.25, subdivision 10, is amended to read:
67.6 Subd. 10. Placement records. (a) Before a license isissued reissued to a school
67.7that offers, advertises or implies a placement service, the school shall file with the office
67.8for the past year and thereafter at reasonable intervals determined by the office, a certified
67.9copy of the school's placement record, containing a list of graduates, a description of their
67.10jobs, names of their employers, and other information as the office may prescribe.
67.11 (b) Each school that offers a placement service shall furnish to each prospective
67.12student, upon request, prior to enrollment, written information concerning the percentage
67.13of the previous year's graduates who were placed in the occupation for which prepared or
67.14in related employment.
67.15 Sec. 23. Minnesota Statutes 2006, section 141.25, subdivision 12, is amended to read:
67.16 Subd. 12. Permanent records. A school licensed under this chapter and located
67.17in Minnesota shall maintain a permanent record for each student for 50 years from the
67.18last date of the student's attendance. A school licensed under this chapter and offering
67.19distance instruction to a student located in Minnesota shall maintain a permanent record
67.20for each Minnesota student for 50 years from the last date of the student's attendance.
67.21Records include school transcripts, documents, and files containing student data about
67.22academic credits earned, courses completed, grades awarded, degrees awarded, and
67.23periods of attendance. To preserve permanent records, a school shall submit a plan that
67.24meets the following requirements:
67.25 (1) at least one copy of the records must be held in a secure, fireproof depository;
67.26 (2) an appropriate official must be designated to provide a student with copies of
67.27records or a transcript upon request;
67.28 (3) an alternative method, approved by the office, of complying with clauses (1) and
67.29(2) must be established if the school ceases to exist; and
67.30 (4) a continuous surety bond must be filed with the office in an amount not to exceed
67.31$20,000 if the school has no binding agreement approved by the office, for preserving
67.32student recordsor a trust must be arranged if the school ceases to exist. The bond shall run
67.33to the state of Minnesota.
68.1 Sec. 24. Minnesota Statutes 2006, section 141.255, subdivision 2, is amended to read:
68.2 Subd. 2. Renewal licensure fee; late fee. (a) The office processing fee for a
68.3renewal licensure application is:
68.4 (1) for a category A school, as determined by the office, the fee is $865 if the school
68.5offers one program or $1,150 if the school offers two or more programs; and
68.6 (2) for a category B or C school, as determined by the office, the fee is $430 if the
68.7school offers one program or $575 if the school offers two or more programs.
68.8 (b) If a license renewal application is not received by the office by the close of
68.9business at least 60 days before the expiration of the current license, a late fee of $100
68.10per business day, not to exceed $3,000, shall be assessed.
68.11 Sec. 25. Minnesota Statutes 2006, section 141.265, subdivision 2, is amended to read:
68.12 Subd. 2. Contract information. A contract or enrollment agreement used by a
68.13school must include at least the following:
68.14 (1) the name and address of the school, clearly stated;
68.15 (2) a clear and conspicuous disclosure that the agreement is a legally binding
68.16instrument upon written acceptance of the student by the school unless canceled under
68.17section141.271 ;
68.18 (3) the school's cancellation and refund policy that shall be clearly and conspicuously
68.19entitled "Buyer's Right to Cancel";
68.20 (4) a clear statement of total cost of the program including tuition and all other
68.21charges;
68.22 (5) the name and description of the program, including the number of hours or
68.23credits of classroom instruction, or distance instruction, that shall be included; and
68.24 (6) a clear and conspicuous explanation of the form and means of notice the student
68.25should use in the event the student elects to cancel the contract or sale, the effective
68.26date of cancellation, and the name and address of the seller to which the notice should
68.27be sent or delivered.
68.28The contract or enrollment agreement must not include a wage assignment provision or a
68.29confession of judgment clause.
68.30 Sec. 26. Minnesota Statutes 2006, section 141.271, subdivision 10, is amended to read:
68.31 Subd. 10. Cancellation occurrence. Written notice of cancellation shall take place
68.32on the date the letter of cancellation is postmarked or, in the cases where the notice is hand
68.33carried, it shall occur on the date the notice is delivered to the school. If a student has not
68.34attendedclasses class for a period of 21 consecutive days without contacting the school to
69.1indicate an intent to continue in school or otherwise making arrangements concerning the
69.2absence, the student is considered to have withdrawn from school for all purposes as of
69.3the student's last documented date of attendance.
69.4 Sec. 27. Minnesota Statutes 2006, section 141.271, subdivision 12, is amended to read:
69.5 Subd. 12. Instrument not to be negotiated. A school shall not negotiate any
69.6promissory instrument received as payment of tuition or other charge prior to completion
69.7of 50 percent of the program., except that prior to that time, instruments may be transferred
69.8by assignment to purchasers who shall be subject to all defenses available against the
69.9school named as payee.
69.10 Sec. 28. Minnesota Statutes 2006, section 141.28, subdivision 1, is amended to read:
69.11 Subdivision 1.Not to advertise state approval Disclosure required. Schools,
69.12agents of schools, and solicitors may not advertise or represent in writing or orally that
69.13such school is approved or accredited by the state of Minnesota, except that any A
69.14school, agent, or solicitor mayadvertise represent in advertisements and shall disclose
69.15in catalogues, applications, and enrollment materials that the schooland solicitor have
69.16been is duly licensed by the state using by prominently displaying the following language
69.17statement:
69.18"(Name of school) is licensed as a private career school with the Minnesota Office of
69.19Higher Education pursuant to Minnesota Statutes, sections 141.21 to 141.32. Licensure is
69.20not an endorsement of the institution. Credits earned at the institution may not transfer to
69.21all other institutions.The educational programs may not meet the needs of every student
69.22or employer."
69.23 Sec. 29. Minnesota Statutes 2006, section 141.32, is amended to read:
69.24141.32 PENALTY.
69.25Violation of a provision of this chapter shall be a misdemeanor. Each day's failure
69.26to comply with this chapter shall be a separate violation. The office shall adopt rules
69.27establishing a list of civil penalties and the fine associated with each violation. Fines
69.28for violations shall not exceed $500 per day per violation. The director may assess
69.29fines for violations of a provision of this chapter. Each day's failure to comply with this
69.30chapter shall be a separate violation and fines shall not exceed $500 per day per violation.
69.31Amounts received under this section must be deposited in the special revenue fund and are
69.32appropriated to the Office of Higher Education for the purposes of this chapter.
70.1 Sec. 30. Minnesota Statutes 2006, section 141.35, is amended to read:
70.2141.35 EXEMPTIONS.
70.3 Sections141.21 to
141.35 141.32
70.4 (1) public postsecondary institutions;
70.5 (2)private postsecondary institutions registered under sections
136A.61
70.6to136A.71 that are nonprofit, or that are for profit and registered under sections
136A.61
70.7to
136A.71 as of December 31, 1998, or are approved to offer exclusively baccalaureate
70.8or postbaccalaureate programs;
70.9 (3) schools of nursing accredited by the state Board of Nursing or an equivalent
70.10public board of another state or foreign country;
70.11 (4) private schools complying with the requirements of section120A.22, subdivision
70.124 ;
70.13 (5) courses taught to students in a valid apprenticeship program taught by or
70.14required by a trade union;
70.15 (6) schools exclusively engaged in training physically or mentally disabled persons
70.16for the state of Minnesota;
70.17 (7) schools licensed by boards authorized under Minnesota law to issue licenses;
70.18 (8) schools and educational programs, or training programs, contracted for by
70.19persons, firms, corporations, government agencies, or associations, for the training of their
70.20own employees, for which no fee is charged the employee;
70.21 (9) schools engaged exclusively in the teaching of purely avocational, recreational,
70.22or remedial subjects as determined by the office;
70.23 (10)driver training schools and instructors as defined in section
171.33, subdivisions
70.241 and 2
;
70.25(11) classes, courses, or programs conducted by a bona fide trade, professional, or
70.26fraternal organization, solely for that organization's membership;
70.27(12) (11) programs in the fine arts provided by organizations exempt from taxation
70.28under section290.05 and registered with the attorney general under chapter 309. For
70.29the purposes of this clause, "fine arts" means activities resulting in artistic creation or
70.30artistic performance of works of the imagination which are engaged in for the primary
70.31purpose of creative expression rather than commercial sale or employment. In making
70.32this determination the office may seek the advice and recommendation of the Minnesota
70.33Board of the Arts;
70.34(13) (12) classes, courses, or programs intended to fulfill the continuing education
70.35requirements for licensure or certification in a profession, that have been approved by
70.36a legislatively or judicially established board or agency responsible for regulating the
71.1practice of the profession, and that are offered exclusively to an individual practicing
71.2the profession;
71.3(14) (13) classes, courses, or programs intended to prepare students to sit for
71.4undergraduate, graduate, postgraduate, or occupational licensing and occupational
71.5entrance examinations;
71.6(15) (14) classes, courses, or programs providing 16 or fewer clock hours of
71.7instruction that are not part of the curriculum for an occupation or entry level employment;
71.8(16) (15) classes, courses, or programs providing instruction in personal
71.9development, modeling, or acting;
71.10(17) (16) training or instructional programs, in which one instructor teaches an
71.11individual student, that are not part of the curriculum for an occupation or are not intended
71.12to prepare a person for entry level employment; and
71.13(18) (17) schools with no physical presence in Minnesota, as determined by the
71.14office, engaged exclusively in offering distance instruction that are located in and
71.15regulated by other states or jurisdictions.
71.16 Sec. 31. [141.37] EXEMPTION; RELIGIOUS SCHOOLS.
71.17 Subdivision 1. Exemption. Any school or any department or branch of a school:
71.18 (1) which is substantially owned, operated, or supported by a bona fide church
71.19or religious organization;
71.20 (2) whose programs are primarily designed for, aimed at, and attended by persons
71.21who sincerely hold or seek to learn the particular religious faith or beliefs of that church or
71.22religious organization; and
71.23 (3) whose programs are primarily intended to prepare its students to become
71.24ministers of, to enter into some other vocation closely related to, or to conduct their lives
71.25in consonance with the particular faith of that church or religious organization,
71.26is exempt from the provisions of sections 141.21 to 141.32.
71.27 Subd. 2. Limitations. (a) An exemption shall not extend to any school, department
71.28or branch of a school, or program of a school which through advertisements or solicitations
71.29represents to any students or prospective students that the school, its aims, goals, missions,
71.30purposes, or programs are different from those described in subdivision 1.
71.31 (b) An exemption shall not extend to any school which represents to any student or
71.32prospective student that the major purpose of its programs is to:
71.33 (1) prepare the student for a vocation not closely related to that particular religious
71.34faith; or
72.1 (2) provide the student with a general educational program recognized by other
72.2schools or the broader educational, business, or social community as being substantially
72.3equivalent to the educational programs offered by schools or departments or branches of
72.4schools which are not religious in nature and are not exempt from chapter 141 and from
72.5rules adopted pursuant under this chapter.
72.6 Subd. 3. Scope. Nothing in this chapter or the rules adopted under it shall be
72.7interpreted as permitting the office to determine the truth or falsity of any particular set
72.8of religious beliefs.
72.9 Subd. 4. Descriptive language required. Any certificate, diploma, degree, or other
72.10formal recognition awarded upon completion of any religiously exempt program shall
72.11include such descriptive language as to make the religious nature of the award clear.
72.12 Sec. 32. EFFECTIVE DATE; TRANSITION PROCESS.
72.13 This article is effective July 1, 2007. Schools licensed pursuant to Minnesota
72.14Statutes, chapter 141, that qualify for private institution registration after July 1, 2007,
72.15shall apply for and complete the process for registration prior to the expiration of their
72.16current private career school license under Minnesota Statutes, chapter 141. Schools
72.17registered as private institutions pursuant to Minnesota Statutes, sections 136A.61 to
72.18136A.71, that are required to obtain a private career school license after July 1, 2007, shall
72.19apply for and complete the process for licensure prior to the expiration of the current
72.20registration, but in any event no later than December 31, 2007. If the office finds it
72.21is necessary to allow for the proper processing of license or registration applications
72.22required by this section, the office is authorized to extend existing license or registration
72.23for a reasonable period of time.
1.3Office of Higher Education provisions; requiring a risk analysis; establishing
1.4new grant and loan repayment programs; amending higher education programs;
1.5requiring certain studies; making technical changes; requiring summary statistics
1.6in required reports; repealing certain data sharing and collecting requirements;
1.7modifying financial aid programs; establishing the Minnesota GI Bill program;
1.8establishing the Achieve Scholarship Program; regulating private higher
1.9education institutions; providing penalties; amending certain grant programs;
1.10eliminating obsolete references; authorizing control of certain decreasing
1.11students' share of attendance; increasing revenue bond limits; authorizing control
1.12of certain deposits; authorizing lease agreements; authorizing interest rate swap;
1.13providing for the Textbook Disclosure, Pricing, and Access Act;amending
1.14Minnesota Statutes 2006, sections 13.322, subdivision 3; 41D.01, subdivision
1.151; 135A.01; 135A.031, subdivisions 1, 7; 135A.034, subdivision 1; 135A.51,
1.16subdivision 2; 135A.52, subdivisions 1, 2; 136A.031, subdivision 5; 136A.08,
1.17subdivision 7; 136A.101, subdivisions 4, 5a; 136A.121, subdivisions 5, 7a, by
1.18adding a subdivision; 136A.125, subdivisions 2, 4; 136A.15, subdivisions 1,
1.196; 136A.16, subdivision 8, by adding a subdivision; 136A.1702; 136A.233,
1.20subdivision 3; 136A.29, subdivision 9; 136A.61; 136A.62, subdivision 3;
1.21136A.63; 136A.64; 136A.65; 136A.657, by adding a subdivision; 136A.66;
1.22136A.67; 136A.68; 136A.69; 136A.861, subdivisions 1, 2, 3, 6; 136F.02,
1.23subdivision 1; 136F.03, subdivisions 3, 4; 136F.42, subdivision 1; 136F.58;
1.24136F.71, subdivision 2, by adding a subdivision; 136G.11, subdivision 5;
1.25137.0245, subdivisions 1, 4; 137.0246; 141.21, subdivisions 1a, 5; 141.25,
1.26subdivisions 1, 5, 7, 9, 10, 12; 141.255, subdivision 2; 141.265, subdivision 2;
1.27141.271, subdivisions 10, 12; 141.28, subdivision 1; 141.32; 141.35; 197.775,
1.28subdivision 4; proposing coding for new law in Minnesota Statutes, chapters
1.29135A; 136A; 137; 141; 197; repealing Minnesota Statutes 2006, sections
1.30135A.031, subdivisions 2, 3, 4, 5, 6; 135A.032; 135A.033; 135A.045; 135A.053;
1.31136A.07; 136A.08, subdivision 8; Laws 2001, First Special Session chapter 1,
1.32article 1, sections 3, subdivision 3; 4, subdivision 5.
1.33BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
| 2.3 |
Section 1. SUMMARY OF APPROPRIATIONS. |
||||||
2.5summarize direct appropriations, by fund, made in this article.
2.11 Subd. 2. Summary By Agency - All Funds. The amounts shown in this subdivision
2.12summarize direct appropriations, by agency, made in this article.
| 2.26 |
Sec. 2. HIGHER EDUCATION APPROPRIATIONS. |
||||||
2.28agencies and for the purposes specified in this article. The appropriations are from the
2.29general fund, or another named fund, and are available for the fiscal years indicated
2.30for each purpose. The figures "2008" and "2009" used in this article mean that the
2.31appropriations listed under them are available for the fiscal year ending June 30, 2008, or
2.32June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
2.33year 2009. "The biennium" is fiscal years 2008 and 2009.
| 2.34 |
APPROPRIATIONS |
||||||
| 2.35 |
Available for the Year |
||||||
| 2.36 |
Ending June 30 |
||||||
| 2.37 |
2008 |
2009 |
|||||
| 3.1 3.2 |
Sec. 3. MINNESOTA OFFICE OF HIGHER EDUCATION |
||||||
| 3.3 |
Subdivision 1.Total Appropriation |
$ |
189,079,000 |
$ |
189,140,000 |
||
3.5purpose are specified in the following
3.6subdivisions.
| 3.7 |
Subd. 2.State Grants |
150,762,000 |
150,510,000 |
||||
3.9either year is insufficient, the appropriation
3.10for the other year is available for it.
3.11For the biennium, the tuition maximum for
3.12students in four-year programs is $9,838 in
3.13each year for students in four-year programs,
3.14and for students in two-year programs, is
3.15$6,114 in the first year and $5,808 in the
3.16second year.
3.17This appropriation sets the living and
3.18miscellaneous expense allowance at $5,900
3.19each year.
| 3.20 |
Subd. 3.Safety Officers Survivors |
100,000 |
100,000 |
||||
3.22benefits under Minnesota Statutes, section
3.23299A.45, to dependent children under age 23
3.24and to the spouses of public safety officers
3.25killed in the line of duty.
3.26If the appropriation in this subdivision for
3.27either year is insufficient, the appropriation
3.28for the other year is available for it.
| 3.29 |
Subd. 4.Interstate Tuition Reciprocity |
2,000,000 |
2,000,000 |
||||
3.31either year is insufficient, the appropriation
3.32for the other year is available to meet
3.33reciprocity contract obligations.
| 4.1 |
Subd. 5.State Work Study |
12,444,000 |
12,444,000 |
||||
| 4.2 |
Subd. 6.Child Care Grants |
6,184,000 |
6,184,000 |
||||
| 4.3 |
Subd. 7.Minitex |
5,631,000 |
5,631,000 |
||||
| 4.4 |
Subd. 8.MnLINK Gateway |
400,000 |
400,000 |
||||
| 4.5 |
Subd. 9.Learning Network of Minnesota |
4,800,000 |
4,800,000 |
||||
| 4.6 |
Subd. 10.Minnesota College Savings Plan |
1,020,000 |
1,020,000 |
||||
| 4.7 |
Subd. 11.Midwest Higher Education Compact |
90,000 |
90,000 |
||||
| 4.8 4.9 |
Subd. 12.Intervention for College Attendance Program Grants |
624,000 |
624,000 |
||||
4.11each year may be used for administrative
4.12expenses for the program under Minnesota
4.13Statutes, section
| 4.14 |
Subd. 13.Achieve Scholarship Program |
400,000 |
935,000 |
||||
4.16year 2008 and $200,000 in fiscal year
4.172009 are for transfer to the University of
4.18Minnesota and $200,000 in fiscal year 2008
4.19and $200,000 in fiscal year 2009 are for
4.20transfer to the Minnesota State Colleges
4.21and Universities to provide courses under
4.22Minnesota Statutes, section 124D.09,
4.23subdivision 10, to high school students living
4.24in remote and underserved areas where
4.25the school district lacks the resources to
4.26provide academically rigorous educational
4.27opportunities, such as Advanced Placement
4.28and International Baccalaureate programs.
