HF 1

1st Engrossment - 92nd Legislature, 2021 1st Special Session (2021 - 2021) Posted on 06/23/2021 10:15am

A bill for an act
relating to state government; establishing a biennial budget for Department of
Employment and Economic Development, Department of Labor and Industry,
Bureau of Mediation Services, and Workers' Compensation Court of Appeals;
modifying various provisions governing economic development, labor and industry,
unemployment insurance, higher education, transportation, and agriculture;
establishing Main Street Economic Revitalization Loan Program; establishing
Main Street COVID-19 Relief grants; modifying fees; classifying data; requiring
reports; appropriating money; amending Minnesota Statutes 2020, sections 13.7905,
by adding a subdivision; 41A.19; 116J.035, subdivision 6; 116J.431, subdivisions
2, 3, by adding a subdivision; 116L.40, subdivisions 5, 6, 9, 10, by adding a
subdivision; 116L.41, subdivisions 1, 2, by adding subdivisions; 116L.42,
subdivisions 1, 2; 178.012, subdivision 1; 181.939; 268.035, subdivision 21c;
268.085, subdivisions 2, 4a; 268.133; 268.136, subdivision 1; 326B.07, subdivision
1; 326B.092, subdivision 7; 326B.108, subdivisions 1, 3, by adding a subdivision;
326B.133, subdivision 8; 326B.42, by adding subdivisions; 326B.46, subdivision
1; 326B.89, subdivisions 1, 4, 5, 9; Laws 2014, chapter 211, section 13, as amended;
Laws 2017, chapter 94, article 1, section 2, subdivision 2, as amended; Laws 2019,
First Special Session chapter 7, article 1, sections 2, subdivision 2, as amended;
3, subdivision 4; article 2, section 8; proposing coding for new law in Minnesota
Statutes, chapters 41A; 116J; 181A; 299F; repealing Minnesota Statutes 2020,
sections 181.9414; 268.085, subdivision 4.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

APPROPRIATIONS

Section 1. new text begin APPROPRIATIONS. new text end

new text begin (a) The sums shown in the columns marked "Appropriations" are appropriated to the
agencies and for the purposes specified in this article. The appropriations are from the
general fund, or another named fund, and are available for the fiscal years indicated for
each purpose. The figures "2022" and "2023" used in this article mean that the appropriations
listed under them are available for the fiscal year ending June 30, 2022, or June 30, 2023,
respectively. "The first year" is fiscal year 2022. "The second year" is fiscal year 2023. "The
biennium" is fiscal years 2022 and 2023.
new text end

new text begin (b) If an appropriation in this article is enacted more than once in the 2021 regular or
special legislative session, the appropriation must be given effect only once.
new text end

			new text begin APPROPRIATIONS new text end
			new text begin Available for the Year new text end
			new text begin Ending June 30 new text end
				new text begin 2022 new text end		new text begin 2023 new text end

Sec. 2. new text begin DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 289,150,000 new text end

new text begin $ new text end

new text begin 130,939,000 new text end

new text begin Appropriations by Fund new text end
	new text begin 2022 new text end	new text begin 2023 new text end
new text begin General new text end	new text begin 248,701,000 new text end	new text begin 90,740,000 new text end
new text begin Remediation new text end	new text begin 700,000 new text end	new text begin 700,000 new text end
new text begin Workforce Development new text end	new text begin 39,749,000 new text end	new text begin 39,499,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin Business and Community Development new text end

new text begin 203,015,000 new text end

new text begin 44,741,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 200,215,000 new text end	new text begin 41,941,000 new text end
new text begin Remediation new text end	new text begin 700,000 new text end	new text begin 700,000 new text end
new text begin Workforce Development new text end	new text begin 2,100,000 new text end	new text begin 2,100,000 new text end

new text begin (a) $1,787,000 each year is for the greater
Minnesota business development public
infrastructure grant program under Minnesota
Statutes, section 116J.431. This appropriation
is available until June 30, 2025.
new text end

new text begin (b) $8,425,000 in the first year and $1,425,000
in the second year are for the business
development competitive grant program. Of
this amount, up to five percent is for
administration and monitoring of the business
development competitive grant program and
$7,000,000 in the first year is for technical
assistance to small businesses. Except for
awards for technical assistance for small
businesses, all grant awards shall be for two
consecutive years. Grants shall be awarded in
the first year.
new text end

new text begin (c) $1,772,000 each year is for contaminated
site cleanup and development grants under
Minnesota Statutes, sections 116J.551 to
116J.558. This appropriation is available until
expended.
new text end

new text begin (d) $700,000 each year is from the remediation
fund for contaminated site cleanup and
development grants under Minnesota Statutes,
sections 116J.551 to 116J.558. This
appropriation is available until expended.
new text end

new text begin (e) $139,000 each year is for the Center for
Rural Policy and Development.
new text end

new text begin (f) $25,000 each year is for the administration
of state aid for the Destination Medical Center
under Minnesota Statutes, sections 469.40 to
469.47.
new text end

new text begin (g) $875,000 each year is for the host
community economic development program
established in Minnesota Statutes, section
116J.548.
new text end

new text begin (h)(1) $2,500,000 each year is for grants to
local communities to increase the number of
quality child care providers to support
economic development. This appropriation is
available through June 30, 2023. Fifty percent
of grant funds must go to communities located
outside the seven-county metropolitan area as
defined in Minnesota Statutes, section
473.121, subdivision 2. In fiscal year 2024
and beyond, the base amount is $1,500,000.
new text end

new text begin (2) Grant recipients must obtain a 50 percent
nonstate match to grant funds in either cash
or in-kind contribution, unless the
commissioner waives the requirement. Grant
funds available under this subdivision must
be used to implement projects to reduce the
child care shortage in the state, including but
not limited to funding for child care business
start-ups or expansion, training, facility
modifications, direct subsidies or incentives
to retain employees, or improvements required
for licensing, and assistance with licensing
and other regulatory requirements. In awarding
grants, the commissioner must give priority
to communities that have demonstrated a
shortage of child care providers.
new text end

new text begin (3) Within one year of receiving grant funds,
grant recipients must report to the
commissioner on the outcomes of the grant
program, including but not limited to the
number of new providers, the number of
additional child care provider jobs created, the
number of additional child care slots, and the
amount of cash and in-kind local funds
invested. Within one month of all grant
recipients reporting on program outcomes, the
commissioner must report the grant recipients'
outcomes to the chairs and ranking members
of the legislative committees with jurisdiction
over early learning and child care and
economic development.
new text end

new text begin (i) $1,500,000 each year is for a grant to the
Minnesota Initiative Foundations. This
appropriation is available until June 30, 2025.
In fiscal year 2024 and beyond, the base
amount is $1,000,000. The Minnesota
Initiative Foundations must use grant funds
under this section to:
new text end

new text begin (1) facilitate planning processes for rural
communities resulting in a community solution
action plan that guides decision making to
sustain and increase the supply of quality child
care in the region to support economic
development;
new text end

new text begin (2) engage the private sector to invest local
resources to support the community solution
action plan and ensure quality child care is a
vital component of additional regional
economic development planning processes;
new text end

new text begin (3) provide locally based training and technical
assistance to rural child care business owners
individually or through a learning cohort.
Access to financial and business development
assistance must prepare child care businesses
for quality engagement and improvement by
stabilizing operations, leveraging funding from
other sources, and fostering business acumen
that allows child care businesses to plan for
and afford the cost of providing quality child
care; and
new text end

new text begin (4) recruit child care programs to participate
in quality rating and improvement
measurement programs. The Minnesota
Initiative Foundations must work with local
partners to provide low-cost training,
professional development opportunities, and
continuing education curricula. The Minnesota
Initiative Foundations must fund, through local
partners, an enhanced level of coaching to
rural child care providers to obtain a quality
rating through measurement programs.
new text end

new text begin (j) $8,000,000 each year is for the Minnesota
job creation fund under Minnesota Statutes,
section 116J.8748. Of this amount, the
commissioner of employment and economic
development may use up to three percent for
administrative expenses. This appropriation
is available until expended.
new text end

new text begin (k) $10,029,000 the first year and $10,028,000
the second year are for the Minnesota
investment fund under Minnesota Statutes,
section 116J.8731. Of this amount, the
commissioner of employment and economic
development may use up to three percent for
administration and monitoring of the program.
In fiscal year 2024 and beyond, the base
amount is $12,370,000. This appropriation is
available until expended. Notwithstanding
Minnesota Statutes, section 116J.8731, money
appropriated to the commissioner for the
Minnesota investment fund may be used for
the redevelopment program under Minnesota
Statutes, sections 116J.575 and 116J.5761, at
the discretion of the commissioner. Grants
under this paragraph are not subject to the
grant amount limitation under Minnesota
Statutes, section 116J.8731.
new text end

new text begin (l) $0 each year is for the redevelopment
program under Minnesota Statutes, sections
116J.575 and 116J.5761. In fiscal year 2024
and beyond, the base amount is $2,246,000.
new text end

new text begin (m) $1,000,000 each year is for the Minnesota
emerging entrepreneur loan program under
Minnesota Statutes, section 116M.18. Funds
available under this paragraph are for transfer
into the emerging entrepreneur program
special revenue fund account created under
Minnesota Statutes, chapter 116M, and are
available until expended. Of this amount, up
to four percent is for administration and
monitoring of the program.
new text end

new text begin (n) $325,000 each year is for the Minnesota
Film and TV Board. The appropriation in each
year is available only upon receipt by the
board of $1 in matching contributions of
money or in-kind contributions from nonstate
sources for every $3 provided by this
appropriation, except that each year up to
$50,000 is available on July 1 even if the
required matching contribution has not been
received by that date.
new text end

new text begin (o) $12,000 each year is for a grant to the
Upper Minnesota Film Office.
new text end

new text begin (p) $500,000 each year is for a grant to the
Minnesota Film and TV Board for the film
production jobs program under Minnesota
Statutes, section 116U.26. This appropriation
is available until June 30, 2025.
new text end

new text begin (q) $4,195,000 each year is for the Minnesota
job skills partnership program under
Minnesota Statutes, sections 116L.01 to
116L.17. If the appropriation for either year
is insufficient, the appropriation for the other
year is available. This appropriation is
available until expended.
new text end

new text begin (r) $1,350,000 each year from the workforce
development fund is for jobs training grants
under Minnesota Statutes, section 116L.41.
new text end

new text begin (s) $2,500,000 each year is for Launch
Minnesota. This appropriation is available
until June 30, 2025. The base in fiscal year
2026 is $0. Of this amount:
new text end

new text begin (1) $1,500,000 each year is for innovation
grants to eligible Minnesota entrepreneurs or
start-up businesses to assist with their
operating needs;
new text end

new text begin (2) $500,000 each year is for administration
of Launch Minnesota; and
new text end

new text begin (3) $500,000 each year is for grantee activities
at Launch Minnesota.
new text end

new text begin (t) $1,148,000 the first year is for a grant to
the Northeast Entrepreneur Fund, a small
business administration microlender and
community development financial institution
operating in northern Minnesota. Grant funds
must be used as capital for accessing
additional federal lending for small businesses
impacted by COVID-19 and must be returned
to the commissioner for deposit in the general
fund if the Northeast Entrepreneur Fund fails
to secure such federal funds before January 1,
2022.
new text end

new text begin (u) $80,000,000 the first year is for the Main
Street Economic Revitalization Loan Program.
Of this amount, up to $300,000 is for the
commissioner's administration and monitoring
of the program. This appropriation is available
until June 30, 2025.
new text end

new text begin (v) $70,000,000 the first year is for the Main
Street COVID-19 Relief Grant Program. Of
this amount, up to:
new text end

new text begin (1) $34,950,000 is for grants to the Minnesota
Initiative Foundations to serve businesses
outside of the metropolitan area as defined in
Minnesota Statutes, section 473.121,
subdivision 2;
new text end

new text begin (2) $34,950,000 is for grants to partner
organizations to serve businesses inside the
metropolitan area as defined in Minnesota
Statutes, section 473.121, subdivision 2; and
new text end

new text begin (3) $100,000 is for the commissioner's
administration and monitoring of the program.
new text end

new text begin (w) $250,000 each year is for the publication,
dissemination, and use of labor market
information under Minnesota Statutes, section
116J.401.
new text end

new text begin (x) $500,000 each year is for the airport
infrastructure renewal (AIR) grant program
under Minnesota Statutes, section 116J.439.
In awarding grants with this appropriation, the
commissioner must prioritize eligible
applicants that did not receive a grant pursuant
to the appropriation in Laws 2019, First
Special Session chapter 7, article 1, section 2,
subdivision 2, paragraph (q).
new text end

new text begin (y) $750,000 each year is from the workforce
development fund for grants to the
Neighborhood Development Center for small
business programs, including:
new text end

new text begin (1) training, lending, and business services;
new text end

new text begin (2) model outreach and training in greater
Minnesota; and
new text end

new text begin (3) development of new business incubators.
new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 3. new text end new text begin Employment and Training Programs new text end

new text begin 37,185,000 new text end

new text begin 36,935,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 7,421,000 new text end	new text begin 7,421,000 new text end
new text begin Workforce Development new text end	new text begin 29,764,000 new text end	new text begin 29,514,000 new text end

new text begin (a) $500,000 each year from the general fund
and $500,000 each year from the workforce
development fund are for rural career
counseling coordinators in the workforce
service areas and for the purposes specified
under Minnesota Statutes, section 116L.667.
new text end

new text begin (b) $750,000 each year is for the women and
high-wage, high-demand, nontraditional jobs
grant program under Minnesota Statutes,
section 116L.99. Of this amount, up to five
percent is for administration and monitoring
of the program.
new text end

new text begin (c) $2,546,000 each year from the general fund
and $4,604,000 each year from the workforce
development fund are for the pathways to
prosperity competitive grant program. Of this
amount, up to five percent is for administration
and monitoring of the program.
new text end

new text begin (d) $712,000 each year is from the workforce
development fund for a grant to the American
Indian Opportunities and Industrialization
Center, in collaboration with the Northwest
Indian Community Development Center, to
reduce academic disparities for American
Indian students and adults. This is a onetime
appropriation. The grant funds may be used
to provide:
new text end

new text begin (1) student tutoring and testing support
services;
new text end

new text begin (2) training and employment placement in
information technology;
new text end

new text begin (3) training and employment placement within
trades;
new text end

new text begin (4) assistance in obtaining a GED;
new text end

new text begin (5) remedial training leading to enrollment
and to sustain enrollment in a postsecondary
higher education institution;
new text end

new text begin (6) real-time work experience in information
technology fields and in the trades;
new text end

new text begin (7) contextualized adult basic education;
new text end

new text begin (8) career and educational counseling for
clients with significant and multiple barriers;
and
new text end

new text begin (9) reentry services and counseling for adults
and youth.
new text end

new text begin After notification to the chairs and minority
leads of the legislative committees with
jurisdiction over jobs and economic
development, the commissioner may transfer
this appropriation to the commissioner of
education.
new text end

new text begin (e) $500,000 each year is from the workforce
development fund for current Minnesota
affiliates of OIC of America, Inc. This
appropriation shall be divided equally among
the eligible centers.
new text end

new text begin (f) $1,000,000 each year is for competitive
grants to organizations providing services to
relieve economic disparities in the Southeast
Asian community through workforce
recruitment, development, job creation,
assistance of smaller organizations to increase
capacity, and outreach. Of this amount, up to
five percent is for administration and
monitoring of the program.
new text end

new text begin (g) $1,000,000 each year is for a competitive
grant program to provide grants to
organizations that provide support services for
individuals, such as job training, employment
preparation, internships, job assistance to
parents, financial literacy, academic and
behavioral interventions for low-performing
students, and youth intervention. Grants made
under this section must focus on low-income
communities, young adults from families with
a history of intergenerational poverty, and
communities of color. Of this amount, up to
five percent is for administration and
monitoring of the program.
new text end

new text begin (h) $750,000 each year from the general fund
and $3,348,000 each year from the workforce
development fund are for the youth-at-work
competitive grant program under Minnesota
Statutes, section 116L.562. Of this amount,
up to five percent is for administration and
monitoring of the youth workforce
development competitive grant program. All
grant awards shall be for two consecutive
years. Grants shall be awarded in the first year.
new text end

new text begin (i) $875,000 each year is for a grant to the
Minnesota Technology Association to support
the SciTech Internship Program, a program
that supports science, technology, engineering,
and math (STEM) internship opportunities for
two- and four-year college students and
graduate students in their fields of study. The
internship opportunities must match students
with paid internships within STEM disciplines
at small, for-profit companies located in
Minnesota having fewer than 250 employees
worldwide. At least 200 students must be
matched each year. No more than 15 percent
of the hires may be graduate students. Selected
hiring companies shall receive from the grant
50 percent of the wages paid to the intern,
capped at $2,500 per intern. The program must
work toward increasing the participation
among women or other underserved
populations. This is a onetime appropriation.
new text end

new text begin (j) $1,000,000 each year is from the workforce
development fund for the youthbuild program
under Minnesota Statutes, sections 116L.361
to 116L.366.
new text end

new text begin (k) $4,050,000 each year is from the
workforce development fund for the
Minnesota youth program under Minnesota
Statutes, sections 116L.56 and 116L.561.
new text end

new text begin (l) $500,000 each year is from the workforce
development fund for performance grants
under Minnesota Statutes, section 116J.8747,
to Goodwill-Easter Seals Minnesota and its
partners. The grant shall be used to continue
the FATHER Project in Rochester, Park
Rapids, St. Cloud, St. Paul, Minneapolis, and
the surrounding areas to assist fathers in
overcoming barriers that prevent fathers from
supporting their children economically and
emotionally. This is a onetime appropriation.
new text end

new text begin (m) $350,000 each year is from the workforce
development fund for performance grants
under Minnesota Statutes, section 116J.8747,
to the International Institute of Minnesota for
workforce training for New Americans in
industries in need of a trained workforce. This
is a onetime appropriation.
new text end

new text begin (n) $750,000 each year is from the workforce
development fund for a grant to the Minnesota
Alliance of Boys and Girls Clubs to administer
a statewide project of youth job skills and
career development. This project, which may
have career guidance components including
health and life skills, must be designed to
encourage, train, and assist youth in: early
access to education and job-seeking skills;
work-based learning experience including
career pathways in STEM learning, career
exploration, and matching; and first job
placement through local community
partnerships and on-site job opportunities. This
grant requires a 25 percent match from
nonstate sources. This is a onetime
appropriation.
new text end

new text begin (o) $250,000 each year is from the workforce
development fund for grants to the Minnesota
Grocers Association Foundation for Carts to
Careers, a statewide initiative to promote
careers, conduct outreach, provide job skills
training, and grant scholarships for careers in
the retail food industry. This is a onetime
appropriation.
new text end

new text begin (p) $250,000 the first year is from the
workforce development fund for a grant to the
ProStart and Hospitality Tourism Management
Program for a well-established, proven, and
successful education program that helps young
people advance careers in the hospitality
industry and addresses critical long-term
workforce shortages in that industry.
new text end

new text begin (q) $375,000 each year is from the workforce
development fund for a grant to the
Construction Careers Foundation for the
construction career pathway initiative to
provide year-round educational and
experiential learning opportunities for teens
and young adults under the age of 21 that lead
to careers in the construction industry. This is
a onetime appropriation. Grant funds must be
used to:
new text end

