2007 Minnesota Statutes

176.611 MAINTENANCE OF STATE COMPENSATION REVOLVING FUND.
    Subdivision 1. Generally. The state compensation revolving fund shall be maintained as
provided in the following subdivisions.
    Subd. 2. State departments. Every department of the state, including the University of
Minnesota, shall reimburse the fund for money paid for its claims and the costs of administering
the revolving fund at such times and in such amounts as the commissioner of employee relations
shall certify has been paid out of the fund on its behalf. The heads of the departments shall
anticipate these payments by including them in their budgets. In addition, the commissioner of
employee relations, with the approval of the commissioner of finance, may require an agency to
make advance payments to the fund sufficient to cover the agency's estimated obligation for a
period of at least 60 days. Reimbursements and other money received by the commissioner of
employee relations under this subdivision must be credited to the state compensation revolving
fund.
    Subd. 2a. Alternative cost allocation account. To reduce long-term costs, minimize
impairment to agency operations and budgets, and distribute risk of claims, the commissioner of
employee relations shall maintain a separate account within the state compensation revolving
fund. The account shall be used to pay for lump-sum or annuitized settlements, structured
claim settlements, and legal, medical, indemnity, or other claim costs that might pose a
significant burden for agencies. The commissioner of employee relations, with the approval
of the commissioner of finance, may establish criteria and procedures for payment from the
account on an agency's behalf. The commissioner of employee relations may assess agencies on
a reimbursement or premium basis from time to time to ensure adequate account reserves. The
account consists of appropriations from the general fund, receipts from billings to agencies, and
credited investment gains or losses attributable to balances in the account. The State Board of
Investment shall invest the assets of the account according to section 11A.24.
    Subd. 3.[Repealed, 1986 c 461 s 37]
    Subd. 3a. Loans. To maintain an ongoing balance sufficient to pay sums currently due for
benefits and administrative costs, the commissioner of finance, upon request of the commissioner
of employee relations, may transfer money from the general fund to the state compensation
revolving fund. Before requesting the transfer, the commissioner of employee relations must
decide there is not enough money in the fund for an immediate, necessary expenditure. The
amount necessary to make the transfer is appropriated from the general fund to the commissioner
of finance. The commissioner of employee relations shall make schedules to repay the transferred
money to the general fund. The repayment may not extend beyond five years.
    Subd. 4.[Repealed, 1986 c 461 s 37]
    Subd. 5.[Repealed, 1974 c 355 s 14]
    Subd. 6.[Repealed, 1974 c 355 s 14]
    Subd. 6a. Appropriations constituting fund. The revolving fund consists of $3,437,690
appropriated from the general fund and other funds, along with credited investment gains or losses
attributable to balances in the account. The State Board of Investment shall invest the fund's
assets according to section 11A.24.
History: 1953 c 755 s 78; 1955 c 744 s 1; 1957 c 656 s 1; 1963 c 551 s 1; 1965 c 57 s 1;
1969 c 399 s 49; 1971 c 907 s 1; 1973 c 388 s 147-149; 1974 c 355 s 15; 1975 c 204 s 77; 1976 c
166 s 7; 1979 c 50 s 19; 1986 c 461 s 35; 1987 c 404 s 151-153; 1988 c 667 s 24,25; 1994 c 632
art 3 s 52; 1997 c 202 art 2 s 41; 2000 c 447 s 22