4.29Courses may be delivered by a high school
4.30or postsecondary faculty member, online, or
4.31through distance education. Students who
4.32successfully complete a course must receive
5.1college credit at no cost to the student. The
5.2office must report to the committees of the
5.3legislature with responsibility for higher
5.4education finance by January 15, 2009, on the
5.5program outcomes with recommendations on
5.6continuing and expanding the program.
5.7(b) Of this amount, $535,000 in fiscal year
5.82009 is for Achieve scholarships under
5.9Minnesota Statutes, section 136A.127. The
5.10funding base for this program is $1,071,000
5.11in fiscal year 2010 and $1,605,000 in fiscal
5.12year 2011. Up to $12,400 of this amount may
5.13be used for administration of the program
5.14in the 2008-2009 biennium. Up to $63,200
5.15in the 2010-2011 biennium may be used for
5.16administration of the program.
| 5.17 |
Subd. 14.Other Programs |
1,500,000 |
1,200,000 |
||||
5.19student and parent information and the get
5.20ready outreach program.
5.21$240,000 each year is for grants to increase
5.22campus-community collaboration and service
5.23learning statewide, including operations of
5.24the Minnesota campus compact, grants to
5.25member institutions and grants for member
5.26institution initiatives. For every $1 in state
5.27funding, grant recipients must contribute $2
5.28in campus or community-based support.
5.29$250,000 in the first year is for a grant to
5.30Augsburg College for the purpose of its
5.31Step UP program to provide educational
5.32opportunities to chemically dependent
5.33students and to work with other public
5.34and private colleges in Minnesota to help
6.1replicate this program. This is a onetime
6.2appropriation.
6.3$100,000 each year must be transferred to
6.4the Loan Repayment Assistance Program,
6.5Inc., for loan repayment assistance awards
6.6to attorneys who enter public interest law to
6.7ensure that low-income and disadvantaged
6.8populations have access to competent legal
6.9counsel.
6.10$50,000 in fiscal year 2008 is for the
6.11Washington Center for Internships and
6.12Academic Seminars for a pilot program
6.13for scholarships for students enrolling in a
6.14Minnesota four-year college or university
6.15beginning in the fall semester of 2007.
6.16The appropriation shall be available only
6.17on a dollar-for-dollar match basis for
6.18funds received from nonstate sources.
6.19The Washington Center for Internships
6.20and Academic Seminars must work with
6.21Minnesota Colleges and Universities to
6.22ensure that the scholarships will go to
6.23economically disadvantaged Minnesota
6.24students, students with demonstrated need of
6.25financial assistance, and students traditionally
6.26underrepresented in higher education, and
6.27will work to ensure racial, ethnic, and gender
6.28diversity, as well as urban/rural balance. This
6.29is a onetime appropriation.
6.30$250,000 each year is for the teacher
6.31education and compensation helps (TEACH)
6.32and the Minnesota early childhood teacher
6.33programs in Minnesota Statutes, section
6.34136A.126.
| 6.35 6.36 |
Subd. 15.United Family Medicine Residency Program |
414,000 |
431,000 |
||||
7.2residency program. This appropriation
7.3shall be used to support up to 18 resident
7.4physicians each year in family practice at
7.5United Family Medicine residency programs
7.6and shall prepare doctors to practice family
7.7care medicine in underserved rural and
7.8urban areas of the state. It is intended that
7.9this program will improve health care in
7.10underserved communities, provide affordable
7.11access to appropriate medical care, and
7.12manage the treatment of patients in a more
7.13cost-effective manner. The funding base for
7.14this program is $448,000 in fiscal year 2010
7.15and $467,000 in fiscal year 2011.
| 7.16 |
Subd. 16.Agency Administration |
2,710,000 |
2,771,000 |
||||
| 7.17 |
Subd. 17.Balances Forward |
||||||
7.19does not cancel, but is available for the
7.20second year.
| 7.21 |
Subd. 18.Transfers |
||||||
7.23may transfer unencumbered balances from
7.24the appropriations in this section to the state
7.25grant appropriation, the interstate tuition
7.26reciprocity appropriation, the child care
7.27grant appropriation, the state work study
7.28appropriation, the public safety officers'
7.29survivors appropriation, and the Minnesota
7.30college savings plan appropriation. Transfers
7.31from the child care or state work study
7.32appropriations may only be made to the
7.33extent there is a projected surplus in the
7.34appropriation. A transfer may be made
7.35only with the prior written approval of the
8.1commissioner of finance and prior written
8.2notice to the chairs of the senate and house
8.3committees with jurisdiction over higher
8.4education finance.
| 8.5 |
Subd. 19.TANF Work Study |
||||||
8.7work study jobs funded by a TANF
8.8appropriation do not require employer
8.9matching funds.
| 8.10 8.11 8.12 |
Sec. 4. BOARD OF TRUSTEES OF THE MINNESOTA STATE COLLEGES AND UNIVERSITIES |
||||||
| 8.13 |
Subdivision 1. Total Appropriation |
$ |
665,952,000 |
$ |
690,228,000 |
||
8.15purpose are specified in the following
8.16subdivisions.
| 8.17 |
Subd. 2.General Appropriation |
665,952,000 |
690,228,000 |
||||
8.19increase in each year for Cook County
8.20Higher Education to provide educational
8.21programs and academic support services to
8.22remote regions in northeastern Minnesota.
8.23Cook County Higher Education must
8.24continue to provide information to the Board
8.25of Trustees of the Minnesota State Colleges
8.26and Universities on the number of students
8.27served, credit hours delivered, and services
8.28provided to students.
8.29This appropriation includes funding
8.30for operation and maintenance of the
8.31system, including technology infrastructure
8.32improvements to deliver more online
8.33programs and services to students; and
8.34funding for initiatives to recruit and retain
9.1students traditionally underrepresented in
9.2higher education to help prepare students
9.3for college, encourage their enrollment, and
9.4provide services that enable them to continue
9.5successfully to graduation.
9.6If the Board of Trustees decides to implement
9.7other "Strategic Advancements" initiatives,
9.8funding must be from internal reallocation of
9.9existing resources or enhanced productivity.
9.10It is the expectation of the legislature that the
9.11board will hold tuition increases to no more
9.12than four percent per year for fiscal years
9.132008 and 2009.
9.14One percent of the appropriation in this
9.15subdivision is available after the board
9.16demonstrates to the commissioner of finance
9.17that the Minnesota State Colleges and
9.18Universities system has achieved at least
9.19three of the following five goals:
9.20(1) increase by at least three percent,
9.21compared to fiscal year 2005, the number of
9.22students who take college level courses in
9.23science, technology, engineering, and math;
9.24(2) increase by at least two percent, compared
9.25to fiscal year 2005, enrollment in courses
9.26at the four existing center of excellence
9.27programs;
9.28(3) increase by at least 700, compared to
9.29fiscal year 2007, the number of students
9.30trained on the use of electronic medical
9.31record technology;
9.32(4) increase by at least ten percent, compared
9.33to fiscal year 2007, the number of students
9.34taking online courses or the number of online
9.35courses offered; and
10.1(5) expand by at least ten percent, compared
10.2to calendar year 2006, the use of "awards of
10.3excellence" or other initiatives that reward
10.4member institutions, faculty, administrators,
10.5or staff for innovations designed to advance
10.6excellence and efficiency.
10.7By October 1, 2007, the Board of Trustees
10.8and the Office of Higher Education must
10.9agree on specific numerical indicators and
10.10definitions for each of the five goals that will
10.11be used to demonstrate the Minnesota State
10.12Colleges and Universities' attainment of each
10.13goal.
10.14On or before April 1, 2008, the Board
10.15of Trustees must report to the legislative
10.16committees with primary jurisdiction over
10.17higher education finance and policy the
10.18progress of the Minnesota State Colleges and
10.19Universities toward attaining the goals.
10.20This appropriation includes funding to
10.21eliminate nonresident undergraduate tuition
10.22at Century College, Saint Paul College,
10.23Minneapolis Community and Technical
10.24College, Rochester Community and
10.25Technical College, Inver Hills Community
10.26College, St. Cloud Technical College,
10.27and Normandale Community College. In
10.28addition, the Board of Trustees must not
10.29implement a nonresident undergraduate
10.30tuition rate at a community college, technical
10.31college, or consolidated community and
10.32technical college that does not have such a
10.33rate as of May 1, 2007, except for a student
10.34who is a resident of a state that has entered
10.35into a reciprocity agreement under Minnesota
11.1Statutes, section 136A.08. This paragraph
11.2expires June 30, 2009.
11.3This appropriation includes funding
11.4to identify and improve on practices
11.5for selecting and purchasing textbooks
11.6and course materials that are used by
11.7students. The board, in collaboration with
11.8the Minnesota State University Student
11.9Association (MSUSA) and the Minnesota
11.10State College Student Association (MSCSA)
11.11must develop and implement pilot projects
11.12with this appropriation to address the
11.13financial burden that textbook prices and
11.14requirements place on students. These
11.15projects may include textbook rental
11.16programs, cooperative purchasing efforts,
11.17training, and education and awareness
11.18programs for students and faculty on cost
11.19considerations and textbook options. The
11.20student associations must be fully involved in
11.21the development and implementation of any
11.22project using this appropriation. The board
11.23must report, with input from MSUSA and
11.24MSCSA, to the committees of the legislature
11.25responsible for higher education finance by
11.26February 15, 2009, on the success of the pilot
11.27projects. This money is available until June
11.2830, 2009.
11.29This appropriation includes funding for
11.30community-based energy development
11.31pilot projects at Mesabi Range Technical
11.32and Community College, the Minnesota
11.33West Community and Technical College,
11.34Riverland Community College, and Inver
11.35Hills Community College. Inver Hills
11.36Community College must partner with
12.1the city of Inver Grove Heights on a
12.2community-based pilot project and each
12.3of the other campuses must establish
12.4partnerships for community-based energy
12.5development pilot projects that involve
12.6students and faculty. An allocation for the
12.7pilot project is available to the participating
12.8institutions and the partnerships for the
12.9biennium ending June 30, 2009.
12.10This appropriation includes funding for a
12.11modular clean-room research and training
12.12facility at St. Paul College. This is a onetime
12.13appropriation and is available until expended.
12.14This appropriation includes funding for a
12.15pilot project with the Northeast Minnesota
12.16Higher Education District and high schools
12.17in its area. Up to one-half of the first year's
12.18appropriation may be used to purchase
12.19equipment that is necessary to reestablish
12.20a technical education curriculum in the
12.21area high schools to provide the students
12.22with the technical skills necessary for the
12.23workforce. Students from area high schools
12.24may also access the facilities and faculty of
12.25the Northeast Minnesota Higher Education
12.26District for state-of-the-art technical
12.27education opportunities, including MnSCU's
12.282+2 Pathways initiative.
12.29This appropriation includes funding for St.
12.30Paul College to collaborate with the United
12.31Auto Workers Local 879 to purchase a Ford
12.32Ranger pickup truck to retrofit to run on a
12.33battery-powered motor. This vehicle must
12.34be retrofitted to serve as a prototype that
12.35could be mass-produced at the St. Paul
13.1Ford assembly plant. This is a onetime
13.2appropriation.
13.3This appropriation includes funding for a
13.4grant to a Minnesota public postsecondary
13.5institution with a total student enrollment
13.6under 7,000 students, that has an existing
13.7women's hockey team competing in
13.8Division I in the Western Collegiate Hockey
13.9Association. The institution may use the
13.10grant for equipment, facility improvements,
13.11travel and compensation for coaches,
13.12trainers, and other necessary personnel. This
13.13is a onetime appropriation.
13.14This appropriation includes funding for a
13.15study of student demand and employer needs
13.16for higher education in the Mesabi Range
13.17region of northeastern Minnesota including
13.18the cities of Grand Rapids through Eveleth
13.19to Ely. The board must contract for the
13.20study which must be done in cooperation
13.21with the Board of Regents of the University
13.22of Minnesota, the University of Minnesota,
13.23Duluth, and the Range Association of
13.24Municipalities and Schools, which must act
13.25as the lead agency in coordinating the study.
13.26The study must specify how the identified
13.27regional educational needs can be met by the
13.28University of Minnesota, by the Minnesota
13.29State Colleges and Universities, or through
13.30degree programs offered jointly. The final
13.31report must be submitted to the committees
13.32of the legislature responsible for higher
13.33education finance by January 15, 2008, with
13.34recommendations and plans for the region.
14.1This appropriation includes funding for a
14.2project to establish a center at the Mesabi
14.3Range Community and Technical College in
14.4cooperation with the Iron Range Resources
14.5and Rehabilitation Board (IRRRB) to
14.6enhance the use of eFolio Minnesota by
14.7providing on-site and Internet-based support
14.8and technical assistance to eFolio users to
14.9promote workforce development and access
14.10to workforce information generated through
14.11the eFolio Minnesota system. The board
14.12must enhance the eFolio Minnesota system
14.13as necessary to serve these purposes and
14.14report annually to the legislative committees
14.15responsible for higher education finance on
14.16the outcomes of the center's activities.
14.17Any amounts in the base budget allocated
14.18to pay competitive compensation under
14.19Laws 2005, chapter 107, article 1, section 3,
14.20subdivision 2, may also be used to recruit or
14.21retain quality faculty.
| 14.22 |
Subd. 3.Board Policies |
||||||
14.24students to add the cost of textbooks and
14.25required course materials purchased at a
14.26campus bookstore, owned by or operated
14.27under a contract with the campus, to the
14.28existing waivers or payment plans for tuition
14.29and fees.
14.30(b) By January 1, 2009, the board must adopt
14.31a policy setting the maximum number of
14.32semester credits required for a baccalaureate
14.33degree at 120 semester credits or the
14.34equivalent and the number of semester
14.35credits required for an associate degree at
15.160 semester credits or the equivalent. The
15.2board policy may provide for a process
15.3for granting waivers for specific degree
15.4programs in which industry or professional
15.5accreditation standards require a greater
15.6number of semester credits.
| 15.7 15.8 |
Sec. 5. BOARD OF REGENTS OF THE UNIVERSITY OF MINNESOTA |
||||||
| 15.9 |
Subdivision 1.Total Appropriation |
$ |
712,672,000 |
$ |
706,299,000 |
||
| 15.10 |
Appropriations by Fund |
||
| 15.11 |
2008 |
2009 |
|
| 15.12 |
General |
710,515,000 |
704,142,000 |
| 15.13 |
Health Care Access |
2,157,000 |
2,157,000 |
15.15purpose are specified in the following
15.16subdivisions.
| 15.17 |
Subd. 2.Operations and Maintenance |
619,127,000 |
638,754,000 |
||||
15.19operation and maintenance of the system
15.20including amounts to advance the University
15.21of Minnesota's efforts to sustain quality
15.22and competitiveness; and funding for the
15.23"Advancing Education" initiatives including
15.24an Ojibwe Indian language program on the
15.25Duluth campus.
15.26This appropriation includes funding to
15.27establish banded tuition at the Morris,
15.28Crookston, and Duluth campuses to reduce
15.29tuition costs for students.
15.30This appropriation includes funding for
15.31scholarships for undergraduate Minnesota
15.32resident students with family income under
15.33$150,000 per year. This appropriation must
15.34be matched with $1.50 of nonstate money for
15.35each $1 of state money.
16.1This appropriation includes funding for the
16.2Center for Transportation Studies to complete
16.3a study to assess public policy options for
16.4reducing the volume of greenhouse gases
16.5emitted from the transportation sector in
16.6Minnesota. The Center for Transportation
16.7Studies must report its preliminary findings
16.8to the legislature by February 1, 2008, and
16.9must issue its full report by June 1, 2008.
16.10This is a onetime appropriation.
16.11This appropriation includes funding to
16.12establish an India Center to improve and
16.13promote relations with India and Southeast
16.14Asia. The center must partner with public
16.15and private organizations in Minnesota to:
16.16(1) foster an understanding of the history,
16.17culture, and values of India;
16.18(2) serve as a resource and catalyst to
16.19promote economic, governmental, and
16.20academic pursuits involving India; and
16.21(3) facilitate educational and business
16.22exchanges and partnerships, collaborative
16.23research, and teaching and training activities
16.24for Minnesota students and teachers.
16.25The Board of Regents may establish an
16.26advisory council to facilitate the mission
16.27and objectives of the India Center and must
16.28report on the progress of the India Center
16.29by February 15, 2008, to the governor
16.30and chairs of the legislative committees
16.31responsible for higher education finance.
16.32This appropriation must be matched by an
16.33equal amount of nonstate money. This is a
16.34onetime appropriation.
17.1This appropriation includes funding to assist
17.2in the formation of the neighborhood alliance
17.3and for projects identified in section 10. The
17.4alliance, the Board of Regents, and the city of
17.5Minneapolis may cooperate on the projects
17.6and may use public services of other entities
17.7to complete all or a portion of a project. This
17.8is a onetime appropriation.
17.9This appropriation includes funding to
17.10establish a Dakota language teacher training
17.11immersion program on the Twin Cities
17.12campus to prepare teachers to teach in
17.13Dakota language immersion programs.