new text begin (1) increase construction industry exposure
activities for middle school and high school
youth, parents, and counselors to reach a more
diverse demographic and broader statewide
audience. This requirement includes, but is
not limited to, an expansion of programs to
provide experience in different crafts to youth
and young adults throughout the state;
new text end

new text begin (2) increase the number of high schools in
Minnesota offering construction classes during
the academic year that utilize a multicraft
curriculum;
new text end

new text begin (3) increase the number of summer internship
opportunities;
new text end

new text begin (4) enhance activities to support graduating
seniors in their efforts to obtain employment
in the construction industry;
new text end

new text begin (5) increase the number of young adults
employed in the construction industry and
ensure that they reflect Minnesota's diverse
workforce; and
new text end

new text begin (6) enhance an industrywide marketing
campaign targeted to youth and young adults
about the depth and breadth of careers within
the construction industry.
new text end

new text begin Programs and services supported by grant
funds must give priority to individuals and
groups that are economically disadvantaged
or historically underrepresented in the
construction industry, including but not limited
to women, veterans, and members of minority
and immigrant groups.
new text end

new text begin (r) $700,000 each year is from the workforce
development fund for a grant to Comunidades
Latinas Unidas En Servicio-Latino
Communities United in Service (CLUES) to
expand culturally tailored programs that
address employment and education skill gaps
for working parents and underserved youth by
providing new job skills training to stimulate
higher wages for low-income people, family
support systems designed to reduce
intergenerational poverty, and youth
programming to promote educational
advancement and career pathways. At least
50 percent of this amount must be used for
programming targeted at greater Minnesota.
This is a onetime appropriation.
new text end

new text begin (s) $700,000 each year is from the workforce
development fund for performance grants
under Minnesota Statutes, section 116J.8747,
to Twin Cities R!SE to provide training to
hard-to-train individuals. This is a onetime
appropriation and funds are available until
June 30, 2024.
new text end

new text begin (t) $475,000 each year is from the workforce
development fund for a grant to Bridges to
Healthcare to provide career education,
wraparound support services, and job skills
training in high-demand health care fields to
low-income parents, nonnative speakers of
English, and other hard-to-train individuals,
helping families build secure pathways out of
poverty while also addressing worker
shortages in one of Minnesota's most
innovative industries. Funds may be used for
program expenses, including but not limited
to hiring instructors and navigators; space
rental; and supportive services to help
participants attend classes, including assistance
with course fees, child care, transportation,
and safe and stable housing. In addition, up to
five percent of grant funds may be used for
Bridges to Healthcare's administrative costs.
This is a onetime appropriation.
new text end

new text begin (u) $650,000 each year is from the workforce
development fund for performance grants
under Minnesota Statutes, section 116J.8747,
to Avivo to provide low-income individuals
with career education and job skills training
that is integrated with chemical and mental
health services. This is a onetime
appropriation.
new text end

new text begin (v) $300,000 each year is from the workforce
development fund for a grant to the Hmong
American Partnership, in collaboration with
community partners, for services targeting
Minnesota communities with the highest
concentrations of Southeast Asian joblessness,
based on the most recent census tract data, to
provide employment readiness training,
credentialed training placement, job placement
and retention services, supportive services for
hard-to-employ individuals, and a general
education development fast track and adult
diploma program. This is a onetime
appropriation.
new text end

new text begin (w) $125,000 each year is from the workforce
development fund for a grant to the Hmong
Chamber of Commerce to train ethnically
Southeast Asian business owners and
operators in better business practices. Of this
amount, up to $5,000 may be used for
administrative costs. This is a onetime
appropriation.
new text end

new text begin (x) $225,000 each year is from the workforce
development fund for Minnesota Family
Resiliency Partnership programs under
Minnesota Statutes, section 116L.96. The
commissioner, through the adult career
pathways program, shall distribute the funds
to existing nonprofit and Minnesota Family
Resiliency Partnership programs. This is a
onetime appropriation.
new text end

new text begin (y) $1,175,000 each year is from the
workforce development fund for a grant to
Summit Academy OIC to expand their
contextualized GED and employment
placement program and STEM program. This
is a onetime appropriation.
new text end

new text begin (z) $250,000 each year is from the workforce
development fund for a grant to Big Brothers
Big Sisters of the Greater Twin Cities for
workforce readiness, employment exploration,
and skills development for youth ages 12 to
21. The grant must serve youth in the Big
Brothers Big Sisters chapters in the Twin
Cities, central Minnesota, and southern
Minnesota. This is a onetime appropriation.
new text end

new text begin (aa) $400,000 each year is from the workforce
development fund for a grant to Ujamaa Place
for job training, employment preparation,
internships, education, training in vocational
trades, housing, and organizational capacity
building. This is a onetime appropriation.
new text end

new text begin (bb) $150,000 each year is from the workforce
development fund for performance grants
under Minnesota Statutes, section 116J.8747,
to the YWCA of St. Paul to provide job
training services and workforce development
programs and services, including job skills
training and counseling. This is a onetime
appropriation.
new text end

new text begin (cc) $700,000 each year is from the workforce
development fund for a grant to Youthprise
to give grants through a competitive process
to community organizations to provide
economic development services designed to
enhance long-term economic self-sufficiency
in communities with concentrated East African
populations. Such communities include but
are not limited to Faribault, Rochester, St.
Cloud, Moorhead, and Willmar. Youthprise
must make at least 50 percent of these grants
to organizations serving communities located
outside the seven-county metropolitan area,
as defined in Minnesota Statutes, section
473.121, subdivision 2. This is a onetime
appropriation.
new text end

new text begin (dd) $450,000 each year is from the workforce
development fund for grants to Minnesota
Diversified Industries, Inc., to provide
inclusive employment opportunities and
services for people with disabilities. This is a
onetime appropriation.
new text end

new text begin (ee) $150,000 each year is from the workforce
development fund for a grant to the YWCA
of Minneapolis to provide economically
challenged individuals the job skills training,
career counseling, and job placement
assistance necessary to secure a child
development associate credential and to have
a career path in early childhood education.
This is a onetime appropriation.
new text end

new text begin (ff) $250,000 each year is from the workforce
development fund for a grant to EMERGE
Community Development for the
Cedar-Riverside Opportunity Center and its
on-site partners to address employment and
economic disparities for low-income
unemployed or underemployed individuals
who are primarily East African. Funds must
be used for operations and administrative costs
of the site in support of career pathways and
certified credentials, workforce readiness,
financial readiness, and employment
placement and retention services. This is a
onetime appropriation.
new text end

new text begin (gg) $1,000,000 each year is from the
workforce development fund for a grant to
Propel Nonprofits to provide capacity-building
grants and related technical assistance to small,
culturally specific organizations that primarily
serve historically underserved cultural
communities. Propel Nonprofits may only
award grants to nonprofit organizations that
have an annual organizational budget of less
than $500,000. These grants may be used for:
new text end

new text begin (1) organizational infrastructure
improvements, including developing database
management systems and financial systems,
or other administrative needs that increase the
organization's ability to access new funding
sources;
new text end

new text begin (2) organizational workforce development,
including hiring culturally competent staff,
training and skills development, and other
methods of increasing staff capacity; or
new text end

new text begin (3) creating or expanding partnerships with
existing organizations that have specialized
expertise in order to increase capacity of the
grantee organization to improve services to
the community.
new text end

new text begin Of this amount, up to five percent may be used
by Propel Nonprofits for administrative costs.
This is a onetime appropriation.
new text end

new text begin (hh) $300,000 each year is from the workforce
development fund for a grant to Better Futures
Minnesota to provide job skills training to
individuals who have been released from
incarceration for a felony-level offense and
are no more than 12 months from the date of
release. This is a onetime appropriation.
new text end

new text begin (ii) $250,000 each year is from the workforce
development fund for a grant to the
Juxtaposition Arts Center to provide job
training and workforce development services
for underserved communities. This is a
onetime appropriation.
new text end

new text begin (jj) $275,000 each year is from the workforce
development fund for a grant to Workforce
Development, Inc., to provide career
education, wraparound support services, and
job skills training in high-demand
manufacturing fields to low-income parents,
nonnative speakers of English, and other
hard-to-train individuals, helping families
build secure pathways out of poverty while
also addressing worker shortages in the
Owatonna and Steele County area. Funds may
be used for program expenses, including but
not limited to hiring instructors and navigators;
space rental; and supportive services to help
participants attend classes, including assistance
with course fees, child care, transportation,
and safe and stable housing. In addition, up to
five percent of grant funds may be used for
Workforce Development, Inc.'s administrative
costs. This is a onetime appropriation and is
available until June 30, 2023.
new text end

new text begin (kk) $500,000 each year is from the workforce
development fund for a grant to Pillsbury
United Communities to provide job training
and workforce development services for
underserved communities. This is a onetime
appropriation.
new text end

new text begin (ll) $250,000 each year is from the workforce
development fund for a grant to 30,000 Feet,
a nonprofit organization, to fund youth
apprenticeship jobs, after-school
programming, and summer learning loss
prevention for African American youth. This
is a onetime appropriation.
new text end

new text begin (mm) $250,000 each year is from the
workforce development fund for the getting
to work grant program. This is a onetime
appropriation.
new text end

new text begin (nn) $500,000 each year is from the workforce
development fund for a grant to Project for
Pride in Living to provide job training and
workforce development services for
underserved communities. This is a onetime
appropriation.
new text end

new text begin (oo) $1,000,000 each year is from the
workforce development fund for competitive
grants to organizations providing services to
relieve economic disparities in the African
immigrant community through workforce
recruitment, development, job creation,
assistance of smaller organizations to increase
capacity, and outreach. Of this amount, up to
five percent is for administration and
monitoring of the program. This is a onetime
appropriation.
new text end

new text begin (pp) $250,000 each year is from the workforce
development fund for a grant to the Center for
Economic Inclusion for a strategic intervention
program designed to target and connect
program participants to meaningful,
sustainable living-wage employment. This is
a onetime appropriation.
new text end

new text begin (qq) $300,000 each year is from the workforce
development fund for a grant to YMCA of the
North to provide job training and workforce
development services for underserved
communities. This is a onetime appropriation.
new text end

new text begin (rr)(1) $1,000,000 each year is from the
workforce development fund for grants to
assist internationally trained professionals in
earning the professional licenses required to
do similar work in Minnesota. The
commissioner shall work with local workforce
development boards to award these grants and
shall give preference to efforts to assist
professionals in occupations where there is
unmet local need for that profession's skills.
This is a onetime appropriation.
new text end

new text begin (2) Eligible uses of grant funds may include
but are not limited to:
new text end

new text begin (i) subsidizing the cost of training for or taking
required licensing examinations;
new text end

new text begin (ii) providing instruction in English as a
second language;
new text end

new text begin (iii) supportive services that increase the
success rate of individuals seeking licensing;
and
new text end

new text begin (iv) connecting newly licensed individuals
with appropriate employment.
new text end

new text begin (3) By February 15, 2024, and each February
15 in an even-numbered year thereafter, the
commissioner shall submit a report to the
chairs and ranking minority members of the
legislative committees with jurisdiction over
workforce development on the use of grant
funds and program outcomes. At a minimum,
the report must include:
new text end

new text begin (i) the number of new professional licenses
facilitated by the program;
new text end

new text begin (ii) information on the employment outcomes
of individuals supported by the program; and
new text end

new text begin (iii) any other quantifiable measures of
success.
new text end

new text begin Subd. 4. new text end new text begin General Support Services new text end

new text begin 3,692,000 new text end

new text begin 4,005,000 new text end

new text begin Appropriations by Fund new text end
new text begin General Fund new text end	new text begin 3,637,000 new text end	new text begin 3,950,000 new text end
new text begin Workforce Development new text end	new text begin 55,000 new text end	new text begin 55,000 new text end

new text begin $1,269,000 each year is for transfer to the
Minnesota Housing Finance Agency for
operating the Olmstead Compliance Office.
new text end

new text begin Subd. 5. new text end new text begin Minnesota Trade Office new text end

new text begin 2,142,000 new text end

new text begin 2,142,000 new text end

new text begin (a) $200,000 each year is for the STEP grants
in Minnesota Statutes, section 116J.979. The
base for this purpose in fiscal year 2024 and
beyond is $300,000.
new text end

new text begin (b) $180,000 each year is for the Invest
Minnesota marketing initiative in Minnesota
Statutes, section 116J.9781.
new text end

new text begin (c) $270,000 each year is for the Minnesota
Trade Offices under Minnesota Statutes,
section 116J.978.
new text end

new text begin Subd. 6. new text end new text begin Vocational Rehabilitation new text end

new text begin 36,691,000 new text end

new text begin 36,691,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 28,861,000 new text end	new text begin 28,861,000 new text end
new text begin Workforce Development new text end	new text begin 7,830,000 new text end	new text begin 7,830,000 new text end

new text begin (a) $14,300,000 each year is for the state's
vocational rehabilitation program under
Minnesota Statutes, chapter 268A.
new text end

new text begin (b) $8,995,000 each year from the general fund
and $6,830,000 each year from the workforce
development fund are for extended
employment services for persons with severe
disabilities under Minnesota Statutes, section
268A.15. Of the amounts appropriated from
the general fund, $2,000,000 each year is for
maintaining prior rate increases to providers
of extended employment services for persons
with severe disabilities under Minnesota
Statutes, section 268A.15.
new text end

new text begin (c) $2,555,000 each year is for grants to
programs that provide employment support
services to persons with mental illness under
Minnesota Statutes, sections 268A.13 and
268A.14.
new text end

new text begin (d) $3,011,000 each year is for grants to
centers for independent living under
Minnesota Statutes, section 268A.11.
new text end

new text begin (e) $1,000,000 each year is from the workforce
development fund for grants under Minnesota
Statutes, section 268A.16, for employment
services for persons, including transition-age
youth, who are deaf, deafblind, or
hard-of-hearing. If the amount in the first year
is insufficient, the amount in the second year
is available in the first year.
new text end

new text begin Subd. 7. new text end new text begin Services for the Blind new text end

new text begin 6,425,000 new text end

new text begin 6,425,000 new text end

new text begin Of this amount, $500,000 each year is for
senior citizens who are becoming blind. At
least one-half of the funds for this purpose
must be used to provide training services for
seniors who are becoming blind. Training
services must provide independent living skills
to seniors who are becoming blind to allow
them to continue to live independently in their
homes.
new text end

Sec. 3. new text begin DEPARTMENT OF LABOR AND INDUSTRY new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 31,817,000 new text end

new text begin $ new text end

new text begin 30,717,000 new text end

new text begin Appropriations by Fund new text end
	new text begin 2022 new text end	new text begin 2023 new text end
new text begin General new text end	new text begin 5,379,000 new text end	new text begin 4,379,000 new text end
new text begin Workers' Compensation new text end	new text begin 22,991,000 new text end	new text begin 22,991,000 new text end
new text begin Workforce Development new text end	new text begin 3,447,000 new text end	new text begin 3,347,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin General Support new text end

new text begin 6,939,000 new text end

new text begin 6,939,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 900,000 new text end	new text begin 900,000 new text end
new text begin Workers' Compensation new text end	new text begin 6,039,000 new text end	new text begin 6,039,000 new text end

new text begin $900,000 each year is for system upgrades.
This appropriation is available until June 30,
2023, and is a onetime appropriation. This
appropriation includes funds for information
technology project services and support
subject to Minnesota Statutes, section
16E.0466. Any ongoing information
technology costs must be incorporated into
the service level agreement and must be paid
to the Office of MN.IT Services by the
commissioner of labor and industry under the
rates and mechanism specified in that
agreement.
new text end

new text begin Subd. 3. new text end new text begin Labor Standards and Apprenticeship new text end

new text begin 6,226,000 new text end

new text begin 5,226,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 4,479,000 new text end	new text begin 3,479,000 new text end
new text begin Workforce Development new text end	new text begin 1,747,000 new text end	new text begin 1,747,000 new text end

new text begin (a) $2,046,000 each year is for wage theft
prevention.
new text end

new text begin (b) $1,271,000 each year is from the
workforce development fund for the
apprenticeship program under Minnesota
Statutes, chapter 178.
new text end

new text begin (c) $151,000 each year is from the workforce
development fund for prevailing wage
enforcement.
new text end

new text begin (d) $100,000 each year is from the workforce
development fund for labor education and
advancement program grants under Minnesota
Statutes, section 178.11, to expand and
promote registered apprenticeship training for
minorities and women.
new text end

new text begin (e) $225,000 each year is from the workforce
development fund for grants to the
Construction Careers Foundation for the
Helmets to Hard Hats Minnesota initiative.
Grant funds must be used to recruit, retain,
assist, and support National Guard, reserve,
and active duty military members' and
veterans' participation into apprenticeship
programs registered with the Department of
Labor and Industry and connect them with
career training and employment in the building
and construction industry. The recruitment,
selection, employment, and training must be
without discrimination due to race, color,
creed, religion, national origin, sex, sexual
orientation, marital status, physical or mental
disability, receipt of public assistance, or age.
This is a onetime appropriation.
new text end

new text begin (f) $84,000 the first year and $34,000 the
second year are for outreach and enforcement
efforts related to changes to the nursing
mothers, lactating employees, and pregnancy
accommodations law.
new text end

new text begin (g) $1,000,000 the first year is for the loggers
safety grant program.
new text end

new text begin Subd. 4. new text end new text begin Workers' Compensation new text end

new text begin 11,882,000 new text end

new text begin 11,882,000 new text end

new text begin This appropriation is from the workers'
compensation fund.
new text end

new text begin Subd. 5. new text end new text begin Workplace Safety new text end

new text begin 5,070,000 new text end

new text begin 5,070,000 new text end

new text begin This appropriation is from the workers'
compensation fund.
new text end

new text begin Subd. 6. new text end new text begin Workforce Development Initiatives new text end

new text begin 1,700,000 new text end

new text begin 1,600,000 new text end

new text begin (a) This appropriation is from the workforce
development fund.
new text end

new text begin (b) $300,000 each year is from the workforce
development fund for the pipeline program.
new text end

new text begin (c) $200,000 each year is from the workforce
development fund for identification of
competency standards under Minnesota
Statutes, section 175.45.
new text end

new text begin (d) $1,100,000 each year is from the
workforce development fund for youth skills
training grants under Minnesota Statutes,
section 175.46. Of this amount, $100,000 each
year is for administration of the program.
new text end

new text begin (e)(1) $100,000 the first year is from the
workforce development fund for a grant to
Independent School District No. 294, Houston,
for the Minnesota Virtual Academy's career
pathway program with Operating Engineers
Local 49. The program may include up to five
semesters of courses, and must lead to
eligibility into the Operating Engineers Local
49 apprenticeship program. The grant may be
used to encourage and support student
participation in the career pathway program
through additional academic, counseling, and
other support services provided by the
student's enrolling school district to provide
these services. This appropriation is available
until June 30, 2023; and
new text end

new text begin (2) by January 15, 2024, Independent School
District No. 294, Houston, must submit a
written report to the chairs and ranking
minority members of the house of
representatives and senate committees of the
legislature having jurisdiction over education
and workforce development describing
students' experiences with the program. The
report must document the program's spending,
list the number of students participating in the
program and entering the apprenticeship
program, and make recommendations for
improving support of career pathway programs
statewide.
new text end