17.14One percent of the appropriation in this
17.15subdivision is available when the Board
17.16of Regents of the University of Minnesota
17.17demonstrates to the commissioner of finance
17.18that the board has met at least three of the
17.19five following performance goals:
17.20(1) increase financial support to pay the cost
17.21of attendance for students demonstrating
17.22financial need;
17.23(2) maintain or improve the University of
17.24Minnesota's rank in its national share of
17.25total research and development expenditures
17.26reported to the National Science Foundation
17.27over the 2007 ranking;
17.28(3) increase by at least five percent, compared
17.29to fiscal year 2007, the number of degrees
17.30awarded in science, technology, engineering,
17.31mathematics, and health sciences disciplines;
17.32(4) increase by at least five percent, compared
17.33to fiscal year 2007, the amount of financial
17.34support from key funding sources for
17.35renewable energy research; and
18.1(5) increase and improve interaction and
18.2research activity beneficial to business and
18.3industry.
18.4By October 1, 2007, the Board of Regents
18.5and the Office of Higher Education must
18.6agree on specific numerical indicators and
18.7definitions for each of the five goals that will
18.8be used to demonstrate the University of
18.9Minnesota's attainment of each goal.
18.10On or before April 1, 2008, the Board
18.11of Regents must report to the legislative
18.12committees with primary jurisdiction over
18.13higher education finance and policy the
18.14progress of the University of Minnesota
18.15toward attaining the goals.
| 18.16 |
Subd. 3.Primary Care Education Initiatives |
2,157,000 |
2,157,000 |
||||
18.18access fund.
| 18.19 |
Subd. 4.Special Appropriations |
||||||
| 18.20 |
(a) Agriculture and Extension Service |
53,175,000 |
52,175,000 |
||||
18.22Station, Minnesota Extension Service. This
18.23appropriation includes additional funding
18.24to promote alternative livestock research
18.25and outreach, and for an ongoing organic
18.26research and education program.
18.27(2) This appropriation includes funding
18.28for research efforts that demonstrate a
18.29renewed emphasis on the needs of the state's
18.30production agriculture community and a
18.31continued focus on renewable energy derived
18.32from Minnesota biomass resources including
18.33agronomic crops, plant and animal wastes,
18.34and native plants or trees, with priority for
19.1extending the Minnesota vegetable growing
19.2season; fertilizer and soil fertility research
19.3and development; treating and curing human
19.4diseases utilizing plant and livestock cells;
19.5using biofuel production coproducts as
19.6feed for livestock; and a rapid agricultural
19.7response fund for current or emerging
19.8animal, plant, and insect problems affecting
19.9production or food safety. In addition, the
19.10appropriation may be used to secure a facility
19.11and retain current faculty levels for poultry
19.12research currently conducted at UMore Park.
19.13(3) In the area of renewable energy, priority
19.14should be given to projects pertaining to:
19.15biofuel and other energy production from
19.16small grains; alternative bioenergy crops and
19.17cropping systems; and growing, harvesting,
19.18and transporting biomass plant material.
19.19(4) This appropriation includes funding for
19.20the college of food, agricultural, and natural
19.21resources sciences to establish and maintain
19.22a statewide organic research and education
19.23initiative to provide leadership for organic
19.24agronomic, horticultural, livestock, and food
19.25systems research, education, and outreach
19.26and for the purchase of state-of-the-art
19.27laboratory, planting, tilling, harvesting, and
19.28processing equipment necessary for this
19.29project.
19.30(5) By February 1, 2009, the Board
19.31of Regents must report to the legislative
19.32committees with responsibility for agriculture
19.33and higher education finance on the research
19.34and initiatives under this paragraph.
20.1(6) The base appropriation is $52,175,000
20.2each year of the biennium ending June 30,
20.32011.
20.4(7) The Board of Regents of the University
20.5of Minnesota is requested to refrain from
20.6implementing corresponding reductions in
20.7funding for the purposes for which additional
20.8funding is provided.
| 20.9 |
(b) Health Sciences |
5,275,000 |
5,275,000 |
||||
20.11resident physicians each year in the St.
20.12Cloud Hospital family practice residency
20.13program. The program must prepare doctors
20.14to practice primary care medicine in the rural
20.15areas of the state. The legislature intends
20.16this program to improve health care in rural
20.17communities, provide affordable access to
20.18appropriate medical care, and manage the
20.19treatment of patients in a more cost-effective
20.20manner.
20.21The remainder of this appropriation is for
20.22the rural physicians associates program, the
20.23Veterinary Diagnostic Laboratory, health
20.24sciences research, dental care, and the
20.25Biomedical Engineering Center.
| 20.26 |
(c) Institute of Technology |
1,387,000 |
1,387,000 |
||||
20.28youth mathematics program.
| 20.29 |
(d) System Specials |
6,551,000 |
6,551,000 |
||||
20.31money, industrial relations education, Natural
20.32Resources Research Institute, Center for
20.33Urban and Regional Affairs, Bell Museum of
20.34Natural History, and the Humphrey exhibit.
21.1This appropriation includes additional
21.2funding each year for industrial relations
21.3education. The Board of Regents of the
21.4University of Minnesota is requested to
21.5refrain from implementing corresponding
21.6reductions in funding for this purpose.
| 21.7 21.8 |
Subd. 5.University of Minnesota and Mayo Foundation Partnership |
25,000,000 |
-0- |
||||
21.10collaborative research partnership between
21.11the University of Minnesota and the Mayo
21.12Foundation for research in biotechnology
21.13and medical genomics. For fiscal years 2010
21.14and 2011, the base shall be $8,000,000 in
21.15each year. This appropriation is available
21.16until expended. An annual report on the
21.17expenditure of these funds must be submitted
21.18to the governor and the chairs of the senate
21.19and house committees responsible for higher
21.20education and economic development by
21.21June 30 of each fiscal year.
| 21.22 |
Subd. 6.Academic Health Center |
||||||
21.24Center funding under Minnesota Statutes,
21.25section 297F.10, is $22,250,000 each year.
| 21.26 |
Sec. 6. MAYO CLINIC |
||||||
| 21.27 |
Subdivision 1.Total Appropriation |
$ |
1,202,000 |
$ |
1,250,000 |
||
21.29purpose are specified in the following
21.30subdivisions.
| 21.31 |
Subd. 2.Medical School |
591,000 |
615,000 |
||||
21.33each year for each student who is a resident
21.34of Minnesota. The appropriation may be
22.1transferred between years of the biennium to
22.2accommodate enrollment fluctuations. The
22.3funding base for this program is $640,000 in
22.4fiscal year 2010 and $665,000 in fiscal year
22.52011.
22.6It is intended that during the biennium the
22.7Mayo Clinic use the capitation money to
22.8increase the number of doctors practicing in
22.9rural areas in need of doctors.
| 22.10 22.11 |
Subd. 3.Family Practice and Graduate Residency Program |
611,000 |
635,000 |
||||
22.13support for up to 27 residents each year. The
22.14funding base for this program is $660,000 in
22.15fiscal year 2010 and $686,000 in fiscal year
22.162011.
| 22.17 22.18 |
Sec. 7. DEPARTMENT OF VETERANS AFFAIRS. |
$ |
6,000,000 |
$ |
6,000,000 |
||
22.20spouses and children of veterans as provided
22.21under Minnesota Statutes, section 197.791.
22.22If the appropriation in this subdivision for
22.23either year is insufficient, the appropriation
22.24for the other year is available for it.
22.25Of this appropriation, no more than three
22.26percent each year may be used for the
22.27administrative costs of operating this
22.28program.
22.29 Sec. 8. FINANCIAL AID PROGRAM STUDIES.
22.30 Subdivision 1. State grant. The Minnesota Office of Higher Education must
22.31conduct an analysis and evaluation of the state grant program to provide information
22.32to the legislature concerning the role of the program in promoting affordable access to
22.33higher education in Minnesota, including promoting access for students traditionally
22.34underrepresented in higher education. The analysis and evaluation must include:
23.1 (1) evaluation of the assigned student share compared to the current and future
23.2income of a student, and analysis of the number of hours a student must work to meet the
23.3assigned student share without borrowing;
23.4 (2) evaluation of the assigned family contribution, how it is determined under the
23.5federal needs analysis, and how it compares to expectations of families in other public
23.6programs;
23.7 (3) analysis of the ways that students and families pay the assigned student share and
23.8the assigned family contribution;
23.9 (4) analysis of the recognized cost of attendance compared to actual attendance
23.10costs and the ability of individuals and families at various income levels in Minnesota to
23.11pay the cost of attendance;
23.12 (5) analysis of the actual living and miscellaneous expenses of students, with
23.13particular attention to differences between traditional and nontraditional students, and
23.14comparison to the amount currently used in the state grant formula; and
23.15 (6) analysis of other parameters of the program considered relevant by the office,
23.16including prorating the state grant amount instead of the budget for the cost of attendance
23.17and changing the definition of full-time enrollment.
23.18Whenever possible, the analysis must include:
23.19 (i) cost estimates and information on how recommended changes affect students at
23.20various income levels and at different higher education institutions in Minnesota; and
23.21 (ii) the distributional effects, by income quintile, of state grant program parameters
23.22on students and families.
23.23The office also shall assess the feasibility of expanding the eligibility for state grants to
23.24include graduate and first professional students pursuing degree programs deemed to be
23.25important to the workforce needs of the state. By February 15, 2008, the Minnesota
23.26Office of Higher Education must report its preliminary findings and recommendations to
23.27the committees in the house of representatives and senate with primary jurisdiction over
23.28higher education policy and finance and workforce development on options to enhance
23.29the targeting of financial aid to state grant recipients, with the final report submitted by
23.30October 1, 2008.
23.31 Subd. 2. Workforce needs. The Minnesota Office of Higher Education must
23.32examine existing financial aid programs that provide loans and grants to students, and the
23.33needs of the workforce for occupations that are currently in demand or are projected to
23.34be in demand in the future and:
23.35 (1) evaluate how effective the financial aid programs are in linking the needs of the
23.36workforce with the student's financial aid needs;
24.1 (2) identify financial aid program options, including loan forgiveness and loan
24.2repayment programs, that provide incentives to students to pursue degrees in occupations:
24.3 (i) with identified unmet workforce needs like speech pathologists; and
24.4 (ii) of social or economic importance to the state; and
24.5 (3) identify mechanisms, such as additional resources, to promote the growth of
24.6occupations of social or economic importance to the state. By February 15, 2008, the office
24.7must report its preliminary findings to the legislative committees with primary jurisdiction
24.8over higher education policy and finance and workforce development, and provide options
24.9and recommendations on ways to enhance the delivery of financial aid to meet the needs of
24.10both students and the state's workforce, with the final report submitted by October 1, 2008.
24.11 Sec. 9. POSTSECONDARY EDUCATION PARTICIPATION STUDY.
24.12 The Minnesota Office of Higher Education shall, by January 15, 2008, report to the
24.13house and senate committees with jurisdiction over higher education policy and finance
24.14on participation in postsecondary education by income, and persistence and graduation
24.15rates of state grant recipients compared to students who did not receive state grants. The
24.16Minnesota Office of Higher Education is authorized to match individual student data from
24.17the student record enrollment database with individual student data from the state grant
24.18database on data elements necessary to perform the study.
24.19 Sec. 10. UNIVERSITY OF MINNESOTA MINNEAPOLIS AREA
24.20NEIGHBORHOOD ALLIANCE.
24.21 Subdivision 1. Definitions. (a) For purposes of this section, the following terms
24.22have the meanings given them.
24.23 (b) "Alliance" means a representative body of the constituencies, including, but
24.24not limited to, the University of Minnesota, the city of Minneapolis, and the recognized
24.25neighborhood organizations and business associations referenced in the report.
24.26 (c) "Board" means the Board of Regents of the University of Minnesota.
24.27 (d) "Report" means the report and appendix entitled Moving Forward Together:
24.28University of Minnesota Minneapolis Area Neighborhood Impact Report, submitted to
24.29the legislature in February 2007.
24.30 (e) "University partnership district" or "district" means the area located within the
24.31city that includes the neighborhoods of Cedar-Riverside, Marcy-Holmes, South East
24.32Como, Prospect Park, and University, as they are defined by the city, and the university's
24.33Minneapolis campus.
25.1 (f) "Tier two impact zone" means the neighborhoods of northeast Minneapolis that
25.2house significant numbers of university students and staff. Transportation and housing
25.3policy analysis and planning must include these areas but they must not be included in
25.4the projects funded through the alliance.
25.5 (g) "University" means the University of Minnesota.
25.6 Subd. 2. Alliance; functions. The alliance may facilitate, initiate, or manage
25.7projects with the board, city, or other public or private entities that are intended to
25.8maintain the university partnership district as a viable place to study, research, and live.
25.9Projects may include, but are not limited to, those outlined in the report, as well as
25.10efforts to involve students in activities to maintain and improve the university partnership
25.11district; cooperative university and university partnership district long-term planning; and
25.12incentives to increase homeownership within the district with particular emphasis on
25.13employees of the university and of other major employers located within the district.
25.14 Subd. 3. Report. The board must report to the legislature by January 15, 2009, on
25.15the expenditure of funds appropriated under section 3.
25.18 Section 1. Minnesota Statutes 2006, section 13.322, subdivision 3, is amended to read:
25.19 Subd. 3. Minnesota Office of Higher Education. (a) General. Data sharing
25.20involving the Minnesota Office of Higher Education and other institutions is governed
25.21by
25.22 (b) Student financial aid. Data collected and used by the Minnesota Office of
25.23Higher Education on applicants for financial assistance are classified under section
25.25 (c) Minnesota college savings plan data. Account owner data, account data, and
25.26data on beneficiaries of accounts under the Minnesota college savings plan are classified
25.27under section
25.28 (d) School financial records. Financial records submitted by schools registering
25.29with the Minnesota Office of Higher Education are classified under section
25.30 (e) Enrollment and financial aid data. Data collected from eligible institutions on
25.31student enrollment and federal and state financial aid are governed by sections 136A.121,
25.32subdivision 18, and 136A.1701, subdivision 11.
25.33 Sec. 2. Minnesota Statutes 2006, section 41D.01, subdivision 1, is amended to read:
26.1 Subdivision 1. Establishment; membership. (a) The Minnesota Agriculture
26.2Education Leadership Council is established. The council is composed of
26.3as follows:
26.4 (1) the chair of the University of Minnesota agricultural education program;
26.5 (2) a representative of the commissioner of education;
26.6 (3) a representative of the Minnesota State Colleges and Universities recommended
26.7by the chancellor;
26.8 (4) the president and the president-elect of the Minnesota Association of Agriculture
26.9Educators;
26.10 (5) a representative of the Future Farmers of America Foundation;
26.11 (6) a representative of the commissioner of agriculture;
26.12 (7) the dean of the College of Agriculture, Food, and Environmental Sciences at the
26.13University of Minnesota;
26.14 (8) a representative of the Minnesota Private Colleges Council;
26.15 (9) two members representing agriculture education and agriculture business
26.16appointed by the governor;
26.17
26.18and Veterans Affairs;
26.19
26.20
26.21General Legislation and Veterans Affairs, and a member of the senate Education
26.22Committee designated by the Subcommittee on Committees of the Committee on Rules
26.23and Administration; and
26.24
26.25member of the house Education Committee designated by the speaker.
26.26 (b) An ex officio member of the council under paragraph (a), clause (1), (4), (7),
26.27
26.28member representing the same constituency.
26.29 Sec. 3. Minnesota Statutes 2006, section 135A.01, is amended to read:
26.30135A.01 FUNDING POLICY.
26.31 It is the policy of the legislature to provide stable funding
26.32
26.33that the state and students share the cost of
26.34The legislature intends to provide at least 67 percent of the
26.35
27.1University of Minnesota, and state general fund appropriations to public postsecondary
27.2institutions. It is also the policy of the legislature that the budgetary process serves to
27.3support high quality public postsecondary education.
27.4 Sec. 4. [135A.011] STATE HIGHER EDUCATION OBJECTIVES.
27.5 Subdivision 1. Statewide objectives. Minnesota's higher education investment
27.6is made in pursuit of the following objectives: (1) to ensure quality by providing a
27.7level of excellence that is competitive on a national and international level, through
27.8high quality teaching, scholarship, and learning in a broad range of arts and sciences,
27.9technical education, and professional fields; (2) to foster student success by enabling
27.10and encouraging students to choose institutions and programs that are best suited for
27.11their talents and abilities, and to provide an educational climate that supports students
27.12in pursuing their goals and aspirations; (3) to promote democratic values and enhance
27.13Minnesota's quality of life by developing understanding and appreciation of a free and
27.14diverse society; (4) to maintain access by providing an opportunity for all Minnesotans,
27.15regardless of personal circumstances, to participate in higher education; and (5) to enhance
27.16the economy by assisting the state in being competitive in the world market, and to prepare
27.17a highly skilled and adaptable workforce that meets Minnesota's opportunities and needs.
27.18 Sec. 5. Minnesota Statutes 2006, section 135A.031, subdivision 1, is amended to read:
27.19 Subdivision 1. Determination of appropriation. The
27.20
27.21
27.22
27.23
27.24by considering the biennial budget documents submitted under section 135A.034,
27.25performance in advancing the objectives under section 135A.011, available resources
27.26according to the state budget forecast, the relative balance between state support for
27.27students and public postsecondary institutions, and other factors the legislature considers
27.28important in determining the level of state appropriations for public postsecondary
27.29education.
27.30 Sec. 6. Minnesota Statutes 2006, section 135A.031, subdivision 7, is amended to read:
27.31 Subd. 7. Reports. (a) Instructional and noninstructional expenditure data and
27.32enrollment data
27.33
28.1This report must include a description of the methodology for determining instructional
28.2and noninstructional expenditures and estimates of inflation in higher education and the
28.3methodology or index used to determine the inflation rate.
28.4 (b) By February 1 of each even-numbered year, the Board of Regents of the
28.5University of Minnesota and the Board of Trustees of the Minnesota State Colleges
28.6and Universities must submit a report to the chairs of the legislative committees with
28.7jurisdiction over higher education policy and finance. The report must describe the
28.8following:
28.9 (1) how state appropriations made to the system in the previous odd-numbered year
28.10were allocated and the methodology used to determine the allocation;
28.11 (2) data describing how the institution reallocated resources to advance the priorities
28.12set forth in the budget submitted under section 135A.034 and the statewide objectives
28.13under section 135A.011. The information must indicate whether instruction and support
28.14programs received a reduction in or additional resources. The total amount reallocated
28.15must be clearly explained;
28.16 (3) the tuition rates and fees established by the governing board in each of the past
28.17ten years and comparison data for peer institutions and national averages;
28.18 (4) data on the number and proportion of students graduating within four, five,
28.19and six years from universities and within three years from colleges as reported in the
28.20integrated postsecondary education data system. These data must be provided for each
28.21institution by race, ethnicity, and gender. Data and information must be submitted that
28.22describe the system's plan and progress toward attaining the goals set forth in the plan
28.23to increase the number and proportion of students that graduate within four, five, or six
28.24years from a university or within three years from a college;
28.25 (5) data on, and the methodology used to measure, the number of students
28.26traditionally underrepresented in higher education enrolled at the system's institutions.
28.27Data and information must be submitted that describe the system's plan and progress
28.28toward attaining the goals set forth in the plan to increase the recruitment, retention, and
28.29timely graduation of students traditionally underrepresented in higher education; and
28.30 (6) data on the revenue received from all sources to support research or workforce
28.31development activities or the system's efforts to license, sell, or otherwise market products,
28.32ideas, technology, and related inventions created in whole or in part by the system. Data
28.33and information must be submitted that describe the system's plan and progress toward
28.34attaining the goals set forth in the plan to increase the revenue received to support research
28.35or workforce development activities or revenue received from the licensing, sale, or other
28.36marketing and technology transfer activities by the system.
29.1 (c) Instructional expenditure and enrollment data shall be submitted by the public
29.2postsecondary systems to the Minnesota Office of Higher Education and the Department of
29.3Finance and included in the biennial budget document. The specific data shall be submitted
29.4only after the director of the Minnesota Office of Higher Education has consulted with a
29.5data advisory task force to determine the need, content, and detail of the information.
29.6 Sec. 7. Minnesota Statutes 2006, section 135A.034, subdivision 1, is amended to read:
29.7 Subdivision 1. Operating budget. The governing boards of the University of
29.8Minnesota, and the Minnesota State Colleges and Universities shall each develop, for
29.9legislative and executive branch acceptance, its highest budget priorities in accordance
29.10with statewide objectives for higher education under section 135A.011.
29.11
29.12
29.13
29.14
29.15 Sec. 8. [135A.135] PERSONAL FINANCIAL MANAGEMENT.
29.16 During initial student registration, each technical college, community college, or
29.17state university shall, and the University of Minnesota is requested to, provide each
29.18student information on personal financial management. Students should understand and
29.19be able to manage personal finances including, but not limited to, the responsible use of
29.20consumer credit. This requirement may be waived for a student who enrolls in a college
29.21course providing similar instruction.
29.22 Sec. 9. [135A.145] SALE OF STUDENT INFORMATION; MARKETING
29.23CREDIT CARDS TO STUDENTS.
29.24 Subdivision 1. Prohibited practices. No public or private postsecondary
29.25educational institution, including its agents, employees, student or alumni organizations,
29.26or affiliates, may:
29.27 (1) sell, give, or otherwise transfer to any card issuer the name, address, telephone
29.28number, or other contact information of an undergraduate student at the postsecondary
29.29educational institution without the student's consent; or
29.30 (2) enter into any agreement to market credit cards to undergraduate students at
29.31a postsecondary educational institution.
30.1 For purposes of this section, the terms "credit," "credit card," and "card issuer"
30.2have the meanings given them in the Truth in Lending Act, United States Code, title 15,
30.3section 1602.
30.4 Subd. 2. Violations. The attorney general may seek the penalties and remedies
30.5available under section
30.6EFFECTIVE DATE.This section is effective July 1, 2007, except that it applies to
30.7existing agreements to market credit cards upon the later of the expiration of the original
30.8term of the agreement or the expiration of an extension of the original agreement if the
30.9extension is in effect on July 1, 2007.
30.10 Sec. 10. [135A.25] TEXTBOOK DISCLOSURE, PRICING, AND ACCESS.
30.11 Subdivision 1. Short title. This section may be cited as the Textbook Disclosure,
30.12Pricing, and Access Act.
30.13 Subd. 2. Course material disclosures required. (a) Beginning January 1, 2009,
30.14any publisher that sells or distributes course material for classroom use in a postsecondary
30.15institution must make the following available in an easily accessible manner to faculty,
30.16bookstores, and postsecondary institutions in Minnesota:
30.17 (1) the title, edition, author, and International Standard Book Number (ISBN) or
30.18other easily identifiable information for all course materials;
30.19 (2) the undiscounted price at which the course materials are available to a bookstore;
30.20 (3) the formats, including bundled and unbundled, in which those course materials
30.21are offered and the undiscounted prices of the various components, both sold separately or
30.22packaged together;
30.23 (4) a summary of revisions between current and previous editions of course
30.24materials; and
30.25 (5) the return policy for course material, including any penalties or conditions for
30.26returns.
30.27 (b) Any publisher that sells or distributes course material for classroom use in a
30.28postsecondary institution must make all bundled course material available to bookstores
30.29and postsecondary institutions in an unbundled form, or must provide notice if unbundled
30.30material is not available.
30.31 (c) Disclosure under this section is not required for mass market and trade books that
30.32are not published, marketed, or sold primarily for classroom use in or by postsecondary
30.33institutions.
31.1 (d) Nothing in this section shall be construed to limit any existing academic freedom
31.2or rights of faculty members to determine the most appropriate course material for the
31.3courses they teach.
31.4 Subd. 3. Educational strategies. Public postsecondary institutions must develop
31.5educational materials considering the recommendations in studies by the Minnesota Office
31.6of Higher Education and others and at least annually convene and sponsor meetings
31.7and workshops, and provide educational strategies for faculty, students, administrators,
31.8institutions, and bookstores to inform all interested parties on strategies for reducing the
31.9costs of course materials for students attending postsecondary institutions.
31.10 Subd. 4. Minnesota Office of Higher Education responsibilities. (a) For private
31.11postsecondary institutions, the Minnesota Office of Higher Education must develop
31.12educational materials considering the recommendations by the Minnesota Office of Higher
31.13Education and others and at least annually convene and sponsor meetings and workshops
31.14and provide educational strategies for faculty, students, administrators, institutions, and
31.15bookstores to inform all interested parties on strategies for reducing the costs of course
31.16materials for students attending postsecondary institutions.
31.17 (b) The Minnesota Office of Higher Education must identify methods to compile and
31.18distribute information on publishers that sell or distribute course material for classroom use
31.19in postsecondary institutions in a manner that meets the requirements and complies with
31.20subdivision 2. The Minnesota Office of Higher Education must also evaluate ways to make
31.21this information available for use by students and faculty in postsecondary institutions.
31.22 Subd. 5. Bookstores; course materials. The University of Minnesota and private
31.23colleges are encouraged to comply with the requirements for instructors and bookstores
31.24under section 136F.58, subdivision 2.
31.25 Sec. 11. Minnesota Statutes 2006, section 135A.51, subdivision 2, is amended to read:
31.26 Subd. 2. Senior citizen. "Senior citizen" means a person who has reached 62 years
31.27of age before the beginning of any term, semester or quarter, in which a course of study
31.28is pursued, or a person receiving a railroad retirement annuity who has reached 60 years
31.29of age before the beginning of the term.
31.30 Sec. 12. Minnesota Statutes 2006, section 135A.52, subdivision 1, is amended to read:
31.31 Subdivision 1. Fees and tuition. Except for an administration fee established by the
31.32governing board at a level to recover costs, to be collected only when a course is taken for
31.33credit, a senior citizen who is a legal resident of Minnesota is entitled without payment
31.34of tuition or activity fees to attend courses offered for credit, audit any courses offered
32.1for credit, or enroll in any noncredit courses in any state supported institution of higher
32.2education in Minnesota when space is available after all tuition-paying students have been
32.3accommodated. A senior citizen enrolled under this section must pay any materials,
32.4personal property, or service charges for the course. In addition, a senior citizen who is
32.5enrolled in a course for credit must pay an administrative fee in an amount established
32.6by the governing board of the institution to recover
32.7administrative fee charges to a senior citizen auditing a course. For the purposes of this
32.8section and section
32.9designed and offered specifically and exclusively for senior citizens.
32.10 The provisions of this section and section
32.11designed and offered by the University of Minnesota, and the Minnesota State Colleges
32.12and Universities specifically and exclusively for senior citizens. Senior citizens enrolled
32.13under the provisions of this section and section
32.14institutions in their computation of full-time equivalent students when requesting staff
32.15or appropriations.
32.16 Sec. 13. Minnesota Statutes 2006, section 135A.52, subdivision 2, is amended to read:
32.17 Subd. 2. Term; income of senior citizens. (a) Except under paragraph (b), there
32.18shall be no limit to the number of terms, quarters or semesters a senior citizen may attend
32.19courses, nor income limitation imposed in determining eligibility.
32.20 (b) A senior citizen enrolled in a closed enrollment contract training
32.21
32.22 Sec. 14. [136A.002] DEFINITIONS.
32.23 Subdivision 1. Scope. For purposes of this chapter, the terms defined in this section
32.24have the meanings given them.
32.25 Subd. 2. Office of Higher Education or office. "Office of Higher Education" or
32.26"office" means the Minnesota Office of Higher Education.
32.27 Sec. 15. Minnesota Statutes 2006, section 136A.031, subdivision 5, is amended to read:
32.28 Subd. 5. Expiration. Notwithstanding section
32.29groups established in this section do not expire
32.30 Sec. 16. Minnesota Statutes 2006, section 136A.08, subdivision 7, is amended to read:
33.1 Subd. 7. Reporting. The Minnesota Office of Higher Education must annually,
33.2before the last day in January, submit a report to the committees in the house of
33.3representatives and the senate with responsibility for higher education finance on:
33.4 (1) participation in the tuition reciprocity program by Minnesota students and
33.5students from other states attending Minnesota postsecondary institutions under a
33.6reciprocity agreement;
33.7 (2) reciprocity and resident tuition rates at each institution;
33.8 (3) interstate payments and obligations for each state participating in the tuition
33.9reciprocity program in the prior year
33.10 (4) summary statistics on number of graduates by institution, degree granted, and
33.11year of graduation for reciprocity students who attended Minnesota postsecondary
33.12institutions.
33.13 Sec. 17. Minnesota Statutes 2006, section 136A.101, subdivision 4, is amended to read:
33.14 Subd. 4. Eligible institution. "Eligible institution" means a postsecondary
33.15educational institution located in this state or in a state with which the office has entered
33.16into a higher education reciprocity agreement on state student aid programs that
33.17is operated by this state or the Board of Regents of the University of Minnesota, or (2) is
33.18operated
33.19(i) maintains academic standards substantially equivalent to those of comparable
33.20institutions operated in this state; (ii) is licensed or registered as a postsecondary institution
33.21by the office or another state agency; and (iii) by July 1, 2011, is participating in the federal
33.22Pell Grant program under Title IV of the Higher Education Act of 1965, as amended.
33.23 Sec. 18. Minnesota Statutes 2006, section 136A.101, subdivision 5a, is amended to
33.24read:
33.25 Subd. 5a. Assigned family responsibility. "Assigned family responsibility" means
33.26the amount of a
33.27by a federal need analysis. For dependent students, the assigned family responsibility is
33.2895 percent of the parental contribution. For independent students with dependents other
33.29than a spouse, the assigned family responsibility is 85 percent of the student contribution.
33.30For independent students without dependents other than a spouse, the assigned family
33.31responsibility is
33.32
33.33 Sec. 19. Minnesota Statutes 2006, section 136A.121, subdivision 5, is amended to read:
34.1 Subd. 5. Grant stipends. The grant stipend shall be based on a sharing of
34.2responsibility for covering the recognized cost of attendance by the applicant, the
34.3applicant's family, and the government. The amount of a financial stipend must not
34.4exceed a grant applicant's recognized cost of attendance, as defined in subdivision 6, after
34.5deducting the following:
34.6 (1) the assigned student responsibility of at least
34.7attending the institution of the applicant's choosing;
34.8 (2) the assigned family responsibility as defined in section
34.9 (3) the amount of a federal Pell grant award for which the grant applicant is eligible.
34.10 The minimum financial stipend is $100 per academic year.
34.11 Sec. 20. Minnesota Statutes 2006, section 136A.121, subdivision 7a, is amended to
34.12read:
34.13 Subd. 7a. Surplus appropriation. If the amount appropriated is determined by the
34.14office to be more than sufficient to fund projected grant demand in the second year of the
34.15biennium, the office may increase the living and miscellaneous expense allowance in the
34.16second year of the biennium by up to an amount that retains sufficient appropriations
34.17to fund the projected grant demand. The adjustment may be made one or more times.
34.18In making the determination that there are more than sufficient funds, the office shall
34.19balance the need for sufficient resources to meet the projected demand for grants with the
34.20goal of fully allocating the appropriation for state grants. An increase in the living and
34.21miscellaneous expense allowance under this subdivision does not carry forward into a
34.22subsequent biennium. This subdivision expires June 30,
34.23 Sec. 21. Minnesota Statutes 2006, section 136A.121, is amended by adding a
34.24subdivision to read:
34.25 Subd. 19. Reporting. By November 1 and February 15, the Office of Higher
34.26Education must provide, to the committees of the legislature with jurisdiction over higher
34.27education finance and policy, updated state grant spending projections taking into account
34.28the most current and projected enrollment and tuition and fee information, economic
34.29conditions, and other relevant factors. Before submitting state grant spending projections,
34.30the Office of Higher Education must meet and consult with representatives of public and
34.31private postsecondary institutions, the Department of Finance, the Governor's Office,
34.32legislative staff, and financial aid administrators.
34.33 Sec. 22. Minnesota Statutes 2006, section 136A.125, subdivision 2, is amended to read:
35.1 Subd. 2. Eligible students. (a) An applicant is eligible for a child care grant if
35.2the applicant:
35.3 (1) is a resident of the state of Minnesota;
35.4 (2) has a child 12 years of age or younger, or 14 years of age or younger who is
35.5disabled as defined in section
35.6regular basis from a licensed or legal, nonlicensed caregiver;
35.7 (3) is income eligible as determined by the office's policies and rules, but is not a
35.8recipient of assistance from the Minnesota family investment program;
35.9 (4) has not earned a baccalaureate degree and has been enrolled full time less than
35.10eight semesters or the equivalent;
35.11 (5) is pursuing a nonsectarian program or course of study that applies to an
35.12undergraduate degree, diploma, or certificate;
35.13 (6) is enrolled at least half time in an eligible institution; and
35.14 (7) is in good academic standing and making satisfactory academic progress.
35.15 (b) A student who withdraws from enrollment for active military service is entitled
35.16to an additional semester or the equivalent of grant eligibility and will be considered to be
35.17in continuing enrollment status upon return.
35.18 Sec. 23. Minnesota Statutes 2006, section 136A.125, subdivision 4, is amended to read:
35.19 Subd. 4. Amount and length of grants. The amount of a child care grant must be
35.20based on:
35.21 (1) the income of the applicant and the applicant's spouse;
35.22 (2) the number in the applicant's family, as defined by the office; and
35.23 (3) the number of eligible children in the applicant's family.
35.24 The maximum award to the applicant shall be
35.25per academic year, except that the campus financial aid officer may apply to the office for
35.26approval to increase grants by up to ten percent to compensate for higher market charges
35.27for infant care in a community. The office shall develop policies to determine community
35.28market costs and review institutional requests for compensatory grant increases to ensure
35.29need and equal treatment. The office shall prepare a chart to show the amount of a grant
35.30that will be awarded per child based on the factors in this subdivision. The chart shall
35.31include a range of income and family size.
35.32 Sec. 24. [136A.126] TEACHER EDUCATION AND COMPENSATION HELPS;
35.33MINNESOTA EARLY CHILDHOOD TEACHER EDUCATION INCENTIVE
35.34PROGRAMS.
36.1 Subdivision 1. TEACH. The teacher education and compensation helps program
36.2(TEACH) is established to provide tuition scholarships and education incentives to early
36.3care and education providers. The director shall make a grant with appropriations for this
36.4purpose to a nonprofit organization licensed to administer the TEACH early childhood
36.5program.
36.6 Subd. 2. Program components. (a) The nonprofit organization must use the
36.7grant for:
36.8 (1) tuition scholarships up to $5,000 per year for courses leading to the nationally
36.9recognized child development associate credential or college-level courses leading to an
36.10associate's or bachelor's degree in early childhood development and school-age care; and
36.11 (2) education incentives of a minimum of $100 to participants in the tuition
36.12scholarship program if they complete a year of working in the early care and education
36.13field.
36.14 (b) Applicants for the scholarship must be employed by a licensed early childhood
36.15or child care program and working directly with children, a licensed family child care
36.16provider, or an employee in a school-age program exempt from licensing under section
36.17245A.03, subdivision 2, clause (12). Lower wage earners must be given priority in
36.18awarding the tuition scholarships. Scholarship recipients must contribute ten percent of
36.19the total scholarship and must be sponsored by their employers, who must also contribute
36.20ten percent of the total scholarship. Scholarship recipients who are self-employed must
36.21contribute 20 percent of the total scholarship.
36.22 Subd. 3. Advisory committee. The TEACH early childhood and Minnesota early
36.23childhood teacher education incentive programs may have an advisory board as prescribed
36.24by the national TEACH organization.