Sec. 4. new text begin WORKERS' COMPENSATION COURT OF APPEALS new text end

new text begin $ new text end

new text begin 2,283,000 new text end

new text begin $ new text end

new text begin 2,283,000 new text end

new text begin This appropriation is from the workers'
compensation fund.
new text end

Sec. 5. new text begin BUREAU OF MEDIATION SERVICES new text end

new text begin $ new text end

new text begin 2,370,000 new text end

new text begin $ new text end

new text begin 2,415,000 new text end

new text begin (a) $125,000 each year is for purposes of the
Public Employment Relations Board under
Minnesota Statutes, section 179A.041. This
is a onetime appropriation.
new text end

new text begin (b) $68,000 each year is for grants to area
labor management committees. Grants may
be awarded for a 12-month period beginning
July 1 each year. Any unencumbered balance
remaining at the end of the first year does not
cancel but is available for the second year.
new text end

new text begin (c) $47,000 each year is for rulemaking,
staffing, and other costs associated with peace
officer grievance procedures.
new text end

Sec. 6. new text begin DEPARTMENT OF TRANSPORTATION.
new text end

new text begin $6,200,000 in fiscal year 2022 is appropriated from the general fund to the commissioner
of transportation for project development of a land bridge freeway lid over marked Interstate
Highway 94 in a portion of the segment from Lexington Avenue to Rice Street in St. Paul.
This amount is available to match federal funds and for project planning and development,
including area planning, community and land use planning, economic development planning,
design, and project management and analysis. From this amount, the commissioner may
make grants to Reconnect Rondo to perform any eligible project development activities.
This is a onetime appropriation and is available until June 30, 2025.
new text end

Sec. 7. new text begin MINNESOTA STATE COLLEGES AND UNIVERSITIES.
new text end

new text begin $400,000 in fiscal year 2022 and $0 in fiscal year 2023 are appropriated from the general
fund to the Board of Trustees of the Minnesota State Colleges and Universities for the career
and technical educator pilot project under article 2, section 25. Of this amount, $250,000
is for transfer to Winona State University and $150,000 is for transfer to Minnesota State
College Southeast for the purposes listed in article 2, section 25. Notwithstanding Minnesota
Statutes, section 16A.28, unencumbered balances under this section do not cancel until July
1, 2025.
new text end

Sec. 8. new text begin CANCELLATIONS; FISCAL YEAR 2021.
new text end

new text begin (a) $18,265,000 of the fiscal year 2021 general fund appropriation in Laws 2020, Seventh
Special Session chapter 2, article 1, section 1, subdivision 7, is canceled.
new text end

new text begin (b) $72,000 of the fiscal year 2021 general fund appropriation in Laws 2020, Seventh
Special Session chapter 2, article 5, section 1, is canceled.
new text end

new text begin (c) $901,000 of the fiscal year 2021 general fund appropriation in Laws 2020, Seventh
Special Session chapter 2, article 4, section 1, subdivision 1, is canceled.
new text end

new text begin (d) $25,000,000 of the fiscal year 2021 general fund appropriation in Laws 2020, Seventh
Special Session chapter 2, article 3, section 2, is canceled.
new text end

new text begin (e) $205,000 of the fiscal year 2021 general fund appropriation in Laws 2019, First
Special Session chapter 7, article 1, section 2, subdivision 5, paragraph (a), estimated to be
$205,000, is canceled.
new text end

new text begin (f) $50,000 of the fiscal year 2021 general fund appropriation in Laws 2019, First Special
Session chapter 7, article 1, section 2, subdivision 5, paragraph (d), is canceled.
new text end

new text begin (g) $125,000 of the fiscal year 2021 general fund appropriation in Laws 2019, First
Special Session chapter 7, article 1, section 2, subdivision 2, paragraph (aa), is canceled.
new text end

new text begin (h) $1,022,000 of the fiscal year 2021 general fund appropriation in Laws 2019, First
Special Session chapter 7, article 1, section 2, subdivision 4, is canceled.
new text end

new text begin (i) $203,000 of the fiscal year 2021 general fund appropriation in Laws 2019, First
Special Session chapter 7, article 1, section 3, subdivision 2, is canceled.
new text end

new text begin (j) $102,000 of the fiscal year 2021 general fund appropriation in Laws 2019, First
Special Session chapter 7, article 1, section 5, is canceled.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

ARTICLE 2

ECONOMIC DEVELOPMENT

Section 1.

Minnesota Statutes 2020, section 41A.19, is amended to read:

41A.19 REPORT; INCENTIVE PROGRAMS.

By January 15 each year, the commissioner shall report on the incentive programs under
sections 41A.16, 41A.17, deleted text begin and deleted text end 41A.18 new text begin , 41A.20, and 41A.21 new text end to the legislative committees
with jurisdiction over environment and agriculture policy and finance. The report shall
include information on production and incentive expenditures under the programs.

Sec. 2.

new text begin [41A.21] ORIENTED STRAND BOARD PRODUCTION INCENTIVE.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the terms defined in this
subdivision have the meanings given them.
new text end

new text begin (b) "Commissioner" means the commissioner of agriculture.
new text end

new text begin (c) "Forest resources" means raw wood logs and material primarily made up of cellulose,
hemicellulose, or lignin, or a combination of those ingredients.
new text end

new text begin (d) "Oriented strand board" or "OSB" means a material manufactured into panels using
forest resources.
new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin (a) A facility eligible for payment under this section must source
at least 80 percent of its forest resources raw materials from Minnesota. The facility must
be located in Minnesota, must begin construction activities by December 31, 2022, for a
specific location, must begin production at a specific location by June 30, 2025, and must
not begin operating before January 1, 2022. Eligible facilities must be new OSB construction
sites with total capital investment in excess of $250,000,000. Eligible OSB production
facilities must produce at least 200,000,000 OSB square feet on a 3/8 inch nominal basis
of OSB each year. At least one product produced at the facility should be a wood-based
wall or roof structural sheathing panel that has an integrated, cellulose-based paper overlay
that serves as a water resistive barrier.
new text end

new text begin (b) No payments shall be made for OSB production that occurs after June 30, 2036, for
those eligible producers under paragraph (a).
new text end

new text begin (c) An eligible producer of OSB shall not transfer the producer's eligibility for payments
under this section to a facility at a different location.
new text end

new text begin (d) A producer that ceases production for any reason is ineligible to receive payments
under this section until the producer resumes production.
new text end

new text begin Subd. 3. new text end

new text begin Payment amounts; limits. new text end

new text begin (a) The commissioner shall make payments to
eligible producers of OSB. The amount of the payment for each eligible producer's annual
production is $7.50 per 1,000 OSB square feet on a 3/8 inch nominal basis of OSB produced
at a specific location for ten years starting after the first calendar year in which production
begins.
new text end

new text begin (b) Total payments under this section to an eligible OSB producer in a fiscal year may
not exceed the amount necessary for 400,000,000 OSB square feet on a 3/8 inch nominal
basis of OSB produced. Total payments under this section to all eligible OSB producers in
a fiscal year may not exceed the amount necessary for 400,000,000 OSB square feet on a
3/8 inch nominal basis of OSB produced. If the total amount for which all producers are
eligible in a quarter exceeds the amount available for payments, the commissioner shall
make the payments on a pro rata basis.
new text end

new text begin (c) For purposes of this section, an entity that holds a controlling interest in more than
one OSB facility is considered a single eligible producer.
new text end

new text begin Subd. 4. new text end

new text begin Forest resources requirements. new text end

new text begin Forest resources that are purchased to be used
at the facility must be in compliance with one or more of the following: the Sustainable
Forestry Initiative Fiber Sourcing Standard, the Forest Stewardship Council Chain of Custody
Standard, or the Forest Stewardship Controlled Wood Standard. For forest resources that
come from land parcels greater than 160 acres, all efforts must be made to procure from
land that is certified by one or more of the following: the Forest Stewardship Council Forest
Management Standard, the Sustainable Forestry Initiative Forest Management Standard, or
the American Tree Farm System.
new text end

new text begin Subd. 5. new text end

new text begin Claims. new text end

new text begin (a) By the last day of October, January, April, and July, each eligible
OSB producer shall file a claim for payment for OSB production during the preceding three
calendar months. An eligible OSB producer that files a claim under this subdivision shall
include a statement of the eligible producer's total board feet of OSB produced during the
quarter covered by the claim. For each claim and statement of total board feet of OSB filed
under this subdivision, the board feet of OSB produced must be examined by a certified
public accounting firm with a valid permit to practice under chapter 326A, in accordance
with Statements on Standards for Attestation Engagements established by the American
Institute of Certified Public Accountants.
new text end

new text begin (b) The commissioner must issue payments by November 15, February 15, May 15, and
August 15. A separate payment must be made for each claim filed.
new text end

new text begin Subd. 6. new text end

new text begin Appropriation. new text end

new text begin (a) In fiscal year 2025, a sum sufficient to make the payments
required by this section, not to exceed $1,500,000, is appropriated from the general fund to
the commissioner. This is a onetime appropriation.
new text end

new text begin (b) From fiscal year 2026 through fiscal year 2034, a sum sufficient to make the payments
required by this section, not to exceed $3,000,000 in a fiscal year, is annually appropriated
from the general fund to the commissioner.
new text end

Sec. 3.

Minnesota Statutes 2020, section 116J.035, subdivision 6, is amended to read:

Subd. 6.

Receipt of gifts, money; appropriation.

(a) The commissioner may:

(1) apply for, accept, and disburse gifts, bequests, grants, payments for services, loans,
or other property from the United States, the state, private foundations, or any other source;

(2) enter into an agreement required for the gifts, grants, or loans; and

(3) hold, use, and dispose of its assets according to the terms of the gift, grant, loan, or
agreement.

(b) Money received by the commissioner under this subdivision must be deposited in a
separate account in the state treasury and invested by the State Board of Investment. The
amount deposited, including investment earnings, is appropriated to the commissioner to
carry out duties under this section.

new text begin (c) Money received by the commissioner under this subdivision for State Services for
the Blind is exempt from depositing gifts, bequests, charitable contributions, and similar
contributions made solely into the state treasury.
new text end

Sec. 4.

Minnesota Statutes 2020, section 116J.431, subdivision 2, is amended to read:

Subd. 2.

Eligible projects.

new text begin (a) new text end An economic development project for which a county or
city may be eligible to receive a grant under this section includes:

(1) manufacturing;

(2) technology;

(3) warehousing and distribution;

(4) research and development;

(5) agricultural processing, defined as transforming, packaging, sorting, or grading
livestock or livestock products into goods that are used for intermediate or final consumption,
including goods for nonfood use; or

(6) industrial park development that would be used by any other business listed in this
subdivision even if no business has committed to locate in the industrial park at the time
the grant application is made.

new text begin (b) Up to 15 percent of the development of a project may be for a purpose that is not
included under this subdivision as an eligible project. A city or county must provide notice
to the commissioner for the commissioner's approval of the proposed project.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
applies to projects that have been funded previously under Minnesota Statutes, section
116J.431.
new text end

Sec. 5.

Minnesota Statutes 2020, section 116J.431, subdivision 3, is amended to read:

Subd. 3.

Ineligible projects.

deleted text begin The following deleted text end Projects new text begin , including but not limited to the
following types, new text end are deleted text begin not eligible deleted text end new text begin ineligible new text end for a grant under this section:

(1) retail development; or

(2) office space development, except as incidental to an eligible purpose.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
applies to projects that have been funded previously under Minnesota Statutes, section
116J.431.
new text end

Sec. 6.

Minnesota Statutes 2020, section 116J.431, is amended by adding a subdivision
to read:

new text begin Subd. 3a. new text end

new text begin Development restrictions expiration. new text end

new text begin After ten years from the date of the
grant award under this section, if an eligible project for which the public infrastructure was
intended has not been developed, any other lawful project may be developed and supported
by the public infrastructure. The city or county must notify the commissioner of the project.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
applies to projects that have been funded previously under Minnesota Statutes, section
116J.431.
new text end

Sec. 7.

new text begin [116J.8749] MAIN STREET ECONOMIC REVITALIZATION PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Borrower" means an eligible recipient receiving a loan guaranteed under this section.
new text end

new text begin (c) "Commissioner" means the commissioner of employment and economic development.
new text end

new text begin (d) "Eligible project" means the development, redevelopment, demolition, site preparation,
predesign, design, engineering, repair, or renovation of real property or capital improvements.
Eligible projects must be designed to address the greatest economic development and
redevelopment needs that have arisen in the community surrounding that real property since
March 15, 2020. Eligible project includes but is not limited to the construction of buildings,
infrastructure, and related site amenities, landscaping, or street-scaping. Eligible project
does not include the purchase of real estate or business operations or business operating
expenses, such as inventory, wages, or working capital.
new text end

new text begin (e) "Eligible recipient" means a:
new text end

new text begin (1) business;
new text end

new text begin (2) nonprofit organization; or
new text end

new text begin (3) developer
new text end

new text begin that is seeking funding to complete an eligible project. Eligible recipient does not include
a partner organization or a local unit of government.
new text end

new text begin (f) "Guaranteed loan" means a loan guaranteed by the state for 80 percent of the loan
amount for a maximum period of 15 years from the origination of the loan.
new text end

new text begin (g) "Leveraged grant" means a grant that is matched by the eligible recipient's
commitment to the eligible project of nonstate funds at a level of 200 percent of the grant
amount. The nonstate match may include but is not limited to funds contributed by a partner
organization and insurance proceeds.
new text end

new text begin (h) "Loan guarantee trust fund" means a dedicated account established under this section
for the purpose of compensation for defaulted loan guarantees.
new text end

new text begin (i) "Partner organizations" or "partners" means:
new text end

new text begin (1) foundations engaged in economic development;
new text end

new text begin (2) community development financial institutions; and
new text end

new text begin (3) community development corporations.
new text end

new text begin (j) "Program" means the Main Street Economic Revitalization Program under this section.
new text end

new text begin (k) "Subordinated loan" means a loan secured by a lien that is lower in priority than one
or more specified other liens.
new text end

new text begin Subd. 2. new text end

new text begin Establishment. new text end

new text begin The commissioner shall establish the Main Street Economic
Revitalization Program to make grants to partner organizations to fund leveraged grants
and guaranteed loans to specific named eligible recipients for eligible projects that are
designed to address the greatest economic development and redevelopment needs that have
arisen in the surrounding community since March 15, 2020.
new text end

new text begin Subd. 3. new text end

new text begin Grants to partner organizations. new text end

new text begin (a) The commissioner shall make grants to
partner organizations to provide leveraged grants and guaranteed loans to eligible recipients
using criteria, forms, applications, and reporting requirements developed by the
commissioner.
new text end

new text begin (b) To be eligible for a grant, a partner organization must:
new text end

new text begin (1) outline a plan to provide leveraged grants and guaranteed loans to eligible recipients
for specific eligible projects that represent the greatest economic development and
redevelopment needs in the surrounding community. This plan must include an analysis of
the economic impact of the eligible projects the partner organization proposes to make these
investments in;
new text end

new text begin (2) establish a process of ensuring there are no conflicts of interest in determining awards
under the program; and
new text end

new text begin (3) demonstrate that the partner organization has raised funds for the specific purposes
of this program to commit to the proposed eligible projects or will do so within the 15-month
period following the encumbrance of funds. Existing assets and state or federal funds may
not be used to meet this requirement.
new text end

new text begin (c) Grants shall be made in up to three rounds:
new text end

new text begin (1) a first round with an application date before September 1, 2021, during which no
more than 50 percent of available funds will be granted;
new text end

new text begin (2) a second round with an application date after September 1, 2021, but before March
1, 2022; and
new text end

new text begin (3) a third round with an application date after June 30, 2023, if any funds remain after
the first two rounds.
new text end

new text begin A partner may apply in multiple rounds for projects that were not funded in earlier rounds
or for new projects.
new text end

new text begin (d) Up to four percent of a grant under this subdivision may be used by the partner
organization for administration and monitoring of the program.
new text end

new text begin Subd. 4. new text end

new text begin Award criteria. new text end

new text begin In awarding grants under this section, the commissioner shall
give funding preference to applications that:
new text end

new text begin (1) have the greatest regional economic impact under subdivision 3, paragraph (b), clause
(1), particularly with regard to increasing the local tax base; and
new text end

new text begin (2) have the greatest portion of the estimated cost of the eligible projects met through
nonstate funds.
new text end

new text begin Subd. 5. new text end

new text begin Leveraged grants to eligible recipients. new text end

new text begin (a) A leveraged grant to an eligible
recipient shall be for no more than $750,000.
new text end

new text begin (b) A leveraged grant may be used to finance no more than 30 percent of an eligible
project.
new text end

new text begin (c) An eligible project must have secured commitments for all required matching funds
and all required development approvals before a leveraged grant may be distributed.
new text end

new text begin Subd. 6. new text end

new text begin Guaranteed loans to eligible recipients. new text end

new text begin (a) A guaranteed loan to an eligible
recipient must:
new text end

new text begin (1) be for no more than $2,000,000;
new text end

new text begin (2) be for a term of no more than 15 years; and
new text end

new text begin (3) comply with the terms under subdivision 7.
new text end

new text begin (b) An eligible project must have all required development approvals before a guaranteed
loan may be distributed.
new text end

new text begin (c) Upon origination of a guaranteed loan, the commissioner must reserve ten percent
of the loan amount into the loan guarantee trust fund created under subdivision 8.
new text end

new text begin (d) No guaranteed loan may be made to an eligible recipient after December 31, 2024.
new text end

new text begin Subd. 7. new text end

new text begin Required terms for guaranteed loans. new text end

new text begin For a guaranteed loan under the
program:
new text end

new text begin (1) principal and interest payments made by the borrower under the terms of the loan
are to reduce the guaranteed and nonguaranteed portion of the loan on a proportionate basis.
The nonguaranteed portion shall not receive preferential treatment over the guaranteed
portion;
new text end

new text begin (2) the partner organization shall not accelerate repayment of the loan or exercise other
remedies if the borrower defaults, unless:
new text end

new text begin (i) the borrower fails to make a required payment of principal or interest within 60 days
of the due date; or
new text end

new text begin (ii) the commissioner consents in writing;
new text end

new text begin (3) in the event of a default, the partner organization may not make a demand for payment
pursuant to the guarantee unless the commissioner agrees in writing that the default has
materially affected the rights or security of the parties;
new text end

new text begin (4) the partner organization must timely prepare and deliver to the commissioner, annually
by the date specified in the loan guarantee, an audited or reviewed financial statement for
the loan, prepared by a certified public accountant according to generally accepted accounting
principles, if available, and documentation that the borrower used the loan proceeds solely
for an eligible project;
new text end

new text begin (5) the commissioner shall have access to loan documents at any time subsequent to the
loan documents being submitted to the partner organization;
new text end

new text begin (6) the partner organization must maintain adequate records and documents concerning
the loan so that the commissioner may determine the borrower's financial condition and
compliance with program requirements;
new text end

new text begin (7) orderly liquidation of collateral securing the loan must be provided for in the event
of default, pursuant to the loan guarantee; and
new text end

new text begin (8) the guaranteed portion of the loan may be subordinate to other loans made by lenders
in the overall financing package.
new text end

new text begin Subd. 8. new text end

new text begin Loan guarantee trust fund established. new text end

new text begin A loan guarantee trust fund account
in the special revenue fund is created in the state treasury to pay for defaulted loan guarantees.
The commissioner shall administer this account. The day that this section expires, all
remaining funds in the account are canceled to the general fund.
new text end

new text begin Subd. 9. new text end

new text begin Statewide program. new text end

new text begin In proportion to eligible demand, leveraged grants and
guaranteed loans under this section shall be made so that an approximately equal dollar
amount of leveraged grants and guaranteed loans are made to businesses in the metropolitan
area as in the nonmetropolitan area, not to exceed 65 percent in any one area. After June
30, 2023, the department may allow leveraged grants and guaranteed loans to be made
anywhere in the state without regard to geographic area.
new text end

new text begin Subd. 10. new text end

new text begin Exemptions. new text end

new text begin All grants and grant-making processes under this section are
exempt from Minnesota Statutes, sections 16A.15, subdivision 3; 16B.97; and 16B.98,
subdivisions 5, 7, and 8. The commissioner must audit the use of funds under this section
in accordance with standard accounting practices. The exemptions under this subdivision
expire on December 31, 2023.
new text end

new text begin Subd. 11. new text end

new text begin Reports. new text end

new text begin (a) By January 31, 2022, and annually until December 31, 2026,
after which biennial reporting will be permitted after the commissioner consults with the
legislature, partner organizations participating in the program must provide a report to the
commissioner that includes descriptions of the eligible projects supported by the program,
the type and amount of support provided, any economic development gains attributable to
the support, and an explanation of administrative expenses.
new text end

new text begin (b) By February 15, 2022, and annually until December 31, 2026, after which biennial
reporting will be permitted after the commissioner consults with the legislature, the
commissioner must report to the legislative committees in the house of representatives and
senate with jurisdiction over economic development about funding provided under this
program based on the information received under paragraph (a) and about the performance
of the loan guarantee trust fund.
new text end

new text begin Subd. 12. new text end

new text begin Expiration. new text end

new text begin This section expires December 31, 2036.
new text end

Sec. 8.