36.25 Sec. 25. [136A.127] ACHIEVE SCHOLARSHIP PROGRAM.
36.26 Subdivision 1. Establishment. The Achieve Scholarship Program is established.
36.27 Subd. 2. Definition; qualifying course. For the purposes of this section, a
36.28"qualifying course" means a course that is equivalent to at least one course credit in high
36.29school, as defined in section 120B.024, and that is a rigorous course as determined by
36.30the local school district.
36.31 Subd. 3. Documentation of qualifying courses. At the student's request, the high
36.32school shall provide a transcript to the Office of Higher Education documenting the
36.33qualifying courses the student took. High schools shall certify, on the transcript, which
36.34courses on the transcript are qualifying courses and provide a total number of qualifying
36.35courses for each student.
37.1 Subd. 4. Review panel. The director of the office may appoint a review panel to
37.2monitor the implementation of the Achieve Scholarship Program. The review panel may
37.3assist the director in reviewing a determination by a school district that a high school
37.4course is rigorous. The review panel shall include representatives of public and private
37.5high schools and postsecondary institutions.
37.6 Subd. 5. Student eligibility. To be eligible to receive a scholarship under this
37.7section, a student must:
37.8 (1) take and receive a passing grade for qualifying courses under subdivision 2 in
37.9a Minnesota high school and graduate from high school;
37.10 (2) have total household income that qualifies for free and reduced price meals under
37.11the National School Lunch Program; and
37.12 (3) be a Minnesota resident student as defined in section 136A.101, subdivision 8.
37.13 Subd. 6. Administration. The Achieve Scholarship Program shall be administered
37.14by the Minnesota Office of Higher Education. The director shall develop forms and
37.15procedures necessary to administer the program.
37.16 Subd. 7. Application. A student must complete and submit an application for
37.17the Achieve scholarship.
37.18 Subd. 8. Deadline. The deadline for the office to accept applications for Achieve
37.19scholarships is 30 days after the beginning of the academic term for which the application
37.20is submitted.
37.21 Subd. 9. Documentation of qualifying household income. Achieve Scholarship
37.22Program applicants must certify on the application that they meet the income eligibility
37.23requirement in subdivision 5, clause (2). The Office of Higher Education or the
37.24postsecondary institution may request documentation needed to confirm income eligibility.
37.25 Subd. 10. Scholarships awards. (a) A scholarship under this section may be
37.26awarded in each of the first four years of postsecondary instruction immediately following
37.27graduation from high school. The amount of the scholarship is $250 for each qualifying
37.28course completed at a Minnesota high school. The maximum annual amount of the
37.29scholarship is $1,250 and the maximum lifetime amount for any student is $5,000. The
37.30scholarship may be used to pay qualifying expenses at eligible institutions.
37.31 (b) A student must meet the requirements of section 136A.101, subdivision 10,
37.32for the Achieve scholarship to be renewed.
37.33 Subd. 11. Qualifying expenses. Qualifying expenses are tuition, fees, and other
37.34educational expenses.
38.1 Subd. 12. Eligible institutions. The Achieve scholarship may only be used to
38.2pay qualifying expenses at an eligible institution as defined under section 136A.101,
38.3subdivision 4.
38.4 Subd. 13. Evaluation report. By January 15 of each odd-numbered year, the
38.5Office of Higher Education shall submit a report, to the committees of the legislature with
38.6jurisdiction over higher education finance and policy, regarding the success of the program
38.7in increasing the enrollment of students in rigorous high school courses, including, at a
38.8minimum, the following information:
38.9 (1) a description of the number of individuals participating in the program;
38.10 (2) the courses taken by the program participants;
38.11 (3) the number of credits program participants received for the courses they
38.12completed;
38.13 (4) the high schools attended by the program participants;
38.14 (5) the postsecondary institutions attended by the program participants;
38.15 (6) the academic performance of the students after enrolling in a postsecondary
38.16institution; and
38.17 (7) other information as identified by the director.
38.18EFFECTIVE DATE.This section is effective July 1, 2008.
38.19 Sec. 26. Minnesota Statutes 2006, section 136A.15, subdivision 1, is amended to read:
38.20 Subdivision 1. Scope. For purposes of sections
38.21defined in this section have the meanings
38.22 Sec. 27. Minnesota Statutes 2006, section 136A.15, subdivision 6, is amended to read:
38.23 Subd. 6. Eligible institution. "Eligible institution" means a postsecondary
38.24educational institution that
38.25Regents of the University of Minnesota; (2) is operated publicly or privately in another
38.26state, is approved by the United States Secretary of Education, and, as determined by
38.27the office, maintains academic standards substantially equal to those of comparable
38.28institutions operated in this state; (3) is licensed or registered as a postsecondary institution
38.29by the office or another state agency; and (4) by July 1, 2011, is participating in the federal
38.30Pell Grant program under Title IV of the Higher Education Act of 1965, as amended. It
38.31also includes any institution chartered in a province.
38.32 Sec. 28. Minnesota Statutes 2006, section 136A.16, subdivision 8, is amended to read:
39.1 Subd. 8. Investment. Money made available to the office that is not immediately
39.2needed for the purposes of sections
39.3The money must be invested in bonds, certificates of indebtedness, and other fixed income
39.4securities, except preferred stocks, which are legal investments for the permanent school
39.5fund. The money may also be invested in prime quality commercial paper that is eligible
39.6for investment in the state employees retirement fund. All interest and profits from such
39.7investments inure to the benefit of the office or may be pledged for security of bonds
39.8issued by the office or its
39.9
39.10 Sec. 29. Minnesota Statutes 2006, section 136A.16, is amended by adding a
39.11subdivision to read:
39.12 Subd. 16. Interest rate swaps and other agreements. (a) The office may enter into
39.13interest rate exchange or swap agreements, hedges, forward purchase or sale agreements,
39.14or other comparable interest rate protection agreements with a third party in connection
39.15with the issuance or proposed issuance of bonds, outstanding bonds or notes, or existing
39.16comparable interest rate protection agreements.
39.17 (b) The agreements authorized by this subdivision include without limitation master
39.18agreements, options, or contracts to enter into those agreements in the future and related
39.19agreements, including, without limitation, agreements to provide credit enhancement,
39.20liquidity, or remarketing.
39.21 (c) The agreements authorized by this subdivision may be entered into on the basis
39.22of negotiation with a qualified third party or through a competitive proposal process on
39.23terms and conditions as and with covenants and provisions approved by the office and
39.24may include, without limitation:
39.25 (1) provisions establishing reserves;
39.26 (2) pledging assets or revenues of the office for current or other payments or
39.27termination payments;
39.28 (3) contracting with the other parties to the agreements to provide for the custody,
39.29collection, securement, investment, and payment of money of the office or money held
39.30in trust; or
39.31 (4) requiring the issuance of bonds or other agreements authorized by this section
39.32in the future.
39.33 (d) With respect to bonds or notes outstanding or proposed to be issued bearing
39.34interest at a variable rate, the office may agree to pay sums equal to interest at a fixed rate
39.35or at a different variable rate determined in accordance with a formula set out in the
40.1agreement on an amount not exceeding the outstanding principal amount of the bonds or
40.2notes at the time of payment in exchange for an agreement by the third party to pay sums
40.3equal to interest on a like amount at a variable rate determined according to a formula
40.4set out in the agreement.
40.5 (e) With respect to bonds or notes outstanding or proposed to be issued bearing
40.6interest at a fixed rate or rates, the office may agree to pay sums equal to interest at a
40.7variable rate determined in accordance with a formula set out in the agreement on an
40.8amount not exceeding the outstanding principal amount of the bonds or notes at the time of
40.9payment in exchange for an agreement by the third party to pay sums equal to interest on a
40.10like amount at a fixed rate or rates determined according to a formula set in the agreement.
40.11 (f) Subject to any applicable covenants of the office, payments required to be made
40.12by the office under the agreement, including termination payments, may be made from
40.13amounts pledged or available to pay debt service on the bonds or notes with respect to
40.14which the agreement was made or from assets of the loan capital fund of the office.
40.15The office may issue bonds or notes to provide for any payments, including, without
40.16limitation, a termination payment due or to become due under an agreement authorized
40.17under this section.
40.18 (g) The authority of the office to enter into interest rate protection agreements under
40.19this section is limited to agreements related to bonds and notes with an aggregate value of
40.20no more than $20,000,000.
40.21 Sec. 30. Minnesota Statutes 2006, section 136A.1702, is amended to read:
40.22136A.1702
40.23 The office shall
40.24chairs of the legislative committees with primary jurisdiction over higher education
40.25finance of any proposed material change to any of its student loan programs prior to
40.26
40.27
40.28
40.29
40.30
40.31
40.32
40.33
40.34 Sec. 31. Minnesota Statutes 2006, section 136A.233, subdivision 3, is amended to read:
41.1 Subd. 3. Payments. Work-study payments shall be made to eligible students by
41.2postsecondary institutions as provided in this subdivision.
41.3 (a) Students shall be selected for participation in the program by the postsecondary
41.4institution on the basis of student financial need.
41.5 (b) In selecting students for participation, priority must be given to students enrolled
41.6for at least 12 credits. In each academic year, a student may be awarded work-study
41.7payments for one period of nonenrollment or less than half-time enrollment if the student
41.8will enroll on at least a half-time basis during the following academic term.
41.9 (c) Students will be paid for hours actually worked and the maximum hourly rate
41.10of pay shall not exceed the maximum hourly rate of pay permitted under the federal
41.11college work-study program.
41.12 (d) Minimum pay rates will be determined by an applicable federal or state law.
41.13 (e) The office shall annually establish a minimum percentage rate of student
41.14compensation to be paid by an eligible employer.
41.15 (f) Each postsecondary institution receiving money for state work-study grants
41.16shall make a reasonable effort to place work-study students in employment with eligible
41.17employers outside the institution. However, a public employer other than the institution
41.18may not terminate, lay off, or reduce the working hours of a permanent employee for the
41.19purpose of hiring a work-study student, or replace a permanent employee who is on layoff
41.20from the same or substantially the same job by hiring a work-study student.
41.21 (g) The percent of the institution's work-study allocation provided to graduate
41.22students shall not exceed the percent of graduate student enrollment at the participating
41.23institution.
41.24 (h) An institution may use up to 30 percent of its allocation for student internships
41.25with private, for-profit employers.
41.26 Sec. 32. Minnesota Statutes 2006, section 136A.29, subdivision 9, is amended to read:
41.27 Subd. 9. Revenue bonds; limit. The authority is authorized and empowered
41.28to issue revenue bonds whose aggregate principal amount at any time shall not exceed
41.29
41.30refunding bonds of the authority under the provisions of sections
41.31to provide funds for acquiring, constructing, reconstructing, enlarging, remodeling,
41.32renovating, improving, furnishing, or equipping one or more projects or parts thereof.
41.33 Sec. 33. Minnesota Statutes 2006, section 136A.861, subdivision 1, is amended to read:
42.1 Subdivision 1. Grants. The director of the Minnesota Office of Higher Education
42.2shall award grants to foster postsecondary attendance and retention by providing outreach
42.3services to historically underserved students in grades six through 12 and historically
42.4underrepresented college students. Grants must be awarded to programs that provide
42.5precollege services, including, but not limited to:
42.6 (1) academic counseling;
42.7 (2) mentoring;
42.8 (3) fostering and improving parental involvement in planning for and facilitating a
42.9college education;
42.10 (4) services for students with English as a second language;
42.11 (5) academic enrichment activities;
42.12 (6) tutoring;
42.13 (7) career awareness and exploration;
42.14 (8) orientation to college life;
42.15 (9) assistance with high school course selection and information about college
42.16admission requirements; and
42.17 (10) financial aid counseling.
42.18 Grants shall be awarded to postsecondary institutions, professional organizations,
42.19community-based organizations, or others deemed appropriate by the director.
42.20 Grants shall be awarded for one year and may be renewed for a second year with
42.21documentation to the Minnesota Office of Higher Education of successful program
42.22outcomes.
42.23 Sec. 34. Minnesota Statutes 2006, section 136A.861, subdivision 2, is amended to read:
42.24 Subd. 2. Eligible students. Eligible students include students in grades six through
42.2512 who meet one or more of the following criteria:
42.26 (1) are counted under section 1124(c) of the Elementary and Secondary Education
42.27Act of 1965 (Title I);
42.28 (2) are eligible for free or reduced-price lunch under the National School Lunch Act;
42.29 (3) receive assistance under the Temporary Assistance for Needy Families Law (Title
42.30I of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996); or
42.31 (4) are a member of a group traditionally underrepresented in higher education.
42.32 Eligible undergraduate students include those who met the student eligibility criteria
42.33as 6th through 12th graders.
42.34 Sec. 35. Minnesota Statutes 2006, section 136A.861, subdivision 3, is amended to read:
43.1 Subd. 3. Application process. The director of the Minnesota Office of Higher
43.2Education shall develop a grant application process. The director shall attempt to support
43.3projects in a manner that ensures that eligible students throughout the state have access
43.4to
43.5 The grant application must include, at a minimum, the following information:
43.6 (1) a description of the characteristics of the students to be served reflective of the
43.7need for services listed in subdivision 1;
43.8 (2) a description of the services to be provided and a timeline for implementation of
43.9the activities;
43.10 (3) a description of how the services provided will foster postsecondary attendance
43.11and support postsecondary retention;
43.12 (4) a description of how the services will be evaluated to determine whether the
43.13program goals were met; and
43.14 (5) other information as identified by the director.
43.15Grant recipients must specify both program and student outcome goals, and performance
43.16measures for each goal.
43.17 Sec. 36. Minnesota Statutes 2006, section 136A.861, subdivision 6, is amended to read:
43.18 Subd. 6. Program evaluation. Each grant recipient must annually submit a report
43.19to the Minnesota Office of Higher Education delineating its program and student outcome
43.20goals, and activities implemented to achieve the stated outcomes. The goals must be
43.21clearly stated and measurable. Grant recipients are required to collect, analyze, and report
43.22on participation and outcome data that enable the office to verify that the program goals
43.23were met. The office shall maintain:
43.24 (1) information about successful precollege program and undergraduate student
43.25retention program activities for dissemination to individuals throughout the state interested
43.26in adopting or replicating successful program practices; and
43.27 (2) data on the success of the funded projects in increasing the high school
43.28graduation
43.29by the grant recipients. The office may convene meetings of the grant recipients, as
43.30needed, to discuss issues pertaining to the implementation of precollege services and
43.31undergraduate retention programs.
43.32 Sec. 37. Minnesota Statutes 2006, section 136F.02, subdivision 1, is amended to read:
43.33 Subdivision 1. Membership. The board consists of 15 members appointed by the
43.34governor with the advice and consent of the senate. At least one member of the board
44.1must be a resident of each congressional district. In selecting appointees, the governor
44.2must consider the needs of the Board of Trustees and the balance of the board membership
44.3with respect to labor and business representation and racial, gender, geographic, and ethnic
44.4composition. Three members must be students who are enrolled at least half time in a
44.5degree, diploma, or certificate program or have graduated from an institution governed
44.6by the board within one year of the date of appointment. The student members shall
44.7include: one member from a community college, one member from a state university, and
44.8one member from a technical college. The remaining members must be appointed to
44.9represent the state at large.
44.10 Sec. 38. Minnesota Statutes 2006, section 136F.03, subdivision 3, is amended to read:
44.11 Subd. 3. Duties. (a) The advisory council shall:
44.12 (1) develop a statement of the selection criteria to be applied and a description
44.13of the responsibilities and duties of a member of the board and shall distribute this to
44.14potential candidates; and
44.15 (2) for each position on the board, identify and recruit qualified candidates for the
44.16board, based on the background and experience of the candidates, and their potential for
44.17discharging the responsibilities of a member of the board.
44.18 (b) Selection criteria developed under this section must include the requirement that
44.19trustees represent diversity in geography, gender, race, occupation, and experience.
44.20 (c) Selection criteria developed under this section must also include the identification
44.21of the membership needs of the board for individual skills relevant to the governance
44.22of the Minnesota State Colleges and Universities and the needs for certain individual
44.23characteristics that include geographic location, gender, race, occupation, and experience.
44.24 Sec. 39. Minnesota Statutes 2006, section 136F.03, subdivision 4, is amended to read:
44.25 Subd. 4. Recommendations. Except for seats filled under section 136F.04 , the
44.26advisory council shall recommend at least two and not more than four candidates for
44.27each seat. By April 15 of each even-numbered year, the advisory council shall submit its
44.28recommendations to the governor. The governor is not bound by these recommendations.
44.29 Sec. 40. Minnesota Statutes 2006, section 136F.42, subdivision 1, is amended to read:
44.30 Subdivision 1. Time reporting. As provided in Executive Order 96-2, the board,
44.31in consultation with the commissioners of employee relations and finance, may develop
44.32policies to allow system office or campus employees on salaries, as defined in section
45.1time for which leave is taken.
45.2
45.3
45.4 Sec. 41. Minnesota Statutes 2006, section 136F.58, is amended to read:
45.5136F.58 BOOKSTORES; COURSE MATERIAL ACQUISITION.
45.6 Subdivision 1. Authorization. A state college or university may operate a bookstore
45.7in a state college or university building, or may allocate space in a state college or
45.8university building and permit a person or corporation to operate a bookstore without rent
45.9at the campus' pleasure and on such conditions as the board may impose. The board may
45.10provide insurance, at no cost to the state, for the inventory of a bookstore a state college or
45.11university conducts in its building.
45.12 Subd. 2. Course material. (a) An instructor shall attempt to provide adequate
45.13notice to a bookstore of the intention to order required or recommended course material
45.14so that the bookstore can provide information for the instructor's consideration prior to
45.15placing an order for the course material.