Minnesota Statutes 2020, section 116L.40, is amended by adding a subdivision to
read:

new text begin Subd. 2a. new text end

new text begin Automation technology. new text end

new text begin "Automation technology" means a process or
procedure performed with minimal human assistance. Automation or automatic control is
the use of various control systems for operating equipment such as machinery, processes
in factories, or other applications with minimal or reduced human intervention. Adoption,
implementation, and utilization of any one of three types of automation in production are
acceptable for consideration of this program, including fixed automation, programmable
automation, and flexible automation.
new text end

Sec. 9.

Minnesota Statutes 2020, section 116L.40, subdivision 5, is amended to read:

Subd. 5.

Employee.

"Employee" means the individual employed in a new new text begin or existing new text end
job.

Sec. 10.

Minnesota Statutes 2020, section 116L.40, subdivision 6, is amended to read:

Subd. 6.

Employer.

"Employer" means the individual, corporation, partnership, limited
liability company, or association providing new jobs new text begin or investing in new automation
technology new text end and entering into an agreement.

Sec. 11.

Minnesota Statutes 2020, section 116L.40, subdivision 9, is amended to read:

Subd. 9.

Program costs.

"Program costs" means all necessary and incidental costs of
providing program services deleted text begin , except that program costs are increased by $1,000 per employee
for an individual with a disability deleted text end . The term does not include the cost of purchasing equipment
to be owned or used by the training or educational institution or service.

Sec. 12.

Minnesota Statutes 2020, section 116L.40, subdivision 10, is amended to read:

Subd. 10.

Program services.

"Program services" means training and education
specifically directed to new new text begin or existing new text end jobs that are determined to be appropriate by the
commissioner, including in-house training; services provided by institutions of higher
education and federal, state, or local agencies; or private training or educational services.
Administrative services and assessment and testing costs are included.

Sec. 13.

Minnesota Statutes 2020, section 116L.41, subdivision 1, is amended to read:

Subdivision 1.

Service provision.

Upon request, the commissioner shall provide or
coordinate the provision of program services under sections 116L.40 to 116L.42 to a business
eligible for grants under new text begin this new text end section deleted text begin 116L.42 deleted text end . The commissioner shall specify the form of
and required information to be provided with applications for projects to be funded with
grants under new text begin this new text end section deleted text begin 116L.42 deleted text end .

Sec. 14.

Minnesota Statutes 2020, section 116L.41, is amended by adding a subdivision
to read:

new text begin Subd. 1a. new text end

new text begin Job training incentive program. new text end

new text begin (a) The commissioner may provide grants
in aid of up to $200,000 to new or expanding employers at a location in Minnesota and
outside of the metropolitan area, as defined in section 473.121, subdivision 2, for the
provision of program services using the guidelines in this subdivision.
new text end

new text begin (b) The program must involve training and education specifically directed to new jobs
that are determined to be appropriate by the commissioner.
new text end

new text begin (c) The program must give preference to projects that provide training for economically
disadvantaged people, people of color, or people with disabilities and to employers located
in economically distressed areas.
new text end

new text begin (d) Employers are eligible for reimbursement of program costs of up to $10,000 per new
job for which training is provided, with an additional $1,000 available per new job for an
individual with a disability.
new text end

Sec. 15.

Minnesota Statutes 2020, section 116L.41, is amended by adding a subdivision
to read:

new text begin Subd. 1b. new text end

new text begin Automation incentive program. new text end

new text begin (a) The commissioner may provide grants
in aid of up to $35,000 to employers at a location in Minnesota outside of the metropolitan
area, as defined in section 473.121, subdivision 2, for the provision of program services
using the guidelines in this subdivision.
new text end

new text begin (b) The employer must be an existing business located in Minnesota that is in the
manufacturing or skilled assembly production industry and has 150 or fewer full-time
employees companywide.
new text end

new text begin (c) The employer must be invested in new automation technology within the past year
or plan to invest in new automation technology within the project time frame specified in
the agreement under subdivision 3.
new text end

new text begin (d) The program must involve training and education for full-time, permanent employees
that is directly related to the new automation technology.
new text end

new text begin (e) The program must give preference to projects that provide training for economically
disadvantaged people, people of color, or people with disabilities and to employers located
in economically distressed areas.
new text end

new text begin (f) Employers are eligible for program cost reimbursement of up to $5,000 per employee
trained on new automation technology and retained.
new text end

Sec. 16.

Minnesota Statutes 2020, section 116L.41, subdivision 2, is amended to read:

Subd. 2.

Agreements; required terms.

(a) The commissioner may enter into an
agreement to establish a project with an employer that:

(1) identifies program costs to be paid from sources under the program;

(2) identifies program costs to be paid by the employer;

(3) provides that on-the-job training costs for employees may not exceed 50 percent of
the annual gross wages and salaries of the new jobs in the first full year after execution of
the agreement up to a maximum of $10,000 per eligible employee;

(4) provides that each employee deleted text begin must be paid wages at least equal to the median hourly
wage for the county in which the job is located, as reported in the most recently available
data from the United States Bureau of the Census, plus benefits, by the earlier of the end
of the training period or 18 months of employment under the project deleted text end new text begin receiving training
through the project must be paid wages of at least 120 percent of the federal poverty
guidelines for a family of four, plus benefits new text end ; and

(5) provides that job training will be provided and the length of time of training.

(b) Before entering into a final agreement, the commissioner shall:

(1) determine that sufficient funds for the project are available deleted text begin under section 116L.42 deleted text end ;
and

(2) investigate the applicability of other training programs and determine whether the
job skills partnership grant program is a more suitable source of funding for the training
and whether the training can be completed in a timely manner that meets the needs of the
business.

The investigation under clause (2) must be completed within 15 days or as soon as
reasonably possible after the employer has provided the commissioner with all the requested
information.

Sec. 17.

Minnesota Statutes 2020, section 116L.42, subdivision 1, is amended to read:

Subdivision 1.

Recovery of program costs.

Amounts paid by employers for program
costs are repaid by a job training grant equal to the lesser of the following:

(1) the amount of program costs specified in the agreement for the project; or

(2) the amount of program costs paid by the employer for deleted text begin new deleted text end new text begin training new text end employees under
a project.

Sec. 18.

Minnesota Statutes 2020, section 116L.42, subdivision 2, is amended to read:

Subd. 2.

Reports.

(a) By February 1, deleted text begin 2018 deleted text end new text begin 2024 new text end , the commissioner shall report to the
governor and the legislature on the program. The report must include at least:

(1) the amount of grants issued under the program;

(2) the number of individuals receiving training under the program, including the number
of new hires who are individuals with disabilities;

(3) the number of new hires attributable to the program, including the number of new
hires who are individuals with disabilities;

(4) an analysis of the effectiveness of the grant in encouraging employment new text begin or investments
in automation technology new text end ; and

(5) any other information the commissioner determines appropriate.

(b) The report to the legislature must be distributed as provided in section 3.195.

Sec. 19.

Laws 2017, chapter 94, article 1, section 2, subdivision 2, as amended by Laws
2017, First Special Session chapter 7, section 2, is amended to read:

Subd. 2. Business and Community Development

$

46,074,000

$

40,935,000

Appropriations by Fund
General	$43,363,000	$38,424,000
Remediation	$700,000	$700,000
Workforce Development	$1,861,000	$1,811,000
Special Revenue	$150,000	-0-

(a) $4,195,000 each year is for the Minnesota
job skills partnership program under
Minnesota Statutes, sections 116L.01 to
116L.17. If the appropriation for either year
is insufficient, the appropriation for the other
year is available. This appropriation is
available until spent.

(b) $750,000 each year is for grants to the
Neighborhood Development Center for small
business programs:

(1) training, lending, and business services;

(2) model outreach and training in greater
Minnesota; and

(3) development of new business incubators.

This is a onetime appropriation.

(c) $1,175,000 each year is for a grant to the
Metropolitan Economic Development
Association (MEDA) for statewide business
development and assistance services, including
services to entrepreneurs with businesses that
have the potential to create job opportunities
for unemployed and underemployed people,
with an emphasis on minority-owned
businesses. This is a onetime appropriation.

(d) $125,000 each year is for a grant to the
White Earth Nation for the White Earth Nation
Integrated Business Development System to
provide business assistance with workforce
development, outreach, technical assistance,
infrastructure and operational support,
financing, and other business development
activities. This is a onetime appropriation.

(e)(1) $12,500,000 each year is for the
Minnesota investment fund under Minnesota
Statutes, section 116J.8731. Of this amount,
the commissioner of employment and
economic development may use up to three
percent for administration and monitoring of
the program. This appropriation is available
until spent.

(2) Of the amount appropriated in fiscal year
2018, $4,000,000 is for a loan to construct and
equip a wholesale electronic component
distribution center investing a minimum of
$200,000,000 and constructing a facility at
least 700,000 square feet in size. Loan funds
may be used for purchases of materials,
supplies, and equipment for the construction
of the facility and are available from July 1,
2017, to June 30, 2021. The commissioner of
employment and economic development shall
forgive the loan after verification that the
project has satisfied performance goals and
contractual obligations as required under
Minnesota Statutes, section 116J.8731.

(3) Of the amount appropriated in fiscal year
2018, $700,000 is for a deleted text begin loan to extend an
effluent pipe that will deliver reclaimed water
to an innovative waste-to-biofuel project
investing a minimum of $150,000,000 and
constructing a facility that is designed to
process approximately 400,000 tons of waste
annually. Loan deleted text end new text begin grant to the Metropolitan
Council under Minnesota Statutes, section
116.195, for wastewater infrastructure to
support industrial users in Rosemount that
require significant water use. Grant new text end funds are
available until June 30, deleted text begin 2021 deleted text end new text begin 2025 new text end .

(f) $8,500,000 each year is for the Minnesota
job creation fund under Minnesota Statutes,
section 116J.8748. Of this amount, the
commissioner of employment and economic
development may use up to three percent for
administrative expenses. This appropriation
is available until expended. In fiscal year 2020
and beyond, the base amount is $8,000,000.

(g) $1,647,000 each year is for contaminated
site cleanup and development grants under
Minnesota Statutes, sections 116J.551 to
116J.558. This appropriation is available until
spent. In fiscal year 2020 and beyond, the base
amount is $1,772,000.

(h) $12,000 each year is for a grant to the
Upper Minnesota Film Office.

(i) $163,000 each year is for the Minnesota
Film and TV Board. The appropriation in each
year is available only upon receipt by the
board of $1 in matching contributions of
money or in-kind contributions from nonstate
sources for every $3 provided by this
appropriation, except that each year up to
$50,000 is available on July 1 even if the
required matching contribution has not been
received by that date.

(j) $500,000 each year is from the general fund
for a grant to the Minnesota Film and TV
Board for the film production jobs program
under Minnesota Statutes, section 116U.26.
This appropriation is available until June 30,
2021.

(k) $139,000 each year is for a grant to the
Rural Policy and Development Center under
Minnesota Statutes, section 116J.421.

(l)(1) $1,300,000 each year is for the greater
Minnesota business development public
infrastructure grant program under Minnesota
Statutes, section 116J.431. This appropriation
is available until spent. If the appropriation
for either year is insufficient, the appropriation
for the other year is available. In fiscal year
2020 and beyond, the base amount is
$1,787,000. Funds available under this
paragraph may be used for site preparation of
property owned and to be used by private
entities.

(2) Of the amounts appropriated, $1,600,000
in fiscal year 2018 is for a grant to the city of
Thief River Falls to support utility extensions,
roads, and other public improvements related
to the construction of a wholesale electronic
component distribution center at least 700,000
square feet in size and investing a minimum
of $200,000,000. Notwithstanding Minnesota
Statutes, section 116J.431, a local match is
not required. Grant funds are available from
July 1, 2017, to June 30, 2021.

(m) $876,000 the first year and $500,000 the
second year are for the Minnesota emerging
entrepreneur loan program under Minnesota
Statutes, section 116M.18. Funds available
under this paragraph are for transfer into the
emerging entrepreneur program special
revenue fund account created under Minnesota
Statutes, chapter 116M, and are available until
spent. Of this amount, up to four percent is for
administration and monitoring of the program.
In fiscal year 2020 and beyond, the base
amount is $1,000,000.

(n) $875,000 each year is for a grant to
Enterprise Minnesota, Inc. for the small
business growth acceleration program under
Minnesota Statutes, section 116O.115. This
is a onetime appropriation.

(o) $250,000 in fiscal year 2018 is for a grant
to the Minnesota Design Center at the
University of Minnesota for the greater
Minnesota community design pilot project.

(p) $275,000 in fiscal year 2018 is from the
general fund to the commissioner of
employment and economic development for
a grant to Community and Economic
Development Associates (CEDA) for an
economic development study and analysis of
the effects of current and projected economic
growth in southeast Minnesota. CEDA shall
report on the findings and recommendations
of the study to the committees of the house of
representatives and senate with jurisdiction
over economic development and workforce
issues by February 15, 2019. All results and
information gathered from the study shall be
made available for use by cities in southeast
Minnesota by March 15, 2019. This
appropriation is available until June 30, 2020.

(q) $2,000,000 in fiscal year 2018 is for a
grant to Pillsbury United Communities for
construction and renovation of a building in
north Minneapolis for use as the "North
Market" grocery store and wellness center,
focused on offering healthy food, increasing
health care access, and providing job creation
and economic opportunities in one place for
children and families living in the area. To the
extent possible, Pillsbury United Communities
shall employ individuals who reside within a
five mile radius of the grocery store and
wellness center. This appropriation is not
available until at least an equal amount of
money is committed from nonstate sources.
This appropriation is available until the project
is completed or abandoned, subject to
Minnesota Statutes, section 16A.642.

(r) $1,425,000 each year is for the business
development competitive grant program. Of
this amount, up to five percent is for
administration and monitoring of the business
development competitive grant program. All
grant awards shall be for two consecutive
years. Grants shall be awarded in the first year.

(s) $875,000 each year is for the host
community economic development grant
program established in Minnesota Statutes,
section 116J.548.

(t) $700,000 each year is from the remediation
fund for contaminated site cleanup and
development grants under Minnesota Statutes,
sections 116J.551 to 116J.558. This
appropriation is available until spent.

(u) $161,000 each year is from the workforce
development fund for a grant to the Rural
Policy and Development Center. This is a
onetime appropriation.

(v) $300,000 each year is from the workforce
development fund for a grant to Enterprise
Minnesota, Inc. This is a onetime
appropriation.

(w) $50,000 in fiscal year 2018 is from the
workforce development fund for a grant to
Fighting Chance for behavioral intervention
programs for at-risk youth.

(x) $1,350,000 each year is from the
workforce development fund for job training
grants under Minnesota Statutes, section
116L.42.

(y)(1) $519,000 in fiscal year 2018 is for
grants to local communities to increase the
supply of quality child care providers in order
to support economic development. At least 60
percent of grant funds must go to communities
located outside of the seven-county
metropolitan area, as defined under Minnesota
Statutes, section 473.121, subdivision 2. Grant
recipients must obtain a 50 percent nonstate
match to grant funds in either cash or in-kind
contributions. Grant funds available under this
paragraph must be used to implement solutions
to reduce the child care shortage in the state
including but not limited to funding for child
care business start-ups or expansions, training,
facility modifications or improvements
required for licensing, and assistance with
licensing and other regulatory requirements.
In awarding grants, the commissioner must
give priority to communities that have
documented a shortage of child care providers
in the area.

(2) Within one year of receiving grant funds,
grant recipients must report to the
commissioner on the outcomes of the grant
program including but not limited to the
number of new providers, the number of
additional child care provider jobs created, the
number of additional child care slots, and the
amount of local funds invested.

(3) By January 1 of each year, starting in 2019,
the commissioner must report to the standing
committees of the legislature having
jurisdiction over child care and economic
development on the outcomes of the program
to date.

(z) $319,000 in fiscal year 2018 is from the
general fund for a grant to the East Phillips
Improvement Coalition to create the East
Phillips Neighborhood Institute (EPNI) to
expand culturally tailored resources that
address small business growth and create
green jobs. The grant shall fund the
collaborative work of Tamales y Bicicletas,
Little Earth of the United Tribes, a nonprofit
serving East Africans, and other coalition
members deleted text begin towards deleted text end new text begin toward new text end developing EPNI as
a community space to host activities including,
but not limited to, creation and expansion of
small businesses, culturally specific
entrepreneurial activities, indoor urban
farming, job training, education, and skills
development for residents of this low-income,
environmental justice designated
neighborhood. Eligible uses for grant funds
include, but are not limited to, planning and
start-up costs, staff and consultant costs,
building improvements, rent, supplies, utilities,
vehicles, marketing, and program activities.
The commissioner shall submit a report on
grant activities and quantifiable outcomes to
the committees of the house of representatives
and the senate with jurisdiction over economic
development by December 15, 2020. This
appropriation is available until June 30, 2020.

(aa) $150,000 the first year is from the
renewable development account in the special
revenue fund established in Minnesota
Statutes, section 116C.779, subdivision 1, to
conduct the biomass facility closure economic
impact study.

(bb)(1)$300,000 in fiscal year 2018 is for a
grant to East Side Enterprise Center (ESEC)
to expand culturally tailored resources that
address small business growth and job
creation. This appropriation is available until
June 30, 2020. The appropriation shall fund
the work of African Economic Development
Solutions, the Asian Economic Development
Association, the Dayton's Bluff Community
Council, and the Latino Economic
Development Center in a collaborative
approach to economic development that is
effective with smaller, culturally diverse
communities that seek to increase the
productivity and success of new immigrant
and minority populations living and working
in the community. Programs shall provide
minority business growth and capacity
building that generate wealth and jobs creation
for local residents and business owners on the
East Side of St. Paul.

(2) In fiscal year 2019 ESEC shall use funds
to share its integrated service model and
evolving collaboration principles with civic
and economic development leaders in greater
Minnesota communities which have diverse
populations similar to the East Side of St. Paul.
ESEC shall submit a report of activities and
program outcomes, including quantifiable
measures of success annually to the house of
representatives and senate committees with
jurisdiction over economic development.

(cc) $150,000 in fiscal year 2018 is for a grant
to Mille Lacs County for the purpose of
reimbursement grants to small resort
businesses located in the city of Isle with less
than $350,000 in annual revenue, at least four
rental units, which are open during both
summer and winter months, and whose
business was adversely impacted by a decline
in walleye fishing on Lake Mille Lacs.

(dd)(1) $250,000 in fiscal year 2018 is for a
grant to the Small Business Development
Center hosted at Minnesota State University,
Mankato, for a collaborative initiative with
the Regional Center for Entrepreneurial
Facilitation. Funds available under this section
must be used to provide entrepreneur and
small business development direct professional
business assistance services in the following
counties in Minnesota: Blue Earth, Brown,
Faribault, Le Sueur, Martin, Nicollet, Sibley,
Watonwan, and Waseca. For the purposes of
this section, "direct professional business
assistance services" must include, but is not
limited to, pre-venture assistance for
individuals considering starting a business.
This appropriation is not available until the
commissioner determines that an equal amount
is committed from nonstate sources. Any
balance in the first year does not cancel and
is available for expenditure in the second year.

(2) Grant recipients shall report to the
commissioner by February 1 of each year and
include information on the number of
customers served in each county; the number
of businesses started, stabilized, or expanded;
the number of jobs created and retained; and
business success rates in each county. By April
1 of each year, the commissioner shall report
the information submitted by grant recipients
to the chairs of the standing committees of the
house of representatives and the senate having
jurisdiction over economic development
issues.

(ee) $500,000 in fiscal year 2018 is for the
central Minnesota opportunity grant program
established under Minnesota Statutes, section
116J.9922. This appropriation is available until
June 30, 2022.

(ff) $25,000 each year is for the administration
of state aid for the Destination Medical Center
under Minnesota Statutes, sections 469.40 to
469.47.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from July 1, 2017.
new text end

Sec. 20.

Laws 2019, First Special Session chapter 7, article 1, section 2, subdivision 2, as
amended by Laws 2019, First Special Session chapter 12, section 4, and Laws 2020, chapter
112, section 1, is amended to read:

Subd. 2. Business and Community Development

44,931,000

42,381,000

Appropriations by Fund
General	40,756,000	38,206,000
Remediation	700,000	700,000
Workforce Development	3,475,000	3,475,000

(a) $1,787,000 each year is for the greater
Minnesota business development public
infrastructure grant program under Minnesota
Statutes, section 116J.431. This appropriation
is available until June 30, 2023.

(b) $1,425,000 each year is for the business
development competitive grant program. Of
this amount, up to five percent is for
administration and monitoring of the business
development competitive grant program. All
grant awards shall be for two consecutive
years. Grants shall be awarded in the first year.

(c) $1,772,000 each year is for contaminated
site cleanup and development grants under
Minnesota Statutes, sections 116J.551 to
116J.558. This appropriation is available until
June 30, 2023.

(d) $700,000 each year is from the remediation
fund for contaminated site cleanup and
development grants under Minnesota Statutes,
sections 116J.551 to 116J.558. This
appropriation is available until June 30, 2023.

(e) $139,000 each year is for the Center for
Rural Policy and Development.

(f) $25,000 each year is for the administration
of state aid for the Destination Medical Center
under Minnesota Statutes, sections 469.40 to
469.47.

(g) $875,000 each year is for the host
community economic development program
established in Minnesota Statutes, section
116J.548.

(h) $125,000 each year is from the workforce
development fund for a grant to the White
Earth Nation for the White Earth Nation
Integrated Business Development System to
provide business assistance with workforce
development, outreach, technical assistance,
infrastructure and operational support,
financing, and other business development
activities. This is a onetime appropriation.

(i) $450,000 each year is from the workforce
development fund for a grant to Enterprise
Minnesota, Inc. for the small business growth
acceleration program under Minnesota
Statutes, section 116O.115. This is a onetime
appropriation.

(j) $250,000 the first year is for a grant to the
Rondo Community Land Trust for
improvements to leased commercial space in
the Selby Milton Victoria Project that will
create long-term affordable space for small
businesses and for build-out and development
of new businesses.

(k) $400,000 each year is from the workforce
development fund for a grant to the
Metropolitan Economic Development
Association (MEDA) for statewide business
development and assistance services, including
services to entrepreneurs with businesses that
have the potential to create job opportunities
for unemployed and underemployed people,
with an emphasis on minority-owned
businesses. This is a onetime appropriation.

(l) $750,000 in fiscal year 2020 is for grants
to local communities to increase the supply of
quality child care providers to support
economic development. At least 60 percent of
grant funds must go to communities located
outside of the seven-county metropolitan area
as defined under Minnesota Statutes, section
473.121, subdivision 2. Grant recipients must
obtain a 50 percent nonstate match to grant
funds in either cash or in-kind contributions.
Grant funds available under this section must
be used to implement projects to reduce the
child care shortage in the state, including but
not limited to funding for child care business
start-ups or expansion, training, facility
modifications or improvements required for
licensing, and assistance with licensing and
other regulatory requirements. In awarding
grants, the commissioner must give priority
to communities that have demonstrated a
shortage of child care providers in the area.
This is a onetime appropriation. Within one
year of receiving grant funds, grant recipients
must report to the commissioner on the
outcomes of the grant program, including but
not limited to the number of new providers,
the number of additional child care provider
jobs created, the number of additional child
care slots, and the amount of cash and in-kind
local funds invested.

(m) $750,000 in fiscal year 2020 is for a grant
to the Minnesota Initiative Foundations. This
is a onetime appropriation and is available
until June 30, 2023. The Minnesota Initiative
Foundations must use grant funds under this
section to:

(1) facilitate planning processes for rural
communities resulting in a community solution
action plan that guides decision making to
sustain and increase the supply of quality child
care in the region to support economic
development;

(2) engage the private sector to invest local
resources to support the community solution
action plan and ensure quality child care is a
vital component of additional regional
economic development planning processes;

(3) provide locally based training and technical
assistance to rural child care business owners
individually or through a learning cohort.
Access to financial and business development
assistance must prepare child care businesses
for quality engagement and improvement by
stabilizing operations, leveraging funding from
other sources, and fostering business acumen
that allows child care businesses to plan for
and afford the cost of providing quality child
care; or

(4) recruit child care programs to participate
in Parent Aware, Minnesota's quality and
improvement rating system, and other high
quality measurement programs. The Minnesota
Initiative Foundations must work with local
partners to provide low-cost training,
professional development opportunities, and
continuing education curricula. The Minnesota
Initiative Foundations must fund, through local
partners, an enhanced level of coaching to
rural child care providers to obtain a quality
rating through Parent Aware or other high
quality measurement programs.

(n)(1) $650,000 each year from the workforce
development fund is for grants to the
Neighborhood Development Center for small
business programs. This is a onetime
appropriation.

(2) Of the amount appropriated in the first
year, $150,000 is for outreach and training
activities outside the seven-county
metropolitan area, as defined in Minnesota
Statutes, section 473.121, subdivision 2.

(o) $8,000,000 each year is for the Minnesota
job creation fund under Minnesota Statutes,
section 116J.8748. Of this amount, the
commissioner of employment and economic
development may use up to three percent for
administrative expenses. This appropriation
is available until expended.

(p)(1) $11,970,000 each year is for the
Minnesota investment fund under Minnesota
Statutes, section 116J.8731. Of this amount,
the commissioner of employment and
economic development may use up to three
percent for administration and monitoring of
the program. In fiscal year 2022 and beyond,
the base amount is $12,370,000. This
appropriation is available until expended.
Notwithstanding Minnesota Statutes, section
116J.8731, funds appropriated to the
commissioner for the Minnesota investment
fund may be used for the redevelopment
program under Minnesota Statutes, sections
116J.575 and 116J.5761, at the discretion of
the commissioner. Grants under this paragraph
are not subject to the grant amount limitation
under Minnesota Statutes, section 116J.8731.

(2) Of the amount appropriated in the first
year, deleted text begin $2,000,000 deleted text end new text begin $3,000,000 new text end is for a loan to a
paper mill in Duluth for a retrofit project that
will support the deleted text begin operation and manufacture of
packaging deleted text end new text begin conversion of the existing Duluth
paper mill for the manufacture of new new text end paper
grades. The company that owns the paper mill
must deleted text begin spend $20,000,000 on deleted text end new text begin invest
$25,000,000 in new text end project activities by deleted text begin December
31, 2020 deleted text end new text begin May 1, 2023 new text end , in order to be eligible
to receive this loan. Loan funds may be used
for purchases of materials, supplies, and
equipment for the project and are available
from deleted text begin July 1, 2019 deleted text end new text begin April 1, 2021 new text end , to deleted text begin July 30,
2021 deleted text end new text begin May 1, 2023 new text end . The commissioner of
employment and economic development shall
forgive 25 percent of the loan each year after
the second year during a five-year period if
the mill has retained at least deleted text begin 150 deleted text end new text begin 80 new text end full-time
equivalent employees and has satisfied other
performance goals and contractual obligations
as required under Minnesota Statutes, section
116J.8731.

(q) $700,000 in fiscal year 2020 is for the
airport infrastructure renewal (AIR) grant
program under Minnesota Statutes, section
116J.439.

(r) $100,000 in fiscal year 2020 is for a grant
to FIRST in Upper Midwest to support
competitive robotics teams. Funds must be
used to make up to five awards of no more
than $20,000 each to Minnesota-based public
entities or private nonprofit organizations for
the creation of competitive robotics hubs.
Awards may be used for tools, equipment, and
physical space to be utilized by robotics teams.
At least 50 percent of grant funds must be used
outside of the seven-county metropolitan area,
as defined under Minnesota Statutes, section
473.121, subdivision 2. The grant recipient
shall report to the chairs and ranking minority
members of the legislative committees with
jurisdiction over jobs and economic growth
by February 1, 2021, on the status of awards
and include information on the number and
amount of awards made, the number of
customers served, and any outcomes resulting
from the grant. The grant requires a 50 percent
match from nonstate sources.

(s) $1,000,000 each year is for the Minnesota
emerging entrepreneur loan program under
Minnesota Statutes, section 116M.18. Funds
available under this paragraph are for transfer
into the emerging entrepreneur program
special revenue fund account created under
Minnesota Statutes, chapter 116M, and are
available until expended. Of this amount, up
to four percent is for administration and
monitoring of the program.

(t) $163,000 each year is for the Minnesota
Film and TV Board. The appropriation in each
year is available only upon receipt by the
board of $1 in matching contributions of
money or in-kind contributions from nonstate
sources for every $3 provided by this
appropriation, except that each year up to
$50,000 is available on July 1 even if the
required matching contribution has not been
received by that date.

(u) $12,000 each year is for a grant to the
Upper Minnesota Film Office.

(v) $500,000 each year is from the general
fund for a grant to the Minnesota Film and TV
Board for the film production jobs program
under Minnesota Statutes, section 116U.26.
This appropriation is available until June 30,
2023.

(w) $4,195,000 each year is for the Minnesota
job skills partnership program under
Minnesota Statutes, sections 116L.01 to
116L.17. If the appropriation for either year
is insufficient, the appropriation for the other
year is available. This appropriation is
available until expended.

(x) $1,350,000 each year is from the
workforce development fund for jobs training
grants under Minnesota Statutes, section
116L.42.

(y) $2,500,000 each year is for Launch
Minnesota. This is a onetime appropriation
and funds are available until June 30, 2023.
Of this amount:

(1) $1,600,000 each year is for innovation
grants to eligible Minnesota entrepreneurs or
start-up businesses to assist with their
operating needs;

(2) $450,000 each year is for administration
of Launch Minnesota; and

(3) $450,000 each year is for grantee activities
at Launch Minnesota.

(z) $500,000 each year is from the workforce
development fund for a grant to Youthprise
to give grants through a competitive process
to community organizations to provide
economic development services designed to
enhance long-term economic self-sufficiency
in communities with concentrated East African
populations. Such communities include but
are not limited to Faribault, Rochester, St.
Cloud, Moorhead, and Willmar. To the extent
possible, Youthprise must make at least 50
percent of these grants to organizations serving
communities located outside the seven-county
metropolitan area, as defined in Minnesota
Statutes, section 473.121, subdivision 2.This
is a onetime appropriation and is available
until June 30, 2022.

(aa) $125,000 each year is for a grant to the
Hmong Chamber of Commerce to train
ethnically Southeast Asian business owners
and operators in better business practices. This
is a onetime appropriation.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from July 1, 2019.
new text end

Sec. 21.

Laws 2019, First Special Session chapter 7, article 2, section 8, is amended to
read:

Sec. 8. LAUNCH MINNESOTA.

Subdivision 1.

Establishment.

Launch Minnesota is established within the Business
and Community Development Division of the Department of Employment and Economic
Development to encourage and support the development of new private sector technologies
and support the science and technology policies under Minnesota Statutes, section 3.222.
Launch Minnesota must provide entrepreneurs and emerging technology-based companies
business development assistance and financial assistance to spur growth.

Subd. 2.

Definitions.

(a) For purposes of this section, the terms defined in this subdivision
have the meanings given.

(b) "Advisory board" means the board established under subdivision 9.

(c) "Commissioner" means the commissioner of employment and economic development.

(d) "Department" means the Department of Employment and Economic Development.

(e) "Entrepreneur" means a Minnesota resident who is involved in establishing a business
entity and secures resources directed to its growth while bearing the risk of loss.

(f) "Greater Minnesota" means the area of Minnesota located outside of the metropolitan
area as defined in Minnesota Statutes, section 473.121, subdivision 2.

(g) deleted text begin "High technology" includes aerospace, agricultural processing, renewable energy,
energy efficiency and conservation, environmental engineering, food technology, cellulosic
ethanol, information technology, materials science technology, nanotechnology,
telecommunications, biotechnology, medical device products, pharmaceuticals, diagnostics,
biologicals, chemistry, veterinary science, and similar fields. deleted text end new text begin "Innovative technology and
business" means a new novel business model or product; a derivative product incorporating
new elements into an existing product; a new use for a product; or a new process or method
for the manufacture, use, or assessment of any product or activity, patentability, or scalability.
Innovative technology or business model does not include locally based retail, lifestyle, or
business services. The business must not be primarily engaged in real estate development,
insurance, banking, lending, lobbying, political consulting, information technology
consulting, wholesale or retail trade, leisure, hospitality, transportation, construction, ethanol
production from corn, or professional services provided by attorneys, accountants, business
consultants, physicians, or health care consultants.
new text end

(h) "Institution of higher education" has the meaning given in Minnesota Statutes, section
136A.28, subdivision 6.

(i) "Minority group member" means a United States citizen new text begin or lawful permanent resident
new text end who is Asian, Pacific Islander, Black, Hispanic, or Native American.

deleted text begin (j) "Minority-owned business" means a business for which one or more minority group
members:
deleted text end

deleted text begin (1) own at least 50 percent of the business or, in the case of a publicly owned business,
own at least 51 percent of the stock; and
deleted text end

deleted text begin (2) manage the business and control the daily business operations.
deleted text end

deleted text begin (k) deleted text end new text begin (j) new text end "Research and development" means any activity that is:

(1) a systematic, intensive study directed toward greater knowledge or understanding
of the subject studies;

(2) a systematic study directed specifically toward applying new knowledge to meet a
recognized need; or

(3) a systematic application of knowledge toward the production of useful materials,
devices, systems and methods, including design, development and improvement of prototypes
and new processes to meet specific requirements.

deleted text begin (l) deleted text end new text begin (k) new text end "Start-up" means a business entity that has been in operation for less than ten
years, has operations in Minnesota, and is in the development stage defined as devoting
substantially all of its efforts to establishing a new business and either of the following
conditions exists:

(1) planned principal operations have not commenced; or

(2) planned principal operations have commenced, but have generated less than
$1,000,000 in revenue.

deleted text begin (m) deleted text end new text begin (l) new text end "Technology-related assistance" means the application and utilization of
technological-information and technologies to assist in the development and production of
new technology-related products or services or to increase the productivity or otherwise
enhance the production or delivery of existing products or services.

deleted text begin (n) deleted text end new text begin (m) new text end "Trade association" means a nonprofit membership organization organized to
promote businesses and business conditions and having an election under Internal Revenue
Code section 501(c)(3) or 501(c)(6).

deleted text begin (o) deleted text end new text begin (n) new text end "Veteran" has the meaning given in Minnesota Statutes, section 197.447.

deleted text begin (p) "Women" means persons of the female gender.
deleted text end

deleted text begin (q) "Women-owned business" means a business for which one or more women:
deleted text end

deleted text begin (1) own at least 50 percent of the business or, in the case of a publicly owned business,
own at least 51 percent of the stock; and
deleted text end

deleted text begin (2) manage the business and control the daily business operations.
deleted text end

Subd. 3.

Duties.

new text begin The commissioner, by and through new text end Launch Minnesota new text begin , new text end shall:

(1) support innovation and initiatives designed to accelerate the growth of deleted text begin high-technology deleted text end new text begin
innovative technology and business new text end start-ups in Minnesota;

(2) in partnership with other organizations, offer classes and instructional sessions on
how to start deleted text begin a high-tech and innovative deleted text end new text begin an innovative technology and business new text end start-up;

(3) promote activities for entrepreneurs and investors regarding the state's growing
innovation economy;

(4) hold events and meetings that gather key stakeholders in the state's innovation sector;

(5) conduct outreach and education on innovation activities and related financial programs
available from the department and other organizations, particularly for underserved
communities;

(6) interact and collaborate with statewide partners including but not limited to businesses,
nonprofits, trade associations, and higher education institutions;

(7) administer an advisory board to assist with direction, grant application review,
program evaluation, report development, and partnerships;

(8) accept grant applications under subdivisions 5, 6, and 7 and work with the advisory
board to review and prioritize the applications and provide recommendations to the
commissioner; and

(9) perform other duties at the commissioner's discretion.

Subd. 4.

Administration.

(a) The deleted text begin department deleted text end new text begin commissioner new text end shall employ an executive
director in the unclassified service, one staff member to support Launch Minnesota, and
one staff member in the business and community development division to manage grants.
The executive director shall:

(1) assist the commissioner and the advisory board in performing the duties of Launch
Minnesota; and

(2) comply with all state and federal program requirements, and all state and federal
securities and tax laws and regulations.