45.16 (b) A bookstore must make reasonable efforts to obtain from publishers or other
45.17sources, prior to the time an instructor requests the bookstore to order course material,
45.18the following information, including, but not limited to:
45.19 (1) the title, edition, author, and International Standard Book Number (ISBN) of
45.20the course material;
45.21 (2) the price for the course material;
45.22 (3) whether the course material is bundled with optional material, whether it can be
45.23unbundled, and the price for each bundled and unbundled component;
45.24 (4) whether the material is available in an alternative format and the cost for the
45.25alternatively formatted material;
45.26 (5) the availability of the course material currently and in the future;
45.27 (6) changes to the course material from the previous edition, the revision date,
45.28availability, and cost for that edition, if available; and
45.29 (7) any known plans for future revisions of the course material.
45.30 (c) An instructor ordering course material through a bookstore shall consider the
45.31information received from the bookstore prior to placing the final order.
45.32 Subd. 3. Notice to purchase. (a) An instructor shall make reasonable efforts to
45.33notify a bookstore of the final order for required and recommended course material at least
45.3430 days prior to the commencement of the term.
46.1 (b) The bookstore must make reasonable efforts to notify students of the following
46.2information concerning the required and recommended course material at least 15 days
46.3prior to the commencement of the term for which the course material is required including,
46.4but not limited to:
46.5 (1) the title, edition, author, and International Standard Book Number (ISBN) of
46.6the course material;
46.7 (2) the price for the course material;
46.8 (3) whether the required course material is bundled with optional material, whether
46.9it can be unbundled, and the price for each bundled and unbundled component; and
46.10 (4) whether the material is available in an alternative format and the cost for the
46.11alternatively formatted material.
46.12 Subd. 4. System responsibility. The board shall, to the extent it considers
46.13necessary, adopt uniform forms for bookstores to request information under subdivision 2.
46.14The board shall encourage faculty to utilize the information received under subdivision 2
46.15to achieve the lowest cost to students for course materials consistent with the academic
46.16freedom and choice of the faculty member.
46.17 Sec. 42. Minnesota Statutes 2006, section 136F.71, subdivision 2, is amended to read:
46.18 Subd. 2. Activity funds. All receipts attributable to the state colleges and
46.19universities activity funds
46.20and are not subject to budgetary control as exercised by the commissioner of finance.
46.21 Sec. 43. Minnesota Statutes 2006, section 136F.71, is amended by adding a subdivision
46.22to read:
46.23 Subd. 4. Banking services. Notwithstanding section 16A.27, the board shall
46.24have authority to control the amount and manner of deposit of all receipts described in
46.25this section in depositories selected by the board. The board's authority shall include
46.26specifying the considerations, financial activities, and conditions required from the
46.27depository, including the requirement of collateral security or a corporate surety bond
46.28as described in section 118A.03. The board may compensate the depository, including
46.29paying a reasonable charge to the depository, maintaining appropriate compensating
46.30balances with the depository, or purchasing non-interest-bearing certificates of deposit
46.31from the depository for performing depository-related services.
46.32 Sec. 44. Minnesota Statutes 2006, section 136G.11, subdivision 5, is amended to read:
47.1 Subd. 5. Amount of matching grant. The amount of the matching grant for a
47.2beneficiary equals:
47.3 (1) if the beneficiary's family income is $50,000 or less, 15 percent of the sum
47.4of the contributions made to the beneficiary's account during the calendar year, not to
47.5exceed
47.6 (2) if the beneficiary's family income is more than $50,000 but not more than
47.7$80,000,
47.8during the calendar year, not to exceed
47.9 Sec. 45. Minnesota Statutes 2006, section 137.0245, subdivision 1, is amended to read:
47.10 Subdivision 1. Establishment. A Regent Candidate Advisory Council is established
47.11to assist in determining criteria for, and identifying and recruiting qualified candidates for
47.12membership on the Board of Regents and making recommendations to the
47.13legislative committee described in section 137.0246, subdivision 2.
47.14 Sec. 46. Minnesota Statutes 2006, section 137.0245, subdivision 4, is amended to read:
47.15 Subd. 4. Recommendations. (a) The advisory council shall recommend at least
47.16two and not more than four candidates. By January 15 of each odd-numbered year,
47.17the advisory council shall submit its recommendations to the
47.18committee described in section 137.0246, subdivision 2.
47.19 (b) The advisory council must submit a report to the
47.20needs criterion identified under subdivision 3, paragraph (c), at the same time it submits its
47.21recommendations.
47.22 Sec. 47. Minnesota Statutes 2006, section 137.0246, is amended to read:
47.23137.0246 REGENT NOMINATION AND ELECTION.
47.24
47.25
47.26
47.27
47.28
47.29
47.30
47.31
47.32 Subd. 2. Regent nomination joint committee. (a) The joint legislative committee
47.33consists of
48.1
48.2
48.3
48.4
48.5
48.6higher education budget and policy divisions
48.7
48.8of the divisions from each body shall be cochairs of the joint legislative committee. A
48.9majority of the members from each house is a quorum of the joint committee.
48.10 (b) By February 28 of each odd-numbered year, or at a date agreed to by concurrent
48.11resolution, the joint legislative committee shall meet to consider the
48.12advisory council's recommendations for regent of the University of Minnesota for possible
48.13presentation to a joint convention of the legislature.
48.14 (c) The joint committee may
48.15candidates recommended by the
48.16nominated by the joint committee.
48.17
48.18A candidate other than those recommended by the advisory council may be nominated
48.19for consideration by the joint committee only if the nomination receives the support of at
48.20least three house of representatives members of the committee and two senate members
48.21of the committee. A candidate must receive a majority vote of members from the house
48.22of representatives and from the senate on the joint committee to be recommended to the
48.23joint convention. The joint committee may recommend no more than one candidate for
48.24each vacancy. In recommending nominees, the joint committee must consider the needs of
48.25the Board of Regents and the balance of the board membership with respect to gender,
48.26racial, and ethnic composition.
48.27 (d) The joint committee must meet twice, approximately one week apart. The first
48.28meeting is for the purpose of interviewing candidates and recommending candidates for
48.29the joint committee to consider. The second meeting is for the purpose of voting for
48.30candidates for recommendation to the joint convention.
48.31 Sec. 48. [137.0252] APPROPRIATION; CONTRACT BUYOUT.
48.32 No appropriation from the state of Minnesota to the governing board of the
48.33University of Minnesota shall be used directly or indirectly for costs related to the early
48.34termination of a contract of a coach who reports to the director of athletics.
49.1 Sec. 49. Minnesota Statutes 2006, section 197.775, subdivision 4, is amended to read:
49.2 Subd. 4. Delayed payment of tuition. A state college or university may not assess
49.3late fees or other late charges for veterans who are eligible to receive federal or state
49.4educational assistance and who have applied for that assistance but not yet received it,
49.5nor may they prevent these students from registering for a subsequent term because of
49.6outstanding tuition charges that arise from delayed federal or state payments. The state
49.7college or university may request without delay the amount of tuition above expected
49.8federal and state educational assistance and may require payment of the full amount of
49.9tuition owed by the veteran within 30 days of receipt of the expected federal or state
49.10educational assistance.
49.11 Sec. 50. [197.791] MINNESOTA GI BILL PROGRAM.
49.12 Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this
49.13section.
49.14 (b) "Commissioner" means the commissioner of veterans affairs, unless otherwise
49.15specified.
49.16 (c) "Cost of attendance" for both graduate and undergraduate students has the
49.17meaning given in section 136A.121, subdivision 6, multiplied by a factor of 1.1. The
49.18tuition and fee maximum established by law for four-year programs shall be used to
49.19calculate the tuition and fee maximum under section 136A.121, subdivision 6, for
49.20a graduate student.
49.21 (d) "Child" means a natural or adopted child of a person described in subdivision 4,
49.22paragraph (a), clause (1), item (i) or (ii).
49.23 (e) "Eligible institution" means a postsecondary institution under section 136A.101,
49.24subdivision 4.
49.25 (f) "Program" means the Minnesota GI Bill program established in this section,
49.26unless otherwise specified.
49.27 (g) "Time of hostilities" means any action by the armed forces of the United States
49.28that is recognized by the issuance of a presidential proclamation or a presidential executive
49.29order in which the armed forces expeditionary medal or other campaign service medals
49.30are awarded according to presidential executive order, and any additional period or place
49.31that the commissioner determines and designates, after consultation with the United States
49.32Department of Defense, to be a period or place where the United States is in a conflict that
49.33places persons at such a risk that service in a foreign country during that period or in that
49.34place should be considered to be included.
50.1 (h) "Veteran" has the meaning given in section 197.447. Veteran also includes
50.2a service member who has received an honorable discharge after leaving each period of
50.3federal active duty service and has:
50.4 (1) served 90 days or more of federal active duty in a foreign country during a time
50.5of hostilities in that country; or
50.6 (2) received a service-related medical discharge from any period of service in a
50.7foreign country during a time of hostilities in that country.
50.8A service member who has fulfilled the requirements for being a veteran under this
50.9paragraph but is still serving actively in the United States armed forces is also a veteran
50.10for the purposes of this section.
50.11 Subd. 2. Program established. The Minnesota GI Bill Program is established to
50.12provide postsecondary educational assistance to eligible Minnesota veterans and to the
50.13children and spouses of deceased and severely disabled Minnesota veterans.
50.14 The commissioner, in cooperation with eligible postsecondary educational
50.15institutions, shall administer the program for the purpose of providing postsecondary
50.16educational assistance to eligible persons in accordance with this section. Each public
50.17postsecondary educational institution in the state must participate in the program and each
50.18private postsecondary educational institution in the state is encouraged to participate in the
50.19program. Any participating private institution may suspend or terminate its participation
50.20in the program at the end of any semester or other academic term.
50.21 Subd. 3. Duties; responsibilities. (a) The commissioner shall establish policies
50.22and procedures including, but not limited to, procedures for student application record
50.23keeping, information sharing, payment of educational assistance benefits, and other
50.24procedures the commissioner considers appropriate and necessary for effective and
50.25efficient administration of the program established in this section.
50.26 (b) The commissioner may delegate part or all of the administrative procedures
50.27for the program to responsible representatives of participating eligible institutions. The
50.28commissioner may execute an interagency agreement with the Office of Higher Education
50.29for services the commissioner determines necessary to administer the program.
50.30 Subd. 4. Eligibility. (a) A person is eligible for educational assistance under this
50.31section if:
50.32 (1) the person is:
50.33 (i) a veteran who is serving or has served honorably in any branch or unit of the
50.34United States armed forces at any time on or after September 11, 2001;
50.35 (ii) a nonveteran who has served honorably for a total of five years or more
50.36cumulatively as a member of the Minnesota National Guard or any other active or reserve
51.1component of the United States armed forces, and any part of that service occurred on or
51.2after September 11, 2001;
51.3 (iii) the surviving spouse or child of a person who has served in the military at any
51.4time on or after September 11, 2001, and who has died as a direct result of that military
51.5service; or
51.6 (iv) the spouse or child of a person who has served in the military at any time on or
51.7after September 11, 2001, and who has a total and permanent service-connected disability
51.8as rated by the United States Veterans Administration;
51.9 (2) the person providing the military service described in clause (1), items (i) to (iv),
51.10was a Minnesota resident within six months of the time of the person's initial enlistment or
51.11any reenlistment in the United States armed forces;
51.12 (3) the person receiving the educational assistance is a Minnesota resident, as
51.13defined in section 136A.101, subdivision 8; and
51.14 (4) the person receiving the educational assistance:
51.15 (i) is an undergraduate or graduate student at an eligible institution;
51.16 (ii) is maintaining satisfactory academic progress as defined by the institution for
51.17students participating in federal Title IV programs;
51.18 (iii) is enrolled in an education program leading to a certificate, diploma, or degree
51.19at an eligible institution;
51.20 (iv) has applied for educational assistance under this section prior to the end of the
51.21academic term for which the assistance is being requested;
51.22 (v) is in compliance with child support payment requirements under section
51.23136A.121, subdivision 2, clause (5); and
51.24 (vi) if an undergraduate student, has applied for the federal Pell Grant and the
51.25Minnesota State Grant.
51.26 (b) A person's eligibility terminates when the person becomes eligible for benefits
51.27under section 135A.52.
51.28 (c) To determine eligibility, the commissioner may require official documentation,
51.29including the person's federal form DD-214 or other official military discharge papers;
51.30correspondence from the United States Veterans Administration; birth certificate; marriage
51.31certificate; proof of enrollment at an eligible institution; signed affidavits; proof of
51.32residency; proof of identity; or any other official documentation the commissioner
51.33considers necessary to determine eligibility.
51.34 (d) The commissioner may deny eligibility or terminate benefits under this section
51.35to any person who has not provided sufficient documentation to determine eligibility for
51.36the program. An applicant may appeal the commissioner's eligibility determination or
52.1termination of benefits in writing to the commissioner at any time. The commissioner
52.2must rule on any application or appeal within 30 days of receipt of all documentation that
52.3the commissioner requires. The decision of the commissioner regarding an appeal is final.
52.4However, an applicant whose appeal of an eligibility determination has been rejected by
52.5the commissioner may submit an additional appeal of that determination in writing to the
52.6commissioner at any time that the applicant is able to provide substantively significant
52.7additional information regarding the applicant's eligibility for the program. An approval
52.8of an applicant's eligibility by the commissioner following an appeal by the applicant is
52.9not retroactively effective for more than one year or the semester of the person's original
52.10application, whichever is later.
52.11 (e) Upon receiving an application with insufficient documentation to determine
52.12eligibility, the commissioner must notify the applicant within 30 days of receipt of the
52.13application that the application is being suspended pending receipt by the commissioner of
52.14sufficient documentation from the applicant to determine eligibility.
52.15 Subd. 5. Benefit amount. (a) On approval by the commissioner of eligibility for
52.16the program, the applicant shall be awarded, on a funds-available basis, the educational
52.17assistance under the program for use at any time according to program rules at any
52.18eligible institution.
52.19 (b) The amount of educational assistance in any semester or term for an eligible
52.20person must be determined by subtracting from the eligible person's cost of attendance the
52.21amount the person received or was eligible to receive in that semester or term from:
52.22 (1) the federal Pell Grant;
52.23 (2) the state grant program under section 136A.121; and
52.24 (3) any federal military or veterans educational benefits including but not limited
52.25to the Montgomery GI Bill, GI Bill Kicker, the federal tuition assistance program,
52.26vocational rehabilitation benefits, and any other federal benefits associated with the
52.27person's status as a veteran, except veterans disability payments from the United States
52.28Veterans Administration.
52.29 (c) The amount of educational assistance for any eligible person who is a full-time
52.30student must not exceed the following:
52.31 (1) $1,000 per semester or term of enrollment;
52.32 (2) $2,000 per state fiscal year; and
52.33 (3) $10,000 in a lifetime.
52.34For a part-time student, the amount of educational assistance must not exceed $500
52.35per semester or term of enrollment. For the purpose of this paragraph, a part-time
52.36undergraduate student is a student taking fewer than 12 credits for a semester or term
53.1of enrollment and a part-time graduate student is a student considered part-time by the
53.2eligible institution the graduate student is attending.
53.3 Subd. 6. Insufficient appropriation. If the amount appropriated is determined
53.4by the commissioner to be insufficient to pay the benefit amounts in subdivision 5, the
53.5commissioner must reduce the amounts specified in subdivision 5, paragraph (c), clauses
53.6(1) and (2).
53.7EFFECTIVE DATE.This section is effective July 1, 2007, and applies to
53.8qualifying coursework taken on or after that date.
53.9 Sec. 51. MINNESOTA WEST COMMUNITY AND TECHNICAL COLLEGE
53.10AT WORTHINGTON; YMCA LEASE AGREEMENT.
53.11 (a) The Board of Trustees of Minnesota State Colleges and Universities may enter
53.12into a lease agreement with the YMCA not to exceed 40 years, for the lease of land on
53.13the Minnesota West Community and Technical College at Worthington campus for the
53.14construction of a YMCA facility. The lease may also include the city of Worthington.
53.15 (b) Siting and design of the facility must be consistent with the college's master
53.16plan and Minnesota State Colleges and Universities' building standards. Minnesota
53.17West Community and Technical College may negotiate for use of the facility for college
53.18purposes. The lease must contain a provision that the lease shall terminate if the improved
53.19property is no longer used for the partial benefit of the students at the Worthington campus.
53.20 Sec. 52. INTEREST RATE PROTECTION AGREEMENTS; REPORT.
53.21 The Office of Higher Education must report by February 1, 2009, to the senate and
53.22house of representatives committees with primary jurisdiction over higher education
53.23finance and policy on the results of the office's interest rate protection agreement activity
53.24under Minnesota Statutes, section 136A.16, subdivision 16.
53.25 Sec. 53. REPEALER.
53.26(a) Minnesota Statutes 2006, sections 135A.031, subdivisions 2, 3, 4, 5, and 6;
53.27135A.032; 135A.033; 135A.045; 135A.053; 136A.07; and 136A.08, subdivision 8, are
53.28repealed.
53.29(b) Laws 2001, First Special Session chapter 1, article 1, sections 3, subdivision 3;
53.30and 4, subdivision 5, are repealed.
54.3 Section 1. Minnesota Statutes 2006, section 136A.61, is amended to read:
54.4136A.61 POLICY.
54.5 The legislature has found and hereby declares that the availability of legitimate
54.6courses and programs leading to academic degrees offered by responsible private
54.7not-for-profit and for-profit institutions of postsecondary education and the existence
54.8of legitimate private colleges and universities are in the best interests of the people of
54.9this state. The legislature has found and declares that the state can provide assistance
54.10and protection for persons choosing private institutions and programs, by establishing
54.11policies and procedures to assure the authenticity and legitimacy of private postsecondary
54.12education institutions and programs. The legislature has also found and declares that
54.13this same policy applies to any private and public postsecondary educational institution
54.14located in another state or country which offers or makes available to a Minnesota resident
54.15any course, program or educational activity which does not require the leaving of the
54.16state for its completion.
54.17 Sec. 2. [136A.615] CITATION.
54.18 Sections 136A.61 to 136A.71 may be cited as the "Minnesota Private and
54.19Out-of-State Public Postsecondary Education Act."