(b) deleted text begin To the extent possible, the space that deleted text end Launch Minnesota deleted text begin shall deleted text end new text begin may new text end occupy and lease
deleted text begin must be deleted text end new text begin physical space in new text end a private coworking facility that includes office space for staff
and space for community engagement for training entrepreneurs. The new text begin physical new text end space leased
under this paragraph is exempt from the requirements in Minnesota Statutes, section 16B.24,
subdivision 6.

(c) At least three times per month, Launch Minnesota staff shall deleted text begin visit deleted text end new text begin communicate with new text end
organizations in greater Minnesota that have received a grant under subdivision 7. To the
extent possible, Launch Minnesota shall form partnerships with organizations located
throughout the state.

(d) Launch Minnesota must accept grant applications under this section and provide
funding recommendations to the commissioner deleted text begin , who deleted text end new text begin and the commissioner new text end shall distribute
grants based in part on the recommendations.

Subd. 5.

Application process.

(a) The commissioner shall establish the application form
and procedures for grants.

(b) Upon receiving recommendations from Launch Minnesota, the deleted text begin department deleted text end new text begin
commissioner new text end is responsible for evaluating all applications using evaluation criteria which
shall be developed by Launch Minnesota in consultation with the advisory board deleted text begin and the
commissioner deleted text end .

(c) For grants under subdivision 6, priority shall be given if the applicant is:

(1) a business or entrepreneur located in greater Minnesota; or

(2) a business owner new text begin , individual with a disability, new text end or entrepreneur who is a woman,
veteran, or minority group member.

(d) For grants under subdivision 7, priority shall be given if the applicant is planning to
serve:

(1) businesses or entrepreneurs located in greater Minnesota; or

(2) business owners new text begin , individuals with disabilities, new text end or entrepreneurs who are women,
veterans, or minority group members.

(e) The department staff, and not Launch Minnesota staff, deleted text begin is deleted text end new text begin are new text end responsible for awarding
funding, disbursing funds, and monitoring grantee performance for all grants awarded under
this section.

(f) Grantees must provide matching funds by equal expenditures and grant payments
must be provided on a reimbursement basis after review of submitted receipts by the
department.

(g) Grant applications must be accepted on a regular periodic basis by Launch Minnesota
and must be reviewed by Launch Minnesota and the advisory board before being submitted
to the commissioner with their recommendations.

Subd. 6.

Innovation grants.

(a) The commissioner shall distribute innovation grants
under this subdivision.

(b) The commissioner shall provide a grant of up to $35,000 to an eligible business or
entrepreneur for research and development expenses, direct business expenses, and the
purchase of technical assistance or services from public higher education institutions and
nonprofit entities. Research and development expenditures may include but are not limited
to proof of concept activities, intellectual property protection, prototype designs and
production, and commercial feasibility. Expenditures funded under this subdivision are not
eligible for the research and development tax credit under Minnesota Statutes, section
290.068. Direct business expenses may include rent, equipment purchases, and supplier
invoices. Taxes imposed by federal, state, or local government entities may not be reimbursed
under this paragraph. Technical assistance or services must be purchased to assist in the
development or commercialization of a product or service to be eligible. Each business or
entrepreneur may receive only one grant per biennium under this paragraph.

deleted text begin (c) The commissioner shall provide a grant of up to $7,500 to reimburse an entrepreneur
for housing or child care expenses for the entrepreneur or their spouse or children. Each
entrepreneur may receive only one grant per biennium under this paragraph.
deleted text end

deleted text begin (d) deleted text end new text begin (c) new text end The commissioner shall provide a grant of up to new text begin $35,000 in Phase 1 or new text end $50,000 new text begin
in Phase 2 new text end to an eligible business or entrepreneur that, as a registered client of the Small
Business Innovation Research (SBIR) program, has been awarded a new text begin first time Phase 1 or
new text end Phase 2 award pursuant to the SBIR or Small Business Technology Transfer (STTR)
programs after July 1, 2019. Each business or entrepreneur may receive only one grant per
biennium under this paragraph. Grants under this paragraph are not subject to the
requirements of subdivision 2, paragraph deleted text begin (l) deleted text end new text begin (k) new text end , but do require a recommendation from new text begin the
new text end Launch Minnesota new text begin advisory board new text end .

Subd. 7.

Entrepreneur education grants.

(a) The commissioner shall make entrepreneur
education grants to institutions of higher education and other organizations to provide
educational programming to entrepreneurs and provide outreach to and collaboration with
businesses, federal and state agencies, institutions of higher education, trade associations,
and other organizations working to advance innovative deleted text begin , high deleted text end technology businesses
throughout Minnesota.

(b) Applications for entrepreneur education grants under this subdivision must be
submitted to the commissioner and evaluated by department staff other than Launch
Minnesota. The evaluation criteria must be developed by Launch Minnesota, in consultation
with the advisory board, and the commissioner, and priority must be given to an applicant
who demonstrates activity assisting deleted text begin businesses deleted text end new text begin business owners new text end or entrepreneurs residing
in greater Minnesota or who are women, veterans, or minority group members.

(c) Department staff other than Launch Minnesota staff deleted text begin is deleted text end new text begin are new text end responsible for awarding
funding, disbursing funds, and monitoring grantee performance under this subdivision.

(d) Grantees may use the grant funds to deliver the following services:

(1) development and delivery to deleted text begin high deleted text end new text begin innovative new text end technology businesses of industry
specific or innovative product or process specific counseling on issues of business formation,
market structure, market research and strategies, securing first mover advantage or
overcoming barriers to entry, protecting intellectual property, and securing debt or equity
capital. This counseling is to be delivered in a classroom setting or using distance media
presentations;

(2) outreach and education to businesses and organizations on the small business
investment tax credit program under Minnesota Statutes, section 116J.8737, the MNvest
crowd-funding program under Minnesota Statutes, section 80A.461, and other state programs
that support deleted text begin high deleted text end new text begin innovative new text end technology business creation especially in underserved
communities;

(3) collaboration with institutions of higher education, local organizations, federal and
state agencies, the Small Business Development Center, and the Small Business Assistance
Office to create and offer educational programming and ongoing counseling in greater
Minnesota that is consistent with those services offered in the metropolitan area; and

(4) events and meetings with other innovation-related organizations to inform
entrepreneurs and potential investors about Minnesota's growing deleted text begin information deleted text end new text begin innovation new text end
economy.

Subd. 8.

Report.

new text begin (a) new text end Launch Minnesota shall report by December 31, 2022, and again
by December 31, 2023, to the chairs and ranking minority members of the committees of
the house of representatives and senate having jurisdiction over economic development
policy and finance. Each report shall include information on the work completed, including
awards made by the department under this section and progress toward transferring deleted text begin some deleted text end new text begin
the new text end activities of Launch Minnesota to an entity outside of state government.

new text begin (b) By December 31, 2024, Launch Minnesota shall provide a comprehensive transition
plan to the chairs and ranking minority members of the committees of the house of
representatives and senate having jurisdiction over economic development policy and
finance. The transition plan shall include: (1) a detailed strategy for the transfer of Launch
Minnesota activities to an entity outside of state government; (2) the projected date of the
transfer; and (3) the role of the state, if any, in ongoing activities of Launch Minnesota or
its successor entity.
new text end

Subd. 9.

Advisory board.

(a) The commissioner shall establish an advisory board to
advise the executive director regarding the activities of Launch Minnesota, make the
recommendations described in this section, and develop and initiate a strategic plan for
transferring some activities of Launch Minnesota to a new or existing public-private
partnership or nonprofit organization outside of state government.

(b) The advisory board shall consist of ten members and is governed by Minnesota
Statutes, section 15.059. A minimum of seven members must be from the private sector
representing business and at least two members but no more than three members must be
from government and higher education. At least three of the members of the advisory board
shall be from greater Minnesota new text begin and at least three members shall be minority group members new text end .
Appointees shall represent a range of interests, including entrepreneurs, large businesses,
industry organizations, investors, and both public and private small business service
providers.

(c) The advisory board shall select a chair from its private sector members. The executive
director shall provide administrative support to the committee.

(d) The commissioner, or a designee, shall serve as an ex-officio, nonvoting member of
the advisory board.

Subd. 10.

Expiration.

This section expires January 1, deleted text begin 2024 deleted text end new text begin 2026 new text end .

Sec. 22. new text begin ONETIME EXCEPTION TO RESTRICTIONS ON USE OF MINNESOTA
INVESTMENT FUND LOCAL GOVERNMENT LOAN REPAYMENT FUNDS.
new text end

new text begin (a) Notwithstanding Minnesota Statutes, section 116J.8731, a home rule charter or
statutory city, county, or town that has uncommitted money received from repayment of
funds awarded under Minnesota Statutes, section 116J.8731, may choose to transfer 20
percent of the balance of that money to the state general fund before June 30, 2022. Any
local entity that does so may then use the remaining 80 percent of the uncommitted money
as a general purpose aid for any lawful expenditure.
new text end

new text begin (b) By February 15, 2023, a home rule charter or statutory city, county, or town that
exercises the option under paragraph (a) shall submit to the chairs of the legislative
committees with jurisdiction over economic development policy and finance an accounting
and explanation of the use and distribution of the funds.
new text end

Sec. 23. new text begin MINNESOTA INVESTMENT FUND AND MINNESOTA JOB CREATION
FUND REQUIREMENTS EXTENSIONS.
new text end

new text begin Notwithstanding any other law to the contrary, a recipient of a Minnesota Investment
Fund grant under Minnesota Statutes, section 116J.8731, or a recipient of a Minnesota Job
Creation Fund grant under Minnesota Statutes, section 116J.8748, who is unable to meet
the minimum capital investment requirements, wage, or minimum job creation goals or
requirements provided in a business subsidy agreement, as applicable, during or within the
12-month period following a peacetime emergency related to the COVID-19 pandemic shall
be granted an extension until December 31, 2022, to meet those capital investment, wage,
or job creation goals or requirements before the grant must be repaid.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from March 15, 2020.
new text end

Sec. 24. new text begin MAIN STREET COVID-19 RELIEF GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Business" means both for-profit businesses and nonprofit organizations that earn
revenue in ways similar to businesses, including but not limited to ticket sales and
membership fees.
new text end

new text begin (c) "Commissioner" means the commissioner of employment and economic development.
new text end

new text begin (d) "Partner organization" or "Partner" means the Minnesota Initiative Foundations and
nonprofit corporations on the certified lenders list that the commissioner determines to be
qualified to provide grants to businesses under this section.
new text end

new text begin (e) "Program" means the Main Street COVID-19 relief grant program under this section.
new text end

new text begin Subd. 2. new text end

new text begin Establishment. new text end

new text begin The commissioner shall establish the Main Street COVID-19
relief grant program to make grants to partner organizations to make grants to businesses
that have been directly or indirectly impacted by executive orders related to the COVID-19
pandemic.
new text end

new text begin Subd. 3. new text end

new text begin Grants to partner organizations. new text end

new text begin (a) The commissioner shall make grants to
partner organizations to provide grants to businesses under subdivision 4 or 5 using criteria,
forms, applications, and reporting requirements developed by the commissioner.
new text end

new text begin (b) Up to four percent of a grant under this subdivision may be used by the partner
organization for administration and monitoring of the program.
new text end

new text begin (c) Any funds not spent by partner organizations by June 30, 2022, must be returned to
the commissioner and canceled back to the general fund.
new text end

new text begin Subd. 4. new text end

new text begin Grants to businesses. new text end

new text begin (a) Partners shall make grants to businesses using criteria,
forms, applications, and reporting requirements developed by the commissioner.
new text end

new text begin (b) To be eligible for a grant under this subdivision, a business must:
new text end

new text begin (1) have primary business operations located in the state of Minnesota;
new text end

new text begin (2) be at least 50 percent owned by a resident of the state of Minnesota;
new text end

new text begin (3) employ the equivalent of 200 full-time workers or less;
new text end

new text begin (4) be able to demonstrate financial hardship as a result of the COVID-19 outbreak; and
new text end

new text begin (5) include as part of their application a business plan for continued operation.
new text end

new text begin (c) Preference shall be given to businesses that did not receive previous assistance from
the state under:
new text end

new text begin (1) the governor's Executive Order No. 20-15;
new text end

new text begin (2) Laws 2020, First Special Session chapter 1, section 4; or
new text end

new text begin (3) Laws 2020, Seventh Special Session chapter 2, article 4 or 5.
new text end

new text begin (d) Grants under this subdivision shall be awarded by randomized selection process after
applications are collected over a period of no more than ten calendar days.
new text end

new text begin (e) Grants under this subdivision shall be for the following amounts:
new text end

new text begin (1) for businesses employing the equivalent of six full-time employees or less, $10,000;
new text end

new text begin (2) for businesses employing the equivalent of more than six full-time employees, but
less than 50, $15,000;
new text end

new text begin (3) for businesses employing the equivalent of 50 or more full-time employees, but less
than 100, $20,000; and
new text end

new text begin (4) for businesses employing the equivalent of 100 or more full-time employees, $25,000.
new text end

new text begin (f) No business may receive more than one grant under this section.
new text end

new text begin (g) Grant funds must be used for working capital to support payroll expenses, rent or
mortgage payments, utility bills, and other similar expenses that occur or have occurred
since March 13, 2020, in the regular course of business, but not to refinance debt that existed
at the time of the governor's COVID-19 peacetime emergency declaration.
new text end

new text begin Subd. 5. new text end

new text begin Grants to businesses renting space to other businesses. new text end

new text begin (a) Partners shall
make grants to businesses using criteria, forms, applications, and reporting requirements
developed by the commissioner.
new text end

new text begin (b) To be eligible for a grant under this subdivision, a business must:
new text end

new text begin (1) be an operator of privately owned permanent indoor retail space that has an ethnic
cultural emphasis and at least 12 tenants that are primarily businesses with fewer than 20
employees;
new text end

new text begin (2) have primary business operations located in the state of Minnesota;
new text end

new text begin (3) be owned by a resident of the state of Minnesota;
new text end

new text begin (4) employ the equivalent of 200 full-time workers or less;
new text end

new text begin (5) be able to demonstrate financial hardship as a result of the COVID-19 outbreak; and
new text end

new text begin (6) include as part of their application a business plan for continued operation.
new text end

new text begin (c) Grants under this subdivision shall be for no more than $300,000 and in an amount
proportional to the number of tenants.
new text end

new text begin (d) Up to $25,000 of grant funds a business receives may be used for working capital
to support payroll expenses, rent or mortgage payments, utility bills, and other similar
expenses that occur or have occurred since March 13, 2020, in the regular course of business,
but not to refinance debt that existed at the time of the governor's COVID-19 peacetime
emergency declaration.
new text end

new text begin (e) The remainder of grant funds must be used to maintain existing tenants of the operator
through the issuing of credits or forgiveness of rent. Any tenant receiving such a benefit
from the grant must meet the requirements under subdivision 4, paragraph (b), and shall
receive preference according to subdivision 4, paragraph (c).
new text end

new text begin Subd. 6. new text end

new text begin Distribution of awards. new text end

new text begin (a) Of grant funds awarded under subdivision 4, a
minimum of:
new text end

new text begin (1) $18,000,000 must be awarded to businesses that employ the equivalent of six full-time
workers or less;
new text end

new text begin (2) $10,000,000 must be awarded to minority business enterprises, as defined in
Minnesota Statutes, section 116M.14, subdivision 5;
new text end

new text begin (3) $2,500,000 must be awarded to businesses that are majority owned and operated by
veterans as defined in Minnesota Statutes, section 197.447; and
new text end

new text begin (4) $2,500,000 must be awarded to businesses that are majority owned and operated by
women.
new text end

new text begin (b) $3,000,000 of available program funds must be awarded as grants under subdivision
5.
new text end

new text begin Subd. 7. new text end

new text begin Exemptions. new text end

new text begin All grants and grant making processes under this section are
exempt from Minnesota Statutes, sections 16A.15, subdivision 3; 16B.97; and 16B.98,
subdivisions 5, 7, and 8. The commissioner must audit the use of grant funds under this
section in accordance with standard accounting practices. The exemptions under this
subdivision expire on December 31, 2021.
new text end

new text begin Subd. 8. new text end

new text begin Reports. new text end

new text begin (a) By January 31, 2022, partner organizations participating in the
program must provide a report to the commissioner that includes descriptions of the
businesses supported by the program, the amounts granted, and an explanation of
administrative expenses.
new text end

new text begin (b) By February 15, 2022, the commissioner must report to the legislative committees
in the house of representatives and senate with jurisdiction over economic development
about grants made under this section based on the information received under paragraph
(a).
new text end

Sec. 25. new text begin CAREER AND TECHNICAL EDUCATOR PILOT PROJECT.
new text end

new text begin By the 2024-2025 academic year, Winona State University must develop a teacher
preparation program that leads to initial licensure in at least one license area under Minnesota
Rules, parts 8710.8000 to 8710.8080. Winona State University must partner with Minnesota
State College Southeast to provide the subject matter training necessary for license areas
chosen. If practical, the partnership must result in a candidate earning an associate's degree
from Minnesota State College Southeast and a bachelor's degree from Winona State
University. Money appropriated for this project may be used for any of the following
purposes:
new text end

new text begin (1) analyzing existing course offerings at both institutions to determine compliance with
the requirements of Minnesota Rules, chapter 8705 and parts 8710.8000 to 8710.8080;
new text end

new text begin (2) determining any courses that need to be adjusted or created by each institution;
new text end

new text begin (3) designing and implementing any needed course; and
new text end

new text begin (4) providing administrative support for gaining approval of the program from the
Professional Educator Licensing and Standards Board.
new text end

ARTICLE 3

LABOR AND INDUSTRY

Section 1.

Minnesota Statutes 2020, section 13.7905, is amended by adding a subdivision
to read:

new text begin Subd. 8. new text end

new text begin Data on individuals who are minors. new text end

new text begin Disclosure of data on minors is governed
by section 181A.112.
new text end

Sec. 2.

Minnesota Statutes 2020, section 178.012, subdivision 1, is amended to read:

Subdivision 1.

Apprenticeship rules.

Federal regulations governing apprenticeship in
effect on deleted text begin July 1, 2013 deleted text end new text begin January 18, 2017 new text end , as provided by Code of Federal Regulations, title
29, deleted text begin part deleted text end new text begin parts new text end 29, sections 29.1 to 29.6 and 29.11, new text begin and 30, new text end are the apprenticeship rules in
this state, subject to amendment by this chapter or by rule under section 178.041.

Sec. 3.

Minnesota Statutes 2020, section 181.939, is amended to read:

181.939 NURSING MOTHERS new text begin , LACTATING EMPLOYEES, AND PREGNANCY
ACCOMMODATIONS new text end .

new text begin Subdivision 1. new text end

new text begin Nursing mothers. new text end

(a) An employer must provide reasonable deleted text begin unpaid deleted text end
break deleted text begin time deleted text end new text begin times new text end each day to an employee who needs to express breast milk for her infant
child new text begin during the twelve months following the birth of the child new text end . The break deleted text begin time deleted text end new text begin times new text end must,
if possible, run concurrently with any break deleted text begin time deleted text end new text begin times new text end already provided to the employee.
An employer is not required to provide break deleted text begin time deleted text end new text begin times new text end under this section if to do so would
unduly disrupt the operations of the employer. new text begin An employer shall not reduce an employee's
compensation for time used for the purpose of expressing milk.
new text end

(b) The employer must make reasonable efforts to provide a room or other location, in
close proximity to the work area, other than a bathroom or a toilet stall, that is shielded from
view and free from intrusion from coworkers and the public and that includes access to an
electrical outlet, where the employee can express deleted text begin her deleted text end milk in privacy. The employer would
be held harmless if reasonable effort has been made.

(c) For the purposes of this deleted text begin section deleted text end new text begin subdivision new text end , "employer" means a person or entity
that employs one or more employees and includes the state and its political subdivisions.

(d) An employer deleted text begin may deleted text end new text begin shall new text end not retaliate against an employee for asserting rights or
remedies under this deleted text begin section deleted text end new text begin subdivision new text end .

new text begin Subd. 2. new text end

new text begin Pregnancy accommodations. new text end

new text begin (a) An employer must provide reasonable
accommodations to an employee for health conditions related to pregnancy or childbirth
upon request, with the advice of a licensed health care provider or certified doula, unless
the employer demonstrates that the accommodation would impose an undue hardship on
the operation of the employer's business. A pregnant employee shall not be required to
obtain the advice of a licensed health care provider or certified doula, nor may an employer
claim undue hardship for the following accommodations: (1) more frequent restroom, food,
and water breaks; (2) seating; and (3) limits on lifting over 20 pounds. The employee and
employer shall engage in an interactive process with respect to an employee's request for a
reasonable accommodation. "Reasonable accommodation" may include but is not limited
to temporary transfer to a less strenuous or hazardous position, seating, frequent restroom
breaks, and limits to heavy lifting. Notwithstanding any other provision of this subdivision,
an employer shall not be required to create a new or additional position in order to
accommodate an employee pursuant to this subdivision and shall not be required to discharge
an employee, transfer another employee with greater seniority, or promote an employee.
new text end

new text begin (b) Nothing in this subdivision shall be construed to affect any other provision of law
relating to sex discrimination or pregnancy or in any way diminish the coverage of pregnancy,
childbirth, or health conditions related to pregnancy or childbirth under any other provisions
of any other law.
new text end

new text begin (c) An employer shall not require an employee to take a leave or accept an
accommodation.
new text end

new text begin (d) An employer shall not retaliate against an employee for asserting rights or remedies
under this subdivision.
new text end

new text begin (e) For the purposes of this subdivision, "employer" means a person or entity that employs
fifteen or more employees and includes the state and its political subdivisions.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2022.
new text end

Sec. 4.

new text begin [181A.112] DATA ON INDIVIDUALS WHO ARE MINORS.
new text end

new text begin (a) When the commissioner collects, creates, receives, maintains, or disseminates the
following data on individuals who the commissioner knows are minors, the data are
considered private data on individuals, as defined in section 13.02, subdivision 12, except
for data classified as public data according to section 13.43:
new text end

new text begin (1) name;
new text end

new text begin (2) date of birth;
new text end

new text begin (3) Social Security number;
new text end

new text begin (4) telephone number;
new text end

new text begin (5) e-mail address;
new text end

new text begin (6) physical or mailing address;
new text end

new text begin (7) location data;
new text end

new text begin (8) online account access information; and
new text end

new text begin (9) other data that would identify participants who have registered for events, programs,
or classes sponsored by the Department of Labor and Industry.
new text end

new text begin (b) Data about minors classified under this section maintain their classification as private
data on individuals after the individual is no longer a minor.
new text end

Sec. 5.

new text begin [299F.48] AUTOMATIC SPRINKLER SYSTEMS IN EXISTING PUBLIC
HOUSING BUILDINGS.
new text end

new text begin Subdivision 1. new text end

new text begin Requirements. new text end

new text begin (a) An automatic sprinkler system must be installed in
those portions of an entire existing public housing building in which an automatic sprinkler
system would be required if the building were constructed on the effective date of this
section. The automatic sprinkler system must comply with standards in the State Fire Code
and the State Building Code and must be fully operational by August 1, 2033.
new text end

new text begin (b) For the purposes of this section, "public housing building" means housing for
low-income persons and households financed by the federal government and owned and
operated by the public housing authorities and agencies formed by cities and counties in
which at least one story used for human occupancy is 75 feet or more above the lowest level
of fire department vehicle access.
new text end

new text begin Subd. 2. new text end

new text begin Reporting. new text end

new text begin By August 1, 2023, the owner of a building subject to subdivision
1 shall submit to the state fire marshal a letter stating the owner's intent to comply with this
section and a plan for achieving compliance by the deadline in subdivision 1.
new text end

new text begin Subd. 3. new text end

new text begin Extensions. new text end

new text begin The commissioner of public safety, or the state fire marshal as the
commissioner's designee, may grant extensions to the deadline for reporting under subdivision
2 or the deadline for compliance under subdivision 1. Any extension must observe the spirit
and intent of this section and be tailored to ensure public welfare and safety. To be eligible
for an extension, the building owner must apply to the commissioner of public safety and
demonstrate a genuine inability to comply within the time prescribed despite appropriate
effort to do so.
new text end

new text begin Subd. 4. new text end

new text begin Effect on other laws. new text end

new text begin This section does not supersede the State Building Code
or State Fire Code.
new text end

Sec. 6.

Minnesota Statutes 2020, section 326B.07, subdivision 1, is amended to read:

Subdivision 1.

Membership.

(a) The Construction Codes Advisory Council consists of
the following members:

(1) the commissioner or the commissioner's designee representing the department's
Construction Codes and Licensing Division;

(2) the commissioner of public safety or the commissioner of public safety's designee
representing the Department of Public Safety's State Fire Marshal Division;

(3) one member, appointed by the commissioner, new text begin with expertise in and new text end engaged in each
of the following occupations or industries:

(i) certified building officials;

(ii) fire chiefs or fire marshals;

(iii) licensed architects;

(iv) licensed professional engineers;

(v) commercial building owners and managers;

(vi) the licensed residential building industry;

(vii) the commercial building industry;

(viii) the heating and ventilation industry;

(ix) a member of the Plumbing Board;

(x) a member of the Board of Electricity;

(xi) a member of the Board of High Pressure Piping Systems;

(xii) the boiler industry;

(xiii) the manufactured housing industry;

(xiv) public utility suppliers;

(xv) the Minnesota Building and Construction Trades Council; deleted text begin and
deleted text end

(xvi) local units of government deleted text begin . deleted text end new text begin ;
new text end

new text begin (xvii) the energy conservation industry; and
new text end

new text begin (xviii) building accessibility.
new text end

(b) The commissioner or the commissioner's designee representing the department's
Construction Codes and Licensing Division shall serve as chair of the advisory council. For
members who are not state officials or employees, compensation and removal of members
of the advisory council are governed by section 15.059. The terms of the members of the
advisory council shall be four years. The terms of eight of the appointed members shall be
coterminous with the governor and the terms of the remaining nine appointed members
shall end on the first Monday in January one year after the terms of the other appointed
members expire. An appointed member may be reappointed. Each council member shall
appoint an alternate to serve in their absence.

Sec. 7.

Minnesota Statutes 2020, section 326B.092, subdivision 7, is amended to read:

Subd. 7.

License fees and license renewal fees.

(a) The license fee for each license is
the base license fee plus any applicable board fee, continuing education fee, and contractor
recovery fund fee and additional assessment, as set forth in this subdivision.

(b) For purposes of this section, "license duration" means the number of years for which
the license is issued except that if the initial license is not issued for a whole number of
years, the license duration shall be rounded up to the next whole number.

new text begin (c) If there is a continuing education requirement for renewal of the license, then a
continuing education fee must be included in the renewal license fee. The continuing
education fee for all license classifications is $5.
new text end

deleted text begin (c) deleted text end new text begin (d) new text end The base license fee shall depend on whether the license is classified as an entry
level, master, journeyworker, or business license, and on the license duration. The base
license fee shall be:

	License Classification	License Duration
		1 year	2 years
	Entry level	$10	$20
	Journeyworker	$20	$40
	Master	$40	$80
	Business		$180

deleted text begin (d) If there is a continuing education requirement for renewal of the license, then a
continuing education fee must be included in the renewal license fee. The continuing
education fee for all license classifications shall be: $10 if the renewal license duration is
one year; and $20 if the renewal license duration is two years.
deleted text end

(e) If the license is issued under sections 326B.31 to 326B.59 or 326B.90 to 326B.925,
then a board fee must be included in the license fee and the renewal license fee. The board
fee for all license classifications shall be: $4 if the license duration is one year; and $8 if
the license duration is two years.

(f) If the application is for the renewal of a license issued under sections 326B.802 to
326B.885, then the contractor recovery fund fee required under section 326B.89, subdivision
3, and any additional assessment required under section 326B.89, subdivision 16, must be
included in the license renewal fee.

(g) Notwithstanding the fee amounts described in paragraphs deleted text begin (c) deleted text end new text begin (d) new text end to (f), for the period
deleted text begin July 1, 2017 deleted text end new text begin October 1, 2021 new text end , through September 30, deleted text begin 2021 deleted text end new text begin 2023 new text end , the following fees apply:

	License Classification	License Duration
		1 year	2 years
	Entry level	$10	$20
	Journeyworker	$15	$30
	Master	$30	$60
	Business		$120

deleted text begin If there is a continuing education requirement for renewal of the license, then a continuing
education fee must be included in the renewal license fee. The continuing education fee for
all license classifications shall be $5.
deleted text end

Sec. 8.

Minnesota Statutes 2020, section 326B.108, subdivision 1, is amended to read:

Subdivision 1.

Definition.

For purposes of this section, "place of public accommodation"
means a publicly or privately owned facility that is designed for occupancy by deleted text begin 200 deleted text end new text begin 100 new text end or
more people and is a sports or entertainment arena, stadium, theater, community or
convention hall, special event center, indoor amusement facility or water park, or indoor
swimming pool.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 9.

Minnesota Statutes 2020, section 326B.108, subdivision 3, is amended to read:

Subd. 3.

Enforcement.

new text begin Effective July 1, 2017, new text end in a municipality that has not adopted
the code by ordinance under section 326B.121, subdivision 2, the commissioner shall enforce
this section in accordance with section 326B.107, subdivision 1.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 10.

Minnesota Statutes 2020, section 326B.108, is amended by adding a subdivision
to read:

new text begin Subd. 5. new text end

new text begin Fire sprinklers required. new text end

new text begin Automatic sprinkler systems for fire protection
purposes are required in a place of public accommodation if, on or after August 1, 2008:
new text end

new text begin (1) the facility was constructed, added to, or altered; and
new text end

new text begin (2) the facility has an occupant load of 300 or more.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 11.

Minnesota Statutes 2020, section 326B.133, subdivision 8, is amended to read:

Subd. 8.

Continuing education requirements; extension of time.

(a) This subdivision
establishes the number of continuing education hours required within each two-year
certification period.

A certified building official shall accumulate deleted text begin 38 deleted text end new text begin 35 new text end hours of continuing education in
any education program that is approved under Minnesota Rules, part 1301.1000.

A certified building official-limited shall accumulate deleted text begin 38 deleted text end new text begin 35 new text end hours of continuing education
in any education program that is approved under Minnesota Rules, part 1301.1000.

An accessibility specialist must accumulate nine hours of approved continuing education
hours in any of the education programs that are provided under Minnesota Rules, part
1301.1000, subpart 1 or 2. The nine hours must be in courses relating to building accessibility,
plan review, field inspection, or building code administration.

Continuing education programs may be approved as established in rule.

(b) Subject to sections 326B.101 to 326B.194, the commissioner may by rule establish
or approve continuing education programs for certified building officials dealing with
matters of building code administration, inspection, and enforcement.

Each person certified as a building official for the state must satisfactorily complete
applicable educational programs established or approved by the commissioner to renew
certification.

(c) The state building official may grant an extension of time to comply with continuing
education requirements if the certificate holder requesting the extension of time shows cause
for the extension. The request for the extension must be in writing. For purposes of this
section, the certificate holder's current certification effective dates shall remain the same.
The extension does not relieve the certificate holder from complying with the continuing
education requirements for the next two-year period.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 12.

Minnesota Statutes 2020, section 326B.42, is amended by adding a subdivision
to read:

new text begin Subd. 1d. new text end

new text begin Commercial chemical dispensing system. new text end

new text begin "Commercial chemical dispensing
system" means a method of dispensing and diluting concentrated chemical solution in a
commercial setting.
new text end

Sec. 13.

Minnesota Statutes 2020, section 326B.42, is amended by adding a subdivision
to read:

new text begin Subd. 1e. new text end

new text begin Commercial dishwashing machine. new text end

new text begin "Commercial dishwashing machine"
means a machine designed for commercial use to clean and sanitize plates, glasses, cups,
bowls, utensils, and trays by applying sprays of detergent solution, with or without blasting
media granules, and a sanitizing final rinse and the backflow prevention installed complies
with ANSI/ASSE 1004 or is certified to National Sanitization Foundation (NSF) 3.
new text end

Sec. 14.

Minnesota Statutes 2020, section 326B.46, subdivision 1, is amended to read:

Subdivision 1.

License required.

(a) No individual shall engage in or work at the business
of a master plumber, restricted master plumber, journeyworker plumber, and restricted
journeyworker plumber unless licensed to do so by the commissioner. A license is not
required for individuals performing building sewer or water service installation who have
completed pipe laying training as prescribed by the commissioner new text begin . A license is not required
for individuals servicing or installing a commercial chemical dispensing system or servicing
or replacing a commercial dishwashing machine, including connecting a commercial chemical
dispensing system or commercial dishwashing machine to a water line or drain line, provided
that:
new text end

new text begin (1) the individual servicing or installing the commercial chemical dispensing system or
servicing or replacing the commercial dishwashing machine is an employee of the
manufacturer or distributor of the commercial chemical dispensing system or commercial
dishwashing machine;
new text end

new text begin (2) the individual servicing or installing the commercial chemical dispensing system or
servicing or replacing the commercial dishwashing machine has a minimum of 25 hours of
classroom or laboratory training, a minimum of 20 hours of in-field training with a qualified
technician on the types of systems being installed, followed by a minimum of 100 hours of
supervised field experience. The training and experience curriculum required under this
clause must be approved by the commissioner, in consultation with the manufacturer or
distributor, but the commissioner shall not require training or experience hours in excess
of the amounts specified in this clause;
new text end

new text begin (3) the manufacturer or distributor of the commercial chemical dispensing system or
commercial dishwashing machine must meet the insurance requirements of section 326B.46,
subdivision 2, paragraph (c);
new text end

new text begin (4) the connection is a push fit fitting, compression fitting, or threaded pipe fitting to an
existing water line or drain, which has been initially installed by a licensed plumber; and
new text end

new text begin (5) the commercial chemical dispensing system complies with ASSE 1055 or contains
code-approved integral backflow protection new text end .

A master plumber may also work as a journeyworker plumber, a restricted journeyworker
plumber, and a restricted master plumber. A journeyworker plumber may also work as a
restricted journeyworker plumber. Anyone not so licensed may do plumbing work which
complies with the provisions of the minimum standards prescribed by the Plumbing Board
on premises or that part of premises owned and actually occupied by the worker as a
residence, unless otherwise forbidden to do so by a local ordinance.

(b) No person shall engage in the business of planning, superintending, or installing
plumbing or shall install plumbing in connection with the dealing in and selling of plumbing
material and supplies unless at all times a licensed master plumber, or in cities and towns
with a population of fewer than 5,000 according to the last federal census, a restricted master
plumber, who shall be responsible for proper installation, is in charge of the plumbing work
of the person.

(c) Except as provided in subdivision 1a, no person shall perform or offer to perform
plumbing work with or without compensation unless the person obtains a contractor's license.
A contractor's license does not of itself qualify its holder to perform the plumbing work
authorized by holding a master, journeyworker, restricted master, or restricted journeyworker
license.

Sec. 15.

Minnesota Statutes 2020, section 326B.89, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For the purposes of this section, the following terms have
the meanings given them.

(b) "Gross annual receipts" means the total amount derived from residential contracting
or residential remodeling activities, regardless of where the activities are performed, and
must not be reduced by costs of goods sold, expenses, losses, or any other amount.

(c) "Licensee" means a person licensed as a residential contractor or residential remodeler.

(d) "Residential real estate" means a new or existing building constructed for habitation
by one to four families, and includes detached garages intended for storage of vehicles
associated with the residential real estate.

(e) "Fund" means the contractor recovery fund.

(f) "Owner" when used in connection with real property, means a person who has any
legal or equitable interest in real property and includes a condominium or townhome
association that owns common property located in a condominium building or townhome
building or an associated detached garage. Owner does not include any real estate developer
or any owner using, or intending to use, the property for a business purpose and not as
owner-occupied residential real estate.

new text begin (g) "Cycle One" means the time period between July 1 and December 31.
new text end

new text begin (h) "Cycle Two" means the time period between January 1 and June 30.
new text end

Sec. 16.

Minnesota Statutes 2020, section 326B.89, subdivision 4, is amended to read:

Subd. 4.

Purpose of fund.

new text begin (a) new text end The purpose of this fund is to:

(1) compensate owners or lessees of residential real estate who meet the requirements
of this section;

(2) reimburse the department for all legal and administrative expenses, disbursements,
and costs, including staffing costs, incurred in administering and defending the fund;

(3) pay for educational or research projects in the field of residential contracting to
further the purposes of sections 326B.801 to 326B.825; and

(4) provide information to the public on residential contracting issues.

new text begin (b) No money from this fund may be transferred or spent unless the commissioner
determines that the money is being transferred or spent for one of the purposes in paragraph
(a).
new text end

Sec. 17.

Minnesota Statutes 2020, section 326B.89, subdivision 5, is amended to read:

Subd. 5.

Payment limitations.

The commissioner shall not pay compensation from the
fund to an owner or a lessee in an amount greater than $75,000 per licensee. The
commissioner shall not pay compensation from the fund to owners and lessees in an amount
that totals more than deleted text begin $300,000 deleted text end new text begin $550,000 new text end per licensee. The commissioner shall only pay
compensation from the fund for a final judgment that is based on a contract directly between
the licensee and the homeowner or lessee that was entered into prior to the cause of action
and that requires licensure as a residential building contractor or residential remodeler.

Sec. 18.

Minnesota Statutes 2020, section 326B.89, subdivision 9, is amended to read:

Subd. 9.

Satisfaction of applications for compensation.