54.20 Sec. 3. Minnesota Statutes 2006, section 136A.62, subdivision 3, is amended to read:
54.21 Subd. 3. School. "School" means:
54.22 (1) any
54.23corporation, or any combination thereof, which
54.24nonprofit postsecondary education institution;
54.25for-profit postsecondary education institution; or (iii) provides a postsecondary
54.26instructional program or course leading to a degree whether or not for profit;
54.27
54.28
54.29
54.30
54.31
55.1 (2) any public postsecondary educational institution located in another state or
55.2country which offers or makes available to a Minnesota resident any course, program or
55.3educational activity which does not require the leaving of the state for its completion; or
55.4 (3) any individual, entity, or postsecondary institution located in another state
55.5that contracts with any school located within the state of Minnesota for the purpose of
55.6providing educational programs, training programs, or awarding postsecondary credits
55.7or continuing education credits to Minnesota residents that may be applied to a degree
55.8program.
55.9 Sec. 4. Minnesota Statutes 2006, section 136A.63, is amended to read:
55.10136A.63 REGISTRATION.
55.11 Subdivision 1. Annual registration. All schools located within Minnesota and
55.12all schools located outside Minnesota which offer degree programs or courses within
55.13Minnesota shall register annually with the office.
55.14 Subd. 2. Sale of an institution. Within 30 days of a change of its ownership a school
55.15must submit a registration renewal application, all usual and ordinary information and
55.16materials for an initial registration, and applicable registration fees for a new institution.
55.17For purposes of this subdivision, "change of ownership" means a merger or consolidation
55.18with a corporation; a sale, lease, exchange, or other disposition of all or substantially all of
55.19the assets of a school; the transfer of a controlling interest of at least 51 percent of the
55.20school's stock; or a change in the not-for-profit or for-profit status of a school.
55.21 Sec. 5. Minnesota Statutes 2006, section 136A.64, is amended to read:
55.22136A.64 INFORMATION REQUIRED FOR REGISTRATION.
55.23 Subdivision 1. Schools to provide information. As a basis for registration, schools
55.24shall provide the office with such information as the office needs to determine the nature
55.25and activities of the school, including but not limited to
55.26
55.27
55.28
55.29shall be accompanied by an affidavit attesting to its accuracy and truthfulness:
55.30 (1) articles of incorporation, constitution, bylaws, or other operating documents;
55.31 (2) a duly adopted statement of the school's mission and goals;
55.32 (3) evidence of current school or program licenses granted by departments or
55.33agencies of any state;
56.1 (4) a fiscal balance sheet on an accrual basis, or a certified audit of the immediate
56.2past fiscal year including any management letters provided by the independent auditor
56.3or, if the school is a public institution outside Minnesota, an income statement for the
56.4immediate past fiscal year;
56.5 (5) all current promotional and recruitment materials and advertisements; and
56.6 (6) the current school catalog and, if not contained in the catalog:
56.7 (i) the members of the board of trustees or directors, if any;
56.8 (ii) the current institutional officers;
56.9 (iii) current full-time and part-time faculty with degrees held or applicable
56.10experience;
56.11 (iv) a description of all school facilities;
56.12 (v) a description of all current course offerings;
56.13 (vi) all requirements for satisfactory completion of courses, programs, and degrees;
56.14 (vii) the school's policy about freedom or limitation of expression and inquiry;
56.15 (viii) a current schedule of fees, charges for tuition, required supplies, student
56.16activities, housing, and all other standard charges;
56.17 (ix) the school's policy about refunds and adjustments;
56.18 (x) the school's policy about granting credit for prior education, training, and
56.19experience; and
56.20 (xi) the school's policies about student admission, evaluation, suspension, and
56.21dismissal.
56.22 Subd. 2. Financial records. The office shall not disclose financial records or
56.23accreditation reports provided to it by a school pursuant to this section except for the
56.24purpose of defending, at hearings pursuant to chapter 14, or other appeal proceedings, its
56.25decision to approve or not to approve the granting of degrees or the use of a name by the
56.26school. Section
56.27 Subd. 3. Additional information. If the office is unable to determine the nature
56.28and activities of a school on the basis of the information in subdivision 1, the office shall
56.29notify the school of additional information needed.
56.30 Subd. 4. Verification of information. The office may verify the accuracy of
56.31submitted information by inspection, visitation, or any other means it considers necessary.
56.32 Subd. 5. Public information. All information submitted to the office is public
56.33information except financial and accreditation records and information. The office may
56.34disclose financial records or information to defend its decision to approve or disapprove
56.35granting of degrees or the use of a name or its decisions to revoke the approval at a hearing
56.36under chapter 14 or other legal proceedings.
57.1 Subd. 6. Late registration penalty. Applications for renewal for any registration
57.2received after the deadline date specified in the renewal materials provided by the office
57.3are subject to a late fee equal to 20 percent of the annual registration renewal fee.
57.4 Subd. 7. Out-of-state expenses. A school shall reimburse the office for actual costs
57.5associated with a site evaluation visit outside Minnesota if the visit is necessary under
57.6subdivision 1 or 3.
57.7 Sec. 6. [136A.645] SCHOOL CLOSURE.
57.8 When a school decides to cease postsecondary education operations, it must
57.9cooperate with the office in assisting students to find alternative means to complete their
57.10studies with a minimum of disruption, and inform the office of the following:
57.11 (1) the planned date for termination of postsecondary education operations;
57.12 (2) the planned date for the transfer of the student records;
57.13 (3) confirmation of the name and address of the organization to receive and hold
57.14the student records; and
57.15 (4) the official at the organization receiving the student records who is designated to
57.16provide official copies of records or transcripts upon request.
57.17Upon notice from a school of its intention to cease operations, the office shall notify the
57.18school of the date on which it must cease the enrollment of students and all postsecondary
57.19educational operations.
57.20 Sec. 7. [136A.646] ADDITIONAL SECURITY.
57.21 In the event any registered institution is notified by the United States Department
57.22of Education that it has fallen below minimum financial standards and that its continued
57.23participation in Title IV will be conditioned upon its satisfying either the Zone Alternative,
57.24Code of Federal Regulations, title 34, section 668.175, paragraph (f), or a Letter of Credit
57.25Alternative, Code of Federal Regulations, title 34, section 668.175, paragraph (c), the
57.26institution shall provide a surety bond conditioned upon the faithful performance of all
57.27contracts and agreements with students in a sum equal to the "letter of credit" required by
57.28the United States Department of Education in the Letter of Credit Alternative, but in no
57.29event shall such bond be less than $10,000 nor more than $250,000.
57.30 Sec. 8. Minnesota Statutes 2006, section 136A.65, is amended to read:
57.31136A.65 APPROVAL OF DEGREES AND NAME.
57.32 Subdivision 1. Prohibition. No school subject to registration shall grant a degree
57.33unless such degree
58.1shall any school subject to registration use the name "college," "academy," "institute" or
58.2"university" in its name without approval by the office.
58.3 Subd. 1a. Accreditation; requirement. A school must not be registered or
58.4authorized to offer any degree at any level unless the school is accredited by an agency
58.5recognized by the United States Department of Education for purposes of eligibility to
58.6participate in Title IV federal financial aid programs. Any registered school undergoing
58.7institutional accreditation shall inform the office of site visits by the accrediting agency
58.8and provide office staff the opportunity to attend the visits, including any exit interviews.
58.9The institution must provide the office with a copy of the final report upon receipt.
58.10 Subd. 2. Procedures. The office shall establish procedures for approval, including
58.11notice and an opportunity for a hearing pursuant to chapter 14 if such approval is not
58.12granted. If a hearing is requested, no disapproval shall take effect until after such hearing.
58.13 Subd. 3. Application. A school subject to registration shall be granted approval
58.14to use the term "college," "academy," "institute" or "university" in its name
58.15
58.16term in its name on or before August 1,
58.17standards for approval established by the office.
58.18 Subd. 4. Criteria for approval. (a) A school applying to be registered and to have
58.19its degree or degrees and name approved must substantially meet the following criteria:
58.20 (1) the school has an organizational framework with administrative and teaching
58.21personnel to provide the educational programs offered;
58.22 (2) the school has financial resources sufficient to meet the school's financial
58.23obligations, including refunding tuition and other charges consistent with its stated policy
58.24if the institution is dissolved, or if claims for refunds are made, to provide service to the
58.25students as promised, and to provide educational programs leading to degrees as offered;
58.26 (3) the school operates in conformity with generally accepted budgeting and
58.27accounting principles;
58.28 (4) the school provides an educational program leading to the degree it offers;
58.29 (5) the school provides appropriate and accessible library, laboratory, and other
58.30physical facilities to support the educational program offered;
58.31 (6) the school has a policy on freedom or limitation of expression and inquiry for
58.32faculty and students which is published or available on request;
58.33 (7) the school uses only publications and advertisements which are truthful and do
58.34not give any false, fraudulent, deceptive, inaccurate, or misleading impressions about the
58.35school, its personnel, programs, services, or occupational opportunities for its graduates
58.36for promotion and student recruitment;
59.1 (8) the school's compensated recruiting agents who are operating in Minnesota
59.2identify themselves as agents of the school when talking to or corresponding with students
59.3and prospective students; and
59.4 (9) the school provides information to students and prospective students concerning:
59.5 (i) comprehensive and accurate policies relating to student admission, evaluation,
59.6suspension, and dismissal;
59.7 (ii) clear and accurate policies relating to granting credit for prior education, training,
59.8and experience and for courses offered by the school;
59.9 (iii) current schedules of fees, charges for tuition, required supplies, student
59.10activities, housing, and all other standard charges;
59.11 (iv) policies regarding refunds and adjustments for withdrawal or modification
59.12of enrollment status; and
59.13 (v) procedures and standards used for selection of recipients and the terms of
59.14payment and repayment for any financial aid program.
59.15 (b) An application for degree approval must also include:
59.16 (i) title of degree and formal recognition awarded;
59.17 (ii) location where such degree will be offered;
59.18 (iii) proposed implementation date of the degree;
59.19 (iv) admissions requirements for the degree;
59.20 (v) length of the degree;
59.21 (vi) projected enrollment for a period of five years;
59.22 (vii) the curriculum required for the degree, including course syllabi or outlines;
59.23 (viii) statement of academic and administrative mechanisms planned for monitoring
59.24the quality of the proposed degree;
59.25 (ix) statement of satisfaction of professional licensure criteria, if applicable;
59.26 (x) documentation of the availability of clinical, internship, externship, or practicum
59.27sites, if applicable; and
59.28 (xi) statement of how the degree fulfills the institution's mission and goals,
59.29complements existing degrees, and contributes to the school's viability.
59.30 Subd. 5. Requirements for degree approval. For each degree a school offers to a
59.31student, where the student does not leave Minnesota for the major portion of the program
59.32or course leading to the degree, the school must have:
59.33 (1) qualified teaching personnel to provide the educational programs for each degree
59.34for which approval is sought;
59.35 (2) appropriate educational programs leading to each degree for which approval
59.36is sought;
60.1 (3) appropriate and accessible library, laboratory, and other physical facilities to
60.2support the educational program for each degree for which approval is sought; and
60.3 (4) a rationale showing that degree programs are consistent with the school's mission
60.4and goals.
60.5 Subd. 6. Name. A school may use the term "academy" or "institute" in its name
60.6without meeting any additional requirements. A school may use the term "college" in its
60.7name if it offers at least one program leading to an associate degree. A school may use
60.8the term "university" in its name if it offers at least one program leading to a master's
60.9or doctorate degree.
60.10 Subd. 7. Conditional approval. The office may grant conditional approval for a
60.11degree or use of a term in its name for a period of less than one year if doing so would be
60.12in the best interests of currently enrolled students or prospective students.
60.13 Subd. 8. Disapproval of registration appeal. (a) If a school's degree or use of a
60.14term in its name is disapproved by the office, the school may request a hearing under
60.15chapter 14. The request must be in writing and made to the office within 30 days of the
60.16date the school is notified of the disapproval.
60.17 (b) The office may refuse to renew, revoke, or suspend registration, approval of
60.18a school's degree, or use of a regulated term in its name by giving written notice and
60.19reasons to the school. The school may request a hearing under chapter 14. If a hearing is
60.20requested, no revocation or suspension shall take effect until after the hearing.
60.21 (c) Reasons for revocation or suspension of registration or approval may be for one
60.22or more of the following reasons:
60.23 (1) violating the provisions of sections 136A.61 to 136A.71;
60.24 (2) providing false, misleading, or incomplete information to the office;
60.25 (3) presenting information about the school which is false, fraudulent, misleading,
60.26deceptive, or inaccurate in a material respect to students or prospective students; or
60.27 (4) refusing to allow reasonable inspection or to supply reasonable information after
60.28a written request by the office has been received.
60.29 Sec. 9. Minnesota Statutes 2006, section 136A.657, is amended by adding a
60.30subdivision to read:
60.31 Subd. 4. Statement required; religious nature. Any degree awarded upon
60.32completion of a religiously exempt program shall include descriptive language to make
60.33the religious nature of the award clear.
61.1 Sec. 10. Minnesota Statutes 2006, section 136A.66, is amended to read:
61.2136A.66 LIST.
61.3 The office shall maintain a list of
61.4degrees and schools authorized to use the name "college," "academy," "institute" or
61.5"university," and shall make such list available to the public.
61.6 Sec. 11. Minnesota Statutes 2006, section 136A.67, is amended to read:
61.7136A.67 UNAUTHORIZED REPRESENTATIONS.
61.8
61.9
61.10
61.11employees, may represent in advertising and shall disclose in catalogues, applications,
61.12and enrollment materials that the school is registered with the office
61.13displaying the following statement: "(Name of school) is registered as a private institution
61.14with the Minnesota Office of Higher Education pursuant to sections 136A.61 to 136A.71.
61.15Registration is not an endorsement of the institution. Credits earned at the institution
61.16may not transfer to all other institutions."
61.17 Sec. 12. [136A.675] RISK ANALYSIS.
61.18 The office shall develop a set of financial and programmatic evaluation metrics to
61.19aid in the detection of the failure or potential failure of a school to meet the standards
61.20established under sections 136A.61 to 136A.71. These metrics shall include indicators
61.21of financial stability, changes in the senior management or the financial aid and senior
61.22administrative staff of an institution, changes in enrollment, changes in program offerings,
61.23and changes in faculty staffing patterns. The development of financial standards shall use
61.24industry standards as benchmarks. The development of the nonfinancial standards shall
61.25include a measure of trends and dramatic changes in trends or practice. The agency must
61.26specify the metrics and standards for each area and provide a copy to each registered
61.27institution and post them on the agency Web site. The agency shall use regularly reported
61.28data submitted to the federal government or other regulatory or accreditation agencies
61.29wherever possible. The agency may require more frequent data reporting by an institution
61.30to ascertain whether the standards are being met.
61.31 Sec. 13. Minnesota Statutes 2006, section 136A.68, is amended to read:
61.32136A.68 RECORDS.
62.1
62.2
62.3
62.4
62.5
62.6
62.7record for each student for 50 years from the last date of the student's attendance. A
62.8registered school offering distance instruction to a student located in Minnesota shall
62.9maintain a permanent record for each Minnesota student for 50 years from the last date of
62.10the student's attendance. Records include a student's academic transcript, documents, and
62.11files containing student data about academic credits earned, courses completed, grades
62.12awarded, degrees awarded, and periods of attendance. To preserve permanent records, a
62.13school shall submit a plan that meets the following requirements:
62.14 (1) at least one copy of the records must be held in a secure, fireproof depository
62.15or duplicate records must be maintained off site in a secure location and in a manner
62.16approved by the office;
62.17 (2) an appropriate official must be designated to provide a student with copies of
62.18records or a transcript upon request;
62.19 (3) an alternative method approved by the office of complying with clauses (1) and
62.20(2) must be established if the school ceases to exist; and
62.21 (4) if the school has no binding agreement approved by the office for preserving
62.22student records, a continuous surety bond must be filed with the office in an amount not to
62.23exceed $20,000. The bond shall run to the state of Minnesota.
62.24 Sec. 14. Minnesota Statutes 2006, section 136A.69, is amended to read:
62.25136A.69 FEES.
62.26 Subdivision 1. Registration fees. The office shall collect reasonable registration
62.27fees that are sufficient to recover, but do not exceed, its costs of administering the
62.28registration program. The office shall charge $1,100 for initial registration fees and $950
62.29for annual renewal fees.
62.30 Subd. 2. Degree level addition fee. The office processing fee for adding a degree
62.31level to an existing program is $2,000 per program.
62.32 Subd. 3. Program addition fee. The office processing fee for adding a program
62.33that represents a significant departure in the objectives, content, or method of delivery of
62.34programs that are currently offered by the school is $500 per program.
63.1 Subd. 4. Visit or consulting fee. If the office determines that a fact-finding visit
63.2or outside consultant is necessary to review or evaluate any new or revised program, the
63.3office shall be reimbursed for the expenses incurred related to the review as follows:
63.4 (1) $300 for the team base fee or for a paper review conducted by a consultant if the
63.5office determines that a fact-finding visit is not required;
63.6 (2) $300 for each day or part thereof on site per team member; and
63.7 (3) the actual cost of customary meals, lodging, and related travel expenses incurred
63.8by team members.
63.9 Subd. 5. Modification fee. The fee for modification of any existing program is
63.10$100 and is due if there is:
63.11 (1) an increase or decrease of 25 percent or more from the original date of program
63.12approval, in clock hours, credit hours, or calendar length of an existing program;
63.13 (2) a change in academic measurement from clock hours to credit hours or vice
63.14versa; or
63.15 (3) an addition or alteration of courses that represent a 25 percent change or more in
63.16the objectives, content, or methods of delivery.
63.17 Sec. 15. [136A.705] PENALTY.
63.18 The director may assess fines for violations of a provision of sections 136A.61 to
63.19136A.71. Each day's failure to comply with a provision of sections 136A.61 to 136A.71
63.20shall be a separate violation and fines shall not exceed $500 per day per violation.