The commissioner shall pay
compensation from the fund to an owner or a lessee pursuant to the terms of an agreement
that has been entered into under subdivision 7, clause (1), or pursuant to a final order that
has been issued under subdivision 7, clause (2), or subdivision 8 by December deleted text begin 1 of the fiscal
year following the fiscal year during which the agreement was entered into or during which
the order became final, subject to the limitations of this section. At the end of each fiscal
year the commissioner shall calculate the amount of compensation to be paid from the fund
pursuant to agreements that have been entered into under subdivision 7, clause (1), and final
orders that have been issued under subdivision 7, clause (2), or subdivision 8. If the calculated
amount exceeds the amount available for payment, then the commissioner shall allocate the
amount available among the owners and the lessees in the ratio that the amount agreed to
or ordered to be paid to each owner or lessee bears to the amount calculated. The
commissioner shall mail notice of the allocation to all owners and lessees not less than 45
days following the end of the fiscal year. deleted text end new text begin 31 for applications submitted by July 1 or June
30 for applications submitted by January 1 of the fiscal year. The commissioner shall not
pay compensation to owners or lessees that totals more than $275,000 per licensee during
Cycle One of a fiscal year nor shall the commissioner pay out during Cycle One if the payout
will result in the exhaustion of a licensee's fund. If compensation paid to owners or lessees
in Cycle One would total more than $275,000 or would result in exhaustion of a licensee's
fund in Cycle One, the commissioner shall not make a final determination of compensation
for claims against the licensee until the completion of Cycle Two. If the claims against a
licensee for the fiscal year result in the exhaustion of a licensee's fund or the fund as a whole,
the commissioner must prorate the amount available among the owners and lessees based
on the amount agreed to or ordered to be paid to each owner or lessee. The commissioner
shall mail notice of the proration to all owners and lessees no later than March 31 of the
current fiscal year. new text end Any compensation paid by the commissioner in accordance with this
subdivision shall be deemed to satisfy and extinguish any right to compensation from the
fund based upon the verified application of the owner or lessee.

Sec. 19.

Laws 2014, chapter 211, section 13, as amended by Laws 2015, First Special
Session chapter 1, article 7, section 1, Laws 2016, chapter 189, article 7, section 42, and
Laws 2017, chapter 94, article 12, section 1, is amended to read:

Sec. 13. EFFECTIVE DATE.

Sections 1 to 3 and 6 to 11 are effective July 1, 2020 new text begin , to June 30, 2021, and on July 1,
2023 new text end . Sections 4, 5, and 12 are effective July 1, 2014.

new text begin EFFECTIVE DATE. new text end

new text begin The amendments to this section are effective retroactively from
June 30, 2020, except that any investigation and proceedings related to an unfair labor
practice charge currently pending before the Public Employee Relations Board as of the
date of enactment of this section shall be conducted according to the process in place under
Minnesota Statutes, sections 179A.052 and 179A.13, as of July 1, 2020, and the board shall
retain jurisdiction over any pending charge. Following enactment of this section and until
July 1, 2023, any employee, employer, employee or employer organization, exclusive
representative, or any other person or organization aggrieved by an unfair labor practice as
defined in Minnesota Statutes, section 179A.13, may bring an action for injunctive relief
and for damages caused by the unfair labor practice in the district court of the county in
which the practice is alleged to have occurred.
new text end

Sec. 20.

Laws 2019, First Special Session chapter 7, article 1, section 3, subdivision 4, is
amended to read:

Subd. 4. Workers' Compensation

14,882,000

11,882,000

$3,000,000 the first year is from the workers'
compensation fund for workers' compensation
system upgrades. This amount is available
until June 30, deleted text begin 2021 deleted text end new text begin 2023 new text end . This is a onetime
appropriation.

Sec. 21. new text begin LOGGERS SAFETY GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Commissioner" means the commissioner of labor and industry.
new text end

new text begin (c) "Program" means the loggers safety grant program under this section.
new text end

new text begin Subd. 2. new text end

new text begin Establishment. new text end

new text begin The commissioner shall establish a loggers safety grant program
to provide matching funding for logging industry employers to make safety improvements
recommended by an on-site safety survey.
new text end

new text begin Subd. 3. new text end

new text begin Grant eligibility. new text end

new text begin (a) To be eligible for a grant under this section, an employer
must:
new text end

new text begin (1) be an employer in the logging industry, or a closely associated field, with at least
one employee;
new text end

new text begin (2) have current workers' compensation insurance provided through the assigned risk
plan, provided by an insurer subject to penalties under Minnesota Statutes, chapter 176, or
as an approved self-insured employer; and
new text end

new text begin (3) have an on-site safety survey with results that recommend specific equipment or
practices that will reduce the risk of injury or illness to employees. This survey must have
been conducted by a Minnesota occupational safety and health compliance investigator or
workplace safety consultation consultant, an in-house safety and health committee, a workers'
compensation insurance underwriter, a private consultant, or a person under contract with
the assigned risk plan.
new text end

new text begin (b) Grant funds may be used for all or part of the cost of the following:
new text end

new text begin (1) purchasing and installing recommended safety equipment;
new text end

new text begin (2) operating or maintaining recommended safety equipment;
new text end

new text begin (3) property, if the property is necessary to meet the recommendations of the on-site
safety survey;
new text end

new text begin (4) training required to operate recommended safety equipment; and
new text end

new text begin (5) tuition reimbursement for educational costs related to the recommendations of the
on-site safety survey.
new text end

new text begin Subd. 4. new text end

new text begin Evaluation criteria. new text end

new text begin The commissioner shall evaluate applications, submitted
on forms developed by the commissioner, based on whether the proposed project:
new text end

new text begin (1) is technically and economically feasible;
new text end

new text begin (2) is consistent with the recommendations of the on-site safety survey and the objective
of reducing risk of injury or illness to employees;
new text end

new text begin (3) was submitted by an applicant with sufficient experience, knowledge, and commitment
for the project to be implemented in a timely manner;
new text end

new text begin (4) has the necessary financial commitments to cover all project costs;
new text end

new text begin (5) has the support of all public entities necessary for its completion; and
new text end

new text begin (6) complies with federal, state, and local regulations.
new text end

new text begin Subd. 5. new text end

new text begin Awards. new text end

new text begin (a) Grants under this section shall provide a match of up to $25,000
for private funds committed by the employer to implement the recommended safety
equipment or practices.
new text end

new text begin (b) Grants will be awarded to all applicants that meet the eligibility and evaluation criteria
under subdivisions 3 and 4. If there are more eligible requests than funding, awards will be
prorated.
new text end

new text begin (c) Grant recipients are not eligible to apply for another grant under Minnesota Statutes,
chapter 176, until two years after the date of the award.
new text end

new text begin Subd. 6. new text end

new text begin Report. new text end

new text begin By January 15, 2023, the commissioner must report to the legislative
committees in the house of representatives and senate with jurisdiction over labor and
industry about grants made under this program.
new text end

Sec. 22. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2020, section 181.9414, new text end new text begin is repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2022.
new text end

ARTICLE 4

UNEMPLOYMENT INSURANCE

Section 1.

Minnesota Statutes 2020, section 268.035, subdivision 21c, is amended to read:

Subd. 21c.

Reemployment assistance training.

(a) An applicant is in "reemployment
assistance training" when:

(1) new text begin (i) new text end a reasonable opportunity for suitable employment for the applicant does not exist
in the labor market area and additional training will assist the applicant in obtaining suitable
employment;

deleted text begin (2) deleted text end new text begin (ii) new text end the curriculum, facilities, staff, and other essentials are adequate to achieve the
training objective;

deleted text begin (3) deleted text end new text begin (iii) new text end the training is vocational or short term academic training directed to an occupation
or skill that will substantially enhance the employment opportunities available to the applicant
in the applicant's labor market area;

deleted text begin (4) deleted text end new text begin (iv) new text end the training course is full time by the training provider; and

deleted text begin (5) deleted text end new text begin (v) new text end the applicant is making satisfactory progress in the training deleted text begin . deleted text end new text begin ;
new text end

new text begin (2) the applicant can provide proof of enrollment in one or more programs offered by
an adult basic education consortium under section 124D.518. Programs may include but
are not limited to:
new text end

new text begin (i) general educational development diploma preparation;
new text end

new text begin (ii) local credit completion adult high school diploma preparation;
new text end

new text begin (iii) state competency-based adult high school diploma preparation;
new text end

new text begin (iv) basic skills enhancement training focused on math, functional literacy, reading, or
writing;
new text end

new text begin (v) computer skills training; or
new text end

new text begin (vi) English as a second language instruction;
new text end

new text begin (3) the applicant can provide proof of enrollment in an English as a second language
program taught by a licensed instructor;
new text end

new text begin (4) the applicant can provide proof of enrollment in an over-the-road truck driving
training program offered by a college or university within the Minnesota state system; or
new text end

new text begin (5) the applicant can provide proof of enrollment in a program funded under section
116L.99.
new text end

(b) Full-time training provided through the dislocated worker program, the Trade Act
of 1974, as amended, or the North American Free Trade Agreement is "reemployment
assistance training," if that training course is in accordance with the requirements of that
program.

(c) Apprenticeship training provided in order to meet the requirements of an
apprenticeship program under chapter 178 is "reemployment assistance training."

(d) An applicant is in reemployment assistance training only if the training course has
actually started or is scheduled to start within 30 calendar days.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 3, 2022.
new text end

Sec. 2.

Minnesota Statutes 2020, section 268.085, subdivision 2, is amended to read:

Subd. 2.

Not eligible.

An applicant is ineligible for unemployment benefits for any week:

(1) that occurs before the effective date of a benefit account;

(2) that the applicant, at any time during the week, has an outstanding misrepresentation
overpayment balance under section 268.18, subdivision 2, including any penalties and
interest;

deleted text begin (3) that occurs in a period when the applicant is a student in attendance at, or on vacation
from a secondary school including the period between academic years or terms;
deleted text end

deleted text begin (4) deleted text end new text begin (3) new text end that the applicant is incarcerated or performing court-ordered community service.
The applicant's weekly unemployment benefit amount is reduced by one-fifth for each day
the applicant is incarcerated or performing court-ordered community service;

deleted text begin (5) deleted text end new text begin (4) new text end that the applicant fails or refuses to provide information on an issue of ineligibility
required under section 268.101;

deleted text begin (6) deleted text end new text begin (5) new text end that the applicant is performing services 32 hours or more, in employment, covered
employment, noncovered employment, volunteer work, or self-employment regardless of
the amount of any earnings; or

deleted text begin (7) deleted text end new text begin (6) new text end with respect to which the applicant has filed an application for unemployment
benefits under any federal law or the law of any other state. If the appropriate agency finally
determines that the applicant is not entitled to establish a benefit account under federal law
or the law of any other state, this clause does not apply.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 3, 2022.
new text end

Sec. 3.

Minnesota Statutes 2020, section 268.085, subdivision 4a, is amended to read:

Subd. 4a.

Social Security disability benefits.

(a) An applicant who is receiving, has
received, or has filed for primary Social Security disability benefits for any week is ineligible
for unemployment benefits for that week, unless:

(1) the Social Security Administration approved the collecting of primary Social Security
disability benefits each month the applicant was employed during the base period; or

(2) the applicant provides a statement from an appropriate health care professional who
is aware of the applicant's Social Security disability claim and the basis for that claim,
certifying that the applicant is available for suitable employment.

(b) If an applicant meets the requirements of paragraph (a), clause (1) new text begin or (2) new text end , there is no
deduction from the applicant's weekly benefit amount for any Social Security disability
benefits.

deleted text begin (c) If an applicant meets the requirements of paragraph (a), clause (2), there must be
deducted from the applicant's weekly unemployment benefit amount 50 percent of the
weekly equivalent of the primary Social Security disability benefits the applicant is receiving,
has received, or has filed for, with respect to that week.
deleted text end

deleted text begin If the Social Security Administration determines that the applicant is not entitled to
receive primary Social Security disability benefits for any week the applicant has applied
for those benefits, then this paragraph does not apply to that week.
deleted text end

deleted text begin (d) deleted text end new text begin (c) new text end Information from the Social Security Administration is conclusive, absent specific
evidence showing that the information was erroneous.

deleted text begin (e) deleted text end new text begin (d) new text end This subdivision does not apply to Social Security survivor benefits.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 3, 2022.
new text end

Sec. 4.

Minnesota Statutes 2020, section 268.133, is amended to read:

268.133 UNEMPLOYMENT BENEFITS WHILE IN ENTREPRENEURIAL
TRAINING.

Unemployment benefits are available to dislocated workers participating in the converting
layoffs into Minnesota businesses (CLIMB) program under section 116L.17, subdivision
11. Applicants participating in CLIMB are considered in reemployment assistance training
under section 268.035, subdivision 21c. All requirements under section 268.069, subdivision
1, must be met, except the commissioner may waive:

(1) the deductible earnings provisions in section 268.085, subdivision 5; and

(2) the 32 hours of work limitation in section 268.085, subdivision 2, clause deleted text begin (6) deleted text end new text begin (5) new text end . A
maximum of 500 applicants may receive a waiver at any given time.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 3, 2022.
new text end

Sec. 5.

Minnesota Statutes 2020, section 268.136, subdivision 1, is amended to read:

Subdivision 1.

Shared work plan requirements.

An employer may submit a proposed
shared work plan for an employee group to the commissioner for approval in a manner and
format set by the commissioner. The proposed shared work plan must include:

(1) a certified statement that the normal weekly hours of work of all of the proposed
participating employees were full time or regular part time but are now reduced, or will be
reduced, with a corresponding reduction in pay, in order to prevent layoffs;

(2) the name and Social Security number of each participating employee;

(3) the number of layoffs that would have occurred absent the employer's ability to
participate in a shared work plan;

(4) a certified statement that each participating employee was first hired by the employer
at least deleted text begin one year deleted text end new text begin three months new text end before the proposed shared work plan is submitted and is not
a seasonal, temporary, or intermittent worker;

(5) the hours of work each participating employee will work each week for the duration
of the shared work plan, which must be at least 50 percent of the normal weekly hours but
no more than 80 percent of the normal weekly hours, except that the plan may provide for
a uniform vacation shutdown of up to two weeks;

(6) a certified statement that any health benefits and pension benefits provided by the
employer to participating employees will continue to be provided under the same terms and
conditions as though the participating employees' hours of work each week had not been
reduced;

(7) a certified statement that the terms and implementation of the shared work plan is
consistent with the employer's obligations under state and federal law;

(8) an acknowledgment that the employer understands that unemployment benefits paid
under a shared work plan will be used in computing the future tax rate of a taxpaying
employer or charged to the reimbursable account of a nonprofit or government employer;

(9) the proposed duration of the shared work plan, which must be at least two months
and not more than one year, although a plan may be extended for up to an additional year
upon approval of the commissioner;

(10) a starting date beginning on a Sunday at least 15 calendar days after the date the
proposed shared work plan is submitted; and

(11) a signature of an owner or officer of the employer who is listed as an owner or
officer on the employer's account under section 268.045.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 6. new text begin CONTINUED SUSPENSION OF FIVE-WEEK BUSINESS OWNER
BENEFIT LIMITATION.
new text end

new text begin Notwithstanding Minnesota Statutes, section 268.085, subdivision 9, the five-week
limitation for receipt of unemployment benefits for business owners is suspended for
applicants for unemployment insurance benefit accounts established between December
27, 2020, and September 4, 2021.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from December 27, 2020.
new text end

Sec. 7. new text begin LEAVE OF ABSENCE DUE TO COVID-19.
new text end

new text begin Notwithstanding Minnesota Statutes, section 268.085, subdivision 13a, for an applicant
applying for an unemployment insurance benefit account established between December
27, 2020, and September 4, 2021, a leave of absence is presumed to be an involuntary leave
of absence and not ineligible if:
new text end

new text begin (1) a determination has been made by health authorities or by a health care professional
that the presence of the applicant in the workplace would jeopardize the health of others,
whether or not the applicant has actually contracted a communicable disease;
new text end

new text begin (2) a quarantine or isolation order has been issued to the applicant pursuant to Minnesota
Statutes, sections 144.419 to 144.4196;
new text end

new text begin (3) there is a recommendation from health authorities or from a health care professional
that the applicant should self-isolate or self-quarantine due to elevated risk from COVID-19
due to being immunocompromised;
new text end

new text begin (4) the applicant has been instructed by the applicant's employer not to come to the
employer's place of business due to an outbreak of a communicable disease; or
new text end

new text begin (5) the applicant has received a notification from a school district, day care, or other
child care provider that either (i) classes are canceled, or (ii) the applicant's ordinary child
care is unavailable, provided that the applicant made reasonable effort to obtain other child
care and requested time off or other accommodation from the employer and no reasonable
accommodation was available.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from December 27, 2020.
new text end

Sec. 8. new text begin REPORT ON IMPACT TO UNEMPLOYMENT INSURANCE TRUST
FUND.
new text end

new text begin By January 14, 2022, the commissioner of employment and economic development shall
submit a report to chairs and ranking minority members of the legislative committees having
jurisdiction over economic development detailing the impact to the Minnesota unemployment
insurance trust fund of eligibility for secondary school students and removal of the Social
Security offset.
new text end

Sec. 9. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2020, section 268.085, subdivision 4, new text end new text begin is repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 3, 2022.
new text end

APPENDIX

Repealed Minnesota Statutes: 211-H0001-1

181.9414 PREGNANCY ACCOMMODATIONS.

Subdivision 1.

Accommodation.

An employer must provide reasonable accommodations to an employee for health conditions related to pregnancy or childbirth if she so requests, with the advice of her licensed health care provider or certified doula, unless the employer demonstrates that the accommodation would impose an undue hardship on the operation of the employer's business. A pregnant employee shall not be required to obtain the advice of her licensed health care provider or certified doula, nor may an employer claim undue hardship for the following accommodations: (1) more frequent restroom, food, and water breaks; (2) seating; and (3) limits on lifting over 20 pounds. The employee and employer shall engage in an interactive process with respect to an employee's request for a reasonable accommodation. "Reasonable accommodation" may include, but is not limited to, temporary transfer to a less strenuous or hazardous position, seating, frequent restroom breaks, and limits to heavy lifting. Notwithstanding any other provision of this section, an employer shall not be required to create a new or additional position in order to accommodate an employee pursuant to this section, and shall not be required to discharge any employee, transfer any other employee with greater seniority, or promote any employee.

Subd. 2.

Interaction with other laws.

Nothing in this section shall be construed to affect any other provision of law relating to sex discrimination or pregnancy, or in any way to diminish the coverage of pregnancy, childbirth, or health conditions related to pregnancy or childbirth under any other provisions of any other law.

Subd. 3.

No employer retribution.

An employer shall not retaliate against an employee for requesting or obtaining accommodation under this section.

Subd. 4.

Employee not required to take leave.

An employer shall not require an employee to take a leave or accept an accommodation.

268.085 ELIGIBILITY REQUIREMENTS; PAYMENTS THAT AFFECT BENEFITS.

Subd. 4.

Social Security old age insurance benefits.

(a) If all of the applicant's wage credits were earned while the applicant was claiming Social Security old age benefits, there is no deduction of the Social Security benefits from the applicant's weekly unemployment benefit amount.

(b) Unless paragraph (a) applies, 50 percent of the weekly equivalent of the primary Social Security old age benefit the applicant has received, has filed for, or intends to file for, with respect to that week must be deducted from an applicant's weekly unemployment benefit amount.

(c) Any applicant aged 62 or over is required to state when filing an application for unemployment benefits and when filing continued requests for unemployment benefits if the applicant is receiving, has filed for, or intends to file for, primary Social Security old age benefits.

(d) Information from the Social Security Administration is conclusive, absent specific evidence showing that the information was erroneous.

(e) This subdivision does not apply to Social Security survivor benefits.