63.21Amounts received under this section must be deposited in the special revenue fund and are
63.22appropriated to the Office of Higher Education for the purposes in sections 136A.61 to
63.23136A.71.
63.24 Sec. 16. Minnesota Statutes 2006, section 141.21, subdivision 1a, is amended to read:
63.25 Subd. 1a. Office of Higher Education or office. "Office of Higher Education" or
63.26"office" means the Minnesota Office of Higher Education.
63.27 Sec. 17. Minnesota Statutes 2006, section 141.21, subdivision 5, is amended to read:
63.28 Subd. 5. School. "School" means any person, within or outside the state, who
63.29maintains, advertises, administers, solicits for, or conducts any program
63.30less than an associate degree level
63.31
63.32under sections 136A.61 to 136A.71 and is not specifically exempted by section
63.33or 141.37. School also means any person, within or outside the state, who maintains,
64.1advertises, administers, solicits for, or conducts any program at less than an associate
64.2degree level, is not registered as a private institution pursuant to sections 136A.61 to
64.3136A.71, and uses the term, "college," "institute," "academy," or "university" in its name.
64.4 Sec. 18. Minnesota Statutes 2006, section 141.25, subdivision 1, is amended to read:
64.5 Subdivision 1. Required. A school must not maintain, advertise, solicit for,
64.6administer, or conduct any program in Minnesota without first obtaining a license from
64.7the office.
64.8 Sec. 19. Minnesota Statutes 2006, section 141.25, subdivision 5, is amended to read:
64.9 Subd. 5. Bond. (a) No license shall be issued to any school which maintains,
64.10conducts, solicits for, or advertises within the state of Minnesota any program, unless the
64.11applicant files with the office a continuous corporate surety bond written by a company
64.12authorized to do business in Minnesota conditioned upon the faithful performance of all
64.13contracts and agreements with students made by the applicant.
64.14 (b) The amount of the surety bond shall be ten percent of the preceding year's gross
64.15income from student tuition, fees, and other required institutional charges, but in no event
64.16less than $10,000 nor greater than $250,000, except that a school may deposit a greater
64.17amount at its own discretion. A school in each annual application for licensure must
64.18compute the amount of the surety bond and verify that the amount of the surety bond
64.19complies with this subdivision, unless the school maintains a surety bond equal to at least
64.20$250,000. A school that operates at two or more locations may combine gross income
64.21from student tuition, fees, and other required institutional charges for all locations for the
64.22purpose of determining the annual surety bond requirement. The gross tuition and fees
64.23used to determine the amount of the surety bond required for a school having a license for
64.24the sole purpose of recruiting students in Minnesota shall be only that paid to the school
64.25by the students recruited from Minnesota.
64.26 (c) The bond shall run to the state of Minnesota and to any person who may have a
64.27cause of action against the applicant arising at any time after the bond is filed and before it
64.28is canceled for breach of any contract or agreement made by the applicant with any student.
64.29The aggregate liability of the surety for all breaches of the conditions of the bond shall not
64.30exceed the principal sum deposited by the school under paragraph (b). The surety of any
64.31bond may cancel it upon giving 60 days' notice in writing to the office and shall be relieved
64.32of liability for any breach of condition occurring after the effective date of cancellation.
64.33 (d) In lieu of bond, the applicant may deposit with the commissioner of finance a
64.34sum equal to the amount of the required surety bond in cash, or securities as may be
65.1legally purchased by savings banks or for trust funds in an aggregate market value equal
65.2to the amount of the required surety bond.
65.3 (e) Failure of a school to post and maintain the required surety bond or deposit under
65.4paragraph (d)
65.5 Sec. 20. Minnesota Statutes 2006, section 141.25, subdivision 7, is amended to read:
65.6 Subd. 7. Minimum standards. A license shall be issued if the office first
65.7determines:
65.8 (1) that the applicant has a sound financial condition with sufficient resources
65.9available to:
65.10 (i) meet the school's financial obligations;
65.11 (ii) refund all tuition and other charges, within a reasonable period of time, in the
65.12event of dissolution of the school or in the event of any justifiable claims for refund against
65.13the school by the student body;
65.14 (iii) provide adequate service to its students and prospective students; and
65.15 (iv) maintain and support the school;
65.16 (2) that the applicant has satisfactory facilities with sufficient tools and equipment
65.17and the necessary number of work stations to prepare adequately the students currently
65.18enrolled, and those proposed to be enrolled;
65.19 (3) that the applicant employs a sufficient number of qualified teaching personnel to
65.20provide the educational programs contemplated;
65.21 (4) that the school has an organizational framework with administrative and
65.22instructional personnel to provide the programs and services it intends to offer;
65.23 (5) that the premises and conditions under which the students work and study are
65.24sanitary, healthful, and safe, according to modern standards;
65.25 (6) that the quality and content of each occupational course or program of study
65.26provides education and adequate preparation to enrolled students for entry level positions
65.27in the occupation for which prepared;
65.28 (7) that the living quarters which are owned, maintained, recommended, or approved
65.29by the applicant for students are sanitary and safe;
65.30 (8) that the contract or enrollment agreement used by the school complies with
65.31the provisions in section
65.32 (9) that contracts and agreements do not contain a wage assignment provision or a
65.33confession of judgment clause; and
66.1 (10) that there has been no adjudication of fraud or misrepresentation in any
66.2criminal, civil, or administrative proceeding in any jurisdiction against the school or its
66.3owner, officers, agents, or sponsoring organization.
66.4 Sec. 21. Minnesota Statutes 2006, section 141.25, subdivision 9, is amended to read:
66.5 Subd. 9. Catalog, brochure, or electronic display. Before a license is issued to
66.6a school, the school shall furnish to the office a catalog, brochure, or electronic display
66.7including:
66.8 (1) identifying data, such as volume number and date of publication;
66.9 (2) name and address of the school and its governing body and officials;
66.10 (3) a calendar of the school showing legal holidays, beginning and ending dates of
66.11each course quarter, term, or semester, and other important dates;
66.12 (4) the school policy and regulations on enrollment including dates and specific
66.13entrance requirements for each program;
66.14 (5) the school policy and regulations about leave, absences, class cuts, make-up
66.15work, tardiness, and interruptions for unsatisfactory attendance;
66.16 (6) the school policy and regulations about standards of progress for the student
66.17including the grading system of the school, the minimum grades considered satisfactory,
66.18conditions for interruption for unsatisfactory grades or progress, a description of any
66.19probationary period allowed by the school, and conditions of reentrance for those
66.20dismissed for unsatisfactory progress;
66.21 (7) the school policy and regulations about student conduct and conditions for
66.22dismissal for unsatisfactory conduct;
66.23 (8) a detailed schedule of fees, charges for tuition, books, supplies, tools, student
66.24activities, laboratory fees, service charges, rentals, deposits, and all other charges;
66.25 (9) the school policy and regulations, including an explanation of section
66.26about refunding tuition, fees, and other charges if the student does not enter the program,
66.27withdraws from the program, or the program is discontinued;
66.28 (10) a description of the available facilities and equipment;
66.29 (11) a course outline syllabus for each course offered showing course objectives,
66.30subjects or units in the course, type of work or skill to be learned, and approximate time,
66.31hours, or credits to be spent on each subject or unit;
66.32 (12) the school policy and regulations about granting credit for previous education
66.33and preparation;
66.34 (13) a notice to students relating to the transferability of any credits earned at the
66.35school to other institutions;
67.1 (14) a procedure for investigating and resolving student complaints; and
67.2
67.3 A school that is exclusively a distance education school is exempt from clauses
67.4(3) and (5).
67.5 Sec. 22. Minnesota Statutes 2006, section 141.25, subdivision 10, is amended to read:
67.6 Subd. 10. Placement records. (a) Before a license is
67.7that offers, advertises or implies a placement service, the school shall file with the office
67.8for the past year and thereafter at reasonable intervals determined by the office, a certified
67.9copy of the school's placement record, containing a list of graduates, a description of their
67.10jobs, names of their employers, and other information as the office may prescribe.
67.11 (b) Each school that offers a placement service shall furnish to each prospective
67.12student, upon request, prior to enrollment, written information concerning the percentage
67.13of the previous year's graduates who were placed in the occupation for which prepared or
67.14in related employment.
67.15 Sec. 23. Minnesota Statutes 2006, section 141.25, subdivision 12, is amended to read:
67.16 Subd. 12. Permanent records. A school licensed under this chapter and located
67.17in Minnesota shall maintain a permanent record for each student for 50 years from the
67.18last date of the student's attendance. A school licensed under this chapter and offering
67.19distance instruction to a student located in Minnesota shall maintain a permanent record
67.20for each Minnesota student for 50 years from the last date of the student's attendance.
67.21Records include school transcripts, documents, and files containing student data about
67.22academic credits earned, courses completed, grades awarded, degrees awarded, and
67.23periods of attendance. To preserve permanent records, a school shall submit a plan that
67.24meets the following requirements:
67.25 (1) at least one copy of the records must be held in a secure, fireproof depository;
67.26 (2) an appropriate official must be designated to provide a student with copies of
67.27records or a transcript upon request;
67.28 (3) an alternative method, approved by the office, of complying with clauses (1) and
67.29(2) must be established if the school ceases to exist; and
67.30 (4) a continuous surety bond must be filed with the office in an amount not to exceed
67.31$20,000 if the school has no binding agreement approved by the office, for preserving
67.32student records
67.33to the state of Minnesota.
68.1 Sec. 24. Minnesota Statutes 2006, section 141.255, subdivision 2, is amended to read:
68.2 Subd. 2. Renewal licensure fee; late fee. (a) The office processing fee for a
68.3renewal licensure application is:
68.4 (1) for a category A school, as determined by the office, the fee is $865 if the school
68.5offers one program or $1,150 if the school offers two or more programs; and
68.6 (2) for a category B or C school, as determined by the office, the fee is $430 if the
68.7school offers one program or $575 if the school offers two or more programs.
68.8 (b) If a license renewal application is not received by the office by the close of
68.9business at least 60 days before the expiration of the current license, a late fee of $100
68.10per business day, not to exceed $3,000, shall be assessed.
68.11 Sec. 25. Minnesota Statutes 2006, section 141.265, subdivision 2, is amended to read:
68.12 Subd. 2. Contract information. A contract or enrollment agreement used by a
68.13school must include at least the following:
68.14 (1) the name and address of the school, clearly stated;
68.15 (2) a clear and conspicuous disclosure that the agreement is a legally binding
68.16instrument upon written acceptance of the student by the school unless canceled under
68.17section
68.18 (3) the school's cancellation and refund policy that shall be clearly and conspicuously
68.19entitled "Buyer's Right to Cancel";
68.20 (4) a clear statement of total cost of the program including tuition and all other
68.21charges;
68.22 (5) the name and description of the program, including the number of hours or
68.23credits of classroom instruction, or distance instruction, that shall be included; and
68.24 (6) a clear and conspicuous explanation of the form and means of notice the student
68.25should use in the event the student elects to cancel the contract or sale, the effective
68.26date of cancellation, and the name and address of the seller to which the notice should
68.27be sent or delivered.
68.28The contract or enrollment agreement must not include a wage assignment provision or a
68.29confession of judgment clause.
68.30 Sec. 26. Minnesota Statutes 2006, section 141.271, subdivision 10, is amended to read:
68.31 Subd. 10. Cancellation occurrence. Written notice of cancellation shall take place
68.32on the date the letter of cancellation is postmarked or, in the cases where the notice is hand
68.33carried, it shall occur on the date the notice is delivered to the school. If a student has not
68.34attended
69.1indicate an intent to continue in school or otherwise making arrangements concerning the
69.2absence, the student is considered to have withdrawn from school for all purposes as of
69.3the student's last documented date of attendance.
69.4 Sec. 27. Minnesota Statutes 2006, section 141.271, subdivision 12, is amended to read:
69.5 Subd. 12. Instrument not to be negotiated. A school shall not negotiate any
69.6promissory instrument received as payment of tuition or other charge prior to completion
69.7of 50 percent of the program
69.8by assignment to purchasers who shall be subject to all defenses available against the
69.9school named as payee.
69.10 Sec. 28. Minnesota Statutes 2006, section 141.28, subdivision 1, is amended to read:
69.11 Subdivision 1.
69.12
69.13
69.14school, agent, or solicitor may
69.15in catalogues, applications, and enrollment materials that the school
69.16
69.17statement:
69.18"(Name of school) is licensed as a private career school with the Minnesota Office of
69.19Higher Education pursuant to Minnesota Statutes, sections 141.21 to 141.32. Licensure is
69.20not an endorsement of the institution. Credits earned at the institution may not transfer to
69.21all other institutions.
69.22
69.23 Sec. 29. Minnesota Statutes 2006, section 141.32, is amended to read:
69.24141.32 PENALTY.
69.25
69.26
69.27
69.28
69.29fines for violations of a provision of this chapter. Each day's failure to comply with this
69.30chapter shall be a separate violation and fines shall not exceed $500 per day per violation.
69.31Amounts received under this section must be deposited in the special revenue fund and are
69.32appropriated to the Office of Higher Education for the purposes of this chapter.
70.1 Sec. 30. Minnesota Statutes 2006, section 141.35, is amended to read:
70.2141.35 EXEMPTIONS.
70.3 Sections
70.4 (1) public postsecondary institutions;
70.5 (2)
70.6to
70.7
70.8
70.9 (3) schools of nursing accredited by the state Board of Nursing or an equivalent
70.10public board of another state or foreign country;
70.11 (4) private schools complying with the requirements of section
70.124
70.13 (5) courses taught to students in a valid apprenticeship program taught by or
70.14required by a trade union;
70.15 (6) schools exclusively engaged in training physically or mentally disabled persons
70.16for the state of Minnesota;
70.17 (7) schools licensed by boards authorized under Minnesota law to issue licenses;
70.18 (8) schools and educational programs, or training programs, contracted for by
70.19persons, firms, corporations, government agencies, or associations, for the training of their
70.20own employees, for which no fee is charged the employee;
70.21 (9) schools engaged exclusively in the teaching of purely avocational, recreational,
70.22or remedial subjects as determined by the office;
70.23 (10)
70.24
70.25
70.26fraternal organization, solely for that organization's membership;
70.27
70.28under section
70.29the purposes of this clause, "fine arts" means activities resulting in artistic creation or
70.30artistic performance of works of the imagination which are engaged in for the primary
70.31purpose of creative expression rather than commercial sale or employment. In making
70.32this determination the office may seek the advice and recommendation of the Minnesota
70.33Board of the Arts;
70.34
70.35requirements for licensure or certification in a profession, that have been approved by
70.36a legislatively or judicially established board or agency responsible for regulating the
71.1practice of the profession, and that are offered exclusively to an individual practicing
71.2the profession;
71.3
71.4undergraduate, graduate, postgraduate, or occupational licensing and occupational
71.5entrance examinations;
71.6
71.7instruction that are not part of the curriculum for an occupation or entry level employment;
71.8
71.9development, modeling, or acting;
71.10
71.11individual student, that are not part of the curriculum for an occupation or are not intended
71.12to prepare a person for entry level employment; and
71.13
71.14office, engaged exclusively in offering distance instruction that are located in and
71.15regulated by other states or jurisdictions.
71.16 Sec. 31. [141.37] EXEMPTION; RELIGIOUS SCHOOLS.
71.17 Subdivision 1. Exemption. Any school or any department or branch of a school:
71.18 (1) which is substantially owned, operated, or supported by a bona fide church
71.19or religious organization;
71.20 (2) whose programs are primarily designed for, aimed at, and attended by persons
71.21who sincerely hold or seek to learn the particular religious faith or beliefs of that church or
71.22religious organization; and
71.23 (3) whose programs are primarily intended to prepare its students to become
71.24ministers of, to enter into some other vocation closely related to, or to conduct their lives
71.25in consonance with the particular faith of that church or religious organization,
71.26is exempt from the provisions of sections 141.21 to 141.32.
71.27 Subd. 2. Limitations. (a) An exemption shall not extend to any school, department
71.28or branch of a school, or program of a school which through advertisements or solicitations
71.29represents to any students or prospective students that the school, its aims, goals, missions,
71.30purposes, or programs are different from those described in subdivision 1.
71.31 (b) An exemption shall not extend to any school which represents to any student or
71.32prospective student that the major purpose of its programs is to:
71.33 (1) prepare the student for a vocation not closely related to that particular religious
71.34faith; or
72.1 (2) provide the student with a general educational program recognized by other
72.2schools or the broader educational, business, or social community as being substantially
72.3equivalent to the educational programs offered by schools or departments or branches of
72.4schools which are not religious in nature and are not exempt from chapter 141 and from
72.5rules adopted pursuant under this chapter.
72.6 Subd. 3. Scope. Nothing in this chapter or the rules adopted under it shall be
72.7interpreted as permitting the office to determine the truth or falsity of any particular set
72.8of religious beliefs.
72.9 Subd. 4. Descriptive language required. Any certificate, diploma, degree, or other
72.10formal recognition awarded upon completion of any religiously exempt program shall
72.11include such descriptive language as to make the religious nature of the award clear.
72.12 Sec. 32. EFFECTIVE DATE; TRANSITION PROCESS.
72.13 This article is effective July 1, 2007. Schools licensed pursuant to Minnesota
72.14Statutes, chapter 141, that qualify for private institution registration after July 1, 2007,
72.15shall apply for and complete the process for registration prior to the expiration of their
72.16current private career school license under Minnesota Statutes, chapter 141. Schools
72.17registered as private institutions pursuant to Minnesota Statutes, sections 136A.61 to
72.18136A.71, that are required to obtain a private career school license after July 1, 2007, shall
72.19apply for and complete the process for licensure prior to the expiration of the current
72.20registration, but in any event no later than December 31, 2007. If the office finds it
72.21is necessary to allow for the proper processing of license or registration applications
72.22required by this section, the office is authorized to extend existing license or registration
72.23for a reasonable period of time.